TD Mutual Funds Semi-Annual Financial Report

for the period ended June 30, 2011 TD Mutual Funds Semi-Annual Financial Report

2011 Semi Annual Financial Report TD Mutual Funds

2 Management’s Responsibility GLOBALEQUITYFUNDS for Financial Reporting 182 TD Global Dividend Fund 187 TDGlobalValueFund Financial Statements 191 TDGlobalGrowthFund 196 TD Global Equity Portfolio MONEYMARKETFUNDS 199 TD Global Multi-Cap Fund 3 TDCanadianT-BillFund 204 TD Global Sustainability Fund 5 TD Canadian Money Market Fund 209 TD International Value Fund 10 TD Premium Money Market Fund 215 TD International Growth Fund 15 TDU.S.MoneyMarketFund 219 TD European Growth Fund 223 TD Japanese Growth Fund FIXEDINCOMEFUNDS 227 TDAsianGrowthFund 19 TD Ultra Short Term Bond Fund 231 TDPacificRimFund 23 TDShortTermBondFund 234 TD Emerging Markets Fund 29 TDMortgageFund 240 TD Latin American Growth Fund 33 TDCanadianBondFund 40 TD Income Advantage Portfolio SECTORFUNDS 44 TD Canadian Core Plus Bond Fund 244 TDResourceFund 52 TD Corporate Bond Capital Yield Fund 250 TDEnergyFund 57 TDRealReturnBondFund 255 TD Precious Metals Fund 60 TDGlobalBondFund 260 TD Entertainment & Communications Fund 66 TDHighYieldBondFund 264 TD Science & Technology Fund 269 TD Health Sciences Fund BALANCEDFUNDS

77 TDMonthlyIncomeFund INDEXFUNDS 86 TD Balanced Income Fund 275 TD Canadian Bond Index Fund 92 TD Diversified Monthly Income Fund 288 TD Balanced Index Fund 101 TD Balanced Growth Fund 290 TD Canadian Index Fund 109 TD Dividend Income Fund 295 TD Dow Jones Industrial AverageSM Index Fund 299 TDU.S.IndexFund CANADIANEQUITYFUNDS 307 TD U.S. Index Currency Neutral Fund 119 TD Dividend Growth Fund 311 TDNasdaq® Index Fund 124 TD Canadian Blue Chip Equity Fund 316 TD International Index Fund 128 TD Canadian Equity Fund 328 TD International Index Currency Neutral Fund 133 TD Canadian Value Fund 332 TD European Index Fund 138 TD Canadian Small-Cap Equity Fund 340 TD Japanese Index Fund U.S.EQUITYFUNDS 142 TD North American Dividend Fund 347 Notes to Financial Statements 146 TD U.S. Blue Chip Equity Fund 151 TD U.S. Quantitative Equity Fund 156 TD U.S. Large-Cap Value Fund 160 TD U.S. Large-Cap Value Currency Neutral Fund 164 TD U.S. Equity Portfolio 167 TD U.S. Equity Currency Neutral Portfolio 171 TD U.S. Mid-Cap Growth Fund 176 TD U.S. Small-Cap Equity Fund

2011 Semi-Annual Financial Report TD Mutual Funds 1 Management’s Responsibility for Financial Reporting The accompanying unaudited interim financial statements have been prepared by TD Asset Management Inc. as Manager of the Funds. The Manager is responsible for the integrity, objectivity and reliability of the data presented. This responsibility includes selecting appropriate accounting principles and making judgments and estimates consistent with Canadian generally accepted accounting principles. The Manager is also responsible for the development of internal controls over the financial reporting process which are designed to provide reasonable assurance that relevant and reliable financial information is produced and the safeguarding of all assets of the Funds.

The Board of Directors of TD Asset Management Inc. is responsible for reviewing and approving the financial statements and overseeing management’s performance of its financial reporting responsibilities.

On behalf of TD Asset Management Inc., Manager of the Funds

Thomas J. Dyck Francesca Shaw Director and President, Director and TD Mutual Funds Chief Financial Officer August 11, 2011 August 11, 2011

Notice to Unitholders The Auditors of the Funds have not reviewed these Financial Statements

TD Asset Management Inc., the Manager of the Funds, appoints an independent auditor to audit the Funds’ annual financial statements. Applicable securities laws require that if an auditor has not reviewed the Funds’ interim financial statements, this must be disclosed in an accompanying notice.

2 TD Mutual Funds 2011 Semi-Annual Financial Report MONEYMARKETFUNDS TD Canadian T-Bill Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Changes in Net Assets (in 000s except number of units) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 Investor Series Assets 2011 2010 Short-Term Investments $ 149,662 $ 167,020 Net Assets, Beginning of the Period $ 212,638 $ 270,951 Reverse Repurchase Agreement (Note 3) 42,063 45,869 Increase (Decrease) in Net Assets Cash 111 129 from Investment Operations 366 73 Interest Receivable 31 39 Subscriptions Receivable 205 403 Capital Unit Transactions† Proceeds from Sale of Units 56,233 63,448 192,072 213,460 Reinvestments of Distributions 360 72 Liabilities Amounts Paid on Redemptions (77,493) (97,909) Accrued Liabilities 104 117 (20,900) (34,389) Redemptions Payable 227 702 Distributions Payable 33Distributions to Unitholders (366) (73) 334 822 Increase (Decrease) in Net Assets for the Period (20,900) (34,389) Net Assets (Note 3) $ 191,738 $ 212,638 Net Assets, End of the Period $ 191,738 $ 236,562 Net Assets Representing Unitholders’ Equity (Note 4) †Capital Unit Transactions Investor Series $ 191,738 $ 212,638 UnitsOutstanding,BeginningofthePeriod 21,263,801 27,095,076 Number of Units Outstanding Units Issued 5,623,348 6,344,854 Investor Series 19,173,805 21,263,801 Units Issued on Reinvestments 35,955 7,187 Net Assets Per Unit (Note 3) Units Redeemed (7,749,299) (9,790,872) Investor Series $ 10.00 $ 10.00 Units Outstanding, End of the Period 19,173,805 23,656,245

Statements of Investment Operations (in 000s except per unit amounts) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 Investment Income Interest $ 829 $ 314 Income from Reverse Repurchase Agreement 200 52 Securities Lending 9 10 1,038 376 Expenses (Note 5) Management Fees 982 1,167 Independent Review Committee Fees 11 983 1,168 Less: Waived Expenses (311) (865) 672 303 Net Investment Income (Loss) 366 73 Increase (Decrease) in Net Assets from Investment Operations† $ 366 $ 73

†Increase (Decrease) in Net Assets from Investment Operations Investor Series $ 366 $ 73

Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Investor Series $ 0.02 $ 0.00

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 3 MONEYMARKETFUNDS TD Canadian T-Bill Fund Statement of Investment Portfolio as at June 30, 2011 (Unaudited) Credit Risk (Note 11) The table below summarizes the debt instruments by credit ratings as at June 30, 2011 and Par Value Description Cost FairValue December 31, 2010.

Short-Term Investments – 100.0% Percentage of Total Percentage of Debt Instruments (%) Total Net Assets (%) FEDERAL – 53.7% Credit Rating° 2011 2010 2011 2010 Government of Canada Reverse Repurchase Agreement R-1 High 74.70 74.84 74.69 74.93 dated June 30, 2011 R-1 Mid 25.30 25.16 25.30 25.19 $ 42,500,000 0.98% due July 04, 2011 $ 42,062,733 $ 42,062,733 Total 100.00 100.00 99.99 100.12

Government of Canada Treasury Bill ° Credit ratings are obtained from Standard & Poor’s, Moody’s or DBRS rating agencies. 10,000,000 0.91% due July 07, 2011 9,998,498 9,998,498 10,000,000 0.92% due July 21, 2011 9,994,976 9,994,976 Financial Instruments by the Level in the Fair Value Hierarchy 7,000,000 0.97% due August 04, 2011 6,993,689 6,993,689 (in 000s) (Note 11) 7,000,000 1.00% due August 18, 2011 6,990,827 6,990,827 The table below illustrates the classification of the Fund’s financial instruments within the 5,000,000 1.00% due September 01, 2011 4,991,503 4,991,503 fair value hierarchy as at June 30, 2011 and December 31, 2010: 5,000,000 0.94% due September 15, 2011 4,990,229 4,990,229 9,000,000 0.88% due September 29, 2011 8,980,411 8,980,411 Level1 Level2 Level3 Total 2,000,000 1.12% due October 13, 2011 1,993,649 1,993,649 June 30, 2011 2,000,000 1.41% due November 24, 2011 1,988,914 1,988,914 Short-Term Investments 3,000,000 1.42% due February 16, 2012 2,973,517 2,973,517 and Reverse Repurchase 1,000,000 1.40% due March 15, 2012 990,234 990,234 Agreement $0$191,725 $0$191,725 102,949,180 102,949,180

PROVINCIAL & GUARANTEES – 38.8% December 31, 2010 Financement-Quebec Short-Term Investments 5,000,000 FloatingRatedueOctober25,2011 5,000,665 5,000,665 and Reverse Repurchase Agreement $0$212,889 $0$212,889 Province of Alberta 4,000,000 1.04% due July 28, 2011 3,996,927 3,996,927 During the periods, transfers between Level 1 and Level 2 were nil. 5,000,000 1.05% due August 25, 2011 4,992,106 4,992,106 Province of British Columbia Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) 5,000,000 1.01% due July 08, 2011 4,999,032 4,999,032 The table below summarizes cash flows associated with the maturities of the Fund’s financial 5,000,000 1.03% due July 13, 2011 4,998,314 4,998,314 liabilities as at June 30, 2011 and December 31, 2010: 5,000,000 1.05% due July 29, 2011 4,995,989 4,995,989 Less than 2,000,000 1.08% due November 18, 2011 1,991,752 1,991,752 3 months Province of Manitoba Treasury Bill 2011 2010 2,100,000 1.02% due July 27, 2011 2,098,471 2,098,471 Accounts payable and other liabilities $ 334 $ 822 12,500,000 1.04% due August 17, 2011 12,483,311 12,483,311 2,900,000 1.03% due September 07, 2011 2,894,443 2,894,443 Province of Ontario 2,000,000 FloatingRatedueNovember10,2011 2,005,744 2,005,744 3,000,000 4.40% due December 02, 2011 3,036,460 3,036,460 Province of Ontario Treasury Bill 3,000,000 1.03% due July 13, 2011 2,998,986 2,998,986 3,000,000 1.06% due August 17, 2011 2,995,921 2,995,921 2,000,000 1.14% due August 31, 2011 1,996,211 1,996,211 2,000,000 1.27% due September 07, 2011 1,995,300 1,995,300 Province of Quebec Treasury Bill 8,000,000 1.05% due July 08, 2011 7,998,392 7,998,392 3,000,000 1.04% due July 22, 2011 2,998,208 2,998,208 74,476,232 74,476,232

CORPORATE – 7.5% Bank of Montreal 14,300,000 1.00% due July 04, 2011 14,300,000 14,300,000

TOTALINVESTMENT PORTFOLIO – 100.0% 191,725,412 191,725,412 OTHER NET ASSETS – 0.0% 12,633 12,633

TOTAL NET ASSETS – 100.0% $ 191,738,045 $ 191,738,045

4 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. MONEYMARKETFUNDS TD Canadian Money Market Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Short-Term Investments $ 2,842,975 $ 3,159,633 Interest $ 17,739 $ 7,755 Cash 90 126 Income from Reverse Repurchase Agreement 68 22 Interest Receivable 786 1,405 Securities Lending 10 93 Subscriptions Receivable 8,138 9,585 17,817 7,870 2,851,989 3,170,749 Expenses (Note 5) Liabilities Management Fees 13,697 15,983 Accrued Liabilities 1,717 1,887 Independent Review Committee Fees 8 10 Redemptions Payable 6,665 9,082 13,705 15,993 Distributions Payable 314 313 Less: Waived Expenses (3,038) (9,820) 8,696 11,282 10,667 6,173 Net Assets (Note 3) $ 2,843,293 $ 3,159,467 Net Investment Income (Loss) 7,150 1,697 Net Assets Representing Unitholders’ Equity (Note 4) Increase (Decrease) in Net Assets † Investor Series $ 2,466,543 $ 2,724,372 from Investment Operations $ 7,150 $ 1,697 Institutional Series $ 197,987 $ 212,311 †Increase (Decrease) in Net Assets from Investment Operations Advisor Series $ 141,228 $ 164,510 Investor Series $ 5,735 $ 1,377 F-Series $ 21,861 $ 27,383 Institutional Series $ 901 $ 165 O-Series $ 15,674 $ 30,891 Advisor Series $ 324 $ 94 $ 2,843,293 $ 3,159,467 F-Series $ 80 $ 17 Number of Units Outstanding O-Series $ 110 $ 44 Investor Series 246,654,245 272,437,222 $ 7,150 $ 1,697 Institutional Series 19,798,700 21,231,049 Increase (Decrease) in Net Assets from Investment Operations – Advisor Series 14,122,803 16,451,041 Per Unit (Note 3) F-Series 2,186,124 2,738,246 Investor Series $ 0.02 $ 0.00 O-Series 1,567,402 3,089,108 Institutional Series $ 0.04 $ 0.01 Advisor Series $ 0.02 $ 0.00 Net Assets Per Unit (Note 3) F-Series $ 0.03 $ 0.00 Investor Series $ 10.00 $ 10.00 O-Series $ 0.06 $ 0.02 Institutional Series $ 10.00 $ 10.00 Advisor Series $ 10.00 $ 10.00 F-Series $ 10.00 $ 10.00 O-Series $ 10.00 $ 10.00

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 5 MONEYMARKETFUNDS TD Canadian Money Market Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 2,724,372 $ 3,361,866 $ 212,311 $ 269,446 $ 164,510 $ 247,678 Increase (Decrease) in Net Assets from Investment Operations 5,735 1,377 901 165 324 94 Capital Unit Transactions† Proceeds from Sale of Units 939,203 1,159,921 159,344 157,015 58,584 87,318 Reinvestments of Distributions 5,670 1,362 57 11 310 91 Amounts Paid on Redemptions (1,202,702) (1,539,509) (173,725) (208,155) (82,176) (132,094) (257,829) (378,226) (14,324) (51,129) (23,282) (44,685) Distributions to Unitholders (5,735) (1,377) (901) (165) (324) (94) Increase (Decrease) in Net Assets for the Period (257,829) (378,226) (14,324) (51,129) (23,282) (44,685) Net Assets, End of the Period $ 2,466,543 $ 2,983,640 $ 197,987 $ 218,317 $ 141,228 $ 202,993 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 272,437,222 336,186,599 21,231,049 26,944,593 16,451,041 24,767,857 Units Issued 93,920,253 115,992,116 15,934,425 15,701,512 5,858,374 8,731,822 Units Issued on Reinvestments 567,006 136,152 5,772 1,078 30,921 8,999 Units Redeemed (120,270,236) (153,950,892) (17,372,546) (20,815,472) (8,217,533) (13,209,406) Units Outstanding, End of the Period 246,654,245 298,363,975 19,798,700 21,831,711 14,122,803 20,299,272

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 27,383 $ 45,978 $ 30,891 $ 14,718 $ 3,159,467 $ 3,939,686 Increase (Decrease) in Net Assets from Investment Operations 80 17 110 44 7,150 1,697 Capital Unit Transactions† Proceeds from Sale of Units 7,970 23,719 2,097 16,635 1,167,198 1,444,608 Reinvestments of Distributions 77 16 110 44 6,224 1,524 Amounts Paid on Redemptions (13,569) (32,417) (17,424) (1,703) (1,489,596) (1,913,878) (5,522) (8,682) (15,217) 14,976 (316,174) (467,746) Distributions to Unitholders (80) (17) (110) (44) (7,150) (1,697) Increase (Decrease) in Net Assets for the Period (5,522) (8,682) (15,217) 14,976 (316,174) (467,746) Net Assets, End of the Period $ 21,861 $ 37,296 $ 15,674 $ 29,694 $ 2,843,293 $ 3,471,940 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 2,738,246 4,597,771 3,089,108 1,471,782 Units Issued 797,036 2,371,907 209,689 1,663,498 Units Issued on Reinvestments 7,745 1,665 10,981 4,479 Units Redeemed (1,356,903) (3,241,721) (1,742,376) (170,339) Units Outstanding, End of the Period 2,186,124 3,729,622 1,567,402 2,969,420

6 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. MONEYMARKETFUNDS

TD Canadian Money Market Fund Par Value Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) The Bank of Nova Scotia $$20,000,000 1.16% due July 07, 2011 19,996,200$ 19,996,200 Par Value Description Cost FairValue 20,000,000 1.17% due July 12, 2011 19,992,970 19,992,970 15,000,000 1.18% due July 18, 2011 14,991,777 14,991,777 Short-Term Investments – 100.0% 10,000,000 1.18% due July 26, 2011 9,991,951 9,991,951 FEDERAL – 2.2% 10,000,000 1.09% due July 28, 2011 9,991,947 9,991,947 Government of Canada Treasury Bill 10,000,000 1.06% due July 29, 2011 9,991,871 9,991,871 $ 10,000,000 1.12% due August 18, 2011 $ 9,985,363 $ 9,985,363 15,000,000 1.18% due August 09, 2011 14,981,115 14,981,115 20,000,000 1.12% due October 13, 2011 19,936,486 19,936,486 10,000,000 1.17% due September 01, 2011 9,980,160 9,980,160 10,000,000 1.41% due November 24, 2011 9,944,568 9,944,568 5,000,000 1.16% due September 13, 2011 4,988,290 4,988,290 10,000,000 1.42% due February 16, 2012 9,911,724 9,911,724 10,000,000 1.16% due September 14, 2011 9,976,250 9,976,250 12,500,000 1.40% due March 15, 2012 12,377,931 12,377,931 10,000,000 1.16% due September 16, 2011 9,975,631 9,975,631 62,156,072 62,156,072 15,000,000 1.16% due September 19, 2011 14,962,022 14,962,022 35,000,000 1.16% due September 28, 2011 34,901,351 34,901,351 PROVINCIAL – 4.0% 20,000,000 1.31% due November 16, 2011 19,901,560 19,901,560 Province of British Columbia 2,500,000 3.03% due June 04, 2012 2,535,040 2,535,040 5,000,000 1.43% due October 21, 2011 4,978,343 4,978,343 30,400,000 FloatingRatedueJune17,2012 30,400,061 30,400,061 Province of Manitoba Treasury Bill Bay Street Funding Trust 10,000,000 1.04% due August 17, 2011 9,986,642 9,986,642 14,000,000 1.17% due July 08, 2011 13,996,866 13,996,866 10,000,000 1.02% due September 14, 2011 9,979,107 9,979,107 5,000,000 1.08% due July 11, 2011 4,998,516 4,998,516 Province of Ontario 10,000,000 1.06% due July 13, 2011 9,996,529 9,996,529 15,400,000 Floating Rate due July 15, 2011 15,403,937 15,403,937 10,000,000 1.06% due July 14, 2011 9,996,226 9,996,226 10,500,000 Floating Rate due November 10, 2011 10,530,156 10,530,156 25,000,000 1.08% due July 28, 2011 24,980,044 24,980,044 11,400,000 4.40% due December 02, 2011 11,538,546 11,538,546 4,000,000 1.17% due August 12, 2011 3,994,624 3,994,624 Province of Ontario Treasury Bill Caisse centrale Desjardins 10,000,000 1.20% due August 17, 2011 9,984,641 9,984,641 15,000,000 1.09% due July 27, 2011 14,988,361 14,988,361 10,000,000 1.05% due August 31, 2011 9,982,489 9,982,489 20,000,000 1.15% due August 23, 2011 19,966,669 19,966,669 Province of Quebec 15,000,000 1.14% due August 30, 2011 14,972,011 14,972,011 32,000,000 FloatingRatedueAugust06,2011 32,000,992 32,000,992 18,000,000 Floating Rate due September 15, 2011 18,019,643 18,019,643 114,384,853 114,384,853 20,000,000 FloatingRatedueJanuary11,2012 20,000,000 20,000,000 6,500,000 FloatingRatedueFebruary17,2012 6,506,911 6,506,911 CORPORATE – 93.8% Canadian Imperial Bank of Commerce Bank of Montreal 10,000,000 1.19% due July 04, 2011 9,999,026 9,999,026 27,000,000 1.00% due July 04, 2011 27,000,000 27,000,000 15,000,000 1.18% due July 14, 2011 14,993,715 14,993,715 10,000,000 1.10% due July 06, 2011 9,998,500 9,998,500 15,000,000 1.16% due July 19, 2011 14,991,455 14,991,455 20,000,000 1.06% due July 12, 2011 19,993,594 19,993,594 10,000,000 1.16% due July 22, 2011 9,993,342 9,993,342 15,000,000 1.06% due July 14, 2011 14,994,317 14,994,317 10,000,000 1.16% due July 27, 2011 9,991,771 9,991,771 9,000,000 4.96% due July 14, 2011 9,011,629 9,011,629 12,000,000 1.06% due July 29, 2011 11,990,245 11,990,245 15,000,000 1.06% due July 20, 2011 14,991,735 14,991,735 20,000,000 1.15% due August 18, 2011 19,969,829 19,969,829 10,000,000 1.16% due July 25, 2011 9,992,404 9,992,404 20,000,000 1.15% due August 23, 2011 19,966,755 19,966,755 16,000,000 1.17% due August 03, 2011 15,983,093 15,983,093 10,000,000 1.15% due August 25, 2011 9,982,705 9,982,705 10,000,000 1.15% due August 08, 2011 9,988,057 9,988,057 30,000,000 1.15% due August 26, 2011 29,947,283 29,947,283 10,000,000 1.42% due August 12, 2011 9,983,892 9,983,892 20,000,000 1.15% due September 01, 2011 19,961,029 19,961,029 5,000,000 1.13% due August 25, 2011 4,991,518 4,991,518 15,000,000 1.14% due September 06, 2011 14,968,648 14,968,648 12,000,000 1.09% due August 29, 2011 11,978,878 11,978,878 20,000,000 1.13% due September 15, 2011 19,953,064 19,953,064 6,122,000 1.13% due September 02, 2011 6,110,079 6,110,079 15,000,000 1.43% due October 17, 2011 14,937,438 14,937,438 7,000,000 1.13% due September 22, 2011 6,982,065 6,982,065 10,000,000 4.35% due November 01, 2011 10,091,096 10,091,096 10,000,000 1.32% due November 14, 2011 9,951,116 9,951,116 5,000,000 1.56% due May 25, 2012 4,930,763 4,930,763 20,000,000 1.42% due November 29, 2011 19,883,431 19,883,431 20,000,000 1.28% due December 07, 2011 19,889,139 19,889,139 Canadian Master Trust 10,000,000 1.57% due January 17, 2012 9,915,304 9,915,304 7,500,000 1.08% due July 08, 2011 7,498,454 7,498,454 23,000,000 Floating Rate due May 10, 2012 23,000,000 23,000,000 13,000,000 1.08% due July 11, 2011 12,996,142 12,996,142 33,000,000 1.08% due July 15, 2011 32,986,350 32,986,350 3,000,000 1.08% due July 22, 2011 2,998,143 2,998,143 6,700,000 1.18% due July 27, 2011 6,694,383 6,694,383 18,000,000 1.14% due August 10, 2011 17,977,529 17,977,529 12,300,000 1.12% due August 15, 2011 12,283,032 12,283,032 12,600,000 1.35% due August 31, 2011 12,571,775 12,571,775 16,000,000 1.35% due September 06, 2011 15,960,634 15,960,634 17,500,000 1.35% due September 19, 2011 17,448,536 17,448,536 7,200,000 1.35% due October 12, 2011 7,172,767 7,172,767

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 7 TD Canadian Money Market Fund MONEYMARKETFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Diversified Trust Plaza Trust $$2,700,000 1.18% due July 04, 2011 2,699,739$ 2,699,739 $$16,300,000 1.08% due July 04, 2011 16,298,550$ 16,298,550 25,000,000 1.24% due July 05, 2011 24,996,617 24,996,617 15,000,000 1.18% due July 06, 2011 14,997,585 14,997,585 20,000,000 1.34% due July 20, 2011 19,986,151 19,986,151 8,000,000 1.05% due July 12, 2011 7,997,477 7,997,477 19,000,000 1.34% due July 22, 2011 18,985,444 18,985,444 7,500,000 1.18% due July 18, 2011 7,495,888 7,495,888 8,500,000 1.32% due August 02, 2011 8,490,232 8,490,232 4,900,000 1.06% due July 19, 2011 4,897,447 4,897,447 25,000,000 1.18% due August 05, 2011 24,971,817 24,971,817 24,000,000 1.19% due July 26, 2011 23,980,484 23,980,484 5,000,000 1.18% due August 19, 2011 4,992,115 4,992,115 9,900,000 1.17% due August 10, 2011 9,887,364 9,887,364 6,100,000 1.35% due August 29, 2011 6,086,777 6,086,777 9,500,000 1.17% due August 15, 2011 9,486,349 9,486,349 18,000,000 1.16% due September 08, 2011 17,960,693 17,960,693 16,300,000 1.17% due August 16, 2011 16,276,058 16,276,058 300,000 1.16% due September 13, 2011 299,297 299,297 5,100,000 1.17% due August 17, 2011 5,092,330 5,092,330 8,500,000 1.29% due September 16, 2011 8,476,983 8,476,983 2,200,000 1.15% due September 13, 2011 2,194,878 2,194,878 10,000,000 1.16% due September 20, 2011 9,974,350 9,974,350 3,000,000 1.15% due September 16, 2011 2,992,740 2,992,740 3,400,000 1.30% due September 26, 2011 3,389,520 3,389,520 17,000,000 1.15% due September 20, 2011 16,956,679 16,956,679 15,000,000 1.23% due September 27, 2011 14,955,670 14,955,670 Ridge Trust 7,900,000 1.21% due October 04, 2011 7,875,234 7,875,234 18,000,000 1.06% due July 04, 2011 17,998,434 17,998,434 6,500,000 1.35% due October 12, 2011 6,475,414 6,475,414 20,400,000 1.26% due July 13, 2011 20,391,576 20,391,576 19,000,000 1.21% due October 19, 2011 18,931,030 18,931,030 8,800,000 1.11% due July 15, 2011 8,796,265 8,796,265 6,300,000 1.35% due November 02, 2011 6,271,313 6,271,313 8,300,000 1.08% due July 21, 2011 8,295,075 8,295,075 12,000,000 1.35% due November 07, 2011 11,943,098 11,943,098 10,000,000 1.08% due July 22, 2011 9,993,770 9,993,770 22,400,000 1.25% due December 23, 2011 22,266,632 22,266,632 23,600,000 1.08% due August 09, 2011 23,572,837 23,572,837 GE Capital Canada Funding Company 13,600,000 1.12% due August 15, 2011 13,581,245 13,581,245 25,000,000 1.15% due July 11, 2011 24,992,139 24,992,139 15,000,000 1.35% due August 31, 2011 14,966,399 14,966,399 8,451,000 1.17% due July 20, 2011 8,445,875 8,445,875 11,720,000 1.30% due October 11, 2011 11,677,525 11,677,525 2,500,000 1.18% due July 26, 2011 2,497,986 2,497,986 Royal Bank of Canada 15,000,000 1.06% due July 28, 2011 14,988,255 14,988,255 4,900,000 1.15% due July 04, 2011 4,899,539 4,899,539 10,000,000 1.18% due July 29, 2011 9,990,967 9,990,967 20,000,000 1.15% due July 05, 2011 19,997,487 19,997,487 7,000,000 1.15% due August 24, 2011 6,988,127 6,988,127 2,800,000 4.92% due July 06, 2011 2,801,578 2,801,578 8,000,000 1.14% due September 22, 2011 7,979,303 7,979,303 20,000,000 1.01% due July 08, 2011 19,996,127 19,996,127 10,000,000 1.19% due September 28, 2011 9,971,114 9,971,114 15,000,000 1.15% due July 08, 2011 14,996,703 14,996,703 HSBC Bank Canada 15,000,000 1.15% due July 11, 2011 14,995,281 14,995,281 15,000,000 1.16% due July 06, 2011 14,997,620 14,997,620 7,500,000 Floating Rate due July 17, 2011 7,503,058 7,503,058 11,600,000 1.19% due July 08, 2011 11,597,359 11,597,359 15,000,000 1.15% due July 19, 2011 14,991,518 14,991,518 12,000,000 1.18% due August 11, 2011 11,984,153 11,984,153 4,000,000 1.17% due July 25, 2011 3,996,930 3,996,930 5,000,000 1.17% due August 23, 2011 4,991,526 4,991,526 5,600,000 1.07% due July 29, 2011 5,595,404 5,595,404 10,000,000 1.16% due August 29, 2011 9,981,306 9,981,306 8,000,000 1.15% due August 08, 2011 7,990,446 7,990,446 2,000,000 1.17% due August 29, 2011 1,996,235 1,996,235 4,000,000 1.10% due August 16, 2011 3,994,456 3,994,456 15,000,000 1.31% due September 21, 2011 14,956,130 14,956,130 5,000,000 1.15% due August 16, 2011 4,992,771 4,992,771 15,000,000 1.28% due October 03, 2011 14,950,790 14,950,790 3,400,000 1.12% due August 30, 2011 3,393,767 3,393,767 15,000,000 1.32% due November 16, 2011 14,925,595 14,925,595 2,800,000 1.12% due September 07, 2011 2,794,176 2,794,176 15,000,000 1.30% due November 30, 2011 14,919,255 14,919,255 21,600,000 1.12% due September 19, 2011 21,547,206 21,547,206 National Bank of Canada 10,000,000 1.33% due October 03, 2011 9,965,951 9,965,951 10,000,000 1.10% due July 18, 2011 9,994,900 9,994,900 20,000,000 1.32% due November 15, 2011 19,901,666 19,901,666 15,000,000 1.07% due July 29, 2011 14,987,690 14,987,690 5,000,000 1.59% due April 05, 2012 4,940,187 4,940,187 7,200,000 1.15% due August 04, 2011 7,192,306 7,192,306 5,000,000 4.53% due May 07, 2012 5,124,756 5,124,756 15,000,000 1.16% due August 04, 2011 14,983,813 14,983,813 SAFE Trust 10,000,000 1.13% due August 29, 2011 9,981,770 9,981,770 10,000,000 1.18% due July 07, 2011 9,998,068 9,998,068 3,500,000 1.14% due August 31, 2011 3,493,355 3,493,355 24,000,000 1.18% due July 25, 2011 23,981,454 23,981,454 25,000,000 1.14% due September 09, 2011 24,945,452 24,945,452 11,000,000 1.18% due August 05, 2011 10,987,604 10,987,604 5,700,000 1.14% due September 29, 2011 5,684,046 5,684,046 19,400,000 1.18% due August 12, 2011 19,373,756 19,373,756 7,500,000 1.59% due February 29, 2012 7,421,828 7,421,828 6,000,000 1.17% due September 14, 2011 5,985,600 5,985,600 OMERS Finance Trust 7,000,000 1.35% due October 05, 2011 6,975,323 6,975,323 5,000,000 1.17% due July 05, 2011 4,999,361 4,999,361 18,000,000 1.18% due July 21, 2011 17,988,409 17,988,409 28,300,000 1.17% due August 02, 2011 28,271,041 28,271,041 18,750,000 1.17% due August 04, 2011 18,729,608 18,729,608 5,000,000 1.17% due August 12, 2011 4,993,285 4,993,285 12,900,000 1.16% due August 18, 2011 12,880,403 12,880,403 13,700,000 1.15% due September 08, 2011 13,670,328 13,670,328 17,000,000 1.15% due September 12, 2011 16,960,977 16,960,977

8 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Canadian Money Market Fund MONEYMARKETFUNDS

Par Value Description Cost FairValue

SOUND Trust Credit Risk (Note 11) $$4,000,000 1.18% due July 19, 2011 3,997,680$ 3,997,680 The table below summarizes the debt instruments by credit ratings as at June 30, 2011 and 7,000,000 1.18% due July 26, 2011 6,994,357 6,994,357 December 31, 2010. 10,000,000 1.18% due August 08, 2011 9,987,736 9,987,736 Percentage of Total Percentage of 7,000,000 1.18% due August 19, 2011 6,988,952 6,988,952 Debt Instruments (%) Total Net Assets (%) 19,600,000 1.18% due August 24, 2011 19,565,870 19,565,870 Credit Rating° 2011 2010 2011 2010 5,700,000 1.17%dueSeptember12,2011 5,686,694 5,686,694 4,000,000 1.33% due October 04, 2011 3,986,249 3,986,249 R-1 High 86.30 78.58 86.29 78.58 R-1 Mid 13.70 21.42 13.70 21.42 Storm King Funding 3,200,000 1.16% due July 04, 2011 3,199,696 3,199,696 Total 100.00 100.00 99.99 100.00 4,400,000 1.18% due July 06, 2011 4,399,291 4,399,291 ° Credit ratings are obtained from Standard & Poor’s, Moody’s or DBRS rating agencies. 9,800,000 1.07% due July 13, 2011 9,796,556 9,796,556 18,000,000 1.15% due July 21, 2011 17,988,674 17,988,674 Financial Instruments by the Level in the 4,800,000 1.05% due July 25, 2011 4,796,677 4,796,677 Fair Value Hierarchy (in 000s) (Note 11) 5,000,000 1.09% due August 11, 2011 4,993,885 4,993,885 The table below illustrates the classification of the Fund’s financial instruments within the 10,000,000 1.17% due August 12, 2011 9,986,570 9,986,570 fair value hierarchy as at June 30, 2011 and December 31, 2010: 8,000,000 1.17% due August 15, 2011 7,988,488 7,988,488 11,300,000 1.17% due August 22, 2011 11,281,247 11,281,247 Level1 Level2 Level3 Total 9,200,000 1.15% due August 30, 2011 9,182,651 9,182,651 June 30, 2011 8,600,000 1.15%dueSeptember07,2011 8,581,621 8,581,621 Short-Term Investments $0$2,842,975 $0$2,842,975 10,000,000 1.15%dueSeptember14,2011 9,976,429 9,976,429 21,400,000 1.15%dueSeptember16,2011 21,348,225 21,348,225 December 31, 2010 8,300,000 1.15%dueSeptember21,2011 8,278,610 8,278,610 Short-Term Investments $0$3,159,633 $0$3,159,633 10,000,000 1.14%dueSeptember26,2011 9,972,911 9,972,911

SUMMIT Trust During the periods, transfers between Level 1 and Level 2 were nil. 15,000,000 1.18% due July 13, 2011 14,994,200 14,994,200 10,700,000 1.22% due July 18, 2011 10,693,940 10,693,940 Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) 4,000,000 1.18% due July 29, 2011 3,996,390 3,996,390 The table below summarizes cash flows associated with the maturities of the Fund’s financial 12,100,000 1.31% due August 02, 2011 12,086,214 12,086,214 liabilities as at June 30, 2011 and December 31, 2010:

32,000,000 1.35% due August 03, 2011 31,961,221 31,961,221 Less than 800,000 1.18% due August 12, 2011 798,919 798,919 3 months 5,600,000 1.25% due August 26, 2011 5,589,301 5,589,301 2011 2010 8,400,000 1.35%dueSeptember06,2011 8,379,312 8,379,312 Accounts payable and other liabilities $ 8,696 $ 11,282 16,500,000 1.35%dueSeptember07,2011 16,458,777 16,458,777 5,000,000 1.16%dueSeptember13,2011 4,988,276 4,988,276 200,000 1.16% due September 15, 2011 199,519 199,519 8,200,000 1.16%dueSeptember27,2011 8,177,136 8,177,136 13,000,000 1.35% due October 11, 2011 12,951,306 12,951,306 12,300,000 1.35%dueNovember04,2011 12,243,086 12,243,086 27,100,000 1.35%dueNovember08,2011 26,970,501 26,970,501 6,600,000 1.35%dueNovember17,2011 6,566,296 6,566,296 10,000,000 1.34%dueNovember18,2011 9,948,904 9,948,904 27,900,000 1.29%dueDecember08,2011 27,743,143 27,743,143 8,000,000 1.29%dueDecember12,2011 7,953,936 7,953,936 6,400,000 1.29%dueDecember14,2011 6,362,697 6,362,697 Wells Fargo Financial Canada Corporation 2,600,000 4.45%dueSeptember13,2011 2,614,873 2,614,873 2,666,434,472 2,666,434,472

TOTALINVESTMENT PORTFOLIO – 100.0% 2,842,975,397 2,842,975,397 OTHER NET ASSETS – 0.0% 317,335 317,335

TOTAL NET ASSETS – 100.0% $ 2,843,292,732 $ 2,843,292,732

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 9 MONEYMARKETFUNDS TD Premium Money Market Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Short-Term Investments $ 2,721,489 $ 3,119,210 Interest $ 17,375 $ 8,887 Cash 178 72 Income from Reverse Repurchase Agreement 64 19 Interest Receivable 962 1,788 Securities Lending 13 82 Subscriptions Receivable 7,819 9,023 17,452 8,988 2,730,448 3,130,093 Expenses (Note 5) Liabilities Management Fees 4,717 6,412 Accrued Liabilities 739 874 Independent Review Committee Fees 68 Redemptions Payable 5,114 4,442 4,723 6,420 Distributions Payable 10 22 Less: Waived Expenses (6) (196) 5,863 5,338 4,717 6,224 Net Assets (Note 3) $ 2,724,585 $ 3,124,755 Net Investment Income (Loss) 12,735 2,764 Net Assets Representing Unitholders’ Equity (Note 4) Increase (Decrease) in Net Assets † Investor Series $ 2,616,743 $ 2,994,818 from Investment Operations $ 12,735 $ 2,764 F-Series $ 107,842 $ 129,937 †Increase (Decrease) in Net Assets from Investment Operations $ 2,724,585 $ 3,124,755 Investor Series $ 12,167 $ 2,529 Number of Units Outstanding F-Series $ 568 $ 235 Investor Series 261,674,324 299,481,789 $ 12,735 $ 2,764 F-Series 10,784,162 12,993,679 Increase (Decrease) in Net Assets from Investment Operations – Net Assets Per Unit (Note 3) Per Unit (Note 3) Investor Series $ 10.00 $ 10.00 Investor Series $ 0.04 $ 0.01 F-Series $ 10.00 $ 10.00 F-Series $ 0.05 $ 0.01

10 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. MONEYMARKETFUNDS TD Premium Money Market Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series F-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 2,994,818 $ 4,692,106 $ 129,937 $ 252,093 $ 3,124,755 $ 4,944,199 Increase (Decrease) in Net Assets from Investment Operations 12,167 2,529 568 235 12,735 2,764 Capital Unit Transactions† Proceeds from Sale of Units 806,461 976,275 68,238 103,534 874,699 1,079,809 Reinvestments of Distributions 11,960 2,476 558 228 12,518 2,704 Amounts Paid on Redemptions (1,196,496) (2,239,243) (90,891) (184,538) (1,287,387) (2,423,781) (378,075) (1,260,492) (22,095) (80,776) (400,170) (1,341,268) Distributions to Unitholders (12,167) (2,529) (568) (235) (12,735) (2,764) Increase (Decrease) in Net Assets for the Period (378,075) (1,260,492) (22,095) (80,776) (400,170) (1,341,268) Net Assets, End of the Period $ 2,616,743 $ 3,431,614 $ 107,842 $ 171,317 $ 2,724,585 $ 3,602,931 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 299,481,789 469,210,615 12,993,679 25,209,248 Units Issued 80,646,127 97,627,460 6,823,847 10,353,437 Units Issued on Reinvestments 1,196,007 247,658 55,770 22,784 Units Redeemed (119,649,599) (223,924,305) (9,089,134) (18,453,825) Units Outstanding, End of the Period 261,674,324 343,161,428 10,784,162 17,131,644

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 11 MONEYMARKETFUNDS

TD Premium Money Market Fund Par Value Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) $$5,000,000 1.16% due September 13, 2011 4,988,290$ 4,988,290 10,000,000 1.15% due September 15, 2011 9,976,152 9,976,152 Par Value Description Cost FairValue 5,000,000 1.16% due September 16, 2011 4,987,815 4,987,815 20,000,000 1.16% due September 28, 2011 19,943,633 19,943,633 Short-Term Investments – 99.9% 5,000,000 1.31% due November 16, 2011 4,975,390 4,975,390 FEDERAL – 2.5% 2,500,000 3.03% due June 04, 2012 2,535,040 2,535,040 Government of Canada Treasury Bill 50,600,000 FloatingRatedueJune17,2012 50,600,094 50,600,094 $ 20,000,000 1.12% due August 18, 2011 $ 19,970,725 $ 19,970,725 Bay Street Funding Trust 20,000,000 1.12% due October 13, 2011 19,936,486 19,936,486 6,000,000 1.06% due July 04, 2011 5,999,478 5,999,478 10,000,000 1.41% due November 24, 2011 9,944,568 9,944,568 5,000,000 1.16% due July 07, 2011 4,999,048 4,999,048 10,000,000 1.42% due February 16, 2012 9,911,724 9,911,724 13,000,000 1.17% due July 08, 2011 12,997,090 12,997,090 7,500,000 1.40% due March 15, 2012 7,426,758 7,426,758 10,000,000 1.06% due July 13, 2011 9,996,529 9,996,529 67,190,261 67,190,261 10,000,000 1.06% due July 14, 2011 9,996,226 9,996,226 10,000,000 1.08% due July 21, 2011 9,994,069 9,994,069 PROVINCIAL – 3.7% 4,000,000 1.06% due July 28, 2011 3,996,868 3,996,868 Province of British Columbia 4,000,000 1.17% due August 12, 2011 3,994,624 3,994,624 5,200,000 1.43% due October 21, 2011 5,177,477 5,177,477 6,400,000 1.16% due September 01, 2011 6,387,435 6,387,435 Province of Manitoba Treasury Bill Caisse centrale Desjardins 10,000,000 1.04% due August 17, 2011 9,986,642 9,986,642 5,000,000 1.09% due August 09, 2011 4,994,181 4,994,181 Province of Ontario 5,000,000 1.15% due August 23, 2011 4,991,667 4,991,667 16,000,000 Floating Rate due July 15, 2011 16,004,090 16,004,090 15,000,000 1.14% due August 30, 2011 14,972,011 14,972,011 10,500,000 Floating Rate due November 10, 2011 10,530,156 10,530,156 18,000,000 Floating Rate due September 15, 2011 18,019,643 18,019,643 11,415,000 4.40% due December 02, 2011 11,553,728 11,553,728 20,000,000 FloatingRatedueJanuary11,2012 20,000,000 20,000,000 Province of Ontario Treasury Bill Canadian Imperial Bank of Commerce 15,000,000 1.20% due August 17, 2011 14,976,962 14,976,962 4,000,000 1.19% due July 04, 2011 3,999,610 3,999,610 Province of Quebec 10,000,000 1.14% due July 12, 2011 9,996,571 9,996,571 34,000,000 FloatingRatedueAugust06,2011 34,001,049 34,001,049 15,000,000 1.18% due July 14, 2011 14,993,715 14,993,715 102,230,104 102,230,104 10,000,000 1.10% due July 20, 2011 9,994,300 9,994,300 20,000,000 1.16% due July 22, 2011 19,986,684 19,986,684 CORPORATE – 93.7% 9,000,000 1.06% due July 27, 2011 8,993,222 8,993,222 Bank of Montreal 24,000,000 1.15% due August 23, 2011 23,960,008 23,960,008 19,600,000 1.00% due July 04, 2011 19,600,000 19,600,000 15,000,000 1.15% due August 25, 2011 14,974,057 14,974,057 13,000,000 1.15% due July 06, 2011 12,997,955 12,997,955 30,000,000 1.15% due August 31, 2011 29,942,514 29,942,514 20,000,000 1.06% due July 12, 2011 19,993,594 19,993,594 15,000,000 1.15% due September 01, 2011 14,970,771 14,970,771 9,000,000 4.96% due July 14, 2011 9,011,629 9,011,629 20,000,000 1.14% due September 06, 2011 19,958,198 19,958,198 10,000,000 1.06% due July 18, 2011 9,995,082 9,995,082 10,000,000 1.14% due September 07, 2011 9,978,787 9,978,787 10,000,000 1.06% due July 19, 2011 9,994,786 9,994,786 15,000,000 1.14% due September 19, 2011 14,962,652 14,962,652 10,000,000 1.15% due July 25, 2011 9,992,449 9,992,449 15,000,000 1.43% due October 17, 2011 14,937,438 14,937,438 15,000,000 1.17% due August 03, 2011 14,984,125 14,984,125 10,000,000 4.35% due November 01, 2011 10,091,096 10,091,096 5,000,000 1.15% due August 08, 2011 4,994,029 4,994,029 5,000,000 1.56% due May 25, 2012 4,930,763 4,930,763 10,000,000 1.42% due August 12, 2011 9,983,892 9,983,892 Canadian Master Trust 13,000,000 1.11% due August 29, 2011 12,976,804 12,976,804 9,400,000 1.34% due July 05, 2011 9,398,629 9,398,629 5,000,000 1.13% due September 02, 2011 4,990,264 4,990,264 12,000,000 1.08% due July 11, 2011 11,996,439 11,996,439 15,000,000 1.13% due September 19, 2011 14,962,945 14,962,945 9,900,000 1.08% due July 14, 2011 9,896,181 9,896,181 10,000,000 1.32% due November 14, 2011 9,951,116 9,951,116 20,000,000 1.08% due July 15, 2011 19,991,749 19,991,749 35,000,000 1.37% due November 29, 2011 34,803,285 34,803,285 4,000,000 1.08% due July 22, 2011 3,997,524 3,997,524 10,000,000 1.28% due December 07, 2011 9,944,570 9,944,570 17,000,000 1.18% due July 27, 2011 16,985,747 16,985,747 10,000,000 1.57% due January 17, 2012 9,915,304 9,915,304 10,600,000 1.18% due August 10, 2011 10,586,338 10,586,338 22,000,000 Floating Rate due May 10, 2012 22,000,000 22,000,000 17,400,000 1.35% due September 06, 2011 17,357,189 17,357,189 The Bank of Nova Scotia 5,000,000 1.35% due September 19, 2011 4,985,296 4,985,296 14,000,000 1.16% due July 04, 2011 13,998,669 13,998,669 4,500,000 1.35% due October 12, 2011 4,482,979 4,482,979 10,000,000 1.16% due July 07, 2011 9,998,100 9,998,100 3,900,000 1.35% due November 08, 2011 3,881,364 3,881,364 5,000,000 1.17% due July 12, 2011 4,998,242 4,998,242 Diversified Trust 10,000,000 1.17% due July 13, 2011 9,996,165 9,996,165 23,200,000 1.24% due July 05, 2011 23,196,860 23,196,860 5,000,000 1.09% due July 28, 2011 4,995,974 4,995,974 10,000,000 1.34% due July 18, 2011 9,993,804 9,993,804 5,000,000 1.06% due July 29, 2011 4,995,935 4,995,935 20,380,000 1.34% due July 20, 2011 20,365,917 20,365,917 10,000,000 1.18% due August 05, 2011 9,988,731 9,988,731 16,000,000 1.32% due July 22, 2011 15,987,915 15,987,915 25,000,000 1.18% due August 09, 2011 24,968,524 24,968,524 10,200,000 1.18% due August 05, 2011 10,188,501 10,188,501 18,000,000 1.18% due August 15, 2011 17,973,859 17,973,859 15,400,000 1.35% due August 29, 2011 15,366,618 15,366,618 5,000,000 1.17% due September 01, 2011 4,990,080 4,990,080 10,000,000 1.16% due September 08, 2011 9,978,113 9,978,113 15,000,000 1.16% due September 12, 2011 14,965,325 14,965,325

12 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Premium Money Market Fund MONEYMARKETFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

$$15,500,000 1.35% due September 07, 2011 15,461,295$ 15,461,295 Ridge Trust 15,000,000 1.16% due September 08, 2011 14,967,244 14,967,244 $$13,200,000 1.22% due July 13, 2011 13,194,734$ 13,194,734 15,000,000 1.35% due September 26, 2011 14,952,054 14,952,054 8,100,000 1.08% due July 15, 2011 8,096,661 8,096,661 9,500,000 1.23% due September 27, 2011 9,471,924 9,471,924 8,000,000 1.18% due July 20, 2011 7,995,102 7,995,102 13,000,000 1.35% due October 11, 2011 12,951,306 12,951,306 4,900,000 1.08% due July 21, 2011 4,897,116 4,897,116 23,000,000 1.21% due October 19, 2011 22,916,510 22,916,510 12,000,000 1.08% due July 22, 2011 11,992,524 11,992,524 15,000,000 1.35% due November 07, 2011 14,928,873 14,928,873 3,900,000 1.18% due July 26, 2011 3,896,858 3,896,858 15,100,000 1.34% due November 17, 2011 15,023,466 15,023,466 21,400,000 1.32% due August 02, 2011 21,375,408 21,375,408 5,200,000 1.29% due December 19, 2011 5,168,754 5,168,754 5,700,000 1.35% due August 04, 2011 5,692,879 5,692,879 10,400,000 1.25% due December 23, 2011 10,338,079 10,338,079 11,000,000 1.11% due August 10, 2011 10,986,686 10,986,686 GE Capital Canada Funding Company 22,300,000 1.12% due August 12, 2011 22,271,256 22,271,256 10,000,000 1.15% due July 11, 2011 9,996,856 9,996,856 8,500,000 1.12% due August 15, 2011 8,488,270 8,488,270 10,000,000 1.18% due July 26, 2011 9,991,944 9,991,944 3,400,000 1.16% due September 07, 2011 3,392,683 3,392,683 20,000,000 1.06% due July 28, 2011 19,984,340 19,984,340 14,750,000 1.31% due October 11, 2011 14,696,175 14,696,175 15,000,000 1.16% due August 05, 2011 14,983,347 14,983,347 Royal Bank of Canada 15,000,000 1.16% due August 08, 2011 14,981,940 14,981,940 10,000,000 4.92% due July 06, 2011 10,005,636 10,005,636 8,200,000 1.15% due August 24, 2011 8,186,092 8,186,092 10,000,000 1.01% due July 08, 2011 9,998,064 9,998,064 12,500,000 1.14% due September 15, 2011 12,470,408 12,470,408 5,000,000 1.15% due July 08, 2011 4,998,901 4,998,901 HSBC Bank Canada 15,000,000 1.15% due July 11, 2011 14,995,281 14,995,281 10,000,000 1.16% due July 06, 2011 9,998,413 9,998,413 7,500,000 Floating Rate due July 17, 2011 7,503,058 7,503,058 15,000,000 1.17% due July 15, 2011 14,993,289 14,993,289 30,000,000 1.15% due July 19, 2011 29,983,037 29,983,037 15,000,000 1.18% due August 02, 2011 14,984,504 14,984,504 35,000,000 1.15% due July 29, 2011 34,969,312 34,969,312 8,000,000 1.18% due August 11, 2011 7,989,427 7,989,427 3,200,000 1.10% due August 16, 2011 3,195,565 3,195,565 10,000,000 1.22% due September 01, 2011 9,979,385 9,979,385 5,000,000 1.15% due August 16, 2011 4,992,771 4,992,771 15,000,000 1.15% due September 14, 2011 14,964,625 14,964,625 3,000,000 1.12% due August 30, 2011 2,994,500 2,994,500 10,000,000 1.31% due September 21, 2011 9,970,753 9,970,753 1,800,000 1.12% due September 08, 2011 1,796,202 1,796,202 5,000,000 1.32% due November 16, 2011 4,975,198 4,975,198 20,000,000 1.33% due October 03, 2011 19,931,902 19,931,902 15,000,000 1.30% due November 30, 2011 14,919,255 14,919,255 30,000,000 1.32% due November 15, 2011 29,852,499 29,852,499 5,000,000 1.59% due April 05, 2012 4,940,187 4,940,187 National Bank of Canada 5,000,000 4.53% due May 07, 2012 5,124,756 5,124,756 6,800,000 1.15% due July 06, 2011 6,798,931 6,798,931 8,800,000 1.16% due July 11, 2011 8,797,212 8,797,212 SAFE Trust 10,000,000 1.15% due July 15, 2011 9,995,600 9,995,600 6,000,000 1.06% due July 04, 2011 5,999,478 5,999,478 3,600,000 1.06% due July 21, 2011 3,597,910 3,597,910 17,000,000 1.18% due July 07, 2011 16,996,716 16,996,716 15,000,000 1.07% due July 29, 2011 14,987,690 14,987,690 32,000,000 1.18% due July 25, 2011 31,975,272 31,975,272 10,000,000 1.15% due August 04, 2011 9,989,314 9,989,314 9,000,000 1.18% due August 05, 2011 8,989,858 8,989,858 35,000,000 1.14% due September 09, 2011 34,923,633 34,923,633 12,000,000 1.18% due August 09, 2011 11,984,908 11,984,908 5,000,000 1.14% due September 26, 2011 4,986,472 4,986,472 5,000,000 1.17% due September 14, 2011 4,988,000 4,988,000 1,800,000 1.14% due September 29, 2011 1,794,962 1,794,962 10,000,000 1.16% due September 20, 2011 9,974,319 9,974,319 2,500,000 1.14% due September 30, 2011 2,492,903 2,492,903 5,000,000 1.35% due October 05, 2011 4,982,373 4,982,373 7,500,000 1.59% due February 29, 2012 7,421,828 7,421,828 SOUND Trust OMERS Finance Trust 4,000,000 1.18% due July 19, 2011 3,997,680 3,997,680 17,700,000 1.17% due July 05, 2011 17,697,737 17,697,737 8,000,000 1.18% due July 26, 2011 7,993,551 7,993,551 10,000,000 1.17% due August 02, 2011 9,989,767 9,989,767 8,000,000 1.18% due August 08, 2011 7,990,189 7,990,189 17,000,000 1.17% due August 04, 2011 16,981,508 16,981,508 18,000,000 1.18% due August 24, 2011 17,968,656 17,968,656 10,000,000 1.17% due August 12, 2011 9,986,569 9,986,569 7,000,000 1.18% due August 30, 2011 6,986,467 6,986,467 9,800,000 1.16% due August 18, 2011 9,785,113 9,785,113 8,000,000 1.17% due September 07, 2011 7,982,592 7,982,592 10,000,000 1.16% due August 23, 2011 9,983,217 9,983,217 2,700,000 1.16% due September 28, 2011 2,692,391 2,692,391 13,600,000 1.15% due September 08, 2011 13,570,545 13,570,545 Storm King Funding 26,900,000 1.15% due September 12, 2011 26,838,253 26,838,253 5,000,000 1.18% due July 06, 2011 4,999,194 4,999,194 Plaza Trust 6,200,000 1.18% due July 08, 2011 6,198,603 6,198,603 21,300,000 1.10% due July 04, 2011 21,298,075 21,298,075 2,150,000 1.18% due July 11, 2011 2,149,307 2,149,307 5,500,000 1.18% due July 08, 2011 5,498,758 5,498,758 3,500,000 1.07% due July 18, 2011 3,498,265 3,498,265 11,000,000 1.18% due July 13, 2011 10,995,739 10,995,739 22,900,000 1.19% due July 21, 2011 22,885,124 22,885,124 13,000,000 1.17% due July 18, 2011 12,992,918 12,992,918 12,000,000 1.05% due July 25, 2011 11,991,692 11,991,692 6,800,000 1.19% due July 20, 2011 6,795,793 6,795,793 14,000,000 1.18% due July 26, 2011 13,988,705 13,988,705 5,000,000 1.05% due July 25, 2011 4,996,538 4,996,538 3,000,000 1.09% due August 11, 2011 2,996,331 2,996,331 4,300,000 1.17% due August 08, 2011 4,294,786 4,294,786 11,500,000 1.17% due August 16, 2011 11,483,108 11,483,108 10,700,000 1.17% due August 10, 2011 10,686,342 10,686,342 14,100,000 1.16% due August 19, 2011 14,078,135 14,078,135 15,100,000 1.06% due August 11, 2011 15,081,977 15,081,977 4,000,000 1.08% due August 22, 2011 3,993,871 3,993,871 9,700,000 1.16% due August 15, 2011 9,686,222 9,686,222 9,000,000 1.15% due September 09, 2011 8,980,231 8,980,231 5,000,000 1.17% due August 17, 2011 4,992,480 4,992,480 7,000,000 1.15% due September 16, 2011 6,983,068 6,983,068 11,900,000 1.12% due August 22, 2011 11,881,131 11,881,131 15,300,000 1.15% due September 20, 2011 15,261,011 15,261,011 7,000,000 1.15% due September 16, 2011 6,983,060 6,983,060 5,000,000 1.15% due September 21, 2011 4,987,114 4,987,114 7,500,000 1.14% due September 26, 2011 7,479,684 7,479,684 6,900,000 1.14% due September 26, 2011 6,881,309 6,881,309

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 13 TD Premium Money Market Fund MONEYMARKETFUNDS

Par Value Description Cost FairValue

SUMMIT Trust Credit Risk (Note 11) $$12,500,000 1.34% due July 12, 2011 12,494,989$ 12,494,989 The table below summarizes the debt instruments by credit ratings as at June 30, 2011 and 10,500,000 1.22% due July 18, 2011 10,494,064 10,494,064 December 31, 2010. 32,000,000 1.35% due August 03, 2011 31,961,221 31,961,221 Percentage of Total Percentage of 21,000,000 1.18% due August 18, 2011 20,967,520 20,967,520 Debt Instruments (%) Total Net Assets (%) 5,000,000 1.25% due August 26, 2011 4,990,447 4,990,447 Credit Rating° 2011 2010 2011 2010 6,400,000 1.35%dueSeptember06,2011 6,384,237 6,384,237 13,450,000 1.16%dueSeptember13,2011 13,418,476 13,418,476 R-1 High 85.45 79.18 85.35 79.04 12,000,000 1.16%dueSeptember21,2011 11,968,822 11,968,822 R-1 Mid 14.55 20.82 14.54 20.78 8,000,000 1.16%dueSeptember27,2011 7,977,693 7,977,693 Total 100.00 100.00 99.89 99.82 30,000,000 1.35%dueNovember08,2011 29,856,643 29,856,643 14,300,000 1.35%dueNovember17,2011 14,226,974 14,226,974 ° Credit ratings are obtained from Standard & Poor’s, Moody’s or DBRS rating agencies. 13,400,000 1.34%dueNovember18,2011 13,331,690 13,331,690 Financial Instruments by the Level in the 27,000,000 1.29%dueDecember08,2011 26,848,203 26,848,203 Fair Value Hierarchy (in 000s) (Note 11) 8,000,000 1.29%dueDecember14,2011 7,953,372 7,953,372 The table below illustrates the classification of the Fund’s financial instruments within the Wells Fargo Financial Canada Corporation fair value hierarchy as at June 30, 2011 and December 31, 2010: 2,618,000 4.45%dueSeptember13,2011 2,632,975 2,632,975 2,552,069,080 2,552,069,080 Level1 Level2 Level3 Total

TOTALINVESTMENT June 30, 2011 PORTFOLIO – 99.9% 2,721,489,445 2,721,489,445 Short-Term Investments $0$2,721,489 $0$2,721,489 OTHER NET ASSETS – 0.1% 3,095,413 3,095,413 December 31, 2010 Short-Term Investments $0$3,119,210 $0$3,119,210 TOTAL NET ASSETS – 100.0% $ 2,724,584,858 $ 2,724,584,858

During the periods, transfers between Level 1 and Level 2 were nil.

Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) The table below summarizes cash flows associated with the maturities of the Fund’s financial liabilities as at June 30, 2011 and December 31, 2010:

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 5,863 $ 5,338

14 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. MONEYMARKETFUNDS TD U.S. Money Market Fund (expressed in United States dollars) Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Short-Term Investments $ 735,202 $ 735,098 Interest $ 942 $ 1,091 Cash 92 118 Expenses (Note 5) Interest Receivable 3 841 Management Fees 3,203 2,963 Subscriptions Receivable 6,487 7,734 Independent Review Committee Fees 22 741,784 743,791 Bank Charges and Interest 10 Liabilities 3,206 2,965 Accrued Liabilities 86 142 Less: Waived Expenses (2,472) (2,077) Redemptions Payable 1,225 4,737 734 888 Distributions Payable 77 Net Investment Income (Loss) 208 203 1,318 4,886 Increase (Decrease) in Net Assets Net Assets (Note 3) $ 740,466 $ 738,905 from Investment Operations† $ 208 $ 203

Net Assets Representing Unitholders’ Equity (Note 4) †Increase (Decrease) in Net Assets from Investment Operations Investor Series $ 544,450 $ 506,019 Investor Series $ 148 $ 126 Premium Series $ 196,016 $ 232,876 Premium Series $ 60 $ 77 O-Series N/A $ 10 O-Series N/A $0 $ 740,466 $ 738,905 $ 208 $ 203 Number of Units Outstanding Investor Series 54,445,035 50,601,894 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Premium Series 19,601,614 23,287,608 Investor Series $ 0.00 $ 0.00 O-Series N/A 1,020 Premium Series $ 0.00 $ 0.00 Net Assets Per Unit (Note 3) O-Series N/A $ 0.01 Investor Series $ 10.00 $ 10.00 Premium Series $ 10.00 $ 10.00 O-Series N/A $ 10.00

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 15 MONEYMARKETFUNDS TD U.S. Money Market Fund (expressed in United States dollars) Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Premium Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 506,019 $ 479,357 $ 232,876 $ 328,492 Increase (Decrease) in Net Assets from Investment Operations 148 126 60 77 Capital Unit Transactions† Proceeds from Sale of Units 727,701 513,483 66,852 133,185 Reinvestments of Distributions 147 125 58 75 Amounts Paid on Redemptions (689,417) (508,389) (103,770) (203,321) 38,431 5,219 (36,860) (70,061) Distributions to Unitholders (148) (126) (60) (77) Increase (Decrease) in Net Assets for the Period 38,431 5,219 (36,860) (70,061) Net Assets, End of the Period $ 544,450 $ 484,576 $ 196,016 $ 258,431 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 50,601,894 47,935,744 23,287,608 32,849,160 Units Issued 72,770,124 51,348,277 6,685,228 13,318,548 Units Issued on Reinvestments 14,668 12,447 5,809 7,506 Units Redeemed (68,941,651) (50,838,855) (10,377,031) (20,332,151) Units Outstanding, End of the Period 54,445,035 48,457,613 19,601,614 25,843,063

O-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 10$ 10 $ 738,905$ 807,859 Increase (Decrease) in Net Assets from Investment Operations 00 208 203 Capital Unit Transactions† Proceeds from Sale of Units 00794,553 646,668 Reinvestments of Distributions 00 205 200 Amounts Paid on Redemptions (10) 0 (793,197) (711,710) (10) 0 1,561 (64,842) Distributions to Unitholders 00 (208) (203) Increase (Decrease) in Net Assets for the Period (10) 0 1,561 (64,842) Net Assets, End of the Period $0$10 $ 740,466 $ 743,017 †Capital Unit Transactions Units Outstanding, Beginning of the Period 1,020 1,017 Units Issued 00 Units Issued on Reinvestments 02 Units Redeemed (1,020) 0 Units Outstanding, End of the Period 0 1,019

16 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. MONEYMARKETFUNDS

TD U.S. Money Market Fund (expressed in United States dollars) Par Value Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) Caisse centrale Desjardins $$6,000,000 0.23% due July 05, 2011 5,999,846$ 5,999,846 Par Value Description Cost FairValue 6,000,000 0.19% due July 22, 2011 5,999,334 5,999,334 3,000,000 0.17% due August 03, 2011 2,999,537 2,999,537 Short-Term Investments – 99.3% 4,700,000 0.16% due August 08, 2011 4,699,215 4,699,215 FEDERAL – 1.4% 6,000,000 0.15% due September 02, 2011 5,998,411 5,998,411 Government of Canada 5,000,000 0.14% due September 08, 2011 4,998,658 4,998,658 $ 10,000,000 0.16% due July 07, 2011 $ 9,999,733 $ 9,999,733 5,000,000 0.15% due September 20, 2011 4,998,327 4,998,327 Canadian Imperial Bank of Commerce PROVINCIAL – 16.0% Province of Ontario 5,000,000 0.19% due July 11, 2011 4,999,739 4,999,739 13,700,000 0.14% due July 05, 2011 13,699,785 13,699,785 10,000,000 0.11% due July 15, 2011 9,999,573 9,999,573 3,500,000 0.08% due July 14, 2011 3,499,899 3,499,899 13,000,000 0.12% due July 19, 2011 12,999,233 12,999,233 9,500,000 0.10% due August 11, 2011 9,498,918 9,498,918 5,000,000 0.17% due July 21, 2011 4,999,527 4,999,527 3,854,000 0.10% due August 15, 2011 3,853,518 3,853,518 5,000,000 0.17% due July 22, 2011 4,999,499 4,999,499 5,000,000 0.10% due September 07, 2011 4,999,056 4,999,056 5,000,000 0.10% due August 22, 2011 4,999,295 4,999,295 5,000,000 0.10% due September 13, 2011 4,998,972 4,998,972 10,000,000 0.13% due September 01, 2011 9,997,791 9,997,791 6,000,000 0.10% due September 30, 2011 5,998,484 5,998,484 7,000,000 0.20% due December 19, 2011 6,993,350 6,993,350 Province of Ontario Treasury Bill Canadian Master Trust 10,000,000 0.13% due July 29, 2011 9,998,989 9,998,989 14,700,000 0.21% due July 20, 2011 14,698,373 14,698,373 7,500,000 0.10% due August 03, 2011 7,499,313 7,499,313 5,200,000 0.28% due July 21, 2011 5,199,192 5,199,192 10,125,000 0.20% due August 10, 2011 10,122,793 10,122,793 Province of Quebec 1,400,000 0.18% due August 12, 2011 1,399,712 1,399,712 5,000,000 0.13% due July 29, 2011 4,999,494 4,999,494 9,500,000 0.13% due August 02, 2011 9,498,938 9,498,938 Diversified Trust 10,000,000 0.20% due August 12, 2011 9,997,667 9,997,667 6,200,000 0.30% due July 06, 2011 6,199,745 6,199,745 1,000,000 0.13% due August 24, 2011 999,805 999,805 11,000,000 0.29% due July 08, 2011 10,999,379 10,999,379 7,000,000 0.14% due August 25, 2011 6,998,503 6,998,503 1,000,000 0.20% due July 11, 2011 999,944 999,944 7,000,000 0.14% due August 31, 2011 6,998,339 6,998,339 5,100,000 0.30% due July 18, 2011 5,099,279 5,099,279 5,000,000 0.12% due October 03, 2011 4,998,434 4,998,434 11,400,000 0.27% due July 28, 2011 11,397,739 11,397,739 10,000,000 0.15% due October 13, 2011 9,995,811 9,995,811 9,600,000 0.27% due August 26, 2011 9,596,005 9,596,005 5,300,000 0.25% due August 30, 2011 5,297,798 5,297,798 118,533,925 118,533,925 8,400,000 0.23% due September 12, 2011 8,396,092 8,396,092 CORPORATE – 81.9% 3,000,000 0.23% due September 19, 2011 2,998,480 2,998,480 Bank of Montreal General Electric Capital Corporation 9,000,000 0.11% due July 05, 2011 8,999,890 8,999,890 10,000,000 0.13% due July 12, 2011 9,999,603 9,999,603 4,000,000 0.12% due July 07, 2011 3,999,919 3,999,919 10,050,000 0.13% due July 26, 2011 10,049,093 10,049,093 8,000,000 0.09% due July 11, 2011 7,999,793 7,999,793 8,000,000 0.13% due August 05, 2011 7,998,989 7,998,989 13,000,000 0.10% due July 12, 2011 12,999,594 12,999,594 4,000,000 0.16% due September 07, 2011 3,998,791 3,998,791 12,000,000 0.10% due July 13, 2011 11,999,609 11,999,609 HSBC Bank Canada 8,000,000 0.12% due August 02, 2011 7,999,136 7,999,136 6,000,000 0.15% due July 11, 2011 5,999,748 5,999,748 4,000,000 0.13% due August 15, 2011 3,999,340 3,999,340 10,000,000 0.12% due August 16, 2011 9,998,442 9,998,442 4,000,000 0.15% due September 15, 2011 3,998,731 3,998,731 5,000,000 0.15% due August 23, 2011 4,998,911 4,998,911 The Bank of Nova Scotia National Bank of Canada 10,000,000 0.21% due July 06, 2011 9,999,708 9,999,708 5,000,000 0.12% due July 05, 2011 4,999,935 4,999,935 5,000,000 0.18% due July 18, 2011 4,999,575 4,999,575 5,000,000 0.13% due July 20, 2011 4,999,655 4,999,655 7,000,000 0.18% due July 26, 2011 6,999,125 6,999,125 5,000,000 0.13% due August 03, 2011 4,999,415 4,999,415 5,000,000 0.18% due July 27, 2011 4,999,350 4,999,350 3,000,000 0.10% due August 04, 2011 2,999,717 2,999,717 5,000,000 0.15% due August 15, 2011 4,999,063 4,999,063 7,000,000 0.13% due August 17, 2011 6,998,813 6,998,813 1,500,000 0.17% due August 17, 2011 1,499,667 1,499,667 5,000,000 0.14% due August 24, 2011 4,998,938 4,998,938 8,000,000 0.17% due August 23, 2011 7,997,999 7,997,999 5,000,000 0.14% due September 21, 2011 4,998,406 4,998,406 7,000,000 0.16% due September 27, 2011 6,997,263 6,997,263 5,000,000 Floating Rate due June 01, 2012 5,000,000 5,000,000 13,000,000 FloatingRatedueJune18,2012 13,000,000 13,000,000 Plaza Trust Bay Street Funding Trust 4,600,000 0.19% due July 21, 2011 4,599,509 4,599,509 2,700,000 0.25% due July 13, 2011 2,699,774 2,699,774 10,000,000 0.27% due July 15, 2011 9,998,950 9,998,950 Ridge Trust 10,700,000 0.25% due July 21, 2011 10,698,537 10,698,537 1,700,000 0.16% due July 06, 2011 1,699,963 1,699,963 5,000,000 0.25% due July 25, 2011 4,999,164 4,999,164 13,700,000 0.16% due July 08, 2011 13,699,570 13,699,570 5,500,000 0.25% due August 09, 2011 5,498,503 5,498,503 11,000,000 0.13% due August 16, 2011 10,998,208 10,998,208 1,500,000 0.26% due August 19, 2011 1,499,468 1,499,468 7,500,000 0.23% due September 01, 2011 7,497,029 7,497,029

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 17 TD U.S. Money Market Fund MONEYMARKETFUNDS

Par Value Description Cost FairValue

Royal Bank of Canada Credit Risk (Note 11) $$22,500,000 0.01% due July 05, 2011 22,500,000$ 22,500,000 The table below summarizes the debt instruments by credit ratings as at June 30, 2011 and 15,000,000 0.18% due July 25, 2011 14,998,220 14,998,220 December 31, 2010. 7,000,000 0.08% due August 29, 2011 6,999,082 6,999,082 Percentage of Total Percentage of 7,000,000 0.09% due September 26, 2011 6,998,461 6,998,461 Debt Instruments (%) Total Net Assets (%) 5,000,000 0.19% due December 16, 2011 4,995,586 4,995,586 Credit Rating° 2011 2010 2011 2010 SAFE Trust R-1 High 86.13 58.67 85.52 58.37 500,000 0.21% due August 08, 2011 499,888 499,888 R-1 Mid 13.87 34.12 13.77 33.94 4,000,000 0.26% due September 02, 2011 3,998,239 3,998,239 AA 0.00 5.85 0.00 5.82 SOUND Trust No Rating 0.00 1.36 0.00 1.35 3,700,000 0.29% due August 25, 2011 3,698,359 3,698,359 Total 100.00 100.00 99.29 99.48 Storm King Funding 3,000,000 0.19% due July 22, 2011 2,999,665 2,999,665 ° Credit ratings are obtained from Standard & Poor’s, Moody’s or DBRS rating agencies. SUMMIT Trust Financial Instruments by the Level in the 3,000,000 0.28% due July 18, 2011 2,999,603 2,999,603 Fair Value Hierarchy (in 000s) (Note 11) 10,000,000 0.27% due July 27, 2011 9,998,064 9,998,064 The table below illustrates the classification of the Fund’s financial instruments within the 10,100,000 0.27% due July 29, 2011 10,097,887 10,097,887 fair value hierarchy as at June 30, 2011 and December 31, 2010: 6,200,000 0.23% due August 04, 2011 6,198,654 6,198,654 6,300,000 0.28% due August 22, 2011 6,297,452 6,297,452 Level1 Level2 Level3 Total 11,900,000 0.23% due September 06, 2011 11,894,918 11,894,918 5,000,000 0.24% due September 14, 2011 4,997,515 4,997,515 June 30, 2011 8,000,000 0.21% due September 28, 2011 7,995,886 7,995,886 Short-Term Investments $0$735,202 $0$735,202 606,668,238 606,668,238 December 31, 2010 TOTALINVESTMENT Short-Term Investments $0$735,098 $0$735,098 PORTFOLIO – 99.3% 735,201,896 735,201,896 OTHER NET ASSETS – 0.7% 5,264,593 5,264,593 During the periods, transfers between Level 1 and Level 2 were nil. Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) TOTAL NET ASSETS – 100.0% $ 740,466,489 $ 740,466,489 The table below summarizes cash flows associated with the maturities of the Fund’s financial liabilities as at June 30, 2011 and December 31, 2010:

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 1,318 $ 4,886

18 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. FIXEDINCOMEFUNDS TD Ultra Short Term Bond Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Short-Term Investments $ 229,731 $ 125,274 Interest $ 2,738 N/A Cash 3 172 Expenses (Note 5) Interest Receivable 1,660 1,092 Management Fees 1,025 N/A Subscriptions Receivable 3,502 1,100 Independent Review Committee Fees 0 N/A 234,896 127,638 1,025 N/A Liabilities Less: Waived Expenses (580) N/A Accrued Liabilities 106 56 445 N/A Redemptions Payable 1,460 86 Net Investment Income (Loss) 2,293 N/A Distributions Payable 63 0 Payable for Investment Purchases 1,555 0 Net Realized Gain (Loss) on Sale of Investments (389) N/A 3,184 142 Net Change in Unrealized Appreciation/ Net Assets (Note 3) $ 231,712 $ 127,496 Depreciation of Investments (669) N/A Net Assets Representing Unitholders’ Equity (Note 4) Net Gain (Loss) on Investments (1,058) N/A Investor Series $ 31,783 $ 31,181 Increase (Decrease) in Net Assets Advisor Series $ 169,501 $ 78,716 from Investment Operations† $ 1,235 N/A F-Series $ 30,428 $ 17,599 †Increase (Decrease) in Net Assets from Investment Operations $ 231,712 $ 127,496 Investor Series $ 223 N/A Number of Units Outstanding Advisor Series $ 821 N/A Investor Series 3,214,932 3,131,360 F-Series $ 191 N/A Advisor Series 17,104,526 7,894,718 $ 1,235 N/A F-Series 3,071,488 1,765,565 Increase (Decrease) in Net Assets from Investment Operations – Net Assets Per Unit (Note 3) Per Unit (Note 3) Investor Series $ 9.89 $ 9.96 Investor Series $ 0.08 N/A Advisor Series $ 9.91 $ 9.97 Advisor Series $ 0.08 N/A F-Series $ 9.91 $ 9.97 F-Series $ 0.09 N/A

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 19 FIXEDINCOMEFUNDS TD Ultra Short Term Bond Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Advisor Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 31,181 N/A $ 78,716 N/A Increase (Decrease) in Net Assets from Investment Operations 223 N/A 821 N/A Capital Unit Transactions† Proceeds from Sale of Units 16,854 N/A 129,697 N/A Reinvestments of Distributions 418 N/A 1,354 N/A Early Redemption Fees 3 N/A 9 N/A Amounts Paid on Redemptions (16,464) N/A (39,540) N/A 811 N/A 91,520 N/A Distributions to Unitholders From Net Investment Income (432) N/A (1,556) N/A Increase (Decrease) in Net Assets for the Period 602 N/A 90,785 N/A Net Assets, End of the Period $ 31,783 N/A $ 169,501 N/A †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 3,131,360 N/A 7,894,718 N/A Units Issued 1,696,030 N/A 13,046,237 N/A Units Issued on Reinvestments 42,152 N/A 136,232 N/A Units Redeemed (1,654,610) N/A (3,972,661) N/A Units Outstanding, End of the Period 3,214,932 N/A 17,104,526 N/A

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 17,599 N/A $ 127,496 N/A Increase (Decrease) in Net Assets from Investment Operations 191 N/A 1,235 N/A Capital Unit Transactions† Proceeds from Sale of Units 22,669 N/A 169,220 N/A Reinvestments of Distributions 295 N/A 2,067 N/A Early Redemption Fees 2 N/A 14 N/A Amounts Paid on Redemptions (9,964) N/A (65,968) N/A 13,002 N/A 105,333 N/A Distributions to Unitholders From Net Investment Income (364) N/A (2,352) N/A Increase (Decrease) in Net Assets for the Period 12,829 N/A 104,216 N/A Net Assets, End of the Period $ 30,428 N/A $ 231,712 N/A †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 1,765,565 N/A Units Issued 2,277,652 N/A Units Issued on Reinvestments 29,675 N/A Units Redeemed (1,001,404) N/A Units Outstanding, End of the Period 3,071,488 N/A

20 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. FIXEDINCOMEFUNDS

TD Ultra Short Term Bond Fund Par Value Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) Canadian Imperial Bank of Commerce $$3,500,000 4.35% due November 01, 2011 3,589,302$ 3,533,994 Par Value Description Cost FairValue 2,000,000 1.60% due February 16, 2012 1,980,131 1,983,420 1,600,000 1.52% due March 30, 2012 1,582,081 1,583,536 Short-Term Investments – 99.1% 5,000,000 5.00% due September 10, 2012 5,241,483 5,190,421 FEDERAL – 15.8% 1,400,000 3.05% due June 03, 2013 1,432,270 1,425,648 Government of Canada Caterpillar Financial Services Limited $ 1,000,000 1.25%dueDecember01,2011 $ 999,100 $ 1,000,816 5,000,000 4.94% due June 01, 2012 5,200,395 5,144,224 2,100,000 1.50% due December 01, 2012 2,098,656 2,102,100 2,000,000 5.20% due June 03, 2013 2,122,000 2,112,578 Government of Canada Treasury Bill Diversified Trust 950,000 1.74% due November 24, 2011 943,480 946,162 2,500,000 1.35% due October 18, 2011 2,489,988 2,491,150 4,000,000 1.66% due December 22, 2011 3,968,790 3,980,120 700,000 1.35% due November 07, 2011 696,681 696,997 3,400,000 1.44% due January 19, 2012 3,373,258 3,379,974 900,000 1.35% due November 08, 2011 895,703 896,103 3,800,000 1.34% due February 16, 2012 3,768,307 3,773,818 1,300,000 1.35% due November 17, 2011 1,293,380 1,293,916 4,000,000 1.38% due March 15, 2012 3,961,610 3,967,960 1,000,000 1.29% due December 05, 2011 994,483 994,610 4,000,000 1.74% due April 12, 2012 3,946,285 3,963,720 Enbridge Pipelines Inc. 7,000,000 1.36% due May 10, 2012 6,919,225 6,928,250 4,401,000 Callable 4.46% due December 17, 2012 4,597,111 4,562,750 6,750,000 1.23% due June 07, 2012 6,673,339 6,673,050 EnCana Corporation 36,652,050 36,715,970 2,270,000 4.30% due March 12, 2012 2,328,985 2,312,599 PROVINCIAL & GUARANTEES – 8.6% Finning International Inc. Financement-Quebec 1,399,000 Callable 4.64% due December 14, 2011 1,432,148 1,417,323 5,200,000 5.25% due December 01, 2011 5,356,355 5,285,563 First Capital Realty Inc. Province of Ontario 900,000 Callable5.49%dueDecember01,2011 920,380 912,318 4,900,000 4.40% due December 02, 2011 5,025,868 4,965,131 GE Capital Canada Funding Company 3,500,000 4.50% due December 02, 2012 3,654,525 3,643,715 3,500,000 6.25% due July 24, 2012 3,712,712 3,662,512 1,900,000 5.375% due December 02, 2012 2,005,051 2,001,066 3,500,000 5.29% due August 17, 2012 3,644,400 3,633,830 Province of Ontario Treasury Bill 2,300,000 4.375% due September 28, 2012 2,371,370 2,367,891 2,000,000 1.73% due December 14, 2011 1,984,482 1,989,880 Glacier Credit Card Trust Province of Quebec Treasury Bill 2,087,000 4.271% due November 18, 2011 2,130,975 2,108,753 2,000,000 1.26% due May 25, 2012 1,977,644 1,976,820 1,000,000 5.027% due February 20, 2013 1,047,900 1,046,291 20,003,925 19,862,175 Honda Canada Finance Inc. 900,000 4.696% due August 25, 2011 921,190 904,145 CORPORATE – 74.7% Bank of Montreal 2,200,000 5.675% due September 26, 2012 2,334,950 2,295,403 600,000 1.30% due November 29, 2011 596,794 596,952 HSBC Bank Canada 6,500,000 Callable 5.04% due September 04, 2012 6,804,305 6,748,364 1,000,000 1.38% due January 12, 2012 992,671 993,190 5,000,000 Callable4.65%dueMarch14,2013 5,242,620 5,224,115 Hydro One Inc. The Bank of Nova Scotia 3,000,000 Callable 6.40% due December 01, 2011 3,118,120 3,060,395 700,000 1.32% due October 25, 2011 697,082 697,368 John Deere Credit Inc. 600,000 1.30% due December 01, 2011 596,752 596,904 2,540,000 4.80% due April 20, 2012 2,638,102 2,603,404 1,200,000 1.63% due December 09, 2011 1,191,507 1,193,424 5,000,000 5.30% due July 27, 2012 5,233,290 5,186,295 1,000,000 1.48% due March 23, 2012 989,386 990,030 Master Credit Card Trust 6,500,000 3.03% due June 04, 2012 6,601,170 6,586,717 3,500,000 4.444% due November 21, 2011 3,577,240 3,539,690 1,000,000 5.04% due April 08, 2013 1,052,760 1,053,079 2,400,000 5.297% due August 21, 2012 2,518,010 2,493,157 bcIMC Realty Corporation National Bank of Canada 3,570,000 Callable 5.25% due September 19, 2012 3,745,616 3,708,710 3,000,000 1.30% due November 08, 2011 2,986,208 2,987,160 Bell Aliant Regional Communications, 700,000 1.59% due February 29, 2012 692,728 693,798 Limited Partnership OMERS Realty Corporation 259,000 Callable4.72%dueSeptember26,2011 265,481 260,800 4,420,000 Callable 5.48% due December 31, 2012 4,673,180 4,653,522 Bell Canada Ridge Trust 1,300,000 Callable 6.90% due December 15, 2011 1,360,638 1,330,373 500,000 1.46% due August 04, 2011 499,325 499,480 BMW Canada Inc. 1,250,000 1.37% due October 25, 2011 1,244,595 1,245,088 3,000,000 3.22% due March 28, 2013 3,048,900 3,052,118 Caisse centrale Desjardins 2,000,000 1.59% due March 02, 2012 1,978,980 1,981,340 Canadian Capital Auto Receivables Asset Trust II 1,357,424 1.845% due April 17, 2013 1,358,268 1,358,890 Canadian Credit Card Trust 1,910,000 4.513% due April 24, 2012 1,974,036 1,952,819 2,000,000 5.365% due March 25, 2013 2,113,000 2,108,689

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 21 TD Ultra Short Term Bond Fund FIXEDINCOMEFUNDS

Par Value Description Cost FairValue

Royal Bank of Canada Credit Risk (Note 11) $$800,000 1.33% due December 01, 2011 795,571$ 795,872 The table below summarizes the debt instruments by credit ratings as at June 30, 2011 and 5,500,000 4.53% due May 07, 2012 5,680,784 5,637,497 December 31, 2010. 6,000,000 5.20% due August 15, 2012 6,293,288 6,234,069 Percentage of Total Percentage of Shaw Communications Inc. Debt Instruments (%) Total Net Assets (%) 2,000,000 Callable 6.10% due November 16, 2012 2,123,250 2,104,684 Credit Rating° 2011 2010 2011 2010 Shoppers Drug Mart Corporation R-1 High 27.02 2.08 26.79 2.04 1,965,000 4.80% due January 20, 2012 2,019,632 1,998,716 R-1 Mid 3.59 6.65 3.56 6.53 SOUND Trust AAA 9.74 28.85 9.65 28.35 2,000,000 1.30% due September 12, 2011 1,994,834 1,995,440 AA 39.44 36.73 39.11 36.09 SUMMIT Trust A 14.89 17.95 14.76 17.64 370,000 1.35% due September 07, 2011 369,076 369,216 BBB 5.32 7.74 5.27 7.61 500,000 1.35% due November 08, 2011 497,613 497,835 Total 100.00 100.00 99.14 98.26 1,400,000 1.35% due November 17, 2011 1,392,851 1,393,448 800,000 1.30% due November 18, 2011 796,039 796,232 ° Credit ratings are obtained from Standard & Poor’s, Moody’s or DBRS rating agencies. 4,500,000 1.29% due December 08, 2011 4,474,701 4,475,205 Interest Rate Risk (Note 11) TELUS Corporation The table below summarizes the Fund’s exposure to interest rate risk as at June 30, 2011 1,850,000 4.50% due March 15, 2012 1,901,950 1,887,289 and December 31, 2010 by remaining term to maturity. The table also illustrates the potential The Toronto-Dominion Bank* impact to the Fund’s net assets had the prevailing interest rates changed by 1%, assuming 6,000,000 5.141% due November 19, 2012 6,322,537 6,276,574 a parallel shift in the yield curve, with all other variables held constant. The Fund’s sensitivity 4,400,000 4.854% due February 13, 2013 4,639,255 4,610,548 to interest rate changes was estimated using the weighted average duration of the bond portfolio. In practice, the actual trading results may differ from these approximate sensitivity Toyota Credit Canada Inc. analysis amounts and the difference could be material. 3,029,000 5.05% due July 27, 2012 3,174,268 3,127,905 Total Exposure (000s) Wells Fargo Financial Canada Corporation Term to Maturity Bonds 2011 2010 1,600,000 4.45% due September 13, 2011 1,637,333 1,608,725 4,500,000 Callable6.05%dueAugust27,2012 4,755,102 4,707,506 Less than 1 year $ 128,369 $ 87,124 4,500,000 5.20% due September 13, 2012 4,687,194 4,669,393 1-5 years 101,362 38,150 174,306,060 173,152,437 Total $ 229,731 $ 125,274

TOTALINVESTMENT Impact on Net Assets (000s) $ 2,068 $ 1,040 PORTFOLIO – 99.1% 230,962,035 229,730,582 Impact on Net Assets (%) 0.89 0.82 OTHER NET ASSETS – 0.9% 1,981,716 1,981,716 Financial Instruments by the Level in the Fair Value Hierarchy TOTAL NET ASSETS – 100.0% $ 232,943,751 $ 231,712,298 (in 000s) (Note 11)

* Related party to the Fund as an affiliated entity of The table below illustrates the classification of the Fund’s financial instruments within the TD Asset Management Inc. fair value hierarchy as at June 30, 2011 and December 31, 2010:

Level1 Level2 Level3 Total June 30, 2011 Short-Term Investments $0$229,731 $0$229,731

December 31, 2010 Short-Term Investments $0$125,274 $0$125,274

During the periods, transfers between Level 1 and Level 2 were nil.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 3,184 $ 142

22 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. FIXEDINCOMEFUNDS TD Short Term Bond Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 3,022,495 $ 2,925,686 Interest $ 59,098 $ 52,627 Short-Term Investments 14,500 183,884 Securities Lending 140 140 Cash 126 119 59,238 52,767 Interest Receivable 23,757 24,382 Expenses (Note 5) Subscriptions Receivable 10,688 8,043 Management Fees 7,247 9,231 Receivable for Investment Sales 55,565 0 Independent Review Committee Fees 77 3,127,131 3,142,114 7,254 9,238 Liabilities Less: Waived Expenses (4) (2) Accrued Liabilities 1,123 1,388 7,250 9,236 Redemptions Payable 9,238 7,975 Distributions Payable 2,688 0 Net Investment Income (Loss) 51,988 43,531 Payable for Investment Purchases 65,976 0 Net Realized Gain (Loss) on 79,025 9,363 Sale of Investments 4,091 (922) Net Change in Unrealized Appreciation/ Net Assets (Note 3) $ 3,048,106 $ 3,132,751 Depreciation of Investments (6,495) 9,427 Net Assets Representing Unitholders’ Equity (Note 4) Net Gain (Loss) on Investments (2,404) 8,505 Investor Series $ 383,098 $ 448,048 Increase (Decrease) in Net Assets Institutional Series $ 9,408 $ 11,270 from Investment Operations† $ 49,584 $ 52,036 Premium Series $ 134,786 $ 178,326 Advisor Series $ 552,045 $ 660,400 †Increase (Decrease) in Net Assets from Investment Operations F-Series $ 90,444 $ 112,782 Investor Series $ 5,167 $ 7,615 O-Series $ 1,878,325 $ 1,721,925 Institutional Series $ 168 $ 6,988 $ 3,048,106 $ 3,132,751 Premium Series $ 2,028 N/A Advisor Series $ 6,911 $ 11,248 Number of Units Outstanding F-Series $ 1,575 $ 2,052 Investor Series 38,487,900 44,935,059 O-Series $ 33,735 $ 24,133 Institutional Series 919,261 1,098,936 $ 49,584 $ 52,036 Premium Series 13,641,075 18,009,660 Advisor Series 53,149,318 63,473,181 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) F-Series 8,707,285 10,836,379 Investor Series $ 0.13 $ 0.16 O-Series 183,231,892 167,708,110 Institutional Series $ 0.17 $ 0.21 Net Assets Per Unit (Note 3) Premium Series $ 0.13 N/A Investor Series $ 9.95 $ 9.97 Advisor Series $ 0.12 $ 0.15 F-Series $ 0.16 $ 0.18 Institutional Series $ 10.23 $ 10.26 O-Series $ 0.19 $ 0.24 Premium Series $ 9.88 $ 9.90 Advisor Series $ 10.39 $ 10.40 F-Series $ 10.39 $ 10.41 O-Series $ 10.25 $ 10.27

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 23 FIXEDINCOMEFUNDS TD Short Term Bond Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Premium Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 448,048 $ 470,097 $ 11,270 $ 1,204,865 $ 178,326 N/A Increase (Decrease) in Net Assets from Investment Operations 5,167 7,615 168 6,988 2,028 N/A Capital Unit Transactions† Proceeds from Sale of Units 47,574 157,641 70 131,795 28,297 N/A Reinvestments of Distributions 5,622 6,640 187 11,184 2,147 N/A Early Redemption Fees 29 016 1 N/A Amounts Paid on Redemptions (117,378) (183,013) (2,100) (1,326,351) (73,643) N/A (64,180) (18,723) (1,843) (1,183,356) (43,198) N/A Distributions to Unitholders (5,937) (6,993) (187) (11,184) (2,370) N/A Increase (Decrease) in Net Assets for the Period (64,950) (18,101) (1,862) (1,187,552) (43,540) N/A Net Assets, End of the Period $ 383,098 $ 451,996 $ 9,408 $ 17,313 $ 134,786 N/A †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 44,935,059 47,153,768 1,098,936 117,480,922 18,009,660 N/A Units Issued 4,773,584 15,731,328 6,823 12,775,370 2,859,465 N/A Units Issued on Reinvestments 564,872 664,981 18,222 1,084,406 217,291 N/A Units Redeemed (11,785,615) (18,361,402) (204,720) (129,659,293) (7,445,341) N/A Units Outstanding, End of the Period 38,487,900 45,188,675 919,261 1,681,405 13,641,075 N/A

Advisor Series F-Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 660,400 $ 713,669 $ 112,782 $ 117,062 Increase (Decrease) in Net Assets from Investment Operations 6,911 11,248 1,575 2,052 Capital Unit Transactions† Proceeds from Sale of Units 71,295 312,545 19,210 42,510 Reinvestments of Distributions 6,915 9,016 1,332 1,575 Early Redemption Fees 3 15 12 Amounts Paid on Redemptions (185,473) (287,117) (42,686) (58,624) (107,260) 34,459 (22,143) (14,537) Distributions to Unitholders (8,006) (10,261) (1,770) (1,972) Increase (Decrease) in Net Assets for the Period (108,355) 35,446 (22,338) (14,457) Net Assets, End of the Period $ 552,045 $ 749,115 $ 90,444 $ 102,605 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 63,473,181 68,606,215 10,836,379 11,247,180 Units Issued 6,856,799 29,882,773 1,846,762 4,066,310 Units Issued on Reinvestments 665,778 865,333 128,203 151,061 Units Redeemed (17,846,440) (27,596,237) (4,104,059) (5,634,247) Units Outstanding, End of the Period 53,149,318 71,758,084 8,707,285 9,830,304

24 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. FIXEDINCOMEFUNDS TD Short Term Bond Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) O-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 1,721,925 $ 60,056 $ 3,132,751 $ 2,565,749 Increase (Decrease) in Net Assets from Investment Operations 33,735 24,133 49,584 52,036 Capital Unit Transactions† Proceeds from Sale of Units 166,971 1,474,973 333,417 2,119,464 Reinvestments of Distributions 34,118 12,651 50,321 41,066 Early Redemption Fees 99 16 51 Amounts Paid on Redemptions (41,942) (43,064) (463,222) (1,898,169) 159,156 1,444,569 (79,468) 262,412 Distributions to Unitholders (36,491) (15,047) (54,761) (45,457) Increase (Decrease) in Net Assets for the Period 156,400 1,453,655 (84,645) 268,991 Net Assets, End of the Period $ 1,878,325 $ 1,513,711 $ 3,048,106 $ 2,834,740 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 167,708,110 5,858,107 Units Issued 16,277,871 144,159,326 Units Issued on Reinvestments 3,329,593 1,237,729 Units Redeemed (4,083,682) (4,192,288) Units Outstanding, End of the Period 183,231,892 147,062,874

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 25 FIXEDINCOMEFUNDS

TD Short Term Bond Fund Par Value Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) bcIMC Realty Corporation $$41,000,000 Callable 5.25% due September 19, 2012 41,065,750$ 42,593,023 Par Value Description Cost FairValue 6,900,000 3.38% due January 29, 2015 6,900,000 7,029,372 2,000,000 Callable4.65%dueFebruary10,2015 2,165,740 2,117,372 Canadian Bonds – 98.5% Bell Aliant Regional Communications, FEDERAL BONDS & GUARANTEES – 20.8% Limited Partnership Canada Housing Trust No. 1 4,096,000 Callable 4.72% due September 26, 2011 4,126,480 4,124,469 $ 56,000,000 2.70%dueDecember15,2013 $ 56,310,843 $ 57,178,626 Bell Canada 35,000,000 2.20% due March 15, 2014 35,192,500 35,270,041 14,300,000 3.65% due May 19, 2016 14,289,704 14,388,728 28,000,000 3.15% due June 15, 2014 28,302,106 28,923,920 50,000,000 2.75% due December 15, 2014 49,907,500 51,006,953 BMW Canada Inc. 50,000,000 3.15% due June 15, 2015 49,934,000 51,604,336 10,900,000 3.22% due March 28, 2013 10,898,801 11,089,364 50,000,000 2.45% due December 15, 2015 49,454,750 50,025,412 18,300,000 2.76% due April 01, 2014 18,296,340 18,392,397 55,000,000 2.75% due June 15, 2016 56,040,710 55,447,648 9,500,000 3.15% due April 01, 2015 9,499,620 9,590,212 Government of Canada Boardwalk Real Estate Investment Trust 36,700,000 1.00% due September 01, 2011 36,431,516 36,700,702 9,300,000 5.31% due January 23, 2012 9,316,647 9,462,803 58,000,000 1.25% due December 01, 2011 57,507,414 58,047,311 Caisse centrale Desjardins 44,000,000 3.50% due June 01, 2013 45,790,525 45,588,991 1,300,000 FloatingRatedueFebruary11,2014 1,300,000 1,329,029 9,600,000 3.00% due June 01, 2014 9,837,705 9,910,097 26,500,000 3.114%dueDecember04,2014 26,509,650 26,825,841 17,700,000 5.00% due June 01, 2014 19,621,348 19,275,151 15,000,000 3.788% due June 08, 2015 15,000,000 15,468,488 7,000,000 2.00% due December 01, 2014 6,848,567 7,005,705 Canadian Capital Auto Receivables Asset Trust II 8,300,000 2.50% due June 01, 2015 8,318,122 8,423,961 2,519,390 2.002% due November 17, 2012 2,519,390 2,523,496 50,000,000 3.00% due December 01, 2015 51,240,000 51,615,739 14,479,197 1.845% due April 17, 2013 14,479,197 14,494,834 70,000,000 2.00% due June 01, 2016 69,021,100 68,920,833 8,100,000 2.632% due August 17, 2014 8,100,000 8,221,257 629,758,706 634,945,426 Canadian Capital Auto Receivables Asset Trust III 17,381,910 2.716% due February 18, 2014 17,542,108 17,433,187 PROVINCIAL BONDS & GUARANTEES – 7.9% Financement-Quebec Canadian Credit Card Trust 20,000,000 5.25% due December 01, 2011 21,471,000 20,329,088 20,000,000 5.365% due March 25, 2013 20,000,000 21,086,894 40,000,000 3.25% due June 01, 2014 40,700,000 41,288,429 16,100,000 3.444% due July 24, 2015 16,100,000 16,415,625 Ontario Infrastructure Projects Corporation Canadian Imperial Bank of Commerce 13,500,000 3.95% due June 03, 2013 13,477,995 14,021,525 10,400,000 4.35% due November 01, 2011 10,638,160 10,501,009 Ontario School Boards Financing Corporation 15,000,000 5.00% due September 10, 2012 16,050,940 15,571,264 6,700,000 5.30% due November 07, 2013 7,384,338 7,189,364 25,000,000 3.05% due June 03, 2013 24,986,750 25,457,996 30,000,000 4.95% due January 23, 2014 31,888,650 31,934,650 Province of British Columbia 15,000,000 Callable 4.75% due December 22, 2014 16,403,400 16,042,926 10,000,000 7.50% due June 09, 2014 12,043,000 11,537,285 20,000,000 3.10% due March 02, 2015 19,962,400 20,246,257 10,000,000 4.25% due June 18, 2014 10,546,200 10,634,911 23,300,000 3.40% due January 14, 2016 23,271,007 23,619,509 Province of Manitoba Canadian Natural Resources Limited 10,000,000 3.05% due September 01, 2014 10,009,000 10,283,490 17,000,000 Callable 4.50% due January 23, 2013 17,824,140 17,611,505 Province of Ontario Canadian Tire Corporation Limited 30,000,000 4.40% due December 02, 2011 31,804,800 30,398,759 4,000,000 4.95% due June 01, 2015 4,257,240 4,270,535 40,000,000 4.75% due June 02, 2013 42,118,100 42,271,387 50,000,000 4.40% due March 08, 2016 53,960,500 53,919,412 CARDS II Trust 14,000,000 3.096%dueSeptember15,2015 14,000,000 14,090,722 243,514,933 241,873,650 15,000,000 3.333% due May 15, 2016 15,000,000 15,080,187 CORPORATE BONDS – 69.8% Caterpillar Financial Services Limited Bank of Montreal 40,000,000 4.94% due June 01, 2012 40,557,540 41,153,790 5,000,000 4.96% due July 14, 2011 5,095,900 5,005,056 16,000,000 5.20% due June 03, 2013 16,226,597 16,900,622 10,000,000 Callable 5.04% due September 04, 2012 10,256,100 10,382,099 Daimler Canada Finance Inc. 10,000,000 Callable 5.05% due September 03, 2013 10,111,614 10,616,690 7,750,000 3.16% due April 14, 2014 7,749,148 7,830,224 25,000,000 3.93% due April 27, 2015 25,325,100 26,029,853 20,000,000 3.103% due March 10, 2016 19,664,000 20,040,904 Eagle Credit Card Trust 15,000,000 3.49% due June 10, 2016 15,380,550 15,215,294 12,200,000 3.474%dueDecember17,2015 12,200,000 12,407,733 The Bank of Nova Scotia Enbridge Pipelines Inc. 28,000,000 5.04% due April 08, 2013 27,994,960 29,486,202 14,000,000 Callable 4.46% due December 17, 2012 14,562,520 14,514,543 15,000,000 4.56% due October 30, 2013 15,890,100 15,804,416 EnCana Corporation 30,000,000 3.43% due July 16, 2014 30,179,202 30,799,150 22,300,000 4.30% due March 12, 2012 22,440,188 22,718,484 30,000,000 3.35% due November 18, 2014 29,848,100 30,675,372 ENMAX Corporation 30,000,000 3.34% due March 25, 2015 29,998,500 30,621,924 10,000,000 5.85% due April 08, 2014 9,988,900 10,717,904 13,200,000 3.61% due February 22, 2016 13,198,152 13,502,609 Finning International Inc. BCE Inc. 15,000,000 Callable 5.16% due September 03, 2013 15,906,150 15,886,350 20,000,000 3.60% due December 02, 2015 19,986,232 20,237,626

26 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Short Term Bond Fund FIXEDINCOMEFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

First Capital Realty Inc. RioCan Real Estate Investment Trust $$17,000,000 Callable5.08%dueJune21,2012 16,764,600$ 17,403,087 $$10,000,000 4.70% due June 15, 2012 10,408,500$ 10,236,559 4,000,000 Callable5.36%dueJanuary31,2014 3,473,860 4,186,759 18,200,000 Callable 5.70% due September 11, 2012 18,597,160 18,909,338 3,500,000 Callable5.32%dueOctober30,2014 3,662,050 3,679,227 11,200,000 Callable 4.499% due January 21, 2016 11,208,400 11,433,380 Ford Auto Securitization Trust Rogers Communications Inc. 2,176,301 1.517% due October 15, 2012 2,176,301 2,176,214 10,000,000 5.80% due May 26, 2016 10,992,500 10,931,736 10,324,513 1.926% due June 15, 2013 10,324,513 10,339,070 Royal Bank of Canada 15,213,988 1.793%dueSeptember15,2013 15,213,988 15,311,814 15,000,000 5.20% due August 15, 2012 15,937,150 15,585,172 1,400,000 2.75% due November 15, 2013 1,400,000 1,410,864 25,000,000 5.06% due July 17, 2013 26,701,550 26,481,922 11,000,000 2.296% due July 15, 2014 11,000,000 11,094,050 15,000,000 5.00% due January 20, 2014 16,225,020 15,992,831 7,600,000 2.431% due November 15, 2014 7,600,000 7,674,176 25,700,000 3.27% due November 10, 2014 25,627,922 26,320,322 1,100,000 3.836% due January 15, 2015 1,100,000 1,135,361 15,000,000 3.18% due March 16, 2015 14,994,450 15,267,653 7,000,000 3.02% due February 15, 2016 7,000,000 7,112,350 20,000,000 3.36% due January 11, 2016 19,984,850 20,245,013 GE Capital Canada Funding Company Shaw Communications Inc. 24,000,000 5.29% due August 17, 2012 24,067,020 24,917,694 5,000,000 Callable 6.10% due November 16, 2012 5,375,000 5,261,709 21,500,000 5.15% due June 06, 2013 21,793,760 22,638,442 16,900,000 Callable 7.50% due November 20, 2013 18,876,615 18,719,792 7,200,000 2.95% due February 10, 2014 7,191,576 7,265,798 30,500,000 6.50% due June 02, 2014 33,952,870 33,242,210 15,000,000 4.24% due June 08, 2015 15,509,250 15,589,752 15,000,000 Callable6.15%dueMay09,2016 16,404,700 16,407,975 Genesis Trust* Shoppers Drug Mart Corporation 10,000,000 4.245%dueSeptember15,2011 10,446,800 10,054,926 19,700,000 Callable4.99%dueJune03,2013 19,862,149 20,675,818 Glacier Credit Card Trust 5,000,000 5.19% due January 20, 2014 5,303,278 5,316,608 21,400,000 5.027% due February 20, 2013 21,311,260 22,390,636 Suncor Energy Inc. 10,100,000 3.158%dueNovember20,2015 10,093,120 10,135,874 30,000,000 Callable 6.70% due August 22, 2011 32,772,630 30,215,480 Golden Credit Card Trust TELUS Corporation 5,000,000 5.421% due April 15, 2013 5,362,700 5,292,113 13,100,000 4.50% due March 15, 2012 13,452,495 13,364,047 20,000,000 3.824% due May 15, 2015 20,000,000 20,709,061 3,000,000 5.00% due June 03, 2013 3,171,330 3,144,158 20,000,000 3.51% due May 15, 2016 20,000,000 20,275,672 11,000,000 4.95% due May 15, 2014 11,253,360 11,646,610 Honda Canada Finance Inc. 10,000,000 Callable5.95%dueApril15,2015 11,109,150 10,977,845 10,000,000 5.675%dueSeptember26,2012 10,660,500 10,433,651 Thomson Reuters Corporation 15,500,000 5.076% due May 09, 2013 16,392,140 16,247,135 29,700,000 5.25% due July 15, 2011 29,924,555 29,735,314 32,000,000 5.613%dueSeptember12,2013 32,112,340 34,105,289 20,000,000 5.70% due July 15, 2015 22,445,725 22,125,322 HSBC Bank Canada Toronto Hydro Corporation 13,800,000 3.86% due May 21, 2015 13,796,274 14,293,869 18,000,000 6.11% due May 06, 2013 19,716,840 19,296,607 Husky Energy Inc. The Toronto-Dominion Bank* 6,300,000 3.75% due March 12, 2015 6,295,149 6,478,477 25,000,000 5.141%dueNovember19,2012 26,973,250 26,152,390 Hydro One Inc. 34,000,000 4.854% due February 13, 2013 36,263,050 35,626,964 5,000,000 Callable 5.00% due November 12, 2013 5,404,000 5,314,941 Toyota Credit Canada Inc. 24,200,000 3.13% due November 19, 2014 24,273,706 24,658,548 43,500,000 5.05% due July 27, 2012 43,674,255 44,920,395 12,700,000 2.95% due September 11, 2015 12,698,857 12,768,149 9,600,000 3.55% due February 22, 2016 9,589,536 9,734,271 John Deere Credit Inc. TransCanada PipeLines Limited 8,500,000 5.30% due July 27, 2012 8,742,690 8,813,208 15,000,000 5.05% due August 20, 2013 14,980,350 15,876,072 10,000,000 2.30% due January 14, 2013 9,992,600 10,045,523 17,000,000 5.05% due February 14, 2014 18,480,232 18,094,348 40,200,000 3.90% due July 29, 2013 41,159,472 41,575,753 VW Credit Canada Inc. 9,300,000 3.50% due June 23, 2014 9,288,282 9,555,345 16,500,000 2.55% due November 18, 2013 16,446,585 16,567,532 Master Credit Card Trust 7,300,000 3.60% due February 01, 2016 7,293,065 7,437,693 21,000,000 4.444%dueNovember21,2011 21,118,500 21,238,139 Wells Fargo Financial Canada Corporation 20,000,000 5.297% due August 21, 2012 20,000,000 20,776,307 14,450,000 4.45% due September 13, 2011 14,558,968 14,528,802 Merrill Lynch Financial Assets Inc. 6,000,000 5.10% due June 26, 2012 6,326,400 6,183,916 9,566,152 Callable 6.38% due November 12, 2011 10,027,925 9,660,588 3,150,000 Callable 4.40% due December 12, 2012 3,284,694 3,251,525 1,585,112 Callable 6.79% due November 15, 2011 2,327,468 1,591,980 4,220,000 Callable 4.33% due December 06, 2013 4,258,993 4,388,667 13,000,000 Callable5.245%dueJune12,2013 13,025,870 13,561,437 31,000,000 3.97% due November 03, 2014 30,998,760 31,914,946 8,000,000 Callable5.441%dueMarch12,2014 8,390,080 8,471,336 8,000,000 4.38% due June 30, 2015 8,455,420 8,335,586 14,402,646 Callable 4.38% due August 12, 2015 14,609,387 14,888,660 11,800,000 3.70% due March 30, 2016 11,795,162 11,897,647 National Bank of Canada Yellow Media Inc. 21,500,000 3.147% due February 11, 2015 21,500,000 21,785,800 14,900,000 6.85% due December 03, 2013 14,900,000 14,509,383 21,900,000 4.03% due May 26, 2015 21,900,000 22,833,665 4,500,000 5.71% due April 21, 2014 4,328,100 4,190,404 20,000,000 3.58% due April 26, 2016 20,000,000 20,342,740 2,102,850,146 2,125,361,325 OMERS Realty CTT Holdings Two Inc. 6,000,000 4.05% due May 05, 2014 5,998,380 6,260,848 Total Canadian Bonds 2,976,123,785 3,002,180,401 Petro-Canada Centre 5,789,042 6.379% due June 09, 2014 5,789,042 6,163,239

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 27 TD Short Term Bond Fund FIXEDINCOMEFUNDS

Par Value Description Cost FairValue

Global Bond – 0.7% Financial Instruments by the Level in the Fair Value Hierarchy AUSTRALIA – 0.7% (in 000s) (Note 11) Westpac Banking Corporation The table below illustrates the classification of the Fund’s financial instruments within the $$20,000,000 3.75%dueDecember01,2014 20,529,200$ 20,314,800 fair value hierarchy as at June 30, 2011 and December 31, 2010:

TOTALINVESTMENT Level1 Level2 Level3 Total PORTFOLIO – 99.2% 2,996,652,985 3,022,495,201 June 30, 2011 SHORT-TERM Short-Term Investments $0$14,500 $0$14,500 INVESTMENTS – 0.5% 14,500,000 14,500,000 Bonds 0 3,022,495 0 3,022,495 OTHER NET ASSETS – 0.3% 11,110,635 11,110,635 $0$3,036,995 $0$3,036,995 TOTAL NET ASSETS – 100.0% $ 3,022,263,620 $ 3,048,105,836 December 31, 2010 * Related party to the Fund as an affiliated entity of Bonds and Short-Term TD Asset Management Inc. Investments $0$3,109,570 $0$3,109,570

Credit Risk (Note 11) During the periods, transfers between Level 1 and Level 2 were nil. The table below summarizes the debt instruments by credit ratings as at June 30, 2011 and Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) December 31, 2010. The table below summarizes cash flows associated with the maturities of the Fund’s financial Percentage of Percentage of liabilities as at June 30, 2011 and December 31, 2010: Total Bonds (%) Total Net Assets (%) Less than Credit Rating° 2011 2010 2011 2010 3 months AAA 35.18 38.77 34.89 36.21 2011 2010 AA 35.70 33.14 35.39 30.95 Accounts payable and other liabilities $ 79,025 $ 9,363 A 16.21 15.64 16.07 14.60 BBB 12.91 12.45 12.81 11.63 Total 100.00 100.00 99.16 93.39

° Credit ratings are obtained from Standard & Poor’s, Moody’s or DBRS rating agencies. Interest Rate Risk (Note 11) The table below summarizes the Fund’s exposure to interest rate risk as at June 30, 2011 and December 31, 2010 by remaining term to maturity. The table also illustrates the potential impact to the Fund’s net assets had the prevailing interest rates changed by 1%, assuming a parallel shift in the yield curve, with all other variables held constant. The Fund’s sensitivity to interest rate changes was estimated using the weighted average duration of the bond portfolio. In practice, the actual trading results may differ from these approximate sensitivity analysis amounts and the difference could be material.

Term to Maturity Total Exposure (000s) Bonds 2011 2010 Less than 1 year $ 402,654 $ 486,320 1-5 years 2,619,841 2,428,745 > 10 years 0 10,621 Total $ 3,022,495 $ 2,925,686

Impact on Net Assets (000s) $ 74,656 $ 65,535

Impact on Net Assets (%) 2.45 2.09

28 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. FIXEDINCOMEFUNDS TD Mortgage Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 1,359,952 $ 1,524,657 Interest $ 33,298 $ 31,827 Short-Term Investments 7,900 9,400 Securities Lending 86 Cash 88 172 33,306 31,833 Interest Receivable 2,343 2,663 Expenses (Note 5) Unamortized Liquidity/Guarantee Fees (Note 3) 3,080 3,248 Management Fees 7,970 9,420 Subscriptions Receivable 1,550 1,283 Administration Fees 673 751 Receivable for Investment Sales 30,033 30,541 Independent Review Committee Fees 43 1,404,946 1,571,964 8,647 10,174 Liabilities Less: Waived Expenses (1) (0) Accrued Liabilities 1,283 1,658 8,646 10,174 Redemptions Payable 9,673 2,589 Distributions Payable 305 0 Net Investment Income (Loss) 24,660 21,659 Payable for Investment Purchases 2,500 2,500 Net Realized Gain (Loss) on 13,761 6,747 Sale of Investments (6,486) (4,472) Net Change in Unrealized Appreciation/ Net Assets (Note 3) $ 1,391,185 $ 1,565,217 Depreciation of Investments (8,160) (9,288) Net Assets Representing Unitholders’ Equity (Note 4) Net Gain (Loss) on Investments (14,646) (13,760) Investor Series $ 302,271 $ 344,364 Increase (Decrease) in Net Assets Institutional Series N/A $0 from Investment Operations† $ 10,014 $ 7,899 Advisor Series $ 423,696 $ 565,557 F-Series $ 113,116 $ 150,437 †Increase (Decrease) in Net Assets from Investment Operations O-Series $ 552,102 $ 504,859 Investor Series $ 1,149 $ 1,425 $ 1,391,185 $ 1,565,217 Institutional Series N/A $ 1,345 Advisor Series $ 915 $ 1,385 Number of Units Outstanding F-Series $ 831 $ 814 Investor Series 4,971,425 5,605,799 O-Series $ 7,119 $ 2,930 Institutional Series N/A 10 $ 10,014 $ 7,899 Advisor Series 43,168,633 57,025,024 F-Series 11,512,183 15,144,320 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) O-Series 55,776,052 50,477,890 Investor Series $ 0.25 $ 0.24 Net Assets Per Unit (Note 3) Institutional Series N/A $ 0.07 Investor Series $ 60.80 $ 61.43 Advisor Series $ 0.03 $ 0.04 Institutional Series N/A $ 10.06 F-Series $ 0.07 $ 0.07 O-Series $ 0.13 $ 0.07 Advisor Series $ 9.81 $ 9.92 F-Series $ 9.83 $ 9.93 O-Series $ 9.90 $ 10.00

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 29 FIXEDINCOMEFUNDS TD Mortgage Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 344,364 $ 350,657 $0$338,651 $ 565,557 $ 442,403 Increase (Decrease) in Net Assets from Investment Operations 1,149 1,425 0 1,345 915 1,385 Capital Unit Transactions† Proceeds from Sale of Units 20,515 88,506 0 44,322 39,684 341,589 Reinvestments of Distributions 4,375 4,912 0 3,607 5,744 6,660 Early Redemption Fees 49 07 715 Amounts Paid on Redemptions (63,549) (79,707) 0 (384,325) (181,590) (172,705) (38,655) 13,720 0 (336,389) (136,155) 175,559 Distributions to Unitholders (4,587) (5,163) 0 (3,607) (6,621) (7,457) Increase (Decrease) in Net Assets for the Period (42,093) 9,982 0 (338,651) (141,861) 169,487 Net Assets, End of the Period $ 302,271 $ 360,639 $0$0$423,696 $ 611,890 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 5,605,799 5,667,847 10 33,399,073 57,025,024 44,313,972 Units Issued 336,131 1,432,713 0 4,367,250 4,023,948 34,250,650 Units Issued on Reinvestments 71,806 79,890 0 356,178 584,039 671,238 Units Redeemed (1,042,311) (1,296,041) (10) (38,122,491) (18,464,378) (17,401,837) Units Outstanding, End of the Period 4,971,425 5,884,409 0 10 43,168,633 61,834,023

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 150,437 $ 75,689 $ 504,859 $0$1,565,217 $ 1,207,400 Increase (Decrease) in Net Assets from Investment Operations 831 814 7,119 2,930 10,014 7,899 Capital Unit Transactions† Proceeds from Sale of Units 20,784 85,199 40,117 415,809 121,100 975,425 Reinvestments of Distributions 1,333 1,446 12,474 2,759 23,926 19,384 Early Redemption Fees 23 72 20 36 Amounts Paid on Redemptions (57,873) (29,043) 00(303,012) (665,780) (35,754) 57,605 52,598 418,570 (157,966) 329,065 Distributions to Unitholders (2,398) (1,972) (12,474) (4,187) (26,080) (22,386) Increase (Decrease) in Net Assets for the Period (37,321) 56,447 47,243 417,313 (174,032) 314,578 Net Assets, End of the Period $ 113,116 $ 132,136 $ 552,102 $ 417,313 $ 1,391,185 $ 1,521,978 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 15,144,320 7,574,993 50,477,890 0 Units Issued 2,105,335 8,541,352 4,039,690 41,586,115 Units Issued on Reinvestments 135,383 145,548 1,258,472 277,748 Units Redeemed (5,872,855) (2,923,577) 00 Units Outstanding, End of the Period 11,512,183 13,338,316 55,776,052 41,863,863

30 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. FIXEDINCOMEFUNDS

TD Mortgage Fund Residential Mortgages (Schedule 1) Interest Numberof Fair Rate Mortgages Cost Value Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 1.00% 3$380,443 $ 376,056 1.50 1 210,004 204,959 Par Value Description Cost FairValue 2.00 2 367,283 347,318 2.25 15 2,141,696 2,121,760 Mortgages – 92.3% 2.50 27 4,718,310 4,658,857 Residential Mortgages (Schedule 1) $1,275,556,281 $1,284,322,656 2.75 173 24,022,870 23,736,074 3.00 450 60,033,345 59,360,462 Canadian Bonds – 5.4% 3.25 335 48,855,632 48,291,486 FEDERAL BOND – 1.8% 3.50 353 57,947,201 57,306,404 Government of Canada 3.75 747 122,452,300 121,413,643 $ 23,700,000 3.25% due June 01, 2021 23,748,330 23,975,710 4.00 1443 195,263,711 194,645,274 4.25 733 86,433,208 86,663,379 PROVINCIAL BONDS – 3.6% 4.50 750 87,654,060 88,252,313 Province of British Columbia 4.75 397 46,777,437 47,068,488 8,700,000 4.10% due December 18, 2019 8,686,080 9,045,643 5.00 601 83,067,659 83,602,134 Province of New Brunswick 5.25 653 89,099,928 89,441,338 10,000,000 4.50% due June 02, 2020 10,340,800 10,549,151 5.50 804 90,735,844 91,759,039 Province of Ontario 5.75 771 83,113,844 84,729,717 11,000,000 4.20% due June 02, 2020 11,346,500 11,403,728 6.00 716 68,569,241 70,227,352 10,000,000 4.00% due June 02, 2021 9,885,000 10,124,982 6.25 339 28,724,822 29,666,393 Province of Quebec 6.50 217 22,462,035 23,351,918 10,000,000 4.50%dueDecember01,2020 10,569,000 10,530,112 6.75 174 24,202,506 25,462,959 7.00 177 25,246,069 26,713,672 50,827,380 51,653,616 7.25 100 13,108,093 14,102,591 Total Canadian Bonds 74,575,710 75,629,326 7.50 58 6,964,558 7,556,694 7.75 23 2,721,245 2,957,225 TOTALINVESTMENT 8.00 3 229,869 252,128 PORTFOLIO – 97.7% 1,350,131,991 1,359,951,982 8.25 1 53,068 53,023 SHORT-TERM TOTAL 10,066 $1,275,556,281 $1,284,322,656 INVESTMENTS – 0.6% 7,900,000 7,900,000

OTHER NET ASSETS – 1.7% 23,332,889 23,332,889 Type of Mortgages by Principlal Value: Residential 100% (10,066 mortgages); National Housing Act (NHA) insured 100.0% TOTAL NET ASSETS – 100.0% $ 1,381,364,880 $ 1,391,184,871 (10,066 mortgages). None of the mortgages held by the Fund are prepayable. There are 3 mortgages with a principal value of $455,269 (0.03% of the Fund) that are more than three months in arrears. The average term to maturity is 2.3 years (December 31, 2010, 2.2 years).

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 31 TD Mortgage Fund FIXEDINCOMEFUNDS

Credit Risk (Note 11) Financial Instruments by the Level in the Fair Value Hierarchy The table below summarizes the debt instruments by credit ratings as at June 30, 2011 and (in 000s) (Note 11) December 31, 2010. The table below illustrates the classification of the Fund’s financial instruments within the fair value hierarchy as at June 30, 2011 and December 31, 2010: Percentage of Percentage of Total Bonds (%) Total Net Assets (%) Credit Rating° 2011 2010 2011 2010 Level1 Level2 Level3 Total AAA 43.66 66.86 2.37 2.80 June 30, 2011 AA 42.42 33.14 2.31 1.38 Short-Term Investments $0$7,900 $0$7,900 A 13.92 0.00 0.76 0.00 Bonds 0 75,629 0 75,629 Mortages 0 1,284,323 0 1,284,323 Total 100.00 100.00 5.44 4.18 $0$1,367,852 $0$1,367,852 ° Credit ratings are obtained from Standard & Poor’s, Moody’s or DBRS rating agencies. Interest Rate Risk (Note 11) December 31, 2010 Bonds and Short-Term The table below summarizes the Fund’s exposure to interest rate risk as at June 30, 2011 Investments $0$74,902 $0$74,902 and December 31, 2010 by remaining term to maturity. The table also illustrates the potential impact to the Fund’s net assets had the prevailing interest rates changed by 1%, assuming Mortgages 0 1,459,155 0 1,459,155 a parallel shift in the yield curve, with all other variables held constant. The Fund’s sensitivity $0$1,534,057 $0$1,534,057 to interest rate changes was estimated using the weighted average duration of the bond portfolio. In practice, the actual trading results may differ from these approximate sensitivity During the periods, transfers between Level 1 and Level 2 were nil. analysis amounts and the difference could be material. Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) Total Exposure (000s) The table below summarizes cash flows associated with the maturities of the Fund’s financial 2011 liabilities as at June 30, 2011 and December 31, 2010: Term to Maturity Bonds Mortgages Total Less than Less than 1 year $0$116,245 $ 116,245 3 months 1-5 years 75,629 1,169,219 1,244,848 2011 2010 Total $ 75,629 $ 1,285,464 $ 1,361,093 Accounts payable and other liabilities $ 13,761 $ 6,747 Impact on Net Assets (000s) $ 31,441

Impact on Net Assets (%) 2.26

2010 Term to Maturity Bonds Mortgages Total 1-5 years $ 8,066 $ 1,458,908 $ 1,466,974 5-10 years 42,401 247 42,648 > 10 years 15,035 0 15,035 Total $ 65,502 $ 1,459,155 $ 1,524,657

Impact on Net Assets (000s) $ 32,018

Impact on Net Assets (%) 2.05

32 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. FIXEDINCOMEFUNDS TD Canadian Bond Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 9,465,237 $ 9,415,898 Interest $ 215,128 $ 211,989 Short-Term Investments 140,141 186,632 Securities Lending 302 305 Cash 133 167 215,430 212,294 Interest Receivable 65,346 65,176 Expenses (Note 5) Subscriptions Receivable 17,145 13,732 Management Fees 21,238 24,623 9,688,002 9,681,605 Independent Review Committee Fees 22 25 Liabilities Bank Charges and Interest 10 Accrued Liabilities 3,503 3,733 21,261 24,648 Redemptions Payable 9,118 7,639 Less: Waived Expenses (13) (9) Distributions Payable 32,163 2 21,248 24,639 Payable for Investment Purchases 10,833 49,876 Net Investment Income (Loss) 194,182 187,655 55,617 61,250 Net Realized Gain (Loss) on Net Assets (Note 3) $ 9,632,385 $ 9,620,355 Sale of Investments 25,494 4,635 Net Assets Representing Unitholders’ Equity (Note 4) Net Change in Unrealized Appreciation/ Investor Series $ 2,036,672 $ 2,108,302 Depreciation of Investments 8,502 195,195 Institutional Series $ 324,213 $ 353,624 Net Gain (Loss) on Investments 33,996 199,830 Premium Series $ 94,865 $ 87,140 Increase (Decrease) in Net Assets Advisor Series $ 1,195,324 $ 1,256,462 from Investment Operations† $ 228,178 $ 387,485 F-Series $ 163,210 $ 183,663 O-Series $ 5,818,101 $ 5,631,164 †Increase (Decrease) in Net Assets from Investment Operations $ 9,632,385 $ 9,620,355 Investor Series $ 41,284 $ 80,397 Institutional Series $ 7,971 $ 84,232 Number of Units Outstanding Premium Series $ 1,879 N/A Investor Series 150,368,505 156,010,077 Advisor Series $ 22,500 $ 46,005 Institutional Series 29,510,632 32,241,959 F-Series $ 3,687 $ 6,749 Premium Series 9,558,584 8,806,096 O-Series $ 150,857 $ 170,102 Advisor Series 101,013,674 106,424,358 $ 228,178 $ 387,485 F-Series 13,543,835 15,272,211 Increase (Decrease) in Net Assets from Investment Operations – O-Series 555,003,587 538,414,413 Per Unit (Note 3) Net Assets Per Unit (Note 3) Investor Series $ 0.28 $ 0.54 Investor Series $ 13.54 $ 13.51 Institutional Series $ 0.26 $ 0.47 Premium Series $ 0.21 N/A Institutional Series $ 10.99 $ 10.97 Advisor Series $ 0.23 $ 0.46 Premium Series $ 9.92 $ 9.90 F-Series $ 0.28 $ 0.51 Advisor Series $ 11.83 $ 11.81 O-Series $ 0.27 $ 0.47 F-Series $ 12.05 $ 12.03 O-Series $ 10.48 $ 10.46

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 33 FIXEDINCOMEFUNDS TD Canadian Bond Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Premium Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 2,108,302 $ 1,987,827 $ 353,624 $ 4,910,705 $ 87,140 N/A Increase (Decrease) in Net Assets from Investment Operations 41,284 80,397 7,971 84,232 1,879 N/A Capital Unit Transactions† Proceeds from Sale of Units 191,322 202,312 11,543 306,438 29,097 N/A Reinvestments of Distributions 35,899 37,576 2,427 58,197 1,532 N/A Early Redemption Fees 6 12 1 20 0 N/A Amounts Paid on Redemptions (303,240) (279,806) (44,039) (4,929,623) (23,125) N/A (76,013) (39,906) (30,068) (4,564,968) 7,504 N/A Distributions to Unitholders (36,901) (38,683) (7,314) (63,441) (1,658) N/A Increase (Decrease) in Net Assets for the Period (71,630) 1,808 (29,411) (4,544,177) 7,725 N/A Net Assets, End of the Period $ 2,036,672 $ 1,989,635 $ 324,213 $ 366,528 $ 94,865 N/A †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 156,010,077 150,783,625 32,241,959 459,057,424 8,806,096 N/A Units Issued 14,144,184 15,115,926 1,052,325 28,190,845 2,934,087 N/A Units Issued on Reinvestments 2,665,453 2,809,869 222,174 5,401,613 155,319 N/A Units Redeemed (22,451,209) (20,957,874) (4,005,826) (459,119,930) (2,336,918) N/A Units Outstanding, End of the Period 150,368,505 147,751,546 29,510,632 33,529,952 9,558,584 N/A

Advisor Series F-Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 1,256,462 $ 1,162,355 $ 183,663 $ 147,342 Increase (Decrease) in Net Assets from Investment Operations 22,500 46,005 3,687 6,749 Capital Unit Transactions† Proceeds from Sale of Units 143,646 194,115 25,372 35,681 Reinvestments of Distributions 18,268 19,404 3,142 2,954 Early Redemption Fees 46 11 Amounts Paid on Redemptions (225,485) (207,610) (49,149) (21,366) (63,567) 5,915 (20,634) 17,270 Distributions to Unitholders (20,071) (21,233) (3,506) (3,399) Increase (Decrease) in Net Assets for the Period (61,138) 30,687 (20,453) 20,620 Net Assets, End of the Period $ 1,195,324 $ 1,193,042 $ 163,210 $ 167,962 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 106,424,358 100,934,423 15,272,211 12,569,044 Units Issued 12,157,454 16,604,240 2,107,804 2,997,642 Units Issued on Reinvestments 1,552,679 1,660,286 262,245 248,230 Units Redeemed (19,120,817) (17,800,920) (4,098,425) (1,797,295) Units Outstanding, End of the Period 101,013,674 101,398,029 13,543,835 14,017,621

34 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. FIXEDINCOMEFUNDS TD Canadian Bond Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) O-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 5,631,164 $ 479,389 $ 9,620,355 $ 8,687,618 Increase (Decrease) in Net Assets from Investment Operations 150,857 170,102 228,178 387,485 Capital Unit Transactions† Proceeds from Sale of Units 287,223 5,163,254 688,203 5,901,800 Reinvestments of Distributions 107,203 28,200 168,471 146,331 Early Redemption Fees 18 12 30 51 Amounts Paid on Redemptions (222,925) (393,551) (867,963) (5,831,956) 171,519 4,797,915 (11,259) 216,226 Distributions to Unitholders (135,439) (69,639) (204,889) (196,395) Increase (Decrease) in Net Assets for the Period 186,937 4,898,378 12,030 407,316 Net Assets, End of the Period $ 5,818,101 $ 5,377,767 $ 9,632,385 $ 9,094,934 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 538,414,413 47,020,800 Units Issued 27,483,312 504,228,777 Units Issued on Reinvestments 10,300,076 2,711,336 Units Redeemed (21,194,214) (37,873,861) Units Outstanding, End of the Period 555,003,587 516,087,052

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 35 FIXEDINCOMEFUNDS

TD Canadian Bond Fund Par Value Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) MUNICIPAL BONDS – 1.1% City of Toronto Par Value Description Cost FairValue $$27,000,000 4.85% due July 28, 2016 26,892,080$ 29,428,498 19,000,000 5.05% due July 18, 2017 18,948,320 20,874,412 Canadian Bonds – 94.9% Durham District School Board FEDERAL BONDS & GUARANTEES – 15.4% 33,700,000 6.75% due November 19, 2019 38,233,298 40,398,580 Business Development Bank of Canada Municipality of Metropolitan Toronto $ 35,000,000 4.75% due July 26, 2021 $ 34,929,300 $ 38,728,974 10,000,000 6.10% due December 12, 2017 9,691,200 11,569,934 Canada Housing Trust No. 1 93,764,898 102,271,424 95,000,000 3.60% due June 15, 2013 95,113,525 98,505,062 40,000,000 3.95% due June 15, 2013 39,938,800 41,741,438 CORPORATE BONDS – 65.0% 20,000,000 2.75% due December 15, 2014 19,976,667 20,402,781 AltaLink LP 50,000,000 3.75% due March 15, 2020 49,504,000 51,614,676 3,000,000 Callable5.43%dueJune05,2013 2,999,310 3,186,132 Canada Post Corporation 14,100,000 Callable5.243%dueMay29,2018 14,219,562 15,520,709 44,100,000 4.08% due July 16, 2025 44,075,304 46,008,292 Bank of Montreal Farm Credit Canada 25,000,000 Callable5.18%dueJune10,2015 24,988,500 27,169,600 61,000,000 4.55% due April 12, 2021 60,560,800 66,570,712 50,000,000 3.49% due June 10, 2016 50,000,000 50,717,646 18,000,000 5.45% due July 17, 2017 17,991,720 19,931,537 Government of Canada 75,000,000 Callable6.17%dueMarch28,2018 74,977,500 84,985,564 20,000,000 1.00% due September 01, 2011 19,996,267 20,000,382 30,000,000 Callable6.02%dueMay02,2018 33,923,700 34,301,906 20,000,000 1.50% due December 01, 2012 19,922,184 20,019,999 25,000,000 1.75% due March 01, 2013 25,099,719 25,101,894 The Bank of Nova Scotia 204,800,000 3.75% due June 01, 2019 211,810,495 217,341,436 50,000,000 3.34% due March 25, 2015 49,997,500 51,036,540 185,000,000 3.50% due June 01, 2020 185,982,031 191,868,987 23,000,000 Callable 6.65% due January 22, 2016 22,996,090 26,075,556 33,000,000 8.00% due June 01, 2023 47,269,567 48,581,724 21,900,000 3.61% due February 22, 2016 21,896,934 22,402,056 46,500,000 8.00% due June 01, 2027 69,559,644 72,970,592 50,000,000 4.10% due June 08, 2017 49,994,000 51,678,990 150,000,000 5.75% due June 01, 2029 185,323,970 195,548,531 BCE Inc. 25,000,000 5.75% due June 01, 2033 32,400,000 33,382,580 50,000,000 3.60% due December 02, 2015 49,940,864 50,594,066 150,000,000 5.00% due June 01, 2037 184,962,047 185,796,753 bcIMC Realty Corporation 100,000,000 4.00% due June 01, 2041 106,555,000 108,300,000 33,000,000 Callable 5.25% due September 19, 2012 33,184,470 34,282,190 1,432,979,320 1,482,484,813 21,300,000 3.38% due January 29, 2015 21,300,000 21,699,366 49,000,000 5.65% due January 05, 2018 48,834,870 54,269,540 PROVINCIAL BONDS & GUARANTEES – 13.4% Alberta Capital Finance Authority Bell Aliant Regional Communications, 60,000,000 4.35% due June 15, 2016 59,585,400 64,799,906 Limited Partnership 110,000,000 4.45%dueDecember15,2025 106,273,500 115,294,817 3,500,000 Callable 4.72% due September 26, 2011 3,499,825 3,524,326 25,000,000 Callable 4.95% due February 26, 2014 25,010,962 26,226,395 Ontario Strategic Infrastructure Financing Authority 54,000,000 4.60% due June 01, 2015 53,837,460 57,906,801 Bell Canada 47,600,000 3.65% due May 19, 2016 47,565,728 47,895,345 Province of Alberta 23,583,000 4.00% due December 01, 2019 23,669,901 24,555,114 BMO Capital Trust 25,000,000 4.50% due December 01, 2040 24,778,750 26,284,961 39,500,000 Callable 4.633% due December 31, 2015 38,496,543 41,303,517 Province of British Columbia BMO Capital Trust, Conv. 50,000,000 4.10% due December 18, 2019 49,903,000 51,986,453 50,000,000 Callable 5.474% due December 31, 2014 50,000,000 53,717,523 100,000,000 4.30% due June 18, 2042 100,713,000 99,796,897 BMW Canada Inc. Province of Manitoba 30,000,000 3.22% due March 28, 2013 30,091,392 30,521,185 100,000,000 4.25% due March 05, 2039 99,623,000 98,359,000 45,800,000 2.76% due April 01, 2014 45,790,840 46,031,244 30,700,000 3.15% due April 01, 2015 30,698,772 30,991,526 Province of Ontario 40,000,000 4.50% due December 02, 2012 41,797,600 41,642,462 Boardwalk Real Estate Investment Trust 10,000,000 4.20% due June 02, 2020 10,592,400 10,367,026 20,000,000 5.31% due January 23, 2012 20,036,850 20,350,115 25,000,000 8.10% due September 08, 2023 30,234,250 34,882,400 Caisse centrale Desjardins 30,000,000 7.60% due June 02, 2027 35,178,434 42,001,540 4,300,000 FloatingRatedueFebruary11,2014 4,300,000 4,396,019 50,000,000 6.20% due June 02, 2031 61,212,500 62,735,260 24,200,000 3.114%dueDecember04,2014 24,200,910 24,497,560 50,000,000 5.85% due March 08, 2033 57,755,000 60,637,268 50,000,000 3.788% due June 08, 2015 50,000,000 51,561,626 90,000,000 5.60% due June 02, 2035 104,704,500 106,507,177 Canadian Capital Auto Receivables Asset Trust II 25,000,000 4.70% due June 02, 2037 25,617,500 26,286,077 16,200,000 2.632% due August 17, 2014 16,200,000 16,442,514 13,000,000 4.60% due June 02, 2039 12,728,820 13,508,884 36,200,000 3.321%dueSeptember17,2016 36,200,000 36,816,486 Province of Ontario Residual Canadian Capital Auto Receivables Asset Trust III 640,000,000 4.39% due June 02, 2027 324,992,100 322,364,051 37,827,749 2.716% due February 18, 2014 38,176,382 37,939,341 75,000,000 4.58% due March 08, 2033 28,635,773 28,331,866 1,251,832,888 1,288,247,960

36 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Canadian Bond Fund FIXEDINCOMEFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Canadian Credit Card Trust GE Capital Canada Funding Company $$20,000,000 4.513% due April 24, 2012 20,000,000$ 20,448,362 $$30,000,000 4.375%dueSeptember28,2012 29,966,700$ 30,885,538 25,000,000 5.365% due March 25, 2013 25,000,000 26,358,618 30,800,000 5.15% due June 06, 2013 30,838,522 32,430,885 40,200,000 3.444% due July 24, 2015 40,200,000 40,988,082 18,000,000 2.95% due February 10, 2014 17,978,940 18,164,494 Canadian Imperial Bank of Commerce 50,000,000 4.40% due June 01, 2014 49,926,000 52,263,247 45,000,000 4.95% due January 23, 2014 44,866,800 47,901,975 25,000,000 5.28% due October 22, 2014 24,991,250 26,867,135 60,000,000 Callable 4.75% due December 22, 2014 59,962,200 64,171,703 40,000,000 4.65% due February 11, 2015 39,980,800 42,184,510 50,000,000 3.15% due November 02, 2015 49,768,612 49,439,012 25,000,000 Callable5.10%dueJune01,2016 24,977,500 26,778,833 52,900,000 3.40% due January 14, 2016 52,854,011 53,625,410 80,000,000 5.53% due August 17, 2017 79,742,905 86,898,941 55,000,000 3.95% due July 14, 2017 54,883,400 56,430,265 Glacier Credit Card Trust 50,000,000 Callable6.00%dueJune06,2018 49,859,000 56,243,401 30,000,000 5.027% due February 20, 2013 30,456,750 31,388,742 Canadian Natural Resources Limited 8,200,000 3.158% due November 20, 2015 8,200,000 8,229,126 70,000,000 Callable 4.50% due January 23, 2013 69,987,400 72,517,962 Golden Credit Card Trust Canadian Pacific Railway Company 75,000,000 3.824% due May 15, 2015 75,000,000 77,658,980 42,500,000 Callable6.25%dueJune01,2018 42,219,075 48,623,036 Honda Canada Finance Inc. CARDS II Trust 100,000,000 5.613%dueSeptember12,2013 100,000,000 106,579,028 46,900,000 3.096%dueSeptember15,2015 46,900,000 47,203,918 HSBC Bank Canada Caterpillar Financial Services Limited 32,600,000 3.86% due May 21, 2015 32,591,198 33,766,676 74,000,000 4.94% due June 01, 2012 73,993,340 76,134,512 42,500,000 3.558% due October 04, 2017 42,500,000 42,424,767 CIBC Capital Trust HSBC Canada Asset Trust 27,800,000 Callable9.976%dueJune30,2019 32,189,816 36,363,195 40,000,000 Callable5.149%dueJune30,2015 40,259,331 42,275,330 ClareGold Trust Husky Energy Inc. 36,000,000 Callable5.062%dueMay15,2044 34,972,182 37,364,728 11,700,000 3.75% due March 12, 2015 11,690,991 12,031,458 Daimler Canada Finance Inc. Hydro One Inc. 25,000,000 3.16% due April 14, 2014 24,997,250 25,258,787 25,000,000 3.13% due November 19, 2014 25,107,500 25,473,706 21,200,000 2.95% due September 11, 2015 21,198,092 21,313,760 Eagle Credit Card Trust 15,000,000 Callable4.64%dueMarch03,2016 14,880,150 16,082,385 40,700,000 3.474%dueDecember17,2015 40,700,000 41,393,012 80,000,000 Callable 5.18% due October 18, 2017 83,161,683 88,064,764 Enbridge Gas Distribution Inc. 36,100,000 4.40% due June 01, 2020 36,084,477 37,344,053 24,000,000 Callable 5.57% due January 29, 2014 23,995,680 25,882,890 Institutional Mortgage Securities Canada Inc. 35,000,000 Callable 5.16% due September 24, 2014 34,981,100 37,817,975 12,800,000 4.697% due February 12, 2021 12,799,872 13,150,720 26,100,000 4.04% due November 23, 2020 26,089,299 26,179,264 John Deere Credit Inc. Enbridge Inc. 15,000,000 5.30% due July 27, 2012 14,994,750 15,548,405 45,000,000 4.67% due March 25, 2013 44,986,500 46,877,421 4,200,000 3.90% due July 29, 2013 4,195,212 4,343,735 Enbridge Pipelines Inc. 50,000,000 5.45% due September 16, 2015 49,977,000 54,998,241 38,000,000 6.62% due November 19, 2018 37,983,660 45,220,473 Manulife Financial Capital Trust 13,600,000 4.49% due November 12, 2019 13,589,120 14,193,061 125,000,000 Callable 6.70% due June 30, 2012 132,793,903 130,114,761 49,400,000 4.45% due April 06, 2020 49,380,240 51,049,243 Manulife Financial Capital Trust II EnCana Corporation 60,000,000 Callable 7.405% due December 31, 2019 60,000,000 68,321,115 44,150,000 4.30% due March 12, 2012 43,803,454 44,978,524 Master Credit Card Trust ENMAX Corporation 40,000,000 5.237% due May 21, 2013 40,000,000 42,284,439 25,000,000 5.85% due April 08, 2014 24,972,250 26,794,761 45,850,000 6.15% due June 19, 2018 45,751,881 50,341,284 Merrill Lynch Financial Assets Inc. 1,152,275 Callable 6.79% due November 15, 2011 2,345,806 1,157,268 Finning International Inc. 48,860,061 Callable 5.74% due November 12, 2012 53,690,061 50,537,090 20,000,000 Callable 4.64% due December 14, 2011 19,994,000 20,261,937 51,600,000 Callable5.245%dueJune12,2013 51,748,142 53,828,473 22,300,000 Callable 5.16% due September 03, 2013 22,298,662 23,617,707 50,000,000 Callable 5.278% due October 12, 2014 52,277,500 53,263,631 41,500,000 6.02% due June 01, 2018 41,473,440 47,010,597 14,415,000 Callable 4.823% due February 12, 2015 14,993,330 15,190,961 First Capital Realty Inc. 21,000,000 Callable4.475%dueJuly12,2015 20,999,708 21,844,049 15,000,000 Callable 5.49% due December 01, 2011 15,038,250 15,205,292 40,000,000 Callable 4.621% due November 12, 2015 39,999,284 41,603,044 20,000,000 Callable 5.36% due January 31, 2014 20,007,000 20,933,794 24,624,291 Callable 4.85% due December 12, 2015 24,623,457 25,679,404 25,000,000 Callable 5.32% due October 30, 2014 24,997,500 26,280,196 National Bank of Canada 31,000,000 5.70% due November 30, 2017 31,567,085 32,905,260 31,500,000 3.147% due February 11, 2015 31,500,000 31,918,731 Ford Auto Securitization Trust 49,700,000 4.03% due May 26, 2015 49,700,000 51,818,866 24,600,000 2.431%dueNovember15,2014 24,600,000 24,840,096 50,000,000 3.58% due April 26, 2016 50,000,000 50,856,851 4,300,000 3.836% due January 15, 2015 4,300,000 4,438,228 OMERS Realty CTT Holdings Inc. 22,600,000 3.02% due February 15, 2016 22,600,000 22,962,730 11,000,000 4.75% due May 05, 2016 10,994,170 11,819,359 Ontrea Inc. 26,231,542 Callable4.619%dueApril09,2018 26,231,542 26,687,971

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 37 TD Canadian Bond Fund FIXEDINCOMEFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Petro-Canada Centre Thomson Reuters Corporation $$23,638,587 6.379% due June 09, 2014 23,638,587$ 25,166,557 $$56,600,000 5.70% due July 15, 2015 56,496,988$ 62,614,661 RBC Capital Trust, Conv. 50,600,000 6.00% due March 31, 2016 54,617,582 56,558,867 39,000,000 Callable 5.812% due December 31, 2013 40,823,250 41,857,869 Toronto Hydro Corporation 75,000,000 Callable 4.87% due December 31, 2015 74,910,800 79,129,844 30,000,000 6.11% due May 06, 2013 32,861,400 32,161,012 Real Estate Asset Liquidity Trust 10,000,000 6.11% due May 07, 2013 10,176,820 10,713,176 25,412,000 Callable 5.077% due August 12, 2014 25,384,319 26,855,258 The Toronto-Dominion Bank* 25,000,000 Callable 4.859% due March 12, 2015 24,943,744 26,213,165 200,000,000 Callable 50,000,000 Callable 4.618% due September 12, 2016 49,533,183 52,497,000 4.779%dueDecember14,2016 199,489,815 209,653,028 35,000,000 Callable 4.61% due November 12, 2016 34,998,373 36,685,840 110,000,000 Callable 30,000,000 Callable 4.782% due March 12, 2017 29,931,138 31,534,202 5.763%dueDecember18,2017 109,933,400 120,546,495 RioCan Real Estate Investment Trust Toyota Credit Canada Inc. 30,000,000 4.70% due June 15, 2012 29,882,200 30,709,676 50,000,000 5.05% due July 27, 2012 49,974,000 51,632,638 39,000,000 Callable5.23%dueMarch11,2013 38,888,300 40,436,750 30,000,000 3.55% due February 22, 2016 29,967,300 30,419,596 24,000,000 Callable 4.499% due January 21, 2016 24,018,000 24,500,100 TransCanada PipeLines Limited Rogers Communications Inc. 57,000,000 5.05% due August 20, 2013 56,925,330 60,329,072 42,000,000 5.80% due May 26, 2016 43,280,813 45,913,293 30,000,000 Callable 5.65% due January 15, 2014 32,115,450 32,385,603 50,000,000 Callable5.34%dueMarch22,2021 49,977,000 50,349,934 22,300,000 Callable 4.65% due October 03, 2016 22,294,648 23,888,847 Royal Bank of Canada VW Credit Canada Inc. 39,200,000 4.35% due June 15, 2015 39,185,888 40,748,261 36,400,000 2.55%dueNovember18,2013 36,280,216 36,548,980 50,000,000 Callable 3.18% due November 02, 2015 49,986,000 49,520,271 18,100,000 3.60% due February 01, 2016 18,082,805 18,441,402 50,000,000 3.36% due January 11, 2016 49,979,500 50,612,533 Wells Fargo Financial Canada Corporation 50,000,000 3.66% due January 25, 2017 49,981,500 50,757,134 37,500,000 5.10% due June 26, 2012 37,441,125 38,649,474 Schooner Trust 25,000,000 3.97%dueNovember03,2014 24,999,000 25,737,860 28,200,000 Callable4.719%dueApril12,2020 29,127,216 29,623,370 100,000,000 4.38% due June 30, 2015 99,954,000 104,194,819 Scotiabank Capital Trust 37,000,000 3.70% due March 30, 2016 36,984,830 37,306,181 20,000,000 Callable6.282%dueJune30,2013 20,000,000 21,439,733 Westcoast Energy Inc. Scotiabank Tier 1 Trust 11,500,000 4.57% due July 02, 2020 11,499,080 11,828,894 11,700,000 Callable7.802%dueJune30,2019 11,700,000 13,956,416 Yellow Media Inc. Shaw Communications Inc. 34,800,000 6.85%dueDecember03,2013 34,800,000 33,887,686 13,900,000 Callable 6.10% due November 16, 2012 14,553,975 14,627,551 5,991,224,151 6,258,162,719 17,378,000 Callable 7.50% due November 20, 2013 19,568,339 19,249,263 Total Canadian Bonds 8,769,801,257 9,131,166,916 22,500,000 6.50% due June 02, 2014 23,828,196 24,522,942 19,800,000 Callable6.15%dueMay09,2016 20,187,440 21,658,527 Global Bonds – 3.4% 10,000,000 5.70% due March 02, 2017 9,844,880 10,657,915 20,000,000 5.65% due October 01, 2019 20,415,200 20,536,155 SPAIN – 0.2% Junta Comunidad Castilla de Mancha Shoppers Drug Mart Corporation 30,000,000 4.453%dueNovember28,2016 30,000,000 25,917,399 54,200,000 Callable4.99%dueJune03,2013 54,199,695 56,884,738 10,000,000 5.19% due January 20, 2014 10,292,140 10,633,216 SUPRANATIONALS – 3.2% SNC-Lavalin Group Inc. Asian Development Bank 13,200,000 6.19% due July 03, 2019 13,200,000 14,751,520 50,000,000 4.75% due June 15, 2017 49,917,500 54,298,731 31,000,000 4.65% due February 16, 2027 29,859,070 32,356,226 Solar Trust* 18,000,000 Callable 5.33% due January 12, 2013 18,268,740 18,606,513 European Investment Bank 86,000,000 4.60% due January 30, 2037 85,972,480 84,283,314 Sun Life Capital Trust 67,500,000 Callable 6.865% due December 31, 2011 70,560,619 69,069,447 Inter-American Development Bank 81,000,000 4.40% due January 26, 2026 75,392,020 82,507,360 Sun Life Capital Trust Il 20,000,000 Callable 5.863% due December 31, 2019 20,000,000 21,137,807 The Nordic Investment Bank 50,000,000 5.15% due July 26, 2017 49,911,000 54,707,209 TD Capital Trust III* 25,000,000 Callable 7.243% due December 31, 2018 21,712,250 29,441,493 291,052,070 308,152,840 TD Capital Trust IV* Total Global Bonds 321,052,070 334,070,239 12,500,000 Callable6.631%dueJune30,2021 12,500,000 13,977,091 TOTALINVESTMENT TELUS Corporation PORTFOLIO – 98.3% 9,090,853,327 9,465,237,155 20,000,000 5.00% due June 03, 2013 20,382,900 20,961,052 SHORT-TERM 45,000,000 4.95% due May 15, 2014 44,998,200 47,645,225 INVESTMENTS – 1.4% 140,091,220 140,140,960 25,000,000 5.05% due July 23, 2020 24,976,020 25,400,464 OTHER NET ASSETS – 0.3% 27,006,550 27,006,550

TOTAL NET ASSETS – 100.0% $ 9,257,951,097 $ 9,632,384,665

* Related party to the Fund as an affiliated entity of TD Asset Management Inc.

38 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Canadian Bond Fund FIXEDINCOMEFUNDS

Credit Risk (Note 11) The table below summarizes the debt instruments by credit ratings as at June 30, 2011 and December 31, 2010.

