CATHOLIC UNITED INVESTMENT TRUST ANNUAL REPORT (AUDITED) December 31, 2014 CATHOLIC UNITED INVESTMENT TRUST TABLE OF CONTENTS Page REPORT OF INDEPENDENT AUDITORS 1-2 Statements of Assets and Liabilities 3-4 Schedule of Investments: Money Market Fund 5-7 Short Bond Fund 8-11 Intermediate Diversified Bond Fund 12-20 Opportunistic Bond Fund 21-26 Balanced Fund 27-37 Value Equity Fund 38-40 Core Equity Index Fund 41-47 Growth Fund 48-51 International Equity Fund 52-55 Small Capitalization Equity Index Fund 56-72 Statements of Operations 73-75 Statements of Changes in Net Assets 76-78 NOTES TO FINANCIAL STATEMENTS 79-90 FINANCIAL HIGHLIGHTS 91-93 Crowe Horwath LLP Independent Member Crowe Horwath International INDEPENDENT AUDITOR'S REPORT To the Members of the Board of Trustees and Unit-holders of Catholic United Investment Trust Report on the Financial Statements We have audited the accompanying financial statements of Catholic United Investment Trust – Money Market Fund, Short Bond Fund, Intermediate Diversified Bond Fund, Opportunistic Bond Fund, Balanced Fund, Value Equity Fund, Core Equity Index Fund, Growth Fund, International Equity Fund, and Small Capitalization Equity Index Fund (the “Trust”), which comprise the statement of assets and liabilities as of December 31, 2014, the schedule of investments as of December 31, 2014, the related statements of operations and statements of changes in net assets for the periods ended December 31, 2014 and 2013, and the financial highlights for the periods ended December 31, 2014 and 2013, and the related notes to the financial statements. Management’s Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor’s Responsibility Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. (Continued) 1. Opinion In our opinion, the financial statements, the schedule of investments and financial highlights referred to above present fairly, in all material respects, the assets and liabilities of Catholic United Investment Trust – Money Market Fund, Short Bond Fund, Intermediate Diversified Bond Fund, Balanced Fund, Opportunistic Bond Fund, Value Equity Fund, Core Equity Index Fund, Growth Fund, International Equity Fund, and Small Capitalization Equity Index Fund as of December 31, 2014, the results of its operations and changes in its net assets for the periods ended December 31, 2014 and 2013, and the financial highlights for the periods ended December 31, 2014 and 2013, in accordance with accounting principles generally accepted in the United States of America. Crowe Horwath LLP South Bend, Indiana March 11, 2015 2. CATHOLIC UNITED INVESTMENT TRUST STATEMENT OF ASSETS AND LIABILITIES AS OF DECEMBER 31, 2014 (Amounts in thousands, except per trust unit amounts) Intermediate Diversified Bond Opportunistic Bond ASSETS: Money Market Fund Short Bond Fund Fund Fund Investments, at amortized cost $ 61,290 $ 315,918 $ 1,037,583 $ 353,094 Investments, at fair value$ 61,290 $ 313,770 $ 1,066,047 $ 352,199 Cash 4 - - 7,135 Receivables: Investment securities sold - 28 137 7 Interest 30 1,901 5,542 1,812 Dividends - - - - Tax Reclaims Dividends - - - - Trust units sold - 8 11,722 250 Unrealized gain on forward foreign currency contracts - - - 52 Prepaid Expenses - - - - Total assets 61,324 315,707 1,083,448 361,455 LIABILITIES: Payables: Cash Overdraft - - 36 - Interest Payable - 9 94 18 Investment securities purchased - - 53,673 144 Investment advisory and administrative fees 8 82 316 118 Other fees 6 11 29 19 Unrealized loss on forward foreign currency contracts - - - 13 Securities sold short at fair value (proceeds $3,860) - - - 4,542 Trust units redeemed - 12,749 1,235 Total liabilities 14 102 66,897 6,089 NET ASSETS$ 61,310 $ 315,605 $ 1,016,551 $ 355,366 NET ASSETS CONSIST OF: Paid-in capital$ 61,315 $ 312,398 $ 850,963 $ 356,902 Accumulated undistributed net investment income (loss) - - - - Accumulated net realized