1290 Funds Semi-Annual Report

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 811-22959

1290 FUNDS

(Exact name of registrant as specified in charter)

1290 Avenue of the Americas

New York, New York 10104

(Address of principal executive offices)

WILLIAM T. MACGREGOR, ESQ.

Executive Vice President and Secretary

Equitable Investment Management Group, LLC

1290 Avenue of the Americas

New York, New York 10104

(Name and Address of Agent for Service)

Copies to:

MARK AMOROSI, ESQ.

K&L Gates LLP

1601 K Street, N.W.

Washington, D.C. 20006

Registrant’s telephone number, including area code: (212) 554-1234

Date of fiscal year end: October 31

Date of reporting period: November 1, 2021 - April 30, 2022


Item 1.		Reports to Stockholders.

		The following is a copy of the report transmitted to shareholders pursuant to Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1).

LOGO

Semi-Annual Report

April 30, 2022

1290 Funds

Semi-Annual Report

April 30, 2022

Table of Contents



Funds

1290 Diversified Bond		1
1290 DoubleLine Dynamic Allocation		13
1290 GAMCO Small/Mid Cap Value		30
1290 High Yield Bond		41
1290 Multi-Alternative Strategies		53
1290 Retirement 2020		60
1290 Retirement 2025		65
1290 Retirement 2030		70
1290 Retirement 2035		75
1290 Retirement 2040		80
1290 Retirement 2045		84
1290 Retirement 2050		89
1290 Retirement 2055		94
1290 Retirement 2060		99
1290 SmartBeta Equity		105

Notes to Financial Statements		118
Approvals of Investment Sub-Advisory and Investment Advisory Agreements (Unaudited)		139

Control Person and Principal Holders of Securities (Unaudited)		143

Proxy Voting Policies and Procedures (Unaudited)		143

Quarterly Portfolio Holdings Information (Unaudited)		143

1290 DIVERSIFIED BOND FUND (Unaudited)



Sector Weightings as of April 30, 2022	% of Net Assets
U.S. Treasury Obligations		60.7	%
Foreign Government Securities		14.5
Financials		10.2
Commercial Mortgage-Backed Securities		3.5
Real Estate		2.4
Energy		2.2
Investment Company		1.8
Industrials		1.3
Information Technology		0.5
Health Care		0.5
Consumer Discretionary		0.5
Collateralized Mortgage Obligations		0.3
Asset-Backed Securities		0.2
Cash and Other		1.4

		100.0	%

Holdings are subject to change without notice.

UNDERSTANDING YOUR EXPENSES:

As a shareholder of the Fund, you incur two types of costs:

(1) transaction costs, including applicable sales charges and redemption fees; and (2) ongoing costs, including investment advisory fees, distribution and/or service (12b-1) fees (in the case of Class A and Class R shares of the Fund), and other Fund expenses. These examples are 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 examples are based on an investment of $1,000 invested at the beginning of the six-month period ended April 30, 2022 and held for the entire six-month period.

Actual Expenses

The first line of the following table 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 this period.

Hypothetical Example for Comparison Purposes

The second line of the following table provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s 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 examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

EXAMPLE



	Beginning Account Value 11/1/21		Ending Account Value 4/30/22		Expenses Paid During Period* 11/1/21 - 4/30/22
Class A
Actual		$1,000.00		$917.00		$3.56
Hypothetical (5% average annual return before expenses)		1,000.00		1,021.08		3.76
Class I
Actual		1,000.00		917.80		2.38
Hypothetical (5% average annual return before expenses)		1,000.00		1,022.32		2.51
Class R
Actual		1,000.00		916.60		4.75
Hypothetical (5% average annual return before expenses)		1,000.00		1,019.84		5.01

* Expenses are equal to the Fund’s A, I and R shares annualized expense ratio of 0.75%, 0.50% and 1.00%, respectively, multiplied by the average account value over the period, and multiplied by 181/365 (to reflect the one-half year period).

1290 FUNDS

1290 DIVERSIFIED BOND FUND

PORTFOLIO OF INVESTMENTS

April 30, 2022 (Unaudited)



	Principal Amount		Value (Note 1)

LONG-TERM DEBT SECURITIES:
Asset-Backed Securities (0.2%)
Aames Mortgage Investment Trust, Series 2006-1 A4 1.228%, 4/25/36 (l)	$	54,998	$	54,941
Popular ABS Mortgage Pass-Through Trust, Series 2005-5 MV1 1.328%, 11/25/35 (l)		95,100		94,918
TICP CLO XI Ltd., Series 2018-11A E 7.063%, 10/20/31 (l)§		1,310,000		1,275,439

Total Asset-Backed Securities				1,425,298

Collateralized Mortgage Obligations (0.3%)
Connecticut Avenue Securities Trust, Series 2018-R07 1M2 3.068%, 4/25/31 (l)§		111,430		111,430
FNMA, Series 2018-C06 1M2 2.668%, 3/25/31 (l)		464,397		464,677
Residential Mortgage Loan Trust, Series 2019-3 A1 2.633%, 9/25/59 (l)§		277,911		272,581
TDA CAM FTA, Series 9 B 0.000%, 4/28/50 (l)(m)	EUR	800,000		704,389
Towd Point Mortgage Trust, Series 2018-3 A2 3.875%, 5/25/58 (l)§	$	345,000		336,487

Total Collateralized Mortgage Obligations				1,889,564

Commercial Mortgage-Backed Securities (3.5%)
FREMF Mortgage Trust, Series 2015-K48 B 3.769%, 8/25/48 (l)§		2,710,000		2,659,208
Series 2017-K61 C 3.814%, 12/25/49 (l)§		955,000		906,860
JPMDB Commercial Mortgage Securities Trust, Series 2018-C8 C 4.875%, 6/15/51 (l)		12,000,000		11,224,512
Wells Fargo Commercial Mortgage Trust, Series 2019-C49 D 3.000%, 3/15/52§		11,154,000		8,959,590

Total Commercial Mortgage-Backed Securities				23,750,170


Convertible Bonds (1.0%)
Health Care (0.5%)
*Health Care Equipment & Supplies (0.5%)*
Haemonetics Corp. (Zero Coupon), 3/1/26		4,030,000		3,181,282

Total Health Care				3,181,282

Information Technology (0.5%)
*Technology Hardware, Storage & Peripherals (0.5%)*
Western Digital Corp. 1.500%, 2/1/24 (e)		3,450,000		3,312,000

Total Information Technology				3,312,000

Total Convertible Bonds				6,493,282

Corporate Bonds (16.6%)
Consumer Discretionary (0.5%)
*Automobiles (0.5%)*
General Motors Co. 6.800%, 10/1/27		1,450,000		1,566,974
6.250%, 10/2/43		1,465,000		1,517,389

				3,084,363

Total Consumer Discretionary				3,084,363

Energy (2.2%)
*Oil, Gas & Consumable Fuels (2.2%)*
Energean Israel Finance Ltd. 5.875%, 3/30/31 (m)		7,380,000		6,605,100
New Fortress Energy, Inc. 6.750%, 9/15/25§		7,060,000		6,927,625
Petroleos Mexicanos 7.690%, 1/23/50		1,540,000		1,202,740

				14,735,465

Total Energy				14,735,465

Financials (10.2%)
*Banks (5.5%)*
Bank of Nova Scotia (The) (United States SOFR Compounded Index + 0.55%), 0.807%, 9/15/23 (k)		12,305,000		12,271,117
Commonwealth Bank of Australia (SOFR + 0.40%), 0.685%, 7/7/25 (k)§		14,390,000		14,261,707
National Australia Bank Ltd. (SOFR + 0.38%), 0.664%, 1/12/25 (k)§		10,650,000		10,615,767

				37,148,591

*Capital Markets (1.7%)*
Ares Capital Corp. 4.250%, 3/1/25		1,070,000		1,058,220
FS KKR Capital Corp. 4.625%, 7/15/24		2,040,000		2,049,286
Golub Capital BDC, Inc. 2.500%, 8/24/26		4,475,000		4,000,826

See Notes to Financial Statements.

1290 FUNDS

1290 DIVERSIFIED BOND FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Principal Amount		Value (Note 1)

Owl Rock Capital Corp. 4.250%, 1/15/26	$	2,580,000	$	2,485,611
2.625%, 1/15/27		2,160,000		1,904,854

				11,498,797

*Consumer Finance (3.0%)*
Capital One Financial Corp. (SOFR + 0.69%), 0.929%, 12/6/24 (k)		12,580,000		12,535,593
General Motors Financial Co., Inc. (SOFR + 1.20%), 1.388%, 11/17/23 (k)		7,635,000		7,627,899

				20,163,492

Total Financials				68,810,880

Industrials (1.3%)
*Aerospace & Defense (1.3%)*
Boeing Co. (The) 3.750%, 2/1/50		6,685,000		5,135,589
5.805%, 5/1/50		2,460,000		2,480,273
3.950%, 8/1/59		1,515,000		1,120,371

				8,736,233

Total Industrials				8,736,233

Real Estate (2.4%)
*Real Estate Management & Development (2.4%)*
Country Garden Holdings Co. Ltd. 4.800%, 8/6/30 (m)		12,250,000		7,533,750
3.875%, 10/22/30 (m)		6,130,000		3,708,650
Vanke Real Estate Hong Kong Co. Ltd. 3.975%, 11/9/27 (m)		5,160,000		4,762,680

				16,005,080

Total Real Estate				16,005,080


Total Corporate Bonds				111,372,021

Foreign Government Securities (14.5%)
Bonos de la Tesoreria 6.150%, 8/12/32	PEN	81,140,000		18,479,516
Notas do Tesouro Nacional 10.000%, 1/1/31	BRL	128,200,000		23,029,511
Republic of Korea Series 5103 1.875%, 3/10/51	KRW	20,710,000,000		12,458,641
Republic of Poland Series 1023 4.000%, 10/25/23	PLN	114,925,000		25,072,424
Titulos de Tesoreria Series B 7.000%, 3/26/31	COP	88,700,000,000		18,164,227

Total Foreign Government Securities				97,204,319


U.S. Treasury Obligations (60.7%)
U.S. Treasury Bonds 2.000%, 8/15/51	$	51,950,000		42,160,963
U.S. Treasury Notes (US Treasury 3 Month Bill Money Market Yield + 0.03%), 0.921%, 7/31/23 (k)		31,935,000		31,999,988
(US Treasury 3 Month Bill Money Market Yield + 0.04%), 0.927%, 10/31/23 (k)		141,980,000		142,319,332
1.875%, 2/15/32		208,400,000		190,555,750

Total U.S. Treasury Obligations				407,036,033

Total Long-Term Debt Securities (96.8%) (Cost $684,246,984)				649,170,687


	Number of Shares		Value (Note 1)
SHORT-TERM INVESTMENT:
*Investment Company (1.8%)*
JPMorgan Prime Money Market Fund, IM Shares		12,388,185		12,391,902

Total Short-Term Investment (1.8%) (Cost $12,391,902)				12,391,902

Total Investments in Securities (98.6%) (Cost $696,638,886)				661,562,589
Other Assets Less Liabilities (1.4%)				9,434,822

Net Assets (100%)			$	670,997,411

Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may only be resold to qualified institutional buyers. At April 30, 2022, the market value of these securities amounted to $46,326,694 or 6.9% of net assets. Securities denoted with “§” but without “b” have been determined to be liquid under the guidelines established by the Board of Trustees. To the extent any securities might provide a right to demand registration, such rights have not been relied upon when determining liquidity.

(e)

Step Bond - Coupon rate increases or decreases in increments to maturity. Rate disclosed is as of April 30, 2022. Maturity date disclosed is the ultimate maturity date.

(k)

Variable or floating rate security, linked to the referenced benchmark. The interest rate shown was the current rate as of April 30, 2022.

(l)

Variable or floating rate security, the interest rate of which adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. The interest rate shown was the current rate as of April 30, 2022.

(m)

Regulation S is an exemption for securities offerings that are made outside of the United States and do not involve direct selling efforts in the United States. Resale restrictions may apply for purposes of the Securities Act of 1933. At April 30, 2022, the market value of these securities amounted to $23,314,569 or 3.5% of net assets.

See Notes to Financial Statements.

1290 FUNDS

1290 DIVERSIFIED BOND FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

Glossary:

AUD

— Australian Dollar

BRL

— Brazilian Real

CAD

— Canadian Dollar

CHF

— Swiss Franc

CLP

— Chilean Peso

CLO

— Collateralized Loan Obligation

CNY

— Chinese Renminbi

COP

— Colombian Peso

EUR

— European Currency Unit

FNMA

— Federal National Mortgage Association

GBP

— British Pound

JPY

— Japanese Yen

KRW

— Korean (South) Won

MXN

— Mexican Peso

NOK

— Norwegian Krone

NZD

— New Zealand Dollar

OTC

— Over- the-counter

PEN

— Peruvian Sol

PLN

— Polish Zloty

SEK

— Swedish Krona

SOFR

— Secured Overnight Financing Rate

THB

— Thailand Baht

USCPI

— United States Consumer Price Index

USD

— United States Dollar



Country Diversification As a Percentage of Total Net Assets
Australia	3.7	%
Brazil	3.4
Canada	1.8
Cayman Islands	0.2
China	2.4
Colombia	2.7
Israel	1.0
Mexico	0.2
Peru	2.8
Poland	3.7
South Korea	1.9
Spain	0.1
United States	74.7
Cash and Other	1.4

	100.0	%

Futures contracts outstanding as of April 30, 2022 (Note 1):


Description	Number of Contracts		Expiration Date		Trading Currency		Notional Amount ($)		Value and Unrealized Appreciation (Depreciation) ($)
Long Contracts
U.S. Treasury 10 Year Note		1,776		6/2022		USD		211,621,500		(8,690,302	)
U.S. Treasury Ultra Bond		423		6/2022		USD		67,865,063		(7,264,618	)

										(15,954,920	)

See Notes to Financial Statements.

1290 FUNDS

1290 DIVERSIFIED BOND FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

Forward Foreign Currency Contracts outstanding as of April 30, 2022 (Note 1):


Currency Purchased		Currency Sold		Counterparty	Settlement Date		Unrealized Appreciation (Depreciation) ($)
USD	22,773,207	NZD	32,820,000	Citibank NA		5/9/2022		1,584,193
USD	22,439,512	PEN	83,800,000	HSBC Bank plc^**		5/9/2022		618,947
USD	20,878,830	AUD	28,830,000	Citibank NA		5/16/2022		504,504
USD	20,514,890	AUD	29,000,000	Goldman Sachs Bank USA		5/16/2022		20,424
USD	20,024,130	AUD	27,150,000	HSBC Bank plc		5/16/2022		837,069
USD	40,804,553	CNY	264,270,000	HSBC Bank plc^**		5/18/2022		702,825
MXN	53,300,000	USD	2,542,028	JPMorgan Chase Bank		5/24/2022		58,987
MXN	268,600,000	USD	12,838,284	Morgan Stanley		5/24/2022		269,268
USD	21,965,688	MXN	446,200,000	Citibank NA		5/24/2022		191,342
USD	16,248,798	MXN	327,800,000	JPMorgan Chase Bank		5/24/2022		252,315
USD	35,242,271	GBP	26,280,000	JPMorgan Chase Bank		5/25/2022		2,197,095
USD	850,664	GBP	650,000	Morgan Stanley		5/25/2022		33,336
USD	10,989,277	THB	363,800,000	HSBC Bank plc		6/10/2022		361,430
USD	21,013,913	NOK	189,100,000	Morgan Stanley		6/13/2022		850,306
USD	40,183,639	KRW	50,060,000,000	Citibank NA^**		6/14/2022		323,464
USD	51,222,301	CHF	47,040,000	Goldman Sachs Bank USA		6/15/2022		2,754,559
USD	777,226	CHF	720,000	HSBC Bank plc		6/15/2022		35,373
USD	16,396,848	BRL	81,090,000	HSBC Bank plc^**		7/18/2022		379,751
USD	33,797,792	CAD	43,200,000	JPMorgan Chase Bank		7/25/2022		181,170
USD	27,528,064	PLN	121,140,000	Goldman Sachs Bank USA		7/27/2022		510,936
USD	18,205,423	COP	72,920,000,000	JPMorgan Chase Bank^**		7/28/2022		48,488

Total unrealized appreciation								12,715,782

NZD	31,790,000	USD	21,086,148	Citibank NA		5/9/2022		(562,115	)
NZD	1,030,000	USD	700,245	HSBC Bank plc		5/9/2022		(35,263	)
PEN	66,700,000	USD	17,601,564	HSBC Bank plc^**		5/9/2022		(233,645	)
USD	14,058,552	PEN	54,500,000	HSBC Bank plc^**		5/9/2022		(132,627	)
MXN	856,800,000	USD	42,197,091	Goldman Sachs Bank USA		5/24/2022		(385,662	)
MXN	678,900,000	USD	33,154,853	JPMorgan Chase Bank		5/24/2022		(24,859	)
USD	72,681,364	MXN	1,499,700,000	Citibank NA		5/24/2022		(503,276	)
USD	832,735	MXN	17,200,000	JPMorgan Chase Bank		5/24/2022		(6,617	)
GBP	26,930,000	USD	34,228,569	JPMorgan Chase Bank		5/25/2022		(366,065	)
THB	363,800,000	USD	11,292,000	HSBC Bank plc		6/10/2022		(664,154	)
NOK	189,100,000	USD	21,205,138	Morgan Stanley		6/13/2022		(1,041,531	)
KRW	84,850,000,000	USD	69,333,399	Citibank NA^**		6/14/2022		(1,771,756	)
CHF	28,630,000	USD	29,953,338	Goldman Sachs Bank USA		6/15/2022		(454,370	)
CHF	19,130,000	USD	20,918,535	Morgan Stanley		6/15/2022		(1,207,907	)
JPY	4,221,000,000	USD	33,131,348	Citibank NA		6/22/2022		(544,004	)
SEK	338,400,000	USD	36,020,693	HSBC Bank plc		7/7/2022		(1,488,457	)
USD	34,405,978	SEK	338,400,000	HSBC Bank plc		7/7/2022		(126,257	)
EUR	28,560,000	USD	31,115,834	Barclays Bank plc		7/26/2022		(850,922	)
PLN	147,800,000	USD	33,949,696	Citibank NA		7/27/2022		(986,747	)
USD	38,251,044	KRW	48,030,000,000	Citibank NA^**		7/28/2022		(23,871	)
CLP	34,900,000,000	USD	43,775,478	HSBC Bank plc^**		9/6/2022		(3,814,629	)

Total unrealized depreciation								(15,224,734	)

Net unrealized depreciation								(2,508,952	)

**	Non-deliverable forward.

See Notes to Financial Statements.