Percentage of Percentage of Total Bonds (%) Total Net Assets (%) Credit Rating° 2011 2010 2011 2010 AAA 33.86 36.06 33.27 35.30 AA 29.57 27.56 29.05 26.97 A 24.79 24.43 24.36 23.91 BBB 11.78 11.95 11.58 11.69 Total 100.00 100.00 98.26 97.87

Term to Maturity Total Exposure (000s) Bonds 2011 2010 Less than 1 year $ 360,489 $ 334,629 1-5 years 4,358,250 3,934,523 5-10 years 2,729,702 3,629,067 > 10 years 2,016,796 1,517,679 Total $ 9,465,237 $ 9,415,898

Impact on Net Assets (000s) $ 554,663 $ 521,641

Impact on Net Assets (%) 5.76 5.42

Financial Instruments by the Level in the Fair Value Hierarchy (in 000s) (Note 11) The table below illustrates the classification of the Fund’s financial instruments within the fair value hierarchy as at June 30, 2011 and December 31, 2010:

Level1 Level2 Level3 Total June 30, 2011 Short-Term Investments $0$140,141 $0$140,141 Bonds 0 9,465,237 0 9,465,237 $0$9,605,378 $0$9,605,378

December 31, 2010 Bonds and Short-Term Investments $0$9,602,529 $0$9,602,529

During the periods, transfers between Level 1 and Level 2 were nil.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 55,617 $ 61,250

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 39 FIXEDINCOMEFUNDS TD Income Advantage Portfolio Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 5,529,958 $ 5,074,372 Income Distributions Received Cash 8,333 8,788 from Underlying Funds $ 118,557 $ 89,435 Subscriptions Receivable 24,157 13,795 Interest 49 9 5,562,448 5,096,955 Less: Withholding Taxes (55) (10) Liabilities 118,551 89,434 Accrued Liabilities 7,605 7,193 Expenses (Note 5) Redemptions Payable 12,915 6,588 Management Fees 42,218 24,782 Distributions Payable 1,722 6,330 Administration Fees 2,067 1,535 Payable for Investment Purchases 4,867 6,505 Independent Review Committee Fees 14 8 27,109 26,616 Bank Charges and Interest 22 Net Assets (Note 3) $ 5,535,339 $ 5,070,339 44,301 26,327 Less: Waived Expenses (3) (6) Net Assets Representing Unitholders’ Equity (Note 4) 44,298 26,321 Investor Series $ 2,324,996 $ 2,155,781 Net Investment Income (Loss) 74,253 63,113 Institutional Series $ 382 $ 344 Premium Series $ 441,355 $ 323,273 Net Realized Gain (Loss) on Advisor Series $ 2,226,466 $ 2,096,063 Sale of Investments 2,831 (1,054) F-Series $ 168,441 $ 144,708 Net Change in Unrealized Appreciation/ H-Series $ 122,157 $ 113,008 Depreciation of Investments 34,492 34,454 S-Series $ 19,208 $ 16,138 Net Gain (Loss) on Investments 37,323 33,400 T-Series $ 195,141 $ 186,416 Increase (Decrease) in Net Assets O-Series $ 37,193 $ 34,608 from Investment Operations† $ 111,576 $ 96,513 $ 5,535,339 $ 5,070,339 †Increase (Decrease) in Net Assets from Investment Operations Number of Units Outstanding Investor Series $ 47,226 $ 41,300 Investor Series 213,603,577 199,909,337 Institutional Series $9$444 Institutional Series 33,263 30,251 Premium Series $ 8,413 N/A Premium Series 44,020,357 32,550,915 Advisor Series $ 44,083 $ 45,681 Advisor Series 204,577,703 194,396,791 F-Series $ 3,945 $ 2,679 H-Series $ 2,487 $ 2,086 F-Series 16,352,973 14,180,937 S-Series $ 468 $ 342 H-Series 9,012,572 8,305,707 T-Series $ 3,888 $ 3,721 S-Series 1,423,610 1,190,124 O-Series $ 1,057 $ 260 T-Series 14,519,641 13,805,562 $ 111,576 $ 96,513

O-Series 3,617,796 3,397,927 Increase (Decrease) in Net Assets from Investment Operations – Net Assets Per Unit (Note 3) Per Unit (Note 3) Investor Series $ 10.88 $ 10.78 Investor Series $ 0.23 $ 0.27 Institutional Series $ 11.49 $ 11.38 Institutional Series $ 0.31 $ 0.24 Premium Series $ 0.22 N/A Premium Series $ 10.03 $ 9.93 Advisor Series $ 0.22 $ 0.26 Advisor Series $ 10.88 $ 10.78 F-Series $ 0.26 $ 0.29 F-Series $ 10.30 $ 10.20 H-Series $ 0.29 $ 0.35 S-Series $ 0.34 $ 0.33 H-Series $ 13.55 $ 13.61 T-Series $ 0.27 $ 0.34 S-Series $ 13.49 $ 13.56 O-Series $ 0.30 $ 0.11 T-Series $ 13.44 $ 13.50 O-Series $ 10.28 $ 10.19

40 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. FIXEDINCOMEFUNDS TD Income Advantage Portfolio Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Premium Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 2,155,781 $ 1,412,241 $ 344 $ 18,031 $ 323,273 N/A Increase (Decrease) in Net Assets from Investment Operations 47,226 41,300 9 444 8,413 N/A Capital Unit Transactions† Proceeds from Sale of Units 416,771 511,112 57 9,683 170,196 N/A Reinvestments of Distributions 26,086 22,192 6 526 4,574 N/A Early Redemption Fees 16 15 00 2N/A Amounts Paid on Redemptions (294,267) (134,872) (28) (28,189) (60,265) N/A 148,606 398,447 35 (17,980) 114,507 N/A Distributions to Unitholders (26,617) (22,696) (6) (379) (4,838) N/A Increase (Decrease) in Net Assets for the Period 169,215 417,051 38 (17,915) 118,082 N/A Net Assets, End of the Period $ 2,324,996 $ 1,829,292 $ 382 $ 116 $ 441,355 N/A †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 199,909,337 134,225,600 30,251 1,623,816 32,550,915 N/A Units Issued 38,442,976 48,072,030 4,969 863,162 17,049,921 N/A Units Issued on Reinvestments 2,402,980 2,088,543 481 47,060 457,323 N/A Units Redeemed (27,151,716) (12,685,024) (2,438) (2,523,709) (6,037,802) N/A Units Outstanding, End of the Period 213,603,577 171,701,149 33,263 10,329 44,020,357 N/A

Advisor Series F-Series H-Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 2,096,063 $ 1,704,805 $ 144,708 $ 81,189 $ 113,008 $ 70,504 Increase (Decrease) in Net Assets from Investment Operations 44,083 45,681 3,945 2,679 2,487 2,086 Capital Unit Transactions† Proceeds from Sale of Units 346,049 396,422 37,061 34,666 25,296 27,954 Reinvestments of Distributions 21,995 21,701 2,101 1,358 1,414 1,053 Early Redemption Fees 16 17 11 11 Amounts Paid on Redemptions (257,689) (182,825) (16,881) (11,874) (17,088) (7,353) 110,371 235,315 22,282 24,151 9,623 21,655 Distributions to Unitholders (24,051) (23,711) (2,494) (1,663) (2,961) (2,080) Increase (Decrease) in Net Assets for the Period 130,403 257,285 23,733 25,167 9,149 21,661 Net Assets, End of the Period $ 2,226,466 $ 1,962,090 $ 168,441 $ 106,356 $ 122,157 $ 92,165 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 194,396,791 162,076,120 14,180,937 8,152,433 8,305,707 5,203,912 Units Issued 31,933,920 37,290,048 3,612,573 3,442,598 1,858,632 2,051,501 Units Issued on Reinvestments 2,025,878 2,042,360 204,441 135,010 104,022 77,427 Units Redeemed (23,778,886) (17,204,870) (1,644,978) (1,180,135) (1,255,789) (539,474) Units Outstanding, End of the Period 204,577,703 184,203,658 16,352,973 10,549,906 9,012,572 6,793,366

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 41 FIXEDINCOMEFUNDS TD Income Advantage Portfolio Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) S-Series T-Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 16,138 $ 6,434 $ 186,416 $ 140,789 Increase (Decrease) in Net Assets from Investment Operations 468 342 3,888 3,721 Capital Unit Transactions† Proceeds from Sale of Units 5,403 19,509 28,156 31,734 Reinvestments of Distributions 124 68 1,808 1,501 Early Redemption Fees 00 21 Amounts Paid on Redemptions (2,366) (822) (20,328) (15,428) 3,161 18,755 9,638 17,808 Distributions to Unitholders (559) (468) (4,801) (3,734) Increase (Decrease) in Net Assets for the Period 3,070 18,629 8,725 17,795 Net Assets, End of the Period $ 19,208 $ 25,063 $ 195,141 $ 158,584 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 1,190,124 476,341 13,805,562 10,454,532 Units Issued 398,826 1,433,944 2,085,251 2,343,334 Units Issued on Reinvestments 9,175 5,052 134,027 111,115 Units Redeemed (174,515) (60,591) (1,505,199) (1,139,170) Units Outstanding, End of the Period 1,423,610 1,854,746 14,519,641 11,769,811

O-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 34,608 $0$5,070,339 $ 3,433,993 Increase (Decrease) in Net Assets from Investment Operations 1,057 260 111,576 96,513 Capital Unit Transactions† Proceeds from Sale of Units 2,976 28,457 1,031,965 1,059,537 Reinvestments of Distributions 1,004 0 59,112 48,399 Early Redemption Fees 00 38 35 Amounts Paid on Redemptions (1,726) 0 (670,638) (381,363) 2,254 28,457 420,477 726,608 Distributions to Unitholders (726) (105) (67,053) (54,836) Increase (Decrease) in Net Assets for the Period 2,585 28,612 465,000 768,285 Net Assets, End of the Period $ 37,193 $ 28,612 $ 5,535,339 $ 4,202,278 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 3,397,927 0 Units Issued 290,331 2,843,015 Units Issued on Reinvestments 98,132 0 Units Redeemed (168,594) 0 Units Outstanding, End of the Period 3,617,796 2,843,015

42 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. FIXEDINCOMEFUNDS TD Income Advantage Portfolio Statement of Investment Portfolio as at June 30, 2011 (Unaudited)

No. of Units Description Cost FairValue

Investment Funds – 99.9% 196,519,253 TD Canadian Bond Fund, O-Series $ 2,011,537,473 $ 2,063,452,159 102,312,635 TD Dividend Income Fund, O-Series 1,020,219,855 1,122,369,608 41,640,028 TD High Yield Bond Fund, O-Series 468,594,448 415,983,878 51,000,829 TD Income Opportunities Pool, O-Series 552,008,230 550,298,940 55,776,042 TD Mortgage Fund, O-Series 552,435,795 552,182,811 80,474,762 TD Short Term Bond Fund, O-Series 812,869,874 825,671,061

TOTALINVESTMENT PORTFOLIO – 99.9% 5,417,665,675 5,529,958,457 OTHER NET ASSETS – 0.1% 5,380,351 5,380,351

TOTAL NET ASSETS – 100.0% $ 5,423,046,026 $ 5,535,338,808

Level1 Level2 Level3 Total June 30, 2011 UnderlyingFunds $ 5,529,958 $0$0$5,529,958

December 31, 2010 UnderlyingFunds $ 5,074,372 $0$0$5,074,372

During the periods, transfers between Level 1 and Level 2 were nil.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 27,109 $ 26,616

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 43 FIXEDINCOMEFUNDS TD Canadian Core Plus Bond Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 2,698,539 $ 1,889,762 Interest $ 55,143 $ 26,512 Short-Term Investments 32,400 27,782 Foreign Exchange 15,839 913 Foreign Currencies 91 106 Securities Lending 97 43 Cash 185 137 Less: Foreign Withholding Taxes (17) 0 Interest Receivable 23,355 15,279 71,062 27,468 Subscriptions Receivable 9,385 10,217 Expenses (Note 5) Unrealized Gain on Open Foreign Management Fees 2,275 1,321 Exchange Forward Contracts 1,539 6,841 Administration Fees 263 156 2,765,494 1,950,124 Independent Review Committee Fees 53 Liabilities Bank Charges and Interest 02 Accrued Liabilities 440 406 2,543 1,482 Redemptions Payable 2,413 565 Less: Waived Expenses (4) (4) Distributions Payable 246 0 2,539 1,478 Payable for Investment Purchases 15,984 16,911 Unrealized Loss on Open Foreign Net Investment Income (Loss) 68,523 25,990 Exchange Forward Contracts 111 43 Net Realized Gain (Loss) on 19,194 17,925 Sale of Investments 3,029 867 Net Change in Unrealized Appreciation/ Net Assets (Note 3) $ 2,746,300 $ 1,932,199 Depreciation of Investments (2,897) 19,853 Net Assets Representing Unitholders’ Equity (Note 4) Net Gain (Loss) on Investments 132 20,720 Investor Series $ 163,657 $ 148,968 Increase (Decrease) in Net Assets Premium Series $ 9,001 $ 6,016 from Investment Operations† $ 68,655 $ 46,710 Advisor Series $ 173,528 $ 160,448 F-Series $ 36,436 $ 33,232 †Increase (Decrease) in Net Assets from Investment Operations O-Series $ 2,363,678 $ 1,583,535 Investor Series $ 3,195 $ 3,285 $ 2,746,300 $ 1,932,199 Premium Series $ 169 N/A Advisor Series $ 3,502 $ 4,398 Number of Units Outstanding F-Series $ 910 $ 915 Investor Series 14,992,934 13,713,748 O-Series $ 60,879 $ 38,112 Premium Series 907,269 609,524 $ 68,655 $ 46,710 Advisor Series 15,624,915 14,516,991 F-Series 3,277,371 3,003,369 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) O-Series 203,720,432 137,198,769 Investor Series $ 0.23 $ 0.40 Net Assets Per Unit (Note 3) Premium Series $ 0.22 N/A Investor Series $ 10.92 $ 10.86 Advisor Series $ 0.23 $ 0.43 Premium Series $ 9.92 $ 9.87 F-Series $ 0.28 $ 0.47 O-Series $ 0.33 $ 0.51 Advisor Series $ 11.11 $ 11.05 F-Series $ 11.12 $ 11.07 O-Series $ 11.60 $ 11.54

44 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. FIXEDINCOMEFUNDS TD Canadian Core Plus Bond Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Premium Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 148,968 $ 70,622 $ 6,016 N/A $ 160,448 $ 99,748 Increase (Decrease) in Net Assets from Investment Operations 3,195 3,285 169 N/A 3,502 4,398 Capital Unit Transactions† Proceeds from Sale of Units 49,203 46,634 4,612 N/A 34,649 36,506 Reinvestments of Distributions 2,408 1,544 126 N/A 2,378 1,826 Early Redemption Fees 00 0N/A 1 1 Amounts Paid on Redemptions (37,632) (23,535) (1,789) N/A (24,768) (14,925) 13,979 24,643 2,949 N/A 12,260 23,408 Distributions to Unitholders (2,485) (1,597) (133) N/A (2,682) (2,069) Increase (Decrease) in Net Assets for the Period 14,689 26,331 2,985 N/A 13,080 25,737 Net Assets, End of the Period $ 163,657 $ 96,953 $ 9,001 N/A $ 173,528 $ 125,485 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 13,713,748 6,666,107 609,524 N/A 14,516,991 9,249,356 Units Issued 4,520,925 4,347,834 465,564 N/A 3,132,933 3,345,260 Units Issued on Reinvestments 221,315 143,774 12,782 N/A 214,713 167,137 Units Redeemed (3,463,054) (2,198,718) (180,601) N/A (2,239,722) (1,369,080) Units Outstanding, End of the Period 14,992,934 8,958,997 907,269 N/A 15,624,915 11,392,673

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 33,232 $ 16,478 $ 1,583,535 $ 517,288 $ 1,932,199 $ 704,136 Increase (Decrease) in Net Assets from Investment Operations 910 915 60,879 38,112 68,655 46,710 Capital Unit Transactions† Proceeds from Sale of Units 8,816 10,470 727,030 531,330 824,310 624,940 Reinvestments of Distributions 543 375 48,028 21,160 53,483 24,905 Early Redemption Fees 00 64 75 Amounts Paid on Redemptions (6,327) (2,043) (7,628) (5,859) (78,144) (46,362) 3,032 8,802 767,436 546,635 799,656 603,488 Distributions to Unitholders (738) (475) (48,172) (21,270) (54,210) (25,411) Increase (Decrease) in Net Assets for the Period 3,204 9,242 780,143 563,477 814,101 624,787 Net Assets, End of the Period $ 36,436 $ 25,720 $ 2,363,678 $ 1,080,765 $ 2,746,300 $ 1,328,923 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 3,003,369 1,527,347 137,198,769 46,029,604 Units Issued 795,773 958,937 63,026,047 46,676,973 Units Issued on Reinvestments 48,999 34,312 4,150,878 1,857,105 Units Redeemed (570,770) (187,241) (655,262) (514,270) Units Outstanding, End of the Period 3,277,371 2,333,355 203,720,432 94,049,412

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 45 FIXEDINCOMEFUNDS

TD Canadian Core Plus Bond Fund Par Value Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) Bell Aliant Regional Communications, Limited Partnership Par Value Description Cost FairValue $$3,050,000 Callable4.95%dueFebruary26,2014 3,104,115$ 3,199,620 12,330,000 6.29% due February 17, 2015 13,401,837 13,506,800 Canadian Bonds – 84.9% 4,100,000 Callable 5.41% due September 26, 2016 4,072,650 4,362,287 FEDERAL BONDS & GUARANTEES – 13.2% Bell Canada Canada Housing Trust No. 1 19,000,000 3.65% due May 19, 2016 18,986,320 19,117,890 $ 11,000,000 2.75%dueDecember15,2014 $ 10,993,400 $ 11,221,530 BMO Capital Trust Canada Post Corporation 14,900,000 Callable 4.633% due December 31, 2015 14,732,611 15,580,314 6,200,000 4.08% due July 16, 2025 6,196,528 6,468,286 BMO Capital Trust, Conv. Government of Canada 1,000,000 Callable6.685%dueDecember31,2011 986,300 1,022,356 18,000,000 1.50% due March 01, 2012 18,016,740 18,040,175 320,000 Callable5.474%dueDecember31,2014 336,160 343,792 20,000,000 2.00% due September 01, 2012 20,187,279 20,151,369 BMW Canada Inc. 59,000,000 1.75% due March 01, 2013 59,101,584 59,240,470 12,000,000 3.22% due March 28, 2013 12,140,718 12,208,474 7,000,000 3.75% due June 01, 2019 7,251,568 7,428,662 16,500,000 2.76% due April 01, 2014 16,496,700 16,583,309 15,000,000 3.50% due June 01, 2020 15,122,443 15,556,945 11,000,000 3.15% due April 01, 2015 10,999,560 11,104,456 9,000,000 3.25% due June 01, 2021 9,005,819 9,104,700 6,600,000 5.75% due June 01, 2029 8,168,576 8,604,135 Bombardier Inc. (USD) 46,000,000 5.75% due June 01, 2033 59,728,245 61,423,946 5,430,000 7.50% due March 15, 2018 5,717,403 5,865,399 75,000,000 5.00% due June 01, 2037 92,072,858 92,898,377 1,575,000 7.75% due March 15, 2020 1,605,870 1,708,885 50,000,000 4.00% due June 01, 2041 53,922,800 54,150,000 Caisse centrale Desjardins 359,767,840 364,288,595 400,000 FloatingRatedueFebruary11,2014 400,000 408,932 6,900,000 3.114% due December 04, 2014 6,901,820 6,984,842 PROVINCIAL BONDS – 10.1% 6,000,000 3.788% due June 08, 2015 6,000,000 6,187,395 Province of Manitoba Canadian Capital Auto Receivables Asset Trust II 30,000,000 4.25% due March 05, 2039 29,886,900 29,507,700 857,665 2.002% due November 17, 2012 857,665 859,063 Province of Ontario 5,200,000 2.632% due August 17, 2014 5,200,000 5,277,844 5,000,000 3.25% due September 08, 2014 5,066,471 5,167,699 11,600,000 3.321%dueSeptember17,2016 11,600,000 11,797,548 30,900,000 4.40% due June 02, 2019 31,561,781 32,773,204 Canadian Capital Auto Receivables Asset Trust III 37,000,000 6.50% due March 08, 2029 45,668,488 47,407,761 9,073,947 2.716% due February 18, 2014 9,157,575 9,100,715 50,000,000 6.20% due June 02, 2031 61,350,150 62,735,260 35,000,000 5.60% due June 02, 2035 40,336,970 41,419,458 Canadian Credit Card Trust 15,000,000 4.70% due June 02, 2037 15,857,650 15,771,646 5,500,000 5.365% due March 25, 2013 5,881,000 5,798,896 10,000,000 4.60% due June 02, 2039 9,928,150 10,391,449 10,400,000 3.444% due July 24, 2015 10,400,000 10,603,882 30,000,000 4.65% due June 02, 2041 31,789,300 31,490,440 Canadian Imperial Bank of Commerce 271,445,860 276,664,617 1,000,000 5.00% due September 10, 2012 990,610 1,038,084 6,000,000 3.05% due June 03, 2013 6,097,140 6,109,919 CORPORATE BONDS – 61.6% 5,000,000 4.95% due January 23, 2014 5,341,500 5,322,442 AltaLink LP 15,000,000 3.30% due November 19, 2014 15,132,000 15,318,567 460,000 Callable5.243%dueMay29,2018 471,840 506,349 6,000,000 Callable 4.75% due December 22, 2014 6,344,050 6,417,170 Armtec Holdings Limited 10,000,000 3.10% due March 02, 2015 9,981,200 10,123,128 2,250,000 8.875% due September 22, 2017 2,303,750 1,732,500 15,000,000 3.15% due November 02, 2015 14,831,222 14,831,703 Bank of Montreal 17,300,000 3.40% due January 14, 2016 17,283,187 17,537,232 27,000,000 3.103% due March 10, 2016 27,289,310 27,055,220 10,000,000 3.95% due July 14, 2017 10,056,050 10,260,048 20,000,000 3.49% due June 10, 2016 20,112,800 20,287,058 6,000,000 Callable6.00%dueJune06,2018 6,656,680 6,749,208 2,000,000 5.45% due July 17, 2017 2,200,780 2,214,615 Canadian Natural Resources Limited 6,200,000 Callable6.17%dueMarch28,2018 6,839,870 7,025,473 2,881,000 Callable4.50%dueJanuary23,2013 3,025,255 2,984,632 15,000,000 Callable6.02%dueMay02,2018 16,988,100 17,150,953 5,200,000 Callable4.95%dueJune01,2015 5,442,720 5,574,672 The Bank of Nova Scotia Canadian Pacific Railway Company 1,000,000 5.04% due April 08, 2013 1,002,985 1,053,079 16,800,000 Callable6.25%dueJune01,2018 17,989,421 19,220,400 900,000 Callable6.00%dueOctober03,2013 899,730 969,081 Canadian Tire Corporation Limited 18,500,000 3.35% due November 18, 2014 18,535,266 18,916,479 8,000,000 4.95% due June 01, 2015 8,525,440 8,541,069 10,000,000 3.34% due March 25, 2015 9,999,500 10,207,308 Cara Operations Ltd. 1,000,000 Callable6.65%dueJanuary22,2016 999,830 1,133,720 5,900,000 9.125% due December 01, 2015 6,150,833 6,176,563 14,000,000 3.61% due February 22, 2016 13,998,040 14,320,949 10,000,000 4.10% due June 08, 2017 10,402,100 10,335,798 CARDS II Trust 11,800,000 3.096%dueSeptember15,2015 11,795,000 11,876,466 BCE Inc. 20,000,000 4.85% due June 30, 2014 21,133,660 21,162,408 Cascades Inc. 15,000,000 3.60% due December 02, 2015 14,986,048 15,178,220 2,000,000 7.75% due December 15, 2016 1,997,100 2,097,000 bcIMC Realty Corporation Cascades Inc. (USD) 2,150,000 3.38% due January 29, 2015 2,150,000 2,190,312 4,950,000 Callable 7.75% due December 15, 2017 5,237,798 4,976,924 5,000,000 5.65% due January 05, 2018 5,379,810 5,537,708 500,000 Callable7.875%dueJanuary15,2020 533,820 502,117

46 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Canadian Core Plus Bond Fund FIXEDINCOMEFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Caterpillar Financial Services Limited $$2,865,000 4.65% due February 11, 2015 2,854,465$ 3,021,466 $$2,070,000 4.94% due June 01, 2012 2,090,190$ 2,129,709 17,000,000 4.24% due June 08, 2015 17,577,150 17,668,385 12,000,000 5.20% due June 03, 2013 12,656,086 12,675,466 4,000,000 Callable4.55%dueJanuary17,2017 3,868,800 4,150,844 CIBC Capital Trust 4,855,000 5.53% due August 17, 2017 4,973,843 5,273,679 20,000,000 Callable9.976%dueJune30,2019 26,030,070 26,160,572 Glacier Credit Card Trust The Consumers’ Waterheater Operating Trust 16,000,000 5.027% due February 20, 2013 16,776,475 16,740,662 6,500,000 6.75% due April 30, 2014 6,806,837 6,921,537 6,100,000 3.158% due November 20, 2015 6,093,120 6,121,667 Corus Entertainment Inc. Golden Credit Card Trust 5,225,000 7.25% due February 10, 2017 5,340,625 5,538,500 4,120,000 5.421% due April 15, 2013 4,425,232 4,360,701 13,000,000 3.824% due May 15, 2015 13,000,000 13,460,890 Daimler Canada Finance Inc. 20,000,000 3.51% due May 15, 2016 20,000,000 20,275,672 18,500,000 3.16% due April 14, 2014 18,634,495 18,691,502 Holcim Finance (Canada) Inc. Domtar Corporation (USD) 250,000 5.90% due June 21, 2013 249,653 263,880 3,950,000 Callable 5.375% due December 01, 2013 3,811,972 4,019,104 1,000,000 10.75% due June 01, 2017 1,238,661 1,254,991 Honda Canada Finance Inc. 8,000,000 5.076% due May 09, 2013 8,466,080 8,385,618 Eagle Credit Card Trust 14,300,000 5.613%dueSeptember12,2013 15,137,447 15,240,801 13,200,000 3.474%dueDecember17,2015 13,311,000 13,424,761 HSBC Bank Canada Enbridge Gas Distribution Inc. 8,200,000 3.86% due May 21, 2015 8,197,786 8,493,458 1,175,000 Callable 5.16% due September 24, 2014 1,201,018 1,269,603 14,000,000 3.558% due October 04, 2017 13,952,196 13,975,217 2,000,000 5.16% due December 04, 2017 2,011,660 2,195,923 6,800,000 4.04% due November 23, 2020 6,797,212 6,820,651 HSBC Canada Asset Trust 19,000,000 Callable5.149%dueJune30,2015 20,169,910 20,080,782 Enbridge Inc. 5,000,000 4.67% due March 25, 2013 5,207,800 5,208,602 Husky Energy Inc. 2,900,000 3.75% due March 12, 2015 2,897,767 2,982,156 Enbridge Pipelines Inc. 6,000,000 Callable 4.46% due December 17, 2012 6,241,080 6,220,519 Hydro One Inc. 3,565,000 6.62% due November 19, 2018 3,737,652 4,242,394 6,000,000 Callable 5.00% due November 12, 2013 6,508,320 6,377,929 8,900,000 4.49% due November 12, 2019 8,946,880 9,288,106 6,400,000 2.95% due September 11, 2015 6,399,424 6,434,343 10,900,000 4.45% due April 06, 2020 10,895,640 11,263,902 3,500,000 Callable4.64%dueMarch03,2016 3,635,750 3,752,557 3,620,000 Callable5.18%dueOctober18,2017 3,855,749 3,984,931 EnCana Corporation 11,000,000 4.40% due June 01, 2020 11,077,407 11,379,074 13,100,000 Callable 5.80% due January 18, 2018 14,646,035 14,660,870 10,000,000 5.49% due July 16, 2040 10,474,692 10,849,401 ENMAX Corporation Institutional Mortgage Securities Canada Inc. 1,000,000 5.85% due April 08, 2014 998,890 1,071,790 6,314,337 3.69% due April 12, 2020 6,298,582 6,493,601 10,400,000 6.15% due June 19, 2018 11,150,908 11,418,743 3,900,000 4.697% due February 12, 2021 3,899,961 4,006,860 Fairfax Financial Holdings Limited Iron Mountain Nova Scotia Funding Company 4,200,000 6.40% due May 25, 2021 4,218,504 4,184,680 500,000 Callable7.50%dueMarch15,2017 462,625 513,835 Fairfax Financial Holdings Limited (USD) John Deere Credit Inc. 1,750,000 7.375% due April 15, 2018 1,845,134 1,829,055 2,200,000 4.80% due April 20, 2012 2,300,700 2,254,917 Finning International Inc. 2,000,000 5.30% due July 27, 2012 2,112,350 2,074,518 5,383,000 Callable 5.16% due September 03, 2013 5,399,539 5,701,081 10,000,000 2.30% due January 14, 2013 9,992,600 10,045,523 20,000,000 6.02% due June 01, 2018 21,929,700 22,655,709 3,700,000 3.50% due June 23, 2014 3,695,338 3,801,589 First Capital Realty Inc. 3,565,000 5.45% due September 16, 2015 3,813,525 3,921,375 105,000 Callable5.49%dueDecember01,2011 108,749 106,437 Loblaw Companies Limited 1,400,000 Callable5.34%dueApril01,2013 1,305,200 1,454,662 2,200,000 4.85% due May 08, 2014 2,300,700 2,323,274 2,000,000 Callable5.36%dueJanuary31,2014 2,075,400 2,093,379 Manulife Financial Capital Trust 5,100,000 Callable5.32%dueOctober30,2014 4,904,190 5,361,160 5,200,000 Callable6.70%dueJune30,2012 5,457,844 5,412,774 13,400,000 5.95% due June 01, 2015 14,096,024 14,360,744 4,600,000 5.70% due November 30, 2017 4,715,240 4,882,716 Manulife Financial Capital Trust II 21,610,000 Callable 7.405% due December 31, 2019 24,079,928 24,606,988 Ford Auto Securitization Trust 6,600,000 2.296% due July 15, 2014 6,600,000 6,656,430 Master Credit Card Trust 8,100,000 2.431% due November 15, 2014 8,100,000 8,179,056 2,050,000 5.237% due May 21, 2013 2,174,326 2,167,077 650,000 3.836% due January 15, 2015 650,000 670,895 13,600,000 3.502% due May 21, 2016 13,600,000 13,776,944 7,400,000 3.02% due February 15, 2016 7,400,000 7,518,770 Merrill Lynch Financial Assets Inc. Ford Credit Canada Limited 974,430 6.14% due May 12, 2012 1,017,570 998,140 1,600,000 4.875% due March 17, 2014 1,600,000 1,603,677 592,000 Callable4.823%dueFebruary12,2015 552,692 623,867 1,000,000 7.375% due August 18, 2015 1,065,000 1,079,167 91,245 Callable 4.071% due April 12, 2015 90,542 93,821 2,110,961 Callable4.38%dueAugust12,2015 2,118,426 2,182,195 GE Capital Canada Funding Company 3,713,281 Callable4.678%dueAugust12,2015 3,771,097 3,831,963 1,300,000 6.25% due July 24, 2012 1,374,490 1,360,362 2,050,000 Callable 4.621% due November 12, 2015 1,907,920 2,132,156 4,100,000 5.29% due August 17, 2012 4,209,430 4,256,773 7,879,773 Callable 4.85% due December 12, 2015 7,664,027 8,217,409 5,300,000 4.375% due September 28, 2012 5,464,532 5,456,445 2,200,000 5.15% due June 06, 2013 2,212,760 2,316,492 5,400,000 2.95% due February 10, 2014 5,393,682 5,449,348

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 47 TD Canadian Core Plus Bond Fund FIXEDINCOMEFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

National Bank of Canada SNC-Lavalin Group Inc. $$10,000,000 4.03% due May 26, 2015 10,000,000$ 10,426,331 $$8,431,000 6.19% due July 03, 2019 9,153,533$ 9,421,975 20,000,000 3.58% due April 26, 2016 20,000,000 20,342,740 Sun Life Assurance Company of Canada NOVA Chemicals Corporation (USD) 1,000,000 Callable6.15%dueJune30,2012 1,047,100 1,037,388 7,450,000 8.375% due November 01, 2016 8,074,707 7,903,668 Sun Life Capital Trust OMERS Realty CTT Holdings Inc. 3,000,000 Callable 6.865% due December 31, 2011 3,144,312 3,069,753 4,505,000 4.75% due May 05, 2016 4,657,938 4,840,565 Sun Life Capital Trust Il Ontrea Inc. 4,000,000 Callable 5.863% due December 31, 2019 4,000,000 4,227,561 9,475,271 Callable4.619%dueApril09,2018 9,475,271 9,640,141 TD Capital Trust IV* Petro-Canada Centre 7,100,000 Callable6.631%dueJune30,2021 7,225,640 7,938,988 482,420 6.379% due June 09, 2014 482,420 513,603 TELUS Corporation RBC Capital Trust, Conv. 7,050,000 5.00% due June 03, 2013 7,452,395 7,388,771 15,500,000 Callable 5.812% due December 31, 2013 16,441,910 16,635,820 6,000,000 4.95% due May 15, 2014 6,242,419 6,352,697 11,000,000 Callable 4.87% due December 31, 2015 11,548,650 11,605,710 8,000,000 Callable5.95%dueApril15,2015 8,763,240 8,782,276 Real Estate Asset Liquidity Trust 7,000,000 4.95% due March 15, 2017 7,280,600 7,388,998 583,278 Callable4.342%dueJune12,2015 537,594 606,551 2,000,000 5.05% due December 04, 2019 2,004,400 2,049,179 3,473,040 Callable 4.437% due February 12, 2016 3,195,386 3,616,773 8,000,000 5.05% due July 23, 2020 8,004,360 8,128,149 3,165,000 Callable 4.61% due November 12, 2016 2,863,683 3,317,448 Teranet Holdings LP 2,610,000 Callable4.782%dueMarch12,2017 2,367,475 2,743,476 18,300,000 4.807%dueDecember16,2020 18,129,635 18,440,789 Reliance LP Thomson Reuters Corporation 5,750,000 Callable7.30%dueApril03,2013 5,721,020 6,001,875 8,000,000 5.70% due July 15, 2015 8,774,374 8,850,129 RioCan Real Estate Investment Trust 17,500,000 6.00% due March 31, 2016 19,393,067 19,560,873 8,000,000 Callable 5.70% due September 11, 2012 8,502,640 8,311,797 Toronto Hydro Corporation 1,500,000 Callable5.23%dueMarch11,2013 1,454,500 1,555,260 6,600,000 6.11% due May 06, 2013 7,229,508 7,075,423 12,281,000 5.65% due March 31, 2015 12,948,227 13,121,385 The Toronto-Dominion Bank* 7,200,000 Callable4.499%dueJanuary21,2016 7,205,400 7,350,030 2,000,000 4.854% due February 13, 2013 2,139,120 2,095,704 Rogers Communications Inc. 10,000,000 Callable 4.97% due October 30, 2015 10,602,830 10,612,365 16,735,000 5.80% due May 26, 2016 18,055,837 18,294,261 5,800,000 Callable 3.367% due November 02, 2015 5,800,000 5,787,807 18,000,000 Callable5.34%dueMarch22,2021 17,991,720 18,125,976 10,000,000 Callable 4.779% due December 14, 2016 10,235,300 10,482,651 RONA Inc. 11,000,000 Callable 5.763% due December 18, 2017 11,712,600 12,054,650 7,725,000 Callable5.40%dueOctober20,2016 7,561,499 7,946,244 Toyota Credit Canada Inc. Royal Bank of Canada 6,000,000 5.05% due July 27, 2012 6,387,360 6,195,917 2,500,000 Callable5.00%dueJune06,2013 2,621,450 2,626,521 9,600,000 3.55% due February 22, 2016 9,589,536 9,734,271 500,000 5.06% due July 17, 2013 499,915 529,638 TransCanada PipeLines Limited 600,000 3.27% due November 10, 2014 596,076 614,482 10,000,000 5.05% due August 20, 2013 10,659,200 10,584,048 5,500,000 4.35% due June 15, 2015 5,498,020 5,717,231 5,300,000 Callable5.65%dueJanuary15,2014 5,734,038 5,721,456 10,000,000 Callable 3.18% due November 02, 2015 9,997,200 9,904,054 7,000,000 Callable4.65%dueOctober03,2016 7,455,490 7,498,741 20,000,000 3.36% due January 11, 2016 20,017,750 20,245,013 Trinidad Drilling Ltd. (USD) 15,000,000 3.66% due January 25, 2017 15,309,006 15,227,140 4,250,000 7.875% due January 15, 2019 4,305,419 4,242,374 Schooner Trust Vermilion Energy Inc. 3,454,000 Callable5.10%dueJuly12,2014 3,510,395 3,650,894 4,500,000 Callable6.50%dueFebruary10,2016 4,600,000 4,577,069 632,835 Callable3.972%dueSeptember12,2020 630,917 652,483 VW Credit Canada Inc. Scotiabank Capital Trust 9,500,000 2.55% due November 18, 2013 9,468,467 9,538,882 10,160,000 Callable6.626%dueJune30,2012 10,905,590 10,607,784 5,400,000 3.60% due February 01, 2016 5,394,870 5,501,855 13,200,000 Callable6.282%dueJune30,2013 13,955,704 14,150,224 Wells Fargo Financial Canada Corporation Scotiabank Tier 1 Trust 3,140,000 Callable 4.40% due December 12, 2012 3,184,100 3,241,203 8,900,000 Callable7.802%dueJune30,2019 10,211,755 10,616,419 15,000,000 3.97% due November 03, 2014 15,125,903 15,442,716 Shaw Communications Inc. 6,100,000 4.38% due June 30, 2015 6,173,390 6,355,884 15,500,000 Callable 7.50% due November 20, 2013 17,468,985 17,169,040 13,300,000 3.70% due March 30, 2016 13,294,547 13,410,060 20,000,000 6.50% due June 02, 2014 21,859,488 21,798,171 West Fraser Timber Co., Ltd. (USD) 7,000,000 Callable6.15%dueMay09,2016 7,756,386 7,657,055 8,250,000 Callable5.20%dueOctober15,2014 8,089,408 8,016,388 4,000,000 5.70% due March 02, 2017 4,102,160 4,263,166 Westcoast Energy Inc. 4,750,000 5.65% due October 01, 2019 4,796,305 4,877,337 2,300,000 4.57% due July 02, 2020 2,299,816 2,365,779 7,000,000 5.50% due December 07, 2020 6,994,010 7,005,407 Yellow Media Inc. Sherritt International Corporation 2,500,000 6.85% due December 03, 2013 2,500,000 2,434,460 2,000,000 8.25% due October 24, 2014 2,172,500 2,160,500 5,050,000 Callable7.75%dueOctober15,2015 4,944,940 5,446,425 1,666,886,015 1,691,066,467 Shoppers Drug Mart Corporation Total Canadian Bonds 2,298,099,715 2,332,019,679 650,000 Callable 4.99% due June 03, 2013 660,105 682,197 7,800,000 5.19% due January 20, 2014 8,288,451 8,293,908

48 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Canadian Core Plus Bond Fund FIXEDINCOMEFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Global Bonds – 13.4% Georgia-Pacific LLC (USD) CAYMAN ISLANDS – 0.3% 2,000,000 Callable8.25%dueMay01,2016$$ 2,269,994 2,186,505 Seagate HDD Cayman (USD) 4,175,000 Callable7.125%dueJanuary15,2017 4,401,960 4,245,021 1,800,000 6.875% due May 01, 2020 $$1,743,184 1,722,990 5,760,000 Callable7.125%dueApril01,2017 5,935,153 5,680,225 Seagate Technology HDD Holdings (USD) The Goodyear Tire & Rubber Company (USD) 1,475,000 Callable6.375% dueOctober 01, 2011 1,431,434 1,436,789 4,851,000 10.50% due May 15, 2016 5,533,333 5,263,365 4,000,000 Callable6.80%dueOctober01,2016 4,097,055 4,060,335 1,500,000 8.25% due August 15, 2020 1,568,747 1,562,409 1,108,000 8.75% due August 15, 2020 1,193,471 1,172,800 Seagate Technology International (USD) 482,000 Callable10.00%dueMay01,2014 562,341 539,243 Great Lakes Dredge & Dock Corporation (USD) 2,575,000 Callable 7.375% due February 01, 2019 2,587,941 2,446,207 7,834,014 7,759,357 HCA Inc. (USD) MEXICO – 0.3% 6,850,000 9.25% due November 15, 2016 7,527,662 7,011,130 Kansas City Southern de Mexico SA de CV (USD) The Hertz Corporation (USD) 6,650,000 8.00% due February 01, 2018 7,059,092 6,958,748 540,000 Callable8.875%dueJanuary01,2014 564,736 533,823 NEW ZEALAND – 0.0% 7,225,000 Callable7.50%dueOctober15,2018 7,411,667 7,177,196 Reynolds Group Holdings Limited (USD) Host Hotels & Resorts LP (USD) 100,000 Callable6.875%dueFebruary15,2021 99,325 94,034 7,500,000 9.00% due May 15, 2013 8,387,121 8,137,547 UNITED STATES – 11.5% Hughes Network Systems LLC/ AK Steel Holding Corporation (USD) HNS Finance Corp. (USD) 2,650,000 Callable7.625%dueMay15,2020 2,801,183 2,619,687 4,375,000 Callable9.50%dueApril15,2014 4,735,688 4,324,955 Belden Inc. (USD) International Lease Finance Corporation (USD) 4,905,000 9.25% due June 15, 2019 5,404,491 5,262,823 7,500,000 8.625% due September 15, 2015 8,144,129 7,839,170 CF Industries Inc. (USD) Iron Mountain Incorporated (USD) 4,275,000 6.875% due May 01, 2018 4,630,884 4,674,478 6,025,000 Callable6.625%dueJanuary01,2016 6,227,081 5,810,811 2,000,000 7.125% due May 01, 2020 2,117,024 2,244,757 1,000,000 Callable8.75%dueJuly15,2018 1,043,888 1,001,822 CNH Global NV (USD) 1,000,000 Callable8.00%dueJune15,2020 1,012,310 998,206 7,250,000 Callable 7.875% due December 01, 2017 7,853,471 7,691,489 Jabil Circuit Inc. (USD) Constellation Brands Inc. (USD) 2,540,000 7.75% due July 15, 2016 2,811,806 2,713,046 5,875,000 Callable 7.25% due September 01, 2016 6,324,745 6,190,262 4,815,000 Callable8.25%dueMarch15,2018 5,247,010 5,305,572 Crown Americas LLC/ Jarden Corporation (USD) Crown Americas Capital Corp II (USD) 9,325,000 Callable7.50%dueMay01,2017 9,679,776 9,341,994 4,400,000 Callable7.625%dueMay15,2017 4,740,026 4,545,935 The Kansas City Southern Railway (USD) Crown Americas LLC/ 162,000 13.00% due December 15, 2011 195,349 181,630 Crown Americas Capital Corp III (USD) 500,000 8.00% due June 01, 2012 553,997 517,186 3,285,000 Callable6.25%dueFebruary01,2021 3,285,374 3,199,900 Landry’s Restaurants Inc. (USD) Dole Food Company (USD) 2,800,000 11.625%dueDecember01,2015 3,075,210 2,889,492 2,725,000 8.00% due October 01, 2016 2,892,213 2,752,962 LBI Escrow Corporation (USD) Easton-Bell Sports Inc. (USD) 3,100,000 8.00% due November 01, 2017 3,340,010 3,326,147 5,331,000 9.75% due December 01, 2012 5,779,905 5,668,485 Levi Strauss & Co. (USD) EchoStar DBS Corporation (USD) 5,400,000 Callable8.875%dueApril01,2016 5,611,603 5,403,331 1,350,000 Callable6.625% dueOctober 01, 2014 1,388,768 1,370,363 3,000,000 7.625% due May 15, 2020 3,054,284 2,893,350 6,300,000 Callable7.75%dueMay31,2015 6,826,269 6,577,308 The Manitowoc Company Inc. (USD) EH Holding Corporation (USD) 1,350,000 Callable 7.125% due November 01, 2013 1,258,828 1,311,773 2,000,000 Callable6.50%dueJune15,2019 1,965,763 1,962,656 MetroPCS Wireless Inc. (USD) El Paso Corporation (USD) 8,245,000 7.875% due September 01, 2018 8,522,713 8,419,064 5,215,000 6.875% due June 15, 2014 5,508,808 5,620,233 MGM Mirage (USD) 1,000,000 Callable7.25%dueJune01,2018 1,083,842 1,083,290 3,350,000 10.375% due May 15, 2014 3,762,681 3,667,080 Elizabeth Arden Inc. (USD) MGM Resorts International (USD) 2,900,000 Callable7.375%dueMarch15,2021 2,939,114 2,912,277 1,350,000 11.125% due May 15, 2013 1,582,716 1,487,544 Ford Motor Credit Company LLC (USD) The Neiman Marcus Group Inc. (USD) 4,500,000 7.00% due October 01, 2013 4,701,894 4,638,055 4,150,000 Callable 10.375% due October 15, 2015 3,854,553 4,202,591 GameStop Corp./GameStop Inc. (USD) NRG Energy Inc. (USD) 2,459,000 Callable8.00%dueOctober01,2012 2,723,204 2,407,156 1,000,000 Callable7.375%dueFebruary01,2016 1,076,313 998,206 Gannett Co., Inc. (USD) 5,850,000 7.625% due May 15, 2019 5,631,378 5,613,822 830,000 6.375% due April 01, 2012 802,307 822,507 Phillips-Van Heusen Corporation (USD) 2,000,000 8.75% due November 15, 2014 2,251,500 2,170,013 7,425,000 7.375% due May 15, 2020 7,900,487 7,662,314 1,750,000 10.00% due April 01, 2016 1,773,664 1,940,956 3,500,000 Callable 7.125% due September 01, 2018 3,483,154 3,388,233

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 49 TD Canadian Core Plus Bond Fund FIXEDINCOMEFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Pinafore Inc. (USD) West Corporation (USD) 7,500,000 9.00% due October 01, 2018 $$8,133,628 7,793,962 6,335,000 8.625% due October 01, 2018 $6,579,546 $ 6,170,889 Qwest Communications International Inc. (USD) WMG Acquisition Corp. (USD) 5,200,000 Callable7.50%dueFebruary15,2014 5,386,726 5,090,367 4,300,000 9.50% due June 15, 2016 4,849,876 4,375,227 1,300,000 Callable7.125%dueApril01,2018 1,357,231 1,346,252 326,527,257 316,561,193 R.R. Donnelley & Sons Company (USD) SUPRANATIONALS – 1.3% 1,000,000 Callable8.60%dueAugust15,2016 1,072,898 1,048,270 Asian Development Bank 1,000,000 Callable6.125%dueJanuary15,2017 1,011,751 942,760 11,000,000 4.65% due February 16, 2027 10,374,388 11,481,242 2,215,000 7.25% due May 15, 2018 2,154,420 2,136,257 1,000,000 7.625% due June 15, 2020 1,028,361 953,166 European Investment Bank 3,360,000 4.60% due January 30, 2037 3,141,935 3,292,929 Reynolds Group Issuer Inc. (USD) 8,750,000 7.125% due April 15, 2019 9,001,162 8,375,645 Inter-American Development Bank 20,000,000 4.40% due January 26, 2026 19,661,885 20,372,188 Sears Holdings Corporation (USD) 8,700,000 6.625% due October 15, 2018 8,259,892 7,782,388 33,178,208 35,146,359 Spirit Aerosystems Inc. (USD) Total Global Bonds 374,697,896 366,519,691 7,400,000 7.50% due October 01, 2017 7,782,311 7,511,619 TOTALINVESTMENT Sprint Nextel Corporation (USD) PORTFOLIO – 98.3% 2,672,797,611 2,698,539,370 2,750,000 Callable6.875% dueOctober 31, 2013 2,757,813 2,668,814 SHORT-TERM 4,750,000 Callable8.375%dueAugust15,2017 5,167,077 5,033,525 INVESTMENTS – 1.2% 32,400,000 32,400,000 Steel Dynamics Inc. (USD) FOREIGN CURRENCIES – 0.0% 91,482 90,728 4,175,000 7.375% due November 01, 2012 4,445,271 4,248,041 3,119,000 Callable7.75%dueApril15,2016 3,285,810 3,158,526 FORWARDCONTRACTS (SCHEDULE 1) – 0.0% 0 1,427,752 SunGard Data Systems Inc. (USD) 984,000 Callable10.25%dueAugust15,2015 1,046,018 982,234 OTHER NET ASSETS – 0.5% 13,895,888 13,842,010 6,550,000 7.375% due November 15, 2018 6,619,189 6,317,148 TOTAL NET ASSETS – 100.0% $ 2,719,184,981 $ 2,746,299,860 Terex Corporation (USD) 5,517,000 Callable 8.00% due November 15, 2017 5,683,826 5,453,892 * Related party to the Fund as an affiliated entity of TRW Automotive Inc. (USD) TD Asset Management Inc. 3,675,000 Callable7.00%dueMarch15,2014 3,404,385 3,916,511 2,000,000 Callable7.25%dueMarch15,2017 1,985,784 2,141,079 United States Steel Corporation (USD) 2,250,000 Callable5.65%dueJune01,2013 2,248,791 2,262,238 2,000,000 7.375% due April 01, 2020 2,083,946 1,981,945 Valassis Communications Inc. (USD) 6,400,000 Callable 6.625% due February 01, 2021 6,231,790 6,110,755 Wendy’s/Arby’s Restaurants LLC (USD) 7,200,000 Callable10.00%dueJuly15,2016 7,968,557 7,690,524

Foreign Exchange Forward Contracts (Schedule 1) Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Appreciation

July 19, 2011 160,539,816 USD $154,908,883 155,552,281 CAD $155,552,281 0.96874 to0.97594 $ 643,398 July 19, 2011 118,281,360 USD 114,132,641 114,581,519 CAD 114,581,519 0.96872 448,878 July 19, 2011 110,278,202 USD 106,410,194 106,828,699 CAD 106,828,699 0.96872 418,505 July 19, 2011 5,126,096 USD 4,946,299 4,974,287 CAD 4,974,287 0.96887 to 0.97256 27,988 $ 380,398,017 $ 381,936,786 $ 1,538,769

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 19, 2011 3,579,888 CAD $ 3,579,888 3,652,500 USD $ 3,524,389 0.98012 $ (55,499) July 19, 2011 3,579,907 CAD 3,579,907 3,652,500 USD 3,524,389 0.98012 (55,518) $ 7,159,795 $ 7,048,778 $ (111,017)

TOTALNUMBEROFCONTRACTS: 8 NETAPPRECIATION $ 1,427,752

50 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Canadian Core Plus Bond Fund FIXEDINCOMEFUNDS

° Credit ratings are obtained from Standard & Poor’s, Moody’s or DBRS rating agencies. December 31, 2010 Bonds $0$1,917,544 $0$1,917,544 Interest Rate Risk (Note 11) Forward Contracts 0 6,841 0 6,841 The table below summarizes the Fund’s exposure to interest rate risk as at June 30, 2011 0 1,924,385 0 1,924,385 and December 31, 2010 by remaining term to maturity. The table also illustrates the potential impact to the Fund’s net assets had the prevailing interest rates changed by 1%, assuming Forward Contracts 0 (43) 0 (43) a parallel shift in the yield curve, with all other variables held constant. The Fund’s sensitivity $0$1,924,342 $0$1,924,342 to interest rate changes was estimated using the weighted average duration of the bond portfolio. In practice, the actual trading results may differ from these approximate sensitivity During the periods, transfers between Level 1 and Level 2 were nil. analysis amounts and the difference could be material. Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) Total Exposure (000s) Term to Maturity The table below summarizes cash flows associated with the maturities of the Fund’s financial Bonds 2011 2010 liabilities as at June 30, 2011 and December 31, 2010:

Less than 1 year $ 29,881 $ 6,071 Less than 1-5 years 1,363,130 767,225 3 months 5-10 years 789,325 879,883 2011 2010 > 10 years 516,203 236,583 Accounts payable and other liabilities $ 19,083 $ 17,882 Total $ 2,698,539 $ 1,889,762 Forward Contracts 111 43 Impact on Net Assets (000s) $ 158,134 $ 102,803 $ 19,194 $ 17,925

Impact on Net Assets (%) 5.76 5.32

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 51 FIXEDINCOMEFUNDS TD Corporate Bond Capital Yield Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 532,516 $ 531,389 Interest $ 3,910 $ 3,140 Short-Term Investments 700 400 Expenses (Note 5) Foreign Currencies 11Management Fees 3,631 2,894 Cash 440 256 Administration Fees 296 284 Interest Receivable 1,721 1,696 Independent Review Committee Fees 11 Subscriptions Receivable 2,381 1,545 Forward Contract Fees 847 719 Unrealized Gain on Open Forward Contracts 26,631 9,913 4,775 3,898 564,390 545,200 Less: Waived Expenses (0) (0) Liabilities 4,775 3,898 Accrued Liabilities 658 663 Net Investment Income (Loss) (865) (758) Redemptions Payable 1,116 1,577 Distributions Payable 395 0 Net Realized Gain (Loss) on Payable for Forward Contracts 1,239 138 Sale of Investments (49) 2,846 Net Change in Unrealized Appreciation/ 3,408 2,378 Depreciation of Investments 12,888 12,950 Net Assets (Note 3) $ 560,982 $ 542,822 Net Gain (Loss) on Investments 12,839 15,796 Net Assets Representing Unitholders’ Equity (Note 4) Increase (Decrease) in Net Assets Investor Series $ 23,060 $ 26,601 from Investment Operations† $ 11,974 $ 15,038 Premium Series $ 83,251 $ 73,836 Advisor Series $ 341,309 $ 341,410 †Increase (Decrease) in Net Assets from Investment Operations F-Series $ 113,362 $ 100,975 Investor Series $ 477 $ 844 Premium Series $ 1,859 N/A $ 560,982 $ 542,822 Advisor Series $ 7,037 $ 11,358 Number of Units Outstanding F-Series $ 2,601 $ 2,836 Investor Series 1,498,055 1,738,584 $ 11,974 $ 15,038 Premium Series 8,366,967 7,466,744 Advisor Series 22,192,603 22,331,203 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) F-Series 7,372,131 6,606,217 Investor Series $ 0.32 $ 0.49 Net Assets Per Unit (Note 3) Premium Series $ 0.23 N/A Investor Series $ 15.39 $ 15.30 Advisor Series $ 0.32 $ 0.51 Premium Series $ 9.95 $ 9.89 F-Series $ 0.37 $ 0.56 Advisor Series $ 15.38 $ 15.29 F-Series $ 15.38 $ 15.28

52 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. FIXEDINCOMEFUNDS TD Corporate Bond Capital Yield Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Premium Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 26,601 $ 21,923 $ 73,836 N/A $ 341,410 $ 324,203 Increase (Decrease) in Net Assets from Investment Operations 477 844 1,859 N/A 7,037 11,358 Capital Unit Transactions† Proceeds from Sale of Units 4,977 9,519 25,005 N/A 46,253 58,018 Reinvestments of Distributions 317 461 1,133 N/A 3,948 5,211 Early Redemption Fees 01 0N/A 2 3 Amounts Paid on Redemptions (8,962) (5,120) (17,212) N/A (52,308) (60,104) (3,668) 4,861 8,926 N/A (2,105) 3,128 Distributions to Unitholders (350) (496) (1,370) N/A (5,033) (6,348) Increase (Decrease) in Net Assets for the Period (3,541) 5,209 9,415 N/A (101) 8,138 Net Assets, End of the Period $ 23,060 $ 27,132 $ 83,251 N/A $ 341,309 $ 332,341 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 1,738,584 1,464,689 7,466,744 N/A 22,331,203 21,670,885 Units Issued 323,607 628,056 2,518,154 N/A 3,014,547 3,834,052 Units Issued on Reinvestments 20,616 30,464 114,077 N/A 257,201 344,317 Units Redeemed (584,752) (338,935) (1,732,008) N/A (3,410,348) (3,980,630) Units Outstanding, End of the Period 1,498,055 1,784,274 8,366,967 N/A 22,192,603 21,868,624

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 100,975 $ 69,117 $ 542,822 $ 415,243 Increase (Decrease) in Net Assets from Investment Operations 2,601 2,836 11,974 15,038 Capital Unit Transactions† Proceeds from Sale of Units 22,553 21,593 98,788 89,130 Reinvestments of Distributions 1,065 1,033 6,463 6,705 Early Redemption Fees 10 34 Amounts Paid on Redemptions (11,860) (11,359) (90,342) (76,583) 11,759 11,267 14,912 19,256 Distributions to Unitholders (1,973) (1,744) (8,726) (8,588) Increase (Decrease) in Net Assets for the Period 12,387 12,359 18,160 25,706 Net Assets, End of the Period $ 113,362 $ 81,476 $ 560,982 $ 440,949 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 6,606,217 4,619,233 Units Issued 1,469,409 1,426,186 Units Issued on Reinvestments 69,378 68,234 Units Redeemed (772,873) (751,750) Units Outstanding, End of the Period 7,372,131 5,361,903

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 53 FIXEDINCOMEFUNDS

TD Corporate Bond Capital Yield Fund Par Value Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) Canadian Imperial Bank of Commerce $$1,000,000 Callable4.75% dueDecember22, 2014 1,020,140$ 1,069,528 Par Value Description Cost FairValue 4,500,000 3.10% due March 02, 2015 4,491,540 4,555,408 2,700,000 3.15% due November 02, 2015 2,694,303 2,669,707 Canadian Bonds – 36.3% 3,000,000 3.40% due January 14, 2016 2,998,770 3,041,139 FEDERAL BONDS – 1.8% 4,000,000 3.95% due July 14, 2017 3,991,520 4,104,019 Government of Canada Canadian Natural Resources Limited $ 2,800,000 2.00% due June 01, 2016 $ 2,768,560 $ 2,756,833 1,000,000 Callable4.50%dueJanuary23,2013 979,180 1,035,971 1,500,000 3.50% due June 01, 2020 1,596,000 1,555,694 Canadian Tire Corporation Limited 4,500,000 3.25% due June 01, 2021 4,559,267 4,552,350 2,000,000 4.95% due June 01, 2015 2,128,880 2,135,267 1,000,000 4.00% due June 01, 2041 1,090,000 1,083,000 CARDS II Trust 10,013,827 9,947,877 2,200,000 3.096% due September 15, 2015 2,200,000 2,214,256 PROVINCIAL BONDS – 0.3% Citigroup Finance Canada Inc. Province of Ontario 1,500,000 4.75% due March 17, 2014 1,514,565 1,555,189 2,000,000 4.20% due March 08, 2018 1,991,220 2,119,759 Eagle Credit Card Trust CORPORATE BONDS – 34.2% 3,300,000 3.474% due December 17, 2015 3,300,000 3,356,190 AltaLink LP Enbridge Gas Distribution Inc. 1,000,000 Callable5.243%dueMay29,2018 1,018,018 1,100,760 500,000 5.16% due December 04, 2017 502,915 548,981 Bank of Montreal 1,400,000 4.04% due November 23, 2020 1,399,426 1,404,252 1,100,000 Callable4.78%dueApril30,2014 1,184,260 1,170,203 1,200,000 Callable 6.16% due December 16, 2033 1,416,360 1,399,925 4,000,000 3.103% due March 10, 2016 4,006,240 4,008,181 Enbridge Pipelines Inc. 4,000,000 3.49% due June 10, 2016 4,000,000 4,057,412 3,000,000 4.45% due April 06, 2020 2,998,800 3,100,156 The Bank of Nova Scotia 1,600,000 5.33% due April 06, 2040 1,599,760 1,701,118 600,000 3.43% due July 16, 2014 602,161 615,983 Ford Auto Securitization Trust 6,500,000 3.35% due November 18, 2014 6,510,396 6,646,331 200,000 2.75% due November 15, 2013 200,000 201,552 1,000,000 3.34% due March 25, 2015 999,950 1,020,731 200,000 3.836% due January 15, 2015 200,000 206,429 3,500,000 3.61% due February 22, 2016 3,499,510 3,580,237 GE Capital Canada Funding Company 4,000,000 4.10% due June 08, 2017 4,190,080 4,134,319 1,500,000 2.95% due February 10, 2014 1,498,245 1,513,708 BCE Inc. 1,000,000 4.40% due June 01, 2014 998,520 1,045,265 2,000,000 3.60% due December 02, 2015 1,999,600 2,023,763 3,000,000 5.28% due October 22, 2014 3,008,580 3,224,056 bcIMC Realty Corporation 1,000,000 Callable4.55%dueJanuary17,2017 989,100 1,037,711 1,500,000 3.38% due January 29, 2015 1,529,250 1,528,124 Golden Credit Card Trust 1,000,000 Callable4.65%dueFebruary10,2015 1,046,260 1,058,686 4,000,000 3.824% due May 15, 2015 4,000,000 4,141,812 Bell Aliant Regional Communications, Honda Canada Finance Inc. Limited Partnership 2,000,000 5.076% due May 09, 2013 2,105,000 2,096,404 800,000 Callable4.95%dueFebruary26,2014 799,768 839,245 HSBC Bank Canada Bell Canada 1,500,000 3.86% due May 21, 2015 1,499,595 1,553,681 1,900,000 3.65% due May 19, 2016 1,898,632 1,911,789 2,100,000 3.558% due October 04, 2017 2,100,000 2,096,283 BMO Capital Trust Husky Energy Inc. 4,600,000 Callable 4.633% due December 31, 2015 3,766,250 4,810,030 900,000 3.75% due March 12, 2015 899,307 925,497 BMW Canada Inc. Hydro One Inc. 1,700,000 3.22% due March 28, 2013 1,699,813 1,729,534 1,500,000 Callable4.89%dueMarch13,2037 1,499,760 1,491,312 Caisse centrale Desjardins 1,900,000 5.49% due July 16, 2040 1,897,473 2,061,386 3,100,000 3.114% due December 04, 2014 3,117,350 3,138,117 Institutional Mortgage Securities Canada Inc. 2,000,000 3.788% due June 08, 2015 2,011,060 2,062,465 971,437 3.69% due April 12, 2020 971,427 999,016 Canadian Capital Auto Receivables Asset Trust II 1,000,000 4.697% due February 12, 2021 999,990 1,027,400 1,300,000 2.632% due August 17, 2014 1,300,000 1,319,461 John Deere Credit Inc. 3,000,000 3.321% due September 17, 2016 3,000,000 3,051,090 4,000,000 2.30% due January 14, 2013 3,997,040 4,018,209 Canadian Capital Auto Receivables Asset Trust III 1,400,000 3.90% due July 29, 2013 1,398,404 1,447,912 2,887,165 2.716% due February 18, 2014 2,913,775 2,895,683 1,300,000 3.50% due June 23, 2014 1,298,362 1,335,693 Canadian Credit Card Trust Merrill Lynch Financial Assets Inc. 5,000,000 5.365% due March 25, 2013 5,325,000 5,271,724 1,202,769 Callable4.38%dueAugust12,2015 1,247,437 1,243,356 2,400,000 3.444% due July 24, 2015 2,400,000 2,447,050 National Bank of Canada 4,500,000 3.147% due February 11, 2015 4,455,500 4,559,819 3,700,000 4.03% due May 26, 2015 3,700,000 3,857,743

54 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Corporate Bond Capital Yield Fund FIXEDINCOMEFUNDS

No. of Shares Par Value Description Cost FairValue or Units Description Cost FairValue

OMERS Realty CTT Holdings Inc. Canadian Common Stock – 57.2% $$600,000 4.75% due May 05, 2016 633,480$ 644,692 ENERGY – 13.9% RBC Capital Trust, Conv. 1,396,535 Celtic Exploration Ltd. $ 25,076,454 $ 29,788,092 5,400,000 Callable 4.87% due December 31, 2015 4,922,520 5,697,349 537,550 MEG Energy Corp. 25,079,976 27,049,516 RioCan Real Estate Investment Trust 763,411 Paramount Resources Ltd., Class “A” 25,080,008 21,115,948 200,000 4.70% due June 15, 2012 197,140 204,731 75,236,438 77,953,556 500,000 Callable5.70%dueSeptember11,2012 499,850 519,487 MATERIALS – 22.2% 500,000 Callable5.23%dueMarch11,2013 485,775 518,420 3,838,761 Canfor Corporation 25,066,544 40,498,929 Rogers Communications Inc. 2,957,521 New Gold Inc. 25,079,572 29,427,334 4,100,000 Callable5.34%dueMarch22,2021 4,098,114 4,128,695 2,254,844 Osisko Mining Corporation 25,080,532 33,800,112 Royal Bank of Canada 1,449,600 Quadra FNX Mining Ltd. 25,079,681 20,758,272 3,000,000 3.27% due November 10, 2014 3,081,750 3,072,411 100,306,329 124,484,647 2,000,000 3.18% due March 16, 2015 1,999,260 2,035,687 2,600,000 4.35% due June 15, 2015 2,650,224 2,702,691 INFORMATION TECHNOLOGY – 21.1% 2,000,000 Callable 3.18% due November 02, 2015 1,999,440 1,980,811 2,614,143 Celestica Inc., SV 25,078,813 22,089,508 2,700,000 3.36% due January 11, 2016 2,698,893 2,733,077 2,215,903 CGI Group Inc., Class “A” SV 25,078,875 52,760,650 5,000,000 3.66% due January 25, 2017 5,036,520 5,075,713 530,851 Open Text Corporation 25,084,629 32,822,517 392,474 Research In Motion Limited 25,070,519 10,942,175 TELUS Corporation 1,500,000 4.95% due May 15, 2014 1,566,015 1,588,174 100,312,836 118,614,850 1,700,000 5.05% due December 04, 2019 1,702,210 1,741,802 Total Canadian Common Stock 275,855,603 321,053,053 The Toronto-Dominion Bank* TOTALINVESTMENT 2,700,000 Callable 3.367% due November 02, 2015 2,700,000 2,694,324 PORTFOLIO – 94.9% 481,679,559 532,515,804 Toyota Credit Canada Inc. SHORT-TERM 3,000,000 5.05% due July 27, 2012 3,013,500 3,097,958 INVESTMENTS – 0.1% 700,000 700,000 2,500,000 3.55% due February 22, 2016 2,497,275 2,534,966 FOREIGN CURRENCIES – 0.0% 1,618 1,440 TransCanada PipeLines Limited 1,000,000 5.05% due February 14, 2014 1,089,755 1,064,373 FORWARDCONTRACTS 1,500,000 Callable4.65%dueOctober03,2016 1,580,115 1,606,873 (SCHEDULE 1) – 4.8% 0 26,630,574 VW Credit Canada Inc. OTHER NET ASSETS – 0.2% 1,133,772 1,133,772 2,900,000 2.55% due November 18, 2013 2,890,547 2,911,869 1,500,000 3.60% due February 01, 2016 1,498,575 1,528,293 TOTAL NET ASSETS – 100.0% $ 483,514,949 $ 560,981,590

Wells Fargo Financial Canada Corporation * Related party to the Fund as an affiliated entity of 8,500,000 3.97% due November 03, 2014 8,499,659 8,750,872 TD Asset Management Inc. Westcoast Energy Inc. 500,000 4.57% due July 02, 2020 499,960 514,300 186,857,849 191,743,836

Total Canadian Bonds 198,862,896 203,811,472

Global Bonds – 1.4% SUPRANATIONALS – 1.4% Asian Development Bank 2,000,000 4.65% due February 16, 2027 1,778,600 2,087,498 European Investment Bank 1,000,000 4.60% due January 30, 2037 999,680 980,039 Inter-American Development Bank 4,500,000 4.40% due January 26, 2026 4,182,780 4,583,742 6,961,060 7,651,279

Forward Contracts (Schedule 1) Notional Value to Value to Settlement Number bePaid beReceived Date Counterparty of Units ($ 000s) ($ 000s) Unrealized Gain

TD Corporate Bond Pool, O-Series (Note 3) Sept.06,2011 BankofMontreal 22,202,020 $ 321,053,053 $ 347,683,627 $ 26,630,574

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 55 TD Corporate Bond Capital Yield Fund FIXEDINCOMEFUNDS

Credit Risk (Note 11) Financial Instruments by the Level in the Fair Value Hierarchy The table below summarizes the debt instruments by credit ratings as at June 30, 2011 and (in 000s) (Note 11) December 31, 2010. The table below illustrates the classification of the Fund’s financial instruments within the fair value hierarchy as at June 30, 2011 and December 31, 2010: Percentage of Percentage of Total Bonds (%) Total Net Assets (%) Credit Rating° 2011 2010 2011 2010 Level1 Level2 Level3 Total AAA 24.46 36.01 9.22 14.41 June 30, 2011 AA 46.84 43.61 17.66 17.45 CommonShares $ 321,053 $0$0$321,053 A 20.15 15.31 7.60 6.13 Short-Term Investments 0 700 0 700 BBB 8.55 5.07 3.22 2.03 Bonds 0 211,463 0 211,463 Forward Contracts 0 26,631 0 26,631 Total 100.00 100.00 37.70 40.02 $ 321,053 $ 238,794 $0$559,847 ° Credit ratings are obtained from Standard & Poor’s, Moody’s or DBRS rating agencies. Interest Rate Risk (Note 11) December 31, 2010 CommonShares $ 314,164 $0$0$314,164 The table below summarizes the Fund’s exposure to interest rate risk as at June 30, 2011 Bonds and Short-Term and December 31, 2010 by remaining term to maturity. The table also illustrates the potential impact to the Fund’s net assets had the prevailing interest rates changed by 1%, assuming Investments 0 217,625 0 217,625 a parallel shift in the yield curve, with all other variables held constant. The Fund’s sensitivity Forward Contracts 0 9,913 0 9,913 to interest rate changes was estimated using the weighted average duration of the bond $ 314,164 $ 227,538 $0$541,702 portfolio. In practice, the actual trading results may differ from these approximate sensitivity analysis amounts and the difference could be material. During the periods, transfers between Level 1 and Level 2 were nil.

Term to Maturity Total Exposure (000s) Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) Bonds 2011 2010 The table below summarizes cash flows associated with the maturities of the Fund’s financial Less than 1 year $ 205 $ 2,047 liabilities as at June 30, 2011 and December 31, 2010: 1-5 years 151,971 133,465 Less than 5-10 years 43,899 57,607 3 months > 10 years 15,388 24,106 2011 2010 Total $ 211,463 $ 217,225 Accounts payable and other liabilities $ 3,408 $ 2,378 Impact on Net Assets (000s) $ 13,576 $ 10,427

Impact on Net Assets (%) 2.42 1.92

56 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. FIXEDINCOMEFUNDS TD Real Return Bond Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 1,579,863 $ 1,500,971 Interest $ 39,760 $ 30,516 Short-Term Investments 10,300 43,449 Securities Lending 39 35 Cash 108 173 39,799 30,551 Interest Receivable 3,112 3,110 Expenses (Note 5) Subscriptions Receivable 4,469 2,163 Management Fees 9,554 8,644 1,597,852 1,549,866 Administration Fees 1,164 1,058 Liabilities Independent Review Committee Fees 44 Accrued Liabilities 1,827 1,825 10,722 9,706 Redemptions Payable 3,002 1,656 Less: Waived Expenses (0) (0) Distributions Payable 1,807 0 10,722 9,706 6,636 3,481 Net Investment Income (Loss) 29,077 20,845 Net Assets (Note 3) $ 1,591,216 $ 1,546,385 Net Realized Gain (Loss) on Net Assets Representing Unitholders’ Equity (Note 4) Sale of Investments 3,482 620 Investor Series $ 466,327 $ 456,290 Net Change in Unrealized Appreciation/ Advisor Series $ 994,291 $ 981,327 Depreciation of Investments 21,642 22,342 F-Series $ 87,537 $ 74,590 Net Gain (Loss) on Investments 25,124 22,962 O-Series $ 43,061 $ 34,178 Increase (Decrease) in Net Assets $ 1,591,216 $ 1,546,385 from Investment Operations† $ 54,201 $ 43,807 Number of Units Outstanding †Increase (Decrease) in Net Assets from Investment Operations Investor Series 27,959,225 27,873,101 Investor Series $ 15,539 $ 12,825 Advisor Series 69,775,227 70,158,214 Advisor Series $ 33,612 $ 27,763 F-Series 5,980,786 5,194,344 F-Series $ 3,263 $ 2,199 O-Series 3,835,830 3,105,133 O-Series $ 1,787 $ 1,020 Net Assets Per Unit (Note 3) $ 54,201 $ 43,807 Investor Series $ 16.68 $ 16.37 Increase (Decrease) in Net Assets from Investment Operations – Advisor Series $ 14.25 $ 13.99 Per Unit (Note 3) F-Series $ 14.64 $ 14.36 Investor Series $ 0.58 $ 0.46 Advisor Series $ 0.50 $ 0.40 O-Series $ 11.23 $ 11.01 F-Series $ 0.57 $ 0.48 O-Series $ 0.47 $ 0.40

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 57 FIXEDINCOMEFUNDS TD Real Return Bond Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Advisor Series F-Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 456,290 $ 427,442 $ 981,327 $ 876,581 $ 74,590 $ 54,436 Increase (Decrease) in Net Assets from Investment Operations 15,539 12,825 33,612 27,763 3,263 2,199 Capital Unit Transactions† Proceeds from Sale of Units 47,798 52,646 110,891 161,879 21,193 19,578 Reinvestments of Distributions 7,203 4,578 14,602 9,148 1,369 787 Early Redemption Fees 55 11 11 11 Amounts Paid on Redemptions (53,079) (54,580) (130,091) (100,022) (11,185) (6,294) 1,927 2,649 (4,587) 71,016 11,378 14,072 Distributions to Unitholders (7,429) (4,720) (16,061) (10,044) (1,694) (947) Increase (Decrease) in Net Assets for the Period 10,037 10,754 12,964 88,735 12,947 15,324 Net Assets, End of the Period $ 466,327 $ 438,196 $ 994,291 $ 965,316 $ 87,537 $ 69,760 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 27,873,101 27,643,955 70,158,214 66,360,293 5,194,344 4,018,451 Units Issued 2,916,185 3,388,091 7,920,738 12,188,409 1,472,246 1,435,716 Units Issued on Reinvestments 435,320 292,225 1,033,147 683,463 94,324 57,345 Units Redeemed (3,265,381) (3,508,892) (9,336,872) (7,523,317) (780,128) (460,766) Units Outstanding, End of the Period 27,959,225 27,815,379 69,775,227 71,708,848 5,980,786 5,050,746

O-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 34,178 $ 23,775 $ 1,546,385 $ 1,382,234 Increase (Decrease) in Net Assets from Investment Operations 1,787 1,020 54,201 43,807 Capital Unit Transactions† Proceeds from Sale of Units 8,080 6,522 187,962 240,625 Reinvestments of Distributions 401 240 23,575 14,753 Early Redemption Fees 00 17 17 Amounts Paid on Redemptions (450) (1,399) (194,805) (162,295) 8,031 5,363 16,749 93,100 Distributions to Unitholders (935) (484) (26,119) (16,195) Increase (Decrease) in Net Assets for the Period 8,883 5,899 44,831 120,712 Net Assets, End of the Period $ 43,061 $ 29,674 $ 1,591,216 $ 1,502,946 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 3,105,133 2,290,647 Units Issued 734,403 624,002 Units Issued on Reinvestments 36,538 22,945 Units Redeemed (40,244) (133,846) Units Outstanding, End of the Period 3,835,830 2,803,748

58 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. FIXEDINCOMEFUNDS TD Real Return Bond Fund Statement of Investment Portfolio as at June 30, 2011 (Unaudited) Credit Risk (Note 11) The table below summarizes the debt instruments by credit ratings as at June 30, 2011 and Par Value Description Cost FairValue December 31, 2010.

Canadian Bonds – 99.3% Percentage of Percentage of Total Bonds (%) Total Net Assets (%) FEDERAL BONDS & GUARANTEES – 74.1% Credit Rating° 2011 2010 2011 2010 Canada Housing Trust No. 1 $ 30,000,000 3.95%dueJune15,2013 $ 29,970,000 $ 31,306,078 AAA 74.65 72.65 74.12 70.51 AA 17.74 11.40 17.61 11.07 Government of Canada A 7.61 15.95 7.56 15.48 3,500,000 1.00% due September 01, 2011 3,474,363 3,500,067 15,000,000 1.50% due March 01, 2012 15,016,950 15,033,479 Total 100.00 100.00 99.29 97.06

19,000,000 2.00%dueDecember01,2014 18,330,600 19,015,486 ° Credit ratings are obtained from Standard & Poor’s, Moody’s or DBRS rating agencies. 35,000,000 3.75% due June 01, 2019 35,832,200 37,143,312 9,000,000 3.25% due June 01, 2021 9,106,745 9,104,700 Interest Rate Risk (Note 11) 7,000,000 8.00% due June 01, 2023 9,969,400 10,305,214 The table below summarizes the Fund’s exposure to interest rate risk as at June 30, 2011 10,000,000 4.00% due June 01, 2041 10,465,000 10,830,000 and December 31, 2010 by remaining term to maturity. The table also illustrates the potential Government of Canada Real Return impact to the Fund’s net assets had the prevailing interest rates changed by 1%, assuming a parallel shift in the yield curve, with all other variables held constant. The Fund’s sensitivity 72,000,000 4.25%dueDecember01,2021 125,874,060 139,806,917 to interest rate changes was estimated using the weighted average duration of the bond 173,800,000 4.25%dueDecember01,2026 290,702,828 352,687,854 portfolio. In practice, the actual trading results may differ from these approximate sensitivity 71,891,000 4.00%dueDecember01,2031 111,382,673 146,964,129 analysis amounts and the difference could be material. 118,588,000 3.00%dueDecember01,2036 173,536,520 198,154,890 99,000,000 2.00%dueDecember01,2041 107,552,177 133,423,584 Term to Maturity Total Exposure (000s) 62,016,000 1.50%dueDecember01,2044 67,394,609 72,156,664 Bonds 2011 2010 1,008,608,125 1,179,432,374 Less than 1 year $ 18,534 $ 3,494 1-5 years 50,322 65,289 PROVINCIAL BONDS – 25.2% 5-10 years 146,515 134,247 Province of Manitoba Real Return > 10 years 1,364,492 1,297,941 86,000,000 1.738%dueDecember01,2018 95,580,400 100,267,407 Total $ 1,579,863 $ 1,500,971 Province of Ontario Real Return 139,000,000 2.00%dueDecember01,2036 160,440,085 179,912,819 Impact on Net Assets (000s) $ 225,920 $ 207,734

Province of Quebec Impact on Net Assets (%) 14.20 13.43 40,000,000 4.25%dueDecember01,2021 40,248,000 41,065,724 Province of Quebec Real Return Financial Instruments by the Level in the Fair Value Hierarchy 30,000,000 4.50%dueDecember01,2021 46,025,170 49,846,433 (in 000s) (Note 11) 15,000,000 4.50%dueDecember01,2026 25,834,290 29,338,100 The table below illustrates the classification of the Fund’s financial instruments within the 368,127,945 400,430,483 fair value hierarchy as at June 30, 2011 and December 31, 2010:

TOTALINVESTMENT Level1 Level2 Level3 Total PORTFOLIO – 99.3% 1,376,736,070 1,579,862,857 SHORT-TERM June 30, 2011 INVESTMENTS – 0.6% 10,300,000 10,300,000 Short-Term Investments $0$10,300 $0$10,300 Bonds 0 1,579,863 0 1,579,863 OTHER NET ASSETS – 0.1% 1,053,590 1,053,590 $0$1,590,163 $0$1,590,163

TOTAL NET ASSETS – 100.0% $ 1,388,089,660 $ 1,591,216,447 December 31, 2010 Bonds and Short-Term Investments $0$1,544,420 $0$1,544,420

During the periods, transfers between Level 1 and Level 2 were nil.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 6,636 $ 3,481

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 59 FIXEDINCOMEFUNDS TD Global Bond Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 133,551 $ 129,868 Interest $ 3,250 $ 3,295 Short-Term Investments 2,100 7,097 Foreign Exchange (2,787) 3,423 Foreign Currencies 973 483 Securities Lending 68 Cash 138 110 469 6,726 Interest Receivable 1,991 2,228 Expenses (Note 5) Subscriptions Receivable 37 273 Management Fees 815 873 Unrealized Gain on Open Foreign Administration Fees 115 127 Exchange Forward Contracts 87 332 Independent Review Committee Fees 00 138,877 140,391 930 1,000 Liabilities Less: Waived Expenses (0) (0) Accrued Liabilities 149 164 930 1,000 Redemptions Payable 273 211 Unrealized Loss on Open Foreign Net Investment Income (Loss) (461) 5,726 Exchange Forward Contracts 1,498 690 Net Realized Gain (Loss) on 1,920 1,065 Sale of Investments 606 (1,135) Net Change in Unrealized Appreciation/ Net Assets (Note 3) $ 136,957 $ 139,326 Depreciation of Investments (136) (151) Net Assets Representing Unitholders’ Equity (Note 4) Net Gain (Loss) on Investments 470 (1,286) Investor Series $ 63,901 $ 70,516 Increase (Decrease) in Net Assets Institutional Series $ 67,556 $ 56,610 from Investment Operations† $9$4,440 Advisor Series $ 3,850 $ 3,306 F-Series $ 1,650 $ 8,894 †Increase (Decrease) in Net Assets from Investment Operations $ 136,957 $ 139,326 Investor Series $ (359)$ 2,003 Institutional Series $ 448 $ 2,224 Number of Units Outstanding Advisor Series $ (28) $ 55 Investor Series 7,435,103 8,171,179 F-Series $ (52) $ 158 Institutional Series 8,021,188 6,755,283 $9$4,440 Advisor Series 454,159 388,510 F-Series 165,368 893,298 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Net Assets Per Unit (Note 3) Investor Series $ (0.04)$ 0.23 Investor Series $ 8.59 $ 8.63 Institutional Series $ 0.04 $ 0.33 Institutional Series $ 8.42 $ 8.38 Advisor Series $ (0.04)$ 0.15 Advisor Series $ 8.48 $ 8.51 F-Series $ 0.02 $ 0.43 F-Series $ 9.98 $ 9.96

60 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. FIXEDINCOMEFUNDS TD Global Bond Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 70,516 $ 82,226 $ 56,610 $ 58,370 $ 3,306 $ 3,770 Increase (Decrease) in Net Assets from Investment Operations (359) 2,003 448 2,224 (28) 55 Capital Unit Transactions† Proceeds from Sale of Units 2,183 3,771 16,164 11,294 1,420 427 Reinvestments of Distributions 0 1,040 07 040 Early Redemption Fees 26 0 25 010 Amounts Paid on Redemptions (8,465) (10,897) (5,691) (8,593) (849) (1,337) (6,256) (6,086) 10,498 2,708 572 (870) Distributions to Unitholders 0 (1,052) 0 (1,314) 0 (45) Increase (Decrease) in Net Assets for the Period (6,615) (5,135) 10,946 3,618 544 (860) Net Assets, End of the Period $ 63,901 $ 77,091 $ 67,556 $ 61,988 $ 3,850 $ 2,910 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 8,171,179 9,194,594 6,755,283 6,726,524 388,510 427,326 Units Issued 255,824 425,238 1,947,188 1,324,469 166,060 48,557 Units Issued on Reinvestments 0 117,791 0 834 0 4,613 Units Redeemed (991,900) (1,231,315) (681,283) (1,005,007) (100,411) (154,718) Units Outstanding, End of the Period 7,435,103 8,506,308 8,021,188 7,046,820 454,159 325,778

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 8,894 $ 337 $ 139,326 $ 144,703 Increase (Decrease) in Net Assets from Investment Operations (52) 158 9 4,440 Capital Unit Transactions† Proceeds from Sale of Units 1,178 3,961 20,945 19,453 Reinvestments of Distributions 06 01,093 Early Redemption Fees 00 52 0 Amounts Paid on Redemptions (8,370) (234) (23,375) (21,061) (7,192) 3,733 (2,378) (515) Distributions to Unitholders 0 (53) 0 (2,464) Increase (Decrease) in Net Assets for the Period (7,244) 3,838 (2,369) 1,461 Net Assets, End of the Period $ 1,650 $ 4,175 $ 136,957 $ 146,164 †Capital Unit Transactions Units Outstanding, Beginning of the Period 893,298 33,021 Units Issued 120,050 390,687 Units Issued on Reinvestments 0 597 Units Redeemed (847,980) (22,891) Units Outstanding, End of the Period 165,368 401,414

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 61 FIXEDINCOMEFUNDS

Par Value TD Global Bond Fund (Local Currency) Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) SNC-Lavalin Group Inc. (CAD) Par Value 275,000 6.19% due July 03, 2019 $$275,000 307,323 (Local Sun Life Capital Trust Il (CAD) Currency) Description Cost FairValue 1,500,000 Callable 5.863% due December 31, 2019 1,500,000 1,585,336 Canadian Bonds – 32.1% TD Capital Trust IV* (CAD) 1,300,000 Callable6.631%dueJune30,2021 1,300,000 1,453,618 FEDERAL BONDS – 3.0% Government of Canada (CAD) TELUS Corporation (CAD) 4,000,000 3.50% due June 01, 2020 $ 4,021,200 $ 4,148,519 1,000,000 5.05% due December 04, 2019 1,016,500 1,024,589 Thomson Reuters Corporation (CAD) PROVINCIAL BONDS – 11.8% 1,300,000 6.00% due March 31, 2016 1,296,919 1,453,093 Province of Ontario (CAD) 200,000 4.40% due June 02, 2019 201,740 212,124 Trinidad Drilling Ltd. (USD) 1,500,000 5.85% due March 08, 2033 1,763,700 1,819,118 250,000 7.875% due January 15, 2019 250,745 249,551 Province of Ontario (AUD) Vermilion Energy Inc. (CAD) 1,700,000 6.00% due November 30, 2016 1,498,730 1,750,773 170,000 Callable6.50%dueFebruary10,2016 170,000 172,911 Province of Ontario (EUR) Wells Fargo Financial Canada Corporation (CAD) 5,000,000 4.125% due May 14, 2013 7,932,088 7,232,466 600,000 3.97% due November 03, 2014 599,976 617,709 1,700,000 4.38% due June 30, 2015 1,519,970 1,771,312 Province of Quebec (EUR) 3,500,000 4.25% due February 27, 2013 5,703,103 5,057,048 West Fraser Timber Co., Ltd. (USD) 586,000 Callable5.20%dueOctober15,2014 498,766 569,406 17,099,361 16,071,529 22,017,543 23,714,639 CORPORATE BONDS – 17.3% Bombardier Inc. (USD) Total Canadian Bonds 43,138,104 43,934,687 50,000 7.50% due March 15, 2018 50,698 54,009 300,000 7.75% due March 15, 2020 305,880 325,502 Global Bonds – 65.4% Canadian Pacific Railway Co. (USD) AUSTRALIA – 6.5% 1,000,000 7.25% due May 15, 2019 1,158,134 1,158,960 Queensland Treasury Corporation (AUD) 3,500,000 6.50% due April 16, 2012 3,508,767 3,667,565 Cara Operations Ltd. (CAD) 1,960,000 6.00% due October 14, 2015 1,694,466 2,095,602 310,000 9.125% due December 01, 2015 317,125 324,531 3,000,000 6.25% due February 21, 2020 3,237,124 3,203,241 Cascades Inc. (CAD) 8,440,357 8,966,408 225,000 7.75% due December 15, 2016 222,008 235,913 Cascades Inc. (USD) CAYMAN ISLANDS – 0.4% 250,000 Callable7.75%dueDecember15,2017 268,395 251,360 Seagate Technology HDD Holdings (USD) 550,000 Callable6.375%dueOctober01,2011 558,058 535,752 Corus Entertainment Inc. (CAD) 425,000 7.25% due February 10, 2017 425,000 450,500 FRANCE – 10.0% Domtar Corporation (USD) French Treasury Note (EUR) 275,000 Callable5.375%dueDecember01,2013 264,201 279,811 3,000,000 3.75% due January 12, 2013 4,618,469 4,329,242 ENMAX Corporation (CAD) Government of France (EUR) 2,000,000 5.85% due April 08, 2014 1,997,780 2,143,581 1,000,000 4.00% due April 25, 2018 1,498,796 1,481,053 1,500,000 3.75% due October 25, 2019 2,263,611 2,173,558 Fairfax Financial Holdings Limited (USD) 3,300,000 5.75% due October 25, 2032 5,133,648 5,669,968 400,000 6.40% due May 25, 2021 401,388 398,541 13,514,524 13,653,821 Manulife Financial Capital Trust II (CAD) 2,400,000 Callable 7.405% due December 31, 2019 2,400,000 2,732,845 GERMANY – 18.5% NOVA Chemicals Corporation (USD) Deutschland Bundesrepublik (EUR) 275,000 Callable6.50%dueJanuary15,2012 291,613 269,865 11,500,000 3.75% due January 04, 2019 19,397,553 17,175,414 4,000,000 3.50% due July 04, 2019 6,486,717 5,872,462 Reliance LP (CAD) 1,245,168 6.50% due July 04, 2027 1,986,164 2,355,410 1,600,000 Callable7.30%dueApril03,2013 1,564,976 1,670,087 27,870,434 25,403,286 RioCan Real Estate Investment Trust (CAD) 500,000 Callable4.499%dueJanuary21,2016 500,375 510,419 MEXICO – 0.8% Rogers Communications Inc. (CAD) United Mexican States (USD) 1,200,000 5.80% due May 26, 2016 1,197,204 1,311,808 1,000,000 5.125% due January 15, 2020 1,029,440 1,041,606 Scotiabank Tier 1 Trust (CAD) 200,000 Callable7.802%dueJune30,2019 200,000 238,571 Shaw Communications Inc. (CAD) 665,000 Callable7.50%dueNovember20,2013 728,738 736,607 1,300,000 6.50% due June 02, 2014 1,296,152 1,416,881

62 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Global Bond Fund FIXEDINCOMEFUNDS

Par Value Par Value (Local (Local Currency) Description Cost FairValue Currency) Description Cost FairValue

UNITED KINGDOM – 5.5% International Lease Finance Corporation (USD) United Kingdom Gilt (GBP) 500,000 8.625% due September 15, 2015 $$542,882 522,611 1,500,000 4.00% due September 07, 2016 $$2,521,687 2,524,571 Iron Mountain Incorporated (USD) United Kingdom Treasury (GBP) 625,000 Callable6.625%dueJanuary01,2016 678,092 602,781 1,500,000 4.50% due March 07, 2013 2,531,012 2,464,551 Jabil Circuit Inc. (USD) 1,500,000 4.75% due September 07, 2015 2,608,824 2,592,670 500,000 Callable8.25%dueMarch15,2018 571,234 550,942 7,661,523 7,581,792 Jarden Corporation (USD) UNITED STATES – 23.7% 600,000 Callable 7.50% due May 01, 2017 536,028 601,093 AK Steel Holding Corporation (USD) The Kansas City Southern Railway (USD) 250,000 Callable7.625%dueMay15,2020 261,830 247,140 500,000 8.00% due June 01, 2012 541,632 517,186 Belden Inc. (USD) LBI Escrow Corporation (USD) 450,000 9.25% due June 15, 2019 504,912 482,828 375,000 8.00% due November 01, 2017 393,071 402,356 CF Industries Inc. (USD) Levi Strauss & Co. (USD) 500,000 6.875% due May 01, 2018 527,195 546,723 250,000 Callable8.875%dueApril01,2016 240,320 250,154 CNH Global NV (USD) 250,000 7.625% due May 15, 2020 261,050 241,113 500,000 Callable7.875%dueDecember01,2017 515,633 530,448 The Manitowoc Company Inc. (USD) Constellation Brands Inc. (USD) 200,000 Callable7.125%dueNovember01,2013 197,734 194,337 525,000 Callable7.25%dueSeptember01,2016 510,945 553,172 MetroPCS Wireless Inc. (USD) Crown Americas LLC/ 500,000 7.875% due September 01, 2018 512,519 510,556 Crown Americas Capital Corp II (USD) MGM Resorts International (USD) 500,000 Callable7.625%dueMay15,2017 535,922 516,584 400,000 11.125% due May 15, 2013 480,585 440,754 Crown Americas LLC/ The Neiman Marcus Group Inc. (USD) Crown Americas Capital Corp III (USD) 250,000 Callable10.375%dueOctober15,2015 267,547 253,168 75,000 Callable6.25%dueFebruary01,2021 74,464 73,057 NRG Energy Inc. (USD) Dole Food Company (USD) 400,000 7.625% due May 15, 2019 384,921 383,851 500,000 8.00% due October 01, 2016 544,800 505,131 Phillips-Van Heusen Corporation (USD) Easton-Bell Sports Inc. (USD) 500,000 7.375% due May 15, 2020 535,998 515,981 400,000 9.75% due December 01, 2012 439,070 425,322 Pinafore Inc. (USD) EchoStar DBS Corporation (USD) 250,000 9.00% due October 01, 2018 268,491 259,799 550,000 Callable6.625%dueOctober01,2014 589,559 558,296 Qwest Communications International Inc. (USD) El Paso Corporation (USD) 400,000 Callable7.50%dueFebruary15,2014 319,237 391,567 600,000 6.875% due June 15, 2014 630,782 646,623 R.R. Donnelley & Sons Company (USD) Elizabeth Arden Inc. (USD) 250,000 Callable8.60%dueAugust15,2016 268,224 262,068 60,000 Callable7.375%dueMarch15,2021 59,355 60,254 185,000 7.25% due May 15, 2018 179,940 178,423 Ford Motor Credit Company LLC (USD) Reynolds Group Issuer Inc. (USD) 500,000 7.00% due October 01, 2013 529,290 515,339 300,000 7.125% due April 15, 2019 304,398 287,165 GameStop Corp./GameStop Inc. (USD) Sears Holdings Corporation (USD) 368,000 Callable8.00%dueOctober01,2012 441,413 360,241 500,000 6.625% due October 15, 2018 481,533 447,264 Gannett Co., Inc. (USD) Spirit Aerosystems Inc. (USD) 350,000 6.375% due April 01, 2012 305,934 346,840 500,000 7.50% due October 01, 2017 521,893 507,542 General Cable Corporation (USD) Sprint Nextel Corporation (USD) 725,000 Callable7.125%dueApril01,2017 698,345 714,959 250,000 Callable8.375%dueAugust15,2017 270,978 264,922 Georgia-Pacific LLC (USD) Steel Dynamics Inc. (USD) 550,000 Callable7.125%dueJanuary15,2017 561,980 559,224 600,000 7.375% due November 01, 2012 615,708 610,497 The Goodyear Tire & Rubber Company (USD) SunGard Data Systems Inc. (USD) 325,000 10.50% due May 15, 2016 369,338 352,627 200,000 7.375% due November 15, 2018 203,898 192,890 Great Lakes Dredge & Dock Corporation (USD) Terex Corporation (USD) 45,000 Callable7.375%dueFebruary01,2019 44,894 42,749 250,000 Callable8.00%dueNovember15,2017 255,389 247,140 HCA Inc. (USD) 400,000 9.25% due November 15, 2016 446,127 409,409 The Hertz Corporation (USD) 325,000 Callable7.50%dueOctober15,2018 337,446 322,850 Host Hotels & Resorts LP (USD) 325,000 9.00% due May 15, 2013 353,216 352,627 Hughes Network Systems LLC/ HNS Finance Corp. (USD) 390,000 Callable 9.50% due April 15, 2014 421,779 385,539

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 63 TD Global Bond Fund FIXEDINCOMEFUNDS

Par Value (Local Currency) Description Cost FairValue

TRW Automotive Inc. (USD) 525,000 Callable7.00%dueMarch15,2014$$ 455,868 559,502 United States Steel Corporation (USD) 250,000 Callable 5.65% due June 01, 2013 241,703 251,360 United States Treasury (USD) 6,100,000 3.625% due August 15, 2019 6,737,505 6,268,256 5,000,000 2.625% due August 15, 2020 5,363,782 4,667,745 Valassis Communications Inc. (USD) 375,000 Callable6.625%dueFebruary01,2021 369,378 358,052 Wendy’s/Arby’s Restaurants LLC (USD) 500,000 Callable 10.00% due July 15, 2016 557,289 534,064 West Corporation (USD) 250,000 8.625% due October 01, 2018 267,835 243,524 WMG Acquisition Corp. (USD) 400,000 9.50% due June 15, 2016 452,585 406,998 33,983,476 32,433,643

Total Global Bonds 93,057,812 89,616,308

TOTALINVESTMENT PORTFOLIO – 97.5% 136,195,916 133,550,995 SHORT-TERM INVESTMENTS – 1.5% 2,100,000 2,100,000 FOREIGN CURRENCIES – 0.7% 973,882 973,224 FORWARDCONTRACTS (SCHEDULE 1) – (1.0%) 0 (1,410,824) OTHER NET ASSETS – 1.3% 1,731,059 1,744,091

TOTAL NET ASSETS – 100.0% $ 141,000,857 $ 136,957,486

* Related party to the Fund as an affiliated entity of TD Asset Management Inc.

July 29, 2011 4,900,000 GBP $ 7,587,586 7,674,380 CAD $ 7,674,380 1.56620 $ 86,794

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 29, 2011 8,485,934 AUD $ 8,751,398 8,679,830 CAD $ 8,679,830 1.02285 $ (71,568) July 29, 2011 2,956,786 CAD 2,956,786 35,958,600 MXN 2,956,512 12.16138 (274) July 29, 2011 598,778 CAD 598,778 511,656 CHF 587,479 0.85450 (11,299) July 29, 2011 5,439,443 CAD 5,439,443 5,547,508 USD 5,354,316 0.98052 (85,127) July 29, 2011 7,844,960 CAD 7,844,960 8,000,000 USD 7,721,400 0.98062 (123,560) July 29, 2011 9,872,782 CAD 9,872,782 810,900,000 JPY 9,723,292 82.13490 (149,490) July 29, 2011 13,465,075 CAD 13,465,075 13,731,115 USD 13,252,929 0.98063 (212,146) July 29, 2011 16,042,380 CAD 16,042,380 1,317,737,160 JPY 15,800,645 82.14100 (241,735) July 29, 2011 17,808,140 CAD 17,808,140 1,462,591,420 JPY 17,537,556 82.13050 (270,584) July 29, 2011 7,190,000 EUR 10,055,072 9,966,706 CAD 9,966,706 1.38619 (88,366) July 29, 2011 8,202,000 EUR 11,470,334 11,369,539 CAD 11,369,539 1.38619 (100,795) July 29, 2011 11,533,841 EUR 16,129,846 15,987,172 CAD 15,987,172 1.38611 (142,674) $ 120,434,994 $ 118,937,376 $ (1,497,618)

TOTALNUMBEROFCONTRACTS: 13 NETDEPRECIATION $ (1,410,824)

64 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Global Bond Fund FIXEDINCOMEFUNDS

Currency Risk (Note 11) Financial Instruments by the Level in the Fair Value Hierarchy The table below indicates the foreign currencies to which the Fund had significant exposure (in 000s) (Note 11) as at June 30, 2011 and December 31, 2010 in Canadian dollar terms, including the The table below illustrates the classification of the Fund’s financial instruments within the underlying principal amount of forward currency contracts, if any. The table also illustrates fair value hierarchy as at June 30, 2011 and December 31, 2010: the potential impact to the Fund’s net assets if the Fund’s functional currency, the Canadian

Percentage of Percentage of The table below summarizes cash flows associated with the maturities of the Fund’s financial Total Bonds (%) Total Net Assets (%) liabilities as at June 30, 2011 and December 31, 2010: Credit Rating° 2011 2010 2011 2010 Less than 3 months AAA 50.53 52.19 49.28 48.65 AA 12.44 8.69 12.13 8.10 2011 2010 A 9.38 11.46 9.14 10.68 Accounts payable and other liabilities $ 422 $ 375 BBB 9.40 9.76 9.17 9.10 Forward Contracts 1,498 690 BB 10.95 8.88 10.68 8.28 $ 1,920 $ 1,065 B 7.11 8.66 6.93 8.07 CCC 0.19 0.36 0.18 0.33 Total 100.00 100.00 97.51 93.21

Term to Maturity Total Exposure (000s) Bonds 2011 2010 Less than 1 year $ 4,820 $ 10,402 1-5 years 44,129 36,576 5-10 years 73,304 71,544 > 10 years 11,298 11,346 Total $ 133,551 $ 129,868

Impact on Net Assets (000s) $ 6,971 $ 6,649

Impact on Net Assets (%) 5.09 4.77

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 65 FIXEDINCOMEFUNDS TD High Yield Bond Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 1,329,890 $ 1,254,844 Interest $ 47,012 $ 45,615 Short-Term Investments 33,219 26,233 Dividends 671 827 Foreign Currencies 190 2,816 Foreign Exchange 48,046 11,682 Cash 94 154 Securities Lending 01 Interest Receivable 23,238 23,033 Less: Withholding Taxes (79) (6) Dividends Receivable 0 120 95,650 58,119 Subscriptions Receivable 1,525 1,325 Expenses (Note 5) Receivable for Investment Sales 9,588 3,151 Management Fees 3,693 4,155 Unrealized Gain on Open Foreign Administration Fees 274 220 Exchange Forward Contracts 21,064 25,912 Independent Review Committee Fees 33 1,418,808 1,337,588 Bank Charges and Interest 34 Liabilities 3,973 4,382 Accrued Liabilities 662 642 Less: Waived Expenses (5) (5) Redemptions Payable 6,098 1,610 3,968 4,377 Distributions Payable 1,325 0 Payable for Investment Purchases 4,000 0 Net Investment Income (Loss) 91,682 53,742 Unrealized Loss on Open Foreign Net Realized Gain (Loss) on Exchange Forward Contracts 10,762 3,460 Sale of Investments (5,014) (36,681) 22,847 5,712 Net Change in Unrealized Appreciation/ Depreciation of Investments (41,411) 62,524 Net Assets (Note 3) $ 1,395,961 $ 1,331,876 Transaction Costs on Purchases Net Assets Representing Unitholders’ Equity (Note 4) and Sale of Investment (Note 3) (13) 0 Investor Series $ 103,384 $ 99,343 Net Gain (Loss) on Investments (46,438) 25,843 Institutional Series $ 104,877 $ 90,427 Increase (Decrease) in Net Assets Advisor Series $ 210,330 $ 210,078 from Investment Operations† $ 45,244 $ 79,585 F-Series $ 55,331 $ 50,085 H-Series $ 1,686 $ 977 †Increase (Decrease) in Net Assets from Investment Operations S-Series $ 194 $6Investor Series $ 2,674 $ 5,309 T-Series $ 8,250 $ 7,366 Institutional Series $ 3,063 $ 59,829 Q-Series $ 53,783 $ 38,686 Advisor Series $ 5,656 $ 10,099 O-Series $ 858,126 $ 834,908 F-Series $ 1,595 $ 2,896 $ 1,395,961 $ 1,331,876 H-Series $ 27 $7 S-Series $ (1) $ 247 Number of Units Outstanding T-Series $ 196 $ 70 Investor Series 16,689,407 16,048,577 Q-Series $ 1,278 $ 1,602 Institutional Series 15,164,695 13,084,315 O-Series $ 30,756 $ (474) Advisor Series 29,037,108 29,020,306 $ 45,244 $ 79,585 F-Series 8,118,199 7,352,307 Increase (Decrease) in Net Assets from Investment Operations – H-Series 102,322 58,513 Per Unit (Note 3) S-Series 11,795 359 Investor Series $ 0.17 $ 0.34 T-Series 500,715 441,319 Institutional Series $ 0.24 $ 0.64 Advisor Series $ 0.20 $ 0.40 Q-Series 3,320,244 2,357,859 F-Series $ 0.22 $ 0.43 O-Series 86,565,011 84,226,905 H-Series $ 0.46 $ 0.72 Net Assets Per Unit (Note 3) S-Series $ 0.54 $ 1.42 Investor Series $ 6.19 $ 6.19 T-Series $ 0.45 $ 0.80 Institutional Series $ 6.92 $ 6.91 Q-Series $ 0.56 $ 0.98 O-Series $ 0.37 $ 0.10 Advisor Series $ 7.24 $ 7.24 F-Series $ 6.82 $ 6.81 H-Series $ 16.48 $ 16.69 S-Series $ 16.39 $ 16.61 T-Series $ 16.48 $ 16.69 Q-Series $ 16.20 $ 16.41 O-Series $ 9.91 $ 9.91

66 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. FIXEDINCOMEFUNDS TD High Yield Bond Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 99,343 $ 90,909 $ 90,427 $ 905,359 $ 210,078 $ 171,152 Increase (Decrease) in Net Assets from Investment Operations 2,674 5,309 3,063 59,829 5,656 10,099 Capital Unit Transactions† Proceeds from Sale of Units 29,230 30,999 28,301 13,126 35,775 48,079 Reinvestments of Distributions 2,586 2,585 463 15,206 4,417 4,388 Early Redemption Fees 11 15 13 Amounts Paid on Redemptions (27,680) (35,520) (14,041) (883,011) (40,021) (42,192) 4,137 (1,935) 14,724 (854,674) 172 10,278 Distributions to Unitholders (2,770) (2,782) (3,337) (17,882) (5,576) (5,353) Increase (Decrease) in Net Assets for the Period 4,041 592 14,450 (812,727) 252 15,024 Net Assets, End of the Period $ 103,384 $ 91,501 $ 104,877 $ 92,632 $ 210,330 $ 186,176 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 16,048,577 15,191,043 13,084,315 135,472,472 29,020,306 24,459,686 Units Issued 4,610,765 4,994,141 4,000,787 1,885,727 4,828,184 6,635,366 Units Issued on Reinvestments 409,988 417,289 65,814 2,212,929 598,919 605,732 Units Redeemed (4,379,923) (5,730,601) (1,986,221) (126,083,141) (5,410,301) (5,829,453) Units Outstanding, End of the Period 16,689,407 14,871,872 15,164,695 13,487,977 29,037,108 25,871,331

F-Series H-Series S-Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 50,085$ 45,503 $ 977$ 90 $6$4,654 Increase (Decrease) in Net Assets from Investment Operations 1,595 2,896 27 7 (1) 247 Capital Unit Transactions† Proceeds from Sale of Units 12,535 7,521 1,219 244 191 265 Reinvestments of Distributions 1,025 956 45 644 Early Redemption Fees 01 00 00 Amounts Paid on Redemptions (8,222) (10,740) (521) (20) 0 (5,068) 5,338 (2,262) 743 230 195 (4,799) Distributions to Unitholders (1,687) (1,609) (61) (8) (6) (75) Increase (Decrease) in Net Assets for the Period 5,246 (975) 709 229 188 (4,627) Net Assets, End of the Period $ 55,331$ 44,528 $ 1,686$ 319 $ 194$ 27 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 7,352,307 6,910,478 58,513 5,480 359 284,422 Units Issued 1,798,649 1,102,663 71,888 14,398 11,204 15,769 Units Issued on Reinvestments 147,823 140,325 2,639 375 261 269 Units Redeemed (1,180,580) (1,572,808) (30,718) (1,171) (29) (298,830) Units Outstanding, End of the Period 8,118,199 6,580,658 102,322 19,082 11,795 1,630

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 67 FIXEDINCOMEFUNDS TD High Yield Bond Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) T-Series Q-Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 7,366 $ 717 $ 38,686 $ 24,553 Increase (Decrease) in Net Assets from Investment Operations 196 70 1,278 1,602 Capital Unit Transactions† Proceeds from Sale of Units 1,797 2,604 20,342 10,063 Reinvestments of Distributions 71 20 00 Early Redemption Fees 00 00 Amounts Paid on Redemptions (857) (385) (4,236) (4,237) 1,011 2,239 16,106 5,826 Distributions to Unitholders (323) (82) (2,287) (1,249) Increase (Decrease) in Net Assets for the Period 884 2,227 15,097 6,179 Net Assets, End of the Period $ 8,250 $ 2,944 $ 53,783 $ 30,732 †Capital Unit Transactions Units Outstanding, Beginning of the Period 441,319 43,686 2,357,859 1,520,918 Units Issued 106,004 154,011 1,216,428 602,989 Units Issued on Reinvestments 4,234 1,184 00 Units Redeemed (50,842) (22,766) (254,043) (255,498) Units Outstanding, End of the Period 500,715 176,115 3,320,244 1,868,409

O-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 834,908 $0$1,331,876 $ 1,242,937 Increase (Decrease) in Net Assets from Investment Operations 30,756 (474) 45,244 79,585 Capital Unit Transactions† Proceeds from Sale of Units 32,194 862,701 161,584 975,602 Reinvestments of Distributions 31,186 12,875 39,797 36,040 Early Redemption Fees 67 917 Amounts Paid on Redemptions (39,737) (54,905) (135,315) (1,036,078) 23,649 820,678 66,075 (24,419) Distributions to Unitholders (31,187) (16,086) (47,234) (45,126) Increase (Decrease) in Net Assets for the Period 23,218 804,118 64,085 10,040 Net Assets, End of the Period $ 858,126 $ 804,118 $ 1,395,961 $ 1,252,977 †Capital Unit Transactions Units Outstanding,Beginning of the Period 84,226,905 0 Units Issued 3,185,850 85,840,476 Units Issued on Reinvestments 3,090,391 1,288,688 Units Redeemed (3,938,135) (5,473,004) Units Outstanding, End of the Period 86,565,011 81,656,160

68 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. FIXEDINCOMEFUNDS

TD High Yield Bond Fund Par Value Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) Canadian Bonds – 17.2% No. of Shares CORPORATE BONDS – 17.2% or Units Description Cost FairValue Air Canada $ 2,000,000 10.125% due August 01, 2015 $$2,125,000 2,065,833 Canadian Equities – 2.0% Armtec Holdings Limited MATERIALS – 0.6% 8,000,000 8.875% due September 22, 2017 8,000,000 6,160,000 445,213 AbitibiBowater Inc. $ 35,853,142 $ 8,683,996 Barrett Xplore Inc. CONSUMER DISCRETIONARY – 1.4% 6,000,000 13.00% due May 15, 2017 6,000,000 6,000,000 1,350,000 Postmedia Network Canada Corp. Baytex Energy Corp. (USD) (Restricted) 12,500,000 16,200,000 1,000,000 Callable6.75%dueFebruary17,2021 995,800 1,003,568 225,498 Postmedia Network Canada Corp., Class“NC”VariableVotingShares 2,087,945 2,705,976 Black Press Group Ltd. 2,000,000 10.00% due February 04, 2014 2,000,000 2,000,000 14,587,945 18,905,976 Bombardier Inc. Total Canadian Equities 50,441,087 27,589,972 5,500,000 Callable 7.35% due December 22, 2026 4,986,816 5,628,039 Bombardier Inc. (EUR) U.S. Equities – 4.2% 2,000,000 6.125% due May 15, 2021 2,796,057 2,734,273 MATERIALS – 0.1% Bombardier Inc. (USD) 299,036 INTERMET Corporation 8,407,222 0 8,583,000 7.50% due March 15, 2018 8,871,662 9,271,219 2,500 PT Holdings Company Inc. 3,133,031 683,554 Bowater Incorporated 11,540,253 683,554 10,500,000 Callable 10.85% due November 30, 2014 00 INDUSTRIALS – 0.2% Cara Operations Ltd. 77,677 Quad/Graphics Inc. 4,019,481 2,908,223 6,340,000 9.125% due December 01, 2015 6,401,875 6,637,188

CONSUMER DISCRETIONARY – 2.1% Cascades Inc. 13,667 BallyTotalFitnessHoldingCorporation 31,481 0 14,000,000 7.75% due December 15, 2016 14,107,077 14,679,000 260,985 Broder Bros., Co. (Restricted) 0 2,450,997 Catalyst Paper Corporation (USD) 522,794 Cooper-Standard Holdings Inc. 19,157,618 22,437,286 15,800,000 Callable7.375%dueMarch01,2014 12,557,405 9,409,656 105,326 Cooper-Standard Holdings Inc., 5,000,000 11.00% due December 15, 2016 4,153,348 4,123,024 Warrants 27/11/2017 1,728,372 2,437,960 CHC Helicopter SA (USD) 89 Idearc Inc. 2,709 0 12,335,000 9.25% due October 15, 2020 12,610,906 10,736,583 74,914 Lazy Days’ R.V. Center Inc. 12,172,867 597,514 262,313 Movie Gallery Inc. 11,840,394 253 Corus Entertainment Inc. 11,300,000 Movie Gallery Inc., Escrow Shares 005,675,000 7.25% due February 10, 2017 5,742,938 6,015,500 32,453 Movie Gallery Inc., Warrants 15/05/2015 00 Data & Audio Visual Enterprises Wireless Inc. 94,071 Muzak Holdings LLC, Units 3,348,437 855,554 3,000,000 Callable9.50%dueApril29,2018 3,000,000 3,007,500 48,281,878 28,779,564 Domtar Corporation (USD) 13,000,000 Callable 5.375% due December 01, 2013 12,526,852 13,227,432 FINANCIALS – 0.0% 126,380 Vertis Holdings Inc. 00 Fairfax Financial Holdings Limited 7,000,000 6.40% due May 25, 2021 6,971,440 6,974,467 PREFERRED – 0.6% Fairfax Financial Holdings Limited (USD) 41,666 Cooper-StandardHoldingsInc.,Pref. 6,554,869 7,931,542 3,000,000 7.375% due April 15, 2018 3,318,997 3,135,523 900 Lazy Days’ R.V. Center Inc., Pref. 917,073 824,605 Ford Credit Canada Limited 7,471,942 8,756,147 19,700,000 4.875% due March 17, 2014 19,740,500 19,745,271 INDEX EQUIVALENTS – 1.2% 10,000,000 7.375% due August 18, 2015 10,561,875 10,791,667 189,500 iShares iBoxx $ High Yield Harvest Operations Corp. (USD) Corporate Bond Fund 17,335,857 16,693,598 1,760,000 6.875% due October 01, 2017 1,798,470 1,752,599 Total U.S. Equities 88,649,411 57,821,086 Iron Mountain Nova Scotia Funding Company 11,000,000 Callable7.50%dueMarch15,2017 10,587,500 11,304,360 Masonite International Inc. (USD) 4,500,000 Callable8.25%dueApril15,2021 4,383,658 4,312,900 Newalta Corp. 4,000,000 7.625% due November 23, 2017 4,132,500 4,179,235 NOVA Chemicals Corporation (USD) 32,300,000 Callable 6.50% due January 15, 2012 29,257,221 31,696,890 2,000,000 8.375% due November 01, 2016 2,147,373 2,121,790

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 69 TD High Yield Bond Fund FIXEDINCOMEFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Precision Drilling Corporation IRELAND – 0.9% $$$2,000,000 Callable6.50%dueMarch15,2019 2,037,500 2,015,600 Smurfit Kappa Funding PLC (USD) Russel Metals Inc. (USD) 12,834,000 Callable7.75%dueApril01,2015$$ 11,867,062 12,501,529 5,838,000 Callable6.375%dueMarch01,2014 6,097,127 5,679,726 JAPAN – 0.4% Sherritt International Corporation eAccess Ltd. (EUR) 400,000 Callable7.75%dueOctober15,2015 275,000 431,400 1,000,000 8.375% due April 01, 2018 1,390,345 1,381,122 Teck Resources Limited (USD) eAccess Ltd. (USD) 186,000 9.75% due May 15, 2014 230,561 217,145 5,000,000 Callable8.25%dueApril01,2018 4,909,317 4,810,194 Tembec Industries Inc. (USD) 6,299,662 6,191,316 6,000,000 Callable 11.25% due December 15, 2018 5,997,433 6,054,335 LIBERIA – 0.8% Trident Exploration Corp. Royal Caribbean Cruises Ltd. (USD) 10,000,000 Callable8.25%dueApril13,2018 9,998,750 9,750,000 11,000,000 6.875%dueDecember01,2013 11,305,048 11,325,054 Vermilion Energy Inc. LUXEMBOURG – 1.2% 6,000,000 Callable6.50%dueFebruary10,2016 6,045,000 6,102,758 ConvaTec Healthcare E SA (USD) Videotron Ltee 3,000,000 10.5% due December 15, 2018 3,033,150 2,994,617 4,000,000 6.875% due July 15, 2021 4,000,000 4,020,000 Evraz Group SA (USD) West Fraser Timber Co., Ltd. (USD) 12,500,000 Callable8.875%dueApril24,2013 13,280,353 13,085,947 7,500,000 Callable5.20%dueOctober15,2014 6,218,325 7,287,625 16,313,503 16,080,564 240,674,966 240,272,106 MEXICO – 0.5% Total Canadian Bonds 240,674,966 240,272,106 CEMEX SAB de CV (USD) 7,250,000 Callable9.00%dueJanuary11,2018 7,377,903 6,904,859 Global Bonds – 71.9% NEW ZEALAND – 0.1% AUSTRALIA – 0.9% Reynolds Group Holdings Limited (USD) FMG Resources (August 2006) Pty Limited (USD) 400,000 Callable6.875%dueFebruary15,2021 397,300 376,136 11,100,000 Callable 7.00% due November 01, 2012 11,248,477 10,919,503 500,000 Callable8.25%dueFebruary15,2021 496,625 450,880 2,400,000 Callable 6.875% due February 01, 2018 2,420,778 2,349,400 893,925 827,016 13,669,255 13,268,903 SOUTH KOREA – 0.3% BERMUDA – 0.4% MagnaChip Semiconductor SA/ Aircastle Ltd. (USD) MagnaChip Semiconductor Finance Company, 1,250,000 9.75% due August 01, 2018 1,304,399 1,329,133 Conv. (USD) Global Crossing Limited (USD) 3,500,000 Callable10.50%dueApril15,2018 3,683,197 3,696,255 3,750,000 Callable 12.00% due September 15, 2015 4,281,960 4,213,441 SPAIN – 0.4% 5,586,359 5,542,574 Cemex Espana Luxembourg (USD) CAYMAN ISLANDS – 3.3% 6,000,000 9.25% due May 12, 2020 6,040,779 5,728,833 Seagate HDD Cayman (USD) SWEDEN – 0.3% 8,250,000 7.75% due December 15, 2018 8,400,230 8,354,548 TVN Finance Corp. III AB (EUR) Seagate Technology HDD Holdings (USD) 3,000,000 7.875% due November 15, 2018 4,103,561 4,210,081 26,967,000 Callable 6.80% due October 01, 2016 24,114,101 27,373,760 UNITED KINGDOM – 0.4% Seagate Technology International (USD) Global Crossing (UK) Finance PLC (USD) 2,270,000 Callable10.00%dueMay01,2014 2,643,664 2,539,590 4,669,000 Callable 10.75% due December 15, 2014 5,685,462 4,700,024 UPCB Finance II Limited (EUR) Virgin Media Finance PLC (USD) 2,000,000 6.375% due July 01, 2020 2,676,198 2,643,363 1,000,000 Callable9.50%dueAugust15,2016 1,043,429 1,089,829 Votorantim Overseas III (USD) 6,728,891 5,789,853 5,500,000 7.875% due January 23, 2014 6,976,077 5,921,385 44,810,270 46,832,646 UNITED STATES – 61.2% ABI Escrow Corp. (USD) GERMANY – 0.8% 7,896,000 10.25% due October 15, 2018 8,109,192 8,243,559 Auto-Teile-Unger Handels GmbH & Co. KG (EUR) AK Steel Holding Corporation (USD) 5,000,000 11.00% due May 15, 2014 6,940,212 7,062,955 1,000,000 Callable7.625%dueMay15,2020 1,008,773 988,561 Kabel BW Erste Beteiligungs GmbH/ Aleris International Inc. (USD) Kabel Baden-Wurttemberg GmbH & Co KG (EUR) 3,000,000 Callable 7.625% due February 15, 2018 2,946,337 2,886,117 1,000,000 7.50% due March 15, 2019 1,421,513 1,426,577 Algoma Acquisition Corp. (USD) Kabel BW Erste Beteiligungs GmbH/ 7,535,000 Callable9.875%dueJune15,2015 7,025,804 6,758,432 Kabel Baden-Wurttemberg GmbH & Co KG (USD) 3,000,000 7.50% due March 15, 2019 3,028,049 2,951,217 11,389,774 11,440,749

70 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD High Yield Bond Fund FIXEDINCOMEFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Ally Financial Inc. (USD) Constellation Brands Inc. (USD) 1,400,000 6.25% due December 01, 2017 $$1,345,441 1,341,224 16,084,000 8.375%dueDecember15,2014$$ 17,510,231 17,645,143 8,650,000 7.50% due September 15, 2020 8,868,024 8,717,905 4,940,000 Callable 7.25% due September 01, 2016 5,195,905 5,205,088 AMC Entertainment Holdings Inc. (USD) Crown Americas LLC/ 1,000,000 9.75% due December 01, 2020 1,003,900 986,150 Crown Americas Capital Corp III (USD) Appleton Papers Inc. (USD) 250,000 Callable6.25%dueFebruary01,2021 248,213 243,524 12,300,000 Callable9.75%dueJune15,2014 14,371,370 9,994,354 Dana Holding Corporation (USD) 1,500,000 10.50% due June 15, 2015 1,544,223 1,508,159 7,700,000 Callable6.50%dueFebruary15,2019 7,380,278 7,352,002 Apria Healthcare Group Inc. (USD) Dayton Superior Corp. (USD) 5,000,000 Callable 11.25% due November 01, 2014 5,549,088 4,991,029 3,840,000 Callable 13.00% due December 15, 2014 4,658,119 1,222,151 ArvinMeritor Inc. (USD) Directbuy Holdings Inc. (USD) 4,788,000 Callable 8.125% due September 15, 2015 3,259,635 4,814,043 8,000,000 Callable 12.00% due February 01, 2017 7,724,692 3,009,084 Ashtead Capital Inc. (USD) Dole Food Company (USD) 1,000,000 Callable9.00%dueAugust15,2016 609,964 1,005,439 2,794,000 8.00% due October 01, 2016 2,909,556 2,822,670 Baker & Taylor Inc. (USD) Earthlink Inc. (USD) 6,000,000 Callable11.50%dueJuly01,2013 6,798,970 4,889,762 5,500,000 8.875% due May 15, 2019 5,151,150 4,813,811 Belden Inc. (USD) EchoStar DBS Corporation (USD) 3,500,000 9.25% due June 15, 2019 3,892,581 3,755,327 5,000,000 7.00% due October 01, 2013 5,249,995 5,177,891 Boise Cascade LLC (USD) 27,960,000 Callable 6.625% due October 01, 2014 29,022,955 28,381,738 4,560,000 Callable7.125% dueOctober 15, 2014 4,492,003 4,353,913 El Paso Corporation (USD) The Bon-Ton Stores Inc. (USD) 12,800,000 6.875% due June 15, 2014 13,548,395 13,794,629 20,250,000 Callable 10.25% due March 15, 2014 16,744,355 19,530,113 Exide Technologies (USD) Broder Bros., Co. (USD) 3,000,000 Callable 8.625% due February 01, 2018 3,109,043 3,009,084 5,659,296 12.00% due October 15, 2013 13,356,411 5,444,463 Ford Motor Credit Company LLC (USD) Brookstone Inc. (USD) 2,000,000 7.80% due June 01, 2012 2,122,002 2,017,205 10,949,000 13.00% due October 15, 2014 11,185,498 8,949,399 15,000,000 8.00% due June 01, 2014 15,874,219 15,870,603 Calpine Corporation (USD) GameStop Corp./GameStop Inc. (USD) 6,000,000 Callable7.25%dueOctober15,2017 5,989,728 5,873,501 10,606,000 Callable 8.00% due October 01, 2012 11,581,559 10,382,391 3,000,000 7.875% due July 31, 2020 3,121,819 3,023,551 Gannett Co., Inc. (USD) 5,000,000 7.50% due February 15, 2021 5,071,000 4,918,695 9,343,000 6.375% due April 01, 2012 7,379,773 9,258,655 Case New Holland Inc. (USD) 6,500,000 8.75% due November 15, 2014 6,993,534 7,052,541 2,000,000 7.75% due September 01, 2013 2,076,764 2,088,034 2,000,000 6.375% due September 01, 2015 2,027,548 1,996,412 9,985,000 Callable7.25%dueJanuary15,2016 9,153,496 10,484,699 2,500,000 10.00% due April 01, 2016 2,842,950 2,772,794 500,000 9.375% due November 15, 2017 554,398 530,448 CB Richard Ellis Services Inc. (USD) 2,000,000 11.625% due June 15, 2017 2,194,077 2,235,113 General Cable Corporation (USD) 17,140,000 Callable7.125%dueApril01,2017 15,148,817 16,902,613 Cenveo Corporation (USD) 5,505,000 Callable 7.875% due December 01, 2013 6,060,720 5,096,925 GMACLLC(USD) 3,000,000 Callable 8.875% due February 01, 2018 3,110,462 2,806,550 6,487,000 6.875% due September 15, 2011 6,333,135 6,303,310 Chrysler Group LLC/CG Co-Issuer Inc. (USD) Goodman Networks Inc. (USD) 10,200,000 8.00% due June 15, 2019 9,756,113 9,665,236 2,000,000 Callable12.125%dueJuly01,2018 1,926,347 1,919,256 Cincinnati Bell Inc. (USD) The Goodyear Tire & Rubber Company (USD) 4,000,000 Callable7.00%dueFebruary15,2015 3,939,972 3,906,023 2,275,000 10.50% due May 15, 2016 2,566,858 2,468,389 10,000,000 Callable8.25%dueOctober15,2017 9,852,655 9,692,723 11,750,000 8.25% due August 15, 2020 12,220,350 12,238,871 7,000,000 8.375% due October 15, 2020 7,128,800 6,734,272 Great Lakes Dredge & Dock Corporation (USD) CIT Group Inc. (USD) 500,000 Callable7.375%dueFebruary01,2019 498,825 474,992 2,370,105 7.00% due May 01, 2014 2,414,569 2,314,421 Harland Clarke Holdings Corp. (USD) 12,000,000 Callable7.00%dueMay04,2015 12,083,024 11,587,867 3,900,000 Callable9.50%dueMay15,2015 3,959,199 3,436,938 1,000,000 7.00% due May 01, 2016 976,885 960,833 HCA Inc. (USD) 6,000,000 Callable7.00%dueMay02,2016 5,901,705 5,765,000 11,000,000 9.25% due November 15, 2016 12,069,210 11,258,748 CityCenter Holdings LLC/ The Hertz Corporation (EUR) CityCenter Finance Corp. (USD) 4,000,000 Callable7.875%dueJanuary01,2014 4,764,976 5,650,364 2,000,000 Callable7.625%dueJanuary15,2016 1,978,500 1,991,589 The Hertz Corporation (USD) CNH Global NV (USD) 1,628,000 Callable8.875%dueJanuary01,2014 1,535,718 1,609,378 1,785,000 Callable 7.875% due December 01, 2017 1,948,086 1,893,698 Commercial Barge Line Company (USD) 645,000 12.50% due July 15, 2017 679,022 698,274

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 71 TD High Yield Bond Fund FIXEDINCOMEFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Hertz Holdings Netherlands BV (EUR) Pregis Corporation (USD) 2,000,000 8.50% due July 31, 2015 $$2,552,404 2,948,259 5,000,000 Callable 12.375% due October 15, 2013$$ 5,807,231 4,780,055 Host Hotels & Resorts LP (USD) Quiksilver Inc. (USD) 3,500,000 Callable6.375%dueMarch15,2015 4,015,898 3,443,087 14,000,000 Callable6.875%dueApril15,2015 12,030,734 13,130,987 Houghton Mifflin Harcourt Publishing Company (USD) Qwest Communications International Inc. (USD) 3,000,000 Callable10.50%dueJune01,2019 2,938,115 2,849,950 15,800,000 Callable 7.50% due February 15, 2014 16,428,621 15,466,885 Hughes Network Systems LLC/HNS Finance Corp. (USD) R.R. Donnelley & Sons Company (USD) 9,790,000 Callable9.50%dueApril15,2014 11,224,029 9,678,015 3,170,000 7.25% due May 15, 2018 3,083,301 3,057,307 Icon Health & Fitness (USD) 2,250,000 Callable 11.25% due February 01, 2019 2,646,746 2,705,940 5,000,000 11.875% due October 15, 2016 5,090,793 4,918,695 RailAmerica Inc. (USD) Interface Inc. (USD) 1,600,000 9.25% due July 01, 2017 1,739,122 1,693,574 100,000 11.375% due November 01, 2013 105,084 109,947 RathGibson Inc. (USD) International Lease Finance Corporation (USD) 8,814,367 Callable 11.25% due February 15, 2014 10,125,287 898 8,000,000 6.375% due March 25, 2013 7,925,161 7,947,068 Real Mex Restaurants Inc. (USD) 3,000,000 6.625% due November 15, 2013 2,982,059 2,994,617 3,250,000 14.00% due January 01, 2013 3,402,214 3,040,429 400,000 6.50% due September 01, 2014 417,167 408,927 Reichhold Industries Inc. (USD) 4,000,000 5.75% due May 15, 2016 3,877,951 3,798,814 4,500,000 Callable9.00%dueAugust15,2014 5,015,783 3,895,172 6,250,000 8.75% due March 15, 2017 6,672,237 6,592,920 Reliance Intermediate Holdings LP (USD) 2,000,000 6.25% due May 15, 2019 1,951,400 1,884,651 2,000,000 Callable 9.50% due December 15, 2019 2,063,297 2,104,912 International Wire Group Inc. (USD) Reynolds Group Issuer Inc. (USD) 5,000,000 9.75% due April 15, 2015 4,945,710 5,087,474 750,000 9.00% due April 15, 2019 758,100 714,296 Jabil Circuit Inc. (USD) RSC Equipment Rental Inc. (USD) 14,130,000 7.75% due July 15, 2016 15,340,950 15,092,654 3,244,000 Callable 9.50% due December 01, 2014 2,839,449 3,206,893 1,500,000 Callable8.25%dueMarch15,2018 1,390,881 1,652,826 Sears Holdings Corporation (USD) Jarden Corporation (USD) 25,450,000 6.625% due October 15, 2018 24,227,493 22,765,722 7,850,000 Callable7.50%dueMay01,2017 7,015,843 7,864,306 Solo Cup Company (USD) Lamar Media Corp. (USD) 100,000 Callable10.50%dueNovember01,2013 112,842 100,303 5,285,000 Callable6.625%dueAugust15,2015 5,016,009 5,162,641 7,695,000 Callable8.50%dueFebruary15,2014 7,807,027 6,920,495 1,250,000 7.875% due April 15, 2018 1,253,500 1,262,827 Spirit Aerosystems Inc. (USD) Landry’s Restaurants Inc. (USD) 750,000 7.50% due October 01, 2017 798,888 761,313 7,500,000 11.625%dueDecember01,2015 7,833,848 7,739,712 Sprint Capital Corporation (USD) Levi Strauss & Co. (USD) 26,423,000 Callable 8.375% due March 15, 2012 26,877,881 26,503,009 7,000,000 Callable8.875%dueApril01,2016 6,926,828 7,004,318 12,500,000 7.625% due May 15, 2020 12,366,092 12,055,625 Sprint Nextel Corporation (USD) 4,750,000 Callable6.875% dueOctober31, 2013 4,715,465 4,609,770 The Manitowoc Company Inc. (USD) 12,355,000 Callable 6.00% due December 01, 2016 10,814,156 11,900,885 20,000,000 Callable 7.125% due November 01, 2013 18,051,221 19,433,668 2,000,000 Callable8.375%dueAugust15,2017 2,165,251 2,119,379 3,000,000 8.50% due November 01, 2020 2,988,784 3,088,651 Steel Dynamics Inc. (USD) Media General Inc. (USD) 6,400,000 7.375% due November 01, 2012 6,455,128 6,511,966 8,000,000 Callable 11.75% due February 15, 2017 8,265,013 7,503,421 330,000 6.75% due April 01, 2015 326,507 324,634 MEMC Electronic Materials Inc. (USD) Swift Services Holdings Inc. (USD) 3,000,000 Callable7.75%dueApril01,2019 2,914,800 2,857,183 4,000,000 10% due November 15, 2018 4,016,200 4,084,446 MetroPCS Wireless Inc. (USD) Terex Corporation (USD) 9,000,000 7.875% due September 01, 2018 9,340,398 9,190,003 5,000,000 Callable10.875%dueJune01,2016 5,329,541 5,557,643 10,583,000 6.625%dueNovember15,2020 10,449,120 10,104,707 10,000,000 Callable 8.00% due November 15, 2017 9,859,069 9,885,613 MGM Mirage (USD) Ticketmaster Entertainment Inc. (USD) 3,000,000 10.375% due May 15, 2014 3,334,183 3,283,952 10,735,000 Callable10.75%dueJuly28,2016 10,165,889 11,285,174 Neenah Foundry Company (USD) Tower Automotive Holdings USA LLC/ 933,333 15.00% due July 29, 2015 904,667 884,400 TA Holdings Finance Inc. (USD) The New York Times Company (USD) 2,874,000 Callable 2,070,000 Callable5.00%dueMarch15,2015 1,597,849 2,033,106 10.625%dueSeptember01,2017 3,165,038 2,986,646 NRG Energy Inc. (USD) True Temper Sports Inc. (USD) 17,500,000 Callable 7.625% due January 15, 2018 17,496,396 16,920,070 3,500,000 Callable 8.375% due September 15, 2011 3,768,070 338 12,650,000 7.625% due May 15, 2019 12,159,684 12,139,291 TRW Automotive Inc. (EUR) Pilgrim’s Pride Corp. (USD) 2,000,000 6.375% due March 15, 2014 2,709,623 2,923,084 7,500,000 7.875% due December 15, 2018 7,389,570 6,690,872 TRW Automotive Inc. (USD) Pinafore Inc. (USD) 3,600,000 Callable7.00%dueMarch15,2014 3,386,401 3,836,582 5,900,000 9.00% due October 01, 2018 6,212,982 6,131,250 Tube City IMS Corporation (USD) 4,400,000 Callable9.75%dueFebruary01,2015 4,386,634 4,381,496

72 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD High Yield Bond Fund FIXEDINCOMEFUNDS

Par Value Description Cost FairValue

United States Steel Corporation (USD) 3,750,000 Callable5.65%dueJune01,2013$$ 3,390,500 3,770,397 9,750,000 Callable6.05%dueJune01,2017 9,084,071 9,332,862 11,350,000 Callable 7.00% due February 01, 2018 11,306,422 11,055,973 1,000,000 7.375% due April 01, 2020 1,005,078 990,972 Valassis Communications Inc. (USD) 6,100,000 Callable 6.625% due February 01, 2021 5,849,496 5,824,314 Valeant Pharmaceuticals International (USD) 6,900,000 Callable6.50%dueJuly15,2016 6,726,856 6,579,840 1,500,000 Callable6.75%dueAugust15,2021 1,486,500 1,374,341 2,500,000 Callable7.25%dueJuly15,2022 2,384,928 2,338,791 Vertis Inc. (USD) 3,563,505 Callable13.50%dueApril01,2014 1,735,992 103,105 VICORP Restaurants Inc. (USD) 4,500,000 Callable 10.50% due April 15, 2011 5,604,996 434 Visteon Corporation (USD) 3,000,000 Callable6.75%dueApril15,2019 2,803,953 2,792,083 Wendy’s/Arby’s Restaurants LLC (USD) 14,000,000 Callable10.00%dueJuly15,2016 15,346,186 14,953,797 WII Components Inc. (USD) 2,000,000 Callable 10.00% due February 15, 2012 2,392,060 1,871,033 WMG Acquisition Corp. (USD) 5,000,000 Callable7.375%dueApril15,2014 4,930,383 4,894,584 250,000 9.50% due June 15, 2016 274,580 254,374 901,952,531 853,866,329

Total Global Bonds 1,052,021,720 1,004,206,561

Transaction Costs (Note 3) (10,084) 0

TOTALINVESTMENT PORTFOLIO – 95.3% 1,431,777,100 1,329,889,725 SHORT-TERM INVESTMENTS (CAD) – 2.3% 31,387,619 31,386,750 SHORT-TERM INVESTMENTS (USD) – 0.1% 1,832,455 1,832,455 FOREIGN CURRENCIES – 0.0% 193,152 189,703 FORWARDCONTRACTS (SCHEDULE 1) – 0.7% 0 10,301,708 OTHER NET ASSETS – 1.6% 22,639,014 22,360,623

TOTAL NET ASSETS – 100.0% $ 1,487,829,340 $ 1,395,960,964

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 73 TD High Yield Bond Fund FIXEDINCOMEFUNDS

July 04, 2011 211,120 EUR $ 295,270 295,484 CAD $ 295,484 1.39960 $ 214 July 05, 2011 130,729,000 USD 126,097,925 128,230,769 CAD 128,230,769 0.98089 2,132,844 July 05, 2011 96,241,000 USD 92,831,663 94,401,353 CAD 94,401,353 0.98089 1,569,690 July 05, 2011 83,442,000 USD 80,486,068 81,851,848 CAD 81,851,848 0.98090 to 0.98204 1,365,780 July 05, 2011 81,919,500 USD 79,017,502 80,354,428 CAD 80,354,428 0.98089 1,336,926 July 05, 2011 74,871,000 USD 72,218,695 73,441,338 CAD 73,441,338 0.98091 1,222,643 July 05, 2011 50,628,500 USD 48,834,985 49,663,571 CAD 49,663,571 0.98094 828,586 July 19, 2011 20,295,000 EUR 28,383,027 28,441,413 CAD 28,441,413 1.40140 58,386 July 19, 2011 5,677,000 EUR 7,939,416 7,955,710 CAD 7,955,710 1.40139 16,294 July 19, 2011 134,384,000 USD 129,670,481 130,180,468 CAD 130,180,468 0.96872 509,987 July 19, 2011 125,131,400 USD 120,742,416 121,234,683 CAD 121,234,683 0.96886 492,267 July 19, 2011 91,990,000 USD 88,763,451 89,159,310 CAD 89,159,310 0.96872 to 0.98464 395,859 July 19, 2011 83,792,000 USD 80,852,996 81,230,305 CAD 81,230,305 0.96888 to 0.98465 377,309 July 19, 2011 84,309,000 USD 81,351,862 81,673,501 CAD 81,673,501 0.96874 321,639 July 19, 2011 55,605,500 USD 53,655,137 53,866,994 CAD 53,866,994 0.96873 211,857 August 02, 2011 130,729,000 USD 126,189,566 128,766,758 CAD 128,766,758 0.98499 2,577,192 August 02, 2011 96,241,000 USD 92,899,128 94,796,423 CAD 94,796,423 0.98499 1,897,295 August 02, 2011 83,442,000 USD 80,544,560 82,190,370 CAD 82,190,370 0.98500 1,645,810 August 02, 2011 81,919,500 USD 79,074,927 80,689,888 CAD 80,689,888 0.98499 1,614,961 August 02, 2011 74,871,000 USD 72,271,179 73,760,289 CAD 73,760,289 0.98517 1,489,110 August 02, 2011 50,628,500 USD 48,870,476 49,870,085 CAD 49,870,085 0.98502 999,609 $ 1,590,990,730 $ 1,612,054,988 $ 21,064,258

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 05, 2011 49,836,164 CAD $ 49,836,164 50,628,500 USD $ 48,834,985 0.98435 $ (1,001,179) July 05, 2011 73,711,997 CAD 73,711,997 74,871,000 USD 72,218,695 0.98452 (1,493,302) July 05, 2011 80,637,460 CAD 80,637,460 81,919,500 USD 79,017,502 0.98435 (1,619,958) July 05, 2011 82,136,133 CAD 82,136,133 83,442,000 USD 80,486,067 0.98435 (1,650,066) July 05, 2011 94,734,828 CAD 94,734,828 96,241,000 USD 92,831,663 0.98435 (1,903,165) July 05, 2011 128,683,090 CAD 128,683,090 130,729,000 USD 126,097,925 0.98435 (2,585,165) July 05, 2011 4,000,000 USD 3,858,300 3,856,800 CAD 3,856,800 0.96420 (1,500) July 19, 2011 295,486 CAD 295,486 211,120 EUR 295,256 1.39961 (230) July 19, 2011 6,252,883 CAD 6,252,883 6,461,500 USD 6,234,863 0.96455 to 0.97285 (18,020) July 19, 2011 2,715,427 CAD 2,715,427 2,794,500 USD 2,696,483 0.97170 (18,944) July 19, 2011 3,321,014 CAD 3,321,014 2,360,000 EUR 3,300,514 1.40117 to 1.40820 (20,500) July 19, 2011 26,075,070 CAD 26,075,070 26,556,000 USD 25,624,549 0.97170 to 0.98427 (450,521) $ 552,257,852 $ 541,495,302 $ (10,762,550)

TOTALNUMBEROFCONTRACTS: 41 NETAPPRECIATION $ 10,301,708

74 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD High Yield Bond Fund FIXEDINCOMEFUNDS

Percentage of Percentage of Preferred Shares 0 7,994 850 8,844 Total Bonds (%) Total Net Assets (%) Bonds and Short-Term Credit Rating° 2011 2010 2011 2010 Investments 0 1,191,096 4,414 1,195,510 Forward Contracts 0 25,912 0 25,912 BBB 2.80 3.35 2.49 2.94 BB 39.11 32.95 34.87 28.93 56,975 1,225,003 25,011 1,306,989 B 47.46 49.64 42.30 43.58 Forward Contracts 0 (3,460) 0 (3,460) CCC 8.99 12.67 8.02 11.12 $ 56,975 $ 1,221,543 $ 25,011 $ 1,303,529 D 0.00 0.24 0.00 0.21 No Rating 1.64 1.15 1.46 1.01 Equity positions with a fair value of $1 were transferred from Level 1 to Level 2 during the Total 100.00 100.00 89.14 87.79 period as a result of decreased activity in the market for those securities.

Term to Maturity Total Exposure (000s) Bonds 2011 2010 Less than 1 year $ 77,651 $ 15,691 1-5 years 558,423 688,742 5-10 years 595,044 452,324 > 10 years 13,361 12,520 Total $ 1,244,479 $ 1,169,277

Impact on Net Assets (000s) $ 41,317 $ 36,832

Impact on Net Assets (%) 2.96 2.77

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 75 TD High Yield Bond Fund FIXEDINCOMEFUNDS

Reconciliation of Level 3 Fair Value Measurements (in 000s) Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) The tables below reconcile the Fund’s Level 3 fair value measurements from December 31, The table below summarizes cash flows associated with the maturities of the Fund’s financial 2010 to June 30, 2011 and December 31, 2009 to December 31, 2010: liabilities as at June 30, 2011 and December 31, 2010:

Common Less than Shares Bonds Preferred 3 months Balance at December 31, 2010 $ 19,747 $ 4,414 $ 850 2011 2010 Purchases 3,349 2,000 0 Accounts payable and other liabilities $ 12,084 $ 2,252 Sales (6,163) 00Forward Contracts 10,763 3,460 Net Transfers In (Out) (17,458) 1,768 0 $ 22,847 $ 5,712 Gains (Losses) Net Realized on Sale of Investments 5,175 00 Net Change in Unrealized Appreciation/ Depreciation of Investments (62) 1,040 (25) Balance at June 30, 2011 $ 4,588 $ 9,222 $ 825

Total change in unrealized for assets held at June 30, 2011 $ (1,147) $ (37) $ (25)

Common Shares Bonds Preferred Balance at December 31, 2009 $ 748 $ 5,925 $ 907 Purchases 4,958 0 10 Sales 0 (6,329) 0 Net Transfers In (Out) 14,080 2,143 0 Gains (Losses) Net Realized on Sale of Investments 0 3,780 0 Net Change in Unrealized Appreciation/ Depreciation of Investments (39) (1,105) (67) Balance at December 31, 2010 $ 19,747 $ 4,414 $ 850

Total change in unrealized for assets held at December 31, 2010 $ (39) $ (125) $ (67)

76 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. BALANCEDFUNDS TD Monthly Income Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 5,487,764 $ 4,712,621 Interest $ 51,470 $ 64,380 Short-Term Investments 56,056 67,170 Dividends 53,322 35,865 Foreign Currencies 43 261 Foreign Exchange 17,795 6,214 Cash 285 416 Securities Lending 330 266 Interest Receivable 19,200 16,531 Less: Withholding Taxes (5) (11) Dividends Receivable 12,196 10,518 122,912 106,714 Subscriptions Receivable 12,322 8,906 Expenses (Note 5) Receivable for Investment Sales 28,655 39 Management Fees 35,886 28,114 Unrealized Gain on Open Foreign Administration Fees 2,281 1,788 Exchange Forward Contracts 3,377 8,876 Independent Review Committee Fees 14 11 5,619,898 4,825,338 Bank Charges and Interest 01 Liabilities 38,181 29,914 Accrued Liabilities 6,603 5,924 Less: Waived Expenses (0) (1) Redemptions Payable 8,049 5,742 38,181 29,913 Distributions Payable 1,684 3 Payable for Investment Purchases 75,693 0 Net Investment Income (Loss) 84,731 76,801 Unrealized Loss on Open Foreign Net Realized Gain (Loss) on Exchange Forward Contracts 1,633 0 Sale of Investments (17,812) (16,907) 93,662 11,669 Net Change in Unrealized Appreciation/ Depreciation of Investments 128,805 (19,198) Net Assets (Note 3) $ 5,526,236 $ 4,813,669 Transaction Costs on Purchase and Sale Net Assets Representing Unitholders’ Equity (Note 4) of Investments (Note 3) (223) (2) Investor Series $ 3,672,769 $ 3,082,564 Net Gain (Loss) on Investments 110,770 (36,107) Advisor Series $ 1,554,694 $ 1,456,483 Increase (Decrease) in Net Assets F-Series $ 55,743 $ 48,476 from Investment Operations† $ 195,501 $ 40,694 H-Series $ 41,278 $ 38,860 S-Series $ 5,348 $ 5,850 †Increase (Decrease) in Net Assets from Investment Operations T-Series $ 196,404 $ 181,436 Investor Series $ 125,610 $ 25,219 $ 5,526,236 $ 4,813,669 Advisor Series $ 58,628 $ 12,949 F-Series $ 2,128 $ 454 Number of Units Outstanding H-Series $ 1,543 $ 399 Investor Series 219,884,665 189,210,328 S-Series $ 264 $ 66 Advisor Series 98,226,483 94,347,634 T-Series $ 7,328 $ 1,607 F-Series 4,894,497 4,364,333 $ 195,501 $ 40,694 H-Series 3,168,531 3,013,290 Increase (Decrease) in Net Assets from Investment Operations – S-Series 410,097 453,239 Per Unit (Note 3) T-Series 15,095,982 14,087,363 Investor Series $ 0.65 $ 0.14 Net Assets Per Unit (Note 3) Advisor Series $ 0.62 $ 0.14 Investor Series $ 16.70 $ 16.29 F-Series $ 0.48 $ 0.12 H-Series $ 0.52 $ 0.13 Advisor Series $ 15.83 $ 15.44 S-Series $ 0.56 $ 0.17 F-Series $ 11.39 $ 11.11 T-Series $ 0.52 $ 0.12 H-Series $ 13.03 $ 12.90 S-Series $ 13.04 $ 12.91 T-Series $ 13.01 $ 12.88

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 77 BALANCEDFUNDS TD Monthly Income Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Advisor Series F-Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 3,082,564 $ 2,609,647 $ 1,456,483 $ 1,314,825 $ 48,476 $ 34,055 Increase (Decrease) in Net Assets from Investment Operations 125,610 25,219 58,628 12,949 2,128 454 Capital Unit Transactions† Proceeds from Sale of Units 776,198 375,477 197,882 165,629 11,543 12,484 Reinvestments of Distributions 47,104 43,601 19,923 20,635 751 668 Early Redemption Fees 35 20 15 10 10 Amounts Paid on Redemptions (309,007) (267,107) (156,179) (155,947) (6,230) (6,398) 514,330 151,991 61,641 30,327 6,065 6,754 Distributions to Unitholders (49,735) (45,877) (22,058) (22,679) (926) (785) Increase (Decrease) in Net Assets for the Period 590,205 131,333 98,211 20,597 7,267 6,423 Net Assets, End of the Period $ 3,672,769 $ 2,740,980 $ 1,554,694 $ 1,335,422 $ 55,743 $ 40,478 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 189,210,328 170,093,429 94,347,634 90,440,144 4,364,333 3,255,434 Units Issued 46,357,326 24,130,289 12,490,643 11,215,959 1,010,561 1,177,054 Units Issued on Reinvestments 2,798,430 2,813,381 1,249,390 1,405,366 65,476 63,150 Units Redeemed (18,481,419) (17,168,049) (9,861,184) (10,577,421) (545,873) (598,735) Units Outstanding, End of the Period 219,884,665 179,869,050 98,226,483 92,484,048 4,894,497 3,896,903

H-Series S-Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 38,860 $ 37,890 $ 5,850 $ 4,873 Increase (Decrease) in Net Assets from Investment Operations 1,543 399 264 66 Capital Unit Transactions† Proceeds from Sale of Units 6,855 4,268 1,022 404 Reinvestments of Distributions 537 498 96 86 Early Redemption Fees 10 00 Amounts Paid on Redemptions (5,333) (5,988) (1,691) (711) 2,060 (1,222) (573) (221) Distributions to Unitholders (1,185) (1,108) (193) (159) Increase (Decrease) in Net Assets for the Period 2,418 (1,931) (502) (314) Net Assets, End of the Period $ 41,278 $ 35,959 $ 5,348 $ 4,559 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 3,013,290 3,043,031 453,239 391,114 Units Issued 520,580 338,730 77,701 32,403 Units Issued on Reinvestments 40,613 39,891 7,247 6,873 Units Redeemed (405,952) (475,537) (128,090) (57,116) Units Outstanding, End of the Period 3,168,531 2,946,115 410,097 373,274

78 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. BALANCEDFUNDS TD Monthly Income Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) T-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 181,436 $ 160,972 $ 4,813,669 $ 4,162,262 Increase (Decrease) in Net Assets from Investment Operations 7,328 1,607 195,501 40,694 Capital Unit Transactions† Proceeds from Sale of Units 26,395 21,115 1,019,895 579,377 Reinvestments of Distributions 1,662 1,462 70,073 66,950 Early Redemption Fees 21 54 31 Amounts Paid on Redemptions (14,782) (14,489) (493,222) (450,640) 13,277 8,089 596,800 195,718 Distributions to Unitholders (5,637) (4,993) (79,734) (75,601) Increase (Decrease) in Net Assets for the Period 14,968 4,703 712,567 160,811 Net Assets, End of the Period $ 196,404 $ 165,675 $ 5,526,236 $ 4,323,073 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 14,087,363 12,945,786 Units Issued 2,009,450 1,683,942 Units Issued on Reinvestments 126,060 117,309 Units Redeemed (1,126,891) (1,154,835) Units Outstanding, End of the Period 15,095,982 13,592,202

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 79 BALANCEDFUNDS

TD Monthly Income Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 306,300 National Bank of Canada $$21,292,018 23,928,156 No. of Shares 1,253,400 PowerCorporationofCanada,SV 38,134,630 33,591,120 or Units Description Cost FairValue 4,542,600 Royal Bank of Canada 186,276,115 249,797,574 1,339,600 Sun Life Financial Inc. 51,891,536 38,808,212 Canadian Equities – 59.1% 2,835,700 The Toronto-Dominion Bank* 155,872,665 231,903,546 ENERGY – 12.6% 1,270,283,207 1,504,469,167 950,500 AltaGas Ltd. $ 20,177,416 $ 24,446,860 1,023,000 ARC Resources Ltd. 22,360,729 25,544,310 TELECOMMUNICATION SERVICES – 3.3% 545,900 Bonavista Energy Corporation 18,769,893 15,541,773 1,481,422 BCE Inc. 44,395,041 56,012,566 7,058,946 Canadian Oil Sands Limited 123,710,264 196,097,520 392,493 Bell Aliant Inc. 12,379,880 11,264,549 1,311,900 Cenovus Energy Inc. 24,963,576 47,648,208 1,254,400 Rogers Communications Inc., 2,774,600 Enbridge Inc. 42,043,921 86,844,980 Class “B” NV 40,431,542 47,805,184 1,086,900 EnCana Corporation 23,706,561 32,280,930 1,234,400 TELUS Corporation 49,108,559 65,509,608 980,400 Husky Energy Inc. 25,735,500 25,745,304 146,315,022 180,591,907 523,700 Penn West Petroleum Ltd. 18,847,823 11,636,614 UTILITIES – 4.0% 641,662 ProgressEnergyResourcesCorp. 12,289,664 8,803,603 2,483,600 AlgonquinPower&UtilitiesCorp. 18,677,057 14,181,356 2,514,600 Suncor Energy Inc. 65,395,026 94,800,420 489,400 ATCO Ltd., Class “I” NV 15,616,091 30,572,818 1,483,200 TransCanada Corporation 44,660,603 62,620,704 1,022,500 Atlantic Power Corporation 11,326,010 14,938,725 1,790,500 Veresen Inc. 17,467,337 24,852,140 1,399,000 Brookfield Infrastructure Partners LP 22,524,808 33,645,950 725,100 Vermilion Energy Inc. 21,255,436 36,885,837 625,000 Capital Power Corporation 15,000,000 15,618,750 481,383,749 693,749,203 1,194,200 Capstone Infrastructure Corporation,

MATERIALS – 1.3% Contingency Value Receipts 47,768 0 142,808 AbitibiBowater Inc. 13,024,922 2,770,475 406,400 Emera Inc. 7,975,674 12,846,304 783,300 Barrick Gold Corporation 25,892,225 34,206,711 609,092 Fortis Inc. 11,248,619 19,704,126 685,100 Teck Resources Limited, Class “B” SV 16,887,976 33,494,539 620,500 Innergex Renewable Energy Inc. 4,473,392 6,186,385 3,115,957 Just Energy Group Inc. 41,478,490 44,246,589 55,805,123 70,471,725 1,399,700 TransAlta Corporation 28,935,285 28,791,829 INDUSTRIALS – 1.9% 177,303,194 220,732,832 563,900 Canadian National Railway Company 33,613,616 43,448,495 356,000 CanadianPacificRailwayLimited 21,547,814 21,377,800 ROYALTY/INCOME TRUSTS – 5.9% 1,564,400 ProgressiveWasteSolutionsLtd. 26,440,474 37,545,600 1,246,000 Arctic Glacier Income Fund 11,928,665 1,034,180 490,100 Superior Plus Corp. 11,302,886 5,498,922 1,190,800 Boardwalk Real Estate Investment Trust 17,262,249 57,396,560 1,845,000 BrookfieldRenewablePowerFund 26,289,670 42,435,000 92,904,790 107,870,817 446,600 Calloway Real Estate Investment Trust 7,839,378 11,231,990 CONSUMER DISCRETIONARY – 2.1% 1,758,300 Chartwell Seniors Housing 954,800 Cineplex Inc. 11,010,814 25,407,228 Real Estate Investment Trust 17,263,375 14,716,971 150,000 Dollarama Inc. 4,881,000 4,890,000 871,400 ChemtradeLogisticsIncomeFund 12,261,914 12,548,160 372,500 Groupe Aeroplan Inc. 6,021,783 4,954,250 34,600 Clearwater Seafoods Income Fund 327,841 50,170 372,300 Magna International Inc. 17,495,670 19,396,830 2,037,300 H&RRealEstateInvestmentTrust 30,028,968 43,924,188 594,200 Shaw Communications Inc., 1,202,400 InnVestRealEstateInvestmentTrust 9,503,875 8,044,056 Class “B” NV 11,500,457 13,060,516 1,683,500 Inter Pipeline Fund 15,060,104 26,666,640 504,700 Thomson Reuters Corporation 19,710,583 18,260,046 1,101,000 Noranda Income Fund 10,214,647 5,097,630 402,000 Tim Hortons Inc. 13,069,842 18,914,100 965,800 Primaris Retail Real Estate 4,730,500 Yellow Media Inc. 61,607,429 11,353,200 Investment Trust 8,938,675 20,291,458 145,297,578 116,236,170 3,258,500 RioCan Real Estate Investment Trust 44,566,761 84,297,395 211,486,122 327,734,398 CONSUMER STAPLES – 0.5% 170,700 METRO Inc., Class “A” SV 7,789,751 8,190,186 PREFERRED – 0.0% 468,700 ShoppersDrugMartCorporation 22,535,628 18,607,390 9,500 SplitYieldCorporation,Class“I”Pref. 182,158 180,025 30,325,379 26,797,576 Total Canadian Equities 2,633,356,169 3,265,163,186

HEALTH CARE – 0.3% 1,750,200 CML HealthCare Inc. 22,069,847 16,329,366 U.S. Equities – 0.3% INDUSTRIALS – 0.3% FINANCIALS – 27.2% 2,721,933 Student Transportation Inc. 18,440,550 16,767,107 3,704,200 Bank of Montreal 203,822,835 226,919,292 4,168,300 The Bank of Nova Scotia 173,583,179 241,803,083 PREFERRED – 0.0% 2,127,600 Brookfield Asset Management Inc., 1,108 AllyFinancialInc.,Pref.Series“144A” 1,158,055 1,004,294 Class “A” LV 37,891,730 68,040,648 Total U.S. Equities 19,598,605 17,771,401 3,005,000 Canadian Imperial Bank of Commerce 209,735,559 228,680,500 705,000 CI Financial Corp. 19,272,030 16,102,200 468,000 First Capital Realty Inc. 5,691,475 7,698,600 800,000 Intact Financial Corporation 20,000,000 44,192,000 5,461,200 Manulife Financial Corporation 146,819,435 93,004,236

80 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Monthly Income Fund BALANCEDFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Canadian Bonds – 38.1% Caisse centrale Desjardins FEDERAL BONDS & GUARANTEES – 4.3% $$650,000 FloatingRatedueFebruary11,2014 650,000$ 664,515 Canada Housing Trust No. 1 14,500,000 3.114%dueDecember04,2014 14,501,170 14,678,290 $$$ 20,000,000 3.35% due December 15, 2020 20,506,000$ 19,889,594 8,000,000 3.788% due June 08, 2015 8,000,000 8,249,860 Government of Canada Canadian Capital Auto Receivables Asset Trust II 15,000,000 1.75% due March 01, 2013 14,991,750 15,061,137 1,286,497 2.002% due November 17, 2012 1,286,497 1,288,594 60,000,000 3.25% due June 01, 2021 61,389,111 60,698,000 4,700,000 2.632% due August 17, 2014 4,700,000 4,770,359 10,000,000 5.75% due June 01, 2029 12,673,000 13,036,569 10,300,000 3.321%dueSeptember17,2016 10,300,000 10,475,409 85,500,000 5.00% due June 01, 2037 104,886,869 105,904,149 Canadian Capital Auto Receivables Asset Trust III 20,000,000 4.00% due June 01, 2041 22,267,000 21,660,000 9,839,929 2.716% due February 18, 2014 9,930,617 9,868,956 236,713,730 236,249,449 Canadian Credit Card Trust 10,400,000 3.444% due July 24, 2015 10,400,000 10,603,882 PROVINCIAL BONDS – 3.8% Province of British Columbia Canadian Imperial Bank of Commerce 30,000,000 5.70% due June 18, 2029 33,849,000 35,724,259 16,000,000 3.10% due March 02, 2015 15,969,920 16,197,005 15,000,000 3.15% due November 02, 2015 14,831,222 14,831,703 Province of Manitoba 14,600,000 3.40% due January 14, 2016 14,587,534 14,800,208 25,000,000 4.25% due March 05, 2039 24,905,750 24,589,750 10,000,000 3.95% due July 14, 2017 10,043,175 10,260,048 Province of Ontario Canadian National Railway Company (USD) 25,000,000 6.50% due March 08, 2029 31,107,600 32,032,271 2,751,000 Callable4.40%dueMarch15,2013 2,695,049 2,665,332 30,000,000 5.85% due March 08, 2033 34,477,200 36,382,361 10,000,000 Callable5.80%dueJune01,2016 11,212,785 11,043,531 30,000,000 5.60% due June 02, 2035 33,834,600 35,502,392 2,000,000 Callable 5.85% due November 15, 2017 2,026,092 2,128,272 44,000,000 4.65% due June 02, 2041 46,651,650 46,185,978 Canadian Pacific Railway Company 204,825,800 210,417,011 5,000,000 Callable6.25%dueJune01,2018 5,709,500 5,720,357 CORPORATE BONDS – 30.0% Canadian Pacific Railway Company (USD) Alcan Inc. (USD) 12,050,000 Callable 6.25% due October 15, 2011 13,788,210 11,710,806 12,000,000 Callable 5.20% due January 15, 2014 12,589,814 12,573,920 Canadian Tire Corporation Limited Bank of Montreal 13,000,000 4.95% due June 01, 2015 13,149,570 13,879,237 7,000,000 Callable4.78%dueApril30,2014 7,536,200 7,446,746 Cara Operations Ltd. 8,000,000 3.93% due April 27, 2015 8,000,000 8,329,553 2,340,000 9.125% due December 01, 2015 2,340,000 2,449,688 5,000,000 Callable5.18%dueJune10,2015 5,469,500 5,433,920 13,000,000 3.103% due March 10, 2016 13,000,000 13,026,588 CARDS II Trust 14,000,000 3.49% due June 10, 2016 14,000,000 14,200,941 8,200,000 3.096% due September 15, 2015 8,200,000 8,253,137 16,000,000 Callable6.02%dueMay02,2018 18,180,680 18,294,350 Cascades Inc. The Bank of Nova Scotia 12,750,000 7.75% due December 15, 2016 12,580,425 13,368,375 13,000,000 3.43% due July 16, 2014 13,264,680 13,346,298 Caterpillar Financial Services Limited 56,500,000 3.35% due November 18, 2014 56,322,395 57,771,950 4,000,000 4.94% due June 01, 2012 4,235,080 4,115,379 15,000,000 3.34% due March 25, 2015 14,999,250 15,310,962 CIBC Capital Trust 12,300,000 3.61% due February 22, 2016 12,298,278 12,581,977 6,954,000 Callable9.976%dueJune30,2019 7,115,350 9,096,031 16,000,000 4.10% due June 08, 2017 15,998,080 16,537,277 Corus Entertainment Inc. BCE Inc. 3,139,000 7.25% due February 10, 2017 3,164,086 3,327,340 15,000,000 4.85% due June 30, 2014 15,854,910 15,871,806 Daimler Canada Finance Inc. 14,000,000 3.60% due December 02, 2015 13,985,064 14,166,338 13,000,000 3.16% due April 14, 2014 13,076,060 13,134,569 bcIMC Realty Corporation Domtar Corporation (USD) 3,000,000 Callable 5.25% due September 19, 2012 3,225,382 3,116,563 22,500,000 Callable 5.375% due December 01, 2013 22,002,052 22,893,632 5,100,000 3.38% due January 29, 2015 5,100,000 5,195,623 Eagle Credit Card Trust Bell Aliant Regional Communications, 8,200,000 3.474% due December 17, 2015 8,200,000 8,339,624 Limited Partnership 3,000,000 Callable4.95%dueFebruary26,2014 3,154,620 3,147,167 Enbridge Gas Distribution Inc. 7,100,000 4.04% due November 23, 2020 7,097,089 7,121,562 Bell Canada 15,400,000 3.65% due May 19, 2016 15,388,912 15,495,553 Enbridge Pipelines Inc. 7,600,000 4.49% due November 12, 2019 7,677,780 7,931,416 BMW Canada Inc. 15,800,000 4.45% due April 06, 2020 15,793,680 16,327,491 6,000,000 3.22% due March 28, 2013 5,999,340 6,104,237 6,400,000 5.35% due November 10, 2039 6,394,304 6,831,702 13,700,000 2.76% due April 01, 2014 13,697,260 13,769,171 6,400,000 5.33% due April 06, 2040 6,399,040 6,804,473 9,200,000 3.15% due April 01, 2015 9,199,632 9,287,363 EnCana Corporation Bombardier Inc. 5,700,000 Callable5.80%dueJanuary18,2018 6,373,398 6,379,157 24,089,000 Callable 7.35% due December 22, 2026 21,999,853 24,649,787 EnCana Corporation (USD) Bombardier Inc. (USD) 8,000,000 Callable 6.30% due November 01, 2011 9,169,950 7,859,264 15,250,000 7.50% due March 15, 2018 15,777,825 16,472,806 6,750,000 7.75% due March 15, 2020 6,882,300 7,323,792

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 81 TD Monthly Income Fund BALANCEDFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

ENMAX Corporation John Deere Credit Inc. $$7,350,000 6.15% due June 19, 2018 8,007,832$ 8,069,977 $$12,200,000 3.90% due July 29, 2013 12,524,492$ 12,617,517 EPCOR Utilities Inc. 4,600,000 3.50% due June 23, 2014 4,594,204 4,726,300 11,355,000 6.60% due November 01, 2011 12,640,484 11,536,126 Manitoba Telecom Services Inc. Fairfax Financial Holdings Limited 14,635,000 Callable 5.20% due September 27, 2011 14,957,505 14,743,260 7,500,000 7.50% due August 19, 2019 7,472,925 8,187,289 5,500,000 Callable6.15%dueJune10,2014 5,838,170 5,930,928 1,800,000 6.40% due May 25, 2021 1,792,656 1,793,434 Manulife Financial Capital Trust II Fairfax Financial Holdings Limited (USD) 13,000,000 Callable 7.405% due December 31, 2019 14,936,350 14,802,908 1,330,000 7.375% due April 15, 2018 1,601,739 1,390,082 Master Credit Card Trust Finning International Inc. 12,000,000 5.237% due May 21, 2013 13,102,800 12,685,332 16,000,000 6.02% due June 01, 2018 17,940,744 18,124,568 10,800,000 3.502% due May 21, 2016 10,800,000 10,940,514 First Capital Realty Inc. Merrill Lynch Financial Assets Inc. 12,500,000 Callable 5.49% due December 01, 2011 12,531,875 12,671,077 700,710 4.596% due May 12, 2014 724,847 723,321 9,100,000 5.70% due November 30, 2017 9,146,995 9,659,286 8,444,864 Callable4.38%dueAugust12,2015 8,559,705 8,729,834 Ford Auto Securitization Trust National Bank of Canada 621,800 1.517% due October 15, 2012 621,800 621,776 20,000,000 3.147% due February 11, 2015 20,000,000 20,265,861 800,000 2.75% due November 15, 2013 800,000 806,208 15,900,000 4.03% due May 26, 2015 15,900,000 16,577,866 4,700,000 2.296% due July 15, 2014 4,700,000 4,740,185 16,000,000 3.58% due April 26, 2016 16,000,000 16,274,192 7,400,000 2.431% due November 15, 2014 7,400,000 7,472,224 NOVA Chemicals Corporation (USD) 600,000 3.836% due January 15, 2015 600,000 619,288 45,865,000 Callable 6.50% due January 15, 2012 48,239,616 45,008,603 6,800,000 3.02% due February 15, 2016 6,800,000 6,909,140 NOVA Gas Transmission Ltd. Ford Credit Canada Limited 195,900 Callable11.20%dueJune01,2014 263,172 234,650 12,167,000 4.875% due March 17, 2014 12,174,418 12,194,960 Ontrea Inc. 4,000,000 7.375% due August 18, 2015 4,323,313 4,316,667 7,879,436 Callable4.619%dueApril09,2018 7,879,436 8,016,538 GE Capital Canada Funding Company Real Estate Asset Liquidity Trust 33,000,000 5.29% due August 17, 2012 33,808,250 34,261,829 5,255,798 Callable4.449%dueAugust12,2016 5,363,093 5,453,521 4,000,000 4.375% due September 28, 2012 3,903,440 4,118,072 RioCan Real Estate Investment Trust 13,500,000 5.15% due June 06, 2013 13,542,145 14,214,836 6,700,000 Callable4.499%dueJanuary21,2016 6,705,025 6,839,611 5,100,000 2.95% due February 10, 2014 5,094,033 5,146,607 5,500,000 4.40% due June 01, 2014 5,322,350 5,748,957 Rogers Communications Inc. 6,000,000 5.53% due August 17, 2017 5,973,600 6,517,421 15,000,000 Callable5.34%dueMarch22,2021 14,993,100 15,104,980 Glacier Credit Card Trust Rogers Communications Inc. (USD) 10,000,000 5.027% due February 20, 2013 10,507,500 10,462,914 2,000,000 Callable6.25%dueJune15,2013 2,180,459 2,115,463 10,100,000 3.158%dueNovember20,2015 10,093,120 10,135,874 5,000,000 Callable6.375%dueMarch01,2014 5,284,412 5,408,443 2,256,000 Callable5.50%dueMarch15,2014 2,327,572 2,395,990 Golden Credit Card Trust 1,000,000 Callable7.50%dueMarch15,2015 1,256,036 1,141,793 10,000,000 5.421% due April 15, 2013 10,913,800 10,584,226 16,000,000 3.824% due May 15, 2015 16,000,000 16,567,249 Royal Bank of Canada 16,000,000 3.51% due May 15, 2016 16,000,000 16,220,537 15,000,000 3.18% due March 16, 2015 14,994,450 15,267,653 9,400,000 4.35% due June 15, 2015 9,396,616 9,771,267 Holcim Finance (Canada) Inc. 10,000,000 Callable 3.18% due November 02, 2015 9,997,200 9,904,054 3,000,000 5.90% due June 21, 2013 2,995,830 3,166,566 14,000,000 3.36% due January 11, 2016 13,994,260 14,171,509 Honda Canada Finance Inc. 20,000,000 3.66% due January 25, 2017 19,992,600 20,302,854 8,900,000 5.076% due May 09, 2013 9,418,514 9,329,000 Schooner Trust HSBC Bank Canada 1,401,331 Callable4.639%dueJanuary12,2014 1,443,471 1,441,189 10,600,000 3.86% due May 21, 2015 10,597,138 10,979,349 Scotiabank Tier 1 Trust 14,200,000 3.558% due October 04, 2017 14,159,744 14,174,863 3,000,000 Callable7.802%dueJune30,2019 3,513,720 3,578,568 HSBC Canada Asset Trust Shaw Communications Inc. 10,000,000 Callable5.149%dueJune30,2015 10,596,800 10,568,833 8,000,000 Callable 6.10% due November 16, 2012 7,973,400 8,418,734 Husky Energy Inc. 34,435,000 Callable 7.50% due November 20, 2013 36,876,127 38,142,961 4,700,000 3.75% due March 12, 2015 4,696,381 4,833,150 6,214,000 Callable6.15%dueMay09,2016 6,318,455 6,797,277 Hydro One Inc. 500,000 5.70% due March 02, 2017 468,125 532,896 15,000,000 3.13% due November 19, 2014 15,064,500 15,284,224 4,000,000 5.50% due December 07, 2020 3,985,400 4,003,089 10,000,000 Callable4.64%dueMarch03,2016 10,648,100 10,721,590 Sherritt International Corporation 20,800,000 4.40% due June 01, 2020 20,791,056 21,516,795 15,000,000 Callable 7.75% due October 15, 2015 15,081,350 16,177,500 20,000,000 Callable4.89%dueMarch13,2037 18,957,525 19,884,166 4,300,000 5.49% due July 16, 2040 4,346,784 4,665,243 Institutional Mortgage Securities Canada Inc. 3,600,000 4.697% due February 12, 2021 3,599,964 3,698,640

82 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Monthly Income Fund BALANCEDFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Shoppers Drug Mart Corporation Global Bonds – 1.8% $$10,000,000 5.19% due January 20, 2014 10,791,545$ 10,633,216 UNITED STATES – 1.7% SNC-Lavalin Group Inc. AK Steel Holding Corporation (USD) 7,000,000 6.19% due July 03, 2019 7,519,820 7,822,776 2,000,000 Callable7.625%dueMay15,2020$$ 2,018,988 1,977,123 Sun Life Capital Trust Il Ally Financial Inc. (USD) 14,000,000 Callable 5.863% due December 31, 2019 14,000,000 14,796,465 800,000 6.25% due December 01, 2017 768,823 766,414 TD Capital Trust IV* Calpine Corporation (USD) 17,000,000 Callable6.631%dueJune30,2021 18,833,493 19,008,844 1,000,000 7.875% due July 31, 2020 1,049,568 1,007,850 Teck Resources Limited (USD) CF Industries Inc. (USD) 372,000 9.75% due May 15, 2014 461,122 434,290 1,000,000 6.875% due May 01, 2018 1,053,286 1,093,445 TELUS Corporation CNH Global NV (USD) 10,000,000 4.95% due May 15, 2014 10,538,294 10,587,828 354,000 Callable7.875%dueDecember01,2017 386,239 375,557 14,600,000 Callable5.95%dueApril15,2015 16,110,731 16,027,654 Constellation Brands Inc. (USD) 7,000,000 5.05% due December 04, 2019 6,959,330 7,172,126 1,583,000 8.375% due December 15, 2014 1,713,640 1,736,649 Teranet Holdings LP 13,500,000 Callable 7.25% due September 01, 2016 14,480,607 14,224,432 10,800,000 4.807%dueDecember16,2020 10,610,460 10,883,088 Crown Americas LLC/ Thomson Reuters Corporation Crown Americas Capital Corp III (USD) 5,000,000 5.70% due July 15, 2015 5,593,075 5,531,331 250,000 Callable6.25%dueFebruary01,2021 248,213 243,524 15,000,000 6.00% due March 31, 2016 16,839,298 16,766,463 EchoStar DBS Corporation (USD) Thomson Reuters Corporation (USD) 16,750,000 Callable 6.375% due October 01, 2011 17,596,101 16,295,890 1,665,000 Callable5.25%dueAugust15,2013 1,784,673 1,739,894 6,750,000 Callable6.625% dueOctober01, 2014 6,947,600 6,851,814 14,000,000 Callable 5.70% due October 01, 2014 14,144,325 15,118,390 El Paso Corporation (USD) Toronto Hydro Corporation 1,500,000 6.875% due June 15, 2014 1,566,450 1,616,558 6,000,000 6.11% due May 06, 2013 6,572,280 6,432,202 GameStop Corp./GameStop Inc. (USD) The Toronto-Dominion Bank* 3,044,000 Callable8.00%dueOctober01,2012 3,336,705 2,979,823 6,200,000 Callable 3.367% due November 02, 2015 6,200,000 6,186,966 Gannett Co., Inc. (USD) Toyota Credit Canada Inc. 1,000,000 10.00% due April 01, 2016 1,137,180 1,109,118 12,000,000 5.05% due July 27, 2012 12,773,640 12,391,833 HCA Inc. (USD) 8,600,000 3.55% due February 22, 2016 8,590,626 8,720,284 500,000 9.25% due November 15, 2016 545,695 511,761 TransCanada PipeLines Limited The Hertz Corporation (USD) 18,000,000 5.05% due February 14, 2014 19,587,967 19,158,722 683,000 Callable8.875%dueJanuary01,2014 663,338 675,187 TransCanada PipeLines Limited (USD) International Lease Finance Corporation (USD) 5,000,000 Callable4.875%dueJanuary15,2015 5,212,038 5,154,203 800,000 6.50% due September 01, 2014 834,335 817,854 Union Gas Limited Jabil Circuit Inc. (USD) 4,800,000 Callable8.75%dueAugust03,2018 6,454,320 6,231,049 1,700,000 5.625% due December 15, 2020 1,687,670 1,606,774 6,279,000 Callable 8.65% due November 10, 2025 8,268,778 8,823,273 LBI Escrow Corporation (USD) Vermilion Energy Inc. 200,000 8.00% due November 01, 2017 205,070 214,590 2,400,000 Callable6.50%dueFebruary10,2016 2,416,875 2,441,103 NRG Energy Inc. (USD) Videotron Ltee 3,000,000 Callable7.625%dueJanuary15,2018 3,010,717 2,900,583 500,000 6.875% due July 15, 2021 500,000 502,500 9,050,000 7.625% due May 15, 2019 8,744,926 8,684,631 VW Credit Canada Inc. Phillips-Van Heusen Corporation (USD) 6,800,000 2.55% due November 18, 2013 6,777,305 6,827,831 1,050,000 7.375% due May 15, 2020 1,074,463 1,083,560 5,400,000 3.60% due February 01, 2016 5,394,870 5,501,855 R.R. Donnelley & Sons Company (USD) Wells Fargo Financial Canada Corporation 2,500,000 Callable8.60%dueAugust15,2016 2,701,092 2,620,676 6,000,000 Callable 4.33% due December 06, 2013 5,846,760 6,239,810 Reynolds Group Issuer Inc. (USD) 12,000,000 3.97% due November 03, 2014 12,012,320 12,354,173 650,000 7.125% due April 15, 2019 657,020 622,191 11,100,000 3.70% due March 30, 2016 11,095,449 11,191,854 Sears Holdings Corporation (USD) West Fraser Timber Co., Ltd. (USD) 2,550,000 6.625% due October 15, 2018 2,367,876 2,281,045 8,000,000 Callable5.20%dueOctober15,2014 6,613,295 7,773,467 Sprint Capital Corporation (USD) Westcoast Energy Inc. 3,000,000 Callable8.375%dueMarch15,2012 3,206,067 3,009,084 1,900,000 4.57% due July 02, 2020 1,899,848 1,954,339 3,000,000 Callable 7.30% due December 18, 2026 3,379,500 3,733,651 Sprint Nextel Corporation (USD) 1,250,000 Callable6.875% dueOctober31, 2013 1,290,767 1,213,097 1,631,356,170 1,656,825,576 3,100,000 Callable 6.00% due December 01, 2016 2,945,882 2,986,058 Total Canadian Bonds 2,072,895,700 2,103,492,036

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 83 TD Monthly Income Fund BALANCEDFUNDS

Par Value Description Cost FairValue

Steel Dynamics Inc. (USD) 1,000,000 7.375% due November 01, 2012 $$972,618 1,017,495 835,000 6.75% due April 01, 2015 826,161 821,422 United States Steel Corporation (USD) 6,389,000 Callable5.65%dueJune01,2013 6,611,115 6,423,751 1,750,000 Callable6.05%dueJune01,2017 1,782,826 1,675,129 2,450,000 Callable7.00%dueFebruary01,2018 2,451,008 2,386,532 Valeant Pharmaceuticals International (USD) 1,550,000 Callable6.50%dueJuly15,2016 1,511,103 1,478,080 1,250,000 Callable7.25%dueJuly15,2022 1,192,464 1,169,396 97,585,613 94,477,093

SUPRANATIONALS – 0.1% European Investment Bank 7,000,000 4.60% due January 30, 2037 6,382,600 6,860,270

Total Global Bonds 103,968,213 101,337,363

Transaction Costs (Note 3) (1,197,278) 0

TOTALINVESTMENT PORTFOLIO – 99.3% 4,828,621,409 5,487,763,986 SHORT-TERM INVESTMENTS (CAD) – 0.8% 44,000,000 44,000,000 SHORT-TERM INVESTMENTS (USD) – 0.2% 12,055,625 12,055,625 FOREIGN CURRENCIES – 0.0% 43,160 43,160 FORWARDCONTRACTS (SCHEDULE 1) – 0.0% 0 1,743,703 OTHER NET LIABILITIES – (0.3%) (19,331,692) (19,370,610)

TOTAL NET ASSETS – 100.0% $ 4,865,388,502 $ 5,526,235,864

* Related party to the Fund as an affiliated entity of TD Asset Management Inc.

August 31, 2011 50,000,000 USD $ 48,300,367 49,006,750 CAD $ 49,006,750 0.98014 $ 706,383 August 31, 2011 25,000,000 USD 24,150,183 24,503,375 CAD 24,503,375 0.98014 353,192 August 31, 2011 20,000,000 USD 19,320,147 19,603,140 CAD 19,603,140 0.98016 282,993 August 31, 2011 18,401,250 USD 17,775,742 18,033,961 CAD 18,033,961 0.98004 258,219 September 30, 2011 53,550,625 USD 51,768,521 52,592,604 CAD 52,592,604 0.98211 824,083 September 30, 2011 27,360,000 USD 26,449,490 26,864,784 CAD 26,864,784 0.98190 415,294 September 30, 2011 21,701,250 USD 20,979,057 21,308,023 CAD 21,308,023 0.98188 328,966 September 30, 2011 13,550,625 USD 13,099,675 13,307,527 CAD 13,307,527 0.98206 207,852 $ 221,843,182 $ 225,220,164 $ 3,376,982

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 29, 2011 21,700,000 USD $ 20,944,297 20,682,379 CAD $ 20,682,379 0.95310 $ (261,918) July 29, 2011 21,950,625 USD 21,186,194 20,921,141 CAD 20,921,141 0.95310 (265,053) July 29, 2011 23,350,625 USD 22,537,439 22,255,481 CAD 22,255,481 0.95310 (281,958) July 29, 2011 25,000,000 USD 24,129,375 23,828,125 CAD 23,828,125 0.95312 (301,250) August 31, 2011 24,013,308 CAD 24,013,308 24,500,000 USD 23,667,180 0.98014 (346,128) September 30, 2011 11,294,265 CAD 11,294,265 11,500,000 USD 11,117,293 0.98211 (176,972) $ 124,104,878 $ 122,471,599 $ (1,633,279)

TOTALNUMBEROFCONTRACTS: 15 NETAPPRECIATION $ 1,743,703

84 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Monthly Income Fund BALANCEDFUNDS

Credit Risk (Note 11) Reconciliation of Level 3 Fair Value Measurements (in 000s) The table below summarizes the debt instruments by credit ratings as at June 30, 2011 and The tables below reconcile the Fund’s Level 3 fair value measurements from December 31, December 31, 2010. 2010 to June 30, 2011 and December 31, 2009 to December 31, 2010:

Percentage of Percentage of Common Total Bonds (%) Total Net Assets (%) Shares Credit Rating° 2011 2010 2011 2010 Balance at December 31, 2010 $ 48 AAA 21.64 23.79 8.63 9.12 Purchases 48 AA 30.81 27.44 12.29 10.51 Net Transfers In (Out) (48) A 18.39 16.29 7.34 6.24 Gains (Losses) BBB 17.85 20.68 7.12 7.92 Net Change in Unrealized Appreciation/ BB 10.27 7.47 4.10 2.86 Depreciation of Investments (48) B 1.04 4.33 0.42 1.66 Balance at June 30, 2011 $0

Total 100.00 100.00 39.90 38.31 Total change in unrealized for assets ° Credit ratings are obtained from Standard & Poor’s, Moody’s or DBRS rating agencies. held at June 30, 2011 $ (48) Common Interest Rate Risk (Note 11) Shares Bonds The table below summarizes the Fund’s exposure to interest rate risk as at June 30, 2011 Balance at December 31, 2009 $ 48 $0 and December 31, 2010 by remaining term to maturity. The table also illustrates the potential Sales 0 (353) impact to the Fund’s net assets had the prevailing interest rates changed by 1%, assuming a parallel shift in the yield curve, with all other variables held constant. The Fund’s sensitivity Gains (Losses) to interest rate changes was estimated using the weighted average duration of the bond Net Realized on Sale of Investments 0 353 portfolio. In practice, the actual trading results may differ from these approximate sensitivity Balance at December 31, 2010 $ 48 $0 analysis amounts and the difference could be material. Total change in unrealized for assets Term to Maturity Total Exposure (000s) held at December 31, 2010 $0$0 Bonds 2011 2010 Less than 1 year $ 126,949 $ 104,003 Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) 1-5 years 1,130,050 884,362 The table below summarizes cash flows associated with the maturities of the Fund’s financial 5-10 years 493,879 499,350 liabilities as at June 30, 2011 and December 31, 2010: > 10 years 453,951 356,506 Less than 3 months 3 months to 1 year Total $ 2,204,829 $ 1,844,221 2011 2010 2011 2010 Impact on Net Assets (000s) $ 127,660 $ 101,248 Accounts payable andotherliabilities $ 92,029 $ 11,669 $0$0 Impact on Net Assets (%) 2.31 2.10 Forward Contracts 1,456 0 177 0

Financial Instruments by the Level in the Fair Value Hierarchy $ 93,485 $ 11,669 $ 177 $0 (in 000s) (Note 11) The table below illustrates the classification of the Fund’s financial instruments within the fair value hierarchy as at June 30, 2011 and December 31, 2010:

Level1 Level2 Level3 Total June 30, 2011 CommonShares $ 3,281,750 $0$0$3,281,750 Preferred Shares 1,185 001,185 Short-Term Investments 0 56,056 0 56,056 Bonds 0 2,204,829 0 2,204,829 Forward Contracts 0 3,377 0 3,377 3,282,935 2,264,262 0 5,547,197 Forward Contracts 0 (1,633) 0 (1,633) $ 3,282,935 $ 2,262,629 $0$5,545,564

Preferred quity positions with a fair value of $1,004 were transferred from Level 2 to Level 1 during the period as a result of increased activity in the market for those securities.

December 31, 2010 CommonShares $ 2,867,138 $0$48 $ 2,867,186 Preferred Shares 174 1,041 0 1,215 Bonds and Short-Term Investments 0 1,911,390 0 1,911,390 Forward Contracts 0 8,876 0 8,876 $2,867,312 $1,921,307 $ 48 $4,788,667

During the period, transfers between Level 1 and Level 2 were nil.

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 85 BALANCEDFUNDS TD Balanced Income Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 473,821 $ 466,507 Interest $ 4,972 $ 5,045 Short-Term Investments 7,099 25,067 Dividends 3,658 2,927 Foreign Currencies 334 522 Securities Lending 46 41 Cash 78 6 Less: Withholding Taxes (206) (167) Interest Receivable 1,734 1,648 8,470 7,846 Dividends Receivable 475 376 Expenses (Note 5) Subscriptions Receivable 502 404 Management Fees 4,571 4,274 484,043 494,530 Administration Fees 162 159 Liabilities Independent Review Committee Fees 11 Accrued Liabilities 775 803 4,734 4,434 Redemptions Payable 734 494 Less: Waived Expenses (0) (0) Distributions Payable 31 0 4,734 4,434 Payable for Investment Purchases 0 7,055 Net Investment Income (Loss) 3,736 3,412 1,540 8,352 Net Realized Gain (Loss) on Net Assets (Note 3) $ 482,503 $ 486,178 Sale of Investments 318 2,057 Net Assets Representing Unitholders’ Equity (Note 4) Net Change in Unrealized Appreciation/ Investor Series $ 309,755 $ 319,651 Depreciation of Investments 4,697 (15,675) Advisor Series $ 52,369 $ 52,414 Transaction Costs on Purchase and Sale F-Series $ 2,524 $ 1,977 of Investments (Note 3) (26) (29) D-Series $ 117,855 $ 112,136 Net Gain (Loss) on Investments 4,989 (13,647) $ 482,503 $ 486,178 Increase (Decrease) in Net Assets † Number of Units Outstanding from Investment Operations $ 8,725 $ (10,235) Investor Series 21,739,466 22,671,504 †Increase (Decrease) in Net Assets from Investment Operations Advisor Series 4,046,199 4,092,951 Investor Series $ 5,345 $ (7,551) F-Series 229,194 181,447 Advisor Series $ 873 $ (1,247) D-Series 10,061,662 9,676,464 F-Series $ 50 $ (30) D-Series $ 2,457 $ (1,407) Net Assets Per Unit (Note 3) Investor Series $ 14.25 $ 14.10 $ 8,725 $ (10,235) Advisor Series $ 12.94 $ 12.81 Increase (Decrease) in Net Assets from Investment Operations – F-Series $ 11.01 $ 10.89 Per Unit (Note 3) Investor Series $ 0.24 $ (0.31) D-Series $ 11.71 $ 11.59 Advisor Series $ 0.22 $ (0.30) F-Series $ 0.26 $ (0.18) D-Series $ 0.26 $ (0.20)

86 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. BALANCEDFUNDS TD Balanced Income Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Advisor Series F-Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 319,651 $ 336,213 $ 52,414 $ 48,911 $ 1,977 $ 1,643 Increase (Decrease) in Net Assets from Investment Operations 5,345 (7,551) 873 (1,247) 50 (30) Capital Unit Transactions† Proceeds from Sale of Units 19,138 22,850 6,656 9,589 553 189 Reinvestments of Distributions 1,927 2,160 300 298 27 19 Early Redemption Fees 22 00 00 Amounts Paid on Redemptions (34,354) (37,118) (7,552) (6,264) (52) (44) (13,287) (12,106) (596) 3,623 528 164 Distributions to Unitholders (1,954) (2,190) (322) (326) (31) (23) Increase (Decrease) in Net Assets for the Period (9,896) (21,847) (45) 2,050 547 111 Net Assets, End of the Period $ 309,755 $ 314,366 $ 52,369 $ 50,961 $ 2,524 $ 1,754 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 22,671,504 24,788,383 4,092,951 3,971,109 181,447 156,903 Units Issued 1,338,201 1,686,045 512,825 778,829 49,974 18,185 Units Issued on Reinvestments 134,675 160,937 23,090 24,494 2,420 1,818 Units Redeemed (2,404,914) (2,739,773) (582,667) (509,466) (4,647) (4,213) Units Outstanding, End of the Period 21,739,466 23,895,592 4,046,199 4,264,966 229,194 172,693

D-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 112,136 $ 77,974 $ 486,178 $ 464,741 Increase (Decrease) in Net Assets from Investment Operations 2,457 (1,407) 8,725 (10,235) Capital Unit Transactions† Proceeds from Sale of Units 9,469 6,999 35,816 39,627 Reinvestments of Distributions 1,343 961 3,597 3,438 Early Redemption Fees 10 32 Amounts Paid on Redemptions (6,208) (5,302) (48,166) (48,728) 4,605 2,658 (8,750) (5,661) Distributions to Unitholders (1,343) (961) (3,650) (3,500) Increase (Decrease) in Net Assets for the Period 5,719 290 (3,675) (19,396) Net Assets, End of the Period $ 117,855 $ 78,264 $ 482,503 $ 445,345 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 9,676,464 7,000,495 Units Issued 805,092 629,686 Units Issued on Reinvestments 114,160 87,223 Units Redeemed (534,054) (472,749) Units Outstanding, End of the Period 10,061,662 7,244,655

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 87 BALANCEDFUNDS

TD Balanced Income Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 79,400 Power Financial Corporation $$1,498,404 2,358,974 No. of Shares 209,380 Royal Bank of Canada 6,199,842 11,513,806 or Units Description Cost FairValue 138,530 The Toronto-Dominion Bank* 7,390,885 11,328,983 33,213,343 49,873,180 Canadian Equities – 35.2% TELECOMMUNICATION SERVICES – 1.4% ENERGY – 10.5% 50,950 Cameco Corporation $ 702,595 $ 1,293,111 46,030 BCE Inc. 1,731,611 1,740,394 144,370 CanadianNaturalResourcesLimited 5,007,627 5,819,555 122,555 Rogers Communications Inc., 151,255 Cenovus Energy Inc. 3,143,918 5,493,582 Class “B” NV 3,016,846 4,670,571 157,960 Enbridge Inc. 1,883,652 4,944,148 4,748,457 6,410,965 191,715 EnCana Corporation 4,893,050 5,693,936 UTILITIES – 0.5% 72,400 Imperial Oil Limited 1,444,644 3,250,036 39,885 ATCO Ltd., Class “I” NV 793,068 2,491,616 213,000 Nexen Inc. 2,987,001 4,617,840 62,800 Pembina Pipeline Corporation 1,135,498 1,591,980 Total Canadian Equities 114,656,125 169,833,074 141,460 Suncor Energy Inc. 5,646,351 5,333,042 356,800 Talisman Energy Inc. 3,724,626 7,050,368 U.S. Equities – 10.2% 130,377 TransCanada Corporation 3,349,051 5,504,517 ENERGY – 1.4% 33,918,013 50,592,115 15,770 Chevron Corporation 1,120,654 1,562,916 11,870 EOG Resources Inc. 1,106,222 1,196,318 MATERIALS – 1.5% 15,750 Exxon Mobil Corporation 1,187,936 1,235,106 95,800 Canfor Corporation 1,071,630 1,007,816 31,890 Halliburton Company 1,011,745 1,568,264 82,500 Potash Corporation of Saskatchewan Inc. 1,000,040 4,534,200 15,270 QEP Resources Inc. 625,918 615,595 34,700 West Fraser Timber Co., Ltd. 944,440 1,814,116 18,700 Spectra Energy Corp. 471,353 494,165 3,016,110 7,356,132 5,560 Transocean Ltd. 452,186 346,300

INDUSTRIALS – 4.0% 5,976,014 7,018,664 184,840 CAE Inc. 1,891,840 2,399,223 MATERIALS – 0.3% 68,950 CanadianNationalRailwayCompany 3,031,679 5,312,598 18,580 Monsanto Company 1,341,131 1,299,700 145,860 SNC-Lavalin Group Inc. 2,079,975 8,576,568 58,200 Stantec Inc. 1,605,510 1,624,362 INDUSTRIALS – 0.9% 103,900 TranscontinentalInc.,Class“A”SV 1,990,826 1,509,667 12,475 3M Company 1,108,137 1,140,948 10,599,830 19,422,418 26,660 Emerson Electric Company 1,269,590 1,445,799 51,450 General Electric Company 1,631,429 934,859 CONSUMER DISCRETIONARY – 4.4% 29,720 Verisk Analytics Inc., Class “A” 892,802 992,329 39,700 Astral Media Inc., Class “A” NV 1,358,577 1,477,237 4,901,958 4,513,935 49,020 Canadian Tire Corporation Limited, Class “A” NV 2,026,725 3,088,750 CONSUMER DISCRETIONARY – 0.7% 26,450 Cogeco Cable Inc., SV 1,079,617 1,190,515 13,445 NIKE Inc., Class “B” 838,184 1,166,384 76,700 CorusEntertainmentInc.,Class“B”NV 1,088,912 1,571,583 12,995 Scripps Networks Interactive Inc., 40,360 Quebecor Inc., Class “B” SV 1,358,235 1,278,605 Class “A” 594,478 612,113 165,900 Shaw Communications Inc., 16,721 Time Warner Cable Inc. 1,182,856 1,258,679 Class “B” NV 2,467,003 3,646,482 396 The Washington Post Company, 149,315 Thomson Reuters Corporation 5,763,574 5,402,217 Class “B” 358,723 159,827 42,610 Tim Hortons Inc. 1,511,381 2,004,801 2,974,241 3,197,003 55,050 Uni-Select Inc. 749,349 1,485,800 CONSUMER STAPLES – 2.0% 17,403,373 21,145,990 22,050 Colgate-Palmolive Company 1,637,142 1,858,234 CONSUMER STAPLES – 2.6% 31,330 CVS Caremark Corporation 991,106 1,134,619 19,000 George Weston Limited 1,692,888 1,323,920 8,060 Kimberly-Clark Corporation 625,618 517,169 71,000 The Jean Coutu Group (PJC) Inc., 22,600 PepsiCo Inc. 1,504,619 1,534,043 Class “A” SV 782,830 777,450 24,750 Philip Morris International Inc. 1,075,753 1,593,093 56,056 Loblaw Companies Limited 2,758,627 2,177,776 25,235 The Procter & Gamble Company 1,499,801 1,545,943 95,575 METRO Inc., Class “A” SV 1,899,668 4,585,689 32,955 Walgreen Co. 1,328,533 1,349,207 92,590 Shoppers Drug Mart Corporation 3,829,918 3,675,823 8,662,572 9,532,308 10,963,931 12,540,658 HEALTH CARE – 1.8% FINANCIALS – 10.3% 25,220 Abbott Laboratories 1,464,009 1,278,926 38,920 Bank of Montreal 2,367,942 2,384,239 12,880 Becton, Dickinson and Company 1,037,523 1,070,290 169,180 The Bank of Nova Scotia 4,506,481 9,814,132 23,410 Gilead Sciences Inc. 898,571 934,720 153,000 Great-West Lifeco Inc. 2,814,009 3,892,320 22,170 Johnson & Johnson 1,551,503 1,421,038 30,640 Industrial Alliance Insurance 54,160 Pfizer Inc. 1,882,376 1,075,511 and Financial Services Inc. 1,016,511 1,228,051 15,360 Quest Diagnostics Incorporated 918,020 875,060 28,850 Intact Financial Corporation 1,405,266 1,593,674 5,860 Synthes Inc. 674,508 992,195 338,168 Manulife Financial Corporation 6,014,003 5,759,001 17,690 Zimmer Holdings Inc. 1,211,527 1,077,580 9,638,037 8,725,320

88 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Balanced Income Fund BALANCEDFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

FINANCIALS – 1.7% HONG KONG – 0.2% 36,013 The Bank of New York 157,622 Television Broadcasts Limited $$1,025,744 1,007,624 Mellon Corporation $$1,287,352 889,505 ITALY – 0.1% 29,630 BB&T Corporation 845,342 766,997 12,750 Luxottica Group SpA 417,948 394,816 20,150 The Hartford Financial Services Group Inc. 1,305,867 512,077 2,347 LuxotticaGroupSpA,SponsoredADR 42,192 72,728 26,200 JPMorgan Chase & Co. 1,031,995 1,033,738 24,610 Lincoln National Corporation 1,260,925 675,501 460,140 467,544 9,830 M&T Bank Corporation 617,144 833,340 JAPAN – 0.9% 29,480 MetLife Inc. 1,119,822 1,246,743 6,300 FANUC Corporation 691,368 1,016,053 44,860 U.S. Bancorp 1,036,860 1,103,263 3,170 Keyence Corporation 674,099 868,063 39,852 Wells Fargo & Company 1,173,378 1,078,109 235,419 Mitsui Trust Holdings Inc. 1,277,275 790,300 9,678,685 8,139,273 11,400 Terumo Corporation 530,407 595,195 25,500 Toyota Motor Corporation 941,988 1,012,739 INFORMATION TECHNOLOGY – 1.4% 21,160 Automatic Data Processing Inc. 937,030 1,074,673 4,115,137 4,282,350 57,365 Cisco Systems Inc. 1,554,522 863,081 MEXICO – 0.3% 21,000 Fiserv Inc. 1,091,665 1,268,271 12,670 America Movil SAB de CV 694,313 658,147 8,710 International Business Machines 12,820 Fomento Economico Mexicano Corporation 1,335,879 1,439,990 SAB de CV, Sponsored ADR 425,867 822,223 29,560 Oracle Corporation 918,210 937,666 1,120,180 1,480,370 40,180 Texas Instruments Incorporated 1,099,594 1,271,053 6,936,900 6,854,734 NETHERLANDS – 0.5% 108,136 ING Groep NV 1,714,932 1,285,248 Total U.S. Equities 50,109,538 49,280,937 31,950 Royal Dutch Shell PLC, Class “A” 1,067,706 1,094,178 2,782,638 2,379,426 International Equities – 8.7% AUSTRALIA – 0.2% NORWAY – 0.2% 8,370 BHPBillitonLimited,SponsoredADR 630,948 763,573 76,900 Telenor ASA 1,215,911 1,213,752

BELGIUM – 0.1% RUSSIA – 0.1% 11,140 Anheuser-Busch InBev NV, ADR 621,996 623,473 30,160 OAO Gazprom, Sponsored ADR 513,249 424,622

FRANCE – 1.8% SINGAPORE – 0.2% 46,004 AXA SA 1,358,347 1,007,179 54,650 United Overseas Bank Limited 820,313 846,222 15,482 Danone SA 908,609 1,114,698 SPAIN – 0.2% 8,448 Essilor International SA 369,009 661,096 97,984 Banco Santander SA 1,350,790 1,088,667 7,340 Lafarge SA 554,177 451,077 1,940 Lafarge SA (Loyalty Dividend) 208,966 119,222 SWITZERLAND – 0.5% 3,651 L’Air Liquide SA 351,711 504,459 35,090 ABB Ltd. 677,948 879,308 6,049 L’Air Liquide SA (Loyalty Shares) 414,762 835,791 29,530 Nestle SA 1,143,628 1,772,282 4,240 L’Oreal SA 432,275 530,684 1,821,576 2,651,590 2,610 LVMHMoetHennessyLouisVuittonSA 260,609 452,339 UNITED KINGDOM – 2.3% 11,950 Sanofi 872,242 927,098 27,120 BG Group PLC 486,578 593,896 5,363 Schneider Electric SA 727,165 863,641 95,948 BP PLC 1,109,339 681,352 9,860 TOTAL SA 752,030 549,779 4,630 BP PLC, Sponsored ADR 362,152 197,728 748 TOTAL SA, Sponsored ADR 36,235 41,733 50,680 Carillion PLC 258,752 295,060 15,241 Veolia Environnement 689,021 414,133 64,830 Diageo PLC 1,236,891 1,279,206 7,935,158 8,472,929 40,090 GlaxoSmithKline PLC 1,222,279 828,754 GERMANY – 1.1% 143,340 HSBC Holdings PLC 1,273,294 1,370,660 12,030 Bayer AG 872,309 931,865 85,480 National Grid PLC 766,440 811,570 15,810 Fresenius SE & Co. KGaA 679,945 1,140,476 15,350 Reckitt Benckiser Group PLC 722,654 817,676 8,080 Henkel KGaA 412,544 443,610 116,858 Reed Elsevier PLC 1,482,964 1,026,095 9,300 Henkel KGaA, Pref. 500,044 623,718 98,640 Smith & Nephew PLC 1,093,013 1,019,516 6,210 SAP AG 324,270 363,119 29,810 Standard Chartered PLC 865,258 755,205 4,950 SAP AG, Sponsored ADR 296,206 289,449 504,775 Vodafone Group PLC 1,257,667 1,290,905 9,810 Siemens AG 1,249,081 1,300,181 8,113 VodafoneGroupPLC,SponsoredADR 383,813 208,995 4,334,399 5,092,418 12,521,094 11,176,618 Total International Equities 41,269,273 41,971,178

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 89 TD Balanced Income Fund BALANCEDFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Canadian Bonds – 44.1% Hydro One Inc. FEDERAL BONDS & GUARANTEES – 9.1% $$2,513,000 Callable4.64%dueMarch03,2016 2,662,775$ 2,694,336 Canada Housing Trust No. 1 2,900,000 6.03% due March 03, 2039 3,353,125 3,374,170 $$$ 10,541,000 4.60% due September 15, 2011 10,678,807$ 10,612,781 Integrated Team Solutions SJHC Partnership 4,140,000 4.00% due June 15, 2012 4,264,290 4,244,691 1,900,000 Callable 5.946% due November 30, 2042 1,900,000 1,983,644 2,860,000 4.10% due December 15, 2018 2,967,536 3,049,810 Loblaw Companies Limited Government of Canada 3,220,000 Callable7.10%dueJune01,2016 3,737,672 3,734,926 2,361,000 4.00% due June 01, 2017 2,560,977 2,550,543 2,900,000 Callable6.54%dueFebruary17,2033 3,124,460 3,012,987 6,345,000 3.75% due June 01, 2019 6,588,014 6,733,552 1,155,000 Callable5.90%dueJanuary18,2036 1,204,349 1,114,918 197,000 8.00% due June 01, 2023 258,791 290,018 Manulife Finance (Delaware), Limited Partnership 7,960,000 5.75% due June 01, 2029 9,743,670 10,377,109 3,108,000 Callable 4.448% due December 15, 2016 3,003,593 3,154,379 4,699,000 5.75% due June 01, 2033 5,796,051 6,274,590 5,875,000 Callable 5.059% due December 15, 2036 5,019,737 4,956,156 42,858,136 44,133,094 Manulife Financial Corporation PROVINCIAL BONDS – 3.4% 2,544,000 Callable5.161%dueJune26,2015 2,731,722 2,694,506 Province of Ontario METRO Inc. 353,000 4.50% due December 02, 2012 380,252 367,495 536,000 4.98% due October 15, 2015 531,703 574,700 4,000,000 4.75% due June 02, 2013 4,040,800 4,227,139 Royal Bank of Canada 2,105,000 4.40% due March 08, 2016 2,204,167 2,270,007 4,941,000 Callable4.84%dueMarch11,2013 5,134,604 5,157,495 4,384,000 4.30% due March 08, 2017 4,583,714 4,701,583 4,100,000 Callable 5.45% due November 04, 2013 4,354,030 4,375,002 3,626,000 6.50% due March 08, 2029 4,131,516 4,645,961 136,000 5.00% due January 20, 2014 146,010 145,002 15,340,449 16,212,185 Shaw Communications Inc. CORPORATE BONDS – 31.6% 3,084,000 5.70% due March 02, 2017 3,291,245 3,286,901 407 International Inc. Sun Life Financial Inc. 1,000,000 5.10% due January 20, 2014 1,070,600 1,064,501 2,200,000 Callable 4.80% due November 23, 2015 2,212,980 2,281,773 AltaLink LP 5,574,000 Callable4.95%dueJune01,2016 5,739,124 5,800,950 748,000 Callable5.249%dueSeptember22,2036 721,080 784,510 TELUS Corporation Bank of Montreal 3,700,000 5.05% due July 23, 2020 3,726,270 3,759,269 2,129,000 Callable6.02%dueMay02,2018 2,420,843 2,434,292 Terasen Gas Inc. 8,014,000 Callable5.10%dueApril21,2021 8,446,845 8,634,089 300,000 Callable5.55%dueSeptember25,2036 302,700 326,783 The Bank of Nova Scotia Thomson Reuters Corporation 4,100,000 Callable4.99%dueMarch27,2013 4,080,443 4,291,594 4,181,000 Callable 5.20% due December 01, 2014 4,262,868 4,517,769 4,500,000 3.43% due July 16, 2014 4,561,830 4,619,872 3,690,000 6.00% due March 31, 2016 4,148,140 4,124,550 Caisse centrale Desjardins Tim Hortons Inc. 2,123,000 FloatingRatedueFebruary11,2014 2,123,786 2,123,000 1,575,000 4.20% due June 01, 2017 1,574,717 1,627,261 Canadian Imperial Bank of Commerce TransCanada PipeLines Limited 5,125,000 Callable 4.75% due December 22, 2014 5,453,308 5,481,333 4,026,000 Callable4.65%dueOctober03,2016 4,037,302 4,312,848 Canadian Tire Corporation Limited 3,250,000 5.65% due June 20, 2029 3,398,421 3,445,391 6,699,000 4.95% due June 01, 2015 6,647,044 7,152,078 2,000,000 Callable 6.50% due December 09, 2030 2,288,860 2,322,823 3,800,000 5.65% due June 01, 2016 3,918,642 4,170,896 Union Gas Limited CDP Financial Inc. 3,232,000 Callable4.64%dueJune30,2016 3,200,170 3,447,781 992,000 4.60% due July 15, 2020 989,956 1,040,884 1,000,000 Callable 4.85% due April 25, 2022 991,400 1,044,099 500,000 5.46% due September 11, 2036 535,580 534,011 CIBC Capital Trust 1,581,000 Callable9.976%dueJune30,2019 2,042,771 2,067,993 Wells Fargo Financial Canada Corporation 6,162,000 4.38% due June 30, 2015 5,981,268 6,420,485 Enbridge Gas Distribution Inc. 840,000 Callable 6.90% due November 15, 2032 1,046,136 1,058,949 149,234,993 152,390,336 Enbridge Inc. Total Canadian Bonds 207,433,578 212,735,615 4,500,000 Callable5.17%dueMay19,2016 4,981,500 4,883,837 Transaction Costs (Note 3) (101,191) 0 4,607,000 Callable5.00%dueAugust09,2016 4,625,988 4,964,820 EnCana Corporation TOTALINVESTMENT 2,439,000 Callable5.80%dueJanuary18,2018 2,698,192 2,729,608 PORTFOLIO – 98.2% 413,367,323 473,820,804 GE Capital Canada Funding Company SHORT-TERM 4,000,000 Callable5.10%dueJune01,2016 4,330,000 4,284,613 INVESTMENTS (CAD) – 1.1% 5,557,380 5,556,985 5,650,000 5.68% due September 10, 2019 6,237,600 6,106,861 SHORT-TERM Great-West Lifeco Finance (Delaware), INVESTMENTS (USD) – 0.3% 1,546,919 1,542,324 Limited Partnership FOREIGN CURRENCIES – 0.1% 334,843 334,109 258,000 Callable5.691%dueJune21,2017 243,604 271,691 OTHER NET ASSETS – 0.3% 1,252,426 1,249,211

TOTAL NET ASSETS – 100.0% $ 422,058,891 $ 482,503,433

* Related party to the Fund as an affiliated entity of TD Asset Management Inc.