gain (loss) (5) 5,355 138,970 41 Net unrealized appreciation (depreciation) on investments and future contracts - (2,148) 26,618 (1,577) Net unrealized gain (loss) on forward foreign currency contracts - - - - NET ASSETS$ 61,310 $ 315,605 $ 1,016,551 $ 355,366 TRUST UNITS OUTSTANDING 61,315 28,345 73,150 35,878 NET ASSET VALUE PER TRUST UNIT OUTSTANDING $ 1.00 $ 11.13 N/A N/A CLASS A SHARES Net Assets Applicable to Trust Units Outstanding N/A N/A$ 259,255 $ 98,821 Trust Units Outstanding N/A N/A 18,649 9,976 Net Asset Value Per Trust Unit Outstanding N/A N/A$ 13.90 $ 9.91 CLASS B SHARES Net Assets Applicable to Trust Units Outstanding N/A N/A$ 757,296 $ 256,545 Trust Units Outstanding N/A N/A 54,501 25,902 Net Asset Value Per Trust Unit Outstanding N/A N/A$ 13.90 $ 9.90 See notes to financial statements. 2 CATHOLIC UNITED INVESTMENT TRUST STATEMENT OF ASSETS AND LIABILITIES AS OF DECEMBER 31, 2014 (Amounts in thousands, except per trust unit amounts) Small Capitalization Value Equity Core Equity International Equity Index ASSETS: Balanced Fund Fund Index Fund Growth Fund Equity Fund Fund Investments, at amortized cost $ 195,500 $ 316,223 $ 929,815 $ 244,106 $ 476,607 $ 238,262 Investments, at fair value$ 247,510 $ 428,352 $ 1,349,647 $ 319,848 $ 505,531 $ 334,901 Cash - - 122 - 78 1 Receivables: Investment securities sold 9 284 - 158 - - Interest 567 - - - - - Dividends 110 283 1,450 166 315 405 Tax Reclaims Dividends - 1 - - 700 - Trust units sold 11 27 3,070 - 6,150 213 Other Receivables 5 - - - - 3 Prepaid Expenses - - - - - - Total assets 248,212 428,947 1,354,289 320,172 512,774 335,523 LIABILITIES: Payables: Cash Overdraft 7 - - - - - Interest Payable 18 43 212 - - - Investment securities purchased 3,901 84 - 159 - - Investment advisory and administrative fees 165 297 196 263 496 84 Other fees 8 26 51 18 47 13 Unrealized loss on forward foreign currency contracts - - - - - - Trust units redeemed - 526 4,465 526 6,674 405 Total liabilities 4,099 976 4,924 966 7,217 502 NET ASSETS$ 244,113 $ 427,971 $ 1,349,365 $ 319,206 $ 505,557 $ 335,021 NET ASSETS CONSIST OF: Paid-in capital$ (16,790) $ 85,189 $ 571,638 $ 48,519 $ 173,422 $ 172,023 Accumulated undistributed net investment income (loss) (4) - - (3,586) 74,163 22,228 Accumulated net realized gain (loss) 209,104 230,652 357,859 198,531 229,048 44,132 Net unrealized appreciation (depreciation) on investments and future contracts 51,803 112,130 419,868 75,742 28,935 96,638 Net unrealized gain (loss) on forward foreign currency contracts - - - - (11) - NET ASSETS$ 244,113 $ 427,971 $ 1,349,365 $ 319,206 $ 505,557 $ 335,021 TRUST UNITS OUTSTANDING 3,281 7,774 28,634 4,605 15,401 20,113 NET ASSET VALUE PER TRUST UNIT OUTSTANDING $ 74.40 N/A N/A N/A N/A N/A CLASS A SHARES Net Assets Applicable to Trust Units Outstanding N/A$ 199,034 $ 140,143 $ 176,799 $ 170,460 $ 111,799 Trust Units Outstanding N/A 3,612 2,973 2,592 5,404 6,811 Net Asset Value Per Trust Unit Outstanding N/A$ 55.11 $ 47.14 $ 68.21 $ 31.54 $ 16.41 CLASS B SHARES Net Assets Applicable to Trust Units Outstanding N/A$ 228,937 $ 1,209,222 $ 142,407 $ 335,097 $ 223,222 Trust Units Outstanding N/A 4,162 25,661 2,013 9,997 13,302 Net Asset Value Per Trust Unit Outstanding N/A$ 55.01 $ 47.12 $ 70.73 $ 33.52 $ 16.78 See notes to financial statements. 3 CATHOLIC UNITED INVESTMENT TRUST SCHEDULE OF INVESTMENTS MONEY MARKET FUND DECEMBER 31, 2014 The Portfolio Portfolio Asset Mix (% of Net Assets) Fixed Income Securities Asset Backed Securities 13.90% Corporate Obligations 45.22% U.S. Agency Obligations 32.34% 5 CATHOLIC UNITED INVESTMENT TRUST SCHEDULE OF INVESTMENTS MONEY MARKET FUND DECEMBER 31, 2014 Principal Amortized Principal Amortized Amount Cost (000's) Amount Corporate Obligations Cost (000's) Asset Backed Securities 13.90% Financial Services 28.95% 27,739 Ally Auto Receivable Trust, 2.230%, due 3/15/16$ 28 Abbey National