1290 FUNDS

1290 DIVERSIFIED BOND FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

OTC Inflation-linked swap contracts outstanding as of April 30, 2022 (Note 1):

Reference

Entity

Payments
Made by

Fund

Payments
Received by
Fund

Frequency of
Payments
Made/Received

Counterparty

Maturity
Date

Notional
Amount

Unrealized
Appreciation
(Depreciation) ($)

1 month USCPI

2.40% and decrease in total return of index

Increase in total return of index

At termination

JPMorgan Chase Bank

5/24/2031

USD

7,760,000

(928,910

)

1 month USCPI

2.56% and decrease in total return of index

Increase in total return of index

At termination

JPMorgan Chase Bank

5/24/2031

USD

53,400,000

(5,928,307

)

(6,857,217

)

OTC Interest rate swap contracts outstanding as of April 30, 2022 (Note 1):

Reference

Entity

Payments
Made by

Fund

Payments
Received by
Fund

Frequency of
Payments
Made/Received

Counterparty

Maturity
Date

Notional
Amount

Unrealized
Appreciation
(Depreciation) ($)

1 day SOFR

1.37% and decrease in total return of index

Increase in total return of index

At termination

JPMorgan Chase Bank

5/24/2031

USD

61,250,000

5,781,605

1 day SOFR

1.17% and decrease in total return of index

Increase in total return of index

At termination

JPMorgan Chase Bank

5/24/2031

USD

9,290,000

1,046,992

6,828,597

The following is a summary of the inputs, summarized in three broad levels, used to value the Fund’s assets and liabilities carried at fair value as of April 30, 2022:

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.



Investment Type	Level 1 Quoted Prices in Active Markets for Identical Securities		Level 2 Significant Other Observable Inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)		Level 3 Significant Unobservable Inputs (including the Fund’s own assumptions in determining the fair value of investments)		Total
Assets:
Asset-Backed Securities	$	—	$	1,425,298	$	—	$	1,425,298
Collateralized Mortgage Obligations		—		1,889,564		—		1,889,564
Commercial Mortgage-Backed Securities		—		23,750,170		—		23,750,170
Convertible Bonds
Health Care		—		3,181,282		—		3,181,282
Information Technology		—		3,312,000		—		3,312,000
Corporate Bonds
Consumer Discretionary		—		3,084,363		—		3,084,363
Energy		—		14,735,465		—		14,735,465
Financials		—		68,810,880		—		68,810,880
Industrials		—		8,736,233		—		8,736,233
Real Estate		—		16,005,080		—		16,005,080
Foreign Government Securities		—		97,204,319		—		97,204,319
Forward Currency Contracts		—		12,715,782		—		12,715,782
OTC Interest Rate Swaps		—		6,828,597		—		6,828,597

See Notes to Financial Statements.

1290 FUNDS

1290 DIVERSIFIED BOND FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



Investment Type	Level 1 Quoted Prices in Active Markets for Identical Securities			Level 2 Significant Other Observable Inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)			Level 3 Significant Unobservable Inputs (including the Fund’s own assumptions in determining the fair value of investments)		Total
Short-Term Investment
Investment Company	$	12,391,902		$	—		$	—	$	12,391,902
U.S. Treasury Obligations		—			407,036,033			—		407,036,033

Total Assets	$	12,391,902		$	668,715,066		$	—	$	681,106,968


Liabilities:
Forward Currency Contracts	$	—		$	(15,224,734	)	$	—	$	(15,224,734	)
Futures		(15,954,920	)		—			—		(15,954,920	)
OTC Inflation-linked Swaps		—			(6,857,217	)		—		(6,857,217	)

Total Liabilities	$	(15,954,920	)	$	(22,081,951	)	$	—	$	(38,036,871	)

Total	$	(3,563,018	)	$	646,633,115		$	—	$	643,070,097

Fair Values of Derivative Instruments as of April 30, 2022:


	Statement of Assets and Liabilities
Derivatives Contracts^	Asset Derivatives	Fair Value
Interest rate contracts	Receivables, Net assets – Unrealized appreciation	$	6,828,597	*
Foreign exchange contracts	Receivables		12,715,782

Total		$	19,544,379


	Liability Derivatives
Interest rate contracts	Payables, Net assets – Unrealized depreciation	$	(22,812,137	)*
Foreign exchange contracts	Payables		(15,224,734	)

Total		$	(38,036,871	)

*	Includes cumulative appreciation/depreciation of futures contracts as reported in the Portfolio of Investments. Only variation margin is reported within the Statement of Assets & Liabilities.

The Effect of Derivative Instruments on the Statement of Operations for the six months ended April 30, 2022:


Amount of Realized Gain or (Loss) on Derivatives Recognized in Income
Derivatives Contracts^	Futures			Forward Foreign Currency Contracts			Swaps			Total
Interest rate contracts	$	(2,225,533	)	$	—		$	(782,929	)	$	(3,008,462	)
Foreign exchange contracts		—			1,171,427			—			1,171,427
Credit contracts		—			—			(612,604	)		(612,604	)

Total	$	(2,225,533	)	$	1,171,427		$	(1,395,533	)	$	(2,449,639	)


Amount of Unrealized Appreciation or (Depreciation) on Derivatives Recognized in Income
Derivatives Contracts^	Futures			Forward Foreign Currency Contracts			Swaps			Total
Interest rate contracts	$	(14,903,317	)	$	—		$	6,486,922		$	(8,416,395	)
Foreign exchange contracts		—			(1,210,009	)		—			(1,210,009	)
Credit contracts		—			—			(11,360	)		(11,360	)

Total	$	(14,903,317	)	$	(1,210,009	)	$	6,475,562		$	(9,637,764	)

See Notes to Financial Statements.

1290 FUNDS

1290 DIVERSIFIED BOND FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

^ This Portfolio held forward foreign currency, futures and swaps contracts as a substitute for investing in conventional securities, hedging and in an attempt to enhance returns.

The Fund held swap contracts with an average notional balance of approximately $278,421,000, forward foreign currency contracts with an average settlement value of approximately $1,049,213,000 and futures contracts with an average notional balance of approximately $174,036,000 during the six months ended April 30, 2022.

The following table presents the Fund’s gross derivative assets and liabilities by counterparty net of amounts available for offset under netting arrangements and any related collateral received or pledged by the Fund as of April 30, 2022:


Counterparty	Gross Amount of Derivative Assets Presented in the Statement of Assets and Liabilities (a)		Derivatives Available for Offset			Collateral Received			Net Amount Due from Counterparty
Citibank NA	$	2,603,503	$	(2,603,503	)	$	—		$	—
Goldman Sachs Bank USA		3,285,919		(840,032	)		—			2,445,887
HSBC Bank plc		2,935,395		(2,935,395	)		—			—
JPMorgan Chase Bank		9,566,652		(7,254,758	)		—			2,311,894
Morgan Stanley		1,152,910		(1,152,910	)		—			—

Total	$	19,544,379	$	(14,786,598	)	$	—		$	4,757,781


Counterparty	Gross Amount of Derivative Liabilities Presented in the Statement of Assets and Liabilities (a)		Derivatives Available for Offset			Collateral Pledged*			Net Amount Due to Counterparty
Barclays Bank plc	$	850,922	$	—		$	—		$	850,922
Citibank NA		4,391,769		(2,603,503	)		(1,320,000	)		468,266
Goldman Sachs Bank USA		840,032		(840,032	)		—			—
HSBC Bank plc		6,495,032		(2,935,395	)		(3,080,000	)		479,637
JPMorgan Chase Bank		7,254,758		(7,254,758	)		—			—
Morgan Stanley		2,249,438		(1,152,910	)		—			1,096,528

Total	$	22,081,951	$	(14,786,598	)	$	(4,400,000	)	$	2,895,353

(a)

For financial reporting purposes the Fund does not offset derivative assets and derivative liabilities subject to master netting arrangements in the Statement of Assets and Liabilities.

*	The table above does not include the additional collateral pledged to the counterparty. Total additional collateral pledged is $420,000.

Investment security transactions for the six months ended April 30, 2022 were as follows:


Cost of Purchases:
Long-term investments other than U.S. government debt securities	$	187,481,278
Long-term U.S. government debt securities		489,844,619

	$	677,325,897


Net Proceeds of Sales and Redemptions:
Long-term investments other than U.S. government debt securities	$	271,061,434
Long-term U.S. government debt securities		355,703,650

	$	626,765,084

As of April 30, 2022, the gross unrealized appreciation (depreciation) of investments based on the aggregate cost of investments in securities and derivative instruments, if applicable, for Federal income tax purposes was as follows:


Aggregate gross unrealized appreciation	$	20,268,108
Aggregate gross unrealized depreciation		(72,502,788	)

Net unrealized depreciation	$	(52,234,680	)

Federal income tax cost of investments in securities and derivative instruments, if applicable	$	695,304,777

See Notes to Financial Statements.

1290 FUNDS

1290 DIVERSIFIED BOND FUND

STATEMENT OF ASSETS AND LIABILITIES

April 30, 2022 (Unaudited)


ASSETS
Investments in Securities, at value (Cost $696,638,886)	$	661,562,589
Cash		987,053
Cash held as collateral at broker for swaps		420,000
Cash held as collateral at broker for forward foreign currency contracts		4,400,000
Unrealized appreciation on forward foreign currency contracts		12,715,782
Market value on OTC swap contracts		6,828,597
Due from broker for futures variation margin		5,640,883
Receivable for securities sold		4,506,945
Dividends, interest and other receivables		4,478,867
Receivable for Fund shares sold		1,951,986
Prepaid registration and filing fees		51,076

Total assets		703,543,778

LIABILITIES
Foreign currency overdraft payable		56,648
Unrealized depreciation on forward foreign currency contracts		15,224,734
Payable for securities purchased		8,746,988
Market value on OTC swap contracts		6,857,217
Payable for Fund shares redeemed		1,286,802
Investment advisory fees payable		92,559
Administrative fees payable		84,895
Transfer agent fees payable		70,037
Dividends and distributions payable		6,078
Trustees’ fees payable		4,785
Distribution fees payable – Class A		1,719
Distribution fees payable – Class R		655
Accrued expenses		113,250

Total liabilities		32,546,367

NET ASSETS	$	670,997,411

Net assets were comprised of:
Paid in capital	$	753,978,733
Total distributable earnings (loss)		(82,981,322	)

Net assets	$	670,997,411

Class A
Net asset value and redemption price per share, $8,121,632 / 840,022 shares outstanding (unlimited amount authorized: $0.001 par value)	$	9.67
Maximum sales charge (4.50% of offering price)		0.46

Maximum offering price per share	$	10.13

Class I
Net asset value, offering and redemption price per share, $661,272,772 / 68,205,811 shares outstanding (unlimited amount authorized: $0.001 par value)	$	9.70

Class R
Net asset value, offering and redemption price per share, $1,603,007 / 166,704 shares outstanding (unlimited amount authorized: $0.001 par value)	$	9.62

STATEMENT OF OPERATIONS

For the Six Months Ended April 30, 2022 (Unaudited)


INVESTMENT INCOME
Interest (net of $112,075 foreign withholding tax)	$	9,646,262
Dividends		9,306

Total income		9,655,568

EXPENSES
Investment advisory fees		2,066,553
Administrative fees		516,638
Transfer agent fees		226,052
Professional fees		102,420
Printing and mailing expenses		87,626
Custodian fees		78,939
Registration and filing fees		47,326
Trustees’ fees		13,177
Distribution fees – Class A		11,022
Distribution fees – Class R		3,585
Miscellaneous		59,165

Gross expenses		3,212,503
Less: Waiver from investment adviser		(1,476,737	)

Net expenses		1,735,766

NET INVESTMENT INCOME (LOSS)		7,919,802

REALIZED AND UNREALIZED GAIN (LOSS)
Realized gain (loss) on:
Investments in securities		(25,253,248	)
Futures contracts		(2,225,533	)
Forward foreign currency contracts		1,171,427
Foreign currency transactions		(376,320	)
Swaps		(1,395,533	)

Net realized gain (loss)		(28,079,207	)

Change in unrealized appreciation (depreciation) on:
Investments in securities		(29,415,177	)
Futures contracts		(14,903,317	)
Forward foreign currency contracts		(1,210,009	)
Foreign currency translations		26,338
Swaps		6,475,562

Net change in unrealized appreciation (depreciation)		(39,026,603	)

NET REALIZED AND UNREALIZED GAIN (LOSS)		(67,105,810	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	(59,186,008	)

See Notes to Financial Statements.

1290 FUNDS

1290 DIVERSIFIED BOND FUND

STATEMENT OF CHANGES IN NET ASSETS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31, 2021
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS:
Net investment income (loss)	$	7,919,802		$	13,354,973
Net realized gain (loss)		(28,079,207	)		6,590,507
Net change in unrealized appreciation (depreciation)		(39,026,603	)		(16,069,271	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS		(59,186,008	)		3,876,209

Distributions to shareholders:
Class A		(126,747	)		(549,999	)
Class I		(10,385,355	)		(22,879,382	)
Class R		(19,999	)		(30,241	)

Total distributions to shareholders		(10,532,101	)		(23,459,622	)

Tax return of capital:
Class A		—			(16,404	)
Class I		—			(829,457	)
Class R		—			(1,003	)

Total tax return of capital		—			(846,864	)

CAPITAL SHARES TRANSACTIONS:
Class A
Capital shares sold [ 286,318 and 354,825 shares, respectively ]		2,992,696			3,937,868
Capital shares issued in reinvestment of dividends [ 11,933 and 50,304 shares, respectively ]		123,697			561,835
Capital shares repurchased [ (257,642) and (335,811) shares, respectively ]		(2,642,611	)		(3,685,094	)

Total Class A transactions		473,782			814,609

Class I
Capital shares sold [ 12,751,455 and 57,270,804 shares, respectively ]		133,490,459			638,033,981
Capital shares issued in reinvestment of dividends [ 1,000,577 and 2,003,699 shares, respectively ]		10,372,713			22,327,521
Capital shares repurchased [ (8,380,288) and (12,265,377) shares, respectively ]		(87,557,722	)		(135,814,596	)

Total Class I transactions		56,305,450			524,546,906

Class R
Capital shares sold [ 48,247 and 115,920 shares, respectively ]		500,782			1,282,414
Capital shares issued in reinvestment of dividends [ 1,925 and 2,380 shares, respectively ]		19,751			26,328
Capital shares repurchased [ (2,214) and (27,612) shares, respectively ]		(22,475	)		(304,577	)

Total Class R transactions		498,058			1,004,165

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE TRANSACTIONS		57,277,290			526,365,680

TOTAL INCREASE (DECREASE) IN NET ASSETS		(12,440,819	)		505,935,403
NET ASSETS:
Beginning of period		683,438,230			177,502,827

End of period	$	670,997,411		$	683,438,230

See Notes to Financial Statements.

1290 FUNDS

1290 DIVERSIFIED BOND FUND

FINANCIAL HIGHLIGHTS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class A	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	10.70		$	10.68		$	10.34		$	9.52		$	10.12		$	9.89

Income (loss) from investment operations:
Net investment income (loss) (e)		0.11			0.29			0.39			0.41	**		0.26			0.19
Net realized and unrealized gain (loss)		(0.94	)		0.44	†		0.43			0.80			(0.40	)		0.23

Total from investment operations		(0.83	)		0.73			0.82			1.21			(0.14	)		0.42

Less distributions:
Dividends from net investment income		(0.20	)		(0.47	)		(0.15	)		(0.39	)		(0.43	)		(0.19	)
Distributions from net realized gains		—			(0.22	)		(0.33	)		—			—			—
Return of capital		—			(0.02	)		—			—			(0.03	)		—

Total dividends and distributions		(0.20	)		(0.71	)		(0.48	)		(0.39	)		(0.46	)		(0.19	)

Net asset value, end of period	$	9.67		$	10.70		$	10.68		$	10.34		$	9.52		$	10.12

Total return (b)		(8.30	)%		6.73	%		8.32	%		12.97	%		(1.44	)%		4.25	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	8,122		$	8,550		$	7,796		$	3,848		$	190		$	111
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.75	%		0.75	%		0.75	%		0.75	%		1.05	%		1.30	%
Before waivers and reimbursements (a)(f)		1.18	%		1.22	%		1.42	%		1.55	%		1.85	%		1.76	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)		2.05	%		2.62	%		3.76	%*		4.00	%**		2.63	%		1.93	%
Before waivers and reimbursements (a)(f)		1.62	%		2.15	%		3.09	%*		3.19	%**		1.83	%		1.48	%
Portfolio turnover rate^		96	%(z)		165	%		200	%		194	%		139	%***		117	%

	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class I	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	10.72		$	10.71		$	10.37		$	9.53		$	10.13		$	9.89

Income (loss) from investment operations:
Net investment income (loss) (e)		0.12			0.31			0.41			0.42	**		0.27			0.22
Net realized and unrealized gain (loss)		(0.92	)		0.43	†		0.41			0.84			(0.38	)		0.23

Total from investment operations		(0.80	)		0.74			0.82			1.26			(0.11	)		0.45

Less distributions:
Dividends from net investment income		(0.22	)		(0.49	)		(0.15	)		(0.42	)		(0.46	)		(0.21	)
Distributions from net realized gains		—			(0.22	)		(0.33	)		—			—			—
Return of capital		—			(0.02	)		—			—			(0.03	)		—

Total dividends and distributions		(0.22	)		(0.73	)		(0.48	)		(0.42	)		(0.49	)		(0.21	)

Net asset value, end of period	$	9.70		$	10.72		$	10.71		$	10.37		$	9.53		$	10.13

Total return (b)		(8.22	)%		6.85	%		8.34	%		13.43	%		(1.19	)%		4.58	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	661,273		$	673,625		$	169,409		$	81,249		$	30,590		$	71,053
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.50	%		0.50	%		0.50	%		0.50	%		0.91	%		1.05	%
Before waivers and reimbursements (a)(f)		0.93	%		0.96	%		1.17	%		1.34	%		1.54	%		1.51	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)		2.30	%		2.79	%		3.95	%*		4.12	%**		2.70	%		2.18	%
Before waivers and reimbursements (a)(f)		1.88	%		2.33	%		3.28	%*		3.28	%**		2.06	%		1.73	%
Portfolio turnover rate^		96	%(z)		165	%		200	%		194	%		139	%***		117	%

See Notes to Financial Statements.