90 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Balanced Income Fund BALANCEDFUNDS

Credit Risk (Note 11) Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) The table below summarizes the debt instruments by credit ratings as at June 30, 2011 and The table below summarizes cash flows associated with the maturities of the Fund’s financial December 31, 2010. liabilities as at June 30, 2011 and December 31, 2010:

Percentage of Percentage of Less than Total Bonds (%) Total Net Assets (%) 3 months Credit Rating° 2011 2010 2011 2010 2011 2010 AAA 21.23 19.90 9.36 8.68 Accounts payable and other liabilities $ 1,540 $ 8,352 AA 33.04 35.76 14.57 15.60 A 27.15 27.13 11.97 11.83 BBB 18.58 17.21 8.19 7.51 Total 100.00 100.00 44.09 43.62

Term to Maturity Total Exposure (000s) Bonds 2011 2010 Less than 1 year $ 14,858 $0 1-5 years 87,458 70,749 5-10 years 64,874 82,203 > 10 years 45,546 59,116 Total $ 212,736 $ 212,068

Impact on Net Assets (000s) $ 12,083 $ 12,045

Impact on Net Assets (%) 2.50 2.48

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 91 BALANCEDFUNDS TD Diversified Monthly Income Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 575,086 $ 557,915 Interest $ 5,873 $ 8,665 Short-Term Investments 9,872 3,398 Dividends 6,707 4,463 Foreign Currencies 524 283 Foreign Exchange 3,517 1,557 Cash 500 437 Securities Lending 22 17 Interest Receivable 1,911 1,846 Less: Withholding Taxes (69) (76) Dividends Receivable 1,717 1,573 16,050 14,626 Subscriptions Receivable 1,083 537 Expenses (Note 5) Receivable for Investment Sales 1,149 0 Management Fees 6,112 5,497 Unrealized Gain on Open Foreign Administration Fees 244 220 Exchange Forward Contracts 0 1,571 Independent Review Committee Fees 21 591,842 567,560 6,358 5,718 Liabilities Less: Waived Expenses (0) (0) Accrued Liabilities 1,058 1,055 6,358 5,718 Redemptions Payable 779 706 Distributions Payable 169 0 Net Investment Income (Loss) 9,692 8,908 Payable for Investment Purchases 3,090 0 Net Realized Gain (Loss) on Unrealized Loss on Open Foreign Sale of Investments (42) (841) Exchange Forward Contracts 431 26 Net Change in Unrealized Appreciation/ 5,527 1,787 Depreciation of Investments 7,751 (6,239) Transaction Costs on Purchase and Sale Net Assets (Note 3) $ 586,315 $ 565,773 of Investments (Note 3) (34) (30) Net Assets Representing Unitholders’ Equity (Note 4) Net Gain (Loss) on Investments 7,675 (7,110) Investor Series $ 488,214 $ 483,563 Increase (Decrease) in Net Assets Advisor Series $ 55,045 $ 41,184 from Investment Operations† $ 17,367 $ 1,798 F-Series $ 2,145 $ 1,879 H-Series $ 3,740 $ 3,225 †Increase (Decrease) in Net Assets from Investment Operations S-Series $ 18 $ 17 Investor Series $ 14,578 $ 1,432 T-Series $ 12,133 $ 11,407 Advisor Series $ 1,230 $ 92 O-Series $ 25,020 $ 24,498 F-Series $ 71 $5 $ 586,315 $ 565,773 H-Series $ 96 $ (1) S-Series $5$0 Number of Units Outstanding T-Series $ 346 $ (22) Investor Series 24,740,155 25,003,204 O-Series $ 1,041 $ 292 Advisor Series 5,717,536 4,365,302 $ 17,367 $ 1,798 F-Series 223,296 199,663 H-Series 300,091 258,920 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) S-Series 1,441 1,391 Investor Series $ 0.59 $ 0.05 T-Series 972,030 914,806 Advisor Series $ 0.29 $ 0.02 O-Series 2,604,424 2,603,574 F-Series $ 0.35 $ 0.04 H-Series $ 0.38 $ (0.01) Net Assets Per Unit (Note 3) S-Series $ 0.47 $ 0.11 Investor Series $ 19.73 $ 19.34 T-Series $ 0.38 $ (0.03) Advisor Series $ 9.63 $ 9.43 O-Series $ 0.40 $ 0.12 F-Series $ 9.60 $ 9.41 H-Series $ 12.46 $ 12.45 S-Series $ 12.49 $ 12.47 T-Series $ 12.48 $ 12.47 O-Series $ 9.61 $ 9.41

92 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. BALANCEDFUNDS TD Diversified Monthly Income Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Advisor Series F-Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 483,563 $ 491,295 $ 41,184 $ 33,964 $ 1,879 $ 921 Increase (Decrease) in Net Assets from Investment Operations 14,578 1,432 1,230 92 71 5 Capital Unit Transactions† Proceeds from Sale of Units 27,357 16,374 17,842 8,470 371 264 Reinvestments of Distributions 4,742 5,527 418 345 30 17 Early Redemption Fees 32 00 00 Amounts Paid on Redemptions (37,231) (47,703) (5,139) (7,821) (171) (143) (5,129) (25,800) 13,121 994 230 138 Distributions to Unitholders (4,798) (5,589) (490) (411) (35) (18) Increase (Decrease) in Net Assets for the Period 4,651 (29,957) 13,861 675 266 125 Net Assets, End of the Period $ 488,214 $ 461,338 $ 55,045 $ 34,639 $ 2,145 $ 1,046 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 25,003,204 27,265,198 4,365,302 3,865,399 199,663 105,197 Units Issued 1,377,686 899,939 1,842,799 955,593 38,233 29,730 Units Issued on Reinvestments 237,814 304,512 42,954 39,000 3,124 1,947 Units Redeemed (1,878,549) (2,617,712) (533,519) (879,636) (17,724) (16,272) Units Outstanding, End of the Period 24,740,155 25,851,937 5,717,536 3,980,356 223,296 120,602

H-Series S-Series T-Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 3,225$ 1,474 $ 17$ 43 $ 11,407$ 7,299 Increase (Decrease) in Net Assets from Investment Operations 96 (1) 50 346 (22) Capital Unit Transactions† Proceeds from Sale of Units 1,785 996 125 0 2,786 2,319 Reinvestments of Distributions 52 22 11 87 46 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (1,311) (462) (126) 0 (2,150) (721) 526 556 01 723 1,644 Distributions to Unitholders (107) (51) (4) (2) (343) (242) Increase (Decrease) in Net Assets for the Period 515 504 1 (1) 726 1,380 Net Assets, End of the Period $ 3,740$ 1,978 $ 18$ 42 $ 12,133$ 8,679 †Capital Unit Transactions Units Outstanding, Beginning of the Period 258,920 122,862 1,391 3,558 914,806 607,637 Units Issued 140,884 82,820 10,016 0 219,742 191,810 Units Issued on Reinvestments 4,089 1,901 50 48 6,857 3,850 Units Redeemed (103,802) (37,984) (10,016) 0 (169,375) (60,161) Units Outstanding, End of the Period 300,091 169,599 1,441 3,606 972,030 743,136

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 93 BALANCEDFUNDS TD Diversified Monthly Income Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) O-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 24,498 $ 21,982 $ 565,773 $ 556,978 Increase (Decrease) in Net Assets from Investment Operations 1,041 292 17,367 1,798 Capital Unit Transactions† Proceeds from Sale of Units 1,163 1,343 51,429 29,766 Reinvestments of Distributions 439 436 5,769 6,394 Early Redemption Fees 00 32 Amounts Paid on Redemptions (1,595) (1,468) (47,723) (58,318) 7 311 9,478 (22,156) Distributions to Unitholders (526) (523) (6,303) (6,836) Increase (Decrease) in Net Assets for the Period 522 80 20,542 (27,194) Net Assets, End of the Period $ 25,020 $ 22,062 $ 586,315 $ 529,784 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 2,603,574 2,507,318 Units Issued 120,343 151,782 Units Issued on Reinvestments 45,139 49,248 Units Redeemed (164,632) (165,171) Units Outstanding, End of the Period 2,604,424 2,543,177

94 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. BALANCEDFUNDS

TD Diversified Monthly Income Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) TELECOMMUNICATION SERVICES – 3.0% No. of Shares 166,784 BCE Inc. $$5,046,507 6,306,103 or Units Description Cost FairValue 44,000 Bell Aliant Inc. 1,201,114 1,262,800 101,984 Rogers Communications Inc., Canadian Equities – 58.3% Class “B” NV 1,163,621 3,886,610 ENERGY – 15.4% 118,000 TELUS Corporation 5,778,033 6,262,260 123,199 AltaGas Ltd. $ 3,156,156 $ 3,168,678 149 TELUS Corporation, NV 6,498 7,553 91,210 ARC Resources Ltd. 2,065,017 2,277,514 13,195,773 17,725,326 134,180 CanadianNaturalResourcesLimited 2,532,473 5,408,796 654,456 Canadian Oil Sands Limited 16,785,160 18,180,788 UTILITIES – 2.5% 158,411 Cenovus Energy Inc. 2,740,914 5,753,488 100,300 BrookfieldInfrastructurePartnersLP 1,531,653 2,412,215 326,228 Enbridge Inc. 6,733,173 10,210,936 125,000 Capital Power Corporation 3,000,000 3,123,750 143,200 EnCana Corporation 2,606,919 4,253,040 200,000 Capstone Infrastructure Corporation, 117,700 Husky Energy Inc. 3,089,625 3,090,802 Contingency Value Receipts 8,000 0 113,807 Keyera Corp. 1,836,746 4,972,228 110,163 Emera Inc. 2,512,553 3,482,252 164,500 Pembina Pipeline Corporation 2,433,620 4,170,075 136,700 Innergex Renewable Energy Inc. 992,648 1,362,899 208,965 Penn West Petroleum Ltd. 5,749,577 4,643,202 148,431 Just Energy Group Inc. 1,899,850 2,107,720 289,081 Provident Energy Ltd. 2,033,821 2,486,097 109,451 TransAlta Corporation 2,298,188 2,251,407 226,847 Suncor Energy Inc. 4,840,517 8,552,132 12,242,892 14,740,243 196,182 TransCanada Corporation 7,674,902 8,282,804 ROYALTY/INCOME TRUSTS – 3.6% 98,984 Vermilion Energy Inc. 3,712,204 5,035,316 75,300 BrookfieldRenewablePowerFund 1,231,563 1,731,900 67,990,824 90,485,896 265,340 CallowayRealEstateInvestmentTrust 4,393,091 6,673,301

MATERIALS – 2.4% 63,400 Chemtrade Logistics Income Fund 1,068,702 912,960 185,361 Barrick Gold Corporation 5,357,123 8,094,715 285,010 Inter Pipeline Fund 2,547,780 4,514,558 127,000 TeckResourcesLimited,Class“B”SV 1,250,407 6,209,030 275,272 RioCanRealEstateInvestmentTrust 5,955,073 7,121,287 6,607,530 14,303,745 15,196,209 20,954,006

INDUSTRIALS – 2.0% Total Canadian Equities 287,474,207 342,110,236 59,000 Canadian Pacific Railway Limited 2,535,840 3,542,950 120,900 Morneau Shepell Inc. 1,263,850 1,213,836 U.S. Equities – 5.6% 284,600 Newalta Inc. 5,830,678 3,452,198 MATERIALS – 0.8% 145,000 Progressive Waste Solutions Ltd. 2,534,600 3,480,000 85,000 Alcoa Inc. 2,713,548 1,298,535 12,164,968 11,688,984 63,000 Freeport-McMoRanCopper&GoldInc. 2,668,844 3,213,007 5,382,392 4,511,542 CONSUMER DISCRETIONARY – 2.0% 188,100 Cineplex Inc. 2,398,149 5,005,341 INDUSTRIALS – 1.0% 17,500 EnerCare Inc. 234,699 135,275 35,000 3M Company 2,678,085 3,201,058 97,978 Shaw Communications Inc., 155,000 General Electric Company 5,577,135 2,816,387 Class “B” NV 1,858,236 2,153,556 8,255,220 6,017,445 87,362 Thomson Reuters Corporation 3,009,133 3,160,757 591,736 Yellow Media Inc. 7,556,157 1,420,166 CONSUMER STAPLES – 0.8% 75,000 The Coca-Cola Company 3,842,503 4,866,615 15,056,374 11,875,095 HEALTH CARE – 1.5% CONSUMER STAPLES – 0.5% 48,600 Becton, Dickinson and Company 3,368,742 4,038,515 75,000 Shoppers Drug Mart Corporation 3,545,405 2,977,500 73,000 Johnson & Johnson 4,779,197 4,679,106 HEALTH CARE – 0.2% 8,147,939 8,717,621 106,600 CML HealthCare Inc. 1,469,826 994,578 FINANCIALS – 0.8% FINANCIALS – 26.7% 80,000 Aflac Incorporated 4,111,197 3,601,642 256,929 Bank of Montreal 16,386,911 15,739,471 30,000 JPMorgan Chase & Co. 1,277,153 1,183,669 493,047 The Bank of Nova Scotia 20,888,343 28,601,656 5,388,350 4,785,311 357,118 Canadian Imperial Bank of Commerce 27,951,409 27,176,680 185,000 CI Financial Corp. 4,878,291 4,225,400 TELECOMMUNICATION SERVICES – 0.7% 198,292 First Capital Realty Inc. 2,632,202 3,261,903 125,000 AT&T Inc. 4,605,891 3,784,261 72,500 Industrial Alliance Insurance Total U.S. Equities 35,622,295 32,682,795 and Financial Services Inc. 2,365,573 2,905,800 59,912 Intact Financial Corporation 1,566,785 3,309,539 International Equities – 1.0% 351,317 Manulife Financial Corporation 10,342,637 5,982,929 74,932 National Bank of Canada 4,442,379 5,853,688 GERMANY – 0.3% 129,000 Power Corporation of Canada, SV 3,234,761 3,457,200 60,000 E.ON AG 4,204,138 1,644,844 455,732 Royal Bank of Canada 19,668,765 25,060,703 UNITED KINGDOM – 0.7% 168,149 Sun Life Financial Inc. 6,203,980 4,871,277 53,000 Diageo PLC, Sponsored ADR 4,580,850 4,185,366 316,931 The Toronto-Dominion Bank* 19,442,370 25,918,617 Total International Equities 8,784,988 5,830,210 140,004,406 156,364,863

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 95 TD Diversified Monthly Income Fund BALANCEDFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Canadian Bonds – 27.3% Corus Entertainment Inc. FEDERAL BOND – 0.4% $$500,000 7.25% due February 10, 2017 500,000$ 530,000 Government of Canada Domtar Corporation (USD) $ 1,700,000 5.00% due June 01, 2037 $$2,056,689 2,105,697 750,000 Callable5.375%dueDecember01,2013 784,399 763,121

MUNICIPAL BOND – 1.0% Eagle Credit Card Trust Durham District School Board 800,000 3.474% due December 17, 2015 800,000 813,622 5,150,000 6.75% due November 19, 2019 5,138,258 6,173,670 Enbridge Gas Distribution Inc. 500,000 Callable6.16%dueDecember16,2033 590,150 583,302 CORPORATE BONDS – 25.9% AltaLink LP Enbridge Pipelines Inc. 1,060,000 Callable5.243%dueMay29,2018 1,073,366 1,166,805 2,000,000 Callable5.21%dueFebruary25,2036 2,037,000 2,081,956 2,000,000 Callable 5.08% due December 19, 2036 1,926,012 2,042,475 Armtec Holdings Limited 600,000 5.35% due November 10, 2039 599,466 640,472 200,000 8.875% due September 22, 2017 200,000 154,000 2,500,000 5.33% due April 06, 2040 2,696,250 2,657,997 Bank of Montreal EnCana Corporation 1,000,000 3.103% due March 10, 2016 1,000,000 1,002,045 1,000,000 Callable5.80%dueJanuary18,2018 1,116,916 1,119,150 4,000,000 Callable6.02%dueMay02,2018 4,531,000 4,573,588 ENMAX Corporation The Bank of Nova Scotia 2,100,000 6.15% due June 19, 2018 2,095,506 2,305,708 2,000,000 3.34% due March 25, 2015 1,999,900 2,041,462 2,000,000 4.10% due June 08, 2017 1,999,760 2,067,160 Fairfax Financial Holdings Limited 160,000 6.40% due May 25, 2021 159,347 159,416 BCE Inc. 500,000 4.85% due June 30, 2014 527,875 529,060 Finning International Inc. 800,000 3.60% due December 02, 2015 798,656 809,505 2,500,000 6.02% due June 01, 2018 2,498,400 2,831,964 bcIMC Realty Corporation First Capital Realty Inc. 5,000,000 5.65% due January 05, 2018 4,983,150 5,537,708 1,400,000 5.95% due June 01, 2015 1,473,360 1,500,376 600,000 5.70% due November 30, 2017 602,410 636,876 BMW Canada Inc. 800,000 3.22% due March 28, 2013 799,912 813,898 Ford Auto Securitization Trust 200,000 3.836% due January 15, 2015 200,000 206,429 Boardwalk Real Estate Investment Trust 500,000 3.02% due February 15, 2016 500,000 508,025 1,000,000 5.31% due January 23, 2012 999,530 1,017,506 GE Capital Canada Funding Company Bombardier Inc. (USD) 2,500,000 5.15% due June 06, 2013 2,609,700 2,632,377 500,000 7.50% due March 15, 2018 548,216 540,092 2,500,000 5.53% due August 17, 2017 2,498,850 2,715,592 290,000 7.75% due March 15, 2020 295,684 314,652 Golden Credit Card Trust Caisse centrale Desjardins 2,000,000 3.824% due May 15, 2015 2,000,000 2,070,906 200,000 FloatingRatedueFebruary11,2014 200,000 204,466 2,600,000 3.114% due December 04, 2014 2,600,000 2,631,969 Holcim Finance (Canada) Inc. 1,750,000 5.90% due June 21, 2013 1,747,568 1,847,163 Canadian Capital Auto Receivables Asset Trust III 765,983 2.716% due February 18, 2014 773,042 768,242 Honda Canada Finance Inc. 2,500,000 5.613% due September 12, 2013 2,500,000 2,664,476 Canadian Credit Card Trust 1,600,000 5.365% due March 25, 2013 1,600,000 1,686,952 HSBC Bank Canada 1,200,000 3.444% due July 24, 2015 1,200,000 1,223,525 800,000 3.86% due May 21, 2015 799,784 828,630 900,000 3.558% due October 04, 2017 900,000 898,407 Canadian Imperial Bank of Commerce 900,000 3.15% due November 02, 2015 898,101 889,902 HSBC Canada Asset Trust 2,300,000 3.40% due January 14, 2016 2,299,057 2,331,540 1,000,000 Callable5.149%dueJune30,2015 1,000,000 1,056,883 3,500,000 Callable6.00%dueJune06,2018 3,490,130 3,937,038 Husky Energy Inc. Canadian Pacific Railway Company 600,000 3.75% due March 12, 2015 599,538 616,998 2,100,000 Callable6.25%dueJune01,2018 2,086,119 2,402,550 Hydro One Inc. Cara Operations Ltd. 5,000,000 Callable6.93%dueJune01,2032 6,074,750 6,288,428 480,000 9.125% due December 01, 2015 491,875 502,500 1,000,000 Callable4.89%dueMarch13,2037 969,900 994,208 CARDS II Trust Iron Mountain Nova Scotia Funding Company 900,000 3.096% due September 15, 2015 900,000 905,832 1,000,000 Callable7.50%dueMarch15,2017 1,000,000 1,027,669 Cascades Inc. John Deere Credit Inc. 250,000 7.75% due December 15, 2016 246,675 262,125 2,000,000 5.45% due September 16, 2015 1,999,080 2,199,930 Cascades Inc. (USD) Manulife Financial Capital Trust 500,000 Callable7.875%dueJanuary15,2020 533,820 502,117 4,000,000 Callable6.70%dueJune30,2012 4,052,400 4,163,672 CIBC Capital Trust Manulife Financial Capital Trust II 1,600,000 Callable9.976%dueJune30,2019 1,869,340 2,092,846 4,000,000 Callable 7.405% due December 31, 2019 4,000,000 4,554,741 The Consumers’ Waterheater Operating Trust 800,000 6.75% due April 30, 2014 798,616 851,882

96 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Diversified Monthly Income Fund BALANCEDFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Merrill Lynch Financial Assets Inc. Wells Fargo Financial Canada Corporation $$428,104 Callable4.38%dueAugust12,2015 433,730$ 442,550 $$2,500,000 5.10% due June 26, 2012 2,496,075$ 2,576,632 National Bank of Canada 1,000,000 3.97% due November 03, 2014 999,960 1,029,514 1,000,000 4.03% due May 26, 2015 1,000,000 1,042,633 700,000 3.70% due March 30, 2016 699,713 705,793 NOVA Chemicals Corporation (USD) West Fraser Timber Co., Ltd. (USD) 300,000 Callable6.50%dueJanuary15,2012 328,605 294,398 1,000,000 Callable5.20%dueOctober15,2014 941,570 971,683 500,000 8.375% due November 01, 2016 540,671 530,448 Westcoast Energy Inc. Ontrea Inc. 200,000 4.57% due July 02, 2020 199,984 205,720 498,698 Callable4.619%dueApril09,2018 498,698 507,375 Yellow Media Inc. Reliance LP 2,500,000 6.85% due December 03, 2013 2,500,000 2,434,460 2,000,000 Callable7.30%dueApril03,2013 2,000,000 2,087,609 145,069,637 151,794,964

RioCan Real Estate Investment Trust Total Canadian Bonds 152,264,584 160,074,331 500,000 Callable4.499%dueJanuary21,2016 500,375 510,419 Rogers Communications Inc. Global Bonds – 5.9% 1,800,000 5.80% due May 26, 2016 1,795,806 1,967,713 UNITED STATES – 5.5% 1,000,000 Callable5.34%dueMarch22,2021 999,540 1,006,999 AK Steel Holding Corporation (USD) Royal Bank of Canada 750,000 Callable7.625%dueMay15,2020 779,352 741,421 800,000 4.35% due June 15, 2015 799,712 831,597 Belden Inc. (USD) 1,600,000 Callable 3.18% due November 02, 2015 1,599,552 1,584,649 1,000,000 9.25% due June 15, 2019 1,128,588 1,072,951 2,000,000 3.66% due January 25, 2017 1,999,260 2,030,285 CF Industries Inc. (USD) Scotiabank Tier 1 Trust 400,000 6.875% due May 01, 2018 421,756 437,378 1,400,000 Callable7.802%dueJune30,2019 1,533,153 1,669,999 CNH Global NV (USD) Shaw Communications Inc. 750,000 Callable7.875%dueDecember01,2017 795,736 795,671 1,200,000 6.50% due June 02, 2014 1,196,448 1,307,890 Constellation Brands Inc. (USD) 4,000,000 Callable6.15%dueMay09,2016 4,317,310 4,375,460 775,000 Callable7.25%dueSeptember01,2016 870,034 816,588 750,000 5.65% due October 01, 2019 747,623 770,106 Crown Americas LLC/ Sherritt International Corporation Crown Americas Capital Corp II (USD) 800,000 Callable7.75%dueOctober15,2015 766,250 862,800 500,000 Callable7.625%dueMay15,2017 535,922 516,584 Shoppers Drug Mart Corporation Crown Americas LLC/ 300,000 Callable 4.99% due June 03, 2013 299,975 314,860 Crown Americas Capital Corp III (USD) 1,000,000 5.19% due January 20, 2014 1,073,290 1,063,322 75,000 Callable6.25%dueFebruary01,2021 74,464 73,057 SNC-Lavalin Group Inc. Dole Food Company (USD) 600,000 6.19% due July 03, 2019 600,000 670,524 500,000 8.00% due October 01, 2016 528,957 505,131 Sun Life Capital Trust Il Easton-Bell Sports Inc. (USD) 2,000,000 Callable 5.863% due December 31, 2019 2,000,000 2,113,781 600,000 9.75% due December 01, 2012 658,605 637,984 TD Capital Trust IV* EchoStar DBS Corporation (USD) 2,500,000 Callable6.631%dueJune30,2021 2,500,000 2,795,418 1,000,000 Callable6.625% dueOctober01, 2014 1,072,174 1,015,084 TELUS Corporation EH Holding Corporation (USD) 1,500,000 4.95% due May 15, 2014 1,499,940 1,588,174 250,000 Callable 6.50% due June 15, 2019 245,720 245,332 2,100,000 5.05% due December 04, 2019 2,105,540 2,151,638 700,000 5.05% due July 23, 2020 698,208 711,213 El Paso Corporation (USD) 500,000 6.875% due June 15, 2014 518,184 538,853 Teranet Holdings LP 1,100,000 4.807% due December 16, 2020 1,080,695 1,108,463 Elizabeth Arden Inc. (USD) 60,000 Callable7.375%dueMarch15,2021 59,355 60,254 Thomson Reuters Corporation 1,600,000 Callable 5.20% due December 01, 2014 1,752,784 1,728,876 Ford Motor Credit Company LLC (USD) 1,700,000 5.70% due July 15, 2015 1,696,906 1,880,652 700,000 7.00% due October 01, 2013 733,913 721,475 1,000,000 6.00% due March 31, 2016 1,130,765 1,117,764 GameStop Corp./GameStop Inc. (USD) The Toronto-Dominion Bank* 589,000 Callable8.00%dueOctober01,2012 677,634 576,582 1,100,000 Callable 3.367% due November 02, 2015 1,100,000 1,097,688 Gannett Co., Inc. (USD) TransCanada PipeLines Limited 600,000 6.375% due April 01, 2012 524,596 594,583 5,000,000 Callable5.10%dueJanuary11,2017 5,036,600 5,464,225 250,000 10.00% due April 01, 2016 231,997 277,279 Trinidad Drilling Ltd. (USD) 450,000 7.875% due January 15, 2019 451,341 449,193 Vermilion Energy Inc. 470,000 Callable6.50%dueFebruary10,2016 479,375 478,049 VW Credit Canada Inc. 1,200,000 2.55% due November 18, 2013 1,195,953 1,204,911 400,000 3.60% due February 01, 2016 399,620 407,545

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 97 TD Diversified Monthly Income Fund BALANCEDFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

General Cable Corporation (USD) SunGard Data Systems Inc. (USD) 1,100,000 Callable7.125%dueApril01,2017$$ 1,107,365 1,084,765 725,000 7.375% due November 15, 2018 $$737,633 699,226 Georgia-Pacific LLC (USD) Terex Corporation (USD) 900,000 Callable,7.125%dueJanuary15,2017 1,020,191 915,094 500,000 Callable8.00%dueNovember15,2017 501,653 494,281 The Goodyear Tire & Rubber Company (USD) The Kansas City Southern Railway (USD) 325,000 10.50% due May 15, 2016 375,955 352,627 750,000 8.00% due June 01, 2012 816,501 775,779 Great Lakes Dredge & Dock Corporation (USD) TRW Automotive Inc. (USD) 45,000 Callable7.375%dueFebruary01,2019 44,894 42,749 900,000 Callable7.00%dueMarch15,2014 876,240 959,146 HCA Inc. (USD) United States Steel Corporation (USD) 700,000 9.25% due November 15, 2016 769,540 716,466 500,000 Callable 5.65% due June 01, 2013 482,570 502,720 The Hertz Corporation (USD) 500,000 Callable 6.05% due June 01, 2017 458,472 478,608 750,000 Callable7.50%dueOctober15,2018 767,508 745,038 Valassis Communications Inc. (USD) Host Hotels & Resorts LP (USD) 300,000 Callable6.625%dueFebruary01,2021 296,820 286,442 500,000 9.00% due May 15, 2013 571,033 542,503 Wendy’s/Arby’s Restaurants LLC (USD) Hughes Network Systems LLC/ 750,000 Callable 10.00% due July 15, 2016 849,432 801,096 HNS Finance Corp. (USD) West Corporation (USD) 550,000 Callable 9.50% due April 15, 2014 617,197 543,709 750,000 8.625% due October 01, 2018 803,505 730,571 International Lease Finance Corporation (USD) WMG Acquisition Corp. (USD) 500,000 8.625% due September 15, 2015 542,882 522,611 850,000 9.50% due June 15, 2016 955,960 864,871 Jarden Corporation (USD) 33,497,191 32,351,066 850,000 Callable 7.50% due May 01, 2017 762,144 851,549 SUPRANATIONALS – 0.4% LBI Escrow Corporation (USD) Inter-American Development Bank 475,000 8.00% due November 01, 2017 497,890 509,652 2,000,000 4.40% due January 26, 2026 1,923,060 2,037,219 Levi Strauss & Co. (USD) Total Global Bonds 35,420,251 34,388,285 750,000 Callable8.875%dueApril01,2016 721,645 750,463 The Manitowoc Company Inc. (USD) Transaction Costs (Note 3) (48,822) 0 500,000 Callable7.125%dueNovember01,2013 492,411 485,842 TOTALINVESTMENT MetroPCS Wireless Inc. (USD) PORTFOLIO – 98.1% 519,517,503 575,085,857 500,000 7.875% due September 01, 2018 514,134 510,556 SHORT-TERM MGM Resorts International (USD) INVESTMENTS (CAD) – 1.6% 9,100,000 9,100,000 500,000 11.125% due May 15, 2013 590,090 550,942 SHORT-TERM The Neiman Marcus Group Inc. (USD) INVESTMENTS (USD) – 0.1% 771,560 771,560 700,000 Callable10.375%dueOctober15,2015 901,934 708,871 FOREIGN CURRENCIES – 0.1% 521,558 523,812 NRG Energy Inc. (USD) FORWARDCONTRACTS 500,000 Callable7.375%dueFebruary01,2016 538,157 499,103 (SCHEDULE 1) – (0.1%) 0 (431,044) 200,000 7.625% due May 15, 2019 192,460 191,926 OTHER NET ASSETS – 0.2% 1,270,280 1,264,495 Phillips-Van Heusen Corporation (USD) 650,000 7.375% due May 15, 2020 691,545 670,775 TOTAL NET ASSETS – 100.0% $ 531,180,901 $ 586,314,680 Pinafore Inc. (USD) * Related party to the Fund as an affiliated entity of 675,000 9.00% due October 01, 2018 736,831 701,457 TD Asset Management Inc. Qwest Communications International Inc. (USD) 650,000 Callable7.50%dueFebruary15,2014 666,965 636,296 R.R. Donnelley & Sons Company (USD) 250,000 Callable8.60%dueAugust15,2016 268,224 262,068 425,000 7.25% due May 15, 2018 413,376 409,891 Reynolds Group Issuer Inc. (USD) 500,000 7.125% due April 15, 2019 518,667 478,608 Sears Holdings Corporation (USD) 500,000 6.625% due October 15, 2018 481,533 447,264 Spirit Aerosystems Inc. (USD) 750,000 7.50% due October 01, 2017 789,182 761,313 Sprint Nextel Corporation (USD) 450,000 Callable8.375%dueAugust15,2017 488,790 476,860 Steel Dynamics Inc. (USD) 750,000 7.375% due November 01, 2012 778,875 763,121

98 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Diversified Monthly Income Fund BALANCEDFUNDS

July 29, 2011 10,753,000 USD $ 10,378,527 10,269,193 CAD $ 10,269,193 0.95310 to0.96884 $ (109,334) July 29, 2011 9,150,000 USD 8,831,351 8,720,865 CAD 8,720,865 0.95310 (110,486) July 29, 2011 17,500,000 USD 16,890,562 16,679,338 CAD 16,679,338 0.95310 (211,224) $ 36,100,440 $ 35,669,396 $ (431,044)

TOTALNUMBEROFCONTRACTS: 5 NETDEPRECIATION $ (431,044)

Currency Risk (Note 11) Interest Rate Risk (Note 11) The table below indicates the foreign currencies to which the Fund had significant exposure The table below summarizes the Fund’s exposure to interest rate risk as at June 30, 2011 as at June 30, 2011 and December 31, 2010 in Canadian dollar terms, including the and December 31, 2010 by remaining term to maturity. The table also illustrates the potential underlying principal amount of forward currency contracts, if any. The table also illustrates impact to the Fund’s net assets had the prevailing interest rates changed by 1%, assuming the potential impact to the Fund’s net assets if the Fund’s functional currency, the Canadian a parallel shift in the yield curve, with all other variables held constant. The Fund’s sensitivity Dollar, had strengthened or weakened by 5% in relation to all other currencies, with all to interest rate changes was estimated using the weighted average duration of the bond other variables held constant. In practice, the actual trading results may differ from these portfolio. In practice, the actual trading results may differ from these approximate sensitivity approximate sensitivity analysis amounts and the differences could be material. analysis amounts and the difference could be material.

Total Exposure* (000s) Impact on Net Assets (000s) Term to Maturity Total Exposure (000s) Currency 2011 2010 2011 2010 Bonds 2011 2010 British Pound $2$2$0$0Less than 1 year $ 4,483 $ 7,654 Euro 1,756 1,826 88 91 1-5 years 81,098 75,797 Swiss Franc 24 1105-10 years 86,655 97,460 United States Dollar 39,286 23,914 1,964 1,196 > 10 years 22,227 16,019 Total $ 41,068 $ 25,743 $ 2,053 $ 1,287 Total $ 194,463 $ 196,930

As Percentage of Impact on Net Assets (000s) $ 9,704 $ 9,709 Net Assets (%) 7.00 4.55 0.35 0.23 Impact on Net Assets (%) 1.66 1.72 * Includes both monetary and non-monetary instruments, where applicable. Credit Risk (Note 11) The table below summarizes the debt instruments by credit ratings as at June 30, 2011 and December 31, 2010.

Percentage of Percentage of Total Bonds (%) Total Net Assets (%) Credit Rating° 2011 2010 2011 2010 AAA 6.67 7.03 2.21 2.45 AA 25.28 23.73 8.39 8.26 A 27.64 30.80 9.17 10.72 BBB 20.57 20.07 6.82 6.99 BB 10.91 10.21 3.62 3.55 B 8.56 7.79 2.84 2.71 CCC 0.37 0.37 0.12 0.13 Total 100.00 100.00 33.17 34.81

° Credit ratings are obtained from Standard & Poor’s, Moody’s or DBRS rating agencies.

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 99 TD Diversified Monthly Income Fund BALANCEDFUNDS

Equity positions with a fair value of $1,645 were transferred from Level 2 to Level 1 during Common the period as a result of increased activity in the market for those securities. Shares Bonds

December 31, 2010 Balance at December 31, 2009 $8$0 CommonShares $ 359,155 $ 1,822 $8$360,985 Sales 0 (85) Bonds and Short-Term Gains (Losses) Investments 0 200,328 0 200,328 Net Realized on Sale of Investments 0 85 Forward Contracts 0 1,571 0 1,571 Balance at December 31, 2010 $8$0 359,155 203,721 8 562,884 Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) Forward Contracts 0 (26) 0 (26) The table below summarizes cash flows associated with the maturities of the Fund’s financial $ 359,155 $ 203,695 $8$562,858 liabilities as at June 30, 2011 and December 31, 2010:

During the period, transfers between Level 1 and Level 2 were nil. Less than 3 months 2011 2010 Accounts payable and other liabilities $ 5,096 $ 1,761 Forward Contracts 431 26 $ 5,527 $ 1,787

100 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. BALANCEDFUNDS TD Balanced Growth Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 1,103,261 $ 1,171,072 Interest $ 9,553 $ 9,323 Short-Term Investments 24,300 3,200 Dividends 7,876 8,496 Foreign Currencies 56 232 Foreign Exchange (129) 0 Cash 0 198 Securities Lending 80 100 Interest Receivable 3,083 3,218 Less: Withholding Taxes (439) (617) Dividends Receivable 1,820 1,643 16,941 17,302 Subscriptions Receivable 691 902 Expenses (Note 5) Receivable for Investment Sales 23,025 5,437 Management Fees 12,290 11,974 Unrealized Gain on Open Foreign Administration Fees 508 495 Exchange Forward Contracts 0 720 Independent Review Committee Fees 33 1,156,236 1,186,622 Bank Charges and Interest 19 0 Liabilities 12,820 12,472 Bank Overdraft 10 0 Less: Waived Expenses (19) (0) Accrued Liabilities 2,047 2,206 12,801 12,472 Redemptions Payable 1,122 1,539 Distributions Payable 16 0 Net Investment Income (Loss) 4,140 4,830 Payable for Investment Purchases 34,463 6,488 Net Realized Gain (Loss) on Unrealized Loss on Open Foreign Sale of Investments 56,265 16,760 Exchange Forward Contracts 550 670 Net Change in Unrealized Appreciation/ 38,208 10,903 Depreciation of Investments (47,159) (74,484) Transaction Costs on Purchase and Sale Net Assets (Note 3) $ 1,118,028 $ 1,175,719 of Investments (Note 3) (1,615) (246) Net Assets Representing Unitholders’ Equity (Note 4) Net Gain (Loss) on Investments 7,491 (57,970) Investor Series $ 1,081,866 $ 1,138,046 Increase (Decrease) in Net Assets Advisor Series $ 34,417 $ 35,516 from Investment Operations† $ 11,631 $ (53,140) F-Series $ 1,745 $ 2,157 $ 1,118,028 $ 1,175,719 †Increase (Decrease) in Net Assets from Investment Operations Investor Series $ 11,252 $ (51,329) Number of Units Outstanding Advisor Series $ 341 $ (1,724) Investor Series 48,421,975 51,275,738 F-Series $ 38 $ (87) Advisor Series 2,942,057 3,056,492 $ 11,631 $ (53,140) F-Series 150,205 186,733 Net Assets Per Unit (Note 3) Increase (Decrease) in Net Assets from Investment Operations – Investor Series $ 22.34 $ 22.19 Per Unit (Note 3) Investor Series $ 0.21 $ (0.97) Advisor Series $ 11.70 $ 11.62 Advisor Series $ 0.11 $ (0.52) F-Series $ 11.62 $ 11.55 F-Series $ 0.19 $ (0.45)

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 101 BALANCEDFUNDS TD Balanced Growth Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Advisor Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 1,138,046 $ 1,178,463 $ 35,516 $ 38,706 Increase (Decrease) in Net Assets from Investment Operations 11,252 (51,329) 341 (1,724) Capital Unit Transactions† Proceeds from Sale of Units 55,821 69,279 4,704 3,637 Reinvestments of Distributions 3,053 4,765 89 144 Early Redemption Fees 12 900 Amounts Paid on Redemptions (123,247) (116,937) (6,141) (4,438) (64,361) (42,884) (1,348) (657) Distributions to Unitholders (3,071) (4,793) (92) (149) Increase (Decrease) in Net Assets for the Period (56,180) (99,006) (1,099) (2,530) Net Assets, End of the Period $ 1,081,866 $ 1,079,457 $ 34,417 $ 36,176 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 51,275,738 53,643,466 3,056,492 3,355,933 Units Issued 2,468,996 3,167,781 398,112 316,835 Units Issued on Reinvestments 135,461 224,049 7,508 12,897 Units Redeemed (5,458,220) (5,350,899) (520,055) (387,055) Units Outstanding, End of the Period 48,421,975 51,684,397 2,942,057 3,298,610

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 2,157 $ 2,095 $ 1,175,719 $ 1,219,264 Increase (Decrease) in Net Assets from Investment Operations 38 (87) 11,631 (53,140) Capital Unit Transactions† Proceeds from Sale of Units 121 374 60,646 73,290 Reinvestments of Distributions 15 20 3,157 4,929 Early Redemption Fees 00 12 9 Amounts Paid on Redemptions (567) (180) (129,955) (121,555) (431) 214 (66,140) (43,327) Distributions to Unitholders (19) (24) (3,182) (4,966) Increase (Decrease) in Net Assets for the Period (412) 103 (57,691) (101,433) Net Assets, End of the Period $ 1,745 $ 2,198 $ 1,118,028 $ 1,117,831 †Capital Unit Transactions Units Outstanding, Beginning of the Period 186,733 182,004 Units Issued 10,248 32,757 Units Issued on Reinvestments 1,235 1,766 Units Redeemed (48,011) (15,625) Units Outstanding, End of the Period 150,205 200,902

102 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. BALANCEDFUNDS

TD Balanced Growth Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) CONSUMER DISCRETIONARY – 2.8% No. of Shares 53,400 Astral Media Inc., Class “A” NV $$2,152,937 1,987,014 or Units Description Cost FairValue 229,200 Corus Entertainment Inc., Class “B” NV 4,858,066 4,696,308 306,400 Dollarama Inc. 8,444,444 9,988,640 Canadian Equities – 43.6% 126,300 Magna International Inc. 5,665,404 6,580,230 ENERGY – 9.2% 13,200 Thomson Reuters Corporation 505,532 477,576 600 ARC Resources Ltd. $ 15,701 $ 14,982 151,300 Tim Hortons Inc. 5,674,149 7,118,665 142,000 Athabasca Oil Sands Corp. 2,359,767 2,151,300 27,300,532 30,848,433 94,500 Baytex Energy Corp. 4,774,849 4,958,415 578,700 Canadian Natural Resources Limited 19,921,332 23,327,397 CONSUMER STAPLES – 1.6% 6,200 Canadian Oil Sands Limited 176,750 172,236 192,100 Saputo Inc. 7,376,125 8,913,440 496,700 Cenovus Energy Inc. 14,774,683 18,040,144 897,700 Viterra Inc. 9,728,265 9,363,011 16,100 Crescent Point Energy Corp. 682,746 715,162 17,104,390 18,276,451 276,300 Enbridge Inc. 8,388,159 8,648,190 HEALTH CARE – 0.9% 73,500 EnCana Corporation 2,328,458 2,182,950 200,800 Valeant Pharmaceuticals International Inc. 9,254,470 10,062,088 156,800 Gibson Energy Inc. 2,508,800 2,515,072 1,848,800 Ivanhoe Energy Inc. 4,040,140 3,364,816 FINANCIALS – 10.4% 30,400 MEG Energy Corp. 1,402,841 1,523,952 100 Bank of Montreal 6,161 6,126 124,500 Penn West Petroleum Ltd. 3,339,393 2,766,390 308,500 The Bank of Nova Scotia 16,975,398 17,896,085 85,800 Pinecrest Energy Inc. 132,990 208,494 109,400 Brookfield Asset Management Inc., 35,000 Precision Drilling Corporation 507,280 483,350 Class “A” LV 3,434,844 3,498,612 100,000 SouthGobi Resources Limited 1,350,494 1,062,000 72,000 Canaccord Financial Inc. 1,010,880 889,920 603,700 Suncor Energy Inc. 21,770,121 22,759,490 287,400 Canadian Imperial Bank of Commerce 22,809,988 21,871,140 337,000 Talisman Energy Inc. 7,603,750 6,659,120 7,800 Intact Financial Corporation 393,863 430,872 1,000 TransCanada Corporation 38,451 42,220 34,500 Intact Financial Corporation, 60,700 Trican Well Service Ltd. 1,297,926 1,374,248 Subscription Receipt 1,649,100 1,911,300 97,414,631 102,969,928 1,080,600 Manulife Financial Corporation 18,427,599 18,402,618 4,400 National Bank of Canada 295,684 343,728 MATERIALS – 9.5% 296,000 Royal Bank of Canada 17,558,566 16,277,040 140,477 Agrium Inc. 10,519,813 11,885,759 427,000 The Toronto-Dominion Bank* 30,407,055 34,920,060 677,000 Barrick Gold Corporation 33,537,044 29,564,590 112,969,138 116,447,501 660,245 Entree Gold Inc. 1,854,472 1,353,502 73,600 First Quantum Minerals Ltd. 9,773,125 10,348,160 INFORMATION TECHNOLOGY – 1.2% 4,800 Franco-Nevada Corporation 152,335 172,752 124,100 MacDonald, Dettwiler and Associates Ltd. 5,749,601 6,752,281 47,200 Goldcorp Inc. 2,250,880 2,195,744 113,900 Open Text Corporation 5,421,646 7,010,545 7,000 IAMGOLD Corporation 142,724 126,700 11,171,247 13,762,826 121,507 Ivanhoe Mines Ltd. 2,862,382 2,959,911 3,300 Kinross Gold Corporation 52,069 50,160 TELECOMMUNICATION SERVICES – 3.5% 1,024,100 Lundin Mining Corporation 7,145,824 7,568,099 522,100 BCE Inc. 18,744,545 19,740,601 14,300 Neo Material Technologies Inc. 95,265 132,418 330 Rogers Communications Inc., 6,500 NovaGold Resources Inc. 86,454 57,655 Class “B” NV 10,822 12,576 503,700 Potash Corporation of Saskatchewan Inc. 26,672,784 27,683,352 86,500 TELUS Corporation 4,310,949 4,590,555 400 Silver Wheaton Corp. 17,641 12,728 293,975 TELUS Corporation, NV 14,112,731 14,901,593 45,600 Tahoe Resources Inc. 904,665 816,696 37,179,047 39,245,325 233,400 Teck Resources Limited, Class “B” SV 11,039,511 11,410,926 Total Canadian Equities 467,357,275 488,392,782 107,106,988 106,339,152

INDUSTRIALS – 4.5% U.S. Equities – 10.0% 1,259,000 Bombardier Inc., Class “B” SV 7,723,666 8,712,280 ENERGY – 1.4% 174,300 CAE Inc. 2,135,849 2,262,414 70,400 Diamond Offshore Drilling Inc. 5,027,032 4,778,611 258,900 Canadian National Railway Company 19,021,244 19,948,245 134,200 Exxon Mobil Corporation 9,568,134 10,523,887 101,700 Canadian Pacific Railway Limited 6,279,103 6,107,085 14,595,166 15,302,498 219,400 Finning International Inc. 6,219,409 6,255,094 121,700 SNC-Lavalin Group Inc. 6,477,561 7,155,960 MATERIALS – 0.5% 39,000 Freeport-McMoRanCopper&GoldInc. 1,977,341 1,989,005 47,856,832 50,441,078 23,900 SPDR Gold Trust 3,491,903 3,365,352 5,469,244 5,354,357

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 103 TD Balanced Growth Fund BALANCEDFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

INDUSTRIALS – 0.9% GERMANY – 1.0% 68,500 Emerson Electric Company $$3,817,359 3,714,825 14,086 Allianz SE $$1,835,368 1,894,430 100,000 General Electric Company 2,009,837 1,817,024 13,609 Bayer AG 1,009,745 1,054,177 49,100 United Technologies Corporation 2,827,643 4,190,873 36,235 E.ON AG 993,492 993,349 8,654,839 9,722,722 34,268 Fresenius SE & Co. KGaA 2,539,449 3,449,776 30,103 SAP AG 1,506,864 1,760,222 CONSUMER STAPLES – 1.7% 11,298 Siemens AG 1,446,632 1,497,395 123,700 Kraft Foods Inc., Class “A” 3,806,193 4,201,833 9,331,550 10,649,349 78,800 PepsiCo Inc. 5,169,170 5,348,786 70,400 Philip Morris International Inc. 3,772,319 4,531,464 HONG KONG – 0.2% 81,000 The Procter & Gamble Company 5,047,007 4,962,211 165,000 Cheung Kong (Holdings) Limited 2,203,995 2,336,892

17,794,689 19,044,294 ITALY – 0.1% HEALTH CARE – 1.5% 414,281 Enel Green Power SpA 1,165,829 1,101,991 77,400 Abbott Laboratories 3,880,865 3,925,014 75,000 Prada SpA 376,393 436,417 66,000 Amgen Inc. 3,735,669 3,712,920 1,542,222 1,538,408 76,000 Johnson & Johnson 4,684,276 4,871,398 JAPAN – 0.6% 233,000 Pfizer Inc. 4,477,281 4,626,920 17,300 FANUC Corporation 2,431,697 2,790,114 16,778,091 17,136,252 371,000 Kubota Corporation 3,089,317 3,174,344 FINANCIALS – 1.5% 250 OsakaSecuritiesExchangeCo.,Ltd. 1,293,782 1,076,300 28,200 The Goldman Sachs Group Inc. 4,611,211 3,617,538 6,814,796 7,040,758 117,900 JPMorgan Chase & Co. 4,877,901 4,651,821 SINGAPORE – 0.2% 91,800 MetLife Inc. 3,830,294 3,882,326 955,000 Singapore Telecommunications Limited 2,247,256 2,374,039 171,300 Wells Fargo & Company 5,170,102 4,634,148 18,489,508 16,785,833 SWITZERLAND – 1.0% 72,123 Credit Suisse Group AG 3,289,886 2,710,871 INFORMATION TECHNOLOGY – 0.9% 54,549 Nestle SA 2,964,533 3,273,830 9,300 Apple Inc. 3,024,968 3,009,677 79,763 Novartis AG 4,337,706 4,714,660 53,800 Cisco Systems Inc. 1,308,674 809,444 10,592,125 10,699,361 2,300 Google Inc., Class “A” 1,342,293 1,122,671 81,500 Hewlett-Packard Company 3,491,378 2,861,137 UNITED KINGDOM – 1.9% 101,100 Microsoft Corporation 3,460,145 2,533,203 791,109 Barclays PLC 3,743,998 3,130,045 12,627,458 10,336,132 82,018 BG Group PLC 1,406,355 1,796,096 395,175 HSBC Holdings PLC 4,107,107 3,778,781 TELECOMMUNICATION SERVICES – 0.3% 211,264 National Grid PLC 1,965,440 2,005,797 102,700 AT&T Inc. 3,046,441 3,109,149 142,740 Prudential PLC 1,341,752 1,589,604 UTILITIES – 0.4% 26,922 Reckitt Benckiser Group PLC 1,460,032 1,434,102 87,500 Nextera Energy Inc. 4,791,623 4,846,482 473,209 Tesco PLC 3,026,993 2,948,714 1,267,782 Vodafone Group PLC 3,092,803 3,242,208 INDEX EQUIVALENTS – 0.9% 117,750 WPP PLC 1,423,257 1,422,719 82,100 SPDR S&P 500 ETF Trust 10,422,797 10,448,770 21,567,737 21,348,066 Total U.S. Equities 112,669,856 112,086,489 INDEX EQUIVALENTS – 1.2% 234,600 iShares MSCI EAFE Index Fund 13,831,632 13,609,537 International Equities – 7.6% AUSTRALIA – 0.4% Total International Equities 82,726,779 85,147,107 83,244 BHP Billiton Limited 3,371,133 3,794,316

CHINA – 0.2% 241,000 Ping An Insurance (Group) Company of China Ltd. 2,489,641 2,410,714

FRANCE – 0.8% 32,824 Bouygues SA 1,439,017 1,392,103 142,643 TOTAL SA 7,295,675 7,953,564 8,734,692 9,345,667

104 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Balanced Growth Fund BALANCEDFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Canadian Bonds – 36.6% Canadian Credit Card Trust FEDERAL BONDS & GUARANTEES – 7.7% $$200,000 5.365% due March 25, 2013 213,790$ 210,869 Canada Housing Trust No. 1 Canadian Imperial Bank of Commerce $$$ 8,600,000 4.80% due June 15, 2012 8,951,310$ 8,881,954 1,600,000 Callable 4.75% due December 22, 2014 1,702,560 1,711,245 17,000,000 4.55% due December 15, 2012 17,841,383 17,739,107 5,500,000 3.10% due March 02, 2015 5,592,440 5,567,721 6,000,000 3.60% due June 15, 2013 6,224,460 6,221,372 700,000 3.40% due January 14, 2016 698,895 709,599 7,975,000 3.75% due March 15, 2020 7,895,888 8,232,541 3,700,000 3.95% due July 14, 2017 3,700,406 3,796,218 Canada Post Corporation Canadian Natural Resources Limited 2,400,000 4.08% due July 16, 2025 2,397,600 2,503,853 1,500,000 Callable4.95%dueJune01,2015 1,589,850 1,608,078 Government of Canada Canadian Tire Corporation Limited 4,905,000 2.50% due June 01, 2015 5,007,038 4,978,256 1,600,000 4.95% due June 01, 2015 1,696,000 1,708,214 6,180,000 4.00% due June 01, 2016 6,746,162 6,659,055 Canadian Utilities Limited 10,890,000 5.75% due June 01, 2033 13,672,490 14,541,452 905,000 Callable 6.145% due November 22, 2017 1,022,822 1,047,211 6,000,000 5.00% due June 01, 2037 7,420,020 7,431,870 CARDS II Trust 8,000,000 4.00% due June 01, 2041 8,316,581 8,664,000 1,900,000 3.096% due September 15, 2015 1,900,000 1,912,312 84,472,932 85,853,460 Caterpillar Financial Services Limited PROVINCIAL BONDS – 6.3% 3,125,000 5.20% due June 03, 2013 3,327,740 3,300,903 Province of British Columbia CIBC Capital Trust 6,810,000 4.70% due December 01, 2017 6,938,661 7,455,982 1,950,000 Callable9.976%dueJune30,2019 2,599,222 2,550,656 1,000,000 5.62% due August 17, 2028 1,172,500 1,168,838 Daimler Canada Finance Inc. Province of Manitoba 1,000,000 3.16% due April 14, 2014 999,890 1,010,351 3,755,000 4.70% due September 22, 2017 3,740,093 4,106,963 Eagle Credit Card Trust Province of Ontario 1,600,000 3.474% due December 17, 2015 1,600,000 1,627,244 9,000,000 4.75% due June 02, 2013 9,525,330 9,511,062 Enbridge Gas Distribution Inc. 1,410,000 4.30% due March 08, 2017 1,343,772 1,512,142 400,000 Callable5.16%dueSeptember24,2014 433,560 432,205 2,385,000 4.20% due March 08, 2018 2,401,318 2,527,812 600,000 5.16% due December 04, 2017 653,940 658,777 10,000,000 6.20% due June 02, 2031 12,239,000 12,547,052 1,570,000 4.04% due November 23, 2020 1,569,356 1,574,768 15,000,000 5.85% due March 08, 2033 17,751,373 18,191,180 11,200,000 5.60% due June 02, 2035 12,918,280 13,254,227 Enbridge Pipelines Inc. 3,600,000 6.62% due November 19, 2018 4,338,920 4,284,045 68,030,327 70,275,258 2,900,000 4.49% due November 12, 2019 2,969,310 3,026,461 CORPORATE BONDS – 22.6% 3,500,000 4.45% due April 06, 2020 3,530,695 3,616,849 Bank of Montreal EnCana Corporation 3,000,000 3.49% due June 10, 2016 3,000,000 3,043,059 1,000,000 Callable5.80%dueJanuary18,2018 1,118,140 1,119,150 8,165,000 Callable6.02%dueMay02,2018 8,661,333 9,335,836 ENMAX Corporation The Bank of Nova Scotia 120,000 5.85% due April 08, 2014 129,000 128,615 4,880,000 4.56% due October 30, 2013 4,919,198 5,141,703 Finning International Inc. 900,000 3.61% due February 22, 2016 899,874 920,632 255,000 Callable5.16%dueSeptember03,2013 273,998 270,068 BCE Inc. 1,000,000 6.02% due June 01, 2018 1,120,560 1,132,785 2,500,000 3.60% due December 02, 2015 2,495,800 2,529,703 First Capital Realty Inc. bcIMC Realty Corporation 3,600,000 5.95% due June 01, 2015 3,839,220 3,858,110 730,000 3.38% due January 29, 2015 730,416 743,687 850,000 5.70% due November 30, 2017 874,531 902,241 1,250,000 5.65% due January 05, 2018 1,368,125 1,384,427 Ford Auto Securitization Trust Bell Aliant Regional Communications, 200,000 3.836% due January 15, 2015 204,340 206,429 Limited Partnership 900,000 3.02% due February 15, 2016 900,000 914,445 1,000,000 Callable4.95%dueFebruary26,2014 1,050,640 1,049,056 GE Capital Canada Funding Company 1,000,000 6.29% due February 17, 2015 1,103,630 1,095,442 900,000 5.15% due June 06, 2013 951,930 947,656 1,700,000 Callable 5.41% due September 26, 2016 1,809,650 1,808,753 1,100,000 4.65% due February 11, 2015 1,143,450 1,160,074 Bell Canada 2,000,000 5.53% due August 17, 2017 2,212,800 2,172,474 1,400,000 3.65% due May 19, 2016 1,398,992 1,408,687 Glacier Credit Card Trust BMW Canada Inc. 520,000 5.027% due February 20, 2013 549,769 544,072 1,600,000 3.22% due March 28, 2013 1,618,000 1,627,797 810,000 3.158% due November 20, 2015 810,000 812,877 1,800,000 2.76% due April 01, 2014 1,799,640 1,809,088 Golden Credit Card Trust Caisse centrale Desjardins 1,700,000 5.421% due April 15, 2013 1,828,605 1,799,318 2,600,000 3.114% due December 04, 2014 2,591,940 2,631,969 4,370,000 3.824% due May 15, 2015 4,489,596 4,524,930 Canadian Capital Auto Receivables Asset Trust II 2,040,000 3.51% due May 15, 2016 2,040,000 2,068,119 1,400,000 3.321% due September 17, 2016 1,400,000 1,423,842 Canadian Capital Auto Receivables Asset Trust III 2,297,947 2.716% due February 18, 2014 2,319,126 2,304,726

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 105 TD Balanced Growth Fund BALANCEDFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Great-West Lifeco Finance (Delaware), Scotiabank Capital Trust Limited Partnership $$$305,000 Callable6.626%dueJune30,2012 326,960 318,442 $$$3,180,000 Callable5.691%dueJune21,2017 3,086,508 3,348,745 2,000,000 Callable6.282%dueJune30,2013 2,166,000 2,143,973 Honda Canada Finance Inc. Scotiabank Tier 1 Trust 1,300,000 5.613% due September 12, 2013 1,406,600 1,385,527 1,700,000 Callable7.802%dueJune30,2019 2,047,616 2,027,855 HSBC Bank Canada Shaw Communications Inc. 1,700,000 3.558% due October 04, 2017 1,700,000 1,696,991 3,000,000 Callable 7.50% due November 20, 2013 3,396,000 3,323,040 Husky Energy Inc. 3,400,000 6.50% due June 02, 2014 3,757,612 3,705,689 1,200,000 3.75% due March 12, 2015 1,215,360 1,233,996 2,400,000 5.70% due March 02, 2017 2,553,456 2,557,900 1,900,000 5.65% due October 01, 2019 1,976,380 1,950,935 Hydro One Inc. 3,000,000 Callable5.18%dueOctober18,2017 3,343,000 3,302,429 Shoppers Drug Mart Corporation 3,100,000 4.40% due June 01, 2020 3,102,790 3,206,830 3,200,000 5.19% due January 20, 2014 3,423,456 3,402,629 Institutional Mortgage Securities Canada Inc. SNC-Lavalin Group Inc. 485,718 3.69% due April 12, 2020 485,713 499,508 1,000,000 6.19% due July 03, 2019 1,094,600 1,117,539 John Deere Credit Inc. Sun Life Assurance Company of Canada 1,600,000 3.50% due June 23, 2014 1,633,104 1,643,930 400,000 Callable 6.15% due June 30, 2012 424,816 414,955 230,000 5.45% due September 16, 2015 252,724 252,992 Sun Life Capital Trust Il Loblaw Companies Limited 1,600,000 Callable 5.863% due December 31, 2019 1,677,006 1,691,025 1,800,000 4.85% due May 08, 2014 1,916,840 1,900,861 TD Capital Trust IV* Manulife Financial Capital Trust 6,500,000 Callable6.631%dueJune30,2021 7,291,505 7,268,088 2,100,000 Callable6.70%dueJune30,2012 2,250,990 2,185,928 TELUS Corporation Manulife Financial Capital Trust II 50,000 5.00% due June 03, 2013 52,800 52,403 5,000,000 Callable 7.405% due December 31, 2019 5,752,700 5,693,426 2,800,000 4.95% due May 15, 2014 2,959,600 2,964,592 1,400,000 Callable5.95%dueApril15,2015 1,538,586 1,536,898 Master Credit Card Trust 700,000 4.95% due March 15, 2017 728,140 738,900 1,340,000 3.502% due May 21, 2016 1,340,000 1,357,434 3,400,000 5.05% due December 04, 2019 3,432,980 3,483,604 Merrill Lynch Financial Assets Inc. Teranet Holdings LP 169,551 6.14% due May 12, 2012 177,363 173,676 1,400,000 4.807% due December 16, 2020 1,375,430 1,410,771 44,080 Callable 4.071% due April 12, 2015 44,957 45,324 Thomson Reuters Corporation National Bank of Canada 7,440,000 Callable 5.20% due December 01, 2014 7,676,304 8,039,274 1,700,000 3.58% due April 26, 2016 1,700,000 1,729,133 3,000,000 5.70% due July 15, 2015 3,309,600 3,318,798 Ontrea Inc. 1,500,000 6.00% due March 31, 2016 1,704,285 1,676,646 1,097,136 Callable4.619%dueApril09,2018 1,097,136 1,116,226 Toronto Hydro Corporation RBC Capital Trust, Conv. 175,000 6.11% due May 06, 2013 191,625 187,606 4,000,000 Callable 5.812% due December 31, 2013 4,380,000 4,293,115 The Toronto-Dominion Bank* 2,730,000 Callable 4.87% due December 31, 2015 2,777,315 2,880,326 2,400,000 5.141% due November 19, 2012 2,523,024 2,510,629 Real Estate Asset Liquidity Trust 2,000,000 Callable4.97%dueOctober30,2015 2,174,540 2,122,473 237,738 Callable4.437%dueFebruary12,2016 244,574 247,577 2,500,000 Callable 4.779% due December 14, 2016 2,678,500 2,620,663 305,426 Callable4.595%dueNovember12,2016 315,179 318,551 2,500,000 Callable 5.763% due December 18, 2017 2,815,225 2,739,693 RioCan Real Estate Investment Trust Toyota Credit Canada Inc. 720,000 Callable5.70%dueSeptember11,2012 758,952 748,062 1,200,000 3.55% due February 22, 2016 1,198,692 1,216,784 476,000 Callable5.23%dueMarch11,2013 498,848 493,536 TransCanada PipeLines Limited 4,640,000 5.65% due March 31, 2015 4,903,196 4,957,514 3,900,000 Callable5.65%dueJanuary15,2014 4,263,270 4,210,128 Rogers Communications Inc. 3,290,000 Callable5.10%dueJanuary11,2017 3,360,061 3,595,460 3,200,000 5.80% due May 26, 2016 3,496,320 3,498,156 VW Credit Canada Inc. 2,000,000 Callable5.34%dueMarch22,2021 1,999,080 2,013,997 1,000,000 2.55% due November 18, 2013 998,710 1,004,093 RONA Inc. 900,000 3.60% due February 01, 2016 899,145 916,976 3,100,000 Callable5.40%dueOctober20,2016 3,247,932 3,188,784 Wells Fargo Financial Corporation Canada Royal Bank of Canada 2,905,000 3.97% due November 03, 2014 2,952,924 2,990,739 4,000,000 Callable5.00%dueJune06,2013 4,100,000 4,202,433 1,480,000 3.70% due March 30, 2016 1,479,393 1,492,247 2,860,000 Callable 5.45% due November 04, 2013 2,991,597 3,051,830 Westcoast Energy Inc. 4,000,000 3.36% due January 11, 2016 3,998,360 4,049,003 1,680,000 4.57% due July 02, 2020 1,681,644 1,728,047 4,030,000 3.66% due January 25, 2017 4,028,509 4,091,025 1,370,000 4.93% due July 16, 2025 1,369,562 1,414,299 Yellow Media Inc. 1,000,000 6.50% due July 10, 2013 1,063,000 973,206 250,599,793 252,847,360

Total Canadian Bonds 403,103,052 408,976,078

106 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Balanced Growth Fund BALANCEDFUNDS

Par Value Description Cost FairValue

Global Bonds – 0.8% UNITED STATES – 0.1% Merrill Lynch & Co., Inc. $$1,195,000 4.50% due January 30, 2012 1,149,590$ 1,211,636

SUPRANATIONALS – 0.7% Asian Development Bank 4,300,000 4.65% due February 16, 2027 4,338,399 4,488,122 European Investment Bank 1,200,000 4.60% due January 30, 2037 1,148,280 1,176,046 Inter-American Development Bank 1,750,000 4.40% due January 26, 2026 1,725,150 1,782,566

7,211,829 7,446,734

Total Global Bonds 8,361,419 8,658,370

Transaction Costs (Note 3) (798,859) 0

TOTALINVESTMENT PORTFOLIO – 98.6% 1,073,419,522 1,103,260,826 SHORT-TERM INVESTMENTS – 2.2% 24,300,000 24,300,000 FOREIGN CURRENCIES – 0.0% 56,267 56,266 FORWARDCONTRACTS (SCHEDULE 1) – (0.0%) 0 (550,240) OTHER NET LIABILITIES – (0.8%) (9,041,110) (9,038,723)

TOTAL NET ASSETS – 100.0% $ 1,088,734,679 $ 1,118,028,129

* Related party to the Fund as an affiliated entity of TD Asset Management Inc.

July 04, 2011 936,611 CAD $ 936,611 605,000 GBP $ 936,528 1.54812 $ (83) July 04, 2011 348,000 EUR 486,709 486,574 CAD 486,574 1.39820 (135) July 04, 2011 410,000 CHF 470,383 469,067 CAD 469,067 0.87408 (1,316) July 29, 2011 6,770,921 EUR 9,468,998 9,385,789 CAD 9,385,789 1.38619 (83,209) July 29, 2011 9,806,250 CAD 9,806,250 10,000,000 USD 9,651,750 0.98062 (154,500) July 29, 2011 19,936,184 CAD 19,936,184 20,333,294 USD 19,625,187 0.98047 (310,997) $ 41,105,135 $ 40,554,895 $ (550,240)

TOTALNUMBEROFCONTRACTS: 6 NETDEPRECIATION $ (550,240)

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 107 TD Balanced Growth Fund BALANCEDFUNDS

* Includes both monetary and non-monetary instruments, where applicable. 712,098 462,894 0 1,174,992 Credit Risk (Note 11) Forward Contracts 0 (670) 0 (670) The table below summarizes the debt instruments by credit ratings as at June 30, 2011 and $ 712,098 $ 462,224 $0$1,174,322 December 31, 2010. During the period, transfers between Level 1 and Level 2 were nil. Percentage of Percentage of Total Bonds (%) Total Net Assets (%) Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) Credit Rating° 2011 2010 2011 2010 The table below summarizes cash flows associated with the maturities of the Fund’s financial AAA 29.43 37.32 10.99 13.85 liabilities as at June 30, 2011 and December 31, 2010: AA 30.97 20.32 11.57 7.54 Less than A 23.89 27.05 8.92 10.04 3 months BBB 15.71 15.31 5.87 5.68 2011 2010 Total 100.00 100.00 37.35 37.11 Accounts payable and other liabilities $ 37,658 $ 10,233 Forward Contracts 550 670 ° Credit ratings are obtained from Standard & Poor’s, Moody’s or DBRS rating agencies. $ 38,208 $ 10,903 Interest Rate Risk (Note 11) The table below summarizes the Fund’s exposure to interest rate risk as at June 30, 2011 and December 31, 2010 by remaining term to maturity. The table also illustrates the potential impact to the Fund’s net assets had the prevailing interest rates changed by 1%, assuming a parallel shift in the yield curve, with all other variables held constant. The Fund’s sensitivity to interest rate changes was estimated using the weighted average duration of the bond portfolio. In practice, the actual trading results may differ from these approximate sensitivity analysis amounts and the difference could be material.

Term to Maturity Total Exposure (000s) Bonds 2011 2010 Less than 1 year $ 10,267 $ 645 1-5 years 195,127 179,557 5-10 years 117,809 196,596 > 10 years 94,431 59,507 Total $ 417,634 $ 436,305

Impact on Net Assets (000s) $ 24,975 $ 25,218

Impact on Net Assets (%) 2.23 2.14

108 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. BALANCEDFUNDS TD Dividend Income Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 4,472,972 $ 4,085,349 Interest $ 25,584 $ 30,054 Short-Term Investments 19,300 36,482 Dividends 59,575 44,013 Foreign Currencies 11 188 Foreign Exchange 7,519 1,717 Cash 393 578 Securities Lending 288 298 Interest Receivable 9,169 8,585 Less: Withholding Taxes (30) (21) Dividends Receivable 12,904 11,554 92,936 76,061 Subscriptions Receivable 9,613 8,477 Expenses (Note 5) Receivable for Investment Sales 3,766 0 Management Fees 25,106 22,652 Unrealized Gain on Open Foreign Administration Fees 1,118 965 Exchange Forward Contracts 1,433 3,813 Independent Review Committee Fees 11 9 4,529,561 4,155,026 Bank Charges and Interest 02 Liabilities 26,235 23,628 Accrued Liabilities 4,357 4,304 Less: Waived Expenses (4) (4) Redemptions Payable 3,620 3,530 26,231 23,624 Distributions Payable 7,738 2 Payable for Investment Purchases 22,117 0 Net Investment Income (Loss) 66,705 52,437 Unrealized Loss on Open Foreign Net Realized Gain (Loss) on Exchange Forward Contracts 548 0 Sale of Investments (11,414) (5,187) 38,380 7,836 Net Change in Unrealized Appreciation/ Depreciation of Investments 136,387 (40,322) Net Assets (Note 3) $ 4,491,181 $ 4,147,190 Transaction Costs on Purchase and Sale Net Assets Representing Unitholders’ Equity (Note 4) of Investments (Note 3) (182) (28) Investor Series $ 1,670,357 $ 1,580,829 Net Gain (Loss) on Investments 124,791 (45,537) Institutional Series $ 7,735 $ 7,163 Increase (Decrease) in Net Assets Advisor Series $ 650,678 $ 640,819 from Investment Operations† $ 191,496 $ 6,900 F-Series $ 28,492 $ 26,365 H-Series $ 33,221 $ 31,089 †Increase (Decrease) in Net Assets from Investment Operations S-Series $ 5,789 $ 4,769 Investor Series $ 65,719 $ (41) T-Series $ 212,339 $ 194,136 Institutional Series $ 356 $ 36,369 O-Series $ 1,882,570 $ 1,662,020 Advisor Series $ 26,190 $ (246) $ 4,491,181 $ 4,147,190 F-Series $ 1,284 $ 173 H-Series $ 1,294 $ 19 Number of Units Outstanding S-Series $ 244 $ 17 Investor Series 60,668,138 59,301,719 T-Series $ 8,168 $ (239) Institutional Series 473,002 452,237 O-Series $ 88,241 $ (29,152) Advisor Series 47,330,987 48,144,126 $ 191,496 $ 6,900 F-Series 2,524,391 2,412,029 Increase (Decrease) in Net Assets from Investment Operations – H-Series 2,916,793 2,734,416 Per Unit (Note 3) S-Series 509,139 420,032 Investor Series $ 1.11 $ (0.00) T-Series 18,748,519 17,163,731 Institutional Series $ 0.78 $ 0.12 Advisor Series $ 0.55 $ (0.01) O-Series 171,883,738 156,686,498 F-Series $ 0.52 $ 0.08 Net Assets Per Unit (Note 3) H-Series $ 0.48 $ 0.01 Investor Series $ 27.53 $ 26.66 S-Series $ 0.54 $ 0.05 Institutional Series $ 16.35 $ 15.84 T-Series $ 0.47 $ (0.02) Advisor Series $ 13.75 $ 13.31 O-Series $ 0.55 $ 0.09 F-Series $ 11.29 $ 10.93 H-Series $ 11.39 $ 11.37 S-Series $ 11.37 $ 11.35 T-Series $ 11.33 $ 11.31 O-Series $ 10.95 $ 10.61

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 109 BALANCEDFUNDS TD Dividend Income Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 1,580,829 $ 1,452,651 $ 7,163 $ 696,188 $ 640,819 $ 598,921 Increase (Decrease) in Net Assets from Investment Operations 65,719 (41) 356 36,369 26,190 (246) Capital Unit Transactions† Proceeds from Sale of Units 160,446 145,009 560 42,929 63,975 73,499 Reinvestments of Distributions 13,527 16,712 12 6,351 4,744 6,146 Early Redemption Fees 66 02 22 Amounts Paid on Redemptions (136,023) (121,147) (232) (768,010) (79,769) (69,134) 37,956 40,580 340 (718,728) (11,048) 10,513 Distributions to Unitholders (14,147) (17,386) (124) (6,492) (5,283) (6,794) Increase (Decrease) in Net Assets for the Period 89,528 23,153 572 (688,851) 9,859 3,473 Net Assets, End of the Period $ 1,670,357 $ 1,475,804 $ 7,735 $ 7,337 $ 650,678 $ 602,394 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 59,301,719 58,003,319 452,237 46,793,242 48,144,126 47,893,521 Units Issued 5,830,679 5,711,358 34,182 2,938,478 4,664,776 5,799,236 Units Issued on Reinvestments 487,823 660,265 758 424,790 342,630 486,183 Units Redeemed (4,952,083) (4,771,745) (14,175) (49,657,581) (5,820,545) (5,455,885) Units Outstanding, End of the Period 60,668,138 59,603,197 473,002 498,929 47,330,987 48,723,055

F-Series H-Series S-Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 26,365 $ 21,461 $ 31,089 $ 29,094 $ 4,769 $ 3,446 Increase (Decrease) in Net Assets from Investment Operations 1,284 173 1,294 19 244 17 Capital Unit Transactions† Proceeds from Sale of Units 4,660 5,759 4,738 4,560 1,600 582 Reinvestments of Distributions 304 303 494 471 98 72 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (3,711) (5,379) (3,110) (3,557) (677) (147) 1,253 683 2,122 1,474 1,021 507 Distributions to Unitholders (410) (381) (1,284) (1,203) (245) (173) Increase (Decrease) in Net Assets for the Period 2,127 475 2,132 290 1,020 351 Net Assets, End of the Period $ 28,492 $ 21,936 $ 33,221 $ 29,384 $ 5,789 $ 3,797 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 2,412,029 2,090,406 2,734,416 2,573,682 420,032 305,009 Units Issued 415,549 552,510 409,469 403,897 138,828 51,795 Units Issued on Reinvestments 26,792 29,263 42,547 42,020 8,400 6,476 Units Redeemed (329,979) (510,431) (269,639) (314,028) (58,121) (13,237) Units Outstanding, End of the Period 2,524,391 2,161,748 2,916,793 2,705,571 509,139 350,043

110 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. BALANCEDFUNDS TD Dividend Income Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) T-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 194,136 $ 167,773 $ 1,662,020 $ 401,027 $ 4,147,190 $ 3,370,561 Increase (Decrease) in Net Assets from Investment Operations 8,168 (239) 88,241 (29,152) 191,496 6,900 Capital Unit Transactions† Proceeds from Sale of Units 33,911 22,686 180,151 952,752 450,041 1,247,776 Reinvestments of Distributions 1,638 1,578 28,033 13,732 48,850 45,365 Early Redemption Fees 11 73 16 14 Amounts Paid on Redemptions (17,309) (12,110) (41,688) (9,783) (282,519) (989,267) 18,241 12,155 166,503 956,704 216,388 303,888 Distributions to Unitholders (8,206) (6,992) (34,194) (18,696) (63,893) (58,117) Increase (Decrease) in Net Assets for the Period 18,203 4,924 220,550 908,856 343,991 252,671 Net Assets, End of the Period $ 212,339 $ 172,697 $ 1,882,570 $ 1,309,883 $ 4,491,181 $ 3,623,232 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 17,163,731 14,905,524 156,686,498 40,266,398 Units Issued 2,947,040 2,006,345 16,473,350 92,409,931 Units Issued on Reinvestments 141,985 141,328 2,542,812 1,353,849 Units Redeemed (1,504,237) (1,076,264) (3,818,922) (950,918) Units Outstanding, End of the Period 18,748,519 15,976,933 171,883,738 133,079,260

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 111 BALANCEDFUNDS

TD Dividend Income Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) FINANCIALS – 39.2% No. of Shares 4,361,100 Bank of Montreal $$237,970,924 267,160,986 or Units Description Cost FairValue 5,093,500 The Bank of Nova Scotia 205,547,175 295,473,935 2,364,650 Brookfield Asset Management Inc., Canadian Equities – 75.0% Class “A” LV 49,081,852 75,621,507 ENERGY – 13.1% 3,534,700 Canadian Imperial Bank of Commerce 247,554,425 268,990,670 335,800 AltaGas Ltd. $ 6,780,466 $ 8,636,776 210,000 CI Financial Corp. 5,813,643 4,796,400 230,000 ARC Resources Ltd. 4,653,372 5,743,100 739,500 IGM Financial Inc. 28,469,203 37,337,355 4,989,494 Canadian Oil Sands Limited 82,272,428 138,608,143 447,500 Intact Financial Corporation 11,489,401 24,719,900 1,307,900 Cenovus Energy Inc. 31,406,485 47,502,928 6,663,400 Manulife Financial Corporation 193,358,072 113,477,702 4,131,400 Enbridge Inc. 62,928,147 129,312,820 421,000 National Bank of Canada 26,516,565 32,888,520 1,209,900 EnCana Corporation 30,277,546 35,934,030 1,157,100 PowerCorporationofCanada,SV 37,596,486 31,010,280 823,500 Husky Energy Inc. 21,616,875 21,625,110 5,045,700 Royal Bank of Canada 204,802,910 277,463,043 308,700 Penn West Petroleum Ltd. 10,385,592 6,859,314 1,956,400 Sun Life Financial Inc. 79,995,277 56,676,908 2,170,624 Suncor Energy Inc. 78,110,447 81,832,525 3,344,300 The Toronto-Dominion Bank* 193,154,295 273,496,854 2,213,800 TransCanada Corporation 69,272,103 93,466,636 1,521,350,228 1,759,114,060 1,369,600 Veresen Inc. 11,079,808 19,010,048 TELECOMMUNICATION SERVICES – 5.6% 408,783,269 588,531,430 2,280,858 BCE Inc. 68,782,582 86,239,241 MATERIALS – 1.2% 357,127 Bell Aliant Inc. 11,739,487 10,249,545 45,097 AbitibiBowater Inc. 4,093,250 874,882 1,763,700 Rogers Communications Inc., 321,000 Barrick Gold Corporation 15,461,954 14,018,070 Class “B” NV 61,425,205 67,214,607 338,900 Fibrek Inc. 2,452,386 457,515 1,046,100 TELUS Corporation 34,489,071 55,516,527 817,200 Teck Resources Limited, Class “B” SV 30,062,900 39,952,908 650,000 TELUS Corporation, NV 34,672,324 32,948,500 52,070,490 55,303,375 211,108,669 252,168,420

INDUSTRIALS – 2.5% UTILITIES – 3.7% 936,300 Canadian National Railway Company 58,804,886 72,141,915 200,000 AlgonquinPower&UtilitiesCorp. 1,756,870 1,142,000 513,600 CanadianPacificRailwayLimited 32,648,736 30,841,680 527,400 ATCO Ltd., Class “I” NV 18,424,542 32,946,678 332,600 Progressive Waste Solutions Ltd. 5,813,848 7,982,400 82,700 Atlantic Power Corporation 859,403 1,208,247 97,267,470 110,965,995 1,251,500 Brookfield Infrastructure Partners LP 20,039,786 30,098,575 625,000 Capital Power Corporation 15,000,000 15,618,750 CONSUMER DISCRETIONARY – 2.7% 249,600 Capstone Infrastructure Corporation, 530,000 Cineplex Inc. 5,251,793 14,103,300 Contingency Value Receipts 9,984 0 162,900 Dollarama Inc. 5,300,766 5,310,540 674,600 Emera Inc. 13,649,334 21,324,106 445,000 Magna International Inc. 21,569,588 23,184,500 615,208 Fortis Inc. 12,745,067 19,901,979 950,200 Shaw Communications Inc., 1,332,051 Just Energy Group Inc. 8,548,885 18,915,124 Class “B” NV 18,773,047 20,885,396 1,201,100 TransAlta Corporation 25,878,225 24,706,627 646,800 Thomson Reuters Corporation 25,181,169 23,401,224 116,912,096 165,862,086 606,000 Tim Hortons Inc. 20,634,871 28,512,300 1,734,900 Yellow Media Inc. 21,033,570 4,163,760 ROYALTY/INCOME TRUSTS – 1.5% 117,744,804 119,561,020 738,400 BrookfieldRenewablePowerFund 10,032,662 16,983,200 230,000 CallowayRealEstateInvestmentTrust 4,240,048 5,784,500 CONSUMER STAPLES – 0.9% 492,800 Chartwell Seniors Housing 234,000 METRO Inc., Class “A” SV 10,541,104 11,227,320 Real Estate Investment Trust 5,097,591 4,124,736 100,000 North West Company Inc. 2,198,513 2,022,000 344,200 Chemtrade Logistics Income Fund 4,275,553 4,956,480 685,300 ShoppersDrugMartCorporation 32,688,062 27,206,410 306,500 H&R Real Estate Investment Trust 4,543,027 6,608,140 45,427,679 40,455,730 330,100 InnVestRealEstateInvestmentTrust 2,505,157 2,208,369 337,750 MorguardReal EstateInvestmentTrust 1,613,065 5,221,615 HEALTH CARE – 0.0% 261,200 Primaris Retail Real Estate 215,000 CML HealthCare Inc. 3,047,228 2,005,950 Investment Trust 2,787,741 5,487,812 322,700 Priszm Income Fund 2,148,513 0 595,300 RioCanRealEstateInvestmentTrust 7,350,457 15,400,411 44,593,814 66,775,263

112 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Dividend Income Fund BALANCEDFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

PREFERRED – 4.6% Power Corporation of Canada Bank of Montreal 106,000 Pref. Series “D” $$2,764,040 2,519,620 65,000 Class “B” Pref. Series 5 $$1,777,100 1,678,950 25,000 Pref. Series “F” 1,273,750 1,219,000 150,000 Class “B” Pref. Series 14 3,744,000 3,864,000 Power Financial Corporation 100,000 Class “B” Pref. Series 23 2,500,000 2,686,000 50,000 Pref. Series “E” 1,278,250 1,218,500 The Bank of Nova Scotia 25,000 Pref. Series “H” 632,250 625,750 104,000 Pref. Series 14 2,595,840 2,561,520 150,000 Pref. Series “K” 3,883,360 3,532,500 200,000 Pref. Series 18 5,000,000 5,174,000 25,000 Pref. Series “M” 668,500 674,000 300,000 Pref. Series 30 7,500,000 7,530,000 150,000 Pref. Series “P” 3,750,000 3,862,500 BCE Inc. Royal Bank of Canada 125,000 Pref. Series “AA” 3,187,500 3,087,500 175,000 Pref. Series “AA” 4,099,750 4,256,000 124,000 Pref. Series “AF” 3,099,922 2,994,600 50,000 Pref. Series “AE” 1,072,000 1,215,000 154,800 Pref. Series “AG” 3,780,922 3,724,488 250,000 Pref. Series “AV” 6,802,500 6,857,500 207,600 Pref. Series “AI” 5,163,380 4,930,500 50,000 Pref. Series “W” 1,297,000 1,233,500 139,000 Pref. Series “Y” 3,406,060 3,308,200 Split Yield Corporation Brookfield Asset Management Inc. 31,900 Class “I” Pref. 626,817 604,505 100,000 Class “A” Pref. Series 17 2,514,000 2,177,000 Sun Life Financial Inc. 133,000 Pref. Series 2 2,808,570 2,537,640 300,000 Class “A” Pref. Series “6R” 7,544,000 8,031,000 215,000 Pref. Series 10 5,726,850 5,407,250 50,000 Class “D” Pref. Series 4 1,118,975 1,101,500 298,000 Pref. Series 13 4,264,486 5,673,920 Thomson Reuters Corporation 200,000 Pref. Series 18 3,993,000 4,342,000 108,000 Pref. Series “B” 2,666,088 2,512,080 200,000 Pref. Series 24 5,000,000 5,100,000 TransCanada Corporation Brookfield Properties Corporation 273,000 Pref. Series 1 6,825,000 7,043,400 435,000 Class AAA Pref. Series “F” 11,758,650 10,983,750 250,000 Pref. Series 5 6,250,000 6,375,000 127,300 Class AAA Pref. Series “I” 3,295,736 3,190,138 150,000 Pref. Series “P” 3,750,000 3,730,500 Westcoast Energy Inc. 75,000 Pref. Series 7 1,882,500 1,818,750 Brookfield Renewable Power Preferred Equity Inc. 85,000 Pref. Series 8 2,173,450 2,062,100 200,000 Pref. Series “I” 5,000,000 5,122,000 Yellow Media Inc. Canadian Imperial Bank of Commerce 150,000 Pref. Series 1 3,686,000 3,382,500 175,000 Class “A” Pref. Series 29 4,501,250 4,385,500 221,000 Class “A” Pref. Series 30 5,556,080 5,681,910 207,295,056 206,107,472 19,900 Class “A” Pref. Series 37 534,066 546,852 Total Canadian Equities 2,825,600,803 3,366,850,801 81,000 Pref. Series 33 2,186,190 2,139,210 E-L Financial Corporation Limited U.S. Equities – 0.2% 100,000 Class “G” Pref. Series 2 2,088,085 2,100,000 ENERGY – 0.1% 175,900 Pref. Series 1 4,653,861 3,991,171 114,546 Spectra Energy Corp. 3,079,693 3,026,985 Fortis Inc. INDUSTRIALS – 0.0% 55,000 Pref. Series “C” 1,465,950 1,420,650 18,023 Quad/Graphics Inc. 932,579 674,780 472,800 Pref. Series “E” 12,712,182 12,671,040 100,000 Pref. Series “G” 2,500,000 2,595,000 UTILITIES – 0.1% 200,000 Pref. Series “H” 5,000,000 5,050,000 213,093 Duke Energy Corporation 4,088,710 3,865,785

George Weston Limited PREFERRED – 0.0% 50,000 Pref. Series “IV” 1,297,000 1,169,500 Ally Financial Inc. Great-West Lifeco Inc. 1,040 Pref. Series “144A” 1,094,867 942,658 119,900 Pref. Series “G” 3,102,294 2,956,734 Total U.S. Equities 9,195,849 8,510,208 50,000 Pref. Series “I” 1,002,000 1,121,000 Industrial Alliance Insurance and Financial Services Inc. 175,000 Pref. Series “A” 4,097,000 3,958,500 Manulife Financial Corporation 127,400 Class “A” Pref. Series 1 3,207,652 3,224,494 50,000 Class “A” Pref. Series 2 1,262,450 1,132,000 50,000 Class “A” Pref. Series 4 1,317,000 1,355,000 25,000 Pref. Series 1 651,750 660,250

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 113 TD Dividend Income Fund BALANCEDFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Canadian Bonds – 22.4% Caisse centrale Desjardins FEDERAL BONDS & GUARANTEES – 4.5% $$350,000 FloatingRatedueFebruary11,2014 350,000$ 357,816 Canada Housing Trust No. 1 3,600,000 3.114% due December 04, 2014 3,604,680 3,644,265 $$$ 10,000,000 3.75% due March 15, 2020 9,900,800$ 10,322,935 5,000,000 3.788% due June 08, 2015 5,000,000 5,156,163 Canada Post Corporation Canadian Capital Auto Receivables Asset Trust II 4,900,000 4.08% due July 16, 2025 4,897,256 5,112,032 696,852 2.002% due November 17, 2012 696,852 697,988 1,800,000 2.632% due August 17, 2014 1,800,000 1,826,946 Government of Canada 3,900,000 3.321% due September 17, 2016 3,900,000 3,966,417 11,000,000 1.50% due March 01, 2012 11,011,080 11,024,551 5,000,000 2.00% due December 01, 2014 4,832,500 5,004,075 Canadian Capital Auto Receivables Asset Trust III 2,000,000 4.25% due June 01, 2018 2,165,000 2,194,555 4,183,443 2.716% due February 18, 2014 4,221,999 4,195,784 54,500,000 3.75% due June 01, 2019 56,069,692 57,837,443 Canadian Credit Card Trust 17,000,000 3.50% due June 01, 2020 17,254,335 17,631,204 8,900,000 3.444% due July 24, 2015 8,900,000 9,074,476 34,400,000 3.25% due June 01, 2021 34,539,746 34,800,187 Canadian Imperial Bank of Commerce 5,000,000 5.75% due June 01, 2029 6,362,000 6,518,284 5,000,000 5.00% due September 10, 2012 5,365,400 5,190,421 8,000,000 5.75% due June 01, 2033 10,368,000 10,682,425 5,000,000 4.95% due January 23, 2014 5,396,000 5,322,442 25,000,000 5.00% due June 01, 2037 30,675,849 30,966,126 10,000,000 3.30% due November 19, 2014 10,163,300 10,212,378 10,000,000 4.00% due June 01, 2041 10,854,000 10,830,000 4,000,000 3.10% due March 02, 2015 3,992,480 4,049,251 198,930,258 202,923,817 6,200,000 3.40% due January 14, 2016 6,194,218 6,285,020

PROVINCIAL BONDS – 2.4% Canadian Natural Resources Limited Province of Alberta 5,000,000 Callable4.95%dueJune01,2015 5,217,300 5,360,262 19,334,000 4.00% due December 01, 2019 19,455,418 20,130,966 Canadian Tire Corporation Limited Province of British Columbia 2,000,000 4.95% due June 01, 2015 2,123,600 2,135,267 20,000,000 5.70% due June 18, 2029 22,566,000 23,816,172 Cara Operations Ltd. Province of Manitoba 3,125,000 9.125% due December 01, 2015 3,125,000 3,271,484 12,000,000 4.25% due March 05, 2039 11,954,760 11,803,080 CARDS II Trust Province of Ontario 8,000,000 3.048% due May 15, 2013 8,000,000 8,135,718 20,000,000 5.85% due March 08, 2033 22,984,800 24,254,907 5,000,000 3.333% due May 15, 2016 5,000,000 5,026,729 20,000,000 5.60% due June 02, 2035 22,556,400 23,668,262 Cascades Inc. 2,750,000 4.60% due June 02, 2039 2,692,635 2,857,649 3,000,000 7.75% due December 15, 2016 2,960,100 3,145,500 102,210,013 106,531,036 Caterpillar Financial Services Limited 3,100,000 4.94% due June 01, 2012 3,282,187 3,189,419 CORPORATE BONDS – 15.5% 5,000,000 5.20% due June 03, 2013 5,385,650 5,281,444 Bank of Montreal 3,000,000 Callable4.78%dueApril30,2014 3,229,800 3,191,463 CHC Helicopter SA (USD) 5,000,000 3.49% due June 10, 2016 5,000,000 5,071,765 3,500,000 9.25% due October 15, 2020 3,546,423 3,046,456 15,000,000 Callable6.02%dueMay02,2018 17,053,650 17,150,953 CIBC Capital Trust The Bank of Nova Scotia 4,752,000 Callable9.976%dueJune30,2019 4,945,620 6,215,752 3,000,000 3.43% due July 16, 2014 3,061,080 3,079,915 Claret Trust 30,000,000 3.35% due November 18, 2014 30,079,411 30,675,372 555,292 Callable4.712%dueDecember15,2012 579,455 563,373 3,000,000 4.10% due June 08, 2017 2,999,640 3,100,739 Corus Entertainment Inc. BCE Inc. 2,750,000 7.25% due February 10, 2017 2,764,875 2,915,000 3,500,000 4.85% due June 30, 2014 3,692,465 3,703,421 Daimler Canada Finance Inc. 4,600,000 3.60% due December 02, 2015 4,592,272 4,654,654 2,750,000 3.16% due April 14, 2014 2,749,698 2,778,467 bcIMC Realty Corporation Domtar Corporation (USD) 1,000,000 Callable 5.25% due September 19, 2012 1,075,298 1,038,854 6,500,000 Callable 5.375% due December 01, 2013 5,965,506 6,613,716 8,200,000 3.38% due January 29, 2015 8,158,300 8,353,747 Eagle Credit Card Trust 5,000,000 Callable4.65%dueFebruary10,2015 5,272,650 5,293,430 4,100,000 3.474% due December 17, 2015 4,100,000 4,169,812 Bell Canada Enbridge Gas Distribution Inc. 5,700,000 3.65% due May 19, 2016 5,695,896 5,735,367 2,900,000 4.04% due November 23, 2020 2,898,811 2,908,807 BMW Canada Inc. Enbridge Pipelines Inc. 3,300,000 3.22% due March 28, 2013 3,299,637 3,357,330 6,000,000 6.62% due November 19, 2018 7,157,700 7,140,075 5,500,000 2.76% due April 01, 2014 5,498,900 5,527,770 1,400,000 4.49% due November 12, 2019 1,398,880 1,461,050 3,700,000 3.15% due April 01, 2015 3,699,852 3,735,135 8,900,000 4.45% due April 06, 2020 8,896,440 9,197,131 Bombardier Inc. 4,000,000 5.33% due April 06, 2040 3,999,400 4,252,796 7,050,000 Callable 7.35% due December 22, 2026 6,182,750 7,214,123 ENMAX Corporation Bombardier Inc. (USD) 4,800,000 6.15% due June 19, 2018 5,280,261 5,270,189 13,167,000 7.50% due March 15, 2018 13,573,955 14,222,783 Fairfax Financial Holdings Limited 6,750,000 7.75% due March 15, 2020 6,882,300 7,323,792 7,500,000 7.50% due August 19, 2019 7,472,925 8,187,289 Bowater Incorporated 3,600,000 Callable 10.85% due November 30, 2014 00

114 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Dividend Income Fund BALANCEDFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

First Capital Realty Inc. Real Estate Asset Liquidity Trust $$2,000,000 Callable5.36%dueJanuary31,2014 2,075,400$ 2,093,379 $$4,157,571 Callable4.449%dueAugust12,2016 4,241,999$ 4,313,979 8,900,000 5.95% due June 01, 2015 9,363,436 9,538,106 RioCan Real Estate Investment Trust 4,440,000 5.70% due November 30, 2017 4,469,402 4,712,882 9,000,000 Callable 5.70% due September 11, 2012 9,439,200 9,350,771 Ford Auto Securitization Trust 2,600,000 Callable4.499%dueJanuary21,2016 2,601,950 2,654,178 310,900 1.517% due October 15, 2012 310,900 310,888 Rogers Communications Inc. 400,000 2.75% due November 15, 2013 400,000 403,104 3,900,000 5.80% due May 26, 2016 4,300,832 4,263,377 3,000,000 2.296% due July 15, 2014 3,000,000 3,025,650 5,400,000 Callable5.34%dueMarch22,2021 5,397,516 5,437,793 2,600,000 2.431% due November 15, 2014 2,600,000 2,625,376 Rogers Communications Inc. (USD) 300,000 3.836% due January 15, 2015 300,000 309,644 2,000,000 Callable6.375%dueMarch01,2014 2,113,824 2,163,377 2,400,000 3.02% due February 15, 2016 2,400,000 2,438,520 Royal Bank of Canada Ford Credit Canada Limited 10,000,000 3.18% due March 16, 2015 9,996,300 10,178,435 11,412,000 4.875% due March 17, 2014 11,417,530 11,438,225 6,300,000 4.35% due June 15, 2015 6,297,732 6,548,828 3,000,000 7.375% due August 18, 2015 3,242,813 3,237,500 6,000,000 Callable 3.18% due November 02, 2015 5,998,320 5,942,432 GE Capital Canada Funding Company 5,500,000 3.36% due January 11, 2016 5,497,745 5,567,379 12,000,000 5.29% due August 17, 2012 12,283,500 12,458,847 Scotiabank Tier 1 Trust 1,000,000 4.375% due September 28, 2012 975,860 1,029,518 2,100,000 Callable7.802%dueJune30,2019 2,459,604 2,504,998 5,500,000 5.15% due June 06, 2013 5,506,875 5,791,229 2,000,000 2.95% due February 10, 2014 1,997,660 2,018,277 Shaw Communications Inc. 4,500,000 4.40% due June 01, 2014 4,354,650 4,703,692 258,000 Callable6.10%dueNovember16,2012 256,065 271,504 4,000,000 5.53% due August 17, 2017 3,982,400 4,344,947 12,255,000 Callable 7.50% due November 20, 2013 13,242,917 13,574,618 5,500,000 Callable6.15%dueMay09,2016 5,876,480 6,016,258 Golden Credit Card Trust 5,500,000 5.421% due April 15, 2013 6,002,590 5,821,325 Sherritt International Corporation 10,000,000 3.824% due May 15, 2015 10,000,000 10,354,531 10,200,000 Callable 7.75% due October 15, 2015 10,137,500 11,000,700 Holcim Finance (Canada) Inc. Shoppers Drug Mart Corporation 1,500,000 5.90% due June 21, 2013 1,497,915 1,583,283 3,600,000 5.19% due January 20, 2014 3,910,626 3,827,958 Honda Canada Finance Inc. SNC-Lavalin Group Inc. 8,000,000 5.613% due September 12, 2013 8,570,800 8,526,322 3,000,000 6.19% due July 03, 2019 3,222,780 3,352,618 HSBC Bank Canada Sun Life Capital Trust Il 4,100,000 3.86% due May 21, 2015 4,098,893 4,246,729 6,950,000 Callable 5.863% due December 31, 2019 6,950,000 7,345,388 4,700,000 3.558% due October 04, 2017 4,700,000 4,691,680 TD Capital Trust IV* Husky Energy Inc. 3,000,000 Callable6.631%dueJune30,2021 3,323,558 3,354,502 1,300,000 3.75% due March 12, 2015 1,298,999 1,336,829 Teck Resources Limited (USD) Hydro One Inc. 558,000 9.75% due May 15, 2014 691,683 651,436 10,000,000 3.13% due November 19, 2014 10,043,000 10,189,483 TELUS Corporation 7,600,000 4.40% due June 01, 2020 7,596,732 7,861,906 6,000,000 4.95% due May 15, 2014 6,322,976 6,352,697 5,000,000 Callable4.89%dueMarch13,2037 4,739,381 4,971,042 900,000 4.95% due March 15, 2017 935,595 950,014 Institutional Mortgage Securities Canada Inc. 2,600,000 5.05% due December 04, 2019 2,610,686 2,663,932 1,400,000 4.697% due February 12, 2021 1,399,986 1,438,360 1,300,000 5.05% due July 23, 2020 1,296,672 1,320,824 Iron Mountain Nova Scotia Funding Company Tembec Industries Inc. (USD) 5,500,000 Callable7.50%dueMarch15,2017 5,372,500 5,652,180 2,500,000 Callable 11.25% due December 15, 2018 2,579,845 2,522,640 John Deere Credit Inc. Teranet Holdings LP 6,000,000 3.90% due July 29, 2013 6,246,960 6,205,336 5,700,000 4.807% due December 16, 2020 5,599,965 5,743,852 4,600,000 3.50% due June 23, 2014 4,594,204 4,726,300 Thomson Reuters Corporation Manulife Financial Capital Trust II 11,000,000 6.00% due March 31, 2016 12,334,195 12,295,406 8,500,000 Callable 7.405% due December 31, 2019 9,800,671 9,678,825 Thomson Reuters Corporation (USD) Master Credit Card Trust 4,000,000 Callable5.70%dueOctober01,2014 4,045,658 4,319,540 5,000,000 5.237% due May 21, 2013 5,459,500 5,285,555 Toronto Hydro Corporation Merrill Lynch Financial Assets Inc. 5,400,000 6.11% due May 06, 2013 5,915,052 5,788,982 2,971,247 Callable4.38%dueAugust12,2015 3,009,554 3,071,511 The Toronto-Dominion Bank* 2,804,000 Callable 4.621% due November 12, 2015 2,736,368 2,916,373 10,000,000 4.854% due February 13, 2013 10,726,000 10,478,519 National Bank of Canada 3,800,000 Callable 3.367% due November 02, 2015 3,800,000 3,792,012 9,500,000 3.147% due February 11, 2015 9,500,000 9,626,284 Toyota Credit Canada Inc. 4,500,000 4.03% due May 26, 2015 4,500,000 4,691,849 5,000,000 5.05% due July 27, 2012 5,322,260 5,163,264 Ontrea Inc. 3,200,000 3.55% due February 22, 2016 3,196,512 3,244,757 2,892,450 Callable4.619%dueApril09,2018 2,892,451 2,942,779 TransCanada PipeLines Limited RBC Capital Trust, Conv. 5,000,000 5.05% due February 14, 2014 5,437,726 5,321,867 5,000,000 Callable 4.87% due December 31, 2015 5,096,000 5,275,323

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 115 TD Dividend Income Fund BALANCEDFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Vermilion Energy Inc. Dana Holding Corporation (USD) $$1,900,000 Callable6.50%dueFebruary10,2016 1,905,625$ 1,932,540 300,000 Callable6.50%dueFebruary15,2019$ 285,209$ 286,442 Videotron Ltee Dole Food Company (USD) 500,000 6.875% due July 15, 2021 500,000 502,500 1,000,000 8.00% due October 01, 2016 1,031,960 1,010,261 VW Credit Canada Inc. EchoStar DBS Corporation (USD) 4,000,000 2.55% due November 18, 2013 3,986,986 4,016,371 7,280,000 Callable6.375% dueOctober01, 2011 7,800,501 7,082,631 2,000,000 3.60% due February 01, 2016 1,998,100 2,037,724 7,250,000 Callable6.625% dueOctober01, 2014 7,417,497 7,359,356 Wells Fargo Financial Canada Corporation El Paso Corporation (USD) 1,000,000 4.45% due September 13, 2011 991,600 1,005,453 1,000,000 6.875% due June 15, 2014 1,044,300 1,077,705 4,000,000 Callable 4.33% due December 06, 2013 3,897,840 4,159,873 Gannett Co., Inc. (USD) 9,000,000 3.97% due November 03, 2014 9,006,720 9,265,629 500,000 10.00% due April 01, 2016 568,590 554,559 4,400,000 3.70% due March 30, 2016 4,398,196 4,436,411 The Goodyear Tire & Rubber Company (USD) West Fraser Timber Co., Ltd. (USD) 522,000 10.50% due May 15, 2016 586,096 566,373 5,825,000 Callable5.20%dueOctober15,2014 4,910,342 5,660,056 1,250,000 8.25% due August 15, 2020 1,300,833 1,302,008 Westcoast Energy Inc. HCA Inc. (USD) 1,200,000 4.57% due July 02, 2020 1,199,904 1,234,319 500,000 9.25% due November 15, 2016 545,695 511,761 682,194,632 696,779,016 The Hertz Corporation (USD) Total Canadian Bonds 983,334,903 1,006,233,869 438,000 Callable8.875%dueJanuary01,2014 425,188 432,990 Hughes Network Systems LLC/ Global Bonds – 2.0% HNS Finance Corp. (USD) AUSTRALIA – 0.0% 500,000 Callable 9.50% due April 15, 2014 520,675 494,281 FMG Resources (August 2006) Pty Ltd. (USD) International Lease Finance Corporation (USD) 600,000 Callable6.875%dueFebruary01,2018 605,195 587,350 800,000 6.50% due September 01, 2014 834,335 817,854 750,000 8.75% due March 15, 2017 814,436 791,150 CAYMAN ISLANDS – 0.1% Seagate HDD Cayman (USD) Jabil Circuit Inc. (USD) 750,000 7.75% due December 15, 2018 762,276 759,504 1,700,000 5.625% due December 15, 2020 1,687,670 1,606,774 765,000 6.875% due May 01, 2020 758,593 732,271 Lamar Media Corp. (USD) Seagate Technology HDD Holdings (USD) 1,500,000 Callable6.625%dueAugust15,2015 1,452,234 1,462,950 2,578,000 Callable6.80%dueOctober01,2016 2,667,389 2,616,886 LBI Escrow Corporation (USD) Seagate Technology International (USD) 100,000 8.00% due November 01, 2017 102,535 107,295 144,000 Callable10.00%dueMay01,2014 165,998 161,102 Levi Strauss & Co. (USD) 4,354,256 4,269,763 1,500,000 7.625% due May 15, 2020 1,456,436 1,446,675 MetroPCS Wireless Inc. (USD) UNITED STATES – 1.8% 1,000,000 7.875% due September 01, 2018 1,023,241 1,021,111 AK Steel Holding Corporation (USD) 2,417,000 6.625% due November 15, 2020 2,369,829 2,307,765 500,000 Callable7.625%dueMay15,2020 505,624 494,281 Novelis Inc. (USD) Ally Financial Inc. (USD) 2,878,000 Callable7.25%dueFebruary15,2015 3,305,580 2,793,035 800,000 6.25% due December 01, 2017 768,823 766,414 1,350,000 7.50% due September 15, 2020 1,366,040 1,360,598 NRG Energy Inc. (USD) 2,500,000 Callable7.625%dueJanuary15,2018 2,500,252 2,417,153 Appleton Papers Inc. (USD) 9,300,000 7.625% due May 15, 2019 8,986,534 8,924,538 2,500,000 10.50% due June 15, 2015 2,603,810 2,513,598 Phillips-Van Heusen Corporation (USD) Calpine Corporation (USD) 250,000 7.375% due May 15, 2020 275,103 257,990 1,000,000 7.875% due July 31, 2020 1,049,568 1,007,850 Pinafore Inc. (USD) Case New Holland Inc. (USD) 2,100,000 9.00% due October 01, 2018 2,201,278 2,182,309 1,500,000 Callable7.25%dueJanuary15,2016 1,496,068 1,575,067 R.R. Donnelley & Sons Company (USD) CF Industries Inc. (USD) 2,500,000 Callable8.60%dueAugust15,2016 2,701,092 2,620,676 1,000,000 6.875% due May 01, 2018 1,053,286 1,093,445 Reynolds Group Issuer Inc. (USD) Chrysler Group LLC/CG Co-Issuer Inc. (USD) 625,000 7.125% due April 15, 2019 631,750 598,260 3,000,000 8.00% due June 15, 2019 2,868,897 2,842,716 Sears Holdings Corporation (USD) CIT Group Inc. (USD) 2,500,000 6.625% due October 15, 2018 2,325,119 2,236,318 418,254 7.00% due May 01, 2014 427,212 408,427 Sprint Capital Corporation (USD) CNH Global NV (USD) 2,670,000 Callable8.375%dueMarch15,2012 2,848,644 2,678,085 754,000 Callable7.875%dueDecember01,2017 798,795 799,915 Sprint Nextel Corporation (USD) Constellation Brands Inc. (USD) 3,650,000 Callable 6.00% due December 01, 2016 3,505,157 3,515,842 1,333,000 8.375% due December 15, 2014 1,442,775 1,462,383 500,000 Callable7.25%dueSeptember01,2016 528,536 526,831 Steel Dynamics Inc. (USD) 835,000 6.75% due April 01, 2015 826,161 821,422 Crown Americas LLC/ Crown Americas Capital Corp III (USD) 250,000 Callable6.25%dueFebruary01,2021 248,213 243,524

116 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Dividend Income Fund BALANCEDFUNDS

Par Value Description Cost FairValue

SunGard Data Systems Inc. (USD) 200,000 7.375% due November 15, 2018 $$201,910 192,890 Terex Corporation (USD) 500,000 Callable8.00%dueNovember15,2017 501,174 494,281 United States Steel Corporation (USD) 1,900,000 Callable6.05%dueJune01,2017 1,935,311 1,818,712 2,645,000 Callable7.00%dueFebruary01,2018 2,651,572 2,576,480 Valeant Pharmaceuticals International (USD) 1,550,000 Callable6.50%dueJuly15,2016 1,511,103 1,478,080 1,250,000 Callable7.25%dueJuly15,2022 1,192,464 1,169,396 WMG Acquisition Corp. (USD) 500,000 Callable7.375%dueApril15,2014 487,357 489,458 85,012,468 82,599,915

SUPRANATIONALS – 0.1% European Investment Bank 4,000,000 4.60% due January 30, 2037 3,647,200 3,920,154

Total Global Bonds 93,619,119 91,377,182

Transaction Costs (Note 3) (1,592,091) 0

TOTALINVESTMENT PORTFOLIO – 99.6% 3,910,158,583 4,472,972,060 SHORT-TERM INVESTMENTS (CAD) – 0.4% 16,600,000 16,600,000 SHORT-TERM INVESTMENTS (USD) – 0.1% 2,700,460 2,700,460 FOREIGN CURRENCIES – 0.0% 10,864 10,864 FORWARDCONTRACTS (SCHEDULE 1) – 0.0% 0 885,246 OTHER NET LIABILITIES – (0.1%) (1,972,306) (1,987,586)

TOTAL NET ASSETS – 100.0% $ 3,927,497,601 $ 4,491,181,044

* Related party to the Fund as an affiliated entity of TD Asset Management Inc.

August 31, 2011 19,490,000 USD $ 18,827,483 19,102,929 CAD $ 19,102,929 0.98014 $ 275,446 August 31, 2011 18,290,000 USD 17,668,274 17,926,944 CAD 17,926,944 0.98015 258,670 August 31, 2011 13,302,000 USD 12,849,830 13,036,492 CAD 13,036,492 0.98004 186,662 September 30, 2011 30,000,000 USD 29,001,633 29,463,298 CAD 29,463,298 0.98211 461,665 September 30, 2011 16,525,000 USD 15,975,066 16,225,898 CAD 16,225,898 0.98190 250,832 $ 94,322,286 $ 95,755,561 $ 1,433,275

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 29, 2011 6,815,000 USD $ 6,577,668 6,495,377 CAD $ 6,495,377 0.95310 $ (82,291) July 29, 2011 18,500,000 USD 17,855,737 17,632,831 CAD 17,632,831 0.95313 (222,906) July 29, 2011 20,152,000 USD 19,450,207 19,207,375 CAD 19,207,375 0.95312 (242,832) $ 43,883,612 $ 43,335,583 $ (548,029)

TOTALNUMBEROFCONTRACTS: 8 NETAPPRECIATION $ 885,246

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 117 TD Dividend Income Fund BALANCEDFUNDS

Percentage of Percentage of Common Total Bonds (%) Total Net Assets (%) Shares Preferred Credit Rating° 2011 2010 2011 2010 Balance at December 31, 2010 $ 10 $0 AAA 31.10 37.67 7.60 9.72 Purchases 10 0 AA 25.58 24.69 6.25 6.37 Net Transfers In (Out) (10) 0 A 15.87 13.23 3.88 3.41 Gains (Losses) BBB 11.98 11.55 2.93 2.98 Net Realized on Sale of Investments 0 (7,788) BB 10.14 9.12 2.48 2.35 Net Change in Unrealized Appreciation/ B 5.33 3.67 1.30 0.95 Depreciation of Investments (10) 7,788 CCC 0.00 0.07 0.00 0.02 Balance at June 30, 2011 $0$0

Total 100.00 100.00 24.44 25.80 Total change in unrealized for assets ° Credit ratings are obtained from Standard & Poor’s, Moody’s or DBRS rating agencies. held at June 30, 2011 $ (10) $0 Common Interest Rate Risk (Note 11) Shares Bonds Preferred The table below summarizes the Fund’s exposure to interest rate risk as at June 30, 2011 Balance at December 31, 2009 $ 10 $0$16 and December 31, 2010 by remaining term to maturity. The table also illustrates the potential Sales 0 (557) 0 impact to the Fund’s net assets had the prevailing interest rates changed by 1%, assuming a parallel shift in the yield curve, with all other variables held constant. The Fund’s sensitivity Gains (Losses) to interest rate changes was estimated using the weighted average duration of the bond Net Realized on Sale of Investments 0 557 0 portfolio. In practice, the actual trading results may differ from these approximate sensitivity Net Change in Unrealized Appreciation/ analysis amounts and the difference could be material. Depreciation of Investments 00(16) Balance at December 31, 2010 $ 10 $0$0 Term to Maturity Total Exposure (000s) Bonds 2011 2010 Total change in unrealized for assets Less than 1 year $ 24,980 $ 30,438 held at December 31, 2010 $0$0$(16) 1-5 years 526,318 512,372 5-10 years 370,420 380,437 Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) > 10 years 175,893 146,772 The table below summarizes cash flows associated with the maturities of the Fund’s financial liabilities as at June 30, 2011 and December 31, 2010: Total $ 1,097,611 $ 1,070,019 Less than Impact on Net Assets (000s) $ 63,222 $ 58,316 3 months Impact on Net Assets (%) 1.41 1.41 2011 2010 Accounts payable and other liabilities $ 37,832 $ 7,836 Financial Instruments by the Level in the Fair Value Hierarchy Forward Contracts 548 0 (in 000s) (Note 11) $ 38,380 $ 7,836 The table below illustrates the classification of the Fund’s financial instruments within the fair value hierarchy as at June 30, 2011 and December 31, 2010:

Level1 Level2 Level3 Total June 30, 2011 CommonShares $ 3,168,311 $0$0$3,168,311 Preferred Shares 207,050 00207,050 Short-Term Investments 0 19,300 0 19,300 Bonds 0 1,097,611 0 1,097,611 Forward Contracts 0 1,433 0 1,433 3,375,361 1,118,344 0 4,493,705 Forward Contracts 0 (548) 0 (548) $ 3,375,361 $ 1,117,796 $0$4,493,157

Preferred equity positions with a fair value of $943 were transferred from Level 2 to Level 1 during the period as a result of increased activity in the market for those securities.

December 31, 2010 CommonShares $ 2,804,793 $0$10 $ 2,804,803 Preferred Shares 209,550 977 0 210,527 Bonds and Short-Term Investments 0 1,106,501 0 1,106,501 Forward Contracts 0 3,813 0 3,813 $3,014,343 $1,111,291 $ 10 $4,125,644

During the period, transfers between Level 1 and Level 2 were nil.

118 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. CANADIANEQUITYFUNDS TD Dividend Growth Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 5,331,040 $ 4,668,561 Interest $ 1,352 $ 13,105 Short-Term Investments 40,368 45,062 Dividends 88,294 60,392 Foreign Currencies 0 168 Securities Lending 290 375 Cash 553 193 Less: Withholding Taxes (16) (5) Dividends Receivable 18,938 16,762 89,920 73,867 Subscriptions Receivable 11,038 6,135 Expenses (Note 5) Receivable for Investment Sales 3,966 0 Management Fees 37,869 30,263 5,405,903 4,736,881 Administration Fees 1,682 1,328 Liabilities Independent Review Committee Fees 13 10 Foreign Currencies Overdraft 302 0 39,564 31,601 Accrued Liabilities 6,569 6,281 Less: Waived Expenses (3) (2) Redemptions Payable 5,722 5,052 39,561 31,599 Distributions Payable 1,744 0 Payable for Investment Purchases 25,735 0 Net Investment Income (Loss) 50,359 42,268 40,072 11,333 Net Realized Gain (Loss) on Sale of Investments (2,361) (263) Net Assets (Note 3) $ 5,365,831 $ 4,725,548 Net Change in Unrealized Appreciation/ Net Assets Representing Unitholders’ Equity (Note 4) Depreciation of Investments 169,386 (109,475) Investor Series $ 2,517,662 $ 2,307,137 Transaction Costs on Purchase and Sale Institutional Series $ 12,733 $ 13,411 of Investments (Note 3) (375) (381) Advisor Series $ 1,206,889 $ 1,136,407 Net Gain (Loss) on Investments 166,650 (110,119) F-Series $ 64,102 $ 59,984 Increase (Decrease) in Net Assets H-Series $ 15,304 $ 13,400 from Investment Operations† $ 217,009 $ (67,851) S-Series $ 7,033 $ 5,486 T-Series $ 156,078 $ 127,160 †Increase (Decrease) in Net Assets from Investment Operations O-Series $ 1,386,030 $ 1,062,563 Investor Series $ 99,532 $ (38,036) $ 5,365,831 $ 4,725,548 Institutional Series $ 685 $ 16,580 Advisor Series $ 48,748 $ (19,102) Number of Units Outstanding F-Series $ 3,009 $ (661) Investor Series 45,267,137 43,241,552 H-Series $ 545 $ (261) Institutional Series 576,945 633,607 S-Series $ 264 $ (83) Advisor Series 59,700,090 58,590,537 T-Series $ 5,436 $ (2,020) F-Series 3,068,103 2,993,656 O-Series $ 58,790 $ (24,268) H-Series 1,337,482 1,175,770 $ 217,009 $ (67,851) S-Series 617,275 483,327 Increase (Decrease) in Net Assets from Investment Operations – T-Series 13,691,765 11,195,829 Per Unit (Note 3) Investor Series $ 2.33 $ (0.92) O-Series 114,585,293 91,675,785 Institutional Series $ 1.09 $ (0.19) Net Assets Per Unit (Note 3) Advisor Series $ 0.84 $ (0.35) Investor Series $ 55.62 $ 53.35 F-Series $ 0.99 $ (0.24) Institutional Series $ 22.07 $ 21.17 H-Series $ 0.50 $ (0.31) Advisor Series $ 20.22 $ 19.40 S-Series $ 0.57 $ (0.23) T-Series $ 0.50 $ (0.26) F-Series $ 20.89 $ 20.04 O-Series $ 0.63 $ (0.08) H-Series $ 11.44 $ 11.40 S-Series $ 11.39 $ 11.35 T-Series $ 11.40 $ 11.36 O-Series $ 12.10 $ 11.59

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 119 CANADIANEQUITYFUNDS TD Dividend Growth Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 2,307,137 $ 1,960,958 $ 13,411 $ 297,536 $ 1,136,407 $ 954,473 Increase (Decrease) in Net Assets from Investment Operations 99,532 (38,036) 685 16,580 48,748 (19,102) Capital Unit Transactions† Proceeds from Sale of Units 314,508 305,674 818 17,114 149,779 175,258 Reinvestments of Distributions 2,842 11,756 67 1,849 932 5,063 Early Redemption Fees 21 20 01 10 10 Amounts Paid on Redemptions (203,474) (165,781) (2,139) (326,832) (128,000) (101,569) 113,897 151,669 (1,254) (307,868) 22,721 78,762 Distributions to Unitholders (2,904) (12,015) (109) (1,906) (987) (5,311) Increase (Decrease) in Net Assets for the Period 210,525 101,618 (678) (293,194) 70,482 54,349 Net Assets, End of the Period $ 2,517,662 $ 2,062,576 $ 12,733 $ 4,342 $ 1,206,889 $ 1,008,822 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 43,241,552 39,605,657 633,607 15,176,825 58,590,537 53,027,948 Units Issued 5,627,457 6,077,432 36,612 883,794 7,394,371 9,600,319 Units Issued on Reinvestments 50,858 235,978 2,956 89,790 46,028 279,750 Units Redeemed (3,652,730) (3,303,395) (96,230) (15,923,730) (6,330,846) (5,570,345) Units Outstanding, End of the Period 45,267,137 42,615,672 576,945 226,679 59,700,090 57,337,672

F-Series H-Series S-Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 59,984 $ 47,355 $ 13,400 $ 7,627 $ 5,486 $ 3,091 Increase (Decrease) in Net Assets from Investment Operations 3,009 (661) 545 (261) 264 (83) Capital Unit Transactions† Proceeds from Sale of Units 10,101 10,809 4,453 4,346 2,564 2,054 Reinvestments of Distributions 387 536 242 177 149 90 Early Redemption Fees 10 00 00 Amounts Paid on Redemptions (8,956) (5,795) (2,777) (797) (1,134) (280) 1,533 5,550 1,918 3,726 1,579 1,864 Distributions to Unitholders (424) (587) (559) (398) (296) (190) Increase (Decrease) in Net Assets for the Period 4,118 4,302 1,904 3,067 1,547 1,591 Net Assets, End of the Period $ 64,102 $ 51,657 $ 15,304 $ 10,694 $ 7,033 $ 4,682 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 2,993,656 2,547,416 1,175,770 674,178 483,327 274,036 Units Issued 481,502 572,429 380,331 380,748 218,465 183,208 Units Issued on Reinvestments 18,258 28,575 20,563 15,793 12,737 8,083 Units Redeemed (425,313) (305,012) (239,182) (69,407) (97,254) (25,266) Units Outstanding, End of the Period 3,068,103 2,843,408 1,337,482 1,001,312 617,275 440,061

120 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. CANADIANEQUITYFUNDS TD Dividend Growth Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) T-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 127,160 $ 71,410 $ 1,062,563 $ 328,687 $ 4,725,548 $ 3,671,137 Increase (Decrease) in Net Assets from Investment Operations 5,436 (2,020) 58,790 (24,268) 217,009 (67,851) Capital Unit Transactions† Proceeds from Sale of Units 41,851 37,765 293,310 532,712 817,384 1,085,732 Reinvestments of Distributions 1,136 869 12,759 7,342 18,514 27,682 Early Redemption Fees 11 11 6 44 38 Amounts Paid on Redemptions (13,803) (6,374) (27,834) (26,714) (388,117) (634,142) 29,185 32,261 278,246 513,346 447,825 479,310 Distributions to Unitholders (5,703) (3,605) (13,569) (9,363) (24,551) (33,375) Increase (Decrease) in Net Assets for the Period 28,918 26,636 323,467 479,715 640,283 378,084 Net Assets, End of the Period $ 156,078 $ 98,046 $ 1,386,030 $ 808,402 $ 5,365,831 $ 4,049,221 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 11,195,829 6,327,365 91,675,785 30,637,552 Units Issued 3,580,986 3,367,557 24,134,674 48,103,840 Units Issued on Reinvestments 96,772 78,081 1,038,783 681,550 Units Redeemed (1,181,822) (566,216) (2,263,949) (2,416,223) Units Outstanding, End of the Period 13,691,765 9,206,787 114,585,293 77,006,719

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 121 CANADIANEQUITYFUNDS

TD Dividend Growth Fund No. of Shares Paror Value Units Description CostCost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 77,000 Fairfax Financial Holdings No. of Shares Limited, SV $$19,422,998 29,722,000 or Units Description Cost FairValue 577,955 First Capital Realty Inc. 6,618,906 9,507,360 1,014,600 Intact Financial Corporation 28,510,292 56,046,504 Canadian Equities – 98.7% 11,847,000 ManulifeFinancialCorporation 298,118,899 201,754,410 ENERGY – 21.2% 1,016,800 National Bank of Canada 59,386,485 79,432,416 241,500 AltaGas Ltd. $ 5,096,968 $ 6,211,380 280,900 Onex Corporation, SV 6,511,121 10,443,862 260,000 ARC Resources Ltd. 5,263,691 6,492,200 1,938,400 PowerCorporationofCanada,SV 58,678,625 51,949,120 473,000 Canadian Natural Resources Limited 19,107,850 19,066,630 7,905,800 Royal Bank of Canada 330,590,526 434,739,942 11,093,406 Canadian Oil Sands Limited 180,116,211 308,174,819 2,846,800 Sun Life Financial Inc. 105,785,551 82,471,796 2,636,500 Cenovus Energy Inc. 71,472,808 95,757,680 5,331,900 The Toronto-Dominion Bank* 322,397,985 436,042,782 5,642,600 Enbridge Inc. 98,218,926 176,613,380 2,331,472,781 2,774,500,789 2,184,500 EnCana Corporation 64,220,383 64,879,650 980,400 Husky Energy Inc. 25,735,500 25,745,304 INFORMATION TECHNOLOGY – 0.2% 1,993,600 Imperial Oil Limited 73,761,373 89,492,704 379,300 Research In Motion Limited 22,959,292 10,548,333 429,600 Penn West Petroleum Ltd. 15,610,111 9,545,712 TELECOMMUNICATION SERVICES – 7.0% 4,152,512 Suncor Energy Inc. 143,961,058 156,549,702 3,292,932 BCE Inc. 95,323,420 124,505,759 3,584,900 TransCanada Corporation 113,770,414 151,354,478 253,148 Bell Aliant Inc. 8,314,990 7,265,348 1,965,000 Veresen Inc. 16,458,337 27,274,200 2,989,100 Rogers Communications Inc., 832,793,630 1,137,157,839 Class “B” NV 99,205,071 113,914,601 1,915,500 TELUS Corporation 60,357,388 101,655,585 MATERIALS – 4.1% 583,000 TELUS Corporation, NV 30,050,465 29,552,270 1,679,869 Barrick Gold Corporation 65,367,197 73,359,879 258,500 Fibrek Inc. 1,903,577 348,975 293,251,334 376,893,563 1,226,800 Goldcorp Inc. 55,933,440 57,070,736 UTILITIES – 4.4% 432,000 Potash Corporation of Saskatchewan Inc. 24,629,260 23,742,720 1,883,900 Brookfield Infrastructure Partners LP 29,813,598 45,307,795 1,305,300 Teck Resources Limited, Class “B” SV 43,077,950 63,816,117 631,300 Canadian Utilities Limited, 190,911,424 218,338,427 Class “A” NV 24,082,488 35,365,426 1,050,000 Capital Power Corporation 25,200,000 26,239,500 INDUSTRIALS – 3.6% 999,100 Emera Inc. 21,092,797 31,581,551 217,700 Bombardier Inc., Class “B” SV 1,322,742 1,506,484 941,000 Fortis Inc. 23,470,080 30,441,350 1,553,700 Canadian National Railway Company 89,155,171 119,712,585 2,027,690 Just Energy Group Inc. 15,804,362 28,793,198 1,172,800 CanadianPacificRailwayLimited 70,696,618 70,426,640 1,971,200 TransAlta Corporation 42,664,528 40,547,584 155,000 Progressive Waste Solutions Ltd. 2,559,568 3,720,000 182,127,853 238,276,404 163,734,099 195,365,709 ROYALTY/INCOME TRUSTS – 1.0% CONSUMER DISCRETIONARY – 3.9% 100,000 Boardwalk Real Estate Investment Trust 4,217,255 4,820,000 556,000 Cineplex Inc. 5,567,458 14,795,160 798,000 BrookfieldRenewablePowerFund 11,296,135 18,354,000 265,000 Dollarama Inc. 8,623,100 8,639,000 120,000 CallowayRealEstateInvestmentTrust 2,538,433 3,018,000 959,300 Magna International Inc. 47,155,852 49,979,530 266,600 ChemtradeLogisticsIncomeFund 3,452,087 3,839,040 2,181,500 Shaw Communications Inc., Class “B” NV 44,012,608 47,949,370 100,000 H&RRealEstateInvestmentTrust 1,992,749 2,156,000 1,183,400 Thomson Reuters Corporation 44,060,413 42,815,412 721,800 RioCanRealEstateInvestmentTrust 13,343,623 18,672,966 889,200 Tim Hortons Inc. 29,738,071 41,836,860 1,506,700 Yellow Media Inc. 18,081,536 3,616,080 36,840,282 50,860,006 197,239,038 209,631,412 Total Canadian Equities 4,343,525,646 5,294,425,582

CONSUMER STAPLES – 1.6% U.S. Equities – 0.7% 106,300 George Weston Limited 7,876,317 7,406,984 218,200 Loblaw Companies Limited 9,355,370 8,477,070 FINANCIALS – 0.7% 263,700 METRO Inc., Class “A” SV 11,873,254 12,652,326 928,000 JPMorgan Chase & Co. 40,696,847 36,614,843 148,000 North West Company Inc. 3,240,587 2,992,560 Transaction Costs (Note 3) (3,285,512) 0 1,292,800 ShoppersDrugMartCorporation 59,850,385 51,324,160 TOTALINVESTMENT 92,195,913 82,853,100 PORTFOLIO – 99.4% 4,380,936,981 5,331,040,425 FINANCIALS – 51.7% SHORT-TERM 6,778,200 Bank of Montreal 349,784,751 415,232,532 INVESTMENTS (CAD) – 0.7% 39,500,000 39,500,000 8,034,900 The Bank of Nova Scotia 319,217,009 466,104,549 SHORT-TERM 1,250,800 Brookfield Asset Management Inc., INVESTMENTS (USD) – 0.0% 868,005 868,005 Class “A” LV 28,113,923 40,000,584 327,800 Brookfield Office Properties Inc. 4,864,805 6,093,802 FOREIGN CURRENCIES – (0.0%) (301,756) (301,756) 5,773,300 Canadian Imperial Bank of Commerce 383,542,920 439,348,130 OTHER NET LIABILITIES – (0.1%) (5,276,075) (5,276,075) 280,000 CI Financial Corp. 7,349,800 6,395,200 20,945 E-L Financial Corporation Limited 2,578,185 9,215,800 TOTAL NET ASSETS – 100.0% $ 4,415,727,155 $ 5,365,830,599

* Related party to the Fund as an affiliated entity of TD Asset Management Inc.

122 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Dividend Growth Fund CANADIANEQUITYFUNDS

Level1 Level2 Level3 Total June 30, 2011 CommonShares $ 5,331,040 $0$0$5,331,040 Short-Term Investments 0 40,368 0 40,368 $ 5,331,040 $ 40,368 $0$5,371,408

December 31, 2010 CommonShares $ 4,668,561 $0$0$4,668,561 Short-Term Investments 0 45,062 0 45,062 $ 4,668,561 $ 45,062 $0$4,713,623

During the periods, transfers between Level 1 and Level 2 were nil.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 40,072 $ 11,333

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 123 CANADIANEQUITYFUNDS TD Canadian Blue Chip Equity Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 968,470 $ 1,037,209 Interest $ 107 $ 228 Foreign Currencies 2,610 2,533 Dividends 12,811 14,589 Cash 8,701 4,438 Foreign Exchange 2,657 0 Dividends Receivable 1,900 2,052 Securities Lending 0 108 Subscriptions Receivable 173 232 Less: Withholding Taxes (93) (445) Unrealized Gain on Open Foreign 15,482 14,480 Exchange Forward Contracts 967 1,606 Expenses (Note 5) 982,821 1,048,070 Management Fees 5,686 6,765 Liabilities Administration Fees 333 333 Accrued Liabilities 944 1,027 Independent Review Committee Fees 34 Redemptions Payable 867 823 6,022 7,102 Unrealized Loss on Open Foreign Less: Waived Expenses (1) (1) Exchange Forward Contracts 22 0 6,021 7,101 1,833 1,850 Net Investment Income (Loss) 9,461 7,379 Net Assets (Note 3) $ 980,988 $ 1,046,220 Net Realized Gain (Loss) on Net Assets Representing Unitholders’ Equity (Note 4) Sale of Investments 46,546 18,376 Investor Series $ 409,473 $ 422,112 Net Change in Unrealized Appreciation/ Institutional Series $ 35,669 $ 37,618 Depreciation of Investments (30,726) (100,848) Advisor Series $ 75,374 $ 89,185 Transaction Costs on Purchase and Sale F-Series $ 4,154 $ 5,319 of Investments (Note 3) (169) (98) O-Series $ 456,318 $ 491,986 Net Gain (Loss) on Investments 15,651 (82,570) $ 980,988 $ 1,046,220 Increase (Decrease) in Net Assets † Number of Units Outstanding from Investment Operations $ 25,112 $ (75,191) Investor Series 12,878,307 13,487,166 †Increase (Decrease) in Net Assets from Investment Operations Institutional Series 1,941,426 2,097,999 Investor Series $ 7,002 $ (28,024) Advisor Series 4,568,892 5,494,708 Institutional Series $ 1,084 $ 12,932 F-Series 265,597 348,091 Advisor Series $ 1,658 $ (6,795) F-Series $ 130 $ (349) O-Series 43,653,146 48,375,780 O-Series $ 15,238 $ (52,955) Net Assets Per Unit (Note 3) $ 25,112 $ (75,191) Investor Series $ 31.80 $ 31.30 Institutional Series $ 18.37 $ 17.93 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Advisor Series $ 16.50 $ 16.23 Investor Series $ 0.50 $ (1.96) F-Series $ 15.64 $ 15.28 Institutional Series $ 0.44 $ (1.02) O-Series $ 10.45 $ 10.17 Advisor Series $ 0.27 $ (1.02) F-Series $ 0.36 $ (0.89) O-Series $ 0.28 $ (0.54)

124 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. CANADIANEQUITYFUNDS TD Canadian Blue Chip Equity Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 422,112 $ 441,089 $ 37,618 $ 718,272 $ 89,185 $ 105,452 Increase (Decrease) in Net Assets from Investment Operations 7,002 (28,024) 1,084 12,932 1,658 (6,795) Capital Unit Transactions† Proceeds from Sale of Units 17,477 20,544 2,378 14,315 2,562 11,398 Reinvestments of Distributions 00 00 00 Early Redemption Fees 11 01 00 Amounts Paid on Redemptions (37,119) (38,577) (5,411) (710,405) (18,031) (13,372) (19,641) (18,032) (3,033) (696,089) (15,469) (1,974) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (12,639) (46,056) (1,949) (683,157) (13,811) (8,769) Net Assets, End of the Period $ 409,473 $ 395,033 $ 35,669 $ 35,115 $ 75,374 $ 96,683 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 13,487,166 14,589,114 2,097,999 41,337,690 5,494,708 6,711,018 Units Issued 538,934 685,093 131,464 849,230 151,019 733,020 Units Issued on Reinvestments 00 00 00 Units Redeemed (1,147,793) (1,288,669) (288,037) (40,041,027) (1,076,835) (858,371) Units Outstanding, End of the Period 12,878,307 13,985,538 1,941,426 2,145,893 4,568,892 6,585,667

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 5,319 $ 5,315 $ 491,986 $ 35,515 $ 1,046,220 $ 1,305,643 Increase (Decrease) in Net Assets from Investment Operations 130 (349) 15,238 (52,955) 25,112 (75,191) Capital Unit Transactions† Proceeds from Sale of Units 86 1,423 7,144 702,261 29,647 749,941 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 21 33 Amounts Paid on Redemptions (1,381) (494) (58,052) (34,110) (119,994) (796,958) (1,295) 929 (50,906) 668,152 (90,344) (47,014) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (1,165) 580 (35,668) 615,197 (65,232) (122,205) Net Assets, End of the Period $ 4,154 $ 5,895 $ 456,318 $ 650,712 $ 980,988 $ 1,183,438 †Capital Unit Transactions Units Outstanding, Beginning of the Period 348,091 359,477 48,375,780 3,573,480 Units Issued 5,375 97,748 699,844 69,210,401 Units Issued on Reinvestments 00 00 Units Redeemed (87,869) (33,406) (5,422,478) (3,455,350) Units Outstanding, End of the Period 265,597 423,819 43,653,146 69,328,531

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 125 CANADIANEQUITYFUNDS

TD Canadian Blue Chip Equity Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) INFORMATION TECHNOLOGY – 1.1% No. of Shares 401,350 Research In Motion Limited $$28,729,308 11,161,544 or Units Description Cost FairValue TELECOMMUNICATION SERVICES – 1.3% Canadian Equities – 92.7% 80,825 Rogers Communications Inc., Class “B” NV 1,348,809 3,080,241 ENERGY – 28.4% 193,000 TELUS Corporation, NV 8,443,676 9,783,170 1,551,100 Canadian Natural Resources Limited $ 54,068,296 $ 62,524,841 1,090,295 Cenovus Energy Inc. 25,894,895 39,599,514 9,792,485 12,863,411 456,300 Crescent Point Energy Corp. 17,692,390 20,268,846 ROYALTY/INCOME TRUSTS – 0.5% 1,215,360 Enbridge Inc. 22,768,134 38,040,768 201,800 BrookfieldRenewablePowerFund 4,224,565 4,641,400 398,035 EnCana Corporation 9,087,060 11,821,640 299,830 Imperial Oil Limited 6,470,573 13,459,369 Total Canadian Equities 742,773,957 909,191,443 1,698,320 Suncor Energy Inc. 62,258,518 64,026,664 679,246 TransCanada Corporation 21,681,212 28,677,766 U.S. Equities – 4.9% 219,921,078 278,419,408 INDUSTRIALS – 0.9% 109,800 United Technologies Corporation 8,005,698 9,371,850 MATERIALS – 11.7% 766,000 Barrick Gold Corporation 36,554,394 33,451,220 CONSUMER STAPLES – 2.1% 1,196,515 Goldcorp Inc. 48,117,071 55,661,878 185,100 PepsiCo Inc. 12,231,690 12,564,216 364,600 Potash Corporation of Saskatchewan Inc. 5,288,878 20,038,416 137,285 The Procter & Gamble Company 8,384,433 8,410,335 105,900 TeckResourcesLimited,Class“B”SV 4,880,166 5,177,451 20,616,123 20,974,551

94,840,509 114,328,965 HEALTH CARE – 1.0%

INDUSTRIALS – 4.3% 191,440 Abbott Laboratories 10,076,727 9,708,072 489,350 Canadian National Railway Company 25,069,613 37,704,418 INFORMATION TECHNOLOGY – 0.9% 170,300 Finning International Inc. 4,806,756 4,855,253 12,820 Apple Inc. 3,361,278 4,148,824 29,876,369 42,559,671 133,600 Oracle Corporation 3,750,504 4,237,894

CONSUMER DISCRETIONARY – 7.3% 7,111,782 8,386,718 207,560 Astral Media Inc., Class “A” NV 7,353,053 7,723,308 Total U.S. Equities 45,810,330 48,441,191 261,600 Dollarama Inc. 8,238,759 8,528,160 139,905 Quebecor Inc., Class “B” SV 4,287,056 4,432,190 International Equities – 1.1% 837,120 Shaw Communications Inc., AUSTRALIA – 1.1% Class “B” NV 12,443,530 18,399,898 118,800 BHPBillitonLimited,SponsoredADR 9,240,424 10,837,806 766,390 Thomson Reuters Corporation 29,699,147 27,727,990 101,900 Tim Hortons Inc. 3,494,158 4,794,395 Transaction Costs (Note 3) (621,108) 0

65,515,703 71,605,941 TOTALINVESTMENT PORTFOLIO – 98.7% CONSUMER STAPLES – 2.1% 797,203,603 968,470,440 230,223 Loblaw Companies Limited 10,025,510 8,944,164 FOREIGN CURRENCIES – 0.3% 2,610,306 2,610,307 250,900 METRO Inc., Class “A” SV 4,839,029 12,038,182 FORWARDCONTRACTS 14,864,539 20,982,346 (SCHEDULE 1) – 0.1% 0 944,909 OTHER NET ASSETS – 0.9% FINANCIALS – 36.0% 8,962,208 8,962,208 625,230 Bank of Montreal 37,389,014 38,301,590 1,116,525 The Bank of Nova Scotia 41,902,714 64,769,615 TOTAL NET ASSETS – 100.0% $ 808,776,117 $ 980,987,864 713,000 Brookfield Asset Management Inc., * Related party to the Fund as an affiliated entity of Class “A” LV 20,796,147 22,801,740 TD Asset Management Inc. 408,000 Canadian Imperial Bank of Commerce 30,873,244 31,048,800 220,500 CI Financial Corp. 4,586,205 5,036,220 706,450 Great-West Lifeco Inc. 14,057,039 17,972,088 101,510 Intact Financial Corporation 4,785,285 5,607,412 12,900 Intact Financial Corporation, Subscription Receipt 616,620 714,660 1,064,068 Manulife Financial Corporation 19,764,525 18,121,078 331,950 Power Financial Corporation 7,133,437 9,862,235 1,150,190 Royal Bank of Canada 41,947,735 63,248,948 918,860 The Toronto-Dominion Bank* 51,157,436 75,144,371 275,009,401 352,628,757

126 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Canadian Blue Chip Equity Fund CANADIANEQUITYFUNDS

July 29, 2011 23,541,067 USD $ 22,721,251 23,079,339 CAD $ 23,079,339 0.97113 to0.98062 $ 358,088 July 29, 2011 20,377,000 USD 19,667,371 19,973,632 CAD 19,973,632 0.97115 to 0.98047 306,261 July 29, 2011 19,563,000 USD 18,881,719 19,184,260 CAD 19,184,260 0.98064 302,541 $ 61,270,341 $ 62,237,231 $ 966,890

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 29, 2011 976,539 CAD $ 976,539 989,000 USD $ 954,558 0.98740 $ (21,981)

TOTALNUMBEROFCONTRACTS: 7 NETAPPRECIATION $ 944,909

Level1 Level2 Level3 Total June 30, 2011 CommonShares $ 968,470 $0$0$968,470 Forward Contracts 0 967 0 967 968,470 967 0 969,437 Forward Contracts 0 (22) 0 (22) $ 968,470 $ 945 $0$969,415

December 31, 2010 CommonShares $ 1,037,209 $0$0$1,037,209 Forward Contracts 0 1,606 0 1,606 $ 1,037,209 $ 1,606 $0$1,038,815

During the periods, transfers between Level 1 and Level 2 were nil.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 1,811 $ 1,850 Forward Contracts 22 0 $ 1,833 $ 1,850

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 127 CANADIANEQUITYFUNDS TD Canadian Equity Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 3,480,792 $ 3,348,090 Interest $ 1,333 $ 3,272 Short-Term Investments 16,400 13,540 Dividends 31,531 28,453 Foreign Currencies 4,570 369 Foreign Exchange 8,784 3,159 Cash 3,405 130 Securities Lending 185 391 Dividends Receivable 9,684 8,563 Less: Withholding Taxes (108) (183) Subscriptions Receivable 1,620 2,356 41,725 35,092 Receivable for Investment Sales 145,903 44,116 Expenses (Note 5) Unrealized Gain on Open Foreign Management Fees 24,557 22,090 Exchange Forward Contracts 2,064 7,013 Administration Fees 1,584 1,377 3,664,438 3,424,177 Independent Review Committee Fees 98 Liabilities Bank Charges and Interest 43 Accrued Liabilities 4,088 4,361 26,154 23,478 Redemptions Payable 3,695 4,104 Less: Waived Expenses (6) (4) Payable for Investment Purchases 150,655 43,187 26,148 23,474 Unrealized Loss on Open Foreign Exchange Forward Contracts 623 807 Net Investment Income (Loss) 15,577 11,618 159,061 52,459 Net Realized Gain (Loss) on Sale of Investments 232,706 235,004 Net Assets (Note 3) $ 3,505,377 $ 3,371,718 Net Change in Unrealized Appreciation/ Net Assets Representing Unitholders’ Equity (Note 4) Depreciation of Investments (267,682) (381,142) Investor Series $ 2,092,644 $ 2,167,803 Transaction Costs on Purchase and Sale Institutional Series $ 15,285 $ 18,169 of Investments (Note 3) (8,840) (6,639) Advisor Series $ 215,270 $ 210,223 Net Gain (Loss) on Investments (43,816) (152,777) F-Series $ 19,578 $ 18,626 Increase (Decrease) in Net Assets O-Series $ 1,162,600 $ 956,897 from Investment Operations† $ (28,239) $ (141,159) $ 3,505,377 $ 3,371,718 †Increase (Decrease) in Net Assets from Investment Operations Number of Units Outstanding Investor Series $ (21,645) $ (97,175) Investor Series 72,754,027 74,575,147 Institutional Series $ 75 $ 36,027 Institutional Series 1,042,949 1,236,582 Advisor Series $ (2,762) $ (9,354) Advisor Series 17,874,496 17,272,804 F-Series $ (118)$ (713) F-Series 1,573,110 1,490,471 O-Series $ (3,789) $ (69,944) O-Series 98,782,951 81,324,695 $ (28,239) $ (141,159) Net Assets Per Unit (Note 3) Increase (Decrease) in Net Assets from Investment Operations – Investor Series $ 28.76 $ 29.07 Per Unit (Note 3) Institutional Series $ 14.66 $ 14.69 Investor Series $ (0.30) $ (1.22) Institutional Series $ (0.04) $ (0.52) Advisor Series $ 12.04 $ 12.17 Advisor Series $ (0.13) $ (0.53) F-Series $ 12.45 $ 12.50 F-Series $ (0.05) $ (0.54) O-Series $ 11.77 $ 11.77 O-Series $ 0.00 $ (0.41)

128 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. CANADIANEQUITYFUNDS TD Canadian Equity Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 2,167,803 $ 2,001,919 $ 18,169 $ 544,943 $ 210,223 $ 180,871 Increase (Decrease) in Net Assets from Investment Operations (21,645) (97,175) 75 36,027 (2,762) (9,354) Capital Unit Transactions† Proceeds from Sale of Units 130,219 133,094 149 18,693 34,681 29,528 Reinvestments of Distributions 00 00 00 Early Redemption Fees 10 11 01 11 Amounts Paid on Redemptions (183,743) (183,306) (3,108) (581,652) (26,873) (27,197) (53,514) (50,201) (2,959) (562,958) 7,809 2,332 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (75,159) (147,376) (2,884) (526,931) 5,047 (7,022) Net Assets, End of the Period $ 2,092,644 $ 1,854,543 $ 15,285 $ 18,012 $ 215,270 $ 173,849 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 74,575,147 80,578,309 1,236,582 44,090,068 17,272,804 17,389,642 Units Issued 4,377,884 5,278,188 9,978 1,549,994 2,784,612 2,790,918 Units Issued on Reinvestments 00 00 00 Units Redeemed (6,199,004) (7,265,864) (203,611) (44,117,475) (2,182,920) (2,583,563) Units Outstanding, End of the Period 72,754,027 78,590,633 1,042,949 1,522,587 17,874,496 17,596,997

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 18,626 $ 13,690 $ 956,897 $ 216,724 $ 3,371,718 $ 2,958,147 Increase (Decrease) in Net Assets from Investment Operations (118) (713) (3,789) (69,944) (28,239) (141,159) Capital Unit Transactions† Proceeds from Sale of Units 3,270 4,507 273,459 726,585 441,778 912,407 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 54 16 17 Amounts Paid on Redemptions (2,200) (2,361) (63,972) (43,422) (279,896) (837,938) 1,070 2,146 209,492 683,167 161,898 74,486 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period 952 1,433 205,703 613,223 133,659 (66,673) Net Assets, End of the Period $ 19,578 $ 15,123 $ 1,162,600 $ 829,947 $ 3,505,377 $ 2,891,474 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 1,490,471 1,298,046 81,324,695 22,007,806 Units Issued 254,713 423,057 22,697,457 70,197,255 Units Issued on Reinvestments 00 00 Units Redeemed (172,074) (220,496) (5,239,201) (4,358,617) Units Outstanding, End of the Period 1,573,110 1,500,607 98,782,951 87,846,444

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 129 CANADIANEQUITYFUNDS

TD Canadian Equity Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) INDUSTRIALS – 8.8% No. of Shares 2,160,500 Air Canada, Warrants 27/10/2012 $$545,209 1,015,435 or Units Description Cost FairValue 8,990,200 Bombardier Inc., Class “B” SV 58,494,067 62,212,184 1,034,026 CAE Inc. 12,502,283 13,421,657 Canadian Equities – 88.8% 1,632,700 Canadian National Railway Company 120,341,435 125,799,535 ENERGY – 20.1% 439,900 CanadianPacificRailwayLimited 26,988,130 26,415,995 6,952 ARC Resources Ltd. $ 181,622 $ 173,591 1,427,600 Finning International Inc. 40,452,828 40,700,876 1,019,500 Athabasca Oil Sands Corp. 16,941,353 15,445,425 644,566 SNC-Lavalin Group Inc. 36,308,340 37,900,481 759,181 Baytex Energy Corp. 37,720,045 39,834,227 295,632,292 307,466,163 3,060,400 Canadian Natural Resources Limited 124,525,047 123,364,724 4,211 Canadian Oil Sands Limited 120,420 116,982 CONSUMER DISCRETIONARY – 6.2% 2,778,998 Cenovus Energy Inc. 83,587,553 100,933,207 413,300 Astral Media Inc., Class “A” NV 16,629,838 15,378,893 109,860 Crescent Point Energy Corp. 4,705,123 4,879,981 27 Canadian Tire Corporation Limited, 2,040,542 Enbridge Inc. 61,934,641 63,868,965 Class “A” NV 1,704 1,701 532,896 EnCana Corporation 16,885,368 15,827,011 1,520,418 Corus Entertainment Inc., Class “B” NV 31,664,218 31,153,365 1,150,000 Gibson Energy Inc. 18,400,000 18,446,000 2,246,200 Dollarama Inc. 57,560,920 73,226,120 21,786,287 Ivanhoe Energy Inc. 60,629,333 39,651,042 843,860 Magna International Inc. 37,888,955 43,965,106 129,400 MEG Energy Corp. 5,969,890 6,486,822 329 Shaw Communications Inc., 1,680,000 North West Upgrading Inc. 1,680,000 5,023,200 Class “B” NV 6,836 7,231 2,062,500 North West Upgrading Inc. (Restricted) 7,500,000 6,166,875 54,393 Thomson Reuters Corporation 2,074,411 1,967,939 910,535 Penn West Petroleum Ltd. 24,399,305 20,232,088 1,115,607 Tim Hortons Inc. 43,369,281 52,489,309 1,388,100 Pinecrest Energy Inc. 1,745,702 3,373,083 285,000 Zongshen PEM Power Systems Inc. 872,100 156,750 250,000 Precision Drilling Corporation 3,623,402 3,452,500 190,068,263 218,346,414 1,776,700 SouthGobi Resources Limited 14,975,761 18,868,554 CONSUMER STAPLES – 3.7% 4,285,439 Suncor Energy Inc. 165,583,213 161,561,050 1,319,300 Saputo Inc. 51,307,148 61,215,520 2,414,000 Talisman Energy Inc. 54,457,824 47,700,640 6,412,300 Viterra Inc. 69,485,844 66,880,289 6,063 TransCanada Corporation 234,203 255,980 459,200 Trican Well Service Ltd. 9,787,620 10,396,288 120,792,992 128,095,809 715,587,425 706,058,235 HEALTH CARE – 2.0% 800,000 Millenium Biologix Corporation 1,000,000 0 MATERIALS – 17.6% 1,404,400 Valeant Pharmaceuticals 16 Agnico-Eagle Mines Limited 1,000 973 International Inc. 64,983,130 70,374,484 586,535 Agrium Inc. 47,645,031 49,626,726 4,556,100 Barrick Gold Corporation 226,966,715 198,964,887 65,983,130 70,374,484 535,714 Coalcorp Mining Inc., FINANCIALS – 21.3% Warrants 17/08/2011 431,250 2,679 10,564 Bank of Montreal 650,755 647,151 4,858,237 Entree Gold Inc. 12,010,066 9,959,386 1,406,190 The Bank of Nova Scotia 79,374,475 81,573,082 306,400 First Quantum Minerals Ltd. 40,520,822 43,079,840 550,414 Brookfield Asset Management Inc., 1,082,345 Franco-Nevada Corporation, Class “A” LV 17,250,016 17,602,240 Warrants 08/07/2013 0 146,117 528,000 Canaccord Financial Inc. 7,413,120 6,526,080 1,201,500 Global Alumina Corporation 2,900,893 1,494,835 2,033,889 Canadian Imperial Bank of Commerce 161,694,645 154,778,953 302,425 Goldcorp Inc. 14,424,314 14,068,811 60,298 Intact Financial Corporation 3,043,392 3,330,862 1,904,800 GoviEx Uranium Inc. (Restricted) 4,498,847 5,051,982 252,600 Intact Financial Corporation, 50,000 IAMGOLD Corporation 1,019,447 905,000 Subscription Receipt 12,074,280 13,994,040 873,874 Ivanhoe Mines Ltd. 20,569,158 21,287,571 7,028,985 Manulife Financial Corporation 120,260,547 119,703,615 18,011 Kinross Gold Corporation 284,271 273,767 17,472 National Bank of Canada 1,201,801 1,364,913 341 Kinross Gold Corporation, 2,118,948 Royal Bank of Canada 125,723,014 116,520,951 Warrants 17/09/2014 1,671 818 2,805,241 The Toronto-Dominion Bank* 190,663,285 229,412,609 717,800 Lucara Diamond Corp. 717,800 839,826 719,349,330 745,454,496 6,171,000 Lundin Mining Corporation 44,612,693 45,603,690 1,708,332 MBAC Fertilizer Corp. 4,500,000 4,697,913 INFORMATION TECHNOLOGY – 1.6% 182,400 Neo Material Technologies Inc. 1,160,814 1,689,024 900,000 ESI Entertainment Systems Inc. 1,225,000 4,500 574,772 NGEx Resources Inc. 501,082 1,695,577 29,543 Invictus Financial Inc. 355,782 57 37,800 NovaGold Resources Inc. 502,609 335,286 506,900 MacDonald, Dettwiler and Associates Ltd. 21,388,792 27,580,429 2,583,979 Potash Corporation of Saskatchewan Inc. 136,458,075 142,015,486 454,400 Open Text Corporation 24,217,415 27,968,320 700 Silver Wheaton Corp. 30,870 22,274 47,186,989 55,553,306 279,100 Tahoe Resources Inc. 5,542,513 4,998,681 1,449,100 Teck Resources Limited, Class “B” SV 68,533,319 70,846,499 TELECOMMUNICATION SERVICES – 7.4% 3,236,151 BCE Inc. 116,570,406 122,358,869 633,833,260 617,607,648 18,394 Rogers Communications Inc., Class “B” NV 636,615 700,995 540,600 TELUS Corporation 27,272,761 28,689,642 2,121,654 TELUS Corporation, NV 101,963,514 107,546,641 246,443,296 259,296,147

130 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Canadian Equity Fund CANADIANEQUITYFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description CostCost FairValue

ROYALTY/INCOME TRUSTS – 0.1% International Equities – 0.7% 99,000 BrookfieldRenewablePowerFund$$ 1,396,256 2,277,000 AUSTRALIA – 0.6% Total Canadian Equities 3,036,273,233 3,110,529,702 8,459,500 Ivanhoe Australia Limited (Restricted)$$ 18,721,877 21,001,583 1,729,750 Ivanhoe Australia Limited, U.S. Equities – 9.8% Warrants 20/09/2011 0 23,261 ENERGY – 0.0% 18,721,877 21,024,844 42,412 I-Pulse Inc. (Restricted) 100,838 115,248 FINLAND – 0.0% MATERIALS – 1.5% 24,900 Nokia Oyj 555,677 154,913 901,000 Freeport-McMoRan Copper & Gold Inc. 43,590,866 45,951,105 UNITED KINGDOM – 0.1% 125,000 The Mosaic Company 7,905,625 8,162,864 41,100 BHP Billiton PLC 394,585 1,557,568 51,496,491 54,113,969 150,000 Bumi PLC 3,092,819 2,691,024

INDUSTRIALS – 1.2% 3,487,404 4,248,592 1,615,000 CSX Corporation 40,238,300 40,824,349 Total International Equities 22,764,958 25,428,349 25,000 Norfolk Southern Corporation 1,392,026 1,805,933 Transaction Costs (Note 3) (2,891,518) 0 41,630,326 42,630,282 TOTALINVESTMENT CONSUMER DISCRETIONARY – 4.4% PORTFOLIO – 99.3% 3,392,077,222 3,480,791,698 625,000 Coach Inc. 36,863,021 38,535,805 535,000 Starbucks Corporation 19,491,468 20,376,080 SHORT-TERM 115,000 Tiffany & Co. 8,725,107 8,704,354 INVESTMENTS – 0.5% 16,400,000 16,400,000 1,600,000 YUM! Brands Inc. 80,823,508 85,195,655 FOREIGN CURRENCIES – 0.1% 4,556,154 4,570,486 145,903,104 152,811,894 FORWARDCONTRACTS (SCHEDULE 1) – 0.0% 0 1,441,257 CONSUMER STAPLES – 0.4% 205,000 The Coca-Cola Company 12,995,296 13,302,080 OTHER NET ASSETS – 0.1% 1,872,313 2,173,491

INFORMATION TECHNOLOGY – 2.3% TOTAL NET ASSETS – 100.0% $ 3,414,905,689 $ 3,505,376,932 250,000 Apple Inc. 82,379,781 80,905,299 91,486 Motricity Inc. 1,152,968 681,164 * Related party to the Fund as an affiliated entity of 5,000 QUALCOMM Incorporated 271,745 273,711 TD Asset Management Inc. 83,804,494 81,860,174

Total U.S. Equities 335,930,549 344,833,647

July 29, 2011 11,553,703 CAD $ 11,553,703 12,122,172 USD $ 11,700,017 0.95310 $ 146,314 July 29, 2011 14,050,000 USD 13,560,709 13,742,165 CAD 13,742,165 0.97809 181,456 July 29, 2011 39,906,000 USD 38,516,274 38,577,802 CAD 38,577,802 0.95311 to 0.97000 61,528 August 31, 2011 34,551,840 USD 33,377,330 33,865,989 CAD 33,865,989 0.98015 488,659 August 31, 2011 14,050,000 USD 13,572,403 13,754,880 CAD 13,754,880 0.97900 182,477 August 31, 2011 11,713,188 USD 11,315,025 11,480,505 CAD 11,480,505 0.98014 165,480 September 30, 2011 16,516,135 USD 15,966,496 16,219,257 CAD 16,219,257 0.98202 252,761 September 30, 2011 14,050,000 USD 13,582,432 13,797,451 CAD 13,797,451 0.98202 215,019 September 30, 2011 11,682,723 USD 11,293,935 11,471,032 CAD 11,471,032 0.98188 177,097 September 30, 2011 10,340,192 USD 9,996,082 10,154,689 CAD 10,154,689 0.98206 158,607 September 30, 2011 2,294,607 USD 2,218,245 2,253,074 CAD 2,253,074 0.98190 34,829 $ 174,952,634 $ 177,016,861 $ 2,064,227

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 29, 2011 10,138,960 USD $ 9,785,870 9,663,442 CAD $ 9,663,442 0.95310 $ (122,428) July 29, 2011 35,543,895 USD 34,306,079 33,877,064 CAD 33,877,064 0.95311 to 0.95311 (429,015) August 31, 2011 4,957,083 CAD 4,957,083 5,057,473 USD 4,885,556 0.98015 (71,527) $ 49,049,032 $ 48,426,062 $ (622,970)

TOTALNUMBEROFCONTRACTS: 16 NETAPPRECIATION $ 1,441,257

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 131 TD Canadian Equity Fund CANADIANEQUITYFUNDS

Currency Risk (Note 11) Reconciliation of Level 3 Fair Value Measurements (in 000s) The table below indicates the foreign currencies to which the Fund had significant exposure The tables below reconcile the Fund’s Level 3 fair value measurements from December 31, as at June 30, 2011 and December 31, 2010 in Canadian dollar terms, including the 2010 to June 30, 2011 and December 31, 2009 to December 31, 2010: underlying principal amount of forward currency contracts, if any. The table also illustrates Common the potential impact to the Fund’s net assets if the Fund’s functional currency, the Canadian Shares Dollar, had strengthened or weakened by 5% in relation to all other currencies, with all other variables held constant. In practice, the actual trading results may differ from these Balance at December 31, 2010 $ 18,442 approximate sensitivity analysis amounts and the differences could be material. Purchases 57 Sales (1,515) Total Exposure* (000s) Impact on Net Assets (000s) Gains (Losses) Currency 2011 2010 2011 2010 Net Realized on Sale of Investments (601) AustralianDollar $ 25,443 $ 36,876 $ 1,272 $ 1,844 Net Change in Unrealized Appreciation/ British Pound 4,250 1,689 213 84 Depreciation of Investments (26) Euro 226 313 11 16 Balance at June 30, 2011 $ 16,357 Swiss Franc 77 72 44 UnitedStatesDollar 128,471 87,688 6,424 4,384 Total change in unrealized for assets held at June 30, 2011 $ (155) Total $ 158,467 $ 126,638 $ 7,924 $ 6,332 Common As Percentage of Shares Net Assets (%) 4.52 3.76 0.23 0.19 Balance at December 31, 2009 $ 20,766 * Includes both monetary and non-monetary instruments, where applicable. Purchases 6,658 Sales (598) Financial Instruments by the Level in the Fair Value Hierarchy Net Transfers In (Out) (8,782) (in 000s) (Note 11) Gains (Losses) The table below illustrates the classification of the Fund’s financial instruments within the Net Realized on Sale of Investments 481 fair value hierarchy as at June 30, 2011 and December 31, 2010: Net Change in Unrealized Appreciation/ Depreciation of Investments (83) Level1 Level2 Level3 Total Balance at December 31, 2010 $ 18,442

June 30, 2011 Total change in unrealized for assets CommonShares $3,440,532 $ 22,714 $ 16,357 $3,479,603 held at December 31, 2010 $ 593 Warrants 1,189 001,189 Short-Term Investments 0 16,400 0 16,400 Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) Forward Contracts 0 2,064 0 2,064 The table below summarizes cash flows associated with the maturities of the Fund’s financial 3,441,721 41,178 16,357 3,499,256 liabilities as at June 30, 2011 and December 31, 2010: Forward Contracts 0 (623) 0 (623) Less than $ 3,441,721 $ 40,555 $ 16,357 $ 3,498,633 3 months 2011 2010 Equity positions with a fair value of $22,559 and $7 were transferred from Level 1 to 2 Accounts payable and other liabilities $ 158,438 $ 51,652 and Level 2 to 1 respectively during the period as a result of changes in activities in the Forward Contracts 623 807 market for those securities. $ 159,061 $ 52,459 December 31, 2010 CommonShares $3,328,701 $ 479 $ 18,442 $3,347,622 Short-Term Investments 0 13,540 0 13,540 Forward Contracts 0 7,013 0 7,013 Rights 468 00468 3,329,169 21,032 18,442 3,368,643 Forward Contracts 0 (807) 0 (807) $ 3,329,169 $ 20,225 $ 18,442 $ 3,367,836

Equity positions with a fair value of $7 and $25,266 were transferred from Level 1 to 2 and Level 2 to 1 respectively during the period as a result of changes in activities in the market for those securities.

