SECURITIES AND EXCHANGE COMMISSION FORM N-CSR Certified annual shareholder report of registered management investment companies filed on Form N-CSR Filing Date: 2016-12-29 | Period of Report: 2016-10-31 SEC Accession No. 0001193125-16-805828 (HTML Version on secdatabase.com) FILER Thrivent Core Funds Mailing Address Business Address 625 FOURTH AVENUE 625 FOURTH AVENUE CIK:1669626| IRS No.: 810984919 | State of Incorp.:DE | Fiscal Year End: 1031 SOUTH SOUTH Type: N-CSR | Act: 40 | File No.: 811-23149 | Film No.: 162073224 MINNEAPOLIS MN 55415 MINNEAPOLIS MN 55415 (612) 844-4198 Copyright © 2016 www.secdatabase.com. All Rights Reserved. Please Consider the Environment Before Printing This Document Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM N-CSR CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES Investment Company Act file number: 811-23149 Thrivent Core Funds (Exact name of registrant as specified in charter) 625 Fourth Avenue South Minneapolis, Minnesota 55415 (Address of principal executive offices) (Zip code) Michael W. Kremenak Secretary and Chief Legal Officer 625 Fourth Avenue South Minneapolis, Minnesota 55415 (Name and address of agent for service) Registrants telephone number, including area code: (612) 844-4198 Date of fiscal year end: October 31 Date of reporting period: October 31, 2016 Copyright © 2013 www.secdatabase.com. All Rights Reserved. Please Consider the Environment Before Printing This Document Table of Contents Item 1. Report to Stockholders Copyright © 2013 www.secdatabase.com. All Rights Reserved. Please Consider the Environment Before Printing This Document Table of Contents ANNUAL REPORT OCTOBER 31, 2016 THRIVENT CORE SHORT-TERM RESERVE FUND Copyright © 2013 www.secdatabase.com. All Rights Reserved. Please Consider the Environment Before Printing This Document Table of Contents TABLE OF CONTENTS Portfolio Perspective 2 Shareholder Expense Example 4 Report of Independent Registered Public Accounting Firm 5 Schedule of Investments 6 Statement of Assets and Liabilities 12 Statement of Operations 13 Statement of Changes in Net Assets 14 Notes to Financial Statements 15 Financial Highlights 18 Additional Information 20 Board of Trustees and Officers 23 Copyright © 2013 www.secdatabase.com. All Rights Reserved. Please Consider the Environment Before Printing This Document Table of Contents THRIVENT CORE SHORT-TERM RESERVE FUND William D. Stouten, Portfolio Manager Thrivent Core Short-Term Reserve Fund (the Fund) launched on May 2, 2016, with an objective to seek a high level of current income consistent with liquidity and the preservation of capital. To help meet this objective, the Fund is invested in investment-grade fixed-income securities; however, its overall weighted average maturity (WAM) is limited to 180 days or less to help us manage the fluctuation in the Funds underlying share price. The Funds investments consist of U.S. dollar-denominated debt securities such as: obligations of federal, state and local governments, their agencies and instrumentalities; mortgage-backed and asset-backed securities; corporate debt securities; time deposits; repurchase agreements; and other securities that have debt-like characteristics. The Fund may also invest in other investment companies that have exposure to fixed-income securities. The Fund was established primarily to serve as a cash sweep vehicle for Thrivent Mutual Funds and Thrivent Series Fund, Inc. From inception on May 2, 2016, through October 31, 2016, the Fund earned a return of 0.32%. At the end of the reporting period, the Funds one-day yield was 0.79% and its net assets totaled around $4.7 billion. Approximately 62% of the Funds portfolio was invested in commercial paper and certificates of deposit, 15% in U.S. government obligations, 9% in asset-backed securities, 8% in municipal securities and 6% in corporate bonds. The Funds weighted average life (WAL) was 126 days and its WAM was 74 days at period end. The goal is to extend the Funds WAM closer to 90 days and increase its yield to be more in line with the corresponding London Interbank Offered Rate (LIBOR). However, the limited supply of secondary corporate bonds and nonfinancial commercial paper has made it challenging to reach this goal. Going forward, our primary focus in managing the Fund will be to maximize current income while preserving liquidity and minimizing net asset value volatility. The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions. 2 Copyright © 2013 www.secdatabase.com. All Rights Reserved. Please Consider the Environment Before Printing This Document Table of Contents Portfolio Composition Major Market Sectors Top 10 Holdings (% of Portfolio) (% of Net Assets) (% of Net Assets) Short-Term Investments 100.0% Financials 35.0% U.S. Treasury Notes 9.2% Total 100.0% U.S. Government and U.S. Treasury Notes 8.7% Agencies 14.9% U.S. Treasury Notes 7.0% Asset-Backed Securities 10.8% Federal National U.S. Municipals 9.2% Mortgage Association 6.6% Consumer Federal National Non-Cyclical 7.3% Mortgage Association 4.7% Utilities 6.3% U.S. Treasury Notes 4.3% Foreign 4.3% U.S. Treasury Notes, Consumer Cyclical 3.9% TIPS 4.0% Technology 3.4% Federal National Capital Goods 1.6% Mortgage Association 3.9% Federal Home Loan Mortgage Corporation 3.3% U.S. Treasury Bonds, TIPS 3.3% These securities represent 55.0% of the total net assets of the Fund. Quoted Major Market Sectors, Portfolio Composition and Top 10 Holdings are subject to change. Average Annual Total Returns 1 As of October 31, 2016 From Inception 5/2/2016 0.32% 1 Past performance is not an indication of future results. Average annual total returns represent past performance and reflect changes in share prices, the reinvestment of all dividends and capital gains, and the effects of compounding. The Copyright © 2013 www.secdatabase.com. All Rights Reserved. Please Consider the Environment Before Printing This Document prospectus contains more complete information on the investment objectives, risks, charges and expenses of the investment company, which investors should read and consider carefully before investing. To obtain a prospectus, call 1-800-THRIVENT. The Funds adviser does not charge an advisory fee to the Fund. The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions. Total investments return and principal value of your investment will fluctuate, and your shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data quoted. * The Bloomberg Barclays Short-term Government/Corporate Index 3-6 months is an index which measures the performance of USD denominated, fixed rate, investment grade bonds that are in the government or corporate sector and have a remaining maturity of 3-6 months. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses, or taxes. ** The Consumer Price Index is an inflationary indicator that measures the change in the cost of a fixed basket of products and services, including housing, electricity, food and transportation. It is not possible to invest directly in the Index. 3 Copyright © 2013 www.secdatabase.com. All Rights Reserved. Please Consider the Environment Before Printing This Document Table of Contents SHAREHOLDER EXPENSE EXAMPLE (unaudited) As a shareholder of the Fund, you incur ongoing costs, including administrative fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from May 2, 2016 (inception) through October 31, 2016. Actual Expenses In the table below, the first line provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled Expenses Paid during Period to estimate the expenses you paid on your account during the period. Hypothetical Example for Comparison Purposes In the table below, the second line provides information about hypothetical account values and hypothetical expenses based on the Funds actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Funds actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical example that appears in the shareholder reports of the other funds. Expenses Paid During Period Beginning Account Value Ending Account Value 5/2/2016 (inception) - Annualized 5/2/2016 (inception) 10/31/2016 10/31/2016* Expense Ratio Thrivent Core Short-Term Reserve Fund Actual $ 1,000 $ 1,003 $ 0.05 0.01 % Hypothetical** $ 1,000 $ 1,025 $ 0.05 0.01 % * Expenses are equal to the Funds annualized expense ratio, multiplied by the average account