1290 FUNDS

1290 DIVERSIFIED BOND FUND

FINANCIAL HIGHLIGHTS (Continued)


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class R	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	10.64		$	10.63		$	10.34		$	9.51		$	10.11		$	9.88

Income (loss) from investment operations:
Net investment income (loss) (e)		0.09			0.25			0.35	*		0.35	**		0.23			0.17
Net realized and unrealized gain (loss)		(0.92	)		0.45	†		0.41			0.85			(0.39	)		0.23

Total from investment operations		(0.83	)		0.70			0.76			1.20			(0.16	)		0.40

Less distributions:
Dividends from net investment income		(0.19	)		(0.45	)		(0.14	)		(0.37	)		(0.41	)		(0.17	)
Distributions from net realized gains		—			(0.22	)		(0.33	)		—			—			—
Return of capital		—			(0.02	)		—			—			(0.03	)		—

Total dividends and distributions		(0.19	)		(0.69	)		(0.47	)		(0.37	)		(0.44	)		(0.17	)

Net asset value, end of period	$	9.62		$	10.64		$	10.63		$	10.34		$	9.51		$	10.11

Total return (b)		(8.34	)%		6.44	%		7.77	%		12.84	%		(1.69	)%		4.04	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	1,603		$	1,264		$	298		$	145		$	96		$	101
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		1.00	%		1.00	%		1.00	%		1.00	%		1.32	%		1.55	%
Before waivers and reimbursements (a)(f)		1.43	%		1.47	%		1.67	%		1.88	%		2.09	%		2.01	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)		1.84	%		2.24	%		3.43	%*		3.51	%**		2.34	%		1.68	%
Before waivers and reimbursements (a)(f)		1.41	%		1.77	%		2.75	%*		2.63	%**		1.57	%		1.23	%
Portfolio turnover rate^		96	%(z)		165	%		200	%		194	%		139	%***		117	%

*	Includes accretion, interest and inflation adjustments on Argentine TIPS Bonds. Without this income, the per share income for each class would have been $0.08 lower and the ratios for each class would have been 0.73% lower.

**	Includes accretion, interest and inflation adjustments on Argentine TIPS Bonds. Without this income, the per share income for each class would have been $0.07 lower and the ratios for each class would have been 0.65% lower.

***	The portfolio turnover rate calculation includes purchase and sales made as a result of the replacement of the sub-adviser. Excluding such transactions, the portfolio turnover rate would have been 64%.

^	Portfolio turnover rate excludes derivatives, if any.

†	The amount shown for a share outstanding throughout the period does not accord with the aggregate net income and/or gain on investments for that period because of the timing of sales and repurchases of the Fund shares in relation to fluctuating market value of the investments in the Fund.

(a)

Ratios for periods less than one year are annualized.

(b)

Total returns for periods less than one year are not annualized.

(e)

Net investment income (loss) per share is based on average shares outstanding.

(f)

Expenses do not include the expenses of the underlying funds (“indirect expenses”), if applicable.

(z)

Portfolio turnover rate for periods less than one year is not annualized.

See Notes to Financial Statements.

1290 DOUBLELINE DYNAMIC ALLOCATION FUND (Unaudited)



Sector Weightings as of April 30, 2022	% of Net Assets
U.S. Treasury Obligations		33.7	%
Collateralized Mortgage Obligations		8.8
Investment Companies		8.7
Information Technology		7.4
Financials		5.8
Health Care		5.8
Consumer Discretionary		4.3
Mortgage-Backed Securities		4.2
Communication Services		4.1
Industrials		3.5
Consumer Staples		3.1
Energy		2.6
Asset-Backed Securities		2.4
Repurchase Agreement		2.1
Materials		1.4
Real Estate		0.9
Utilities		0.8
Cash and Other		0.4

		100.0	%

Holdings are subject to change without notice.

UNDERSTANDING YOUR EXPENSES:

As a shareholder of the Fund, you incur two types of costs:

The examples are based on an investment of $1,000 invested at the beginning of the six-month period ended April 30, 2022 and held for the entire six-month period.

Actual Expenses

Hypothetical Example for Comparison Purposes

EXAMPLE



	Beginning Account Value 11/1/21		Ending Account Value 4/30/22		Expenses Paid During Period* 11/1/21 - 4/30/22
Class A
Actual		$1,000.00		$910.00		$5.51
Hypothetical (5% average annual return before expenses)		1,000.00		1,019.03		5.82
Class I
Actual		1,000.00		911.60		4.33
Hypothetical (5% average annual return before expenses)		1,000.00		1,020.27		4.57
Class R
Actual		1,000.00		909.30		6.69
Hypothetical (5% average annual return before expenses)		1,000.00		1,017.79		7.07

* Expenses are equal to the Fund’s A, I and R shares annualized expense ratio of 1.16%, 0.91% and 1.41%, respectively, multiplied by the average account value over the period, and multiplied by 181/365 (to reflect the one-half year period).

1290 FUNDS

1290 DOUBLELINE DYNAMIC ALLOCATION FUND

PORTFOLIO OF INVESTMENTS

April 30, 2022 (Unaudited)



	Principal Amount		Value (Note 1)

LONG-TERM DEBT SECURITIES:
Asset-Backed Securities (2.4%)
GSAA Home Equity Trust, Series 2007-9 A2A 6.500%, 8/25/47	$	320,947	$	221,296
Lehman ABS Mortgage Loan Trust, Series 2007-1 2A4 0.968%, 6/25/37 (l)§		385,156		291,412
Long Beach Mortgage Loan Trust, Series 2006-7 1A 0.978%, 8/25/36(l)		432,585		253,791
Morgan Stanley ABS Capital I, Inc. Trust, Series 2007-HE2 A1 0.798%, 1/25/37 (l)§		894,785		392,494
Tricon Residential Trust, Series 2021-SFR1 E1 2.794%, 7/17/38§		400,000		358,730

Total Asset-Backed Securities				1,517,723

Collateralized Mortgage Obligations (8.8%)
Alternative Loan Trust, Series 2007-9T1 2A1 6.000%, 5/25/37		1,360,319		809,133
Banc of America Alternative Loan Trust, Series 2006-5 CB14 6.000%, 6/25/46 (l)		143,807		133,956
CHL Mortgage Pass-Through Trust, Series 2006-20 1A33 6.000%, 2/25/37		438,108		279,120
Series 2006-OA5 2A1 1.068%, 4/25/46 (l)		540,019		459,586
FHLMC, Series 3998 AZ 4.000%, 2/15/42		1,082,100		1,079,703
FHLMC STACR REMIC Trust, Series 2022-DNA3 M1B 3.151%, 4/25/42 (l)§		500,000		500,317
FNMA, Series 2013-5 EZ 2.000%, 8/25/42		246,307		219,442
Series 2018-21 PO (Zero Coupon), 4/25/48 PO		93,874		78,029
Series 2021-48 NS 3.361%, 8/25/51IO (l)		139,286		10,737
GNMA, Series 2020-188 IO 2.000%, 12/20/50IO		160,974		16,928
Series 2021-117 ID 3.500%, 6/20/51IO		104,209		12,158
Series 2021-159 IU 3.000%, 9/20/51IO		126,733		18,921
HarborView Mortgage Loan Trust, Series 2005-8 1A2A 1.214%, 9/19/35 (l)		327,911		256,812
New Residential Mortgage Loan Trust, Series 2016-1A A1 3.750%, 3/25/56 (l)§		190,765		186,458

PMT Credit Risk Transfer Trust, Series 2019-2R A 3.448%, 5/27/23 (l)§		298,209		295,650
Series 2019-3R A 3.398%, 10/27/22 (l)§		164,238		163,827
RALI Trust, Series 2006-QO10 A1 0.988%, 1/25/37 (l)		409,532		383,658
Series 2006-QS3 1A10 6.000%, 3/25/36		200,550		184,861
Series 2006-QS4 A10 6.000%, 4/25/36		326,164		299,257
Wells Fargo Mortgage Backed Securities Trust, Series 2007-AR6 A2 2.576%, 10/25/37(l)		158,886		154,007

Total Collateralized Mortgage Obligations				5,542,560

Corporate Bonds (14.0%)
Communication Services (1.3%)
*Diversified Telecommunication Services (0.5%)*
AT&T, Inc. 3.500%, 9/15/53		118,000		92,929
3.550%, 9/15/55		70,000		54,238
CCO Holdings LLC 4.750%, 2/1/32§		20,000		17,325
4.250%, 1/15/34§		20,000		15,900
Frontier Communications Holdings LLC 5.875%, 10/15/27§		10,000		9,575
5.000%, 5/1/28§		20,000		18,211
6.000%, 1/15/30§		20,000		17,390
Lumen Technologies, Inc. 5.125%, 12/15/26 (x)§		30,000		27,225
Verizon Communications, Inc. (ICE LIBOR USD 3 Month + 1.10%), 1.606%, 5/15/25 (k)		55,000		55,335
3.875%, 3/1/52		20,000		17,421

				325,549

*Entertainment (0.1%)*
Lions Gate Capital Holdings LLC 5.500%, 4/15/29§		25,000		22,111
Magallanes, Inc. 3.755%, 3/15/27§		60,000		58,016

				80,127

*Media (0.6%)*
Cengage Learning, Inc. 9.500%, 6/15/24§		25,000		24,250
Charter Communications Operating LLC 4.908%, 7/23/25		115,000		116,784
Clear Channel Outdoor Holdings, Inc. 7.500%, 6/1/29§		30,000		28,311
Comcast Corp. 3.400%, 4/1/30		60,000		57,229
Diamond Sports Group LLC 5.375%, 8/15/26§		15,000		5,475

See Notes to Financial Statements.

1290 FUNDS

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PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Principal Amount		Value (Note 1)

Directv Financing LLC 5.875%, 8/15/27§	$	20,000	$	18,800
DISH DBS Corp. 5.750%, 12/1/28§		20,000		17,865
5.125%, 6/1/29		20,000		15,616
McGraw-Hill Education, Inc. 5.750%, 8/1/28§		20,000		17,850
News Corp. 5.125%, 2/15/32§		10,000		9,587
Scripps Escrow, Inc. 5.875%, 7/15/27§		30,000		28,650
Univision Communications, Inc. 4.500%, 5/1/29§		20,000		17,900

				358,317

*Wireless Telecommunication Services (0.1%)*
T-Mobile USA, Inc. 2.250%, 2/15/26		60,000		55,200
3.375%, 4/15/29§		5,000		4,531
3.375%, 4/15/29		10,000		9,088
2.875%, 2/15/31		10,000		8,469

				77,288

Total Communication Services				841,281

Consumer Discretionary (1.8%)
*Auto Components (0.1%)*
American Axle & Manufacturing, Inc. 5.000%, 10/1/29 (x)		15,000		12,900
Dealer Tire LLC 8.000%, 2/1/28§		15,000		14,738
Goodyear Tire & Rubber Co. (The) 5.250%, 7/15/31		35,000		30,341
Icahn Enterprises LP 5.250%, 5/15/27		25,000		23,314

				81,293

*Automobiles (0.0%)†*
Ford Motor Co. 3.250%, 2/12/32		35,000		28,437

*Distributors (0.0%)†*
BCPE Empire Holdings, Inc. 7.625%, 5/1/27§		25,000		23,312

*Diversified Consumer Services (0.1%)*
Metis Merger Sub LLC 6.500%, 5/15/29§		45,000		39,037

*Hotels, Restaurants & Leisure (1.0%)*
Boyne USA, Inc. 4.750%, 5/15/29§		60,000		56,250
Caesars Entertainment, Inc. 4.625%, 10/15/29§		20,000		17,186
Carnival Corp. 5.750%, 3/1/27§		90,000		81,311
Cedar Fair LP 5.250%, 7/15/29 (x)		25,000		23,688
Expedia Group, Inc. 5.000%, 2/15/26		55,000		56,441
3.250%, 2/15/30		60,000		53,428
Fertitta Entertainment LLC 6.750%, 1/15/30§		30,000		26,175

Marriott International, Inc. Series R 3.125%, 6/15/26		60,000		57,977
McDonald’s Corp. 3.600%, 7/1/30		60,000		57,654
Midwest Gaming Borrower LLC 4.875%, 5/1/29§		20,000		17,500
NCL Corp. Ltd. 5.875%, 2/15/27§		20,000		19,018
Premier Entertainment Sub LLC 5.625%, 9/1/29§		30,000		23,925
5.875%, 9/1/31§		30,000		23,663
Scientific Games Holdings LP 6.625%, 3/1/30§		35,000		33,250
Scientific Games International, Inc. 7.250%, 11/15/29§		20,000		20,925
Viking Cruises Ltd. 5.875%, 9/15/27§		55,000		46,581

				614,972

*Household Durables (0.1%)*
Mattamy Group Corp. 4.625%, 3/1/30§		35,000		29,663
SWF Escrow Issuer Corp. 6.500%, 10/1/29§		25,000		19,312

				48,975

*Multiline Retail (0.2%)*
Dollar Tree, Inc. 4.000%, 5/15/25		110,000		110,631

*Specialty Retail (0.3%)*
At Home Group, Inc. 7.125%, 7/15/29§		10,000		7,450
Dick’s Sporting Goods, Inc. 3.150%, 1/15/32		65,000		54,544
Michaels Cos., Inc. (The) 5.250%, 5/1/28§		20,000		17,125
Sonic Automotive, Inc. 4.625%, 11/15/29§		45,000		38,306
SRS Distribution, Inc. 4.625%, 7/1/28§		30,000		27,465
Staples, Inc. 7.500%, 4/15/26§		15,000		14,325
Victoria’s Secret & Co. 4.625%, 7/15/29§		55,000		45,375

				204,590

Total Consumer Discretionary				1,151,247

Consumer Staples (0.9%)
*Beverages (0.2%)*
Anheuser-Busch Cos. LLC 4.900%, 2/1/46		55,000		54,233
Constellation Brands, Inc. 3.150%, 8/1/29		50,000		46,001
2.875%, 5/1/30		10,000		8,904
Primo Water Holdings, Inc. 4.375%, 4/30/29§		20,000		17,379

				126,517

See Notes to Financial Statements.