132 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. CANADIANEQUITYFUNDS TD Canadian Value Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 757,470 $ 755,218 Interest $ 50 $ 484 Short-Term Investments 4,400 1,200 Dividends 7,905 8,122 Foreign Currencies 2 76 Foreign Exchange 1,043 275 Cash 151 106 Derivatives Income (Loss) 0 (163) Interest Receivable 00Securities Lending 66 33 Dividends Receivable 2,190 2,092 Less: Withholding Taxes (42) (34) Subscriptions Receivable 1,096 102 9,022 8,717 Receivable for Investment Sales 0 1,769 Expenses (Note 5) Unrealized Gain on Open Foreign Management Fees 2,588 2,949 Exchange Forward Contracts 819 620 Administration Fees 165 152 766,128 761,183 Independent Review Committee Fees 22 Liabilities 2,755 3,103 Accrued Liabilities 431 463 Less: Waived Expenses (1) (1) Redemptions Payable 237 1,808 2,754 3,102 Payable for Investment Purchases 1,692 890 Net Investment Income (Loss) 6,268 5,615 2,360 3,161 Net Realized Gain (Loss) on Net Assets (Note 3) $ 763,768 $ 758,022 Sale of Investments 43,169 24,854 Net Assets Representing Unitholders’ Equity (Note 4) Net Change in Unrealized Appreciation/ Investor Series $ 231,613 $ 243,731 Depreciation of Investments (42,874) (49,953) Institutional Series $ 15,193 $ 18,100 Transaction Costs on Purchase and Sale Advisor Series $ 6,953 $ 6,260 of Investments (Note 3) (1,060) (678) F-Series $ 537 $ 506 Net Gain (Loss) on Investments (765) (25,777) O-Series $ 509,472 $ 489,425 Increase (Decrease) in Net Assets $ 763,768 $ 758,022 from Investment Operations† $ 5,503 $ (20,162) Number of Units Outstanding †Increase (Decrease) in Net Assets from Investment Operations Investor Series 9,491,941 9,977,227 Investor Series $ 62 $ (8,821) Institutional Series 906,197 1,087,051 Institutional Series $ 251 $ 23,934 Advisor Series 544,612 489,857 Advisor Series $ (28)$ (243) F-Series 38,876 36,823 F-Series $2$(25) O-Series $ 5,216 $ (35,007) O-Series 46,870,722 45,463,585 $ 5,503 $ (20,162) Net Assets Per Unit (Note 3) Investor Series $ 24.40 $ 24.43 Increase (Decrease) in Net Assets from Investment Operations – Institutional Series $ 16.77 $ 16.65 Per Unit (Note 3) Investor Series $ (0.03) $ (0.81) Advisor Series $ 12.77 $ 12.78 Institutional Series $ 0.12 $ (0.44) F-Series $ 13.82 $ 13.75 Advisor Series $ (0.01) $ (0.47) O-Series $ 10.87 $ 10.77 F-Series $ 0.07 $ (0.46) O-Series $ 0.10 $ (0.90)

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 133 CANADIANEQUITYFUNDS TD Canadian Value Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 243,731 $ 239,161 $ 18,100 $ 419,937 $ 6,260 $ 5,472 Increase (Decrease) in Net Assets from Investment Operations 62 (8,821) 251 23,934 (28) (243) Capital Unit Transactions† Proceeds from Sale of Units 8,733 8,591 709 12,811 1,472 936 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 01 00 Amounts Paid on Redemptions (20,913) (21,332) (3,867) (438,533) (751) (514) (12,180) (12,741) (3,158) (425,721) 721 422 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (12,118) (21,562) (2,907) (401,787) 693 179 Net Assets, End of the Period $ 231,613 $ 217,599 $ 15,193 $ 18,150 $ 6,953 $ 5,651 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 9,977,227 11,207,681 1,087,051 28,934,383 489,857 490,192 Units Issued 346,967 397,730 42,827 887,437 111,903 82,258 Units Issued on Reinvestments 00 00 00 Units Redeemed (832,253) (982,702) (223,681) (28,528,811) (57,148) (45,116) Units Outstanding, End of the Period 9,491,941 10,622,709 906,197 1,293,009 544,612 527,334

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 506$ 620 $ 489,425 $0$758,022 $ 665,190 Increase (Decrease) in Net Assets from Investment Operations 2 (25) 5,216 (35,007) 5,503 (20,162) Capital Unit Transactions† Proceeds from Sale of Units 100 116 25,811 428,634 36,825 451,088 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 10 11 Amounts Paid on Redemptions (71) (97) (10,981) (22,722) (36,583) (483,198) 29 19 14,831 405,912 243 (32,109) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period 31 (6) 20,047 370,905 5,746 (52,271) Net Assets, End of the Period $ 537 $ 614 $ 509,472 $ 370,905 $ 763,768 $ 612,919 †Capital Unit Transactions Units Outstanding, Beginning of the Period 36,823 51,318 45,463,585 0 Units Issued 6,969 9,440 2,376,243 43,264,775 Units Issued on Reinvestments 00 00 Units Redeemed (4,916) (8,118) (969,106) (2,377,003) Units Outstanding, End of the Period 38,876 52,640 46,870,722 40,887,772

134 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. CANADIANEQUITYFUNDS

TD Canadian Value Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) INDUSTRIALS – 4.7% No. of Shares 414,500 Air Canada, Class “B” $$682,316 957,495 or Units Description Cost FairValue 529,100 Air Canada, Warrants 27/10/2012 133,520 248,677 1,655,900 Bombardier Inc., Class “B” SV 8,444,564 11,458,828 Canadian Equities – 89.1% 179,215 Canadian Pacific Railway Limited 9,664,947 10,761,861 ENERGY – 24.9% 450,600 Stantec Inc. 11,797,111 12,576,246 2,528 ARC Resources Ltd. $ 56,821 $ 63,124 30,722,458 36,003,107 1,123,900 Bankers Petroleum Ltd. 9,073,831 7,732,432 430,000 Birchcliff Energy Ltd. 5,202,774 5,585,700 CONSUMER DISCRETIONARY – 4.3% 1,105,400 BlackPearl Resources Inc. 7,318,409 7,516,720 87,502 Canadian Tire Corporation Limited, 1,254,800 Canacol Energy Ltd. 1,819,891 1,317,540 Class “A” NV 4,822,720 5,513,501 294,608 Canadian Natural Resources Limited 12,434,181 11,875,648 669,498 Corus Entertainment Inc., Class “B” NV 12,676,086 13,718,014 24,739 Canadian Oil Sands Limited 678,747 687,249 641,480 Linamar Corporation 9,349,020 13,888,042 559,142 Cenovus Energy Inc. 14,382,493 20,308,037 1,657 Thomson Reuters Corporation 67,496 59,950 621,200 Crew Energy Inc. 10,008,255 9,280,728 26,915,322 33,179,507 552,135 EnCana Corporation 15,273,525 16,398,410 CONSUMER STAPLES – 1.8% 19,700 MEG Energy Corp. 695,421 987,561 899,200 The Jean Coutu Group (PJC) Inc., 345,481 Nexen Inc. 8,866,544 7,490,028 Class “A” SV 11,297,014 9,846,240 84,100 Niko Resources Ltd. 6,937,706 5,037,590 95,878 Loblaw Companies Limited 3,788,329 3,724,860 389,810 Parex Resources Inc. 2,128,356 3,071,703 119,100 Parex Resources Inc., 15,085,343 13,571,100 Subscription Receipts 833,700 946,845 HEALTH CARE – 0.8% 839,998 PetroBakkenEnergyLtd.,Class“A” 19,316,606 11,071,174 341,800 Amica Mature Lifestyles Inc. 2,683,130 2,676,294 464,978 Precision Drilling Corporation 4,548,893 6,421,346 1,822,482 Patheon Inc. 8,655,879 3,681,414 1,341,444 ProgressEnergyResourcesCorp. 16,590,857 18,404,612 11,339,009 6,357,708 376,500 ShawCor Ltd., Class “A” SV 9,214,639 11,091,690 64,371 Storm Resources Ltd. 231,804 321,855 FINANCIALS – 28.2% 584,540 Suncor Energy Inc. 18,461,707 22,037,158 480,105 AGF Management Limited, Class “B” NV 8,883,608 8,977,964 162,800 Surge Energy Inc. 1,427,520 1,577,532 395,292 The Bank of Nova Scotia 18,026,001 22,930,889 371,103 Talisman Energy Inc. 5,867,347 7,332,995 195,319 Brookfield Office Properties Inc. 3,152,686 3,630,980 1,043 TransCanada Corporation 34,771 44,035 398,545 Canadian Imperial Bank of Commerce 25,931,624 30,329,275 597,400 Trican Well Service Ltd. 11,222,715 13,525,136 107,166 Industrial Alliance Insurance 182,627,513 190,126,848 and Financial Services Inc. 3,155,543 4,295,213 1,917,104 Manulife Financial Corporation 43,720,302 32,648,281 MATERIALS – 18.1% 1,562,900 Mongolia Growth Group Ltd. (Restricted) 2,730,540 6,554,802 173,100 Agrium Inc. 9,872,718 14,645,991 673 National Bank of Canada 35,877 52,575 48,300 ATAC Resources Ltd. 409,225 351,141 319,900 Power Financial Corporation 10,414,658 9,504,229 176,200 Cascades Inc. 916,872 1,122,394 515,523 Royal Bank of Canada 23,024,102 28,348,610 774,800 Extorre Gold Mines Limited 4,374,506 9,545,536 877,072 Sun Life Financial Inc. 30,340,996 25,408,776 830,200 HudBay Minerals Inc. 10,425,891 11,954,880 519,087 The Toronto-Dominion Bank* 29,145,411 42,450,935 877,664 Kinross Gold Corporation 15,927,369 13,340,493 198,561,348 215,132,529 26,180 Kinross Gold Corporation, Warrants 17/09/2014 128,282 62,832 INFORMATION TECHNOLOGY – 0.9% 4,852,600 Lake Shore Gold Corp. 16,411,644 13,587,280 105,000 Open Text Corporation 4,827,586 6,462,750 826,200 Lundin Mining Corporation 4,391,651 6,105,618 TELECOMMUNICATION SERVICES – 2.3% 917,199 Quadra FNX Mining Ltd. 12,415,041 13,125,118 255,978 Rogers Communications Inc., 35,015 Quadra FNX Mining Ltd., Class “B” NV 5,136,819 9,755,322 Warrants 09/09/2012 71,823 109,597 141,400 TELUS Corporation 6,582,745 7,504,098 2,936,100 Romarco Minerals Inc. 5,398,442 4,727,121 1,141,600 Rubicon Minerals Corp. 5,887,976 3,904,272 11,719,564 17,259,420 558,100 SEMAFO Inc. 4,326,761 4,107,616 UTILITIES – 1.1% 1,100,521 Sherritt International Corporation 9,935,422 6,746,194 417,370 TransAlta Corporation 8,965,072 8,585,301 213,400 Silver Wheaton Corp. 4,353,169 6,790,388 295,460 Sunward Resources Ltd. 322,320 437,281 ROYALTY/INCOME TRUSTS – 2.0% 252,700 Tahoe Resources Inc. 4,505,677 4,525,857 263,396 Artis Real Estate Investment Trust 2,218,166 3,687,544 471,592 Teck Resources Limited, Class “B” SV 13,443,617 23,056,133 70 H&R Real Estate Investment Trust 1,058 1,509 346,042 Homburg Canada Real Estate 123,518,406 138,245,742 Investment Trust 3,602,090 4,387,813 1,731,000 Pure Industrial Real Estate Trust 5,583,694 7,287,510 11,405,008 15,364,376

Total Canadian Equities 625,686,629 680,288,388

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 135 TD Canadian Value Fund CANADIANEQUITYFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

U.S. Equities – 8.2% International Equities – 1.9% ENERGY – 0.9% AUSTRALIA – 0.5% 251,000 BPZ Resources Inc. $$1,486,974 794,012 1,481,200 Paladin Energy Ltd. $$5,105,168 3,865,932 100,600 Transocean Ltd. 6,573,273 6,265,789 BERMUDA – 1.4% 8,060,247 7,059,801 732,400 Marvell Technology Group Ltd. 12,498,743 10,425,921

MATERIALS – 1.2% Total International Equities 17,603,911 14,291,853 143,800 The Mosaic Company 9,140,167 9,390,558 Transaction Costs (Note 3) (1,618,126) 0 FINANCIALS – 2.7% 74,300 Azteca Acquisition Corporation 716,586 716,586 TOTALINVESTMENT 943,400 Bank of America Corporation 13,198,956 9,962,990 PORTFOLIO – 99.2% 713,804,197 757,470,180 251,500 JPMorgan Chase & Co. 10,843,445 9,923,096 SHORT-TERM 24,758,987 20,602,672 INVESTMENTS – 0.6% 4,400,000 4,400,000 FOREIGN CURRENCIES – 0.0% 2,240 2,240 INFORMATION TECHNOLOGY – 3.4% 434,300 Applied Materials Inc. 5,859,733 5,449,377 FORWARDCONTRACTS 338,100 Broadcom Corporation 11,832,349 10,966,089 (SCHEDULE 1) – 0.1% 0 818,959 626,200 Cisco Systems Inc. 12,480,300 9,421,442 OTHER NET ASSETS – 0.1% 1,077,762 1,076,870 30,172,382 25,836,908 TOTAL NET ASSETS – 100.0% $ 719,284,199 $ 763,768,249 Total U.S. Equities 72,131,783 62,889,939 * Related party to the Fund as an affiliated entity of TD Asset Management Inc.

July 29, 2011 29,211,000 USD $ 28,193,727 28,620,812 CAD $ 28,620,812 0.96548 to0.98063 $ 427,085 July 29, 2011 13,403,441 USD 12,936,666 13,129,823 CAD 13,129,823 0.96566 to 0.98047 193,157 July 29, 2011 11,338,000 USD 10,943,154 11,116,682 CAD 11,116,682 0.98048 173,528 July 29, 2011 1,633,000 USD 1,576,131 1,601,320 CAD 1,601,320 0.98060 25,189 $ 53,649,678 $ 54,468,637 $ 818,959

TOTALNUMBEROFCONTRACTS: 7 NETAPPRECIATION $ 818,959

136 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Canadian Value Fund CANADIANEQUITYFUNDS

Currency Risk (Note 11) The table below indicates the foreign currency to which the Fund had significant exposure as at June 30, 2011 and December 31, 2010 in Canadian dollar terms, including the underlying principal amount of forward currency contracts, if any. The table also illustrates the potential impact to the Fund’s net assets if the Fund’s functional currency, the Canadian Dollar, had strengthened or weakened by 5% in relation to the currency listed below, with all other variables held constant. In practice, the actual trading results may differ from these approximate sensitivity analysis amounts and the differences could be material.

Total Exposure* (000s) Impact on Net Assets (000s) Currency 2011 2010 2011 2010 UnitedStatesDollar $ 18,815 $ 35,358 $ 941 $ 1,768

As Percentage of Net Assets (%) 2.46 4.66 0.12 0.23

* Includes both monetary and non-monetary instruments, where applicable. Financial Instruments by the Level in the Fair Value Hierarchy (in 000s) (Note 11) The table below illustrates the classification of the Fund’s financial instruments within the fair value hierarchy as at June 30, 2011 and December 31, 2010:

Level1 Level2 Level3 Total June 30, 2011 CommonShares $ 750,494 $ 6,555 $0$757,049 Warrants 421 00421 Short-Term Investments 0 4,400 0 4,400 Forward Contracts 0 819 0 819 $ 750,915 $ 11,774 $0$762,689

December 31, 2010 CommonShares $ 738,810 $ 16,408 $0$755,218 Short-Term Investments 0 1,200 0 1,200 Forward Contracts 0 620 0 620 $ 738,810 $ 18,228 $0$757,038

During the periods, transfers between Level 1 and Level 2 were nil.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 2,360 $ 3,161

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 137 CANADIANEQUITYFUNDS TD Canadian Small-Cap Equity Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 472,872 $ 517,152 Interest $ 347 $ 1,276 Short-Term Investments 0 5,438 Dividends 3,064 2,124 Foreign Currencies 92 3 Securities Lending 93 116 Cash 0 347 3,504 3,516 Dividends Receivable 683 812 Expenses (Note 5) Subscriptions Receivable 147 740 Management Fees 2,462 2,120 Receivable for Investment Sales 4,129 57 Administration Fees 364 258 477,923 524,549 Independent Review Committee Fees 11 Liabilities Bank Charges and Interest 21 Bank Overdraft 516 0 2,829 2,380 Accrued Liabilities 442 445 Less: Waived Expenses (2) (1) Redemptions Payable 109 420 2,827 2,379 Payable for Investment Purchases 2,831 511 Net Investment Income (Loss) 677 1,137 3,898 1,376 Net Realized Gain (Loss) on Net Assets (Note 3) $ 474,025 $ 523,173 Sale of Investments 53,398 27,623 Net Assets Representing Unitholders’ Equity (Note 4) Net Change in Unrealized Appreciation/ Investor Series $ 199,564 $ 201,559 Depreciation of Investments (67,201) (18,806) Institutional Series $ 10,268 $ 11,779 Transaction Costs on Purchase and Sale Advisor Series $ 7,934 $ 7,157 of Investments (Note 3) (983) (751) F-Series $ 672 $ 596 Net Gain (Loss) on Investments (14,786) 8,066 O-Series $ 255,587 $ 302,082 Increase (Decrease) in Net Assets $ 474,025 $ 523,173 from Investment Operations† $ (14,109) $ 9,203 Number of Units Outstanding †Increase (Decrease) in Net Assets from Investment Operations Investor Series 5,381,973 5,227,808 Investor Series $ (8,544) $ 1,471 Institutional Series 526,392 586,072 Institutional Series $ (222) $ 26,760 Advisor Series 490,377 425,368 Advisor Series $ (375)$ (42) F-Series 49,282 42,322 F-Series $ (25) $9 O-Series $ (4,943) $ (18,995) O-Series 18,950,896 21,786,808 $ (14,109) $ 9,203 Net Assets Per Unit (Note 3) Investor Series $ 37.08 $ 38.56 Increase (Decrease) in Net Assets from Investment Operations – Institutional Series $ 19.51 $ 20.10 Per Unit (Note 3) Investor Series $ (1.48)$ 0.28 Advisor Series $ 16.18 $ 16.82 Institutional Series $ (0.58)$ 0.31 F-Series $ 13.65 $ 14.08 Advisor Series $ (0.64)$ 0.08 O-Series $ 13.49 $ 13.87 F-Series $ (0.43)$ 0.18 O-Series $ (0.36)$ 0.19

138 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. CANADIANEQUITYFUNDS TD Canadian Small-Cap Equity Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 201,559 $ 153,213 $ 11,779 $ 286,358 $ 7,157 $ 3,122 Increase (Decrease) in Net Assets from Investment Operations (8,544) 1,471 (222) 26,760 (375) (42) Capital Unit Transactions† Proceeds from Sale of Units 30,048 13,053 580 2,949 2,961 2,508 Reinvestments of Distributions 00 90 00 Early Redemption Fees 21 00 00 Amounts Paid on Redemptions (23,501) (17,797) (1,869) (307,040) (1,809) (731) 6,549 (4,743) (1,280) (304,091) 1,152 1,777 Distributions to Unitholders 00 (9) 000 Increase (Decrease) in Net Assets for the Period (1,995) (3,272) (1,511) (277,331) 777 1,735 Net Assets, End of the Period $ 199,564 $ 149,941 $ 10,268 $ 9,027 $ 7,934 $ 4,857 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 5,227,808 5,379,059 586,072 19,585,819 425,368 251,267 Units Issued 757,352 432,411 28,654 189,811 170,822 191,815 Units Issued on Reinvestments 00 423 000 Units Redeemed (603,187) (592,568) (88,757) (19,169,166) (105,813) (55,661) Units Outstanding, End of the Period 5,381,973 5,218,902 526,392 606,464 490,377 387,421

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 596 $ 544 $ 302,082 $ 5,711 $ 523,173 $ 448,948 Increase (Decrease) in Net Assets from Investment Operations (25) 9 (4,943) (18,995) (14,109) 9,203 Capital Unit Transactions† Proceeds from Sale of Units 106 98 1,944 291,634 35,639 310,242 Reinvestments of Distributions 00 395 0 404 0 Early Redemption Fees 00 31 52 Amounts Paid on Redemptions (5) (327) (43,499) (28,705) (70,683) (354,600) 101 (229) (41,157) 262,930 (34,635) (44,356) Distributions to Unitholders 00 (395) 0 (404) 0 Increase (Decrease) in Net Assets for the Period 76 (220) (46,495) 243,935 (49,148) (35,153) Net Assets, End of the Period $ 672 $ 324 $ 255,587 $ 249,646 $ 474,025 $ 413,795 †Capital Unit Transactions Units Outstanding, Beginning of the Period 42,322 53,012 21,786,808 568,645 Units Issued 7,271 8,956 135,386 26,457,639 Units Issued on Reinvestments 19 0 27,113 0 Units Redeemed (330) (30,883) (2,998,411) (2,683,600) Units Outstanding, End of the Period 49,282 31,085 18,950,896 24,342,684

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 139 CANADIANEQUITYFUNDS

TD Canadian Small-Cap Equity Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 494,000 Keegan Resources Inc. $$3,826,256 3,695,120 No. of Shares 197,200 LabradorIronMinesHoldingsLimited 2,247,563 2,415,700 or Units Description Cost FairValue 1,161,600 Lake Shore Gold Corp. 4,903,101 3,252,480 1,078,200 Lundin Mining Corporation 4,440,490 7,967,898 Canadian Equities – 99.0% 506,500 MajorDrillingGroupInternationalInc. 3,219,785 6,331,250 ENERGY – 27.5% 292,533 Minefinders Corporation Ltd. 4,197,236 3,647,887 563,300 Advantage Oil & Gas Ltd. $ 4,649,112 $ 4,303,612 829,000 Minera Andes Inc. 1,385,687 2,006,180 2,546,400 Antrim Energy Inc. 2,815,465 2,775,576 256,200 Mirasol Resources Ltd. 1,495,038 1,088,850 407,900 Bankers Petroleum Ltd. 3,139,730 2,806,352 770,600 North American Palladium Ltd. 5,201,627 3,051,576 410,800 BlackPearl Resources Inc. 1,740,081 2,793,440 1,414,208 Oromin Explorations Ltd. 1,785,116 905,093 305,700 BNK Petroleum Inc. 1,103,772 1,412,334 383,250 Osisko Mining Corporation 4,671,482 5,729,588 264,000 Calfrac Well Services Ltd. 5,442,357 8,360,880 249,900 Pan American Silver Corp. 8,483,667 7,429,527 2,856,000 Calmena Energy Services Inc. 2,114,633 1,413,720 439,900 Rio Alto Mining Limited 991,810 901,795 93,804 Celtic Exploration Ltd. 667,556 1,998,963 852,900 Sabina Gold & Silver Corp. 3,644,178 5,032,110 200,000 Ensign Energy Services Inc. 2,578,587 3,824,000 437,500 SEMAFO Inc. 2,244,566 3,220,000 319,900 Flint Energy Services Ltd. 4,064,468 4,446,610 113,300 Silver Standard Resources Inc. 3,703,038 2,910,677 32,892 Keyera Corp. 667,218 1,437,051 176,700 Yalian Steel Corporation 266,817 167,865 214,200 Legacy Oil + Gas Inc. 2,472,112 2,506,140 109,969,278 117,106,754 98,200 MEG Energy Corp. 4,271,614 4,922,766 194,800 Midway Energy Ltd. 787,267 816,212 INDUSTRIALS – 9.8% 187,468 Mullen Group Ltd. 3,124,991 3,799,976 560,500 Aecon Group Inc. 5,359,747 4,523,235 34,233 Niko Resources Ltd. 2,788,759 2,050,557 22,300 Ag Growth International Inc. 559,763 1,021,340 201,900 Open Range Energy Corp. 690,397 965,082 1,392,000 Air Canada, Class “B” 3,058,544 3,215,520 231,600 Pason Systems Inc. 3,247,972 3,353,568 413,260 CAE Inc. 5,032,405 5,364,115 387,219 Peyto Exploration & Development Corp. 7,194,304 8,321,336 182,100 Cervus Equipment Corporation 2,093,156 3,042,891 369,931 Progress Energy Resources Corp. 5,588,666 5,075,453 142,850 The Churchill Corporation 2,438,574 2,339,883 1,219,500 Secure Energy Services Inc. 7,718,381 11,646,225 77,962 Finning International Inc. 2,174,186 2,222,697 179,100 ShawCor Ltd., Class “A” SV 4,885,601 5,276,286 532,300 Heroux-Devtek Inc. 3,685,600 4,375,506 670,219 Storm Resources Ltd. 2,621,299 3,351,095 123,550 IBI Group Inc. 1,472,748 1,701,284 1,660,200 Strateco Resources Inc. 1,454,188 780,294 54,800 Progressive Waste Solutions Ltd. 1,258,372 1,315,200 919,000 Surge Energy Inc. 5,099,281 8,905,110 136,100 Ritchie Bros. Auctioneers Incorporated 3,109,010 3,588,957 147,400 Tourmaline Oil Corp. 3,115,167 4,716,800 163,200 Rocky Mountain Dealership Inc. 1,651,399 1,586,304 127,150 Trican Well Service Ltd. 1,998,977 2,878,676 187,700 Strongco Corp. 690,572 985,425 195,700 Trinidad Drilling Ltd. 1,883,113 1,638,009 147,100 Toromont Industries Ltd. 2,342,393 2,786,074 350,066 Uranium One Inc. 1,559,454 927,675 130,600 TransForce Inc. 1,290,961 1,951,164 7,784,500 Valeura Energy Inc., Restricted 2,336,590 1,811,835 183,300 Wajax Corporation 5,828,894 6,655,623 3,892,250 Valeura Energy Inc., 42,046,324 46,675,218 Warrants 28/02/2016 (Restricted) 193,373 144,013 CONSUMER DISCRETIONARY – 7.5% 196,950 Veresen Inc. 2,054,845 2,733,666 20,300 Astral Media Inc., Class “A” NV 731,735 755,363 20,300 Vermilion Energy Inc. 647,480 1,032,661 8,470,100 Azure Dynamics Corporation 1,447,684 2,286,927 1,157,000 Vero Energy Inc. 7,240,938 6,305,650 37,200 Cineplex Inc. 735,851 989,892 323,202 Western Energy Services Corp. 1,869,177 2,343,215 62,390 Cogeco Cable Inc., SV 2,432,407 2,808,174 742,600 Wild Stream Exploration Inc. 5,314,573 8,413,658 186,469 Corus Entertainment Inc., Class “B” NV 3,575,625 3,820,750 109,141,498 130,288,496 582,500 GreatCanadianGamingCorporation 3,707,869 4,467,775

MATERIALS – 24.7% 259,900 Groupe Aeroplan Inc. 3,550,988 3,456,670 553,800 Alamos Gold Inc. 8,074,032 8,822,034 137,332 Linamar Corporation 645,895 2,973,238 1,301,400 Anvil Mining Limited 3,709,110 7,938,540 818,900 Martinrea International Inc. 6,321,610 6,608,523 358,166 Canam Group Inc. 2,869,138 2,406,876 158,400 Quebecor Inc., Class “B” SV 4,297,403 5,018,112 947,700 Capstone Mining Corp. 4,318,242 3,383,289 99,025 TVA Group Inc., Class “B” NV 1,025,085 1,213,056 3,785,173 Cathay Forest Products Corp. 4,624,034 785,423 453,080 Zungui Haixi Corporation 1,472,510 955,999 37,400 CCL Industries Inc., Class “B” NV 884,960 1,234,574 29,944,662 35,354,479 201,250 Conifex Timber Inc. 1,660,313 1,942,063 CONSUMER STAPLES – 4.7% 161,800 Continental Gold Ltd. 1,395,845 1,187,612 215,900 Alliance Grain Traders Inc. 4,291,986 5,570,220 1,274,400 CopperMountainMiningCorporation 3,414,551 9,507,024 1,561,700 BioExx Specialty Proteins Ltd. 3,918,759 1,561,700 139,900 Detour Gold Corporation 1,998,038 3,906,008 89,500 EmpireCompanyLimited,Class“A”NV 4,741,687 4,960,985 188,400 First Majestic Silver Corp. 3,223,044 3,347,868 311,451 Maple Leaf Foods Inc. 3,508,706 3,690,694 267,900 Fortuna Silver Mines Inc. 1,472,616 1,344,858 635,000 Viterra Inc. 5,823,597 6,623,050 227,400 Grande Cache Coal Corporation 2,620,055 1,992,024 629,600 Guyana Goldfields Inc. 6,321,960 4,300,168 22,284,735 22,406,649 778,400 Hana Mining Ltd. 3,234,652 1,113,112 HEALTH CARE – 1.4% 105,800 HudBay Minerals Inc. 1,422,334 1,523,520 2,276,700 Centric Health Corporation (Restricted) 2,732,040 5,017,845 144,650 IAMGOLD Corporation 2,018,897 2,618,165 147,000 CML HealthCare Inc. 1,725,281 1,371,510 4,457,321 6,389,355

140 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Canadian Small-Cap Equity Fund CANADIANEQUITYFUNDS

No. of Shares Paror Value Units Description Cost FairValue Par Value Description Cost FairValue

FINANCIALS – 10.1% Financial Instruments by the Level in the Fair Value Hierarchy 446,000 Altus Group Limited $$4,552,608 3,171,060 (in 000s) (Note 11) 428,400 Canaccord Financial Inc. 4,674,187 5,295,024 The table below illustrates the classification of the Fund’s financial instruments within the 217,800 Canadian Western Bank 4,725,857 6,703,884 fair value hierarchy as at June 30, 2011 and December 31, 2010: 8,790 E-L Financial Corporation Limited 5,029,818 3,867,600

293,202 Gluskin Sheff + Associates Inc. 4,321,386 5,512,198 Level1 Level2 Level3 Total 124,900 GMP Capital Inc. 1,535,021 1,592,475 507,200 Guardian Capital Group Limited, June 30, 2011 Class “A” NV 2,891,395 5,026,352 CommonShares $ 465,113 $ 6,974 $ 785 $ 472,872 150,600 Industrial Alliance Insurance and Financial Services Inc. 4,876,749 6,036,048 December 31, 2010 117,800 Intact Financial Corporation 4,264,703 6,507,272 CommonShares $ 511,951 $ 5,109 $0$517,060 97,400 TMX Group Inc. 3,836,652 4,236,900 Short-Term Investments 0 5,438 0 5,438 Rights 92 0092 40,708,376 47,948,813 $ 512,043 $ 10,547 $0$522,590 INFORMATION TECHNOLOGY – 5.8% 38,100 Constellation Software Inc. 880,988 2,689,860 During the periods, transfers between Level 1 and Level 2 were nil. 195,873 Evertz Technologies Limited 2,528,857 2,565,936 Reconciliation of Level 3 Fair Value Measurements (in 000s) 445,499 EXFO Inc. 2,771,317 3,269,963 202,300 NexJ Systems Inc. 1,820,700 1,782,263 The table below reconciles the Fund’s Level 3 fair value measurements from December 31, 152,772 Open Text Corporation 6,496,859 9,403,117 2010 to June 30, 2011: 700,100 Redknee Solutions Inc. 987,141 840,120 Common 206,100 RuggedCom Inc. 2,876,873 4,163,220 Shares 1,271,700 Sandvine Corporation 2,704,530 2,924,910 Balance at December 31, 2010 $0 21,067,265 27,639,389 Net Transfers In (Out) 785

TELECOMMUNICATION SERVICES – 1.0% Balance at June 30, 2011 $ 785 2,728,350 Peer 1 Network Enterprises Inc. 3,207,163 4,501,778 Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) UTILITIES – 2.4% The table below summarizes cash flows associated with the maturities of the Fund’s financial 617,810 AlgonquinPower&UtilitiesCorp. 2,402,098 3,527,695 liabilities as at June 30, 2011 and December 31, 2010: 57,500 Boralex Inc., Class “A” 500,832 455,975 292,500 BrookfieldInfrastructurePartnersLP 4,978,883 7,034,625 Less than 3 months 473,620 Tonbridge Power Inc. 1,383,311 182,344 2011 2010 9,265,124 11,200,639 Accounts payable and other liabilities $ 3,898 $ 1,376 ROYALTY/INCOME TRUSTS – 4.1% 461,400 Chartwell Seniors Housing Real Estate Investment Trust 3,627,344 3,861,918 124,500 H&R Real Estate Investment Trust 2,549,338 2,684,220 473,500 InnVestRealEstateInvestmentTrust 2,593,023 3,167,715 118,126 LabradorIronOreRoyaltyCorporation 1,878,738 4,571,476 175,200 Primaris Retail Real Estate Investment Trust 3,609,962 3,680,952 139,600 TransGlobe Apartment Real Estate Investment Trust 1,391,114 1,587,252 15,649,519 19,553,533

Total Canadian Equities 407,741,265 469,065,103

U.S. Equities – 0.8% MATERIALS – 0.8% 553,600 Argonaut Gold Inc. 2,804,967 2,900,864 53,200 Golden Minerals Company 1,110,665 906,528 3,915,632 3,807,392

Transaction Costs (Note 3) (1,133,627) 0

TOTALINVESTMENT PORTFOLIO – 99.8% 410,523,270 472,872,495 FOREIGN CURRENCIES – 0.0% 92,303 92,238 OTHER NET ASSETS – 0.2% 1,060,461 1,060,461

TOTAL NET ASSETS – 100.0% $ 411,676,034 $ 474,025,194

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 141 U.S.EQUITYFUNDS TD North American Dividend Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 142,670 $ 135,405 Interest $2$20 Short-Term Investments 3,322 397 Dividends 2,549 2,172 Foreign Currencies 57 189 Securities Lending 33 Cash 109 74 Less: Withholding Taxes (220) (192) Dividends Receivable 355 327 2,334 2,003 Subscriptions Receivable 177 26 Expenses (Note 5) 146,690 136,418 Management Fees 892 750 Liabilities Administration Fees 100 82 Accrued Liabilities 171 156 Independent Review Committee Fees 00 Redemptions Payable 112 165 992 832 Distributions Payable 585 0 Less: Waived Expenses (0) (0) 868 321 992 832 Net Assets (Note 3) $ 145,822 $ 136,097 Net Investment Income (Loss) 1,342 1,171 Net Assets Representing Unitholders’ Equity (Note 4) Net Realized Gain (Loss) on Investor Series $ 58,996 $ 49,430 Sale of Investments (314) (523) Institutional Series $ 79,414 $ 81,242 Net Change in Unrealized Appreciation/ Advisor Series $ 6,738 $ 5,176 Depreciation of Investments 5,999 (5,001) F-Series $ 674 $ 249 Transaction Costs on Purchase and Sale of Investments (Note 3) (17) (46) $ 145,822 $ 136,097 Net Gain (Loss) on Investments 5,668 (5,570) Number of Units Outstanding Investor Series 4,784,663 4,178,875 Increase (Decrease) in Net Assets from Investment Operations† $ 7,010 $ (4,399) Institutional Series 7,550,862 8,045,959 Advisor Series 871,830 698,081 †Increase (Decrease) in Net Assets from Investment Operations F-Series 84,833 32,697 Investor Series $ 2,304 $ (1,943) Institutional Series $ 4,425 $ (2,275) Net Assets Per Unit (Note 3) Advisor Series $ 256 $ (174) Investor Series $ 12.33 $ 11.83 F-Series $ 25 $ (7) Institutional Series $ 10.52 $ 10.10 $ 7,010 $ (4,399) Advisor Series $ 7.73 $ 7.41 Increase (Decrease) in Net Assets from Investment Operations – F-Series $ 7.94 $ 7.61 Per Unit (Note 3) Investor Series $ 0.54 $ (0.45) Institutional Series $ 0.56 $ (0.28) Advisor Series $ 0.34 $ (0.31) F-Series $ 0.40 $ (0.27)

142 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. U.S.EQUITYFUNDS TD North American Dividend Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 49,430 $ 48,182 $ 81,242 $ 80,100 $ 5,176 $ 3,613 Increase (Decrease) in Net Assets from Investment Operations 2,304 (1,943) 4,425 (2,275) 256 (174) Capital Unit Transactions† Proceeds from Sale of Units 12,637 6,631 3,373 4,245 1,922 1,044 Reinvestments of Distributions 159 142 00 18 11 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (5,372) (5,696) (8,540) (7,919) (614) (322) 7,424 1,077 (5,167) (3,674) 1,326 733 Distributions to Unitholders (162) (145) (1,086) (1,011) (20) (12) Increase (Decrease) in Net Assets for the Period 9,566 (1,011) (1,828) (6,960) 1,562 547 Net Assets, End of the Period $ 58,996 $ 47,171 $ 79,414 $ 73,140 $ 6,738 $ 4,160 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 4,178,875 4,275,163 8,045,959 8,325,021 698,081 511,639 Units Issued 1,033,223 585,310 328,744 439,569 251,535 147,240 Units Issued on Reinvestments 12,842 12,952 00 2,342 1,651 Units Redeemed (440,277) (504,649) (823,841) (823,013) (80,128) (45,723) Units Outstanding, End of the Period 4,784,663 4,368,776 7,550,862 7,941,577 871,830 614,807

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 249 $ 130 $ 136,097 $ 132,025 Increase (Decrease) in Net Assets from Investment Operations 25 (7) 7,010 (4,399) Capital Unit Transactions† Proceeds from Sale of Units 529 112 18,461 12,032 Reinvestments of Distributions 62 183 155 Early Redemption Fees 00 00 Amounts Paid on Redemptions (129) (17) (14,655) (13,954) 406 97 3,989 (1,767) Distributions to Unitholders (6) (2) (1,274) (1,170) Increase (Decrease) in Net Assets for the Period 425 88 9,725 (7,336) Net Assets, End of the Period $ 674 $ 218 $ 145,822 $ 124,689 †Capital Unit Transactions Units Outstanding, Beginning of the Period 32,697 18,020 Units Issued 67,637 15,462 Units Issued on Reinvestments 743 273 Units Redeemed (16,244) (2,312) Units Outstanding, End of the Period 84,833 31,443

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 143 U.S.EQUITYFUNDS

TD North American Dividend Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) CONSUMER DISCRETIONARY – 3.9% No. of Shares 41,600 The Home Depot Inc. $$1,258,295 1,451,983 or Units Description Cost FairValue 30,300 McDonald’s Corporation 1,689,551 2,462,901 20,900 NIKE Inc., Class “B” 1,198,971 1,813,123 Canadian Equities – 31.3% 4,146,817 5,728,007 ENERGY – 7.6% 99,400 Canadian Oil Sands Limited $ 2,966,467 $ 2,761,332 CONSUMER STAPLES – 15.4% 41,000 Cenovus Energy Inc. 1,432,226 1,489,120 78,900 Altria Group Inc. 1,634,891 2,008,911 37,000 Crescent Point Energy Corp. 1,664,505 1,643,540 49,000 The Coca-Cola Company 2,682,212 3,179,522 64,000 Enbridge Inc. 1,292,201 2,003,200 18,550 Colgate-Palmolive Company 1,367,059 1,563,276 41,000 EnCana Corporation 1,574,110 1,217,700 21,000 Kimberly-Clark Corporation 1,317,603 1,347,462 47,000 TransCanada Corporation 1,691,817 1,984,340 44,000 Kraft Foods Inc., Class “A” 1,319,856 1,494,589 11,500 Lorillard Inc. 1,210,230 1,207,607 10,621,326 11,099,232 47,000 PepsiCo Inc. 3,108,578 3,190,266 INDUSTRIALS – 1.0% 60,000 Philip Morris International Inc. 3,036,541 3,862,044 20,000 CanadianNationalRailwayCompany 821,941 1,541,000 75,050 The Procter & Gamble Company 4,931,820 4,597,703

CONSUMER DISCRETIONARY – 2.1% 20,608,790 22,451,380 66,900 Shaw Communications Inc., HEALTH CARE – 10.1% Class “B” NV 1,505,399 1,470,462 44,950 Abbott Laboratories 2,530,939 2,279,450 44,700 Thomson Reuters Corporation 1,581,430 1,617,246 50,000 Bristol-Myers Squibb Company 1,361,466 1,395,559 3,086,829 3,087,708 71,000 Johnson & Johnson 4,765,625 4,550,912 82,000 Merck & Co., Inc. 3,061,230 2,789,324 FINANCIALS – 16.2% 190,000 Pfizer Inc. 3,598,793 3,773,025 56,500 Bank of Montreal 2,875,065 3,461,190 60,000 The Bank of Nova Scotia 2,711,664 3,480,600 15,318,053 14,788,270 44,850 CanadianImperialBankofCommerce 3,138,362 3,413,085 FINANCIALS – 3.7% 55,050 Great-West Lifeco Inc. 1,612,478 1,400,472 66,000 JPMorgan Chase & Co. 2,890,559 2,604,073 27,400 National Bank of Canada 1,262,906 2,140,488 102,950 Wells Fargo & Company 2,868,576 2,785,088 48,950 Power Financial Corporation 1,600,667 1,454,305 5,759,135 5,389,161 60,250 Royal Bank of Canada 2,896,299 3,313,148 56,500 Sun Life Financial Inc. 2,297,223 1,636,805 INFORMATION TECHNOLOGY – 5.3% 40,700 The Toronto-Dominion Bank* 2,490,680 3,328,446 127,400 Intel Corporation 2,314,454 2,720,362 20,885,344 23,628,539 18,000 International Business Machines Corporation 1,957,816 2,975,868 TELECOMMUNICATION SERVICES – 4.4% 78,800 Microsoft Corporation 2,020,075 1,974,445 56,000 BCE Inc. 1,302,554 2,117,360 6,292,345 7,670,675 51,300 Rogers Communications Inc., Class “B” NV 1,636,329 1,955,043 TELECOMMUNICATION SERVICES – 2.5% 43,000 TELUS Corporation 1,422,850 2,282,010 119,517 AT&T Inc. 3,872,244 3,618,268

4,361,733 6,354,413 UTILITIES – 4.9% Total Canadian Equities 39,777,173 45,710,892 37,000 Dominion Resources Inc. 1,560,250 1,722,141 116,000 Duke Energy Corporation 2,135,547 2,104,391 U.S. Equities – 66.5% 27,550 Nextera Energy Inc. 1,653,481 1,525,949 44,300 Southern Company 1,599,150 1,724,814 ENERGY – 9.2% 54,000 Chevron Corporation 4,534,519 5,351,772 6,948,428 7,077,295 42,000 ConocoPhillips 2,554,835 3,043,688 Total U.S. Equities 89,176,864 96,958,934 63,500 Exxon Mobil Corporation 4,710,336 4,979,634 Transaction Costs (Note 3) (108,406) 0 11,799,690 13,375,094 TOTALINVESTMENT MATERIALS – 1.1% PORTFOLIO – 97.8% 128,845,631 142,669,826 32,000 DuPont(E.I.)deNemours&Company 1,184,979 1,667,495 SHORT-TERM INDUSTRIALS – 10.4% INVESTMENTS (CAD) – 0.8% 1,200,000 1,200,000 15,800 3M Company 1,287,637 1,445,049 SHORT-TERM 17,500 The Boeing Company 1,151,362 1,247,781 INVESTMENTS (USD) – 1.5% 2,121,790 2,121,790 15,000 Caterpillar Inc. 1,323,776 1,539,696 33,850 Emerson Electric Company 1,478,788 1,835,720 FOREIGN CURRENCIES – 0.0% 57,508 57,488 30,000 Honeywell International Inc. 1,647,255 1,722,990 OTHER NET LIABILITIES – (0.1%) (225,553) (227,345) 27,000 Illinois Tool Works Inc. 1,184,442 1,470,748 23,000 Norfolk Southern Corporation 1,410,740 1,661,458 TOTAL NET ASSETS – 100.0% $ 131,999,376 $ 145,821,759 21,000 Northrop Grumman Corporation 1,246,515 1,404,577 * Related party to the Fund as an affiliated entity of 19,500 United Parcel Service Inc. 1,364,501 1,371,578 TD Asset Management Inc. 17,500 United Technologies Corporation 1,151,367 1,493,692 13,246,383 15,193,289

144 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD North American Dividend Fund U.S.EQUITYFUNDS

Total Exposure* (000s) Impact on Net Assets (000s) Currency 2011 2010 2011 2010 UnitedStatesDollar $ 99,287 $ 92,908 $ 4,964 $ 4,645

As Percentage of Net Assets (%) 68.09 68.27 3.40 3.41

Level1 Level2 Level3 Total June 30, 2011 CommonShares $ 142,670 $0$0$142,670 Short-Term Investments 0 3,322 0 3,322 $ 142,670 $ 3,322 $0$145,992

December 31, 2010 CommonShares $ 135,405 $0$0$135,405 Short-Term Investments 0 397 0 397 $ 135,405 $ 397 $0$135,802

During the periods, transfers between Level 1 and Level 2 were nil.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 868 $ 321

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 145 U.S.EQUITYFUNDS TD U.S. Blue Chip Equity Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 709,643 $ 628,108 Interest $4$3 Short-Term Investments 0 3,187 Dividends 2,980 2,397 Foreign Currencies 8,440 1 Securities Lending 19 15 Dividends Receivable 391 340 Less: Withholding Taxes (367) (335) Subscriptions Receivable 213 320 2,636 2,080 Receivable for Investment Sales 868 1,351 Expenses (Note 5) 719,555 633,307 Management Fees 1,360 2,409 Liabilities Administration Fees 189 156 Accrued Liabilities 258 248 Independent Review Committee Fees 22 Redemptions Payable 951 68 Bank Charges and Interest 01 Payable for Investment Purchases 1,324 139 1,551 2,568 2,533 455 Less: Waived Expenses (1) (2) Net Assets (Note 3) $ 717,022 $ 632,852 1,550 2,566 Net Investment Income (Loss) 1,086 (486) Net Assets Representing Unitholders’ Equity (Note 4) Investor Series $ 112,813 $ 100,851 Net Realized Gain (Loss) on Institutional Series $ 17,384 $ 19,015 Sale of Investments 22,855 6,088 Advisor Series $ 6,579 $ 4,857 Net Change in Unrealized Appreciation/ F-Series $ 231 $ 197 Depreciation of Investments (541) (48,421) O-Series $ 580,015 $ 507,932 Transaction Costs on Purchase and Sale of Investments (Note 3) (138) (158) $ 717,022 $ 632,852 Net Gain (Loss) on Investments 22,176 (42,491) Number of Units Outstanding Investor Series 8,544,558 7,809,805 Increase (Decrease) in Net Assets from Investment Operations† $ 23,262 $ (42,977) Institutional Series 1,106,725 1,247,056 Advisor Series 1,113,319 840,721 †Increase (Decrease) in Net Assets from Investment Operations F-Series 33,377 29,338 Investor Series $ 2,248 $ (7,717) Institutional Series $ 618 $ 5,283 O-Series 51,309,164 46,523,029 Advisor Series $ 95 $ (306) Net Assets Per Unit (Note 3) F-Series $5$(11) Investor Series $ 13.20 $ 12.91 O-Series $ 20,296 $ (40,226) Institutional Series $ 15.71 $ 15.25 $ 23,262 $ (42,977) Advisor Series $ 5.91 $ 5.78 Increase (Decrease) in Net Assets from Investment Operations – F-Series $ 6.92 $ 6.72 Per Unit (Note 3) O-Series $ 11.30 $ 10.92 Investor Series $ 0.29 $ (0.94) Institutional Series $ 0.46 $ (1.00) Advisor Series $ 0.13 $ (0.47) F-Series $ 0.20 $ (0.46) O-Series $ 0.39 $ (0.82)

146 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. U.S.EQUITYFUNDS TD U.S. Blue Chip Equity Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 100,851 $ 98,991 $ 19,015 $ 525,958 $ 4,857 $ 3,216 Increase (Decrease) in Net Assets from Investment Operations 2,248 (7,717) 618 5,283 95 (306) Capital Unit Transactions† Proceeds from Sale of Units 21,739 10,462 1,387 6,160 2,782 1,145 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (12,025) (11,747) (3,636) (520,351) (1,155) (440) 9,714 (1,285) (2,249) (514,191) 1,627 705 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period 11,962 (9,002) (1,631) (508,908) 1,722 399 Net Assets, End of the Period $ 112,813 $ 89,989 $ 17,384 $ 17,050 $ 6,579 $ 3,615 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 7,809,805 8,291,077 1,247,056 37,863,720 840,721 602,264 Units Issued 1,645,454 886,622 89,712 453,919 468,849 215,650 Units Issued on Reinvestments 00 00 00 Units Redeemed (910,701) (994,547) (230,043) (36,994,508) (196,251) (82,793) Units Outstanding, End of the Period 8,544,558 8,183,152 1,106,725 1,323,131 1,113,319 735,121

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 197$ 115 $ 507,932 $0$632,852 $ 628,280 Increase (Decrease) in Net Assets from Investment Operations 5 (11) 20,296 (40,226) 23,262 (42,977) Capital Unit Transactions† Proceeds from Sale of Units 104 60 125,599 538,951 151,611 556,778 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (75) (11) (73,812) (42,507) (90,703) (575,056) 29 49 51,787 496,444 60,908 (18,278) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period 34 38 72,083 456,218 84,170 (61,255) Net Assets, End of the Period $ 231 $ 153 $ 580,015 $ 456,218 $ 717,022 $ 567,025 †Capital Unit Transactions Units Outstanding, Beginning of the Period 29,338 18,759 46,523,029 0 Units Issued 15,008 9,958 11,332,247 54,060,171 Units Issued on Reinvestments 00 00 Units Redeemed (10,969) (1,745) (6,546,112) (4,358,725) Units Outstanding, End of the Period 33,377 26,972 51,309,164 49,701,446

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 147 U.S.EQUITYFUNDS

TD U.S. Blue Chip Equity Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) CONSUMER DISCRETIONARY – 21.7% No. of Shares 165,500 Amazon.com Inc. $$13,314,219 32,631,992 or Units Description Cost FairValue 100,800 Bed Bath & Beyond Inc. 3,999,529 5,673,558 2,100 CarMax Inc. 56,093 66,978 Canadian Equities – 0.7% 225,000 Carnival Corporation 8,941,076 8,165,757 ENERGY – 0.1% 11,000 Chipotle Mexican Grill Inc. 2,873,906 3,267,557 28,500 Suncor Energy Inc. $ 1,000,320 $ 1,075,285 71,500 Coach Inc. 3,179,158 4,408,496 112,900 Discovery Communications Inc., MATERIALS – 0.6% Class “C” 2,470,998 3,978,709 80,300 Potash Corporation of Saskatchewan Inc. 4,605,084 4,416,707 8,750 Dollar Tree Inc. 411,230 562,202 Total Canadian Equities 5,605,404 5,491,992 126,804 Facebook Inc., Class “B” 3,073,627 3,466,520 24,600 Fossil Inc. 2,349,461 2,792,962 U.S. Equities – 93.5% 3,900 General Motors Company 138,439 114,232 ENERGY – 8.4% 1,700 Hasbro Inc. 76,284 72,026 36,500 Baker Hughes Incorporated 2,564,278 2,553,584 140,500 Johnson Controls Inc. 4,837,936 5,641,083 56,600 CameronInternationalCorporation 2,264,711 2,744,678 1,400 Kohl’s Corporation 75,937 67,525 19,000 Cimarex Energy Co. 2,063,589 1,648,110 129,200 Las Vegas Sands Corp. 5,070,143 5,258,413 27,500 Concho Resources Inc. 2,397,747 2,437,141 251,300 Liberty Media Corporation, 64,300 EOG Resources Inc. 6,417,243 6,480,477 Interactive Class “A” 3,940,999 4,062,059 29,500 EQT Corporation 1,481,016 1,493,976 244,106 Marriott International Inc. 7,665,463 8,355,341 1,500 Exxon Mobil Corporation 118,576 117,629 100 Mattel Inc. 2,301 2,650 84,700 FMC Technologies Inc. 2,298,187 3,656,396 86,400 McDonald’s Corporation 5,734,376 7,022,924 130,800 Halliburton Company 5,580,895 6,432,392 1,500 Netflix Inc. 364,887 380,027 34,000 McDermott International Inc. 884,223 649,268 80,300 NIKE Inc., Class “B” 6,105,863 6,966,208 44,600 OccidentalPetroleumCorporation 4,068,198 4,474,365 64,100 Omnicom Group Inc. 2,696,467 2,977,311 105,700 Peabody Energy Corporation 5,363,668 6,003,386 97,600 O’Reilly Automotive Inc. 4,562,506 6,166,477 52,400 Range Resources Corporation 2,514,414 2,803,803 33,200 Polo Ralph Lauren Corporation 3,405,384 4,244,217 227,700 Schlumberger Limited 14,526,101 18,962,915 22,500 priceline.com Incorporated 7,238,469 11,108,728 318,700 Starbucks Corporation 7,679,488 12,138,050 52,542,846 60,458,120 106,600 Starwood Hotels & Resorts MATERIALS – 3.5% Worldwide Inc. 5,344,759 5,762,521 63,400 Air Products and Chemicals Inc. 5,525,517 5,842,513 27,400 Tiffany & Co. 1,675,642 2,073,907 15,500 Freeport-McMoRanCopper&GoldInc. 765,388 790,502 14,533 Time Warner Inc. 433,140 509,775 19,800 Monsanto Company 1,340,287 1,385,041 168,400 The Walt Disney Company 5,740,915 6,337,370 1,300 The Mosaic Company 88,242 84,894 12,200 Wynn Resorts Limited 899,577 1,688,933 157,900 Praxair Inc. 13,700,264 16,500,259 114,358,272 155,964,508 2,600 The Sherwin-Williams Company 208,661 210,335 CONSUMER STAPLES – 0.3% 21,628,359 24,813,544 6,300 The Coca-Cola Company 396,825 408,796 INDUSTRIALS – 16.9% 100 Costco Wholesale Corporation 6,783 7,835 109,900 3M Company 9,315,480 10,051,321 1,610 PepsiCo Inc. 104,507 109,284 21,300 The Boeing Company 1,518,725 1,518,728 1,647 The Procter & Gamble Company 104,748 100,898 19,200 Caterpillar Inc. 1,995,319 1,970,811 100 Walgreen Co. 4,203 4,094 9,100 Cummins Inc. 983,997 907,753 27,300 Whole Foods Market Inc. 1,604,693 1,670,606 491,100 Danaher Corporation 17,278,909 25,093,521 2,221,759 2,301,513 36,700 Deere & Company 2,643,591 2,918,344 27,400 Eaton Corporation 1,259,295 1,359,086 HEALTH CARE – 8.1% 92,000 Emerson Electric Company 4,733,188 4,989,254 12,400 Alexion Pharmaceuticals Inc. 589,449 562,440 79,700 Expeditors International 70,900 Allergan Inc. 4,130,683 5,691,910 of Washington Inc. 3,327,553 3,934,805 10,600 Amgen Inc. 572,835 596,318 241,700 Fastenal Company 5,949,406 8,389,541 9,600 Baxter International Inc. 554,389 552,190 118,200 FedEx Corporation 10,478,690 10,811,569 24,400 Biogen Idec Inc. 2,346,367 2,515,868 113,900 Honeywell International Inc. 5,971,589 6,541,618 105,600 Cardinal Health Inc. 4,088,966 4,624,823 9,700 Illinois Tool Works Inc. 528,403 528,380 129,200 Celgene Corporation 7,451,888 7,510,060 25,800 Joy Global Inc. 2,310,616 2,369,839 200 Cerner Corporation 7,257 11,772 5,000 Norfolk Southern Corporation 349,632 361,187 16,400 Edwards Lifesciences Corporation 1,275,950 1,378,766 68,700 Precision Castparts Corp. 8,084,823 10,902,707 194,900 Express Scripts Inc. 7,308,723 10,144,811 21,600 Roper Industries Inc. 1,687,435 1,734,482 100 Intuitive Surgical Inc. 31,104 35,859 34,900 Stanley Black & Decker 2,321,740 2,423,133 149,400 McKesson Corporation 9,787,803 12,051,590 101,200 Union Pacific Corporation 8,214,320 10,186,756 110,200 Stryker Corporation 6,248,463 6,235,588 119,500 United Technologies Corporation 8,855,220 10,199,782 51,000 Thermo Fisher Scientific Inc. 2,923,929 3,166,164 29,300 W.W. Grainger Inc. 3,462,310 4,342,183 32,600 UnitedHealth Group Incorporated 1,582,342 1,622,045 20,600 VertexPharmaceuticalsIncorporated 897,132 1,032,920 101,270,241 121,534,800 49,797,280 57,733,124

148 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD U.S. Blue Chip Equity Fund U.S.EQUITYFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

FINANCIALS – 9.1% International Equities – 4.7% 167,000 American Express Company $$6,118,128 8,325,354 BELGIUM – 0.0% 55,460 Ameriprise Financial Inc. 2,078,374 3,083,606 600 Anheuser-Busch InBev NV $$35,044 33,585 151,700 CBRichardEllisGroupInc.,Class“A” 3,614,754 3,670,844 76,700 The Charles Schwab Corporation 1,393,626 1,215,382 BERMUDA – 0.0% 400 CME Group Inc. 122,596 112,486 6,300 Marvell Technology Group Ltd. 122,564 89,682 136,900 Franklin Resources Inc. 13,084,085 17,331,999 CHINA – 3.4% 14,500 The Goldman Sachs Group Inc. 2,181,340 1,860,082 116,300 Baidu Inc., Sponsored ADR 8,754,149 15,721,121 49,000 IntercontinentalExchange Inc. 4,942,626 5,893,079 335,300 Tencent Holdings Limited 2,759,922 8,825,816 250,600 Invesco Ltd. 5,802,344 5,653,156 11,514,071 24,546,937 147,000 JPMorgan Chase & Co. 5,986,067 5,799,980 26,100 Marsh & McLennan Companies Inc. 760,310 784,616 IRELAND – 1.2% 18,700 Northern Trust Corporation 1,145,246 829,259 144,700 Accenture PLC 6,327,363 8,430,573 33,800 NYSE Euronext Inc. 1,050,478 1,115,844 SWITZERLAND – 0.0% 600 PNC Financial Services Group Inc. 37,018 34,477 3,100 Credit Suisse Group AG 159,148 116,519 64,700 Prudential Financial Inc. 3,945,567 3,967,387 41,100 State Street Corporation 1,734,540 1,786,525 UNITED KINGDOM – 0.1% 91,100 U.S. Bancorp 2,165,778 2,240,466 8,500 Shire PLC, ADR 503,970 771,497 53,300 Wells Fargo & Company 1,570,783 1,441,915 Total International Equities 18,662,160 33,988,793 57,733,660 65,146,457 Transaction Costs (Note 3) (152,221) 0 INFORMATION TECHNOLOGY – 23.7% 48,200 Altera Corporation 1,040,901 2,154,649 TOTALINVESTMENT 153,600 Apple Inc. 25,716,626 49,708,216 PORTFOLIO – 98.9% 568,181,710 709,642,883 17,000 Autodesk Inc. 614,106 632,708 FOREIGN CURRENCIES – 1.2% 8,582,209 8,440,050 5,200 Automatic Data Processing Inc. 231,179 264,097 OTHER NET LIABILITIES – (0.1%) (1,076,813) (1,060,512) 159,200 Broadcom Corporation 5,064,084 5,163,565 329,100 Corning Incorporated 6,553,141 5,757,645 TOTAL NET ASSETS – 100.0% $ 575,687,106 $ 717,022,421 186,000 eBay Inc. 5,303,217 5,787,047 284,600 EMC Corporation 5,983,930 7,561,992 13,700 Fiserv Inc. 713,811 827,396 61,900 Google Inc., Class “A” 29,777,178 30,214,491 8,600 Hewlett-Packard Company 400,910 301,911 21,700 International Business Machines Corporation 3,072,141 3,587,575 27,400 Intuit Inc. 870,217 1,369,127 242,100 Juniper Networks Inc. 6,385,759 7,355,040 48,200 MasterCard Incorporated 10,952,526 13,997,082 12,500 Microsoft Corporation 358,638 313,205 3,100 NetApp Inc. 172,171 157,831 326,700 QUALCOMM Incorporated 15,498,721 17,884,271 4,100 salesforce.com Inc. 285,467 589,183 106,800 Visa Inc. 8,358,315 8,680,085 103,400 The Western Union Company 2,130,800 1,996,477 150,800 Xilinx Inc. 4,742,486 5,304,163 134,226,324 169,607,756

TELECOMMUNICATION SERVICES – 1.8% 249,700 American Tower Corporation, Class “A” 10,287,626 12,602,276

Total U.S. Equities 544,066,367 670,162,098

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 149 TD U.S. Blue Chip Equity Fund U.S.EQUITYFUNDS

* Includes both monetary and non-monetary instruments, where applicable. Less than 3 months Financial Instruments by the Level in the Fair Value Hierarchy 2011 2010 (in 000s) (Note 11) Accounts payable and other liabilities $ 2,533 $ 455 The table below illustrates the classification of the Fund’s financial instruments within the fair value hierarchy as at June 30, 2011 and December 31, 2010:

Level1 Level2 Level3 Total June 30, 2011 CommonShares $ 697,200 $ 8,976 $ 3,467 $ 709,643

Equity positions with a fair value of $8,859 were transferred from Level 1 to Level 2 during the period as a result of decreased activity in the market for those securities.

December 31, 2010 CommonShares $ 627,662 $ 446 $0$628,108 Short-Term Investments 0 3,187 0 3,187 $ 627,662 $ 3,633 $0$631,295

Equity positions with a fair value of $7,239 were transferred from Level 2 to Level 1 during the period as a result of increased activity in the market for those securities.

150 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. U.S.EQUITYFUNDS TD U.S. Quantitative Equity Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 72,254 $ 74,001 Interest $1$0 Foreign Currencies 87Dividends 716 792 Cash 165 152 Securities Lending 13 14 Dividends Receivable 51 101 Less: Withholding Taxes (80) (121) Subscriptions Receivable 6 25 650 685 Receivable for Investment Sales 85 90 Expenses (Note 5) Unrealized Gain on Open Foreign Management Fees 470 473 Exchange Forward Contracts 00 Administration Fees 123 117 72,569 74,376 Independent Review Committee Fees 00 Liabilities 593 590 Accrued Liabilities 95 102 Less: Waived Expenses (0) (0) Redemptions Payable 32 40 593 590 127 142 Net Investment Income (Loss) 57 95 Net Assets (Note 3) $ 72,442 $ 74,234 Net Realized Gain (Loss) on Net Assets Representing Unitholders’ Equity (Note 4) Sale of Investments 9,755 624 Investor Series $ 72,442 $ 74,234 Net Change in Unrealized Appreciation/ Institutional Series N/A $0Depreciation of Investments (6,123) (3,351) Transaction Costs on Purchase and Sale $ 72,442 $ 74,234 of Investments (Note 3) (174) (61) Number of Units Outstanding Net Gain (Loss) on Investments 3,458 (2,788) Investor Series 9,526,809 10,229,581 Increase (Decrease) in Net Assets Institutional Series N/A 11 from Investment Operations† $ 3,515 $ (2,693) Net Assets Per Unit (Note 3) Investor Series $ 7.60 $ 7.26 †Increase (Decrease) in Net Assets from Investment Operations Institutional Series N/A $ 9.36 Investor Series $ 3,515 $ (2,471) Institutional Series $0$(222) $ 3,515 $ (2,693)

Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Investor Series $ 0.35 $ (0.22) Institutional Series N/A $ (0.21)

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 151 U.S.EQUITYFUNDS TD U.S. Quantitative Equity Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 74,234 $ 77,255 $0$9,615 $ 74,234 $ 86,870 Increase (Decrease) in Net Assets from Investment Operations 3,515 (2,471) 0 (222) 3,515 (2,693) Capital Unit Transactions† Proceeds from Sale of Units 1,293 1,382 00 1,293 1,382 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (6,600) (7,581) 0 (1,291) (6,600) (8,872) (5,307) (6,199) 0 (1,291) (5,307) (7,490) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (1,792) (8,670) 0 (1,513) (1,792) (10,183) Net Assets, End of the Period $ 72,442 $ 68,585 $0$8,102 $ 72,442 $ 76,687 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 10,229,581 11,805,541 11 1,152,720 Units Issued 170,633 208,445 00 Units Issued on Reinvestments 00 00 Units Redeemed (873,405) (1,141,000) (11) (149,944) Units Outstanding, End of the Period 9,526,809 10,872,986 0 1,002,776

152 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. U.S.EQUITYFUNDS

TD U.S. Quantitative Equity Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) CONSUMER STAPLES – 13.5% No. of Shares 18,700 Brown-FormanCorporation,Class“B”$$ 1,271,705 1,346,148 or Units Description Cost FairValue 500 Colgate-Palmolive Company 42,398 42,137 100 General Mills Inc. 3,828 3,588 U.S. Equities – 99.8% 21,900 The Hershey Company 1,181,341 1,201,388 ENERGY – 10.0% 66,200 Hormel Foods Corporation 1,581,700 1,901,990 717 Alpha Natural Resources Inc. $ 36,856 $ 31,402 22,900 Kimberly-Clark Corporation 1,508,249 1,469,375 26,600 Diamond Offshore Drilling Inc. 1,855,681 1,805,555 17,500 Lorillard Inc. 1,629,235 1,837,663 5,000 EQT Corporation 251,629 253,216 39,200 McCormick&CompanyIncorporated 1,824,700 1,872,931 34,558 Exxon Mobil Corporation 2,755,546 2,710,019 1,200 Mead Johnson Nutrition Company 68,536 78,178 7,700 Helmerich & Payne Inc. 395,482 490,579 9,111,692 9,753,398 8,500 Murphy Oil Corporation 608,886 538,187 1,900 PioneerNaturalResourcesCompany 177,414 164,151 HEALTH CARE – 14.2% 1,200 QEP Resources Inc. 42,580 48,377 16,500 Becton, Dickinson and Company 1,398,260 1,371,101 13,300 Rowan Companies Inc. 453,498 497,182 17,800 C. R. Bard Inc. 1,830,430 1,886,333 31,000 Tesoro Corporation 656,363 684,962 1,300 CareFusion Corporation 28,363 34,053 500 Cephalon Inc. 30,942 38,535 7,233,935 7,223,630 8,800 Cerner Corporation 511,048 517,971 MATERIALS – 6.0% 13,700 Coventry Health Care Inc. 326,852 481,480 41,200 AK Steel Holding Corporation 626,824 626,229 22,300 Edwards Lifesciences Corporation 1,815,000 1,874,786 2,600 Cliff Natural Resources Inc. 223,005 231,825 24,000 Johnson & Johnson 1,556,818 1,538,336 2,100 Ecolab Inc. 111,231 114,128 14,300 Laboratory Corporation 20,900 InternationalFlavors &FragrancesInc. 1,261,538 1,294,281 of America Holdings 1,300,194 1,334,341 28,100 Sigma-Aldrich Corporation 1,866,290 1,987,320 39,300 PerkinElmer Inc. 999,598 1,020,725 3,100 Titanium Metals Corporation 59,209 54,743 3,000 Tenet Healthcare Corporation 13,718 18,026 4,148,097 4,308,526 1,500 Waters Corporation 139,346 138,519 9,950,569 10,254,206 INDUSTRIALS – 11.9% 1,800 C.H. Robinson Worldwide Inc. 137,375 136,850 FINANCIALS – 13.0% 18,700 Cintas Corporation 531,407 595,523 31,400 American International Group Inc. 906,789 887,616 11,000 Danaher Corporation 562,893 562,062 3,200 Citigroup Inc. 123,828 128,388 1,500 Expeditors International 36,600 E*TRADE Financial Corporation 597,672 487,124 of Washington Inc. 75,046 74,055 35,200 Federated Investors Inc., Class “B” 884,185 809,336 59,800 Fastenal Company 1,886,967 2,075,691 4,000 Fifth Third Bancorp 51,782 49,110 17,100 Roper Industries Inc. 1,368,920 1,373,132 8,400 Franklin Resources Inc. 1,025,954 1,063,468 22,100 Stericycle Inc. 1,888,411 1,899,321 28,700 Genworth Financial Inc., Class “A” 298,151 284,271 13,000 W.W. Grainger Inc. 1,850,004 1,926,566 8,700 TheHartfordFinancialServicesGroupInc. 217,761 221,095 8,301,023 8,643,200 11,800 Huntington Bancshares Inc. 45,861 74,542 83,800 Janus Capital Group Inc. 955,280 762,949 CONSUMER DISCRETIONARY – 9.5% 23,900 Leucadia National Corporation 784,579 786,248 5,900 Bed Bath & Beyond Inc. 306,319 332,083 6,400 Lincoln National Corporation 179,159 175,669 800 Family Dollar Stores Inc. 34,983 40,538 3,400 Marshall & Ilsley Corporation 23,965 26,102 28,400 Gannett Co., Inc. 395,409 392,504 1,600 NYSE Euronext Inc. 57,029 52,821 36,000 Genuine Parts Company 1,837,931 1,887,737 700 Principal Financial Group Inc. 20,512 20,551 4,100 TheGoodyearTire&RubberCompany 67,803 66,352 1,607 ProLogis Inc. 55,870 55,470 5,600 Mattel Inc. 138,578 148,417 17,100 Public Storage 1,897,613 1,879,604 22,600 RadioShack Corporation 383,420 293,600 22,700 T. Rowe Price Group Inc. 1,318,682 1,320,587 18,100 Ross Stores Inc. 1,402,374 1,398,618 15,600 Zions Bancorporation 363,647 361,090 600 Scripps Networks Interactive Inc., 9,808,319 9,446,041 Class “A” 28,538 28,262 2,900 The Washington Post Company, Class “B” 1,220,408 1,170,449 3,800 Whirlpool Corporation 301,183 297,884 25,600 Wyndham Worldwide Corporation 843,466 830,322 6,960,412 6,886,766

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 153 TD U.S. Quantitative Equity Fund U.S.EQUITYFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

INFORMATION TECHNOLOGY – 20.2% INDEX EQUIVALENTS – 0.2% 800 Advanced Micro Devices Inc. $$6,547 5,385 900 SPDR S&P 500 ETF Trust $$114,596 114,542 27,000 Altera Corporation 1,232,910 1,206,961 Total U.S. Equities 71,521,815 72,253,828 48,500 Analog Devices Inc. 1,861,469 1,830,806 200 Apple Inc. 65,953 64,724 Transaction Costs (Note 3) (40,226) 0 14,200 Cognizant Technology Solutions TOTALINVESTMENT Corporation 1,030,820 1,004,405 PORTFOLIO – 99.8% 71,481,589 72,253,828 18,500 FLIR Systems Inc. 621,933 601,286 FOREIGN CURRENCIES – 0.0% 8,148 8,148 3,600 Harris Corporation 158,126 156,415 1,100 JDS Uniphase Corporation 21,261 17,664 FORWARDCONTRACTS 100 Microchip Technology Incorporated 3,736 3,655 (SCHEDULE 1) – 0.0% 0 54 32,000 Micron Technology Inc. 279,963 230,542 OTHER NET ASSETS – 0.2% 181,593 180,044 46,700 Monster Worldwide Inc. 744,585 659,833 1,925 Motorola Mobility Holdings Inc. 61,897 40,844 TOTAL NET ASSETS – 100.0% $ 71,671,330 $ 72,442,074 2,128 Motorola Solutions Inc. 85,424 94,429 1,600 National Semiconductor Corporation 37,212 37,976 25,100 Novellus Systems Inc. 862,132 874,866 107,900 SAIC Inc. 1,841,790 1,750,359 2,800 SanDisk Corporation 128,091 112,069 71,400 Tellabs Inc. 361,318 317,453 1,000 Teradata Corporation 53,357 58,060 48,700 Teradyne Inc. 850,709 695,137 10,600 Texas Instruments Incorporated 351,242 335,320 104,300 Total System Services Inc. 1,786,180 1,869,002 20,800 Western Digital Corporation 658,062 729,201 55,500 Xilinx Inc. 1,845,139 1,952,129 14,949,856 14,648,521

TELECOMMUNICATION SERVICES – 0.5% 1,200 CenturyLink Inc. 49,982 46,768 20,300 MetroPCS Communications Inc. 311,917 336,747 1,000 Sprint Nextel Corporation 4,639 5,189 366,538 388,704

UTILITIES – 0.8% 1,200 Constellation Energy Group Inc. 36,926 43,933 200 Nicor Inc. 8,552 10,561 1,900 Progress Energy Inc. 85,862 87,958 11,300 SCANA Corporation 430,304 428,739 500 Wisconsin Energy Corporation 15,134 15,103 576,778 586,294

July 05, 2011 31,046 USD $ 29,946 30,000 CAD $ 30,000 0.96420 to0.97057 $ 54

TOTALNUMBEROFCONTRACTS: 2 NETAPPRECIATION $ 54

154 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD U.S. Quantitative Equity Fund U.S.EQUITYFUNDS

Total Exposure* (000s) Impact on Net Assets (000s) Currency 2011 2010 2011 2010 UnitedStatesDollar $ 72,368 $ 74,158 $ 3,618 $ 3,708

As Percentage of Net Assets (%) 99.90 99.90 5.00 5.00

Level1 Level2 Level3 Total June 30, 2011 CommonShares $ 72,254 $0$0$72,254

December 31, 2010 CommonShares $ 74,001 $0$0$74,001

During the periods, transfers between Level 1 and Level 2 were nil.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 127 $ 142

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 155 U.S.EQUITYFUNDS TD U.S. Large-Cap Value Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 656,720 $ 622,174 Interest $ 19 $ 47 Short-Term Investments 0 17,195 Dividends 8,746 8,426 Foreign Currencies 26,435 100 Securities Lending 37 25 Interest Receivable 00Less: Withholding Taxes (1,226) (1,059) Dividends Receivable 1,033 865 7,576 7,439 Subscriptions Receivable 384 346 Expenses (Note 5) Receivable for Investment Sales 655 4,266 Management Fees 640 1,912 685,227 644,946 Administration Fees 81 72 Liabilities Independent Review Committee Fees 12 Accrued Liabilities 113 118 722 1,986 Redemptions Payable 2,821 2,884 Less: Waived Expenses (1) (1) Payable for Investment Purchases 1,281 0 721 1,985 4,215 3,002 Net Investment Income (Loss) 6,855 5,454 Net Assets (Note 3) $ 681,012 $ 641,944 Net Realized Gain (Loss) on Net Assets Representing Unitholders’ Equity (Note 4) Sale of Investments 4,280 2,606 Investor Series $ 39,348 $ 39,367 Net Change in Unrealized Appreciation/ Institutional Series $ 21,835 $ 24,307 Depreciation of Investments 399 (35,055) Advisor Series $ 7,741 $ 7,174 Transaction Costs on Purchase and Sale F-Series $ 1,220 $ 941 of Investments (Note 3) (82) (74) O-Series $ 610,868 $ 570,155 Net Gain (Loss) on Investments 4,597 (32,523) $ 681,012 $ 641,944 Increase (Decrease) in Net Assets † Number of Units Outstanding from Investment Operations $ 11,452 $ (27,069) Investor Series 4,464,172 4,487,183 †Increase (Decrease) in Net Assets from Investment Operations Institutional Series 2,388,407 2,695,035 Investor Series $ 172 $ (2,127) Advisor Series 899,953 838,230 Institutional Series $ 435 $ 27,863 F-Series 125,690 98,117 Advisor Series $ 28 $ (374) F-Series $8$(36) O-Series 58,423,525 55,483,773 O-Series $ 10,809 $ (52,395) Net Assets Per Unit (Note 3) $ 11,452 $ (27,069) Investor Series $ 8.81 $ 8.77 Institutional Series $ 9.14 $ 9.02 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Advisor Series $ 8.60 $ 8.56 Investor Series $ 0.04 $ (0.43) F-Series $ 9.70 $ 9.59 Institutional Series $ 0.12 $ (0.33) O-Series $ 10.46 $ 10.28 Advisor Series $ 0.04 $ (0.61) F-Series $ 0.11 $ (0.44) O-Series $ 0.18 $ (0.82)

156 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. U.S.EQUITYFUNDS TD U.S. Large-Cap Value Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 39,367 $ 42,170 $ 24,307 $ 571,635 $ 7,174 $ 4,262 Increase (Decrease) in Net Assets from Investment Operations 172 (2,127) 435 27,863 28 (374) Capital Unit Transactions† Proceeds from Sale of Units 5,568 3,524 2,759 39,681 3,774 2,396 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (5,759) (6,070) (5,666) (616,729) (3,235) (938) (191) (2,546) (2,907) (577,048) 539 1,458 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (19) (4,673) (2,472) (549,185) 567 1,084 Net Assets, End of the Period $ 39,348 $ 37,497 $ 21,835 $ 22,450 $ 7,741 $ 5,346 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 4,487,183 5,129,448 2,695,035 67,376,457 838,230 531,694 Units Issued 619,347 420,613 302,383 4,698,321 431,139 289,448 Units Issued on Reinvestments 00 00 00 Units Redeemed (642,358) (728,377) (609,011) (69,299,766) (369,416) (116,297) Units Outstanding, End of the Period 4,464,172 4,821,684 2,388,407 2,775,012 899,953 704,845

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 941$ 673 $ 570,155 $0$641,944 $ 618,740 Increase (Decrease) in Net Assets from Investment Operations 8 (36) 10,809 (52,395) 11,452 (27,069) Capital Unit Transactions† Proceeds from Sale of Units 432 161 79,086 639,043 91,619 684,805 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 10 10 Amounts Paid on Redemptions (161) (102) (49,183) (42,872) (64,004) (666,711) 271 59 29,904 596,171 27,616 18,094 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period 279 23 40,713 543,776 39,068 (8,975) Net Assets, End of the Period $ 1,220 $ 696 $ 610,868 $ 543,776 $ 681,012 $ 609,765 †Capital Unit Transactions Units Outstanding, Beginning of the Period 98,117 75,128 55,483,773 0 Units Issued 44,089 17,757 7,604,654 63,529,357 Units Issued on Reinvestments 00 00 Units Redeemed (16,516) (11,270) (4,664,902) (4,299,690) Units Outstanding, End of the Period 125,690 81,615 58,423,525 59,229,667

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 157 U.S.EQUITYFUNDS

TD U.S. Large-Cap Value Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 222,900 The New York Times Company, No. of Shares Class “A” $$6,197,425 1,872,440 or Units Description Cost FairValue 281,700 Staples Inc. 4,649,938 4,292,632 8,400 Tiffany & Co. 240,268 635,796 Canadian Equities – 0.5% 273,233 Time Warner Inc. 9,495,876 9,584,207 FINANCIALS – 0.5% 196,620 The Walt Disney Company 6,490,964 7,399,369 126,600 Sun Life Financial Inc. $ 3,696,067 $ 3,667,865 88,100 Whirlpool Corporation 6,247,042 6,906,203 85,194,075 89,307,691 U.S. Equities – 91.4% CONSUMER STAPLES – 7.5% ENERGY – 10.8% 79,900 Archer Daniels Midland Company 2,275,026 2,321,034 101,600 Anadarko Petroleum Corporation 5,471,149 7,518,628 256,300 Avon Products Inc. 7,138,595 6,916,335 35,500 Baker Hughes Incorporated 1,428,610 2,483,623 119,100 Campbell Soup Company 4,158,756 3,965,174 187,320 Chevron Corporation 14,812,684 18,564,701 108,900 The Clorox Company 6,844,321 7,082,079 61,200 ConocoPhillips 3,384,698 4,435,089 172,000 ConAgra Foods Inc. 3,894,057 4,276,526 33,200 Diamond Offshore Drilling Inc. 2,217,786 2,253,549 7,900 General Mills Inc. 288,705 283,433 193,700 Exxon Mobil Corporation 14,531,040 15,189,843 129,900 The Hershey Company 5,493,803 7,126,043 132,900 Murphy Oil Corporation 8,286,018 8,414,715 111,650 Kimberly-Clark Corporation 7,380,848 7,164,006 99,560 Schlumberger Limited 6,037,142 8,291,382 61,200 McCormick&CompanyIncorporated 2,320,123 2,924,066 117,170 Spectra Energy Corp. 2,897,007 3,096,326 49,400 Molson Coors Brewing Company, 77,400 Sunoco Inc. 3,081,475 3,112,093 Class “B” NV 2,134,884 2,132,061 62,147,609 73,359,949 101,700 PepsiCo Inc. 6,338,591 6,903,192

MATERIALS – 5.7% 48,267,709 51,093,949 76,070 DuPont(E.I.)deNemours&Company 3,584,258 3,963,949 HEALTH CARE – 5.5% 70,550 InternationalFlavors &FragrancesInc. 3,181,929 4,368,973 88,000 Amgen Inc. 5,077,337 4,950,560 277,570 International Paper Company 9,315,578 7,974,854 189,700 Bristol-Myers Squibb Company 5,174,290 5,294,751 128,690 MeadWestvaco Corporation 3,805,552 4,129,308 84,300 Eli Lilly and Company 4,164,640 3,050,494 104,500 Monsanto Company 6,790,558 7,309,938 148,600 Johnson & Johnson 9,728,152 9,524,866 160,400 Nucor Corporation 7,006,093 6,375,096 213,330 Merck & Co., Inc. 8,427,673 7,256,666 132,200 Vulcan Materials Company 7,868,853 4,908,761 386,143 Pfizer Inc. 6,805,030 7,668,038 41,552,821 39,030,879 39,377,122 37,745,375 INDUSTRIALS – 11.2% FINANCIALS – 18.8% 117,100 3M Company 9,554,066 10,709,825 218,000 The Allstate Corporation 6,720,919 6,418,936 94,500 Avery Dennison Corporation 4,846,309 3,518,936 286,900 American Express Company 9,371,156 14,302,659 85,500 The Boeing Company 5,103,633 6,096,303 788,982 Bank of America Corporation 15,990,805 8,332,224 49,100 Emerson Electric Company 2,376,826 2,662,743 189,280 The Bank of New York 914,440 General Electric Company 26,402,547 16,615,592 Mellon Corporation 7,099,416 4,675,134 141,090 Honeywell International Inc. 6,399,088 8,103,222 91,500 CapitalOneFinancialCorporation 4,910,742 4,559,732 159,300 Illinois Tool Works Inc. 8,099,014 8,677,411 48,380 The Chubb Corporation 2,552,081 2,921,388 81,700 ITT Corporation 4,134,960 4,641,059 437,952 JPMorgan Chase & Co. 18,954,341 17,279,681 47,200 Lockheed Martin Corporation 3,712,756 3,685,920 331,100 KeyCorp 4,808,132 2,656,821 271,400 Masco Corporation 6,172,656 3,143,638 183,400 Legg Mason Inc. 6,422,966 5,794,593 98,100 United Parcel Service Inc. 6,508,074 6,900,093 161,236 Lincoln National Corporation 6,546,044 4,425,646 98,000 USG Corporation 3,653,972 1,353,471 246,600 Marsh&McLennanCompaniesInc. 7,835,588 7,413,266 86,963,901 76,108,213 101,700 Morgan Stanley 2,697,686 2,257,907 103,100 Northern Trust Corporation 4,827,876 4,572,012 CONSUMER DISCRETIONARY – 13.1% 154,300 Cablevision Systems Corporation, 95,800 NYSE Euronext Inc. 2,872,099 3,162,657 Class “A” 3,766,485 5,387,090 76,300 PNC Financial Services Group Inc. 4,589,546 4,384,345 153,600 Comcast Corporation, Class “A” 2,753,319 3,752,374 340,500 Regions Financial Corporation 1,960,785 2,032,766 144,960 Fortune Brands Inc. 8,622,893 8,909,879 302,500 SLM Corporation 5,050,669 4,907,170 59,400 General Motors Company 2,024,550 1,739,847 226,900 SunTrust Banks Inc. 11,192,457 5,639,345 62,440 Genuine Parts Company 2,905,106 3,274,175 368,700 U.S. Bancorp 11,045,941 9,067,614 93,300 H&R Block Inc. 1,778,137 1,443,330 392,040 Wells Fargo & Company 11,565,215 10,605,789 88,700 Harley-Davidson Inc. 3,452,588 3,504,849 125,707 Weyerhaeuser Company 3,339,309 2,647,840 267,900 The Home Depot Inc. 8,615,126 9,350,633 150,353,773 128,057,525 120,100 Macy’s Inc. 2,255,219 3,384,566 52,450 Madison Square Garden Inc. 1,117,007 1,392,616 95,969 Marriott International Inc. 2,275,810 3,284,859 225,400 Mattel Inc. 4,845,430 5,973,796 178,600 The McGraw-Hill Companies Inc. 7,460,892 7,219,030

158 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD U.S. Large-Cap Value Fund U.S.EQUITYFUNDS

No. of Shares Paror Value Units Description Cost FairValue

INFORMATION TECHNOLOGY – 6.9% Currency Risk (Note 11) 133,800 Analog Devices Inc. $$4,841,334 5,050,759 The table below indicates the foreign currencies to which the Fund had significant exposure 353,100 Applied Materials Inc. 5,053,158 4,430,520 as at June 30, 2011 and December 31, 2010 in Canadian dollar terms, including the 262,600 Cisco Systems Inc. 5,193,952 3,950,927 underlying principal amount of forward currency contracts, if any. The table also illustrates 174,400 Computer Sciences Corporation 8,418,712 6,384,875 the potential impact to the Fund’s net assets if the Fund’s functional currency, the Canadian 121,100 Electronic Arts Inc. 2,350,275 2,756,360 Dollar, had strengthened or weakened by 5% in relation to all other currencies, with all 159,800 Harris Corporation 7,435,480 6,943,066 other variables held constant. In practice, the actual trading results may differ from these 220,200 Hewlett-Packard Company 8,902,103 7,730,337 approximate sensitivity analysis amounts and the differences could be material.

322,590 Microsoft Corporation 9,240,308 8,082,948 Total Exposure* (000s) Impact on Net Assets (000s) 48,100 Texas Instruments Incorporated 1,264,200 1,521,593 Currency 2011 2010 2011 2010 52,699,522 46,851,385 British Pound $ 5,163 $ 5,136 $ 258 $ 257 TELECOMMUNICATION SERVICES – 3.4% Euro 2,847 0 142 0 417,418 AT&T Inc. 13,468,807 12,636,948 UnitedStatesDollar 675,507 639,416 33,775 31,971 119,381 CenturyLink Inc. 4,031,682 4,652,686 Total $ 683,517 $ 644,552 $ 34,175 $ 32,228 159,890 Verizon Communications Inc. 6,028,390 5,738,002 As Percentage of 23,528,879 23,027,636 Net Assets (%) 100.37 100.41 5.02 5.02 UTILITIES – 7.8% * Includes both monetary and non-monetary instruments, where applicable. 64,200 CenterPoint Energy Inc. 838,800 1,198,107 183,700 Constellation Energy Group Inc. 5,370,658 6,725,353 Financial Instruments by the Level in the Fair Value Hierarchy 202,640 Duke Energy Corporation 3,717,753 3,676,154 (in 000s) (Note 11) 110,900 Entergy Corporation 8,952,450 7,303,058 The table below illustrates the classification of the Fund’s financial instruments within the 185,300 Exelon Corporation 8,745,415 7,654,260 fair value hierarchy as at June 30, 2011 and December 31, 2010: 73,570 FirstEnergy Corp. 3,551,822 3,132,645 228,750 NiSource Inc. 5,959,633 4,467,513 Level1 Level2 Level3 Total 121,400 PinnacleWestCapitalCorporation 4,708,457 5,214,932 118,700 PPL Corporation 3,645,329 3,185,984 June 30, 2011 102,800 Progress Energy Inc. 4,807,439 4,758,982 CommonShares $ 644,002 $ 7,874 $0$651,876 80,300 TECO Energy Inc. 1,425,216 1,461,393 Preferred Shares 4,844 004,844 189,700 Xcel Energy Inc. 4,237,379 4,442,176 $ 648,846 $ 7,874 $0$656,720 55,960,351 53,220,557 Equity positions with a fair value of $5,027 were transferred from Level 1 to Level 2 during PREFERRED – 0.7% the period as a result of decreased activity in the market for those securities. 103,250 General Motors Company December 31, 2010 Mandatory Convertible, Pref. Series “B” 5,184,132 4,844,541 CommonShares $ 618,300 $0$0$618,300 Total U.S. Equities 651,229,894 622,647,700 Preferred Shares 3,874 003,874 Short-Term Investments 0 17,195 0 17,195 International Equities – 4.5% $ 622,174 $ 17,195 $0$639,369 IRELAND – 0.7% 82,280 Cooper Industries PLC 3,622,382 4,735,110 Equity positions with a fair value of $5,088 were transferred from Level 2 to Level 1 during the period as a result of increased activity in the market for those securities. NETHERLANDS – 1.9% 189,450 Royal Dutch Shell PLC, Class “A”, Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) Sponsored ADR 13,134,073 12,998,349 The table below summarizes cash flows associated with the maturities of the Fund’s financial liabilities as at June 30, 2011 and December 31, 2010: SPAIN – 0.4% 120,844 Telefonica SA 2,763,875 2,846,555 Less than 3 months UNITED KINGDOM – 1.5% 2011 2010 112,340 BP PLC, Sponsored ADR 6,868,059 4,797,575 1,084,600 Vodafone Group PLC 2,465,448 2,773,741 Accounts payable and other liabilities $ 4,215 $ 3,002 186,500 WPP PLC 1,616,911 2,253,393 10,950,418 9,824,709

Total International Equities 30,470,748 30,404,723

Transaction Costs (Note 3) (219,873) 0

TOTALINVESTMENT PORTFOLIO – 96.4% 685,176,836 656,720,288 FOREIGN CURRENCIES – 3.9% 26,436,620 26,435,173 OTHER NET LIABILITIES – (0.3%) (2,132,313) (2,143,851)

TOTAL NET ASSETS – 100.0% $ 709,481,143 $ 681,011,610

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 159 U.S.EQUITYFUNDS TD U.S. Large-Cap Value Currency Neutral Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 6,253 $ 5,805 Foreign Exchange $ 349 $ (24) Cash 144 8 Expenses (Note 5) Subscriptions Receivable 27 0 Management Fees 63 42 Receivable for Investment Sales 05Administration Fees 98 Unrealized Gain on Open Foreign Independent Review Committee Fees 00 Exchange Forward Contracts 41 189 72 50 6,465 6,007 Less: Waived Expenses (0) (0) Liabilities 72 50 Accrued Liabilities 12 12 Net Investment Income (Loss) 277 (74) Redemptions Payable 40 0 Payable for Investment Purchases 24 0 Net Realized Gain (Loss) on Unrealized Loss on Open Foreign Sale of Investments 127 26 Exchange Forward Contracts 16 4 Net Change in Unrealized Appreciation/ Depreciation of Investments (181) (359) 92 16 Net Gain (Loss) on Investments (54) (333) Net Assets (Note 3) $ 6,373 $ 5,991 Increase (Decrease) in Net Assets Net Assets Representing Unitholders’ Equity (Note 4) from Investment Operations† $ 223 $ (407) Investor Series $ 3,133 $ 2,999 Advisor Series $ 2,215 $ 2,197 †Increase (Decrease) in Net Assets from Investment Operations F-Series $ 1,025 $ 795 Investor Series $ 109 $ (206) Advisor Series $ 80 $ (154) $ 6,373 $ 5,991 F-Series $ 34 $ (47) Number of Units Outstanding $ 223 $ (407) Investor Series 396,517 392,717 Advisor Series 260,250 267,011 Increase (Decrease) in Net Assets from Investment Operations – F-Series 109,875 88,800 Per Unit (Note 3) Investor Series $ 0.26 $ (0.54) Net Assets Per Unit (Note 3) Advisor Series $ 0.28 $ (0.55) Investor Series $ 7.90 $ 7.64 F-Series $ 0.37 $ (0.56) Advisor Series $ 8.51 $ 8.23 F-Series $ 9.33 $ 8.96

160 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. U.S.EQUITYFUNDS TD U.S. Large-Cap Value Currency Neutral Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Advisor Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 2,999 $ 2,669 $ 2,197 $ 1,980 Increase (Decrease) in Net Assets from Investment Operations 109 (206) 80 (154) Capital Unit Transactions† Proceeds from Sale of Units 656 447 961 500 Reinvestments of Distributions 00 00 Early Redemption Fees 00 01 Amounts Paid on Redemptions (631) (457) (1,023) (380) 25 (10) (62) 121 Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period 134 (216) 18 (33) Net Assets, End of the Period $ 3,133 $ 2,453 $ 2,215 $ 1,947 †Capital Unit Transactions Units Outstanding, Beginning of the Period 392,717 383,179 267,011 263,726 Units Issued 82,496 62,299 113,393 65,894 Units Issued on Reinvestments 00 00 Units Redeemed (78,696) (64,971) (120,154) (49,356) Units Outstanding, End of the Period 396,517 380,507 260,250 280,264

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 795$ 662 $ 5,991$ 5,311 Increase (Decrease) in Net Assets from Investment Operations 34 (47) 223 (407) Capital Unit Transactions† Proceeds from Sale of Units 288 57 1,905 1,004 Reinvestments of Distributions 00 00 Early Redemption Fees 00 01 Amounts Paid on Redemptions (92) (35) (1,746) (872) 196 22 159 133 Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period 230 (25) 382 (274) Net Assets, End of the Period $ 1,025$ 637 $ 6,373$ 5,037 †Capital Unit Transactions Units Outstanding, Beginning of the Period 88,800 81,233 Units Issued 30,946 6,648 Units Issued on Reinvestments 00 Units Redeemed (9,871) (4,030) Units Outstanding, End of the Period 109,875 83,851

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 161 U.S.EQUITYFUNDS TD U.S. Large-Cap Value Currency Neutral Fund Statement of Investment Portfolio as at June 30, 2011 (Unaudited) No. of Units Description Cost FairValue

Investment Fund – 98.1% 597,768 TD U.S. Large-Cap Value Fund, O-Series $ 5,880,542 $ 6,252,657

TOTALINVESTMENT PORTFOLIO – 98.1% 5,880,542 6,252,657 FORWARDCONTRACTS (SCHEDULE 1) – 0.4% 0 25,235 OTHER NET ASSETS – 1.5% 94,724 94,724

TOTAL NET ASSETS – 100.0% $ 5,975,266 $ 6,372,616

July 06, 2011 5,684,246 USD $ 5,483,023 5,516,883 CAD $ 5,516,883 0.96802 to0.98686 $ 33,860 July 06, 2011 1,547,030 USD 1,492,265 1,500,000 CAD 1,500,000 0.96960 7,735 $ 6,975,288 $ 7,016,883 $ 41,595

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 06, 2011 1,493,080 CAD $ 1,493,080 1,547,030 USD $ 1,492,265 0.96513 $ (815) July 06, 2011 5,498,568 CAD 5,498,568 5,684,247 USD 5,483,023 0.96128 to 0.98752 (15,545) $ 6,991,648 $ 6,975,288 $ (16,360)

TOTALNUMBEROFCONTRACTS: 39 NETAPPRECIATION $ 25,235

162 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD U.S. Large-Cap Value Currency Neutral Fund U.S.EQUITYFUNDS

Financial Instruments by the Level in the Fair Value Hierarchy Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) (in 000s) (Note 11) The table below summarizes cash flows associated with the maturities of the Fund’s financial The table below illustrates the classification of the Fund’s financial instruments within the liabilities as at June 30, 2011 and December 31, 2010: fair value hierarchy as at June 30, 2011 and December 31, 2010: Less than 3 months Level1 Level2 Level3 Total 2011 2010 June 30, 2011 Accounts payable and other liabilities $ 76 $ 12 Forward Contracts $0$41 $0$41 Forward Contracts 16 4 Underlying Funds 6,253 006,253 $ 92 $ 16 6,253 41 0 6,294 Forward Contracts 0 (16) 0 (16) $ 6,253 $ 25 $0$6,278

December 31, 2010 Forward Contracts $0$189 $0$189 Underlying Funds 5,805 005,805 5,805 189 0 5,994 Forward Contracts 0 (4) 0 (4) $ 5,805 $ 185 $0$5,990

During the periods, transfers between Level 1 and Level 2 were nil.

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 163 U.S.EQUITYFUNDS TD U.S. Equity Portfolio Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 14,114 $ 11,229 Income Distributions Received Cash 0 19 from Underlying Funds $0$0 Subscriptions Receivable 42 32 Expenses (Note 5) Receivable for Investment Sales 0 13 Management Fees 142 85 14,156 11,293 Administration Fees 17 14 Liabilities Securityholder Reporting Costs 11 Bank Overdraft 105 0 Filing Fees 66 Accrued Liabilities 29 24 Audit Fees 11 Redemptions Payable 31 38 167 107 Payable for Investment Purchases 5 35 Less: Waived Expenses (3) (5) 170 97 164 102 Net Assets (Note 3) $ 13,986 $ 11,196 Net Investment Income (Loss) (164) (102) Net Realized Gain (Loss) on Net Assets Representing Unitholders’ Equity (Note 4) Sale of Investments (12) (90) Investor Series $ 11,242 $ 9,519 Net Change in Unrealized Appreciation/ Advisor Series $ 2,586 $ 1,572 Depreciation of Investments 369 (407) F-Series $ 158 $ 105 Net Gain (Loss) on Investments 357 (497) $ 13,986 $ 11,196 Increase (Decrease) in Net Assets Number of Units Outstanding from Investment Operations† $ 193 $ (599) Investor Series 1,117,611 964,903 Advisor Series 258,829 160,420 †Increase (Decrease) in Net Assets from Investment Operations F-Series 14,714 10,081 Investor Series $ 175 $ (525) Advisor Series $ 15 $ (72) Net Assets Per Unit (Note 3) F-Series $3$(2) Investor Series $ 10.06 $ 9.87 $ 193 $ (599) Advisor Series $ 9.99 $ 9.80 F-Series $ 10.71 $ 10.43 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Investor Series $ 0.19 $ (0.51) Advisor Series $ 0.19 $ (0.49) F-Series $ 0.28 $ (0.46)

164 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. U.S.EQUITYFUNDS TD U.S. Equity Portfolio Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Advisor Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 9,519 $ 9,336 $ 1,572 $ 1,310 Increase (Decrease) in Net Assets from Investment Operations 175 (525) 15 (72) Capital Unit Transactions† Proceeds from Sale of Units 2,503 821 1,653 184 Reinvestments of Distributions 00 00 Early Redemption Fees 00 00 Amounts Paid on Redemptions (955) (912) (654) (223) 1,548 (91) 999 (39) Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period 1,723 (616) 1,014 (111) Net Assets, End of the Period $ 11,242 $ 8,720 $ 2,586 $ 1,199 †Capital Unit Transactions Units Outstanding, Beginning of the Period 964,903 1,037,996 160,420 146,522 Units Issued 247,071 90,512 164,616 20,277 Units Issued on Reinvestments 00 00 Units Redeemed (94,363) (101,472) (66,207) (24,640) Units Outstanding, End of the Period 1,117,611 1,027,036 258,829 142,159

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 105$ 57 $ 11,196$ 10,703 Increase (Decrease) in Net Assets from Investment Operations 3 (2) 193 (599) Capital Unit Transactions† Proceeds from Sale of Units 103 3 4,259 1,008 Reinvestments of Distributions 00 00 Early Redemption Fees 00 00 Amounts Paid on Redemptions (53) (22) (1,662) (1,157) 50 (19) 2,597 (149) Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period 53 (21) 2,790 (748) Net Assets, End of the Period $ 158$ 36 $ 13,986$ 9,955 †Capital Unit Transactions Units Outstanding, Beginning of the Period 10,081 6,087 Units Issued 9,547 303 Units Issued on Reinvestments 00 Units Redeemed (4,914) (2,332) Units Outstanding, End of the Period 14,714 4,058

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 165 U.S.EQUITYFUNDS TD U.S. Equity Portfolio Statement of Investment Portfolio as at June 30, 2011 (Unaudited) No. of Units Description Cost FairValue

Investment Funds – 100.9% 566,664 TD U.S. Blue Chip Equity Fund, O-Series $ 6,131,258 $ 6,408,966 533,855 TD U.S. Large-Cap Value Fund, O-Series 6,212,326 5,584,124 81,876 TD U.S. Mid-Cap Growth Fund, O-Series 788,239 986,604 91,097 TD U.S. Small-Cap Equity Fund, O-Series 927,717 1,134,162

TOTALINVESTMENT PORTFOLIO – 100.9% 14,059,540 14,113,856 OTHER NET LIABILITIES – (0.9%) (127,982) (127,982)

TOTAL NET ASSETS – 100.0% $ 13,931,558 $ 13,985,874

Level1 Level2 Level3 Total June 30, 2011 UnderlyingFunds $ 14,114 $0$0$14,114

December 31, 2010 UnderlyingFunds $ 11,229 $0$0$11,229

During the periods, transfers between Level 1 and Level 2 were nil.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 170 $ 97

166 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. U.S.EQUITYFUNDS TD U.S. Equity Currency Neutral Portfolio Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 6,911 $ 4,832 Foreign Exchange $ 294 $ (35) Cash 138 62 Expenses (Note 5) Subscriptions Receivable 0 15 Management Fees 65 29 Unrealized Gain on Open Foreign Administration Fees 10 5 Exchange Forward Contracts 43 152 Independent Review Committee Fees 00 7,092 5,061 75 34 Liabilities Less: Waived Expenses (0) (0) Accrued Liabilities 14 10 75 34 Redemptions Payable 10 2 Net Investment Income (Loss) 219 (69) Payable for Investment Purchases 26 55 Unrealized Loss on Open Foreign Net Realized Gain (Loss) on Exchange Forward Contracts 18 2 Sale of Investments 68 13 Net Change in Unrealized Appreciation/ 68 69 Depreciation of Investments (31) (281) Net Assets (Note 3) $ 7,024 $ 4,992 Net Gain (Loss) on Investments 37 (268) Net Assets Representing Unitholders’ Equity (Note 4) Increase (Decrease) in Net Assets Investor Series $ 3,345 $ 2,922 from Investment Operations† $ 256 $ (337) Advisor Series $ 3,487 $ 1,885 F-Series $ 192 $ 185 †Increase (Decrease) in Net Assets from Investment Operations Investor Series $ 142 $ (228) $ 7,024 $ 4,992 Advisor Series $ 104 $ (100) Number of Units Outstanding F-Series $ 10 $ (9) Investor Series 352,364 323,000 $ 256 $ (337) Advisor Series 359,160 203,696 F-Series 17,770 18,130 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Net Assets Per Unit (Note 3) Investor Series $ 0.45 $ (0.73) Investor Series $ 9.49 $ 9.05 Advisor Series $ 0.45 $ (0.89) Advisor Series $ 9.71 $ 9.25 F-Series $ 0.58 $ (0.66) F-Series $ 10.81 $ 10.23

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 167 U.S.EQUITYFUNDS TD U.S. Equity Currency Neutral Portfolio Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Advisor Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 2,922$ 2,379 $ 1,885$ 769 Increase (Decrease) in Net Assets from Investment Operations 142 (228) 104 (100) Capital Unit Transactions† Proceeds from Sale of Units 660 631 1,865 526 Reinvestments of Distributions 00 00 Early Redemption Fees 00 00 Amounts Paid on Redemptions (379) (312) (367) (85) 281 319 1,498 441 Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period 423 91 1,602 341 Net Assets, End of the Period $ 3,345 $ 2,470 $ 3,487 $ 1,110 †Capital Unit Transactions Units Outstanding, Beginning of the Period 323,000 299,363 203,696 94,679 Units Issued 69,489 77,283 194,063 64,359 Units Issued on Reinvestments 00 00 Units Redeemed (40,125) (38,668) (38,599) (10,592) Units Outstanding, End of the Period 352,364 337,978 359,160 148,446

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 185$ 108 $ 4,992$ 3,256 Increase (Decrease) in Net Assets from Investment Operations 10 (9) 256 (337) Capital Unit Transactions† Proceeds from Sale of Units 0 50 2,525 1,207 Reinvestments of Distributions 00 00 Early Redemption Fees 00 00 Amounts Paid on Redemptions (3) (42) (749) (439) (3) 8 1,776 768 Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period 7 (1) 2,032 431 Net Assets, End of the Period $ 192$ 107 $ 7,024$ 3,687 †Capital Unit Transactions Units Outstanding, Beginning of the Period 18,130 12,188 Units Issued 0 5,428 Units Issued on Reinvestments 00 Units Redeemed (360) (4,607) Units Outstanding, End of the Period 17,770 13,009

168 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. U.S.EQUITYFUNDS TD U.S. Equity Currency Neutral Portfolio Statement of Investment Portfolio as at June 30, 2011 (Unaudited) No. of Units Description Cost FairValue

Investment Funds – 98.4% 279,648 TD U.S. Blue Chip Equity Fund, O-Series $ 2,876,243 $ 3,162,814 236,284 TD U.S. Large-Cap Value Fund, O-Series 2,390,885 2,471,527 50,559 TD U.S. Mid-Cap Growth Fund, O-Series 525,558 609,239 53,583 TD U.S. Small-Cap Equity Fund, O-Series 558,318 667,109

TOTALINVESTMENT PORTFOLIO – 98.4% 6,351,004 6,910,689 FORWARDCONTRACTS (SCHEDULE 1) – 0.4% 0 25,565 OTHER NET ASSETS – 1.2% 87,413 87,413

TOTAL NET ASSETS – 100.0% $ 6,438,417 $ 7,023,667

July 06, 2011 6,377,617 USD $ 6,151,849 6,187,551 CAD $ 6,187,551 0.96900 to0.98505 $ 35,702 July 06, 2011 1,547,030 USD 1,492,265 1,500,000 CAD 1,500,000 0.96960 7,735 $ 7,644,114 $ 7,687,551 $ 43,437

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 06, 2011 1,493,080 CAD $ 1,493,080 1,547,030 USD $ 1,492,265 0.96513 $ (815) July 06, 2011 6,168,906 CAD 6,168,906 6,377,617 USD 6,151,849 0.96128 to 0.98752 (17,057) $ 7,661,986 $ 7,644,114 $ (17,872)

TOTALNUMBEROFCONTRACTS: 36 NETAPPRECIATION $ 25,565

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 169 TD U.S. Equity Currency Neutral Portfolio U.S.EQUITYFUNDS

Level1 Level2 Level3 Total June 30, 2011 Forward Contracts $0$43 $0$43 Underlying Funds 6,911 006,911 6,911 43 0 6,954 Forward Contracts 0 (18) 0 (18) $ 6,911 $ 25 $0$6,936

December 31, 2010 Forward Contracts $0$152 $0$152 Underlying Funds 4,832 004,832 4,832 152 0 4,984 Forward Contracts 0 (2) 0 (2) $ 4,832 $ 150 $0$4,982

During the periods, transfers between Level 1 and Level 2 were nil.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 50 $ 67 Forward Contracts 18 2 $ 68 $ 69

170 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. U.S.EQUITYFUNDS TD U.S. Mid-Cap Growth Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 390,638 $ 326,223 Interest $5$1 Foreign Currencies 7,511 9,162 Dividends 884 1,167 Interest Receivable 30Securities Lending 49 41 Dividends Receivable 105 63 Less: Withholding Taxes 24 (100) Subscriptions Receivable 2,307 849 962 1,109 Receivable for Investment Sales 2,336 0 Expenses (Note 5) 402,900 336,297 Management Fees 2,206 1,908 Liabilities Administration Fees 323 237 Bank Overdraft 20Independent Review Committee Fees 11 Accrued Liabilities 439 378 2,530 2,146 Redemptions Payable 1,880 133 Less: Waived Expenses (0) (0) Payable for Investment Purchases 1,917 387 2,530 2,146 4,238 898 Net Investment Income (Loss) (1,568) (1,037) Net Assets (Note 3) $ 398,662 $ 335,399 Net Realized Gain (Loss) on Net Assets Representing Unitholders’ Equity (Note 4) Sale of Investments 15,160 14,515 Investor Series $ 188,632 $ 163,969 Net Change in Unrealized Appreciation/ Institutional Series $ 4,849 $ 6,297 Depreciation of Investments 42 (11,941) Advisor Series $ 20,677 $ 7,109 Transaction Costs on Purchase and Sale F-Series $ 6,105 $ 3,255 of Investments (Note 3) (109) (98) O-Series $ 178,399 $ 154,769 Net Gain (Loss) on Investments 15,093 2,476 $ 398,662 $ 335,399 Increase (Decrease) in Net Assets † Number of Units Outstanding from Investment Operations $ 13,525 $ 1,439 Investor Series 5,262,420 4,734,399 †Increase (Decrease) in Net Assets from Investment Operations Institutional Series 281,786 381,714 Investor Series $ 5,562 $ 344 Advisor Series 1,802,876 641,591 Institutional Series $ 269 $ 8,231 F-Series 461,410 256,455 Advisor Series $ 118 $ (37) F-Series $ 123 $ 11 O-Series 14,812,634 13,468,558 O-Series $ 7,453 $ (7,110) Net Assets Per Unit (Note 3) $ 13,525 $ 1,439 Investor Series $ 35.85 $ 34.63 Institutional Series $ 17.21 $ 16.50 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Advisor Series $ 11.47 $ 11.08 Investor Series $ 1.21 $ 0.07 F-Series $ 13.23 $ 12.69 Institutional Series $ 0.71 $ 0.14 O-Series $ 12.04 $ 11.49 Advisor Series $ 0.39 $ 0.02 F-Series $ 0.54 $ 0.09 O-Series $ 0.55 $ (0.53)

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 171 U.S.EQUITYFUNDS TD U.S. Mid-Cap Growth Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 163,969 $ 143,364 $ 6,297 $ 124,250 $ 7,109 $ 5,029 Increase (Decrease) in Net Assets from Investment Operations 5,562 344 269 8,231 118 (37) Capital Unit Transactions† Proceeds from Sale of Units 34,982 11,822 0 128 14,431 1,157 Reinvestments of Distributions 00 00 00 Early Redemption Fees 21 00 01 Amounts Paid on Redemptions (15,883) (14,521) (1,717) (129,596) (981) (1,123) 19,101 (2,698) (1,717) (129,468) 13,450 35 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period 24,663 (2,354) (1,448) (121,237) 13,568 (2) Net Assets, End of the Period $ 188,632 $ 141,010 $ 4,849 $ 3,013 $ 20,677 $ 5,027 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 4,734,399 4,975,051 381,714 9,192,068 641,591 545,621 Units Issued 968,525 394,707 0 9,022 1,246,613 118,305 Units Issued on Reinvestments 00 00 00 Units Redeemed (440,504) (488,432) (99,928) (8,980,380) (85,328) (119,948) Units Outstanding, End of the Period 5,262,420 4,881,326 281,786 220,710 1,802,876 543,978

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 3,255 $ 1,699 $ 154,769 $0$335,399 $ 274,342 Increase (Decrease) in Net Assets from Investment Operations 123 11 7,453 (7,110) 13,525 1,439 Capital Unit Transactions† Proceeds from Sale of Units 3,261 93 21,174 127,001 73,848 140,201 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 20 42 Amounts Paid on Redemptions (534) (724) (4,999) (9,973) (24,114) (155,937) 2,727 (631) 16,177 117,028 49,738 (15,734) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period 2,850 (620) 23,630 109,918 63,263 (14,295) Net Assets, End of the Period $ 6,105 $ 1,079 $ 178,399 $ 109,918 $ 398,662 $ 260,047 †Capital Unit Transactions Units Outstanding, Beginning of the Period 256,455 163,169 13,468,558 0 Units Issued 245,338 8,480 1,759,807 12,611,414 Units Issued on Reinvestments 00 00 Units Redeemed (40,383) (69,032) (415,731) (994,389) Units Outstanding, End of the Period 461,410 102,617 14,812,634 11,617,025

172 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. U.S.EQUITYFUNDS

TD U.S. Mid-Cap Growth Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 178,000 Textron Inc. $$4,040,076 4,056,612 No. of Shares 106,000 UTi Worldwide Inc. 2,254,695 2,012,942 or Units Description Cost FairValue 63,000 Verisk Analytics Inc., Class “A” 1,740,751 2,103,523 52,000 WABCO Holdings Inc. 2,122,741 3,460,447 Canadian Equities – 6.8% 59,625,884 74,566,014 ENERGY – 0.7% 122,000 Trican Well Service Ltd. $ 2,075,897 $ 2,762,080 CONSUMER DISCRETIONARY – 10.9% 41,000 Bed Bath & Beyond Inc. 1,676,983 2,307,697 MATERIALS – 2.5% 145,000 CarMax Inc. 2,997,540 4,624,682 63,000 Agnico-Eagle Mines Limited 3,408,582 3,833,370 10,000 Chipotle Mexican Grill Inc. 928,003 2,970,506 81,000 Franco-Nevada Corporation 2,318,025 2,915,190 49,000 Choice Hotels International Inc. 1,709,045 1,577,001 102,000 HudBay Minerals Inc. 1,669,315 1,465,771 6,000 Coach Inc. 250,321 369,944 126,500 Osisko Mining Corporation 1,793,716 1,891,175 68,000 Discovery Communications Inc., 9,189,638 10,105,506 Class “A” 2,096,124 2,686,263 63,000 Discovery Communications Inc., CONSUMER DISCRETIONARY – 0.5% Class “C” 1,054,597 2,220,183 46,000 Tim Hortons Inc. 1,537,273 2,165,441 176,800 Dollar General Corporation 4,859,529 5,778,745 CONSUMER STAPLES – 1.2% 117,000 Lamar Advertising Company 4,549,667 3,086,192 116,700 Shoppers Drug Mart Corporation 4,567,883 4,632,990 183,000 Liberty Media Corporation, Interactive Class “A” 2,977,908 2,958,045 HEALTH CARE – 1.9% 31,000 Liberty Media-Starz 1,710,182 2,249,522 36,000 SXC Health Solutions Corp. 1,667,565 2,045,714 28,000 Madison Square Garden Inc. 599,579 743,437 111,000 Valeant Pharmaceuticals International Inc. 3,241,511 5,563,594 126,000 Marriott International Inc. 3,912,360 4,312,770 4,909,076 7,609,308 64,000 O’Reilly Automotive Inc. 2,124,469 4,043,592 Total Canadian Equities 22,279,767 27,275,325 16,000 PaneraBreadCompany,Class“A” 1,173,084 1,939,085 41,000 Starbucks Corporation 978,867 1,561,531 U.S. Equities – 88.8% 33,598,258 43,429,195

ENERGY – 8.9% CONSUMER STAPLES – 1.1% 82,000 CONSOL Energy Inc. 3,800,061 3,832,454 16,000 Hansen Natural Corporation 984,822 1,249,001 36,000 Continental Resources Inc. 1,771,590 2,252,647 51,000 Whole Foods Market Inc. 1,755,462 3,120,912 83,000 EQT Corporation 3,727,702 4,203,391 2,740,284 4,369,913 61,000 FMC Technologies Inc. 1,496,819 2,633,296 251,000 McDermott International Inc. 5,436,611 4,793,124 HEALTH CARE – 14.4% 25,000 Peabody Energy Corporation 1,138,040 1,419,912 52,000 Alexion Pharmaceuticals Inc. 1,218,041 2,358,620 84,000 QEP Resources Inc. 3,265,288 3,386,377 83,000 AllscriptsHealthcareSolutionsInc. 1,587,786 1,554,558 136,000 Quicksilver Resources Inc. 1,958,005 1,935,998 37,000 BioMarin Pharmaceutical Inc. 1,063,737 970,979 94,000 Range Resources Corporation 4,413,266 5,029,722 138,000 Bruker BioSciences Corporation 2,172,023 2,708,465 41,000 SM Energy Company 1,908,288 2,906,766 41,000 C. R. Bard Inc. 3,535,735 4,344,924 72,000 Ultra Petroleum Corp. 3,372,085 3,176,204 136,000 CareFusion Corporation 3,138,401 3,562,447 32,287,755 35,569,891 50,000 Cephalon Inc. 3,331,670 3,853,460 82,000 Community Health Systems Inc. 2,902,693 2,030,900 MATERIALS – 0.7% 82,000 Covance Inc. 4,235,836 4,692,107 52,000 Rockwood Holdings Inc. 2,416,788 2,771,366 105,000 DENTSPLY International Inc. 3,708,355 3,855,244

INDUSTRIALS – 18.7% 31,000 Edwards Lifesciences Corporation 1,101,188 2,606,204 50,000 A123 Systems Inc. 592,542 256,061 66,000 Henry Schein Inc. 3,820,378 4,556,968 27,000 Acuity Brands Inc. 1,503,564 1,452,520 101,000 Human Genome Sciences Inc. 2,206,300 2,390,428 86,700 Air Lease Corporation 2,261,378 2,027,732 41,000 IDEXX Laboratories Inc. 2,410,674 3,066,912 163,000 AMETEK Inc. 4,437,011 7,058,520 32,000 Illumina Inc. 1,194,938 2,319,001 147,000 The Babcock & Wilcox Company 3,666,332 3,925,726 25,000 Laboratory Corporation 30,000 Crane Co. 1,386,461 1,429,894 of America Holdings 2,030,795 2,332,763 153,000 Fastenal Company 3,383,328 5,310,715 19,000 Mednax Inc. 1,299,743 1,323,216 70,000 Gardner Denver Inc. 3,669,526 5,670,966 53,000 Regeneron Pharmaceuticals Inc. 1,553,942 2,898,780 29,000 Goodrich Corporation 1,833,910 2,670,765 63,000 Theravance Inc. 1,338,603 1,349,487 235,000 Hertz Global Holdings Inc. 2,285,280 3,599,135 36,000 VertexPharmaceuticalsIncorporated 1,171,008 1,805,103 92,000 IDEX Corporation 3,304,561 4,069,130 31,000 Waters Corporation 2,023,354 2,862,729 70,000 IHS Inc. 3,978,813 5,626,408 47,045,200 57,443,295 65,000 Manpower Inc. 3,596,078 3,361,398 35,000 MSC Industrial Direct Co., Inc., Class “A” 1,621,024 2,238,344 207,000 Quanta Services Inc. 4,645,693 4,028,758 77,000 Robert Half International Inc. 2,015,974 2,005,834 42,000 Rockwell Collins Inc. 1,947,513 2,499,276 71,000 Roper Industries Inc. 3,338,633 5,701,308

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 173 TD U.S. Mid-Cap Growth Fund U.S.EQUITYFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

FINANCIALS – 7.5% UTILITIES – 1.2% 72,000 Aon Corporation $$3,101,230 3,560,209 318,000 Calpine Corporation $$4,236,094 4,946,992 2,200 Apollo Global Management LLC 40,745 36,495 PREFERRED – 0.4% 45,100 BankUnited Inc. 1,232,554 1,150,923 76,309 Coupon.com, Pref. Series “B” 69,000 CBOE Holdings Inc. 1,945,066 1,635,726 (Restricted) 817,802 808,580 71,000 Eaton Vance Corp. 1,854,471 2,067,289 170,790 Hungry Machine, Pref. Series “E” 935,698 930,824 84,000 Fifth Third Bancorp 823,209 1,031,306 72,000 HCC Insurance Holdings Inc. 2,170,434 2,188,067 1,753,500 1,739,404 41,000 Interactive Brokers Group Inc. 1,033,092 618,839 Total U.S. Equities 298,667,110 354,131,280 23,000 IntercontinentalExchange Inc. 2,250,161 2,766,139 24,000 Jones Lang LaSalle Incorporated 2,231,526 2,182,975 International Equities – 2.3% 120,000 MSCI Inc. 3,423,501 4,362,014 BERMUDA – 0.6% 120,000 Popular Inc. 411,873 318,269 168,000 Marvell Technology Group Ltd. 3,186,233 2,391,527 97,000 Principal Financial Group Inc. 2,808,284 2,847,712 42,000 SunTrust Banks Inc. 809,192 1,043,863 IRELAND – 0.4% 146,000 TCF Financial Corporation 2,114,228 1,943,174 157,000 Elan Corporation PLC, ADR 2,098,419 1,721,630 73,000 W.R. Berkley Corporation 2,046,173 2,284,637 NETHERLANDS – 0.6% 28,295,739 30,037,637 120,000 QIAGEN NV 2,344,540 2,200,103

INFORMATION TECHNOLOGY – 25.0% SWITZERLAND – 0.2% 51,000 Altera Corporation 1,157,278 2,279,815 21,746 Foster Wheeler AG 615,338 636,948 42,000 Ariba Inc. 1,318,622 1,396,273 168,000 Atmel Corporation 2,254,362 2,279,728 UNITED KINGDOM – 0.5% 51,000 Concur Technologies Inc. 2,528,111 2,463,282 51,000 Willis Group Holdings PLC 1,984,592 2,020,108 51,000 Cree Inc. 2,153,995 1,652,682 Total International Equities 10,229,122 8,970,316 81,000 DolbyLaboratoriesInc.,Class“A” 3,645,836 3,313,869 19,000 Equinix Inc. 1,690,777 1,851,146 Global Bond – 0.1% 31,000 FactSet Research Systems Inc. 1,944,619 3,059,158 UNITED STATES – 0.1% 12,000 First Solar Inc. 1,643,304 1,530,814 A123 Systems Inc., Conv. (USD) 71,000 Fiserv Inc. 3,751,174 4,287,964 317,000 3.75% due April 15, 2016 305,762 261,018 104,000 FLIR Systems Inc. 2,477,687 3,380,204 122,000 Gartner Inc. 3,937,938 4,739,462 Transaction Costs (Note 3) (170,964) 0 107,000 Global Payments Inc. 4,517,471 5,264,036 TOTALINVESTMENT 168,000 Intersil Corporation 2,953,701 2,080,434 PORTFOLIO – 98.0% 331,310,797 390,637,939 306,000 JDS Uniphase Corporation 3,459,102 4,913,776 54,000 Juniper Networks Inc. 1,409,811 1,640,529 FOREIGN CURRENCIES – 1.9% 7,594,621 7,510,718 5,300 LinkedIn Corporation, Class “A” 231,488 459,531 OTHER NET ASSETS – 0.1% 522,075 513,132 170,000 MEMC Electronic Materials Inc. 2,455,630 1,396,909 63,000 MicrochipTechnologyIncorporated 1,963,997 2,302,817 TOTAL NET ASSETS – 100.0% $ 339,427,493 $ 398,661,789 61,000 MICROS Systems Inc. 2,165,838 2,924,511 157,000 Motorola Mobility Holdings Inc. 4,245,264 3,331,210 183,000 NationalSemiconductorCorporation 2,723,035 4,343,526 295,300 Nuance Communications Inc. 5,219,575 6,111,853 189,000 NVIDIA Corporation 3,044,168 2,903,737 89,000 PMC-Sierra Inc. 801,926 648,921 36,000 Rackspace Hosting Inc. 806,344 1,483,941 92,000 Red Hat Inc. 2,494,101 4,070,905 74,000 Rovi Corporation 2,793,266 4,093,743 61,000 Silicon Laboratories Inc. 2,617,857 2,426,209 53,000 TIBCO Software Inc. 1,180,716 1,483,382 105,000 Trimble Navigation Limited 3,250,865 4,014,234 26,000 Varian Semiconductor Equipment Associates Inc. 848,107 1,540,651 20,000 WebMD Health Corp., Class “A” 1,035,012 879,000 227,000 The Western Union Company 4,377,860 4,382,982 123,000 Xilinx Inc. 3,568,771 4,326,339 86,667,608 99,257,573

174 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD U.S. Mid-Cap Growth Fund U.S.EQUITYFUNDS

Total Exposure* (000s) Impact on Net Assets (000s) Currency 2011 2010 2011 2010 UnitedStatesDollar $ 386,386 $ 328,082 $ 19,319 $ 16,404

As Percentage of Net Assets (%) 96.92 97.82 4.85 4.89

Level1 Level2 Level3 Total June 30, 2011 CommonShares $ 388,638 $0$0$388,638 Preferred Shares 001,739 1,739 Bonds 0 261 0 261 $ 388,638 $ 261 $ 1,739 $ 390,638

December 31, 2010 CommonShares $ 326,223 $0$0$326,223

During the periods, transfers between Level 1 and Level 2 were nil.

Reconciliation of Level 3 Fair Value Measurements (in 000s) The table below reconciles the Fund’s Level 3 fair value measurements from December 31, 2010 to June 30, 2011:

Preferred Balance at December 31, 2010 $0 Purchases 1,753 Gains (Losses) Net Change in Unrealized Appreciation/ Depreciation of Investments (14) Balance at June 30, 2011 $ 1,739

Total change in unrealized for assets held at June 30, 2011 $ (14)

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 4,238 $ 898

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 175 U.S.EQUITYFUNDS TD U.S. Small-Cap Equity Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 38,386 $ 25,852 Interest $1$1 Foreign Currencies 913 1,041 Dividends 146 115 Dividends Receivable 17 11 Securities Lending 76 Subscriptions Receivable 99 279 Less: Withholding Taxes (23) (13) Receivable for Investment Sales 28 3 131 109 39,443 27,186 Expenses (Note 5) Liabilities Management Fees 360 228 Accrued Liabilities 75 52 Administration Fees 53 32 Redemptions Payable 130 39 Independent Review Committee Fees 00 Payable for Investment Purchases 20 205 413 260 225 296 Less: Waived Expenses (0) (0) Net Assets (Note 3) $ 39,218 $ 26,890 413 260 Net Investment Income (Loss) (282) (151) Net Assets Representing Unitholders’ Equity (Note 4) Investor Series $ 33,790 $ 22,825 Net Realized Gain (Loss) on Institutional Series $ N/A $0Sale of Investments 864 286 Advisor Series $ 2,790 $ 1,978 Net Change in Unrealized Appreciation/ F-Series $ 542 $ 416 Depreciation of Investments 882 (167) O-Series $ 2,096 $ 1,671 Transaction Costs on Purchase and Sale of Investments (Note 3) (12) (8) $ 39,218 $ 26,890 Net Gain (Loss) on Investments 1,734 111 Number of Units Outstanding Investor Series 2,114,507 1,497,837 Increase (Decrease) in Net Assets from Investment Operations† $ 1,452 $ (40) Institutional Series N/A 8 Advisor Series 192,258 142,985 †Increase (Decrease) in Net Assets from Investment Operations F-Series 41,841 33,919 Investor Series $ 1,213 $ (105) Institutional Series N/A $ 161 O-Series 168,441 142,614 Advisor Series $ 104 $ (17) Net Assets Per Unit (Note 3) F-Series $ 26 $2 Investor Series $ 15.98 $ 15.24 O-Series $ 109 $ (81) Institutional Series N/A $ 13.70 $ 1,452 $ (40) Advisor Series $ 14.51 $ 13.84 Increase (Decrease) in Net Assets from Investment Operations – F-Series $ 12.94 $ 12.25 Per Unit (Note 3) O-Series $ 12.44 $ 11.72 Investor Series $ 0.73 $ 0.10 Institutional Series N/A $ 0.17 Advisor Series $ 0.68 $ 0.10 F-Series $ 0.69 $ 0.15 O-Series $ 0.72 $ (0.61)

176 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. U.S.EQUITYFUNDS TD U.S. Small-Cap Equity Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 22,825 $ 17,500 $0$3,854 $ 1,978 $ 980 Increase (Decrease) in Net Assets from Investment Operations 1,213 (105) 0 161 104 (17) Capital Unit Transactions† 0 Proceeds from Sale of Units 14,655 5,570 0 74 1,258 500 Reinvestments of Distributions 00 00 00 Early Redemption Fees 33 00 00 Amounts Paid on Redemptions (4,906) (3,040) 0 (2,089) (550) (192) 9,752 2,533 0 (2,015) 708 308 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period 10,965 2,428 0 (1,854) 812 291 Net Assets, End of the Period $ 33,790 $ 19,928 $0$2,000 $ 2,790 $ 1,271 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 1,497,837 1,426,019 8 354,884 142,985 87,976 Units Issued 927,239 419,792 0 6,594 87,944 41,642 Units Issued on Reinvestments 00 00 00 Units Redeemed (310,569) (235,632) (8) (180,116) (38,671) (16,420) Units Outstanding, End of the Period 2,114,507 1,610,179 0 181,362 192,258 113,198

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 416$ 297 $ 1,671 $0$26,890 $ 22,631 Increase (Decrease) in Net Assets from Investment Operations 26 2 109 (81) 1,452 (40) Capital Unit Transactions† Proceeds from Sale of Units 132 62 492 1,595 16,537 7,801 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 33 Amounts Paid on Redemptions (32) (13) (176) (90) (5,664) (5,424) 100 49 316 1,505 10,876 2,380 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period 126 51 425 1,424 12,328 2,340 Net Assets, End of the Period $ 542$ 348 $ 2,096$ 1,424 $ 39,218$ 24,971 †Capital Unit Transactions Units Outstanding, Beginning of the Period 33,919 30,504 142,614 0 Units Issued 10,492 5,923 40,201 160,479 Units Issued on Reinvestments 00 00 Units Redeemed (2,570) (1,180) (14,374) (8,902) Units Outstanding, End of the Period 41,841 35,247 168,441 151,577

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 177 U.S.EQUITYFUNDS

TD U.S. Small-Cap Equity Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 2,100 AZZ Incorporated $$86,679 92,558 No. of Shares 2,200 Cascade Corporation 82,686 100,743 or Units Description Cost FairValue 6,400 Celadon Group Inc. 80,368 86,168 2,900 Colfax Corporation 37,989 69,335 Canadian Equities – 0.9% 3,800 Consolidated Graphics Inc. 133,186 201,057 MATERIALS – 0.5% 1,300 CTPartners Executive Search Inc. 17,142 14,694 4,700 Franco-Nevada Corporation $ 101,731 $ 169,153 6,000 EnergySolutions Inc. 76,901 28,528 12,100 Sandstorm Gold Ltd. 10,791 14,278 5,600 EnPro Industries Inc. 220,934 259,406 112,522 183,431 4,400 ESCO Technologies Inc. 180,613 156,121 5,000 Gardner Denver Inc. 222,309 405,069 INDUSTRIALS – 0.2% 7,400 General Cable Corporation 236,097 303,962 3,100 RitchieBros.AuctioneersIncorporated 65,499 82,010 3,500 Gibraltar Industries Inc. 61,048 38,144 5,450 Graco Inc. 199,236 266,334 HEALTH CARE – 0.2% 1,400 SXC Health Solutions Corp. 44,585 79,556 2,200 The Greenbrier Companies Inc. 34,158 41,927 6,900 H&E Equipment Services Inc. 165,503 93,099 Total Canadian Equities 222,606 344,997 1,100 Harsco Corporation 35,883 34,585 425 Heartland Express Inc. 6,930 6,784 U.S. Equities – 95.6% 10,700 Hexcel Corporation 132,441 225,896 ENERGY – 6.6% 4,200 IDEX Corporation 144,697 185,765 8,800 Bill Barrett Corporation 339,094 393,465 2,400 InsituformTechnologiesInc.,Class“A” 63,637 48,493 10,900 Cloud Peak Energy Inc. 200,102 223,916 6,400 Interline Brands Inc. 138,772 113,265 10,900 Complete Production Services Inc. 198,273 350,697 5,900 JohnBeanTechnologiesCorporation 108,728 109,765 2,500 Concho Resources Inc. 62,741 221,558 9,000 Kforce Inc. 120,881 113,535 2,600 Contango Oil & Gas Company 148,606 146,668 14,725 Knight Transportation Inc. 269,198 241,000 5,550 Forest Oil Corporation 196,524 142,810 4,700 Knoll Inc. 69,070 91,021 8,600 GeoMet Inc. 75,330 9,704 3,900 Korn/Ferry International 66,052 82,750 7,100 Goodrich Petroleum Corporation 138,046 126,064 4,200 Landstar System Inc. 180,036 188,276 4,800 Gulf Island Fabrication Inc. 101,852 149,065 1,500 The Middleby Corporation 96,334 136,045 7,900 ION Geophysical Corporation 79,879 71,925 6,400 Mine Safety Appliances Company 189,726 230,048 6,500 Key Energy Services Inc. 66,271 112,778 3,300 Moog Inc., Class “A” 129,640 138,383 13,300 Oasis Petroleum Inc. 267,792 380,839 5,600 Multi-Color Corporation 111,558 133,349 3,700 Silver Spring Networks (Restricted) 39,213 21,411 8,500 QuanexBuildingProductsCorporation 152,834 134,198 2,900 Swift Energy Company 89,714 104,101 2,718 Quanta Services Inc. 65,483 52,899 2,100 Union Drilling Inc. 34,459 20,841 12,700 RailAmerica Inc. 170,309 183,605 4,400 Venoco Inc. 79,113 53,936 5,500 RBC Bearings Incorporated 164,281 199,820 4,000 Westmoreland Coal Company 75,880 68,476 900 RPX Corporation 16,389 24,330 2,192,889 2,598,254 2,700 Sun Hydraulics Corporation 70,686 124,133 4,900 Tennant Company 156,137 188,465 MATERIALS – 5.9% 1,800 Terex Corporation 39,487 49,389 9,500 AK Steel Holding Corporation 157,539 144,397 1,900 Toro Co. 111,388 110,790 2,100 AMCOL International Corporation 63,137 77,226 1,300 TransDigm Group Incorporated 63,163 114,270 6,600 Arch Chemicals Inc. 229,920 219,160 6,600 UTi Worldwide Inc. 135,018 125,334 2,700 CompassMineralsInternationalInc. 183,951 224,180 3,800 Valmont Industries Inc. 340,399 353,261 3,700 Haynes International Inc. 200,570 220,817 7,325 Waste Connections Inc. 168,966 224,301 2,000 Intrepid Potash Inc. 69,698 62,689 4,600 Watts Water Technologies Inc. 160,768 157,007 5,700 Koppers Holdings Inc. 214,659 208,240 1,700 Westinghouse Air Brake 500 Martin Marietta Materials Inc. 42,024 38,573 Technologies Corporation 79,156 107,769 8,200 Rockwood Holdings Inc. 217,076 437,023 2,600 Woodward Inc. 65,314 87,414 4,200 Schnitzer Steel Industries Inc. 250,885 233,117 6,874,456 7,671,778 7,200 Senomyx Inc. 59,879 35,623 11,100 STR Holdings Inc. 188,775 159,296 CONSUMER DISCRETIONARY – 13.6% 2,400 Walter Energy Inc. 97,686 268,040 5,900 American Eagle Outfitters Inc. 77,013 72,551 1,975,799 2,328,381 13,850 ANN Inc. 291,042 348,634 5,400 BJ’s Restaurants Inc. 147,721 272,536 INDUSTRIALS – 19.6% 1,500 Bravo Brio Restaurant Group Inc. 23,850 35,299 9,600 3D Systems Corporation 123,163 182,304 8,200 Brinker International Inc. 161,555 193,363 1,650 A.O. Smith Corporation 52,792 67,266 21,800 Brunswick Corporation 373,007 428,910 8,600 Acuity Brands Inc. 403,758 462,654 2,600 Carter’s Inc. 68,116 77,108 2,900 Allegiant Travel Company 133,607 138,447 6,900 TheCheesecakeFactoryIncorporated 191,721 208,758 14,300 American Reprographics Company 210,644 97,645 7,325 Christopher & Banks Corporation 103,290 40,409 2,300 AmericanScienceandEngineeringInc. 181,406 177,170 4,400 American Woodmark Corporation 110,876 73,202

178 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD U.S. Small-Cap Equity Fund U.S.EQUITYFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

1,200 Ethan Allen Interiors Inc. $$21,337 24,640 21,500 Health Management Associates Inc., 6,600 Express Inc. 115,649 138,638 Class “A” $$171,113 223,531 4,700 Gaylord Entertainment Company 116,969 135,942 2,700 Healthways Inc. 53,775 39,451 6,000 hhgregg Inc. 101,882 77,426 700 HeartWare International Inc. 40,806 49,945 5,000 Hibbett Sports Inc. 139,696 196,266 2,000 HMS Holdings Corp. 93,753 148,082 12,200 Hot Topic Inc. 149,229 87,188 11,100 Idenix Pharmaceuticals Inc. 41,066 53,313 6,100 HSN Inc. 117,317 193,614 16,900 Incyte Corporation 167,087 308,707 8,600 Jack in the Box Inc. 187,944 188,778 1,500 IntegraLifeSciencesHoldingsCorporation 66,262 69,151 7,300 Knology Inc. 68,335 104,410 4,500 LifePoint Hospitals Inc. 158,052 169,478 400 Leggett & Platt Inc. 7,376 9,401 300 Masimo Corporation 7,668 8,587 5,500 Libbey Inc. 76,994 85,826 4,500 MedAssets Inc. 89,422 57,896 3,000 Madison Square Garden Inc. 67,920 79,654 5,300 The Medicines Company 113,845 84,341 5,000 MarineMax Inc. 91,087 42,146 11,500 Meridian Bioscience Inc. 268,886 267,186 700 Matthews International Corporation, 1,100 Onyx Pharmaceuticals Inc. 36,706 37,450 Class “A” 26,276 27,099 4,600 Owens & Minor Inc. 133,931 152,881 5,800 Meredith Corporation 189,678 174,135 3,100 Pharmasset Inc. 83,946 335,126 6,300 Meritage Homes Corporation 198,186 136,893 2,000 PSS World Medical Inc. 41,890 53,990 7,900 Monro Muffler Brake Inc. 171,172 284,118 5,500 Regeneron Pharmaceuticals Inc. 138,184 300,817 2,100 P.F. Chang’s China Bistro Inc. 90,076 81,419 4,600 Rigel Pharmaceuticals Inc. 36,044 40,594 2,400 Panera Bread Company, Class “A” 182,283 290,863 3,000 Seattle Genetics Inc. 36,095 59,372 8,400 Pier 1 Imports Inc. 67,309 93,652 3,700 Stereotaxis Inc. 42,884 12,490 5,412 Pool Corporation 145,751 155,335 4,200 STERIS Corporation 132,888 141,693 2,700 Red Robin Gourmet Burgers Inc. 95,174 94,734 600 Targacept Inc. 11,968 12,193 4,100 rue21 Inc. 116,969 128,513 1,900 Theravance Inc. 47,982 40,699 4,792 Scholastic Corporation 172,682 122,797 2,034 Vertex Pharmaceuticals Incorporated 49,915 101,988 7,730 Sonic Corp. 124,005 79,174 5,900 Wright Medical Group Inc. 129,014 85,354 6,800 Standard Pacific Corp. 177,177 21,839 3,300 XenoPort Inc. 55,216 22,597 700 Strattec Security Corporation 34,308 14,164 3,800,896 5,078,422 700 Tempur-Pedic International Inc. 15,432 45,793 400 Tesla Motors Inc. 7,178 11,230 FINANCIALS – 14.7% 200 True Religion Apparel Inc. 4,440 5,605 3,700 Acadia Realty Trust 68,444 72,476 4,100 Under Armour Inc., Class “A” 176,048 305,742 200 Affiliated Managers Group Inc. 17,148 19,563 800 Vera Bradley Inc. 20,516 29,450 10,489 Capitol Federal Financial 117,232 118,966 8,200 Zumiez Inc. 196,177 197,317 14,200 CBL & Associates Properties Inc. 160,793 248,294 5,000 Chesapeake Lodging Trust 88,403 82,123 4,909,887 5,341,369 5,300 Cohen & Steers Inc. 131,238 169,398 CONSUMER STAPLES – 1.6% 3,900 Colony Financial Inc. 78,619 67,855 9,700 Dean Foods Company 106,577 114,788 10,366 Cousins Properties Incorporated 143,798 85,379 2,700 Flowers Foods Inc. 44,937 57,445 26,000 DiamondRock Hospitality Company 241,529 268,561 5,600 The Fresh Market Inc. 190,595 208,908 8,486 East West Bancorp Inc. 118,628 165,405 5,900 The Pantry Inc. 149,480 106,920 5,500 EastGroup Properties Inc. 236,605 225,387 200 Seneca Foods Corporation, Class “B” 4,958 4,755 7,500 Equity One Inc. 156,768 134,902 2,500 TreeHouse Foods Inc. 135,017 131,551 700 Essex Property Trust Inc. 74,625 91,276 631,564 624,367 7,400 Financial Engines Inc. 124,465 184,989 6,100 First Potomac Realty Trust 95,523 90,012 HEALTH CARE – 13.0% 4,100 Fortegra Financial Corporation 46,366 30,764 428 Accuray Incorporated 3,127 3,302 11,194 Glacier Bancorp Inc. 197,604 145,315 4,600 Alexion Pharmaceuticals Inc. 56,148 208,647 11,200 Gleacher & Co. 30,026 21,928 8,000 Alkermes Inc. 126,372 143,510 600 Green Dot Corporation, Class “A” 26,131 19,675 1,800 AMAG Pharmaceuticals Inc. 55,206 32,637 6,100 HCC Insurance Holdings Inc. 162,570 185,378 7,200 AMERIGROUP Corporation 265,687 488,928 5,800 Infinity Property and 2,200 AngioDynamics Inc. 39,855 30,172 Casualty Corporation 283,424 305,198 24,300 AVANIR Pharmaceuticals Inc. 106,292 78,511 3,200 KBW Inc. 81,131 57,682 3,000 BioMarin Pharmaceutical Inc. 73,277 78,728 3,900 Kilroy Realty Corporation 135,216 148,423 4,600 Bruker BioSciences Corporation 68,221 90,282 6,100 LaSalle Hotel Properties 122,676 154,786 4,000 Catalyst Health Solutions Inc. 150,021 215,458 600 Markel Corporation 231,363 229,211 8,700 Centene Corporation 199,372 297,954 6,600 MGIC Investment Corporation 48,353 37,938 571 Cephalon Inc. 33,455 44,007 4,200 Parkway Properties Inc. 100,420 68,943 1,300 The Cooper Companies Inc. 51,436 99,250 2,200 Pebblebrook Hotel Trust 46,198 42,797 5,100 Cubist Pharmaceuticals Inc. 101,559 177,024 6,700 Penson Worldwide Inc. 92,776 23,069 5,600 DynaVox Inc., Class “A” 64,640 41,047 700 Edwards Lifesciences Corporation 23,507 58,850 13,100 Exelixis Inc. 134,323 113,203

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 179 TD U.S. Small-Cap Equity Fund U.S.EQUITYFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

2,800 Pinnacle Financial Partners Inc. $$64,362 41,965 600 OpenTable Inc. $$30,383 48,070 2,500 Piper Jaffray Companies 112,269 69,344 3,600 OPNET Technologies Inc. 75,594 141,901 5,200 Prosperity Bancshares Inc. 193,668 219,763 8,500 PDF Solutions Inc. 85,180 48,859 1,300 Pzena Investment Management Inc. 11,562 7,096 29,200 PMC-Sierra Inc. 225,879 212,904 14,200 Radian Group Inc. 107,593 57,931 8,200 Power-One Inc. 67,850 64,059 2,400 RLI Corp. 135,677 143,232 9,300 Progress Software Corporation 206,051 216,252 4,100 SeaBright Insurance Holdings Inc. 50,191 39,187 4,100 PROS Holdings Inc. 44,786 69,002 12,000 Selective Insurance Group Inc. 220,428 188,183 2,900 Qlik Technologies Inc. 68,680 95,235 5,700 Signature Bank 222,668 314,449 7,000 Quest Software Inc. 150,372 153,454 700 SL Green Realty Corp. 22,664 55,954 6,500 RealD Inc. 150,035 146,442 4,800 Starwood Property Trust Inc. 97,537 94,856 1,000 RealPage Inc. 21,788 25,461 29,000 Synovus Financial Corp. 133,900 57,896 5,600 RF Micro Devices Inc. 30,619 33,054 9,400 TCF Financial Corporation 153,098 125,108 4,500 Rofin-Sinar Technologies Inc. 125,917 148,038 6,200 Texas Capital Bancshares Inc. 113,949 154,453 6,200 Saba Software Inc. 47,863 53,936 11,602 Valley National Bancorp 200,089 152,290 8,800 Sapient Corporation 95,535 127,562 3,500 Waddell&ReedFinancialInc.,Class“A” 97,032 122,635 4,000 Semtech Corporation 82,876 105,472 1,300 Walker & Dunlop Inc. 14,084 16,650 5,700 Silicon Laboratories Inc. 233,983 226,711 3,300 Washington Trust Bancorp Inc. 70,547 72,979 10,000 Sonus Networks Inc. 34,683 31,248 3,700 Westamerica Bancorporation 204,577 175,747 6,000 Sourcefire Inc. 119,984 171,807 9,500 Western Alliance Bancorporation 91,475 64,961 5,800 SS&C Technologies Holdings Inc. 99,657 111,093 3,900 Zions Bancorporation 64,073 90,273 1,400 Supertex Inc. 28,473 30,218 5,839,515 5,760,645 4,800 Synaptics Incorporated 127,569 119,021 2,400 Taleo Corporation 66,257 85,620 INFORMATION TECHNOLOGY – 16.0% 8,200 TriQuint Semiconductor Inc. 93,554 80,508 1,800 The Active Network Inc. 26,371 30,675 4,000 Vocus Inc. 82,255 118,049 1,900 ADTRAN Inc. 48,407 70,916 5,434,448 6,288,890 3,800 Advanced Analogic Technologies Incorporated 24,818 22,173 TELECOMMUNICATION SERVICES – 0.9% 8,500 Advanced Energy Industries Inc. 118,014 121,082 2,800 Cogent Communications Group Inc. 55,258 45,908 7,600 Ariba Inc. 128,452 252,659 10,100 Premiere Global Services Inc. 93,593 77,635 3,100 Aruba Networks Inc. 51,675 88,289 1,500 SBA Communications Corporation 32,369 55,234 3,100 Avid Technology Inc. 52,285 56,238 8,900 tw telecom Inc. 156,324 176,050 6,800 Bankrate Inc. 98,133 108,802 337,544 354,827 2,400 Blue Coat Systems Inc. 62,534 50,553 4,800 Bottomline Technologies (de) Inc. 74,602 114,253 UTILITIES – 3.4% 27,100 Cadence Design Systems Inc. 195,636 276,002 500 Chesapeake Utilities Corporation 19,397 19,289 2,900 CommVault Systems Inc. 72,788 124,294 1,600 Cleco Corporation 44,391 53,793 2,600 Concur Technologies Inc. 119,191 125,579 3,800 El Paso Electric Company 84,845 118,340 1,400 Cymer Inc. 54,348 66,769 2,700 The Empire District Electric Company 61,410 50,127 5,700 Diodes Incorporated 147,703 143,371 62,264 GenOn Energy Inc. 278,416 230,594 2,900 Electro Rent Corporation 56,419 47,799 2,300 NorthWestern Corporation 64,381 73,335 9,800 Emulex Corporation 114,928 81,189 7,400 NV Energy Inc. 90,119 109,623 10,000 Epiq Systems Inc. 144,971 137,048 3,400 OGE Energy Corp. 119,578 165,039 1,350 FactSet Research Systems Inc. 73,319 133,221 10,000 PNM Resources Inc. 135,431 161,352 9,268 Finisar Corporation 194,182 161,072 5,900 Southwest Gas Corporation 195,474 219,530 5,100 Fortinet Inc. 65,445 134,133 1,300 Synthesis Energy Systems Inc. 12,178 2,345 500 Fusion-io Inc. 9,306 14,549 3,600 UniSource Energy Corporation 126,252 129,506 3,100 Global Payments Inc. 123,720 152,509 1,231,872 1,332,873 9,000 GT Solar International Inc. 62,836 140,443 PREFERRED – 0.3% 6,800 Harmonic Inc. 46,681 47,351 3,735 Coupon.com, Pref. Series “B” 800 Informatica Corporation 32,306 45,082 (Restricted) 40,028 39,577 10,300 Intersil Corporation 130,500 127,550 961 GeoMet Inc., Pref. 9,003 10,427 9,400 Ixia 131,472 116,043 2,500 Synovus Financial Corp., 7,600 Jack Henry & Associates Inc. 204,896 219,968 Pref. Series tMED 64,951 48,464 8,600 Kopin Corporation 36,774 38,900 3,000 Measurement Specialties Inc. 64,368 103,206 113,982 98,468 3,500 Mercury Computer Systems Inc. 63,285 62,988 Total U.S. Equities 33,342,852 37,478,274 2,100 Meru Networks Inc. 32,939 24,284 5,100 Monotype Imaging Holdings Inc. 55,984 69,452 1,500 National Instruments Corporation 32,730 42,952 4,200 Newport Corporation 86,607 73,520

180 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD U.S. Small-Cap Equity Fund U.S.EQUITYFUNDS

No. of Shares No. of Shares or Units/ or Units/ Par Value Description Cost FairValue Par Value Description Cost FairValue

International Equities – 1.3% Financial Instruments by the Level in the Fair Value Hierarchy BERMUDA – 0.6% (in 000s) (Note 11) 7,400 Assured Guaranty Ltd. $$130,074 116,332 The table below illustrates the classification of the Fund’s financial instruments within the 1,100 Assured Guaranty Ltd., Pref. 64,008 70,374 fair value hierarchy as at June 30, 2011 and December 31, 2010: 5,400 Xyratex Ltd. 76,590 53,434 270,672 240,140 Level1 Level2 Level3 Total June 30, 2011 GERMANY – 0.4% 9,300 Elster Group SE 137,366 146,470 CommonShares $ 38,039 $ 119 $ 21 $ 38,179 Preferred Shares 119 10 40 169 IRELAND – 0.1% Bonds 0 38 0 38 2,500 Velti PLC 31,539 40,772 $ 38,158 $ 167 $ 61 $ 38,386 ISRAEL – 0.2% 6,900 Orbotech Ltd. 122,744 84,581 December 31, 2010 CommonShares $ 25,548 $ 80 $ 22 $ 25,650 NETHERLANDS – 0.0% Preferred Shares 140 90149 500 Tornier NV 8,982 12,996 Bonds 0 53 0 53 Total International Equities 571,303 524,959 $ 25,688 $ 142 $ 22 $ 25,852

Global Bond – 0.1% During the periods, transfers between Level 1 and Level 2 were nil. UNITED STATES – 0.1% Reconciliation of Level 3 Fair Value Measurements (in 000s) Terex Corporation (USD) The tables below reconcile the Fund’s Level 3 fair value measurements from December 31, 22,000 4.00% due June 01, 2015 24,019 38,192 2010 to June 30, 2011 and December 31, 2009 to December 31, 2010:

Transaction Costs (Note 3) (24,116) 0 Common Shares Preferred TOTALINVESTMENT PORTFOLIO – 97.9% 34,136,664 38,386,422 Balance at December 31, 2010 $ 22 $0 FOREIGN CURRENCIES – 2.3% 924,462 912,900 Purchases 0 40 Gains (Losses) OTHER NET LIABILITIES – (0.2%) (81,694) (81,540) Net Change in Unrealized Appreciation/ Depreciation of Investments (1) 0 TOTAL NET ASSETS – 100.0% $ 34,979,432 $ 39,217,782 Balance at June 30, 2011 $ 21 $ 40

Currency Risk (Note 11) Total change in unrealized for assets held at June 30, 2011 $ (1) $0 The table below indicates the foreign currency to which the Fund had significant exposure as at June 30, 2011 and December 31, 2010 in Canadian dollar terms, including the Common underlying principal amount of forward currency contracts, if any. The table also illustrates Shares Preferred the potential impact to the Fund’s net assets if the Fund’s functional currency, the Canadian Balance at December 31, 2009 $ 39 $ 79 Dollar, had strengthened or weakened by 5% in relation to the currency listed below, with Net Transfers In (Out) 0 (79) all other variables held constant. In practice, the actual trading results may differ from these Gains (Losses) approximate sensitivity analysis amounts and the differences could be material. Net Change in Unrealized Appreciation/ Total Exposure* (000s) Impact on Net Assets (000s) Depreciation of Investments (17) 0 Currency 2011 2010 2011 2010 Balance at December 31, 2010 $ 22 $0

UnitedStatesDollar $ 39,125 $ 26,712 $ 1,956 $ 1,336 Total change in unrealized for assets As Percentage of held at December 31, 2010 $ (17) $0 Net Assets (%) 99.76 99.34 4.99 4.97 Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) * Includes both monetary and non-monetary instruments, where applicable. The table below summarizes cash flows associated with the maturities of the Fund’s financial liabilities as at June 30, 2011 and December 31, 2010:

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 225 $ 296

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 181 GLOBALEQUITYFUNDS TD Global Dividend Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 945,748 $ 710,071 Interest $ 104 $ 210 Foreign Currencies 3,473 4,557 Dividends 23,165 12,955 Cash 17,558 14,578 Foreign Exchange (811) 1,452 Dividends Receivable 5,122 3,136 Securities Lending 445 257 Subscriptions Receivable 2,602 7,144 Less: Withholding Taxes (3,035) (1,883) Receivable for Investment Sales 5,312 0 19,868 12,991 Unrealized Gain on Open Foreign Expenses (Note 5) Exchange Forward Contracts 268 719 Management Fees 1,967 2,245 980,083 740,205 Administration Fees 290 326 Liabilities Independent Review Committee Fees 21 Accrued Liabilities 356 403 Bank Charges and Interest 20 Redemptions Payable 569 329 2,261 2,572 Distributions Payable 360 0 Less: Waived Expenses (4) (1) Payable for Investment Purchases 20,726 0 2,257 2,571 Unrealized Loss on Open Foreign Exchange Forward Contracts 665 105 Net Investment Income (Loss) 17,611 10,420 22,676 837 Net Realized Gain (Loss) on Sale of Investments 11,628 (1,921) Net Assets (Note 3) $ 957,407 $ 739,368 Net Change in Unrealized Appreciation/ Net Assets Representing Unitholders’ Equity (Note 4) Depreciation of Investments 9,926 (55,902) Investor Series $ 61,922 $ 65,665 Transaction Costs on Purchase and Sale Institutional Series $ 2,698 $ 2,109 of Investments (Note 3) (806) (508) Advisor Series $ 103,942 $ 114,754 Net Gain (Loss) on Investments 20,748 (58,331) F-Series $ 3,471 $ 3,641 Increase (Decrease) in Net Assets H-Series $ 852 $ 802 from Investment Operations† $ 38,359 $ (47,911) S-Series $ 22 $ 15 T-Series $ 1,103 $ 1,108 †Increase (Decrease) in Net Assets from Investment Operations O-Series $ 783,397 $ 551,274 Investor Series $ 2,435 $ (6,817) $ 957,407 $ 739,368 Institutional Series $ 98 $ (464) Advisor Series $ 4,317 $ (12,805) Number of Units Outstanding F-Series $ 164 $ (409) Investor Series 7,741,700 8,475,585 H-Series $ 29 $ (114) Institutional Series 369,873 298,589 S-Series $1$(2) Advisor Series 13,000,025 14,815,649 T-Series $ 42 $ (139) F-Series 435,444 471,349 O-Series $ 31,273 $ (27,161) H-Series 99,501 93,973 $ 38,359 $ (47,911) S-Series 2,609 1,837 Increase (Decrease) in Net Assets from Investment Operations – T-Series 129,413 130,385 Per Unit (Note 3) Investor Series $ 0.29 $ (0.70) O-Series 64,276,220 46,739,036 Institutional Series $ 0.32 $ (0.36) Net Assets Per Unit (Note 3) Advisor Series $ 0.29 $ (0.70) Investor Series $ 8.00 $ 7.75 F-Series $ 0.35 $ (0.65) Institutional Series $ 7.29 $ 7.06 H-Series $ 0.33 $ (0.82) Advisor Series $ 8.00 $ 7.75 S-Series $ 0.38 $ (0.76) T-Series $ 0.32 $ (0.83) F-Series $ 7.97 $ 7.73 O-Series $ 0.60 $ (0.94) H-Series $ 8.56 $ 8.54 S-Series $ 8.45 $ 8.42 T-Series $ 8.52 $ 8.50 O-Series $ 12.19 $ 11.79

182 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS TD Global Dividend Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 65,665 $ 78,213 $ 2,109 $ 15,656 $ 114,754 $ 152,365 Increase (Decrease) in Net Assets from Investment Operations 2,435 (6,817) 98 (464) 4,317 (12,805) Capital Unit Transactions† Proceeds from Sale of Units 5,506 4,386 582 235 4,097 5,068 Reinvestments of Distributions 320 617 0 61 542 1,102 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (11,679) (11,432) (60) (13,544) (19,194) (26,682) (5,853) (6,429) 522 (13,248) (14,555) (20,512) Distributions to Unitholders (325) (625) (31) (91) (574) (1,160) Increase (Decrease) in Net Assets for the Period (3,743) (13,871) 589 (13,803) (10,812) (34,477) Net Assets, End of the Period $ 61,922 $ 64,342 $ 2,698 $ 1,853 $ 103,942 $ 117,888 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 8,475,585 10,145,482 298,589 2,232,854 14,815,649 19,767,619 Units Issued 686,015 590,486 79,372 33,134 512,248 680,795 Units Issued on Reinvestments 40,044 88,092 0 8,871 67,726 157,400 Units Redeemed (1,459,944) (1,549,573) (8,088) (1,981,157) (2,395,598) (3,607,860) Units Outstanding, End of the Period 7,741,700 9,274,487 369,873 293,702 13,000,025 16,997,954

F-Series H-Series S-Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 3,641$ 5,044 $ 802$ 1,325 $ 15$ 16 Increase (Decrease) in Net Assets from Investment Operations 164 (409) 29 (114) 1 (2) Capital Unit Transactions† Proceeds from Sale of Units 292 479 214 123 66 Reinvestments of Distributions 40 66 13 14 11 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (621) (1,331) (175) (266) 00 (289) (786) 52 (129) 77 Distributions to Unitholders (45) (73) (31) (51) (1) (1) Increase (Decrease) in Net Assets for the Period (170) (1,268) 50 (294) 74 Net Assets, End of the Period $ 3,471$ 3,776 $ 852$ 1,031 $ 22$ 20 †Capital Unit Transactions Units Outstanding, Beginning of the Period 471,349 656,026 93,973 144,651 1,837 1,800 Units Issued 36,370 63,257 24,426 14,117 717 617 Units Issued on Reinvestments 5,066 9,374 1,488 1,657 55 94 Units Redeemed (77,341) (181,921) (20,386) (30,995) 00 Units Outstanding, End of the Period 435,444 546,736 99,501 129,430 2,609 2,511

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 183 GLOBALEQUITYFUNDS TD Global Dividend Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) T-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 1,108 $ 1,612 $ 551,274 $ 200,509 $ 739,368 $ 454,740 Increase (Decrease) in Net Assets from Investment Operations 42 (139) 31,273 (27,161) 38,359 (47,911) Capital Unit Transactions† Proceeds from Sale of Units 127 39 215,562 226,216 226,386 236,552 Reinvestments of Distributions 13 18 12,399 6,619 13,328 8,498 Early Redemption Fees 00 11 11 Amounts Paid on Redemptions (148) (295) (14,213) (1,469) (46,090) (55,019) (8) (238) 213,749 231,367 193,625 190,032 Distributions to Unitholders (39) (60) (12,899) (7,196) (13,945) (9,257) Increase (Decrease) in Net Assets for the Period (5) (437) 232,123 197,010 218,039 132,864 Net Assets, End of the Period $ 1,103 $ 1,175 $ 783,397 $ 397,519 $ 957,407 $ 587,604 †Capital Unit Transactions Units Outstanding, Beginning of the Period 130,385 176,839 46,739,036 17,187,000 Units Issued 14,556 4,392 17,675,746 20,093,712 Units Issued on Reinvestments 1,504 2,149 1,017,982 616,234 Units Redeemed (17,032) (35,270) (1,156,544) (134,630) Units Outstanding, End of the Period 129,413 148,110 64,276,220 37,762,316

184 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS

TD Global Dividend Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) GERMANY – 8.5% No. of Shares 176,500 Allianz SE $$25,300,678 23,737,529 or Units Description Cost FairValue 132,000 Bayer AG 9,614,456 10,224,954 523,700 E.ON AG 14,263,902 14,356,746 Canadian Equities – 2.8% 138,600 Fresenius SE & Co. KGaA 9,333,263 13,952,929 ENERGY – 2.8% 409,600 Gerresheimer AG 13,799,004 18,860,574 973,500 Canadian Oil Sands Limited $ 26,178,835 $ 27,043,830 72,311,303 81,132,732

U.S. Equities – 35.4% HONG KONG – 3.2% 1,600,000 Cheung Kong (Holdings) Limited 21,118,334 22,660,775 ENERGY – 4.2% 908,500 China Mobile Limited 9,994,533 8,157,260 249,100 Chevron Corporation 20,519,362 24,687,524 31,112,867 30,818,035 232,600 Diamond Offshore Drilling Inc. 15,828,249 15,788,421 36,347,611 40,475,945 ITALY – 4.4% 1,175,200 Eni SpA 28,355,345 26,861,069 INDUSTRIALS – 1.0% 790,500 Prysmian SpA 15,947,878 15,347,312 140,700 Northrop Grumman Corporation 9,557,164 9,410,664 44,303,223 42,208,381 CONSUMER DISCRETIONARY – 3.1% JAPAN – 3.1% 577,900 ComcastCorporation,Class“A” 10,203,105 14,117,819 135,000 Daito Trust Construction Co., Ltd. 9,479,588 11,054,030 188,000 McDonald’s Corporation 13,967,836 15,281,363 37,500 Nintendo Co., Ltd. 11,891,919 6,791,715 24,170,941 29,399,182 2,828 OsakaSecuritiesExchangeCo.,Ltd. 14,128,403 12,175,109 CONSUMER STAPLES – 9.0% 35,499,910 30,020,854 194,600 Heinz (H.J.) Company 8,878,330 9,997,819 NETHERLANDS – 2.4% 965,000 Kraft Foods Inc., Class “A” 29,669,763 32,779,051 654,300 Koninklijke KPN NV 10,310,970 9,169,374 226,900 PepsiCo Inc. 14,876,049 15,401,516 201,200 Nutreco NV 14,363,809 14,269,759 430,200 Philip Morris International Inc. 21,746,717 27,690,852 24,674,779 23,439,133 75,170,859 85,869,238 NORWAY – 1.7% HEALTH CARE – 4.2% 650,900 Statoil ASA 17,391,258 15,892,392 393,100 Abbott Laboratories 21,204,984 19,934,408 317,900 Johnson & Johnson 21,176,484 20,376,547 RUSSIA – 0.6% 42,381,468 40,310,955 349,800 Global Ports Investment PLC 5,179,051 5,883,639 SINGAPORE – 1.1% FINANCIALS – 4.1% 4,289,000 Singapore Telecommunications Limited 9,876,617 10,662,047 688,700 Invesco Mortgage Capital Inc. 14,937,134 14,028,257 241,900 JPMorgan Chase & Co. 9,522,205 9,544,322 SWITZERLAND – 5.8% 1,495,800 Two Harbors Investment Corp. 13,685,166 15,508,211 319,800 Credit Suisse Group AG 15,464,155 12,020,250 38,144,505 39,080,790 392,900 Novartis AG 21,842,094 23,223,676 64,000 Roche Holding AG 10,990,157 10,334,013 INFORMATION TECHNOLOGY – 5.8% 198,900 Tyco International Ltd. 7,676,428 9,472,521 180,900 International Business Machines 55,972,834 55,050,460 Corporation 25,371,533 29,907,477 1,040,600 Microsoft Corporation 27,041,965 26,073,701 UNITED KINGDOM – 21.6% 52,413,498 55,981,178 4,321,700 AberdeenAssetManagementPLC 8,506,484 14,929,898 1,009,300 GlaxoSmithKline PLC 20,649,297 20,864,592 TELECOMMUNICATION SERVICES – 2.1% 2,781,000 HSBC Holdings PLC 31,451,993 26,592,753 664,700 AT&T Inc. 20,841,203 20,123,185 2,847,700 National Grid PLC 27,819,289 27,036,833 UTILITIES – 1.9% 2,020,400 Prudential PLC 19,684,447 22,499,907 253,200 Nextera Energy Inc. 13,858,734 14,024,334 278,200 Rio Tinto PLC 15,901,765 19,373,594 93,300 PG&E Corporation 4,253,486 3,779,294 2,423,500 Tesco PLC 18,015,729 15,101,590 1,674,600 UBM PLC 15,147,358 14,428,835 18,112,220 17,803,628 10,329,600 Vodafone Group PLC 26,680,651 26,416,775 Total U.S. Equities 317,139,469 338,454,765 1,582,200 WPP PLC 19,258,629 19,116,987 203,115,642 206,361,764 International Equities – 60.6% Total International Equities 589,680,488 580,249,554 BRAZIL – 1.5% 1,260,300 BancoSantander(Brasil)SA,ADR 15,892,997 14,221,307 Transaction Costs (Note 3) (1,507,935) 0

FRANCE – 6.7% TOTALINVESTMENT 153,900 BNP Paribas 11,322,574 11,445,262 PORTFOLIO – 98.8% 931,490,857 945,748,149 392,000 Bouygues SA 19,938,656 16,625,168 FOREIGN CURRENCIES – 0.3% 3,495,369 3,473,245 654,400 TOTAL SA 43,088,777 36,488,380 FORWARDCONTRACTS 74,350,007 64,558,810 (SCHEDULE 1) – (0.0%) 0 (397,358) OTHER NET ASSETS – 0.9% 8,655,778 8,583,081

TOTAL NET ASSETS – 100.0% $ 943,642,004 $ 957,407,117

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 185 TD Global Dividend Fund GLOBALEQUITYFUNDS

July 01, 2011 150,000 GBP $ 232,185 240,842 USD $ 232,280 1.60561 $ 95 July 01, 2011 4,130,000 NOK 738,289 767,625 USD 740,336 5.38023 2,047 July 29, 2011 12,000,000 CHF 13,778,290 14,043,678 CAD 14,043,678 0.85448 265,388 $ 14,748,764 $ 15,016,294 $ 267,530

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 04, 2011 1,399,906 CAD $ 1,399,906 1,000,000 EUR $ 1,398,588 1.39991 $ (1,318) July 05, 2011 4,900,000 HKD 607,396 629,684 USD 607,377 7.78169 (19) July 29, 2011 27,000,000 EUR 37,758,962 37,427,243 CAD 37,427,243 1.38619 (331,719) July 29, 2011 27,000,000 EUR 37,758,962 37,427,130 CAD 37,427,130 1.38619 (331,832) $ 77,525,226 $ 76,860,338 $ (664,888)

TOTALNUMBEROFCONTRACTS: 7 NETDEPRECIATION $ (397,358)

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 22,011 $ 732 Forward Contracts 665 105 $ 22,676 $ 837

186 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS TD Global Value Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 13,890 $ 316,949 Interest $ 17 $ 20 Foreign Currencies 18 383 Dividends 279 4,087 Cash 39 7,257 Securities Lending 7 60 Dividends Receivable 37 581 Less: Withholding Taxes 100 (469) Subscriptions Receivable 24 403 3,698 Receivable for Investment Sales 0 282 Expenses (Note 5) Tax Reclaims Receivable 143 0 Management Fees 70 1,455 Unrealized Gain on Open Foreign Administration Fees 9 14 Exchange Forward Contracts 01 Independent Review Committee Fees 01 14,129 325,457 79 1,470 Liabilities Less: Waived Expenses (0) (1) Accrued Liabilities 11 38 79 1,469 Redemptions Payable 28 3,038 Net Investment Income (Loss) 324 2,229 39 3,076 Net Realized Gain (Loss) on Net Assets (Note 3) $ 14,090 $ 322,381 Sale of Investments 21,715 906 Net Assets Representing Unitholders’ Equity (Note 4) Net Change in Unrealized Appreciation/ Investor Series $ 3,967 $ 6,315 Depreciation of Investments (18,786) (38,688) Institutional Series N/A $ 19,206 Transaction Costs on Purchase and Sale Advisor Series $ 1,035 $ 1,118 of Investments (Note 3) (279) (420) F-Series $ 47 $ 60 Net Gain (Loss) on Investments 2,650 (38,202) O-Series $ 9,041 $ 295,682 Increase (Decrease) in Net Assets $ 14,090 $ 322,381 from Investment Operations† $ 2,974 $ (35,973) Number of Units Outstanding †Increase (Decrease) in Net Assets from Investment Operations Investor Series 519,747 837,296 Investor Series $ 46 $ (688) Institutional Series N/A 2,692,930 Institutional Series $ 165 $ 3,242 Advisor Series 135,989 148,573 Advisor Series $7$(138) F-Series 6,040 7,861 F-Series $1$(6) O-Series $ 2,755 $ (38,383) O-Series 876,497 29,386,682 $ 2,974 $ (35,973) Net Assets Per Unit (Note 3) Investor Series $ 7.63 $ 7.54 Increase (Decrease) in Net Assets from Investment Operations – Institutional Series N/A $ 7.13 Per Unit (Note 3) Investor Series $ 0.05 $ (0.68) Advisor Series $ 7.61 $ 7.52 Institutional Series $ (0.08) $ (0.59) F-Series $ 7.79 $ 7.65 Advisor Series $ 0.05 $ (0.70) O-Series $ 10.32 $ 10.06 F-Series $ 0.11 $ (0.63) O-Series $ 0.20 $ (1.00)

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 187 GLOBALEQUITYFUNDS TD Global Value Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 6,315 $ 7,849 $ 19,206 $ 422,843 $ 1,118 $ 1,561 Increase (Decrease) in Net Assets from Investment Operations 46 (688) 165 3,242 7 (138) Capital Unit Transactions† Proceeds from Sale of Units 382 436 0 3,793 83 94 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (2,776) (1,041) (19,371) (406,048) (173) (217) (2,394) (605) (19,371) (402,255) (90) (123) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (2,348) (1,293) (19,206) (399,013) (83) (261) Net Assets, End of the Period $ 3,967 $ 6,556 $0$23,830 $ 1,035 $ 1,300 †Capital Unit Transactions Units Outstanding, Beginning of the Period 837,296 1,055,821 2,692,930 59,993,618 148,573 210,528 Units Issued 49,903 60,589 0 529,330 10,860 12,815 Units Issued on Reinvestments 00 00 00 Units Redeemed (367,452) (142,494) (2,692,930) (56,814,247) (23,444) (29,794) Units Outstanding, End of the Period 519,747 973,916 0 3,708,701 135,989 193,549

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 60$ 74 $ 295,682 $0$322,381 $ 432,327 Increase (Decrease) in Net Assets from Investment Operations 1 (6) 2,755 (38,383) 2,974 (35,973) Capital Unit Transactions† Proceeds from Sale of Units 01 8404,218 473 408,542 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (14) (14) (289,404) (8,704) (311,738) (416,024) (14) (13) (289,396) 395,514 (311,265) (7,482) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (13) (19) (286,641) 357,131 (308,291) (43,455) Net Assets, End of the Period $ 47 $ 55 $ 9,041 $ 357,131 $ 14,090 $ 388,872 †Capital Unit Transactions Units Outstanding, Beginning of the Period 7,861 9,910 29,386,682 0 Units Issued 51 149 725 40,567,785 Units Issued on Reinvestments 00 00 Units Redeemed (1,872) (1,937) (28,510,910) (916,882) Units Outstanding, End of the Period 6,040 8,122 876,497 39,650,903

188 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS

TD Global Value Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) FINANCIALS – 6.5% No. of Shares 8,500 Annaly Capital Management Inc. $$150,860 147,725 or Units Description Cost FairValue 12,680 Fifth Third Bancorp 186,082 155,678 7,240 JPMorgan Chase & Co. 320,402 285,659 Canadian Equities – 3.9% 6,468 MetLife Inc. 294,529 273,539 ENERGY – 0.8% 950 PNC Financial Services Group Inc. 60,301 54,589 2,850 CanadianNaturalResourcesLimited $ 105,892 $ 114,922 1,012,174 917,190

CONSUMER STAPLES – 0.7% INFORMATION TECHNOLOGY – 7.9% 9,770 Viterra Inc. 102,793 101,901 15,250 Cisco Systems Inc. 314,372 229,443

TELECOMMUNICATION SERVICES – 2.4% 14,060 Intel Corporation 301,281 300,222 8,900 BCE Inc. 314,494 336,509 1,908 International Business Machines Corporation 257,858 315,442 Total Canadian Equities 523,179 553,332 10,640 Microsoft Corporation 300,772 266,600 1,174,283 1,111,707 U.S. Equities – 49.3% TELECOMMUNICATION SERVICES – 1.7% ENERGY – 9.2% 2,410 Apache Corporation 283,314 286,682 5,750 NII Holdings Inc. 241,382 234,967 1,440 Chevron Corporation 126,578 142,714 INDEX EQUIVALENTS – 2.8% 4,880 ConocoPhillips 327,433 353,648 3,110 SPDR S&P 500 ETF Trust 399,371 395,806 1,930 Diamond Offshore Drilling Inc. 149,151 131,005 4,670 Halliburton Company 201,627 229,658 Total U.S. Equities 6,960,470 6,944,141 6,500 PetroHawk Energy Corporation 121,623 154,717 International Equities – 45.4% 1,209,726 1,298,424 AUSTRALIA – 2.5% MATERIALS – 2.3% 29,266 Myer Holdings Limited 91,119 80,126 4,000 Crown Holdings Inc. 143,729 149,798 75,420 Primary Health Care Limited 247,965 268,369 5,960 International Paper Company 177,106 171,237 339,084 348,495 320,835 321,035 BRAZIL – 1.7% INDUSTRIALS – 4.3% 9,912 Cielo SA 224,199 237,115 2,890 AGCO Corporation 98,579 137,551 6,000 CSX Corporation 136,383 151,669 FRANCE – 3.9% 5,430 Honeywell International Inc. 297,197 311,861 4,420 Publicis Groupe SA 189,608 237,972 1,286 Vallourec SA 131,875 151,211 532,159 601,081 5,930 Vivendi 168,431 159,412 CONSUMER DISCRETIONARY – 3.9% 489,914 548,595 3,510 DIRECTV, Class “A” 148,379 172,037 9,380 Ford Motor Company 169,111 124,752 GERMANY – 8.2% 9,300 RadioShack Corporation 147,768 120,818 2,090 Allianz SE 243,978 281,085 2,960 Target Corporation 147,539 133,889 1,850 Bayer AG 137,854 143,304 4,040 Daimler AG 304,382 293,592 612,797 551,496 3,290 Siemens AG 412,236 436,045 CONSUMER STAPLES – 3.0% 1,098,450 1,154,026 4,020 CVS Caremark Corporation 147,693 145,585 4,100 PepsiCo Inc. 272,053 278,300 IRELAND – 1.5% 3,520 Accenture PLC 177,610 205,084 419,746 423,885 ISRAEL – 1.7% HEALTH CARE – 7.7% 5,110 Teva Pharmaceutical Industries Limited, 2,610 Amgen Inc. 149,410 146,829 Sponsored ADR 269,312 237,546 6,710 Cardinal Health Inc. 273,986 293,869 3,660 Johnson & Johnson 236,890 234,596 JAPAN – 10.1% 4,100 Merck & Co., Inc. 147,053 139,466 10,900 Advantest Corporation 257,027 193,529 8,250 Pfizer Inc. 138,740 163,829 13,364 Bridgestone Corporation 260,921 296,967 2,210 UnitedHealth Group Incorporated 91,918 109,961 4,157 DENSO Corporation 98,880 149,113 1,037,997 1,088,550 5,791 JGC Corporation 117,798 153,016 10,790 Mitsubishi Corporation 271,778 259,930 4,500 SumitomoMitsuiFinancialGroupInc. 330,714 133,823 5,955 Toyota Motor Corporation 249,493 236,504 1,586,611 1,422,882

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 189 TD Global Value Fund GLOBALEQUITYFUNDS

No. of Shares Paror Value Units Description Cost FairValue

NETHERLANDS – 2.0% Currency Risk (Note 11) 9,130 Unilever NV $$282,296 289,002 The table below indicates the foreign currencies to which the Fund had significant exposure as at June 30, 2011 and December 31, 2010 in Canadian dollar terms, including the RUSSIA – 0.8% underlying principal amount of forward currency contracts, if any. The table also illustrates 8,500 OAO Gazprom, Sponsored ADR 120,838 119,278 the potential impact to the Fund’s net assets if the Fund’s functional currency, the Canadian SINGAPORE – 1.1% Dollar, had strengthened or weakened by 5% in relation to all other currencies, with all 40,640 SembCorp Industries Ltd. 148,698 159,612 other variables held constant. In practice, the actual trading results may differ from these approximate sensitivity analysis amounts and the differences could be material. SPAIN – 1.6% 20,145 Banco Santander SA 216,005 223,824 Total Exposure* (000s) Impact on Net Assets (000s) Currency 2011 2010 2011 2010 UNITED KINGDOM – 10.3% 5,729 Anglo American PLC 173,881 273,797 AustralianDollar $ 348 $ 2,832 $ 17 $ 142 42,693 Barclays PLC 324,378 168,916 Brazilian Real 237 3,420 12 171 6,110 British American Tobacco PLC 229,967 258,409 British Pound 1,303 28,944 65 1,447 14,640 National Grid PLC 145,740 138,996 Danish Krone 0 4,787 0 239 27,720 Rexam PLC 149,483 164,362 Euro 1,927 32,367 96 1,618 110,707 Vodafone Group PLC 314,087 283,121 Hong Kong Dollar 0 3,521 0 176 4,030 Willis Group Holdings PLC 130,779 159,628 Japanese Yen 1,431 31,989 72 1,599 Singapore Dollar 160 2,582 8 129 1,468,315 1,447,229 South Korean Won 0 3,191 0 160 Total International Equities 6,421,332 6,392,688 United States Dollar 8,095 193,095 405 9,655

Transaction Costs (Note 3) (10,067) 0 Total $ 13,501 $ 306,728 $ 675 $ 15,336

TOTALINVESTMENT As Percentage of PORTFOLIO – 98.6% 13,894,914 13,890,161 Net Assets (%) 95.82 95.14 4.79 4.76

FOREIGN CURRENCIES – 0.1% 17,865 17,725 * Includes both monetary and non-monetary instruments, where applicable. OTHER NET ASSETS – 1.3% 176,244 182,288 Financial Instruments by the Level in the Fair Value Hierarchy (in 000s) (Note 11) TOTAL NET ASSETS – 100.0% $ 14,089,023 $ 14,090,174 The table below illustrates the classification of the Fund’s financial instruments within the fair value hierarchy as at June 30, 2011 and December 31, 2010:

Level1 Level2 Level3 Total June 30, 2011 CommonShares $ 8,750 $ 5,140 $0$13,890

Equity positions with a fair value of $2,062 were transferred from Level 1 to Level 2 during the period as a result of decreased activity in the market for those securities.