1290 FUNDS

1290 DOUBLELINE DYNAMIC ALLOCATION FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Principal Amount		Value (Note 1)

*Food & Staples Retailing (0.3%)*
Performance Food Group, Inc. 5.500%, 10/15/27§	$	35,000	$	33,862
4.250%, 8/1/29§		20,000		17,775
Sysco Corp. 5.950%, 4/1/30		49,000		53,309
United Natural Foods, Inc. 6.750%, 10/15/28§		25,000		25,000
US Foods, Inc. 4.625%, 6/1/30§		45,000		40,262

				170,208

*Food Products (0.2%)*
Post Holdings, Inc. 5.500%, 12/15/29§		10,000		9,100
4.625%, 4/15/30§		30,000		25,650
Smithfield Foods, Inc. 4.250%, 2/1/27§		100,000		98,500
3.000%, 10/15/30§		5,000		4,314

				137,564

*Household Products (0.1%)*
Energizer Holdings, Inc. 4.750%, 6/15/28§		35,000		30,625
Kronos Acquisition Holdings, Inc. 5.000%, 12/31/26§		30,000		26,850
7.000%, 12/31/27§		20,000		15,900

				73,375

*Personal Products (0.0%)†*
Coty, Inc. 5.000%, 4/15/26§		20,000		18,900

*Tobacco (0.1%)*
Altria Group, Inc. 4.450%, 5/6/50		50,000		40,803

Total Consumer Staples				567,367

Energy (1.5%)
*Energy Equipment & Services (0.2%)*
Transocean Poseidon Ltd. 6.875%, 2/1/27§		28,125		27,000
Transocean, Inc. 11.500%, 1/30/27§		11,000		10,918
USA Compression Partners LP 6.875%, 9/1/27		50,000		48,937
Weatherford International Ltd. 6.500%, 9/15/28§		20,000		20,200

				107,055

*Oil, Gas & Consumable Fuels (1.3%)*
Antero Midstream Partners LP 5.750%, 3/1/27§		16,000		15,639
BP Capital Markets America, Inc. 2.939%, 6/4/51		75,000		55,776
Chesapeake Energy Corp. 5.875%, 2/1/29§		30,000		29,588
CNX Resources Corp. 6.000%, 1/15/29§		25,000		24,625
Energy Transfer LP 4.750%, 1/15/26		50,000		50,637
4.200%, 4/15/27		5,000		4,908

EQM Midstream Partners LP 4.750%, 1/15/31§		40,000		35,850
Hess Midstream Operations LP 5.125%, 6/15/28 (x)§		35,000		34,037
4.250%, 2/15/30§		35,000		32,025
Hilcorp Energy I LP 6.250%, 11/1/28§		30,000		29,870
5.750%, 2/1/29§		15,000		14,700
Kinder Morgan Energy Partners LP 6.950%, 1/15/38		45,000		51,188
MEG Energy Corp. 7.125%, 2/1/27§		35,000		35,542
5.875%, 2/1/29§		5,000		4,894
NGL Energy Operating LLC 7.500%, 2/1/26§		40,000		37,700
NuStar Logistics LP 6.375%, 10/1/30		25,000		24,634
Occidental Petroleum Corp. 6.625%, 9/1/30		20,000		21,675
6.125%, 1/1/31		25,000		26,219
6.450%, 9/15/36		15,000		16,275
Parkland Corp. 4.500%, 10/1/29§		25,000		21,844
Pioneer Natural Resources Co. 1.900%, 8/15/30		65,000		53,928
Sabine Pass Liquefaction LLC 5.000%, 3/15/27		55,000		56,293
Southwestern Energy Co. 5.375%, 2/1/29		20,000		19,756
4.750%, 2/1/32		20,000		18,925
Sunoco LP 6.000%, 4/15/27		15,000		15,037
4.500%, 5/15/29		10,000		9,000
TotalEnergies Capital International SA 3.386%, 6/29/60		55,000		43,925
Williams Cos., Inc. (The) 3.500%, 10/15/51		30,000		23,163

				807,653

Total Energy				914,708

Financials (2.9%)
*Banks (1.2%)*
Bank of America Corp.
(SOFR + 1.11%), 3.841%, 4/25/25 (k)		15,000		14,988
(US Treasury Yield Curve Rate T Note Constant Maturity 5 Year + 1.20%), 2.482%, 9/21/36 (k)		110,000		88,131
Bank of Montreal
(USD Swap Semi 5 Year + 1.43%), 3.803%, 12/15/32 (k)		60,000		57,023
Bank of Nova Scotia (The) 3.450%, 4/11/25		120,000		118,746
Citigroup, Inc.
(SOFR + 1.35%), 3.057%, 1/25/33 (k)		95,000		82,738
JPMorgan Chase & Co.
(SOFR + 1.26%), 2.963%, 1/25/33 (k)		125,000		110,016

See Notes to Financial Statements.

1290 FUNDS

1290 DOUBLELINE DYNAMIC ALLOCATION FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Principal Amount		Value (Note 1)

Santander Holdings USA, Inc. 3.400%, 1/18/23	$	105,000	$	105,210
(SOFR + 1.25%), 2.490%, 1/6/28 (k)		65,000		58,728
Wells Fargo & Co. 4.650%, 11/4/44		55,000		52,281
Westpac Banking Corp.
(US Treasury Yield Curve Rate T Note Constant Maturity 5 Year + 1.53%), 3.020%, 11/18/36 (k)		65,000		53,638

				741,499

*Capital Markets (0.4%)*
Ares Capital Corp. 2.150%, 7/15/26		55,000		48,663
Goldman Sachs Group, Inc. (The)
(SOFR + 0.82%), 1.065%, 9/10/27 (k)		120,000		116,088
Morgan Stanley
(SOFR + 1.36%), 2.484%, 9/16/36 (k)		125,000		99,651

				264,402

*Consumer Finance (0.7%)*
American Express Co. 3.400%, 2/22/24		50,000		50,103
Avolon Holdings Funding Ltd. 3.250%, 2/15/27§		105,000		95,419
Discover Financial Services 4.100%, 2/9/27		80,000		79,191
General Motors Financial Co., Inc. 2.400%, 10/15/28		65,000		55,518
Navient Corp. 5.000%, 3/15/27		15,000		13,627
OneMain Finance Corp. 6.625%, 1/15/28		30,000		29,625
Synchrony Financial 2.875%, 10/28/31		105,000		86,255

				409,738

*Insurance (0.5%)*
Alliant Holdings Intermediate LLC 6.750%, 10/15/27§		20,000		18,925
AmWINS Group, Inc. 4.875%, 6/30/29§		30,000		27,325
Athene Global Funding
(United States SOFR Compounded Index + 0.56%), 0.748%, 8/19/24 (k)§		115,000		112,798
GTCR AP Finance, Inc. 8.000%, 5/15/27§		30,000		29,850
NFP Corp. 6.875%, 8/15/28§		20,000		17,650
Prudential Financial, Inc. 3.905%, 12/7/47		55,000		49,945
Willis North America, Inc. 4.500%, 9/15/28		55,000		54,811

				311,304


*Thrifts & Mortgage Finance (0.1%)*
Nationstar Mortgage Holdings, Inc. 5.750%, 11/15/31§		60,000		53,250
PennyMac Financial Services, Inc. 4.250%, 2/15/29§		45,000		36,113

				89,363

Total Financials				1,816,306

Health Care (1.5%)
*Biotechnology (0.2%)*
AbbVie, Inc. 4.700%, 5/14/45		115,000		111,417

*Health Care Equipment & Supplies (0.1%)*
Mozart Debt Merger Sub, Inc. 5.250%, 10/1/29 (x)§		40,000		34,800
Ortho-Clinical Diagnostics, Inc. 7.250%, 2/1/28§		25,000		25,063

				59,863

*Health Care Providers & Services (0.9%)*
Anthem, Inc. 2.375%, 1/15/25		50,000		48,443
4.550%, 5/15/52		15,000		14,691
Centene Corp. 2.500%, 3/1/31		65,000		54,031
Cigna Corp. 4.900%, 12/15/48		30,000		30,025
Community Health Systems, Inc. 6.000%, 1/15/29§		30,000		28,275
6.875%, 4/15/29§		30,000		26,250
CVS Health Corp. 5.050%, 3/25/48		80,000		81,143
HCA, Inc. 4.125%, 6/15/29		60,000		57,514
Legacy LifePoint Health LLC 6.750%, 4/15/25§		10,000		10,200
4.375%, 2/15/27§		25,000		23,125
ModivCare Escrow Issuer, Inc. 5.000%, 10/1/29§		10,000		8,728
Owens & Minor, Inc. 6.625%, 4/1/30§		30,000		29,394
Radiology Partners, Inc. 9.250%, 2/1/28§		20,000		18,900
RP Escrow Issuer LLC 5.250%, 12/15/25§		40,000		37,400
Select Medical Corp. 6.250%, 8/15/26§		55,000		54,587
Tenet Healthcare Corp. 6.125%, 10/1/28§		40,000		38,326

				561,032

*Life Sciences Tools & Services (0.1%)*
Thermo Fisher Scientific, Inc. 1.215%, 10/18/24		105,000		99,594

*Pharmaceuticals (0.2%)*
Bausch Health Cos., Inc. 6.125%, 2/1/27§		15,000		14,381
6.250%, 2/15/29§		20,000		14,500
Endo Luxembourg Finance Co. I SARL 6.125%, 4/1/29§		20,000		17,500

See Notes to Financial Statements.

1290 FUNDS

1290 DOUBLELINE DYNAMIC ALLOCATION FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Principal Amount		Value (Note 1)

Royalty Pharma plc 3.300%, 9/2/40	$	70,000	$	54,689

				101,070

Total Health Care				932,976

Industrials (1.3%)
*Aerospace & Defense (0.3%)*
Boeing Co. (The) 2.950%, 2/1/30		65,000		56,783
Raytheon Technologies Corp. 3.030%, 3/15/52		65,000		50,511
TransDigm, Inc. 6.250%, 3/15/26§		55,000		55,069
5.500%, 11/15/27		30,000		27,412

				189,775

*Air Freight & Logistics (0.0%)†*
FedEx Corp. 4.750%, 11/15/45		10,000		9,459

*Airlines (0.1%)*
American Airlines, Inc. 5.750%, 4/20/29§		40,000		38,458
United Airlines, Inc. 4.625%, 4/15/29§		20,000		18,350

				56,808

*Building Products (0.2%)*
Griffon Corp. 5.750%, 3/1/28		50,000		44,500
Owens Corning 4.400%, 1/30/48		60,000		54,061

				98,561

*Commercial Services & Supplies (0.2%)*
Allied Universal Holdco LLC 6.625%, 7/15/26§		20,000		19,750
9.750%, 7/15/27§		40,000		38,752
Garda World Security Corp. 6.000%, 6/1/29§		35,000		29,138
Madison IAQ LLC 4.125%, 6/30/28§		25,000		22,195
WASH Multifamily Acquisition, Inc. 5.750%, 4/15/26§		30,000		29,100

				138,935

*Construction & Engineering (0.2%)*
Pike Corp. 5.500%, 9/1/28§		65,000		59,800
Quanta Services, Inc. 2.350%, 1/15/32		70,000		57,863

				117,663

*Road & Rail (0.2%)*
CSX Corp. 3.800%, 11/1/46		60,000		52,886
NESCO Holdings II, Inc. 5.500%, 4/15/29§		5,000		4,712
Penske Truck Leasing Co. LP 4.200%, 4/1/27§		60,000		60,276

Uber Technologies, Inc. 4.500%, 8/15/29§		20,000		17,179

				135,053

*Trading Companies & Distributors (0.1%)*
Air Lease Corp. 1.875%, 8/15/26		55,000		48,834

Total Industrials				795,088

Information Technology (0.9%)
*Communications Equipment (0.1%)*
Avaya, Inc. 6.125%, 9/15/28§		20,000		18,400
CommScope, Inc. 4.750%, 9/1/29§		25,000		20,860

				39,260

*IT Services (0.1%)*
Western Union Co. (The) 2.750%, 3/15/31		115,000		98,638

*Semiconductors & Semiconductor Equipment (0.4%)*
Broadcom, Inc. 3.500%, 2/15/41§		140,000		108,918
NXP BV 3.875%, 6/18/26§		120,000		117,929
Qorvo, Inc. 1.750%, 12/15/24§		20,000		18,867

				245,714

*Software (0.2%)*
Clarivate Science Holdings Corp. 4.875%, 7/1/29§		40,000		35,250
Minerva Merger Sub, Inc. 6.500%, 2/15/30 (x)§		40,000		36,750
Oracle Corp. 3.600%, 4/1/50		55,000		39,492

				111,492

*Technology Hardware, Storage & Peripherals (0.1%)*
NetApp, Inc. 1.875%, 6/22/25		60,000		56,526

Total Information Technology				551,630

Materials (0.6%)
*Chemicals (0.2%)*
ASP Unifrax Holdings, Inc. 5.250%, 9/30/28§		35,000		30,429
CVR Partners LP 6.125%, 6/15/28§		20,000		19,550
EverArc Escrow SARL 5.000%, 10/30/29§		40,000		35,073
WR Grace Holdings LLC 5.625%, 8/15/29§		40,000		34,450

				119,502

*Containers & Packaging (0.2%)*
Clydesdale Acquisition Holdings, Inc. 6.625%, 4/15/29 (x)§		30,000		30,188
Packaging Corp. of America 3.000%, 12/15/29		60,000		55,335

See Notes to Financial Statements.

1290 FUNDS

1290 DOUBLELINE DYNAMIC ALLOCATION FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Principal Amount		Value (Note 1)

WRKCo, Inc. 3.750%, 3/15/25	$	60,000	$	60,125

				145,648

*Metals & Mining (0.2%)*
Arconic Corp. 6.125%, 2/15/28§		40,000		38,750
Glencore Funding LLC 1.625%, 4/27/26§		40,000		36,133
3.375%, 9/23/51§		30,000		22,184
SunCoke Energy, Inc. 4.875%, 6/30/29§		25,000		22,406

				119,473

Total Materials				384,623

Real Estate (0.5%)
*Equity Real Estate Investment Trusts (REITs) (0.4%)*
Alexandria Real Estate Equities, Inc. (REIT) 3.000%, 5/18/51		70,000		51,841
Crown Castle International Corp. (REIT) 3.650%, 9/1/27		60,000		57,531
Invitation Homes Operating Partnership LP (REIT) 2.700%, 1/15/34		70,000		56,441
Iron Mountain, Inc. (REIT) 4.500%, 2/15/31§		15,000		12,835
Park Intermediate Holdings LLC (REIT) 4.875%, 5/15/29§		25,000		22,837
Welltower, Inc. (REIT) 2.050%, 1/15/29		65,000		56,726

				258,211

*Real Estate Management & Development (0.1%)*
Realogy Group LLC 5.750%, 1/15/29§		20,000		16,724
5.250%, 4/15/30§		35,000		28,219

				44,943

Total Real Estate				303,154

Utilities (0.8%)
*Electric Utilities (0.5%)*
Duke Energy Carolinas LLC 3.550%, 3/15/52		15,000		12,906
Exelon Corp. 4.100%, 3/15/52§		15,000		13,298
Monongahela Power Co. 5.400%, 12/15/43§		55,000		57,413
NRG Energy, Inc. 3.625%, 2/15/31§		45,000		37,438
Pacific Gas and Electric Co. 1.367%, 3/10/23		60,000		59,121
2.500%, 2/1/31		70,000		55,519
Southern Co. (The) Series 21-A (US Treasury Yield Curve Rate T Note Constant Maturity 5 Year + 2.92%), 3.750%, 9/15/51 (k)		60,000		53,994

				289,689


*Gas Utilities (0.2%)*
Brooklyn Union Gas Co. (The) 4.487%, 3/4/49§		55,000		49,401
Ferrellgas LP 5.375%, 4/1/26§		15,000		13,650
Suburban Propane Partners LP 5.000%, 6/1/31§		40,000		36,000
Superior Plus LP 4.500%, 3/15/29§		35,000		31,981

				131,032

*Independent Power and Renewable Electricity Producers (0.0%)†*
Calpine Corp. 5.125%, 3/15/28§		25,000		22,610
4.625%, 2/1/29§		15,000		13,125

				35,735

*Water Utilities (0.1%)*
Essential Utilities, Inc. 2.704%, 4/15/30		65,000		58,145

Total Utilities				514,601

Total Corporate Bonds				8,772,981

Mortgage-Backed Securities (4.2%)
FHLMC UMBS 2.000%, 9/1/51		261,924		232,725
2.000%, 11/1/51		389,225		344,741
FNMA 2.460%, 4/1/32		103,070		94,462
FNMA UMBS 3.000%, 10/1/46		408,628		391,712
3.000%, 2/1/47		144,600		138,478
4.000%, 5/1/49		239,191		240,945
2.500%, 2/1/51		293,616		269,357
2.500%, 11/1/51		366,820		337,201
2.500%, 12/1/51		59,012		54,026
2.500%, 1/1/52		98,699		90,328
GNMA 2.500%, 10/20/51		265,951		246,758
2.500%, 11/20/51		181,314		168,172

Total Mortgage-Backed Securities				2,608,905

U.S. Treasury Obligations (8.7%)
U.S. Treasury Bonds 2.250%, 5/15/41		230,000		199,689
2.375%, 2/15/42		300,000		265,922
1.250%, 5/15/50		1,480,000		991,011
2.250%, 2/15/52		380,000		327,928
U.S. Treasury Notes 0.125%, 3/31/23		200,000		196,537
0.125%, 4/30/23		370,000		362,663
0.125%, 7/31/23		320,000		311,116
2.250%, 3/31/24 (x)		480,000		476,064
2.625%, 4/15/25		530,000		526,480
0.375%, 11/30/25		290,000		264,986
2.500%, 3/31/27 (x)		670,000		657,258
1.250%, 3/31/28		140,000		127,098
2.375%, 3/31/29		530,000		511,518

See Notes to Financial Statements.

1290 FUNDS

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PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Principal Amount		Value (Note 1)

1.875%, 2/15/32	$	280,000	$	256,025

Total U.S. Treasury Obligations				5,474,295

Total Long-Term Debt Securities (38.1%) (Cost $26,080,938)				23,916,464


	Number of Shares		Value (Note 1)
COMMON STOCKS:
Communication Services (2.8%)
*Interactive Media & Services (2.2%)*
Alphabet, Inc., Class A*		394		899,183
Meta Platforms, Inc., Class A*		2,440		489,147

				1,388,330

*Media (0.6%)*
Comcast Corp., Class A		8,421		334,819

Total Communication Services				1,723,149

Consumer Discretionary (2.5%)
*Hotels, Restaurants & Leisure (0.5%)*
McDonald’s Corp.		1,251		311,699

*Internet & Direct Marketing Retail (1.1%)*
Amazon.com, Inc.*		274		681,063

*Multiline Retail (0.5%)*
Dollar General Corp.		1,477		350,832

*Specialty Retail (0.4%)*
Ross Stores, Inc.		2,372		236,654

Total Consumer Discretionary				1,580,248

Consumer Staples (2.2%)
*Beverages (0.7%)*
Constellation Brands, Inc., Class A		1,798		442,470

*Food & Staples Retailing (0.4%)*
Sysco Corp.		2,681		229,172

*Household Products (0.6%)*
Procter & Gamble Co. (The)		2,562		411,329

*Tobacco (0.5%)*
Philip Morris International, Inc.		3,036		303,600

Total Consumer Staples				1,386,571

Energy (1.1%)
*Oil, Gas & Consumable Fuels (1.1%)*
Exxon Mobil Corp.		4,931		420,368
Pioneer Natural Resources Co.		1,230		285,938

				706,306

Total Energy				706,306

Financials (2.9%)
*Banks (1.0%)*
Bank of America Corp.		10,138		361,724
Truist Financial Corp.		5,344		258,382

				620,106

*Capital Markets (0.8%)*
Charles Schwab Corp. (The)		4,116		273,015

Intercontinental Exchange, Inc.		2,189		253,508

				526,523

*Consumer Finance (0.3%)*
American Express Co.		1,193		208,429

*Insurance (0.8%)*
Aflac, Inc.		4,509		258,275
Markel Corp.*		153		207,052

				465,327

Total Financials				1,820,385

Health Care (4.3%)
*Biotechnology (0.4%)*
BioMarin Pharmaceutical, Inc.*		1,918		156,029
Vertex Pharmaceuticals, Inc.*		421		115,026

				271,055

*Health Care Equipment & Supplies (1.2%)*
Alcon, Inc. (x)		3,442		245,105
Boston Scientific Corp.*		11,506		484,518

				729,623

*Health Care Providers & Services (1.6%)*
Anthem, Inc.		827		415,096
UnitedHealth Group, Inc.		1,149		584,324

				999,420

*Pharmaceuticals (1.1%)*
AstraZeneca plc (ADR)		6,361		422,370
Roche Holding AG (ADR)		2,759		127,411
Zoetis, Inc.		837		148,358

				698,139

Total Health Care				2,698,237

Industrials (2.2%)
*Aerospace & Defense (0.6%)*
Boeing Co. (The)*		2,304		342,927

*Electrical Equipment (0.8%)*
AMETEK, Inc.		1,541		194,567
nVent Electric plc		9,473		319,998

				514,565

*Machinery (0.4%)*
Fortive Corp.		4,716		271,170

*Trading Companies & Distributors (0.4%)*
Herc Holdings, Inc.		2,161		276,219

Total Industrials				1,404,881

Information Technology (6.5%)
*Communications Equipment (0.5%)*
Motorola Solutions, Inc.		1,366		291,901

*Electronic Equipment, Instruments & Components (0.3%)*
Corning, Inc.		5,676		199,738

*IT Services (1.3%)*
Fidelity National Information Services, Inc.		3,041		301,515
PayPal Holdings, Inc.*		2,306		202,767

See Notes to Financial Statements.

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PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

Visa, Inc., Class A		1,321	$	281,545

				785,827

*Semiconductors & Semiconductor Equipment (0.3%)*
Analog Devices, Inc.		1,409		217,521

*Software (2.8%)*
Adobe, Inc.*		630		249,449
Microsoft Corp.		4,704		1,305,454
Splunk, Inc.*		1,565		190,961

				1,745,864

*Technology Hardware, Storage & Peripherals (1.3%)*
Apple, Inc.		5,343		842,324

Total Information Technology				4,083,175

Materials (0.8%)
*Chemicals (0.8%)*
DuPont de Nemours, Inc.		3,679		242,556
International Flavors & Fragrances, Inc.		1,827		221,615

				464,171

Total Materials				464,171

Real Estate (0.4%)
*Equity Real Estate Investment Trusts (REITs) (0.4%)*
American Tower Corp. (REIT)		1,121		270,183

Total Real Estate				270,183

Total Common Stocks (25.7%) (Cost $12,461,527)				16,137,306

INVESTMENT COMPANIES:
Fixed Income (5.3%)
DoubleLine Floating Rate Fund , Class I‡		223,875		2,102,184
DoubleLine Global Bond Fund , Class I‡		142,691		1,254,253

Total Investment Companies (5.3%) (Cost $3,585,155)				3,356,437

SHORT-TERM INVESTMENTS:
Investment Company (3.4%)
JPMorgan Prime Money Market Fund, IM Shares		2,137,192		2,137,833


	Principal Amount		Value (Note 1)
Repurchase Agreement (2.1%)
Natwest Markets Securities, Inc., 0.30%, dated 4/29/22, due 5/2/22, repurchase price $1,314,272, collateralized by various U.S. Government Treasury Securities, ranging from 0.125%-3.625%, maturing 7/15/22-2/15/50; total market value $1,340,575. (xx)	$	1,314,239		1,314,239


U.S. Treasury Obligations (25.0%)
U.S. Treasury Bills 0.47%, 6/16/22 (p)		3,500,000		3,497,869
1.08%, 9/8/22 (p)		3,400,000		3,386,750
1.46%, 12/1/22 (p)		1,500,000		1,487,004
1.49%, 12/29/22 (p)(t)		4,000,000		3,960,272
1.64%, 1/26/23 (p)		400,000		395,117
1.76%, 2/23/23 (p)(t)		3,000,000		2,956,766

Total U.S. Treasury Obligations				15,683,778

Total Short-Term Investments (30.5%) (Cost $19,212,020)				19,135,850

Total Investments in Securities (99.6%) (Cost $61,339,640)				62,546,057
Other Assets Less Liabilities (0.4%)				238,314

Net Assets (100%)			$	62,784,371

*	Non-income producing.

†	Percent shown is less than 0.05%.

‡	All, or a portion, of the security is an affiliated company as defined under the Investment Company Act of 1940.

Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may only be resold to qualified institutional buyers. At April 30, 2022, the market value of these securities amounted to $6,075,507 or 9.7% of net assets. Securities denoted with “§” but without “b” have been determined to be liquid under the guidelines established by the Board of Trustees. To the extent any securities might provide a right to demand registration, such rights have not been relied upon when determining liquidity.

(k)

Variable or floating rate security, linked to the referenced benchmark. The interest rate shown was the current rate as of April 30, 2022.

(l)

(p)

Yield to maturity.

(t)

All, or a portion of security held by broker as collateral for OTC Swap contracts, with a total collateral value of $414,225.

(x)

All or a portion of security is on loan at April 30, 2022.

(xx)

At April 30, 2022, the Portfolio had loaned securities with a total value of $1,281,114. This was collateralized by cash of $1,314,239 which was subsequently invested in joint repurchase agreements as detailed in the Notes to the Financial Statements.

Glossary:

ADR

— American Depositary Receipt

CAPE

— Cyclically Adjusted Price Earnings

FHLMC

— Federal Home Loan Mortgage Corp.

FNMA

— Federal National Mortgage Association

GNMA

— Government National Mortgage Association

ICE

— Intercontinental Exchange

— Interest Only

LIBOR

— London Interbank Offered Rate

See Notes to Financial Statements.

1290 FUNDS

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PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

OTC

— Over- the-counter

— Principal Only

REMIC

— Real Estate Mortgage Investment Conduit

SOFR

— Secured Overnight Financing Rate

STACR

— Structured Agency Credit Risk

UMBS

— Uniform Mortgage-Backed Securities

USD

— United States Dollar

Investments in companies which were affiliates for the six months ended April 30, 2022, were as follows:


Security Description	Shares at April 30, 2022		Market Value October 31, 2021 ($)		Purchases at Cost ($)		Proceeds from Sales ($)			Net Realized Gain (Loss) ($)			Change in Unrealized Appreciation/ (Depreciation) ($)			Market Value April 30, 2022 ($)		Dividend/ Interest Income ($)		Capital Gain Distributions ($)
INVESTMENT COMPANIES:
Fixed Income
DoubleLine Floating Rate Fund, Class I		223,875		2,340,120		—		(200,000	)		(9,108	)		(28,828	)		2,102,184		39,456		—
DoubleLine Global Bond Fund, Class I		142,691		2,076,431		200,000		(800,000	)		(65,808	)		(156,370	)		1,254,253		—		19,001

Total				4,416,551		200,000		(1,000,000	)		(74,916	)		(185,198	)		3,356,437		39,456		19,001

OTC Total return swap contracts outstanding as of April 30, 2022 (Note 1):

Reference Entity

Payments Made
by Fund

Payments Received
by Fund

Frequency of
Payments
Made/Received

Counterparty

Maturity
Date

Notional
Amount

Value and
Unrealized
Appreciation
(Depreciation)
($)

Shiller Barclays CAPE US Sector II ER USD Index

0.40% and decrease in total return of index

Increase in total return of index

At termination

Barclays Bank plc

5/9/2022

USD 18,800,000

(1,078,241

)

(1,078,241

)

See Notes to Financial Statements.

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PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

The following is a summary of the inputs, summarized in three broad levels, used to value the Fund’s assets and liabilities carried at fair value as of April 30, 2022:

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.



Investment Type	Level 1 Quoted Prices in Active Markets for Identical Securities		Level 2 Significant Other Observable Inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)			Level 3 Significant Unobservable Inputs (including the Fund’s own assumptions in determining the fair value of investments)		Total
Assets:
Asset-Backed Securities	$	—	$	1,517,723		$	—	$	1,517,723
Collateralized Mortgage Obligations		—		5,542,560			—		5,542,560
Common Stocks
Communication Services		1,723,149		—			—		1,723,149
Consumer Discretionary		1,580,248		—			—		1,580,248
Consumer Staples		1,386,571		—			—		1,386,571
Energy		706,306		—			—		706,306
Financials		1,820,385		—			—		1,820,385
Health Care		2,698,237		—			—		2,698,237
Industrials		1,404,881		—			—		1,404,881
Information Technology		4,083,175		—			—		4,083,175
Materials		464,171		—			—		464,171
Real Estate		270,183		—			—		270,183
Corporate Bonds
Communication Services		—		841,281			—		841,281
Consumer Discretionary		—		1,151,247			—		1,151,247
Consumer Staples		—		567,367			—		567,367
Energy		—		914,708			—		914,708
Financials		—		1,816,306			—		1,816,306
Health Care		—		932,976			—		932,976
Industrials		—		795,088			—		795,088
Information Technology		—		551,630			—		551,630
Materials		—		384,623			—		384,623
Real Estate		—		303,154			—		303,154
Utilities		—		514,601			—		514,601
Investment Companies		3,356,437		—			—		3,356,437
Mortgage-Backed Securities		—		2,608,905			—		2,608,905
Short-Term Investments
Investment Company		2,137,833		—			—		2,137,833
Repurchase Agreement		—		1,314,239			—		1,314,239
U.S. Treasury Obligations		—		15,683,778			—		15,683,778
U.S. Treasury Obligations		—		5,474,295			—		5,474,295

Total Assets	$	21,631,576	$	40,914,481		$	—	$	62,546,057


Liabilities: Total Return Swaps	$	—		(1,078,241	)	$	—	$	(1,078,241	)

Total Liabilities	$	—	$	(1,078,241	)	$	—	$	(1,078,241	)

Total	$	21,631,576	$	39,836,240		$	—	$	61,467,816

See Notes to Financial Statements.

1290 FUNDS

1290 DOUBLELINE DYNAMIC ALLOCATION FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

Fair Values of Derivative Instruments as of April 30, 2022:


	Statement of Assets and Liabilities
Derivatives Contracts^	Liability Derivatives	Fair Value
Equity contracts	Payables, Net assets – Unrealized depreciation	$	(1,078,241	)

Total		$	(1,078,241	)

The Effect of Derivative Instruments on the Statement of Operations for the six months ended April 30, 2022:


Amount of Realized Gain or (Loss) on Derivatives Recognized in Income
Derivatives Contracts^	Swaps		Total
Equity contracts	$	358,382	$	358,382

Total	$	358,382	$	358,382


Amount of Unrealized Appreciation or (Depreciation) on Derivatives Recognized in Income
Derivatives Contracts^	Swaps			Total
Equity contracts	$	(1,755,783	)	$	(1,755,783	)

Total	$	(1,755,783	)	$	(1,755,783	)

^ The Fund held swaps contracts as a substitute for investing in conventional securities.

The Fund held swap contracts with an average notional value of approximately $19,300,000 during the six months ended April 30, 2022.


Counterparty	Gross Amount of Derivative Liabilities Presented in the Statement of Assets and Liabilities (a)		Derivatives Available for Offset		Collateral Pledged			Net Amount Due to Counterparty
Barclays Bank plc	$	1,078,241	$	—	$	(414,225	)	$	664,016

Total	$	1,078,241	$	—	$	(414,225	)	$	664,016

(a)

For financial reporting purposes the Fund does not offset derivative assets and derivative liabilities subject to master netting arrangements in the Statement of Assets and Liabilities.

Investment security transactions for the six months ended April 30, 2022 were as follows:


Cost of Purchases:
Long-term investments other than U.S. government debt securities	$	8,327,204
Long-term U.S. government debt securities		22,699,443

	$	31,026,647

Net Proceeds of Sales and Redemptions:
Long-term investments other than U.S. government debt securities	$	12,044,177
Long-term U.S. government debt securities		23,734,011

	$	35,778,188

See Notes to Financial Statements.

1290 FUNDS

1290 DOUBLELINE DYNAMIC ALLOCATION FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)


Aggregate gross unrealized appreciation	$	3,703,759
Aggregate gross unrealized depreciation		(4,095,037	)

Net unrealized depreciation	$	(391,278	)

Federal income tax cost of investments in securities and derivative instruments, if applicable	$	61,859,094

See Notes to Financial Statements.

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1290 DOUBLELINE DYNAMIC ALLOCATION FUND

STATEMENT OF ASSETS AND LIABILITIES

April 30, 2022 (Unaudited)


ASSETS
Investments in Securities, at value (x)
Affiliated Issuers (Cost $3,585,155)	$	3,356,437
Unaffiliated Issuers (Cost $56,440,246)		57,875,381
Repurchase Agreements (Cost $1,314,239)		1,314,239
Cash		2,823,132
Dividends, interest and other receivables		160,363
Receivable for securities sold		93,436
Prepaid registration and filing fees		26,983
Receivable for Fund shares sold		80
Securities lending income receivable		53

Total assets		65,650,104

LIABILITIES
Payable for return of collateral on securities loaned		1,314,239
Market value on OTC swap contracts		1,078,241
Payable for Fund shares redeemed		376,790
Investment advisory fees payable		23,026
Administrative fees payable		8,077
Transfer agent fees payable		3,992
Distribution fees payable - Class A		1,002
Trustees’ fees payable		390
Payable to Adviser		74
Distribution fees payable - Class R		73
Accrued expenses		59,829

Total liabilities		2,865,733

NET ASSETS	$	62,784,371

Net assets were comprised of:
Paid in capital	$	61,730,113
Total distributable earnings (loss)		1,054,258

Net assets	$	62,784,371

Class A
Net asset value and redemption price per share, $4,691,326 / 452,217 shares outstanding (unlimited amount authorized: $0.001 par value)	$	10.37
Maximum sales charge (5.50% of offering price)		0.60

Maximum offering price per share	$	10.97

Class I
Net asset value, offering and redemption price per share, $57,920,592 / 5,574,637 shares outstanding (unlimited amount authorized: $0.001 par value)	$	10.39

Class R
Net asset value, offering and redemption price per share, $172,453 / 16,646 shares outstanding (unlimited amount authorized: $0.001 par value)	$	10.36

(x)

Includes value of securities on loan of $1,281,114.

STATEMENT OF OPERATIONS

For the Six Months Ended April 30, 2022 (Unaudited)


INVESTMENT INCOME
Interest	$	510,041
Dividends ($39,456 of dividend income received from affiliates) (net of $839 foreign withholding tax)		152,986
Securities lending (net)		53

Total income		663,080

EXPENSES
Investment advisory fees		256,304
Administrative fees		51,261
Professional fees		38,784
Transfer agent fees		20,697
Registration and filing fees		18,327
Printing and mailing expenses		15,407
Custodian fees		8,827
Distribution fees – Class A		6,055
Trustees’ fees		1,307
Distribution fees – Class R		461
Miscellaneous		8,401

Gross expenses		425,831
Less: Waiver from investment adviser		(107,600	)

Net expenses		318,231

NET INVESTMENT INCOME (LOSS)		344,849

REALIZED AND UNREALIZED GAIN (LOSS)
Realized gain (loss) on:
Investments in securities ($(74,916) realized gain (loss) from affiliates)		834,766
Net distributions of realized gain received from underlying funds (All realized gains received from affiliates)		19,001
Swaps		358,382

Net realized gain (loss)		1,212,149

Change in unrealized appreciation (depreciation) on:
Investments in securities ($(185,198) of change in unrealized appreciation (depreciation) from affiliates)		(5,941,045	)
Swaps		(1,755,783	)

Net change in unrealized appreciation (depreciation)		(7,696,828	)

NET REALIZED AND UNREALIZED GAIN (LOSS)		(6,484,679	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	(6,139,830	)

See Notes to Financial Statements.

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1290 DOUBLELINE DYNAMIC ALLOCATION FUND

STATEMENT OF CHANGES IN NET ASSETS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31, 2021
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS:
Net investment income (loss)	$	344,849		$	590,594
Net realized gain (loss)		1,212,149			6,604,346
Net change in unrealized appreciation (depreciation)		(7,696,828	)		4,549,868

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS		(6,139,830	)		11,744,808

Distributions to shareholders:
Class A		(467,484	)		(281,348	)
Class I		(6,523,201	)		(5,105,769	)
Class R		(17,764	)		(13,831	)

Total distributions to shareholders		(7,008,449	)		(5,400,948	)

CAPITAL SHARES TRANSACTIONS:
Class A
Capital shares sold [ 89,535 and 107,837 shares, respectively ]		1,001,477			1,302,853
Capital shares issued in reinvestment of dividends [ 40,039 and 24,050 shares, respectively ]		456,041			272,242
Capital shares repurchased [ (84,199) and (31,925) shares, respectively ]		(940,347	)		(379,180	)

Total Class A transactions		517,171			1,195,915

Class I
Capital shares sold [ 66,873 and 208,108 shares, respectively ]		736,033			2,512,727
Capital shares issued in reinvestment of dividends [ 60,144 and 38,122 shares, respectively ]		685,645			431,541
Capital shares repurchased [ (119,713) and (99,305) shares, respectively ]		(1,324,371	)		(1,178,853	)

Total Class I transactions		97,307			1,765,415

Class R
Capital shares sold [ 193 and 310 shares, respectively ]		2,136			3,724
Capital shares issued in reinvestment of dividends [ 580 and 442 shares, respectively ]		6,599			5,005
Capital shares repurchased [ (52) and (472) shares, respectively ]		(638	)		(5,867	)

Total Class R transactions		8,097			2,862

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE TRANSACTIONS		622,575			2,964,192

TOTAL INCREASE (DECREASE) IN NET ASSETS		(12,525,704	)		9,308,052
NET ASSETS:
Beginning of period		75,310,075			66,002,023

End of period	$	62,784,371		$	75,310,075

See Notes to Financial Statements.