December 31, 2010 CommonShares $ 260,899 $ 56,050 $0$316,949 Forward Contracts 0101 $ 260,899 $ 56,051 $0$316,950

Equity positions with a fair value of $26,107 were transferred from Level 2 to Level 1 during the period as a result of increased activity in the market for those securities.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 39 $ 3,076

190 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS TD Global Growth Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 126,661 $ 536,418 Interest $9$7 Foreign Currencies 47 213 Dividends 1,927 15,041 Cash 1,086 279 Foreign Exchange 0 1,031 Dividends Receivable 226 788 Securities Lending 36 123 Subscriptions Receivable 45 39 Less: Withholding Taxes (186) (1,445) Receivable for Investment Sales 482 0 1,786 14,757 128,547 537,737 Expenses (Note 5) Liabilities Management Fees 1,374 2,571 Accrued Liabilities 248 297 Administration Fees 205 221 Redemptions Payable 245 3,935 Independent Review Committee Fees 01 493 4,232 Bank Charges and Interest 72 Net Assets (Note 3) $ 128,054 $ 533,505 1,586 2,795 Less: Waived Expenses (7) (2) Net Assets Representing Unitholders’ Equity (Note 4) 1,579 2,793 Investor Series $ 105,230 $ 117,493 Net Investment Income (Loss) 207 11,964 Institutional Series N/A $ 11,796 Advisor Series $ 12,621 $ 14,654 Net Realized Gain (Loss) on F-Series $ 690 $ 860 Sale of Investments 29,131 7,741 O-Series $ 9,513 $ 388,702 Net Change in Unrealized Appreciation/ Depreciation of Investments (31,034) (67,139) $ 128,054 $ 533,505 Transaction Costs on Purchase and Sale Number of Units Outstanding of Investments (Note 3) (305) (219) Investor Series 8,088,089 9,010,497 Net Gain (Loss) on Investments (2,208) (59,617) Institutional Series N/A 844,744 Increase (Decrease) in Net Assets Advisor Series 1,729,059 2,002,227 from Investment Operations† $ (2,001) $ (47,653) F-Series 82,480 103,302 †Increase (Decrease) in Net Assets from Investment Operations O-Series 896,185 36,982,558 Investor Series $ (257) $ (11,458) Net Assets Per Unit (Note 3) Institutional Series $ (58)$ (6,417) Investor Series $ 13.01 $ 13.04 Advisor Series $ (36)$ (1,515) Institutional Series N/A $ 13.96 F-Series $3$(131) O-Series $ (1,653) $ (28,132) Advisor Series $ 7.30 $ 7.32 $ (2,001) $ (47,653) F-Series $ 8.36 $ 8.33 O-Series $ 10.61 $ 10.51 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Investor Series $ (0.04) $ (1.12) Institutional Series $ (0.07) $ (1.11) Advisor Series $ (0.02) $ (0.63) F-Series $ 0.04 $ (0.69) O-Series $ 0.10 $ (0.63)

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 191 GLOBALEQUITYFUNDS TD Global Growth Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 117,493 $ 135,781 $ 11,796 $ 420,411 $ 14,654 $ 18,218 Increase (Decrease) in Net Assets from Investment Operations (257) (11,458) (58) (6,417) (36) (1,515) Capital Unit Transactions† Proceeds from Sale of Units 1,891 3,227 0 15,221 652 1,187 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (13,897) (14,944) (11,738) (412,719) (2,649) (3,446) (12,006) (11,717) (11,738) (397,498) (1,997) (2,259) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (12,263) (23,175) (11,796) (403,915) (2,033) (3,774) Net Assets, End of the Period $ 105,230 $ 112,606 $0$16,496 $ 12,621 $ 14,444 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 9,010,497 10,748,462 844,744 30,534,164 2,002,227 2,569,056 Units Issued 144,562 261,514 0 1,130,168 88,557 172,091 Units Issued on Reinvestments 00 00 00 Units Redeemed (1,066,970) (1,224,110) (844,744) (30,358,799) (361,725) (505,044) Units Outstanding, End of the Period 8,088,089 9,785,866 0 1,305,533 1,729,059 2,236,103

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 860 $ 1,944 $ 388,702 $0$533,505 $ 576,354 Increase (Decrease) in Net Assets from Investment Operations 3 (131) (1,653) (28,132) (2,001) (47,653) Capital Unit Transactions† Proceeds from Sale of Units 13 151 335 432,458 2,891 452,244 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 01 01 Amounts Paid on Redemptions (186) (973) (377,871) (11,636) (406,341) (443,718) (173) (822) (377,536) 420,823 (403,450) 8,527 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (170) (953) (379,189) 392,691 (405,451) (39,126) Net Assets, End of the Period $ 690 $ 991 $ 9,513 $ 392,691 $ 128,054 $ 537,228 †Capital Unit Transactions Units Outstanding, Beginning of the Period 103,302 239,058 36,982,558 0 Units Issued 1,501 19,735 31,715 43,175,935 Units Issued on Reinvestments 00 00 Units Redeemed (22,323) (125,913) (36,118,088) (1,224,668) Units Outstanding, End of the Period 82,480 132,880 896,185 41,951,267

192 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS

TD Global Growth Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) INFORMATION TECHNOLOGY – 7.3% No. of Shares 31,560 Adobe Systems Incorporated $$1,016,748 956,972 or Units Description Cost FairValue 84,534 Applied Materials Inc. 1,244,686 1,060,690 35,563 Ariba Inc. 453,511 1,182,277 Canadian Equities – 3.7% 35,760 eBay Inc. 921,585 1,112,606 ENERGY – 1.0% 62,274 EMC Corporation 1,062,692 1,654,657 57,066 Nexen Inc. $ 1,483,828 $ 1,237,191 27,995 FLIR Systems Inc. 650,031 909,893 52,295 Intel Corporation 1,171,940 1,116,651 MATERIALS – 2.7% 55,732 Microsoft Corporation 1,560,704 1,396,444 34,027 Barrick Gold Corporation 1,358,270 1,486,626 17,676 PotashCorporationofSaskatchewanInc. 841,128 972,226 8,081,897 9,390,190 95,161 Yamana Gold Inc. 1,077,086 1,065,803 TELECOMMUNICATION SERVICES – 1.7% 3,276,484 3,524,655 419,649 Sprint Nextel Corporation 1,793,669 2,177,450

Total Canadian Equities 4,760,312 4,761,846 UTILITIES – 1.0% 40,472 Wisconsin Energy Corporation 948,324 1,222,520 U.S. Equities – 30.6% Total U.S. Equities 35,652,179 39,177,634 ENERGY – 1.8% 25,039 CONSOL Energy Inc. 990,783 1,170,254 International Equities – 64.6% 62,702 Weatherford International Ltd. 1,451,096 1,133,868 AUSTRALIA – 4.6% 2,441,879 2,304,122 174,549 AMP Limited 1,014,356 885,302

MATERIALS – 1.0% 72,762 Newcrest Mining Limited 2,074,836 2,843,478 19,160 The Mosaic Company 1,189,001 1,251,204 79,614 Santos Limited 1,051,692 1,119,550 34,059 WorleyParsons Limited 924,925 1,000,129 INDUSTRIALS – 4.5% 5,065,809 5,848,459 32,143 Equifax Inc. 1,160,281 1,075,711 18,513 ESCO Technologies Inc. 830,418 656,880 BELGIUM – 0.7% 15,521 L-3CommunicationsHoldingsInc. 1,281,124 1,309,059 16,809 Anheuser-Busch InBev NV 857,442 940,875 28,223 Nielsen Holdings NV 681,935 847,348 BERMUDA – 0.9% 22,341 The Shaw Group Inc. 745,570 651,144 33,089 Lazard Ltd., Class “A” 1,327,213 1,183,003 12,759 Union Pacific Corporation 847,566 1,284,316 5,546,894 5,824,458 BRAZIL – 3.7% 36,061 AnhangueraEducacionalParticipacoesSA 465,845 738,969 CONSUMER DISCRETIONARY – 5.3% 152,454 Gafisa SA 1,032,512 695,295 33,081 Carnival Corporation 1,194,143 1,200,584 90,988 Hypermarcas SA 1,212,024 825,438 34,881 Dollar General Corporation 1,036,850 1,140,093 61,436 Petroleo Brasileiro SA – Petrobras, 99,635 InterpublicGroupofCompaniesInc. 704,808 1,200,201 Sponsored ADR 2,187,708 1,819,035 10,038 ITT Educational Services Inc. 1,073,508 757,356 47,658 TeleNorteLesteParticipacoesSA,ADR 817,720 713,358 27,740 Lear Corporation (USD) 1,461,922 1,430,796 5,715,809 4,792,095 62,734 News Corporation, Class “B” 1,094,258 1,093,304 6,565,489 6,822,334 DENMARK – 0.5% 20,042 PANDORA AS 1,210,570 606,936 CONSUMER STAPLES – 1.5% 74,401 Altria Group Inc. 1,436,880 1,894,360 FRANCE – 6.0% 10,165 BNP Paribas 799,747 755,952 HEALTH CARE – 4.6% 14,576 L’Air Liquide SA 1,819,138 2,013,967 44,325 Align Technology Inc. 553,488 973,400 10,534 L’Oreal SA 1,183,143 1,318,449 19,613 Medco Health Solutions Inc. 1,101,272 1,069,119 8,691 Nexans SA 748,991 789,077 29,231 Medtronic Inc. 1,123,893 1,085,386 29,018 Thales 1,335,425 1,205,298 74,280 Pfizer Inc. 1,355,315 1,475,054 29,419 Thales SA, Rights 00 19,882 Thermo Fisher Scientific Inc. 978,115 1,234,307 27,808 TOTAL SA 1,545,966 1,550,533 5,112,083 5,837,266 7,432,410 7,633,276

FINANCIALS – 1.9% 20,207 PNC Financial Services Group Inc. 1,254,145 1,161,133 44,029 Principal Financial Group Inc. 1,281,918 1,292,597 2,536,063 2,453,730

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 193 TD Global Growth Fund GLOBALEQUITYFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

GERMANY – 2.5% SWITZERLAND – 10.5% 23,184 Bayer AG $$1,686,468 1,795,874 39,898 ABB Ltd. $$909,034 999,789 20,022 Fresenius SE & Co. KGaA 1,031,524 1,444,314 21,074 Actelion Ltd. 1,226,455 1,002,902 2,717,992 3,240,188 28,033 Bank Sarasin & Cie AG 986,120 1,070,845 12,628 Lonza Group AG 1,280,162 954,146 HONG KONG – 4.6% 25,415 Nestle SA 1,372,823 1,525,315 432,000 AIA Group Ltd. 1,187,114 1,450,344 28,753 Novartis AG 1,414,402 1,699,543 218,000 Belle International Holdings Limited 363,945 444,193 16,990 Roche Holding AG 2,682,806 2,743,358 101,500 China Mobile Limited 988,643 911,350 5,724 Syngenta AG 1,757,662 1,865,660 40,000 JardineMathesonHoldingsLimited 1,311,634 2,215,349 6,511 Zurich Financial Services AG 1,322,962 1,588,971 568,000 Noble Group Limited 915,918 882,168 12,952,426 13,450,529 4,767,254 5,903,404 TAIWAN – 1.3% IRELAND – 1.0% 12,682 HTC Corporation, GDR 637,627 1,645,384 22,224 Accenture PLC 969,575 1,294,824 THAILAND – 2.3% ITALY – 0.5% 371,700 Advanced Info Service 33,900 Prysmian SpA 701,346 658,158 Public Company Limited 1,130,874 1,216,280 JAPAN – 8.7% 342,500 BangkokBankPublicCompanyLimited 1,253,154 1,709,429 31,200 Don Quijote Co., Ltd. 1,054,150 1,046,445 2,384,028 2,925,709 39,900 HitachiConstructionMachineryCo.,Ltd. 979,403 862,666 TURKEY – 0.4% 270 INPEX Corporation 1,913,609 1,925,196 43,835 Turkcell IIetisim Hizmetleri AS, ADR 829,087 572,003 16,900 Lawson Inc. 753,521 855,072 56,000 Mitsubishi Corporation 1,480,752 1,349,034 UNITED KINGDOM – 9.6% 231,800 Nomura Holdings Inc. 1,619,809 1,103,197 31,148 Anglo American PLC 1,586,959 1,488,607 63,000 Panasonic Corporation 963,643 743,054 65,211 Associated British Foods PLC 1,159,966 1,094,207 41,400 SUMCO Corporation 754,560 676,001 55,915 British American Tobacco PLC 2,102,845 2,364,803 150,000 Toshiba Corporation 755,836 762,737 872,611 Cable&WirelessCommunicationsPLC 738,984 547,039 47,100 Toyota Motor Corporation 1,878,246 1,870,589 772,981 Cable & Wireless Worldwide PLC 1,055,157 550,389 12,153,529 11,193,991 74,093 GlaxoSmithKline PLC 1,402,968 1,531,676 183,549 ICAP PLC 1,515,069 1,342,614 MACAU – 0.8% 72,418 Smith & Nephew PLC 614,176 748,493 383,200 Sands China Ltd. 578,444 997,356 55,312 Standard Chartered PLC 1,398,857 1,401,271 NORWAY – 1.0% 30,387 Willis Group Holdings PLC 844,843 1,203,628 52,096 Statoil ASA 1,238,550 1,271,977 12,419,824 12,272,727

RUSSIA – 0.7% Total International Equities 79,804,112 82,721,972 13,821 OAO LUKOIL, Sponsored ADR 900,022 847,767 Transaction Costs (Note 3) (129,149) 0 SINGAPORE – 2.0% TOTALINVESTMENT 480,000 Straits Asia Resources Limited 1,003,566 1,131,525 PORTFOLIO – 98.9% 120,087,454 126,661,452 91,000 United Overseas Bank Limited 1,373,010 1,409,079 FOREIGN CURRENCIES – 0.0% 47,552 47,315 2,376,576 2,540,604 OTHER NET ASSETS – 1.1% 1,353,296 1,345,729 SOUTH AFRICA – 1.2% 73,185 MTN Group Limited 1,274,984 1,503,697 TOTAL NET ASSETS – 100.0% $ 121,488,302 $ 128,054,496 SOUTH KOREA – 0.3% 63,569 LG TeleCom Ltd. 474,373 332,752

SPAIN – 0.8% 53,188 Amadeus IT Holding SA 819,222 1,066,258

194 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Global Growth Fund GLOBALEQUITYFUNDS

Dollar, had strengthened or weakened by 5% in relation to all other currencies, with all Level1 Level2 Level3 Total other variables held constant. In practice, the actual trading results may differ from these approximate sensitivity analysis amounts and the differences could be material. June 30, 2011 CommonShares $ 58,622 $ 68,039 $0$126,661 Total Exposure* (000s) Impact on Net Assets (000s) Currency 2011 2010 2011 2010 Equity positions with a fair value of $26,926 and $3,933 were transferred from Level 1 to 2 AustralianDollar $ 5,848 $ 30,931 $ 292 $ 1,547 and Level 2 to 1 respectively during the period as a result of changes in activities in the Brazilian Real 2,288 8,165 114 408 market for those securities. British Pound 11,178 51,802 559 2,590 December 31, 2010 Danish Krone 607 0 30 0 CommonShares $ 387,133 $ 149,285 $0$536,418 Euro 13,831 51,834 692 2,592 Hong Kong Dollar 3,803 7,607 190 380 Equity positions with a fair value of $7,624 and $95,808 were transferred from Level 1 to 2 Japanese Yen 11,200 37,475 560 1,874 and Level 2 to 1 respectively during the period as a result of changes in activities in the New Taiwan Dollar 2 182 09market for those securities. Norwegian Krone 1,272 6,579 64 329 Singapore Dollar 3,423 4,587 171 229 Reconciliation of Level 3 Fair Value Measurements (in 000s) South African Rand 1,504 6,590 75 330 The table below reconcile the Fund’s Level 3 fair value measurements from December 31, South Korean Won 333 3,452 17 173 2010 to June 30, 2011: Swiss Franc 13,451 55,146 673 2,757 Common Thai Baht 2,926 9,608 146 480 Shares United States Dollar 53,443 251,586 2,672 12,579 Balance at December 31, 2010 $0 Total $ 125,109 $ 525,544 $ 6,255 $ 26,277 Gains (Losses) As Percentage of Net Realized on Sale of Investments (749) Net Assets (%) 97.70 98.51 4.88 4.93 Net Change in Unrealized Appreciation/ Depreciation of Investments 749 * Includes both monetary and non-monetary instruments, where applicable. Balance at June 30, 2011 $0

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 493 $ 4,232

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 195 GLOBALEQUITYFUNDS TD Global Equity Portfolio Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 36,038 $ 38,789 Income Distributions Received Cash 88 76 from Underlying Funds $ 222 $ 246 Foreign Currencies 00Less: Withholding Taxes (37) (35) Subscriptions Receivable 12 9 185 211 Receivable for Investment Sales 12 64 Expenses (Note 5) 36,150 38,938 Management Fees 444 340 Liabilities Administration Fees 62 64 Accrued Liabilities 80 90 Independent Review Committee Fees 00 Redemptions Payable 19 74 Bank Charges and Interest 01 Payable for Investment Purchases 20 506 405 101 164 Less: Waived Expenses (0) (1) Net Assets (Note 3) $ 36,049 $ 38,774 506 404 Net Investment Income (Loss) (321) (193) Net Assets Representing Unitholders’ Equity (Note 4) Investor Series $ 33,710 $ 36,300 Net Realized Gain (Loss) on Advisor Series $ 2,326 $ 2,454 Sale of Investments (1,163) (2,147) F-Series $ 13 $ 20 Net Change in Unrealized Appreciation/ Depreciation of Investments 1,803 (1,561) $ 36,049 $ 38,774 Net Gain (Loss) on Investments 640 (3,708) Number of Units Outstanding Investor Series 4,879,429 5,296,281 Increase (Decrease) in Net Assets from Investment Operations† $ 319 $ (3,901) Advisor Series 315,989 336,214 F-Series 1,739 2,574 †Increase (Decrease) in Net Assets from Investment Operations Net Assets Per Unit (Note 3) Investor Series $ 297 $ (3,631) Investor Series $ 6.91 $ 6.85 Advisor Series $ 22 $ (248) F-Series $0$(22) Advisor Series $ 7.36 $ 7.30 $ 319 $ (3,901) F-Series $ 7.84 $ 7.72 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Investor Series $ 0.05 $ (0.60) Advisor Series $ 0.06 $ (0.65) F-Series $ 0.12 $ (0.66)

196 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS TD Global Equity Portfolio Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Advisor Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 36,300 $ 42,200 $ 2,454 $ 2,852 Increase (Decrease) in Net Assets from Investment Operations 297 (3,631) 22 (248) Capital Unit Transactions† Proceeds from Sale of Units 840 1,092 95 258 Reinvestments of Distributions 00 00 Early Redemption Fees 00 00 Amounts Paid on Redemptions (3,727) (4,781) (245) (540) (2,887) (3,689) (150) (282) Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period (2,590) (7,320) (128) (530) Net Assets, End of the Period $ 33,710 $ 34,880 $ 2,326 $ 2,322 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 5,296,281 6,328,592 336,214 401,705 Units Issued 121,159 168,877 12,959 37,273 Units Issued on Reinvestments 00 00 Units Redeemed (538,011) (740,183) (33,184) (78,958) Units Outstanding, End of the Period 4,879,429 5,757,286 315,989 360,020

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 20$ 36 $ 38,774$ 45,088 Increase (Decrease) in Net Assets from Investment Operations 0 (22) 319 (3,901) Capital Unit Transactions† Proceeds from Sale of Units 4 265 939 1,615 Reinvestments of Distributions 00 00 Early Redemption Fees 00 00 Amounts Paid on Redemptions (11) (253) (3,983) (5,574) (7) 12 (3,044) (3,959) Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period (7) (10) (2,725) (7,860) Net Assets, End of the Period $ 13$ 26 $ 36,049$ 37,228 †Capital Unit Transactions Units Outstanding, Beginning of the Period 2,574 4,840 Units Issued 583 35,676 Units Issued on Reinvestments 00 Units Redeemed (1,418) (36,693) Units Outstanding, End of the Period 1,739 3,823

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 197 GLOBALEQUITYFUNDS TD Global Equity Portfolio Statement of Investment Portfolio as at June 30, 2011 (Unaudited) No. of Units Description Cost FairValue

Investment Funds – 100.0% 163,875 TDEmergingMarkets Fund, O-Series $ 1,685,842 $ 1,802,620 883,537 TDGlobalDividendFund,O-Series 14,311,572 10,770,312 844,684 TDGlobalGrowthFund,O-Series 11,209,739 8,970,539 662,153 TDGlobalMulti-CapFund,O-Series 7,437,115 5,449,516 876,477 TD Global Value Fund, O-Series 12,545,108 9,045,241

TOTALINVESTMENT PORTFOLIO – 100.0% 47,189,376 36,038,228 FOREIGN CURRENCIES – 0.0% 446 369 OTHER NET ASSETS – 0.0% 10,699 10,699

TOTAL NET ASSETS – 100.0% $ 47,200,521 $ 36,049,296

Level1 Level2 Level3 Total June 30, 2011 UnderlyingFunds $ 36,038 $0$0$36,038

December 31, 2010 UnderlyingFunds $ 38,789 $0$0$38,789

During the periods, transfers between Level 1 and Level 2 were nil.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 101 $ 164

198 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS TD Global Multi-Cap Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 1,154,515 $ 686,448 Interest $ 19 $ 16 Short-Term Investments 0 24,841 Dividends 8,986 4,186 Foreign Currencies 24,633 547 Securities Lending 98 70 Cash 60Less: Withholding Taxes (605) (559) Dividends Receivable 2,544 312 8,498 3,713 Subscriptions Receivable 58 4,414 Expenses (Note 5) Receivable for Investment Sales 8,030 2,988 Management Fees 312 860 Unrealized Gain on Open Foreign Administration Fees 29 31 Exchange Forward Contracts 03 Independent Review Committee Fees 21 1,189,786 719,553 Bank Charges and Interest 20 Liabilities 345 892 Accrued Liabilities 53 51 Less: Waived Expenses (4) (1) Redemptions Payable 2,947 16 341 891 Payable for Investment Purchases 1,431 2,834 Unrealized Loss on Open Foreign Net Investment Income (Loss) 8,157 2,822 Exchange Forward Contracts 04Net Realized Gain (Loss) on 4,431 2,905 Sale of Investments 27,272 7,687 Net Change in Unrealized Appreciation/ Net Assets (Note 3) $ 1,185,355 $ 716,648 Depreciation of Investments (47,458) (60,111) Net Assets Representing Unitholders’ Equity (Note 4) Transaction Costs on Purchase and Sale Investor Series $ 11,691 $ 12,134 of Investments (Note 3) (733) (342) Institutional Series $ 15,229 $ 7,909 Net Gain (Loss) on Investments (20,919) (52,766) Advisor Series $ 4,675 $ 5,540 Increase (Decrease) in Net Assets F-Series $ 2,016 $ 2,130 from Investment Operations† $ (12,762) $ (49,944) O-Series $ 1,151,744 $ 688,935 $ 1,185,355 $ 716,648 †Increase (Decrease) in Net Assets from Investment Operations Investor Series $ (277) $ (1,337) Number of Units Outstanding Institutional Series $ (250) $ 380 Investor Series 1,507,753 1,530,026 Advisor Series $ (112)$ (667) Institutional Series 2,070,536 1,058,894 F-Series $ (30)$ (175) Advisor Series 602,224 697,699 O-Series $ (12,093) $ (48,145) F-Series 252,535 262,698 $ (12,762) $ (49,944) O-Series 139,989,166 82,960,627 Increase (Decrease) in Net Assets from Investment Operations – Net Assets Per Unit (Note 3) Per Unit (Note 3) Investor Series $ 7.75 $ 7.93 Investor Series $ (0.18) $ (0.77) Institutional Series $ 7.35 $ 7.47 Institutional Series $ (0.11) $ (0.66) Advisor Series $ (0.18) $ (0.72) Advisor Series $ 7.76 $ 7.94 F-Series $ (0.12) $ (0.74) F-Series $ 7.98 $ 8.11 O-Series $ (0.08) $ (0.69) O-Series $ 8.23 $ 8.30

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 199 GLOBALEQUITYFUNDS TD Global Multi-Cap Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 12,134 $ 13,171 $ 7,909 $ 202,193 $ 5,540 $ 7,900 Increase (Decrease) in Net Assets from Investment Operations (277) (1,337) (250) 380 (112) (667) Capital Unit Transactions† Proceeds from Sale of Units 1,914 1,738 10,048 194 319 474 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (2,080) (2,005) (2,478) (194,917) (1,072) (2,028) (166) (267) 7,570 (194,723) (753) (1,554) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (443) (1,604) 7,320 (194,343) (865) (2,221) Net Assets, End of the Period $ 11,691 $ 11,567 $ 15,229 $ 7,850 $ 4,675 $ 5,679 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 1,530,026 1,727,731 1,058,894 28,546,045 697,699 1,034,829 Units Issued 241,357 234,265 1,341,460 27,989 39,858 64,112 Units Issued on Reinvestments 00 00 00 Units Redeemed (263,630) (274,112) (329,818) (27,349,084) (135,333) (271,311) Units Outstanding, End of the Period 1,507,753 1,687,884 2,070,536 1,224,950 602,224 827,630

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 2,130 $ 1,755 $ 688,935 $ 180,410 $ 716,648 $ 405,429 Increase (Decrease) in Net Assets from Investment Operations (30) (175) (12,093) (48,145) (12,762) (49,944) Capital Unit Transactions† Proceeds from Sale of Units 251 219 527,201 409,629 539,733 412,254 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (335) (105) (52,299) (8,037) (58,264) (207,092) (84) 114 474,902 401,592 481,469 205,162 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (114) (61) 462,809 353,447 468,707 155,218 Net Assets, End of the Period $ 2,016 $ 1,694 $ 1,151,744 $ 533,857 $ 1,185,355 $ 560,647 †Capital Unit Transactions Units Outstanding, Beginning of the Period 262,698 228,348 82,960,627 22,993,412 Units Issued 31,415 29,438 63,286,936 52,832,728 Units Issued on Reinvestments 00 00 Units Redeemed (41,578) (14,314) (6,258,397) (1,065,460) Units Outstanding, End of the Period 252,535 243,472 139,989,166 74,760,680

200 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS

TD Global Multi-Cap Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) INFORMATION TECHNOLOGY – 18.3% No. of Shares 155,100 Apple Inc. $$43,082,616 50,193,648 or Units Description Cost FairValue 781,200 Broadcom Corporation 26,241,467 25,337,795 112,900 Google Inc., Class “A” 62,781,016 55,108,498 Canadian Equities – 2.6% 456,900 Juniper Networks Inc. 14,188,175 13,880,702 MATERIALS – 2.6% 115,500 MasterCard Incorporated 26,546,680 33,540,726 299,900 Barrick Gold Corporation $ 14,188,427 $ 13,102,507 921,500 Micron Technology Inc. 8,501,572 6,638,893 352,700 Osisko Mining Corporation 5,000,086 5,272,865 582,500 QUALCOMM Incorporated 27,318,250 31,887,321 236,900 Potash Corporation of Saskatchewan Inc. 12,815,815 13,030,112 208,659,776 216,587,583

Total Canadian Equities 32,004,328 31,405,484 TELECOMMUNICATION SERVICES – 1.0% 318,900 CrownCastleInternationalCorp. 13,382,767 12,545,499 U.S. Equities – 52.2% Total U.S. Equities 602,955,294 618,483,721 ENERGY – 8.7% 740,366 Arch Coal Inc. 21,344,614 19,036,466 International Equities – 42.6% 173,900 Cimarex Energy Co. 17,492,292 15,084,544 186,100 EOG Resources Inc. 17,880,255 18,756,093 ARGENTINA – 0.5% 194,400 Murphy Oil Corporation 12,812,139 12,308,658 82,800 MercadoLibre Inc. 5,526,582 6,335,812 364,700 Range Resources Corporation 17,336,251 19,514,253 BRAZIL – 6.4% 216,000 Schlumberger Limited 16,463,669 17,988,536 1,364,300 BM&FBOVESPA SA 9,886,909 8,684,030 103,329,220 102,688,550 559,200 Itau Unibanco Holding SA, ADR 12,355,275 12,690,210 316,300 Lojas Renner SA 10,146,658 11,630,285 MATERIALS – 3.5% 1,995,000 PDG Realty SA Empreendimentos 158,200 Freeport-McMoRanCopper&GoldInc. 7,850,892 8,068,218 e Participacoes 11,496,624 10,812,265 147,100 The Mosaic Company 9,310,638 9,606,058 1,063,100 Petroleo Brasileiro SA – Petrobras, 230,900 Praxair Inc. 20,059,656 24,128,625 Sponsored ADR 35,475,392 31,476,919 37,221,186 41,802,901 79,360,858 75,293,709 INDUSTRIALS – 2.8% CHINA – 7.6% 455,000 Emerson Electric Company 24,656,866 24,675,116 162,900 Baidu Inc., Sponsored ADR 14,836,308 22,020,384 129,200 Hubbell Incorporated, Class “B” 8,474,309 8,094,467 312,800 Ctrip.com International Ltd. 13,409,163 12,984,305 33,131,175 32,769,583 6,146,000 Dongfeng Motor Group Company Limited 10,235,958 11,252,910

CONSUMER DISCRETIONARY – 5.3% 23,871,560 Industrial and Commercial Bank 122,600 Amazon.com Inc. 16,754,889 24,173,307 of China Limited 18,597,840 17,560,658 42,600 AutoZone Inc. 8,792,549 12,115,724 100,800 SINA Corporation 8,667,237 10,120,244 190,834 Facebook Inc., Class “B” 4,580,209 5,216,948 449,200 Tencent Holdings Limited 9,735,769 11,823,908 718,200 General Motors Company 24,585,710 21,036,327 4,120,000 WantWantChinaHoldingsLimited 3,302,620 3,863,244 54,713,357 62,542,306 78,784,895 89,625,653 FRANCE – 4.3% HEALTH CARE – 2.8% 161,800 Baxter International Inc. 9,353,231 9,306,703 181,069 Pernod Ricard SA 15,696,655 17,223,357 3,300 Edwards Lifesciences Corporation 187,498 277,435 211,925 Schneider Electric SA 32,767,720 34,127,747 132,500 Laboratory Corporation 48,464,375 51,351,104 of America Holdings 11,057,002 12,363,646 GERMANY – 0.6% 154,700 WellPoint Inc. 8,942,727 11,751,025 98,885 Deutsche Boerse AG 7,351,036 7,241,414 29,540,458 33,698,809 HONG KONG – 1.0% FINANCIALS – 9.8% 1,358,000 Hengan International Group 56,100 CME Group Inc. 15,636,778 15,776,124 Company Limited 10,713,061 11,777,115 116,800 Franklin Resources Inc. 13,936,483 14,787,271 233,300 The Goldman Sachs Group Inc. 36,001,357 29,928,073 1,044,500 JPMorgan Chase & Co. 42,712,311 41,211,426 216,500 MSCI Inc. 7,756,307 7,869,801 190,100 NYSE Euronext Inc. 6,934,119 6,275,795 122,977,355 115,848,490

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 201 TD Global Multi-Cap Fund GLOBALEQUITYFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description CostCost FairValue

INDIA – 3.1% UNITED KINGDOM – 12.9% 566,272 Axis Bank Ltd. $$16,814,814 15,754,738 711,342 Anglo American PLC $33,155,113 $ 33,996,037 266,272 ContainerCorporationofIndiaLtd. 6,940,078 5,990,581 357,800 Antofagasta PLC 7,738,652 7,722,283 9,266,158 GMR Infrastructure Limited 9,464,616 6,527,258 3,632,392 Rolls-Royce Holdings PLC 32,140,686 36,279,535 449,820 Reliance Industries Limited 10,166,010 8,739,940 326,338,560 Rolls-Royce Holdings PLC, 43,385,518 37,012,517 Entitlement Class “C” 0 505,139 690,663 Standard Chartered PLC 18,242,469 17,497,217 IRELAND – 2.7% 3,619,901 Tesco PLC 24,352,617 22,556,740 549,200 Accenture PLC 24,576,766 31,997,724 2,888,012 WPP PLC 31,516,093 34,894,507 MEXICO – 1.2% 147,145,630 153,451,458 270,100 America Movil SAB de CV 13,247,714 14,030,419 Total International Equities 484,917,374 504,626,034 RUSSIA – 2.0% Transaction Costs (Note 3) (555,384) 0 429,797 CTC Media Inc. 8,563,297 8,837,518 276,100 Global Ports Investment PLC 4,087,868 4,644,004 TOTALINVESTMENT 262,556 X5RetailGroupNV,SponsoredGDR 10,509,816 9,918,271 PORTFOLIO – 97.4% 1,119,321,612 1,154,515,239 23,160,981 23,399,793 FOREIGN CURRENCIES – 2.1% 24,649,280 24,632,923

UNITED ARAB EMIRATES – 0.3% FORWARDCONTRACTS 257,200 DP World Limited 3,199,958 3,109,316 (SCHEDULE 1) – 0.0% 0 38 OTHER NET ASSETS – 0.5% 6,348,082 6,207,179

TOTAL NET ASSETS – 100.0% $ 1,150,318,974 $ 1,185,355,379

July 01, 2011 33,110 USD $ 31,933 20,686 GBP $ 32,021 1.60060 $ 88

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 05, 2011 2,124,418 HKD $ 263,340 272,960 USD $ 263,290 7.78290 to7.78290 $ (50)

TOTALNUMBEROFCONTRACTS: 3 NETAPPRECIATION $ 38

202 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Global Multi-Cap Fund GLOBALEQUITYFUNDS

Currency Risk (Note 11) Reconciliation of Level 3 Fair Value Measurements (in 000s) The table below indicates the foreign currencies to which the Fund had significant exposure The tables below reconcile the Fund’s Level 3 fair value measurements from December 31, as at June 30, 2011 and December 31, 2010 in Canadian dollar terms, including the 2010 to June 30, 2011 and December 31, 2009 to December 31, 2010: underlying principal amount of forward currency contracts, if any. The table also illustrates Common the potential impact to the Fund’s net assets if the Fund’s functional currency, the Canadian Shares Dollar, had strengthened or weakened by 5% in relation to all other currencies, with all other variables held constant. In practice, the actual trading results may differ from these Balance at December 31, 2010 $ 259 approximate sensitivity analysis amounts and the differences could be material. Purchases 4,580 Sales (257) Total Exposure* (000s) Impact on Net Assets (000s) Gains (Losses) Currency 2011 2010 2011 2010 Net Realized on Sale of Investments 257 Brazilian Real $ 32,423 $ 6,464 $ 1,621 $ 323 Net Change in Unrealized Appreciation/ British Pound 156,940 92,208 7,847 4,610 Depreciation of Investments 883 Euro 58,593 58,419 2,930 2,921 Balance at June 30, 2011 $ 5,722 Hong Kong Dollar 57,153 42,513 2,858 2,126 Indian Rupee 38,581 40,324 1,929 2,016 Total change in unrealized for assets Japanese Yen 0 10,974 0 549 held at June 30, 2011 $ 1,142 Mexican Nuevo Peso 0 3,890 0 195 Common UnitedStatesDollar 839,246 457,510 41,962 22,876 Shares Yuan Renminbi 62 030Balance at December 31, 2009 $0 Total $1,182,998 $ 712,302 $ 59,150 $ 35,616 Gains (Losses) Net Change in Unrealized Appreciation/ As Percentage of Depreciation of Investments 259 Net Assets (%) 99.80 99.39 4.99 4.97 Balance at December 31, 2010 $ 259 * Includes both monetary and non-monetary instruments, where applicable. Total change in unrealized for assets Financial Instruments by the Level in the Fair Value Hierarchy held at December 31, 2010 $ 259 (in 000s) (Note 11) The table below illustrates the classification of the Fund’s financial instruments within the Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) fair value hierarchy as at June 30, 2011 and December 31, 2010: The table below summarizes cash flows associated with the maturities of the Fund’s financial liabilities as at June 30, 2011 and December 31, 2010:

Level1 Level2 Level3 Total Less than June 30, 2011 3 months CommonShares $ 834,046 $ 314,747 $ 5,722 $1,154,515 2011 2010 Accounts payable and other liabilities $ 4,431 $ 2,901 Equity positions with a fair value of $157,727 were transferred from Level 1 to Level 2 Forward Contracts 04 during the period as a result of decreased activity in the market for those securities. $ 4,431 $ 2,905 December 31, 2010 CommonShares $ 647,240 $ 38,949 $ 259 $ 686,448 Short-Term Investments 0 24,841 0 24,841 Forward Contracts 0303 647,240 63,793 259 711,292 Forward Contracts 0 (4) 0 (4) $ 647,240 $ 63,789 $ 259 $ 711,288

Equity positions with a fair value of $3,890 and $71,355 were transferred from Level 1 to 2 and Level 2 to 1 respectively during the period as a result of changes in activities in the market for those securities.

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 203 GLOBALEQUITYFUNDS TD Global Sustainability Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 10,062 $ 10,929 Dividends $ 161 $ 160 Foreign Currencies 159 78 Securities Lending 64 Cash 40 66 Less: Withholding Taxes (18) (26) Dividends Receivable 35 16 149 138 Subscriptions Receivable 3 30 Expenses (Note 5) Receivable for Investment Sales 0 47 Management Fees 114 112 Unrealized Gain on Open Foreign Administration Fees 17 17 Exchange Forward Contracts 00 Independent Review Committee Fees 00 10,299 11,166 131 129 Liabilities Less: Waived Expenses (0) (0) Accrued Liabilities 20 23 131 129 Redemptions Payable 60 14 Payable for Investment Purchases 10 46 Net Investment Income (Loss) 18 9 90 83 Net Realized Gain (Loss) on Sale of Investments (292) (819) Net Assets (Note 3) $ 10,209 $ 11,083 Net Change in Unrealized Appreciation/ Net Assets Representing Unitholders’ Equity (Note 4) Depreciation of Investments (151) (879) Investor Series $ 6,643 $ 7,270 Transaction Costs on Purchase and Sale Institutional Series $ 113 $ 89 of Investments (Note 3) (36) (16) Advisor Series $ 2,774 $ 3,238 Net Gain (Loss) on Investments (479) (1,714) F-Series $ 105 $ 107 Increase (Decrease) in Net Assets O-Series $ 574 $ 379 from Investment Operations† $ (461) $ (1,705) $ 10,209 $ 11,083 †Increase (Decrease) in Net Assets from Investment Operations Number of Units Outstanding Investor Series $ (302) $ (1,157) Investor Series 989,154 1,036,261 Institutional Series $ (4) $ (8) Institutional Series 9,468 7,221 Advisor Series $ (133)$ (520) Advisor Series 411,577 459,803 F-Series $ (4) $ (19) F-Series 15,179 14,820 O-Series $ (18) $ (1) O-Series 58,271 37,384 $ (461) $ (1,705) Net Assets Per Unit (Note 3) Increase (Decrease) in Net Assets from Investment Operations – Investor Series $ 6.72 $ 7.02 Per Unit (Note 3) Institutional Series $ 11.90 $ 12.34 Investor Series $ (0.30) $ (1.09) Institutional Series $ (0.44) $ (1.83) Advisor Series $ 6.74 $ 7.04 Advisor Series $ (0.30) $ (1.10) F-Series $ 6.93 $ 7.20 F-Series $ (0.26) $ (1.08) O-Series $ 9.84 $ 10.15 O-Series $ (0.31) $ (0.89)

204 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS TD Global Sustainability Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 7,270$ 7,525 $ 89$ 46 $ 3,238$ 3,421 Increase (Decrease) in Net Assets from Investment Operations (302) (1,157) (4) (8) (133) (520) Capital Unit Transactions† Proceeds from Sale of Units 722 1,414 32 25 191 668 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (1,047) (937) (4) (3) (522) (448) (325) 477 28 22 (331) 220 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (627) (680) 24 14 (464) (300) Net Assets, End of the Period $ 6,643$ 6,845 $ 113$ 60 $ 2,774$ 3,121 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 1,036,261 1,006,282 7,221 3,550 459,803 455,947 Units Issued 102,851 200,538 2,571 2,060 26,755 94,882 Units Issued on Reinvestments 00 00 00 Units Redeemed (149,958) (135,053) (324) (203) (74,981) (63,959) Units Outstanding, End of the Period 989,154 1,071,767 9,468 5,407 411,577 486,870

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 107$ 139 $ 379 $0$11,083 $ 11,131 Increase (Decrease) in Net Assets from Investment Operations (4) (19) (18) (1) (461) (1,705) Capital Unit Transactions† Proceeds from Sale of Units 34 261 30 1,209 2,141 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (1) (14) (48) 0 (1,622) (1,402) 2 (10) 213 30 (413) 739 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (2) (29) 195 29 (874) (966) Net Assets, End of the Period $ 105$ 110 $ 574$ 29 $ 10,209$ 10,165 †Capital Unit Transactions Units Outstanding, Beginning of the Period 14,820 18,377 37,384 0 Units Issued 407 481 25,758 3,202 Units Issued on Reinvestments 00 00 Units Redeemed (48) (1,921) (4,871) 0 Units Outstanding, End of the Period 15,179 16,937 58,271 3,202

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 205 GLOBALEQUITYFUNDS

TD Global Sustainability Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) HEALTH CARE – 5.2% No. of Shares 3,170 Abbott Laboratories $$172,686 160,753 or Units Description Cost FairValue 3,300 Johnson & Johnson 210,033 211,521 2,750 Quest Diagnostics Incorporated 149,583 156,668 Canadian Equities – 5.8% 532,302 528,942 ENERGY – 0.8% 2,300 Suncor Energy Inc. $ 105,124 $ 86,710 FINANCIALS – 3.1% 1,300 The Goldman Sachs Group Inc. 220,303 166,766 MATERIALS – 4.0% 3,700 JPMorgan Chase & Co. 161,972 145,986 700 Agnico-Eagle Mines Limited 44,911 42,574 382,275 312,752 1,100 Barrick Gold Corporation 51,304 48,037 211,000 Great Western Minerals Group Ltd. 150,350 145,590 INFORMATION TECHNOLOGY – 7.7% 1,400 Kinross Gold Corporation 20,860 21,280 400 Apple Inc. 131,406 129,448 2,700 PotashCorporationofSaskatchewanInc. 144,980 148,392 1,000 First Solar Inc. 142,579 127,568 412,405 405,873 300 Google Inc., Class “A” 177,604 146,435 5,370 Intel Corporation 122,422 114,665 CONSUMER DISCRETIONARY – 0.2% 740 International Business Machines 80,500 Azure Dynamics Corporation 20,261 21,735 Corporation 86,912 122,341

INFORMATION TECHNOLOGY – 0.8% 7,200 MEMC Electronic Materials Inc. 82,417 59,163 8,700 5N Plus Inc. 60,066 78,213 1,800 Veeco Instruments Inc. 74,480 83,971 817,820 783,591 Total Canadian Equities 597,856 592,531 TELECOMMUNICATION SERVICES – 2.4% U.S. Equities – 44.1% 3,400 AT&T Inc. 102,572 102,932 ENERGY – 2.1% 4,000 Verizon Communications Inc. 125,101 143,549 7,300 Clean Energy Fuels Corp. 107,131 92,582 227,673 246,481 1,500 Schlumberger Limited 80,566 124,920 UTILITIES – 0.6% 187,697 217,502 1,200 Nextera Energy Inc. 66,363 66,466

MATERIALS – 3.6% Total U.S. Equities 4,299,211 4,490,520 1,700 Freeport-McMoRanCopper&GoldInc. 84,203 86,700 5,000 Horsehead Holding Corp. 62,321 64,232 International Equities – 48.6% 1,700 Molycorp Inc. 73,261 100,112 AUSTRALIA – 5.1% 1,100 Praxair Inc. 90,467 114,948 65,400 Alumina Limited 158,519 144,459 310,252 365,992 7,500 Australia and New Zealand

INDUSTRIALS – 6.1% Banking Group Ltd. 158,290 171,465 1,000 3M Company 83,107 91,459 64,000 Lynas Corporation Limited 135,136 131,081 1,000 Clean Harbors Inc. 66,165 99,599 20,400 Talison Lithium Limited 101,167 77,316 870 Flowserve Corporation 77,709 92,206 553,112 524,321 2,200 General Electric Company 40,513 39,975 AUSTRIA – 0.6% 2,400 ITT Corporation 126,622 136,335 1,500 Verbund AG 64,500 62,985 2,400 Lindsay Manufacturing Co. 164,428 159,273 558,544 618,847 BELGIUM – 1.1% 2,200 Umicore 115,754 115,728 CONSUMER DISCRETIONARY – 7.3% 1,400 Fuel Systems Solutions Inc. 37,051 33,594 BRAZIL – 1.4% 2,400 Johnson Controls Inc. 93,378 96,360 6,800 Banco Santander (Brasil) SA, ADR 91,019 76,732 3,700 LKQ Corporation 67,213 93,101 2,100 PetroleoBrasileiroSA–Petrobras,ADR 84,819 68,538 2,500 McDonald’s Corporation 183,051 203,210 175,838 145,270 2,325 NIKE Inc., Class “B” 148,208 201,699 CHINA – 1.4% 4,000 Tesla Motors Inc. 99,999 112,301 14,500 Ping An Insurance (Group) Company 628,900 740,265 of China Ltd. 141,513 145,043

CONSUMER STAPLES – 6.0% FRANCE – 3.5% 3,300 The Coca-Cola Company 195,553 214,131 574 BNP Paribas 44,028 42,687 3,700 Kraft Foods Inc., Class “A” 113,219 125,681 800 LVMHMoetHennessyLouisVuittonSA 122,946 138,648 1,900 PepsiCo Inc. 128,013 128,968 2,900 Sechilienne-Sidec SA 80,856 69,407 2,300 The Procter & Gamble Company 150,600 140,902 1,900 TOTAL SA 111,700 105,941 587,385 609,682 359,530 356,683

206 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Global Sustainability Fund GLOBALEQUITYFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

GERMANY – 3.1% UNITED KINGDOM – 14.3% 500 Allianz SE $$66,463 67,245 18,800 Barclays PLC $$100,521 74,383 900 Bayer AG 66,765 69,716 6,483 BG Group PLC 129,109 141,970 400 Siemens AG 51,897 53,015 6,019 Diageo PLC 123,639 118,765 600 Wacker Chemie AG 131,516 124,994 10,301 HSBC Holdings PLC 123,558 98,501 316,641 314,970 3,070 Johnson Matthey PLC 102,044 93,501 15,900 Man Group PLC 61,851 58,330 ITALY – 3.0% 3,062 Rio Tinto PLC 104,567 213,235 34,600 Enel Green Power SpA 96,822 92,036 4,415 Rotork PLC 80,509 115,132 19,649 Landi Renzo SpA 71,622 59,068 20,050 Tesco PLC 142,142 124,938 39,475 PIAGGIO & C. SpA 127,991 159,656 16,937 United Utilities Group PLC 162,158 157,111 296,435 310,760 102,645 Vodafone Group PLC 307,675 262,503

JAPAN – 4.5% 1,437,773 1,458,369 7,500 Asahi Holdings Inc. 181,118 147,174 Total International Equities 5,167,414 4,979,188 5,000 Daiseki Co., Ltd. 121,064 97,631 500 FANUC Corporation 73,138 80,639 Transaction Costs (Note 3) (17,331) 0 5,000 Kubota Corporation 51,168 42,781 TOTALINVESTMENT 13 Osaka Securities Exchange Co., Ltd. 63,801 55,968 PORTFOLIO – 98.5% 10,047,150 10,062,239 800 Toyota Motor Corporation 42,755 31,772 FOREIGN CURRENCIES – 1.6% 160,019 158,977 533,044 455,965 FORWARDCONTRACTS NETHERLANDS – 1.4% (SCHEDULE 1) – 0.0% 0 11 2,358 Koninklijke Philips Electronics NV 86,014 58,447 OTHER NET LIABILITIES – (0.1%) (12,209) (12,666) 1,200 Nutreco NV 85,823 85,108 171,837 143,555 TOTAL NET ASSETS – 100.0% $ 10,194,960 $ 10,208,561

NORWAY – 1.1% 4,700 Statoil ASA 160,255 114,755

SWITZERLAND – 8.1% 3,817 Credit Suisse Group AG 183,840 143,469 4,488 Nestle SA 236,780 269,353 4,995 Novartis AG 282,945 295,246 760 Roche Holding AG 137,617 122,716 841,182 830,784

July 01, 2011 6,888 EUR $ 9,634 10,000 USD $ 9,645 1.45177 $ 11

TOTALNUMBEROFCONTRACTS: 1 NETAPPRECIATION $ 11

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 207 TD Global Sustainability Fund GLOBALEQUITYFUNDSZ

Currency Risk (Note 11) The table below indicates the foreign currencies to which the Fund had significant exposure as at June 30, 2011 and December 31, 2010 in Canadian dollar terms, including the underlying principal amount of forward currency contracts, if any. The table also illustrates the potential impact to the Fund’s net assets if the Fund’s functional currency, the Canadian Dollar, had strengthened or weakened by 5% in relation to all other currencies, with all other variables held constant. In practice, the actual trading results may differ from these approximate sensitivity analysis amounts and the differences could be material.

Total Exposure* (000s) Impact on Net Assets (000s) Currency 2011 2010 2011 2010 AustralianDollar $ 452 $ 185 $ 23 $9 British Pound 1,511 2,053 76 103 Danish Krone 21 32 12 Euro 1,389 956 69 48 Hong Kong Dollar 146 74 74 Japanese Yen 461 400 23 20 Norwegian Krone 115 193 6 10 Swiss Franc 834 813 42 41 United States Dollar 4,647 5,177 232 259 Total $ 9,576 $ 9,883 $ 479 $ 496

As Percentage of Net Assets (%) 93.80 89.18 4.69 4.48

Level1 Level2 Level3 Total June 30, 2011 CommonShares $ 5,437 $ 4,625 $0$10,062

Equity positions with a fair value of $1,444 were transferred from Level 1 to Level 2 during the period as a result of decreased activity in the market for those securities.

December 31, 2010 CommonShares $ 9,033 $ 1,896 $0$10,929

Equity positions with a fair value of $2,186 were transferred from Level 2 to Level 1 during the period as a result of increased activity in the market for those securities.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 90 $ 83

208 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS TD International Value Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 686,194 $ 524,816 Interest $ 44 $ 18 Foreign Currencies 5,711 4,580 Dividends 16,872 11,031 Cash 3,789 6,645 Foreign Exchange 1,049 4,052 Dividends Receivable 1,701 458 Derivatives Income (Loss) 137 (187) Subscriptions Receivable 17 26 Securities Lending 476 353 Receivable for Investment Sales 8,242 102 Less: Withholding Taxes (2,390) (1,501) Futures Margin Receivable (Note 3) 746 908 16,188 13,766 Unrealized Gain on Open Foreign Expenses (Note 5) Exchange Forward Contracts 3,620 2,760 Management Fees 987 1,973 710,020 540,295 Administration Fees 119 128 Liabilities Independent Review Committee Fees 21 Accrued Liabilities 169 196 Bank Charges and Interest 70 Redemptions Payable 306 159 1,115 2,102 Distribution Payable 222 0 Less: Waived Expenses (8) (1) Payable for Investment Purchases 7,357 1,967 1,107 2,101 Unrealized Loss on Open Foreign Exchange Forward Contracts 2,781 2,109 Net Investment Income (Loss) 15,081 11,665 10,835 4,431 Net Realized Gain (Loss) on Sale of Investments 3,510 (20,845) Net Assets (Note 3) $ 699,185 $ 535,864 Net Change in Unrealized Appreciation/ Net Assets Representing Unitholders’ Equity (Note 4) Depreciation of Investments (12,825) (79,886) Investor Series $ 65,329 $ 72,906 Transaction Costs on Purchase and Sale Institutional Series $ 39,302 $ 40,357 of Investments (Note 3) (512) (335) Advisor Series $ 2,041 $ 2,223 Net Gain (Loss) on Investments (9,827) (101,066) F-Series $ 49 $ 105 Increase (Decrease) in Net Assets O-Series $ 592,464 $ 420,273 from Investment Operations† $ 5,254 $ (89,401) $ 699,185 $ 535,864 †Increase (Decrease) in Net Assets from Investment Operations Number of Units Outstanding Investor Series $ (353) $ (14,490) Investor Series 5,187,763 5,699,321 Institutional Series $ 186 $ (15,544) Institutional Series 4,304,291 4,357,982 Advisor Series $ (12)$ (494) Advisor Series 302,514 324,369 F-Series $0$(10) F-Series 7,664 16,105 O-Series $ 5,433 $ (58,863) O-Series 61,518,090 43,042,435 $ 5,254 $ (89,401) Net Assets Per Unit (Note 3) Increase (Decrease) in Net Assets from Investment Operations – Investor Series $ 12.59 $ 12.79 Per Unit (Note 3) Institutional Series $ 9.13 $ 9.26 Investor Series $ (0.09) $ (2.30) Institutional Series $ 0.01 $ (1.67) Advisor Series $ 6.75 $ 6.85 Advisor Series $ (0.05) $ (1.23) F-Series $ 6.39 $ 6.52 F-Series $ (0.00) $ (1.24) O-Series $ 9.63 $ 9.76 O-Series $ 0.05 $ (1.45)

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 209 GLOBALEQUITYFUNDS TD International Value Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 72,906 $ 88,900 $ 40,357 $ 462,619 $ 2,223 $ 3,014 Increase (Decrease) in Net Assets from Investment Operations (353) (14,490) 186 (15,544) (12) (494) Capital Unit Transactions† Proceeds from Sale of Units 1,741 3,296 4,774 2,423 120 139 Reinvestments of Distributions 537 0 325 0 17 0 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (8,962) (9,935) (5,753) (412,381) (290) (393) (6,684) (6,639) (654) (409,958) (153) (254) Distributions to Unitholders (540) 0 (587) 0 (17) 0 Increase (Decrease) in Net Assets for the Period (7,577) (21,129) (1,055) (425,502) (182) (748) Net Assets, End of the Period $ 65,329 $ 67,771 $ 39,302 $ 37,117 $ 2,041 $ 2,266 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 5,699,321 6,581,731 4,357,982 47,707,494 324,369 416,349 Units Issued 133,551 259,151 514,509 263,083 17,163 20,390 Units Issued on Reinvestments 42,628 0 35,507 0 2,474 0 Units Redeemed (687,737) (782,391) (603,707) (43,384,345) (41,492) (58,718) Units Outstanding, End of the Period 5,187,763 6,058,491 4,304,291 4,586,232 302,514 378,021

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 105$ 34 $ 420,273 $0$535,864 $ 554,567 Increase (Decrease) in Net Assets from Investment Operations 0 (10) 5,433 (58,863) 5,254 (89,401) Capital Unit Transactions† Proceeds from Sale of Units 10 32 214,161 454,425 220,806 460,315 Reinvestments of Distributions 1011,163 0 12,043 0 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (66) (2) (47,403) (31,200) (62,474) (453,911) (55) 30 177,921 423,225 170,375 6,404 Distributions to Unitholders (1) 0 (11,163) 0 (12,308) 0 Increase (Decrease) in Net Assets for the Period (56) 20 172,191 364,362 163,321 (82,997) Net Assets, End of the Period $ 49 $ 54 $ 592,464 $ 364,362 $ 699,185 $ 471,570 †Capital Unit Transactions Units Outstanding, Beginning of the Period 16,105 4,930 43,042,435 0 Units Issued 1,473 4,896 21,963,045 46,237,750 Units Issued on Reinvestments 169 0 1,156,153 0 Units Redeemed (10,083) (405) (4,643,543) (3,511,563) Units Outstanding, End of the Period 7,664 9,421 61,518,090 42,726,187

210 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS

TD International Value Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) DENMARK – 0.5% No. of Shares 207,045 Danske Bank AS $$4,561,537 3,695,740 or Units Description Cost FairValue FRANCE – 9.7% Canadian Equities – 4.5% 127,651 BNP Paribas 10,723,598 9,493,172 260,800 Bouygues SA 11,679,380 11,060,826 ENERGY – 1.5% 46,800 Compagnie de Saint-Gobain 2,404,087 2,925,660 407,624 Nexen Inc. $ 8,193,137 $ 8,837,288 73,635 Faurecia 2,784,390 3,045,603 79,200 Penn West Petroleum Ltd. 2,129,268 1,759,824 167,000 Renault SA 8,548,369 9,555,994 10,322,405 10,597,112 106,921 Sanofi 8,287,438 8,295,084

MATERIALS – 1.1% 271,376 Societe Generale 18,351,667 15,501,238 61,000 Agrium Inc. 4,818,597 5,161,210 302,100 Vivendi 8,401,389 8,121,120 248,000 New Gold Inc. 2,282,629 2,460,160 71,180,318 67,998,697

7,101,226 7,621,370 GERMANY – 6.6%

CONSUMER DISCRETIONARY – 1.3% 105,553 Allianz SE 14,879,227 14,195,850 153,900 Magna International Inc. 8,314,607 8,018,190 134,600 Deutsche Bank AG 8,047,331 7,661,795 477,186 Yellow Media Inc. 2,912,116 1,145,246 414,031 E.ON AG 17,139,524 11,350,273 43,237 Muenchener 11,226,723 9,163,436 Rueckversicherungs-GesellschaftAG 7,410,184 6,365,742 FINANCIALS – 0.6% 126,800 ThyssenKrupp AG 3,800,137 6,354,060 21,983 Industrial Alliance Insurance 51,276,403 45,927,720 and Financial Services Inc. 897,891 881,079 39,900 National Bank of Canada 2,284,136 3,116,988 HONG KONG – 1.1% 1,098,800 Esprit Holdings Limited 7,136,554 3,311,154 3,182,027 3,998,067 2,799,000 New World Development Total Canadian Equities 31,832,381 31,379,985 Company Limited 5,044,543 4,098,430 12,181,097 7,409,584 International Equities – 93.7% INDIA – 0.1% AUSTRALIA – 2.9% 223,769 Hindalco Industries Limited, GDR 1,012,461 817,790 162,753 Australia and New Zealand Banking Group Ltd. 3,707,370 3,720,869 1,012,461 817,790 2,199,700 Fairfax Media Limited 2,472,997 2,239,542 ITALY – 4.1% 392,713 National Australia Bank Limited 9,236,161 10,471,495 421,100 Eni SpA 12,207,521 9,624,912 1,258,800 OneSteel Limited 2,635,921 2,424,439 6,169,000 Telecom Italia SpA 10,339,033 8,276,015 439,800 Telstra Corporation Limited 1,299,829 1,318,042 3,002,300 TelecomItaliaSpA,diRispNonConv. 4,242,234 3,368,661 19,352,278 20,174,387 3,651,900 UniCredit SpA 9,813,711 7,455,278

AUSTRIA – 0.7% 36,602,499 28,724,866 117,600 OMV AG 4,186,754 4,954,916 JAPAN – 24.3%

BAHAMAS – 0.1% 129,000 Air Water Inc. 1,526,721 1,498,773 175,000 Credit Suisse AG 663,074 649,798 178,000 Asahi Breweries Ltd. 3,684,366 3,458,082 667,000 Asahi Glass Company Limited 7,135,289 7,527,939 BELGIUM – 1.7% 392,100 Bridgestone Corporation 7,906,686 8,713,024 71,599 Delhaize Group SA 5,264,818 5,181,509 391,000 DenkiKagakuKogyoKabushikiKaisha 1,825,158 1,818,050 180,200 KBC Group NV 6,455,462 6,819,545 226,000 Dowa Holdings Co., Ltd. 1,337,008 1,352,778 11,720,280 12,001,054 42,700 East Japan Railway Company 2,997,132 2,358,528 876,000 Fujitsu Limited 5,715,846 4,829,123 BRAZIL – 1.4% 584,000 Furukawa Electric Co., Ltd. 2,396,240 2,351,575 144,900 Banco do Brasil SA 2,512,322 2,484,881 3,309 Japan Tobacco Inc. 12,142,703 12,318,900 52,000 Petroleo Brasileiro SA – Petrobras, 213,700 JFE Holdings Inc. 7,659,843 5,668,173 Sponsored ADR 1,512,650 1,539,648 943,000 JX Holdings Inc. 5,815,119 6,117,178 210,800 Vale SA, Sponsored ADR 5,926,427 5,883,677 70,200 Konami Corporation 1,317,117 1,603,645 9,951,399 9,908,206 581,500 Konica Minolta Holdings Inc. 5,127,892 4,684,307 202,700 Mitsubishi Corporation 5,340,498 4,883,022 CHINA – 0.5% 2,146,000 China Petroleum & Chemical Corporation 1,779,832 2,100,948 477,000 Mitsubishi Electric Corporation 4,844,690 5,343,905 1,977,000 EvergrandeRealEstateGroupLimited 925,400 1,242,281 381,000 MitsubishiGasChemicalCompanyInc. 2,698,736 2,692,178 817,900 MitsubishiUFJFinancialGroupInc. 4,141,266 3,844,203 2,705,232 3,343,229 77,800 NAMCO BANDAI Holdings Inc. 962,437 903,216 159,000 NGK Spark Plug Co., Ltd. 2,186,344 2,118,877 752,000 Nippon Express Co., Ltd. 3,085,034 2,938,866

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 211 TD International Value Fund GLOBALEQUITYFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

238,200 Nippon Telegraph and SWITZERLAND – 7.1% Telephone Corporation $$10,748,797 11,080,393 304,700 Clariant Ltd., AG $$5,566,823 5,622,103 1,094,400 Nissan Motor Co., Ltd. 11,384,744 11,092,412 833,700 Informa PLC 5,360,970 5,581,109 55,290 ORIX Corporation 3,941,746 5,186,965 236,743 Novartis AG 14,389,163 13,993,491 26,700 Otsuka Holdings Co., Ltd. 689,052 681,383 66,700 Roche Holding AG 10,082,650 10,769,980 735,000 Sharp Corporation 10,290,459 6,469,176 207,387 UBS AG 3,510,476 3,650,177 150,500 Sony Corporation 5,222,951 3,829,814 465,139 Xstrata PLC 9,934,697 9,880,697 137,800 SUMCO Corporation 2,010,922 2,250,070 48,844,779 49,497,557 555,300 Sumitomo Electric Industries Ltd. 7,413,357 7,811,474 243,000 SumitomoMitsuiFinancialGroupInc. 16,533,873 7,226,460 TAIWAN – 0.3% 128,300 Sumitomo Rubber Industries Ltd. 1,336,847 1,497,380 2,276,610 AU Optronics Corp. 1,638,110 1,505,608 640,500 Tokyo Electric Power Co., Inc. 10,810,355 2,500,662 635,000 Pegatron Corporation 887,446 636,297 837,000 Tokyo Gas Co., Ltd. 3,552,761 3,643,384 2,525,556 2,141,905 1,077,000 Toshiba Corporation 6,750,535 5,476,453 TURKEY – 0.2% 305,500 Toyota Motor Corporation 11,698,752 12,133,014 452,900 Turkiye Is Bankasi AS, Class “C” 1,957,704 1,340,710 606,000 Ube Industries Ltd. 1,778,353 1,759,589 194,009,629 169,662,971 UNITED KINGDOM – 17.1% 378,900 AstraZeneca PLC 17,329,431 18,264,726 NETHERLANDS – 8.1% 1,122,400 Aviva PLC 6,925,877 7,619,783 1,027,200 AEGON NV 7,349,793 6,750,579 1,493,100 BAE Systems PLC 8,666,967 7,366,677 1,336,700 ING Groep NV 16,307,686 15,887,314 1,738,850 Barclays PLC 9,401,058 6,879,809 515,400 Koninklijke Ahold NV 6,758,597 6,683,383 1,614,097 BP PLC 14,806,561 11,462,128 97,494 Koninklijke DSM NV 5,199,239 6,102,127 266,000 Cookson Group PLC 2,882,771 2,771,394 623,476 RoyalDutchShellPLC,Class“A” 23,421,393 21,351,908 131,862 FirstGroup PLC 831,157 696,495 59,036,708 56,775,311 2,057,700 GKN PLC 6,632,893 7,398,974 148,592 GlaxoSmithKline PLC 3,061,446 3,071,744 NETHERLANDS ANTILLES – 0.3% 186,673 Imperial Tobacco Group PLC 5,924,145 5,993,893 153,000 Tata Steel Limited, Warrants 23/12/2014 2,047,895 1,997,826 436,900 Inchcape PLC 1,966,456 2,829,548 NEW ZEALAND – 0.4% 10,822,000 Lloyds Banking Group PLC 10,543,186 8,201,991 1,292,200 Telecom Corporation of 817,400 Rentokil Initial PLC 1,659,454 1,202,789 New Zealand Limited 2,465,347 2,512,949 290,100 Rio Tinto PLC 17,814,206 20,202,299 543,700 Thomas Cook Group PLC 2,608,177 1,120,596 NORWAY – 0.7% 5,747,870 Vodafone Group PLC 16,350,023 14,699,523 297,000 Telenor ASA 4,612,238 4,687,702 127,403,808 119,782,369 POLAND – 0.4% 43,500 KGHM Polska Miedz SA 2,407,728 3,013,202 Total International Equities 709,443,884 654,813,913

PORTUGAL – 0.7% Transaction Costs (Note 3) (663,542) 0 1,416,400 EDP-Energias de Portugal SA 5,279,428 4,847,910 TOTALINVESTMENT RUSSIA – 1.6% PORTFOLIO – 98.2% 740,612,723 686,193,898 455,000 OAO Gazprom, Sponsored ADR 6,429,758 6,405,942 FOREIGN CURRENCIES – 0.8% 5,763,306 5,710,503 46,250 OAO LUKOIL, Sponsored ADR 3,105,197 2,836,930 FUTURESCONTRACTS 39,000 OAO Tatneft, ADR 1,529,419 1,620,768 (SCHEDULE 1) – 0.1% 0 746,195 11,064,374 10,863,640 FORWARDCONTRACTS SINGAPORE – 0.8% (SCHEDULE 2) – 0.1% 0 838,578 1,436,000 SembCorp Industries Ltd. 5,650,544 5,639,841 OTHER NET ASSETS – 0.8% 5,708,317 5,695,531

SOUTH KOREA – 1.6% TOTAL NET ASSETS – 100.0% $ 752,084,346 $ 699,184,705 65,900 Hana Financial Group Inc. 3,428,422 2,230,212 48,500 KB Financial Group Inc. 1,299,157 2,223,632 35,700 LG Display Co., Ltd. 1,121,760 961,021 35,228 LG Electronics Inc. 3,511,745 2,649,115 4,550 Samsung Electronics Co., Ltd. 2,728,907 3,410,675 12,089,991 11,474,655

SPAIN – 0.7% 246,000 Gas Natural SDG SA 4,654,823 4,969,378

212 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD International Value Fund GLOBALEQUITYFUNDS

Futures Contracts (Schedule 1) Net Futures Number of Notional Margin Contracts Description ExpirationDate AverageCost FairValue Receivable

INDEXFUTURESCONTRACTS GERMANY 71 Euro STOXX 50 Index September16,2011 $ 2,741,699 $ 2,832,063 $ 90,364 JAPAN 30 Topix Index September08,2011 2,893,530 3,051,306 157,776

Total Futures Contracts $ 5,635,229 $ 5,883,369 $ 248,140 Cash Held as Margin 498,055

NETFUTURESMARGINRECEIVABLE $ 746,195

Foreign Exchange Forward Contracts (Schedule 2) Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Appreciation

July 15, 2011 19,160,878 CAD $ 19,160,878 18,226,000 CHF $ 20,917,592 0.95121 $ 1,756,714 July 15, 2011 41,238,338 CAD 41,238,338 41,284,000 AUD 42,637,989 0.96986 to 1.02013 1,399,651 July 15, 2011 22,800,200 CAD 22,800,200 16,470,000 EUR 23,033,960 1.38435 233,760 July 15, 2011 6,947,105 CAD 6,947,105 39,022,000 NOK 6,971,787 5.61702 24,682 July 15, 2011 5,768,000 GBP 8,930,037 9,066,316 CAD 9,066,316 1.57183 136,279 July 15, 2011 106,293,000 HKD 13,180,198 13,247,370 CAD 13,247,370 7.95050 to 8.07526 67,172 July 15, 2011 13,285,000 SEK 2,024,639 2,026,245 CAD 2,026,245 6.55646 1,606 $ 114,281,395 $ 117,901,259 $ 3,619,864

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 04, 2011 1,521,000 EUR $ 2,127,278 2,125,750 CAD $ 2,125,750 1.39760 $ (1,528) July 15, 2011 6,106,000 AUD 6,306,258 6,247,042 CAD 6,247,042 1.02106 to 1.02761 (59,216) July 15, 2011 25,099,269 CAD 25,099,269 2,091,221,000 JPY 25,064,445 82.78400 to 83.62900 (34,824) July 15, 2011 7,539,243 CAD 7,539,243 59,970,000 HKD 7,435,209 7.94239 to 7.95892 (104,034) July 15, 2011 9,037,573 CAD 9,037,573 5,768,000 GBP 8,930,037 1.56685 (107,536) July 15, 2011 20,375,923 CAD 20,375,923 132,837,000 SEK 20,244,413 6.47998 to 6.53678 (131,510) July 15, 2011 26,024,000 EUR 36,395,615 35,911,247 CAD 35,911,247 1.36934 to 1.38607 (484,368) July 15, 2011 4,999,121,000 JPY 59,917,240 58,216,806 CAD 58,216,806 84.71700 to86.31370 (1,700,434) July 15, 2011 39,022,000 NOK 6,971,787 6,813,951 CAD 6,813,951 5.72678 (157,836) $ 173,770,186 $ 170,988,900 $ (2,781,286)

TOTALNUMBEROFCONTRACTS: 28 NETAPPRECIATION $ 838,578

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 213 TD International Value Fund GLOBALEQUITYFUNDS

Dollar, had strengthened or weakened by 5% in relation to all other currencies, with all Level1 Level2 Level3 Total other variables held constant. In practice, the actual trading results may differ from these approximate sensitivity analysis amounts and the differences could be material. June 30, 2011 CommonShares $ 43,619 $ 639,927 $ 650 $ 684,196 Total Exposure* (000s) Impact on Net Assets (000s) Warrants 1,998 001,998 Currency 2011 2010 2011 2010 Forward Contracts 0 3,620 0 3,620 AustralianDollar $ 60,089 $ 46,893 $ 3,004 $ 2,345 Futures 248 00248 Brazilian Real 2,508 1,541 125 77 45,865 643,547 650 690,062 British Pound 135,645 112,381 6,782 5,619 Forward Contracts 0 (2,781) 0 (2,781) Danish Krone 3,763 3,863 188 193 Euro 214,100 148,911 10,705 7,446 $ 45,865 $ 640,766 $ 650 $ 687,281 Hong Kong Dollar 5,491 3,961 275 198 Equity positions with a fair value of $183,792 and $1,998 were transferred from Level 1 to 2 Japanese Yen 136,351 110,345 6,818 5,517 and Level 2 to 1 respectively during the period as a result of changes in activities in the New Taiwan Dollar 2,142 4,536 107 227 market for those securities. Norwegian Krone 4,826 5,648 241 282 Polish Zloty 3,013 0 151 0 December 31, 2010 Singapore Dollar 5,878 1,234 294 62 CommonShares $ 273,348 $ 251,468 $0$524,816 South African Rand 72 976 4 49 Forward Contracts 0 2,760 0 2,760 South Korean Won 11,521 11,130 576 557 Futures 101 00101 Swedish Krona 18,329 16,237 916 812 273,449 254,228 0 527,677 Swiss Franc 55,092 39,509 2,755 1,975 Forward Contracts 0 (2,109) 0 (2,109) Turkish Lira 1,514 3,798 76 190 United States Dollar 22,469 13,684 1,123 684 $ 273,449 $ 252,119 $0$525,568 Yuan Renminbi 56 030 Equity positions with a fair value of $124,947 were transferred from Level 2 to Level 1 Total $ 682,859 $ 524,647 $ 34,143 $ 26,233 during the period as a result of increased activity in the market for those securities. As Percentage of Net Assets (%) 97.67 97.91 4.88 4.90 Reconciliation of Level 3 Fair Value Measurements (in 000s) The table below reconcile the Fund’s Level 3 fair value measurements from December 31, * Includes both monetary and non-monetary instruments, where applicable. 2010 to June 30, 2011:

Common Shares Balance at December 31, 2010 $0 Net Transfers In (Out) 650 Balance at June 30, 2011 $ 650

Less than 3 months 3 months to 1 year 2011 2010 2011 2010 Accounts payable andotherliabilities $ 8,054 $ 2,322 $0$0 Forward Contracts 2,781 2,105 0 4 $ 10,835 $ 4,427 $0$4

214 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS TD International Growth Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 697,781 $ 593,539 Interest $6$0 Foreign Currencies 3,963 7,674 Dividends 12,938 9,828 Cash 0 558 Securities Lending 435 341 Dividends Receivable 1,206 293 Less: Withholding Taxes (1,555) (1,431) Subscriptions Receivable 25 3 11,824 8,738 702,975 602,067 Expenses (Note 5) Liabilities Management Fees 283 2,101 Accrued Liabilities 47 52 Administration Fees 19 19 Redemptions Payable 77 62 Independent Review Committee Fees 11 124 114 Bank Charges and Interest 12 Net Assets (Note 3) $ 702,851 $ 601,953 304 2,123 Less: Waived Expenses (2) (2) Net Assets Representing Unitholders’ Equity (Note 4) 302 2,121 Investor Series $ 10,277 $ 11,132 Net Investment Income (Loss) 11,522 6,617 Institutional Series $ 21,184 $ 21,926 Advisor Series $ 551 $ 602 Net Realized Gain (Loss) on F-Series $ 32 $ 51 Sale of Investments 5,370 (3,467) O-Series $ 670,807 $ 568,242 Net Change in Unrealized Appreciation/ Depreciation of Investments (405) (65,839) $ 702,851 $ 601,953 Transaction Costs on Purchase and Sale Number of Units Outstanding of Investments (Note 3) (725) (287) Investor Series 1,228,382 1,337,717 Net Gain (Loss) on Investments 4,240 (69,593) Institutional Series 2,712,793 2,842,655 Increase (Decrease) in Net Assets Advisor Series 65,542 71,900 from Investment Operations† $ 15,762 $ (62,976) F-Series 3,749 6,112 †Increase (Decrease) in Net Assets from Investment Operations O-Series 63,051,102 54,422,961 Investor Series $ 51 $ (1,418) Net Assets Per Unit (Note 3) Institutional Series $ 350 $ (16,585) Investor Series $ 8.37 $ 8.32 Advisor Series $3$(93) Institutional Series $ 7.81 $ 7.71 F-Series $1$(7) O-Series $ 15,357 $ (44,873) Advisor Series $ 8.41 $ 8.37 $ 15,762 $ (62,976) F-Series $ 8.52 $ 8.42 O-Series $ 10.64 $ 10.44 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Investor Series $ 0.04 $ (0.97) Institutional Series $ 0.10 $ (0.91) Advisor Series $ 0.05 $ (1.00) F-Series $ 0.11 $ (0.96) O-Series $ 0.20 $ (0.95)

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 215 GLOBALEQUITYFUNDS TD International Growth Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 11,132 $ 12,032 $ 21,926 $ 592,596 $ 602 $ 893 Increase (Decrease) in Net Assets from Investment Operations 51 (1,418) 350 (16,585) 3 (93) Capital Unit Transactions† Proceeds from Sale of Units 1,144 1,163 3,614 4,550 39 45 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (2,050) (1,337) (4,706) (558,411) (93) (252) (906) (174) (1,092) (553,861) (54) (207) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (855) (1,592) (742) (570,446) (51) (300) Net Assets, End of the Period $ 10,277 $ 10,440 $ 21,184 $ 22,150 $ 551 $ 593 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 1,337,717 1,466,502 2,842,655 77,312,019 71,900 108,224 Units Issued 137,801 148,436 475,987 606,550 4,720 5,570 Units Issued on Reinvestments 00 00 00 Units Redeemed (247,136) (173,170) (605,849) (74,665,680) (11,078) (32,334) Units Outstanding, End of the Period 1,228,382 1,441,768 2,712,793 3,252,889 65,542 81,460

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 51$ 42 $ 568,242 $0$601,953 $ 605,563 Increase (Decrease) in Net Assets from Investment Operations 1 (7) 15,357 (44,873) 15,762 (62,976) Capital Unit Transactions† Proceeds from Sale of Units 0 32 171,807 549,416 176,604 555,206 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (20) (9) (84,599) (30,858) (91,468) (590,867) (20) 23 87,208 518,558 85,136 (35,661) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (19) 16 102,565 473,685 100,898 (98,637) Net Assets, End of the Period $ 32 $ 58 $ 670,807 $ 473,685 $ 702,851 $ 506,926 †Capital Unit Transactions Units Outstanding, Beginning of the Period 6,112 5,021 54,422,961 0 Units Issued 0 3,946 16,663,696 55,298,611 Units Issued on Reinvestments 00 00 Units Redeemed (2,363) (1,055) (8,035,555) (3,399,787) Units Outstanding, End of the Period 3,749 7,912 63,051,102 51,898,824

216 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS

TD International Growth Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) IRELAND – 2.6% No. of Shares 385,193 CRH PLC $$8,960,184 8,233,193 or Units Description Cost FairValue 347,688 Ryanair Holdings PLC, Sponsored ADR 10,274,629 9,831,808 19,234,813 18,065,001 Canadian Equities – 1.1% ISRAEL – 2.2% ENERGY – 1.1% 313,648 Cameco Corporation $ 7,964,855 $ 7,960,386 324,480 Teva Pharmaceutical Industries Limited, Sponsored ADR 15,434,204 15,083,936

International Equities – 98.2% ITALY – 1.3% AUSTRALIA – 3.8% 383,166 Eni SpA 8,475,874 8,757,870 365,974 BHP Billiton Limited 12,864,523 16,681,336 JAPAN – 14.5% 438,611 Westpac Banking Corporation 10,103,909 10,148,936 778,208 Daiwa House Industry Co., Ltd. 8,765,177 9,470,861 22,968,432 26,830,272 280,600 DeNA Co., Ltd. 8,891,580 11,638,617

AUSTRIA – 1.3% 1,217 INPEX Corporation 8,628,274 8,677,644 166,580 Vienna Insurance Group 11,515,416 8,800,805 287,839 Komatsu Ltd. 8,032,652 8,667,742 88,584 NIDEC Corporation 7,510,448 7,976,222 BELGIUM – 1.9% 704,613 Nippon Electric Glass Co., Ltd. 10,678,395 8,719,580 241,394 Anheuser-Busch InBev NV 13,700,164 13,511,908 94,500 Nitori Co., Ltd. 8,182,237 8,650,131

BRAZIL – 4.7% 11,145 Rakuten Inc. 8,138,561 11,125,266 776,600 BRMalls Participacoes SA 7,044,662 8,432,248 191,880 Shin-Etsu Chemical Co., Ltd. 11,407,606 9,919,471 749,100 Diagnosticos da America SA 9,315,158 9,772,422 500,630 Sony Financial Holdings Inc. 9,031,225 8,729,419 374,910 Itau Unibanco Holding SA, ADR 7,998,233 8,508,023 1,111,000 TOTO Ltd. 8,933,682 8,339,628 212,985 Petroleo Brasileiro SA – Petrobras, 98,199,837 101,914,581 Sponsored ADR 8,038,130 6,306,191 LUXEMBOURG – 2.4% 32,396,183 33,018,884 82,565 Millicom International Cellular SA 7,978,379 8,261,593

CHINA – 1.3% 396,696 Tenaris SA 8,599,883 8,745,757 352,834 Tencent Holdings Limited 5,250,417 9,287,348 16,578,262 17,007,350

DENMARK – 1.3% MEXICO – 1.1% 73,628 Novo Nordisk AS, Class “B” 6,436,058 8,896,151 143,750 America Movil SAB de CV 7,701,790 7,467,134

FINLAND – 1.4% NORWAY – 1.2% 363,296 Fortum Oyj 10,927,376 10,159,445 1,116,605 Norsk Hydro ASA 8,386,159 8,243,761

FRANCE – 8.5% SINGAPORE – 4.5% 191,165 BNP Paribas 16,449,155 14,216,592 1,257,999 DBS Group Holdings Ltd. 14,126,423 14,513,548 197,110 Carrefour SA 8,165,759 7,815,081 927,103 Keppel Corporation Limited 5,879,366 8,089,914 281,313 Compagnie Generale de 4,041,000 Olam International Limited 8,612,194 8,663,818 Geophysique – Veritas SA 8,493,148 9,943,445 183,681 Olam International Limited, Rights 0 23,076 114,418 Dassault Systemes SA 8,972,479 9,384,309 28,617,983 31,290,356 217,721 Faurecia 7,964,970 9,005,116 55,142 LVMHMoetHennessyLouisVuittonSA 7,082,599 9,556,657 SOUTH KOREA – 3.2% 337,169 Celltrion Inc. 7,139,626 13,491,553 57,128,110 59,921,200 41,647 Hyundai Motor Company 6,619,524 8,954,453 GERMANY – 6.6% 13,759,150 22,446,006 153,383 Bayer AG 11,997,367 11,881,319 137,510 Fresenius SE & Co. KGaA 12,008,406 13,843,199 SPAIN – 3.9% 342,465 GEA Group AG 8,103,585 11,828,631 724,114 Banco Santander SA 11,079,122 8,045,387 53,006 Linde AG 6,705,531 8,969,157 103,516 Industria de Diseno Textil SA 7,050,409 9,096,490 179,574 Red Electrica de Espana SA 8,509,160 10,447,768 38,814,889 46,522,306 26,638,691 27,589,645 GREECE – 1.0% 279,006 Coca-Cola Hellenic Bottling Company SA 7,800,951 7,227,981 SWEDEN – 1.3% 496,327 Tele2 AB, Class “B” 7,125,948 9,448,276 HONG KONG – 2.3% 5,537,940 China Resources Power Holdings SWITZERLAND – 11.4% Company Limited 10,206,390 10,443,058 370,951 ABB Ltd. 8,302,448 9,295,526 3,133,498 Li & Fung Limited 7,466,655 6,040,243 151,386 Adecco SA 8,539,724 9,371,330 10,267 Givaudan SA 10,216,700 10,475,004 17,673,045 16,483,301 150,311 Nestle SA 6,972,102 9,021,113 INDIA – 2.0% 67,311 Roche Holding AG 11,741,262 10,868,637 331,542 Punjab National Bank 10,064,255 7,810,402 6,962 SGS SA 9,483,265 12,754,443 303,869 Reliance Industries Limited 6,789,850 5,904,132 29,111 Syngenta AG 7,286,779 9,488,334 16,854,105 13,714,534 489,994 UBS AG 8,802,419 8,624,286 71,344,699 79,898,673

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 217 TD International Growth Fund GLOBALEQUITYFUNDS

No. of Shares Paror Value Units Description Cost FairValue Par Value Description Cost FairValue

TAIWAN – 1.2% Financial Instruments by the Level in the Fair Value Hierarchy 290,000 TPK Holding Co., Ltd. $$8,859,880 8,558,159 (in 000s) (Note 11)

UNITED KINGDOM – 11.3% The table below illustrates the classification of the Fund’s financial instruments within the 851,228 HSBC Holdings PLC 9,486,292 8,139,696 fair value hierarchy as at June 30, 2011 and December 31, 2010: 1,485,465 Inchcape PLC 8,018,064 9,620,494 901,012 Inmarsat PLC 9,984,324 7,747,427 Level1 Level2 Level3 Total 1,167,410 Prudential PLC 13,863,594 13,000,701 June 30, 2011 311,411 SABMiller PLC 8,460,489 10,962,614 CommonShares $ 98,172 $ 599,586 $0$697,758 486,905 Standard Chartered PLC 13,961,207 12,335,223 Rights 0023 23 1,437,187 Tesco PLC 11,698,257 8,955,564 $ 98,172 $ 599,586 $ 23 $ 697,781 274,959 Vedanta Resources PLC 10,373,360 8,914,404 85,845,587 79,676,123 Equity positions with a fair value of $172,043 and $8,055 were transferred from Level 1 to 2 and Level 2 to 1 respectively during the period as a result of changes in activities in the Total International Equities 657,668,023 689,821,006 market for those securities. Transaction Costs (Note 3) (863,036) 0 December 31, 2010 TOTALINVESTMENT CommonShares $ 323,806 $ 269,733 $0$593,539 PORTFOLIO – 99.3% 664,769,842 697,781,392 Equity positions with a fair value of $202,061 were transferred from Level 2 to Level 1 FOREIGN CURRENCIES – 0.6% 3,996,328 3,963,134 during the period as a result of increased activity in the market for those securities. OTHER NET ASSETS – 0.1% 1,110,087 1,106,267

Reconciliation of Level 3 Fair Value Measurements (in 000s) TOTAL NET ASSETS – 100.0% $ 669,876,257 $ 702,850,793 The table below reconcile the Fund’s Level 3 fair value measurements from December 31, 2010 to June 30, 2011: Currency Risk (Note 11) The table below indicates the foreign currencies to which the Fund had significant exposure Rights as at June 30, 2011 and December 31, 2010 in Canadian dollar terms, including the Balance at December 31, 2010 $0 underlying principal amount of forward currency contracts, if any. The table also illustrates Net Transfers In (Out) 23 the potential impact to the Fund’s net assets if the Fund’s functional currency, the Canadian Dollar, had strengthened or weakened by 5% in relation to all other currencies, with all Balance at June 30, 2011 $ 23 other variables held constant. In practice, the actual trading results may differ from these approximate sensitivity analysis amounts and the differences could be material. Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11)

Total Exposure* (000s) Impact on Net Assets (000s) The table below summarizes cash flows associated with the maturities of the Fund’s financial liabilities as at June 30, 2011 and December 31, 2010: Currency 2011 2010 2011 2010 Less than AustralianDollar $ 27,253 $ 31,632 $ 1,363 $ 1,582 3 months Brazilian Real 18,205 8,656 910 433 2011 2010 British Pound 79,910 99,060 3,996 4,953 Danish Krone 8,896 10,698 445 535 Accounts payable and other liabilities $ 124 $ 114 Euro 199,713 144,470 9,986 7,224 Hong Kong Dollar 25,958 32,746 1,298 1,637 Indian Rupee 13,872 14,654 694 733 Japanese Yen 102,154 88,792 5,108 4,440 New Taiwan Dollar 8,765 0 438 0 Norwegian Krone 8,348 0 417 0 Singapore Dollar 31,541 18,478 1,577 924 South Korean Won 22,446 8,685 1,122 434 Swedish Krona 9,448 9,002 472 450 Swiss Franc 79,899 53,768 3,995 2,688 United States Dollar 58,552 69,743 2,928 3,487 Total $ 694,960 $ 590,384 $ 34,749 $ 29,520

As Percentage of Net Assets (%) 98.88 98.08 4.94 4.90

* Includes both monetary and non-monetary instruments, where applicable.

218 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS TD European Growth Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 47,817 $ 50,479 Interest $1$0 Foreign Currencies 512 265 Dividends 1,247 1,174 Cash 130 158 Securities Lending 28 32 Dividends Receivable 139 81 Less: Withholding Taxes (136) (202) Subscriptions Receivable 6 12 1,140 1,004 Receivable for Investment Sales 391 0 Expenses (Note 5) Unrealized Gain on Open Foreign Management Fees 615 616 Exchange Forward Contracts 00 Administration Fees 82 82 48,995 50,995 Independent Review Committee Fees 00 Liabilities 697 698 Accrued Liabilities 112 123 Less: Waived Expenses (0) (0) Redemptions Payable 98 68 697 698 Payable for Investment Purchases 339 0 Net Investment Income (Loss) 443 306 549 191 Net Realized Gain (Loss) on Net Assets (Note 3) $ 48,446 $ 50,804 Sale of Investments 905 (1,512) Net Assets Representing Unitholders’ Equity (Note 4) Net Change in Unrealized Appreciation/ Investor Series $ 48,446 $ 50,804 Depreciation of Investments 817 (5,735) Institutional Series N/A $0Transaction Costs on Purchase and Sale of Investments (Note 3) (41) (37) $ 48,446 $ 50,804 Net Gain (Loss) on Investments 1,681 (7,284) Number of Units Outstanding Investor Series 3,278,489 3,586,254 Increase (Decrease) in Net Assets from Investment Operations† $ 2,124 $ (6,978) Institutional Series N/A 8 Net Assets Per Unit (Note 3) †Increase (Decrease) in Net Assets from Investment Operations Investor Series $ 14.78 $ 14.17 Investor Series $ 2,124 $ (6,978) Institutional Series N/A $ 12.61 Institutional Series N/A $0 $ 2,124 $ (6,978)

Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Investor Series $ 0.61 $ (1.74) Institutional Series N/A $ (1.42)

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 219 GLOBALEQUITYFUNDS TD European Growth Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 50,804 $ 59,035 $0$0$50,804 $ 59,035 Increase (Decrease) in Net Assets from Investment Operations 2,124 (6,978) 00 2,124 (6,978) Capital Unit Transactions† Proceeds from Sale of Units 1,153 1,452 00 1,153 1,452 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (5,635) (6,614) 00(5,635) (6,614) (4,482) (5,162) 00(4,482) (5,162) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (2,358) (12,140) 00(2,358) (12,140) Net Assets, End of the Period $ 48,446 $ 46,895 $0$0$48,446 $ 46,895 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 3,586,254 4,232,523 88 Units Issued 78,652 110,701 00 Units Issued on Reinvestments 00 00 Units Redeemed (386,417) (503,581) (8) 0 Units Outstanding, End of the Period 3,278,489 3,839,643 08

220 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS

TD European Growth Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) SWEDEN – 4.0% No. of Shares 10,000 Autoliv Inc. $$373,290 756,707 or Units Description Cost FairValue 19,163 Hexagon AB 308,940 455,061 12,280 SvenskaHandelsbankenAB,Class“A” 406,309 365,164 International Equities – 98.7% 19,640 Tele2 AB, Class “B” 401,135 373,875 BERMUDA – 0.9% 1,489,674 1,950,807 13,500 Golar LNG Limited $ 314,217 $ 453,880 SWITZERLAND – 11.0% DENMARK – 1.3% 13,471 Credit Suisse Group AG 464,903 506,331 5,010 Novo Nordisk AS, Class “B” 350,766 605,337 26,979 Nestle SA 1,221,928 1,619,180

FRANCE – 11.1% 20,640 Novartis AG 1,232,184 1,219,997 9,682 BNP Paribas 691,588 720,033 3,800 Roche Holding AG 705,719 613,582 12,570 Bouygues SA 758,202 533,108 3,160 Schindler Holding AG 162,099 370,673 6,820 Compagnie Generale des 225 SGS SA 314,911 412,202 Etablissements Michelin SCA 584,731 644,207 255 Sika AG 332,313 593,668 6,600 Dassault Systemes SA 448,857 541,317 4,434,057 5,335,633 18,913 Eutelsat Communications 527,919 821,208 UNITED KINGDOM – 41.0% 3,410 Iliad SA 364,854 441,351 171,720 Aberdeen Asset Management PLC 398,288 593,230 5,240 Technip 374,009 541,719 34,812 Admiral Group PLC 644,364 895,354 20,520 TOTAL SA 1,079,761 1,144,165 15,700 Aggreko PLC 415,371 469,135 4,829,921 5,387,108 21,030 Antofagasta PLC 448,926 453,884

GERMANY – 14.3% 17,670 AVEVA Group PLC 184,688 469,142 5,950 Allianz SE 791,958 800,217 92,812 Barclays PLC 456,177 367,213 9,080 Bayer AG 716,212 703,353 43,331 BG Group PLC 958,140 948,897 5,770 Fresenius SE & Co. KGaA 464,747 580,869 20,850 BHP Billiton PLC 648,001 790,153 11,790 Gerresheimer AG 572,062 542,886 155,730 BP PLC 1,414,719 1,105,880 17,725 Kloeckner & Co AG 467,006 514,990 43,000 British Sky Broadcasting Group PLC 378,939 563,021 5,100 Linde AG 648,979 862,972 31,620 Chemring Group PLC 277,833 313,625 3,410 Pfeiffer Vacuum Technology AG 297,322 413,055 25,887 Diageo PLC 459,240 510,794 11,890 SAP AG 547,524 695,248 30,310 GlaxoSmithKline PLC 753,810 626,579 7,860 Siemens AG 984,865 1,041,736 166,710 HSBC Holdings PLC 2,354,464 1,594,131 21,590 Tognum AG 778,099 778,752 124,850 IG Group Holdings PLC 543,011 842,403 88,711 International Power PLC 548,726 441,884 6,268,774 6,934,078 24,950 Johnson Matthey PLC 898,041 759,889 ISRAEL – 1.1% 104,724 Man Group PLC 657,482 384,185 33,562 Israel Chemicals Ltd. 426,125 516,546 54,358 National Grid PLC 490,400 516,090 80,570 Prudential PLC 821,017 897,257 ITALY – 2.9% 4,419 Randgold Resources Ltd. 306,350 358,976 154,930 Enel Green Power SpA 432,933 412,115 13,260 Reckitt Benckiser Group PLC 526,633 706,344 11,820 Luxottica Group SpA 395,011 366,017 32,840 Rightmove PLC 262,865 605,930 32,613 Prysmian SpA 755,846 633,171 12,975 Rio Tinto PLC 678,581 903,567 1,583,790 1,411,303 40,410 Rolls-Royce Holdings PLC 337,377 403,606 3,879,360 Rolls-Royce Holdings PLC, LUXEMBOURG – 0.9% 4,300 Millicom International Cellular SA 380,496 434,493 Entitlement Class “C” 0 6,005 11,440 Rotork PLC 227,955 298,326 NETHERLANDS – 4.1% 28,522 Standard Chartered PLC 672,101 722,575 4,700 Core Laboratories NV 337,084 505,601 73,399 Tesco PLC 493,446 457,372 3,848 Fugro NV 250,339 267,311 558,665 Vodafone Group PLC 1,460,591 1,428,722 12,154 Koninklijke Vopak NV 275,401 574,073 35,060 WPP PLC 410,909 423,614 9,270 Nutreco NV 621,919 657,459 19,128,445 19,857,783 1,484,743 2,004,444 INDEX EQUIVALENTS – 1.4% NORWAY – 1.1% 12,746 StreetTRACKS MSCI Europe 22,008 Statoil ASA 782,213 537,348 Financials ETF 684,261 652,276

RUSSIA – 0.6% Transaction Costs (Note 3) (75,007) 0 16,400 Global Ports Investment PLC 242,814 275,848 TOTALINVESTMENT SPAIN – 3.0% PORTFOLIO – 98.7% 43,771,532 47,817,170 17,060 Amadeus IT Holding SA 340,247 342,001 FOREIGN CURRENCIES – 1.1% 512,597 511,849 44,041 Banco Santander SA 544,390 489,325 17,050 Obrascon Huarte Lain SA 561,606 628,960 FORWARDCONTRACTS (SCHEDULE 1) – 0.0% 0 102 1,446,243 1,460,286 OTHER NET ASSETS – 0.2% 120,037 117,275

TOTAL NET ASSETS – 100.0% $ 44,404,166 $ 48,446,396

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 221 TD European Growth Fund GLOBALEQUITYFUNDS

July 04, 2011 32,740 EUR $ 45,789 40,000 CHF $ 45,891 1.22177 $ 102

TOTALNUMBEROFCONTRACTS: 1 NETAPPRECIATION $ 102

* Includes both monetary and non-monetary instruments, where applicable. Common Shares Balance at December 31, 2010 $6 Sales (6) Gains (Losses) Net Realized on Sale of Investments 6 Balance at June 30, 2011 $6

Total change in unrealized for assets held at June 30, 2011 $6

Common Shares Balance at December 31, 2009 $0 Gains (Losses) Net Change in Unrealized Appreciation/ Depreciation of Investments 6 Balance at December 31, 2010 $6

Total change in unrealized for assets held at December 31, 2010 $6

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 549 $ 191

222 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS TD Japanese Growth Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 21,005 $ 21,191 Interest $2$0 Foreign Currencies 224 7 Dividends 201 220 Cash 186 195 Securities Lending 15 Dividends Receivable 19 27 Less: Withholding Taxes (14) (15) Subscriptions Receivable 72 18 190 210 Receivable for Investment Sales 284 0 Expenses (Note 5) 21,790 21,438 Management Fees 213 242 Liabilities Administration Fees 23 27 Accrued Liabilities 39 41 Independent Review Committee Fees 01 Redemptions Payable 327 150 236 270 Payable for Investment Purchases 319 0 Less: Waived Expenses (0) (1) Unrealized Loss on Open Foreign 236 269 Exchange Forward Contracts 00 Net Investment Income (Loss) (46) (59) 685 191 Net Realized Gain (Loss) on Net Assets (Note 3) $ 21,105 $ 21,247 Sale of Investments 493 (166) Net Assets Representing Unitholders’ Equity (Note 4) Net Change in Unrealized Appreciation/ Investor Series $ 12,778 $ 13,972 Depreciation of Investments (1,427) (394) Institutional Series $ 5,649 $ 6,230 Transaction Costs on Purchase and Sale Advisor Series $ 1,287 $ 979 of Investments (Note 3) (17) (34) F-Series $ 1,391 $ 66 Net Gain (Loss) on Investments (951) (594) $ 21,105 $ 21,247 Increase (Decrease) in Net Assets † Number of Units Outstanding from Investment Operations $ (997)$ (653) Investor Series 2,305,059 2,390,370 †Increase (Decrease) in Net Assets from Investment Operations Institutional Series 627,732 662,002 Investor Series $ (688)$ (454) Advisor Series 201,782 145,688 Institutional Series $ (249)$ (189) F-Series 202,302 9,213 Advisor Series $ (24) $ (8) F-Series $ (36) $ (2) Net Assets Per Unit (Note 3) Investor Series $ 5.54 $ 5.84 $ (997)$ (653) Institutional Series $ 9.00 $ 9.41 Increase (Decrease) in Net Assets from Investment Operations – Advisor Series $ 6.38 $ 6.72 Per Unit (Note 3) Investor Series $ (0.30) $ (0.17) F-Series $ 6.88 $ 7.20 Institutional Series $ (0.41) $ (0.23) Advisor Series $ (0.35) $ (0.02) F-Series $ (0.33) $ (0.18)

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 223 GLOBALEQUITYFUNDS TD Japanese Growth Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 13,972 $ 15,946 $ 6,230 $ 6,641 $ 979 $ 1,013 Increase (Decrease) in Net Assets from Investment Operations (688) (454) (249) (189) (24) (8) Capital Unit Transactions† Proceeds from Sale of Units 1,839 808 1,175 1,459 837 2,742 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 00 Amounts Paid on Redemptions (2,345) (2,223) (1,507) (1,362) (505) (2,941) (506) (1,415) (332) 97 332 (199) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (1,194) (1,869) (581) (92) 308 (207) Net Assets, End of the Period $ 12,778 $ 14,077 $ 5,649 $ 6,549 $ 1,287 $ 806 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 2,390,370 2,855,325 662,002 751,004 145,688 157,839 Units Issued 333,956 142,879 131,210 161,185 133,196 424,990 Units Issued on Reinvestments 00 00 00 Units Redeemed (419,267) (392,772) (165,480) (152,734) (77,102) (453,096) Units Outstanding, End of the Period 2,305,059 2,605,432 627,732 759,455 201,782 129,733

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 66$ 61 $ 21,247$ 23,661 Increase (Decrease) in Net Assets from Investment Operations (36) (2) (997) (653) Capital Unit Transactions† Proceeds from Sale of Units 1,408 3 5,259 5,012 Reinvestments of Distributions 00 00 Early Redemption Fees 00 00 Amounts Paid on Redemptions (47) 0 (4,404) (6,526) 1,361 3 855 (1,514) Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period 1,325 1 (142) (2,167) Net Assets, End of the Period $ 1,391 $ 62 $ 21,105 $ 21,494 †Capital Unit Transactions Units Outstanding, Beginning of the Period 9,213 8,989 Units Issued 199,840 415 Units Issued on Reinvestments 00 Units Redeemed (6,751) 0 Units Outstanding, End of the Period 202,302 9,404

224 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS

TD Japanese Growth Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) CONSUMER STAPLES – 1.4% No. of Shares 5,200 Dydo Drinco Inc. $$208,740 186,135 or Units Description Cost FairValue 5,000 Hokuto Corporation 112,338 105,830 321,078 291,965 Japanese Equities – 99.5% HEALTH CARE – 3.7% ENERGY – 2.5% 75 INPEX Corporation $ 540,580 $ 534,777 10,000 Daiichi Sankyo Company Limited 232,581 188,464 75 EPS Co., Ltd. 157,452 170,866 MATERIALS – 9.2% 2,000 Nakanishi Inc. 189,558 198,628 20,000 Hitachi Metals Ltd. 215,615 272,565 7,500 Tsumura & Co. 206,266 231,242 40,000 Kuraray Co., Ltd. 446,542 565,169 785,857 789,200 5,000 Stella Chemifa Corporation 124,569 170,778 150,000 Sumitomo Metal Industries Ltd. 403,150 324,990 FINANCIALS – 14.6% 15,000 Sumitomo Metal Mining Co., Ltd. 190,193 237,678 2,500 Daito Trust Construction Co., Ltd. 159,466 204,704 75,000 Tokuyama Corporation 373,270 364,315 40,000 Japan Securities Finance Co., Ltd. 294,594 236,091 1,753,339 1,935,495 50 MID REIT Inc. 124,440 134,891 125,000 MitsubishiUFJFinancialGroupInc. 1,028,868 587,511 INDUSTRIALS – 32.9% 15,000 Mitsui Fudosan Co., Ltd. 275,314 249,159 50,000 AICHI Corporation 243,357 241,748 25,000 Nomura Holdings Inc. 181,190 118,982 10,000 Asahi Glass Company Limited 105,096 112,863 100 OsakaSecuritiesExchangeCo.,Ltd. 422,230 430,520 20,000 Asahi Holdings Inc. 397,166 392,465 10,000 Sawada Holdings Co., Ltd. 41,710 101,229 25,000 Daiseki Co., Ltd. 547,990 488,153 12,500 Sony Financial Holdings Inc. 223,668 217,961 5,000 East Japan Railway Company 323,663 276,174 17,500 SumitomoMitsuiFinancialGroupInc. 1,147,608 520,424 4,000 FANUC Corporation 328,453 645,113 10,000 Tokio Marine Holdings Inc. 259,144 269,992 50,000 Iino Kaiun Kaisha Ltd. 308,006 237,792 4,158,232 3,071,464 50,000 ITOCHU Corporation 482,682 501,555 15,000 The Japan Steel Works Ltd. 157,624 99,167 INFORMATION TECHNOLOGY – 12.9% 50,000 Keisei Electric Railway Co., Ltd. 283,805 285,386 10,000 Canon Inc. 458,139 458,753 25,000 Kubota Corporation 226,260 213,905 125,000 GMO Internet Inc. 560,454 541,680 5,000 Kurita Water Industries Ltd. 137,590 143,862 50,000 Hitachi Ltd. 243,370 286,201 15,000 Matsuda Sangyo Co., Ltd. 257,766 219,127 6,000 IBIDEN Co., Ltd. 208,172 181,170 20,000 Mitsubishi Corporation 409,752 481,798 2,000 Keyence Corporation 456,393 547,674 50,000 Mitsubishi Heavy Industries Ltd. 225,440 226,753 3,000 Kyocera Corporation 303,150 294,595 12,500 Mitsui & Co., Ltd. 183,410 208,443 2,500 NIDEC Corporation 158,133 225,103 20,000 NGK Insulators Ltd. 392,358 359,346 1,000 Nintendo Co., Ltd. 288,159 181,112 50,000 Nippon Sharyo Ltd. 199,875 211,601 2,675,970 2,716,288 4,000 SECOM Co., Ltd. 208,055 184,968 75,000 Showa Aircraft Industry Co., Ltd. 787,362 590,049 TELECOMMUNICATION SERVICES – 2.1% 2,000 SMC Corporation 268,881 347,723 5,000 Nippon Telegraph and 10,000 Torishima Pump Mfg. Co., Ltd. 151,070 154,804 Telephone Corporation 220,617 232,586 20,000 Toshiba Plant Systems 125 NTT DOCOMO Inc. 207,035 215,306 & Services Corporation 175,360 228,007 427,652 447,892 5,000 USHIO Inc. 84,022 95,347 UTILITIES – 2.3% 6,885,043 6,946,149 50,000 Shizuoka Gas Co., Ltd. 265,881 272,967

CONSUMER DISCRETIONARY – 17.9% 50,000 Tokyo Gas Co., Ltd. 215,167 217,645 4,000 Benesse Corporation 197,034 165,738 481,048 490,612 10,000 Hajime Construction Co., Ltd. 239,210 253,419 Transaction Costs (Note 3) (44,261) 0 15,000 Honda Motor Co., Ltd. 477,087 557,359 175 JupiterTelecommunicationsCo.,Ltd. 138,037 188,825 TOTALINVESTMENT 5,000 Makita Corporation 219,127 224,712 PORTFOLIO – 99.5% 21,685,388 21,005,042 100,000 Misawa Homes Co., Ltd. 492,291 599,268 FOREIGN CURRENCIES – 1.1% 226,625 224,055 200 Rakuten Inc. 156,420 199,646 FORWARDCONTRACTS 3,000 Rinnai Corporation 210,932 208,942 (SCHEDULE 1) – (0.0%) 0 (258) 5,000 Shimano Inc. 211,915 265,293 5,000 Sony Corporation 182,902 127,236 OTHER NET LIABILITIES – (0.6%) (125,427) (123,587) 20,000 Toyota Motor Corporation 990,246 794,305 2,500 Yamada Denki Co., Ltd. 185,649 196,457 TOTAL NET ASSETS – 100.0% $ 21,786,586 $ 21,105,252 3,700,850 3,781,200

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 225 TD Japanese Growth Fund GLOBALEQUITYFUNDS

July 04, 2011 8,367,740 JPY $ 100,258 100,000 CAD $ 100,000 83.67740 $ (258)

TOTALNUMBEROFCONTRACTS: 1 NETDEPRECIATION $ (258)

226 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS TD Asian Growth Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 106,666 $ 119,076 Interest $3$2 Foreign Currencies 247 508 Dividends 1,711 1,566 Cash 1,276 996 Foreign Exchange 0 (83) Dividends Receivable 342 53 Securities Lending 01 Subscriptions Receivable 32 106 Less: Withholding Taxes (169) (96) Receivable for Investment Sales 183 0 1,545 1,390 108,746 120,739 Expenses (Note 5) Liabilities Management Fees 1,363 1,367 Accrued Liabilities 250 287 Administration Fees 208 201 Redemptions Payable 179 221 Independent Review Committee Fees 00 Unrealized Loss on Open Foreign Bank Charges and Interest 11 Exchange Forward Contracts 00 1,572 1,569 429 508 Less: Waived Expenses (1) (1) Net Assets (Note 3) $ 108,317 $ 120,231 1,571 1,568 Net Investment Income (Loss) (26) (178) Net Assets Representing Unitholders’ Equity (Note 4) Investor Series $ 100,601 $ 110,319 Net Realized Gain (Loss) on Institutional Series $ 3,783 $ 5,388 Sale of Investments 5,610 97 Advisor Series $ 3,279 $ 3,856 Net Change in Unrealized Appreciation/ F-Series $ 294 $ 417 Depreciation of Investments (6,375) (8,596) O-Series $ 360 $ 251 Transaction Costs on Purchase and Sale of Investments (Note 3) (85) (312) $ 108,317 $ 120,231 Net Gain (Loss) on Investments (850) (8,811) Number of Units Outstanding Investor Series 7,527,285 8,203,273 Increase (Decrease) in Net Assets from Investment Operations† $ (876) $ (8,989) Institutional Series 247,937 353,872 Advisor Series 271,506 317,335 †Increase (Decrease) in Net Assets from Investment Operations F-Series 23,662 33,538 Investor Series $ (801) $ (7,727) Institutional Series $ (38)$ (926) O-Series 31,303 21,991 Advisor Series $ (39)$ (301) Net Assets Per Unit (Note 3) F-Series $ (1) $ (35) Investor Series $ 13.36 $ 13.45 O-Series $3 N/A Institutional Series $ 15.26 $ 15.23 $ (876) $ (8,989) Advisor Series $ 12.08 $ 12.15 Increase (Decrease) in Net Assets from Investment Operations – F-Series $ 12.44 $ 12.42 Per Unit (Note 3) O-Series $ 11.50 $ 11.41 Investor Series $ (0.08) $ (0.85) Institutional Series $ 0.03 $ (0.92) Advisor Series $ (0.08) $ (0.81) F-Series $ 0.01 $ (0.70) O-Series $ 0.09 N/A

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 227 GLOBALEQUITYFUNDS TD Asian Growth Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 110,319 $ 113,604 $ 5,388 $ 17,400 $ 3,856 $ 4,473 Increase (Decrease) in Net Assets from Investment Operations (801) (7,727) (38) (926) (39) (301) Capital Unit Transactions† Proceeds from Sale of Units 7,910 9,340 154 776 239 358 Reinvestments of Distributions 00 00 00 Early Redemption Fees 22 00 00 Amounts Paid on Redemptions (16,829) (15,069) (1,721) (7,689) (777) (1,074) (8,917) (5,727) (1,567) (6,913) (538) (716) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (9,718) (13,454) (1,605) (7,839) (577) (1,017) Net Assets, End of the Period $ 100,601 $ 100,150 $ 3,783 $ 9,561 $ 3,279 $ 3,456 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 8,203,273 9,286,124 353,872 1,276,771 317,335 404,602 Units Issued 604,576 796,655 10,310 59,950 20,032 33,553 Units Issued on Reinvestments 00 00 00 Units Redeemed (1,280,564) (1,291,304) (116,245) (589,267) (65,861) (102,480) Units Outstanding, End of the Period 7,527,285 8,791,475 247,937 747,454 271,506 335,675

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 417$ 570 $ 251 N/A $ 120,231 $ 136,047 Increase (Decrease) in Net Assets from Investment Operations (1) (35) 3 N/A (876) (8,989) Capital Unit Transactions† Proceeds from Sale of Units 67 106 N/A 8,415 10,481 Reinvestments of Distributions 00 0N/A 00 Early Redemption Fees 00 0N/A 22 Amounts Paid on Redemptions (128) (38) 0 N/A (19,455) (23,870) (122) (31) 106 N/A (11,038) (13,387) Distributions to Unitholders 00 0N/A 00 Increase (Decrease) in Net Assets for the Period (123) (66) 109 N/A (11,914) (22,376) Net Assets, End of the Period $ 294$ 504 $ 360 N/A $ 108,317 $ 113,671 †Capital Unit Transactions Units Outstanding, Beginning of the Period 33,538 51,196 21,991 N/A Units Issued 485 645 9,312 N/A Units Issued on Reinvestments 00 0N/A Units Redeemed (10,361) (3,557) 0 N/A Units Outstanding, End of the Period 23,662 48,284 31,303 N/A

228 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS

TD Asian Growth Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) MALAYSIA – 6.4% No. of Shares 1,500,706 Axiata Group Berhad $$1,877,085 2,401,475 or Units Description Cost FairValue 719,174 CIMB Group Holdings Berhad 1,297,604 2,054,384 702,900 Genting Berhad 1,676,825 2,524,969 International Equities – 98.5% 4,851,514 6,980,828 AUSTRALIA – 16.9% 57,311 BHP Billiton Limited $ 1,655,376 $ 2,612,273 SINGAPORE – 4.2% 483,959 Boart Longyear Group 1,650,810 2,007,686 1,059,000 Global Logistic Properties Limited 1,716,934 1,715,842 57,639 Commonwealth Bank of Australia 2,578,301 3,130,828 182,000 United Overseas Bank Limited 2,665,008 2,818,159 7,063 Equinox Minerals Limited 47,035 57,620 4,381,942 4,534,001 145,463 Foster’s Group Ltd. 744,526 774,918 SOUTH KOREA – 16.8% 826,009 Mount Gibson Iron Limited 1,733,061 1,584,097 12,560 Hyundai Mobis 1,946,917 4,557,761 65,380 Newcrest Mining Limited 1,906,704 2,554,995 30,230 KT Corporation 1,248,961 1,111,652 90,849 OZ Minerals Limited 1,291,677 1,240,481 6,358 LG Household & Health Care Ltd. 1,022,076 2,630,491 79,399 Woolworths Limited 2,190,695 2,284,780 6,366 Orion Corporation 2,127,519 2,622,299 71,852 WorleyParsons Limited 1,935,021 2,109,906 9,687 Samsung Electronics Co., Ltd. 6,663,056 7,261,364 15,733,206 18,357,584 13,008,529 18,183,567 CHINA – 11.4% TAIWAN – 6.9% 3,317,560 China Construction Bank 2,534,325 2,663,637 2,068,000 E.SUN FinancialHoldingCompanyLtd. 1,335,835 1,420,095 1,702,000 CNOOC Limited 2,791,980 3,866,344 728,000 SYNNEX Corporation 1,861,601 1,707,041 1,264,000 Dongfeng Motor Group Company Limited 2,178,334 2,314,298 1,181,964 Taiwan Semiconductor Manufacturing 488,000 ENN Energy Holdings Limited 1,520,781 1,601,872 Company Limited 2,410,508 2,872,959 72,100 Perfect World Co., Ltd, ADR 1,987,381 1,303,120 885,000 WPG Holdings Limited 1,637,813 1,451,480 112,000 Tsingtao Brewery Company Limited 597,832 625,887 7,245,757 7,451,575 11,610,633 12,375,158 THAILAND – 4.9% HONG KONG – 18.5% 1,027,900 CP ALL Public Company Limited 1,309,290 1,431,119 1,012,600 AIA Group Ltd. 2,872,628 3,399,579 621,600 KASIKORNBANK Public Company Limited 1,854,452 2,409,977 586,000 China Merchants Holdings 277,000 PTT Exploration and Production (International) Company Limited 2,414,273 2,193,042 Public Company Limited 1,618,426 1,478,143 288,423 China Mobile Limited 2,936,950 2,589,699 858,000 China Resources Cement 4,782,168 5,319,239 Holdings Limited 785,419 778,401 UNITED KINGDOM – 3.9% 183,000 Henderson Land Development 60,649 Rio Tinto PLC 3,182,906 4,223,541 Company Limited 1,349,857 1,141,309 494,670 The Hong Kong and China Gas Transaction Costs (Note 3) (188,493) 0 Company Limited 1,070,031 1,085,322 TOTALINVESTMENT 565,500 TheLinkRealEstateInvestmentTrust 1,460,374 1,863,067 PORTFOLIO – 98.5% 91,759,704 106,665,501 1,125,000 Sino Land Company Limited 2,232,804 1,745,033 FOREIGN CURRENCIES – 0.2% 249,419 246,863 1,247,000 SJM Holdings Limited 920,025 2,861,006 165,000 Sun Hung Kai Properties Limited 2,517,706 2,326,157 FORWARDCONTRACTS (SCHEDULE 1) – (0.0%) 0 (1) 18,560,067 19,982,615 OTHER NET ASSETS – 1.3% 1,408,304 1,404,810 INDIA – 3.3% 739,989 Infrastructure Development Finance TOTAL NET ASSETS – 100.0% $ 93,417,427 $ 108,317,173 Company Limited 2,628,989 2,102,557 57,716 Maruti Suzuki India Limited 1,944,670 1,448,719 4,573,659 3,551,276

INDONESIA – 5.3% 166,000 P.T. Astra International Tbk 676,446 1,190,089 2,672,306 P.T. Bank Rakyat Indonesia (Persero) Tbk 1,199,865 1,960,416 503,818 P.T. United Tractors Tbk 985,880 1,414,825 4,127,000 P.T. Adaro Energy Tbk 1,155,625 1,140,787 4,017,816 5,706,117

July 04, 2011 176,949 AUD $ 182,962 182,961 CAD $ 182,961 1.03398 $ (1)

TOTALNUMBEROFCONTRACTS: 1 NETDEPRECIATION $ (1)

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 229 TD Asian Growth Fund GLOBALEQUITYFUNDS

* Includes both monetary and non-monetary instruments, where applicable.

230 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS TD Pacific Rim Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Changes in Net Assets (in 000s except number of units) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 Investor Series Assets 2011 2010 Investments at Fair Value (Note 3) $ 28,350 $ 31,978 Net Assets, Beginning of the Period $ 31,927 $ 34,214 Foreign Currencies 161 107 Increase (Decrease) in Net Assets Cash 93 0 from Investment Operations (1,060) (1,688) Dividends Receivable 64 16 Subscriptions Receivable 68Capital Unit Transactions† Receivable for Investment Sales 31 0 Proceeds from Sale of Units 1,040 948 Reinvestments of Distributions 00 28,705 32,109 Early Redemption Fees 01 Liabilities Amounts Paid on Redemptions (3,292) (3,825) Bank Overdraft 0 68 (2,252) (2,876) Accrued Liabilities 59 69 Redemptions Payable 31 45 Distributions to Unitholders 00 Unrealized Loss on Open Foreign Increase (Decrease) in Net Assets Exchange Forward Contracts 00for the Period (3,312) (4,564) 90 182 Net Assets, End of the Period $ 28,615 $ 29,650 Net Assets (Note 3) $ 28,615 $ 31,927 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 3,698,919 4,313,446 Net Assets Representing Unitholders’ Equity (Note 4) Units Issued 123,979 121,911 Investor Series $ 28,615 $ 31,927 Units Issued on Reinvestments 00 Number of Units Outstanding Units Redeemed (392,729) (489,722) Investor Series 3,430,169 3,698,919 Units Outstanding, End of the Period 3,430,169 3,945,635 Net Assets Per Unit (Note 3) Investor Series $ 8.34 $ 8.63

Statements of Investment Operations (in 000s except per unit amounts) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 Investment Income Interest $1$0 Dividends 396 377 Securities Lending 11 Less: Withholding Taxes (28) (24) 370 354 Expenses (Note 5) Management Fees 326 332 Administration Fees 57 58 Independent Review Committee Fees 00 Bank Charges and Interest 10 384 390 Less: Waived expenses (1) (0) 383 390 Net Investment Income (Loss) (13) (36) NetRealizedGain(Loss)onSaleofInvestments 1,049 254 Net Change in Unrealized Appreciation/ Depreciation of Investments (2,073) (1,846) Transaction Costs on Purchase and Sale of Investments (Note 3) (23) (60) Net Gain (Loss) on Investments (1,047) (1,652) Increase (Decrease) in Net Assets from Investment Operations† $ (1,060) $ (1,688)

†Increase (Decrease) in Net Assets from Investment Operations Investor Series $ (1,060) $ (1,688)

Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Investor Series $ (0.29) $ (0.41)

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 231 GLOBALEQUITYFUNDS

TD Pacific Rim Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) JAPAN – 34.0% No. of Shares 7,900 Astellas Pharma Inc. $$293,303 295,632 or Units Description Cost FairValue 55,000 Daiwa Securities Group Inc. 352,936 233,710 7,814 DeNA Co., Ltd. 230,801 324,106 International Equities – 99.1% 4,900 East Japan Railway Company 322,809 270,651 AUSTRALIA – 11.7% 7,900 FamilyMart Co., Ltd. 255,964 279,754 9,777 BHP Billiton Limited $ 279,792 $ 445,642 12,500 FUJIFILM Holdings Corporation 412,293 376,003 86,384 Boart Longyear Group 301,378 358,361 37 INPEX Corporation 327,082 263,823 9,025 Commonwealth Bank of Australia 403,016 490,219 25,000 Kirin Holdings Company Limited 344,250 336,133 26,937 Equinox Minerals Limited 179,383 219,752 25,500 Konica Minolta Holdings Inc. 261,939 205,417 26,439 Foster’s Group Ltd. 135,381 140,847 3,600 Kyocera Corporation 378,765 353,514 138,513 Mount Gibson Iron Limited 290,667 265,636 9,100 Mitsubishi Corporation 166,815 219,218 11,497 Newcrest Mining Limited 338,546 449,293 19,000 Mitsubishi Estate Co., Ltd. 435,602 321,595 15,861 OZ Minerals Limited 225,233 216,571 99,220 Mitsubishi UFJ Financial Group Inc. 651,591 466,343 13,935 Woolworths Limited 384,793 400,993 600 Nintendo Co., Ltd. 215,487 108,667 12,390 WorleyParsons Limited 334,722 363,827 12,875 Nippon Telegraph and 2,872,911 3,351,141 Telephone Corporation 633,261 598,909 112,000 Osaka Gas Co., Ltd. 426,849 409,726 CHINA – 7.5% 21,700 Panasonic Corporation 329,585 255,941 547,920 China Construction Bank 413,559 439,920 28,000 Ricoh Company Ltd. 402,455 299,573 306,000 CNOOC Limited 491,270 695,124 18,500 Seven & i Holdings Co., Ltd. 478,712 479,851 224,000 DongfengMotorGroupCompanyLimited 387,964 410,129 10,700 Sony Corporation 315,863 272,286 86,000 ENN Energy Holdings Limited 267,928 282,297 26,700 Sumitomo Electric Industries Ltd. 420,192 375,592 12,200 Perfect World Co., Ltd, ADR 336,234 220,500 20,500 SumitomoMitsuiFinancialGroupInc. 1,095,385 609,640 20,000 Tsingtao Brewery Company Limited 106,790 111,766 16,500 Suzuki Motor Corporation 360,883 358,713 2,003,745 2,159,736 12,150 T&D Holdings Inc. 449,459 278,915 17,200 Tokio Marine Holdings Inc. 551,728 464,386 HONG KONG – 12.0% 27,400 Toyota Motor Corporation 1,189,480 1,088,198 178,000 AIA Group Ltd. 506,922 597,595 564 Yahoo Japan Corporation 184,793 187,198 104,000 China Merchants Holdings (International) Company Limited 425,465 389,209 11,488,282 9,733,494 47,000 China Mobile Limited 477,634 422,005 MALAYSIA – 4.2% 152,000 China Resources Cement 266,824 Axiata Group Berhad 333,201 426,980 Holdings Limited 139,178 137,899 123,414 CIMB Group Holdings Berhad 214,982 352,543 27,000 Henderson Land Development 120,900 Genting Berhad 288,584 434,299 Company Limited 199,153 168,390 836,767 1,213,822 87,230 The Hong Kong and China Gas Company Limited 187,452 191,385 SINGAPORE – 2.9% 94,500 TheLinkRealEstateInvestmentTrust 244,350 311,335 194,000 Global Logistic Properties Limited 314,183 314,328 204,000 Sino Land Company Limited 417,049 316,433 33,000 United Overseas Bank Limited 484,314 510,985 221,000 SJM Holdings Limited 165,142 507,043 798,497 825,313 27,000 Sun Hung Kai Properties Limited 412,384 380,644 SOUTH KOREA – 11.1% 3,174,729 3,421,938 2,199 Hyundai Mobis 340,325 797,971 INDIA – 2.0% 4,220 KT Corporation 174,401 155,183 115,036 Infrastructure Development Finance 1,143 LG Household & Health Care Ltd. 182,724 472,893 Company Limited 411,956 326,856 1,014 Orion Corporation 339,021 417,690 9,507 Maruti Suzuki India Limited 317,314 238,634 1,763 Samsung Electronics Co., Ltd. 1,215,689 1,321,543 729,270 565,490 2,252,160 3,165,280

INDONESIA – 3.2% TAIWAN – 4.6% 23,000 P.T. Astra International Tbk 94,775 164,892 372,000 E.SUNFinancialHoldingCompanyLtd. 241,068 255,452 437,122 P.T.BankRakyatIndonesia(Persero)Tbk 198,023 320,675 134,000 SYNNEX Corporation 341,266 314,208 89,136 P.T. United Tractors Tbk 174,457 250,312 206,042 Taiwan Semiconductor Manufacturing 651,000 P.T. Adaro Energy Tbk 182,290 179,950 Company Limited 429,544 500,819 649,545 915,829 151,000 WPG Holdings Limited 284,219 247,654 1,296,097 1,318,133

THAILAND – 3.3% 183,200 CP ALL Public Company Limited 231,816 255,065 108,000 KASIKORNBANKPublicCompanyLimited 322,030 418,722 49,900 PTT Exploration and Production Public Company Limited 292,000 266,279 845,846 940,066

232 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Pacific Rim Fund GLOBALEQUITYFUNDS

No. of Shares Paror Value Units Description Cost FairValue

UNITED KINGDOM – 2.6% 10,619 Rio Tinto PLC $$556,188 739,497

Transaction Costs (Note 3) (41,653) 0

TOTALINVESTMENT PORTFOLIO – 99.1% 27,462,384 28,349,739 FOREIGN CURRENCIES – 0.6% 160,734 161,184 FORWARDCONTRACTS (SCHEDULE 1) – (0.0%) 0 (18) OTHER NET ASSETS – 0.3% 104,366 103,815

TOTAL NET ASSETS – 100.0% $ 27,727,484 $ 28,614,720

July 04, 2011 29,670 AUD $ 30,679 30,661 CAD $ 30,661 1.03337 $ (18)

TOTALNUMBEROFCONTRACTS: 1 NETDEPRECIATION $ (18)

* Includes both monetary and non-monetary instruments, where applicable.

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 233 GLOBALEQUITYFUNDS TD Emerging Markets Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 197,329 $ 217,669 Interest $1$0 Foreign Currencies 4,629 7,338 Dividends 3,409 2,638 Dividends Receivable 881 130 Foreign Exchange (252) 0 Subscriptions Receivable 171 342 Securities Lending 37 Receivable for Investment Sales 1,287 532 Less: Withholding Taxes (341) (188) Unrealized Gain on Open Foreign 2,820 2,457 Exchange Forward Contracts 01 Expenses (Note 5) 204,297 226,012 Management Fees 2,536 2,444 Liabilities Administration Fees 392 377 Accrued Liabilities 468 537 Independent Review Committee Fees 11 Redemptions Payable 269 368 2,929 2,822 Payable for Investment Purchases 657 533 Less: Waived Expenses (0) (0) Unrealized Loss on Open Foreign 2,929 2,822 Exchange Forward Contracts 11 Net Investment Income (Loss) (109) (365) 1,395 1,439 Net Realized Gain (Loss) on Net Assets (Note 3) $ 202,902 $ 224,573 Sale of Investments 6,556 8,657 Net Assets Representing Unitholders’ Equity (Note 4) Net Change in Unrealized Appreciation/ Investor Series $ 170,158 $ 189,945 Depreciation of Investments (16,367) (20,811) Institutional Series N/A $0Transaction Costs on Purchase and Sale Advisor Series $ 26,158 $ 29,790 of Investments (Note 3) (283) (215) F-Series $ 2,776 $ 2,021 Net Gain (Loss) on Investments (10,094) (12,369) O-Series $ 3,810 $ 2,817 Increase (Decrease) in Net Assets $ 202,902 $ 224,573 from Investment Operations† $ (10,203) $ (12,734) Number of Units Outstanding †Increase (Decrease) in Net Assets from Investment Operations Investor Series 11,335,283 12,076,655 Investor Series $ (8,669) $ (10,919) Institutional Series N/A 15 Institutional Series N/A $4 Advisor Series 1,380,026 1,500,152 Advisor Series $ (1,352) $ (1,580) F-Series 136,283 95,395 F-Series $ (89)$ (128) O-Series $ (93)$ (111) O-Series 346,528 248,078 $ (10,203) $ (12,734) Net Assets Per Unit (Note 3) Investor Series $ 15.01 $ 15.73 Increase (Decrease) in Net Assets from Investment Operations – Institutional Series N/A $ 17.99 Per Unit (Note 3) Investor Series $ (0.72) $ (0.83) Advisor Series $ 18.95 $ 19.86 Institutional Series N/A $ (0.99) F-Series $ 20.37 $ 21.18 Advisor Series $ (0.90) $ (1.04) O-Series $ 10.99 $ 11.36 F-Series $ (0.82) $ (1.00) O-Series $ (0.36) $ (0.55)

234 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS TD Emerging Markets Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 189,945 $ 190,546 $0$2,278 $ 29,790 $ 27,225 Increase (Decrease) in Net Assets from Investment Operations (8,669) (10,919) 04(1,352) (1,580) Capital Unit Transactions† Proceeds from Sale of Units 11,698 15,104 00 2,959 3,834 Reinvestments of Distributions 00 00 00 Early Redemption Fees 01 00 00 Amounts Paid on Redemptions (22,816) (23,750) 0 (2,282) (5,239) (4,262) (11,118) (8,645) 0 (2,282) (2,280) (428) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (19,787) (19,564) 0 (2,278) (3,632) (2,008) Net Assets, End of the Period $ 170,158 $ 170,982 $0$0$26,158 $ 25,217 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 12,076,655 13,425,381 15 142,102 1,500,152 1,519,474 Units Issued 778,383 1,104,214 06155,770 222,068 Units Issued on Reinvestments 00 00 00 Units Redeemed (1,519,755) (1,739,231) (15) (142,093) (275,896) (247,330) Units Outstanding, End of the Period 11,335,283 12,790,364 0 15 1,380,026 1,494,212

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 2,021 $ 2,558 $ 2,817 $0$224,573 $ 222,607 Increase (Decrease) in Net Assets from Investment Operations (89) (128) (93) (111) (10,203) (12,734) Capital Unit Transactions† Proceeds from Sale of Units 1,250 184 1,363 2,196 17,270 21,318 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 01 Amounts Paid on Redemptions (406) (685) (277) (199) (28,738) (31,178) 844 (501) 1,086 1,997 (11,468) (9,859) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period 755 (629) 993 1,886 (21,671) (22,593) Net Assets, End of the Period $ 2,776 $ 1,929 $ 3,810 $ 1,886 $ 202,902 $ 200,014 †Capital Unit Transactions Units Outstanding, Beginning of the Period 95,395 135,749 248,078 0 Units Issued 60,791 10,118 123,684 218,879 Units Issued on Reinvestments 00 00 Units Redeemed (19,903) (37,911) (25,234) (20,645) Units Outstanding, End of the Period 136,283 107,956 346,528 198,234

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 235 GLOBALEQUITYFUNDS

TD Emerging Markets Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 304,000 Shanghai Pharmaceuticals No. of Shares Holding Co., Ltd. $$880,158 787,454 or Units Description Cost FairValue 13,100 Sohu.com Inc. 720,824 912,954 73,400 Tencent Holdings Limited 1,602,657 1,932,046 U.S. Equities – 1.7% 1,082,000 Want Want China Holdings Limited 832,260 1,014,570 CONSUMER DISCRETIONARY – 0.5% 1,836,000 West China Cement Limited 742,914 640,907 19,809 YUM! Brands Inc. $ 1,053,426 $ 1,054,775 368,000 YanzhouCoalMiningCompanyLimited 898,620 1,367,461

CONSUMER STAPLES – 1.2% 16,103,672 17,591,545 37,042 MeadJohnsonNutritionCompany 2,045,441 2,413,234 CYPRUS – 0.4% Total U.S. Equities 3,098,867 3,468,009 25,959 EurasiaDrillingCompanyLimited.,GDR 784,218 738,316 CZECH REPUBLIC – 2.7% International Equities – 95.5% 71,000 Cesky Telecom AS 1,600,121 1,782,223 ARGENTINA – 0.2% 41,700 CEZ AS 1,989,121 2,070,501 13,530 Banco Macro SA, ADR 485,968 491,687 6,607 Komercni Banka AS 1,167,864 1,552,700

BRAZIL – 10.7% 4,757,106 5,405,424 54,500 Banco do Brasil SA 834,625 934,617 EGYPT – 1.2% 203,000 BM&FBOVESPA SA 1,629,675 1,292,134 242,642 Commercial International Bank 1,285,572 1,166,846 125,518 BRF – Brasil Foods SA 1,651,850 2,047,784 586,747 Juhayna Food Industries Co. 523,853 527,118 75,100 Companhia de Bebidas das 349,409 Telecom Egypt Company 1,276,837 844,924 Americas – AmBev, Pref., ADR 921,416 2,442,346 3,086,262 2,538,888 53,000 Hypermarcas SA 759,141 480,813 28,851 Itau Unibanco Holding SA, Pref. 394,361 642,213 HONG KONG – 3.7% 119,642 Itau Unibanco Holding SA, ADR 1,872,148 2,715,097 646,000 Belle International Holdings Limited 362,807 1,316,278 81,100 MRV Engenharia e Participacoes SA 402,866 655,545 1,200,000 China Gas Holdings Limited 686,531 465,472 239,100 PDG Realty SA Empreendimentos 320,000 ChinaMengniuDairyCompanyLimited 961,524 1,042,191 e Participacoes 685,031 1,295,846 130,000 China Mobile Limited 1,483,499 1,167,247 65,408 PetroleoBrasileiroSA–Petrobras,Pref. 471,415 953,931 664,400 China Resources Power Holdings 45,200 PetroleoBrasileiroSA–Petrobras,ADR 1,935,624 1,475,192 Company Limited 1,154,170 1,252,879 26,051 Petroleo Brasileiro SA – Petrobras, 1,065,000 GCL-Poly Energy Holdings Limited 517,639 531,937 Sponsored ADR 1,086,875 771,334 113,000 Hengan International Group 65,565 TelecomunicacoesdeSaoPauloSA 1,262,400 1,874,893 Company Limited 914,377 979,981 49,400 Ultrapar Participacoes SA, Pref. 300,216 844,105 112,000 Moulin Global Eyecare Holdings Limited 106,400 0 7,980 Vale SA, Class “A” Pref. 135,022 219,204 116,000 OrientOverseas(International)Limited 1,050,928 723,318 108,608 Vale SA, Sponsored ADR 1,751,371 3,059,443 7,237,875 7,479,303 16,094,036 21,704,497 HUNGARY – 0.6% CHILE – 1.1% 6,637 Gedeon Richter RT 1,311,558 1,264,254 4,100 Banco Santander Chile, ADR 362,008 370,434 INDIA – 9.0% 69,898 CentrosComercialesSudamericanosSA 488,884 483,944 13,449 Asian Paints Limited 416,136 925,743 453,282 EmpresaNacionaldeElectricidadSA 780,424 828,781 35,452 Dr. Reddy’s Laboratories Limited 967,737 1,147,078 2,210 Empresa Nacional de Electricidad SA, 110,746 Engineers India Limited 793,951 656,684 Sponsored ADR 112,920 121,492 70,958 GAIL (India) Limited 692,867 676,811 76,311 Enersis SA 32,473 33,858 143,600 Glenmark Pharmaceuticals Ltd. 749,321 982,888 15,800 Enersis SA, Sponsored ADR 342,932 351,548 40,298 HDFC Bank Limited 1,163,970 2,195,265 2,119,641 2,190,057 72,187 ICICI Bank Limited 1,649,387 1,711,223

CHINA – 8.7% 163,082 IndusInd Bank Limited 463,053 960,535 2,472,000 BOC Hong Kong (Holdings) Limited, 45,293 Infosys Technologies Limited 2,277,662 2,849,893 Class “H” 1,182,809 1,166,927 273,622 ITC Limited 834,665 1,200,679 3,416,910 China Construction Bank 2,677,623 2,743,404 67,018 Jindal Steel & Power Limited 985,081 945,785 982,000 ChinaMinshengBankingCorp.,Ltd. 915,352 875,860 30,528 Larson & Toubro Limited 1,390,333 1,204,288 391,400 China Pacific Insurance (Group) Co., Ltd. 1,670,356 1,570,656 67,923 Reliance Industries Limited 1,588,300 1,319,734 2,012,000 ChinaTelecomCorporationLimited 1,010,722 1,266,800 62,146 Tata Consultancy Services Limited 1,508,932 1,592,393 587,000 China ZhengTong Auto Services 15,481,395 18,368,999 Holdings Limited 553,371 649,836 483,000 CNOOC Limited 1,145,723 1,097,206 156,500 Ping An Insurance (Group) Company of China Ltd. 1,270,283 1,565,464

236 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Emerging Markets Fund GLOBALEQUITYFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

INDONESIA – 5.2% SOUTH AFRICA – 5.2% 235,400 P.T. Astra International Tbk $$570,899 1,687,632 345,839 AVI Limited $$1,216,495 1,538,533 1,646,500 P.T. Bank Central Asia Tbk 531,047 1,420,126 220,700 Clicks Group Limited 1,038,918 1,332,862 1,744,000 P.T. Bank Mandiri (Persero) Tbk 1,293,762 1,416,735 143,453 MTN Group Limited 2,094,690 2,947,460 1,769,500 P.T. Indofood Sukses Makmur Tbk 689,298 1,147,172 58,067 Naspers Limited 1,930,458 3,162,708 1,893,000 P.T. Indosat Tbk 1,119,669 1,088,514 267,832 Pick n Pay Stores Limited 1,718,763 1,585,587 1,809,500 P.T. Kalbe Farma Tbk 717,013 688,637 7,999,324 10,567,150 19,539,500 P.T. Lippo Karawaci Tbk 1,282,774 1,430,279 2,132,000 P.T.TelekomunikasiIndonesiaTbk 1,949,094 1,770,616 SOUTH KOREA – 15.2% 321 AMOREPACIFIC Corporation 203,430 344,197 8,153,556 10,649,711 46,255 Cheil Communications Inc. 471,380 663,892 LEBANON – 0.6% 7,322 Cheil Industries Inc. 307,108 846,927 91,476 BankAudisal–AudiSaradarGroup,GDR 834,906 643,594 179 E-Mart Co., Ltd. 38,981 39,293 72,011 BLOM Bank SAL, GDR 692,787 590,334 7,573 GS E&C Corporation 677,084 893,469 1,527,693 1,233,928 46,140 Hynix Semiconductor Inc. 1,134,308 1,051,387 12,635 Hyundai Engineering & MALAYSIA – 2.9% Construction Co., Ltd. 778,626 987,636 782,700 AirAsia Berhad 681,213 882,651 2,581 Hyundai Heavy Industries Co., Ltd. 920,830 1,038,908 1,550,600 Axiata Group Berhad 2,068,442 2,481,317 5,415 Hyundai Mobis 1,239,632 1,964,990 472,700 CIMB Group Holdings Berhad 1,257,569 1,350,309 16,642 Hyundai Motor Company 2,450,766 3,578,169 371,200 Sime Darby Berhad 1,047,506 1,095,486 7,253 Hyundai Steel Company 790,221 852,712 5,054,730 5,809,763 18,947 KB Financial Group Inc. 835,331 868,684 21,290 Korea Aerospace Industries Ltd. 297,461 425,991 MEXICO – 4.8% 20,430 Korea Electric Power Corporation 527,723 523,394 87,572 America Movil SAB de CV 4,049,647 4,548,952 16,207 Korean Air Lines Co., Ltd. 1,044,373 1,023,726 21,030 DesarrolladoraHomexSABdeCV,ADR 714,002 511,116 4,946 LG Chem Ltd. 682,345 2,192,121 220,000 Empresas ICA SAB de CV 547,667 485,845 385 LG Household & Health Care Ltd. 151,589 159,286 33,600 Fomento Economico Mexicano 4,211 NCsoft Corporation 950,137 1,109,571 SAB de CV, Sponsored ADR 1,660,711 2,154,967 4,204 NHN Corporation 614,046 718,818 270,250 Grupo Financiero Banorte SAB de CV, 1,332 OCI Company Ltd. 327,893 487,225 Series “O” 787,794 1,182,058 12,275 OCI Company Ltd., GDR 561,558 446,992 274,900 Wal-Mart de Mexico SAB de CV, 6,517 Samsung Electronics Co., Ltd. 4,331,520 4,885,136 Series “V” 704,123 784,615 1,610 Samsung Electronics Co., Ltd., Pref. 695,207 816,818 8,463,944 9,667,553 6,314 Samsung Fire & Marine PERU – 1.2% Insurance Co., Ltd. 1,114,668 1,416,956 33,280 Compania de Minas Buenaventura SAA, 48,728 Shinhan Financial Group Co., Ltd. 1,934,224 2,247,318 ADR 1,449,746 1,218,398 25,860 SSCP Co., Ltd. 669,359 110,409 13,780 Credicorp Ltd. 1,384,654 1,144,944 31,587 Woongjin Coway Co., Ltd. 970,832 1,086,486 2,834,400 2,363,342 24,720,632 30,780,511

PHILIPPINES – 3.0% TAIWAN – 6.6% 156,564 Ayala Corporation 977,503 1,110,839 571,000 AdvancedSemiconductorEngineeringInc. 618,729 607,220 12,676,000 MetroPacificInvestmentsCorporation 911,309 1,012,598 119,050 ASUSTeK Computer Inc. 1,311,455 1,142,785 959,808 MetropolitanBank&TrustCompany 1,154,238 1,497,421 665,396 China Steel Corporation 668,594 773,915 25,860 Philippine Long Distance 143,000 Epistar Corporation 465,037 410,771 Telephone Company 1,469,185 1,343,295 300,000 Formosa Plastics Corporation 729,924 1,045,628 98,550 SM Investments Corporation 939,187 1,174,200 727,503 Fubon Financial Holding Co., Ltd. 651,358 1,081,403 560,984 HonHaiPrecisionIndustryCo.,Ltd. 1,849,029 1,862,693 5,451,422 6,138,353 51,710 HTC Corporation 768,212 1,686,224 POLAND – 1.3% 547,000 InnoLux Display Corporation 699,827 377,846 47,584 Central European Distribution 117,000 Nan Ya Plastics Corporation 332,048 301,814 Corporation 1,572,879 513,995 28,000 Taiwan Cement Corporation 39,269 40,341 377,908 Telekomunikacja Polska SA 2,717,264 2,216,053 899,017 Taiwan Semiconductor Manufacturing 4,290,143 2,730,048 Company Limited 1,849,810 2,185,209 18,000 TPK Holding Co., Ltd. 550,205 531,196 PORTUGAL – 1.3% 905,000 Uni-President Enterprises Corp. 977,118 1,267,882 139,624 Jeronimo Martins SGPS SA 1,972,614 2,586,258 11,510,615 13,314,927 QATAR – 0.4% 25,700 Industries Qatar QSC 940,713 927,318

RUSSIA – 3.6% 66,380 OAO LUKOIL, Sponsored ADR 4,885,860 4,077,688 293,562 OAO Rosneft Oil Company 2,529,780 2,386,846 8,583 OAO Tatneft, ADR 331,762 356,694 426,642 Protek 1,144,692 493,770 8,892,094 7,314,998

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 237 TD Emerging Markets Fund GLOBALEQUITYFUNDS

No. of Shares Paror Value Units Description Cost FairValue

THAILAND – 2.4% 360,700 KASIKORNBANK Public Company Limited $$1,016,135 1,398,454 3,011,500 Land&HousesPublicCompanyLimited 609,623 543,549 83,500 PTT Public Company Limited 899,491 881,125 104,800 TheSiamCementPublicCompanyLimited 846,715 1,164,912 516,100 Thai Airways International Public Company Limited 648,550 471,772 205,900 Total Access Communication Public Company Limited 248,704 354,597 4,269,218 4,814,409

TURKEY – 2.1% 133,918 Anadolu Efes Biracilik ve Malt Sanayii AS 1,611,619 1,746,766 58,724 Coca-Cola Icecek AS 516,667 835,268 342,715 Turk Telekomunikasyon AS 1,285,061 1,747,357 3,413,347 4,329,391

UNITED KINGDOM – 1.4% 81,859 SABMiller PLC 2,091,644 2,860,837

Total International Equities 169,047,820 193,861,467

Transaction Costs (Note 3) (367,523) 0

TOTALINVESTMENT PORTFOLIO – 97.2% 171,779,164 197,329,476 FOREIGN CURRENCIES – 2.3% 4,673,326 4,629,269 FORWARDCONTRACTS (SCHEDULE 1) – (0.0%) 0 (861) OTHER NET ASSETS – 0.5% 953,015 944,075

TOTAL NET ASSETS – 100.0% $ 177,405,505 $ 202,901,959

July 01, 2011 103,099 USD $ 99,435 4,481,874 PHP $ 99,748 43.45199 to43.50214 $ 313

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 01, 2011 1,941,790 MXN $ 159,949 164,628 USD $ 158,776 11.79500 $ (1,173) July 05, 2011 71,531 HKD 8,867 9,191 USD 8,866 7.78270 (1) $ 168,816 $ 167,642 $ (1,174)

TOTALNUMBEROFCONTRACTS: 9 NETDEPRECIATION $ (861)

238 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Emerging Markets Fund GLOBALEQUITYFUNDS

Dollar, had strengthened or weakened by 5% in relation to all other currencies, with all Level1 Level2 Level3 Total other variables held constant. In practice, the actual trading results may differ from these approximate sensitivity analysis amounts and the differences could be material. June 30, 2011 CommonShares $ 57,695 $ 136,375 $0$194,070 Total Exposure* (000s) Impact on Net Assets (000s) Preferred Shares 2,442 817 0 3,259 Currency 2011 2010 2011 2010 60,137 137,192 0 197,329 Argentine Peso $1$1$0$0 Forward Contracts 0 (1) 0 (1) Brazilian Real 9,833 12,844 492 642 British Pound 0 1,275 0 64 $ 60,137 $ 137,191 $0$197,328 Chilean Peso 1,320 0 66 0 Equity positions with a fair value of $46,840 and $6,952 were transferred from Level 1 to 2 Czech Koruna 5,507 1,957 275 98 and Level 2 to 1 respectively during the period as a result of changes in activities in the Egyptian Pound 2,539 4,067 127 203 market for those securities. Euro 2,586 1,522 129 76 Hong Kong Dollar 24,396 24,866 1,220 1,243 December 31, 2010 Hungarian Forint 1,266 1,396 63 70 CommonShares $ 131,478 $ 86,157 $0$217,635 Indian Rupee 18,442 23,393 922 1,170 Forward Contracts 0101 Indonesian Rupiah 10,737 8,709 537 435 Rights 0 34 0 34 Israeli Shekel 8800 131,478 86,192 0 217,670 Malaysian Ringgit 5,815 3,380 291 169 Forward Contracts 0 (1) 0 (1) Mexican Nuevo Peso 2,508 6,010 125 301 New Russian Ruble 21 010 $ 131,478 $ 86,191 $0$217,669 New Taiwan Dollar 13,463 18,181 673 909 Philippine Peso 6,143 4,646 307 232 Equity positions with a fair value of $1,836 and $50,454 were transferred from Level 1 to 2 and Level 2 to 1 respectively during the period as a result of changes in activities in the Polish Zloty 2,378 4,996 119 250 market for those securities. Qatari Riyal 927 0 46 0 Singapore Dollar 0 1,174 0 59 Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) South African Rand 13,440 16,678 672 834 The table below summarizes cash flows associated with the maturities of the Fund’s financial South Korean Won 30,482 27,236 1,524 1,362 liabilities as at June 30, 2011 and December 31, 2010: Thai Baht 5,083 6,833 254 342 Less than Turkish Lira 4,332 5,792 217 290 3 months United States Dollar 42,202 50,155 2,110 2,508 2011 2010 Yuan Renminbi 26 010 Accounts payable and other liabilities $ 1,394 $ 1,438 Total $ 203,455 $ 225,119 $ 10,171 $ 11,257 Forward Contracts 11 As Percentage of $ 1,395 $ 1,439 Net Assets (%) 100.27 100.24 5.01 5.01

* Includes both monetary and non-monetary instruments, where applicable.

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 239 GLOBALEQUITYFUNDS TD Latin American Growth Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 195,943 $ 229,964 Dividends $ 3,260 $ 2,434 Foreign Currencies 222 1,738 Securities Lending 11 Dividends Receivable 402 414 Less: Withholding Taxes (291) (260) Subscriptions Receivable 90 468 2,970 2,175 Receivable for Investment Sales 963 622 Expenses (Note 5) 197,620 233,206 Management Fees 2,580 2,621 Liabilities Administration Fees 399 406 Accrued Liabilities 460 561 Independent Review Committee Fees 10 Redemptions Payable 410 628 Bank Charges and Interest 10 Payable for Investment Purchases 761 0 2,981 3,027 Unrealized Loss on Open Foreign Less: Waived Expenses (1) (0) Exchange Forward Contracts 36 2,980 3,027 1,634 1,195 Net Investment Income (Loss) (10) (852) Net Assets (Note 3) $ 195,986 $ 232,011 Net Realized Gain (Loss) on Net Assets Representing Unitholders’ Equity (Note 4) Sale of Investments 6,061 5,161 Investor Series $ 179,400 $ 211,532 Net Change in Unrealized Appreciation/ Advisor Series $ 14,760 $ 18,525 Depreciation of Investments (22,460) (29,704) F-Series $ 1,826 $ 1,954 Transaction Costs on Purchase and Sale of Investments (Note 3) (101) (115) $ 195,986 $ 232,011 Net Gain (Loss) on Investments (16,500) (24,658) Number of Units Outstanding Investor Series 6,898,854 7,544,478 Increase (Decrease) in Net Assets from Investment Operations† $ (16,510) $ (25,510) Advisor Series 1,006,652 1,171,918 F-Series 115,921 115,916 †Increase (Decrease) in Net Assets from Investment Operations Net Assets Per Unit (Note 3) Investor Series $ (15,043) $ (23,356) Investor Series $ 26.00 $ 28.04 Advisor Series $ (1,334) $ (1,939) F-Series $ (133)$ (215) Advisor Series $ 14.66 $ 15.81 $ (16,510) $ (25,510) F-Series $ 15.75 $ 16.86 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Investor Series $ (2.03) $ (2.76) Advisor Series $ (1.14) $ (1.55) F-Series $ (1.11) $ (1.55)

240 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. GLOBALEQUITYFUNDS TD Latin American Growth Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Advisor Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 211,532 $ 220,497 $ 18,525 $ 18,348 Increase (Decrease) in Net Assets from Investment Operations (15,043) (23,356) (1,334) (1,939) Capital Unit Transactions† Proceeds from Sale of Units 16,044 24,616 1,870 3,357 Reinvestments of Distributions 00 00 Early Redemption Fees 38 01 Amounts Paid on Redemptions (33,136) (36,094) (4,301) (4,698) (17,089) (11,470) (2,431) (1,340) Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period (32,132) (34,826) (3,765) (3,279) Net Assets, End of the Period $ 179,400 $ 185,671 $ 14,760 $ 15,069 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 7,544,478 8,609,276 1,171,918 1,271,044 Units Issued 601,422 1,009,124 123,897 243,162 Units Issued on Reinvestments 00 00 Units Redeemed (1,247,046) (1,496,189) (289,163) (344,769) Units Outstanding, End of the Period 6,898,854 8,122,211 1,006,652 1,169,437

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 1,954 $ 2,179 $ 232,011 $ 241,024 Increase (Decrease) in Net Assets from Investment Operations (133) (215) (16,510) (25,510) Capital Unit Transactions† Proceeds from Sale of Units 244 162 18,158 28,135 Reinvestments of Distributions 00 00 Early Redemption Fees 00 39 Amounts Paid on Redemptions (239) (438) (37,676) (41,230) 5 (276) (19,515) (13,086) Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period (128) (491) (36,025) (38,596) Net Assets, End of the Period $ 1,826 $ 1,688 $ 195,986 $ 202,428 †Capital Unit Transactions Units Outstanding, Beginning of the Period 115,916 143,580 Units Issued 15,034 11,255 Units Issued on Reinvestments 00 Units Redeemed (15,029) (31,100) Units Outstanding, End of the Period 115,921 123,735

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 241 GLOBALEQUITYFUNDS

TD Latin American Growth Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) CHILE – 4.9% No. of Shares 13,200 Banco Santander Chile, ADR $$1,163,002 1,192,616 or Units Description Cost FairValue 313,807 Centros Comerciales Sudamericanos SA 2,178,187 2,172,664 113,835 Compania Cervecerias Unidas SA 869,533 1,284,993 Canadian Equities – 0.9% 1,515,765 EmpresaNacionaldeElectricidadSA 2,600,934 2,771,425 ENERGY – 0.9% 2,800 Empresa Nacional de Electricidad SA, 64,358 Pacific Rubiales Energy Corp. $ 1,585,586 $ 1,668,769 Sponsored ADR 143,685 153,926 33,500 Sociedad Quimica y Minera de Chile SA, International Equities – 99.1% ADR 2,002,874 2,087,812 ARGENTINA – 1.0% 8,958,215 9,663,436 21,100 Banco Macro SA, ADR 676,628 766,784 MEXICO – 17.8% 51,900 TelecomArgentinaSA,SponsoredADR 614,822 1,304,432 297,494 America Movil SAB de CV 13,361,996 15,453,408 1,291,450 2,071,216 859,800 Compartamos SAB de CV 1,349,798 1,490,830

BRAZIL – 70.2% 62,452 DesarrolladoraHomexSABdeCV,ADR 2,109,827 1,517,842 185,559 Amil Participacoes SA 1,515,850 2,077,851 139,400 El Puerto de Liverpool SA de CV 1,013,909 1,029,417 81,917 Banco Bradesco SA, Pref. 907,074 1,595,638 829,200 Empresas ICA SAB de CV 2,050,630 1,831,195 423,604 Banco Bradesco SA, ADR 6,464,561 8,371,085 79,900 Fomento Economico Mexicano 204,500 Banco do Brasil SA 3,206,464 3,506,957 SAB de CV, Sponsored ADR 3,111,985 5,124,460 831,900 BM&FBOVESPA SA 6,702,416 5,295,202 661,800 GrupoComercialChedrauiSAdeCV 1,915,720 1,993,019 228,300 BR Malls Participacoes SA 1,031,163 2,478,859 980,257 Grupo Financiero Banorte SAB de CV, 154,418 Bradespar SA, Pref. 2,867,571 3,769,374 Series “O” 3,488,149 4,287,587 344,428 BRF – Brasil Foods SA 3,250,441 5,619,227 68,400 Kimberly-ClarkdeMexicoSABdeCV 427,740 433,836 312,900 Companhia de Bebidas das 604,320 Wal-Mart de Mexico SAB de CV, Americas – AmBev, Pref., ADR 3,631,853 10,175,900 Series “V” 1,369,682 1,724,839 85,900 Diagnosticos da America SA 1,067,731 1,120,613 30,199,436 34,886,433 217,900 Gerdau SA, Sponsored ADR 2,993,763 2,210,816 PANAMA – 1.9% 279,800 Hypermarcas SA 3,828,154 2,538,329 56,803 Copa Holdings SA, Class “A” 2,215,556 3,657,357 114,751 Itau Unibanco Holding SA, Pref. 1,504,564 2,554,315 553,848 Itau Unibanco Holding SA, ADR 8,122,336 12,568,754 PERU – 2.2% 615,286 Itausa–InvestimentosItauSA,Pref. 2,913,316 4,524,788 51,200 Credicorp Ltd. 3,939,106 4,254,073 5,915 Itausa – Investimentos Itau SA, UNITED KINGDOM – 1.1% Subscription Receipts 36,961 43,535 40,289 Antofagasta PLC 749,196 869,545 43,551 Metalurgica Gerdau SA 974,095 534,505 28,188 Antofagasta PLC, Sponsored ADR 717,700 1,212,764 112,000 Mills Estruturas e Servicos de Engenharia SA 847,489 1,380,814 1,466,896 2,082,309 344,000 MRVEngenhariaeParticipacoesSA 1,784,008 2,780,612 Transaction Costs (Note 3) (206,398) 0 52,500 Multiplan Empreendimentos Imobiliarios SA 896,908 1,103,418 TOTALINVESTMENT 600,700 OGXPetroleoeGasParticipacoesSA 5,222,960 5,401,257 PORTFOLIO – 100.0% 136,607,728 195,943,407 880,744 PDG Realty SA Empreendimentos FOREIGN CURRENCIES – 0.1% 229,053 221,799 e Participacoes 2,626,851 4,773,352 FORWARDCONTRACTS 300,928 Petroleo Brasileiro SA – Petrobras, ADR 5,096,924 9,821,384 (SCHEDULE 1) – (0.0%) 0 (2,919) 312,528 Petroleo Brasileiro SA – Petrobras, OTHER NET LIABILITIES – (0.1%) (178,099) (176,534) Sponsored ADR 6,532,326 9,253,521 217,000 TelecomunicacoesdeSaoPauloSA 3,060,970 6,205,320 TOTAL NET ASSETS – 100.0% $ 136,658,682 $ 195,985,753 219,300 Ultrapar Participacoes SA, Pref. 1,341,263 3,747,209 45,408 Vale SA, Class “A” Pref. 279,548 1,247,321 819,059 Vale SA, Sponsored ADR 8,450,321 22,959,858 87,157,881 137,659,814

July 01, 2011 4,832,467 MXN $ 398,059 409,705 USD $ 395,140 11.79500 $ (2,919)

TOTALNUMBEROFCONTRACTS: 1 NETDEPRECIATION $ (2,919)

242 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Latin American Growth Fund GLOBALEQUITYFUNDS

* Includes both monetary and non-monetary instruments, where applicable. 209,778 20,186 0 229,964 Forward Contracts 0 (6) 0 (6) $ 209,778 $ 20,180 $0$229,958

Equity positions with a fair value of $7,066 and $3,753 were transferred from Level 1 to 2 and Level 2 to 1 respectively during the period as a result of changes in activities in the market for those securities.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 1,631 $ 1,189 Forward Contracts 36 $ 1,634 $ 1,195

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 243 SECTORFUNDS TD Resource Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 244,215 $ 258,508 Interest $ 74 $ 363 Short-Term Investments 0 2,092 Dividends 1,804 1,339 Foreign Currencies 750 423 Foreign Exchange 1,785 382 Cash 371 125 Securities Lending 67 30 Interest Receivable 14 14 Less: Withholding Taxes (70) (57) Dividends Receivable 291 284 3,660 2,057 Subscriptions Receivable 238 480 Expenses (Note 5) Unrealized Gain on Open Foreign Management Fees 2,701 2,058 Exchange Forward Contracts 470 869 Administration Fees 288 219 246,349 262,795 Independent Review Committee Fees 11 Liabilities 2,990 2,278 Accrued Liabilities 459 488 Less: Waived Expenses (0) (0) Redemptions Payable 412 322 2,990 2,278 Payable for Investment Purchases 0 175 Unrealized Loss on Open Foreign Net Investment Income (Loss) 670 (221) Exchange Forward Contracts 241 11 Net Realized Gain (Loss) on 1,112 996 Sale of Investments 4,384 5,052 Net Change in Unrealized Appreciation/ Net Assets (Note 3) $ 245,237 $ 261,799 Depreciation of Investments (27,598) (15,871) Net Assets Representing Unitholders’ Equity (Note 4) Transaction Costs on Purchase and Sale Investor Series $ 214,926 $ 227,659 of Investments (Note 3) (60) (44) Advisor Series $ 28,770 $ 31,340 Net Gain (Loss) on Investments (23,274) (10,863) F-Series $ 1,541 $ 2,800 Increase (Decrease) in Net Assets $ 245,237 $ 261,799 from Investment Operations† $ (22,604) $ (11,084) Number of Units Outstanding †Increase (Decrease) in Net Assets from Investment Operations Investor Series 6,828,298 6,638,848 Investor Series $ (19,756) $ (9,621) Advisor Series 1,035,011 1,034,209 Advisor Series $ (2,697) $ (1,342) F-Series 104,774 175,788 F-Series $ (151)$ (121) Net Assets Per Unit (Note 3) $ (22,604) $ (11,084) Investor Series $ 31.48 $ 34.29 Increase (Decrease) in Net Assets from Investment Operations – Advisor Series $ 27.80 $ 30.30 Per Unit (Note 3) F-Series $ 14.71 $ 15.93 Investor Series $ (2.82) $ (1.40) Advisor Series $ (2.51) $ (1.29) F-Series $ (1.23) $ (0.58)

244 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. SECTORFUNDS TD Resource Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Advisor Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 227,659 $ 184,139 $ 31,340 $ 24,707 Increase (Decrease) in Net Assets from Investment Operations (19,756) (9,621) (2,697) (1,342) Capital Unit Transactions† Proceeds from Sale of Units 31,035 19,836 5,126 4,416 Reinvestments of Distributions 00 00 Early Redemption Fees 54 11 Amounts Paid on Redemptions (24,017) (20,015) (5,000) (4,360) 7,023 (175) 127 57 Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period (12,733) (9,796) (2,570) (1,285) Net Assets, End of the Period $ 214,926 $ 174,343 $ 28,770 $ 23,422 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 6,638,848 6,809,612 1,034,209 1,032,465 Units Issued 904,054 732,681 168,794 184,163 Units Issued on Reinvestments 00 00 Units Redeemed (714,604) (741,686) (167,992) (183,484) Units Outstanding, End of the Period 6,828,298 6,800,607 1,035,011 1,033,144

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 2,800 $ 1,919 $ 261,799 $ 210,765 Increase (Decrease) in Net Assets from Investment Operations (151) (121) (22,604) (11,084) Capital Unit Transactions† Proceeds from Sale of Units 309 612 36,470 24,864 Reinvestments of Distributions 00 00 Early Redemption Fees 00 65 Amounts Paid on Redemptions (1,417) (392) (30,434) (24,767) (1,108) 220 6,042 102 Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period (1,259) 99 (16,562) (10,982) Net Assets, End of the Period $ 1,541 $ 2,018 $ 245,237 $ 199,783 †Capital Unit Transactions Units Outstanding, Beginning of the Period 175,788 154,429 Units Issued 19,156 48,552 Units Issued on Reinvestments 00 Units Redeemed (90,170) (32,575) Units Outstanding, End of the Period 104,774 170,406

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 245 SECTORFUNDS

TD Resource Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 521,239 Venturion Natural Resources Limited No. of Shares (Restricted) $$553,098 1,563,717 or Units Description Cost FairValue 95,900 Vermilion Energy Inc. 3,280,603 4,878,433 139,700 Vero Energy Inc. 1,072,500 761,365 Canadian Equities – 77.6% 580,000 VirginResourcesLimited(Restricted) 580,000 0 ENERGY – 42.2% 76,920 Western Energy Services Corp. 599,976 557,670 399,034 Anderson Energy Ltd. $ 1,370,091 $ 315,237 4,827 Whitecap Resources Inc. 33,789 30,072 62,000 Angle Energy Inc. 489,800 620,000 80,778,569 103,375,131 35,000 Angle Energy Inc. (Restricted) 175,000 350,000 112,800 ARC Resources Ltd. 1,914,410 2,816,616 MATERIALS – 35.0% 93,300 Arcan Resources Ltd. 116,625 506,619 74,500 Agnico-Eagle Mines Limited 4,444,552 4,531,090 86,500 Athabasca Oil Sands Corp. 1,262,835 1,310,475 624,990 Andina Minerals Inc. 416,660 731,238 128,100 Bonavista Energy Corporation 3,622,586 3,647,007 400,000 Atacama Minerals Corp. 500,000 308,000 76,600 Calfrac Well Services Ltd. 1,316,477 2,425,922 154,800 Avalon Rare Metals Inc. 196,080 1,037,160 101,800 Cameco Corporation 2,707,418 2,583,684 135,710 Barrick Gold Corporation 4,560,265 5,926,456 576,900 Canacol Energy Ltd. 392,305 605,745 260,000 Bear Creek Mining Corporation 463,890 988,000 168,500 CanadianNaturalResourcesLimited 6,614,681 6,792,235 270,000 Claude Resources Inc. 675,000 494,100 169,200 Cenovus Energy Inc. 2,413,164 6,145,344 43,500 Claymore Gold Bullion ETF 461,905 585,075 193,289 Chinook Energy Inc. 1,337,857 326,658 158,505 Crystallex International Corporation 350,043 14,265 114,211 Crescent Point Energy Corp. 2,489,917 5,073,253 68,300 Crystallex International Corporation, 4,175 Cutpick Energy Inc. (Restricted) 0 33,400 Warrants 00 72,799 Daylight Energy Ltd. 760,750 677,759 210,000 Eastern Platinum Limited 325,500 165,900 403,200 Denison Mines Corp. 2,513,449 737,856 90,300 Franco-Nevada Corporation 1,678,263 3,249,897 169,200 EnCana Corporation 2,652,226 5,025,240 10,940 Franco-Nevada Corporation, 3,122,600 Enseco Energy Services Corp. 791,120 312,260 Warrants 08/07/2013 0 1,477 168,000 Forbes & Manhattan Coal Corp. 764,400 488,880 4,650 Franco-Nevada Corporation, 26,000 Gastar Exploration Ltd. 464,035 85,961 Warrants 16/06/2017 0 28,365 79,600 Gibson Energy Inc. 1,273,600 1,276,784 223,150 Goldcorp Inc. 5,917,008 10,380,938 193,345 HuronEnergyCorporation(Restricted) 253,330 386,690 20,000 Goldsource Mines Inc. 235,000 8,900 53,100 Husky Energy Inc. 2,091,000 1,394,406 150,000 HudBay Minerals Inc. 512,055 2,160,000 35,500 Legacy Oil + Gas Inc. 266,250 415,350 293,300 IAMGOLD Corporation 5,125,651 5,308,730 50,000 Lone Pine Resources Inc. 636,155 512,123 281,750 Ivanhoe Mines Ltd. 2,537,358 6,863,430 60,400 MEG Energy Corp. 2,302,933 3,027,852 73,300 Keegan Resources Inc. 300,530 548,284 100,652 Nexen Inc. 1,832,602 2,182,135 297,227 Kinross Gold Corporation 5,641,164 4,517,850 1,811 Niko Resources Ltd. 240,000 108,479 87,500 Kinross Gold Corporation, 896,000 NiMin Energy Corp. 1,204,000 1,505,280 Warrants 07/09/2011 0 6,125 330,000 NorthWestUpgradingInc.(Restricted) 1,200,000 986,700 18,876 Kinross Gold Corporation, 122,100 Pacific Rubiales Energy Corp. 205,642 3,153,843 Warrants 17/09/2014 92,492 45,302 127,300 Parex Resources Inc., 390,000 Lake Shore Gold Corp. 1,205,250 1,092,000 Subscription Receipts 891,100 1,012,035 892,825 Lucara Diamond Corp. 864,298 1,044,605 33,000 Penn West Petroleum Ltd. 1,043,000 733,260 452,740 Lundin Mining Corporation 830,163 3,345,749 543,400 Pinecrest Energy Inc. 760,760 1,320,462 139,270 Manicouagan Minerals Inc., Units 278,540 22,283 68,944 Precision Drilling Corporation 1,916,563 952,117 1,965,000 Mediterranean Resources Ltd. 1,026,240 334,050 350,000 Primeline Energy Holdings Inc. 462,600 115,500 1,000,000 Merrex Gold Inc. (Restricted) 500,000 451,250 212,906 Progress Energy Resources Corp. 2,778,529 2,921,070 500,000 Merrex Gold Inc., 234,300 Rock Energy Inc. 1,000,050 965,316 Warrants 01/10/2012 (Restricted) 0 39,000 714,000 Shona Energy Company, Inc., 200,000 Nautilus Minerals Inc. 400,000 504,000 Special Warrants (Restricted) 499,800 499,800 197,347 NGEx Resources Inc. 33,251 582,174 22,000 Silverbirch Energy Corporation 130,900 159,500 18,000 Norbord Inc. 2,123,526 217,980 50,000 SouthGobi Resources Limited 150,000 531,000 175,250 Osisko Mining Corporation 1,699,369 2,619,988 364,000 Sterling Resources Ltd. 801,600 596,960 200,000 Peregrine Diamonds Ltd. 500,000 338,000 395,880 Suncor Energy Inc. 8,732,806 14,924,676 100,000 Peregrine Diamonds Ltd., 471,600 Talisman Energy Inc. 4,130,978 9,318,816 Warrants 03/11/2011 (Restricted) 0 1,900 108,000 TransCanada Corporation 3,966,369 4,559,760 25,000 Pilot Gold Inc. 73,000 55,000 640,000 Tuscany International Drilling Inc. 1,004,843 576,000 160,000 Platinum Group Metals Ltd. 40,000 268,800 156,550 Tuscany International Drilling Inc., 260,000 Polaris Minerals Corporation 365,000 221,000 Warrants 16/10/2011 0 5,479 64,200 Potash Corporation of Saskatchewan Inc. 2,025,265 3,528,432 212,200 Uranium One Inc. 714,047 562,330 120,000 Premier Gold Mines Limited 331,809 680,400 86,600 Quadra FNX Mining Ltd. 1,236,648 1,239,246 499,500 Reunion Gold Corporation 541,125 764,235 888,300 Romarco Minerals Inc. 1,483,551 1,430,163 140,000 Rubicon Minerals Corp. 103,129 478,800 135,000 Ryan Gold Corp. (Restricted) 270,000 235,980

246 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Resource Fund SECTORFUNDS

No. of Shares No. of Shares No. ofor Shares Units/ Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

67,500 Ryan Gold Corp., BERMUDA – 0.6% Warrants 12/05/2013 (Restricted) $$00129,000 Coastal Energy Company $$294,854 1,068,004 275,000 San Gold Corporation 1,100,000 891,000 312,000 TransAtlantic Petroleum Ltd. 514,800 492,960 200,000 SEMAFO Inc. 251,277 1,472,000 809,654 1,560,964 210,700 Silver Wheaton Corp. 1,000,300 6,704,474 16,312 Silver Wheaton Corp., BRAZIL – 1.0% Warrants 05/09/2013 0 242,136 46,500 PetroleoBrasileiroSA–Petrobras, ADR 1,985,821 1,517,620 3,591,180 Starfield Resources Inc. 799,400 161,603 653,155 Talon Metals Corp. 710,260 979,733 247,350 Stornoway Diamond Corporation 611,026 549,117 34,300 Talon Metals Corp., 122,300 TeckResourcesLimited,Class“B”SV 4,183,568 5,979,247 Warrants 29/10/2012 0 16,087 362,500 Victoria Gold Corp. 417,608 213,875 2,696,081 2,513,440 112,500 Virginia Mines Inc. 461,250 1,002,375 CAYMAN ISLANDS – 0.0% 31,562 Yamana Gold Inc. 380,912 353,494 123,500 Tethys Petroleum Limited 179,075 133,380 550,500 Zazu Metals Corporation 785,640 622,065 300,000 ZazuMetalsCorporation(Restricted) 135,000 366,000 FRANCE – 1.0% 64,500 Zazu Metals Corporation, 43,000 TOTAL SA, Sponsored ADR 2,737,600 2,399,118 Warrants 19/12/2012 0 5,160 NORWAY – 0.9% 60,489,561 85,958,163 86,200 Statoil ASA, Sponsored ADR 2,604,471 2,114,138

ROYALTY/INCOME TRUSTS – 0.4% SWEDEN – 1.3% 44,000 Brookfield Renewable Power Fund 622,844 1,012,000 238,954 Lundin Petroleum AB 2,872,163 3,132,497

Total Canadian Equities 141,890,974 190,345,294 UNITED KINGDOM – 3.6% 1,400,000 Archipelago Resources PLC 905,830 1,332,742 U.S. Equities – 8.6% 25,600 BG Group PLC, Sponsored ADR 2,596,710 2,817,861 ENERGY – 4.9% 41,300 BP PLC, Sponsored ADR 2,266,477 1,763,751 51,800 Chevron Corporation 3,729,621 5,133,736 416,707 EnQuest PLC 952,577 794,352 53,100 Clean Energy Fuels Corp. 677,915 673,442 525,000 Enseco Energy Services Corp., 580,000 Condor Petroleum Inc. 812,000 574,200 Warrants 09/09/2011 (Restricted) 00 37,900 Helmerich & Payne Inc. 1,365,765 2,414,668 25,000 RandgoldResourcesLimited,ADR 1,999,222 2,024,381 61,900 Spectra Energy Corp. 1,032,216 1,635,765 8,720,816 8,733,087 85,716 Weatherford International Ltd. 2,401,737 1,550,040 Total International Equities 27,140,445 32,495,174 10,019,254 11,981,851

MATERIALS – 3.7% Bond – 0.1% 158,300 Alcoa Inc. 6,285,730 2,418,331 CORPORATE BOND – 0.1% 132,800 Freeport-McMoRanCopper&GoldInc. 4,014,048 6,772,815 Crystallex International Corporation (USD) 10,299,778 9,191,146 337,000 Callable9.375%dueDecember30,2011 337,890 201,512

Total U.S. Equities 20,319,032 21,172,997 Transaction Costs (Note 3) (137,518) 0

TOTALINVESTMENT International Equities – 13.3% PORTFOLIO – 99.6% 189,550,823 244,214,977 AUSTRALIA – 4.9% FOREIGN CURRENCIES – 0.3% 749,990 749,864 78,200 BHPBillitonLimited,SponsoredADR 3,375,613 7,133,977 184,850 CGA Mining Limited 150,525 535,394 FORWARDCONTRACTS 16,000 Gryphon Minerals Limited 19,682 30,083 (SCHEDULE 1) – 0.1% 0 229,241 1,709 InterOil Corporation (Restricted) 41,123 96,439 OTHER NET ASSETS – 0.0% 43,508 43,381 304,000 IvanhoeAustraliaLimited(Restricted) 634,293 754,711 27,000 Ivanhoe Australia Limited, TOTAL NET ASSETS – 100.0% $ 190,344,321 $ 245,237,463 Warrants 20/09/2011 0 363 250,000 Mawson West Limited 500,000 280,000 294,000 Mirabela Nickel Ltd. 210,291 536,019 450,000 Paladin Energy Ltd. 353,658 1,183,040 400,000 Perseus Mining Limited 744,000 1,072,000 75,600 Talison Lithium Limited 491,400 286,524 6,520,585 11,908,550

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 247 TD Resource Fund SECTORFUNDS

July 29, 2011 200,581 CAD $ 200,581 1,326,000 SEK $ 201,988 6.61081 $ 1,407 July 29, 2011 54,211 CAD 54,211 53,000 AUD 54,658 1.02285 447 July 29, 2011 3,840,000 GBP 5,946,190 6,014,969 CAD 6,014,969 1.56640 68,779 July 29, 2011 1,729,000 GBP 2,677,334 2,706,387 CAD 2,706,387 1.55562 to 1.56639 29,053 July 29, 2011 14,488,170 USD 13,983,616 14,205,216 CAD 14,205,216 0.98047 221,600 July 29, 2011 9,638,000 USD 9,302,357 9,451,408 CAD 9,451,408 0.98064 149,051 $ 32,164,289 $ 32,634,626 $ 470,337

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 29, 2011 3,398,000 AUD $ 3,504,299 3,475,641 CAD $ 3,475,641 1.02285 $ (28,658) July 29, 2011 6,576,000 AUD 6,781,715 6,726,056 CAD 6,726,056 1.02282 (55,659) July 29, 2011 2,326,000 BRL 1,428,374 1,409,982 CAD 1,409,982 1.64967 (18,392) July 29, 2011 64,751 CAD 64,751 362,000 NOK 64,642 5.59067 (109) July 29, 2011 3,188,157 CAD 3,188,157 3,251,662 USD 3,138,423 0.98047 (49,734) July 29, 2011 1,652,000 EUR 2,310,289 2,290,828 CAD 2,290,828 1.38629 to 1.39917 (19,461) July 29, 2011 11,467,000 NOK 2,047,664 2,030,192 CAD 2,030,192 5.64823 (17,472) July 29, 2011 26,152,000 SEK 3,983,695 3,932,084 CAD 3,932,084 6.54340 to 6.66023 (51,611) $ 23,308,944 $ 23,067,848 $ (241,096)

TOTALNUMBEROFCONTRACTS: 17 NETAPPRECIATION $ 229,241

248 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Resource Fund SECTORFUNDS

Financial Instruments by the Level in the Fair Value Hierarchy Reconciliation of Level 3 Fair Value Measurements (in 000s) (in 000s) (Note 11) The tables below reconcile the Fund’s Level 3 fair value measurements from December 31, The table below illustrates the classification of the Fund’s financial instruments within the 2010 to June 30, 2011 and December 31, 2009 to December 31, 2010: fair value hierarchy as at June 30, 2011 and December 31, 2010: Common Shares Bonds Warrants Level1 Level2 Level3 Total Balance at December 31, 2010 $ 3,984 $ 261 $0 June 30, 2011 Purchases 00500 CommonShares $ 233,063 $ 7,089 $ 2,970 $ 243,122 Sales (142) 00 Warrants 92 299 500 891 Net Transfers In (Out) (500) 00 Bonds 00202 202 Gains (Losses) Forward Contracts 0 470 0 470 Net Realized on Sale of Investments (2,874) 00 233,155 7,858 3,672 244,685 Net Change in Unrealized Appreciation/ Depreciation of Investments 2,502 (59) 0 Forward Contracts 0 (241) 0 (241) Balance at June 30, 2011 $ 2,970 $ 202 $ 500 $ 233,155 $ 7,617 $ 3,672 $ 244,444 Total change in unrealized for assets Equity positions with a fair value of $1,068 and $3,613 were transferred from Level 1 to 2 held at June 30, 2011 $ (448) $ (59) $0 and Level 2 to 1 respectively during the period as a result of changes in activities in the Common market for those securities. Shares Bonds December 31, 2010 Balance at December 31, 2009 $ 3,429 $ 102 CommonShares $ 243,985 $ 9,950 $ 3,984 $ 257,919 Purchases 553 0 Bonds and Short-Term Sales (835) 0 Investments 0 2,092 261 2,353 Net Transfers In (Out) (775) 0 Forward Contracts 0 869 0 869 Gains (Losses) Rights 328 00328 Net Realized on Sale of Investments 210 0 244,313 12,911 4,245 261,469 Net Change in Unrealized Appreciation/ Depreciation of Investments 1,402 159 Forward Contracts 0 (11) 0 (11) Balance at December 31, 2010 $ 3,984 $ 261 $ 244,313 $ 12,900 $ 4,245 $ 261,458 Total change in unrealized for assets Equity positions with a fair value of $809 and $1,362 were transferred from Level 1 to 2 and held at December 31, 2010 $ 825 $ 159 Level 2 to 1 respectively during the period as a result of changes in activities in the market for those securities. Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) The table below summarizes cash flows associated with the maturities of the Fund’s financial liabilities as at June 30, 2011 and December 31, 2010:

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 871 $ 985 Forward Contracts 241 11 $ 1,112 $ 996

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 249 SECTORFUNDS TD Energy Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 249,046 $ 252,770 Interest $ 118 $ 168 Short-Term Investments 9,262 8,153 Dividends 2,631 3,520 Foreign Currencies 406 16 Foreign Exchange 2,477 519 Cash 242 179 Securities Lending 44 41 Dividends Receivable 455 424 Less: Withholding Taxes (100) (94) Subscriptions Receivable 300 697 5,170 4,154 Unrealized Gain on Open Foreign Expenses (Note 5) Exchange Forward Contracts 893 1,210 Management Fees 2,784 2,248 260,604 263,449 Administration Fees 299 242 Liabilities Independent Review Committee Fees 11 Accrued Liabilities 480 485 3,084 2,491 Redemptions Payable 527 475 Less: Waived Expenses (0) (0) Unrealized Loss on Open Foreign 3,084 2,491 Exchange Forward Contracts 391 0 Net Investment Income (Loss) 2,086 1,663 1,398 960 Net Realized Gain (Loss) on Net Assets (Note 3) $ 259,206 $ 262,489 Sale of Investments 874 1,745 Net Assets Representing Unitholders’ Equity (Note 4) Net Change in Unrealized Appreciation/ Investor Series $ 243,779 $ 248,072 Depreciation of Investments (15,583) (24,706) Advisor Series $ 13,997 $ 13,263 Transaction Costs on Purchase and Sale F-Series $ 1,430 $ 1,154 of Investments (Note 3) (40) (13) $ 259,206 $ 262,489 Net Gain (Loss) on Investments (14,749) (22,974) Number of Units Outstanding Increase (Decrease) in Net Assets † Investor Series 8,658,498 8,425,142 from Investment Operations $ (12,663) $ (21,311)

Advisor Series 1,541,097 1,395,703 †Increase (Decrease) in Net Assets from Investment Operations F-Series 150,882 117,147 Investor Series $ (11,868) $ (20,196) Net Assets Per Unit (Note 3) Advisor Series $ (734) $ (1,087) Investor Series $ 28.15 $ 29.44 F-Series $ (61) $ (28) Advisor Series $ 9.08 $ 9.50 $ (12,663) $ (21,311) F-Series $ 9.48 $ 9.85 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Investor Series $ (1.29) $ (2.30) Advisor Series $ (0.42) $ (0.74) F-Series $ (0.38) $ (0.82)

250 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. SECTORFUNDS TD Energy Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Advisor Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 248,072 $ 221,907 $ 13,263 $ 11,053 Increase (Decrease) in Net Assets from Investment Operations (11,868) (20,196) (734) (1,087) Capital Unit Transactions† Proceeds from Sale of Units 38,642 27,564 3,763 4,809 Reinvestments of Distributions 00 00 Early Redemption Fees 8 12 00 Amounts Paid on Redemptions (31,075) (25,641) (2,295) (3,725) 7,575 1,935 1,468 1,084 Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period (4,293) (18,261) 734 (3) Net Assets, End of the Period $ 243,779 $ 203,646 $ 13,997 $ 11,050 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 8,425,142 8,693,971 1,395,703 1,341,390 Units Issued 1,273,552 1,101,913 384,199 597,684 Units Issued on Reinvestments 00 00 Units Redeemed (1,040,196) (1,021,619) (238,805) (463,056) Units Outstanding, End of the Period 8,658,498 8,774,265 1,541,097 1,476,018

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 1,154 $ 435 $ 262,489 $ 233,395 Increase (Decrease) in Net Assets from Investment Operations (61) (28) (12,663) (21,311) Capital Unit Transactions† Proceeds from Sale of Units 508 615 42,913 32,988 Reinvestments of Distributions 00 00 Early Redemption Fees 00 812 Amounts Paid on Redemptions (171) (140) (33,541) (29,506) 337 475 9,380 3,494 Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period 276 447 (3,283) (17,817) Net Assets, End of the Period $ 1,430 $ 882 $ 259,206 $ 215,578 †Capital Unit Transactions Units Outstanding, Beginning of the Period 117,147 51,284 Units Issued 50,858 79,500 Units Issued on Reinvestments 00 Units Redeemed (17,123) (17,024) Units Outstanding, End of the Period 150,882 113,760

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 251 SECTORFUNDS

TD Energy Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 1,042,477 Venturion Natural Resources Limited No. of Shares (Restricted) $$1,106,193 3,127,431 or Units Description Cost FairValue 100,000 Veresen Inc. 756,439 1,388,000 158,600 Vermilion Energy Inc. 3,922,872 8,067,982 Canadian Equities – 71.9% 266,948 Vero Energy Inc. 1,798,626 1,454,867 ENERGY – 70.9% 1,000,000 Virgin Resources Limited (Restricted) 920,000 0 721,168 Anderson Energy Ltd. $ 3,289,913 $ 569,723 115,380 Western Energy Services Corp. 899,964 836,505 88,600 Angle Energy Inc. 699,940 886,000 9,655 Whitecap Resources Inc. 67,585 60,151 65,000 Angle Energy Inc. (Restricted) 325,000 650,000 121,118,961 183,682,075 161,100 ARC Resources Ltd. 2,735,818 4,022,667 116,200 Arcan Resources Ltd. 145,250 630,966 MATERIALS – 0.0% 133,100 Athabasca Oil Sands Corp. 1,907,787 2,016,465 30,000 Goldsource Mines Inc. 352,500 13,350 1,500,000 Aurado Energy Inc. 300,000 0 UTILITIES – 0.5% 212,800 Bonavista Energy Corporation 5,432,478 6,058,416 20,000 ATCO Ltd., Class “I” NV 450,500 1,249,400 126,000 Calfrac Well Services Ltd. 2,362,843 3,990,420 141,900 Cameco Corporation 4,789,036 3,601,422 ROYALTY/INCOME TRUSTS – 0.5% 923,100 Canacol Energy Ltd. 627,695 969,255 59,900 Brookfield Renewable Power Fund 862,285 1,377,700 241,600 CanadianNaturalResourcesLimited 9,492,885 9,738,896 300,000 E-T Royalty Commercial Trust 3,000 0 323,000 Cenovus Energy Inc. 3,051,209 11,731,360 865,285 1,377,700 101,358 Chinook Energy Inc. 746,928 171,295 Total Canadian Equities 122,787,246 186,322,525 249,866 Crescent Point Energy Corp. 3,597,488 11,099,048 8,325 Cutpick Energy Inc. (Restricted) 0 66,600 U.S. Equities – 12.4% 191,312 Daylight Energy Ltd. 1,999,210 1,781,115 323,000 EnCana Corporation 3,353,479 9,593,100 ENERGY – 12.4% 4,493,400 Enseco Energy Services Corp. 1,148,580 449,340 60,000 Bristow Group Inc. 2,472,963 2,950,060 330,000 E-T Energy Ltd., Class “A” 387,000 1,765,500 80,800 Chevron Corporation 5,745,824 8,007,836 252,000 Forbes & Manhattan Coal Corp. 1,146,600 733,320 86,000 Clean Energy Fuels Corp. 1,098,571 1,090,697 22,800 Gastar Exploration Ltd. 406,923 75,381 870,000 Condor Petroleum Inc. 1,218,000 861,300 113,600 Gibson Energy Inc. 1,817,600 1,822,144 30,240 Devon Energy Corporation 1,451,532 2,297,908 386,574 HuronEnergyCorporation(Restricted) 506,508 773,148 63,300 Helmerich & Payne Inc. 2,276,100 4,032,942 163,500 Husky Energy Inc. 1,516,793 4,293,510 67,200 Schlumberger Limited 2,953,027 5,596,433 47,450 Legacy Oil + Gas Inc. 355,875 555,165 148,100 Spectra Energy Corp. 2,405,004 3,913,680 75,000 Lone Pine Resources Inc. 954,233 768,184 23,785 Transocean Ltd. 3,154,519 1,481,429 89,900 MEG Energy Corp. 3,442,027 4,506,687 103,044 Weatherford International Ltd. 1,760,033 1,863,390 194,000 Nexen Inc. 1,946,727 4,205,920 Total U.S. Equities 24,535,573 32,095,675 2,717 Niko Resources Ltd. 360,000 162,748 1,280,000 NiMin Energy Corp. 1,720,000 2,150,400 International Equities – 11.8% 420,000 North West Upgrading Inc. 420,000 1,255,800 AUSTRALIA – 1.7% 82,500 NorthWestUpgradingInc.(Restricted) 300,000 246,675 29,471 InterOil Corporation 716,700 1,662,195 240,250 Pacific Rubiales Energy Corp. 404,632 6,205,658 1,709 InterOil Corporation (Restricted) 40,698 96,439 199,300 Parex Resources Inc., 899,500 Paladin Energy Ltd. 4,342,406 2,347,695 Subscription Receipts 1,395,100 1,584,435 113,000 Talison Lithium Limited 734,500 428,270 84,639 Pengrowth Energy Corporation 433,500 1,024,978 170,100 Penn West Petroleum Ltd. 5,145,180 3,779,622 5,834,304 4,534,599 786,600 Pinecrest Energy Inc. 1,101,240 1,911,438 BERMUDA – 0.3% 150,769 Precision Drilling Corporation 4,276,289 2,082,120 468,000 TransAtlantic Petroleum Ltd. 772,200 739,440 640,000 Primeline Energy Holdings Inc. 858,600 211,200 408,271 Progress Energy Resources Corp. 5,659,269 5,601,478 BRAZIL – 1.5% 317,100 Rock Energy Inc. 1,349,850 1,306,452 78,800 PetroleoBrasileiroSA–Petrobras, ADR 3,368,483 2,571,795 1,071,000 Shona Energy Company, Inc., 942,839 Talon Metals Corp. 1,081,740 1,414,259 Special Warrants (Restricted) 749,700 749,700 45,700 Talon Metals Corp., 106,000 Silverbirch Energy Corporation 630,700 768,500 Warrants 29/10/2012 0 21,433 546,000 Sterling Resources Ltd. 1,202,400 895,440 4,450,223 4,007,487 749,448 Suncor Energy Inc. 12,240,340 28,254,190 CAYMAN ISLANDS – 0.1% 750,800 Talisman Energy Inc. 5,625,957 14,835,808 176,500 Tethys Petroleum Limited 255,925 190,620 150,000 TransCanada Corporation 5,234,200 6,333,000 13,894 TriOil Resources Ltd. 409,588 32,929 FRANCE – 1.6% 970,000 Tuscany International Drilling Inc. 1,520,701 873,000 72,000 TOTAL SA, Sponsored ADR 4,494,585 4,017,127 223,450 Tuscany International Drilling Inc., NORWAY – 1.2% Warrants 16/10/2011 0 7,821 129,800 Statoil ASA, Sponsored ADR 3,917,599 3,183,470 358,000 Uranium One Inc. 2,124,211 948,700 SWEDEN – 2.0% 391,050 Lundin Petroleum AB 2,446,397 5,126,354

252 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Energy Fund SECTORFUNDS

No. of Shares Paror Value Units Description Cost FairValue

SWITZERLAND – 0.0% 68,490 Etrion Corporation $$58,170 52,216

UNITED KINGDOM – 3.4% 40,900 BG Group PLC, Sponsored ADR 4,113,872 4,501,973 70,800 BP PLC, Sponsored ADR 3,885,388 3,023,574 656,183 EnQuest PLC 1,363,271 1,250,855 575,000 Enseco Energy Services Corp., Warrants 09/09/2011 (Restricted) 00 9,362,531 8,776,402

Total International Equities 31,591,934 30,627,715

Transaction Costs (Note 3) (133,651) 0

TOTALINVESTMENT PORTFOLIO – 96.1% 178,781,102 249,045,915 SHORT-TERM INVESTMENTS (CAD) – 1.1% 2,800,000 2,800,000 SHORT-TERM INVESTMENTS (USD) – 2.5% 6,461,815 6,461,815 FOREIGN CURRENCIES – 0.1% 405,982 405,982 FORWARDCONTRACTS (SCHEDULE 1) – 0.2% 0 501,485 OTHER NET LIABILITIES – (0.0%) (8,943) (9,074)

TOTAL NET ASSETS – 100.0% $ 188,439,956 $ 259,206,123

July 29, 2011 328,099 CAD $ 328,099 2,169,000 SEK $ 330,401 6.61081 $ 2,302 July 29, 2011 4,946,000 GBP 7,658,816 7,743,971 CAD 7,743,971 1.54988 to 1.56640 85,155 July 29, 2011 21,822,169 USD 21,062,212 21,398,819 CAD 21,398,819 0.98060 to 0.98060 336,607 July 29, 2011 19,996,000 USD 19,299,639 19,605,278 CAD 19,605,278 0.98046 305,639 July 29, 2011 10,613,467 USD 10,243,853 10,406,185 CAD 10,406,185 0.98047 162,332 July 29, 2011 1,502,000 USD 1,449,692 1,450,452 CAD 1,450,452 0.96568 to 0.96568 760 $ 60,042,311 $ 60,935,106 $ 892,795

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 29, 2011 3,942,000 BRL $ 2,420,743 2,389,575 CAD $ 2,389,575 1.64967 $ (31,168) July 29, 2011 97,484 CAD 97,484 545,000 NOK 97,321 5.59067 (163) July 29, 2011 165,851 CAD 165,851 105,000 GBP 162,591 1.57954 (3,260) July 29, 2011 783,976 CAD 783,976 794,000 USD 766,349 0.98738 (17,627) July 29, 2011 12,548,056 CAD 12,548,056 12,798,000 USD 12,352,310 0.98047 (195,746) July 29, 2011 2,766,000 EUR 3,868,196 3,835,602 CAD 3,835,602 1.38629 to 1.39917 (32,594) July 29, 2011 17,267,000 NOK 3,083,371 3,057,062 CAD 3,057,062 5.64823 (26,309) July 29, 2011 42,806,000 SEK 6,520,574 6,436,131 CAD 6,436,131 6.54340 to 6.66023 (84,443) $ 29,488,251 $ 29,096,941 $ (391,310)

TOTALNUMBEROFCONTRACTS: 20 NETAPPRECIATION $ 501,485

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 253 TD Energy Fund SECTORFUNDS

Financial Instruments by the Level in the Fair Value Hierarchy Reconciliation of Level 3 Fair Value Measurements (in 000s) (in 000s) (Note 11) The tables below reconcile the Fund’s Level 3 fair value measurements from December 31, The table below illustrates the classification of the Fund’s financial instruments within the 2010 to June 30, 2011 and December 31, 2009 to December 31, 2010: fair value hierarchy as at June 30, 2011 and December 31, 2010: Common Shares Warrants Level1 Level2 Level3 Total Balance at December 31, 2010 $ 7,137 $0 June 30, 2011 Purchases 0 750 CommonShares $ 234,579 $ 6,453 $ 7,235 $ 248,267 Sales (283) 0 Warrants 8 21 750 779 Gains (Losses) Short-Term Investments 0 9,262 0 9,262 Net Realized on Sale of Investments (3,447) 0 Forward Contracts 0 893 0 893 Net Change in Unrealized Appreciation/ 234,587 16,629 7,985 259,201 Depreciation of Investments 3,828 0 Forward Contracts 0 (391) 0 (391) Balance at June 30, 2011 $ 7,235 $ 750 $ 234,587 $ 16,238 $ 7,985 $ 258,810 Total change in unrealized for assets held at June 30, 2011 $ 229 $0 Equity positions with a fair value of $52 were transferred from Level 2 to Level 1 during the Common period as a result of increased activity in the market for those securities. Shares December 31, 2010 Balance at December 31, 2009 $ 7,752 CommonShares $ 239,486 $ 6,147 $ 7,137 $ 252,770 Purchases 106 Bonds 0 8,153 0 8,153 Sales (4,185) Forward Contracts 0 1,210 0 1,210 Net Transfers In (Out) (1,209) $ 239,486 $ 15,510 $ 7,137 $ 262,133 Gains (Losses) Net Realized on Sale of Investments 3,477 Equity positions with a fair value of $429 were transferred from Level 2 to Level 1 during the Net Change in Unrealized Appreciation/ period as a result of increased activity in the market for those securities. Depreciation of Investments 1,196 Balance at December 31, 2010 $ 7,137

Total change in unrealized for assets held at December 31, 2010 $ 1,650

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 1,007 $ 960 Forward Contracts 391 0 $ 1,398 $ 960

254 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. SECTORFUNDS TD Precious Metals Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 306,913 $ 354,167 Interest $ 96 $ 47 Short-Term Investments 5,200 13,300 Dividends 796 304 Foreign Currencies 565 189 Securities Lending 159 54 Cash 95 119 Less: Withholding Taxes (35) (0) Interest Receivable 34 34 1,016 405 Dividends Receivable 98 88 Expenses (Note 5) Subscriptions Receivable 280 943 Management Fees 3,468 2,509 313,185 368,840 Administration Fees 369 267 Liabilities Independent Review Committee Fees 11 Accrued Liabilities 589 696 Bank Charges and Interest 11 Redemptions Payable 453 1,446 3,839 2,778 Payable for Investment Purchases 0 350 Less: Waived Expenses (1) (1) 1,042 2,492 3,838 2,777 Net Assets (Note 3) $ 312,143 $ 366,348 Net Investment Income (Loss) (2,822) (2,372) Net Assets Representing Unitholders’ Equity (Note 4) Net Realized Gain (Loss) on Investor Series $ 276,130 $ 323,544 Sale of Investments 10,712 6,876 Advisor Series $ 32,610 $ 38,909 Net Change in Unrealized Appreciation/ F-Series $ 3,403 $ 3,895 Depreciation of Investments (56,068) 12,545 Transaction Costs on Purchase and Sale $ 312,143 $ 366,348 of Investments (Note 3) (28) (56) Number of Units Outstanding Net Gain (Loss) on Investments (45,384) 19,365 Investor Series 3,901,671 3,967,060 Increase (Decrease) in Net Assets Advisor Series 2,174,455 2,249,825 from Investment Operations† $ (48,206) $ 16,993 F-Series 212,758 212,512 † Net Assets Per Unit (Note 3) Increase (Decrease) in Net Assets from Investment Operations Investor Series $ 70.77 $ 81.56 Investor Series $ (42,578) $ 15,021 Advisor Series $ (5,120) $ 1,781 Advisor Series $ 15.00 $ 17.29 F-Series $ (508) $ 191 F-Series $ 15.99 $ 18.33 $ (48,206) $ 16,993

Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Investor Series $ (10.80) $ 3.78 Advisor Series $ (2.30)$ 0.78 F-Series $ (2.33)$ 0.87

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 255 SECTORFUNDS TD Precious Metals Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Advisor Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 323,544 $ 225,858 $ 38,909 $ 27,688 Increase (Decrease) in Net Assets from Investment Operations (42,578) 15,021 (5,120) 1,781 Capital Unit Transactions† Proceeds from Sale of Units 38,974 26,960 4,901 5,067 Reinvestments of Distributions 00 00 Early Redemption Fees 8 10 11 Amounts Paid on Redemptions (43,818) (32,684) (6,081) (6,096) (4,836) (5,714) (1,179) (1,028) Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period (47,414) 9,307 (6,299) 753 Net Assets, End of the Period $ 276,130 $ 235,165 $ 32,610 $ 28,441 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 3,967,060 4,024,729 2,249,825 2,323,212 Units Issued 506,882 468,394 299,293 413,041 Units Issued on Reinvestments 00 00 Units Redeemed (572,271) (567,987) (374,663) (499,439) Units Outstanding, End of the Period 3,901,671 3,925,136 2,174,455 2,236,814

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 3,895 $ 1,744 $ 366,348 $ 255,290 Increase (Decrease) in Net Assets from Investment Operations (508) 191 (48,206) 16,993 Capital Unit Transactions† Proceeds from Sale of Units 705 1,692 44,580 33,719 Reinvestments of Distributions 00 00 Early Redemption Fees 00 911 Amounts Paid on Redemptions (689) (178) (50,588) (38,958) 16 1,514 (5,999) (5,228) Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period (492) 1,705 (54,205) 11,765 Net Assets, End of the Period $ 3,403 $ 3,449 $ 312,143 $ 267,055 †Capital Unit Transactions Units Outstanding, Beginning of the Period 212,512 139,907 Units Issued 39,820 131,677 Units Issued on Reinvestments 00 Units Redeemed (39,574) (13,886) Units Outstanding, End of the Period 212,758 257,698

256 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. SECTORFUNDS

TD Precious Metals Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 308,000 Fortune Minerals Limited, No. of Shares Warrants 03/12/2011 $$0 178,640 or Units Description Cost FairValue 181,000 Franco-Nevada Corporation 3,839,497 6,514,190 56,950 Franco-Nevada Corporation, Canadian Equities – 83.5% Warrants 13/03/2012 85,886 296,710 ENERGY – 0.4% 127,530 Franco-Nevada Corporation, 150,000 Geomark Exploration Ltd. $ 75,448 $ 156,000 Warrants 08/07/2013 0 17,217 100,000 SouthGobi Resources Limited 300,000 1,062,000 62,400 Franco-Nevada Corporation, 375,448 1,218,000 Warrants 16/06/2017 268,708 380,640 165,618 Frontline Gold Corporation 33,026 11,593 MATERIALS – 82.5% 350,000 Gabriel Resources Ltd. 987,000 2,327,500 2,150,000 Aberdeen International Inc. 1,484,170 1,655,500 35,000 Gold Finder Exploration Ltd. 360,938 19,250 625,000 Aberdeen International Inc., 16,000 Gold Hawk Resources Inc. 100,000 19,360 Warrants 06/06/2012 (Restricted) 0 90,625 631,485 Goldcorp Inc. 15,413,828 29,376,682 2,950,714 African Gold Group Inc. 1,211,250 1,327,821 141,625 Golden Predator Corp., 199,140 Agnico-Eagle Mines Limited 10,372,104 12,111,695 Warrants 15/08/2011 0 12,746 625,250 Alexis Minerals Corporation 538,044 50,020 199,200 GoviEx Uranium Inc. (Restricted) 398,500 528,326 500,000 Anaconda Mining Inc. 400,000 37,500 439,086 Gran Colombia Gold Corp. 790,869 346,878 851,400 ArgentexMiningCorporation(Restricted) 740,775 515,278 182,952 Gran Colombia Gold Corp., 285,700 Argentex Mining Corporation, Warrants 24/08/2015 161,533 55,800 Warrants 27/11/2011 0 26,284 750,000 Grayd Resource Corporation 634,103 1,275,000 499,995 ATAC Resources Ltd. 508,328 3,634,964 250,000 Greystar Resources Ltd. 956,216 682,500 1,500,000 Auger Resources Ltd. (Restricted) 875,000 1,125,000 38,500 Gunpoint Exploration Ltd. 211,750 29,260 100,000 AuRico Gold Inc. 957,000 1,057,000 550,000 Guyana Goldfields Inc. 3,096,495 3,756,500 1,200,000 Avion Gold Corporation 750,000 2,328,000 2,000,000 Guyana Precious Metals Inc. 360,000 280,000 1,279,600 B2Gold Corp. 2,449,000 4,145,904 1,080,000 Helio Resource Corp. 726,883 410,400 346,716 Barrick Gold Corporation 10,780,067 15,141,088 873,064 IAMGOLD Corporation 13,011,019 15,802,458 400,000 Bear Creek Mining Corporation 1,031,742 1,520,000 220,000 International Tower Hill Mines Ltd. 435,981 1,601,600 400,000 Benton Resources Corp. 382,000 272,000 373,740 Ivanhoe Mines Ltd. 5,408,710 9,104,306 1,666,500 Calibre Mining Corp. (Restricted) 249,975 208,313 300,000 Kaminak Gold Corporation 450,000 1,125,000 1,666,500 Calibre Mining Corp., 400,000 Keegan Resources Inc. 1,334,458 2,992,000 Warrants 16/07/2011 (Restricted) 00630,000 Kilo Goldmines Ltd. 283,500 113,400 124,300 Canterra Minerals Corporation 495,040 16,781 315,000 Kilo Goldmines Ltd., 420,000 Capstone Mining Corp. 309,701 1,499,400 Warrants 24/09/2011 (Restricted) 00 590,000 Castillian Resources Corp. 369,520 91,450 977,902 Kinross Gold Corporation 18,094,257 14,864,110 1,070,000 Claude Resources Inc. 1,406,939 1,958,100 235,524 Kinross Gold Corporation, 174,500 Claymore Gold Bullion ETF 1,805,328 2,347,025 Warrants 03/09/2013 204,752 268,497 585,000 Colombia Goldfields Ltd., 56,485 Kinross Gold Corporation, Warrants 17/06/2013 (Restricted) 00 Warrants 17/09/2014 276,777 135,564 115,000 Colossus Minerals Inc. 678,350 803,850 170,000 Kirkland Lake Gold Inc. 1,405,014 2,572,100 2,000,000 Coronation Minerals Inc., 480,000 Kootenay Gold Inc. 755,097 480,000 Warrants (Restricted) 00190,000 Kootenay Gold Inc., 110,000 Corvus Gold Inc. 143,317 62,700 Warrants 28/02/2012 0 36,290 1,485,000 Crocodile Gold Corp. 1,010,456 1,084,050 2,688,900 Lake Shore Gold Corp. 5,430,527 7,528,920 430,000 Crocodile Gold Corp., 2,420,370 Lucara Diamond Corp. 2,401,832 2,831,833 Warrants 15/06/2012 (Restricted) 0 36,550 320,000 MAG Silver Corp. 2,817,075 3,075,200 1,044,000 CrystallexInternationalCorporation 3,895,397 93,960 1,700,000 Malbex Resources Inc. 1,050,000 680,000 59,400 Crystallex International Corporation, 450,000 Malbex Resources Inc., Warrants 00 Warrants 08/05/2013 0 51,750 25,000 Delrand Resources Limited 250,000 5,125 141,180 Manicouagan Minerals Inc., Units 282,360 22,589 330,000 Dundee Precious Metals Inc. 1,991,103 2,574,000 245,833 MBAC Fertilizer Corp. 650,000 676,041 1,124,000 Eastern Platinum Limited 2,276,165 887,960 2,875,000 Mediterranean Resources Ltd. 650,000 488,750 600,000 Eastmain Resources Inc. 848,746 690,000 9,558 Medoro Resources Ltd., 566,500 EMC Metals Corp., Warrants 15/08/2011 0 2,833 Warrants 30/11/2011 (Restricted) 0 688 350,063 Entree Gold Inc. 666,207 717,629 275,000 Mega Precious Metals Inc. 275,000 122,375 1,160,000 Evolving Gold Corp. 1,007,035 754,000 790,000 Merrex Gold Inc. 717,474 363,400 280,000 Evolving Gold Corp., 1,900,000 Merrex Gold Inc. (Restricted) 950,000 857,375 Warrants 24/11/2011 (Restricted) 0 1,400 950,000 Merrex Gold Inc., 250,000 Exeter Resource Corporation 890,072 1,002,500 Warrants 01/10/2012 (Restricted) 0 74,100 250,000 Extorre Gold Mines Limited 204,018 3,080,000 625,000 Metalex Ventures Ltd. 500,000 331,250 683,400 Fortuna Silver Mines Inc. 1,001,196 3,430,668 616,000 Fortune Minerals Limited 400,400 850,080

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 257 TD Precious Metals Fund SECTORFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

312,500 Metalex Ventures Ltd., 833,333 Union Summit Minerals Corporation, Warrants 06/10/2011 (Restricted) $$0 1,875 Warrants 31/08/2011 (Restricted) $$00 260,000 Nevsun Resources Ltd. 703,663 1,518,400 36,664 Vaaldiam Mining Inc. 413,395 4,950 237,388 New Gold Inc. 1,899,104 2,354,889 1,475,022 Victoria Gold Corp. 1,113,936 870,263 310,000 New Gold Inc., Warrants 03/04/2012 0 17,050 1,056,250 Wesdome Gold Mines Ltd. 2,226,318 2,513,875 817,750 New Gold Inc., Warrants 28/11/2012 0 351,633 192,373 Yamana Gold Inc. 2,536,644 2,154,578 929,986 NGEx Resources Inc. 1,528,951 2,743,459 400,000 Yukon-Nevada Gold Corp. 720,000 166,000 712,500 North American Palladium Ltd. 2,461,418 2,821,500 250,000 Yukon-Nevada Gold Corp., 2,219,230 Olympus Pacific Minerals Inc. 1,182,000 843,307 Warrants 20/06/2012 0 3,750 714,200 Oro Mining Ltd. 499,940 178,550 192,293,403 257,368,712 734,425 Osisko Mining Corporation 4,013,507 10,979,654 250,000 Pachamama Resources Ltd. 12,500 227,500 FINANCIALS – 0.6% 1,051,527 Peregrine Diamonds Ltd. 2,086,900 1,777,081 1,363,636 Dacha Capital Inc. (Restricted) 450,000 1,254,545 150,000 Peregrine Diamonds Ltd., 1,363,636 Dacha Capital Inc., Warrants 03/11/2011 (Restricted) 0 2,850 Warrants 16/06/2014 (Restricted) 0 634,091 400,000 Peregrine Metals Ltd. 400,000 340,000 450,000 1,888,636 30,637 Pilot Gold Inc. 89,460 67,401 Total Canadian Equities 193,118,851 260,475,348 987,200 Platinum Group Metals Ltd. 2,010,904 1,658,496 522,667 Portage Minerals Inc. 400,001 54,880 U.S. Equities – 4.5% 499,200 Premier Gold Mines Limited 1,345,110 2,830,464 116,000 Prosperity Goldfields Corp. 17,400 44,660 ENERGY – 0.0% 533,333 Queensland Minerals Ltd. 560,000 232,000 8,484 I-Pulse Inc. (Restricted) 20,182 23,054 200,000 Queenston Mining Inc. 975,122 1,366,000 MATERIALS – 4.5% 95,000 Renaissance Gold Inc. 51,196 157,700 362,500 Argonaut Gold Inc. 1,314,990 1,899,500 1,400,500 Reunion Gold Corporation 1,567,875 2,142,765 5 Coeur d’Alene Mines Corporation 235 117 2,000,000 RochesterResourcesLtd.(Restricted) 300,000 70,000 231,200 Freeport-McMoRan Copper & Gold Inc. 8,094,309 11,791,227 2,000,000 Rochester Resources Ltd., 142,900 Paramount Gold and Silver Corp. 349,260 447,915 Warrants 25/11/2011 (Restricted) 00 9,758,794 14,138,759 750,000 Rockwell Diamonds Inc. 307,500 26,250 4,199,300 Romarco Minerals Inc. 4,406,095 6,760,873 Total U.S. Equities 9,778,976 14,161,813 250,000 Rubicon Minerals Corp. 343,783 855,000 844,353 Rusoro Mining Ltd. 2,359,760 177,314 International Equities – 10.0% 51,176 Rusoro Mining Ltd., Warrants 07/03/2012 00 AUSTRALIA – 6.8% 564,000 Rusoro Mining Ltd., Warrants 29/11/2012 0 2,820 188,983 Allied Gold Mining PLC 400,200 472,458 240,000 Ryan Gold Corp. (Restricted) 480,000 419,520 583,250 Blackthorn Resources Limited 1,614,036 266,324 120,000 Ryan Gold Corp., 800,000 Centamin Egypt Limited 688,000 1,552,000 Warrants 12/05/2013 (Restricted) 00150,000 CGA Mining Limited 122,146 434,456 200,000 Sabina Gold & Silver Corp. 200,000 1,180,000 430,000 Goldminex Resources Limited 696,398 49,383 1,600,000 San Gold Corporation 3,065,458 5,184,000 680,000 Gryphon Minerals Limited 330,329 1,278,511 840,700 Sanatana Diamonds Inc. 1,289,945 218,582 440,000 Heemskirk Consolidated Limited 228,598 47,790 800,000 SEMAFO Inc. 1,208,568 5,888,000 486,500 IvanhoeAustraliaLimited(Restricted) 864,624 1,207,787 624,450 SiberianDiamondsLimited(Restricted) 249,780 6,245 43,250 Ivanhoe Australia Limited, 666,660 Silver Quest Resources Ltd. 199,998 766,659 Warrants 20/09/2011 0 582 351,400 Silver Wheaton Corp. 3,548,473 11,181,548 88,000 Mineral Deposits Limited 968,000 440,880 14,869 Silver Wheaton Corp., 204,727 Newcrest Mining Limited 6,338,700 8,000,558 Warrants 05/09/2013 0 220,716 2,800,000 Perseus Mining Limited 4,094,402 7,572,627 6,076,770 Starfield Resources Inc. 1,688,875 273,455 16,345,433 21,323,356 566,450 Stornoway Diamond Corporation 1,684,070 1,257,519 1,250,000 StrikePoint Gold Inc. (Restricted) 500,000 200,000 CAYMAN ISLANDS – 0.0% 625,000 StrikePoint Gold Inc., 198,000 Endeavour Financial Corporation, Warrants 16/12/2011 (Restricted) 00 Warrants 04/02/2014 0 118,800 1,024,385 Temex Resources Corp. 538,640 266,340 UNITED KINGDOM – 3.0% 231,697 Teranga Gold Corp. 669,604 572,292 1,864,315 Archipelago Resources PLC 988,614 1,774,750 1,500,000 Torex Gold Resources Inc. 1,500,000 2,595,000 350,000 Cluff Gold PLC (Restricted) 479,231 472,419 375,000 Torex Gold Resources Inc., 123,400 Orsu Metals Corporation 1,726,235 20,361 Warrants 12/11/2011 0 163,125 88,700 RandgoldResourcesLimited,ADR 7,114,337 7,182,502 312,500 Treasury Metals Inc. 500,000 393,750 833,333 Union Summit Minerals Corporation 10,308,417 9,450,032 (Restricted) 250,000 308,333 BRITISH VIRGIN ISLANDS – 0.2% 5,320,000 Polo Resources Limited 874,889 461,150

Total International Equities 27,528,739 31,353,338

258 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Precious Metals Fund SECTORFUNDS

No. of Shares Paror Value Units Description Cost FairValue Par Value Description Cost FairValue

Bonds – 0.3% Financial Instruments by the Level in the Fair Value Hierarchy CORPORATE BONDS – 0.3% (in 000s) (Note 11) Crystallex International Corporation (USD) The table below illustrates the classification of the Fund’s financial instruments within the 673,000 Callable fair value hierarchy as at June 30, 2011 and December 31, 2010: 9.375% due December 30, 2011 $$674,777 402,426 Wesdome Gold Mines Ltd. Level1 Level2 Level3 Total $ 500,000 7.00%dueMay31,2012 500,000 520,000 June 30, 2011 Total Bonds 1,174,777 922,426 CommonShares $ 281,517 $ 19,299 $ 1,991 $ 302,807 Warrants 2,097 1,087 0 3,184 Transaction Costs (Note 3) (121,692) 0 Short-Term Investments 0 5,200 0 5,200 Bonds 0 520 402 922 TOTALINVESTMENT PORTFOLIO – 98.3% 231,479,651 306,912,925 $ 283,614 $ 26,106 $ 2,393 $ 312,113 SHORT-TERM INVESTMENTS – 1.7% 5,200,000 5,200,000 Equity positions with a fair value of $49 and $9,686 were transferred from Level 1 to 2 and FOREIGN CURRENCIES – 0.2% 555,433 564,824 Level 2 to 1 respectively during the period as a result of changes in activities in the market OTHER NET LIABILITIES – (0.2%) (534,645) (534,964) for those securities.

December 31, 2010 TOTAL NET ASSETS – 100.0% $ 236,700,439 $ 312,142,785 CommonShares $ 302,353 $ 48,251 $ 2,156 $ 352,760 Bonds and Short-Term Currency Risk (Note 11) Investments 0 13,830 518 14,348 The table below indicates the foreign currencies to which the Fund had significant exposure Rights 359 00359 as at June 30, 2011 and December 31, 2010 in Canadian dollar terms, including the $ 302,712 $ 62,081 $ 2,674 $ 367,467 underlying principal amount of forward currency contracts, if any. The table also illustrates the potential impact to the Fund’s net assets if the Fund’s functional currency, the Canadian Equity positions with a fair value of $9,938 and $1,544 were transferred from Level 1 to 2 Dollar, had strengthened or weakened by 5% in relation to all other currencies, with all and Level 2 to 1 respectively during the period as a result of changes in activities in the other variables held constant. In practice, the actual trading results may differ from these market for those securities. approximate sensitivity analysis amounts and the differences could be material. Reconciliation of Level 3 Fair Value Measurements (in 000s) Total Exposure* (000s) Impact on Net Assets (000s) The tables below reconcile the Fund’s Level 3 fair value measurements from December 31, Currency 2011 2010 2011 2010 2010 to June 30, 2011 and December 31, 2009 to December 31, 2010:

AustralianDollar $ 19,134 $ 22,139 $ 957 $ 1,107 Common British Pound 2,709 2,777 135 139 Shares Bonds United States Dollar 21,206 16,324 1,060 816 Balance at December 31, 2010 $ 2,156 $ 518 Total $ 43,049 $ 41,240 $ 2,152 $ 2,062 Purchases 11 0 As Percentage of Net Transfers In (Out) (160) 0 Net Assets (%) 13.79 11.26 0.69 0.56 Gains (Losses) Net Change in Unrealized Appreciation/ * Includes both monetary and non-monetary instruments, where applicable. Depreciation of Investments (16) (116) Balance at June 30, 2011 $ 1,991 $ 402

Total change in unrealized for assets held at June 30, 2011 $ (16) $ (116)

Common Shares Bonds Balance at December 31, 2009 $ 2,968 $ 205 Purchases 384 0 Net Transfers In (Out) (1,299) 0 Gains (Losses) Net Change in Unrealized Appreciation/ Depreciation of Investments 103 313 Balance at December 31, 2010 $ 2,156 $ 518

Total change in unrealized for assets held at December 31, 2010 $ 265 $ 313

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 1,042 $ 2,492

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 259 SECTORFUNDS TD Entertainment & Communications Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 132,308 $ 121,248 Interest $ 84 $ 96 Foreign Currencies 568 999 Dividends 623 1,213 Interest Receivable 10 36 Securities Lending 14 14 Dividends Receivable 214 121 Less: Withholding Taxes (75) (16) Subscriptions Receivable 129 128 646 1,307 Receivable for Investment Sales 527 978 Expenses (Note 5) 133,756 123,510 Management Fees 1,613 1,303 Liabilities Administration Fees 215 173 Accrued Liabilities 302 296 Independent Review Committee Fees 00 Redemptions Payable 193 179 1,828 1,476 Payable for Investment Purchases 546 127 Less: Waived Expenses (0) (0) Unrealized Loss on Open Foreign 1,828 1,476 Exchange Forward Contracts 00 Net Investment Income (Loss) (1,182) (169) 1,041 602 Net Realized Gain (Loss) on Net Assets (Note 3) $ 132,715 $ 122,908 Sale of Investments 7,513 5,121 Net Assets Representing Unitholders’ Equity (Note 4) Net Change in Unrealized Appreciation/ Investor Series $ 123,620 $ 115,997 Depreciation of Investments (1,467) (7,662) Institutional Series N/A $0Transaction Costs on Purchase and Sale Advisor Series $ 8,214 $ 6,340 of Investments (Note 3) (37) (42) F-Series $ 881 $ 571 Net Gain (Loss) on Investments 6,009 (2,583) $ 132,715 $ 122,908 Increase (Decrease) in Net Assets † Number of Units Outstanding from Investment Operations $ 4,827 $ (2,752) Investor Series 4,978,872 4,857,674 †Increase (Decrease) in Net Assets from Investment Operations Institutional Series N/A 4 Investor Series $ 4,551 $ (2,620) Advisor Series 606,726 487,029 Institutional Series N/A $ (0) F-Series 56,742 38,521 Advisor Series $ 248 $ (121) F-Series $ 28 $ (11) Net Assets Per Unit (Note 3) Investor Series $ 24.83 $ 23.88 $ 4,827 $ (2,752) Institutional Series N/A $ 38.06 Increase (Decrease) in Net Assets from Investment Operations – Advisor Series $ 13.54 $ 13.02 Per Unit (Note 3) Investor Series $ 0.95 $ (0.50) F-Series $ 15.52 $ 14.82 Institutional Series N/A $ (0.61) Advisor Series $ 0.52 $ (0.27) F-Series $ 0.70 $ (0.32)

260 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. SECTORFUNDS TD Entertainment & Communications Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 115,997 $ 107,725 $0$0$6,340 $ 4,656 Increase (Decrease) in Net Assets from Investment Operations 4,551 (2,620) 0 (0) 248 (121) Capital Unit Transactions† Proceeds from Sale of Units 13,902 6,586 00 2,555 1,050 Reinvestments of Distributions 00 00 00 Early Redemption Fees 21 00 00 Amounts Paid on Redemptions (10,832) (10,923) 00 (929) (593) 3,072 (4,336) 00 1,626 457 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period 7,623 (6,956) 0 (0) 1,874 336 Net Assets, End of the Period $ 123,620 $ 100,769 $0$0$8,214 $ 4,992 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 4,857,674 5,319,673 44487,029 421,917 Units Issued 557,649 324,355 00188,340 95,192 Units Issued on Reinvestments 00 00 00 Units Redeemed (436,451) (539,236) (4) 0 (68,643) (53,068) Units Outstanding, End of the Period 4,978,872 5,104,792 04606,726 464,041

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 571 $ 396 $ 122,908 $ 112,777 Increase (Decrease) in Net Assets from Investment Operations 28 (11) 4,827 (2,752) Capital Unit Transactions† Proceeds from Sale of Units 404 124 16,861 7,760 Reinvestments of Distributions 00 00 Early Redemption Fees 00 21 Amounts Paid on Redemptions (122) (19) (11,883) (11,535) 282 105 4,980 (3,774) Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period 310 94 9,807 (6,526) Net Assets, End of the Period $ 881 $ 490 $ 132,715 $ 106,251 †Capital Unit Transactions Units Outstanding, Beginning of the Period 38,521 31,896 Units Issued 26,250 9,974 Units Issued on Reinvestments 00 Units Redeemed (8,029) (1,578) Units Outstanding, End of the Period 56,742 40,292

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 261 SECTORFUNDS

No. of Shares TD Entertainment & Communications Fund No. ofor Shares Units/ Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) Software & Services – 23.0% No. of Shares INTERNET SOFTWARE & SERVICES – 23.0% or Units Description Cost FairValue 66,900 Akamai Technologies Inc. $$2,333,350 2,030,498 54,000 Autonomy Corporation PLC 1,282,152 1,426,591 Equities – 99.0% 54,600 Baidu Inc., Sponsored ADR 5,349,456 7,380,681 Energy – 0.2% 44,900 Bitauto Holdings Limited, ADR 424,609 333,439 ENERGY EQUIPMENT & SERVICES – 0.2% 28,700 Blackboard Inc. 1,152,254 1,200,469 15,800 RigNet Inc. $ 193,342 $ 258,899 17,200 Concur Technologies Inc. 823,377 830,754 7,900 FactSet Research Systems Inc. 555,972 779,592 Capital Goods – 0.4% 10,800 Google Inc., Class “A” 5,329,723 5,271,672 CONSTRUCTION & ENGINEERING – 0.4% 4,000 LinkedIn Corporation, Class “A” 186,518 346,816 400,000 P.T. Sarana Menara Nusantara Tbk 543,092 467,858 1,600 Mail.Ru Group Limited, GDR 44,338 51,353 10,300 RealD Inc. 190,301 232,054 Consumer Services – 3.2%. 29,100 Rovi Corporation 1,091,525 1,609,837 45,900 SINA Corporation 2,158,990 4,608,325 HOTELS, RESTAURANTS & LEISURE – 3.2% 101,500 Tencent Holdings Limited 307,683 2,671,698 38,100 Carnival Corporation 1,373,954 1,382,735 116,500 Yahoo! Inc. 1,834,323 1,688,747 36,900 Ctrip.com International Ltd. 972,268 1,531,716 34,100 Las Vegas Sands Corp. 1,411,745 1,387,863 Total Software & Services 23,064,571 30,462,526

Total Consumer Services 3,757,967 4,302,314 Technology, Hardware & Equipment – 7.8%

Financials – 0.1% COMMUNICATIONSEQUIPMENT–7.8% 18,700 Apple Inc. 3,289,124 6,051,716 7,560 OANDA Corporation 227,022 75,701 79,600 QUALCOMM Incorporated 3,531,254 4,357,478

Media – 34.9% Total Technology, Hardware & Equipment 6,820,378 10,409,194 60,600 BonaFilmGroupLtd.,SponsoredADR 472,909 216,249 70,131 British Sky Broadcasting Group PLC 637,437 918,262 Telecommunication Services – 22.8% 8,700 Cablevision Systems Corporation 218,341 217,320 DIVERSIFIED TELECOMMUNICATION SERVICES – 22.8% 158,100 Cablevision Systems Corporation, 16,800 America Movil SAB de CV 604,667 872,681 Class “A” 4,289,359 5,519,760 42,300 American Tower Corporation, Class “A” 2,057,849 2,134,867 273,200 Comcast Corporation, Class “A” 5,389,407 6,674,144 165,200 AT&T Inc. 4,728,000 5,001,279 115,400 Discovery Communications Inc., 812,000 ChinaUnicom(HongKong)Limited 1,235,453 1,589,774 Class “C” 2,921,815 4,066,812 183,300 Crown Castle International Corp. 5,424,403 7,211,007 14,912 Eutelsat Communications 534,979 647,483 104,000 Hutchison Telecommunications 33,069 Facebook Inc., Class “B” 801,570 904,028 Hong Kong Holdings Limited 16,052 30,935 64,400 Global Traffic Network Inc. 412,607 711,787 56,200 NII Holdings Inc. 2,046,124 2,296,543 72,500 Liberty Global Inc., Series “A” 1,650,950 3,146,518 16,700 Premiere Global Services Inc. 104,971 128,367 9,490 Liberty Media-Starz 490,127 688,644 48,400 SBACommunicationsCorporation 1,444,667 1,782,219 97,400 Live Nation Entertainment Inc. 1,034,014 1,075,584 11,900 SOFTBANK Corp. 319,787 434,659 29,675 Madison Square Garden Inc. 583,231 787,910 455,800 Sprint Nextel Corporation 1,867,733 2,365,028 33,700 Omnicom Group Inc. 1,340,690 1,565,295 28,054 Telefonica SA 628,624 660,829 22,200 Pandora Media Inc. 336,421 403,593 43,400 Turkcell IIetisim Hizmetleri AS, ADR 685,859 566,327 7,400 Rentrak Corporation 134,089 126,609 2,015,122 Vodafone Group PLC 5,028,718 5,153,445 18,900 Stroer Out-of-Home Media AG 558,200 504,222 TotalTelecommunicationServices 26,192,907 30,227,960 104,342 Time Warner Cable Inc. 5,024,927 7,854,378 72,300 Time Warner Inc. 2,155,951 2,536,070 Bond – 0.7% 173,300 The Walt Disney Company 5,960,192 6,521,771 100,343 WPP PLC 822,806 1,212,398 CORPORATE BOND – 0.7% Univision Communications Inc. (USD) Total Media 35,770,022 46,298,837 975,000 8.50% due May 15, 2021 979,025 937,988

Retailing – 5.7% Transaction Costs (Note 3) (63,645) 0 INTERNET & CATALOG RETAIL – 5.7% TOTALINVESTMENT 17,400 Amazon.com Inc. 1,484,721 3,430,796 PORTFOLIO – 99.7% 102,798,882 132,307,886 259,700 Liberty Media Corporation, FOREIGN CURRENCIES – 0.4% 575,392 568,122 Interactive Class “A” 2,408,339 4,197,838 FORWARDCONTRACTS Total Retailing 3,893,060 7,628,634 (SCHEDULE 1) – (0.0%) 0 (491) OTHER NET LIABILITIES – (0.1%) (153,637) (160,434) Information Technology – 0.9% 17,847 Groupon Inc., Pref. Series “G” 570,017 1,003,462 TOTAL NET ASSETS – 100.0% $ 103,220,637 $ 132,715,083 118,700 Ning Inc., Pref. Series “D” 851,124 234,513

Total Information Technology 1,421,141 1,237,975

262 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Entertainment & Communications Fund SECTORFUNDS

July 01, 2011 25,172 EUR $ 35,205 36,209 USD $ 34,921 1.43850 $ (284) July 05, 2011 18,487 EUR 25,856 26,592 USD 25,650 1.43837 (206) July 05, 2011 43,135 HKD 5,347 5,542 USD 5,346 7.78290 (1) $ 66,408 $ 65,917 $ (491)

TOTALNUMBEROFCONTRACTS: 3 NETDEPRECIATION $ (491)

Currency Risk (Note 11) Reconciliation of Level 3 Fair Value Measurements (in 000s) The table below indicates the foreign currencies to which the Fund had significant exposure The tables below reconcile the Fund’s Level 3 fair value measurements from December 31, as at June 30, 2011 and December 31, 2010 in Canadian dollar terms, including the 2010 to June 30, 2011 and December 31, 2009 to December 31, 2010: underlying principal amount of forward currency contracts, if any. The table also illustrates Common the potential impact to the Fund’s net assets if the Fund’s functional currency, the Canadian Shares Preferred Dollar, had strengthened or weakened by 5% in relation to all other currencies, with all other variables held constant. In practice, the actual trading results may differ from these Balance at December 31, 2010 $ 147 $ 802 approximate sensitivity analysis amounts and the differences could be material. Net Transfers In (Out) 904 0 Gains (Losses) Total Exposure* (000s) Impact on Net Assets (000s) Net Realized on Sale of Investments (16) 0 Currency 2011 2010 2011 2010 Net Change in Unrealized Appreciation/ British Pound $ 8,918 $ 7,091 $ 446 $ 355 Depreciation of Investments (55) 436 Euro 1,725 1,205 86 60 Balance at June 30, 2011 $ 980 $ 1,238 Hong Kong Dollar 4,292 4,006 215 200 Indian Rupee 74 396 4 20 Total change in unrealized for assets Indonesian Rupiah 468 573 23 29 held at June 30, 2011 $ (61) $ 436 Japanese Yen 435 360 22 18 Common UnitedStatesDollar 117,115 109,595 5,856 5,480 Shares Preferred Total $ 133,027 $ 123,226 $ 6,652 $ 6,162 Balance at December 31, 2009 $ 161 $ 1,300 Purchases 0 570 As Percentage of Sales 0 (363) Net Assets (%) 100.24 100.26 5.01 5.01 Gains (Losses) * Includes both monetary and non-monetary instruments, where applicable. Net Realized on Sale of Investments 0 11 Net Change in Unrealized Appreciation/ Financial Instruments by the Level in the Fair Value Hierarchy Depreciation of Investments (14) (716) (in 000s) (Note 11) Balance at December 31, 2010 $ 147 $ 802 The table below illustrates the classification of the Fund’s financial instruments within the fair value hierarchy as at June 30, 2011 and December 31, 2010: Total change in unrealized for assets held at December 31, 2010 $ (14) $ (851)

Level1 Level2 Level3 Total Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) June 30, 2011 The table below summarizes cash flows associated with the maturities of the Fund’s financial CommonShares $ 129,152 $0$980 $ 130,132 liabilities as at June 30, 2011 and December 31, 2010: Preferred Shares 001,238 1,238 Bonds 0 938 0 938 Less than 3 months $ 129,152 $ 938 $ 2,218 $ 132,308 2011 2010

Equity positions with a fair value of $1,512 were transferred from Level 2 to Level 1 during Accounts payable and other liabilities $ 1,041 $ 602 the period as a result of increased activity in the market for those securities.

December 31, 2010 CommonShares $ 116,373 $ 1,572 $ 147 $ 118,092 Preferred Shares 00802 802 Bonds 0 2,354 0 2,354 $ 116,373 $ 3,926 $ 949 $ 121,248

Equity positions with a fair value of $10,405 were transferred from Level 2 to Level 1 during the period as a result of increased activity in the market for those securities.

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 263 SECTORFUNDS TD Science & Technology Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 114,170 $ 100,885 Interest $4$12 Foreign Currencies 670 2,974 Dividends 989 311 Interest Receivable 20Foreign Exchange (2) 0 Dividends Receivable 13 9 Securities Lending 53 61 Subscriptions Receivable 127 89 Less: Withholding Taxes (34) (40) Receivable for Investment Sales 115 704 1,010 344 Unrealized Gain on Open Foreign Expenses (Note 5) Exchange Forward Contracts 00 Management Fees 1,424 1,113 115,097 104,661 Administration Fees 188 148 Liabilities Independent Review Committee Fees 00 Accrued Liabilities 262 246 1,612 1,261 Redemptions Payable 183 118 Less: Waived Expenses (0) (0) Payable for Investment Purchases 115 521 1,612 1,261 Unrealized Loss on Open Foreign Exchange Forward Contracts 03Net Investment Income (Loss) (602) (917) 560 888 Net Realized Gain (Loss) on Sale of Investments 10,380 7,926 Net Assets (Note 3) $ 114,537 $ 103,773 Net Change in Unrealized Appreciation/ Net Assets Representing Unitholders’ Equity (Note 4) Depreciation of Investments (5,687) (13,372) Investor Series $ 103,991 $ 97,212 Transaction Costs on Purchase and Sale Institutional Series N/A $0of Investments (Note 3) (103) (117) Advisor Series $ 8,404 $ 4,881 Net Gain (Loss) on Investments 4,590 (5,563) F-Series $ 2,142 $ 1,680 Increase (Decrease) in Net Assets $ 114,537 $ 103,773 from Investment Operations† $ 3,988 $ (6,480) Number of Units Outstanding †Increase (Decrease) in Net Assets from Investment Operations Investor Series 5,803,258 5,645,808 Investor Series $ 3,765 $ (6,078) Institutional Series N/A 7 Institutional Series N/A $ (0) Advisor Series 2,038,292 1,232,075 Advisor Series $ 157 $ (295) F-Series 456,731 375,562 F-Series $ 66 $ (107) Net Assets Per Unit (Note 3) $ 3,988 $ (6,480) Investor Series $ 17.92 $ 17.22 Increase (Decrease) in Net Assets from Investment Operations – Institutional Series N/A $ 22.05 Per Unit (Note 3) Advisor Series $ 4.12 $ 3.96 Investor Series $ 0.70 $ (0.99) Institutional Series N/A $ (1.13) F-Series $ 4.69 $ 4.47 Advisor Series $ 0.16 $ (0.25) F-Series $ 0.22 $ (0.32)

264 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. SECTORFUNDS TD Science & Technology Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 97,212 $ 93,646 $0$0$4,881 $ 3,378 Increase (Decrease) in Net Assets from Investment Operations 3,765 (6,078) 0 (0) 157 (295) Capital Unit Transactions† Proceeds from Sale of Units 15,937 6,183 00 4,246 1,679 Reinvestments of Distributions 00 00 00 Early Redemption Fees 10 10000 Amounts Paid on Redemptions (12,933) (10,320) 00 (880) (695) 3,014 (4,136) 00 3,366 984 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period 6,779 (10,214) 0 (0) 3,523 689 Net Assets, End of the Period $ 103,991 $ 83,432 $0$0$8,404 $ 4,067 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 5,645,808 6,234,777 771,232,075 977,750 Units Issued 868,397 416,853 001,016,899 489,180 Units Issued on Reinvestments 00 00 00 Units Redeemed (710,947) (696,413) (7) 0 (210,682) (204,779) Units Outstanding, End of the Period 5,803,258 5,955,217 072,038,292 1,262,151

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 1,680 $ 1,010 $ 103,773 $ 98,034 Increase (Decrease) in Net Assets from Investment Operations 66 (107) 3,988 (6,480) Capital Unit Transactions† Proceeds from Sale of Units 621 624 20,804 8,486 Reinvestments of Distributions 00 00 Early Redemption Fees 00 10 1 Amounts Paid on Redemptions (225) (53) (14,038) (11,068) 396 571 6,776 (2,581) Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period 462 464 10,764 (9,061) Net Assets, End of the Period $ 2,142 $ 1,474 $ 114,537 $ 88,973 †Capital Unit Transactions Units Outstanding, Beginning of the Period 375,562 262,434 Units Issued 129,614 159,646 Units Issued on Reinvestments 00 Units Redeemed (48,445) (14,083) Units Outstanding, End of the Period 456,731 407,997

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 265 SECTORFUNDS

TD Science & Technology Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) Retailing – 3.4% No. of Shares 9,000 Amazon.com Inc. $$1,395,277 1,774,549 or Units Description Cost FairValue 2,400 Netflix Inc. 382,097 608,043 3,000 priceline.com Incorporated 1,298,193 1,481,164 Equities – 99.5% Capital Goods – 2.8% Total Retailing 3,075,567 3,863,756 32,200 3D Systems Corporation $ 664,137 $ 611,479 Software & Services – 32.2% 49,000 A123 Systems Inc. 428,277 250,940 8,100 DISCO CORPORATION 538,294 495,391 INTERNET SOFTWARE & SERVICES – 11.3% 6,200 FANUC Corporation 766,530 999,925 15,300 Akamai Technologies Inc. 554,531 464,374 24,300 Hexagon AB 514,410 577,049 48,000 Ariba Inc. 1,472,692 1,595,740 22,100 OSG Corporation 260,373 297,453 29,900 Baidu Inc., Sponsored ADR 3,240,515 4,041,802 25,600 Cornerstone OnDemand Inc. 405,578 435,283 Total Capital Goods 3,172,021 3,232,237 6,000 Google Inc., Class “A” 3,206,870 2,928,707 36,345 Info Edge (India) Limited 259,499 566,344 Consumer Services – 0.6% 21,800 Qihoo360TechnologyCo.,Ltd,ADR 393,534 408,306 13,900 Ctrip.com International Ltd. 577,705 576,988 16,100 SINA Corporation 1,333,751 1,616,428 4,000 RPX Corporation 72,838 108,134 14,400 Tencent Holdings Limited 271,903 379,039 4,500 Yandex NV 109,817 154,114 Total Consumer Services 650,543 685,122 4 Youku.com Inc., Class “A” 27 9,700 Youku.com Inc., Sponsored ADR 89,702 321,350 Consumer Discretionary – 0.6% 11,338,394 12,911,494 9,277 Angie’sListInc.,Series“D”Conv.Pref. 642,692 632,900 IT SERVICES – 2.0% Energy – 0.6% 58,400 Genpact Limited 807,600 969,897 36,900 RigNet Inc. 482,006 604,644 73,300 iSoftStone Holdings Limited, ADS 1,110,191 1,075,966 22,600 Silver Spring Networks (Restricted) 239,515 130,779 6,800 Mail.Ru Group Limited, GDR 225,253 218,250 2,143,044 2,264,113 Total Energy 721,521 735,423 SOFTWARE – 18.9% Health Care Equipment & Services – 0.5% 23,300 Autodesk Inc. 706,378 867,182 14,300 athenahealth Inc. 606,535 566,698 60,100 AutoNavi Holdings Limited, ADR 894,429 858,439 35,692 Autonomy Corporation PLC 837,174 942,924 Information Technology – 1.2% 18,300 AVEVA Group PLC 453,219 485,869 19,800 Blackboard Inc. 780,609 828,198 22,474 Coupon.com,Pref.Series“B”(Restricted) 240,853 238,137 20,700 CommVault Systems Inc. 463,649 887,205 14,952 Groupon Inc., Pref. Series “G” 477,553 840,688 20,300 Concur Technologies Inc. 918,326 980,483 19,772 ZyngaInc.,Pref.Series“C”(Restricted) 273,486 267,523 12,400 Electronic Arts Inc. 239,630 282,237 Total Information Technology 991,892 1,346,348 22,600 Fortinet Inc. 355,870 594,392 87,186 Gameloft SA 425,778 610,837 Materials – 1.4% 20,300 Informatica Corporation 590,996 1,143,962 86,600 Hitachi Chemical Co., Ltd. 1,653,365 1,657,001 140,563 Infotech Enterprises Europe Limited 460,801 438,800 38,300 Kofax PLC 297,047 262,571 Media – 2.0% 93,100 Microsoft Corporation 2,377,666 2,332,752 64,900 Nuance Communications Inc. 1,062,191 1,343,242 19,518 Eutelsat Communications 707,474 847,477 23,300 OPNET Technologies Inc. 448,114 918,418 19,837 Facebook Inc., Class “B” 480,835 542,296 27,200 Oracle Corporation 742,469 862,805 17,300 Pandora Media Inc. 268,192 314,512 209,702 Playtech Limited 1,364,931 1,107,773 42,867 TwitterInc.,Pref.Series“E”(Restricted) 248,721 631,247 24,300 Qlik Technologies Inc. 554,312 798,000 Total Media 1,705,222 2,335,532 25,000 RealD Inc. 639,358 563,239 17,500 Red Hat Inc. 431,409 774,357 38,700 Taomee Holdings Limited., Sponsored ADR 343,248 382,573 62,200 TIBCO Software Inc. 1,335,195 1,740,875 15,200 The Ultimate Software Group Inc. 461,604 796,751 49,400 Velti PLC 666,733 805,657 17,851,136 21,609,541

Total Software & Services 31,332,572 36,785,141

266 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Science & Technology Fund SECTORFUNDS

No. of Shares No. of Shares No. ofor Shares Units/ Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

Technology, Hardware & Equipment – 34.2% Semiconductors & Semiconductor Equipment – 18.9% COMMUNICATIONS EQUIPMENT – 14.5% 55,831 ARM Holdings PLC $$118,027 506,351 28,400 Aruba Networks Inc. $$510,254 808,838 47,067 ASML Holding NV 1,494,549 1,674,349 88,400 Cisco Systems Inc. 1,747,871 1,330,015 73,300 Atmel Corporation 928,281 994,667 161,100 Corning Incorporated 3,099,116 2,818,464 19,100 Avago Technologies Limited 539,580 699,998 7,900 F5 Networks Inc. 819,193 839,936 74,300 Broadcom Corporation 2,717,936 2,409,880 52,100 JDS Uniphase Corporation 739,902 836,627 10,000 Cavium Inc. 397,038 420,307 66,073 Juniper Networks Inc. 1,824,664 2,007,309 6,600 Cymer Inc. 298,571 314,768 16,200 Meru Networks Inc. 264,503 187,333 86,600 Elpida Memory Inc. 1,046,800 983,776 84,525 Motorola Mobility Holdings Inc. 2,213,316 1,793,443 293,000 Epistar Corporation 964,087 841,649 74,100 QUALCOMM Incorporated 3,319,089 4,056,396 492,000 Holtek Semiconductor Inc. 654,733 690,672 7,600 Research In Motion Limited 428,408 211,392 968,000 IGE PLC 632,403 647,295 33,000 Riverbed Technology Inc. 1,108,079 1,260,025 139,000 Kopin Corporation 570,369 628,735 158,000 Wistron NeWeb Corporation 372,316 479,218 19,900 Lam Research Corporation 906,584 849,462 16,446,711 16,628,996 38,800 Marvell Technology Group Ltd. 600,810 552,329 55,400 Micron Technology Inc. 464,597 399,126 COMPUTERS & PERIPHERALS – 14.2% 17,600 Novellus Systems Inc. 600,423 613,452 31,100 Apple Inc. 7,259,415 10,064,619 21,800 NVIDIA Corporation 382,833 334,928 32,400 EMC Corporation 625,786 860,887 55,800 ON Semiconductor Corporation 459,210 562,919 14,149 Gemalto NV 638,172 651,679 2,951 Samsung Electronics Co., Ltd. 1,962,662 2,212,066 17,500 Hewlett-Packard Company 783,833 614,355 64,200 Tokyo Electron Limited 3,704,819 3,385,837 16,800 NetApp Inc. 775,456 855,344 200,900 TriQuint Semiconductor Inc. 2,516,106 1,972,456 245,000 Quanta Computer Inc. 461,443 561,382 25,600 SanDisk Corporation 1,070,432 1,024,632 Total Semiconductors & 98,000 Simplo Technology Co., Ltd. 671,805 763,935 Semiconductor Equipment 21,960,418 21,695,022 24,400 Synaptics Incorporated 619,898 605,023 236 Wacom Co., Ltd. 340,749 265,802 Telecommunication Services – 1.1% 13,246,989 16,267,658 150,000 China Unicom (Hong Kong) Limited 209,268 293,677 14,300 China Unicom (Hong Kong) Limited, ELECTRONIC EQUIPMENT & INSTRUMENTS – 5.5% Sponsored ADR 186,645 279,419 140,983 Chroma Ate Inc. 270,494 433,663 969,000 P.T. XL Axiata Tbk 416,127 671,156 9,300 Dolby Laboratories Inc., Class “A” 408,573 380,481 8,300 Murata Manufacturing Co., Ltd. 540,793 535,198 Total Telecommunication Services 812,040 1,244,252 31,700 Plexus Corp. 953,713 1,063,943 224,667 SYNNEX Corporation 389,042 526,807 Bond – 0.2% 33,800 TE Connectivity Ltd. 1,182,627 1,198,318 CORPORATE BOND – 0.2% 24,000 TPK Holding Co., Ltd. 491,761 708,261 A123 Systems Inc., Conv. (USD) 37,350 Trimble Navigation Limited 1,013,938 1,427,920 266,000 3.75% due April 15, 2016 256,570 219,024

5,250,941 6,274,591 Transaction Costs (Note 3) (79,579) 0

Total Technology, Hardware & Equipment 34,944,641 39,171,245 TOTALINVESTMENT PORTFOLIO – 99.7% 102,446,022 114,169,708 FOREIGN CURRENCIES – 0.6% 678,338 670,273 OTHER NET LIABILITIES – (0.3%) (304,273) (303,422)

TOTAL NET ASSETS – 100.0% $ 102,820,087 $ 114,536,559

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 267 TD Science & Technology Fund SECTORFUNDS

Currency Risk (Note 11) Reconciliation of Level 3 Fair Value Measurements (in 000s) The table below indicates the foreign currencies to which the Fund had significant exposure The tables below reconcile the Fund’s Level 3 fair value measurements from December 31, as at June 30, 2011 and December 31, 2010 in Canadian dollar terms, including the 2010 to June 30, 2011 and December 31, 2009 to December 31, 2010: underlying principal amount of forward currency contracts, if any. The table also illustrates Common the potential impact to the Fund’s net assets if the Fund’s functional currency, the Canadian Shares Preferred Dollar, had strengthened or weakened by 5% in relation to all other currencies, with all other variables held constant. In practice, the actual trading results may differ from these Balance at December 31, 2010 $ 137 $ 1,047 approximate sensitivity analysis amounts and the differences could be material. Purchases 0 643 Net Transfers In (Out) 542 506 Total Exposure* (000s) Impact on Net Assets (000s) Gains (Losses) Currency 2011 2010 2011 2010 Net Change in Unrealized Appreciation/ British Pound $ 3,957 $ 3,681 $ 198 $ 184 Depreciation of Investments (6) 415 Euro 3,793 3,763 190 188 Balance at June 30, 2011 $ 673 $ 2,611 Hong Kong Dollar 673 2,257 34 113 Indian Rupee 1,005 1,119 50 56 Total change in unrealized for assets Indonesian Rupiah 671 491 34 25 held at June 30, 2011 $ (6) $ 415 Japanese Yen 8,622 6,699 431 335 Common New Taiwan Dollar 5,122 6,767 256 338 Shares Preferred South Korean Won 2,212 3,709 111 185 Balance at December 31, 2009 $ 237 $ 239 Swedish Krona 577 316 29 16 Purchases 0 478 United States Dollar 88,230 75,235 4,412 3,762 Gains (Losses) Total $ 114,862 $ 104,037 $ 5,745 $ 5,202 Net Change in Unrealized Appreciation/ Depreciation of Investments (100) 330 As Percentage of Balance at December 31, 2010 $ 137 $ 1,047 Net Assets (%) 100.28 100.25 5.02 5.01 Total change in unrealized for assets * Includes both monetary and non-monetary instruments, where applicable. held at December 31, 2010 $ (100) $ 330 Financial Instruments by the Level in the Fair Value Hierarchy (in 000s) (Note 11) Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) The table below illustrates the classification of the Fund’s financial instruments within the The table below summarizes cash flows associated with the maturities of the Fund’s financial fair value hierarchy as at June 30, 2011 and December 31, 2010: liabilities as at June 30, 2011 and December 31, 2010:

Less than Level1 Level2 Level3 Total 3 months June 30, 2011 2011 2010 CommonShares $ 85,424 $ 25,243 $ 673 $ 111,340 Accounts payable and other liabilities $ 560 $ 885 Preferred Shares 002,611 2,611 Forward Contracts 03 Bonds 0 219 0 219 $ 560 $ 888 $ 85,424 $ 25,462 $ 3,284 $ 114,170

Equity positions with a fair value of $10,789 were transferred from Level 1 to Level 2 during the period as a result of decreased activity in the market for those securities.

December 31, 2010 CommonShares $ 87,808 $ 11,112 $ 137 $ 99,057 Preferred Shares 0 781 1,047 1,828 87,808 11,893 1,184 100,885 Forward Contracts 0 (3) 0 (3) $ 87,808 $ 11,890 $ 1,184 $ 100,882

Equity positions with a fair value of $6,723 were transferred from Level 2 to Level 1 during the period as a result of increased activity in the market for those securities.

268 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. SECTORFUNDS TD Health Sciences Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 153,510 $ 139,861 Interest $3$2 Foreign Currencies 3,046 669 Dividends 392 520 Dividends Receivable 47 81 Securities Lending 44 19 Subscriptions Receivable 292 140 Less: Withholding Taxes 76 (101) Receivable for Investment Sales 391 49 515 440 Unrealized Gain on Open Foreign Expenses (Note 5) Exchange Forward Contracts 00 Management Fees 1,830 1,748 157,286 140,800 Administration Fees 243 233 Liabilities Independent Review Committee Fees 00 Written Options at Fair Value (Note 3) 410 179 2,073 1,981 Accrued Liabilities 361 336 Less: Waived Expenses (0) (0) Redemptions Payable 193 163 2,073 1,981 Payable for Investment Purchases 62 81 Unrealized Loss on Open Foreign Net Investment Income (Loss) (1,558) (1,541) Exchange Forward Contracts 00Net Realized Gain (Loss) on 1,026 759 Sale of Investments 3,537 3,528 Net Change in Unrealized Appreciation/ Net Assets (Note 3) $ 156,260 $ 140,041 Depreciation of Investments 15,630 (6,691) Net Assets Representing Unitholders’ Equity (Note 4) Transaction Costs on Purchase and Sale Investor Series $ 149,546 $ 136,001 of Investments (Note 3) (50) (53) Institutional Series N/A $0Net Gain (Loss) on Investments 19,117 (3,216) Advisor Series $ 5,597 $ 3,274 Increase (Decrease) in Net Assets F-Series $ 858 $ 494 from Investment Operations† $ 17,559 $ (4,757) O-Series $ 259 $ 272 $ 156,260 $ 140,041 †Increase (Decrease) in Net Assets from Investment Operations Investor Series $ 16,999 $ (4,616) Number of Units Outstanding Institutional Series N/A $ (3) Investor Series 7,951,754 8,157,761 Advisor Series $ 441 $ (120) Institutional Series N/A 5 F-Series $ 82 $ (15) Advisor Series 621,119 409,889 O-Series $ 37 $ (3) F-Series 81,966 53,649 $ 17,559 $ (4,757) O-Series 20,238 24,246 Increase (Decrease) in Net Assets from Investment Operations – Net Assets Per Unit (Note 3) Per Unit (Note 3) Investor Series $ 18.81 $ 16.67 Investor Series $ 2.13 $ (0.51) Institutional Series N/A $ 23.21 Institutional Series N/A $ (0.60) Advisor Series $ 1.02 $ (0.28) Advisor Series $ 9.01 $ 7.99 F-Series $ 1.25 $ (0.26) F-Series $ 10.47 $ 9.21 O-Series $ 1.61 $ 0.00 O-Series $ 12.81 $ 11.20

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 269 SECTORFUNDS TD Health Sciences Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series Institutional Series Advisor Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 136,001 $ 147,307 $0$313 $ 3,274 $ 3,119 Increase (Decrease) in Net Assets from Investment Operations 16,999 (4,616) 0 (3) 441 (120) Capital Unit Transactions† Proceeds from Sale of Units 10,392 4,799 06 2,335 819 Reinvestments of Distributions 00 00 00 Early Redemption Fees 15 00000 Amounts Paid on Redemptions (13,861) (13,431) 0 (316) (453) (717) (3,454) (8,632) 0 (310) 1,882 102 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period 13,545 (13,248) 0 (313) 2,323 (18) Net Assets, End of the Period $ 149,546 $ 134,059 $0$0$5,597 $ 3,101 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 8,157,761 9,408,570 5 14,512 409,889 415,922 Units Issued 565,214 299,971 0 273 264,337 106,598 Units Issued on Reinvestments 00 00 00 Units Redeemed (771,221) (841,374) (5) (14,780) (53,107) (94,283) Units Outstanding, End of the Period 7,951,754 8,867,167 05621,119 428,237

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 494$ 380 $ 272 $0$140,041 $ 151,119 Increase (Decrease) in Net Assets from Investment Operations 82 (15) 37 (3) 17,559 (4,757) Capital Unit Transactions† Proceeds from Sale of Units 305 202 0 243 13,032 6,069 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 15 0 Amounts Paid on Redemptions (23) (105) (50) 0 (14,387) (14,569) 282 97 (50) 243 (1,340) (8,500) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period 364 82 (13) 240 16,219 (13,257) Net Assets, End of the Period $ 858$ 462 $ 259$ 240 $ 156,260$ 137,862 †Capital Unit Transactions Units Outstanding, Beginning of the Period 53,649 44,571 24,246 0 Units Issued 30,711 23,409 0 23,956 Units Issued on Reinvestments 00 00 Units Redeemed (2,394) (12,244) (4,008) 0 Units Outstanding, End of the Period 81,966 55,736 20,238 23,956

270 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. SECTORFUNDS

TD Health Sciences Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 14,900 DaVita Inc. $$805,284 1,244,181 No. of Shares 30,200 Express Scripts Inc. 946,290 1,571,951 or Units Description Cost FairValue 31,100 Fleury SA 351,922 438,581 100,700 Fortis Healthcare Limited 339,322 353,589 Equities – 98.2% 21,800 HCA Holdings Inc. 682,881 692,984 Materials – 0.8% 68,100 Health Management Associates Inc., Class “A” 487,358 708,020 CHEMICALS – 0.8% 17,600 Monsanto Company $ 1,240,427 $ 1,231,147 27,400 Henry Schein Inc. 1,451,777 1,891,832 7,100 HMS Holdings Corp. 519,361 525,690 Food & Staples Retailing – 0.8% 3,500 Laboratory Corporation of America Holdings 282,727 326,587 23,600 CVS Caremark Corporation 804,741 854,676 37,000 LCA-Vision Inc. 208,997 170,216 19,100 Raia SA 277,730 305,118 36,300 McKesson Corporation 2,219,576 2,928,198 2,500 Walgreen Co. 103,887 102,352 14,100 Mednax Inc. 891,179 981,965 Total Food & Staples Retailing 1,186,358 1,262,146 12,700 Odontoprev SA 173,621 206,019 48,200 Profarma Distribuidora de Health Care Equipment & Services – 39.4% Produtos Farmaceuticos SA 885,615 419,991 4,600 PSS World Medical Inc. 98,155 124,177 HEALTH CARE EQUIPMENT & SUPPLIES – 15.5% 15,600 ArthroCare Corporation 447,403 503,570 56,300 SelectMedicalHoldingsCorporation 490,505 481,628 50,050 Baxter International Inc. 2,805,563 2,878,866 246,400 Shanghai Pharmaceuticals 10,100 China Kanghui Holdings Inc., Holding Co., Ltd. 712,519 638,252 Sponsored ADR 212,090 228,036 50,400 Sinopharm Group Co., Ltd. 175,719 163,829 51,400 Conceptus Inc. 1,207,294 578,514 21,700 Triple-S Management Corporation 363,685 454,778 64,525 Covidien PLC 3,019,844 3,310,074 48,500 UnitedHealth Group Incorporated 1,702,062 2,413,165 46,800 DENTSPLY International Inc. 1,690,627 1,718,337 41,200 Universal Health Services Inc., Class “B” 1,757,209 2,045,973 17,400 DynaVox Inc., Class “A” 246,728 127,539 22,300 WellCare Health Plans Inc. 639,556 1,105,687 30,100 Edwards Lifesciences Corporation 1,155,938 2,530,540 30,900 WellPoint Inc. 1,576,091 2,347,167 10,100 Endologix Inc. 83,917 90,396 25,323,406 32,524,529 58,617 EnteroMedics Inc. 165,396 153,770 HEALTH CARE TECHNOLOGY – 3.1% 71,700 EnteroMedics Inc., 43,800 Allscripts Healthcare Solutions Inc. 889,732 820,357 Warrants 23/02/2013 (Restricted) 11,214 5,947 11,400 Cerner Corporation 390,288 671,008 30,700 EnteroMedics Inc., 58,900 SXC Health Solutions Corp. 2,040,465 3,347,016 Warrants 13/06/2016 (Restricted) 310 60,165 15,529 Fresenius SE & Co. KGaA 982,118 1,203,525 3,320,485 4,838,381 39,900 GenMark Diagnostics Inc. (USD) 166,200 224,347 Total Health Care Equipment & Services 50,426,178 61,578,082 15,900 HeartWare International Inc. 696,674 1,134,465 6,000 Hill-Rom Holdings Inc. 233,378 266,420 Pharmaceuticals, Biotechnology 9,400 Hospira Inc. 535,606 513,489 & Life Sciences – 55.6% 20,700 IDEXX Laboratories Inc. 1,219,624 1,548,417 BIOTECHNOLOGY – 30.6% 28,500 Insulet Corporation 513,916 608,833 31,100 Achillion Pharmaceuticals Inc. 98,502 223,158 800 Intuitive Surgical Inc. 163,876 286,874 24,300 Acorda Therapeutics Inc. 644,453 756,753 8,274 Nobel Biocare Holding AG 297,662 162,727 180,200 Alexion Pharmaceuticals Inc. 2,201,682 8,173,527 13,900 NxStage Medical Inc. 241,938 278,708 115,000 Alkermes Inc. 2,553,953 2,062,959 264,000 Shandong Weigao Group 39,300 Allos Therapeutics Inc. 273,708 76,564 Medical Polymer Company Limited 346,725 367,682 49,600 Amarin Corporation PLC, ADR 422,746 689,806 1,918 Sonova Holding AG 192,810 172,715 46,300 Amgen Inc. 3,221,908 2,604,670 1,200 Straumann Holding AG 289,135 279,099 27,600 Amylin Pharmaceuticals Inc. 567,436 355,627 51,300 Stryker Corporation 2,856,474 2,902,774 37,300 Anacor Pharmaceuticals Inc. 190,817 232,392 6,100 Thoratec Corporation 207,899 193,085 6,100 ArQule Inc. 38,696 36,770 4,700 Tornier NV 84,431 122,162 1,463 Basilea Pharmaceutica AG 116,515 103,141 900 Volcano Corporation 27,778 28,028 18,500 Biocon Limited 133,450 141,937 28,500 Zimmer Holdings Inc. 1,679,719 1,736,068 22,700 BioCryst Pharmaceuticals Inc. 136,805 83,412 21,782,287 24,215,172 5,000 Biogen Idec Inc. 348,212 515,547 63,800 BioMarin Pharmaceutical Inc. 1,438,606 1,674,283 HEALTH CARE PROVIDERS & SERVICES – 20.8% 36,200 AMERIGROUP Corporation 948,821 2,458,231 52,648 Celgene Corporation 2,719,242 3,060,291 58,300 AmerisourceBergen Corporation 1,901,134 2,327,816 24,900 Cephalon Inc. 1,773,670 1,919,023 7,200 Amil Participacoes SA 76,413 80,624 29,300 Cubist Pharmaceuticals Inc. 800,540 1,017,019 19,900 athenahealth Inc. 822,428 788,622 37,500 Dendreon Corporation 1,354,983 1,426,422 504,100 Bangkok Dusit Medical Services 27,000 Dyadic International Inc. 143,123 42,185 Public Company Limited 740,714 836,211 99,750 Gilead Sciences Inc. 2,848,770 3,982,841 24,200 Catalyst Health Solutions Inc. 885,910 1,303,522 45,300 Centene Corporation 963,082 1,551,417 38,100 Community Health Systems Inc. 1,223,493 943,626

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 271 TD Health Sciences Fund SECTORFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

22,900 GTx Inc. $$83,816 105,571 2,800 Medicis Pharmaceutical Corporation, 15,300 Halozyme Therapeutics Inc. 119,684 101,817 Class “A” $$86,754 103,104 80,700 Human Genome Sciences Inc. 1,615,064 1,909,976 57,314 Merck & Co., Inc. 2,334,414 1,949,602 181,200 Incyte Corporation 1,445,263 3,309,923 4,954 Novo Nordisk AS, Class “B” 212,699 598,570 42,000 InterMune Inc. 1,342,194 1,452,172 14,500 Optimer Pharmaceuticals Inc. 164,516 165,996 5,900 Ironwood Pharmaceuticals Inc. 59,123 89,451 13,900 Pacira Pharmaceuticals Inc. 96,424 160,736 34,300 Lexicon Pharmaceuticals Inc. 48,152 57,891 1,500 Par Pharmaceutical Companies Inc. 47,040 47,682 13,200 Micromet Inc. 92,895 73,074 44,700 Pfizer Inc. 812,025 887,654 24,900 Momenta Pharmaceuticals Inc. 304,238 467,328 22,400 Ranbaxy Laboratories Limited 215,964 262,370 60,800 Neurocrine Biosciences Inc. 486,863 472,040 40,400 Rigel Pharmaceuticals Inc. 319,872 356,519 7,500 Newron Pharmaceuticals SpA 142,506 49,946 8,687 Roche Holding AG 1,338,889 1,402,681 42,300 NPS Pharmaceuticals Inc. 380,099 385,524 10,500 Salix Pharmaceuticals Ltd. 355,395 403,246 18,500 Onyx Pharmaceuticals Inc. 589,404 629,834 2,200 Sanofi 147,564 170,679 97,200 Pharmacyclics Inc. 708,653 977,756 2,200 Sanofi, Rights 00 22,600 Pharmasset Inc. 421,668 2,443,178 9,700 Sawai Pharmaceutical Co., Ltd. 494,090 985,677 99,962 Poniard Pharmaceuticals Inc. 582,164 21,210 18,720 Shire PLC 372,747 564,506 38,500 Regeneron Pharmaceuticals Inc. 801,020 2,105,717 6,500 Shire PLC, ADR 341,968 589,969 2,700 Savient Pharmaceuticals Inc. 26,905 19,504 22,600 Simcere Pharmaceutical Group 252,223 212,299 41,800 Seattle Genetics Inc. 477,192 827,243 13,000 SunPharmaceuticalIndustriesLimited 99,625 139,648 30,000 Sinovac Biotech Ltd. 187,006 92,587 49,821 Tesaro Inc., Series ‘’B’’ Convertible Pref. 58,700 Swedish Orphan Biovitrum AB,Rights 299,004 224,068 (Restricted) 106,270 104,508 9,000 Targacept Inc. 196,943 182,889 16,235 Teva Pharmaceutical Industries Limited, 5,000 United Therapeutics Corporation 288,837 265,706 Sponsored ADR 742,021 754,708 33,290 VertexPharmaceuticalsIncorporated 944,425 1,669,219 34,100 Theravance Inc. 680,203 730,437 87,300 Vical Incorporated 202,549 346,048 10,600 Towa Pharmaceutical Co., Ltd. 357,227 616,681 130,900 YM Biosciences Inc. 349,554 353,490 46,000 Tranzyme Inc. 177,477 183,226 34,223,038 47,811,489 7,601 UCB SA 588,285 329,411 96,798 Valeant Pharmaceuticals International Inc. 2,653,574 4,851,755 PHARMACEUTICALS – 18.5% 97,000 Vectura Group PLC 110,094 119,667 14,600 Aegerion Pharmaceuticals Inc. 182,320 221,634 12,700 Warner Chilcott PLC, Class “A” 292,606 295,557 11,160 Alexza Pharmaceuticals Inc., 59,400 XenoPort Inc. 1,218,848 406,747 Warrants 05/10/2016 1,493 11,043 27,570,425 28,949,880 7,100 Allergan Inc. 376,983 569,994 19,200 Ardea Biosciences Inc. 496,289 470,713 LIFE SCIENCES TOOLS & SERVICES – 6.5% 15,600 Auxilium Pharmaceuticals Inc. 429,071 294,740 2,000 Agilent Technologies Inc. 83,489 98,586 303,900 AVANIR Pharmaceuticals Inc. 1,175,910 981,873 18,800 AMAG Pharmaceuticals Inc. 605,040 340,875 3,599 Bayer AG 228,406 278,785 16,100 BG Medicine Inc. 111,686 122,513 10,300 BioMimetic Therapeutics Inc. 89,984 50,861 36,100 Bruker BioSciences Corporation 573,992 708,519 47,400 Cadence Pharmaceuticals Inc. 410,353 420,120 31,900 Covance Inc. 1,837,137 1,825,344 7,950 Cadence Pharmaceuticals Inc., 152,400 Exelixis Inc. 1,206,827 1,316,960 Warrants 19/02/2014 (Restricted) 1,250 19,598 30,100 Illumina Inc. 940,734 2,181,310 47,600 Cardiome Pharma Corp. 259,648 203,372 22,425 Infinity Pharmaceuticals Inc. 296,171 178,429 743,200 ChinaMedicalSystemHoldingsLimited 775,109 733,558 10,400 Medivation Inc. 220,495 214,849 25,000 Depomed Inc. 190,100 196,748 1,200 Mettler-Toledo International Inc. 190,192 195,347 154,500 Elan Corporation PLC, ADR 2,895,131 1,694,216 20,900 Nektar Therapeutics 241,776 146,340 2,451 GlaxoSmithKlinePharmaceuticalsLimited 74,811 124,276 8,500 PacificBiosciencesofCaliforniaInc. 120,059 95,833 16,558 Hikma Pharmaceuticals PLC 128,743 194,949 21,000 Thermo Fisher Scientific Inc. 1,071,633 1,303,715 136,500 Idenix Pharmaceuticals Inc. 549,856 655,604 15,000 Waters Corporation 870,459 1,385,191 22,400 Impax Laboratories Inc. 515,809 470,096 8,369,690 10,113,811 14,600 ISTA Pharmaceuticals Inc. 140,013 107,579 20,300 Jazz Pharmaceuticals Inc. 533,998 652,350 Total Pharmaceuticals, Biotechnology 11,000 Johnson & Johnson 671,367 705,071 & Life Sciences 70,163,153 86,875,180 255,000 Lijun International Pharmaceutical (Holding) Co., Ltd. 57,370 51,354 Software & Services – 1.6% 17,900 MAP Pharmaceuticals Inc. 247,283 275,528 INTERNET SOFTWARE & SERVICES – 0.6% 136,500 The Medicines Company 2,520,314 2,172,183 19,500 WebMD Health Corp., Class “A” 1,019,764 857,025

IT SERVICES – 0.3% 6,400 MAXIMUS Inc. 461,353 510,094

SOFTWARE – 0.7% 55,300 Nuance Communications Inc. 886,230 1,144,549

Total Software & Services 2,367,347 2,511,668

Total Equities 125,383,463 153,458,223

272 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Health Sciences Fund SECTORFUNDS

No. of No. of No.Contracts/ of Shares ParContracts Value Description Cost FairValue Paror Value Units Description Cost FairValue

Options – (0.2%) UnitedHealth Group Incorporated OPTIONS, WRITTEN – (0.2%) (50) Call 55, 17/12/2011 $$(7,126) (11,236) Alexion Pharmaceuticals Inc. (86) Call 50, 21/01/2012 (9,107) (42,715) (12) Call 50, 20/08/2011 $$(1,449) (1,505) Valeant Pharmaceuticals International Inc. (25) Call 57.5, 19/11/2011 (3,478) (2,532) (28) Call 45, 16/07/2011 (3,645) (21,334) Allergan Inc. (55) Call 60, 21/01/2012 (16,402) (18,566) (15) Call 80, 21/01/2012 (5,848) (11,863) Vertex Pharmaceuticals Incorporated Amgen Inc. (41) Call 55, 16/07/2011 (5,149) (2,175) (38) Call 67.5, 21/01/2012 (4,823) (2,749) (41) Call 60, 16/07/2011 (6,523) (593) Biogen Idec Inc. Waters Corporation (28) Call 90, 21/01/2012 (6,079) (58,330) (27) Call 115, 19/11/2011 (3,643) (2,083) (13) Call 115, 21/01/2012 (6,658) (9,403) Zimmer Holdings Inc. (76) Call 75, 21/01/2012 (11,083) (7,330) Celgene Corporation (28) Call 57.5, 16/07/2011 (5,589) (8,506) Total Options (281,977) (409,944) (14) Call 60, 16/07/2011 (1,789) (1,742) (56) Call 67.5, 16/07/2011 (6,465) (378) Bond – 0.0% (58) Call 75, 21/01/2012 (16,092) (3,412) CORPORATE BOND – 0.0% Cephalon Inc. Insulet Corporation, Conv. (USD) (14) Call 65, 20/08/2011 (3,252) (20,659) 50,000 Callable 3.75% due June 15, 2016 49,353 51,538 (56) Call 70, 20/08/2011 (8,136) (56,170) Transaction Costs (Note 3) (102,570) 0 Community Health Systems Inc. TOTALINVESTMENT (53) Call 35, 17/09/2011 (10,822) (767) PORTFOLIO – 98.0% 125,048,269 153,099,817 Covance Inc. FOREIGN CURRENCIES – 1.9% 3,082,336 3,045,502 (27) Call 70, 20/08/2011 (3,689) (521) FORWARDCONTRACTS Express Scripts Inc. (SCHEDULE 1) – 0.0% 0 111 (50) Call 60, 21/01/2012 (12,110) (9,066) (14) Call 70, 21/01/2012 (3,141) (486) OTHER NET ASSETS – 0.1% 119,590 114,249 Human Genome Sciences Inc. TOTAL NET ASSETS – 100.0% $ 128,250,195 $ 156,259,679 (78) Call 28, 22/10/2011 (9,620) (7,071) (102) Call 30, 22/10/2011 (18,945) (5,312) (27) Call 35, 22/10/2011 (3,302) (417) Illumina Inc. (4) Call 90, 21/01/2012 (908) (1,196) Intuitive Surgical Inc. (8) Call 300, 21/01/2012 (22,187) (65,428) Monsanto Company (50) Call 82.5, 22/10/2011 (5,474) (4,629) (54) Call 80, 21/01/2012 (15,610) (15,884) (42) Call 85, 21/01/2012 (16,859) (7,332) Stryker Corporation (26) Call 65, 17/09/2011 (4,741) (1,128) (110) Call 70, 21/01/2012 (22,233) (7,426)

July 01, 2011 30,663 CHF $ 35,174 36,805 USD $ 35,497 0.83310 $ 323

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 01, 2011 22,340 GBP $ 34,580 35,635 USD $ 34,368 1.59510 $ (212)

TOTALNUMBEROFCONTRACTS: 2 NETAPPRECIATION $ 111

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 273 TD Health Sciences Fund SECTORFUNDS

Currency Risk (Note 11) Reconciliation of Level 3 Fair Value Measurements (in 000s) The table below indicates the foreign currencies to which the Fund had significant exposure The tables below reconcile the Fund’s Level 3 fair value measurements from December 31, as at June 30, 2011 and December 31, 2010 in Canadian dollar terms, including the 2010 to June 30, 2011 and December 31, 2009 to December 31, 2010: underlying principal amount of forward currency contracts, if any. The table also illustrates the potential impact to the Fund’s net assets if the Fund’s functional currency, the Canadian Preferred Dollar, had strengthened or weakened by 5% in relation to all other currencies, with all other variables held constant. In practice, the actual trading results may differ from these Balance at December 31, 2010 $0 approximate sensitivity analysis amounts and the differences could be material. Net Transfers In (Out) 105 Balance at June 30, 2011 $ 105 Total Exposure* (000s) Impact on Net Assets (000s) Currency 2011 2010 2011 2010 Common Shares Brazilian Real $ 1,450 $ 1,505 $ 73 $ 75 Balance at December 31, 2009 $ 125 British Pound 879 1,262 44 63 Sales (120) Danish Krone 599 613 30 31 Gains (Losses) Euro 1,985 2,012 99 101 Net Change in Unrealized Appreciation/ Hong Kong Dollar 1,955 0 98 0 Depreciation of Investments (5) Indian Rupee 1,022 494 51 25 Japanese Yen 1,602 2,313 80 116 Balance at December 31, 2010 $0 Mexican Nuevo Peso 0 170 09Total change in unrealized for assets Swedish Krona 224 351 11 18 held at December 31, 2010 $0 Swiss Franc 2,170 2,339 109 117 Thai Baht 836 559 42 28 Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) UnitedStatesDollar 143,790 128,754 7,190 6,438 The table below summarizes cash flows associated with the maturities of the Fund’s financial Yuan Renminbi 1000 liabilities as at June 30, 2011 and December 31, 2010: Total $ 156,513 $ 140,372 $ 7,827 $ 7,021 Lessthan 3months Greaterthan As Percentage of 3months to1year 1year Net Assets (%) 100.16 100.24 5.01 5.01 June 30, 2011 Accountspayableandotherliabilities $ 616 $0$0 * Includes both monetary and non-monetary instruments, where applicable. Options 116 294 0 Financial Instruments by the Level in the Fair Value Hierarchy $ 732 $ 294 $0 (in 000s) (Note 11) The table below illustrates the classification of the Fund’s financial instruments within the December 31, 2010 fair value hierarchy as at June 30, 2011 and December 31, 2010: Accountspayableandotherliabilities $ 580 $0$0 Options 50 95 34 Level1 Level2 Level3 Total $ 630 $ 95 $ 34 June 30, 2011 CommonShares $ 144,112 $ 9,144 $0$153,256 Preferred Shares 00105 105 Warrants 0 97 0 97 Bonds 0 52 0 52 144,112 9,293 105 153,510 Options (410) 00(410) $ 143,702 $ 9,293 $ 105 $ 153,100

Equity positions with a fair value of $1,490 and $794 were transferred from Level 1 to 2 and Level 2 to 1 respectively during the period as a result of changes in activities in the market for those securities. Options with a fair value of $(75) were transferred from Level 2 to Level 1 during the period as a result of increased activity in the market for those securities.

December 31, 2010 CommonShares $ 132,142 $ 7,719 $0$139,861 Options (50) (129) 0 (179) $ 132,092 $ 7,590 $0$139,682

Equity positions with a fair value of $549 and $1,015 were transferred from Level 1 to 2 and Level 2 to 1 respectively during the period as a result of changes in activities in the market for those securities.

274 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. INDEXFUNDS TD Canadian Bond Index Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 394,235 $ 378,194 Interest $ 8,044 $ 7,912 Short-Term Investments 400 800 Securities Lending 26 23 Cash 124 148 8,070 7,935 Interest Receivable 2,621 2,569 Expenses (Note 5) Subscriptions Receivable 966 2,123 Management Fees 1,037 974 Receivable for Investment Sales 2,453 1,263 Independent Review Committee Fees 11 400,799 385,097 Bank Charges 20 Liabilities 1,040 975 Accrued Liabilities 177 174 Less: Waived Expenses (2) (0) Redemptions Payable 1,186 670 1,038 975 Distributions Payable 326 0 Payable for Investment Purchases 2,450 2,438 Net Investment Income (Loss) 7,032 6,960 4,139 3,282 Net Realized Gain (Loss) on Sale of Investments 44 (374) Net Assets (Note 3) $ 396,660 $ 381,815 Net Change in Unrealized Appreciation/ Net Assets Representing Unitholders’ Equity (Note 4) Depreciation of Investments 516 7,511 Investor Series $ 177,924 $ 180,237 Net Gain (Loss) on Investments 560 7,137 e-Series $ 128,877 $ 110,638 Increase (Decrease) in Net Assets Institutional Series $ 2,514 $ 2,141 from Investment Operations† $ 7,592 $ 14,097 F-Series $ 2,189 $ 2,136 O-Series $ 85,156 $ 86,663 †Increase (Decrease) in Net Assets from Investment Operations $ 396,660 $ 381,815 Investor Series $ 3,143 $ 6,745 e-Series $ 2,430 $ 3,614 Number of Units Outstanding Institutional Series $ 49 $ 551 Investor Series 16,328,362 16,543,158 F-Series $ 42 $ 71 e-Series 11,656,542 10,011,183 O-Series $ 1,928 $ 3,116 Institutional Series 241,215 205,525 $ 7,592 $ 14,097 F-Series 197,358 192,655 Increase (Decrease) in Net Assets from Investment Operations – O-Series 8,341,840 8,488,893 Per Unit (Note 3) Net Assets Per Unit (Note 3) Investor Series $ 0.19 $ 0.40 Investor Series $ 10.90 $ 10.89 e-Series $ 0.21 $ 0.44 e-Series $ 11.06 $ 11.05 Institutional Series $ 0.21 $ 0.24 F-Series $ 0.21 $ 0.41 Institutional Series $ 10.42 $ 10.42 O-Series $ 0.22 $ 0.50 F-Series $ 11.09 $ 11.09 O-Series $ 10.21 $ 10.21

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 275 INDEXFUNDS TD Canadian Bond Index Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series e-Series Institutional Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 180,237 $ 192,810 $ 110,638 $ 85,040 $ 2,141 $ 43,153 Increase (Decrease) in Net Assets from Investment Operations 3,143 6,745 2,430 3,614 49 551 Capital Unit Transactions† Proceeds from Sale of Units 17,943 20,340 27,186 18,314 680 1,344 Reinvestments of Distributions 2,951 3,336 2,157 1,760 39 491 Early Redemption Fees 35 23 00 Amounts Paid on Redemptions (23,212) (48,528) (11,251) (11,090) (350) (43,407) (2,315) (24,847) 18,094 8,987 369 (41,572) Distributions to Unitholders (3,141) (3,528) (2,285) (1,870) (45) (491) Increase (Decrease) in Net Assets for the Period (2,313) (21,630) 18,239 10,731 373 (41,512) Net Assets, End of the Period $ 177,924 $ 171,180 $ 128,877 $ 95,771 $ 2,514 $ 1,641 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 16,543,158 18,108,953 10,011,183 7,880,457 205,525 4,241,239 Units Issued 1,656,036 1,894,579 2,473,120 1,683,337 65,548 130,766 Units Issued on Reinvestments 272,443 310,439 196,196 161,561 3,817 47,773 Units Redeemed (2,143,275) (4,540,676) (1,023,957) (1,021,323) (33,675) (4,261,496) Units Outstanding, End of the Period 16,328,362 15,773,295 11,656,542 8,704,032 241,215 158,282

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 2,136 $ 2,115 $ 86,663 $ 36,776 $ 381,815 $ 359,894 Increase (Decrease) in Net Assets from Investment Operations 42 71 1,928 3,116 7,592 14,097 Capital Unit Transactions† Proceeds from Sale of Units 552 579 6,083 67,419 52,444 107,996 Reinvestments of Distributions 37 33 1,700 1,215 6,884 6,835 Early Redemption Fees 00 23 711 Amounts Paid on Redemptions (537) (1,022) (9,314) (23,388) (44,664) (127,435) 52 (410) (1,529) 45,249 14,671 (12,593) Distributions to Unitholders (41) (39) (1,906) (1,440) (7,418) (7,368) Increase (Decrease) in Net Assets for the Period 53 (378) (1,507) 46,925 14,845 (5,864) Net Assets, End of the Period $ 2,189 $ 1,737 $ 85,156 $ 83,701 $ 396,660 $ 354,030 †Capital Unit Transactions Units Outstanding, Beginning of the Period 192,655 195,207 8,488,893 3,684,888 Units Issued 50,177 52,951 600,067 6,754,420 Units Issued on Reinvestments 3,339 3,061 167,619 120,988 Units Redeemed (48,813) (93,882) (914,739) (2,330,136) Units Outstanding, End of the Period 197,358 157,337 8,341,840 8,230,160

276 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. INDEXFUNDS

TD Canadian Bond Index Fund Par Value Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) $$1,804,000 4.00% due June 01, 2017 1,928,723$ 1,948,826 3,259,000 4.25% due June 01, 2018 3,529,825 3,576,028 Par Value Description Cost FairValue 4,834,000 3.75% due June 01, 2019 5,031,260 5,130,022 1,888,000 3.50% due June 01, 2020 1,950,080 1,958,101 Canadian Bonds – 99.4% 3,124,000 3.25% due June 01, 2021 3,189,694 3,160,343 FEDERAL BONDS & GUARANTEES – 45.1% 290,000 9.75% due June 01, 2021 479,851 455,094 Broadcast Centre Trust 355,000 9.25% due June 01, 2022 575,165 554,933 $ 529,547 Callable7.53%dueMay01,2027 $ 591,471 $ 673,057 700,800 8.00% due June 01, 2023 1,004,192 1,031,699 Business Development Bank of Canada 740,000 9.00% due June 01, 2025 1,207,663 1,208,835 934,000 4.75% due July 26, 2021 942,613 1,033,510 1,528,000 8.00% due June 01, 2027 2,327,451 2,397,829 333,000 4.35% due February 28, 2022 332,967 360,846 3,982,000 5.75% due June 01, 2029 4,961,290 5,191,162 5,158,000 5.75% due June 01, 2033 6,556,159 6,887,494 Canada Housing Trust No. 1 5,072,000 5.00% due June 01, 2037 6,185,149 6,282,408 5,655,000 4.55% due December 15, 2012 5,697,385 5,900,862 4,385,000 4.00% due June 01, 2041 4,713,858 4,748,955 3,524,000 3.60% due June 15, 2013 3,518,326 3,654,019 3,626,000 3.95% due June 15, 2013 3,620,452 3,783,861 Royal Office Finance LP 3,510,000 3.55% due September 15, 2013 3,509,228 3,646,372 649,088 Callable5.209%dueNovember12,2032 649,082 696,210 3,279,000 2.70% due December 15, 2013 3,271,852 3,348,013 176,500,165 178,726,931 2,985,000 2.20% due March 15, 2014 2,979,418 3,008,031 PROVINCIAL BONDS & GUARANTEES – 24.6% 3,235,000 3.15% due June 15, 2014 3,233,253 3,341,746 Alberta Capital Finance Authority 2,692,000 2.75% due September 15, 2014 2,686,670 2,748,133 117,000 5.00% due December 02, 2013 125,479 125,618 2,527,000 2.75% due December 15, 2014 2,522,325 2,577,891 221,000 4.90% due June 01, 2015 235,619 241,978 2,336,000 2.95% due March 15, 2015 2,334,832 2,396,450 288,000 3.05% due June 15, 2015 287,338 295,567 2,117,000 3.15% due June 15, 2015 2,114,206 2,184,928 56,000 4.35% due June 15, 2016 55,323 60,480 2,186,000 2.45% due December 15, 2015 2,180,710 2,187,111 157,000 4.65% due June 15, 2017 158,078 171,929 2,160,000 2.75% due December 15, 2015 2,155,118 2,188,320 200,000 4.45% due December 15, 2025 191,038 209,627 4,440,000 2.75% due June 15, 2016 4,457,314 4,476,137 3,032,000 4.10% due December 15, 2018 3,147,828 3,233,225 Alberta Treasury Branches 1,874,000 3.75% due March 15, 2020 1,859,729 1,934,518 261,000 4.40% due December 03, 2012 263,030 271,381 1,990,000 3.35% due December 15, 2020 1,972,178 1,979,015 301,000 3.85% due June 03, 2013 300,274 313,133 2,012,000 3.80% due June 15, 2021 2,028,871 2,065,405 Financement-Quebec Canada Mortgage and Housing Corporation 366,000 4.25% due March 01, 2014 363,043 387,150 296,000 4.25% due February 01, 2016 288,612 318,396 424,000 3.25% due June 01, 2014 428,352 437,657 391,000 4.35% due February 01, 2017 390,288 423,567 358,000 4.25% due December 01, 2015 361,118 382,568 355,000 6.25% due December 01, 2015 410,456 408,654 Canada Post Corporation 660,000 3.50% due December 01, 2016 660,458 679,553 241,000 4.08% due July 16, 2025 242,419 251,429 589,000 3.50% due December 01, 2017 588,746 599,363 149,000 4.36% due July 16, 2040 149,036 157,685 654,000 5.25% due June 01, 2034 684,702 722,193 CBC Monetization Trust Hydro-Quebec 37,768 4.688% due May 15, 2027 37,768 39,352 410,000 10.25% due July 16, 2012 562,037 446,809 Export Development Canada 410,000 11.00% due August 15, 2020 679,457 636,312 433,000 5.80% due December 03, 2012 485,106 458,834 300,000 6.00% due August 15, 2031 352,689 365,021 283,000 5.10% due June 02, 2014 301,326 307,509 450,000 6.50% due January 16, 2035 556,731 582,025 593,000 4.30% due June 01, 2016 602,097 640,121 281,000 6.50% due February 15, 2035 355,808 365,444 Farm Credit Canada 282,000 6.00% due February 15, 2040 336,684 353,971 146,000 4.00% due May 24, 2013 145,664 152,059 590,000 5.00% due February 15, 2045 603,488 651,163 Government of Canada 1,084,000 5.00% due February 15, 2050 1,155,792 1,208,601 9,874,000 2.00% due September 01, 2012 9,965,617 9,948,731 New Brunswick (F-M) Project Company Inc. 7,552,000 1.50% due December 01, 2012 7,545,898 7,559,551 449,820 Callable6.47%dueNovember30,2027 545,746 524,845 5,623,000 1.75% due March 01, 2013 5,630,180 5,645,918 Newfoundland and Labrador Hydro 4,406,000 3.50% due June 01, 2013 4,637,165 4,565,116 56,000 4.30% due October 13, 2016 55,874 60,069 2,973,000 5.25% due June 01, 2013 3,278,542 3,178,035 50,000 10.25% due July 14, 2017 77,117 69,601 4,189,000 2.50% due September 01, 2013 4,264,099 4,265,686 100,000 8.40% due February 27, 2026 148,291 146,308 1,500,000 2.00% due March 01, 2014 1,509,750 1,508,538 163,000 6.65% due August 27, 2031 209,932 213,745 1,385,000 10.25% due March 15, 2014 2,023,459 1,692,530 195,000 5.70% due July 14, 2033 224,076 231,279 5,270,000 3.00% due June 01, 2014 5,421,434 5,440,230 Ontario Electricity Financial Corporation 690,500 5.00% due June 01, 2014 782,164 751,949 480,000 10.00% due October 17, 2014 695,104 597,782 500,000 2.25% due August 01, 2014 503,300 505,321 150,000 11.00% due October 01, 2020 256,809 234,027 5,522,000 2.00% due December 01, 2014 5,388,868 5,526,501 147,000 10.125% due October 15, 2021 241,248 224,044 2,590,000 2.50% due June 01, 2015 2,608,451 2,628,682 400,000 8.90% due August 18, 2022 606,106 575,832 3,101,000 4.50% due June 01, 2015 3,357,731 3,379,828 55,000 8.50% due May 26, 2025 82,519 80,457 405,000 11.25% due June 01, 2015 643,146 544,038 125,000 9.00% due May 26, 2025 195,779 188,750 8,001,000 3.00% due December 01, 2015 8,246,294 8,259,550 100,000 8.25% due June 22, 2026 146,861 145,156 4,039,000 2.00% due June 01, 2016 3,984,617 3,976,732 3,184,000 4.00% due June 01, 2016 3,393,718 3,430,814 1,200,000 2.75% due September 01, 2016 1,227,228 1,220,840

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 277 TD Canadian Bond Index Fund INDEXFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Ontario Infrastructure Projects Corporation $$22,000 5.70% due March 05, 2037 26,086$ 26,609 $$155,000 3.95% due June 03, 2013 154,747$ 160,988 67,000 4.60% due March 05, 2038 64,943 69,780 257,000 4.70% due June 01, 2037 257,342 252,445 95,000 4.65% due March 05, 2040 90,811 100,025 Ontario School Boards Financing Corporation 388,000 4.10% due March 05, 2041 371,657 373,149 248,000 5.30% due November 07, 2013 268,470 266,114 152,000 4.40% due March 05, 2042 151,602 153,767 375,000 Callable6.25%dueOctober19,2016 431,650 433,676 77,000 4.70% due March 05, 2050 77,176 82,813 140,839 Callable 7.20% due June 09, 2025 178,671 168,782 Province of New Brunswick 431,888 Callable6.55%dueOctober19,2026 526,616 501,773 188,000 5.875% due December 06, 2012 210,671 199,348 99,364 Callable5.90%dueOctober11,2027 114,170 110,594 175,000 9.25% due January 18, 2013 224,949 195,125 472,903 Callable5.80%dueNovember07,2028 536,965 520,384 86,000 3.35% due June 01, 2013 87,015 88,618 443,560 5.483% due November 26, 2029 485,134 474,048 200,000 8.50% due June 28, 2013 247,518 226,041 159,842 4.789% due August 08, 2030 161,941 160,710 68,000 4.50% due February 04, 2015 69,842 73,246 156,829 Callable 5.07% due April 18, 2031 156,829 161,816 100,000 8.75% due May 12, 2015 135,854 123,238 228,639 Callable5.376%dueJune25,2032 228,639 241,275 110,000 4.30% due December 03, 2015 110,368 117,963 Ontario Strategic Infrastructure Financing Authority 196,000 4.70% due July 21, 2016 207,862 214,128 283,000 4.60% due June 01, 2015 291,777 303,475 180,000 6.75% due June 27, 2017 219,652 216,395 120,000 6.00% due December 27, 2017 138,703 139,926 Province of Alberta 490,000 4.45% due March 26, 2018 484,377 525,669 56,244 5.394% due June 14, 2013 68,420 58,946 183,000 4.40% due June 03, 2019 182,989 193,456 387,000 2.75% due December 01, 2014 385,782 394,701 174,000 4.50% due June 02, 2020 177,225 183,555 84,848 5.93% due September 16, 2016 100,520 92,992 130,000 5.65% due December 27, 2028 148,966 151,724 332,000 4.00% due December 01, 2019 335,215 345,685 363,000 5.50% due January 27, 2034 402,074 418,327 152,000 4.50% due December 01, 2040 150,655 159,813 120,000 4.65% due September 26, 2035 121,384 123,810 Province of British Columbia 260,000 4.55% due March 26, 2037 249,700 264,122 75,000 8.50% due August 23, 2013 97,832 85,550 364,000 4.80% due September 26, 2039 360,920 385,230 100,000 7.50% due June 09, 2014 124,506 115,373 332,000 4.80% due June 03, 2041 331,481 352,027 449,000 4.25% due June 18, 2014 476,125 477,507 Province of Newfoundland and Labrador 94,000 5.30% due June 18, 2014 102,797 102,768 111,000 5.25% due June 04, 2014 119,906 120,898 79,000 4.70% due December 01, 2017 78,714 86,494 175,000 10.13% due November 22, 2014 240,269 219,812 217,000 5.60% due June 01, 2018 244,513 248,729 100,000 8.45% due February 05, 2026 148,857 147,313 575,000 4.65% due December 18, 2018 590,999 624,428 150,000 6.15% due April 17, 2028 179,814 184,990 293,000 5.30% due June 17, 2019 321,994 330,248 150,000 6.50% due October 17, 2029 188,281 193,122 642,000 4.10% due December 18, 2019 637,264 667,506 100,000 6.55% due October 17, 2030 126,805 130,306 200,000 10.60% due September 05, 2020 316,140 306,302 118,000 5.60% due October 17, 2033 133,860 139,343 587,000 3.70% due December 18, 2020 584,961 585,993 98,000 5.70% due October 17, 2035 113,162 117,636 210,000 9.95% due May 15, 2021 333,066 316,227 133,000 4.50% due April 17, 2037 132,177 135,901 83,000 4.80% due June 15, 2021 83,194 89,906 32,000 4.65% due October 17, 2040 30,820 33,678 120,000 8.75% due August 19, 2022 180,845 172,447 180,000 8.00% due September 08, 2023 257,922 250,514 Province of Nova Scotia 300,000 6.15% due November 19, 2027 355,500 373,011 93,000 4.50% due June 01, 2013 92,580 97,835 228,000 5.62% due August 17, 2028 256,761 266,495 48,000 4.70% due January 14, 2015 50,088 51,945 155,000 5.70% due June 18, 2029 180,646 184,575 148,000 4.60% due August 18, 2016 147,133 161,104 157,000 6.35% due June 18, 2031 199,584 201,370 446,000 4.15% due November 25, 2019 443,647 463,055 97,000 5.40% due June 18, 2035 110,523 112,640 134,000 4.10% due June 01, 2021 133,685 136,474 286,000 4.70% due June 18, 2037 287,742 302,644 58,000 4.45% due October 24, 2021 56,869 60,734 776,000 4.95% due June 18, 2040 796,300 857,124 180,000 9.60% due January 30, 2022 285,448 267,316 882,000 4.30% due June 18, 2042 875,780 880,209 275,000 6.60% due June 01, 2027 349,552 350,864 77,000 6.60% due December 01, 2031 100,039 100,273 Province of Manitoba 105,000 5.80% due June 01, 2033 124,202 125,702 84,000 5.25% due December 03, 2012 91,032 88,343 113,000 4.90% due June 01, 2035 117,947 120,927 107,000 4.25% due June 03, 2013 106,587 112,084 292,000 4.50% due June 01, 2037 285,077 295,215 200,000 8.50% due July 22, 2013 257,099 227,001 141,000 4.70% due June 01, 2041 143,177 147,709 84,000 5.05% due December 03, 2013 89,540 90,266 208,000 4.40% due June 01, 2042 208,704 207,581 163,000 3.05% due September 01, 2014 162,954 167,621 161,000 4.80% due December 03, 2014 169,865 174,669 Province of Ontario 161,000 5.20% due December 03, 2015 173,787 179,019 767,000 4.50% due December 02, 2012 768,825 798,494 120,000 4.30% due March 01, 2016 119,300 129,098 254,000 5.375% due December 02, 2012 276,721 267,511 162,000 4.70% due September 22, 2017 161,357 177,185 1,688,000 4.75% due June 02, 2013 1,777,039 1,783,853 100,000 6.50% due September 22, 2017 120,697 119,436 1,759,000 5.00% due March 08, 2014 1,916,152 1,896,151 265,000 4.25% due March 05, 2018 263,890 282,384 1,473,000 3.25% due September 08, 2014 1,486,253 1,522,404 143,000 5.50% due November 15, 2018 157,536 163,217 497,000 4.50% due March 08, 2015 508,726 535,132 164,000 4.75% due February 11, 2020 161,199 177,603 1,050,000 3.15% due September 08, 2015 1,061,385 1,078,286 308,000 4.15% due June 03, 2020 315,356 318,980 553,000 4.40% due March 08, 2016 549,302 596,349 97,000 3.85% due December 01, 2021 96,876 96,950 506,000 3.20% due September 08, 2016 504,745 516,964 208,000 4.40% due September 05, 2025 208,557 215,517 1,272,000 4.30% due March 08, 2017 1,248,356 1,364,146 85,000 7.75% due December 22, 2025 120,897 119,105 875,000 4.20% due March 08, 2018 865,907 927,394 509,000 10.50% due March 05, 2031 960,586 929,684

278 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Canadian Bond Index Fund INDEXFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

$$414,000 5.50% due June 02, 2018 451,034$ 470,269 $$106,000 5.80% due September 05, 2033 126,415$ 129,963 1,671,000 4.40% due June 02, 2019 1,696,413 1,772,299 196,000 5.60% due September 05, 2035 228,440 235,646 3,575,000 4.20% due June 02, 2020 3,660,265 3,706,212 158,000 5.00% due March 05, 2037 167,925 176,255 343,000 4.85% due June 02, 2020 340,969 372,500 340,000 4.75% due June 01, 2040 352,326 369,033 1,855,000 4.00% due June 02, 2021 1,857,765 1,878,184 Yukon Development Corporation 390,000 9.50% due July 13, 2022 617,466 583,490 38,000 5.00% due June 29, 2040 37,743 39,782 400,000 8.10% due September 08, 2023 573,043 558,118 95,628,716 97,416,321 250,000 7.50% due February 07, 2024 340,680 335,088 390,000 8.50% due December 02, 2025 588,652 576,560 MUNICIPAL BONDS – 1.9% 160,000 8.00% due June 02, 2026 231,730 228,525 The 55 School Board Trust 549,000 7.60% due June 02, 2027 759,277 768,628 316,000 Callable 5.90% due June 02, 2033 369,641 367,322 400,000 6.25% due August 25, 2028 487,965 496,558 City of Montreal 825,000 6.50% due March 08, 2029 1,035,370 1,057,065 161,000 4.95% due December 10, 2014 167,726 174,055 383,000 6.20% due June 02, 2031 470,484 480,552 92,000 4.60% due June 01, 2017 91,814 97,840 1,976,000 5.85% due March 08, 2033 2,384,645 2,396,385 97,000 5.00% due December 01, 2017 97,476 105,581 655,000 5.60% due June 02, 2035 745,866 775,136 77,000 5.00% due December 01, 2018 76,344 83,537 1,047,000 4.70% due June 02, 2037 1,068,685 1,100,861 110,000 5.45% due December 01, 2019 113,681 121,849 2,209,000 4.60% due June 02, 2039 2,173,760 2,295,471 128,000 4.50% due December 01, 2021 127,112 130,912 217,000 5.65% due July 13, 2039 253,139 259,979 98,000 6.00% due June 01, 2043 116,140 117,517 3,010,000 4.65% due June 02, 2041 3,096,784 3,159,541 City of Ottawa Province of Prince Edward Island 18,000 5.05% due August 13, 2030 17,899 18,614 50,000 9.75% due December 17, 2012 64,555 55,795 44,000 4.60% due July 14, 2042 43,942 43,138 151,000 3.20% due June 02, 2014 150,630 155,714 City of Toronto 30,000 8.50% due October 27, 2015 40,277 37,236 116,000 5.125% due September 25, 2013 124,162 123,799 41,000 4.25% due September 24, 2019 40,951 42,822 82,000 5.30% due May 21, 2014 88,570 88,806 38,000 3.70% due September 02, 2020 37,799 37,689 107,000 4.90% due October 29, 2014 112,811 115,609 98,000 6.10% due July 29, 2027 116,330 118,897 57,000 4.55% due May 20, 2015 58,292 61,073 48,000 6.25% due January 29, 2032 57,819 59,840 79,000 4.85% due July 28, 2016 78,666 86,106 198,000 5.60% due February 21, 2034 224,762 229,626 18,000 5.05% due July 18, 2017 18,186 19,776 115,000 5.70% due June 15, 2035 132,694 135,483 143,000 4.95% due June 27, 2018 142,565 155,402 38,000 5.30% due May 19, 2036 41,441 42,716 25,000 5.60% due December 18, 2018 27,674 28,117 27,000 4.65% due November 19, 2037 26,562 27,692 53,000 4.50% due December 02, 2019 52,836 55,474 49,000 4.60% due May 19, 2041 48,655 50,024 107,000 6.80% due July 26, 2021 132,909 130,488 Province of Quebec 102,539 5.342% due July 18, 2027 102,539 112,290 345,000 6.00% due October 01, 2012 386,771 364,031 228,000 5.20% due June 01, 2040 230,006 245,038 852,000 5.25% due October 01, 2013 941,001 915,694 131,000 4.70% due June 10, 2041 130,435 130,575 964,000 5.50% due December 01, 2014 1,065,657 1,066,620 City of Vancouver 467,000 5.00% due December 01, 2015 488,064 514,187 61,000 3.30% due June 05, 2014 60,836 62,775 1,077,000 4.50% due December 01, 2016 1,096,187 1,164,658 56,000 4.70% due December 01, 2017 55,668 60,394 1,383,000 4.50% due December 01, 2017 1,395,750 1,490,546 45,000 4.90% due December 02, 2019 44,944 48,393 1,503,000 4.50% due December 01, 2018 1,500,496 1,609,022 47,000 4.50% due June 01, 2020 46,820 48,989 2,758,000 4.50% due December 01, 2019 2,864,032 2,927,289 1,895,000 4.50% due December 01, 2020 1,958,268 1,995,456 City of Winnipeg 998,000 4.25% due December 01, 2021 1,002,231 1,024,590 90,000 9.125% due May 12, 2015 124,342 111,224 360,000 9.375% due January 16, 2023 561,100 536,232 100,000 6.25% due November 17, 2017 117,142 115,939 60,000 9.50% due March 30, 2023 94,571 90,257 47,000 5.20% due July 17, 2036 45,826 49,426 275,000 5.35% due June 01, 2025 297,126 309,295 Durham District School Board 365,000 8.50% due April 01, 2026 543,650 537,431 185,000 6.75% due November 19, 2019 225,747 221,773 535,000 6.00% due October 01, 2029 626,021 648,454 Municipal Finance Authority of British Columbia 383,000 6.25% due June 01, 2032 464,243 480,299 51,000 5.25% due December 03, 2012 55,156 53,581 809,000 5.75% due December 01, 2036 890,159 969,272 88,000 4.90% due December 03, 2013 93,324 94,031 969,000 5.00% due December 01, 2038 981,303 1,055,582 180,000 3.10% due June 01, 2014 179,933 184,891 2,875,000 5.00% due December 01, 2041 3,052,843 3,151,714 112,000 4.90% due December 02, 2014 118,716 121,584 Province of Saskatchewan 155,000 4.15% due October 13, 2015 155,055 164,804 244,000 4.90% due December 03, 2013 259,444 261,479 135,000 4.65% due April 19, 2016 136,686 146,629 155,000 10.25% due April 10, 2014 224,775 189,155 198,000 3.00% due June 01, 2016 197,735 200,093 101,000 5.25% due June 03, 2014 108,955 110,181 103,000 4.80% due December 01, 2017 102,932 112,279 61,000 4.25% due December 03, 2015 61,629 65,549 213,000 4.60% due April 23, 2018 212,174 229,555 183,000 4.50% due August 23, 2016 181,748 199,038 186,000 5.10% due November 20, 2018 185,308 205,313 178,000 4.65% due September 05, 2017 177,197 194,731 182,000 4.875% due June 03, 2019 190,806 197,626 172,000 3.90% due July 28, 2020 171,506 176,451 137,000 4.45% due June 01, 2020 141,837 143,509 50,000 9.60% due February 04, 2022 74,848 75,058 95,000 4.15% due June 01, 2021 94,801 96,486 20,000 8.75% due May 30, 2025 30,777 30,054 46,000 5.35% due December 02, 2024 50,559 51,469 74,000 5.75% due March 05, 2029 86,780 89,144 127,985 4.978% due April 06, 2025 135,466 138,034 186,000 6.40% due September 05, 2031 237,365 242,179 84,000 4.95% due December 01, 2027 83,718 90,149

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 279 TD Canadian Bond Index Fund INDEXFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Niagara Regional Municipality American Express Canada Credit Corporation $$18,000 5.20% due June 30, 2040 17,892$ 18,956 $$111,000 5.90% due April 02, 2013 110,870$ 117,362 Peel Regional Municipality 147,000 4.853% due October 03, 2014 147,000 154,926 187,000 5.10% due June 29, 2040 187,547 198,985 149,000 3.60% due June 03, 2016 148,960 148,190 Regional Municipality of York Aon Finance NS 1 ULC 222,000 4.50% due September 28, 2016 221,416 237,968 125,000 Callable4.76%dueMarch08,2018 124,941 126,048 217,000 4.60% due May 30, 2017 214,094 233,088 Arrow Lakes Power Corporation 200,000 7.25% due June 19, 2017 251,874 242,613 41,000 Callable 5.516% due April 05, 2041 41,055 42,295 211,000 5.00% due April 29, 2019 218,406 228,774 Bank of Montreal 76,000 4.50% due June 30, 2020 75,776 79,130 115,000 Callable5.04%dueSeptember04,2012 114,980 119,394 109,000 4.00% due June 30, 2021 108,857 108,162 461,000 Callable5.05%dueSeptember03,2013 487,660 489,429 Simcoe County District School Board 355,000 Callable 4.78% due April 30, 2014 367,292 377,656 50,000 6.80% due June 19, 2026 62,597 60,734 193,000 3.93% due April 27, 2015 193,000 200,950 644,000 Callable 5.18% due June 10, 2015 669,240 699,889 South Coast British Columbia Transportation Authority 202,000 3.103% due March 10, 2016 202,000 202,413 84,000 3.80% due November 02, 2020 84,069 82,687 403,000 3.49% due June 10, 2016 403,000 408,784 73,000 4.65% due June 20, 2041 72,930 72,350 184,000 5.45% due July 17, 2017 192,316 203,745 TCHC Issuer Trust 250,000 Callable4.55%dueAugust01,2017 255,075 264,922 93,000 Callable 4.877% due May 11, 2037 93,000 91,653 501,000 Callable6.17%dueMarch28,2018 521,568 567,704 53,000 5.395% due February 22, 2040 53,000 56,664 575,000 Callable 6.02% due May 02, 2018 616,721 657,453 York Region District School Board 484,000 Callable 3.979% due July 08, 2021 484,143 491,011 84,000 6.55% due April 12, 2023 102,157 100,098 34,000 4.609% due September 10, 2025 34,000 33,970 223,986 6.45% due June 04, 2024 257,085 266,504 The Bank of Nova Scotia 110,127 5.30% due June 03, 2025 117,399 118,413 19,000 Callable5.30%dueJanuary31,2013 18,994 19,921 7,515,056 7,758,643 51,542 3.99% due March 04, 2013 52,148 52,651 1,000,000 Callable4.99%dueMarch27,2013 1,002,500 1,046,730 CORPORATE BONDS – 27.8% 715,000 5.04% due April 08, 2013 756,365 752,951 407 International Inc. 117,000 Callable8.30%dueSeptember27,2013 148,378 131,779 32,000 5.10% due January 20, 2014 31,969 34,064 372,000 Callable6.00%dueOctober03,2013 371,888 400,554 86,000 3.88% due June 16, 2015 85,985 89,419 500,000 4.56% due October 30, 2013 536,550 526,814 30,000 3.87% due November 24, 2017 29,991 30,153 269,000 3.43% due July 16, 2014 268,976 276,166 36,000 4.99% due June 16, 2020 35,978 38,638 420,000 3.35% due November 18, 2014 419,828 429,455 95,000 4.30% due May 26, 2021 94,968 96,277 377,000 3.34% due March 25, 2015 376,981 384,816 375,000 6.47% due July 27, 2029 442,901 446,809 288,000 Callable6.65%dueJanuary22,2016 287,951 326,511 149,000 5.96% due December 03, 2035 167,315 170,998 424,000 3.61% due February 22, 2016 423,941 433,720 95,224 6.75% due July 27, 2039 112,249 105,917 475,000 4.10% due June 08, 2017 474,943 490,950 Accès Recherche Montréal LP 184,000 Callable 4.94% due April 15, 2019 183,943 194,744 125,000 7.067% due December 31, 2042 125,000 143,025 BCE Inc. Aeroports de Montreal 130,000 4.85% due June 30, 2014 129,795 137,556 260,886 6.95% due April 16, 2032 314,771 307,709 317,000 3.60% due December 02, 2015 316,467 320,766 179,000 6.55% due October 11, 2033 214,424 216,557 61,000 Callable4.64%dueFebruary22,2016 60,784 64,205 48,664 6.611% due October 11, 2033 56,609 55,454 bcIMC Realty Corporation 9,000 5.472% due April 16, 2040 9,000 9,638 161,000 Callable5.25%dueSeptember19,2012 160,804 167,256 Alliance Pipeline, Limited Partnership 53,000 3.38% due January 29, 2015 53,000 53,994 30,000 4.928% due December 16, 2019 30,000 31,215 148,000 Callable4.65%dueFebruary10,2015 151,048 156,686 111,478 Callable7.181%dueJune30,2023 138,580 131,707 49,000 5.65% due January 05, 2018 48,835 54,270 331,528 Callable5.546%dueDecember31,2023 359,467 356,531 Bell Aliant Regional Communications, 170,253 Callable6.765%dueDecember31,2025 184,485 196,631 Limited Partnership 320,519 Callable7.217%dueDecember31,2025 401,553 378,448 259,000 Callable4.95%dueFebruary26,2014 258,925 271,705 AltaGas Income Trust 36,000 6.29% due February 17, 2015 35,986 39,436 45,000 7.42% due April 29, 2014 44,993 49,901 353,000 Callable5.41%dueSeptember26,2016 352,838 375,582 22,000 6.94% due June 29, 2016 21,994 24,899 120,000 4.37% due September 13, 2017 120,179 119,733 30,000 5.49% due March 27, 2017 29,996 31,883 62,000 Callable 4.88% due April 26, 2018 61,996 62,863 AltaGas Ltd. 170,000 Callable5.52%dueFebruary26,2019 169,867 174,438 33,000 Callable 4.10% due March 24, 2016 32,988 33,298 174,000 Callable6.17%dueFebruary26,2037 173,835 164,295 45,000 4.60% due January 15, 2018 44,969 45,457 Bell Canada AltaLink LP 185,000 3.65% due May 19, 2016 184,867 186,148 47,000 5.207% due December 16, 2016 47,000 49,918 345,000 Callable5.00%dueFebruary15,2017 349,517 365,950 20,000 Callable 5.243% due May 29, 2018 20,515 22,015 397,000 Callable4.40%dueMarch16,2018 396,667 403,377 289,000 Callable5.249%dueSeptember22,2036 305,720 303,106 162,000 4.95% due May 19, 2021 161,407 162,007 10,000 5.381% due March 26, 2040 10,000 10,709 140,000 Callable7.00%dueSeptember24,2027 163,985 157,758 14,000 4.872% due November 15, 2040 14,000 13,925 155,000 6.55% due May 01, 2029 173,503 159,019 32,000 Callable 7.85% due April 02, 2031 41,544 37,323 80,000 9.70% due December 15, 2032 124,954 110,757 116,000 Callable6.10%dueMarch16,2035 123,765 114,531

280 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Canadian Bond Index Fund INDEXFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

BMO Capital Trust $$685,000 3.40% due January 14, 2016 684,070$ 694,393 $ 250,000 Callable 355,000 3.95% due July 14, 2017 354,247 364,232 4.633% due December 31, 2015 $$249,140 261,415 76,000 Callable 6.00% due June 06, 2018 75,786 85,490 BMO Capital Trust II Canadian Natural Resources Limited 87,000 Callable10.221%dueDecember31,2018 87,000 117,069 53,000 Callable4.50%dueJanuary23,2013 52,864 54,906 BMO Capital Trust, Conv. Canadian Pacific Railway Company 500,000 Callable5.474%dueDecember31,2014 540,080 537,175 128,000 Callable 6.25% due June 01, 2018 127,154 146,441 BMO Subordinated Notes Trust 105,036 Callable6.91%dueOctober01,2024 123,466 119,488 199,000 FloatingRatedueSeptember26,2017 198,970 220,860 43,000 6.45% due November 17, 2039 42,977 47,318 BMW Canada Inc. Canadian Tire Corporation Limited 278,000 3.22% due March 28, 2013 278,692 282,830 110,000 4.95% due June 01, 2015 110,243 117,440 150,000 2.76% due April 01, 2014 149,970 150,757 38,000 5.65% due June 01, 2016 37,985 41,709 65,000 3.15% due April 01, 2015 64,997 65,617 300,000 Callable 6.25% due April 13, 2028 317,693 310,126 242,000 6.32% due February 24, 2034 261,555 248,369 British Columbia Ferry Services Inc. 84,000 5.61% due September 04, 2035 80,340 79,006 75,000 5.74% due May 27, 2014 81,896 81,703 228,000 Callable5.021%dueMarch20,2037 228,000 231,168 Canadian Utilities Limited 151,000 Callable5.581%dueJanuary11,2038 151,000 165,371 100,000 Callable6.14%dueNovember22,2012 107,535 105,646 215,000 Callable6.145%dueNovember22,2017 244,796 248,785 Broadway Credit Card Trust 129,000 5.432% due January 23, 2019 137,584 143,321 228,000 4.804% due March 17, 2014 237,021 240,377 230,000 Callable6.80%dueAugust13,2019 276,870 277,112 Brookfield Asset Management Inc. 100,000 11.77% due November 30, 2020 172,790 159,082 179,000 8.95% due June 02, 2014 178,646 205,422 150,000 9.40% due May 01, 2023 228,461 217,318 302,000 Callable 5.29% due April 25, 2017 301,976 314,922 Canadian Western Bank 119,000 5.30% due March 01, 2021 119,123 119,602 104,000 4.389% due November 30, 2020 104,000 104,725 101,000 Callable 5.95% due June 14, 2035 104,034 92,146 Capital Desjardins Inc. Brookfield Power Corporation 204,000 Callable5.756%dueApril01,2014 204,000 218,984 136,000 Callable5.25%dueNovember05,2018 135,951 140,737 206,000 Callable5.541%dueJune01,2016 206,000 224,027 203,000 Callable5.84%dueNovember05,2036 202,941 182,355 338,000 5.187% due May 05, 2020 338,000 355,548 Brookfield Renewable Power Inc. 273,000 3.797% due November 23, 2020 273,000 274,645 52,000 6.132% due November 30, 2016 52,000 56,987 Capital Power Income LP 119,000 5.14% due October 13, 2020 118,954 119,099 66,000 Callable4.60%dueDecember01,2015 65,979 67,287 Cadillac Fairview Finance Trust 241,000 Callable 5.95% due June 23, 2036 239,930 212,479 455,000 Callable3.24%dueJanuary25,2016 455,228 461,334 Capital Power LP 235,000 3.64% due May 09, 2018 234,972 236,465 119,000 5.276% due November 16, 2020 119,000 117,709 272,000 Callable4.31%dueJanuary25,2021 272,162 278,100 CARDS II Trust Caisse centrale Desjardins 317,000 3.048% due May 15, 2013 317,000 322,378 188,000 3.114% due December 04, 2014 188,000 190,312 205,000 3.096% due September 15, 2015 205,000 206,328 193,000 3.788% due June 08, 2015 193,000 199,028 219,000 3.333% due May 15, 2016 219,000 220,171 221,000 3.502% due October 05, 2017 221,000 219,778 Caterpillar Financial Services Limited Cameco Corporation 62,000 5.20% due June 03, 2013 61,995 65,490 249,000 4.70% due September 16, 2015 246,698 260,868 63,000 2.64% due December 03, 2013 62,987 63,445 28,000 5.67% due September 02, 2019 28,119 29,736 CDP Financial Inc. The Canada Life Assurance Company 87,000 4.60% due July 15, 2020 86,821 91,287 100,000 Callable6.40%dueDecember11,2028 117,229 113,749 Centra Gas Ontario Inc. Canada Life Capital Trust 50,000 Callable8.65%dueOctober19,2018 68,622 64,524 100,000 Callable7.529%dueJune30,2032 130,391 118,278 Central 1 Credit Union Canada Safeway Limited 96,000 3.379% due April 19, 2013 96,000 97,752 33,000 Callable 3.00% due March 31, 2014 32,973 33,235 21,000 4.00% due October 09, 2014 20,977 21,526 Canadian Credit Card Trust CHIP Mortgage Trust 186,000 5.365% due March 25, 2013 186,000 196,108 96,000 Callable4.542%dueAugust01,2012 96,000 97,295 100,000 3.444% due July 24, 2015 100,000 101,960 47,000 4.49% due August 04, 2015 46,985 49,191 Canadian Imperial Bank of Commerce 32,000 Callable3.973%dueFebruary01,2016 32,000 32,664 1,000,000 5.00% due September 10, 2012 1,015,000 1,038,084 CI Financial Corp. 407,000 3.05% due June 03, 2013 406,784 414,456 18,000 3.30% due December 17, 2012 17,999 18,217 200,000 Callable 5.15% due June 06, 2013 199,712 210,712 18,000 4.19% due December 16, 2014 17,993 18,567 250,000 4.95% due January 23, 2014 268,923 266,122 272,000 Callable9.65%dueOctober31,2014 377,065 330,080 CI Investments Inc. 370,000 3.30% due November 19, 2014 369,900 377,858 111,000 3.94% due December 14, 2016 110,970 112,395 695,000 3.10% due March 02, 2015 693,693 703,557 CIBC Capital Trust 364,000 4.11% due April 30, 2015 364,000 377,448 454,000 Callable9.976%dueJune30,2019 454,000 593,845 482,000 3.15% due November 02, 2015 480,983 476,592 74,000 Callable 10.25% due June 30, 2039 74,000 98,520

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 281 TD Canadian Bond Index Fund INDEXFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Citigroup Finance Canada Inc. $$27,000 5.75% due September 02, 2039 26,973$ 29,000 $$105,000 4.90% due November 13, 2012 104,878$ 108,550 13,000 5.12% due September 28, 2040 13,000 12,753 42,000 4.35% due March 08, 2013 41,967 43,079 Enbridge Pipelines Inc. 141,000 5.50% due May 21, 2013 140,805 147,739 70,000 Callable4.46%dueDecember17,2012 69,992 72,573 48,000 4.75% due March 17, 2014 49,397 49,766 77,000 2.93% due September 08, 2015 77,266 77,370 82,000 6.75% due September 22, 2014 81,928 89,893 52,000 6.62% due November 19, 2018 51,978 61,881 Cogeco Cable Inc. 103,000 4.49% due November 12, 2019 102,918 107,492 77,000 5.95% due June 09, 2014 76,908 82,838 127,000 4.45% due April 06, 2020 126,949 131,240 72,000 5.15% due November 16, 2020 72,190 71,387 100,000 Callable6.35%dueNovember17,2023 115,083 117,879 Concordia University 100,000 Callable8.20%dueFebruary15,2024 136,731 135,114 261,000 Callable6.55%dueSeptember02,2042 330,978 314,690 62,000 Callable5.21%dueFebruary25,2036 60,260 64,541 182,000 Callable5.08%dueDecember19,2036 181,862 185,865 The Consumers’ Gas Company Ltd. 54,000 5.35% due November 10, 2039 53,952 57,642 14,000 Callable 6.05% due July 05, 2023 15,598 16,096 67,000 5.33% due April 06, 2040 66,990 71,234 The Consumers’ Waterheater Operating Trust Enersource Corporation 66,000 5.25% due March 15, 2013 66,003 67,510 45,000 Callable 4.521% due April 29, 2021 45,000 46,077 154,000 6.75% due April 30, 2014 153,734 163,987 51,000 Callable 5.297% due April 29, 2041 51,000 52,833 Co-operators Financial Services Limited ENMAX Corporation 60,000 5.778% due March 10, 2020 60,000 61,370 116,000 5.85% due April 08, 2014 115,871 124,328 CSS (FSCC) Partnership 192,000 6.15% due June 19, 2018 191,589 210,808 34,000 6.915% due July 31, 2042 33,994 39,385 EPCOR Utilities Inc. CU Inc. 250,000 6.75% due March 22, 2016 289,365 288,450 89,000 Callable5.096%dueNovember18,2014 93,524 96,175 142,000 Callable5.80%dueJanuary31,2018 141,237 158,901 64,000 Callable4.801%dueNovember22,2021 64,000 67,367 193,000 Callable5.65%dueNovember16,2035 192,345 206,369 37,000 6.215% due March 06, 2024 37,000 43,218 87,000 Callable 6.65% due April 15, 2038 86,798 105,390 17,000 Callable 5.563% due May 26, 2028 17,000 18,485 57,000 5.75% due November 24, 2039 56,919 61,887 151,000 Callable5.183%dueNovember21,2035 146,231 156,364 ERAC Canada Finance Ltd. 46,000 Callable5.032%dueNovember20,2036 46,418 46,691 104,000 Callable5.38%dueFebruary26,2016 103,929 111,185 100,000 5.556% due October 30, 2037 100,000 109,163 30,000 Callable 5.58% due May 26, 2038 30,000 32,892 Fairfax Financial Holdings Limited 20,000 6.50% due March 07, 2039 20,000 24,728 88,000 7.50% due August 19, 2019 87,682 96,064 45,000 4.947% due November 18, 2050 44,975 45,119 87,000 7.25% due June 22, 2020 87,000 93,075 124,000 6.40% due May 25, 2021 123,494 123,548 Daimler Canada Finance Inc. 130,000 3.16% due April 14, 2014 129,986 131,346 Finning International Inc. 72,000 Callable5.16%dueSeptember03,2013 71,996 76,254 DundeeWealth Inc. 51,000 6.02% due June 01, 2018 50,967 57,772 88,000 5.10% due September 25, 2014 87,996 93,806 First Capital Realty Inc. Eagle Credit Card Trust 105,000 Callable 5.34% due April 01, 2013 105,124 109,100 42,000 2.782% due December 17, 2013 42,000 42,361 66,000 Callable5.36%dueJanuary31,2014 66,023 69,082 94,000 3.474% due December 17, 2015 94,000 95,601 22,000 5.95% due June 01, 2015 22,032 23,577 Edmonton Regional Airport Authority 60,000 5.85% due January 31, 2017 60,139 63,938 20,567 Callable7.214%dueNovember01,2030 25,387 24,505 45,000 4.95% due November 30, 2018 45,218 44,836 Emera Inc. 31,000 Callable 5.48% due July 30, 2019 31,029 31,531 15,000 4.10% due October 20, 2014 14,995 15,559 62,000 Callable 5.60% due April 30, 2020 62,193 62,762 86,000 4.83% due December 02, 2019 85,939 89,415 First National Financial Income Fund The Empire Life Insurance Company 69,000 5.07% due May 07, 2015 69,000 70,643 17,000 6.73% due May 20, 2019 16,994 18,438 Ford Floorplan Auto Securitization Trust Enbridge Gas Distribution Inc. 32,000 4.168% due June 15, 2013 32,000 33,048 210,000 Callable5.16%dueSeptember24,2014 221,837 226,908 Fort Chicago Energy Partners LP 84,000 5.16% due December 04, 2017 83,987 92,229 70,000 Callable 5.60% due July 28, 2014 69,982 74,220 81,000 4.04% due November 23, 2020 80,967 81,246 Fortis Inc. 48,000 Callable4.77%dueDecember17,2021 47,817 50,598 28,000 6.51% due July 04, 2039 27,982 32,994 58,000 Callable6.16%dueDecember16,2033 63,738 67,663 72,000 4.95% due November 22, 2050 71,850 72,675 FortisAlberta Inc. 154,000 Callable 5.40% due April 21, 2036 153,886 164,290 Enbridge Inc. 50,000 5.85% due April 15, 2038 49,734 56,761 144,000 4.67% due March 25, 2013 143,957 150,008 19,000 7.06% due February 14, 2039 18,998 25,069 118,000 Callable 5.17% due May 19, 2016 118,883 128,065 36,000 5.37% due October 30, 2039 35,984 38,394 159,000 Callable5.00%dueAugust09,2016 158,283 171,349 193,000 Callable4.99%dueJanuary03,2047 192,801 194,358 144,000 4.77% due September 02, 2019 143,932 150,952 39,000 4.80% due October 27, 2050 39,249 38,105 166,000 4.53% due March 09, 2020 165,973 169,945 66,000 4.26% due February 01, 2021 66,022 65,523 FortisBC Inc. 200,000 Callable 7.22% due July 24, 2030 250,058 247,480 95,000 5.48% due November 28, 2014 101,065 103,311 64,000 Callable 7.20% due June 18, 2032 80,401 79,764 43,000 6.10% due June 02, 2039 44,184 49,986 161,000 Callable5.57%dueNovember14,2035 160,791 168,264 105,000 Callable 5.90% due July 04, 2047 104,856 119,978 52,000 5.00% due November 24, 2050 51,911 52,226

282 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Canadian Bond Index Fund INDEXFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Gaz Metro Inc. H&R Real Estate Investment Trust $$74,000 Callable 5.40% due April 15, 2013 73,959$ 78,104 $$46,000 5.196% due February 03, 2015 45,926$ 47,879 159,000 Callable 5.45% due July 12, 2021 158,467 175,720 61,000 Callable 4.778% due July 27, 2016 61,123 62,057 Gaz Metro Limited Partnership 45,000 5.902% due February 03, 2017 44,957 47,769 70,000 Callable10.45%dueOctober31,2016 103,007 93,858 Halifax International Airport Authority 41,000 4.93% due June 18, 2019 40,993 44,293 54,000 4.888% due November 15, 2050 53,999 52,722 99,000 Callable7.05%dueOctober30,2030 126,655 124,821 Health Montreal Collective LP 92,000 Callable6.30%dueOctober31,2033 109,284 108,818 676,000 6.721% due September 30, 2049 684,858 693,636 159,000 Callable 5.70% due July 10, 2036 158,750 175,654 Holcim Finance (Canada) Inc. GE Capital Canada Funding Company 215,000 5.90% due June 21, 2013 214,701 226,937 212,000 4.375% due September 28, 2012 211,765 218,258 Home Capital Group Inc. 476,000 5.15% due June 06, 2013 476,864 501,205 56,000 Callable 5.20% due May 04, 2016 56,000 56,688 74,000 2.95% due February 10, 2014 74,037 74,676 385,000 4.40% due June 01, 2014 384,430 402,427 Honda Canada Finance Inc. 194,000 4.65% due February 11, 2015 198,494 204,595 257,000 5.675% due September 26, 2012 257,000 268,145 107,000 4.24% due June 08, 2015 106,996 111,207 123,000 5.076% due May 09, 2013 123,000 128,929 500,000 Callable 5.10% due June 01, 2016 498,930 535,577 240,000 5.613% due September 12, 2013 240,000 255,790 383,000 Callable4.55%dueJanuary17,2017 382,793 397,443 The Hospital For Sick Children 392,000 5.53% due August 17, 2017 393,607 425,805 77,000 5.217% due December 16, 2049 77,000 80,268 142,000 4.40% due February 08, 2018 142,656 144,726 HSBC Bank Canada 268,000 5.68% due September 10, 2019 268,515 289,671 107,000 3.86% due May 21, 2015 106,971 110,829 Genworth MI Canada Inc. 352,000 Callable 4.80% due April 10, 2017 351,613 369,784 54,000 4.59% due December 15, 2015 54,000 55,352 221,000 3.558% due October 04, 2017 221,000 220,609 98,000 5.68% due June 15, 2020 97,951 100,310 323,000 Floating Rate due March 16, 2021 322,797 341,564 George Weston Limited HSBC Canada Asset Trust 57,000 Callable 5.05% due March 10, 2014 58,027 60,161 251,000 Callable5.149%dueJune30,2015 261,066 265,278 150,000 Callable7.10%dueFebruary05,2032 181,225 163,694 Husky Energy Inc. 63,000 6.69% due March 01, 2033 72,743 66,023 119,000 3.75% due March 12, 2015 119,264 122,371 Glacier Credit Card Trust 195,000 5.00% due March 12, 2020 195,665 203,222 96,000 5.027% due February 20, 2013 96,000 100,444 Hydro One Inc. 21,000 3.158% due November 20, 2015 21,000 21,075 254,000 Callable5.00%dueNovember12,2013 256,606 269,999 Gloucester Credit Card Trust 273,000 3.13% due November 19, 2014 273,897 278,173 187,000 5.335% due May 15, 2013 187,000 196,161 167,000 2.95% due September 11, 2015 166,636 167,896 176,000 5.376% due May 15, 2014 189,995 188,422 191,000 Callable4.64%dueMarch03,2016 189,506 204,782 Golden Credit Card Trust 657,000 Callable5.18%dueOctober18,2017 708,014 723,232 86,000 5.421% due April 15, 2013 86,000 91,024 116,000 4.40% due June 01, 2020 116,183 119,998 385,000 3.824% due May 15, 2015 385,000 398,649 250,000 Callable 6.93% due June 01, 2032 319,384 314,421 495,000 3.51% due May 15, 2016 495,000 501,823 41,000 Callable6.35%dueJanuary31,2034 49,560 48,805 350,000 5.36% due May 20, 2036 353,880 371,714 Greater Toronto Airports Authority 137,000 Callable4.89%dueMarch13,2037 137,003 136,207 125,000 Callable 5.00% due June 01, 2015 127,313 135,128 41,000 6.03% due March 03, 2039 40,972 47,704 150,000 Callable4.70%dueFebruary15,2016 149,904 160,489 105,000 5.49% due July 16, 2040 105,617 113,919 293,000 Callable 5.26% due April 17, 2018 292,977 321,926 35,000 5.00% due October 19, 2046 35,268 35,279 79,000 5.96% due November 20, 2019 84,549 90,582 725,000 Callable6.45%dueDecember03,2027 822,014 843,971 Hydro Ottawa Holding Inc. 259,633 Callable 6.45% due July 30, 2029 286,556 297,218 274,000 Callable4.93%dueFebruary09,2015 283,903 293,718 325,000 Callable6.47%dueFebruary02,2034 343,109 388,559 IGM Financial Inc. 153,000 5.63% due June 07, 2040 153,875 167,127 181,000 7.35% due April 08, 2019 180,899 214,739 224,000 Callable5.30%dueFebruary25,2041 224,736 233,646 47,000 6.00% due December 10, 2040 46,876 48,665 Great-West Life Capital Trust Industrial Alliance Capital Trust 75,000 Callable5.995%dueDecember31,2012 82,865 78,731 95,000 Callable5.714%dueDecember31,2013 102,252 99,975 276,000 Callable7.127%dueJune26,2018 276,000 311,863 245,000 Callable 5.13% due June 30, 2014 255,923 256,129 Great-West Lifeco Finance (Delaware), Industrial Alliance Insurance Limited Partnership and Financial Services Inc. 200,000 Callable5.691%dueJune21,2017 192,683 210,613 19,000 Callable 8.25% due March 27, 2014 18,964 21,282 Great-West Lifeco Inc. Intact Financial Corporation 87,000 Callable 6.14% due March 21, 2018 99,725 98,379 22,000 5.41% due September 03, 2019 21,990 23,302 162,000 4.65% due August 13, 2020 163,095 165,161 73,000 6.40% due November 23, 2039 72,718 77,977 200,000 Callable6.74%dueNovember24,2031 245,305 233,232 Integrated Team Solutions SJHC Partnership 200,000 Callable6.67%dueMarch21,2033 242,915 232,609 17,000 Callable5.9464%dueNovember30,2042 17,000 17,748 133,000 5.998% due November 16, 2039 133,621 144,824 Inter Pipeline (Corridor) Inc. Groupe Aeroplan Inc. 43,000 4.897% due February 03, 2020 43,000 44,930 29,000 7.90% due September 02, 2014 29,000 31,637 60,000 6.95% due January 26, 2017 60,230 64,010

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 283 TD Canadian Bond Index Fund INDEXFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Inter Pipeline Fund METRO Inc. $$110,000 Callable4.967%dueFebruary02,2021 110,954$ 113,566 $$81,000 4.98% due October 15, 2015 80,942$ 86,848 Investors Group Inc. National Bank of Canada 111,000 Callable6.58%dueMarch07,2018 128,371 125,930 19,000 Callable5.55%dueNovember15,2013 18,994 20,301 300,000 Callable 7.45% due May 09, 2031 388,141 358,807 750,000 Callable4.926%dueDecember22,2014 797,355 798,255 200,000 Callable7.00%dueDecember31,2032 247,625 229,686 84,000 3.147% due February 11, 2015 84,000 85,117 John Deere Credit Inc. 711,000 4.03% due May 26, 2015 733,785 741,312 121,000 5.30% due July 27, 2012 122,837 125,508 173,000 3.58% due April 26, 2016 173,000 175,965 75,000 2.30% due January 14, 2013 74,945 75,341 76,000 Callable 7.447% due June 30, 2020 76,000 89,067 61,000 2.40% due February 01, 2013 61,075 61,360 NAV Canada 12,000 3.90% due July 29, 2013 11,986 12,411 200,000 Callable4.713%dueFebruary24,2016 199,432 215,030 51,000 3.50% due June 23, 2014 50,936 52,400 30,000 5.304% due April 17, 2019 30,000 33,151 22,000 3.25% due April 08, 2015 21,933 22,359 92,000 Callable4.397%dueFebruary18,2021 92,164 94,890 183,000 5.45% due September 16, 2015 182,916 201,294 80,000 Callable7.56%dueMarch01,2027 105,818 98,948 Laurentian Bank of Canada 160,000 Callable 7.40% due June 01, 2027 204,933 210,797 95,000 3.70% due November 02, 2015 94,746 95,111 NBC Capital Trust Leisureworld Senior Care LP 191,000 Callable5.329%dueJune30,2016 191,474 201,194 287,000 Callable4.814%dueNovember24,2015 287,000 296,793 184,000 Callable7.235%dueJune30,2018 184,000 212,205 Loblaw Companies Limited Northwestconnect Group 75,000 Callable 6.00% due March 03, 2014 83,561 81,256 138,000 5.95% due April 30, 2041 138,907 147,450 90,000 4.85% due May 08, 2014 89,980 95,043 NOVA Gas Transmission Ltd. 93,000 5.22% due June 18, 2020 92,936 96,387 300,000 12.20% due February 28, 2016 477,347 413,005 80,000 Callable6.65%dueNovember08,2027 92,918 84,483 60,000 Callable9.90%dueDecember16,2024 92,395 89,405 280,000 Callable6.45%dueFebruary09,2028 308,982 290,250 Nova Scotia Power Inc. 70,000 Callable6.50%dueJanuary22,2029 78,769 73,088 47,000 5.75% due October 01, 2013 50,888 50,533 79,000 Callable 6.85% due March 01, 2032 93,670 85,372 50,000 Callable9.75%dueAugust02,2019 73,278 69,037 110,000 Callable6.54%dueFebruary17,2033 127,612 114,286 154,000 5.67% due November 14, 2035 153,846 166,115 192,000 Callable6.15%dueJanuary29,2035 212,706 190,982 7,000 5.95% due July 27, 2039 6,977 7,899 100,000 Callable6.45%dueMarch01,2039 115,441 102,950 94,000 5.61% due June 15, 2040 94,312 101,471 Lower Mattagami Energy LP OMERS Realty Corporation 104,000 4.331% due May 18, 2021 104,000 105,079 166,000 Callable5.48%dueDecember31,2012 181,399 174,770 81,000 5.139% due May 18, 2041 81,206 82,009 142,000 4.09% due June 04, 2013 141,996 147,338 Manitoba Telecom Services Inc. 91,000 4.74% due June 04, 2018 90,946 97,308 29,000 6.65% due May 11, 2016 28,986 32,364 OMERS Realty CTT Holdings Inc. 57,000 5.625% due December 16, 2019 56,948 59,414 24,000 4.75% due May 05, 2016 23,987 25,788 Manulife Bank of Canada OMERS Realty CTT Holdings Two Inc. 19,281 3.967% due April 01, 2013 19,482 19,512 21,000 4.05% due May 05, 2014 20,994 21,913 109,000 4.68% due September 12, 2016 109,060 113,328 Ornge Issuer Trust Manulife Finance (Delaware), Limited Partnership 87,000 5.727% due June 11, 2034 87,000 95,138 65,000 Callable5.059%dueDecember15,2036 64,804 54,834 Ottawa Macdonald-Cartier Manulife Financial Capital Trust II International Airport Authority 391,000 Callable7.405%dueDecember31,2019 391,000 445,226 256,000 Callable4.733%dueMay02,2017 256,000 272,887 Manulife Financial Corporation 35,693 Callable 6.973% due May 25, 2032 43,510 41,864 90,000 Callable 4.67% due March 28, 2013 89,254 93,124 Pearson International Fuel Facilities Corporation 156,000 4.896% due June 02, 2014 156,000 163,632 50,125 Callable 5.09% due March 09, 2032 50,034 47,850 294,000 Callable5.161%dueJune26,2015 294,000 311,393 Pembina Pipeline Corporation 327,000 4.079% due August 20, 2015 327,000 333,387 31,000 Callable 4.89% due March 29, 2021 31,000 31,778 165,000 Callable5.505%dueJune26,2018 165,000 176,234 195,000 7.768% due April 08, 2019 195,000 235,029 Plenary Health Bridgepoint LP 61,000 7.246% due August 31, 2042 62,170 73,669 Maritimes & Northeast Pipeline LP 78,850 4.34% due November 30, 2019 78,847 81,063 Plenary Health Hamilton LP 42,000 3.157% due December 13, 2013 42,000 42,161 Master Credit Card Trust 27,000 5.796% due May 31, 2043 27,000 27,334 253,000 5.297% due August 21, 2012 253,000 262,820 183,000 5.237% due May 21, 2013 183,000 193,451 Plenary Properties LTAP LP 62,000 3.502% due May 21, 2016 62,000 62,807 52,000 Callable3.801%dueAugust18,2014 52,724 53,198 275,000 Callable6.288%dueJanuary31,2044 297,077 298,581 McGill University 130,000 6.15% due September 22, 2042 157,239 154,713 Power Corporation of Canada 122,000 7.57% due April 22, 2019 121,932 145,759 McGill University Health Care Centre 18,000 8.57% due April 22, 2039 17,986 24,381 89,000 5.36% due December 31, 2043 88,961 93,506 Power Financial Corporation Merrill Lynch Canada Finance Company 424,000 Callable6.90%dueMarch11,2033 524,893 486,217 148,000 5.00% due February 18, 2014 147,873 153,267

284 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Canadian Bond Index Fund INDEXFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

PSP Capital Inc. SNC-Lavalin Innisfree McGill Finance Inc. $$320,000 4.57% due December 09, 2013 320,999$ 338,361 $$149,000 6.632% due June 30, 2044 153,856$ 167,662 99,000 2.94% due December 03, 2015 98,958 99,610 Sobeys Inc. Queen’s University 20,000 6.64% due June 07, 2040 19,990 20,522 94,000 Callable6.10%dueNovember19,2032 112,305 110,533 Sun Life Assurance Company of Canada RBC Capital Trust 250,000 Callable 6.30% due May 15, 2028 289,198 270,329 84,000 Callable 6.821% due June 30, 2018 84,000 96,863 Sun Life Capital Trust RBC Capital Trust, Conv. 258,000 Callable7.093%dueJune30,2032 312,517 291,641 400,000 Callable5.812%dueDecember31,2013 433,800 429,311 Sun Life Capital Trust Il 300,000 Callable4.87%dueDecember31,2015 279,600 316,519 27,000 Callable5.863%dueDecember31,2019 27,000 28,536 Reliance LP Sun Life Financial Inc. 30,000 Callable 7.30% due April 03, 2013 29,343 31,314 256,000 Callable 5.12% due June 26, 2013 255,921 266,827 RioCan Real Estate Investment Trust 31,000 Callable4.80%dueNovember23,2015 31,015 32,152 45,000 5.65% due March 31, 2015 45,117 48,079 650,000 Callable 4.95% due June 01, 2016 670,870 676,465 32,000 Callable4.499%dueJanuary21,2016 32,024 32,667 79,000 Callable5.59%dueJanuary30,2018 78,952 84,082 Rogers Communications Inc. 65,000 Callable 7.90% due March 31, 2019 64,913 72,615 206,000 5.80% due May 26, 2016 205,520 225,194 48,000 5.70% due July 02, 2019 47,967 52,130 751,000 5.38% due November 04, 2019 789,150 778,638 92,000 Callable 5.40% due May 29, 2037 91,891 87,669 317,000 4.70% due September 29, 2020 318,218 309,064 Suncor Energy Inc. 532,000 Callable5.34%dueMarch22,2021 531,755 535,723 68,000 5.80% due May 22, 2018 67,949 75,827 56,000 6.68% due November 04, 2039 55,942 57,005 123,000 Callable5.39%dueMarch26,2037 122,751 124,888 199,000 6.11% due August 25, 2040 198,809 189,750 TD Capital Trust III* 146,000 Callable6.56%dueMarch22,2041 146,000 146,893 400,000 Callable7.243%dueDecember31,2018 446,288 471,064 Royal Bank of Canada TD Capital Trust IV* 725,000 5.20% due August 15, 2012 779,622 753,283 200,000 Callable9.523%dueJune30,2019 257,706 260,996 481,000 Callable4.84%dueMarch11,2013 481,000 502,076 152,000 Callable6.631%dueJune30,2021 152,000 169,961 336,000 Callable 5.00% due June 06, 2013 335,896 353,004 200,000 Callable10.00%dueJune30,2039 299,380 264,219 601,000 5.06% due July 17, 2013 633,366 636,625 TELUS Communications Inc. 536,000 4.97% due June 05, 2014 540,199 574,163 280,000 9.65% due April 08, 2022 419,929 384,233 222,000 3.27% due November 10, 2014 221,969 227,358 131,000 Callable8.80%dueSeptember22,2025 188,419 177,735 500,000 4.71% due December 22, 2014 541,665 534,530 315,000 3.18% due March 16, 2015 314,883 320,621 TELUS Corporation 535,000 4.35% due June 15, 2015 534,807 556,131 100,000 5.00% due June 03, 2013 99,895 104,805 491,000 Callable3.18%dueNovember02,2015 490,888 486,289 45,000 4.95% due May 15, 2014 44,998 47,645 748,000 3.36% due January 11, 2016 746,725 757,163 252,000 Callable 5.95% due April 15, 2015 251,740 276,642 426,000 3.66% due January 25, 2017 425,842 432,451 128,000 3.65% due May 25, 2016 127,525 128,622 332,000 Callable3.77%dueMarch30,2018 331,960 336,275 116,000 4.95% due March 15, 2017 115,899 122,446 228,000 4.93% due July 16, 2025 229,574 235,372 298,000 5.05% due December 04, 2019 296,269 305,328 346,000 5.05% due July 23, 2020 345,887 351,542 SCORE Trust 528,000 4.949% due February 20, 2014 546,524 557,723 Teranet Holdings LP 259,000 4.807% due December 16, 2020 257,912 260,993 Scotiabank Capital Trust 88,000 Callable 6.10% due June 17, 2041 87,961 90,385 275,000 Callable6.282%dueJune30,2013 299,668 294,796 400,000 Callable5.65%dueDecember31,2036 408,248 409,485 Teranet Holdings LP (USD) 190,000 3.531% due December 16, 2015 190,000 191,863 Scotiabank Subordinated Notes Trust 156,000 5.754% due December 17, 2040 156,000 152,424 386,000 Callable5.25%dueNovember01,2012 399,262 402,167 Terasen Gas Inc. Scotiabank Tier 1 Trust 177,000 Callable10.30%dueSeptember30,2016 255,299 235,254 58,000 Callable 7.802% due June 30, 2019 58,000 69,186 118,000 Callable 6.50% due May 01, 2034 136,404 143,491 Serco DES Inc. 58,000 Callable5.90%dueFebruary26,2035 61,828 65,823 37,068 5.268% due August 27, 2013 40,166 37,779 119,000 Callable5.55%dueSeptember25,2036 121,258 129,624 Shaw Communications Inc. 38,000 Callable6.00%dueOctober02,2037 37,864 43,941 88,000 6.50% due June 02, 2014 87,740 95,912 98,000 Callable6.05%dueFebruary15,2038 97,932 111,602 500,000 5.70% due March 02, 2017 539,675 532,896 20,000 Callable 5.80% due May 13, 2038 19,935 22,522 655,000 5.65% due October 01, 2019 663,925 672,559 8,000 Callable6.55%dueFebruary24,2039 7,971 9,970 89,000 5.50% due December 07, 2020 88,675 89,069 Terasen Gas Vancouver Island Inc. 457,000 6.75% due November 09, 2039 450,306 443,010 35,000 5.20% due December 06, 2040 34,900 35,515 Shoppers Drug Mart Corporation Terasen Pipelines (Corridor) Inc. 131,000 Callable 4.99% due June 03, 2013 130,959 137,489 44,000 Callable5.033%dueFebruary02,2015 45,389 46,915 150,000 5.19% due January 20, 2014 156,241 159,498 Thomson Reuters Corporation Simon Fraser University 128,000 Callable5.20%dueDecember01,2014 134,247 138,310 298,000 5.613% due June 10, 2043 346,284 330,204 512,000 6.00% due March 31, 2016 554,500 572,295 SNC-Lavalin Group Inc. 262,000 4.35% due September 30, 2020 262,050 263,377 44,000 6.19% due July 03, 2019 44,000 49,172

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 285 TD Canadian Bond Index Fund INDEXFUNDS

Par Value Description Cost FairValue Par Value Description Cost FairValue

Tim Hortons Inc. University of Western Ontario $$114,000 4.20% due June 01, 2017 114,896$ 117,783 $$268,000 Callable4.798%dueMay24,2047 268,000$ 261,933 Toronto Hydro Corporation University of Windsor 24,000 6.11% due May 06, 2013 26,289 25,729 96,000 Callable 5.37% due June 29, 2046 96,000 98,988 136,000 6.11% due May 07, 2013 151,273 145,699 Vancouver Fraser Port Authority 220,000 5.15% due November 14, 2017 219,778 241,211 42,000 4.63% due April 20, 2020 42,000 44,036 52,000 4.49% due November 12, 2019 51,988 54,379 Vancouver International Airport Authority 20,000 5.54% due May 21, 2040 19,985 21,844 145,000 Callable5.02%dueNovember13,2015 145,000 157,478 The Toronto-Dominion Bank* 50,000 Callable4.424%dueDecember07,2018 49,036 52,508 800,000 4.854% due February 13, 2013 857,280 838,282 211,000 Callable7.425%dueDecember07,2026 270,551 273,246 1,000,000 Callable5.48%dueApril02,2015 1,085,220 1,087,656 Viterra Inc. 252,000 Callable3.367%dueNovember02,2015 252,000 251,470 23,000 Callable6.406%dueFebruary16,2021 23,000 24,179 800,000 Callable4.779%dueDecember14,2016 787,832 838,612 750,000 Callable5.763%dueDecember18,2017 801,180 821,908 VW Credit Canada Inc. 750,000 Callable 5.69% due June 03, 2018 811,500 797,510 240,000 2.55% due November 18, 2013 239,283 240,982 67,000 3.60% due February 01, 2016 66,936 68,264 Toyota Credit Canada Inc. 182,000 5.05% due July 27, 2012 181,905 187,943 Wells Fargo Financial Canada Corporation 97,000 3.55% due February 22, 2016 96,935 98,357 359,000 Callable4.40%dueDecember12,2012 358,422 370,571 328,000 Callable4.33%dueDecember06,2013 327,882 341,110 Trans Quebec & Maritimes Pipeline Inc. 199,000 3.97% due November 03, 2014 198,992 204,873 36,000 4.25% due September 15, 2017 35,951 36,654 109,000 3.70% due March 30, 2016 108,955 109,902 TransAlta Corporation Westcoast Energy Inc. 45,000 6.45% due May 29, 2014 44,920 48,780 95,000 3.28% due January 15, 2016 94,917 95,648 115,000 6.40% due November 18, 2019 114,664 126,274 275,000 Callable8.50%dueSeptember04,2018 359,398 351,460 192,000 6.90% due November 15, 2030 215,651 203,212 110,000 5.60% due January 16, 2019 109,801 122,062 TransCanada PipeLines Limited 58,000 4.57% due July 02, 2020 57,995 59,659 148,000 5.05% due August 20, 2013 147,806 156,644 Wilfrid Laurier University 130,000 Callable5.65%dueJanuary15,2014 141,368 140,338 36,000 5.429% due February 01, 2045 39,291 38,803 58,000 5.05% due February 14, 2014 57,836 61,734 250,000 Callable11.90%dueAugust20,2015 393,853 333,914 Winnipeg Airports Authority Inc. 167,000 Callable4.65%dueOctober03,2016 166,710 178,899 39,000 4.569% due November 20, 2019 39,000 40,483 129,000 Callable5.10%dueJanuary11,2017 134,668 140,977 62,123 5.205% due September 28, 2040 62,357 61,863 175,000 9.45% due March 20, 2018 251,682 231,137 32,801 6.102% due November 20, 2040 32,801 36,156 50,000 Callable7.31%dueJanuary15,2027 62,377 62,290 Yellow Media Inc. 200,000 Callable 7.90% due April 15, 2027 264,789 261,836 178,000 5.71% due April 21, 2014 186,674 165,754 30,000 Callable 6.28% due May 26, 2028 32,115 33,784 87,000 7.30% due February 02, 2015 87,000 81,769 61,000 Callable6.89%dueAugust07,2028 71,528 73,272 250,000 5.25% due February 15, 2016 247,866 209,016 25,000 8.05% due February 17, 2039 24,882 35,452 101,000 5.85% due November 18, 2019 104,663 79,090 UMH Energy Partnership 42,000 7.75% due March 02, 2020 42,000 35,360 45,000 7.586% due May 08, 2041 45,000 54,913 100,000 6.25% due February 15, 2036 99,728 68,000 Union Gas Limited York University 25,000 Callable7.90%dueFebruary24,2014 30,956 28,476 216,000 Callable6.48%dueMarch07,2042 278,961 267,978 222,000 11.50% due August 28, 2015 337,706 293,468 108,148,363 110,333,096 50,000 Callable 4.64% due June 30, 2016 50,182 53,338 Total Canadian Bonds 387,792,300 394,234,991 50,000 5.35% due April 27, 2018 49,935 55,118 100,000 Callable8.75%dueAugust03,2018 137,746 129,814 TOTALINVESTMENT 27,000 Callable 4.85% due April 25, 2022 26,949 28,191 PORTFOLIO – 99.4% 387,792,300 394,234,991 100,000 Callable8.65%dueNovember10,2025 140,083 140,520 SHORT-TERM 109,000 6.05% due September 02, 2038 108,791 126,187 INVESTMENTS – 0.1% 400,000 400,000 68,000 5.20% due July 23, 2040 67,991 70,158 OTHER NET ASSETS – 0.5% 2,024,762 2,024,762 85,000 Callable 4.88% due June 21, 2041 84,894 83,342

University Health Network TOTAL NET ASSETS – 100.0% $ 390,217,062 $ 396,659,753 149,398 5.64% due December 08, 2022 168,077 161,637 * Related party to the Fund as an affiliated entity of University of British Columbia TD Asset Management Inc. 184,000 Callable 4.817% due July 26, 2035 188,318 182,137 University of Guelph 120,000 6.24% due October 10, 2042 148,998 143,190 University of Ontario Institute of Technology 143,661 6.351% due October 15, 2034 159,598 152,735 University of Ottawa 57,000 Callable 6.28% due April 15, 2043 71,235 68,430

286 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Canadian Bond Index Fund INDEXFUNDS

Credit Risk (Note 11) The table below summarizes the debt instruments by credit ratings as at June 30, 2011 and December 31, 2010.