1290 FUNDS

1290 DOUBLELINE DYNAMIC ALLOCATION FUND

FINANCIAL HIGHLIGHTS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class A	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	12.54		$	11.47		$	11.23		$	10.61		$	11.25		$	10.53

Income (loss) from investment operations:
Net investment income (loss) (e)(x)		0.04			0.07			0.12			0.18			0.15			0.11
Net realized and unrealized gain (loss)		(1.07	)		1.91			0.70			0.91			(0.01	)		0.87

Total from investment operations		(1.03	)		1.98			0.82			1.09			0.14			0.98

Less distributions:
Dividends from net investment income		(0.08	)		(0.12	)		(0.18	)		(0.17	)		(0.13	)		(0.09	)
Distributions from net realized gains		(1.06	)		(0.79	)		(0.40	)		(0.30	)		(0.65	)		(0.17	)

Total dividends and distributions		(1.14	)		(0.91	)		(0.58	)		(0.47	)		(0.78	)		(0.26	)

Net asset value, end of period	$	10.37		$	12.54		$	11.47		$	11.23		$	10.61		$	11.25

Total return (b)		(9.00	)%		18.12	%		7.64	%		10.73	%		1.19	%		9.46	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	4,691		$	5,104		$	3,520		$	2,081		$	2,440		$	1,271
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		1.16	%(j)		1.16	%(j)		1.16	%(j)		1.15	%(j)		1.20	%(k)		1.21	%
Before waivers and reimbursements (a)(f)		1.48	%		1.48	%		1.61	%		1.67	%		1.66	%		1.75	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)(x)		0.78	%		0.59	%		1.05	%		1.70	%		1.39	%		1.02	%
Before waivers and reimbursements (a)(f)(x)		0.46	%		0.28	%		0.60	%		1.19	%		0.93	%		0.48	%
Portfolio turnover rate^		64	%(z)		106	%		131	%		63	%		79	%		86	%

	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class I	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	12.57		$	11.49		$	11.25		$	10.63		$	11.27		$	10.55

Income (loss) from investment operations:
Net investment income (loss) (e)(x)		0.06			0.10			0.15			0.21			0.18			0.14
Net realized and unrealized gain (loss)		(1.07	)		1.92			0.70			0.91			(0.01	)		0.86

Total from investment operations		(1.01	)		2.02			0.85			1.12			0.17			1.00

Less distributions:
Dividends from net investment income		(0.11	)		(0.15	)		(0.21	)		(0.20	)		(0.16	)		(0.11	)
Distributions from net realized gains		(1.06	)		(0.79	)		(0.40	)		(0.30	)		(0.65	)		(0.17	)

Total dividends and distributions		(1.17	)		(0.94	)		(0.61	)		(0.50	)		(0.81	)		(0.28	)

Net asset value, end of period	$	10.39		$	12.57		$	11.49		$	11.25		$	10.63		$	11.27

Total return (b)		(8.84	)%		18.47	%		7.89	%		11.00	%		1.44	%		9.68	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	57,921		$	70,007		$	62,303		$	59,997		$	57,126		$	59,101
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.91	%(j)		0.91	%(j)		0.91	%(j)		0.90	%(j)		0.95	%(k)		0.96	%
Before waivers and reimbursements (a)(f)		1.23	%		1.23	%		1.36	%		1.42	%		1.41	%		1.50	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)(x)		1.03	%		0.85	%		1.35	%		1.95	%		1.62	%		1.27	%
Before waivers and reimbursements (a)(f)(x)		0.71	%		0.53	%		0.89	%		1.43	%		1.16	%		0.72	%
Portfolio turnover rate^		64	%(z)		106	%		131	%		63	%		79	%		86	%

See Notes to Financial Statements.

1290 FUNDS

1290 DOUBLELINE DYNAMIC ALLOCATION FUND

FINANCIAL HIGHLIGHTS (Continued)


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class R	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	12.51		$	11.44		$	11.21		$	10.59		$	11.23		$	10.52

Income (loss) from investment operations:
Net investment income (loss) (e)(x)		0.03			0.04			0.09			0.15			0.12			0.08
Net realized and unrealized gain (loss)		(1.07	)		1.92			0.70			0.91			(0.01	)		0.87

Total from investment operations		(1.04	)		1.96			0.79			1.06			0.11			0.95

Less distributions:
Dividends from net investment income		(0.05	)		(0.10	)		(0.16	)		(0.14	)		(0.10	)		(0.07	)
Distributions from net realized gains		(1.06	)		(0.79	)		(0.40	)		(0.30	)		(0.65	)		(0.17	)

Total dividends and distributions		(1.11	)		(0.89	)		(0.56	)		(0.44	)		(0.75	)		(0.24	)

Net asset value, end of period	$	10.36		$	12.51		$	11.44		$	11.21		$	10.59		$	11.23

Total return (b)		(9.07	)%		17.87	%		7.30	%		10.46	%		0.93	%		9.15	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	172		$	199		$	179		$	168		$	156		$	112
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		1.41	%(j)		1.41	%(j)		1.41	%(j)		1.40	%(j)		1.45	%(k)		1.46	%
Before waivers and reimbursements (a)(f)		1.73	%		1.73	%		1.86	%		1.92	%		1.91	%		2.01	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)(x)		0.53	%		0.35	%		0.84	%		1.44	%		1.13	%		0.77	%
Before waivers and reimbursements (a)(f)(x)		0.21	%		0.03	%		0.39	%		0.93	%		0.67	%		0.22	%
Portfolio turnover rate^		64	%(z)		106	%		131	%		63	%		79	%		86	%

^	Portfolio turnover rate excludes derivatives, if any.

(a)

Ratios for periods less than one year are annualized.

(b)

Total returns for periods less than one year are not annualized.

(e)

Net investment income (loss) per share is based on average shares outstanding.

(f)

Expenses do not include the expenses of the underlying funds (“indirect expenses”), if applicable.

(j)

Including direct and indirect expenses, the net expense ratio after waivers would be 1.20% for Class A, 0.95% for Class I and 1.45% for Class R.

(k)

Including direct and indirect expenses, the net expense ratio after waivers would be 1.25% for Class A, 1.00% for Class I and 1.50% for Class R.

(x)

Recognition of net investment income is affected by the timing of dividend declarations by the underlying funds in which the Fund invests.

(z)

Portfolio turnover rate for periods less than one year is not annualized.

See Notes to Financial Statements.

1290 GAMCO SMALL/MID CAP VALUE FUND (Unaudited)



Sector Weightings as of April 30, 2022	% of Net Assets
Industrials		36.0	%
Communication Services		13.1
Consumer Staples		10.7
Consumer Discretionary		10.6
Materials		9.3
Investment Company		6.0
Health Care		4.6
Utilities		3.1
Information Technology		2.4
Financials		1.9
Energy		1.7
Real Estate		1.0
Repurchase Agreement		0.8
Cash and Other		(1.2	)

		100.0	%

Holdings are subject to change without notice.

UNDERSTANDING YOUR EXPENSES:

As a shareholder of the Fund, you incur two types of costs:

(1) transaction costs, including applicable sales charges and redemption fees; and (2) ongoing costs, including investment advisory fees, distribution and/or service (12b-1) fees (in the case of Class A, Class R and Class T shares of the Fund), and other Fund expenses. These examples are 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 examples are based on an investment of $1,000 invested at the beginning of the six-month period ended April 30, 2022 and held for the entire six-month period.

Actual Expenses

The first line of the following table 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 this period.

Hypothetical Example for Comparison Purposes

EXAMPLE



	Beginning Account Value 11/1/21		Ending Account Value 4/30/22		Expenses Paid During Period* 11/1/21 - 4/30/22
Class A
Actual		$1,000.00		$916.20		$5.84
Hypothetical (5% average annual return before expenses)		1,000.00		1,018.70		6.15
Class I
Actual		1,000.00		916.90		4.65
Hypothetical (5% average annual return before expenses)		1,000.00		1,019.94		4.90
Class R
Actual		1,000.00		914.60		7.02
Hypothetical (5% average annual return before expenses)		1,000.00		1,017.46		7.40
Class T
Actual		1,000.00		916.90		4.66
Hypothetical (5% average annual return before expenses)		1,000.00		1,019.94		4.91

* Expenses are equal to the Fund’s A, I, R and T shares annualized expense ratio of 1.23%, 0.98%, 1.48% and 0.98%, respectively, multiplied by the average account value over the period, and multiplied by 181/365 (to reflect the one-half year period).

1290 FUNDS

1290 GAMCO SMALL/MID CAP VALUE FUND

PORTFOLIO OF INVESTMENTS

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

COMMON STOCKS:
Communication Services (13.1%)
*Diversified Telecommunication Services (0.5%)*
EchoStar Corp., Class A*		4,500	$	105,075
Telesat Corp.*		65,000		730,600

				835,675

*Entertainment (3.1%)*
Liberty Media Corp.-Liberty Braves, Class A*		45,000		1,182,150
Liberty Media Corp.-Liberty Braves, Class C*		15,000		376,650
Madison Square Garden Entertainment Corp.*		13,000		952,250
Madison Square Garden Sports Corp.*		13,500		2,188,485

				4,699,535

*Media (8.4%)*
Altice USA, Inc., Class A*		12,000		111,360
AMC Networks, Inc., Class A*		24,000		783,120
Clear Channel Outdoor Holdings, Inc.*		390,000		959,400
Corus Entertainment, Inc., Class B		155,000		507,959
EW Scripps Co. (The), Class A*		33,000		543,180
Grupo Televisa SAB (ADR)		285,000		2,630,550
JCDecaux SA*		22,000		463,126
Liberty Media Corp.-Liberty SiriusXM, Class A*		4,000		167,320
Nexstar Media Group, Inc., Class A		13,000		2,059,460
Paramount Global, Class A (x)		30,000		946,500
Sinclair Broadcast Group, Inc., Class A		100,000		2,224,000
Sirius XM Holdings, Inc. (x)		34,560		207,360
TEGNA, Inc.		24,000		529,200
WideOpenWest, Inc.*		25,036		501,972

				12,634,507

*Wireless Telecommunication Services (1.1%)*
Gogo, Inc. (x)*		16,000		294,560
Millicom International Cellular SA (x)*		26,000		567,320
Telephone and Data Systems, Inc.		14,000		256,480
United States Cellular Corp.*		19,000		546,820

				1,665,180

Total Communication Services				19,834,897

Consumer Discretionary (10.6%)
*Auto Components (3.5%)*
Dana, Inc.		109,000		1,614,290
Gentex Corp.		22,500		660,375
Gentherm, Inc.*		1,000		67,420
Goodyear Tire & Rubber Co. (The)*		78,200		1,041,624
Modine Manufacturing Co.*		75,000		592,500
Strattec Security Corp.*		37,000		1,311,650

				5,287,859

*Diversified Consumer Services (0.2%)*
H&R Block, Inc.		14,000		364,980


*Hotels, Restaurants & Leisure (2.1%)*
Bally’s Corp.*		7,600		226,784
Caesars Entertainment, Inc.*		4,800		318,144
Churchill Downs, Inc.		2,500		507,350
GAN Ltd.*		29,500		110,035
Golden Entertainment, Inc.*		18,000		863,280
Nathan’s Famous, Inc.		21,515		1,019,166
Wynn Resorts Ltd.*		1,000		70,480

				3,115,239

*Household Durables (1.7%)*
Bassett Furniture Industries, Inc.		28,000		463,680
Hunter Douglas NV*		7,500		1,372,343
Lennar Corp., Class B		11,500		749,800

				2,585,823

*Internet & Direct Marketing Retail (0.0%)†*
Lands’ End, Inc. (x)*		6,000		84,120

*Leisure Products (1.7%)*
Brunswick Corp.		18,500		1,398,785
Johnson Outdoors, Inc., Class A		9,500		726,560
Mattel, Inc.*		16,000		388,960
Peloton Interactive, Inc., Class A*		2,000		35,120

				2,549,425

*Specialty Retail (1.4%)*
AutoNation, Inc.*		11,000		1,275,010
Monro, Inc.		17,000		777,410

				2,052,420

Total Consumer Discretionary				16,039,866

Consumer Staples (10.7%)
*Beverages (2.2%)*
National Beverage Corp.		23,000		1,013,840
Remy Cointreau SA		11,700		2,316,951

				3,330,791

*Food & Staples Retailing (0.6%)*
Casey’s General Stores, Inc.		1,000		201,300
Ingles Markets, Inc., Class A		4,000		372,480
Village Super Market, Inc., Class A		11,000		255,090

				828,870

*Food Products (4.5%)*
Bunge Ltd.		5,500		622,160
Calavo Growers, Inc.		36,000		1,304,640
Farmer Bros Co.*		110,000		690,800
Hain Celestial Group, Inc. (The)*		13,000		436,020
J M Smucker Co. (The)		15,000		2,053,950
Maple Leaf Foods, Inc.		60,000		1,321,294
McCormick & Co., Inc. (Non-Voting)		3,600		366,372

				6,795,236

*Household Products (2.6%)*
Energizer Holdings, Inc.		72,000		2,180,880
Spectrum Brands Holdings, Inc.		21,000		1,786,470

				3,967,350

*Personal Products (0.8%)*
Edgewell Personal Care Co.		30,000		1,144,200

Total Consumer Staples				16,066,447

See Notes to Financial Statements.

1290 FUNDS

1290 GAMCO SMALL/MID CAP VALUE FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

Energy (1.7%)
*Energy Equipment & Services (1.7%)*
Dril-Quip, Inc.*		42,000	$	1,212,960
RPC, Inc.*		130,000		1,344,200

Total Energy				2,557,160

Financials (1.9%)
*Banks (1.7%)*
Cadence Bank		10,000		250,400
First Horizon Corp.		5,000		111,900
Flushing Financial Corp.		26,000		559,000
SouthState Corp.		7,200		557,568
Synovus Financial Corp.		25,000		1,038,500

				2,517,368

*Capital Markets (0.2%)*
Affiliated Managers Group, Inc.		1,500		188,355
Janus Henderson Group plc		6,500		198,120

				386,475

Total Financials				2,903,843

Health Care (4.6%)
*Biotechnology (0.0%)†*
Clovis Oncology, Inc.*		17,000		34,000

*Health Care Equipment & Supplies (1.8%)*
Cutera, Inc.*		20,400		1,107,924
Intersect ENT, Inc.*		12,000		328,440
IntriCon Corp.*		30,000		720,300
Quidel Corp.*		5,000		503,100

				2,659,764

*Health Care Providers & Services (1.2%)*
Option Care Health, Inc.*		22,527		673,107
Patterson Cos., Inc.		35,000		1,076,950

				1,750,057

*Health Care Technology (0.6%)*
Evolent Health, Inc., Class A*		21,500		591,680
Teladoc Health, Inc.*		10,300		347,728

				939,408

*Life Sciences Tools & Services (0.1%)*
Bio-Rad Laboratories, Inc., Class A*		300		153,618

*Pharmaceuticals (0.9%)*
Harmony Biosciences Holdings, Inc.*		9,000		405,360
Perrigo Co. plc		12,300		421,890
Teva Pharmaceutical Industries Ltd. (ADR)*		62,000		540,020

				1,367,270

Total Health Care				6,904,117

Industrials (36.0%)
*Aerospace & Defense (6.3%)*
AAR Corp.*		22,500		1,057,050
Aerojet Rocketdyne Holdings, Inc.*		47,000		1,879,060
Kaman Corp.		55,000		2,145,550
Moog, Inc., Class A		13,000		1,038,310

Moog, Inc., Class B		12,241		977,689
Textron, Inc.		34,000		2,354,500

				9,452,159

*Building Products (1.4%)*
Armstrong Flooring, Inc.*		110,000		180,400
Griffon Corp.		100,000		1,871,000

				2,051,400

*Commercial Services & Supplies (1.8%)*
IAA, Inc.*		8,000		293,200
KAR Auction Services, Inc.*		12,500		183,250
Matthews International Corp., Class A		77,500		2,310,275
Team, Inc.*		12,000		17,280

				2,804,005

*Construction & Engineering (1.9%)*
Arcosa, Inc.		18,000		963,540
Valmont Industries, Inc.		7,400		1,841,194

				2,804,734

*Electrical Equipment (1.1%)*
AZZ, Inc.		36,000		1,643,040

*Machinery (20.1%)*
Astec Industries, Inc.		60,000		2,346,000
CIRCOR International, Inc.*		50,000		982,500
CNH Industrial NV		39,000		553,410
Commercial Vehicle Group, Inc.*		113,500		814,930
Crane Co.		22,000		2,117,060
Donaldson Co., Inc.		1,000		49,040
Eastern Co. (The)		30,000		693,000
Enerpac Tool Group Corp.		24,500		491,960
EnPro Industries, Inc.		35,000		3,262,350
Flowserve Corp.		50,000		1,635,500
Gorman-Rupp Co. (The)		10,000		318,600
Graco, Inc.		3,800		235,676
Hyster-Yale Materials Handling, Inc.		37,000		1,136,640
Ingersoll Rand, Inc.		20,000		879,200
ITT, Inc.		8,000		561,760
Iveco Group NV (Borsa Italiana Exchange)*		22,200		129,354
Iveco Group NV (OTC Exchange)*		7,800		45,630
Kennametal, Inc.		18,000		463,140
L B Foster Co., Class A*		32,100		455,820
Manitowoc Co., Inc. (The)*		7,000		92,680
Mueller Industries, Inc.		48,000		2,599,200
Mueller Water Products, Inc., Class A		17,000		204,510
Park-Ohio Holdings Corp. (x)		71,000		680,890
Shyft Group, Inc. (The)		5,000		127,350
Snap-on, Inc.		10,000		2,124,900
Tennant Co.		10,500		678,090
Terex Corp.		10,000		340,000
Toro Co. (The)		6,500		520,845
Trinity Industries, Inc.		88,000		2,441,120
Twin Disc, Inc.*		112,075		1,567,929
Watts Water Technologies, Inc., Class A		7,000		892,220

See Notes to Financial Statements.