Percentage of Percentage of Total Bonds (%) Total Net Assets (%) Credit Rating° 2011 2010 2011 2010 AAA 50.66 51.41 50.35 50.92 AA 23.29 23.13 23.15 22.91 A 19.90 19.72 19.78 19.53 BBB 6.15 5.74 6.11 5.69 Total 100.00 100.00 99.39 99.05

Term to Maturity Total Exposure (000s) Bonds 2011 2010 1-5 years $ 195,282 $ 180,682 5-10 years 92,216 92,362 > 10 years 106,737 105,150 Total $ 394,235 $ 378,194

Impact on Net Assets (000s) $ 24,797 $ 23,713

Impact on Net Assets (%) 6.25 6.21

Level1 Level2 Level3 Total June 30, 2011 Short-Term Investments $0$400 $0$400 Bonds 0 394,235 0 394,235 $0$394,635 $0$394,635

December 31, 2010 Bonds and Short-Term Investments $0$378,994 $0$378,994

During the periods, transfers between Level 1 and Level 2 were nil.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 4,139 $ 3,282

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 287 INDEXFUNDS TD Balanced Index Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Changes in Net Assets (in 000s except number of units) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 Investor Series Assets 2011 2010 Investments at Fair Value (Note 3) $ 54,305 $ 51,609 Net Assets, Beginning of the Period $ 51,579 $ 46,232 Cash 49 11 Increase (Decrease) in Net Assets Subscriptions Receivable 18 138 from Investment Operations 636 (345) Receivable for Investment Sales 3 26 Capital Unit Transactions† 54,375 51,784 Proceeds from Sale of Units 7,636 5,586 Liabilities Reinvestments of Distributions 411 463 Accrued Liabilities 40 39 Early Redemption Fees 12 Redemptions Payable 239 123 Amounts Paid on Redemptions (5,758) (4,609) Distributions Payable 80 2,290 1,442 Payable for Investment Purchases 3 43 Distributions to Unitholders (420) (459) 290 205 Increase (Decrease) in Net Assets Net Assets (Note 3) $ 54,085 $ 51,579 for the Period 2,506 638 Net Assets Representing Unitholders’ Equity (Note 4) Net Assets, End of the Period $ 54,085 $ 46,870 Investor Series $ 54,085 $ 51,579 †Capital Unit Transactions Number of Units Outstanding UnitsOutstanding,BeginningofthePeriod 4,210,589 4,020,731 Investor Series 4,395,530 4,210,589 Units Issued 617,328 483,422 Net Assets Per Unit (Note 3) Units Issued on Reinvestments 33,245 40,384 Investor Series $ 12.30 $ 12.25 Units Redeemed (465,632) (399,868) Units Outstanding, End of the Period 4,395,530 4,144,669 Statements of Investment Operations (in 000s except per unit amounts) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 Investment Income Income Distributions Received from Underlying Funds $ 681 $ 555 Less: Withholding Taxes (14) (12) 667 543 Expenses (Note 5) Management Fees 236 94 Independent Review Committee Fees 00 236 94 Less: Waived Expenses (0) (0) 236 94 Net Investment Income (Loss) 431 449 Net Realized Gain (Loss) on Sale of Investments 440 240 Net Change in Unrealized Appreciation/ Depreciation of Investments (235) (1,034) Net Gain (Loss) on Investments 205 (794) Increase (Decrease) in Net Assets from Investment Operations† $ 636 $ (345)

†Increase (Decrease) in Net Assets from Investment Operations Investor Series $ 636 $ (345)

Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Investor Series $ 0.15 $ (0.08)

288 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. INDEXFUNDS TD Balanced Index Fund Statement of Investment Portfolio as at June 30, 2011 (Unaudited) No. of Units Description Cost FairValue

Investment Funds – 100.4% 2,586,607 TD Canadian Bond Index Fund, O-Series $ 25,597,705 $ 26,435,123 1,533,668 TDCanadianIndexFund,O-Series 13,382,252 16,993,036 110,262 TD Canadian Money Market Fund, O-Series 1,101,986 1,102,621 591,026 TDInternationalIndexFund,O-Series 5,178,605 4,917,338 499,147 TDU.S.IndexFund(CAD),O-Series 5,068,035 4,856,700

TOTALINVESTMENT PORTFOLIO – 100.4% 50,328,583 54,304,818 OTHER NET LIABILITIES – (0.4%) (219,481) (219,481)

TOTAL NET ASSETS – 100.0% $ 50,109,102 $ 54,085,337

Level1 Level2 Level3 Total June 30, 2011 UnderlyingFunds $ 54,305 $0$0$54,305

December 31, 2010 UnderlyingFunds $ 51,609 $0$0$51,609

During the periods, transfers between Level 1 and Level 2 were nil.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 290 $ 205

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 289 INDEXFUNDS TD Canadian Index Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 979,728 $ 948,137 Interest $ 471 $ 1,814 Foreign Currencies 258 419 Dividends 11,667 9,172 Cash 93 462 Securities Lending 118 86 Dividends Receivable 2,416 2,208 12,256 11,072 Subscriptions Receivable 2,152 1,736 Expenses (Note 5) Receivable for Investment Sales 342 0 Management Fees 3,397 2,856 984,989 952,962 Independent Review Committee Fees 32 Liabilities Bank Charges and Interest 01 Accrued Liabilities 546 555 3,400 2,859 Redemptions Payable 1,694 2,508 Less: Waived Expenses (0) (1) Payable for Investment Purchases 282 154 3,400 2,858 2,522 3,217 Net Investment Income (Loss) 8,856 8,214 Net Assets (Note 3) $ 982,467 $ 949,745 Net Realized Gain (Loss) on Net Assets Representing Unitholders’ Equity (Note 4) Sale of Investments 11,139 2,057 Investor Series $ 650,632 $ 652,848 Net Change in Unrealized Appreciation/ e-Series $ 278,413 $ 244,413 Depreciation of Investments (22,413) (32,030) Institutional Series $ 3,938 $ 3,614 Transaction Costs on Purchase and Sale F-Series $ 7,971 $ 6,341 of Investments (Note 3) (63) (31) O-Series $ 41,513 $ 42,529 Net Gain (Loss) on Investments (11,337) (30,004) $ 982,467 $ 949,745 Increase (Decrease) in Net Assets † Number of Units Outstanding from Investment Operations $ (2,481) $ (21,790) Investor Series 31,997,122 32,016,224 †Increase (Decrease) in Net Assets from Investment Operations e-Series 13,025,694 11,434,519 Investor Series $ (1,829) $ (15,082) Institutional Series 254,123 233,143 e-Series $ (779) $ (5,138) F-Series 555,612 441,547 Institutional Series $ (13) $ 716 F-Series $ (35)$ (138) O-Series 3,755,711 3,853,721 O-Series $ 175 $ (2,148) Net Assets Per Unit (Note 3) $ (2,481) $ (21,790) Investor Series $ 20.33 $ 20.39 e-Series $ 21.37 $ 21.38 Increase (Decrease) in Net Assets from Investment Operations – Per Unit (Note 3) Institutional Series $ 15.50 $ 15.50 Investor Series $ (0.06) $ (0.45) F-Series $ 14.35 $ 14.36 e-Series $ (0.00) $ (0.50) O-Series $ 11.05 $ 11.04 Institutional Series $ (0.01) $ (0.35) F-Series $ (0.02) $ (0.37) O-Series $ 0.02 $ (0.58)

290 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. INDEXFUNDS TD Canadian Index Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series e-Series Institutional Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 652,848 $ 607,459 $ 244,413 $ 179,878 $ 3,614 $ 23,748 Increase (Decrease) in Net Assets from Investment Operations (1,829) (15,082) (779) (5,138) (13) 716 Capital Unit Transactions† Proceeds from Sale of Units 56,029 53,268 54,499 34,541 680 624 Reinvestments of Distributions 00 00 00 Early Redemption Fees 12 15 55 00 Amounts Paid on Redemptions (56,428) (77,593) (19,725) (14,265) (343) (22,243) (387) (24,310) 34,779 20,281 337 (21,619) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (2,216) (39,392) 34,000 15,143 324 (20,903) Net Assets, End of the Period $ 650,632 $ 568,067 $ 278,413 $ 195,021 $ 3,938 $ 2,845 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 32,016,224 34,237,563 11,434,519 9,691,085 233,143 1,762,977 Units Issued 2,688,053 2,988,842 2,495,571 1,842,711 43,006 46,047 Units Issued on Reinvestments 00 00 00 Units Redeemed (2,707,155) (4,306,145) (904,396) (758,763) (22,026) (1,592,327) Units Outstanding, End of the Period 31,997,122 32,920,260 13,025,694 10,775,033 254,123 216,697

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 6,341 $ 4,484 $ 42,529 $0$949,745 $ 815,569 Increase (Decrease) in Net Assets from Investment Operations (35) (138) 175 (2,148) (2,481) (21,790) Capital Unit Transactions† Proceeds from Sale of Units 2,383 1,516 3,176 36,616 116,767 126,565 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 10 18 20 Amounts Paid on Redemptions (718) (813) (4,368) (1,437) (81,582) (116,351) 1,665 703 (1,191) 35,179 35,203 10,234 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period 1,630 565 (1,016) 33,031 32,722 (11,556) Net Assets, End of the Period $ 7,971 $ 5,049 $ 41,513 $ 33,031 $ 982,467 $ 804,013 †Capital Unit Transactions Units Outstanding, Beginning of the Period 441,547 359,756 3,853,721 0 Units Issued 163,214 121,217 282,099 3,679,952 Units Issued on Reinvestments 00 00 Units Redeemed (49,149) (65,111) (380,109) (145,049) Units Outstanding, End of the Period 555,612 415,862 3,755,711 3,534,903

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 291 INDEXFUNDS

TD Canadian Index Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 32,900 Trilogy Energy Corp. $$649,443 780,717 No. of Shares 77,000 Trinidad Drilling Ltd. 749,682 644,490 or Units Description Cost FairValue 287,595 Uranium One Inc. 3,387,578 762,127 101,400 Veresen Inc. 1,215,882 1,407,432 Canadian Equities – 99.4% 56,400 Vermilion Energy Inc. 1,844,904 2,869,068 ENERGY – 26.8% 169,447,322 263,062,820 103,466 Advantage Oil & Gas Ltd. $ 1,537,795 $ 790,480 52,000 AltaGas Ltd. 1,281,463 1,337,440 MATERIALS – 21.1% 178,900 ARC Resources Ltd. 4,328,413 4,467,133 105,814 Agnico-Eagle Mines Limited 3,314,236 6,435,607 185,700 Athabasca Oil Sands Corp. 2,845,760 2,813,355 98,719 Agrium Inc. 3,350,986 8,352,615 154,600 Bankers Petroleum Ltd. 1,318,580 1,063,648 73,300 Alamos Gold Inc. 721,258 1,167,669 72,300 Baytex Energy Corp. 1,623,551 3,793,581 88,640 AuRico Gold Inc. 877,248 936,925 80,000 Birchcliff Energy Ltd. 1,078,609 1,039,200 103,500 Aurizon Mines Ltd. 575,472 556,830 177,600 BlackPearl Resources Inc. 567,921 1,207,680 185,900 B2Gold Corp. 603,153 602,316 85,000 Bonavista Energy Corporation 2,701,898 2,419,950 625,456 Barrick Gold Corporation 19,564,763 27,313,664 9,100 Bonterra Energy Corp. 563,968 516,698 50,951 Canfor Corporation 515,021 536,005 20,100 Calfrac Well Services Ltd. 466,002 636,567 128,000 Capstone Mining Corp. 589,947 456,960 247,102 Cameco Corporation 3,043,480 6,271,449 15,925 CCL Industries Inc., Class “B” NV 209,118 525,684 686,376 CanadianNaturalResourcesLimited 8,576,490 27,667,817 99,000 Centerra Gold Inc. 1,085,416 1,583,010 303,300 Canadian Oil Sands Limited 9,088,535 8,425,674 98,700 China Gold International 45,500 Celtic Exploration Ltd. 477,261 969,605 Resources Corp., Ltd. 570,486 370,125 471,846 Cenovus Energy Inc. 6,305,908 17,137,447 61,500 Colossus Minerals Inc. 515,617 429,885 170,200 Crescent Point Energy Corp. 5,194,072 7,560,284 52,400 Detour Gold Corporation 875,854 1,463,008 54,400 Crew Energy Inc. 889,266 812,736 61,400 Dundee Precious Metals Inc. 591,003 478,920 134,205 Daylight Energy Ltd. 1,454,117 1,249,449 579,100 Eastern Platinum Limited 805,935 457,489 188,800 Denison Mines Corp. 591,598 345,504 343,592 Eldorado Gold Corporation 2,465,922 4,875,570 484,620 Enbridge Inc. 5,476,756 15,168,606 52,000 Endeavour Silver Corp. 396,994 420,680 460,246 EnCana Corporation 6,651,387 13,669,306 85,200 European Goldfields Limited 538,725 860,520 41,298 Enerflex Ltd. 219,348 512,095 55,300 Extorre Gold Mines Limited 619,056 681,296 112,395 Enerplus Corporation 5,570,454 3,421,304 63,400 First Majestic Silver Corp. 854,864 1,126,618 78,714 Ensign Energy Services Inc. 679,329 1,505,012 53,950 First Quantum Minerals Ltd. 2,103,215 7,585,370 29,200 Flint Energy Services Ltd. 531,088 405,880 79,100 Franco-Nevada Corporation 2,436,521 2,846,809 28,829 Freehold Royalties Ltd. 501,269 564,760 146,200 Gabriel Resources Ltd. 740,202 972,230 162,836 Husky Energy Inc. 2,387,345 4,276,073 499,912 Goldcorp Inc. 13,256,785 23,255,906 159,152 Imperial Oil Limited 3,713,240 7,144,333 162,700 Golden Star Resources Ltd. 603,395 344,924 175,400 Ivanhoe Energy Inc. 580,014 319,228 61,800 Grande Cache Coal Corporation 620,698 541,368 44,199 Keyera Corp. 952,607 1,931,054 284,000 Great Basin Gold Ltd. 564,999 559,480 79,600 Legacy Oil + Gas Inc. 1,129,059 931,320 50,700 Guyana Goldfields Inc. 539,853 346,281 74,300 MEG Energy Corp. 3,672,240 3,724,659 53,700 HarryWinstonDiamondCorporation 751,569 857,589 50,300 Mullen Group Ltd. 1,308,642 1,019,581 107,300 HudBay Minerals Inc. 1,347,245 1,545,120 92,672 NAL Energy Corporation 1,410,456 1,021,245 234,549 IAMGOLD Corporation 2,002,453 4,245,337 329,824 Nexen Inc. 3,860,586 7,150,584 31,745 Inmet Mining Corporation 1,028,014 2,196,119 27,471 Niko Resources Ltd. 1,120,316 1,645,513 188,616 Ivanhoe Mines Ltd. 1,721,854 4,594,686 62,492 NuVista Energy Ltd. 857,995 567,427 53,100 Jaguar Mining Inc. 613,763 243,198 168,000 Pacific Rubiales Energy Corp. 1,918,000 4,339,440 710,824 Kinross Gold Corporation 10,678,068 10,804,525 18,400 ParamountResourcesLtd.,Class“A” 507,003 507,472 38,400 Kirkland Lake Gold Inc. 577,908 580,992 40,658 Pason Systems Inc. 475,129 588,728 154,900 Lake Shore Gold Corp. 631,788 433,720 104,800 Pembina Pipeline Corporation 1,677,368 2,656,680 320,559 Lundin Mining Corporation 2,548,490 2,368,931 205,001 Pengrowth Energy Corporation 3,742,371 2,482,562 45,900 MajorDrillingGroupInternationalInc. 626,973 573,750 291,674 Penn West Petroleum Ltd. 10,259,124 6,480,996 124,100 Mercator Minerals Ltd. 438,073 354,926 72,541 Perpetual Energy Inc. 996,100 226,328 58,154 Methanex Corporation 736,660 1,755,669 49,276 PetroBakkenEnergyLtd.,Class“A” 1,473,707 649,458 50,100 Minefinders Corporation Ltd. 528,713 624,747 66,600 PetrobankEnergyandResourcesLtd. 722,176 942,390 28,525 Namibian Minerals Corporation 101,800 0 83,300 Peyto Exploration & Development Corp. 1,754,825 1,790,117 75,500 Neo Material Technologies Inc. 580,123 699,130 172,600 Precision Drilling Corporation 3,022,830 2,383,606 123,500 Nevsun Resources Ltd. 626,055 721,240 112,533 Progress Energy Resources Corp. 1,776,718 1,543,953 251,000 New Gold Inc. 1,207,954 2,489,920 168,600 Provident Energy Ltd. 1,846,926 1,449,960 81,900 North American Palladium Ltd. 475,020 324,324 50,414 Savanna Energy Services Corp. 849,413 437,089 47,700 Northern Dynasty Minerals Ltd. 657,783 465,075 36,768 ShawCor Ltd., Class “A” SV 524,711 1,083,185 183,700 Northgate Minerals Corporation 580,241 459,250 33,200 SouthGobi Resources Limited 489,700 352,584 111,100 NovaGold Resources Inc. 864,290 985,457 984,670 Suncor Energy Inc. 15,782,685 37,122,059 164,700 OceanaGold Corporation 606,689 434,808 644,990 Talisman Energy Inc. 5,114,697 12,745,002 239,200 Osisko Mining Corporation 2,132,438 3,576,040 68,400 Tourmaline Oil Corp. 2,019,476 2,188,800 67,561 Pan American Silver Corp. 1,080,888 2,008,589 439,642 TransCanada Corporation 10,699,712 18,561,685 534,967 Potash Corporation of Saskatchewan Inc. 6,776,485 29,401,786 45,800 TransGlobe Energy Corporation 689,956 502,884 119,428 Quadra FNX Mining Ltd. 1,726,918 1,709,015 91,004 Trican Well Service Ltd. 700,388 2,060,331

292 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Canadian Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

314,900 Romarco Minerals Inc. $$602,876 506,989 CONSUMER STAPLES – 2.5% 103,095 Royal Oak Mines Inc. 6,701 0 82,772 Alimentation Couche-Tard Inc., 108,100 Rubicon Minerals Corp. 539,968 369,702 Class “B” SV $$794,926 2,319,271 193,600 San Gold Corporation 637,815 627,264 59,000 Cott Corporation 532,773 475,540 170,600 SEMAFO Inc. 875,189 1,255,616 16,467 EmpireCompanyLimited,Class“A”NV 343,464 912,766 184,642 Sherritt International Corporation 1,852,073 1,131,855 29,920 George Weston Limited 1,588,620 2,084,826 50,300 Silver Standard Resources Inc. 1,062,737 1,292,207 72,049 The Jean Coutu Group (PJC) Inc., 221,100 Silver Wheaton Corp. 3,013,441 7,035,402 Class “A” SV 863,935 788,937 109,600 Silvercorp Metals Inc. 626,851 991,880 63,557 Loblaw Companies Limited 2,344,776 2,469,189 154,459 Sino-Forest Corporation 1,643,910 478,823 40,214 Maple Leaf Foods Inc. 497,830 476,536 50,200 Tahoe Resources Inc. 887,762 899,082 64,279 METRO Inc., Class “A” SV 1,337,011 3,084,106 118,000 Taseko Mines Limited 552,874 567,580 31,000 North West Company Inc. 541,956 626,820 303,238 TeckResourcesLimited,Class“B”SV 4,631,402 14,825,306 84,258 Saputo Inc. 1,590,259 3,909,571 105,700 ThompsonCreekMetalsCompanyInc. 1,215,947 1,016,834 136,112 Shoppers Drug Mart Corporation 4,483,766 5,403,646 18,464 West Fraser Timber Co., Ltd. 583,645 965,298 232,700 Viterra Inc. 2,267,270 2,427,061 466,156 Yamana Gold Inc. 5,155,278 5,220,947 17,186,586 24,978,269 126,043,466 207,722,492 HEALTH CARE – 1.3% INDUSTRIALS – 5.7% 56,300 CML HealthCare Inc. 794,384 525,279 35,100 Aecon Group Inc. 655,796 283,257 40,323 Nordion Inc. 693,213 419,762 124,600 Air Canada, Class “B” 437,346 287,826 38,800 SXC Health Solutions Corp. 767,767 2,197,632 911,357 Bombardier Inc., Class “B” SV 8,683,158 6,306,590 185,056 Valeant Pharmaceuticals International Inc. 6,197,409 9,273,156 160,914 CAE Inc. 1,205,695 2,088,664 8,452,773 12,415,829 285,234 CanadianNationalRailwayCompany 6,837,857 21,977,280 106,006 Canadian Pacific Railway Limited 2,972,988 6,365,660 FINANCIALS – 27.3% 77,800 Chorus Aviation Inc., Class “B” 533,890 394,446 48,417 AGFManagementLimited,Class“B”NV 834,532 905,398 107,388 Finning International Inc. 1,151,802 3,061,632 356,572 Bank of Montreal 11,931,687 21,843,601 75,600 Progressive Waste Solutions Ltd. 1,385,463 1,814,400 677,424 The Bank of Nova Scotia 17,304,682 39,297,366 38,124 Russel Metals Inc. 563,029 937,088 330,397 Brookfield Asset Management Inc., 94,422 SNC-Lavalin Group Inc. 1,253,922 5,552,014 Class “A” LV 4,707,840 10,566,096 28,700 Stantec Inc. 678,850 801,017 148,017 Brookfield Office Properties Inc. 2,061,964 2,751,636 69,000 Superior Plus Corp. 1,258,430 774,180 248,532 Canadian Imperial Bank of Commerce 12,196,620 18,913,285 41,298 Toromont Industries Ltd. 329,936 782,184 44,536 Canadian Western Bank 454,238 1,370,818 43,128 Transcontinental Inc., Class “A” SV 507,598 626,650 95,653 CI Financial Corp. 2,356,444 2,184,715 46,030 TransForce Inc. 326,860 687,688 33,900 Davis&HendersonIncomeCorporation 682,082 664,101 88,344 WestJet Airlines Ltd. 1,044,735 1,334,878 41,200 Dundee Bancorp Inc., Class “A” SV 729,548 1,042,772 29,900 Westport Innovations Inc. 551,997 687,999 12,325 FairfaxFinancialHoldingsLimited,SV 2,857,063 4,757,450 40,000 Westshore Terminals 36,500 First Capital Realty Inc. 516,322 600,425 Investment Corporation 959,229 954,400 16,160 FirstService Corporation, SV 218,381 537,158 28,300 Genworth MI Canada Inc. 720,924 715,141 31,338,581 55,717,853 32,600 GMP Capital Inc. 449,835 415,650 CONSUMER DISCRETIONARY – 4.3% 160,422 Great-West Lifeco Inc. 3,006,287 4,081,136 33,796 Astral Media Inc., Class “A” NV 827,154 1,257,549 19,784 Home Capital Group Inc. 535,672 1,020,854 49,520 Canadian Tire Corporation Limited, 64,769 IGM Financial Inc. 1,560,401 3,270,187 Class “A” NV 1,463,197 3,120,255 52,698 Industrial Alliance Insurance 36,300 Cineplex Inc. 608,792 965,943 and Financial Services Inc. 1,068,030 2,112,136 14,757 Cogeco Cable Inc., SV 511,813 664,213 68,600 Intact Financial Corporation 2,427,660 3,789,464 43,964 CorusEntertainmentInc.,Class“B”NV 828,380 900,822 15,058 Laurentian Bank of Canada 416,772 668,876 29,200 Dollarama Inc. 839,292 951,920 1,115,862 Manulife Financial Corporation 24,258,437 19,003,130 18,232 Dorel Industries Inc., Class “B” SV 476,882 488,982 101,651 National Bank of Canada 2,781,327 7,940,976 17,974 The Forzani Group Ltd. 283,425 471,997 57,746 Onex Corporation, SV 1,045,242 2,146,996 65,434 Gildan Activewear Inc. 907,622 2,217,558 210,930 Power Corporation of Canada, SV 3,564,213 5,652,924 113,310 Groupe Aeroplan Inc. 1,802,733 1,507,023 141,889 Power Financial Corporation 2,337,872 4,215,522 28,900 Linamar Corporation 534,989 625,685 898,256 Royal Bank of Canada 24,289,873 49,395,097 151,462 Magna International Inc. 4,817,527 7,891,170 361,887 Sun Life Financial Inc. 11,148,961 10,483,866 29,727 Quebecor Inc., Class “B” SV 839,239 941,751 46,768 TMX Group Inc. 1,367,253 2,034,408 32,515 Reitmans (Canada) Limited, 555,457 The Toronto-Dominion Bank* 23,768,548 45,425,273 Class “A” NV 560,374 498,130 161,598,710 267,806,457 81,632 RONA Inc. 1,208,084 980,400 221,824 Shaw Communications Inc., Class “B” NV 3,276,777 4,875,692 235,458 Thomson Reuters Corporation 8,913,446 8,518,870 102,700 Tim Hortons Inc. 3,095,038 4,832,035 24,084 Transat A.T. Inc., Class “B” 528,089 270,222 329,100 Yellow Media Inc. 4,818,277 789,840 37,141,130 42,770,057

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 293 TD Canadian Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

INFORMATION TECHNOLOGY – 1.7% U.S. Equities – 0.1% 123,548 Celestica Inc., SV $$5,702,536 1,037,803 MATERIALS – 0.1% 144,703 CGI Group Inc., Class “A” SV 1,455,385 3,441,037 140,000 Alacer Gold Corp. $$1,149,426 1,124,200 25,777 MacDonald, Dettwiler and Associates Ltd. 728,217 1,402,527 35,838 Open Text Corporation 888,695 2,205,829 International Equities – 0.2% 291,855 Research In Motion Limited 9,506,829 8,116,488 COLOMBIA – 0.2% 76,400 Wi-LAN Inc. 532,852 592,864 64,975 Petrominerales Ltd. 2,065,913 1,831,645 18,814,514 16,796,548 Transaction Costs (Note 3) (233,604) 0 TELECOMMUNICATION SERVICES – 4.4% 481,869 BCE Inc. 14,079,019 18,219,467 TOTALINVESTMENT 79,845 Bell Aliant Inc. 2,689,071 2,291,552 PORTFOLIO – 99.7% 635,315,510 979,727,965 41,046 Manitoba Telecom Services Inc. 1,335,230 1,338,921 FOREIGN CURRENCIES – 0.0% 262,063 258,327 280,576 Rogers Communications Inc., OTHER NET ASSETS – 0.3% 2,480,598 2,480,573 Class “B” NV 5,555,506 10,692,751 202,996 TELUS Corporation 6,598,728 10,772,998 TOTAL NET ASSETS – 100.0% $ 638,058,171 $ 982,466,865 30,257,554 43,315,689 * Related party to the Fund as an affiliated entity of UTILITIES – 1.6% TD Asset Management Inc. 24,681 ATCO Ltd., Class “I” NV 534,981 1,541,822 43,100 Atlantic Power Corporation 598,800 629,691 Financial Instruments by the Level in the Fair Value Hierarchy 37,523 Canadian Utilities Limited, Class “A” NV 1,000,414 2,102,038 (in 000s) (Note 11) 25,300 Capital Power Corporation 677,142 632,247 The table below illustrates the classification of the Fund’s financial instruments within the 73,193 Emera Inc. 1,216,133 2,313,631 fair value hierarchy as at June 30, 2011 and December 31, 2010: 109,876 Fortis Inc. 2,181,086 3,554,489

85,923 Just Energy Group Inc. 1,482,509 1,220,107 Level1 Level2 Level3 Total 47,500 Northland Power Inc. 654,354 762,850 June 30, 2011 138,974 TransAlta Corporation 2,814,651 2,858,695 CommonShares $ 979,728 $0$0$979,728 11,160,070 15,615,570 During the period, transfers between Level 1 and Level 2 were nil. ROYALTY/INCOME TRUSTS – 2.3% 27,000 Allied Properties Real Estate December 31, 2010 Investment Trust 560,642 641,790 CommonShares $ 947,387 $ 547 $0$947,934 48,300 Artis Real Estate Investment Trust 638,793 676,200 Rights 203 00203 24,300 BoardwalkRealEstateInvestmentTrust 465,189 1,171,260 $ 947,590 $ 547 $0$948,137 37,400 Brookfield Renewable Power Fund 718,846 860,200 53,859 CallowayRealEstateInvestmentTrust 1,103,170 1,354,554 Equity positions with a fair value of $547 were transferred from Level 1 to Level 2 during the 48,169 Canadian Apartment Properties period as a result of decreased activity in the market for those securities. Real Estate Investment Trust 637,213 930,625 Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) 42,000 CanadianRealEstateInvestmentTrust 977,903 1,394,400 72,100 Canexus Income Fund 484,836 481,628 The table below summarizes cash flows associated with the maturities of the Fund’s financial liabilities as at June 30, 2011 and December 31, 2010: 24,700 Capital Power Income LP 645,740 469,300 91,200 Chartwell Seniors Housing Less than Real Estate Investment Trust 858,324 763,344 3 months 33,600 CominarRealEstateInvestmentTrust 664,310 739,872 2011 2010 31,800 DundeeRealEstateInvestmentTrust 824,607 1,029,048 Accounts payable and other liabilities $ 2,522 $ 3,217 50,970 ExtendicareRealEstateInvestmentTrust 486,274 528,559 93,300 H&R Real Estate Investment Trust 1,661,076 2,011,548 161,800 Inter Pipeline Fund 1,615,833 2,562,912 40,240 LabradorIronOreRoyaltyCorporation 586,937 1,557,288 42,200 Primaris Retail Real Estate Investment Trust 570,055 886,622 162,800 RioCanRealEstateInvestmentTrust 3,099,729 4,211,636 16,599,477 22,270,786

INDEX EQUIVALENTS – 0.4% 225,000 iShares S&P/TSX 60 Index Fund 4,293,592 4,299,750

Total Canadian Equities 632,333,775 976,772,120

294 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. INDEXFUNDS TD Dow Jones Industrial AverageSM Index Fund (expressed in United States dollars) Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 61,394 $ 52,099 Dividends $ 742 $ 620 Canadian Currency 41 1 Securities Lending 11 Cash 9 102 Less: Withholding Taxes (111) (93) Dividends Receivable 51 46 632 528 Subscriptions Receivable 152 149 Expenses (Note 5) Receivable for Investment Sales 491 0 Management Fees 197 150 Unrealized Gain on Open Foreign Independent Review Committee Fees 00 Exchange Forward Contracts 20 197 150 62,140 52,397 Less: Waived Expenses (0) (0) Liabilities 197 150 Accrued Liabilities 33 30 Redemptions Payable 447 169 Net Investment Income (Loss) 435 378 Payable for Investment Purchases 158 58 Net Realized Gain (Loss) on Unrealized Loss on Open Foreign Sale of Investments 66 44 Exchange Forward Contracts 10Net Change in Unrealized Appreciation/ 639 257 Depreciation of Investments 3,795 (2,945) Transaction Costs on Purchase and Sale Net Assets (Note 3) $ 61,501 $ 52,140 of Investments (Note 3) (2) (1) Net Assets Representing Unitholders’ Equity (Note 4) Net Gain (Loss) on Investments 3,859 (2,902) Investor Series $ 37,254 $ 33,087 Increase (Decrease) in Net Assets e-Series $ 23,461 $ 18,685 from Investment Operations† $ 4,294 $ (2,524) F-Series $ 786 $ 368 $ 61,501 $ 52,140 †Increase (Decrease) in Net Assets from Investment Operations Investor Series $ 2,642 $ (1,662) Number of Units Outstanding e-Series $ 1,612 $ (852) Investor Series 4,693,542 4,496,871 F-Series $ 40 $ (10) e-Series 2,837,385 2,444,507 $ 4,294 $ (2,524) F-Series 122,802 62,228 Net Assets Per Unit (Note 3) Increase (Decrease) in Net Assets from Investment Operations – Investor Series $ 7.94 $ 7.36 Per Unit (Note 3) Investor Series $ 0.58 $ (0.37) e-Series $ 8.27 $ 7.64 e-Series $ 0.62 $ (0.37) F-Series $ 6.17§ $ 5.89§ F-Series $ 0.47*$ (0.32)*

§ Units valued in Canadian dollars * Earnings per unit stated in Canadian dollars

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 295 INDEXFUNDS TD Dow Jones Industrial AverageSM Index Fund (expressed in United States dollars) Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series e-Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 33,087 $ 29,695 $ 18,685 $ 15,124 Increase (Decrease) in Net Assets from Investment Operations 2,642 (1,662) 1,612 (852) Capital Unit Transactions† Proceeds from Sale of Units 7,441 4,530 4,892 2,299 Reinvestments of Distributions 00 00 Early Redemption Fees 21 10 Amounts Paid on Redemptions (5,918) (4,125) (1,729) (1,423) 1,525 406 3,164 876 Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period 4,167 (1,256) 4,776 24 Net Assets, End of the Period $ 37,254 $ 28,439 $ 23,461 $ 15,148 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 4,496,871 4,488,010 2,444,507 2,202,665 Units Issued 959,399 676,591 606,824 330,997 Units Issued on Reinvestments 00 00 Units Redeemed (762,728) (613,882) (213,946) (203,829) Units Outstanding, End of the Period 4,693,542 4,550,719 2,837,385 2,329,833

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 368$ 173 $ 52,140$ 44,992 Increase (Decrease) in Net Assets from Investment Operations 40 (10) 4,294 (2,524) Capital Unit Transactions† Proceeds from Sale of Units 394 25 12,727 6,854 Reinvestments of Distributions 00 00 Early Redemption Fees 00 31 Amounts Paid on Redemptions (16) (22) (7,663) (5,570) 378 3 5,067 1,285 Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period 418 (7) 9,361 (1,239) Net Assets, End of the Period $ 786$ 166 $ 61,501$ 43,753 †Capital Unit Transactions Units Outstanding, Beginning of the Period 62,228 32,605 Units Issued 63,066 4,684 Units Issued on Reinvestments 00 Units Redeemed (2,492) (4,111) Units Outstanding, End of the Period 122,802 33,178

296 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. INDEXFUNDS

SM TD Dow Jones Industrial Average Index Fund No. of Shares (expressed in United States dollars) Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) FINANCIALS – 9.8% No. of Shares 37,160 American Express Company $$1,473,959 1,920,800 or Units Description Cost FairValue 37,160 Bank of America Corporation 1,253,417 406,902 37,160 JPMorgan Chase & Co. 1,339,240 1,520,216 U.S. Equities – 99.8% 37,160 The Travelers Companies Inc. 1,692,572 2,169,401 ENERGY – 11.1% 5,759,188 6,017,319 37,160 Chevron Corporation $ 3,100,586 $ 3,818,562 37,160 Exxon Mobil Corporation 2,077,181 3,021,480 INFORMATION TECHNOLOGY – 16.4% 37,160 Cisco Systems Inc. 743,946 579,696 5,177,767 6,840,042 37,160 Hewlett-Packard Company 1,341,477 1,352,624 MATERIALS – 4.2% 37,160 Intel Corporation 1,023,504 822,722 37,160 Alcoa Inc. 943,233 588,614 37,160 International Business Machines 37,160 DuPont(E.I.)deNemours&Company 1,730,565 2,007,755 Corporation 3,850,760 6,369,967 2,673,798 2,596,369 37,160 Microsoft Corporation 1,158,615 965,417 8,118,302 10,090,426 INDUSTRIALS – 23.1% 37,160 3M Company 2,329,753 3,523,883 TELECOMMUNICATION SERVICES – 4.1% 37,160 The Boeing Company 1,936,533 2,747,239 37,160 AT&T Inc. 1,296,396 1,166,452 37,160 Caterpillar Inc. 1,626,477 3,954,939 37,160 Verizon Communications Inc. 1,319,460 1,382,724 37,160 General Electric Company 1,120,300 700,094 2,615,856 2,549,176 37,160 United Technologies Corporation 1,723,421 3,288,660 INDEX EQUIVALENTS – 0.8% 8,736,484 14,214,815 3,800 SPDRDowJonesIndustrialAverageETF 462,937 470,630 CONSUMER DISCRETIONARY – 9.6% Transaction Costs (Note 3) (6,414) 0 37,160 The Home Depot Inc. 1,390,032 1,344,820 37,160 McDonald’s Corporation 1,588,231 3,131,845 TOTALINVESTMENT 37,160 The Walt Disney Company 1,090,291 1,449,983 PORTFOLIO – 99.8% 49,535,577 61,393,707 4,068,554 5,926,648 CANADIAN CURRENCY – 0.1% 40,811 41,047 FORWARDCONTRACTS CONSUMER STAPLES – 13.3% 37,160 The Coca-Cola Company 1,991,636 2,500,125 (SCHEDULE 1) – 0.0% 0 1,090 37,160 Kraft Foods Inc., Class “A” 1,234,247 1,308,775 OTHER NET ASSETS – 0.1% 67,092 65,538 37,160 The Procter & Gamble Company 1,892,142 2,360,403 37,160 Wal-Mart Stores Inc. 1,884,091 1,973,568 TOTAL NET ASSETS – 100.0% $ 49,643,480 $ 61,501,382 7,002,116 8,142,871

HEALTH CARE – 7.4% 37,160 Johnson & Johnson 2,047,476 2,469,654 37,160 Merck & Co., Inc. 1,838,073 1,310,633 37,160 Pfizer Inc. 1,041,440 765,124 4,926,989 4,545,411

Foreign Exchange Forward Contracts (Schedule 1) U.S. Value U.S. Value Settlement Currency to be as at Currency to be as at Contract $ U.S. Date Delivered June30,2011 Received June30,2011 Price Appreciation

July 05, 2011 91,572 USD $ 91,572 90,000 CAD $ 93,305 0.98283 $ 1,733 July 06, 2011 279,842 USD 279,842 270,000 CAD 279,909 0.96483 67 $ 371,414 $ 373,214 $ 1,800

U.S. Value U.S. Value Settlement Currency to be as at Currency to be as at Contract $ U.S. Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 05, 2011 106,788 CAD $ 110,710 110,000 USD $ 110,000 0.97080 $ (710)

TOTALNUMBEROFCONTRACTS: 3 NETAPPRECIATION $ 1,090

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 297 TD Dow Jones Industrial AverageSM Index Fund INDEXFUNDS

Level1 Level2 Level3 Total June 30, 2011 CommonShares $ 61,394 $0$0$61,394 Forward Contracts 0202 61,394 2061,396 Forward Contracts 0 (1) 0 (1) $ 61,394 $1$0$61,395

December 31, 2010 CommonShares $ 52,099 $0$0$52,099

During the periods, transfers between Level 1 and Level 2 were nil.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 638 $ 257 Forward Contracts 10 $ 639 $ 257

298 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. INDEXFUNDS TD U.S. Index Fund (expressed in United States dollars) Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 383,151 $ 346,708 Interest $6$0 Canadian Currency 29 177 Dividends 4,029 3,040 Cash 214 617 Securities Lending 17 14 Dividends Receivable 414 347 Less: Withholding Taxes (536) (448) Subscriptions Receivable 665 638 3,516 2,606 384,473 348,487 Expenses (Note 5) Liabilities Management Fees 550 543 Accrued Liabilities 92 82 Independent Review Committee Fees 11 Redemptions Payable 517 356 Bank Charges and Interest 21 Distributions Payable 03 553 545 Payable for Investment Purchases 1,180 567 Less: Waived Expenses (2) (1) Unrealized Loss on Open Foreign 551 544 Exchange Forward Contracts 00 Net Investment Income (Loss) 2,965 2,062 1,789 1,008 Net Realized Gain (Loss) on Net Assets (Note 3) $ 382,684 $ 347,479 Sale of Investments 379 (333) Net Assets Representing Unitholders’ Equity (Note 4) Net Change in Unrealized Appreciation/ Investor Series $ 152,555 $ 136,946 Depreciation of Investments 16,453 (23,342) e-Series $ 85,851 $ 70,880 Transaction Costs on Purchase and Sale Institutional Series $ 2,515 $ 2,236 of Investments (Note 3) (7) (3) F-Series $ 2,601 $ 1,877 Net Gain (Loss) on Investments 16,825 (23,678) O-Series $ 139,162 $ 135,540 Increase (Decrease) in Net Assets $ 382,684 $ 347,479 from Investment Operations† $ 19,790 $ (21,616) Number of Units Outstanding †Increase (Decrease) in Net Assets from Investment Operations Investor Series 14,521,007 13,759,653 Investor Series $ 7,707 $ (8,295) e-Series 3,727,158 3,251,373 e-Series $ 4,137 $ (4,111) Institutional Series 389,684 365,955 Institutional Series $ 128 $ 7,638 F-Series 428,184 326,019 F-Series $ 112 $ (101) O-Series $ 7,706 $ (16,747) O-Series 13,793,773 14,219,747 $ 19,790 $ (21,616) Net Assets Per Unit (Note 3) Investor Series $ 10.51 $ 9.95 Increase (Decrease) in Net Assets from Investment Operations – e-Series $ 23.03 $ 21.80 Per Unit (Note 3) Investor Series $ 0.55 $ (0.59) Institutional Series $ 6.22§ $ 6.07§ e-Series $ 1.23 $ (1.47) § § F-Series $ 5.86 $ 5.72 Institutional Series $ 0.34*$ (0.22)* O-Series $ 9.73§ $ 9.47§ F-Series $ 0.31*$ (0.44)* O-Series $ 0.54*$ (0.61)* § Units valued in Canadian dollars * Earnings per unit stated in Canadian dollars

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 299 INDEXFUNDS TD U.S. Index Fund (expressed in United States dollars) Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series e-Series Institutional Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 136,946 $ 125,863 $ 70,880 $ 50,261 $ 2,236 $ 122,906 Increase (Decrease) in Net Assets from Investment Operations 7,707 (8,295) 4,137 (4,111) 128 7,638 Capital Unit Transactions† Proceeds from Sale of Units 21,305 12,253 16,213 11,274 237 4,398 Reinvestments of Distributions 00 00 00 Early Redemption Fees 22 11 02 Amounts Paid on Redemptions (13,405) (16,134) (5,380) (3,808) (86) (133,211) 7,902 (3,879) 10,834 7,467 151 (128,811) Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period 15,609 (12,174) 14,971 3,356 279 (121,173) Net Assets, End of the Period $ 152,555 $ 113,689 $ 85,851 $ 53,617 $ 2,515 $ 1,733 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 13,759,653 14,254,703 3,251,373 2,602,967 365,955 22,714,686 Units Issued 2,048,609 1,365,258 712,151 574,017 37,119 785,840 Units Issued on Reinvestments 00 00 00 Units Redeemed (1,287,255) (1,774,813) (236,366) (194,206) (13,390) (23,156,463) Units Outstanding, End of the Period 14,521,007 13,845,148 3,727,158 2,982,778 389,684 344,063

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 1,877 $ 1,097 $ 135,540 $0$347,479 $ 300,127 Increase (Decrease) in Net Assets from Investment Operations 112 (101) 7,706 (16,747) 19,790 (21,616) Capital Unit Transactions† Proceeds from Sale of Units 866 360 6,528 137,571 45,149 165,856 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 20 55 Amounts Paid on Redemptions (254) (83) (10,614) (4,572) (29,739) (157,808) 612 277 (4,084) 132,999 15,415 8,053 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period 724 176 3,622 116,252 35,205 (13,563) Net Assets, End of the Period $ 2,601 $ 1,273 $ 139,162 $ 116,252 $ 382,684 $ 286,564 †Capital Unit Transactions Units Outstanding, Beginning of the Period 326,019 215,276 14,219,747 11 Units Issued 144,060 69,043 641,435 15,291,853 Units Issued on Reinvestments 00 00 Units Redeemed (41,895) (15,703) (1,067,409) (536,728) Units Outstanding, End of the Period 428,184 268,616 13,793,773 14,755,136

300 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. INDEXFUNDS

(expressed in United States dollars) TD U.S. Index Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 14,036 International Paper Company $$447,024 418,132 No. of Shares 5,422 MeadWestvaco Corporation 161,410 180,390 or Units Description Cost FairValue 17,140 Monsanto Company 864,782 1,243,164 15,713 Newmont Mining Corporation 668,061 847,716 U.S. Equities – 99.3% 10,082 Nucor Corporation 486,030 415,479 ENERGY – 12.5% 5,000 Owens-Illinois Inc. 135,791 128,900 7,280 Alpha Natural Resources Inc. $ 380,817 $ 330,585 5,059 PPG Industries Inc. 298,901 459,155 15,841 Anadarko Petroleum Corporation 703,964 1,215,480 9,686 Praxair Inc. 551,064 1,049,478 12,207 Apache Corporation 891,146 1,505,611 5,034 Sealed Air Corporation 135,011 119,759 13,845 Baker Hughes Incorporated 820,939 1,004,316 2,760 The Sherwin-Williams Company 143,072 231,509 3,400 Cabot Oil & Gas Corporation 201,387 225,284 3,880 Sigma-Aldrich Corporation 148,882 284,520 7,600 Cameron International Corporation 328,716 382,128 2,850 Titanium Metals Corporation 101,621 52,184 20,994 Chesapeake Energy Corporation 647,657 622,892 4,464 United States Steel Corporation 269,200 205,389 63,767 Chevron Corporation 4,411,897 6,552,697 4,019 Vulcan Materials Company 277,638 154,732 44,742 ConocoPhillips 2,741,399 3,361,914 11,236,454 13,957,386 7,049 CONSOL Energy Inc. 297,254 341,595 12,500 Denbury Resources Inc. 194,986 249,625 INDUSTRIALS – 11.0% 13,619 Devon Energy Corporation 866,507 1,073,041 22,690 3M Company 1,606,209 2,151,693 2,100 Diamond Offshore Drilling Inc. 130,416 147,798 3,305 Avery Dennison Corporation 191,934 127,606 24,384 El Paso Corporation 417,794 492,069 23,448 The Boeing Company 1,716,556 1,733,511 8,603 EOG Resources Inc. 589,535 899,014 5,300 C.H. Robinson Worldwide Inc. 273,104 417,799 4,800 EQT Corporation 165,333 252,048 20,512 Caterpillar Inc. 1,119,894 2,183,092 156,258 Exxon Mobil Corporation 10,501,445 12,705,338 3,720 Cintas Corporation 153,111 122,834 7,400 FMC Technologies Inc. 163,493 331,224 35,565 CSX Corporation 400,369 932,159 29,017 Halliburton Company 816,057 1,479,577 6,348 Cummins Inc. 210,710 656,574 3,300 Helmerich & Payne Inc. 132,506 217,998 17,248 Danaher Corporation 572,962 913,799 9,578 Hess Corporation 511,536 715,956 13,384 Deere & Company 620,540 1,103,511 22,590 Marathon Oil Corporation 892,923 1,188,686 6,476 Donnelley (R.R.) & Sons Company 209,897 126,865 6,003 Murphy Oil Corporation 337,147 394,097 5,790 Dover Corporation 247,644 392,504 13,450 National Oilwell Varco Inc. 573,426 1,050,983 1,600 The Dun & Bradstreet Corporation 123,479 120,848 4,300 Newfield Exploration Company 305,262 292,314 10,874 Eaton Corporation 381,591 559,250 5,600 Noble Energy Inc. 407,457 501,872 23,991 Emerson Electric Company 954,228 1,349,014 25,836 OccidentalPetroleumCorporation 1,268,447 2,687,461 3,859 Equifax Inc. 144,401 133,907 8,707 Peabody Energy Corporation 393,305 512,755 6,800 Expeditors International 3,600 PioneerNaturalResourcesCompany 190,600 322,488 of Washington Inc. 331,912 348,092 5,364 QEP Resources Inc. 158,238 224,215 9,400 Fastenal Company 249,899 338,306 5,100 Range Resources Corporation 250,301 282,948 10,043 FedEx Corporation 879,189 952,478 3,919 Rowan Companies Inc. 128,082 151,900 1,700 Flowserve Corporation 155,146 186,813 42,975 Schlumberger Limited 2,654,479 3,710,891 5,622 Fluor Corporation 242,320 363,462 11,100 Southwestern Energy Company 497,211 475,524 11,706 General Dynamics Corporation 746,124 872,448 20,635 Spectra Energy Corp. 510,701 565,399 337,261 General Electric Company 10,494,514 6,353,997 3,699 Sunoco Inc. 184,026 154,211 3,899 Goodrich Corporation 174,420 372,316 5,100 Tesoro Corporation 223,720 116,841 24,972 Honeywell International Inc. 1,009,146 1,487,083 17,752 Valero Energy Corporation 751,881 454,096 15,913 Illinois Tool Works Inc. 692,085 898,766 18,305 The Williams Companies Inc. 481,739 553,360 10,300 Ingersoll-Rand Company Limited 430,336 467,723 6,300 Iron Mountain Incorporated 156,818 214,641 36,123,729 47,746,231 5,663 ITT Corporation 264,986 333,551 MATERIALS – 3.7% 3,800 Jacobs Engineering Group Inc. 306,741 164,236 6,697 Air Products and Chemicals Inc. 451,245 639,898 3,400 Joy Global Inc. 320,571 323,816 2,400 Airgas Inc. 119,414 167,976 3,312 L-3 Communications Holdings Inc. 271,538 289,634 3,400 AK Steel Holding Corporation 229,200 53,584 9,138 Lockheed Martin Corporation 711,503 739,904 33,181 Alcoa Inc. 792,288 525,587 11,145 Masco Corporation 275,726 133,851 3,188 Allegheny Technologies Inc. 244,768 202,247 11,352 Norfolk Southern Corporation 490,828 850,265 5,498 Ball Corporation 99,973 211,233 9,331 Northrop Grumman Corporation 574,226 647,105 3,593 Bemis Company Inc. 103,996 121,300 11,625 PACCAR Inc. 427,366 593,921 2,200 CF Industries Holdings Inc. 260,148 311,652 3,745 Pall Corporation 122,646 210,506 4,600 Cliff Natural Resources Inc. 229,005 425,270 5,196 Parker Hannifin Corporation 267,645 466,341 37,133 The Dow Chemical Company 1,170,463 1,336,788 6,072 Pitney Bowes Inc. 248,496 139,474 29,332 DuPont(E.I.)deNemours&Company 1,277,684 1,584,808 4,500 Precision Castparts Corp. 513,994 740,475 2,201 Eastman Chemical Company 122,565 224,568 6,700 Quanta Services Inc. 154,984 135,206 7,412 Ecolab Inc. 300,237 417,666 11,372 Raytheon Company 550,378 566,667 2,200 FMC Corporation 112,262 189,200 9,583 Republic Services Inc. 231,341 295,444 30,100 Freeport-McMoRanCopper&GoldInc. 936,585 1,591,688 4,510 Robert Half International Inc. 148,280 121,815 2,545 InternationalFlavors&FragrancesInc. 98,134 163,414

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 301 TD U.S. Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

4,575 Rockwell Automation Inc. $$239,606 396,790 9,051 Marriott International Inc. $$330,276 321,220 4,771 Rockwell Collins Inc. 250,665 294,371 11,184 Mattel Inc. 221,775 307,336 3,100 Roper Industries Inc. 172,506 258,106 32,885 McDonald’s Corporation 1,410,343 2,771,548 1,660 Ryder System Inc. 70,378 94,404 9,768 The McGraw-Hill Companies Inc. 502,133 409,377 1,873 Snap-on Incorporated 82,216 117,044 1,400 Netflix Inc. 251,992 367,766 25,213 Southwest Airlines Co. 349,477 288,185 9,580 Newell Rubbermaid Inc. 231,777 151,077 5,380 Stanley Black & Decker 288,154 387,306 72,592 News Corporation, Class “A” 1,362,009 1,284,152 2,600 Stericycle Inc. 157,615 231,686 12,172 NIKE Inc., Class “B” 572,868 1,094,871 8,862 Textron Inc. 310,905 209,409 5,221 Nordstrom Inc. 199,612 245,022 15,652 Union Pacific Corporation 734,518 1,633,599 8,918 Omnicom Group Inc. 405,727 429,491 31,365 United Parcel Service Inc. 2,206,412 2,287,449 4,300 O’Reilly Automotive Inc. 156,458 281,693 28,953 United Technologies Corporation 1,638,663 2,562,341 2,023 Polo Ralph Lauren Corporation 177,865 268,149 1,857 W.W. Grainger Inc. 121,700 285,347 1,600 priceline.com Incorporated 353,123 819,072 15,124 Waste Management Inc. 492,356 563,520 9,607 Pulte Group Inc. 293,948 73,590 37,484,958 42,242,859 3,910 RadioShack Corporation 78,237 52,668 3,800 Ross Stores Inc. 163,001 304,456 CONSUMER DISCRETIONARY – 10.6% 2,847 Scripps Networks Interactive Inc., 2,700 Abercrombie&FitchCo.,Class“A” 201,630 180,549 Class “A” 117,032 139,047 11,382 Amazon.com Inc. 761,773 2,326,936 1,387 Sears Holdings Corporation 223,862 99,073 3,928 Apollo Group Inc. 205,627 171,575 22,923 Staples Inc. 495,651 362,183 2,297 AutoNation Inc. 42,003 84,162 23,931 Starbucks Corporation 627,062 945,035 817 AutoZone Inc. 87,651 240,925 6,081 StarwoodHotels&ResortsWorldwideInc. 319,490 340,840 8,093 Bed Bath & Beyond Inc. 279,586 472,307 21,800 Target Corporation 1,055,273 1,022,420 10,452 Best Buy Co., Inc. 431,603 328,297 3,991 Tiffany & Co. 152,311 313,214 2,363 Big Lots Inc. 46,675 78,310 10,636 Time Warner Cable Inc. 651,917 830,140 7,300 Cablevision Systems Corporation, 33,902 Time Warner Inc. 1,604,001 1,233,016 Class “A” 249,770 264,260 12,375 The TJX Companies Inc. 305,892 649,688 7,000 CarMax Inc. 152,948 231,490 4,000 Urban Outfitters Inc. 125,066 112,600 13,469 Carnival Corporation 524,928 506,838 2,674 VF Corporation 179,423 290,343 21,006 CBS Corporation, Class “B” NV 557,083 598,041 18,800 Viacom Inc., Class “B” 684,498 958,236 1,000 Chipotle Mexican Grill Inc. 263,371 308,000 60,335 The Walt Disney Company 1,867,845 2,354,272 9,485 Coach Inc. 347,954 606,376 200 TheWashingtonPostCompany,Class“B” 102,385 83,696 88,261 Comcast Corporation, Class “A” 2,079,793 2,235,651 2,424 Whirlpool Corporation 184,395 197,023 8,833 D.R. Horton Inc. 212,540 101,756 5,465 Wyndham Worldwide Corporation 176,081 183,788 4,382 Darden Restaurants Inc. 150,488 217,917 2,500 Wynn Resorts Limited 134,554 358,850 1,900 DeVry Inc. 89,560 112,271 14,916 YUM! Brands Inc. 413,892 823,512 24,388 DIRECTV, Class “A” 694,201 1,239,398 33,279,797 40,702,839 9,000 DiscoveryCommunicationsInc.,Class“A” 286,910 368,640 6,400 Expedia Inc. 200,501 185,536 CONSUMER STAPLES – 10.6% 3,900 Family Dollar Stores Inc. 119,299 204,906 66,479 Altria Group Inc. 1,089,151 1,755,046 120,180 Ford Motor Company 1,076,240 1,657,282 21,800 Archer Daniels Midland Company 625,652 656,616 4,735 Fortune Brands Inc. 313,244 301,762 13,658 Avon Products Inc. 397,576 382,151 5,000 GameStop Corp. 274,164 133,250 3,222 Brown-FormanCorporation,Class“B” 153,657 240,490 7,223 Gannett Co., Inc. 392,376 103,506 5,659 Campbell Soup Company 196,368 195,349 12,372 The Gap Inc. 219,047 223,809 4,293 The Clorox Company 240,193 289,477 4,824 Genuine Parts Company 201,753 262,281 72,584 The Coca-Cola Company 3,647,424 4,883,452 7,737 TheGoodyearTire&RubberCompany 167,938 129,827 10,295 Coca-Cola Enterprises Inc. 213,552 300,305 9,428 H&R Block Inc. 190,526 151,225 15,473 Colgate-Palmolive Company 969,907 1,352,031 7,239 Harley-Davidson Inc. 398,957 296,582 13,352 ConAgra Foods Inc. 320,599 344,215 2,213 Harman International Industries 5,777 Constellation Brands Inc. 148,227 120,277 Incorporated 158,250 100,869 13,888 Costco Wholesale Corporation 694,080 1,128,261 4,224 Hasbro Inc. 111,539 185,560 42,968 CVS Caremark Corporation 1,229,021 1,613,448 50,639 The Home Depot Inc. 1,782,641 1,832,625 5,374 Dean Foods Company 180,270 65,939 8,885 International Game Technology 296,716 156,287 7,400 Dr Pepper Snapple Group Inc. 178,203 310,282 14,697 InterpublicGroupofCompaniesInc. 195,006 183,566 3,707 The Estee Lauder Companies Inc., 6,733 J.C. Penney Company Inc. 346,062 232,356 Class “A” 163,979 389,939 21,523 Johnson Controls Inc. 537,090 896,002 20,276 General Mills Inc. 558,436 754,267 8,837 Kohl’s Corporation 514,287 441,938 10,273 Heinz (H.J.) Company 447,749 547,243 4,419 Leggett & Platt Inc. 94,873 107,691 4,812 The Hershey Company 205,433 273,707 4,850 Lennar Corporation 212,559 88,125 4,200 Hormel Foods Corporation 64,124 125,118 8,194 Limited Brands Inc. 212,428 315,059 3,700 The J.M. Smucker Company 159,655 282,606 41,402 Lowe’s Companies Inc. 1,029,553 965,081 13,537 Macy’s Inc. 436,880 395,551

302 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD U.S. Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

8,035 Kellogg Company $$370,500 444,255 3,341 PerkinElmer Inc. $$80,743 89,973 12,365 Kimberly-Clark Corporation 760,010 822,643 251,339 Pfizer Inc. 5,921,908 5,175,070 55,612 Kraft Foods Inc., Class “A” 1,530,973 1,958,655 4,786 Quest Diagnostics Incorporated 230,098 282,709 19,821 The Kroger Co. 459,497 491,759 10,457 St. Jude Medical Inc. 354,823 498,485 4,600 Lorillard Inc. 345,727 500,848 10,731 Stryker Corporation 528,650 629,588 4,065 McCormick&CompanyIncorporated 143,120 201,380 15,090 Tenet Healthcare Corporation 190,310 94,011 6,500 Mead Johnson Nutrition Company 277,336 439,075 12,138 Thermo Fisher Scientific Inc. 506,558 781,323 5,074 Molson Coors Brewing Company, 34,347 UnitedHealth Group Incorporated 1,375,537 1,771,962 Class “B” NV 216,335 227,062 3,700 Varian Medical Systems Inc. 175,636 259,000 50,080 PepsiCo Inc. 2,891,185 3,524,630 2,835 Waters Corporation 135,603 271,451 56,579 Philip Morris International Inc. 2,113,726 3,776,082 3,891 Watson Pharmaceuticals Inc. 138,910 267,312 88,525 The Procter & Gamble Company 5,010,322 5,623,108 11,684 WellPoint Inc. 770,156 920,232 10,486 Reynolds American Inc. 274,616 388,192 6,144 Zimmer Holdings Inc. 399,773 388,055 11,474 Safeway Inc. 408,105 268,033 39,641,237 43,754,538 18,617 Sara Lee Corporation 301,973 353,164 6,093 SUPERVALU Inc. 191,664 57,274 FINANCIALS – 14.8% 18,506 SYSCO Corporation 566,949 577,202 15,000 Aflac Incorporated 620,295 700,200 9,115 Tyson Foods Inc., Class “A” 147,335 176,831 16,528 The Allstate Corporation 831,537 504,600 29,334 Walgreen Co. 1,110,245 1,245,228 33,291 American Express Company 1,584,833 1,720,812 60,721 Wal-Mart Stores Inc. 2,799,687 3,224,892 13,961 AmericanInternationalGroupInc. 5,070,448 409,197 4,594 Whole Foods Market Inc. 233,067 291,489 7,770 Ameriprise Financial Inc. 344,959 447,941 10,378 Aon Corporation 395,876 532,080 32,035,628 40,602,021 3,657 Apartment Investment and HEALTH CARE – 11.4% Management Company 126,178 93,363 49,243 Abbott Laboratories 2,353,776 2,589,197 3,300 Assurant Inc. 171,958 119,724 12,138 Aetna Inc. 416,485 534,800 2,749 AvalonBay Communities Inc. 299,177 352,972 11,057 Agilent Technologies Inc. 346,971 565,123 321,514 Bank of America Corporation 8,692,866 3,520,578 9,742 Allergan Inc. 510,649 810,924 39,481 The Bank of New York 8,564 AmerisourceBergen Corporation 190,376 354,550 Mellon Corporation 1,457,191 1,011,108 29,681 Amgen Inc. 1,752,581 1,731,293 22,129 BB&T Corporation 755,188 593,942 18,362 Baxter International Inc. 848,097 1,095,110 55,027 BerkshireHathawayInc.,Class“B” 4,262,832 4,256,889 6,876 Becton, Dickinson and Company 442,503 592,436 3,100 BlackRock Inc. 625,533 594,301 7,656 Biogen Idec Inc. 378,215 818,503 4,616 Boston Properties Inc. 414,065 490,035 48,465 Boston Scientific Corporation 688,670 334,893 14,586 Capital One Financial Corporation 812,564 753,659 54,160 Bristol-Myers Squibb Company 1,512,717 1,567,390 9,749 CBRichardEllisGroupInc.,Class“A” 224,275 244,602 2,704 C. R. Bard Inc. 186,485 297,116 31,640 The Charles Schwab Corporation 566,015 519,845 10,897 Cardinal Health Inc. 462,245 494,833 9,463 The Chubb Corporation 440,122 592,478 6,798 CareFusion Corporation 216,309 184,634 4,943 Cincinnati Financial Corporation 196,969 144,088 14,894 Celgene Corporation 823,276 897,661 92,976 Citigroup Inc. 9,561,264 3,867,802 2,300 Cephalon Inc. 170,038 183,793 2,166 CME Group Inc. 986,371 631,562 4,400 Cerner Corporation 191,995 268,532 5,637 Comerica Incorporated 273,334 194,871 8,488 CIGNA Corporation 311,927 436,962 17,383 Discover Financial Services 415,235 464,821 4,469 Coventry Health Care Inc. 204,638 162,850 7,935 E*TRADE Financial Corporation 305,603 109,503 3,100 DaVita Inc. 171,269 268,398 9,338 Equity Residential 381,664 560,280 4,300 DENTSPLY International Inc. 128,431 163,701 2,878 Federated Investors Inc., Class “B” 87,619 68,612 3,700 Edwards Lifesciences Corporation 321,708 322,529 29,221 Fifth Third Bancorp 736,121 371,983 32,378 Eli Lilly and Company 1,673,759 1,214,823 8,167 First Horizon National Corporation 230,285 77,750 16,680 Express Scripts Inc. 358,701 900,220 4,700 Franklin Resources Inc. 437,627 616,969 9,184 Forest Laboratories Inc. 401,908 361,299 14,769 Genworth Financial Inc., Class “A” 450,085 151,678 24,896 Gilead Sciences Inc. 797,174 1,030,694 16,414 The Goldman Sachs Group Inc. 2,511,183 2,183,226 5,138 Hospira Inc. 175,187 291,016 14,139 TheHartfordFinancialServicesGroupInc. 814,964 372,563 5,402 Humana Inc. 259,348 434,915 12,800 HCP Inc. 405,367 469,760 1,220 Intuitive Surgical Inc. 340,175 453,608 5,500 Health Care REIT Inc. 227,036 288,365 86,870 Johnson & Johnson 5,174,942 5,773,380 21,223 Host Hotels & Resorts Inc. 447,106 359,730 3,145 Laboratory Corporation 16,100 Hudson City Bancorp Inc. 221,660 131,698 of America Holdings 202,635 304,279 26,302 Huntington Bancshares Inc. 239,620 172,278 5,600 Life Technologies Corporation 151,739 291,536 2,400 IntercontinentalExchange Inc. 344,377 299,280 8,143 McKesson Corporation 403,747 681,081 14,400 Invesco Ltd. 328,862 336,816 12,622 Medco Health Solutions Inc. 339,263 713,395 6,111 Janus Capital Group Inc. 133,566 57,688 34,051 Medtronic Inc. 1,604,545 1,310,964 126,031 JPMorgan Chase & Co. 5,203,211 5,155,928 98,008 Merck & Co., Inc. 3,937,288 3,456,742 13,575 Mylan Inc. 272,076 334,895 2,959 Patterson Companies Inc. 110,684 97,292

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 303 TD U.S. Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

30,272 KeyCorp $$484,235 251,863 9,678 Cognizant Technology Solutions 12,365 Kimco Realty Corporation 336,731 230,360 Corporation $$393,551 709,785 4,838 Legg Mason Inc. 392,981 158,493 4,750 Computer Sciences Corporation 229,913 180,310 6,300 Leucadia National Corporation 253,742 214,893 6,763 Compuware Corporation 61,657 65,939 9,802 Lincoln National Corporation 444,050 278,965 49,792 Corning Incorporated 1,012,016 903,227 9,747 Loews Corporation 338,848 410,251 52,025 Dell Inc. 1,148,169 867,257 4,056 M&T Bank Corporation 366,828 356,522 35,995 eBay Inc. 973,792 1,161,199 17,445 Marsh & McLennan Companies Inc. 546,203 543,761 10,349 Electronic Arts Inc. 435,005 244,236 16,530 Marshall & Ilsley Corporation 362,195 131,579 65,749 EMC Corporation 1,110,840 1,811,385 33,590 MetLife Inc. 1,523,528 1,472,922 2,500 F5 Networks Inc. 339,977 275,600 6,161 Moody’s Corporation 312,373 236,213 8,228 FidelityNationalInformationServicesInc. 194,180 253,258 49,167 Morgan Stanley 2,159,193 1,131,824 1,700 First Solar Inc. 251,795 224,859 4,600 The NASDAQ OMX Group Inc. 143,775 116,334 4,633 Fiserv Inc. 219,889 290,118 7,565 Northern Trust Corporation 443,400 347,839 5,000 FLIR Systems Inc. 151,079 168,500 8,300 NYSE Euronext Inc. 654,959 284,109 7,980 Google Inc., Class “A” 3,758,748 4,038,758 11,300 People’s United Financial Inc. 199,646 151,872 4,000 Harris Corporation 190,732 180,200 5,173 Plum Creek Timber Company Inc. 177,770 209,610 65,959 Hewlett-Packard Company 2,380,064 2,400,908 16,614 PNC Financial Services Group Inc. 1,654,266 989,862 168,702 Intel Corporation 3,562,549 3,735,062 10,018 Principal Financial Group Inc. 427,772 304,948 38,461 International Business Machines 20,966 The Progressive Corporation 403,994 447,834 Corporation 3,722,743 6,592,985 13,513 ProLogis 688,602 483,630 8,691 Intuit Inc. 243,157 450,281 15,522 Prudential Financial Inc. 1,016,321 986,889 6,185 Jabil Circuit Inc. 177,864 124,813 4,504 Public Storage 384,583 513,321 6,768 JDS Uniphase Corporation 537,529 112,687 38,736 Regions Financial Corporation 690,724 239,776 16,990 Juniper Networks Inc. 360,166 535,185 9,302 Simon Property Group Inc. 712,820 1,081,264 5,346 KLA-Tencor Corporation 241,243 216,246 16,376 SLM Corporation 498,452 275,444 2,340 LexmarkInternationalInc.,Class“A” 127,874 68,468 15,985 State Street Corporation 905,059 720,444 7,276 Linear Technology Corporation 242,117 240,254 17,059 SunTrust Banks Inc. 867,913 439,610 19,388 LSI Corporation 192,726 137,849 8,086 T. Rowe Price Group Inc. 320,543 487,748 2,980 MasterCard Incorporated 757,255 897,278 2,390 Torchmark Corporation 128,884 153,271 6,662 MEMC Electronic Materials Inc. 348,625 56,760 13,240 The Travelers Companies Inc. 627,037 772,951 6,100 Microchip Technology Incorporated 227,055 231,190 61,043 U.S. Bancorp 1,732,797 1,556,597 27,272 Micron Technology Inc. 374,249 203,722 10,072 Unum Group 215,112 256,735 235,320 Microsoft Corporation 6,416,214 6,113,614 5,000 Ventas Inc. 126,245 263,600 4,068 Molex Incorporated 132,242 104,832 5,263 Vornado Realty Trust 496,328 490,406 3,589 Monster Worldwide Inc. 153,541 52,579 168,362 Wells Fargo & Company 4,930,301 4,722,554 8,920 Motorola Mobility Holdings Inc. 278,036 196,240 17,154 Weyerhaeuser Company 553,036 374,643 10,494 Motorola Solutions Inc. 1,189,264 482,829 6,462 Zions Bancorporation 303,742 155,088 7,685 NationalSemiconductorCorporation 145,497 189,128 79,460,029 56,789,602 11,727 NetApp Inc. 414,237 619,068 2,914 Novellus Systems Inc. 103,274 105,312 INFORMATION TECHNOLOGY – 17.7% 19,161 NVIDIA Corporation 403,017 305,235 15,925 Adobe Systems Incorporated 530,961 500,682 123,646 Oracle Corporation 2,271,769 4,066,717 17,583 Advanced Micro Devices Inc. 314,380 122,729 9,930 Paychex Inc. 351,355 304,851 5,800 Akamai Technologies Inc. 256,993 182,526 53,148 QUALCOMM Incorporated 2,021,825 3,016,680 10,230 Altera Corporation 245,938 474,161 6,200 Red Hat Inc. 154,958 284,456 5,500 Amphenol Corporation 233,758 296,780 9,300 SAIC Inc. 175,259 156,426 9,347 Analog Devices Inc. 292,597 365,842 3,800 salesforce.com Inc. 247,788 566,200 29,335 Apple Inc. 3,224,195 9,843,359 7,721 SanDisk Corporation 349,097 320,422 41,930 Applied Materials Inc. 705,705 545,509 24,206 Symantec Corporation 538,666 476,858 7,108 Autodesk Inc. 247,521 274,298 11,666 Tellabs Inc. 165,562 53,780 15,851 Automatic Data Processing Inc. 641,391 834,714 5,164 Teradata Corporation 136,873 310,873 5,567 BMC Software Inc. 152,588 304,515 5,774 Teradyne Inc. 108,801 85,455 14,829 Broadcom Corporation 573,328 498,699 37,309 Texas Instruments Incorporated 1,048,881 1,223,735 11,897 CA Technologies 265,608 271,727 5,035 Total System Services Inc. 140,932 93,550 174,403 Cisco Systems Inc. 4,283,191 2,720,687 5,509 VeriSign Inc. 135,190 184,331 5,987 Citrix Systems Inc. 181,697 478,840 15,400 Visa Inc. 1,332,645 1,297,758 7,400 Western Digital Corporation 209,530 268,990 20,553 The Western Union Company 432,557 411,471 43,674 Xerox Corporation 517,595 454,646 8,099 Xilinx Inc. 226,702 295,371 41,681 Yahoo! Inc. 916,612 626,465 56,834,329 67,761,259

304 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD U.S. Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

TELECOMMUNICATION SERVICES – 3.1% INDEX EQUIVALENTS – 0.5% 12,700 AmericanTowerCorporation,Class“A”$$ 545,602 664,591 14,900 SPDR S&P 500 ETF Trust $$1,943,251 1,966,204 187,789 AT&T Inc. 6,193,680 5,894,697 Total U.S. Equities 353,731,827 380,126,601 18,982 CenturyLink Inc. 1,058,867 767,063 33,032 FrontierCommunicationsCorporation 346,605 265,908 International Equities – 0.8% 8,700 MetroPCS Communications Inc. 118,652 149,640 93,361 Sprint Nextel Corporation 1,525,936 502,282 BERMUDA – 0.1% 89,886 Verizon Communications Inc. 3,126,803 3,344,658 9,156 Nabors Industries Ltd. 265,649 225,421 15,755 Windstream Corporation 202,358 204,027 IRELAND – 0.3% 13,118,503 11,792,866 15,700 Covidien PLC 809,083 835,083 9,854 XL Group PLC 424,839 216,591 UTILITIES – 3.4% 20,629 The AES Corporation 450,296 262,607 1,233,922 1,051,674 7,300 Ameren Corporation 336,628 210,386 SWITZERLAND – 0.4% 15,116 AmericanElectricPowerCompanyInc. 560,191 569,117 10,700 ACE Limited 598,033 704,060 13,221 CenterPoint Energy Inc. 236,501 255,826 7,800 Noble Corporation 294,808 307,164 7,843 CMS Energy Corporation 143,072 154,429 14,900 Tyco International Ltd. 578,873 735,762 9,357 Consolidated Edison Inc. 425,353 497,886 1,471,714 1,746,986 6,061 Constellation Energy Group Inc. 330,279 230,076 18,462 Dominion Resources Inc. 693,877 890,976 Total International Equities 2,971,285 3,024,081 5,222 DTE Energy Company 232,776 261,257 Transaction Costs (Note 3) (41,878) 0 42,371 Duke Energy Corporation 670,005 796,999 10,444 Edison International 403,924 404,496 TOTALINVESTMENT 5,732 Entergy Corporation 462,345 391,381 PORTFOLIO – 100.1% 356,661,234 383,150,682 21,068 Exelon Corporation 1,098,626 902,342 CANADIAN CURRENCY – 0.0% 28,628 28,807 13,309 FirstEnergy Corp. 718,052 587,592 FORWARDCONTRACTS 2,430 Integrys Energy Group Inc. 130,816 125,923 (SCHEDULE 1) – (0.0%) 0 (219) 13,328 Nextera Energy Inc. 655,754 765,427 1,342 Nicor Inc. 60,915 73,475 OTHER NET LIABILITIES – (0.1%) (494,292) (494,995) 8,513 NiSource Inc. 196,880 172,388 5,300 Northeast Utilities 107,484 186,454 TOTAL NET ASSETS – 100.0% $ 356,195,570 $ 382,684,275 8,000 NRG Energy Inc. 195,268 196,480 3,300 ONEOK Inc. 153,978 244,233 6,800 Pepco Holdings Inc. 162,901 133,416 12,606 PG&E Corporation 514,632 529,452 3,356 Pinnacle West Capital Corporation 152,979 149,476 18,017 PPL Corporation 537,330 501,413 9,477 Progress Energy Inc. 419,448 454,896 2,100 Progress Energy Inc., Contingent Value Obligation 0 197 16,140 Public Service Enterprise Group Inc. 513,044 526,487 3,400 SCANA Corporation 119,107 133,756 7,492 Sempra Energy 369,035 395,952 26,932 Southern Company 892,321 1,087,245 6,646 TECO Energy Inc. 132,461 125,410 7,300 Wisconsin Energy Corporation 162,585 228,636 15,021 Xcel Energy Inc. 335,049 364,710 12,573,912 12,810,796

July 06, 2011 887,643 CAD $ 920,219 920,000 USD $ 920,000 1.03645 $ (219)

TOTALNUMBEROFCONTRACTS: 1 NETDEPRECIATION $ (219)

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 305 TD U.S. Index Fund INDEXFUNDS

Level1 Level2 Level3 Total June 30, 2011 CommonShares $ 383,151 $0$0$383,151

December 31, 2010 CommonShares $ 346,708 $0$0$346,708

During the periods, transfers between Level 1 and Level 2 were nil.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 1,789 $ 1,008

306 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. INDEXFUNDS TD U.S. Index Currency Neutral Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 106,092 $ 105,306 Interest $8$3 Short-Term Investments 3,082 300 Foreign Exchange 6,252 (399) Foreign Currencies 166 226 Derivatives Income (Loss) 136 (242) Cash 95 69 6,396 (638) Subscriptions Receivable 241 187 Expenses (Note 5) Receivable for Investment Sales 05 Management Fees 399 258 Futures Margin Receivable (Note 3) 223 210 Independent Review Committee Fees 00 Unrealized Gain on Open Foreign Exchange Forward Contracts 709 3,441 399 258 Less: Waived Expenses (0) (0) 110,608 109,744 399 258 Liabilities Accrued Liabilities 63 67 Net Investment Income (Loss) 5,997 (896) Redemptions Payable 370 198 Net Realized Gain (Loss) on Payable for Investment Purchases 43 0 Sale of Investments (741) (884) Unrealized Loss on Open Foreign Net Change in Unrealized Appreciation/ Exchange Forward Contracts 288 49 Depreciation of Investments 599 (6,182) 764 314 Net Gain (Loss) on Investments (142) (7,066) Net Assets (Note 3) $ 109,844 $ 109,430 Increase (Decrease) in Net Assets from Investment Operations† $ 5,855 $ (7,962) Net Assets Representing Unitholders’ Equity (Note 4) Investor Series $ 64,818 $ 65,698 †Increase (Decrease) in Net Assets from Investment Operations e-Series $ 29,574 $ 27,922 Investor Series $ 3,452 $ (4,734) Institutional Series $ 10,855 $ 10,710 e-Series $ 1,539 $ (1,943) F-Series $ 4,439 $ 5,036 Institutional Series $ 578 $ (887) O-Series $ 158 $ 64 F-Series $ 278 $ (396) $ 109,844 $ 109,430 O-Series $8$(2) Number of Units Outstanding $ 5,855 $ (7,962) Investor Series 7,874,901 8,405,082 Increase (Decrease) in Net Assets from Investment Operations – e-Series 3,052,078 3,040,109 Per Unit (Note 3) Institutional Series 1,231,669 1,282,997 Investor Series $ 0.41 $ (0.52) F-Series 553,761 662,586 e-Series $ 0.51 $ (0.64) Institutional Series $ 0.46 $ (0.82) O-Series 14,111 6,084 F-Series $ 0.42 $ (0.47) Net Assets Per Unit (Note 3) O-Series $ 0.61 $ (1.60) Investor Series $ 8.23 $ 7.82 e-Series $ 9.69 $ 9.18 Institutional Series $ 8.81 $ 8.35 F-Series $ 8.02 $ 7.60 O-Series $ 11.21 $ 10.60

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 307 INDEXFUNDS TD U.S. Index Currency Neutral Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series e-Series Institutional Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 65,698 $ 64,782 $ 27,922 $ 23,945 $ 10,710 $ 4,200 Increase (Decrease) in Net Assets from Investment Operations 3,452 (4,734) 1,539 (1,943) 578 (887) Capital Unit Transactions† Proceeds from Sale of Units 2,908 4,083 3,074 3,625 1,157 5,630 Reinvestments of Distributions 00 00 00 Early Redemption Fees 11 11 00 Amounts Paid on Redemptions (7,241) (6,725) (2,962) (2,103) (1,590) (463) (4,332) (2,641) 113 1,523 (433) 5,167 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (880) (7,375) 1,652 (420) 145 4,280 Net Assets, End of the Period $ 64,818 $ 57,407 $ 29,574 $ 23,525 $ 10,855 $ 8,480 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 8,405,082 9,302,815 3,040,109 2,937,012 1,282,997 567,660 Units Issued 357,443 582,532 320,394 439,653 132,563 733,449 Units Issued on Reinvestments 00 00 00 Units Redeemed (887,624) (949,251) (308,425) (254,292) (183,891) (61,696) Units Outstanding, End of the Period 7,874,901 8,936,096 3,052,078 3,122,373 1,231,669 1,239,413

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 5,036$ 5,776 $ 64 $0$109,430 $ 98,703 Increase (Decrease) in Net Assets from Investment Operations 278 (396) 8 (2) 5,855 (7,962) Capital Unit Transactions† Proceeds from Sale of Units 1,856 428 180 24 9,175 13,790 Reinvestments of Distributions 00 00 00 Early Redemption Fees 00 00 22 Amounts Paid on Redemptions (2,731) (1,182) (94) 0 (14,618) (10,473) (875) (754) 86 24 (5,441) 3,319 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (597) (1,150) 94 22 414 (4,643) Net Assets, End of the Period $ 4,439$ 4,626 $ 158$ 22 $ 109,844$ 94,060 †Capital Unit Transactions Units Outstanding, Beginning of the Period 662,586 855,900 6,084 0 Units Issued 232,413 62,552 16,409 2,515 Units Issued on Reinvestments 00 00 Units Redeemed (341,238) (176,577) (8,382) 0 Units Outstanding, End of the Period 553,761 741,875 14,111 2,515

308 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. INDEXFUNDS TD U.S. Index Currency Neutral Fund Statement of Investment Portfolio as at June 30, 2011 (Unaudited) No. of Units Description Cost FairValue

Investment Fund – 96.6% 10,903,629 TD U.S. Index Fund (CAD), O-Series $ 116,069,809 $ 106,092,314

TOTALINVESTMENT PORTFOLIO – 96.6% 116,069,809 106,092,314 SHORT-TERM INVESTMENTS (CAD) – 2.4% 2,600,000 2,600,000 SHORT-TERM INVESTMENTS (USD) – 0.4% 482,225 482,225 FOREIGN CURRENCIES – 0.1% 166,285 165,875 FUTURESCONTRACTS (SCHEDULE 1) – 0.2% 0 222,698 FORWARDCONTRACTS (SCHEDULE 2) – 0.4% 0 420,558 OTHER NET LIABILITIES – (0.1%) (139,613) (139,613)

TOTAL NET ASSETS – 100.0% $ 119,178,706 $ 109,844,057

Futures Contracts (Schedule 1) Net Futures Number of Notional Margin Contracts Description ExpirationDate AverageCost FairValue Receivable

INDEXFUTURESCONTRACTS UNITEDSTATES 34 E-mini S&P 500 Index September16,2011 $ 2,109,038 $ 2,156,438 $ 47,400 3 S&P 500 Index September 15, 2011 944,534 951,550 7,016

Total Futures Contracts $ 3,053,572 $ 3,107,988 $ 54,416 Cash Held as Margin 168,282

NETFUTURESMARGINRECEIVABLE $ 222,698

July 06, 2011 64,718,995 USD $ 62,427,946 62,794,771 CAD $ 62,794,771 0.96957 to0.98515 $ 366,825 July 06, 2011 58,207,322 USD 56,146,783 56,439,686 CAD 56,439,686 0.96880 to 0.96965 292,903 August 04, 2011 54,877,752 USD 52,974,957 53,000,000 CAD 53,000,000 0.96578 25,043 August 04, 2011 54,908,519 USD 53,004,657 53,029,000 CAD 53,029,000 0.96577 24,343 $ 224,554,343 $ 225,263,457 $ 709,114

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 06, 2011 56,439,686 CAD $ 56,439,686 58,480,661 USD $ 56,410,446 0.96510 $ (29,240) July 06, 2011 62,794,769 CAD 62,794,769 64,830,451 USD 62,535,453 0.96510 to 0.98751 (259,316) $ 119,234,455 $ 118,945,899 $ (288,556)

TOTALNUMBEROFCONTRACTS: 42 NETAPPRECIATION $ 420,558

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 309 TD U.S. Index Currency Neutral Fund INDEXFUNDS

Level1 Level2 Level3 Total June 30, 2011 Short-Term Investments $0$3,082 $0$3,082 Forward Contracts 0 709 0 709 Futures 54 0054 Underlying Fund 106,092 00106,092 106,146 3,791 0 109,937 Forward Contracts 0 (288) 0 (288) $ 106,146 $ 3,503 $0$109,649

December 31, 2010 Short-Term Investments $0$300 $0$300 Forward Contracts 0 3,441 0 3,441 Futures 15 0015 Underlying Fund 105,306 00105,306 105,321 3,741 0 109,062 Forward Contracts 0 (49) 0 (49) $ 105,321 $ 3,692 $0$109,013

During the periods, transfers between Level 1 and Level 2 were nil.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 476 $ 265 Forward Contracts 288 49 $ 764 $ 314

310 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. INDEXFUNDS TD Nasdaq® Index Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 80,963 $ 76,732 Interest $8$2 Short-Term Investments 2,429 0 Dividends 326 281 Foreign Currencies 147 185 Foreign Exchange 4,679 (355) Cash 83 274 Derivatives Income (Loss) 76 (572) Dividends Receivable 32 19 Securities Lending 17 14 Subscriptions Receivable 137 105 Less: Withholding Taxes (43) (41) Futures Margin Receivable (Note 3) 218 134 5,063 (671) Unrealized Gain on Open Foreign Expenses (Note 5) Exchange Forward Contracts 520 2,565 Management Fees 365 310 84,529 80,014 Independent Review Committee Fees 00 Liabilities 365 310 Accrued Liabilities 58 60 Less: Waived Expenses (0) (0) Redemptions Payable 171 198 365 310 Unrealized Loss on Open Foreign Exchange Forward Contracts 203 47 Net Investment Income (Loss) 4,698 (981) 432 305 Net Realized Gain (Loss) on Sale of Investments 5,127 663 Net Assets (Note 3) $ 84,097 $ 79,709 Net Change in Unrealized Appreciation/ Net Assets Representing Unitholders’ Equity (Note 4) Depreciation of Investments (6,155) (5,212) Investor Series $ 59,622 $ 57,912 Transaction Costs on Purchase and Sale e-Series $ 24,144 $ 21,728 of Investments (Note 3) (9) (2) F-Series $ 331 $ 69 Net Gain (Loss) on Investments (1,037) (4,551) $ 84,097 $ 79,709 Increase (Decrease) in Net Assets † Number of Units Outstanding from Investment Operations $ 3,661 $ (5,532) Investor Series 11,025,894 11,196,079 †Increase (Decrease) in Net Assets from Investment Operations e-Series 4,084,343 3,852,281 Investor Series $ 2,622 $ (4,082) F-Series 51,119 11,252 e-Series $ 1,034 $ (1,446) Net Assets Per Unit (Note 3) F-Series $5$(4) Investor Series $ 5.41 $ 5.17 $ 3,661 $ (5,532) e-Series $ 5.91 $ 5.64 Increase (Decrease) in Net Assets from Investment Operations – F-Series $ 6.47 $ 6.17 Per Unit (Note 3) Investor Series $ 0.23 $ (0.33) e-Series $ 0.27 $ (0.36) F-Series $ 0.30 $ (0.24)

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 311 INDEXFUNDS TD Nasdaq® Index Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series e-Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 57,912 $ 55,177 $ 21,728 $ 18,786 Increase (Decrease) in Net Assets from Investment Operations 2,622 (4,082) 1,034 (1,446) Capital Unit Transactions† Proceeds from Sale of Units 5,530 5,884 3,706 3,523 Reinvestments of Distributions 00 00 Early Redemption Fees 32 11 Amounts Paid on Redemptions (6,445) (6,927) (2,325) (2,846) (912) (1,041) 1,382 678 Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period 1,710 (5,123) 2,416 (768) Net Assets, End of the Period $ 59,622 $ 50,054 $ 24,144 $ 18,018 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 11,196,079 12,462,195 3,852,281 3,910,676 Units Issued 1,023,556 1,305,828 626,299 722,386 Units Issued on Reinvestments 00 00 Units Redeemed (1,193,741) (1,546,433) (394,237) (588,058) Units Outstanding, End of the Period 11,025,894 12,221,590 4,084,343 4,045,004

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 69$ 96 $ 79,709$ 74,059 Increase (Decrease) in Net Assets from Investment Operations 5 (4) 3,661 (5,532) Capital Unit Transactions† Proceeds from Sale of Units 263 5 9,499 9,412 Reinvestments of Distributions 00 00 Early Redemption Fees 00 43 Amounts Paid on Redemptions (6) (43) (8,776) (9,816) 257 (38) 727 (401) Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period 262 (42) 4,388 (5,933) Net Assets, End of the Period $ 331$ 54 $ 84,097$ 68,126 †Capital Unit Transactions Units Outstanding, Beginning of the Period 11,252 18,281 Units Issued 40,890 1,006 Units Issued on Reinvestments 00 Units Redeemed (1,023) (8,152) Units Outstanding, End of the Period 51,119 11,135

312 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. INDEXFUNDS

® TD Nasdaq Index Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 1,280 Intuitive Surgical Inc. $$260,495 458,998 No. of Shares 5,800 Life Technologies Corporation 187,827 291,214 or Units Description Cost FairValue 14,700 Mylan Inc. 293,446 349,757 6,800 VertexPharmaceuticalsIncorporated 273,863 340,964 Canadian Equities – 0.6% 7,109,287 8,215,074 INFORMATION TECHNOLOGY – 0.6% 17,261 Research In Motion Limited $ 1,103,197 $ 480,110 INFORMATION TECHNOLOGY – 59.3% 37,752 Activision Blizzard Inc. 522,260 425,268 U.S. Equities – 90.0% 16,747 Adobe Systems Incorporated 689,895 507,808 6,000 Akamai Technologies Inc. 304,251 182,107 MATERIALS – 0.3% 10,466 Altera Corporation 247,012 467,854 3,978 Sigma-Aldrich Corporation 195,975 281,337 30,283 Apple Inc. 4,559,787 9,800,221 INDUSTRIALS – 2.7% 43,381 Applied Materials Inc. 736,900 544,323 5,347 C.H. Robinson Worldwide Inc. 285,453 406,520 7,599 Autodesk Inc. 314,211 282,821 7,110 Expeditors International 16,300 Automatic Data Processing Inc. 752,893 827,843 of Washington Inc. 316,944 351,022 5,700 BMC Software Inc. 228,999 300,706 9,808 Fastenal Company 211,207 340,441 15,759 Broadcom Corporation 550,609 511,135 3,438 Joy Global Inc. 181,239 315,795 16,800 CA Technologies 397,895 370,071 12,038 PACCAR Inc. 572,928 593,157 180,082 Cisco Systems Inc. 3,812,575 2,709,409 2,800 Stericycle Inc. 170,391 240,638 6,252 Citrix Systems Inc. 239,397 482,259 1,738,162 2,247,573 10,022 Cognizant Technology Solutions Corporation 444,430 708,884 CONSUMER DISCRETIONARY – 15.4% 61,646 Dell Inc. 1,167,910 991,106 14,796 Amazon.com Inc. 1,564,922 2,917,359 42,374 eBay Inc. 1,326,952 1,318,389 4,610 Apollo Group Inc. 265,784 194,206 11,221 Electronic Arts Inc. 508,960 255,401 8,087 Bed Bath & Beyond Inc. 336,594 455,179 2,700 F5 Networks Inc. 371,232 287,067 68,394 Comcast Corporation, Class “A” 1,776,308 1,670,832 2,800 First Solar Inc. 483,140 357,190 25,000 DIRECTV, Class “A” 772,961 1,225,334 4,631 Fiserv Inc. 256,622 279,684 4,100 Dollar Tree Inc. 237,208 263,432 5,400 FLIR Systems Inc. 216,295 175,511 8,344 Expedia Inc. 198,902 233,293 8,276 Google Inc., Class “A” 4,341,692 4,039,663 18,720 Liberty Media Corporation, 173,546 Intel Corporation 3,827,150 3,705,714 Interactive Class “A” 425,030 302,593 9,819 Intuit Inc. 336,163 490,637 11,300 Mattel Inc. 241,696 299,485 5,563 KLA-Tencor Corporation 275,521 217,024 1,700 Netflix Inc. 313,180 430,697 4,113 Lam Research Corporation 212,323 175,570 60,300 News Corporation, Class “A” 680,910 1,028,786 7,581 Linear Technology Corporation 243,394 241,426 4,500 O’Reilly Automotive Inc. 175,674 284,315 9,700 Maxim Integrated Products Inc. 154,798 239,118 1,610 priceline.com Incorporated 370,329 794,891 6,198 Microchip Technology Incorporated 227,983 226,553 3,900 Ross Stores Inc. 160,412 301,360 32,800 Micron Technology Inc. 276,536 236,306 3,577 Sears Holdings Corporation 534,919 246,422 276,143 Microsoft Corporation 7,443,241 6,919,153 23,227 Staples Inc. 589,935 353,940 11,931 NetApp Inc. 466,782 607,447 24,458 Starbucks Corporation 758,333 931,511 19,064 NVIDIA Corporation 475,293 292,893 5,200 Urban Outfitters Inc. 116,519 141,176 165,656 Oracle Corporation 4,696,244 5,254,734 10,300 Virgin Media Inc. 188,987 297,320 11,872 Paychex Inc. 461,875 351,513 4,115 Wynn Resorts Limited 360,810 569,669 54,593 QUALCOMM Incorporated 2,493,197 2,988,540 10,069,413 12,941,800 7,900 SanDisk Corporation 222,499 316,195 14,000 Seagate Technology 124,864 217,792 CONSUMER STAPLES – 2.2% 24,693 Symantec Corporation 520,841 469,159 14,336 Costco Wholesale Corporation 962,520 1,123,253 5,376 VeriSign Inc. 155,741 173,486 4,900 GreenMountainCoffeeRoastersInc. 396,853 421,825 8,728 Xilinx Inc. 233,445 306,994 5,800 Whole Foods Market Inc. 299,899 354,927 42,490 Yahoo! Inc. 911,391 615,922 1,659,272 1,900,005 46,233,198 49,870,896 HEALTH CARE – 9.8% TELECOMMUNICATION SERVICES – 0.3% 6,000 Alexion Pharmaceuticals Inc. 289,394 272,149 5,591 NII Holdings Inc. 337,191 228,469 30,363 Amgen Inc. 1,899,292 1,708,112 7,890 Biogen Idec Inc. 457,407 813,533 Total U.S. Equities 67,342,498 75,685,154 15,082 Celgene Corporation 929,513 876,677 2,400 Cephalon Inc. 193,998 184,966 5,400 Cerner Corporation 193,708 317,846 4,671 DENTSPLY International Inc. 167,052 171,503 17,408 Express Scripts Inc. 548,079 906,110 25,702 Gilead Sciences Inc. 1,094,840 1,026,235 3,000 Henry Schein Inc. 180,599 207,135 4,000 Illumina Inc. 139,774 289,875

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 313 TD Nasdaq® Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

International Equities – 5.7% UNITED KINGDOM – 0.9% BERMUDA – 0.3% 28,600 VodafoneGroupPLC,SponsoredADR$$ 697,155 736,749 20,195 Marvell Technology Group Ltd. $$395,124 287,482 Total International Equities 4,110,311 4,798,168

CAYMAN ISLANDS – 0.3% Transaction Costs (Note 3) (21,961) 0 6,906 Garmin Ltd. 384,982 219,796 TOTALINVESTMENT CHINA – 1.7% PORTFOLIO – 96.3% 72,534,045 80,963,432 8,880 Baidu Inc., Sponsored ADR 394,844 1,200,375 SHORT-TERM 4,900 Ctrip.com International Ltd. 203,250 203,399 INVESTMENTS (CAD) – 0.6% 500,000 500,000 598,094 1,403,774 SHORT-TERM INDIA – 0.2% INVESTMENTS (USD) – 2.3% 1,928,900 1,928,900 3,300 Infosys Technologies Limited, FOREIGN CURRENCIES – 0.2% 147,259 147,204 Sponsored ADR 190,566 207,511 FUTURESCONTRACTS IRELAND – 0.2% (SCHEDULE 1) – 0.2% 0 218,030 8,600 Warner Chilcott PLC, Class “A” 148,741 200,141 FORWARDCONTRACTS ISRAEL – 1.7% (SCHEDULE 2) – 0.4% 0 316,631 6,800 CheckPointSoftwareTechnologiesLtd. 178,976 372,837 OTHER NET ASSETS – 0.0% 23,499 23,111 22,926 Teva Pharmaceutical Industries Limited, Sponsored ADR 1,050,169 1,065,749 TOTAL NET ASSETS – 100.0% $ 75,133,703 $ 84,097,308 1,229,145 1,438,586

NETHERLANDS – 0.2% 7,900 QIAGEN NV 186,629 144,840

SINGAPORE – 0.2% 25,766 Flextronics International Ltd. 279,875 159,289

Futures Contracts (Schedule 1) Net Futures Number of Notional Margin Contracts Description ExpirationDate AverageCost FairValue Receivable

INDEXFUTURESCONTRACTS UNITEDSTATES 58 Nasdaq 100 E-mini September16,2011 $ 2,535,611 $ 2,596,647 $ 61,036

Total Futures Contracts $ 2,535,611 $ 2,596,647 $ 61,036 Cash Held as Margin 156,994

NETFUTURESMARGINRECEIVABLE $ 218,030

314 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Nasdaq® Index Fund INDEXFUNDS

July 06, 2011 49,999,352 USD $ 48,229,374 48,524,451 CAD $ 48,524,451 0.96802 to0.98505 $ 295,077 July 06, 2011 44,665,550 USD 43,084,389 43,308,786 CAD 43,308,786 0.96880 to 0.96965 224,397 $ 91,313,763 $ 91,833,237 $ 519,474

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 06, 2011 43,308,787 CAD $ 43,308,787 44,874,922 USD $ 43,286,350 0.96510 $ (22,437) July 06, 2011 48,524,452 CAD 48,524,452 50,118,232 USD 48,344,046 0.96510 to 0.98752 (180,406) August 03, 2011 43,602,700 USD 42,107,739 42,107,739 CAD 42,107,739 0.96409 to 0.96576 0 August 03, 2011 42,826,153 USD 41,360,000 41,360,000 CAD 41,360,000 0.96577 0 August 03, 2011 99,718 USD 96,000 96,000 CAD 96,000 0.96271 0 $ 175,396,978 $ 175,194,135 $ (202,843)

TOTALNUMBEROFCONTRACTS: 29 NETAPPRECIATION $ 316,631

Financial Instruments by the Level in the Fair Value Hierarchy Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) (in 000s) (Note 11) The table below summarizes cash flows associated with the maturities of the Fund’s financial The table below illustrates the classification of the Fund’s financial instruments within the liabilities as at June 30, 2011 and December 31, 2010: fair value hierarchy as at June 30, 2011 and December 31, 2010: Less than 3 months Level1 Level2 Level3 Total 2011 2010 June 30, 2011 Accounts payable and other liabilities $ 229 $ 258 CommonShares $ 80,963 $0$0$80,963 Forward Contracts 203 47 Short-Term Investments 0 2,429 0 2,429 $ 432 $ 305 Forward Contracts 0 520 0 520 Futures 61 0061 81,024 2,949 0 83,973 Forward Contracts 0 (203) 0 (203) $ 81,024 $ 2,746 $0$83,770

December 31, 2010 CommonShares $ 76,732 $0$0$76,732 Forward Contracts 0 2,565 0 2,565 76,732 2,565 0 79,297 Forward Contracts 0 (47) 0 (47) Futures (7) 00(7) (7) (47) 0 (54) $ 76,725 $ 2,518 $0$79,243

During the periods, transfers between Level 1 and Level 2 were nil.

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 315 INDEXFUNDS TD International Index Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 209,440 $ 205,614 Interest $1$0 Foreign Currencies 174 123 Dividends 5,174 4,209 Cash 54 63 Securities Lending 139 122 Dividends Receivable 472 217 Less: Withholding Taxes (572) (566) Subscriptions Receivable 450 662 4,742 3,765 Receivable for Investment Sales 0 46 Expenses (Note 5) Unrealized Gain on Open Foreign Management Fees 474 528 Exchange Forward Contracts 00 Independent Review Committee Fees 11 210,590 206,725 Bank Charges and Interest 11 Liabilities 476 530 Accrued Liabilities 79 80 Less: Waived Expenses (1) (1) Redemptions Payable 379 420 475 529 Distributions Payable 323 0 Payable for Investment Purchases 378 261 Net Investment Income (Loss) 4,267 3,236 Unrealized Loss on Open Foreign Net Realized Gain (Loss) on Exchange Forward Contracts 10Sale of Investments (694) (1,852) 1,160 761 Net Change in Unrealized Appreciation/ Depreciation of Investments 981 (28,202) Net Assets (Note 3) $ 209,430 $ 205,964 Transaction Costs on Purchase and Sale Net Assets Representing Unitholders’ Equity (Note 4) of Investments (Note 3) (7) (11) Investor Series $ 42,310 $ 41,950 Net Gain (Loss) on Investments 280 (30,065) e-Series $ 71,768 $ 64,087 Increase (Decrease) in Net Assets Institutional Series $ 2,567 $ 2,353 from Investment Operations† $ 4,547 $ (26,829) F-Series $ 2,160 $ 1,739 O-Series $ 90,625 $ 95,835 †Increase (Decrease) in Net Assets from Investment Operations $ 209,430 $ 205,964 Investor Series $ 737 $ (5,568) e-Series $ 1,398 $ (7,240) Number of Units Outstanding Institutional Series $ 52 $ (2,335) Investor Series 4,767,751 4,754,002 F-Series $ 44 $ (208) e-Series 7,892,709 7,087,043 O-Series $ 2,316 $ (11,478) Institutional Series 217,265 200,258 $ 4,547 $ (26,829) F-Series 315,638 255,918 Increase (Decrease) in Net Assets from Investment Operations – O-Series 10,893,788 11,574,698 Per Unit (Note 3) Net Assets Per Unit (Note 3) Investor Series $ 0.15 $ (1.13) Investor Series $ 8.87 $ 8.82 e-Series $ 0.20 $ (1.17) e-Series $ 9.09 $ 9.04 Institutional Series $ 0.26 $ (1.57) F-Series $ 0.15 $ (0.86) Institutional Series $ 11.81 $ 11.75 O-Series $ 0.20 $ (1.00) F-Series $ 6.84 $ 6.79 O-Series $ 8.32 $ 8.28

316 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. INDEXFUNDS TD International Index Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series e-Series Institutional Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 41,950 $ 45,756 $ 64,087 $ 52,728 $ 2,353 $ 95,165 Increase (Decrease) in Net Assets from Investment Operations 737 (5,568) 1,398 (7,240) 52 (2,335) Capital Unit Transactions† Proceeds from Sale of Units 4,206 4,812 12,058 9,845 330 4,997 Reinvestments of Distributions 370 287 1,089 747 11 279 Early Redemption Fees 00 11 00 Amounts Paid on Redemptions (4,456) (8,558) (5,716) (3,508) (138) (95,963) 120 (3,459) 7,432 7,085 203 (90,687) Distributions to Unitholders (497) (413) (1,149) (791) (41) (301) Increase (Decrease) in Net Assets for the Period 360 (9,440) 7,681 (946) 214 (93,323) Net Assets, End of the Period $ 42,310 $ 36,316 $ 71,768 $ 51,782 $ 2,567 $ 1,842 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 4,754,002 5,138,493 7,087,043 5,782,826 200,258 8,033,132 Units Issued 468,189 573,617 1,310,789 1,137,860 27,624 435,492 Units Issued on Reinvestments 41,693 36,955 119,842 92,964 891 24,235 Units Redeemed (496,133) (1,002,167) (624,965) (405,091) (11,508) (8,311,883) Units Outstanding, End of the Period 4,767,751 4,746,898 7,892,709 6,608,559 217,265 180,976

F-Series O-Series TOTAL 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 1,739 $ 1,783 $ 95,835 $ 9,551 $ 205,964 $ 204,983 Increase (Decrease) in Net Assets from Investment Operations 44 (208) 2,316 (11,478) 4,547 (26,829) Capital Unit Transactions† Proceeds from Sale of Units 636 70 4,414 100,973 21,644 120,697 Reinvestments of Distributions 26 23 1,651 1,173 3,147 2,509 Early Redemption Fees 00 11 22 Amounts Paid on Redemptions (256) (293) (11,829) (6,711) (22,395) (115,033) 406 (200) (5,763) 95,436 2,398 8,175 Distributions to Unitholders (29) (23) (1,763) (1,311) (3,479) (2,839) Increase (Decrease) in Net Assets for the Period 421 (431) (5,210) 82,647 3,466 (21,493) Net Assets, End of the Period $ 2,160 $ 1,352 $ 90,625 $ 92,198 $ 209,430 $ 183,490 †Capital Unit Transactions Units Outstanding, Beginning of the Period 255,918 259,940 11,574,698 1,142,953 Units Issued 92,663 11,423 525,836 12,427,069 Units Issued on Reinvestments 3,772 3,711 198,533 162,753 Units Redeemed (36,715) (45,514) (1,405,279) (886,853) Units Outstanding, End of the Period 315,638 229,560 10,893,788 12,845,922

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 317 INDEXFUNDS

TD International Index Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 2,861 Sims Metal Management Limited $$79,691 52,464 No. of Shares 7,294 Sonic Healthcare Limited 87,560 97,349 or Units Description Cost FairValue 24,614 SP AusNet 19,702 24,078 45,998 Stockland 227,301 162,721 U.S. Equities – 0.1% 24,572 Suncorp-Metway Limited 293,917 207,145 HEALTH CARE – 0.1% 12,104 Tabcorp Holdings Limited 140,983 41,296 1,091 Synthes Inc. $ 148,971 $ 184,724 25,923 Tattersall’s Limited 76,536 64,550 79,852 Telstra Corporation Limited 302,854 239,309 International Equities – 99.9% 13,217 Toll Holdings Limited 167,214 66,499 23,494 Transurban Group 137,078 127,276 AUSTRALIA – 8.6% 8,591 AGL Energy Limited 121,611 130,419 19,037 Wesfarmers Limited 481,070 629,237 46,272 Alumina Limited 157,005 102,208 2,924 Wesfarmers Limited, 23,315 Amcor Limited 147,651 174,243 Partially Protected Shares 101,752 97,793 53,528 AMP Limited 370,221 271,491 41,255 Westfield Group 601,605 370,848 50,853 Asciano Group 70,053 86,711 53,262 Westfield Retail Trust 141,373 149,736 48,464 Australia and New Zealand 57,024 Westpac Banking Corporation 1,175,595 1,319,467 Banking Group Ltd. 1,027,102 1,107,987 11,643 Woodside Petroleum Limited 424,800 495,393 3,247 Australian Stock Exchange Ltd. 103,074 102,600 23,385 Woolworths Limited 489,650 672,925 7,263 Bendigo and Adelaide Bank Limited 86,660 66,798 3,612 WorleyParsons Limited 70,681 106,065 60,431 BHP Billiton Limited 1,468,837 2,754,485 16,760,518 18,076,528 32,604 BlueScope Steel Limited 128,713 40,922 AUSTRIA – 0.3% 13,631 Boral Limited 83,522 62,329 3,592 Erste Group Bank AG 246,849 181,438 26,731 Brambles Limited 271,748 200,448 7,900 IMMOEAST AG – Entitlement Shares 00 2,323 Caltex Australia Limited 44,371 28,427 18,303 IMMOFINANZ AG 82,389 75,265 37,831 CFS Retail Property Trust 67,374 71,122 2,807 OMV AG 164,953 118,269 11,219 Coca-Cola Amatil Ltd. 83,349 132,762 931 RaiffeisenInternationalBank-HoldingAG 131,713 46,252 1,074 Cochlear Limited 56,320 80,170 5,938 Telekom Austria AG 176,566 73,283 29,376 Commonwealth Bank of Australia 1,157,447 1,595,642 1,326 Verbund AG 73,477 55,679 8,130 Computershare Limited 67,114 74,897 675 Vienna Insurance Group 52,024 35,662 8,698 Crown Ltd. 100,205 80,640 2,114 voestalpine AG 121,117 112,453 10,125 CSL Limited 220,136 347,108 86,458 DEXUS Property Group 95,806 78,998 1,049,088 698,301 12,104 Echo Entertainment Group Limited 55,241 51,460 BELGIUM – 1.0% 39,905 Fairfax Media Limited 113,128 40,628 42,189 ageas NV 1,223,763 110,212 22,804 Fortescue Metals Group Limited 81,063 150,906 20,044 Anheuser-Busch InBev NV 604,984 842,101 37,340 Foster’s Group Ltd. 209,362 198,920 2,872 Belgacom SA 140,290 98,700 112,000 Goodman Group 58,659 81,889 1,430 Colruyt SA 62,232 68,990 33,800 GPT Group 227,462 110,810 1,846 Delhaize Group SA 162,348 133,592 169,000 GPT Group (In Specie) 0011,041 Dexia SA 256,825 33,158 9,143 Harvey Norman Holdings Ltd. 31,649 23,612 1,510 Groupe Bruxelles Lambert SA 189,479 129,375 7,900 Iluka Resources Limited 127,740 137,824 3,018 KBC Group NV 335,161 114,214 29,594 Incitec Pivot Limited 167,789 118,869 544 Mobistar SA 52,246 39,799 40,205 Insurance Australia Group Limited 182,344 141,763 717 NV Bekaert SA 73,564 52,656 8,051 James Hardie Industries NV 63,367 49,194 1,111 Solvay SA, Class “A” 167,686 165,437 2,591 Leighton Holdings Limited 54,371 56,370 1,893 UCB SA 145,297 82,039 10,717 Lend Lease Corporation Limited 134,306 99,818 2,142 Umicore 83,369 112,677 31,700 Lynas Corporation Limited 77,674 64,926 3,497,244 1,982,950 3,414 Macarthur Coal Ltd. 34,752 38,670 7,161 Macquarie Airports 22,818 24,801 CHINA – 0.0% 6,703 Macquarie Group Limited 371,059 218,089 36,200 FoxconnInternationalHoldingsLimited 125,232 15,404 15,772 Metcash Limited 61,398 67,885 CYPRUS – 0.0% 64,276 Mirvac Group 135,954 83,377 16,142 BankofCyprusPublicCompanyLtd. 102,497 45,902 40,225 National Australia Bank Limited 1,191,523 1,072,579 14,442 Newcrest Mining Limited 404,268 564,381 DENMARK – 1.0% 28,032 OneSteel Limited 102,198 53,989 10 A.P.Moller–MaerskAS,Class“A” 121,027 79,891 6,972 Orica Limited 148,131 194,942 25 A.P.Moller–MaerskAS,Class“B” 243,632 208,153 19,975 Origin Energy Limited 193,828 327,555 2,024 Carlsberg AS, Class “B” 185,683 212,544 5,977 OZ Minerals Limited 192,466 81,612 412 Coloplast AS, Class “B” 40,576 60,425 13,463 Paladin Energy Ltd. 56,274 35,394 11,397 Danske Bank AS 416,476 203,436 21,097 Qantas Airways Limited 82,415 40,369 3,976 DSV AS 76,061 92,050 19,789 QBE Insurance Group Ltd. 445,556 354,226 7,878 Novo Nordisk AS, Class “B” 404,845 951,865 31,500 QR National Limited 86,741 110,559 888 Novozymes AS, Class “B” 81,615 139,544 2,450 Ramsay Health Care Limited 37,588 46,163 1,100 PANDORA AS 62,294 33,312 8,123 Rio Tinto Limited 491,385 701,230 6,600 TDC AS 58,142 58,080 15,585 Santos Limited 170,328 219,160

318 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD International Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

432 TrygVesta AS $$35,181 24,060 733 Imerys $$65,504 49,730 3,854 Vestas Wind Systems AS 211,061 86,286 1,144 JCDecaux SA 44,432 35,405 388 William Demant Holding AS 34,841 33,795 1,740 Klepierre 90,209 69,289 1,971,434 2,183,441 3,681 Lafarge SA 457,984 226,215 2,296 Lagardere SCA 191,594 93,708 FINLAND – 1.0% 5,329 L’Air Liquide SA 578,163 736,308 2,576 Elisa Oyj, Class “A” 65,718 53,470 2,913 Legrand SA 99,156 118,257 8,220 Fortum Oyj 256,433 229,869 4,521 L’Oreal SA 511,242 565,854 1,136 Kesko Oyj, Class “B” 62,200 50,955 4,610 LVMHMoetHennessyLouisVuittonSA 515,091 798,959 2,939 KONE Oyj, Class “B” 85,615 178,075 1,118 Metropole Television SA 44,526 24,960 2,447 Metso Corporation 123,960 134,163 17,273 Natixis 146,162 83,585 2,206 Neste Oil Oyj 79,186 33,377 556 Neopost SA 77,836 46,073 70,576 Nokia Oyj 1,682,574 439,083 3,714 Pernod Ricard SA 343,713 353,277 2,184 Nokian Renkaat Oyj 51,204 105,768 2,891 Peugeot SA 183,505 125,084 1,522 Orion Oyj 36,621 37,863 1,437 PPR SA 246,451 246,840 2,028 Outokumpu Oyj, Class “A” 80,034 25,919 2,423 Publicis Groupe SA 104,635 130,454 2,427 Pohjola Bank PLC 32,348 30,280 3,650 Renault SA 413,301 208,859 1,447 Rautaruukki Oyj 59,072 31,544 3,236 SAFRAN SA 77,477 133,175 7,727 Sampo PLC, Class “A” 218,178 240,596 20,888 Sanofi 1,982,146 1,620,521 1,423 SanomaWSOY Oyj 45,448 25,466 4,575 Schneider Electric SA 525,363 736,744 11,192 Stora Enso Oyj 173,591 113,354 2,988 SCOR 83,944 81,797 9,819 UPM-Kymmene Oyj 244,217 173,264 470 Societe BIC 37,350 43,790 2,982 Wartsila Oyj, Class “B” 88,624 97,252 11,939 Societe Generale 1,480,934 681,966 3,385,023 2,000,298 2,020 Societe Television Francaise 1 86,796 35,538 1,780 Sodexo 114,380 134,478 FRANCE – 9.9% 5,314 Suez Environnement SA 16,303 102,134 2,869 Accor SA 227,320 123,790 1,849 Technip 131,087 191,152 606 Aeroports de Paris 71,453 54,959 1,729 Thales 93,016 71,816 2,325 Air France-KLM Group 96,305 34,439 39,772 TOTAL SA 3,024,916 2,217,628 43,720 Alcatel-Lucent 652,142 243,325 1,738 Unibail-Rodamco 367,076 387,293 3,915 Alstom 294,368 232,572 2,084 Vallourec SA 307,672 245,042 1,100 Arkema 116,775 109,116 6,382 Veolia Environnement 420,090 173,414 855 Atos Origin SA 59,520 46,581 8,310 VINCI 548,910 514,359 32,319 AXA SA 1,270,035 707,570 23,268 Vivendi 1,042,938 625,496 18,037 BNP Paribas 1,895,345 1,341,379 700 Wendel 82,340 82,906 4,382 Bouygues SA 304,332 185,846 925 Bureau Veritas SA 54,206 75,337 27,071,866 20,714,864 2,751 Cap Gemini SA 220,251 155,366 GERMANY – 8.9% 11,329 Carrefour SA 792,790 449,176 3,872 adidas AG 206,025 296,067 1,048 Casino Guichard-Perrachon SA 101,072 95,263 8,542 Allianz SE 1,803,473 1,148,816 5 Casino Guichard-Perrachon SA, Rights 0 23 900 Axel Springer AG 43,160 42,942 1,204 Christian Dior SA 139,947 182,476 17,284 BASF SE 922,934 1,633,982 2,976 CNP Assurances SA 89,938 62,486 15,561 Bayer AG 1,025,951 1,205,383 7,492 Compagnie de Saint-Gobain 515,488 468,356 6,251 Bayerische Motoren Werke AG 359,017 601,584 2,690 Compagnie Generale de 908 Bayerische Motoren Werke AG, Pref. 44,117 55,690 Geophysique – Veritas SA 131,081 95,082 1,827 Beiersdorf AG 128,646 114,484 3,257 Compagnie Generale des 641 Brenntag AG 59,186 71,904 Etablissements Michelin SCA 308,146 307,651 1,464 Celesio AG 84,085 28,194 18,077 Credit Agricole SA 608,248 261,924 65,358 Commerzbank AG 695,329 271,502 10,973 Danone SA 806,583 790,052 1,000 Continental AG 47,645 101,632 1,174 Dassault Systemes SA 71,030 96,289 16,981 Daimler AG 1,170,036 1,235,046 2,869 Edenred 49,731 84,365 17,491 Deutsche Bank AG 1,719,294 995,635 792 Eiffage SA 73,646 50,492 3,695 Deutsche Boerse AG 362,037 270,587 4,846 Electricite de France SA 468,264 183,234 4,139 Deutsche Lufthansa AG 117,405 86,948 98 Eramet 97,667 31,272 15,662 Deutsche Post AG 491,329 290,394 3,763 Essilor International SA 216,366 294,473 53,344 Deutsche Telekom AG 1,132,781 802,801 499 Eurazeo 58,010 35,096 2,882 Dr. Ing. h.c. F. Porsche AG, Pref. 310,178 220,482 16 Eurazeo, Rights 0 60 33,888 E.ON AG 1,657,679 929,008 1,909 Eutelsat Communications 58,491 82,889 637 Fraport AG Frankfurt Airport 489 Fonciere des Regions 42,904 49,958 Services Worldwide 46,089 49,363 34,889 France Telecom SA 1,091,291 715,493 5,534 Fresenius SE & Co. KGaA 351,116 455,615 23,303 GDF SUEZ 1,282,706 821,397 3,113 GEA Group AG 111,319 107,522 388 Gecina SA 58,680 52,285 1,100 Hannover Rückversicherung AG 60,202 55,173 10,196 Groupe Eurotunnel SA 108,492 110,037 2,641 HeidelbergCement AG 197,634 162,903 453 ICADE 72,838 53,820 2,469 Henkel KGaA 119,969 135,554 300 Iliad SA 30,163 38,829

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 319 TD International Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

3,412 Henkel KGaA, Pref. $$172,219 228,831 41,695 TheLinkRealEstateInvestmentTrust$$ 101,072 137,366 856 HOCHTIEF AG 67,078 68,986 26,591 MTR Corporation Limited 75,419 91,214 20,500 Infineon Technologies AG 117,975 222,158 48,509 New World Development 2,639 K+S AG 142,777 195,441 Company Limited 99,976 71,029 1,000 Kabel Deutschland Holding AG 47,796 59,411 72,107 Noble Group Limited 84,824 111,990 1,550 Lanxess AG 112,055 122,625 24,690 NWS Holdings Limited 44,889 31,922 3,182 Linde AG 366,651 538,427 4,050 OrientOverseas(International)Limited 19,503 25,254 2,008 MAN SE 201,201 257,959 70,500 PCCW Limited 23,057 29,341 1,215 Merck KGaA 146,777 127,410 28,000 Shangri-La Asia Limited 72,961 66,297 2,470 METRO AG 175,855 144,261 46,384 Sino Land Company Limited 98,679 71,948 3,557 Muenchener 29,000 SJM Holdings Limited 49,178 66,535 Rueckversicherungs-GesellschaftAG 673,276 523,694 27,043 Sun Hung Kai Properties Limited 360,040 381,250 1,450 ProSiebenSat.1 Media AG, Pref. 39,423 39,813 14,200 Swire Pacific Ltd., Class “A” 167,920 201,633 7,749 RWE AG 934,371 415,209 29,114 The Wharf (Holdings) Limited 133,902 195,809 790 RWE AG, Pref. 82,225 38,666 16,500 Wheelock and Company Limited 53,708 64,010 707 Salzgitter AG 102,113 51,990 3,262 Wing Hang Bank Limited 40,715 34,522 17,247 SAP AG 971,726 1,008,489 12,600 YueYuenIndustrial(Holdings)Limited 43,417 38,656 15,483 Siemens AG 1,678,632 2,052,060 5,183,539 5,527,896 1,300 Sudzucker AG 28,641 44,644 6,315 ThyssenKrupp AG 293,547 316,450 IRELAND – 0.3% 2,649 TUI AG 67,456 27,769 53,229 Anglo Irish Bank Corporation PLC 0 16,155 2,200 United Internet AG 47,836 44,607 13,357 CRH PLC 491,081 285,495 573 Volkswagen AG 97,058 101,657 10,260 Elan Corporation PLC 154,998 113,579 2,710 Volkswagen AG, Pref. 248,845 540,497 2,597 Kerry Group PLC 73,555 103,190 272 Wacker Chemie AG 70,676 56,664 6,439 Ryanair Holdings PLC 45,860 31,669 20,152,845 18,596,929 765,494 550,088

GREECE – 0.2% ISRAEL – 0.7% 8,859 Alpha Bank SA 242,209 43,027 33,600 “Bezeq” The Israel Telecommunication 3,456 Coca-ColaHellenicBottlingCompanySA 100,550 89,532 Corp. Limited 81,054 82,041 5,783 EFG Eurobank Ergasias SA 189,777 26,162 19,300 Bank Hapoalim B.M. 76,095 93,042 4,640 Hellenic Telecommunications 22,900 Bank Leumi le-Israel B.M. 100,391 104,431 Organization SA 153,387 41,754 1,000 Cellcom Israel Ltd. 30,493 26,910 17,641 National Bank of Greece SA 582,559 122,346 100 Delek Group Ltd. 21,120 21,677 4,122 OPAP SA 167,825 62,089 500 Elbit Systems Ltd. 26,955 22,925 2,236 Public Power Corporation SA 64,309 30,920 8,600 Israel Chemicals Ltd. 100,696 132,361 1,100 Vodafone – Panafon SA 10,549 0 44 The Israel Corp Ltd. 33,085 46,395 10,500 Israel Discount Bank Ltd. 20,539 19,965 1,511,165 415,830 4,700 Makhteshim-Agan Industries Ltd. 18,192 25,328 HONG KONG – 2.6% 2,400 Mizrahi Tefahot Bank Ltd. 19,851 24,635 147,400 AIA Group Ltd. 455,874 494,863 1,200 Nice Systems Ltd. 37,824 41,844 3,600 ASM Pacific Technology Limited 22,009 47,740 1,700 Partner Communications Co., Ltd. 32,966 24,724 27,759 Bank of East Asia Ltd. 146,144 110,221 17,614 TevaPharmaceuticalIndustriesLtd. 1,037,023 819,310 68,174 BOC Hong Kong (Holdings) Limited 174,816 191,529 1,636,284 1,485,588 23,000 Cathay Pacific Airways Limited 64,667 51,602 27,000 Cheung Kong (Holdings) Limited 370,668 382,401 ITALY – 2.6% 7,000 CheungKongInfrastructureHoldingsLtd. 24,842 35,124 21,580 A2A SpA 88,260 32,418 35,400 CLP Holdings Limited 293,575 302,872 22,072 Assicurazioni Generali SpA 905,095 448,792 22,007 Esprit Holdings Limited 234,851 66,317 5,813 Atlantia SpA 153,171 119,384 15,700 Hang Lung Group Limited 85,358 96,146 1,908 Autogrill SpA 23,663 24,165 45,000 Hang Lung Properties Ltd. 129,396 178,447 12,215 Banca Carige SpA 55,363 26,678 14,100 Hang Seng Bank Limited 223,035 217,531 43,045 BancaMontedeiPaschidiSienaSpA 184,193 31,424 20,420 Henderson Land Development 43,045 Banca Monte dei Paschi di Siena SpA, Company Limited 137,420 127,353 Rights 08/07/2011 0 2,830 80,572 The Hong Kong and China Gas 28,362 BancoPopolareSocietaCooperativa 396,434 62,996 Company Limited 146,567 176,778 32,930 Enel Green Power SpA 75,413 87,594 19,219 Hong Kong Exchanges 123,861 Enel SpA 1,130,287 780,562 and Clearing Limited 222,476 390,305 45,045 Eni SpA 1,548,260 1,029,575 25,500 Hongkong Electric Holdings Limited 144,181 185,359 1,102 EXOR SpA 39,354 33,242 10,500 Hopewell Holdings Limited 40,614 32,125 14,462 Fiat Industrial SpA 172,820 180,017 40,300 Hutchison Whampoa Limited 427,416 421,126 14,462 Fiat SpA 313,602 153,261 11,982 HysanDevelopmentCompanyLimited 35,629 57,328 7,563 Finmeccanica SpA 191,831 88,257 23,200 K.WahConstructionMaterialsLimited 50,543 48,131 205,650 Intesa Sanpaolo SpA 1,259,283 520,284 13,225 Kerry Properties Limited 71,434 61,650 2,387 Luxottica Group SpA 81,095 73,916 105,600 Li & Fung Limited 197,570 203,558 13,264 Mediaset SpA 173,944 60,138 10,850 LifestyleInternationalHoldingsLimited 15,194 30,614 8,880 Mediobanca SpA 201,365 86,732

320 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD International Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

1,894 Parmalat Finanziaria SpA $$7,887 0 9,200 DENSO Corporation $$358,987 330,006 31,080 Parmalat SpA 127,217 112,671 3,300 Dentsu Inc. 107,682 94,209 4,504 Pirelli & C. SpA 60,289 46,974 6,400 East Japan Railway Company 499,421 353,503 66 Prima Cinque Azione 004,800 Eisai Co., Ltd. 256,869 180,618 3,764 Prysmian SpA 85,639 73,077 2,260 ElectricPowerDevelopmentCo.,Ltd. 105,489 58,916 5,008 Saipem SpA 208,393 249,422 3,400 Elpida Memory Inc. 133,527 38,624 27,642 Snam Rete Gas SpA 152,825 157,798 1,000 FamilyMart Co., Ltd. 32,818 35,412 24,601 T.E.R.Na. Trasmissione Elettricita 3,700 FANUC Corporation 381,144 596,730 Rete Nazionale SpA 96,636 110,318 1,000 Fast Retailing Company Limited 112,981 155,979 175,333 Telecom Italia SpA 585,276 235,218 9,000 Fuji Electric Holdings Co., Ltd. 53,990 27,116 112,987 TelecomItaliaSpA,diRispNonConv. 308,802 126,774 11,000 Fuji Heavy Industries Ltd. 54,075 82,442 254,447 UniCredit SpA 1,515,031 519,448 8,700 FUJIFILM Holdings Corporation 391,130 261,698 11,331 Unione di Banche Italiane ScpA 331,833 61,514 34,000 Fujitsu Limited 355,494 187,432 11,218 Unione di Banche Italiane ScpA, Rights 0 424 16,000 Fukuoka Financial Group Inc. 124,927 64,496 10,473,261 5,535,903 10,000 Furukawa Electric Co., Ltd. 63,784 40,267 1,700 GREE Inc. 21,259 35,842 JAPAN – 20.0% 6,000 GS Yuasa Corporation 49,981 38,620 500 ABC-Mart Inc. 14,530 19,557 8,000 The Gunma Bank Ltd. 56,288 40,780 3,000 Advantest Corporation 166,310 53,265 8,000 The Hachijuni Bank Ltd. 62,825 43,353 10,900 AEON Co., Ltd. 230,580 126,887 400 Hakuhodo DY Holdings Inc. 29,607 20,602 1,300 AEON Credit Service Co., Ltd. 30,718 17,173 1,300 Hamamatsu Photonics K.K. 42,028 54,210 1,500 AEON Mall Co., Ltd. 50,094 35,045 4,000 Hino Motors Ltd. 15,767 22,528 2,700 Air Water Inc. 35,577 31,370 600 Hirose Electric Co., Ltd. 71,218 59,319 3,600 Aisin Seiki Co., Ltd. 121,426 134,352 8,423 The Hiroshima Bank Ltd. 54,260 35,451 13,000 Ajinomoto Co., Inc. 168,614 148,847 1,200 Hisamitsu Pharmaceutical Co., Inc. 48,007 49,303 600 Alfresa Holdings Corporation 40,468 22,489 2,200 Hitachi Chemical Co., Ltd. 64,513 42,095 16,000 All Nippon Airways Co., Ltd. 63,179 50,337 1,900 HitachiConstructionMachineryCo.,Ltd. 55,697 41,079 6,000 Amada Co., Ltd. 70,181 44,495 1,100 HitachiHigh-TechnologiesCorporation 36,930 23,245 13,200 Aozora Bank Ltd. 30,587 29,510 86,000 Hitachi Ltd. 516,784 492,265 7,500 Asahi Breweries Ltd. 130,662 145,706 3,000 Hitachi Metals Ltd. 44,997 40,885 19,000 Asahi Glass Company Limited 233,162 214,439 3,600 Hokkaido Electric Power Co., Inc. 101,639 57,753 24,000 Asahi Kasei Corporation 172,323 155,987 25,000 Hokugin Financial Group Inc. 94,870 47,762 2,800 ASICS Corporation 35,889 40,308 3,100 Hokuriku Electric Power Company 74,981 57,055 8,406 Astellas Pharma Inc. 417,911 314,567 30,700 Honda Motor Co., Ltd. 1,153,554 1,140,729 6,000 The Bank of Kyoto Ltd. 69,216 53,280 8,100 Hoya Corporation 314,178 172,947 23,000 The Bank of Yokohama Ltd. 186,593 110,891 2,600 IBIDEN Co., Ltd. 134,485 78,507 1,400 Benesse Corporation 72,417 58,008 500 Idemitsu Kosan Co., Ltd. 49,125 51,465 12,300 Bridgestone Corporation 295,593 273,324 22,000 IHI Corporation 83,715 54,826 4,100 Brother Industries Ltd. 60,383 58,490 42 INPEX Corporation 271,320 299,475 21,400 Canon Inc. 1,200,472 981,732 7,520 Isetan Mitsukoshi Holdings Ltd. 130,989 71,053 4,000 Casio Computer Co., Ltd. 100,990 27,226 22,000 Isuzu Motors Limited 109,266 100,444 29 Central Japan Railway Company 323,151 219,873 27,800 ITOCHU Corporation 257,789 278,865 13,000 Chiba Bank Ltd. 112,921 78,465 500 ITOCHUTechno-SolutionsCorporation 32,467 17,118 3,000 Chiyoda Corporation 24,336 33,352 4,000 The Iyo Bank Ltd. 45,892 35,515 12,300 Chubu Electric Power Co., Inc. 403,419 231,664 8,800 J. Front Retailing Co., Ltd. 68,795 37,494 4,400 Chugai Pharmaceutical Co., Ltd. 102,126 69,585 500 JapanPetroleumExplorationCo.,Ltd. 29,091 22,639 3,000 The Chugoku Bank Limited 46,623 35,796 12 Japan Prime Realty Investment 5,200 TheChugokuElectricPowerCo.,Inc. 115,388 86,836 Corporation 38,463 30,649 4,200 Citizen Holdings Co., Ltd. 39,226 24,248 9 JapanRealEstateInvestmentCorporation 102,610 85,402 900 Coca-ColaWestJapanCompanyLimited 23,196 16,632 32 JapanRetailFundInvestmentCorporation 63,226 47,560 9,000 Cosmo Oil Company Limited 36,821 24,712 5,900 The Japan Steel Works Ltd. 64,753 39,006 2,800 Credit Saison Co., Ltd. 113,531 45,458 83 Japan Tobacco Inc. 413,300 308,996 10,000 Dai Nippon Printing Co., Ltd. 171,127 108,697 8,600 JFE Holdings Inc. 437,128 228,106 5,000 Daicel Chemical Industries Ltd. 37,390 31,857 4,000 JGC Corporation 80,765 105,693 5,000 Daido Steel Co., Ltd. 39,746 32,258 13,000 The Joyo Bank Ltd. 79,962 52,674 4,000 Daihatsu Motor Co., Ltd. 50,694 65,655 5,000 JS Group Corporation 116,207 124,380 148 The Dai-ichi Life Insurance 3,300 JSR Corporation 85,371 61,690 Company Limited 256,072 200,168 4,200 JTEKT Corporation 82,491 59,686 12,758 Daiichi Sankyo Company Limited 417,044 240,442 45 Jupiter Telecommunications Co., Ltd. 41,454 48,555 4,400 Daikin Industries Ltd. 158,500 150,419 41,950 JX Holdings Inc. 317,372 272,127 3,000 DainipponSumitomoPharmaCo.,Ltd. 24,385 27,496 15,000 Kajima Corporation 76,274 41,504 1,300 Daito Trust Construction Co., Ltd. 68,304 106,446 4,000 Kamigumi Co., Ltd. 39,053 36,054 9,000 Daiwa House Industry Co., Ltd. 159,395 109,531 5,000 Kaneka Corporation 54,336 31,685 30,000 Daiwa Securities Group Inc. 315,525 127,478 14,200 Kansai Electric Power Co., Inc. 407,722 272,722 1,477 DeNA Co., Ltd. 34,387 61,262 5,000 Kansai Paint Co., Ltd. 41,485 43,936 8,000 DenkiKagakuKogyoKabushikiKaisha 38,578 37,198

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 321 TD International Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

10,000 Kao Corporation $$310,421 253,594 5,000 NGK Insulators Ltd. $$85,606 89,836 25,000 Kawasaki Heavy Industries Ltd. 89,299 96,066 3,000 NGK Spark Plug Co., Ltd. 52,960 39,979 13,000 Kawasaki Kisen Kaisha Ltd. 103,435 43,834 2,000 NHK Spring Co., Ltd. 17,311 19,725 55 KDDI Corporation 412,926 381,654 2,000 NIDEC Corporation 162,000 180,083 8,000 KeihinElectricExpressRailwayCo.,Ltd. 68,331 55,637 6,000 Nikon Corporation 154,751 136,846 11,000 Keio Corporation 76,889 58,515 1,900 Nintendo Co., Ltd. 592,729 344,114 5,000 Keisei Electric Railway Co., Ltd. 33,680 28,539 11 Nippon Building Fund Inc. 132,900 103,672 792 Keyence Corporation 181,599 216,879 6,500 Nippon Electric Glass Co., Ltd. 112,477 80,437 3,000 Kikkoman Corporation 42,135 30,493 16,000 Nippon Express Co., Ltd. 93,874 62,529 2,000 Kinden Corporation 24,362 16,503 3,000 Nippon Meat Packers Inc. 40,782 41,505 31,000 Kintetsu Corporation 124,132 96,015 1,900 Nippon Paper Group Inc. 80,264 40,660 16,000 Kirin Holdings Company Limited 256,904 215,125 18,000 Nippon Sheet Glass Co., Ltd. 84,499 53,977 47,000 Kobe Steel Ltd. 161,469 103,081 95,000 Nippon Steel Corporation 490,866 297,238 1,900 Koito Manufacturing Co., Ltd. 29,810 32,023 9,400 Nippon Telegraph and 17,900 Komatsu Ltd. 352,605 539,026 Telephone Corporation 561,778 437,262 1,600 Konami Corporation 58,380 36,550 29,000 Nippon Yusen Kabushiki Kaisha 190,238 103,914 9,100 Konica Minolta Holdings Inc. 144,960 73,306 11,000 The Nishi-Nippon City Bank Ltd. 56,440 31,337 22,000 Kubota Corporation 207,382 188,236 46,000 Nissan Motor Co., Ltd. 520,287 466,238 6,800 Kuraray Co., Ltd. 87,008 96,079 3,500 Nisshin Seifun Group Inc. 42,159 42,190 2,000 Kurita Water Industries Ltd. 53,650 57,545 13,000 Nisshin Steel Co., Ltd. 50,814 23,979 3,000 Kyocera Corporation 305,330 294,595 1,200 Nissin Food Products Co., Ltd. 47,188 42,160 5,000 Kyowa Hakko Kogyo Co., Ltd. 50,635 45,999 750 Nitori Co., Ltd. 48,514 68,652 7,200 Kyushu Electric Power 3,200 Nitto Denko Corporation 178,949 156,815 Company Incorporated 208,595 125,032 26,800 NKSJ Holdings Inc. 295,810 170,597 1,000 Lawson Inc. 46,502 50,596 1,900 NOK Corporation 49,179 31,404 600 Mabuchi Motor Co., Ltd. 34,459 29,204 65,000 Nomura Holdings Inc. 845,245 309,352 2,200 Makita Corporation 73,996 98,873 1,800 Nomura Real Estate Holdings Inc. 52,128 28,945 31,000 Marubeni Corporation 185,077 198,696 5 Nomura Real Estate Office Fund Inc. 50,205 31,926 5,000 Marui Group Co., Ltd. 76,533 36,623 1,900 Nomura Research Institute Ltd. 63,435 40,138 700 Maruichi Steel Tube Ltd. 19,525 16,737 9,000 NSK Ltd. 76,462 86,655 28,000 Mazda Motor Corporation 121,837 71,163 8,000 NTN Corporation 73,100 43,953 1,300 McDonald’s Holdings Company 24 NTT DATA Corporation 139,277 76,926 (Japan) Ltd. 27,867 31,879 289 NTT DOCOMO Inc. 573,138 497,788 2,500 MEDICEO Paltac Holdings Co., Ltd. 54,188 21,370 19 NTT Urban Development Co. 40,731 15,719 1,268 MEIJI Holdings Co., Ltd. 62,073 51,561 13,000 Obayashi Corporation 79,325 54,762 6,000 Minebea Co., Ltd. 49,572 30,874 12,000 Odakyu Electric Railway Co., Ltd. 93,105 91,894 1,050 Miraca Holdings Inc. 38,258 41,030 16,000 Oji Paper Co., Ltd. 96,329 74,009 23,250 MitsubishiChemicalHoldingsCorporation 166,802 158,896 4,100 Olympus Corporation 131,751 133,424 25,600 Mitsubishi Corporation 565,107 616,701 3,600 OMRON Corporation 107,956 96,551 37,000 Mitsubishi Electric Corporation 364,199 414,517 1,700 Ono Pharmaceutical Co., Ltd. 90,830 87,714 23,000 Mitsubishi Estate Co., Ltd. 592,275 389,299 600 Oracle Corporation Japan 34,367 25,218 7,000 MitsubishiGasChemicalCompanyInc. 67,334 49,463 1,000 Oriental Land Company Limited 74,261 81,812 56,000 Mitsubishi Heavy Industries Ltd. 290,368 253,963 1,990 ORIX Corporation 472,849 186,689 2,000 Mitsubishi Logistics Corporation 29,854 21,699 37,000 Osaka Gas Co., Ltd. 156,521 135,356 19,000 Mitsubishi Materials Corporation 89,798 57,736 300 OTSUKA Corporation 23,804 18,014 73,000 Mitsubishi Motors Corp. 133,076 85,895 4,800 Otsuka Holdings Co., Ltd. 120,021 122,496 4,000 MitsubishiTanabePharmaCorporation 56,079 64,567 41,607 Panasonic Corporation 854,881 490,734 239,680 MitsubishiUFJFinancialGroupInc. 2,488,264 1,126,517 137 Rakuten Inc. 83,261 136,757 970 Mitsubishi UFJ Lease & Finance 33,900 Resona Holdings Inc. 410,891 153,824 Company Limited 49,632 36,205 12,000 Ricoh Company Ltd. 256,937 128,388 32,800 Mitsui & Co., Ltd. 545,004 546,955 600 Rinnai Corporation 27,222 41,788 17,000 Mitsui Chemicals Inc. 109,789 59,743 1,900 ROHM Co., Ltd. 222,759 105,131 12,000 Mitsui Engineering & 1,100 Sankyo Co., Ltd. 64,330 54,814 Shipbuilding Co., Ltd. 44,610 25,272 1,500 Santen Pharmaceutical Co., Ltd. 47,882 58,648 16,000 Mitsui Fudosan Co., Ltd. 388,145 265,770 340 SBI Holdings Inc. 121,927 30,473 22,000 Mitsui O.S.K. Lines Ltd. 226,667 114,169 4,000 SECOM Co., Ltd. 255,314 184,968 9,864 Mitsui Sumitomo Insurance Group 3,384 Sega Sammy Holdings Inc. 106,881 63,090 Holdings Inc. 356,750 222,677 2,700 Seiko Epson Corporation 76,025 45,137 56,740 Mitsui Trust Holdings Inc. 438,017 190,476 9,000 Sekisui Chemical Co., Ltd. 76,733 74,163 385,243 Mizuho Financial Group Inc. 1,692,181 610,686 10,000 Sekisui House Ltd. 150,215 89,801 9,000 Mizuho Securities Co., Ltd. 41,394 20,920 13,900 Seven & i Holdings Co., Ltd. 528,759 360,537 25,000 Mizuho Trust & Banking Co., Ltd. 39,851 21,363 11 Seven Bank Ltd. 42,702 21,200 3,800 Murata Manufacturing Co., Ltd. 272,946 245,030 19,000 Sharp Corporation 334,828 167,230 1,800 Nabtesco Corporation 34,095 42,055 3,300 Shikoku Electric Power Co., Inc. 96,919 72,276 3,450 NAMCO BANDAI Holdings Inc. 60,087 40,053 4,000 Shimadzu Corporation 39,295 35,334 49,000 NEC Corporation 273,599 107,917

322 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD International Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

500 Shimamura Co., Ltd. $$49,285 45,970 17,000 Ube Industries Ltd. $$56,629 49,361 1,200 Shimano Inc. 42,573 63,670 2,400 Unicharm Corporation 54,822 101,128 10,000 Shimizu Corporation 59,804 40,194 1,900 USHIO Inc. 43,907 36,232 7,800 Shin-Etsu Chemical Co., Ltd. 540,114 403,231 420 USS Co., Ltd. 31,969 31,423 28,000 Shinsei Bank Limited 106,408 27,011 3,200 West Japan Railway Company 161,143 120,484 5,400 Shionogi & Co., Ltd. 125,146 85,284 287 Yahoo Japan Corporation 145,590 95,259 6,400 Shiseido Co., Ltd. 145,731 115,216 1,800 Yakult Honsha Co., Ltd. 56,007 50,218 11,000 Shizuoka Bank Ltd. 130,549 97,548 1,490 Yamada Denki Co., Ltd. 147,548 117,089 27,000 Showa Denko K.K. 99,078 53,940 4,000 Yamaguchi Financial Group Inc. 57,910 35,990 3,200 Showa Shell Sekiyu K.K. 40,360 28,663 3,000 YAMAHA Corporation 69,065 32,997 1,000 SMC Corporation 149,796 173,861 5,000 Yamaha Motor Co., Ltd. 129,526 88,574 15,200 SOFTBANK Corp. 427,849 555,194 700 Yamato Kogyo Co., Ltd. 29,837 21,024 25,600 Sojitz Corporation 90,573 46,249 7,800 Yamato Transport Co., Ltd. 135,366 118,338 19,000 Sony Corporation 920,245 483,498 2,140 Yamazaki Baking Co., Ltd. 22,330 27,634 3,200 Sony Financial Holdings Inc. 59,986 55,798 4,000 Yaskawa Electric Corporation 48,042 43,310 1,200 Square Enix Co., Ltd. 38,404 20,829 4,800 Yokogawa Electric Corporation 73,533 39,511 2,500 Stanley Electric Co., Ltd. 57,585 42,327 59,177,405 41,807,594 2,500 SUMCO Corporation 77,110 40,821 30,000 Sumitomo Chemical Co., Ltd. 216,075 144,468 KAZAKHSTAN – 0.0% 20,800 Sumitomo Corporation 331,547 272,909 4,860 Eurasian Natural Resources 13,900 Sumitomo Electric Industries Ltd. 233,118 195,533 Corporation PLC 98,062 58,813 11,000 Sumitomo Heavy Industries Ltd. 112,010 74,049 LUXEMBOURG – 0.6% 63,000 Sumitomo Metal Industries Ltd. 264,123 136,496 16,209 ArcelorMittal 770,272 543,653 10,000 Sumitomo Metal Mining Co., Ltd. 162,445 158,452 1,431 Millicom International Cellular SA 158,334 144,595 25,300 SumitomoMitsuiFinancialGroupInc. 1,831,856 752,384 1,262 Reinet Investments SCA 23,398 22,072 7,000 SumitomoRealty&DevelopmentCo.,Ltd. 196,721 150,886 5,603 SES SA 143,966 151,803 2,900 Sumitomo Rubber Industries Ltd. 43,453 33,846 5,296 Subsea 7 SA 132,403 130,641 4,000 Suruga Bank Ltd. 58,234 33,634 8,976 Tenaris SA 115,733 197,889 1,000 Suzuken Co., Ltd. 41,508 22,249 1,344,106 1,190,653 6,100 Suzuki Motor Corporation 178,261 132,615 1,300 Sysmex Corporation 38,674 47,157 MACAU – 0.1% 5,350 T&D Holdings Inc. 298,770 122,815 45,400 Sands China Ltd. 72,642 118,163 19,000 Taisei Corporation 59,255 42,053 28,700 Wynn Macau Limited 47,137 90,645 3,000 Taisho Pharmaceutical Co., Ltd. 67,015 65,185 119,779 208,808 4,000 Taiyo Nippon Sanso Corporation 35,588 30,723 5,000 Takashimaya Co., Ltd. 81,481 33,268 MALAYSIA – 0.1% 14,200 TakedaPharmaceuticalCompanyLimited 993,644 632,950 112,000 Genting Singapore PLC 86,945 170,305 2,300 TDK Corporation 189,328 122,361 1,000 Promet Berhad 329 0 16,000 Teijin Ltd. 102,065 68,018 87,274 170,305 3,100 Terumo Corporation 139,850 161,851 MAURITIUS – 0.0% 2,100 THK Co., Ltd. 61,709 51,761 6,050 Essar Energy PLC 50,664 38,275 19,000 Tobu Railway Co., Ltd. 103,410 77,134 1,900 Toho Co., Ltd. 40,225 30,427 MEXICO – 0.0% 8,000 Toho Gas Co., Ltd. 41,041 41,753 3,400 Fresnillo PLC 40,515 73,868 8,200 Tohoku Electric Power Co., Inc. 226,031 114,124 NETHERLANDS – 4.6% 13,700 Tokio Marine Holdings Inc. 527,434 369,889 32,341 AEGON NV 549,779 212,539 26,300 Tokyo Electric Power Co., Inc. 885,346 102,681 4,359 Akzo Nobel NV 288,500 265,616 3,200 Tokyo Electron Limited 272,510 168,764 7,981 ASML Holding NV 231,264 283,914 48,000 Tokyo Gas Co., Ltd. 263,006 208,940 1,009 Corio NV 76,693 64,448 20,000 Tokyu Corporation 135,745 80,193 1,436 Delta Lloyd NV 27,914 32,897 7,000 Tokyu Land Corporation 63,232 28,683 7,706 European Aeronautic Defence 5,000 TonenGeneral Sekiyu K.K. 55,745 59,316 and Space Company EADS NV 238,689 248,734 10,000 Toppan Printing Co., Ltd. 116,437 74,828 1,229 Fugro NV 63,618 85,376 28,000 Toray Industries Inc. 205,890 199,407 2,082 Heineken Holding NV 104,779 102,796 76,000 Toshiba Corporation 502,475 386,453 4,918 Heineken NV 259,636 285,478 8,000 Tosoh Corporation 41,247 30,983 72,081 ING Groep NV 1,924,647 856,717 6,000 TOTO Ltd. 54,689 45,039 22,058 Koninklijke Ahold NV 286,272 286,034 2,700 Toyo Seikan Kaisha Ltd. 54,726 43,843 2,971 Koninklijke DSM NV 148,917 185,954 2,000 Toyo Suisan Kaisha Ltd. 47,677 45,633 29,675 Koninklijke KPN NV 492,691 415,866 1,100 Toyoda Gosei Co., Ltd. 30,069 24,092 18,632 Koninklijke Philips Electronics NV 742,520 461,823 1,200 Toyota Boshoku Corporation 18,369 19,229 1,297 Koninklijke Vopak NV 57,097 61,262 3,400 Toyota Industries Corporation 162,079 108,262 7,108 PostNL NV 307,707 58,091 52,000 Toyota Motor Corporation 3,212,808 2,065,194 4,305 Qiagen NV 91,377 79,387 4,300 Toyota Tsusho Corporation 115,433 71,177 1,921 Randstad Holding NV 104,035 85,666 2,000 Trend Micro Inc. 66,945 59,926 1,100 Tsumura & Co. 43,196 33,916

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 323 TD International Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

13,524 Reed Elsevier NV $$269,833 175,220 9,800 Singapore Airlines Ltd. $$112,536 109,395 1,392 Royal Boskalis Westminster NV 77,435 63,524 16,000 Singapore Exchange Limited 75,471 94,823 66,719 Royal Dutch Shell PLC, Class “A” 2,587,287 2,289,708 30,075 Singapore Press Holdings Limited 92,729 92,181 50,728 Royal Dutch Shell PLC, Class “B” 1,961,220 1,745,928 33,000 SingaporeTechnologiesEngineeringLtd. 74,478 78,151 3,235 SBM Offshore NV 105,400 82,495 150,900 SingaporeTelecommunicationsLimited 353,680 375,123 7,108 TNT NV 87,524 71,030 11,400 StarHub Ltd. 18,963 25,003 30,881 Unilever NV 946,269 977,509 23,955 United Overseas Bank Limited 322,909 370,929 5,502 Wolters Kluwer NV 172,575 117,647 8,711 United Overseas Land Ltd. 27,767 34,115 12,203,678 9,595,659 37,000 Wilmar International Limited 160,297 157,869 30,800 YangzijiangShipbuilding(Holdings)Ltd. 28,901 35,440 NEW ZEALAND – 0.1% 3,013,355 3,323,345 16,831 AucklandInternationalAirportLimited 28,780 29,973 5,291 Contact Energy Limited 30,665 22,675 SPAIN – 3.5% 12,893 Fletcher Building Limited 94,009 88,978 5,592 Abertis Infraestructuras SA 166,573 120,375 8,705 SKYCITYEntertainmentGroupLimited 34,020 25,233 492 Acciona SA 97,285 50,379 38,355 Telecom Corporation of 1,919 Acerinox SA 60,348 33,748 New Zealand Limited 129,648 75,393 2,689 ACS.Actividades de Construccion 317,122 242,252 y Servicios SA 157,076 122,405 3,750 Amadeus IT Holding SA 73,932 75,176 NORWAY – 0.8% 80,281 BancoBilbaoVizcayaArgentariaSA 1,771,817 908,905 3,200 Aker Solutions ASA 46,378 61,662 20,925 Banco de Sabadell SA 195,942 83,250 18,390 DnB NOR ASA 254,263 247,093 16,707 Banco Popular Espanol SA 273,507 90,662 3,800 Gjensidige Forsikring Nordmore 16,707 Banco Popular Espanol SA, og Romsdal 47,124 45,003 Rights 11/07/2011 0 1,168 16,451 Norsk Hydro ASA 365,891 121,456 156,730 Banco Santander SA 2,631,455 1,741,374 14,455 Orkla ASA 171,598 132,728 5,403 Bankinter SA 92,740 35,349 10,123 Renewable Energy Corporation ASA 143,425 16,738 15,876 Criteria CaixaCorp SA 102,972 106,621 5,320 SeaDrill Limited 114,615 180,395 15,876 Criteria Caixacorp SA, Rights 15/07/2011 0 1,155 21,082 Statoil ASA 641,285 514,739 3,800 EDP Renovaveis SA 27,607 24,176 15,180 Telenor ASA 277,132 239,594 3,249 Enagas SA 88,587 75,876 3,562 Yara International ASA 101,778 193,017 8,072 Ferrovial SA 184,569 98,369 2,163,489 1,752,425 786 Fomento de Construcciones y Contratas SA 91,556 23,126 PORTUGAL – 0.2% 5,952 Gas Natural SDG SA 159,537 120,235 55,335 Banco Comercial Portugues SA 185,199 31,731 3,150 Gestevision Telecinco SA 65,742 26,416 9,577 Banco Espirito Santo SA 114,963 34,434 2,300 Grifols SA 65,567 44,500 4,672 CIMPOR–CimentosdePortugalSGPSSA 41,408 34,401 17,513 Iberdrola Renovables SA 133,427 74,614 34,034 EDP-Energias de Portugal SA 187,368 116,488 70,934 Iberdrola SA 821,723 608,654 4,354 Galp Energia SGPS SA 65,743 100,151 2,028 Indra Sistemas SA 51,676 40,347 3,900 Jeronimo Martins SGPS SA 35,496 72,240 4,119 Industria de Diseno Textil SA 241,121 361,958 10,740 Portugal Telecom SGPS SA 151,210 101,830 13,226 MAPFRE SA 64,611 47,327 781,387 491,275 13,226 MAPFRE SA, Rights 0 185 SINGAPORE – 1.6% 2,063 Red Electrica de Espana SA 125,419 120,027 35,000 AscendasRealEstateInvestmentTrust 52,161 56,144 13,842 Repsol YPF SA 515,137 463,051 46,500 CapitaLand Limited 166,990 106,540 77,293 Telefonica SA 1,909,773 1,820,684 40,000 CapitaMall Trust 62,478 58,803 2,439 Zardoya Otis SA 92,054 34,562 26,000 CapitaMalls Asia Limited 51,844 30,106 2,439 Zardoya Otis SA, Rights 0 1,709 10,000 City Developments Limited 83,744 81,890 10,261,753 7,356,383 32,000 ComfortDelGro Corporation Limited 39,278 36,736 SWEDEN – 3.1% 19,000 CoscoCorporation(Singapore)Limited 18,548 29,217 4,351 AB Electrolux, Class “B” 104,279 100,360 32,785 DBS Group Holdings Ltd. 390,682 378,241 6,512 Alfa Laval AB 73,724 135,447 18,000 Fraser & Neave Limited 60,146 82,024 5,893 ASSA ABLOY AB, Class “B” 127,218 152,763 30,000 Global Logistic Properties Limited 51,479 48,607 19,689 Atlas Copco AB 0 14,981 127,440 Golden Agri-Resources Ltd. 79,809 68,282 12,732 Atlas Copco AB, Class “A” 206,312 323,394 90,300 Hutchison Port Holdings Trust 85,372 73,591 7,369 Atlas Copco AB, Class “B” 110,429 167,662 1,871 Jardine Cycle & Carriage Limited 20,697 63,318 5,400 Boliden AB 65,361 96,185 26,400 Keppel Corporation Limited 133,383 230,367 3,713 Getinge AB, Class “B” 79,158 96,298 13,900 Keppel Land Limited 36,708 39,613 19,240 H&MHennes&MauritzAB,Class“B” 516,636 639,539 4,800 K-Green Trust 3,182 3,995 4,775 Hexagon AB 90,132 113,391 19,700 Neptune Orient Lines Limited 21,347 23,763 849 Holmen AB, Class “B” 41,573 25,533 25,264 Olam International Limited 36,658 54,165 7,454 Husqvarna AB, Class “B” 89,232 47,633 1,148 Olam International Limited, Rights 0 144 2,200 Industrivarden AB 33,323 35,110 47,908 Oversea-Chinese Banking 4,200 Investment AB Kinnevik 72,246 89,974 Corporation Limited 266,143 352,929 8,616 Investor AB, Class “B” 203,428 190,568 18,266 SembCorp Industries Ltd. 51,604 71,739 14,400 SembCorp Marine Ltd. 33,371 60,102

324 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD International Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

1,000 Modern Times Group MTG AB, UNITED KINGDOM – 18.8% Class “B” $$52,147 63,787 18,579 3i Group PLC $$233,939 80,917 49,445 Nordea Bank AB 605,044 512,161 3,791 Admiral Group PLC 76,241 97,503 4,000 Ratos AB 63,785 74,153 5,100 Aggreko PLC 95,174 152,394 18,661 Sandvik AB 259,773 315,306 6,369 AMEC PLC 65,684 107,333 6,148 Scania AB, Class “B” 113,301 137,640 24,837 Anglo American PLC 1,376,376 1,186,995 6,277 Securitas AB, Class “B” 107,429 64,096 7,551 Antofagasta PLC 109,607 162,971 27,010 Skandinaviska Enskilda Banken AB, 25,500 ARM Holdings PLC 94,425 231,268 Class “A” 320,529 212,995 6,686 Associated British Foods PLC 115,401 112,188 7,504 Skanska AB, Class “B” 145,885 129,734 26,611 AstraZeneca PLC 1,640,602 1,282,773 7,314 SKF AB, Class “B” 125,262 204,246 4,300 Autonomy Corporation PLC 96,677 113,599 3,634 SSAB Svenskt Stal AB, Class “A” 90,913 52,361 53,037 Aviva PLC 747,689 360,059 10,741 SvenskaCellulosaABSCA,Class“B” 188,519 146,059 6,746 Babcock International Group PLC 68,279 74,400 9,057 SvenskaHandelsbankenAB,Class“A” 263,855 269,323 67,200 BAE Systems PLC 563,553 331,552 13,178 Swedbank AB 261,580 213,723 13,403 Balfour Beatty PLC 97,664 64,089 4,275 Swedish Match AB 86,760 138,436 218,563 Barclays PLC 2,076,778 864,751 6,001 Tele2 AB, Class “B” 96,384 114,237 63,708 BG Group PLC 1,018,148 1,395,129 56,670 Telefonaktiebolaget LM Ericsson 1,160,877 786,792 41,430 BHP Billiton PLC 913,179 1,570,074 41,553 TeliaSonera AB 350,900 293,976 353,626 BP PLC 4,269,997 2,511,191 25,972 Volvo AB, Class “B” 373,347 438,510 37,574 British American Tobacco PLC 1,204,946 1,589,110 6,479,341 6,396,373 15,959 British Land Company PLC 329,979 150,486 22,038 British Sky Broadcasting Group PLC 268,727 288,555 SWITZERLAND – 8.7% 146,754 BT Group PLC 827,124 458,921 41,235 ABB Ltd. 767,968 1,033,293 6,259 Bunzl PLC 88,483 75,593 1,851 Actelion Ltd. 84,754 88,088 7,914 Burberry Group PLC 105,445 177,496 2,300 Adecco SA 163,685 142,378 25,990 Cairn Energy PLC 159,317 167,164 1,653 Aryzta AG 85,685 85,623 2,731 Canary Wharf Group PLC 20,316 0 900 Baloise Holding AG 101,611 89,566 12,185 The Capita Group PLC 159,889 134,974 16 ChocoladefabrikenLindt&SprungliAG 50,628 48,088 9,456 CapitalShoppingCentresGroupPLC 165,038 58,510 9,828 Compagnie Financiere Richemont SA, 3,483 Carnival PLC 172,408 130,162 Class “A” 332,461 621,162 97,092 Centrica PLC 611,326 486,227 21,197 Credit Suisse Group AG 1,397,091 796,727 20,635 Cobham PLC 80,764 67,544 4,162 GAM Holding Ltd. 323,296 66,045 35,381 Compass Group PLC 251,842 329,022 720 Geberit AG 113,672 164,740 47,090 Diageo PLC 977,100 929,165 150 Givaudan SA 142,126 153,039 19,503 Experian PLC 249,132 239,597 12,830 Glencore International PLC 104,849 97,491 26,827 G4S PLC 107,662 116,308 4,540 Holcim Ltd., Class “B” 410,051 331,132 97,220 GlaxoSmithKline PLC 2,771,962 2,009,765 3,902 Julius Baer Group Ltd. 160,474 155,454 13,188 Hammerson PLC 203,642 98,335 1,034 Kuehne&NagelInternationalAG,ADR 86,574 151,506 18,021 Home Retail Group PLC 152,558 45,689 2 Lindt & Spruengli AG 64,545 70,273 332,797 HSBC Holdings PLC 4,953,012 3,182,304 851 Lonza Group AG 86,077 64,300 10,070 ICAP PLC 100,806 73,660 65,202 Nestle SA 2,726,315 3,913,184 19,409 Imperial Tobacco Group PLC 726,898 623,205 43,744 Novartis AG 2,765,786 2,585,636 8,200 Inmarsat PLC 90,929 70,508 470 Pargesa Holding SA 56,112 42,012 5,520 InterContinental Hotels Group PLC 146,101 108,982 13,221 Roche Holding AG 2,516,712 2,134,781 17,389 International Consolidated Airlines 1,285 Schindler Holding AG 80,870 150,659 Group SA 65,410 68,048 104 SGS SA 131,444 190,529 28,064 International Power PLC 228,533 139,791 37 Sika AG 59,087 86,140 3,100 Intertek Group PLC 85,763 94,753 858 Sonova Holding AG 69,936 77,263 15,349 Invensys PLC 119,114 76,572 11,863 STMicroelectronics NV 266,012 113,884 9,677 Investec PLC 113,680 75,756 134 Straumann Holding AG 37,266 31,166 71,700 ITV PLC 61,193 79,402 500 Sulzer AG 87,660 78,464 23,231 J Sainsbury PLC 200,624 118,686 580 Swatch Group AG 127,177 282,324 4,065 Johnson Matthey PLC 123,887 123,805 882 Swatch Group AG, Class “B” 42,881 76,482 3,883 Kazakhmys PLC 56,641 83,015 601 Swiss Life Holding 157,691 95,061 45,477 Kingfisher PLC 249,432 188,406 6,498 Swiss Re Ltd. 603,105 351,906 14,105 Land Securities Group PLC 372,329 186,098 446 Swisscom AG 184,219 197,194 110,639 Legal and General Group PLC 329,238 202,146 1,776 Syngenta AG 365,135 578,863 768,572 Lloyds Banking Group PLC 1,441,660 582,501 5,900 Transocean Ltd. 415,660 371,484 2,644 London Stock Exchange Group PLC 71,321 43,444 68,481 UBS AG 2,751,710 1,205,320 3,032 Lonmin PLC 194,478 68,241 39,051 Xstrata PLC 831,407 829,539 33,145 Man Group PLC 347,863 121,594 2,741 Zurich Financial Services AG 787,587 668,925 29,710 Marks & Spencer Group PLC 393,293 166,106 19,539,319 18,219,721 65,783 National Grid PLC 867,022 624,562 3,531 NEXT PLC 133,618 127,234 102,784 Old Mutual PLC 353,690 212,239 15,529 Pearson PLC 273,341 283,324

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 325 TD International Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

4,784 Petrofac Limited $$80,988 112,114 INDEX EQUIVALENTS – 0.6% 49,006 Prudential PLC 684,988 545,749 20,200 iShares MSCI EAFE Index Fund $$1,156,038 1,171,836 1,702 Randgold Resources Ltd. 133,752 138,261 Total International Equities 262,751,723 209,255,126 11,820 Reckitt Benckiser Group PLC 607,529 629,637 23,476 Reed Elsevier PLC 312,420 206,136 Transaction Costs (Note 3) (78,730) 0 28,521 Resolution Limited 276,850 129,672 TOTALINVESTMENT 17,299 Rexam PLC 165,175 102,572 PORTFOLIO – 100.0% 262,821,964 209,439,850 27,284 Rio Tinto PLC 1,490,211 1,900,033 3,272,544 Rolls-Royce Group PLC, FOREIGN CURRENCIES – 0.1% 174,346 173,898 Entitlement Class “C” 0 5,066 FORWARDCONTRACTS 35,222 Rolls-Royce Holdings PLC 308,914 351,790 (SCHEDULE 1) – (0.0%) 0 (1,268) 66,368 Royal & Sun Alliance OTHER NET LIABILITIES – (0.1%) (179,044) (182,828) Insurance Group PLC 218,462 138,451 328,653 TheRoyalBankofScotlandGroupPLC 2,780,256 196,066 TOTAL NET ASSETS – 100.0% $ 262,817,266 $ 209,429,652 17,902 SABMiller PLC 427,522 630,205 25,009 The Sage Group PLC 142,547 111,823 2,175 Schroders PLC 50,718 52,082 17,531 Scottish and Southern Energy PLC 515,203 378,154 13,959 SEGRO PLC 199,059 67,500 9,860 Serco Group PLC 83,202 84,354 4,370 Severn Trent PLC 125,192 99,574 10,685 Shire PLC 215,823 322,209 16,736 Smith & Nephew PLC 176,080 172,979 7,219 Smiths Group PLC 215,135 134,299 44,128 Standard Chartered PLC 1,291,325 1,117,936 44,779 Standard Life PLC 260,564 145,969 149,956 Tesco PLC 1,215,755 934,423 10,841 TUI Travel PLC 63,817 37,632 16,415 Tullow Oil PLC 236,425 315,270 24,455 Unilever PLC 761,652 761,017 12,954 United Utilities Group PLC 174,691 120,164 2,294 Vedanta Resources PLC 109,758 74,373 970,522 Vodafone Group PLC 3,054,460 2,481,999 3,900 The Weir Group PLC 108,865 128,401 3,207 Whitbread PLC 118,999 80,194 41,456 Wm Morrison Supermarkets PLC 244,261 191,234 5,254 Wolseley PLC 374,197 165,402 23,893 WPP PLC 341,202 288,688 52,232,946 39,327,619

July 06, 2011 70,000 AUD $ 72,364 75,065 USD $ 72,408 1.07236 $ 44

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 01, 2011 15,239 AUD 15,763 10,000 GBP 15,479 0.65622 (284) July 01, 2011 1,617,200 JPY 19,374 20,000 USD 19,289 80.86000 (85) July 04, 2011 38,730 AUD 40,046 40,000 CAD 40,000 1.03279 (46) July 05, 2011 18,787 AUD 19,424 20,000 USD 19,292 1.06455 (132) July 05, 2011 70,000 EUR 97,901 100,772 USD 97,202 1.43960 (699) July 06, 2011 100,000 CAD 100,000 103,645 USD 99,976 0.96483 (24) July 06, 2011 1,613,596 JPY 19,334 20,000 USD 19,292 80.67980 (42) $ 311,842 $ 310,530 $ (1,312)

TOTALNUMBEROFCONTRACTS: 8 NETDEPRECIATION $ (1,268)

326 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD International Index Fund INDEXFUNDS

Currency Risk (Note 11) Reconciliation of Level 3 Fair Value Measurements (in 000s) The table below indicates the foreign currencies to which the Fund had significant exposure The tables below reconcile the Fund’s Level 3 fair value measurements from December 31, as at June 30, 2011 and December 31, 2010 in Canadian dollar terms, including the 2010 to June 30, 2011 and December 31, 2009 to December 31, 2010: underlying principal amount of forward currency contracts, if any. The table also illustrates Common the potential impact to the Fund’s net assets if the Fund’s functional currency, the Canadian Shares Dollar, had strengthened or weakened by 5% in relation to all other currencies, with all other variables held constant. In practice, the actual trading results may differ from these Balance at December 31, 2010 $ 24 approximate sensitivity analysis amounts and the differences could be material. Sales (8) Gains (Losses) Total Exposure* (000s) Impact on Net Assets (000s) Net Realized on Sale of Investments 8 Currency 2011 2010 2011 2010 Net Change in Unrealized Appreciation/ AustralianDollar $ 18,093 $ 17,874 $ 905 $ 894 Depreciation of Investments (3) British Pound 44,628 43,599 2,231 2,180 Balance at June 30, 2011 $ 21 Danish Krone 2,185 2,026 109 101 Euro 64,986 59,366 3,249 2,968 Total change in unrealized for assets Hong Kong Dollar 5,656 5,675 283 284 held at June 30, 2011 $6 Israeli Shekel 1,494 1,653 75 83 Common Japanese Yen 41,851 44,177 2,093 2,209 Shares New Zealand Dollar 246 219 12 11 Balance at December 31, 2009 $ 190 Norwegian Krone 1,890 1,682 95 84 Gains (Losses) Singapore Dollar 3,545 3,397 177 170 Net Change in Unrealized Appreciation/ Swedish Krona 6,547 6,617 327 331 Depreciation of Investments (166) Swiss Franc 17,367 16,346 868 817 Balance at December 31, 2010 $ 24 United States Dollar 1,252 3,294 63 165 Total change in unrealized for assets Total $ 209,740 $ 205,925 $ 10,487 $ 10,297 held at December 31, 2010 $ (166) As Percentage of Net Assets (%) 100.15 99.98 5.01 5.00 Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11)

* Includes both monetary and non-monetary instruments, where applicable. The table below summarizes cash flows associated with the maturities of the Fund’s financial liabilities as at June 30, 2011 and December 31, 2010: Financial Instruments by the Level in the Fair Value Hierarchy Less than (in 000s) (Note 11) 3 months The table below illustrates the classification of the Fund’s financial instruments within the 2011 2010 fair value hierarchy as at June 30, 2011 and December 31, 2010: Accounts payable and other liabilities $ 1,159 $ 761 Forward Contracts 10 Level1 Level2 Level3 Total $ 1,160 $ 761 June 30, 2011 CommonShares $ 4,724 $ 203,563 $ 21 $ 208,308 Preferred Shares 39 1,086 0 1,125 Rights 7007 4,770 204,649 21 209,440 Forward Contracts 0 (1) 0 (1) $ 4,770 $ 204,648 $ 21 $ 209,439

Equity positions with a fair value of $53,387 and $1,823 were transferred from Level 1 to 2 and Level 2 to 1 respectively during the period as a result of changes in activities in the market for those securities.

December 31, 2010 CommonShares $ 100,844 $ 103,982 $ 24 $ 204,850 Preferred Shares 0 764 0 764 $ 100,844 $ 104,746 $ 24 $ 205,614

Equity positions with a fair value of $198 and $92,929 were transferred from Level 1 to 2 and Level 2 to 1 respectively during the period as a result of changes in activities in the market for those securities.

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 327 INDEXFUNDS TD International Index Currency Neutral Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 54,801 $ 58,473 Income Distributions Received Short-Term Investments 1,400 1,100 from Underlying Fund$1,224 $ 1,134 Cash 151 104 Interest 62 Subscriptions Receivable 27 47 Foreign Exchange (1,223) 7,647 Receivable for Investment Sales 05Derivatives Income (Loss) 58 (319) Futures Margin Receivable (Note 3) 182 274 Less: Withholding Taxes (159) (188) Unrealized Gain on Open Foreign (94) 8,276 Exchange Forward Contracts 496 510 Expenses (Note 5) 57,057 60,513 Management Fees 226 150 Liabilities Independent Review Committee Fees 00 Accrued Liabilities 35 40 226 150 Redemptions Payable 149 200 Less: Waived Expenses (0) (0) Unrealized Loss on Open Foreign 226 150 Exchange Forward Contracts 341 428 Net Investment Income (Loss) (320) 8,126 525 668 Net Realized Gain (Loss) on Net Assets (Note 3) $ 56,532 $ 59,845 Sale of Investments (1,738) (1,472) Net Assets Representing Unitholders’ Equity (Note 4) Net Change in Unrealized Appreciation/ Investor Series $ 29,090 $ 32,306 Depreciation of Investments 2,141 (12,154) e-Series $ 22,361 $ 21,757 Net Gain (Loss) on Investments 403 (13,626) Institutional Series N/A $0 Increase (Decrease) in Net Assets F-Series $ 5,081 $ 5,782 from Investment Operations† $ 83 $ (5,500) $ 56,532 $ 59,845 †Increase (Decrease) in Net Assets from Investment Operations Number of Units Outstanding Investor Series $ 34 $ (3,013) Investor Series 5,151,516 5,718,304 e-Series $ 30 $ (1,857) e-Series 3,030,438 2,954,230 Institutional Series N/A $ (0) Institutional Series N/A 12 F-Series $ 19 $ (630) F-Series 904,960 1,031,839 $ 83 $ (5,500) Net Assets Per Unit (Note 3) Increase (Decrease) in Net Assets from Investment Operations – Investor Series $ 5.65 $ 5.65 Per Unit (Note 3) e-Series $ 7.38 $ 7.36 Investor Series $ (0.00) $ (0.48) Institutional Series N/A $ 5.59 e-Series $ 0.01 $ (0.63) Institutional Series N/A $ (0.47) F-Series $ 5.61 $ 5.60 F-Series $ 0.01 $ (0.47)

328 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. INDEXFUNDS TD International Index Currency Neutral Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series e-Series Institutional Series 2011 2010 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 32,306 $ 35,817 $ 21,757 $ 20,582 $0$0 Increase (Decrease) in Net Assets from Investment Operations 34 (3,013) 30 (1,857) 0 (0) Capital Unit Transactions† Proceeds from Sale of Units 1,045 1,953 2,790 2,608 00 Reinvestments of Distributions 00 00 00 Early Redemption Fees 01 01 00 Amounts Paid on Redemptions (4,295) (4,006) (2,216) (1,876) 00 (3,250) (2,052) 574 733 00 Distributions to Unitholders 00 00 00 Increase (Decrease) in Net Assets for the Period (3,216) (5,065) 604 (1,124) 0 (0) Net Assets, End of the Period $ 29,090 $ 30,752 $ 22,361 $ 19,458 $0$0 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 5,718,304 6,512,066 2,954,230 2,873,111 12 12 Units Issued 182,696 359,191 372,840 366,220 00 Units Issued on Reinvestments 00 00 00 Units Redeemed (749,484) (733,344) (296,632) (264,162) (12) 0 Units Outstanding, End of the Period 5,151,516 6,137,913 3,030,438 2,975,169 0 12

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 5,782 $ 7,333 $ 59,845 $ 63,732 Increase (Decrease) in Net Assets from Investment Operations 19 (630) 83 (5,500) Capital Unit Transactions† Proceeds from Sale of Units 70 223 3,905 4,784 Reinvestments of Distributions 00 00 Early Redemption Fees 00 02 Amounts Paid on Redemptions (790) (423) (7,301) (6,305) (720) (200) (3,396) (1,519) Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period (701) (830) (3,313) (7,019) Net Assets, End of the Period $ 5,081 $ 6,503 $ 56,532 $ 56,713 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 1,031,839 1,342,072 Units Issued 12,417 41,267 Units Issued on Reinvestments 00 Units Redeemed (139,296) (79,640) Units Outstanding, End of the Period 904,960 1,303,699

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 329 INDEXFUNDS TD International Index Currency Neutral Fund Statement of Investment Portfolio as at June 30, 2011 (Unaudited) No. of Units Description Cost FairValue

Investment Fund – 96.9% 6,586,702 TD International Index Fund, O-Series $ 66,888,822 $ 54,801,358

TOTALINVESTMENT PORTFOLIO – 96.9% 66,888,822 54,801,358 SHORT-TERM INVESTMENTS – 2.5% 1,400,000 1,400,000 FUTURESCONTRACTS (SCHEDULE 1) – 0.3% 0 182,070 FORWARDCONTRACTS (SCHEDULE 2) – 0.3% 0 154,918 OTHER NET LIABILITIES – (0.0%) (5,909) (5,909)

TOTAL NET ASSETS – 100.0% $ 68,282,913 $ 56,532,437

Futures Contracts (Schedule 1) Net Futures Number of Notional Margin Contracts Description ExpirationDate AverageCost FairValue Receivable

INDEXFUTURESCONTRACTS UNITEDSTATES 18 E-miniMSCIEAFEIndex September16,2011 $ 1,459,690 $ 1,485,070 $ 25,380

Total Futures Contracts $ 1,459,690 $ 1,485,070 $ 25,380 Cash Held as Margin 156,690

NETFUTURESMARGINRECEIVABLE $ 182,070

Foreign Exchange Forward Contracts (Schedule 2) Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $Canadian Date Delivered June30,2011 Received June30,2011 Price Appreciation

July 06, 2011 12,348,719 CAD $ 12,348,719 1,031,100,364 JPY $ 12,354,874 81.47843to83.68000 $ 6,155 July 06, 2011 4,939,407 CAD 4,939,407 4,309,237 CHF 4,944,202 0.87242 4,795 July 06, 2011 69,111 CAD 69,111 86,705 NZD 69,263 0.79708 152 July 06, 2011 175,860 CHF 201,773 203,494 CAD 203,494 0.85310to0.87470 1,721 July 06, 2011 35,335 DKK 6,626 6,639 CAD 6,639 5.30544to5.34554 13 July 06, 2011 1,034,898 EUR 1,447,384 1,449,211 CAD 1,449,211 1.38805to1.43018 1,827 July 06, 2011 8,274,933 GBP 12,809,773 13,182,123 CAD 13,182,123 1.54942to1.59520 372,350 July 06, 2011 559,364 GBP 865,906 882,211 CAD 882,211 1.55692to1.60669 16,305 July 06, 2011 13,438,215 HKD 1,665,834 1,676,437 CAD 1,676,437 7.88764to8.02010 10,603 July 06, 2011 2,973,845 NOK 531,493 533,321 CAD 533,321 5.54791to5.62920 1,828 July 06, 2011 12,875,143 SEK 1,962,774 2,012,949 CAD 2,012,949 6.33090to6.60439 50,175 July 06, 2011 1,326,631 SGD 1,041,823 1,042,263 CAD 1,042,263 1.26234to1.27317 440 August 04, 2011 3,123,732 DKK 585,759 586,000 CAD 586,000 5.33060 241 August 04, 2011 12,730,950 EUR 17,803,597 17,812,000 CAD 17,812,000 1.39911 8,403 August 04, 2011 7,643,472 GBP 11,836,765 11,847,000 CAD 11,847,000 1.54995 10,235 August 04, 2011 12,252,635 HKD 1,520,300 1,521,000 CAD 1,521,000 8.05564 700 August 04, 2011 2,821,951 NOK 503,787 507,000 CAD 507,000 5.56598 3,213 August 04, 2011 11,349,023 SEK 1,728,409 1,734,000 CAD 1,734,000 6.54500 5,591 August 04, 2011 1,216,441 SGD 956,028 957,000 CAD 957,000 1.27110 972 $ 72,825,268 $ 73,320,987 $ 495,719

330 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD International Index Currency Neutral Fund INDEXFUNDS

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 06, 2011 5,019,341 AUD $ 5,188,842 5,163,944 CAD $ 5,163,944 1.02781to1.03700 $ (24,898) July 06, 2011 51,408 CAD 51,408 273,320 DKK 51,251 5.21213to5.36199 (157) July 06, 2011 616,417 CAD 616,417 3,285,862 DKK 616,144 5.33058 (273) July 06, 2011 5,189,345 CAD 5,189,345 5,019,340 AUD 5,188,844 1.03003to1.04838 (501) July 06, 2011 1,043,977 CAD 1,043,977 1,326,630 SGD 1,041,824 1.25408to1.27200 (2,153) July 06, 2011 1,669,198 CAD 1,669,198 13,438,217 HKD 1,665,834 7.88897to8.06259 (3,364) July 06, 2011 535,049 CAD 535,049 2,973,846 NOK 531,494 5.46421to5.63127 (3,555) July 06, 2011 18,355,591 CAD 18,355,591 13,118,164 EUR 18,346,791 1.39925 (8,800) July 06, 2011 1,972,379 CAD 1,972,379 12,875,143 SEK 1,962,772 6.28174to6.61826 (9,607) July 06, 2011 652,581 CAD 652,581 559,534 CHF 641,983 0.84617to0.87226 (10,598) July 06, 2011 12,216,225 CAD 12,216,225 7,884,385 GBP 12,205,197 1.54942 (11,028) July 06, 2011 2,547,551 CAD 2,547,551 1,805,671 EUR 2,525,375 1.39096to1.43097 (22,176) July 06, 2011 1,511,756 CAD 1,511,756 949,911 GBP 1,470,483 1.57251to1.60410 (41,273) July 06, 2011 4,692,912 CHF 5,384,412 5,340,782 CAD 5,340,782 0.86286to0.87946 (43,630) July 06, 2011 3,523,847 DKK 660,768 658,645 CAD 658,645 5.31488to5.35199 (2,123) July 06, 2011 13,888,939 EUR 19,424,780 19,352,499 CAD 19,352,499 1.39283to1.40220 (72,281) July 06, 2011 1,031,100,364 JPY 12,354,872 12,324,300 CAD 12,324,300 81.52671to83.78200 (30,572) July 06, 2011 86,705 NZD 69,263 69,000 CAD 69,000 0.79580 (263) July 29, 2011 1,483,632 CAD 1,483,632 1,521,900 USD 1,468,900 0.96520to0.98060 (14,732) August 04, 2011 4,637,440 AUD 4,779,431 4,777,000 CAD 4,777,000 1.03009 (2,431) August 04, 2011 4,095,930 CHF 4,703,844 4,699,000 CAD 4,699,000 0.87166 (4,844) August 04, 2011 943,329,763 JPY 11,313,399 11,282,000 CAD 11,282,000 83.61370 (31,399) August 04, 2011 82,905 NZD 66,143 66,000 CAD 66,000 0.79609 (143) $ 111,790,863 $ 111,450,062 $ (340,801)

TOTALNUMBEROFCONTRACTS: 314 NETAPPRECIATION $ 154,918

Financial Instruments by the Level in the Fair Value Hierarchy Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) (in 000s) (Note 11) The table below summarizes cash flows associated with the maturities of the Fund’s financial The table below illustrates the classification of the Fund’s financial instruments within the liabilities as at June 30, 2011 and December 31, 2010: fair value hierarchy as at June 30, 2011 and December 31, 2010: Less than 3 months Level1 Level2 Level3 Total 2011 2010 June 30, 2011 Accounts payable and other liabilities $ 184 $ 240 Short-Term Investments $0$1,400 $0$1,400 Forward Contracts 341 428 Forward Contracts 0 496 0 496 $ 525 $ 668 Futures 25 0025 Underlying Fund 54,801 0054,801 54,826 1,896 0 56,722 Forward Contracts 0 (341) 0 (341) $ 54,826 $ 1,555 $0$56,381

December 31, 2010 Short-Term Investments $0$1,100 $0$1,100 Forward Contracts 0 510 0 510 Futures 9009 Underlying Fund 58,473 0058,473 58,482 1,610 0 60,092 Forward Contracts 0 (428) 0 (428) $ 58,482 $ 1,182 $0$59,664

During the periods, transfers between Level 1 and Level 2 were nil.

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 331 INDEXFUNDS TD European Index Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 45,564 $ 44,483 Dividends $ 1,276 $ 1,152 Foreign Currencies 22 36 Securities Lending 40 43 Cash 10 7 Less: Withholding Taxes (136) (179) Dividends Receivable 92 63 1,180 1,016 Subscriptions Receivable 2,070 61 Expenses (Note 5) Receivable for Investment Sales 74 63 Management Fees 175 174 Unrealized Gain on Open Foreign Independent Review Committee Fees 00 Exchange Forward Contracts 10 175 174 47,833 44,713 Less: Waived Expenses (0) (0) Liabilities 175 174 Accrued Liabilities 28 33 Redemptions Payable 172 146 Net Investment Income (Loss) 1,005 842 Payable for Investment Purchases 1,971 0 Net Realized Gain (Loss) on Unrealized Loss on Open Foreign Sale of Investments (737) (1,253) Exchange Forward Contracts 20Net Change in Unrealized Appreciation/ 2,173 179 Depreciation of Investments 2,288 (7,566) Transaction Costs on Purchase and Sale Net Assets (Note 3) $ 45,660 $ 44,534 of Investments (Note 3) (5) (6) Net Assets Representing Unitholders’ Equity (Note 4) Net Gain (Loss) on Investments 1,546 (8,825) Investor Series $ 25,380 $ 25,865 Increase (Decrease) in Net Assets e-Series $ 19,067 $ 17,582 from Investment Operations† $ 2,551 $ (7,983) F-Series $ 1,213 $ 1,087 $ 45,660 $ 44,534 †Increase (Decrease) in Net Assets from Investment Operations Investor Series $ 1,438 $ (4,748) Number of Units Outstanding e-Series $ 1,048 $ (3,078) Investor Series 3,383,850 3,643,664 F-Series $ 65 $ (157) e-Series 2,426,702 2,370,380 $ 2,551 $ (7,983) F-Series 167,615 159,157 Net Assets Per Unit (Note 3) Increase (Decrease) in Net Assets from Investment Operations – Investor Series $ 7.50 $ 7.10 Per Unit (Note 3) Investor Series $ 0.40 $ (1.20) e-Series $ 7.86 $ 7.42 e-Series $ 0.44 $ (1.24) F-Series $ 7.24 $ 6.83 F-Series $ 0.40 $ (1.14)

332 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. INDEXFUNDS TD European Index Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series e-Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 25,865 $ 30,767 $ 17,582 $ 19,074 Increase (Decrease) in Net Assets from Investment Operations 1,438 (4,748) 1,048 (3,078) Capital Unit Transactions† Proceeds from Sale of Units 6,249 9,736 2,296 2,347 Reinvestments of Distributions 00 00 Early Redemption Fees 13 01 Amounts Paid on Redemptions (8,173) (9,804) (1,859) (2,497) (1,923) (65) 437 (149) Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period (485) (4,813) 1,485 (3,227) Net Assets, End of the Period $ 25,380 $ 25,954 $ 19,067 $ 15,847 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 3,643,664 4,150,428 2,370,380 2,464,154 Units Issued 839,564 1,477,940 295,658 326,475 Units Issued on Reinvestments 00 00 Units Redeemed (1,099,378) (1,450,175) (239,336) (353,512) Units Outstanding, End of the Period 3,383,850 4,178,193 2,426,702 2,437,117

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 1,087 $ 988 $ 44,534 $ 50,829 Increase (Decrease) in Net Assets from Investment Operations 65 (157) 2,551 (7,983) Capital Unit Transactions† Proceeds from Sale of Units 239 29 8,784 12,112 Reinvestments of Distributions 00 00 Early Redemption Fees 00 14 Amounts Paid on Redemptions (178) (41) (10,210) (12,342) 61 (12) (1,425) (226) Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period 126 (169) 1,126 (8,209) Net Assets, End of the Period $ 1,213 $ 819 $ 45,660 $ 42,620 †Capital Unit Transactions Units Outstanding, Beginning of the Period 159,157 138,610 Units Issued 33,346 4,572 Units Issued on Reinvestments 00 Units Redeemed (24,888) (6,284) Units Outstanding, End of the Period 167,615 136,898

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 333 INDEXFUNDS

TD European Index Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) FINLAND – 1.4% No. of Shares 642 Elisa Oyj, Class “A” $$12,332 13,326 or Units Description Cost FairValue 2,623 Fortum Oyj 62,758 73,351 364 Kesko Oyj, Class “B” 16,321 16,327 U.S. Equities – 1.4% 929 KONE Oyj, Class “B” 14,145 56,288 HEALTH CARE – 0.1% 763 Metso Corporation 30,568 41,834 411 Synthes Inc. $ 54,339 $ 69,589 779 Neste Oil Oyj 21,991 11,786 23,892 Nokia Oyj 581,684 148,642 INDEX EQUIVALENTS – 1.3% 771 Nokian Renkaat Oyj 28,644 37,339 11,200 Vanguard European ETF 561,302 577,790 492 Orion Oyj 10,763 12,239 Total U.S. Equities 615,641 647,379 816 Outokumpu Oyj, Class “A” 25,118 10,429 574 Pohjola Bank PLC 6,966 7,161 International Equities – 98.4% 574 Rautaruukki Oyj 22,827 12,513 AUSTRIA – 0.5% 2,600 Sampo PLC, Class “A” 54,349 80,956 1,104 Erste Group Bank AG 59,033 55,765 495 SanomaWSOY Oyj 14,182 8,858 3,000 IMMOEAST AG – Entitlement Shares 004,076 Stora Enso Oyj 61,981 41,282 5,018 IMMOFINANZ AG 19,713 20,635 3,002 UPM-Kymmene Oyj 67,675 52,973 965 OMV AG 28,514 40,659 900 Wartsila Oyj, Class “B” 25,060 29,352 222 RaiffeisenInternationalBank-HoldingAG 26,024 11,029 1,057,364 654,656 1,829 Telekom Austria AG 33,988 22,572 FRANCE – 14.9% 425 Verbund AG 22,678 17,846 886 Accor SA 67,329 38,229 153 Vienna Insurance Group 10,504 8,083 210 Aeroports de Paris 26,769 19,045 767 voestalpine AG 40,127 40,800 924 Air France-KLM Group 29,207 13,687 240,581 217,389 15,076 Alcatel-Lucent 186,761 83,906

BELGIUM – 1.4% 1,356 Alstom 83,391 80,554 12,562 ageas NV 383,487 32,816 295 Arkema 31,317 29,263 4,935 Anheuser-Busch InBev NV 197,406 276,234 284 Atos Origin SA 23,346 15,472 939 Belgacom SA 40,491 32,270 10,700 AXA SA 381,884 234,258 409 Colruyt SA 19,346 19,732 5,897 BNP Paribas 478,385 438,549 647 Delhaize Group SA 58,986 46,822 1,572 Bouygues SA 89,215 66,670 4,230 Dexia SA 100,956 12,703 399 Bureau Veritas SA 26,335 32,497 453 Groupe Bruxelles Lambert SA 46,394 38,812 949 Cap Gemini SA 113,683 53,596 905 KBC Group NV 104,155 34,249 3,441 Carrefour SA 238,821 136,430 171 Mobistar SA 11,367 12,510 300 Casino Guichard-Perrachon SA 29,518 27,270 240 NV Bekaert SA 20,037 17,625 6 Casino Guichard-Perrachon SA, Rights 0 27 352 Solvay SA, Class “A” 41,091 52,416 320 Christian Dior SA 36,356 48,499 593 UCB SA 33,905 25,699 740 CNP Assurances SA 16,820 15,537 686 Umicore 18,708 36,086 2,405 Compagnie de Saint-Gobain 135,735 150,346 890 Compagnie Generale de 1,076,329 637,974 Geophysique – Veritas SA 53,557 31,458 CYPRUS – 0.0% 1,137 Compagnie Generale des 4,662 Bank of Cyprus Public Company Ltd. 33,866 13,257 Etablissements Michelin SCA 91,122 107,399 5,893 Credit Agricole SA 171,115 85,386 DENMARK – 1.5% 3,635 Danone SA 215,318 261,719 3 A.P. Moller – Maersk AS, Class “A” 36,220 23,967 351 Dassault Systemes SA 20,553 28,788 8 A.P. Moller – Maersk AS, Class “B” 69,998 66,609 986 Edenred 17,091 28,994 643 Carlsberg AS, Class “B” 58,997 67,523 290 Eiffage SA 26,857 18,488 150 Coloplast AS, Class “B” 13,503 21,999 1,459 Electricite de France SA 133,857 55,167 2,948 Danske Bank AS 92,850 52,622 33 Eramet 32,888 10,530 1,034 DSV AS 15,643 23,938 1,298 Essilor International SA 65,398 101,575 2,460 Novo Nordisk AS, Class “B” 136,748 297,231 212 Eurazeo 23,345 14,911 270 Novozymes AS, Class “B” 19,799 42,429 2 Eurazeo, Rights 07 400 PANDORA AS 22,652 12,113 600 Eutelsat Communications 17,883 26,052 2,100 TDC AS 18,500 18,480 188 Fonciere des Regions 19,567 19,207 200 TrygVesta AS 13,259 11,139 11,401 France Telecom SA 389,225 233,808 1,125 Vestas Wind Systems AS 79,384 25,187 7,737 GDF SUEZ 369,622 272,718 75 William Demant Holding AS 6,125 6,533 156 Gecina SA 20,124 21,022 583,678 669,770 3,400 Groupe Eurotunnel SA 36,353 36,693 150 ICADE 27,902 17,821 100 Iliad SA 10,054 12,943 248 Imerys 17,658 16,826 339 JCDecaux SA 13,166 10,492 558 Klepierre 25,170 22,220

334 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD European Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

1,302 Lafarge SA $$128,244 80,014 202 HOCHTIEF AG $$12,185 16,279 659 Lagardere SCA 44,392 26,896 6,588 Infineon Technologies AG 37,913 71,394 1,748 L’Air Liquide SA 164,001 241,521 1,060 K+S AG 66,426 78,502 1,214 Legrand SA 41,396 49,284 400 Kabel Deutschland Holding AG 19,118 23,764 1,441 L’Oreal SA 144,031 180,357 550 Lanxess AG 39,761 43,512 1,526 LVMHMoetHennessyLouisVuittonSA 141,932 264,471 1,047 Linde AG 105,067 177,163 261 Metropole Television SA 8,511 5,827 666 MAN SE 38,024 85,558 5,087 Natixis 54,077 24,616 375 Merck KGaA 37,870 39,324 151 Neopost SA 14,389 12,513 804 METRO AG 55,989 46,958 1,177 Pernod Ricard SA 85,093 111,957 1,128 Muenchener 833 Peugeot SA 49,402 36,041 Rueckversicherungs-GesellschaftAG 251,860 166,074 487 PPR SA 79,874 83,654 500 ProSiebenSat.1 Media AG, Pref. 13,594 13,729 693 Publicis Groupe SA 30,728 37,311 2,554 RWE AG 218,242 136,849 1,233 Renault SA 91,366 70,554 243 RWE AG, Pref. 19,675 11,893 1,098 SAFRAN SA 32,023 45,187 315 Salzgitter AG 39,080 23,164 6,852 Sanofi 567,619 531,588 5,658 SAP AG 318,991 330,842 1,537 Schneider Electric SA 162,268 247,514 5,060 Siemens AG 506,782 670,634 983 SCOR 27,180 26,910 500 Sudzucker AG 11,016 17,171 220 Societe BIC 18,154 20,497 2,040 ThyssenKrupp AG 79,763 102,226 3,946 Societe Generale 369,199 225,399 1,443 TUI AG 27,308 15,127 1,024 Societe Television Francaise 1 30,374 18,016 700 United Internet AG 15,220 14,193 554 Sodexo 37,435 41,854 204 Volkswagen AG 31,759 36,192 1,415 Suez Environnement SA 0 27,196 893 Volkswagen AG, Pref. 86,037 178,105 583 Technip 33,144 60,271 113 Wacker Chemie AG 27,949 23,540 653 Thales 29,681 27,123 6,349,116 6,141,433 13,003 TOTAL SA 735,421 725,028 546 Unibail-Rodamco 81,809 121,670 GREECE – 0.3% 675 Vallourec SA 95,743 79,368 2,978 Alpha Bank SA 46,419 14,464 2,017 Veolia Environnement 100,761 54,807 1,218 Coca-ColaHellenicBottlingCompanySA 30,709 31,554 2,707 VINCI 120,523 167,553 2,389 EFG Eurobank Ergasias SA 59,195 10,808 7,609 Vivendi 423,279 204,547 1,483 Hellenic Telecommunications 200 Wendel 23,526 23,688 Organization SA 38,107 13,345 5,532 National Bank of Greece SA 162,316 38,366 7,758,272 6,791,291 1,379 OPAP SA 37,827 20,772 GERMANY – 13.4% 778 Public Power Corporation SA 22,278 10,758 1,318 adidas AG 71,055 100,779 1,071 Vodafone – Panafon SA 10,351 0 2,791 Allianz SE 599,360 375,362 407,202 140,067 300 Axel Springer AG 14,387 14,314 5,648 BASF SE 257,590 533,946 IRELAND – 0.4% 5,085 Bayer AG 337,064 393,893 5,364 Anglo Irish Bank Corporation PLC 0 1,628 2,039 Bayerische Motoren Werke AG 120,016 196,229 4,363 CRH PLC 131,675 93,256 244 Bayerische Motoren Werke AG, Pref. 11,152 14,965 2,974 Elan Corporation PLC 166,782 32,923 649 Beiersdorf AG 42,491 40,668 936 Kerry Group PLC 23,549 37,191 200 Brenntag AG 17,829 22,435 2,294 Ryanair Holdings PLC 11,936 11,283 278 Celesio AG 14,464 5,354 333,942 176,281 21,613 Commerzbank AG 230,198 89,782 ITALY – 4.0% 492 Continental AG 35,478 50,003 6,514 A2A SpA 26,710 9,785 5,570 Daimler AG 500,368 405,112 7,349 Assicurazioni Generali SpA 277,242 149,428 5,716 Deutsche Bank AG 500,137 325,370 1,938 Atlantia SpA 42,837 39,802 1,157 Deutsche Boerse AG 75,146 84,728 631 Autogrill SpA 11,827 7,992 1,246 Deutsche Lufthansa AG 39,999 26,175 3,884 Banca Carige SpA 16,139 8,483 5,017 Deutsche Post AG 128,483 93,022 27,090 BancaMontedeiPaschidiSienaSpA 54,275 19,776 17,350 Deutsche Telekom AG 448,233 261,109 13,150 Banca Monte dei Paschi di Siena SpA, 983 Dr. Ing. h.c. F. Porsche AG, Pref. 79,964 75,203 Rights 08/07/2011 0 864 11,103 E.ON AG 423,174 304,378 9,381 BancoPopolareSocietaCooperativa 129,564 20,837 265 Fraport AG Frankfurt 9,000 Enel Green Power SpA 20,173 23,940 Airport Services Worldwide 18,825 20,536 40,954 Enel SpA 354,775 258,089 1,996 Fresenius SE & Co. KGaA 127,085 164,814 14,777 Eni SpA 371,857 337,752 975 GEA Group AG 35,280 33,676 250 EXOR SpA 7,827 7,541 400 Hannover Rückversicherung AG 21,892 20,063 4,616 Fiat Industrial SpA 55,161 57,458 839 HeidelbergCement AG 56,040 51,752 765 Henkel KGaA 35,600 42,000 1,097 Henkel KGaA, Pref. 48,177 73,572

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 335 TD European Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

4,816 Fiat SpA $$91,936 51,038 2,470 TNT NV $$30,414 24,683 2,924 Finmeccanica SpA 55,334 34,122 10,017 Unilever NV 324,720 317,079 69,519 Intesa Sanpaolo SpA 350,255 175,694 1,789 Wolters Kluwer NV 51,235 38,253 705 Luxottica Group SpA 20,585 21,831 3,951,605 3,148,000 3,612 Mediaset SpA 42,784 16,377 2,697 Mediobanca SpA 42,974 26,342 NORWAY – 1.3% 1,788 Parmalat Finanziaria SpA 10,678 0 1,000 Aker Solutions ASA 14,493 19,269 7,243 Parmalat SpA 21,286 26,257 6,320 DnB NOR ASA 70,238 84,917 1,446 Pirelli & C. SpA 26,111 15,081 1,200 Gjensidige Forsikring Nordmore 130 Prima Cinque Azione 00 og Romsdal 14,881 14,212 1,384 Prysmian SpA 28,906 26,870 6,320 Norsk Hydro ASA 80,877 46,660 1,636 Saipem SpA 70,688 81,481 4,615 Orkla ASA 66,650 42,375 9,881 Snam Rete Gas SpA 47,969 56,407 1,950 Renewable Energy Corporation ASA 35,265 3,224 7,028 T.E.R.Na. Trasmissione Elettricita 1,987 SeaDrill Limited 78,619 67,377 Rete Nazionale SpA 25,479 31,516 6,677 Statoil ASA 196,833 163,026 55,606 Telecom Italia SpA 185,857 74,598 4,461 Telenor ASA 62,449 70,410 34,780 TelecomItaliaSpA,diRispNonConv. 93,366 39,024 1,176 Yara International ASA 35,155 63,725 84,135 UniCredit SpA 534,354 171,590 655,460 575,195 5,170 Unione di Banche Italiane ScpA 99,827 28,067 PORTUGAL – 0.4% 3,262 Unione di Banche Italiane ScpA, Rights 0 123 17,341 Banco Comercial Portugues SA 76,584 9,944 3,116,776 1,818,165 3,650 Banco Espirito Santo SA 58,415 13,124 KAZAKHSTAN – 0.0% 1,400 CIMPOR–CimentosdePortugalSGPSSA 10,537 10,309 1,646 Eurasian Natural Resources 13,183 EDP-Energias de Portugal SA 63,570 45,121 Corporation PLC 33,212 19,919 1,622 Galp Energia SGPS SA 28,924 37,309 1,400 Jeronimo Martins SGPS SA 12,742 25,932 LUXEMBOURG – 0.9% 3,806 Portugal Telecom SGPS SA 48,749 36,086 5,434 ArcelorMittal 207,167 182,257 299,521 177,825 497 Millicom International Cellular SA 54,886 50,219 505 Reinet Investments SCA 9,363 8,832 SPAIN – 5.4% 1,725 SES SA 43,084 46,736 2,273 Abertis Infraestructuras SA 55,022 48,929 1,691 Subsea 7 SA 42,359 41,713 199 Acciona SA 22,737 20,377 3,113 Tenaris SA 45,822 68,631 423 Acerinox SA 9,378 7,439 402,681 398,388 798 ACS.Actividades de Construccion y Servicios SA 24,473 36,325 MAURITIUS – 0.0% 1,350 Amadeus IT Holding SA 26,616 27,063 2,150 Essar Energy PLC 18,004 13,602 26,429 BancoBilbaoVizcayaArgentariaSA 492,488 299,217 MEXICO – 0.0% 6,577 Banco de Sabadell SA 70,987 26,166 893 Fresnillo PLC 10,641 19,401 5,414 Banco Popular Espanol SA 80,412 29,379 5,414 Banco Popular Espanol SA, NETHERLANDS – 6.9% Rights 11/07/2011 0 379 10,169 AEGON NV 253,333 66,829 51,898 Banco Santander SA 753,244 576,621 1,412 Akzo Nobel NV 94,049 86,040 1,308 Bankinter SA 22,267 8,558 2,573 ASML Holding NV 99,900 91,531 4,677 Criteria CaixaCorp SA 29,360 31,410 378 Corio NV 26,125 24,144 4,677 Criteria Caixacorp SA, Rights 15/07/2011 0 340 723 Delta Lloyd NV 15,360 16,563 1,600 EDP Renovaveis SA 11,624 10,179 2,418 European Aeronautic Defence 1,100 Enagas SA 32,645 25,689 and Space Company EADS NV 65,482 78,048 2,260 Ferrovial SA 36,346 27,541 434 Fugro NV 24,964 30,149 361 Fomento de Construcciones 775 Heineken Holding NV 41,327 38,265 y Contratas SA 27,868 10,621 1,643 Heineken NV 82,564 95,372 2,071 Gas Natural SDG SA 62,392 41,836 23,552 ING Groep NV 547,138 279,927 800 Gestevision Telecinco SA 25,193 6,709 7,712 Koninklijke Ahold NV 138,867 100,004 900 Grifols SA 25,657 17,413 925 Koninklijke DSM NV 39,879 57,896 5,600 Iberdrola Renovables SA 45,450 23,859 9,532 Koninklijke KPN NV 166,765 133,582 23,613 Iberdrola SA 214,530 202,613 5,953 Koninklijke Philips Electronics NV 220,300 147,554 741 Indra Sistemas SA 14,319 14,742 499 Koninklijke Vopak NV 20,086 23,569 1,354 Industria de Diseno Textil SA 66,843 118,983 2,070 PostNL NV 77,519 16,917 5,008 MAPFRE SA 25,226 17,920 1,400 Qiagen NV 29,421 25,817 5,008 MAPFRE SA, Rights 0 70 714 Randstad Holding NV 30,807 31,840 748 Red Electrica de Espana SA 45,645 43,519 4,132 Reed Elsevier NV 79,769 53,535 4,880 Repsol YPF SA 140,388 163,249 442 Royal Boskalis Westminster NV 26,533 20,171 25,257 Telefonica SA 586,140 594,944 21,914 Royal Dutch Shell PLC, Class “A” 807,334 752,060 800 Zardoya Otis SA 40,492 11,336 16,576 Royal Dutch Shell PLC, Class “B” 630,271 570,504 800 Zardoya Otis SA, Rights 0 561 1,085 SBM Offshore NV 27,443 27,668 2,987,742 2,443,987

336 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD European Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

SWEDEN – 4.6% 194 Swatch Group AG $$36,758 94,433 1,565 AB Electrolux, Class “B” $$41,008 36,098 215 Swatch Group AG, Class “B” 6,858 18,643 2,033 Alfa Laval AB 19,495 42,286 177 Swiss Life Holding 46,139 27,996 1,952 ASSA ABLOY AB, Class “B” 44,158 50,601 2,181 Swiss Re Ltd. 240,320 118,114 4,029 Atlas Copco AB, Class “A” 45,904 102,337 135 Swisscom AG 57,885 59,689 8,863 Atlas Copco AB, Class “B” 26,370 57,698 594 Syngenta AG 102,995 193,606 1,426 Boliden AB 17,260 25,400 1,959 Transocean Ltd. 138,013 123,345 1,260 Getinge AB, Class “B” 45,412 32,679 22,378 UBS AG 651,931 393,871 6,347 H&MHennes&MauritzAB,Class“B” 171,758 210,975 12,761 Xstrata PLC 258,586 271,075 1,734 Hexagon AB 32,961 41,177 896 Zurich Financial Services AG 329,680 218,664 400 Holmen AB, Class “B” 18,170 12,030 5,913,454 5,987,552 2,176 Husqvarna AB, Class “B” 23,143 13,905 800 Industrivarden AB 12,117 12,767 UNITED KINGDOM – 28.0% 1,121 Investment AB Kinnevik 19,283 24,014 5,086 3i Group PLC 65,668 22,151 2,702 Investor AB, Class “B” 64,869 59,762 1,200 Admiral Group PLC 22,900 30,864 264 ModernTimesGroupMTGAB,Class“B” 13,767 16,840 1,760 Aggreko PLC 36,732 52,591 16,623 Nordea Bank AB 186,668 172,184 1,921 AMEC PLC 14,799 32,374 1,006 Ratos AB 16,632 18,649 8,119 Anglo American PLC 342,910 388,018 6,419 Sandvik AB 105,794 108,459 2,432 Antofagasta PLC 37,689 52,489 2,178 Scania AB, Class “B” 35,893 48,760 8,784 ARM Holdings PLC 38,424 79,665 1,461 Securitas AB, Class “B” 30,923 14,919 2,154 Associated British Foods PLC 35,647 36,143 8,366 Skandinaviska Enskilda Banken AB, 8,555 AstraZeneca PLC 499,164 412,390 Class “A” 73,169 65,973 1,561 Autonomy Corporation PLC 38,261 41,239 2,219 Skanska AB, Class “B” 41,948 38,364 16,925 Aviva PLC 230,174 114,901 2,442 SKF AB, Class “B” 34,770 68,194 2,000 Babcock International Group PLC 19,835 22,058 1,000 SSAB Svenskt Stal AB, Class “A” 27,267 14,409 21,270 BAE Systems PLC 165,443 104,942 3,294 SvenskaCellulosaABSCA,Class“B” 49,575 44,793 3,451 Balfour Beatty PLC 17,722 16,502 2,999 SvenskaHandelsbankenAB,Class“A” 76,064 89,180 71,439 Barclays PLC 577,943 282,650 4,978 Swedbank AB 94,608 80,734 20,832 BG Group PLC 277,105 456,196 1,288 Swedish Match AB 20,688 41,709 13,418 BHP Billiton PLC 253,259 508,502 1,978 Tele2 AB, Class “B” 36,122 37,654 115,590 BP PLC 1,219,664 820,835 18,544 Telefonaktiebolaget LM Ericsson 466,812 257,460 12,278 British American Tobacco PLC 322,685 519,271 12,877 TeliaSonera AB 136,224 91,101 5,295 British Land Company PLC 64,598 49,929 8,795 Volvo AB, Class “B” 114,158 148,494 6,793 British Sky Broadcasting Group PLC 92,662 88,944 46,710 BT Group PLC 242,967 146,069 2,142,990 2,079,605 1,676 Bunzl PLC 21,866 20,242 SWITZERLAND – 13.1% 2,878 Burberry Group PLC 30,475 64,548 13,479 ABB Ltd. 257,326 337,765 9,362 Cairn Energy PLC 59,430 60,215 741 Actelion Ltd. 33,416 35,264 2,800 Canary Wharf Group PLC 20,829 0 900 Adecco SA 63,475 55,713 3,847 The Capita Group PLC 42,852 42,614 600 Aryzta AG 32,445 31,079 3,268 Capital Shopping Centres Group PLC 45,871 20,221 279 Baloise Holding AG 27,320 27,766 1,023 Carnival PLC 36,421 38,230 6 ChocoladefabrikenLindt&SprungliAG 19,230 18,033 32,515 Centrica PLC 165,328 162,832 3,163 Compagnie Financiere Richemont SA, 8,674 Cobham PLC 28,003 28,392 Class “A” 85,588 199,912 12,014 Compass Group PLC 107,303 111,723 6,968 Credit Suisse Group AG 400,523 261,905 15,397 Diageo PLC 274,916 303,809 1,277 GAM Holding Ltd. 101,645 20,264 6,534 Experian PLC 87,100 80,271 237 Geberit AG 26,618 54,227 8,359 G4S PLC 31,754 36,240 49 Givaudan SA 38,962 49,993 31,893 GlaxoSmithKline PLC 963,562 659,303 5,108 Glencore International PLC 41,031 38,814 4,962 Hammerson PLC 48,119 36,999 1,451 Holcim Ltd., Class “B” 113,825 105,831 4,041 Home Retail Group PLC 30,205 10,245 1,208 Julius Baer Group Ltd. 49,680 48,126 108,876 HSBC Holdings PLC 1,412,110 1,041,105 317 Kuehne&NagelInternationalAG,ADR 30,254 46,448 2,983 ICAP PLC 22,353 21,820 1 Lindt & Spruengli AG 32,273 35,137 6,391 Imperial Tobacco Group PLC 192,654 205,209 367 Lonza Group AG 30,968 27,730 2,286 Inmarsat PLC 25,349 19,656 21,306 Nestle SA 842,620 1,278,708 1,770 InterContinental Hotels Group PLC 31,829 34,945 14,350 Novartis AG 849,218 848,205 6,244 International Consolidated 195 Pargesa Holding SA 21,795 17,430 Airlines Group SA 30,498 24,582 4,320 Roche Holding AG 705,954 697,546 9,114 International Power PLC 63,760 45,398 378 Schindler Holding AG 17,637 44,322 1,000 Intertek Group PLC 27,665 30,565 34 SGS SA 41,551 62,288 4,893 Invensys PLC 108,017 24,410 13 Sika AG 20,760 30,265 2,801 Investec PLC 29,958 21,928 285 Sonova Holding AG 16,625 25,664 21,900 ITV PLC 18,691 24,252 3,824 STMicroelectronics NV 106,815 36,710 6,822 J Sainsbury PLC 58,676 34,853 50 Straumann Holding AG 12,891 11,629 136 Sulzer AG 23,844 21,342

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 337 TD European Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

1,234 Johnson Matthey PLC $$29,813 37,583 14,455 Standard Chartered PLC $$420,688 366,202 1,440 Kazakhmys PLC 43,589 30,786 12,676 Standard Life PLC 61,650 41,321 15,763 Kingfisher PLC 77,620 65,304 49,477 Tesco PLC 321,963 308,307 4,691 Land Securities Group PLC 97,142 61,892 2,132 TUI Travel PLC 11,345 7,401 35,890 Legal and General Group PLC 94,605 65,574 5,334 Tullow Oil PLC 78,432 102,446 253,097 Lloyds Banking Group PLC 602,431 191,822 7,805 Unilever PLC 243,141 242,885 891 London Stock Exchange Group PLC 12,482 14,640 3,718 United Utilities Group PLC 59,039 34,489 860 Lonmin PLC 39,810 19,356 728 Vedanta Resources PLC 35,259 23,602 12,834 Man Group PLC 80,342 47,082 318,376 Vodafone Group PLC 1,047,058 814,210 9,693 Marks & Spencer Group PLC 82,914 54,193 1,300 The Weir Group PLC 36,288 42,800 22,130 National Grid PLC 227,930 210,108 950 Whitbread PLC 21,003 23,756 1,120 NEXT PLC 34,229 40,358 13,495 Wm Morrison Supermarkets PLC 75,713 62,252 31,499 Old Mutual PLC 101,415 65,042 1,654 Wolseley PLC 88,171 52,070 4,833 Pearson PLC 108,889 88,177 7,568 WPP PLC 111,768 91,441 1,446 Petrofac Limited 24,921 33,887 15,333,690 12,792,857 15,698 Prudential PLC 222,585 174,819 600 Randgold Resources Ltd. 46,549 48,741 Total International Equities 52,706,126 44,916,614 3,738 Reckitt Benckiser Group PLC 145,091 199,119 Transaction Costs (Note 3) (16,888) 0 7,230 Reed Elsevier PLC 91,004 63,484 9,936 Resolution Limited 83,338 45,174 TOTALINVESTMENT 4,994 Rexam PLC 35,409 29,611 PORTFOLIO – 99.8% 53,304,879 45,563,993 8,895 Rio Tinto PLC 395,035 619,440 FOREIGN CURRENCIES – 0.0% 22,588 22,332 11,092 Rolls-Royce Holdings PLC 70,109 110,784 FORWARDCONTRACTS 1,103,232 Rolls-Royce Holdings PLC, (SCHEDULE 1) – (0.0%) 0 (1,237) Entitlement Class “C” 0 1,708 OTHER NET ASSETS – 0.2% 77,942 75,073 20,266 Royal & Sun Alliance Insurance Group PLC 90,622 42,277 TOTAL NET ASSETS – 100.0% $ 53,405,409 $ 45,660,161 104,314 TheRoyalBankofScotlandGroupPLC 657,956 62,231 6,003 SABMiller PLC 116,677 211,324 7,641 The Sage Group PLC 41,423 34,165 744 Schroders PLC 13,547 17,816 5,678 Scottish and Southern Energy PLC 117,314 122,478 5,589 SEGRO PLC 55,316 27,026 3,636 Serco Group PLC 34,659 31,107 1,367 Severn Trent PLC 33,645 31,148 3,424 Shire PLC 70,198 103,252 5,034 Smith & Nephew PLC 49,585 52,030 2,301 Smiths Group PLC 62,133 42,807

July 05, 2011 217,915 CAD $ 217,915 190,000 CHF $ 217,990 0.87190 $ 75 July 05, 2011 61,048 USD 58,886 60,000 CAD 60,000 0.98283 1,114 $ 276,801 $ 277,990 $ 1,189

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 05, 2011 54,448 CAD $ 54,448 290,000 DKK $ 54,379 5.32620 $ (69) July 05, 2011 28,729 CAD 28,729 160,000 NOK 28,597 5.56930 (132) July 05, 2011 81,087 CAD 81,087 530,000 SEK 80,799 6.53620 (288) July 05, 2011 573,204 CAD 573,204 370,000 GBP 572,760 1.54920 (444) July 05, 2011 994,284 CAD 994,284 710,000 EUR 992,996 1.40040 (1,288) July 05, 2011 20,000 EUR 27,972 28,792 USD 27,772 1.43960 (200) July 06, 2011 19,297 CAD 19,297 20,000 USD 19,292 0.96483 (5) $ 1,779,021 $ 1,776,595 $ (2,426)

TOTALNUMBEROFCONTRACTS: 9 NETDEPRECIATION $ (1,237)

338 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD European Index Fund INDEXFUNDS

Financial Instruments by the Level in the Fair Value Hierarchy Total change in unrealized for assets (in 000s) (Note 11) held at December 31, 2010 $ (75) The table below illustrates the classification of the Fund’s financial instruments within the fair value hierarchy as at June 30, 2011 and December 31, 2010: Contractual Maturities Analysis for Financial Liabilities (in 000s) (Note 11) The table below summarizes cash flows associated with the maturities of the Fund’s financial Level1 Level2 Level3 Total liabilities as at June 30, 2011 and December 31, 2010: June 30, 2011 Less than CommonShares $ 1,530 $ 43,661 $3$45,194 3 months Preferred Shares 12 356 0 368 2011 2010 Rights 2002Accounts payable and other liabilities $ 2,171 $ 179 Forward Contracts 0101Forward Contracts 20 1,544 44,018 3 45,565 $ 2,173 $ 179 Forward Contracts 0 (2) 0 (2) $ 1,544 $ 44,016 $3$45,563

Equity positions with a fair value of $23,768 and $431 were transferred from Level 1 to 2 and Level 2 to 1 respectively during the period as a result of changes in activities in the market for those securities. Preferred shares with a fair value of $12 were transferred from Level 2 to Level 1 during the period as a result of increased activity in the market for those securities.

December 31, 2010 CommonShares $ 24,323 $ 19,901 $5$44,229 Preferred Shares 0 254 0 254 $ 24,323 $ 20,155 $5$44,483

Equity positions with a fair value of $56 and $23,585 were transferred from Level 1 to 2 and Level 2 to 1 respectively during the period as a result of changes in activities in the market for those securities.

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 339 INDEXFUNDS TD Japanese Index Fund Statements of Net Assets (in 000s except per unit amounts and number of units) Statements of Investment Operations (in 000s except per unit amounts) as at June 30, 2011 and December 31, 2010 (Unaudited) for the periods ended June 30, 2011 and 2010 (Unaudited) 2011 2010 2011 2010 Assets Investment Income Investments at Fair Value (Note 3) $ 20,243 $ 18,938 Dividends $ 217 $ 201 Foreign Currencies 14 9 Securities Lending 31 Cash 08Less: Withholding Taxes (15) (13) Dividends Receivable 10 17 205 189 Subscriptions Receivable 86 84 Expenses (Note 5) Receivable for Investment Sales 10 0 Management Fees 76 74 Unrealized Gain on Open Foreign Independent Review Committee Fees 00 Exchange Forward Contracts 00 76 74 20,363 19,056 Less: Waived Expenses (0) (0) Liabilities 76 74 Bank Overdraft 50 Accrued Liabilities 13 13 Net Investment Income (Loss) 129 115 Redemptions Payable 62 40 Net Realized Gain (Loss) on Payable for Investment Purchases 58 16 Sale of Investments (277) (510) Unrealized Loss on Open Foreign Net Change in Unrealized Appreciation/ Exchange Forward Contracts 00Depreciation of Investments (1,091) (178) 138 69 Transaction Costs on Purchase and Sale of Investments (Note 3) (9) (3) Net Assets (Note 3) $ 20,225 $ 18,987 Net Gain (Loss) on Investments (1,377) (691) Net Assets Representing Unitholders’ Equity (Note 4) Increase (Decrease) in Net Assets Investor Series $ 10,623 $ 10,305 from Investment Operations† $ (1,248) $ (576) e-Series $ 8,972 $ 7,902 F-Series $ 630 $ 780 †Increase (Decrease) in Net Assets from Investment Operations $ 20,225 $ 18,987 Investor Series $ (696)$ (330) e-Series $ (503)$ (224) Number of Units Outstanding F-Series $ (49) $ (22) Investor Series 1,624,214 1,466,009 $ (1,248) $ (576) e-Series 1,288,175 1,058,585 F-Series 116,295 134,311 Increase (Decrease) in Net Assets from Investment Operations – Net Assets Per Unit (Note 3) Per Unit (Note 3) Investor Series $ 6.54 $ 7.03 Investor Series $ (0.49) $ (0.20) e-Series $ (0.50) $ (0.21) e-Series $ 6.96 $ 7.47 F-Series $ (0.39) $ (0.17) F-Series $ 5.42 $ 5.81

340 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. INDEXFUNDS TD Japanese Index Fund Statements of Changes in Net Assets (in 000s except number of units) for the periods ended June 30, 2011 and 2010 (Unaudited) Investor Series e-Series 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 10,305 $ 11,071 $ 7,902 $ 7,778 Increase (Decrease) in Net Assets from Investment Operations (696) (330) (503) (224) Capital Unit Transactions† Proceeds from Sale of Units 3,175 1,193 2,635 763 Reinvestments of Distributions 00 00 Early Redemption Fees 22 21 Amounts Paid on Redemptions (2,163) (1,873) (1,064) (1,042) 1,014 (678) 1,573 (278) Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period 318 (1,008) 1,070 (502) Net Assets, End of the Period $ 10,623 $ 10,063 $ 8,972 $ 7,276 †Capital Unit Transactions UnitsOutstanding,BeginningofthePeriod 1,466,009 1,672,485 1,058,585 1,107,034 Units Issued 485,704 176,250 379,244 106,425 Units Issued on Reinvestments 00 00 Units Redeemed (327,499) (277,186) (149,654) (145,684) Units Outstanding, End of the Period 1,624,214 1,571,549 1,288,175 1,067,775

F-Series TOTAL 2011 2010 2011 2010 Net Assets, Beginning of the Period $ 780$ 697 $ 18,987$ 19,546 Increase (Decrease) in Net Assets from Investment Operations (49) (22) (1,248) (576) Capital Unit Transactions† Proceeds from Sale of Units 35 81 5,845 2,037 Reinvestments of Distributions 00 00 Early Redemption Fees 00 43 Amounts Paid on Redemptions (136) (41) (3,363) (2,956) (101) 40 2,486 (916) Distributions to Unitholders 00 00 Increase (Decrease) in Net Assets for the Period (150) 18 1,238 (1,492) Net Assets, End of the Period $ 630$ 715 $ 20,225$ 18,054 †Capital Unit Transactions Units Outstanding, Beginning of the Period 134,311 127,637 Units Issued 6,492 14,689 Units Issued on Reinvestments 00 Units Redeemed (24,508) (7,266) Units Outstanding, End of the Period 116,295 135,060

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 341 INDEXFUNDS

TD Japanese Index Fund No. of Shares Paror Value Units Description Cost FairValue Statement of Investment Portfolio as at June 30, 2011 (Unaudited) 6,000 Furukawa Electric Co., Ltd. $$43,281 24,160 No. of Shares 3,000 GS Yuasa Corporation 25,950 19,310 or Units Description Cost FairValue 3,000 Hino Motors Ltd. 22,351 16,896 804 HitachiConstructionMachineryCo.,Ltd. 18,112 17,383 Japanese Equities – 100.1% 10,000 IHI Corporation 19,264 24,921 ENERGY – 1.8% 13,800 ITOCHU Corporation 85,890 138,429 4,000 Cosmo Oil Company Limited $ 16,365 $ 10,983 3,000 The Japan Steel Works Ltd. 33,532 19,833 200 Idemitsu Kosan Co., Ltd. 24,556 20,586 2,000 JGC Corporation 40,234 52,846 20 INPEX Corporation 129,485 142,607 2,600 JS Group Corporation 61,771 64,678 200 JapanPetroleumExplorationCo.,Ltd. 14,535 9,056 2,300 JTEKT Corporation 37,727 32,685 20,039 JX Holdings Inc. 125,977 129,992 7,000 Kajima Corporation 33,775 19,368 1,900 Showa Shell Sekiyu K.K. 20,616 17,019 3,000 Kamigumi Co., Ltd. 26,355 27,041 2,200 TonenGeneral Sekiyu K.K. 20,608 26,099 13,000 Kawasaki Heavy Industries Ltd. 46,481 49,954 352,142 356,342 8,000 Kawasaki Kisen Kaisha Ltd. 34,802 26,975 4,000 KeihinElectricExpressRailwayCo.,Ltd. 27,914 27,819 MATERIALS – 7.7% 6,000 Keio Corporation 40,899 31,917 1,300 Air Water Inc. 17,130 15,104 3,000 Keisei Electric Railway Co., Ltd. 19,377 17,123 12,000 Asahi Kasei Corporation 80,522 77,994 1,000 Kinden Corporation 12,017 8,252 2,000 Daicel Chemical Industries Ltd. 13,917 12,743 13,000 Kintetsu Corporation 67,030 40,264 2,000 Daido Steel Co., Ltd. 14,310 12,903 8,400 Komatsu Ltd. 125,184 252,951 5,000 DenkiKagakuKogyoKabushikiKaisha 20,757 23,249 11,200 Kubota Corporation 78,057 95,829 700 Hitachi Chemical Co., Ltd. 12,596 13,394 1,100 Kurita Water Industries Ltd. 27,435 31,650 1,000 Hitachi Metals Ltd. 15,198 13,628 15,000 Marubeni Corporation 69,434 96,143 4,325 JFE Holdings Inc. 135,434 114,716 2,000 Minebea Co., Ltd. 10,950 10,291 1,400 JSR Corporation 25,276 26,172 11,900 Mitsubishi Corporation 224,429 286,670 2,000 Kaneka Corporation 24,196 12,674 17,000 Mitsubishi Electric Corporation 125,286 190,454 2,342 Kansai Paint Co., Ltd. 20,393 20,580 27,000 Mitsubishi Heavy Industries Ltd. 146,196 122,447 24,000 Kobe Steel Ltd. 57,540 52,637 1,000 Mitsubishi Logistics Corporation 18,938 10,849 2,900 Kuraray Co., Ltd. 42,453 40,975 15,300 Mitsui & Co., Ltd. 217,468 255,135 400 Maruichi Steel Tube Ltd. 13,593 9,564 5,000 Mitsui Engineering & 12,700 MitsubishiChemicalHoldingsCorporation 91,625 86,795 Shipbuilding Co., Ltd. 11,302 10,530 3,000 MitsubishiGasChemicalCompanyInc. 19,935 21,198 11,000 Mitsui O.S.K. Lines Ltd. 76,004 57,084 10,000 Mitsubishi Materials Corporation 35,623 30,387 750 Nabtesco Corporation 14,206 17,523 7,000 Mitsui Chemicals Inc. 57,246 24,600 2,000 NGK Insulators Ltd. 36,683 35,935 800 Nippon Paper Group Inc. 47,955 17,120 7,000 Nippon Express Co., Ltd. 50,670 27,356 46,000 Nippon Steel Corporation 160,936 143,926 7,000 Nippon Sheet Glass Co., Ltd. 41,628 20,991 8,544 Nisshin Steel Co., Ltd. 30,602 15,759 14,000 Nippon Yusen Kabushiki Kaisha 77,902 50,166 1,500 Nitto Denko Corporation 86,416 73,507 4,000 NSK Ltd. 32,640 38,513 9,000 Oji Paper Co., Ltd. 52,271 41,630 5,000 NTN Corporation 35,316 27,471 3,500 Shin-Etsu Chemical Co., Ltd. 182,913 180,937 6,000 Obayashi Corporation 44,621 25,275 15,000 Showa Denko K.K. 36,959 29,967 5,583 Odakyu Electric Railway Co., Ltd. 41,658 42,754 14,000 Sumitomo Chemical Co., Ltd. 88,926 67,418 1,800 SECOM Co., Ltd. 122,737 83,236 27,000 Sumitomo Metal Industries Ltd. 63,789 58,498 5,000 Shimizu Corporation 30,342 20,097 5,000 Sumitomo Metal Mining Co., Ltd. 58,336 79,226 500 SMC Corporation 80,926 86,931 2,000 Taiyo Nippon Sanso Corporation 17,002 15,362 7,943 Sojitz Corporation 44,182 14,350 9,000 Teijin Ltd. 43,917 38,260 9,900 Sumitomo Corporation 121,652 129,894 14,000 Toray Industries Inc. 103,049 99,703 6,500 Sumitomo Electric Industries Ltd. 103,762 91,436 6,000 Tosoh Corporation 22,643 23,237 4,000 Sumitomo Heavy Industries Ltd. 23,472 26,927 1,500 Toyo Seikan Kaisha Ltd. 34,220 24,357 10,000 Taisei Corporation 37,363 22,133 8,000 Ube Industries Ltd. 23,072 23,229 1,200 THK Co., Ltd. 43,701 29,578 400 Yamato Kogyo Co., Ltd. 17,050 12,014 9,000 Tobu Railway Co., Ltd. 40,427 36,537 1,767,800 1,553,463 10,000 Tokyu Corporation 56,483 40,097 5,000 Toppan Printing Co., Ltd. 56,077 37,414 INDUSTRIALS – 19.7% 2,000 TOTO Ltd. 19,415 15,013 6,000 All Nippon Airways Co., Ltd. 30,916 18,876 1,800 Toyota Tsusho Corporation 41,264 29,795 3,000 Amada Co., Ltd. 26,156 22,247 800 USHIO Inc. 20,266 15,256 9,000 Asahi Glass Company Limited 105,986 101,576 1,500 West Japan Railway Company 80,877 56,477 13 Central Japan Railway Company 132,773 98,564 3,700 Yamato Transport Co., Ltd. 76,701 56,135 1,500 Chiyoda Corporation 12,168 16,676 5,000 Dai Nippon Printing Co., Ltd. 99,049 54,349 4,074,346 3,989,362 1,900 Daikin Industries Ltd. 49,117 64,954 3,000 East Japan Railway Company 220,836 165,705 1,700 FANUC Corporation 168,231 274,173 5,000 Fuji Electric Holdings Co., Ltd. 26,698 15,065

342 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Japanese Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

CONSUMER DISCRETIONARY – 20.4% CONSUMER STAPLES – 5.2% 300 ABC-Mart Inc. $$12,589 11,734 5,500 AEON Co., Ltd. $$103,151 64,026 1,800 Aisin Seiki Co., Ltd. 54,352 67,176 5,400 Ajinomoto Co., Inc. 77,883 61,829 1,100 ASICS Corporation 11,902 15,835 3,600 Asahi Breweries Ltd. 58,082 69,939 700 Benesse Corporation 45,559 29,004 500 Coca-ColaWestJapanCompanyLimited 11,788 9,240 5,800 Bridgestone Corporation 149,100 128,884 400 FamilyMart Co., Ltd. 12,251 14,165 2,400 Casio Computer Co., Ltd. 36,831 16,335 40 Japan Tobacco Inc. 146,107 148,914 2,100 Daihatsu Motor Co., Ltd. 25,874 34,469 4,500 Kao Corporation 128,224 114,117 832 DeNA Co., Ltd. 21,920 34,509 1,000 Kikkoman Corporation 12,107 10,164 4,400 DENSO Corporation 141,698 157,829 7,000 Kirin Holdings Company Limited 105,496 94,117 1,700 Dentsu Inc. 55,233 48,532 600 Lawson Inc. 28,869 30,358 500 Fast Retailing Company Limited 53,628 77,989 751 MEIJI Holdings Co., Ltd. 29,755 30,538 6,000 Fuji Heavy Industries Ltd. 31,561 44,969 2,000 Nippon Meat Packers Inc. 28,166 27,670 130 Hakuhodo DY Holdings Inc. 11,965 6,696 1,500 Nisshin Seifun Group Inc. 18,273 18,082 14,600 Honda Motor Co., Ltd. 455,521 542,497 400 Nissin Food Products Co., Ltd. 13,621 14,053 2,700 Isetan Mitsukoshi Holdings Ltd. 42,308 25,511 6,860 Seven & i Holdings Co., Ltd. 349,016 177,934 9,000 Isuzu Motors Limited 44,089 41,091 3,400 Shiseido Co., Ltd. 64,897 61,209 4,200 J. Front Retailing Co., Ltd. 30,485 17,895 1,000 Toyo Suisan Kaisha Ltd. 16,343 22,817 19 Jupiter Telecommunications Co., Ltd. 16,842 20,501 1,200 Unicharm Corporation 32,749 50,564 900 Koito Manufacturing Co., Ltd. 14,120 15,169 1,000 Yakult Honsha Co., Ltd. 25,230 27,899 700 Konami Corporation 24,145 15,991 1,000 Yamazaki Baking Co., Ltd. 11,945 12,913 4,100 Konica Minolta Holdings Inc. 54,535 33,028 1,273,953 1,060,548 900 Makita Corporation 27,217 40,448 1,700 Marui Group Co., Ltd. 34,593 12,452 HEALTH CARE – 5.9% 15,000 Mazda Motor Corporation 63,919 38,123 232 Alfresa Holdings Corporation 16,649 8,696 700 McDonald’s Holdings Company 4,030 Astellas Pharma Inc. 182,221 150,810 (Japan) Ltd. 15,005 17,165 1,900 Chugai Pharmaceutical Co., Ltd. 36,271 30,048 33,000 Mitsubishi Motors Corp. 60,487 38,829 5,833 Daiichi Sankyo Company Limited 158,144 109,931 1,300 NAMCO BANDAI Holdings Inc. 26,404 15,092 1,000 DainipponSumitomoPharmaCo.,Ltd. 9,082 9,165 1,000 NGK Spark Plug Co., Ltd. 15,625 13,326 2,100 Eisai Co., Ltd. 80,701 79,020 1,000 NHK Spring Co., Ltd. 9,523 9,863 700 Hisamitsu Pharmaceutical Co., Inc. 27,536 28,760 2,900 Nikon Corporation 60,913 66,142 2,000 Kyowa Hakko Kogyo Co., Ltd. 18,920 18,400 22,400 Nissan Motor Co., Ltd. 204,760 227,038 1,500 MEDICEO Paltac Holdings Co., Ltd. 30,135 12,822 336 Nitori Co., Ltd. 15,701 30,756 450 Miraca Holdings Inc. 16,396 17,584 687 NOK Corporation 30,469 11,355 2,000 MitsubishiTanabePharmaCorporation 27,077 32,283 500 Oriental Land Company Limited 42,734 40,906 1,800 Olympus Corporation 45,931 58,577 19,695 Panasonic Corporation 414,542 232,293 700 Ono Pharmaceutical Co., Ltd. 37,303 36,118 67 Rakuten Inc. 56,154 66,881 2,300 Otsuka Holdings Co., Ltd. 56,939 58,696 400 Rinnai Corporation 21,355 27,859 600 Santen Pharmaceutical Co., Ltd. 17,566 23,459 500 Sankyo Co., Ltd. 26,018 24,915 2,500 Shionogi & Co., Ltd. 50,536 39,483 2,160 Sega Sammy Holdings Inc. 63,837 40,270 540 Suzuken Co., Ltd. 21,623 12,015 5,000 Sekisui Chemical Co., Ltd. 43,685 41,202 600 Sysmex Corporation 17,106 21,765 6,000 Sekisui House Ltd. 77,863 53,880 1,000 Taisho Pharmaceutical Co., Ltd. 26,022 21,728 10,000 Sharp Corporation 170,072 88,016 7,100 TakedaPharmaceuticalCompanyLimited 422,276 316,475 200 Shimamura Co., Ltd. 35,231 18,388 1,500 Terumo Corporation 66,565 78,315 800 Shimano Inc. 34,596 42,447 700 Tsumura & Co. 23,763 21,583 8,900 Sony Corporation 580,427 226,481 1,388,762 1,185,733 1,100 Stanley Electric Co., Ltd. 20,609 18,624 1,000 Sumitomo Rubber Industries Ltd. 13,087 11,671 3,000 Suzuki Motor Corporation 84,935 65,221 3,000 Takashimaya Co., Ltd. 25,540 19,961 700 Toho Co., Ltd. 18,013 11,210 700 Toyoda Gosei Co., Ltd. 19,552 15,331 400 Toyota Boshoku Corporation 10,707 6,410 1,600 Toyota Industries Corporation 56,023 50,947 24,600 Toyota Motor Corporation 1,170,435 976,996 220 USS Co., Ltd. 21,952 16,460 740 Yamada Denki Co., Ltd. 45,835 58,151 1,300 YAMAHA Corporation 20,777 14,299 2,300 Yamaha Motor Co., Ltd. 50,793 40,744 5,023,645 4,115,796

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 343 TD Japanese Index Fund INDEXFUNDS

No. of Shares No. of Shares Paror Value Units Description Cost FairValue Paror Value Units Description Cost FairValue

FINANCIALS – 16.6% INFORMATION TECHNOLOGY – 13.1% 1,000 AEON Credit Service Co., Ltd. $$25,801 13,210 1,200 Advantest Corporation $$52,250 21,306 700 AEON Mall Co., Ltd. 27,093 16,355 1,800 Brother Industries Ltd. 25,455 25,679 5,000 Aozora Bank Ltd. 16,176 11,178 10,100 Canon Inc. 399,653 463,341 3,000 The Bank of Kyoto Ltd. 33,632 26,640 2,400 Citizen Holdings Co., Ltd. 25,640 13,856 10,000 The Bank of Yokohama Ltd. 64,900 48,213 2,000 Elpida Memory Inc. 67,431 22,720 7,000 Chiba Bank Ltd. 52,844 42,251 4,300 FUJIFILM Holdings Corporation 193,452 129,345 2,000 The Chugoku Bank Limited 26,874 23,864 17,000 Fujitsu Limited 278,624 93,716 1,100 Credit Saison Co., Ltd. 41,008 17,859 750 GREE Inc. 9,379 15,813 80 The Dai-ichi Life Insurance 600 Hamamatsu Photonics K.K. 19,397 25,020 Company Limited 133,485 108,199 300 Hirose Electric Co., Ltd. 39,111 29,659 700 Daito Trust Construction Co., Ltd. 30,597 57,317 800 HitachiHigh-TechnologiesCorporation 25,666 16,905 4,000 Daiwa House Industry Co., Ltd. 65,210 48,680 40,000 Hitachi Ltd. 317,332 228,961 14,000 Daiwa Securities Group Inc. 129,195 59,490 3,600 Hoya Corporation 114,842 76,865 8,000 Fukuoka Financial Group Inc. 53,020 32,248 1,000 IBIDEN Co., Ltd. 45,615 30,195 3,000 The Gunma Bank Ltd. 22,978 15,293 100 ITOCHU Techno-Solutions Corporation 6,552 3,424 4,000 The Hachijuni Bank Ltd. 32,613 21,677 410 Keyence Corporation 95,184 112,273 3,669 The Hiroshima Bank Ltd. 23,635 15,442 1,300 Kyocera Corporation 131,329 127,658 12,000 Hokugin Financial Group Inc. 39,268 22,926 300 Mabuchi Motor Co., Ltd. 27,227 14,602 2,000 The Iyo Bank Ltd. 24,036 17,758 1,700 Murata Manufacturing Co., Ltd. 170,197 109,619 4 Japan Prime Realty Investment 24,000 NEC Corporation 228,709 52,857 Corporation 15,875 10,216 900 NIDEC Corporation 68,680 81,037 4 JapanRealEstateInvestmentCorporation 40,943 37,956 900 Nintendo Co., Ltd. 202,964 163,001 12 JapanRetailFundInvestmentCorporation 27,966 17,835 3,500 Nippon Electric Glass Co., Ltd. 52,088 43,312 7,000 The Joyo Bank Ltd. 34,806 28,363 700 Nomura Research Institute Ltd. 20,831 14,788 11,000 Mitsubishi Estate Co., Ltd. 221,285 186,187 13 NTT DATA Corporation 77,618 41,668 113,340 MitsubishiUFJFinancialGroupInc. 1,205,546 532,708 1,600 OMRON Corporation 45,332 42,912 500 Mitsubishi UFJ Lease & Finance 300 Oracle Corporation Japan 18,836 12,609 Company Limited 25,583 18,663 200 OTSUKA Corporation 24,816 12,009 7,000 Mitsui Fudosan Co., Ltd. 134,544 116,274 6,000 Ricoh Company Ltd. 135,654 64,194 5,151 Mitsui Sumitomo Insurance Group 800 ROHM Co., Ltd. 172,805 44,266 Holdings Inc. 158,428 116,282 1,300 Seiko Epson Corporation 54,806 21,733 28,290 Mitsui Trust Holdings Inc. 191,008 94,969 3,000 Shimadzu Corporation 27,526 26,501 185,182 Mizuho Financial Group Inc. 802,994 293,550 700 Square Enix Co., Ltd. 22,204 12,150 4,000 Mizuho Securities Co., Ltd. 18,658 9,298 800 SUMCO Corporation 25,059 13,063 16,000 Mizuho Trust & Banking Co., Ltd. 29,545 13,672 1,100 TDK Corporation 92,980 58,521 5 Nippon Building Fund Inc. 51,659 47,123 1,600 Tokyo Electron Limited 131,115 84,382 4,000 The Nishi-Nippon City Bank Ltd. 21,750 11,395 36,000 Toshiba Corporation 289,674 183,057 13,500 NKSJ Holdings Inc. 141,117 85,935 1,000 Trend Micro Inc. 42,730 29,963 31,100 Nomura Holdings Inc. 397,815 148,013 136 Yahoo Japan Corporation 99,400 45,140 700 Nomura Real Estate Holdings Inc. 27,277 11,256 2,000 Yaskawa Electric Corporation 21,646 21,655 2 Nomura Real Estate Office Fund Inc. 17,234 12,770 1,500 Yokogawa Electric Corporation 17,444 12,347 10 NTT Urban Development Co. 16,592 8,273 3,917,253 2,642,122 980 ORIX Corporation 137,127 91,938 16,500 Resona Holdings Inc. 216,224 74,870 128 SBI Holdings Inc. 68,819 11,472 5 Seven Bank Ltd. 21,361 9,636 9,200 Shinsei Bank Limited 51,471 8,875 5,000 Shizuoka Bank Ltd. 71,355 44,340 1,600 Sony Financial Holdings Inc. 27,608 27,899 11,800 SumitomoMitsuiFinancialGroupInc. 851,245 350,915 3,000 SumitomoRealty&DevelopmentCo.,Ltd. 55,575 64,665 2,000 Suruga Bank Ltd. 25,737 16,817 2,550 T&D Holdings Inc. 149,284 58,538 6,300 Tokio Marine Holdings Inc. 214,971 170,095 3,668 Tokyu Land Corporation 28,528 15,030 2,000 Yamaguchi Financial Group Inc. 28,955 17,995 6,371,250 3,362,423

344 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. TD Japanese Index Fund INDEXFUNDS

No. of Shares Paror Value Units Description Cost FairValue

TELECOMMUNICATION SERVICES – 4.4% 25 KDDI Corporation $$156,857 173,479 4,300 Nippon Telegraph and Telephone Corporation 363,509 200,024 135 NTT DOCOMO Inc. 394,177 232,531 7,700 SOFTBANK Corp. 265,580 281,250 1,180,123 887,284

UTILITIES – 3.6% 6,100 Chubu Electric Power Co., Inc. 166,714 114,890 2,700 The Chugoku Electric Power Co., Inc. 55,753 45,088 840 ElectricPowerDevelopmentCo.,Ltd. 29,979 21,898 1,300 Hokkaido Electric Power Co., Inc. 30,291 20,855 1,500 Hokuriku Electric Power Company 35,178 27,607 7,000 Kansai Electric Power Co., Inc. 179,322 134,440 3,200 Kyushu Electric Power Company Incorporated 73,183 55,570 16,600 Osaka Gas Co., Ltd. 68,131 60,727 1,800 Shikoku Electric Power Co., Inc. 46,643 39,423 3,000 Toho Gas Co., Ltd. 15,391 15,657 3,900 Tohoku Electric Power Co., Inc. 86,857 54,278 11,900 Tokyo Electric Power Co., Inc. 357,311 46,460 23,000 Tokyo Gas Co., Ltd. 95,554 100,117 1,240,307 737,010

INDEX EQUIVALENTS – 1.7% 35,100 iShares MSCI Japan Index Fund 348,476 352,740

Transaction Costs (Note 3) (19,172) 0

TOTALINVESTMENT PORTFOLIO – 100.1% 26,918,885 20,242,823 FOREIGN CURRENCIES – 0.1% 13,545 13,545 FORWARDCONTRACTS (SCHEDULE 1) – (0.0%) 0 (50) OTHER NET LIABILITIES – (0.2%) (31,100) (31,085)

TOTAL NET ASSETS – 100.0% $ 26,901,330 $ 20,225,233

July 04, 2011 1,120,000 JPY $ 13,419 13,620 CAD $ 13,620 82.23002 $ 201

Canadian Value Canadian Value Settlement Currency to be as at Currency to be as at Contract $ Canadian Date Delivered June30,2011 Received June30,2011 Price Depreciation

July 05, 2011 38,832 CAD $ 38,832 40,000 USD $ 38,583 0.97080 $ (249) July 06, 2011 9,648 CAD 9,648 10,000 USD 9,646 0.96483 (2) $ 48,480 $ 48,229 $ (251)

TOTALNUMBEROFCONTRACTS: 3 NETDEPRECIATION $ (50)

The accompanying notes are an integral part of these financial statements. 2011 Semi-Annual Financial Report TD Mutual Funds 345 TD Japanese Index Fund INDEXFUNDS

Total Exposure* (000s) Impact on Net Assets (000s) Currency 2011 2010 2011 2010 Japanese Yen $ 19,900 $ 18,839 $ 995 $ 942 United States Dollar 353 119 18 6 Total $ 20,253 $ 18,958 $ 1,013 $ 948

As Percentage of Net Assets (%) 100.14 99.85 5.01 4.99

Level1 Level2 Level3 Total June 30, 2011 CommonShares $ 353 $ 19,890 $0$20,243

During the period, transfers between Level 1 and Level 2 were nil.

December 31, 2010 Common Shares $0$18,821 $0$18,821 Underlying Funds 117 00117 $ 117 $ 18,821 $0$18,938

Equity positions with a fair value of $6 were transferred from Level 1 to Level 2 during the period as a result of decreased activity in the market for those securities.

Less than 3 months 2011 2010 Accounts payable and other liabilities $ 138 $ 69

346 TD Mutual Funds 2011 Semi-Annual Financial Report The accompanying notes are an integral part of these financial statements. Notes to Financial Statements June 30, 2011 (Unaudited) 1. The Funds The TD Mutual Funds (the “Funds”), as listed below, are open-ended mutual funds established under the laws of Ontario and are governed by Amended, Consolidated and Restated Declarations of Trust dated July 19, 2010 (“Declarations of Trust”).

Fund Start Date TD Canadian T-Bill Fund November 14, 1991 TD Canadian Money Market Fund June 29, 1988 TD Premium Money Market Fund November 13, 1997 TD U.S. Money Market Fund June 29, 1988 TD Ultra Short Term Bond Fund September 7, 2010 TD Short Term Bond Fund January 23, 1989 TD Mortgage Fund January 1, 1975 TD Canadian Bond Fund June 29, 1988 TD Income Advantage Portfolio October 31, 2003 TD Canadian Core Plus Bond Fund September 4, 2007 TD Corporate Bond Capital Yield Fund September 6, 2006 TD Real Return Bond Fund November 23, 1994 TD Global Bond Fund January 4, 1994 TD High Yield Bond Fund June 29, 1998 TD Monthly Income Fund June 29, 1998 TD Balanced Income Fund June 29, 1988 TD Diversified Monthly Income Fund November 30, 1987 TD Balanced Growth Fund September 4, 1987 TD Dividend Income Fund October 31, 1994 TD Dividend Growth Fund September 4, 1987 TD Canadian Blue Chip Equity Fund September 4, 1987 TD Canadian Equity Fund June 29, 1988 TD Canadian Value Fund January 4, 1994 TD Canadian Small-Cap Equity Fund November 12, 1986 TD North American Dividend Fund December 31, 1990 TD U.S. Blue Chip Equity Fund October 31, 1996 TD U.S. Quantitative Equity Fund January 29, 1993 TD U.S. Large-Cap Value Fund November 12, 2002 TD U.S. Large-Cap Value Currency Neutral Fund September 6, 2006 TD U.S. Equity Portfolio November 1, 2004 TD U.S. Equity Currency Neutral Portfolio September 6, 2006 TD U.S. Mid-Cap Growth Fund January 4, 1994 TD U.S. Small-Cap Equity Fund November 28, 1997 TD Global Dividend Fund September 6, 2006 TD Global Value Fund September 6, 2006 TD Global Growth Fund January 4, 1994 TD Global Equity Portfolio January 13, 1998 TD Global Multi-Cap Fund September 6, 2006 TD Global Sustainability Fund September 4, 2007 TD International Value Fund November 30, 1987 TD International Growth Fund September 6, 2006 TD European Growth Fund November 23, 1994 TD Japanese Growth Fund November 23, 1994 TD Asian Growth Fund January 4, 1994 TD Pacific Rim Fund January 31, 1994 TD Emerging Markets Fund December 21, 1992 TD Latin American Growth Fund November 23, 1994 TD Resource Fund January 4, 1994 TD Energy Fund November 23, 1994 TD Precious Metals Fund November 23, 1994 TD Entertainment & Communications Fund November 28, 1997

2011 Semi-Annual Financial Report TD Mutual Funds 347 Notes to Financial Statements June 30, 2011 (Unaudited)

Fund Start Date

TD Science & Technology Fund January 4, 1994 TD Health Sciences Fund October 30, 1996 TD Canadian Bond Index Fund May 13, 1997 TD Balanced Index Fund June 29, 1998 TD Canadian Index Fund September 30, 1985 TD Dow Jones Industrial AverageSM Index Fund April 30, 1998 TD U.S. Index Fund September 30, 1986 TD U.S. Index Currency Neutral Fund January 6, 1998 TD Nasdaq® Index Fund November 26, 1999 TD International Index Fund May 13, 1997 TD International Index Currency Neutral Fund January 6, 1998 TD European Index Fund April 30, 1998 TD Japanese Index Fund April 30, 1998

TD Asset Management Inc. (“TDAM”) is the manager, portfolio adviser and trustee of the Funds. TD Investment Services Inc. (“TDIS”) is the principal distributor of the Premium Series units of the TD U.S. Money Market Fund, and Investor Series and e-Series units of the Funds other than TD Ultra Short Term Bond Fund, TD Corporate Bond Capital Yield Fund, TD U.S. Large-Cap Value Currency Neutral Fund, TD Income Advantage Portfolio, TD U.S. Equity Portfolio and TD U.S. Equity Currency Neutral Portfolio. Both TDAM and TDIS are wholly-owned subsidiaries of The Toronto-Dominion Bank (the “Bank”). The Funds are authorized to issue an unlimited number of units of multiple series that rank equally and are available for sale under two separate simplified prospectuses, one for the Investor Series, e-Series, Institutional Series, Premium Series, O-Series, H-Series and Q-Series and the other for the Advisor Series, F-Series, T-Series and S-Series. In addition, units of the D-Series are sold under a confidential Offering Memorandum. The various series offered by the Funds are as described below.

Investor Series: Offered to investors on a no-load basis. e-Series: Offered on a no-load basis to investors who wish to complete their transactions electronically. Institutional Series: Offered on a no-load basis to large investors such as group savings plans and others who make the minimum investment, as determined by TDAM from time to time (excluding TD segregated Funds). Premium Series: Offered on a no-load basis to large investors and others who make the required minimum investment as determined by TDAM from time to time. O-Series: Offered on a no-load basis to large investors who make the required minimum investments as determined by TDAM, and have entered into O-Series agreements with TDAM. H-Series: Offered on a no-load basis to investors who wish to receive a regular monthly cash flow from the Funds. Distributions will consist of net income, net realized capital gains, and/or return of capital monthly. Advisor Series: Offered to investors through registered brokers and dealers, with either a front-end, back-end or low-load purchase option. F-Series: Offered to investors, through fee-based brokers or financial planners and others, who pay an annual fee to their dealers or financial advisors instead of transactional sales charge. T-Series: Offered to investors through registered brokers and dealers, with either a front-end, back-end or low-load purchase option, who wish to receive a regular monthly cash flow from the Funds. Distributions will consist of net income, net realized capital gains, and/or return of capital monthly. S-Series: Offered to investors, through fee-based brokers or financial planners and others, who pay an annual fee to their dealers or financial advisors instead of transactional sales charge and who wish to receive a regular monthly cash flow from the Funds. Distributions will consist of net income, net realized capital gains, and/or return of capital monthly. D-Series: Offered on a no-load basis to TD Waterhouse Canada Inc.’s Private Giving Foundation. Q-Series: Offered to large investors such as group savings plans and others who make the required minimum investment, as determined by TDAM from time to time (excluding TD segregated funds), and who also wish to receive a regular monthly cash flow from a Fund. Distributions will consist of net income, net realized capital gains and/or a return of capital monthly.

348 TD Mutual Funds 2011 Semi-Annual Financial Report Notes to Financial Statements June 30, 2011 (Unaudited) Each individual series of units is sold under differing purchase options and may have higher or lower management fees, reflecting the extent of the investment advice provided. The management fee rates for each of the Funds and their various series are provided in Note 5. In the year a Fund or series is established, “period” represents inception to June 30; in all other cases “period” represents the six months ended June 30, 2011 and 2010. A Statement of Net Assets has only been presented in the financial statements for any period end for which the Fund or series was in existence as at that date. The indicated start dates are the dates the Funds commenced operations or in the case of a series, the dates the series were first offered, and not their inception dates.

2. Significant Events

(I)SERIESTERMINATED TDAM terminated series in the following Funds effective April 13, 2011:

Series Fund Terminated TD U.S. Money Market Fund O-Series TD Mortgage Fund Institutional Series TD U.S. Quantitative Equity Fund Institutional Series TD U.S. Small-Cap Equity Fund Institutional Series TD Global Value Fund Institutional Series TD Global Growth Fund Institutional Series TD European Growth Fund Institutional Series TD Emerging Markets Fund Institutional Series TD Entertainment & Communications Fund Institutional Series TD Science & Technology Fund Institutional Series TD Health Sciences Fund Institutional Series TD International Index Currency Neutral Fund Institutional Series

3. Summary of Significant Accounting Policies These interim financial statements have been prepared on a consistent basis with the annual financial statements. The interim financial statements, together with the notes to financial statements, should be read in conjunction with the most recent annual financial statements. Certain disclosures that are required under Canadian generally accepted accounting principles (“GAAP”) in the notes to the annual financial statements have been omitted here. Basis of Presentation These financial statements, prepared in accordance with Canadian GAAP, include estimates and assumptions by management that affect the reported amounts of assets, liabilities, income, expenses, gains and losses during the reporting period. Actual results may differ from those estimates. Net asset value (“NAV”) is the value of the total assets of a Fund less the value of its total liabilities at a Valuation Date (as defined below) determined in accordance with Part 14 of National Instrument 81-106 – Investment Fund Continuous Disclosure for the purpose of processing unitholder transactions. Net assets (“net assets”) are determined in accordance with Canadian Institute of Chartered Accountants (“CICA”) Handbook Section 3855, “Financial Instruments – Recognition and Measurement” (“Section 3855”). Section 3855 requires the use of bid prices for long positions and ask prices for short positions in the fair valuation of investments, rather than the use of closing prices currently used for the purpose of determining NAV. For investments that are not traded in an active market, Section 3855 requires the use of specific valuation techniques, rather than use of valuation techniques by virtue of general practice in the investment funds industry. This may result in a difference between the net assets per series unit and NAV per series unit. Refer to Note 10 for details of the comparison between net assets per unit and NAV per unit.

2011 Semi-Annual Financial Report TD Mutual Funds 349 Notes to Financial Statements June 30, 2011 (Unaudited) The following is a summary of significant accounting policies (h) Foreign exchange forward contracts are used by some of the Funds followed by the Funds in determining net assets for purposes of to hedge against or profit from fluctuations in foreign exchange these financial statements. rates. These contracts are limited to the fair value of foreign securities owned by the Funds and quoted in that currency. These (I)VALUATIONOFINVESTMENTS contracts are valued at the gain or loss that would arise as a result Investments are deemed to be held for trading in accordance with of closing the position on the Valuation Date (as defined below). Section 3855, and therefore are recorded at fair value, determined The unrealized gain or loss is reflected in the Statements of Net as follows: Assets as Unrealized Gain (Loss) on Open Foreign Exchange Forward (a) Securities listed on a recognized public securities exchange are Contracts. When the contracts are closed out, the net realized gain valued for financial reporting purposes at their bid prices for or loss is reflected in the Statements of Investment Operations as long positions and ask prices for short positions. part of Foreign Exchange. As at June 30, 2011, all outstanding contracts as listed in the Statements of Investment Portfolio are (b) Securities with no available bid or ask prices are valued at with financial institutions whose short-term debt is rated A-1 or their closing sale prices. Securities not listed on any recognized better by Standard & Poor’s. public securities exchange are valued in the same manner based on available public quotations from recognized dealers (i) Certain of the Funds have purchased standardized, exchange- in such securities. traded futures contracts. The outstanding futures contracts as at June 30, 2011 are listed in the Statements of Investment Portfolio. (c) Securities for which market quotations are not readily available, Futures contracts are valued at their bid prices for financial or whose fair values have been deemed to be materially different reporting purposes at the close of business on the last Valuation from the security’s most recent market quotation, may be valued Date (as defined below) of the reporting period. Any difference by methods deemed by TDAM to represent fair value. between the settlement value at the close of business on the current (d) TDAM uses fair value pricing when the market value of a security Valuation Date and that of the previous Valuation Date is settled in held in a Fund is unavailable, unreliable or not considered to cash daily and recorded in the Statements of Investment Operations reflect the current market value, and may determine another value as Derivatives Income (Loss). Any amounts receivable (payable) from which it considers to be fair and reasonable using the services of settlement of futures contracts are reflected in the Statements of third-party valuation service providers or other means. Certain Net Assets as Futures Margin Receivable (Payable). Short-term debt securities of the Funds were fair valued on June 30, 2011 given that instruments and currency positions as indicated in the Statements predetermined thresholds established for the fair value pricing were of Investment Portfolio have been segregated and are held as above internally prescribed limits on that date or predetermined margin against the futures contracts purchased by the Funds. event occurred. (j) Options contracts are valued at their bid and/or ask prices at the (e) Short-term notes are valued at their bid quotations received from close of business on the last Valuation Date (as defined below) recognized investment dealers for financial reporting purposes. of the reporting period for financial reporting purposes. Options If no bid price is available, they are valued at their amortized cost, contracts with no bid/ask prices available are valued at their closing which approximates fair value. prices. The premium received/paid on options written or purchased is included in the cost of the options. The unrealized gain or loss is (f) Real return bonds are valued at their fair value for financial reflected in the Statements of Investment Operations as part of reporting purposes, which is calculated based on the bid price Net Change in Unrealized Appreciation/Depreciation of Investments. from available public quotations from recognized dealers in real The realized gain or loss on sale or expiry of options is reflected in return bonds. Changes in the inflation factor are reflected on the the Statements of Investment Operations as part of Net Realized Statements of Investment Operations as part of Interest Income. Gain (Loss) on Sale of Investments. (g) Mortgages are valued at their fair value using the Bank’s (k) Investments in Underlying Funds are valued at the series’ NAV per prevailing rate of return on new mortgages of similar type and unit of the Underlying Fund. term. Mortgages are purchased from the Bank, the Canada Trustco Mortgage Company and the Canada Trust Company. In No transaction costs are incurred when Funds invest in Underlying consideration of the services and facilities provided to the Fund, Funds. However, the Underlying Funds’ investments may be subject TD Mortgage Fund pays the seller of each mortgage a liquidity fee to transaction costs and therefore the Funds may indirectly incur and for conventional uninsured mortgages, a guarantee fee. Both these transaction costs. the liquidity fee and guarantee fee are deferred and amortized (l) Significant accounting policies of TD Corporate Bond Capital Yield over the remaining term to maturity of the mortgages purchased. Fund (the “Capital Yield Fund”): The Capital Yield Fund enters into derivative contracts in order to provide a return similar to what would be achieved by an investment directly in units of TD Corporate Bond Pool. The Capital Yield Fund has entered into a forward purchase and sale agreement with a Canadian chartered bank (the “Counterparty”). The Counterparty is not a related party to the Bank.

350 TD Mutual Funds 2011 Semi-Annual Financial Report Notes to Financial Statements June 30, 2011 (Unaudited) Under the terms of the forward agreement, the Counterparty (IV)SECURITIESLENDING has agreed to pay the Capital Yield Fund an amount equal to The Funds may engage in securities lending pursuant to the terms the redemption proceeds of the number of O-Series units of the of an agreement which includes restrictions as set out in Canadian TD Corporate Bond Pool specified in the forward agreement, in securities legislation. The income earned from securities lending is exchange for the TD Corporate Bond Capital Yield Fund’s common included in the Statements of Investment Operations. The fair value of share portfolio. the securities loaned and value of collateral held is determined daily. In order to permit the Capital Yield Fund to pay monthly distribu- Refer to Note 9 for aggregate securities on loan and related collateral tions, operating expenses or other liabilities, and meet redemption held by the Funds. requests, the terms of the forward agreement provide that the (V)INVESTMENTTRANSACTIONS,INCOME,EXPENSES forward contract may be settled in whole or in part at any time ANDTRANSACTIONCOSTS prior to the settlement date at their discretion. The cost of investments represents the amount paid for each security, The Capital Yield Fund will pay to the Counterparty a fee under and is determined on an average cost basis excluding transaction the forward agreement of 0.50 percent on the notional value of costs. Investment transactions are accounted for as of the trade date. the forward contract, calculated and payable monthly in arrears. Interest income and expenses are accrued daily and dividend income is recognized on the ex-dividend date. Realized and unrealized gains The change in net excess (shortfall) of the fair value of investments and losses from investment transactions are calculated on an average (including unrealized gains and losses on foreign exchange) over cost basis excluding brokerage commissions and other trading (under) the total average cost or amortized cost of the investments is expenses. Expenses are accrued on a daily basis, and are accrued included as Net Change in Unrealized Appreciation/Depreciation of separately to each series, while income, gains and losses are allocated Investments in the Statements of Investment Operations. to each series based on their respective NAV. (II)OTHERASSETSANDLIABILITIES Transaction costs, such as brokerage commissions, incurred in Interest receivable, dividends receivable, subscriptions receivable, the purchase and sale of securities by the Funds are recognized receivable for investment sales and other net assets are designated in the Statements of Investment Operations in the period incurred. as loans and receivables and recorded at cost or amortized cost. Refer to Note 7 for details of commission amounts paid on Similarly, accrued liabilities, redemptions payable, payable for securities transactions. investment purchases, and other liabilities are designated as other financial liabilities and reported at cost or amortized cost. Cost or (VI)INCREASE(DECREASE)INNETASSETSFROM amortized cost approximates fair value for these assets and liabilities INVESTMENTOPERATIONSPERUNIT due to their short term nature. The Increase (Decrease) in Net Assets from Investment Operations Per Unit reported in the Statements of Investment Operations for (III)TRANSLATIONOFFOREIGNCURRENCIES the period is calculated by aggregating each valuation day’s Increase The reporting and functional currency of all the Funds other than the (Decrease) in Net Assets from Investment Operations attributed to TD U.S. Money Market, TD U.S. Index and TD Dow Jones Industrial the series of units divided by the number of such units outstanding SM Average Index Funds (collectively, the “U.S.$ Funds”) is the Canadian on that date. dollar. The reporting and functional currency for the U.S.$ Funds is the United States dollar. Institutional Series, O-Series and F-Series units (VII)VALUATIONOFFUNDUNITS of the TD U.S. Index Fund and F-Series units of the TD Dow Jones TDAM usually calculates the NAV per series unit for each Fund as at Industrial AverageSM Index Fund are offered to the public only in 4 p.m. (Eastern time) on each day that the Toronto Stock Exchange is Canadian dollars, and the NAV attributed to these units is translated open for trading. However, in some circumstances, it may be calculated daily to Canadian dollars at the exchange rate on that day. at another time. Each day on which a NAV is calculated is referred to as a Valuation Date (“Valuation Date”). The fair value of investments and other assets and liabilities denominated in a foreign currency are translated into the reporting currency A separate NAV is calculated for each series of units of a Fund by at the rate of exchange which is current on the Valuation Date taking the series’ proportionate share of the Fund’s common assets (as defined below). Foreign exchange gains and losses on the sale of less that series’ proportionate share of the Fund’s common liabilities investments and foreign currencies are included in Net Realized Gain and deducting from this amount all liabilities that relate solely to that (Loss) on Sale of Investments. Unrealized foreign exchange gains and specific series. The NAV per series unit is determined by dividing the losses on investments held are included in Net Change in Unrealized NAV of each series of a Fund by the total number of units of that Appreciation/Depreciation of Investments. series outstanding. The Funds’ investment portfolios may consist of securities that are traded in foreign markets. The proceeds on the sale of such securities will be realized in the respective currency. Unhedged foreign currency positions are subject to gains and losses due to fluctuations in the respective exchange rates. Foreign currency purchases and sales of investments and foreign currency dividend and interest income and expenses are translated into the reporting currency at the rate of exchange on the respective date of the transaction.

2011 Semi-Annual Financial Report TD Mutual Funds 351 Notes to Financial Statements June 30, 2011 (Unaudited) (VIII)REPURCHASEANDREVERSEREPURCHASEAGREEMENTS The Funds may enter into repurchase transactions and reverse repurchase transactions. A repurchase transaction is where a Fund sells a security that it owns to a party for cash and agrees to buy the same security back from the same party at a higher price on an agreed future date. In a reverse repurchase transaction, a Fund buys a security at one price from a third party and agrees to sell the same security back to the same party at a higher price on an agreed future date and the difference is reported as Income from Reverse Repurchase Agreement. The risk with these types of transactions is that the other party may default under the agreement or go bankrupt. These risks are reduced by requiring the other party to provide collateral to the Fund. The value of the collateral has to be at least 102 percent of the market value of the security. At period end, reverse repurchase agreements with details was as follows:

Transaction Expiration AmountPaid TypeofSecurities Market Value Fund Date Date byFund Received of Collateral Government of Canada 1.75% due TDCanadianT-BillFund June30,2011 July4,2011 $ 42,062,733 March1,2013 $ 42,922,224

(IX)CREDITRISKANDTHEFAIRVALUEOFFINANCIALASSETS 4. Unitholders’ Equity ANDFINANCIALLIABILITIES Units of the Funds are redeemable at the option of the unitholder in The Funds’ own credit risk (in the case of financial liabilities) and accordance with the provisions of the Declarations of Trust. Units of a counter-party’s credit risk (in the case of financial assets) are the Funds are issued or redeemed on a daily basis at the NAV per series considered, where applicable, in determining the fair value of financial unit next determined after the purchase order or redemption request, assets and financial liabilities, including derivative instruments. respectively, is received by TDAM. Purchases and redemptions include Future Accounting Change – Transition to International units exchanged from one series to another series within a Fund. Financial Reporting Standards (“IFRS”) Units issued and outstanding represent the capital of each Fund. The The Funds will adopt IFRS for the fiscal period beginning January 1, Funds do not have any specific capital requirements on the subscription 2013 and will issue their initial financial statements in accordance and redemption of units, other than minimum subscription require- with IFRS, including comparative financial information, for the interim ments. Changes in each Fund’s capital during the period are reflected period ending June 30, 2013, as currently required by the Canadian in its Statements of Changes in Net Assets. TDAM is responsible for Accounting Standards Board for investment companies. managing the capital of the Funds in accordance with their investment Management has been monitoring developments in the IFRS conversion objectives and in managing their liquidity in order to meet redemption program and has been assessing the likely impacts on implementation requests as discussed in Note 11. decisions, internal controls, information systems and training. Based on management’s current assessment of the differences between Canadian GAAP and IFRS, it is not expected that there would be any impact on the Funds’ NAV per unit or net assets per unit. Management has presently determined that the impact of IFRS to the financial statements would be limited to additional note disclosures and modifications to presentation including unitholders’ interests. However, this present determination is subject to change resulting from the issuance of new standards or new interpretations of existing standards.

352 TD Mutual Funds 2011 Semi-Annual Financial Report Notes to Financial Statements June 30, 2011 (Unaudited) 5. Management Fees, Administration Fees and Other Expenses

(I) In consideration for management services and investment advice provided, TDAM is entitled to a management fee which is payable by the Funds. The management fee, exclusive of goods and services tax/harmonized sales tax (“GST/HST”), is calculated on a daily basis for each series based on the NAV of the Funds and paid monthly. No management fee or fund expenses are charged with respect to O-Series units, however investors are directly charged a negotiated administration fee. The maximum annual management fee, exclusive of GST/HST, is the fee that can be charged to each series of the Fund according to the simplified prospectus, a portion of which may not be charged at the discretion of TDAM. The actual management fee is the annualized fee that was charged to each series of the Fund for the period. Management fee rates disclosed for the TD Income Advantage Portfolio, TD Global Equity Portfolio, TD U.S. Equity Portfolio, TD Balanced Index Fund, TD U.S. Large-Cap Value Currency Neutral Fund, TD U.S. Equity Currency Neutral Portfolio, TD U.S. Index Currency Neutral Fund and TD International Index Currency Neutral Fund include the management fees charged to the Underlying Funds. However, there is no duplication of fees.

June 30, 2011 Management Fee % Fund Series Maximum Actual TD Canadian T-Bill Fund Investor Series 1.00 0.89 TD Canadian Money Market Fund Investor Series 1.00 0.88 Institutional Series 0.30 0.28 Advisor Series 1.00 1.00 F-Series 0.75 0.50 O-Series 0.00 0.00 TD Premium Money Market Fund Investor Series 0.30 0.30 F-Series 0.25 0.19 TD U.S. Money Market Fund Investor Series 1.00 0.96 Premium Series 0.39 0.37 TD Ultra Short Term Bond Fund Investor Series 1.25 1.25 Advisor Series 1.25 1.25 F-Series 0.75 0.75 TD Short Term Bond Fund Investor Series 1.00 1.00 Institutional Series 0.75 0.39 Premium Series 0.90 0.90 Advisor Series 1.25 1.21 F-Series 0.75 0.55 O-Series 0.00 0.00 TD Mortgage Fund Investor Series 1.50 1.50 Advisor Series 1.75 1.69 F-Series 1.25 1.00 O-Series 0.00 0.00 TD Canadian Bond Fund Investor Series 1.25 1.00 Institutional Series 0.75 0.39 Premium Series 0.90 0.90 Advisor Series 1.25 1.25 F-Series 0.75 0.55 O-Series 0.00 0.00 TD Income Advantage Portfolio Investor Series 1.50 1.41 Institutional Series 1.00 0.46 Premium Series 1.40 1.40 Advisor Series 1.75 1.57 F-Series 1.00 0.80 H-Series 1.50 1.41 S-Series 1.00 0.80 T-Series 1.75 1.57 O-Series 0.00 0.00 TD Canadian Core Plus Bond Fund Investor Series 1.25 1.21 Premium Series 1.00 1.00 Advisor Series 1.25 1.21 F-Series 0.75 0.60 O-Series 0.00 0.00

2011 Semi-Annual Financial Report TD Mutual Funds 353 Notes to Financial Statements June 30, 2011 (Unaudited) June 30, 2011 Management Fee % Fund Series Maximum Actual TD Corporate Bond Capital Yield Fund Investor Series 1.35 1.35 Premium Series 1.05 1.04 Advisor Series 1.35 1.35 F-Series 0.85 0.85 TD Real Return Bond Fund Investor Series 1.20 1.20 Advisor Series 1.20 1.20 F-Series 0.75 0.55 O-Series 0.00 0.00 TD Global Bond Fund Investor Series 1.75 1.75 Institutional Series 1.00 0.37 Advisor Series 1.75 1.75 F-Series 1.25 0.80 TD High Yield Bond Fund Investor Series 1.75 1.65 Institutional Series 1.00 0.52 Advisor Series 1.75 1.65 F-Series 1.00 0.80 H-Series 1.75 1.65 S-Series 1.00 0.80 T-Series 1.75 1.65 Q-Series 1.00 0.52 O-Series 0.00 0.00 TD Monthly Income Fund Investor Series 1.25 1.25 Advisor Series 1.25 1.25 F-Series 0.75 0.75 H-Series 1.25 1.25 S-Series 0.75 0.75 T-Series 1.25 1.25 TD Balanced Income Fund Investor Series 2.00 1.94 Advisor Series 2.00 1.98 F-Series 1.00 0.80 D-Series 1.00 1.00 TD Diversified Monthly Income Fund Investor Series 2.00 2.00 Advisor Series 2.00 2.00 F-Series 1.00 0.80 H-Series 2.00 2.00 S-Series 1.00 0.80 T-Series 2.00 2.00 O-Series 0.00 0.00 TD Balanced Growth Fund Investor Series 2.00 1.93 Advisor Series 2.00 1.98 F-Series 1.00 0.80 TD Dividend Income Fund Investor Series 1.75 1.75 Institutional Series 1.00 0.49 Advisor Series 1.85 1.85 F-Series 0.85 0.80 H-Series 1.75 1.75 S-Series 0.85 0.80 T-Series 1.85 1.85 O-Series 0.00 0.00 TD Dividend Growth Fund Investor Series 1.75 1.75 Institutional Series 1.00 0.46 Advisor Series 1.85 1.85 F-Series 0.85 0.80 H-Series 1.75 1.75 S-Series 0.85 0.80 T-Series 1.85 1.85 O-Series 0.00 0.00

354 TD Mutual Funds 2011 Semi-Annual Financial Report Notes to Financial Statements June 30, 2011 (Unaudited) June 30, 2011 Management Fee % Fund Series Maximum Actual TD Canadian Blue Chip Equity Fund Investor Series 2.00 2.00 Institutional Series 1.00 0.55 Advisor Series 2.00 2.00 F-Series 1.00 0.80 O-Series 0.00 0.00 TD Canadian Equity Fund Investor Series 1.85 1.85 Institutional Series 1.00 0.49 Advisor Series 1.85 1.85 F-Series 0.90 0.80 O-Series 0.00 0.00 TD Canadian Value Fund Investor Series 1.85 1.85 Institutional Series 1.00 0.49 Advisor Series 1.85 1.85 F-Series 0.90 0.80 O-Series 0.00 0.00 TD Canadian Small-Cap Equity Fund Investor Series 2.00 2.00 Institutional Series 1.00 0.49 Advisor Series 2.00 2.00 F-Series 1.00 0.80 O-Series 0.00 0.00 TD North American Dividend Fund Investor Series 2.00 2.00 Institutional Series 1.25 0.49 Advisor Series 2.00 2.00 F-Series 1.00 1.00 TD U.S. Blue Chip Equity Fund Investor Series 2.00 2.00 Institutional Series 1.25 0.91 Advisor Series 2.00 2.00 F-Series 1.00 1.00 O-Series 0.00 0.00 TD U.S. Quantitative Equity Fund Investor Series 1.15 1.15 TD U.S. Large-Cap Value Fund Investor Series 2.00 2.00 Institutional Series 1.25 0.69 Advisor Series 2.00 2.00 F-Series 1.00 1.00 O-Series 0.00 0.00 TD U.S. Large-Cap Value Currency Neutral Fund Investor Series 2.00 2.00 Advisor Series 2.00 2.00 F-Series 1.00 1.00 TD U.S. Equity Portfolio Investor Series 2.00 2.00 Advisor Series 2.00 2.00 F-Series 1.00 1.00 TD U.S. Equity Currency Neutral Portfolio Investor Series 2.00 2.00 Advisor Series 2.00 2.00 F-Series 1.00 1.00 TD U.S. Mid-Cap Growth Fund Investor Series 2.00 2.00 Institutional Series 1.25 0.84 Advisor Series 2.00 2.00 F-Series 1.00 1.00 O-Series 0.00 0.00 TD U.S. Small-Cap Equity Fund Investor Series 2.00 2.00 Advisor Series 2.00 2.00 F-Series 1.00 1.00 O-Series 0.00 0.00

2011 Semi-Annual Financial Report TD Mutual Funds 355 Notes to Financial Statements June 30, 2011 (Unaudited) June 30, 2011 Management Fee % Fund Series Maximum Actual TD Global Dividend Fund Investor Series 2.00 2.00 Institutional Series 1.00 0.99 Advisor Series 2.00 2.00 F-Series 1.00 1.00 H-Series 2.00 2.00 S-Series 1.00 1.00 T-Series 2.00 2.00 O-Series 0.00 0.00 TD Global Value Fund Investor Series 2.10 2.10 Advisor Series 2.10 2.10 F-Series 1.10 1.10 O-Series 0.00 0.00 TD Global Growth Fund Investor Series 2.00 2.00 Advisor Series 2.00 2.00 F-Series 1.00 1.00 O-Series 0.00 0.00 TD Global Equity Portfolio Investor Series 2.50 2.15 Advisor Series 2.50 2.15 F-Series 1.50 1.15 TD Global Multi-Cap Fund Investor Series 2.10 2.10 Institutional Series 1.10 1.10 Advisor Series 2.10 2.10 F-Series 1.10 1.10 O-Series 0.00 0.00 TD Global Sustainability Fund Investor Series 2.10 2.01 Institutional Series 1.10 0.99 Advisor Series 2.10 2.01 F-Series 1.10 1.10 O-Series 0.00 0.00 TD International Value Fund Investor Series 2.00 2.00 Institutional Series 1.25 0.83 Advisor Series 2.00 2.00 F-Series 1.00 1.00 O-Series 0.00 0.00 TD International Growth Fund Investor Series 2.15 2.15 Institutional Series 1.15 1.15 Advisor Series 2.15 2.15 F-Series 1.15 1.15 O-Series 0.00 0.00 TD European Growth Fund Investor Series 2.25 2.25 TD Japanese Growth Fund Investor Series 2.25 2.25 Institutional Series 1.25 1.00 Advisor Series 2.25 2.25 F-Series 1.25 1.25 TD Asian Growth Fund Investor Series 2.25 2.25 Institutional Series 1.25 1.08 Advisor Series 2.25 2.25 F-Series 1.25 1.25 O-Series 0.00 0.00 TD Pacific Rim Fund Investor Series 2.00 2.00 TD Emerging Markets Fund Investor Series 2.25 2.25 Advisor Series 2.25 2.25 F-Series 1.25 1.25 O-Series 0.00 0.00 TD Latin American Growth Fund Investor Series 2.25 2.25 Advisor Series 2.25 2.25 F-Series 1.25 1.25

356 TD Mutual Funds 2011 Semi-Annual Financial Report Notes to Financial Statements June 30, 2011 (Unaudited) June 30, 2011 Management Fee % Fund Series Maximum Actual TD Resource Fund Investor Series 1.85 1.85 Advisor Series 2.00 2.00 F-Series 1.00 1.00 TD Energy Fund Investor Series 1.85 1.85 Advisor Series 2.00 2.00 F-Series 1.00 1.00 TD Precious Metals Fund Investor Series 1.85 1.85 Advisor Series 2.00 2.00 F-Series 1.00 1.00 TD Entertainment & Communications Fund Investor Series 2.25 2.25 Advisor Series 2.25 2.25 F-Series 1.25 1.25 TD Science & Technology Fund Investor Series 2.25 2.25 Advisor Series 2.25 2.25 F-Series 1.25 1.25 TD Health Sciences Fund Investor Series 2.25 2.25 Advisor Series 2.25 2.25 F-Series 1.25 1.25 O-Series 0.00 0.00 TD Canadian Bond Index Fund Investor Series 0.75 0.75 e-Series 0.50 0.46 Institutional Series 0.50 0.34 F-Series 0.50 0.50 O-Series 0.00 0.00 TD Balanced Index Fund Investor Series 0.80 0.80 TD Canadian Index Fund Investor Series 0.80 0.80 e-Series 0.50 0.30 Institutional Series 0.50 0.34 F-Series 0.50 0.50 O-Series 0.00 0.00 TD Dow Jones Industrial AverageSM IndexFund InvestorSeries 0.80 0.80 e-Series 0.50 0.30 F-Series 0.50 0.50 TD U.S. Index Fund Investor Series 0.50 0.49 e-Series 0.50 0.31 Institutional Series 0.50 0.34 F-Series 0.50 0.50 O-Series 0.00 0.00 TD U.S. Index Currency Neutral Fund Investor Series 0.80 0.80 e-Series 0.50 0.46 Institutional Series 0.50 0.32 F-Series 0.50 0.50 O-Series 0.00 0.00 TD Nasdaq® Index Fund Investor Series 1.25 0.92 e-Series 0.50 0.46 F-Series 0.50 0.50 TD International Index Fund Investor Series 1.25 1.25 e-Series 0.50 0.46 Institutional Series 0.50 0.47 F-Series 0.50 0.50 O-Series 0.00 0.00 TD International Index Currency Neutral Fund Investor Series 1.25 0.91 e-Series 0.50 0.48 F-Series 0.50 0.50 TD European Index Fund Investor Series 1.25 0.93 e-Series 0.50 0.46 F-Series 0.50 0.50 TD Japanese Index Fund Investor Series 1.25 0.94 e-Series 0.50 0.46 F-Series 0.50 0.50

2011 Semi-Annual Financial Report TD Mutual Funds 357 Notes to Financial Statements June 30, 2011 (Unaudited) (II) TDAM receives a specified administration fee for the Investor Series, (IV) TDAM may reduce or rebate a portion of the management fee Advisor Series, H-Series and T-Series for the following Funds: attributable to institutional or group plan investors in a Fund. The program to reduce or rebate management fees will not result in adverse For the applicable Investor, Advisor, Administration fee H- and T-Series of the Fund annual rate % tax consequences to a Fund or to those unitholders not participating in such a program. The fee rebate is treated as a distribution of income, TD Mortgage Fund 0.15 capital gains, or a return of capital with additional units being issued. TD Income Advantage Portfolio 0.08 TD Canadian Core Plus Bond Fund 0.15 (V) The TD Mortgage Fund pays the seller of each mortgage a liquidity TD Corporate Bond Capital Yield Fund 0.15 fee equal to the present value of up to 0.10 percent per annum TD Real Return Bond Fund 0.15 applied to the principal value of each mortgage at the time of purchase. TD Global Bond Fund 0.30 In addition, for conventional uninsured mortgages, the Fund shall TD High Yield Bond Fund 0.15 pay to the applicable seller a guarantee fee equal to the present value TD Monthly Income Fund 0.08 of 0.10 percent per annum applied to the principal value of each TD Balanced Income Fund 0.08 mortgage. For this fee, the sellers have agreed to repurchase any TD Diversified Monthly Income Fund 0.08 mortgages which are in default for 90 days or more. The Liquidity fees TD Balanced Growth Fund 0.08 (000s) paid in the first six months of 2011 were $674 (2010: $1,859). TD Dividend Income Fund 0.08 TD Dividend Growth Fund 0.08 6. Other Related Party Transactions TD Canadian Blue Chip Equity Fund 0.12 TD Canadian Equity Fund 0.12 TDAM is responsible for management of each Fund’s investment TD Canadian Value Fund 0.12 portfolio, including the making of decisions relating to the investment TD Canadian Small-Cap Equity Fund 0.30 of the Fund’s assets. TDAM has established an IRC in respect of TD North American Dividend Fund 0.30 each of the Funds. The IRC acts as an impartial and independent TD U.S. Blue Chip Equity Fund 0.30 committee to review and provide approvals respecting certain TD U.S. Quantitative Equity Fund 0.30 transactions in which the Funds have conflicts of interest. The IRC TD U.S. Large-Cap Value Fund 0.30 has approved standing instructions to permit the Funds and/or TD U.S. Large-Cap Value Currency Neutral Fund 0.30 Underlying Funds managed by TDAM to enter into the following TD U.S. Equity Portfolio securities transactions: (other than Advisor Series) 0.30 TD U.S. Equity Currency Neutral Portfolio 0.30 (a) trades in securities of the Bank or any affiliate or associate thereof; TD U.S. Mid-Cap Growth Fund 0.30 (b) investments in the securities of an issuer where TD Securities Inc., TD U.S. Small-Cap Equity Fund 0.30 TD Waterhouse Canada Inc., or any other affiliate of TDAM TD Global Dividend Fund 0.30 TD Global Value Fund 0.30 (“Related Dealer”) acted as an underwriter during the distribution TD Global Growth Fund 0.30 of such securities and the 60-day period following the completion TD Global Equity Portfolio 0.30 of the distribution of the underwritten securities; TD Global Multi-Cap Fund 0.30 (c) purchases or sales of securities of an issuer from or to another TD Global Sustainability Fund 0.30 investment fund or discretionary managed account managed by TD International Value Fund 0.30 TDAM; and TD International Growth Fund 0.30 TD European Growth Fund 0.30 (d) purchases of securities from or sales of securities to a Related Dealer, TD Japanese Growth Fund 0.30 where it acted as principal. TD Asian Growth Fund 0.35 The standing instructions require that securities transactions with TD Pacific Rim Fund 0.35 related parties conducted by TDAM (i) are free from any influence by TD Emerging Markets Fund 0.35 TD Latin American Growth Fund 0.35 an entity related to TDAM without taking into account any considera- TD Resource Fund 0.20 tion relevant to an entity related to TDAM; (ii) represent the business TD Energy Fund 0.20 judgment of TDAM uninfluenced by considerations other than the TD Precious Metals Fund 0.20 best interests of the Funds and/or Underlying Funds; (iii) comply with TD Entertainment & Communications Fund 0.30 the applicable policies and procedures of TDAM; and (iv) achieve a fair TD Science & Technology Fund 0.30 and reasonable result for the Funds and/or Underlying Funds. TD Health Sciences Fund 0.30 In the case of the TD Mortgage Fund, TD Short Term Bond Fund and TD Monthly Income Fund, regulatory approval has been obtained to (III) Securityholder reporting costs, custodian, legal, filing and permit the purchase and sales of mortgages between the Funds and audit fees are TDAM expenses except for the TD U.S. Equity Portfolio affiliates of TDAM, if such affiliates are acting as principal provided (Advisor Series). that the purchase or sale is consistent with, or is necessary to meet TDAM pays each of the Funds’ operating expenses (including for the investment objectives of the Fund and the IRC has approved services provided by TDAM or affiliates of TDAM), other than the transaction. expenses associated with taxes, borrowing, the Fund’s Independent Review Committee (“IRC”), compliance with any new governmental and regulatory requirements, or new types of costs or expenses.

358 TD Mutual Funds 2011 Semi-Annual Financial Report Notes to Financial Statements June 30, 2011 (Unaudited) 7. Brokerage Commissions and Soft Dollars Brokerage commissions (including other transaction costs) paid on securities transactions and amounts paid to related parties of the Bank for brokerage services provided to the Funds for the six month periods ended June 30 are as follows:

Total Brokerage Amounts Paid to Commissions ($ 000s) Related Parties ($ 000s) Fund 2011 2010 2011 2010

TD Corporate Bond Capital Yield Fund 847 719 00 TD Global Bond Fund 0 0* 00 TD High Yield Bond Fund 13 000 TD Monthly Income Fund 223 2 27 0 TD Balanced Income Fund 26 29 00 TD Diversified Monthly Income Fund 34 30 4 11 TD Balanced Growth Fund 1,615 246 88 10 TD Dividend Income Fund 182 28 26 0 TD Dividend Growth Fund 375 381 37 87 TD Canadian Blue Chip Equity Fund 169 98 10 TD Canadian Equity Fund 8,840 6,639 591 426 TD Canadian Value Fund 1,060 678 37 63 TD Canadian Small-Cap Equity Fund 983 751 61 63 TD North American Dividend Fund 17 46 11 TD U.S. Blue Chip Equity Fund 138 158 00 TD U.S. Quantitative Equity Fund 174 61 00* TD U.S. Large-Cap Value Fund 82 74 00 TD U.S. Mid-Cap Growth Fund 109 98 00 TD U.S. Small-Cap Equity Fund 12 800 TD Global Dividend Fund 806 508 20 TD Global Value Fund 279 420 00 TD Global Growth Fund 305 219 00 TD Global Multi-Cap Fund 733 342 00 TD Global Sustainability Fund 36 16 00 TD International Value Fund 513 338 00 TD International Growth Fund 725 287 00 TD European Growth Fund 41 37 0* 0 TD Japanese Growth Fund 17 34 00 TD Asian Growth Fund 85 312 00 TD Pacific Rim Fund 23 60 00 TD Emerging Markets Fund 283 215 00 TD Latin American Growth Fund 101 115 00 TD Resource Fund 60 44 42 TD Energy Fund 40 13 60 TD Precious Metals Fund 28 56 00* TD Entertainment & Communications Fund 37 42 00 TD Science & Technology Fund 103 117 00 TD Health Sciences Fund 50 53 00 TD Canadian Index Fund 63 31 00 TD Dow Jones Industrial AverageSM Index Fund (USD) 21 00 TD U.S. Index Fund (USD) 73 00 TD U.S. Index Currency Neutral Fund 11 00 TD Nasdaq® Index Fund 12 400 TD International Index Fund 7 11 00 TD International Index Currency Neutral Fund 0* 100 TD European Index Fund 56 00 TD Japanese Index Fund 93 00

* Less than $500 Client brokerage commissions are used as payment for order execution services or research services. The portfolio advisers or TDAM may select brokers including its affiliates, who charge a commission in excess of that charged by other brokers (“soft dollars”) if they determine in good faith that the commission is reasonable in relation to the order execution and research services utilized. It is TDAM’s objective that over time, all clients receive benefits from client brokerage commissions.

2011 Semi-Annual Financial Report TD Mutual Funds 359 Notes to Financial Statements June 30, 2011 (Unaudited) For fixed income or treasury securities traded in the over the counter markets where client brokerage commissions are not charged, soft dollars or client brokerage commissions are not generated. For equities or other securities where client brokerage commissions are charged, the soft dollar portion of the amount paid or payable for goods and services other than order execution for the Funds is not generally ascertainable. Any ascertainable soft dollar value received as a percentage of total brokerage commissions paid under the soft dollar arrangement entered into by the portfolio advisers or TDAM for the six months ended June 30, 2011 and 2010 for the Funds are as follows.

Soft Dollars Percentage of Total ($ 000s) Commissions (%) Fund 2011 2010 2011 2010

TD Monthly Income Fund 31 0 13.88 0 TD Balanced Income Fund 11 3.71 4.82 TD Diversified Monthly Income Fund 03 0.00 9.16 TD Balanced Growth Fund 61 18 3.76 7.45 TD Dividend Income Fund 18 0 10.13 0.00 TD Dividend Growth Fund 49 52 13.06 13.74 TD Canadian Blue Chip Equity Fund 65 3.62 5.62 TD Canadian Equity Fund 449 1,073 5.08 16.16 TD Canadian Value Fund 29 0.23 1.33 TD Canadian Small-Cap Equity Fund 63 8 6.41 1.10 TD U.S. Blue Chip Equity Fund 48 41 34.54 26.13 TD U.S. Quantitative Equity Fund 0 0* 0.00 0.03 TD U.S. Large-Cap Value Fund 28 24 34.07 32.92 TD U.S. Mid-Cap Growth Fund 37 24 34.12 24.66 TD U.S. Small-Cap Equity Fund 42 37.09 26.48 TD Global Dividend Fund 7 28 0.89 5.53 TD Global Value Fund 126 293 45.23 69.73 TD Global Growth Fund 86 100 28.07 45.75 TD Global Multi-Cap Fund 265 78 36.09 22.79 TD International Value Fund 216 10 42.16 2.89 TD International Growth Fund 499 170 68.77 59.24 TD Asian Growth Fund 41 145 48.66 46.48 TD Pacific Rim Fund 11 28 48.83 47.07 TD Emerging Markets Fund 75 0 26.42 0.00 TD Latin American Growth Fund 26 0 26.06 0.00 TD Resource Fund 2 0* 2.84 0.05 TD Energy Fund 30 6.30 0.00 TD Entertainment & Communications Fund 11 11 30.12 27.10 TD Science & Technology Fund 33 28 31.78 24.03 TD Health Sciences Fund 13 9 26.10 17.31 TD U.S. Index Fund 01 0.00 23.90 TD Nasdaq® Index Fund 0 0* 0.00 9.69

* Less than $500

8. Tax Status The Funds qualify as mutual fund trusts under the Income Tax Act (Canada). All or substantially all of the net income for tax purposes and sufficient net capital gains realized in any period are distributed to unitholders such that no income tax is payable by the Funds.

360 TD Mutual Funds 2011 Semi-Annual Financial Report Notes to Financial Statements June 30, 2011 (Unaudited) 9. Securities Lending As of June 30, 2011 and 2010, the outstanding value of securities lent and collateral held were as follows:

Fair Value of Value of Securities Lent ($ 000s) Collateral Held ($ 000s) Fund 2011 2010 2011 2010

TD Canadian T-Bill Fund 9,962 43,574 10,536 46,035 TD Canadian Money Market Fund 10,136 75,336 10,720 79,591 TD Premium Money Market Fund 13,932 100,899 14,734 106,598 TD U.S. Money Market Fund (USD) 0 10,742 0 11,349 TD Short Term Bond Fund 390,288 436,188 412,769 460,822 TD Mortgage Fund 33,155 25,360 35,065 26,792 TD Canadian Bond Fund 764,628 1,225,216 808,670 1,294,413 TD Canadian Core Plus Bond Fund 260,601 265,541 275,611 280,538 TD Real Return Bond Fund 232,603 155,269 246,001 164,038 TD Global Bond Fund 24,599 33,215 26,015 35,091 TD High Yield Bond Fund 13 5,966 14 6,303 TD Monthly Income Fund 649,814 124,264 687,243 131,282 TD Balanced Income Fund 41,440 47,483 43,826 50,164 TD Diversified Monthly Income Fund 2,513 7,980 2,658 8,431 TD Balanced Growth Fund 93,517 100,623 98,904 106,306 TD Dividend Income Fund 621,042 675,135 656,814 713,265 TD Dividend Growth Fund 829,399 566,973 877,172 598,994 TD Canadian Blue Chip Equity Fund 0 48,183 0 50,904 TD Canadian Equity Fund 91,927 64,805 97,222 68,465 TD Canadian Value Fund 54,847 27,538 58,006 29,093 TD Canadian Small-Cap Equity Fund 48,027 28,072 50,793 29,657 TD North American Dividend Fund 8,321 4,718 8,801 4,984 TD U.S. Blue Chip Equity Fund 35,430 53,251 37,471 56,259 TD U.S. Quantitative Equity Fund 19,832 9,308 20,974 9,834 TD U.S. Large-Cap Value Fund 37,620 45,422 39,787 47,988 TD U.S. Mid-Cap Growth Fund 80,713 41,730 85,362 44,087 TD U.S. Small-Cap Equity Fund 9,488 5,111 10,034 5,400 TD Global Dividend Fund 25,871 20,497 27,361 21,655 TD Global Value Fund 916 20,117 968 21,253 TD Global Growth Fund 9,104 32,231 9,629 34,052 TD Global Multi-Cap Fund 39,116 32,499 41,369 34,334 TD Global Sustainability Fund 997 937 1,054 990 TD International Value Fund 31,775 34,610 33,605 36,564 TD International Growth Fund 41,015 38,842 43,377 41,036 TD European Growth Fund 4,469 2,104 4,726 2,223 TD Japanese Growth Fund 772 1,028 816 1,087 TD Asian Growth Fund 57 5,233 61 5,529 TD Pacific Rim Fund 735 0 778 0 TD Emerging Markets Fund 3,985 4,452 4,215 4,703 TD Latin American Growth Fund 1,466 51 1,551 54 TD Resource Fund 35,900 19,459 37,968 20,558 TD Energy Fund 46,787 19,898 49,482 21,022 TD Precious Metals Fund 28,626 22,338 30,275 23,600 TD Entertainment & Communications Fund 12,713 13,267 13,445 14,016 TD Science & Technology Fund 10,104 9,401 10,686 9,932 TD Health Sciences Fund 22,230 20,663 23,510 21,830 TD Canadian Bond Index Fund 78,759 83,834 83,296 88,569 TD Canadian Index Fund 103,372 86,404 109,326 91,284 TD Dow Jones Industrial AverageSM Index Fund (USD) 4,424 2,121 4,679 2,241 TD U.S. Index Fund (USD) 26,678 29,438 28,215 31,101 TD Nasdaq® Index Fund 4,851 4,808 5,130 5,080 TD International Index Fund 10,131 9,138 10,715 9,654 TD European Index Fund 2,568 3,232 2,716 3,414 TD Japanese Index Fund 1,298 991 1,372 1,047

Collateral held is in the form of debt obligations of the Government of Canada, Canadian provincial and municipal governments or Canadian corporations and is not included in the Statement of Investment Portfolio.

2011 Semi-Annual Financial Report TD Mutual Funds 361 Notes to Financial Statements June 30, 2011 (Unaudited) 10. Net Assets per Unit and NAV per Unit The Funds calculate NAV for all purposes other than financial statements without giving effect to Section 3855 referred to in Note 3. This may result in a difference between the net assets per unit and NAV per unit and the differences are presented in the following table:

Per Unit ($) as at Jun. 30, 2011 Dec. 31, 2010 Fund Net Assets NAV Net Assets NAV

TD Canadian T-Bill Fund Investor Series 10.00 10.00 10.00 10.00 TD Canadian Money Market Fund Investor Series 10.00 10.00 10.00 10.00 Institutional Series 10.00 10.00 10.00 10.00 Advisor Series 10.00 10.00 10.00 10.00 F-Series 10.00 10.00 10.00 10.00 O-Series 10.00 10.00 10.00 10.00 TD Premium Money Market Fund Investor Series 10.00 10.00 10.00 10.00 F-Series 10.00 10.00 10.00 10.00 TD U.S. Money Market Fund (USD) Investor Series 10.00 10.00 10.00 10.00 Premium Series 10.00 10.00 10.00 10.00 O-Series N/A N/A 10.00 10.00 TD Ultra Short Term Bond Fund Investor Series 9.89 9.89 9.96 9.96 Advisor Series 9.91 9.92 9.97 9.98 F-Series 9.91 9.91 9.97 9.97 TD Short Term Bond Fund Investor Series 9.95 9.96 9.97 9.98 Institutional Series 10.23 10.25 10.26 10.27 Premium Series 9.88 9.89 9.90 9.91 Advisor Series 10.39 10.40 10.40 10.42 F-Series 10.39 10.40 10.41 10.42 O-Series 10.25 10.26 10.27 10.28 TD Mortgage Fund Investor Series 60.80 60.80 61.43 61.43 Institutional Series N/A N/A 10.06 10.06 Advisor Series 9.81 9.82 9.92 9.92 F-Series 9.83 9.83 9.93 9.93 O-Series 9.90 9.90 10.00 10.00 TD Canadian Bond Fund Investor Series 13.54 13.57 13.51 13.54 Institutional Series 10.99 11.00 10.97 10.99 Premium Series 9.92 9.94 9.90 9.91 Advisor Series 11.83 11.85 11.81 11.83 F-Series 12.05 12.07 12.03 12.05 O-Series 10.48 10.50 10.46 10.48 TD Income Advantage Portfolio Investor Series 10.88 10.88 10.78 10.78 Institutional Series 11.49 11.49 11.38 11.38 Premium Series 10.03 10.03 9.93 9.93 Advisor Series 10.88 10.88 10.78 10.78 F-Series 10.30 10.30 10.20 10.20 H-Series 13.55 13.55 13.61 13.61 S-Series 13.49 13.49 13.56 13.56 T-Series 13.44 13.44 13.50 13.50 O-Series 10.28 10.28 10.19 10.19 TD Canadian Core Plus Bond Fund Investor Series 10.92 10.94 10.86 10.89 Premium Series 9.92 9.94 9.87 9.89 Advisor Series 11.11 11.13 11.05 11.08 F-Series 11.12 11.14 11.07 11.09 O-Series 11.60 11.63 11.54 11.57

362 TD Mutual Funds 2011 Semi-Annual Financial Report Notes to Financial Statements June 30, 2011 (Unaudited) Per Unit ($) as at Jun. 30, 2011 Dec. 31, 2010 Fund Net Assets NAV Net Assets NAV TD Corporate Bond Capital Yield Fund Investor Series 15.39 15.41 15.30 15.31 Premium Series 9.95 9.96 9.89 9.90 Advisor Series 15.38 15.39 15.29 15.30 F-Series 15.38 15.39 15.28 15.30 TD Real Return Bond Fund Investor Series 16.68 16.70 16.37 16.39 Advisor Series 14.25 14.26 13.99 14.00 F-Series 14.64 14.65 14.36 14.37 O-Series 11.23 11.24 11.01 11.02 TD Global Bond Fund Investor Series 8.59 8.61 8.63 8.64 Institutional Series 8.42 8.43 8.38 8.39 Advisor Series 8.48 8.49 8.51 8.52 F-Series 9.98 9.99 9.96 9.97 TD High Yield Bond Fund Investor Series 6.19 6.24 6.19 6.21 Institutional Series 6.92 6.97 6.91 6.94 Advisor Series 7.24 7.30 7.24 7.27 F-Series 6.82 6.87 6.81 6.84 H-Series 16.48 16.61 16.69 16.76 S-Series 16.39 16.52 16.61 16.68 T-Series 16.48 16.61 16.69 16.76 Q-Series 16.20 16.33 16.41 16.47 O-Series 9.91 9.99 9.91 9.95 TD Monthly Income Fund Investor Series 16.70 16.73 16.29 16.32 Advisor Series 15.83 15.86 15.44 15.46 F-Series 11.39 11.41 11.11 11.13 H-Series 13.03 13.05 12.90 12.92 S-Series 13.04 13.06 12.91 12.93 T-Series 13.01 13.03 12.88 12.90 TD Balanced Income Fund Investor Series 14.25 14.27 14.10 14.12 Advisor Series 12.94 12.96 12.81 12.83 F-Series 11.01 11.03 10.89 10.91 D-Series 11.71 11.73 11.59 11.61 TD Diversified Monthly Income Fund Investor Series 19.73 19.77 19.34 19.37 Advisor Series 9.63 9.65 9.43 9.45 F-Series 9.60 9.62 9.41 9.43 H-Series 12.46 12.49 12.45 12.48 S-Series 12.49 12.51 12.47 12.49 T-Series 12.48 12.51 12.47 12.49 O-Series 9.61 9.62 9.41 9.43 TD Balanced Growth Fund Investor Series 22.34 22.38 22.19 22.23 Advisor Series 11.70 11.72 11.62 11.64 F-Series 11.62 11.63 11.55 11.57 TD Dividend Income Fund Investor Series 27.53 27.58 26.66 26.70 Institutional Series 16.35 16.38 15.84 15.87 Advisor Series 13.75 13.77 13.31 13.33 F-Series 11.29 11.31 10.93 10.95 H-Series 11.39 11.41 11.37 11.39 S-Series 11.37 11.39 11.35 11.37 T-Series 11.33 11.35 11.31 11.33 O-Series 10.95 10.97 10.61 10.63

2011 Semi-Annual Financial Report TD Mutual Funds 363 Notes to Financial Statements June 30, 2011 (Unaudited) Per Unit ($) as at Jun. 30, 2011 Dec. 31, 2010 Fund Net Assets NAV Net Assets NAV TD Dividend Growth Fund Investor Series 55.62 55.71 53.35 53.44 Institutional Series 22.07 22.11 21.17 21.20 Advisor Series 20.22 20.25 19.40 19.43 F-Series 20.89 20.93 20.04 20.07 H-Series 11.44 11.46 11.40 11.41 S-Series 11.39 11.41 11.35 11.37 T-Series 11.40 11.42 11.36 11.38 O-Series 12.10 12.12 11.59 11.61 TD Canadian Blue Chip Equity Fund Investor Series 31.80 31.85 31.30 31.35 Institutional Series 18.37 18.41 17.93 17.96 Advisor Series 16.50 16.53 16.23 16.26 F-Series 15.64 15.67 15.28 15.31 O-Series 10.45 10.47 10.17 10.19 TD Canadian Equity Fund Investor Series 28.76 28.82 29.07 29.12 Institutional Series 14.66 14.68 14.69 14.72 Advisor Series 12.04 12.07 12.17 12.19 F-Series 12.45 12.47 12.50 12.52 O-Series 11.77 11.79 11.77 11.79 TD Canadian Value Fund Investor Series 24.40 24.46 24.43 24.47 Institutional Series 16.77 16.81 16.65 16.68 Advisor Series 12.77 12.80 12.78 12.80 F-Series 13.82 13.86 13.75 13.78 O-Series 10.87 10.90 10.77 10.78 TD Canadian Small-Cap Equity Fund Investor Series 37.08 37.24 38.56 38.66 Institutional Series 19.51 19.59 20.10 20.15 Advisor Series 16.18 16.25 16.82 16.87 F-Series 13.65 13.71 14.08 14.11 O-Series 13.49 13.55 13.87 13.90 TD North American Dividend Fund Investor Series 12.33 12.34 11.83 11.84 Institutional Series 10.52 10.53 10.10 10.10 Advisor Series 7.73 7.74 7.41 7.42 F-Series 7.94 7.95 7.61 7.62 TD U.S. Blue Chip Equity Fund Investor Series 13.20 13.21 12.91 12.92 Institutional Series 15.71 15.71 15.25 15.25 Advisor Series 5.91 5.91 5.78 5.78 F-Series 6.92 6.92 6.72 6.72 O-Series 11.30 11.31 10.92 10.92 TD U.S. Quantitative Equity Fund Investor Series 7.60 7.61 7.26 7.26 Institutional Series N/A N/A 9.36 9.36 TD U.S. Large-Cap Value Fund Investor Series 8.81 8.82 8.77 8.77 Institutional Series 9.14 9.15 9.02 9.02 Advisor Series 8.60 8.61 8.56 8.56 F-Series 9.70 9.71 9.59 9.59 O-Series 10.46 10.46 10.28 10.28 TD U.S. Large-Cap Value Currency Neutral Fund Investor Series 7.90 7.90 7.64 7.64 Advisor Series 8.51 8.51 8.23 8.23 F-Series 9.33 9.33 8.96 8.96 TD U.S. Equity Portfolio Investor Series 10.06 10.06 9.87 9.87 Advisor Series 9.99 9.99 9.80 9.80 F-Series 10.71 10.71 10.43 10.43

364 TD Mutual Funds 2011 Semi-Annual Financial Report Notes to Financial Statements June 30, 2011 (Unaudited) Per Unit ($) as at Jun. 30, 2011 Dec. 31, 2010 Fund Net Assets NAV Net Assets NAV TD U.S. Equity Currency Neutral Portfolio Investor Series 9.49 9.49 9.05 9.05 Advisor Series 9.71 9.71 9.25 9.25 F-Series 10.81 10.81 10.23 10.23 TD U.S. Mid-Cap Growth Fund Investor Series 35.85 35.86 34.63 34.64 Institutional Series 17.21 17.21 16.50 16.50 Advisor Series 11.47 11.47 11.08 11.08 F-Series 13.23 13.23 12.69 12.70 O-Series 12.04 12.05 11.49 11.49 TD U.S. Small-Cap Equity Fund Investor Series 15.98 15.99 15.24 15.24 Institutional Series N/A N/A 13.70 13.70 Advisor Series 14.51 14.52 13.84 13.84 F-Series 12.94 12.95 12.25 12.26 O-Series 12.44 12.45 11.72 11.72 TD Global Dividend Fund Investor Series 8.00 8.00 7.75 7.75 Institutional Series 7.29 7.30 7.06 7.06 Advisor Series 8.00 8.00 7.75 7.75 F-Series 7.97 7.97 7.73 7.73 H-Series 8.56 8.57 8.54 8.54 S-Series 8.45 8.45 8.42 8.42 T-Series 8.52 8.52 8.50 8.50 O-Series 12.19 12.19 11.79 11.79 TD Global Value Fund Investor Series 7.63 7.63 7.54 7.54 Institutional Series N/A N/A 7.13 7.13 Advisor Series 7.61 7.61 7.52 7.52 F-Series 7.79 7.79 7.65 7.65 O-Series 10.32 10.32 10.06 10.06 TD Global Growth Fund Investor Series 13.01 13.01 13.04 13.04 Institutional Series N/A N/A 13.96 13.97 Advisor Series 7.30 7.30 7.32 7.32 F-Series 8.36 8.37 8.33 8.33 O-Series 10.61 10.62 10.51 10.51 TD Global Equity Portfolio Investor Series 6.91 6.91 6.85 6.85 Advisor Series 7.36 7.36 7.30 7.30 F-Series 7.84 7.84 7.72 7.72 TD Global Multi-Cap Fund Investor Series 7.75 7.76 7.93 7.93 Institutional Series 7.35 7.36 7.47 7.47 Advisor Series 7.76 7.77 7.94 7.94 F-Series 7.98 7.99 8.11 8.11 O-Series 8.23 8.23 8.30 8.31 TD Global Sustainability Fund Investor Series 6.72 6.72 7.02 7.02 Institutional Series 11.90 11.91 12.34 12.35 Advisor Series 6.74 6.74 7.04 7.04 F-Series 6.93 6.94 7.20 7.20 O-Series 9.84 9.85 10.15 10.16 TD International Value Fund Investor Series 12.59 12.59 12.79 12.79 Institutional Series 9.13 9.13 9.26 9.26 Advisor Series 6.75 6.75 6.85 6.85 F-Series 6.39 6.39 6.52 6.52 O-Series 9.63 9.63 9.76 9.76

2011 Semi-Annual Financial Report TD Mutual Funds 365 Notes to Financial Statements June 30, 2011 (Unaudited) Per Unit ($) as at Jun. 30, 2011 Dec. 31, 2010 Fund Net Assets NAV Net Assets NAV TD International Growth Fund Investor Series 8.37 8.37 8.32 8.32 Institutional Series 7.81 7.81 7.71 7.71 Advisor Series 8.41 8.41 8.37 8.37 F-Series 8.52 8.52 8.42 8.42 O-Series 10.64 10.64 10.44 10.44 TD European Growth Fund Investor Series 14.78 14.78 14.17 14.17 Institutional Series N/A N/A 12.61 12.61 TD Japanese Growth Fund Investor Series 5.54 5.54 5.84 5.85 Institutional Series 9.00 9.00 9.41 9.41 Advisor Series 6.38 6.38 6.72 6.72 F-Series 6.88 6.88 7.20 7.20 TD Asian Growth Fund Investor Series 13.36 13.37 13.45 13.45 Institutional Series 15.26 15.26 15.23 15.23 Advisor Series 12.08 12.08 12.15 12.15 F-Series 12.44 12.44 12.42 12.42 O-Series 11.50 11.50 11.41 11.41 TD Pacific Rim Investor Series 8.34 8.34 8.63 8.63 TD Emerging Markets Fund Investor Series 15.01 15.02 15.73 15.73 Institutional Series N/A N/A 17.99 18.00 Advisor Series 18.95 18.97 19.86 19.87 F-Series 20.37 20.39 21.18 21.19 O-Series 10.99 11.00 11.36 11.36 TD Latin American Growth Fund Investor Series 26.00 26.05 28.04 28.08 Advisor Series 14.66 14.69 15.81 15.83 F-Series 15.75 15.78 16.86 16.89 TD Resource Fund Investor Series 31.48 31.58 34.29 34.35 Advisor Series 27.80 27.88 30.30 30.35 F-Series 14.71 14.75 15.93 15.96 TD Energy Fund Investor Series 28.15 28.22 29.44 29.49 Advisor Series 9.08 9.10 9.50 9.52 F-Series 9.48 9.50 9.85 9.87 TD Precious Metals Fund Investor Series 70.77 71.16 81.56 81.84 Advisor Series 15.00 15.08 17.29 17.35 F-Series 15.99 16.08 18.33 18.39 TD Entertainment & Communications Fund Investor Series 24.83 24.84 23.88 23.89 Institutional Series N/A N/A 38.06 38.08 Advisor Series 13.54 13.54 13.02 13.02 F-Series 15.52 15.53 14.82 14.83 TD Science & Technology Fund Investor Series 17.92 17.93 17.22 17.22 Institutional Series N/A N/A 22.05 22.05 Advisor Series 4.12 4.12 3.96 3.96 F-Series 4.69 4.69 4.47 4.48 TD Health Sciences Fund Investor Series 18.81 18.82 16.67 16.68 Institutional Series N/A N/A 23.21 23.23 Advisor Series 9.01 9.02 7.99 7.99 F-Series 10.47 10.47 9.21 9.22 O-Series 12.81 12.82 11.20 11.21

366 TD Mutual Funds 2011 Semi-Annual Financial Report Notes to Financial Statements June 30, 2011 (Unaudited) Per Unit ($) as at Jun. 30, 2011 Dec. 31, 2010 Fund Net Assets NAV Net Assets NAV TD Canadian Bond Index Fund Investor Series 10.90 10.91 10.89 10.91 e-Series 11.06 11.07 11.05 11.06 Institutional Series 10.42 10.43 10.42 10.43 F-Series 11.09 11.10 11.09 11.10 O-Series 10.21 10.22 10.21 10.22 TD Balanced Index Fund Investor Series 12.30 12.30 12.25 12.25 TD Canadian Index Fund Investor Series 20.33 20.38 20.39 20.42 e-Series 21.37 21.42 21.38 21.41 Institutional Series 15.50 15.53 15.50 15.53 F-Series 14.35 14.38 14.36 14.38 O-Series 11.05 11.08 11.04 11.05 TD Dow Jones Industrial AverageSM Index Fund Investor Series (USD) 7.94 7.94 7.36 7.36 e-Series (USD) 8.27 8.27 7.64 7.64 F-Series 6.17 6.18 5.89 5.89 TD U.S. Index Fund Investor Series (USD) 10.51 10.51 9.95 9.95 e-Series (USD) 23.03 23.04 21.80 21.80 Institutional Series 6.22 6.23 6.07 6.07 F-Series 5.86 5.86 5.72 5.72 O-Series 9.73 9.73 9.47 9.47 TD U.S. Index Currency Neutral Fund Investor Series 8.23 8.23 7.82 7.82 e-Series 9.69 9.69 9.18 9.18 Institutional Series 8.81 8.81 8.35 8.35 F-Series 8.02 8.02 7.60 7.60 O-Series 11.21 11.21 10.60 10.60 TD Nasdaq® Index Fund Investor Series 5.41 5.41 5.17 5.17 e-Series 5.91 5.91 5.64 5.64 F-Series 6.47 6.47 6.17 6.17 TD International Index Fund Investor Series 8.87 8.87 8.82 8.82 e-Series 9.09 9.09 9.04 9.04 Institutional Series 11.81 11.81 11.75 11.75 F-Series 6.84 6.84 6.79 6.79 O-Series 8.32 8.32 8.28 8.28 TD International Index Currency Neutral Fund Investor Series 5.65 5.65 5.65 5.65 e-Series 7.38 7.38 7.36 7.36 Institutional Series N/A N/A 5.59 5.59 F-Series 5.61 5.61 5.60 5.60 TD European Index Fund Investor Series 7.50 7.50 7.10 7.10 e-Series 7.86 7.86 7.42 7.42 F-Series 7.24 7.24 6.83 6.83 TD Japanese Index Fund Investor Series 6.54 6.54 7.03 7.03 e-Series 6.96 6.96 7.47 7.47 F-Series 5.42 5.42 5.81 5.81

2011 Semi-Annual Financial Report TD Mutual Funds 367 Notes to Financial Statements June 30, 2011 (Unaudited) 11. Financial Risk Management (II)CURRENCYRISK Currency risk is the risk that the value of financial instruments will (A) Financial Risk Factors fluctuate due to changes in foreign exchange rates. Certain Funds Each Fund’s investment activities expose it to a variety of financial risks: may hold assets denominated in currencies other than their functional market risk (including interest rate risk, currency risk, and other price currency, which is generally the Canadian dollar except for the U.S.$ risk), credit risk and liquidity risk. TDAM seeks to reduce these risks Funds. Those Funds are therefore exposed to currency risk, as the value by employing experienced portfolio managers, who invest within the of the securities denominated in other currencies (indicated in those limits as outlined in the Funds’ investment objectives and investment Funds’ Statement of Investment Portfolio) will fluctuate due to changes strategies and applicable TDAM policies and procedures (collectively in the foreign exchange rates of those currencies in relation to those referred to as the “Investment Restrictions”). Investment Restrictions Funds’ functional currency. are designed for the Funds’ exposure to be prudently diversified across Each Fund may enter into foreign exchange forward contracts for geography, sector, and issuer, as applicable. TDAM Risk Management hedging purposes to reduce its foreign currency exposure or to uses a compliance monitoring system to independently monitor the establish exposure to foreign currencies. Certain Funds that invest in Funds’ Investment Restrictions and implements an escalation process underlying mutual funds are exposed to indirect currency risk in the for exceptions, where warranted. event that the underlying mutual funds invest in financial instruments TDAM Risk Management conducts regular reviews of the Funds’ that are denominated in a currency other than the functional exposure using detailed risk reports generated by third party software currencies. A Fund’s exposure to currency risk, where significant, is and, where appropriate holds meetings with the TDAM portfolio disclosed in the respective Fund’s Statement of Investment Portfolio. managers to discuss portfolio positioning and risk reports. In addition, Where applicable, the portfolio managers review each Fund’s currency TDAM Risk Management performs on-site due diligence visits to third- positions as part of the investment management process. party sub-advisers of the TD Mutual Funds. The TDAM Investment Performance Oversight Committee meets regularly to review management style, processes, and fund statistics, including performance and levels of risk.

(I)INTERESTRATERISK Interest rate risk arises from the possibility that changes in interest rates will affect the future cash flows or the fair values of interest-bearing investments. Each Fund’s exposure to interest rate risk is concentrated in its investments in debt securities (such as bonds and debentures) and interest rate derivative instruments, if any. Short-term investments, currencies, and other assets and liabilities are short-term in nature and/or non-interest bearing and not subject to significant amounts of risk due to fluctuations in the prevailing levels of market interest rates. Certain Funds that invest in Underlying Funds are exposed to indirect interest rate risk to the extent of the interest-bearing financial instruments held by the underlying mutual funds. Money market funds invest in securities that are short-term in nature and are not subject to significant amounts of risk due to fluctuations in the prevailing levels of market interest rates unless there are very significant interest rate shocks. A Fund’s exposure to interest rate risk, where applicable, is disclosed in the respective Fund’s Statement of Investment Portfolio. Where applicable, the portfolio managers review each Fund’s overall interest rate sensitivity as part of the investment management process.

368 TD Mutual Funds 2011 Semi-Annual Financial Report Notes to Financial Statements June 30, 2011 (Unaudited) (III)OTHERPRICERISK Other price risk is the risk that securities will fluctuate in value because of changes in market prices (other than those arising from interest rate risk or currency risk). All securities investments present a risk of loss of capital. TDAM seeks to reduce this risk through its Investment Restrictions. Except for written options and equities sold short, the maximum risk resulting from financial instruments is determined by the fair value of the financial instruments. Possible losses from written options and equities sold short can be unlimited. As at June 30, 2011, had the benchmark of each of the following Funds increased or decreased by 5 percent, with all other variables held constant, the net assets of those Funds would have increased or decreased by approximately:

Impact on Impact on Net Assets ($ 000s) Net Assets (%) Jun.30, Dec.31, Jun.30, Dec.31, Fund Benchmark 2011 2010 2011 2010

TD Monthly Income Fund 50% S&P/TSX Sector Indices (Financials, Utilities, Telecommunication Services, Industrials, Consumer Staples, Consumer Discretionary, and Oil and Gas Storage & Transportation sub industry), 40% DEX Universe Bond Index, 10% BMO Capital Markets 50 Preferred Share Index 182,300 161,127 3.30 3.35 TD Balanced Income Fund 50% DEX Universe Bond Index, 35% S&P/TSX Composite Total Return Index, 15% MSCI World Index Net Dividend (C$) 10,835 10,814 2.25 2.22 TD Diversified Monthly Income Fund 50% S&P/TSX Composite Total Return Index, 40% DEX Corporate Bond Index, 10% MSCI World High Dividend Yield Index Net Dividend (C$) 19,010 18,126 3.24 3.20 TD Balanced Growth Fund 45% S&P/TSX Composite Index, 35% DEX Universe Bond Index, 20% MSCI World Index Net Dividend (C$) 31,856 34,904 2.85 2.97 TD Dividend Income Fund 65% S&P/TSX Sector Indices (Financials, Utilities, Telecommunication Services, Industrials, Consumer Staples, Consumer Discretionary, and Oil and Gas Storage & Transportation sub industry), 25% DEX Universe Bond Index 10% BMO Capital Markets 50 Preferred Share Index 217,768 191,716 4.85 4.62 TD Dividend Growth Fund 60% S&P/TSX Sector Indices (Financials, Utilities, Telecommunication Services, Industrials, Consumer Staples, Consumer Discretionary, and Oil and Gas Storage & Transportation sub industry), 40% S&P/TSX 60 Index 261,221 228,760 4.87 4.84 TDCanadianBlueChipEquityFund S&P/TSX60Index 38,292 40,514 3.90 3.87 TD Canadian Equity Fund S&P/TSX Composite Total Return Index 210,675 207,966 6.01 6.17 TD Canadian Value Fund S&P/TSX Composite Index 40,568 41,949 5.31 5.53 TD Canadian Small-Cap Equity Fund 60% S&P/TSX SmallCap Total Return Index, 40% S&P/TSX Completion Total Return Index 21,752 24,048 4.59 4.60 TD North American Dividend Fund 75% MSCI US High Dividend Yield Index Net Dividend (C$), 25% Dow Jones Canada Select Dividend Total Return Index (C$) 5,778 5,281 3.96 3.88 TD U.S. Blue Chip Equity Fund Russell 1000 Growth Total Return Index (C$) 37,611 33,604 5.25 5.31 TD U.S. Quantitative Equity Fund S&P 500 Total Return Index (C$) 3,360 3,515 4.64 4.74 TD U.S. Large-Cap Value Fund Russell 1000 Value Total Return Index (C$) 34,478 32,353 5.06 5.04 TD U.S. Large-Cap Value Currency Neutral Fund Russell 1000 Value Total Return Index (US$) 326 311 5.12 5.19 TD U.S. Equity Portfolio S&P Composite 1500 Total Return Index (C$) 741 590 5.30 5.27 TD U.S. Equity Currency Neutral Portfolio S&P Composite 1500 Total Return Index (US$) 368 264 5.24 5.29 TD U.S. Mid-Cap Growth Fund S&P MidCap 400 Total Return Index (C$) 18,543 15,659 4.65 4.67 TD U.S. Small-Cap Equity Fund Russell 2000 Total Return Index (C$) 1,764 1,213 4.50 4.51

2011 Semi-Annual Financial Report TD Mutual Funds 369 Notes to Financial Statements June 30, 2011 (Unaudited) Impact on Impact on Net Assets ($ 000s) Net Assets (%) Jun.30, Dec.31, Jun.30, Dec.31, Fund Benchmark 2011 2010 2011 2010

TD Global Dividend Fund MSCI World High Dividend Yield Index Net Dividend (C$) 39,705 29,849 4.15 4.04 TD Global Value Fund MSCI World Index Net Dividend (C$) 632 14,421 4.49 4.47 TD Global Growth Fund MSCI World Index Net Dividend (C$) 6,206 27,357 4.85 5.13 TD Global Equity Portfolio MSCI World Index Net Dividend (C$) 1,802 1,978 5.00 5.10 TD Global Multi-Cap Fund MSCI All Country World Index Net Dividend (C$) 72,734 43,589 6.14 6.08 TD Global Sustainability Fund MSCI World Total Return Index Net Dividend (C$) 548 546 5.37 4.93 TD International Value Fund MSCI EAFE Index Net Dividend (C$) 41,580 31,272 5.95 5.84 TD International Growth Fund MSCI EAFE Index Net Dividend (C$) 36,634 32,348 5.21 5.37 TD European Growth Fund MSCI Europe Index Net Dividend (C$) 2,176 2,322 4.49 4.57 TD Japanese Growth Fund Japan TOPIX Index (C$) 935 954 4.43 4.49 TD Asian Growth Fund MSCI All Country Asia Pacific ex-Japan Index Net Dividend (C$) 4,640 5,239 4.28 4.36 TD Pacific Rim Fund MSCI All Country Asia Pacific Index Net Dividend (C$) 1,361 1,567 4.76 4.91 TD Emerging Markets Fund MSCI Emerging Markets Index Net Dividend (C$) 9,965 10,992 4.91 4.89 TD Latin American Growth Fund MSCI Emerging Markets Latin America Index Net Dividend (C$) 10,483 12,188 5.35 5.25 TD Resource Fund S&P/TSX Metals & Mining Industry, S&P/TSX Paper & Forest Products Industry, S&P/TSX Energy Sector Index 13,311 14,121 5.43 5.39 TD Energy Fund S&P/TSX Energy Sector Index 12,602 12,699 4.86 4.84 TD Precious Metals Fund S&P/TSX Global Gold Total Return Index 14,076 15,890 4.51 4.34 TD Entertainment & Communications Fund Lipper Telecommunication Funds Index (C$) 6,568 5,945 4.95 4.84 TD Science & Technology Fund MSCI All Country World Information Technology Index Net Dividend (C$) 6,324 5,700 5.52 5.49 TD Health Sciences Fund Lipper Health/Biotechnology Funds Index (C$) 7,729 7,054 4.95 5.04 TD Balanced Index Fund 48% DEX Universe Bond Index, 32% S&P/TSX Composite Total Return Index, 9% S&P 500 Total Return Index (C$), 9% MSCI EAFE Index Net Dividend (C$), 2% DEX 91 Day T-Bill Index 1,338 1,315 2.47 2.55 TD Canadian Index Fund S&P/TSX Composite Total Return Index 48,986 47,407 4.99 4.99 TD Dow Jones Industrial AverageSM Index Fund Dow Jones Industrial Average Total Return Index (US$) 3,070 2,605 4.99 5.00 TD U.S. Index Fund S&P 500 Total Return Index (US$) 19,158 17,335 5.01 4.99 TD U.S. Index Currency Neutral Fund S&P 500 Total Return Index Hedged (C$) 5,275 5,381 4.80 4.92 TD Nasdaq® Index Fund Nasdaq® 100 Index (US$) 4,067 3,962 4.84 4.97 TD International Index Fund MSCI EAFE Index Net Dividend (C$) 10,681 10,486 5.10 5.09 TD International Index Currency Neutral Fund MSCI EAFE Index Net Dividend (Local Currency) 2,859 2,987 5.06 4.99 TD European Index Fund MSCI Europe Index Gross Dividend (C$) 2,346 2,291 5.14 5.14 TD Japanese Index Fund MSCI Japan Index Gross Dividend (C$) 982 919 4.86 4.84

LEGEND MSCI Morgan Stanley Capital International MSCI EAFE Morgan Stanley Capital International – Europe, Australasia and Far East S&P Standard&Poor’s S&P/TSX Standard & Poor’s/Toronto Stock Exchange TOPIX TokyoStockPriceIndex In practice, the actual trading results may differ from the above approximate sensitivity analysis amounts and the differences could be material.

370 TD Mutual Funds 2011 Semi-Annual Financial Report Notes to Financial Statements June 30, 2011 (Unaudited) (IV)CREDITRISK (B) Classification Of Fair Value Measurement Credit risk is the risk that one party to a financial instrument will cause The Funds classify fair value measurements within a hierarchy that a financial loss to the other party by failing to discharge an obligation. prioritizes the inputs to fair value measurement. The fair value hierarchy Each Fund’s main credit risk concentration is in debt securities and has the following three levels: derivative instruments it holds. A fund’s exposure to credit risk is the risk that an issuer of debt securities or a counterparty to derivative Level 1 Quoted (unadjusted) prices in active markets for identical instruments will be unable to pay amounts in full when due. All assets or liabilities; transactions in listed securities are settled or paid for upon delivery Level 2 Inputs other than quoted prices that are observable for the using approved brokers. The risk of default with a broker is considered asset or liability either directly (that is, as prices) or indirectly minimal, as delivery of securities sold is only made once the broker has (that is, derived from prices); and received payment. Payment is made on a purchase once the securities Level 3 Inputs that are not based on observable market data (that is, have been received by the broker. The trade will fail if either party fails unobservable inputs). to meet its obligation. The hierarchy gives the highest priority to unadjusted quoted prices in Certain Funds that invest in underlying mutual funds are exposed to active markets for identical assets or liabilities (Level 1) and the lowest indirect credit risk in the event that the underlying mutual funds invest priority to unobservable inputs (Level 3). in debt securities and derivatives. The classification within the hierarchy is based on the lowest level input The credit risk from the use of counterparties for forward derivative that is significant to the fair value measurement. For this purpose, the contracts is minimized by: (1) using counterparties with a minimum significance of an input is assessed against the fair value measurement credit rating of A- by Standard & Poor’s or an equivalent rating from in its entirety. If a fair value measurement uses observable inputs that another recognized credit rating agency; (2) limiting the term of the require significant adjustment based on unobservable inputs, that forward contracts to a maximum of 365 days; and, (3) limiting the measurement is a level 3 measurement. Assessing the significance of mark-to-market exposure to any one counterparty to 10 percent of a particular input to the fair value measurement in its entirety requires the portfolio value. judgment, considering factors specific to the asset or liability. Certain Funds may engage in securities lending transactions with The determination of what constitutes ‘observable’ requires significant counterparties that have a minimum credit rating of A by Standard & judgment. The Funds consider observable data to be that market data Poor’s, or an equivalent rating from another recognized credit agency, that is readily available, regularly distributed or updated, reliable and and the value of cash or securities held as collateral must be at least verifiable, not proprietary, and provided by independent sources that 102 percent of the fair value of the securities loaned. are actively involved in the relevant market. The TD Mortgage Fund portfolio consists primarily of conventional The classification of each of the Funds’ financial instruments within the and National Housing Act (NHA) mortgages that are fully backed by fair value hierarchy as at June 30, 2011 and any transfers between either the Government of Canada or TD Bank. Levels during the period as a result of changes in the lowest level input that is significant to the fair value measurement are disclosed in the The Funds’ investments in short-term notes and debt instruments, respective Fund’s Statement of Investment Portfolio. by ratings categories, are disclosed in the respective Fund’s Statement of Investment Portfolio. Where applicable, the portfolio managers review each Fund’s credit positions as part of the investment management process.

(V)LIQUIDITYRISK Liquidity risk is defined as the risk that a fund may not be able to settle or meet its obligations on time or at a reasonable price. Each Fund is exposed to daily cash redemptions of redeemable units. Units are redeemable on demand at the then current NAV per series unit at the option of the unitholder. As required by applicable securities legislation, each Fund maintains at least 85 percent of its assets in Currency codes used throughout the report: liquid investments (i.e. investments that are traded in active markets and can be readily disposed of). In addition, each Fund retains sufficient cash and cash equivalents to maintain liquidity, and has the ability Currency Code Description to borrow up to 5 percent of its NAV for the purpose of funding AUD Australian Dollar redemptions. Contractual maturities analysis for the Funds’ financial BRL Brazilian Real liabilities is disclosed in the Funds’ Statement of Investment Portfolio. CAD Canadian Dollar CHF Swiss Franc Certain Funds may hold securities that are not traded in an active DKK Danish Krone market and may be illiquid. Such investments are identified, EUR Euro where applicable, as restricted securities in the Funds’ Statement GBP British Pound of Investment Portfolio. HKD Hong Kong Dollar Within the limits of the Investment Restrictions, certain Funds may, JPY Japanese Yen MXN Mexican Nuevo Peso from time to time, invest in derivative contracts which are traded NOK Norwegian Krone over the counter (i.e. not traded in an organized market) and may NZD New Zealand Dollar be illiquid. All such positions have been disclosed in the Funds’ SEK Swedish Krona Statements of Investment Portfolio. SGD Singapore Dollar USD United States Dollar

2011 Semi-Annual Financial Report TD Mutual Funds 371 TD Mutual Funds are managed by TD Asset Management ALTHOUGH MSCI SHALL OBTAIN INFORMATION FOR Inc. (TDAM) a wholly-owned subsidiary of The Toronto- INCLUSIONINORFORUSEINTHECALCULATIONOFTHE Dominion Bank (TD Bank) and are available through MSCIINDEXESFROMSOURCESTHATMSCICONSIDERS authorized dealers. Commissions, trailing commissions, RELIABLE, NONE OF THE MSCI PARTIES WARRANTS OR management fees and expenses all may be associated with GUARANTEESTHEORIGINALITY,ACCURACYAND/ORTHE mutual fund investments. Please read the prospectus, which COMPLETENESS OF ANY MSCI INDEX OR ANY DATA contains detailed investment information, before investing. INCLUDEDTHEREIN.NONEOFTHEMSCIPARTIESMAKES Mutual funds are not covered by the Canada Deposit ANY WARRANTY, EXPRESS OR IMPLIED, AS TO RESULTS Insurance Corporation or by any other government deposit TOBEOBTAINEDBYTHEISSUEROFTHEINDEXFUNDS, insurer and are not guaranteed or insured. Their values UNITHOLDERSOFTHEINDEXFUNDSORANYOTHER change frequently. There can be no assurances that a money PERSONORENTITYFROMTHEUSEOFANYMSCIINDEX market fund will be able to maintain its net asset value per OR ANY DATA INCLUDED THEREIN. NONE OF THE MSCI unit at a constant amount or that the full amount of your PARTIES SHALL HAVE ANY LIABILITY FOR ANY ERRORS, investment will be returned to you. Past performance may OMISSIONSORINTERRUPTIONSOFORINCONNECTION not be repeated. WITH ANY MSCI INDEX OR ANY DATA INCLUDED THEREIN. FURTHER,NONEOFTHEMSCIPARTIESMAKESANY The TD International Index Fund, TD International Index EXPRESSORIMPLIEDWARRANTIESOFANYKIND,AND Currency Neutral Fund, TD European Index Fund and TD THE MSCI PARTIES HEREBY EXPRESSLY DISCLAIM ALL Japanese Index Fund (the “Index Funds”) are not sponsored, IMPLIED WARRANTIES (INCLUDING, WITHOUT LIMITATION, endorsed, sold or promoted by MSCI, any of its affiliates, THE IMPLIED WARRANTIES OF MERCHANTABILITY AND any of its information providers or any other party involved FITNESSFORAPARTICULARPURPOSE)WITHRESPECTTO in, or related to, compiling, computing or creating any ANY MSCI INDEX AND ANY DATA INCLUDED THEREIN. MSCI Indexes (collectively, the “MSCI Parties”). The Index WITHOUTLIMITINGANYOFTHEFOREGOING,INNOEVENT Funds have not been passed on by any of the MSCI Parties SHALL ANY OF THE MSCI PARTIES HAVE ANY LIABILITY as to its legality or suitability with respect to any person or FOR ANY DIRECT, INDIRECT, SPECIAL, PUNITIVE, entity. None of the MSCI Parties makes any warranties or CONSEQUENTIALORANYOTHERDAMAGES(INCLUDING bears any liability with respect to the Index Funds. Without LOSTPROFITS)EVENIFNOTIFIEDOFTHEPOSSIBILITYOF limiting the foregoing, none of the MSCI Parties makes SUCHDAMAGES. any representation or warranty, express or implied, to the unitholders of the Index Funds or any member of the public No purchaser, seller or holder of any units of the Index regarding the advisability of investing in funds generally or Funds, or any other person or entity, should use or refer to in the Index Funds particularly or the ability of any MSCI any MSCI trade name, trademark or service mark to sponsor, Indexes to track corresponding stock market performance. endorse, market or promote the Index Funds without first MSCI or its affiliates are the licensors of certain trademarks, contacting MSCI to determine whether MSCI’s permission service marks and trade names and of the MSCI Indexes is required. Under no circumstances may any person or which are determined, composed and calculated by MSCI entity claim any affiliation with MSCI without the prior without regard to the Index Funds, the issuer of the Index written permission of MSCI. Funds, the unitholders of the Index Funds or any other person or entity. None of the MSCI Parties has any obligation to take the needs of the issuer or unitholders of the Index Funds or any other person or entity into consideration in determining, composing or calculating the MSCI Indexes. None of the MSCI Parties is responsible for or has participated in the determination of the timing of, prices at, or quantities of the Index Funds’ units to be issued or in the determination or calculation of the equation by which the Index Funds’ units are redeemable for cash. Further, none of the MSCI Parties has any obligation or liability to the issuers of the Index Funds, the unitholders of the Index Funds or any other person or entity in connection with the administration, marketing or offering of the Index Funds.

372 TD Mutual Funds 2011 Semi-Annual Financial Report The “Dow Jones Industrial AverageSM” is a product of Dow DOWJONES,CMEANDTHEIRRESPECTIVEAFFILIATES Jones Indexes, a licensed trademark of CME Group Index DONOTGUARANTEETHEACCURACYAND/ORTHE Services LLC (“CME”), and has been licensed for use. “Dow COMPLETENESSOFTHEDJIASM OR ANY DATA INCLUDED Jones®”, “Dow Jones Industrial AverageSM”,“DJIASM” and THEREINANDDOWJONES,CMEANDTHEIRRESPECTIVE “Dow Jones Indexes” are service marks of Dow Jones AFFILIATESSHALLHAVENOLIABILITYFORANYERRORS, Trademark Holdings, LLC (“Dow Jones”) and have been OMISSIONS,ORINTERRUPTIONSTHEREIN.DOWJONES, licensed to CME and have been sublicensed for use for CMEANDTHEIRRESPECTIVEAFFILIATESMAKENO certain purposes by TDAM. The TD Dow Jones Industrial WARRANTY, EXPRESS OR IMPLIED, AS TO RESULTS TO BE AverageSM Index Fund (the “Fund”) is not sponsored, OBTAINEDBYTDAM,UNITHOLDERSOFTHEFUND,OR endorsed, sold or promoted by Dow Jones, CME or their ANYOTHERPERSONORENTITYFROMTHEUSEOFTHE respective affiliates. Dow Jones, CME and their respective DJIASM OR ANY DATA INCLUDED THEREIN. DOW JONES, affiliates make no representation or warranty, express or CMEANDTHEIRRESPECTIVEAFFILIATESMAKENOEXPRESS implied, to the unitholders of the Fund or any member of OR IMPLIED WARRANTIES, AND EXPRESSLY DISCLAIMS the public regarding the advisability of investing in securities ALLWARRANTIES,OFMERCHANTABILITYORFITNESSFOR generally or in the Fund particularly. The only relationship APARTICULARPURPOSEORUSEWITHRESPECTTOTHE of Dow Jones, CME or any of their respective affiliates to DJIASM OR ANY DATA INCLUDED THEREIN. WITHOUT TDAM is the licensing of certain trademarks, trade names LIMITINGANYOFTHEFOREGOING,INNOEVENTSHALL and service marks of Dow Jones and of the DJIASM, which DOWJONES,CMEORTHEIRRESPECTIVEAFFILIATESHAVE is determined, composed and calculated by CME without ANYLIABILITYFORANYLOSTPROFITSORINDIRECT, regard to TDAM or the Fund. Dow Jones and CME have no PUNITIVE,SPECIALORCONSEQUENTIALDAMAGESOR obligation to take the needs of TDAM or the unitholders LOSSES,EVENIFNOTIFIEDOFTHEPOSSIBILITYTHEREOF. of the Fund into consideration in determining, composing THEREARENOTHIRDPARTYBENEFICIARIESOFANY or calculating DJIASM. Dow Jones, CME and their respective AGREEMENTSORARRANGEMENTSBETWEENCMEAND affiliates are not responsible for and have not participated TDAM,OTHERTHANTHELICENSORSOFCME. in the determination of the timing of, prices at, or quantities of the Fund to be issued or in the determination or calculation of the equation by which the Fund are to be converted into cash. Dow Jones, CME and their respective affiliates have no obligation or liability in connection with the administration, marketing or trading of the Fund. Notwithstanding the foregoing, CME Group Inc. and its affiliates may independently issue and/or sponsor financial products unrelated to the Fund currently being issued by TDAM, but which may be similar to and competitive with the Fund. In addition, CME Group Inc. and its affiliates may trade financial products which are linked to the performance of the DJIASM. It is possible that this trading activity will affect the value of the DJIASM and the Fund.

2011 Semi-Annual Financial Report TD Mutual Funds 373 The TD Nasdaq® Index Fund (the “Fund”) is not sponsored, The TD Canadian Index Fund (the “Fund”) is not sponsored, endorsed, sold or promoted by The NASDAQ OMX Group, endorsed, sold or promoted by Standard & Poor’s Financial Inc. or its affiliates (NASDAQ OMX, with its affiliates, are Services LLC (“Standard & Poor’s” or “S&P”) or its third party referred to as the “Corporations”). The Corporations have licensors. Neither S&P nor its third party licensors makes not passed on the legality or suitability of, or the accuracy any representation or warranty, express or implied, to the or adequacy of descriptions and disclosures relating to, the unitholders of the Fund or any member of the public Fund. The Corporations make no representation or warranty, regarding the advisability of investing in securities generally express or implied to the unitholders of the Fund or any or in the Fund particularly or the ability of the S&P/TSX member of the public regarding the advisability of investing Composite Index to track general stock market performance. in securities generally or in the Fund particularly, or the S&P’s and its third party licensor’s only relationship to TD ability of the Nasdaq-100 Index® to track general stock Bank is the licensing of certain trademarks and trade names market performance. The Corporations’ only relationship of S&P and the third party licensors and of the S&P/TSX to TDAM is in the licensing of the Nasdaq®,OMX®, Nasdaq- Composite Index which is determined, composed and 100®, and Nasdaq-100 Index® registered trademarks, and calculated by S&P or its third party licensors without regard certain trade names of the Corporations and the use of the to TD Bank or the Fund. S&P and its third party licensors Nasdaq-100 Index® which is determined, composed and have no obligation to take the needs of TD Bank or the calculated by NASDAQ OMX without regard to TDAM or the unitholders of the Fund into consideration in determining, Fund. NASDAQ OMX has no obligation to take the needs composing or calculating the S&P/TSX Composite Index. of TDAM or the unitholders of the Fund into consideration Neither S&P nor its third party licensors is responsible for, in determining, composing or calculating the Nasdaq-100 and has not participated in, the determination of the prices Index®. The Corporations are not responsible for and have and amount of the Fund’s units or the timing of the issuance not participated in the determination of the timing of, prices or sale of the Fund’s units or in the determination or at, or quantities of the Fund’s units to be issued or in the calculation of the equation by which the Fund’s units are determination or calculation of the equation by which the to be converted into cash. S&P has no obligation or liability Fund’s units are to be converted into cash. The Corporations in connection with the administration, marketing or offering have no liability in connection with the administration, of the Fund. marketing or offering of the Fund. NEITHER S&P, ITS AFFILIATES NOR THEIR THIRD PARTY THECORPORATIONSDONOTGUARANTEETHE LICENSORS GUARANTEE THE ADEQUACY, ACCURACY, ACCURACYAND/ORUNINTERRUPTEDCALCULATION TIMELINESS OR COMPLETENESS OF THE S&P/TSX COMPOSITE OF THE NASDAQ-100 INDEX® OR ANY DATA INCLUDED INDEX OR ANY DATA INCLUDED THEREIN OR ANY THEREIN. THE CORPORATIONS MAKE NO WARRANTY, COMMUNICATIONS, INCLUDING BUT NOT LIMITED TO, ORAL EXPRESS OR IMPLIED, AS TO RESULTS TO BE OBTAINED ORWRITTENCOMMUNICATIONS(INCLUDINGELECTRONIC BYTDAM,UNITHOLDERSOFTHEFUND,ORANY COMMUNICATIONS) WITH RESPECT THERETO. S&P, ITS OTHERPERSONORENTITYFROMTHEUSEOFTHE AFFILIATESANDTHEIRTHIRDPARTYLICENSORSSHALLNOT NASDAQ-100 INDEX® OR ANY DATA INCLUDED BESUBJECTTOANYDAMAGESORLIABILITYFORANY THEREIN.THECORPORATIONSMAKENOEXPRESSOR ERRORS,OMISSIONSORDELAYSTHEREIN.S&PMAKES IMPLIED WARRANTIES, AND EXPRESSLY DISCLAIM ALL NO EXPRESS OR IMPLIED WARRANTIES, AND EXPRESSLY WARRANTIES OF MERCHANTABILITY OR FITNESS FOR DISCLAIMS ALL WARRANTIES OF MERCHANTABILITY OR APARTICULARPURPOSEORUSEWITHRESPECTTO FITNESS FOR A PARTICULAR PURPOSE OR USE WITH RESPECT THE NASDAQ-100 INDEX® OR ANY DATA INCLUDED TOTHEMARKS,THES&P/TSXCOMPOSITEINDEXORANY THEREIN. WITHOUT LIMITING ANY OF THE FOREGOING, DATAINCLUDEDTHEREIN.WITHOUTLIMITINGANYOFTHE IN NO EVENT SHALL THE CORPORATIONS HAVE ANY FOREGOING, IN NO EVENT WHATSOEVER SHALL S&P, ITS LIABILITYFORANYLOSTPROFITSORSPECIAL, AFFILIATES OR THEIR THIRD PARTY LICENSORS BE LIABLE FOR INCIDENTAL,PUNITIVE,INDIRECT,ORCONSEQUENTIAL ANY INDIRECT, SPECIAL, INCIDENTAL, PUNITIVE OR DAMAGES,EVENIFNOTIFIEDOFTHEPOSSIBILITYOF CONSEQUENTIALDAMAGES,INCLUDINGBUTNOTLIMITED SUCHDAMAGES. TO,LOSSOFPROFITS,TRADINGLOSSES,LOSTTIMEOR GOODWILL,EVENIFTHEYHAVEBEENADVISEDOFTHE POSSIBILITYOFSUCHDAMAGES,WHETHERINCONTRACT, TORT,STRICTLIABILITYOROTHERWISE. S&P is a trademark of Standard & Poor’s Financial Services LLC and has been licensed for use by TD Bank. “TSX” is a trademark of the TSX, Inc. and has been licensed for use by S&P.

374 TD Mutual Funds 2011 Semi-Annual Financial Report The TD U.S. Index Fund and TD U.S. Index Currency Neutral NEITHER S&P, ITS AFFILIATES NOR THEIR THIRD PARTY Fund (“the U.S. Index Funds”) are not sponsored, endorsed, LICENSORS GUARANTEE THE ADEQUACY, ACCURACY, sold or promoted by Standard & Poor’s Financial Services TIMELINESS OR COMPLETENESS OF THE S&P 500 INDEX OR LLC (“Standard & Poor’s” or “S&P”) or its third party ANY DATA INCLUDED THEREIN OR ANY COMMUNICATIONS, licensors. Neither S&P nor its third party licensors makes INCLUDINGBUTNOTLIMITEDTO,ORALORWRITTEN any representation or warranty, express or implied, to the COMMUNICATIONS (INCLUDING ELECTRONIC COMMUNI- unitholders of the U.S. Index Funds or any member of the CATIONS) WITH RESPECT THERETO. S&P, ITS AFFILIATES public regarding the advisability of investing in securities AND THEIR THIRD PARTY LICENSORS SHALL NOT BE SUBJECT generally or in the U.S. Index Funds particularly or the TOANYDAMAGESORLIABILITYFORANYERRORS, ability of the S&P 500 Index to track general stock market OMISSIONS OR DELAYS THEREIN. S&P MAKES NO EXPRESS performance. S&P’s and its third party licensor’s only OR IMPLIED WARRANTIES, AND EXPRESSLY DISCLAIMS ALL relationship to TD Bank is the licensing of certain trademarks WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A and trade names of S&P and the third party licensors and PARTICULARPURPOSEORUSEWITHRESPECTTOTHE of the S&P 500 Index which is determined, composed and MARKS, THE S&P 500 INDEX OR ANY DATA INCLUDED calculated by S&P or its third party licensors without regard THEREIN. WITHOUT LIMITING ANY OF THE FOREGOING, IN to TD Bank or the U.S. Index Funds. S&P and its third party NO EVENT WHATSOEVER SHALL S&P, ITS AFFILIATES OR licensors have no obligation to take the needs of TD Bank THEIR THIRD PARTY LICENSORS BE LIABLE FOR ANY INDIRECT, or the unitholders of the U.S. Index Funds into consideration SPECIAL,INCIDENTAL,PUNITIVEORCONSEQUENTIAL in determining, composing or calculating the S&P 500 DAMAGES,INCLUDINGBUTNOTLIMITEDTO,LOSSOF Index. Neither S&P nor its third party licensors is responsible PROFITS, TRADING LOSSES, LOST TIME OR GOODWILL, EVEN for, and has not participated in, the determination of the IF THEY HAVE BEEN ADVISED OF THE POSSIBILITY OF SUCH prices and amount of the U.S. Index Funds’ units or the DAMAGES, WHETHER IN CONTRACT, TORT, STRICT LIABILITY timing of the issuance or sale of the U.S. Index Funds’ units OR OTHERWISE. or in the determination or calculation of the equation by S&P is a trademark of Standard & Poor’s Financial Services which the U.S. Index Funds’ units are to be converted into LLC and has been licensed for use by TD Bank. cash. S&P has no obligation or liability in connection with the administration, marketing or offering of the U.S. Index Funds. All trademarks are the property of their respective owners. ®/ The TD logo and other trade-marks are the property of The Toronto-Dominion Bank or a wholly-owned subsidiary, in Canada and/or other countries.

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376 TD Mutual Funds 2011 Semi-Annual Financial Report

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