1290 FUNDS

1290 GAMCO SMALL/MID CAP VALUE FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

Welbilt, Inc.*		40,000	$	944,800

				30,386,104

*Trading Companies & Distributors (3.4%)*
Ashtead Group plc		3,000		155,105
GATX Corp.		16,000		1,654,240
Herc Holdings, Inc.		26,600		3,400,012

				5,209,357

Total Industrials				54,350,799

Information Technology (2.4%)
*Communications Equipment (0.0%)†*
Pineapple Energy, Inc.		6,250		19,000

*Electronic Equipment, Instruments & Components (0.4%)*
Landis+Gyr Group AG*		9,500		531,283

*IT Services (0.9%)*
Cloudflare, Inc., Class A*		300		25,842
Kyndryl Holdings, Inc.*		93,000		1,105,770
MoneyGram International, Inc.*		27,000		273,510

				1,405,122

*Software (0.8%)*
A10 Networks, Inc.		16,000		228,480
Mandiant Corp.*		14,000		307,720
NCR Corp.*		20,000		700,600

				1,236,800

*Technology Hardware, Storage & Peripherals (0.3%)*
Diebold Nixdorf, Inc.*		112,000		459,200

Total Information Technology				3,651,405

Materials (9.3%)
*Chemicals (6.8%)*
Axalta Coating Systems Ltd.*		30,000		761,100
Chr Hansen Holding A/S		2,000		155,855
Core Molding Technologies, Inc.*		84,000		840,000
Element Solutions, Inc.		82,000		1,690,840
GCP Applied Technologies, Inc.*		110,000		3,450,700
HB Fuller Co.		12,000		800,400
Huntsman Corp.		8,500		287,895
Scotts Miracle-Gro Co. (The)		12,000		1,247,160
Tredegar Corp.		55,000		629,750
Valvoline, Inc.		12,000		362,760

				10,226,460

*Containers & Packaging (1.7%)*
Greif, Inc., Class A		25,000		1,517,000
Myers Industries, Inc.		50,950		1,117,334

				2,634,334

*Metals & Mining (0.8%)*
Ampco-Pittsburgh Corp.*		42,000		235,620
Freeport-McMoRan, Inc.		23,000		932,650

				1,168,270

Total Materials				14,029,064


Real Estate (1.0%)
*Equity Real Estate Investment Trusts (REITs) (0.3%)*
Ryman Hospitality Properties, Inc. (REIT)*		3,000		280,440
Seritage Growth Properties (REIT), Class A (x)*		20,000		198,000

				478,440

*Real Estate Management & Development (0.7%)*
St Joe Co. (The)		20,000		1,064,200

Total Real Estate				1,542,640

Utilities (3.1%)
*Electric Utilities (0.7%)*
PNM Resources, Inc.		22,547		1,052,043

*Gas Utilities (1.5%)*
Macquarie Infrastructure Holdings LLC		20,000		75,000
National Fuel Gas Co.		25,000		1,753,250
Southwest Gas Holdings, Inc.		5,500		484,605

				2,312,855

*Independent Power and Renewable Electricity Producers (0.9%)*
AES Corp. (The)		63,000		1,286,460

Total Utilities				4,651,358

Total Common Stocks (94.4%) (Cost $130,527,489)				142,531,596


	Number of Rights		Value (Note 1)
RIGHTS:
Information Technology (0.0%)†
*Communications Equipment (0.0%)†*
Pineapple Energy, Inc., CVR (r)* (Cost $—)		6,250		4,125


	Number of Warrants		Value (Note 1)
WARRANTS:
Energy (0.0%)†
*Energy Equipment & Services (0.0%)†*
Weatherford International plc, expiring 12/13/23*		1,117		402

Total Energy				402

Health Care (0.0%)†
*Health Care Providers & Services (0.0%)†*
Option Care Health, Inc., expiring 6/30/25*		22		8

Total Health Care				8

Materials (0.0%)†
*Metals & Mining (0.0%)†*
Ampco-Pittsburgh Corp., expiring 8/1/25*		30,000		24,297

Total Materials				24,297

Total Warrants (0.0%)† (Cost $—)				24,707

See Notes to Financial Statements.

1290 FUNDS

1290 GAMCO SMALL/MID CAP VALUE FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

SHORT-TERM INVESTMENTS:
Investment Company (6.0%)
JPMorgan Prime Money Market Fund, IM Shares		8,962,341	$	8,965,029


	Principal Amount		Value (Note 1)
Repurchase Agreement (0.8%)
Deutsche Bank Securities, Inc., 0.26%, dated 4/29/22, due 5/2/22, repurchase price $1,238,350, collateralized by various U.S. Government Treasury Securities, 0.000%, maturing 5/15/22-11/15/51; total market value $1,263,089. (xx)	$	1,238,323		1,238,323

Total Short-Term Investments (6.8%) (Cost $10,202,935)				10,203,352

Total Investments in Securities (101.2%) (Cost $140,730,424)				152,763,780
Other Assets Less Liabilities (-1.2%)				(1,790,458	)

Net Assets (100%)			$	150,973,322

*	Non-income producing.

†	Percent shown is less than 0.05%.

(r)

Value determined using significant unobservable inputs.

(x)

All or a portion of security is on loan at April 30, 2022.

(xx)

At April 30, 2022, the Portfolio had loaned securities with a total value of $1,148,352. This was collateralized by cash of $1,238,323 which was subsequently invested in joint repurchase agreements as detailed in the Notes to the Financial Statements.

Glossary:

ADR

— American Depositary Receipt

CVR

— Contingent Value Right

The following is a summary of the inputs, summarized in three broad levels, used to value the Fund’s assets and liabilities carried at fair value as of April 30, 2022:

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.



Investment Type	Level 1 Quoted Prices in Active Markets for Identical Securities		Level 2 Significant Other Observable Inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)		Level 3 Significant Unobservable Inputs (including the Fund’s own assumptions in determining the fair value of investments)		Total
Assets:
Common Stocks
Communication Services	$	19,371,771	$	463,126	$	—	$	19,834,897
Consumer Discretionary		14,667,523		1,372,343		—		16,039,866
Consumer Staples		13,383,124		2,683,323		—		16,066,447
Energy		2,557,160		—		—		2,557,160
Financials		2,903,843		—		—		2,903,843
Health Care		6,904,117		—		—		6,904,117
Industrials		53,043,021		1,307,778		—		54,350,799
Information Technology		3,120,122		531,283		—		3,651,405
Materials		13,873,209		155,855		—		14,029,064
Real Estate		1,542,640		—		—		1,542,640
Utilities		4,651,358		—		—		4,651,358
Rights
Information Technology		—		—		4,125		4,125
Short-Term Investments
Investment Company		8,965,029		—		—		8,965,029
Repurchase Agreement		—		1,238,323		—		1,238,323

See Notes to Financial Statements.

1290 FUNDS

1290 GAMCO SMALL/MID CAP VALUE FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



Investment Type	Level 1 Quoted Prices in Active Markets for Identical Securities		Level 2 Significant Other Observable Inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)		Level 3 Significant Unobservable Inputs (including the Fund’s own assumptions in determining the fair value of investments)		Total
Warrants
Energy	$	—	$	402	$	—	$	402
Health Care		—		8		—		8
Materials		—		24,297		—		24,297

Total Assets	$	144,982,917	$	7,776,738	$	4,125	$	152,763,780

Total Liabilities	$	—	$	—	$	—	$	—

Total	$	144,982,917	$	7,776,738	$	4,125	$	152,763,780

The Fund held no derivatives contracts during the six months ended April 30, 2022.

Investment security transactions for the six months ended April 30, 2022 were as follows:


Cost of Purchases:
Long-term investments other than U.S. government debt securities	$	23,904,291
Net Proceeds of Sales and Redemptions:
Long-term investments other than U.S. government debt securities	$	12,422,419


Aggregate gross unrealized appreciation	$	24,103,410
Aggregate gross unrealized depreciation		(14,611,421	)

Net unrealized appreciation	$	9,491,989

Federal income tax cost of investments in securities and derivative instruments, if applicable	$	143,271,791

For the six months ended April 30, 2022, the Fund incurred approximately $565 as brokerage commissions with G. Research, an affiliated broker/dealer.

See Notes to Financial Statements.

1290 FUNDS

1290 GAMCO SMALL/MID CAP VALUE FUND

STATEMENT OF ASSETS AND LIABILITIES

April 30, 2022 (Unaudited)


ASSETS
Investments in Securities, at value (x)
Unaffiliated Issuers (Cost $139,492,101)	$	151,525,457
Repurchase Agreements (Cost $1,238,323)		1,238,323
Cash		300,020
Foreign cash (Cost $7,808)		7,765
Receivable for Fund shares sold		519,184
Receivable for securities sold		188,226
Dividends, interest and other receivables		57,965
Prepaid registration and filing fees		24,790
Securities lending income receivable		698

Total assets		153,862,428

LIABILITIES
Payable for securities purchased		1,393,205
Payable for return of collateral on securities loaned		1,238,323
Payable for Fund shares redeemed		110,676
Investment advisory fees payable		69,101
Administrative fees payable		19,507
Transfer agent fees payable		11,661
Distribution fees payable – Class A		1,190
Distribution fees payable – Class R		474
Trustees’ fees payable		306
Accrued expenses		44,663

Total liabilities		2,889,106

NET ASSETS	$	150,973,322

Net assets were comprised of:
Paid in capital	$	138,618,710
Total distributable earnings (loss)		12,354,612

Net assets	$	150,973,322

Class A
Net asset value and redemption price per share, $5,496,188 / 373,454 shares outstanding (unlimited amount authorized: $0.001 par value)	$	14.72
Maximum sales charge (5.50% of offering price)		0.86

Maximum offering price per share	$	15.58

Class I
Net asset value, offering and redemption price per share, $144,231,933 / 9,784,701 shares outstanding (unlimited amount authorized: $0.001 par value)	$	14.74

Class R
Net asset value, offering and redemption price per share, $1,095,127 / 74,884 shares outstanding (unlimited amount authorized: $0.001 par value)	$	14.62

Class T**
Net asset value and redemption price per share, $150,074 / 10,179 shares outstanding (unlimited amount authorized: $0.001 par value)	$	14.74
Maximum sales charge (2.50% of offering price)		0.38

Maximum offering price per share	$	15.12

**	Class T shares currently are not offered for sale.

(x)

Includes value of securities on loan of $1,148,352.

STATEMENT OF OPERATIONS

For the Six Months Ended April 30, 2022 (Unaudited)


INVESTMENT INCOME
Income from non-cash dividends	$	1,518,480
Dividends (net of $6,963 foreign withholding tax)		1,033,386
Interest		70
Securities lending (net)		698

Total income		2,552,634

EXPENSES
Investment advisory fees		578,676
Administrative fees		115,736
Transfer agent fees		85,393
Professional fees		39,996
Printing and mailing expenses		25,167
Registration and filing fees		22,768
Custodian fees		8,385
Distribution fees – Class A		7,374
Trustees’ fees		2,903
Distribution fees – Class R		2,871
Distribution fees – Class T**		206
Miscellaneous		12,603

Gross expenses		902,078
Less: Waiver from investment adviser		(136,876	)
Waiver from distributor		(206	)

Net expenses		764,996

NET INVESTMENT INCOME (LOSS)		1,787,638

REALIZED AND UNREALIZED GAIN (LOSS)
Realized gain (loss) on:
Investments in securities		2,775,817
Foreign currency transactions		527

Net realized gain (loss)		2,776,344

Change in unrealized appreciation (depreciation) on:
Investments in securities		(18,221,950	)
Foreign currency translations		(370	)

Net change in unrealized appreciation (depreciation)		(18,222,320	)

NET REALIZED AND UNREALIZED GAIN (LOSS)		(15,445,976	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	(13,658,338	)

**	Class T shares currently are not offered for sale.

See Notes to Financial Statements.

1290 FUNDS

1290 GAMCO SMALL/MID CAP VALUE FUND

STATEMENT OF CHANGES IN NET ASSETS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31, 2021
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS:
Net investment income (loss)	$	1,787,638		$	1,088,390
Net realized gain (loss)		2,776,344			11,728,962
Net change in unrealized appreciation (depreciation)		(18,222,320	)		35,891,556

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS		(13,658,338	)		48,708,908

Distributions to shareholders:
Class A		(387,779	)		(12,078	)
Class I		(9,782,485	)		(534,394	)
Class R		(73,341	)		(785	)
Class T**		(11,801	)		(697	)

Total distributions to shareholders		(10,255,406	)		(547,954	)

CAPITAL SHARES TRANSACTIONS:
Class A
Capital shares sold [ 35,627 and 90,890 shares, respectively ]		580,381			1,514,997
Capital shares issued in reinvestment of dividends [ 23,486 and 835 shares, respectively ]		376,005			11,650
Capital shares repurchased [ (29,054) and (46,339) shares, respectively ]		(473,489	)		(753,049	)

Total Class A transactions		482,897			773,598

Class I
Capital shares sold [ 1,773,645 and 3,882,154 shares, respectively ]		28,662,298			63,254,932
Capital shares issued in reinvestment of dividends [ 505,418 and 22,687 shares, respectively ]		8,096,806			316,480
Capital shares repurchased [ (928,335) and (2,865,531) shares, respectively ]		(15,100,410	)		(48,733,330	)

Total Class I transactions		21,658,694			14,838,082

Class R
Capital shares sold [ 7,956 and 25,034 shares, respectively ]		132,472			419,982
Capital shares issued in reinvestment of dividends [ 3,895 and 47 shares, respectively ]		62,009			651
Capital shares repurchased [ (1,183) and (21,300) shares, respectively ]		(19,198	)		(360,808	)

Total Class R transactions		175,283			59,825

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE TRANSACTIONS		22,316,874			15,671,505

TOTAL INCREASE (DECREASE) IN NET ASSETS		(1,596,870	)		63,832,459
NET ASSETS:
Beginning of period		152,570,192			88,737,733

End of period	$	150,973,322		$	152,570,192

** Class T shares currently are not offered for sale.

See Notes to Financial Statements.

1290 FUNDS

1290 GAMCO SMALL/MID CAP VALUE FUND

FINANCIAL HIGHLIGHTS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class A	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	17.19		$	11.41		$	12.46		$	12.33		$	12.83		$	10.28

Income (loss) from investment operations:
Net investment income (loss) (e)		0.17			0.09	####		0.04	#		0.05			0.03			0.06	###
Net realized and unrealized gain (loss)		(1.52	)		5.73			(0.90	)		0.22			(0.25	)		2.67

Total from investment operations		(1.35	)		5.82			(0.86	)		0.27			(0.22	)		2.73

Less distributions:
Dividends from net investment income		(0.26	)		(0.04	)		(0.04	)		(0.02	)		(0.03	)		(0.02	)
Distributions from net realized gains		(0.86	)		—			(0.15	)		(0.12	)		(0.25	)		(0.16	)

Total dividends and distributions		(1.12	)		(0.04	)		(0.19	)		(0.14	)		(0.28	)		(0.18	)

Net asset value, end of period	$	14.72		$	17.19		$	11.41		$	12.46		$	12.33		$	12.83

Total return (b)		(8.38	)%		51.10	%		(7.04	)%		2.29	%		(1.84	)%		26.72	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	5,496		$	5,904		$	3,400		$	3,896		$	3,599		$	2,063
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		1.23	%(j)		1.24	%(k)		1.25	%(k)		1.24	%(k)		1.24	%(k)		1.27	%
Before waivers and reimbursements (a)(f)		1.41	%		1.42	%		1.58	%		1.66	%		1.79	%		2.72	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)		2.12	%		0.55	%(bb)		0.40	%(g)		0.39	%		0.26	%		0.48	%(aa)
Before waivers and reimbursements (a)(f)		1.95	%		0.37	%(bb)		0.07	%(g)		(0.03	)%		(0.28	)%		(0.97	)%(aa)
Portfolio turnover rate^		8	%(z)		35	%		19	%		37	%		49	%		88	%

	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class I	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	17.24		$	11.43		$	12.49		$	12.36		$	12.86		$	10.30

Income (loss) from investment operations:
Net investment income (loss) (e)		0.19			0.13	####		0.07	#		0.08			0.07			0.08	###
Net realized and unrealized gain (loss)		(1.54	)		5.75			(0.91	)		0.23			(0.26	)		2.68

Total from investment operations		(1.35	)		5.88			(0.84	)		0.31			(0.19	)		2.76

Less distributions:
Dividends from net investment income		(0.29	)		(0.07	)		(0.07	)		(0.06	)		(0.06	)		(0.04	)
Distributions from net realized gains		(0.86	)		—			(0.15	)		(0.12	)		(0.25	)		(0.16	)

Total dividends and distributions		(1.15	)		(0.07	)		(0.22	)		(0.18	)		(0.31	)		(0.20	)

Net asset value, end of period	$	14.74		$	17.24		$	11.43		$	12.49		$	12.36		$	12.86

Total return (b)		(8.31	)%		51.57	%		(6.88	)%		2.57	%		(1.60	)%		27.09	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	144,232		$	145,394		$	84,537		$	95,601		$	86,815		$	21,317
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.98	%(j)		0.99	%(k)		1.00	%(k)		0.99	%(k)		0.99	%(k)		1.02	%
Before waivers and reimbursements (a)(f)		1.16	%		1.17	%		1.33	%		1.41	%		1.51	%		2.47	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)		2.33	%		0.76	%(bb)		0.64	%(g)		0.64	%		0.54	%		0.69	%(aa)
Before waivers and reimbursements (a)(f)		2.15	%		0.59	%(bb)		0.31	%(g)		0.22	%		0.03	%		(0.76	)%(aa)
Portfolio turnover rate^		8	%(z)		35	%		19	%		37	%		49	%		88	%

See Notes to Financial Statements.

1290 FUNDS

1290 GAMCO SMALL/MID CAP VALUE FUND

FINANCIAL HIGHLIGHTS (Continued)


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class R	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	17.07		$	11.33		$	12.38		$	12.26		$	12.76		$	10.23

Income (loss) from investment operations:
Net investment income (loss) (e)		0.15			0.05	####		0.02	#		0.02			—	##		0.03	###
Net realized and unrealized gain (loss)		(1.52	)		5.70			(0.91	)		0.22			(0.25	)		2.66

Total from investment operations		(1.37	)		5.75			(0.89	)		0.24			(0.25	)		2.69

Less distributions:
Dividends from net investment income		(0.22	)		(0.01	)		(0.01	)		—			—			—
Distributions from net realized gains		(0.86	)		—			(0.15	)		(0.12	)		(0.25	)		(0.16	)

Total dividends and distributions		(1.08	)		(0.01	)		(0.16	)		(0.12	)		(0.25	)		(0.16	)

Net asset value, end of period	$	14.62		$	17.07		$	11.33		$	12.38		$	12.26		$	12.76

Total return (b)		(8.54	)%		50.80	%		(7.31	)%		2.02	%		(2.07	)%		26.49	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	1,095		$	1,096		$	685		$	912		$	801		$	332
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		1.48	%(j)		1.49	%(k)		1.50	%(k)		1.49	%(k)		1.49	%(k)		1.53	%
Before waivers and reimbursements (a)(f)		1.66	%		1.67	%		1.83	%		1.91	%		2.05	%		3.00	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)		1.87	%		0.28	%(bb)		0.15	%(g)		0.14	%		0.02	%		0.27	%(aa)
Before waivers and reimbursements (a)(f)		1.69	%		0.11	%(bb)		(0.19	)%(g)		(0.28	)%		(0.54	)%		(1.21	)%(aa)
Portfolio turnover rate^		8	%(z)		35	%		19	%		37	%		49	%		88	%

	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class T**	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	17.24		$	11.43		$	12.49		$	12.36		$	12.86		$	10.30

Income (loss) from investment operations:
Net investment income (loss) (e)		0.20			0.13	####		0.07	#		0.08			0.07			0.11	###
Net realized and unrealized gain (loss)		(1.55	)		5.75			(0.91	)		0.23			(0.26	)		2.65

Total from investment operations		(1.35	)		5.88			(0.84	)		0.31			(0.19	)		2.76

Less distributions:
Dividends from net investment income		(0.29	)		(0.07	)		(0.07	)		(0.06	)		(0.06	)		(0.04	)
Distributions from net realized gains		(0.86	)		—			(0.15	)		(0.12	)		(0.25	)		(0.16	)

Total dividends and distributions		(1.15	)		(0.07	)		(0.22	)		(0.18	)		(0.31	)		(0.20	)

Net asset value, end of period	$	14.74		$	17.24		$	11.43		$	12.49		$	12.36		$	12.86

Total return (b)		(8.31	)%		51.57	%		(6.88	)%		2.57	%		(1.60	)%		27.09	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	150		$	176		$	116		$	127		$	126		$	131
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.98	%(j)		0.99	%(k)		1.00	%(k)		0.99	%(k)		0.99	%(k)		1.03	%
Before waivers and reimbursements (a)(f)		1.41	%		1.42	%		1.58	%		1.66	%		1.80	%		3.02	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)		2.50	%		0.79	%(bb)		0.64	%(g)		0.64	%		0.50	%		0.89	%(aa)
Before waivers and reimbursements (a)(f)		2.08	%		0.37	%(bb)		0.06	%(g)		(0.02	)%		(0.31	)%		(1.10	)%(aa)
Portfolio turnover rate^		8	%(z)		35	%		19	%		37	%		49	%		88	%

See Notes to Financial Statements.

1290 FUNDS

1290 GAMCO SMALL/MID CAP VALUE FUND

FINANCIAL HIGHLIGHTS (Continued)

**	Class T shares currently are not offered for sale. Class T shares were formerly known as Class C Shares.

#	Includes income resulting from a special dividend. Without this dividend, the per share income amounts would be $0.04, $0.06, $0.01 and $0.06 for Class A, Class I, Class R and Class T, respectively.

##	Per share amount is less than $0.005.

###

Includes income resulting from a special dividend. Without this dividend, the per share income amounts would be $0.02, $0.04, $(0.01) and $0.07 for Class A, Class I, Class R and Class T, respectively.

####

Includes income resulting from a special dividend. Without this dividend, the per share income amounts would be $0.02, $0.05, $(0.02) and $0.06 for Class A, Class I, Class R and Class T, respectively.

^	Portfolio turnover rate excludes derivatives, if any.

(a)

Ratios for periods less than one year are annualized.

(b)

Total returns for periods less than one year are not annualized.

(e)

Net investment income (loss) per share is based on average shares outstanding.

(f)

Expenses do not include the expenses of the underlying funds (“indirect expenses”), if applicable.

(j)

Including direct and indirect expenses, the net expense ratio after waivers would be 1.24% for Class A, 0.99% for Class I, 1.49% for Class R and 0.99% for Class T.

(g)

Includes income resulting from a special dividend. Without this dividend, the ratios for each class would have been 0.09% lower.

(k)

Including direct and indirect expenses, the net expense ratio after waivers would be 1.25% for Class A, 1.00% for Class I, 1.50% for Class R and 1.00% for Class T.

(z)

Portfolio turnover rate for periods less than one year is not annualized.

(aa)

Includes income resulting from a special dividend. Without this dividend, the ratios for each class would have been 0.34% lower.

(bb)

Includes income resulting from a special dividend. Without this dividend, the ratios for each class would have been 0.43% lower.

See Notes to Financial Statements.

1290 HIGH YIELD BOND FUND (Unaudited)



Sector Weightings as of April 30, 2022	% of Net Assets
Consumer Discretionary		16.2	%
Industrials		14.4
Information Technology		13.4
Communication Services		11.6
Materials		9.6
Energy		8.6
Health Care		7.0
Financials		5.9
Consumer Staples		5.7
Real Estate		3.0
Repurchase Agreement		1.2
Investment Company		1.1
Utilities		0.6
Cash and Other		1.7

		100.0	%

Holdings are subject to change without notice.

UNDERSTANDING YOUR EXPENSES:

As a shareholder of the Fund, you incur two types of costs:

(1) transaction costs, including applicable sales charges and redemption fees; and (2) ongoing costs, including investment advisory fees, distribution and/or service (12b-1) fees (in the case of Class A, Class R and Class T shares of the Fund), and other Fund expenses. These examples are 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 examples are based on an investment of $1,000 invested at the beginning of the six-month period ended April 30, 2022 and held for the entire six-month period.

Actual Expenses

The first line of the following table 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 this period.

Hypothetical Example for Comparison Purposes

EXAMPLE



	Beginning Account Value 11/1/21		Ending Account Value 4/30/22		Expenses Paid During Period* 11/1/21 - 4/30/22
Class A
Actual	$	1,000.00	$	942.00	$	4.82
Hypothetical (5% average annual return before expenses)		1,000.00		1,019.84		5.01
Class I
Actual		1,000.00		943.30		3.61
Hypothetical (5% average annual return before expenses)		1,000.00		1,021.08		3.76
Class R
Actual		1,000.00		941.90		6.02
Hypothetical (5% average annual return before expenses)		1,000.00		1,018.60		6.26
Class T
Actual		1,000.00		944.30		3.62
Hypothetical (5% average annual return before expenses)		1,000.00		1,021.08		3.76

* Expenses are equal to the Fund’s A, I, R and T shares annualized expense ratio of 1.00%, 0.75%, 1.25% and 0.75%, respectively, multiplied by the average account value over the period, and multiplied by 181/365 (to reflect the one-half year period).

1290 FUNDS

1290 HIGH YIELD BOND FUND

PORTFOLIO OF INVESTMENTS

April 30, 2022 (Unaudited)



	Principal Amount		Value (Note 1)

LONG-TERM DEBT SECURITIES:
Corporate Bonds (96.0%)
Communication Services (11.6%)
*Diversified Telecommunication Services (4.6%)*
CCO Holdings LLC 5.500%, 5/1/26 (x)§	$	132,000	$	132,330
4.750%, 3/1/30§		135,000		119,950
4.750%, 2/1/32§		295,000		255,544
4.500%, 5/1/32		159,000		134,355
4.500%, 6/1/33§		286,000		233,362
Level 3 Financing, Inc. 5.250%, 3/15/26		492,000		477,240
Lumen Technologies, Inc. 5.125%, 12/15/26 (x)§		230,000		208,725
5.375%, 6/15/29§		540,000		442,800
Series G 6.875%, 1/15/28		128,000		121,600
Series W 6.750%, 12/1/23		170,000		173,230
Sprint Capital Corp. 8.750%, 3/15/32		156,000		197,730
Windstream Escrow LLC 7.750%, 8/15/28§		149,000		143,412
Zayo Group Holdings, Inc. 4.000%, 3/1/27§		325,000		282,344
6.125%, 3/1/28§		359,000		298,867

				3,221,489

*Entertainment (1.1%)*
Lions Gate Capital Holdings LLC 5.500%, 4/15/29§		454,000		401,540
Live Nation Entertainment, Inc. 4.875%, 11/81/24§		164,000		161,950
6.500%, 5/15/27§		186,000		191,580

				755,070

*Interactive Media & Services (0.3%)*
Rackspace Technology Global, Inc. 5.375%, 12/1/28§		207,000		169,999

*Media (5.0%)*
DISH DBS Corp. 5.875%, 7/15/22		112,000		111,860
Gray Escrow II, Inc. 5.375%, 11/15/31§		163,000		140,107
Gray Television, Inc. 5.875%, 7/15/26§		140,000		141,750
4.750%, 10/15/30§		282,000		245,340
McGraw-Hill Education, Inc. 8.000%, 8/1/29§		319,000		285,505
Nexstar Media, Inc. 5.625%, 7/15/27§		446,000		432,740
Outfront Media Capital LLC 5.000%, 8/15/27§		351,000		333,889
Sinclair Television Group, Inc. 5.500%, 3/1/30§		166,000		136,950
Sirius XM Radio, Inc. 3.125%, 9/1/26§		231,000		212,809
3.875%, 9/1/31§		260,000		219,050
Stagwell Global LLC 5.625%, 8/15/29§		235,000		207,738

TEGNA, Inc. 4.750%, 3/15/26§		248,000		247,070
5.000%, 9/15/29		94,000		91,532
Videotron Ltd. 3.625%, 6/15/29§		118,000		102,643
VZ Secured Financing BV 5.000%, 1/15/32§		270,000		234,676
Ziggo Bond Co. BV 6.000%, 1/15/27§		350,000		344,750

				3,488,409

*Wireless Telecommunication Services (0.6%)*
Sprint Corp. 7.875%, 9/15/23		128,000		133,984
7.625%, 3/1/26		114,000		123,483
Vmed O2 UK Financing I plc 4.750%, 7/15/31§		200,000		171,500

				428,967

Total Communication Services				8,063,934

Consumer Discretionary (16.2%)
*Auto Components (0.2%)*
Icahn Enterprises LP 6.375%, 12/15/25		120,000		119,334

*Automobiles (0.4%)*
Ford Motor Co. 6.625%, 10/1/28		266,000		275,975

*Distributors (0.7%)*
Ritchie Bros Holdings, Inc. 4.750%, 12/15/31§		264,000		264,000
Univar Solutions USA, Inc. 5.125%, 12/1/27§		229,000		218,924

				482,924

*Diversified Consumer Services (0.3%)*
GEMS MENASA Cayman Ltd. 7.125%, 7/31/26§		200,000		199,460

*Hotels, Restaurants & Leisure (7.0%)*
1011778 BC ULC 5.750%, 4/15/25§		214,000		218,062
Caesars Entertainment, Inc. 6.250%, 7/1/25§		406,000		409,155
4.625%, 10/15/29§		87,000		74,759
Carnival Corp. 6.000%, 5/1/29§		246,000		220,785
CDI Escrow Issuer, Inc. (CRDI) 5.750%, 4/1/30§		291,000		280,498
CEC Entertainment LLC 6.750%, 5/1/26§		136,000		128,180
Churchill Downs, Inc. 5.500%, 4/1/27§		258,000		253,485
Dave & Buster’s, Inc. 7.625%, 11/1/25§		406,000		419,703
Golden Entertainment, Inc. 7.625%, 4/15/26§		304,000		311,600
Hilton Domestic Operating Co., Inc. 5.750%, 5/1/28§		326,000		329,667
IRB Holding Corp. 7.000%, 6/15/25§		180,000		184,286

See Notes to Financial Statements.

1290 FUNDS

1290 HIGH YIELD BOND FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Principal Amount		Value (Note 1)

Life Time, Inc. 5.750%, 1/15/26§	$	396,000	$	387,090
MajorDrive Holdings IV LLC 6.375%, 6/1/29§		304,000		237,120
Powdr Corp. 6.000%, 8/1/25§		41,000		41,615
Royal Caribbean Cruises Ltd. 5.375%, 7/15/27§		291,000		266,992
Scientific Games Holdings LP 6.625%, 3/1/30§		219,000		208,050
Station Casinos LLC 4.500%, 2/15/28§		228,000		206,488
4.625%, 12/1/31§		214,000		178,712
Vail Resorts, Inc. 6.250%, 5/15/25§		58,000		59,522
Wyndham Hotels & Resorts, Inc. 4.375%, 8/15/28§		155,000		144,150
Yum! Brands, Inc. 5.375%, 4/1/32		358,000		341,442

				4,901,361

*Household Durables (0.9%)*
CD&R Smokey Buyer, Inc. 6.750%, 7/15/25§		602,000		614,040
Picasso Finance Sub, Inc. 6.125%, 6/15/25§		34,000		34,595

				648,635

*Internet & Direct Marketing Retail (1.7%)*
Getty Images, Inc. 9.750%, 3/1/27§		698,000		724,175
Photo Holdings Merger Sub, Inc. 8.500%, 10/1/26§		512,000		478,720

				1,202,895

*Leisure Products (0.8%)*
Mattel, Inc. 3.750%, 4/1/29§		102,000		96,900
Vista Outdoor, Inc. 4.500%, 3/15/29§		525,000		469,875

				566,775

*Specialty Retail (3.8%)*
Asbury Automotive Group, Inc. 4.750%, 3/1/30		163,000		146,496
5.000%, 2/15/32§		204,000		181,968
eG Global Finance plc 8.500%, 10/30/25§		400,000		400,000
LBM Acquisition LLC 6.250%, 1/15/29§		251,000		204,178
LCM Investments Holdings II LLC 4.875%, 5/1/29§		247,000		216,125
Sonic Automotive, Inc. 4.875%, 11/15/31§		351,000		298,789
Specialty Building Products Holdings LLC 6.375%, 9/30/26§		585,000		572,861
SRS Distribution, Inc. 4.625%, 7/1/28§		179,000		163,876
6.000%, 12/1/29§		247,000		214,890
White Cap Buyer LLC 6.875%, 10/15/28§		266,000		244,388

				2,643,571


*Textiles, Apparel & Luxury Goods (0.4%)*
G-III Apparel Group Ltd. 7.875%, 8/15/25§		242,000		251,378

Total Consumer Discretionary				11,292,308

Consumer Staples (5.7%)
*Beverages (0.3%)*
Primo Water Holdings, Inc. 4.375%, 4/30/29§		155,000		134,690
Triton Water Holdings, Inc. 6.250%, 4/1/29§		146,000		121,056

				255,746

*Food & Staples Retailing (1.2%)*
Performance Food Group, Inc. 6.875%, 5/1/25§		193,000		198,501
5.500%, 10/15/27§		80,000		77,400
United Natural Foods, Inc. 6.750%, 10/15/28§		87,000		87,000
US Foods, Inc. 6.250%, 4/15/25§		248,000		254,200
4.625%, 6/1/30§		246,000		220,096

				837,197

*Food Products (2.4%)*
B&G Foods, Inc. 5.250%, 4/1/25		101,000		96,173
Kraft Heinz Foods Co. 6.875%, 1/26/39		116,000		133,690
4.375%, 6/1/46		385,000		336,794
Post Holdings, Inc. 5.750%, 3/1/27§		118,000		116,525
4.625%, 4/15/30§		100,000		85,500
4.500%, 9/15/31§		379,000		315,517
Sigma Holdco BV 7.875%, 5/15/26§		400,000		298,000
Simmons Foods, Inc. 4.625%, 3/1/29§		299,000		270,969

				1,653,168

*Household Products (1.1%)*
Central Garden & Pet Co. 4.125%, 10/15/30		84,000		72,456
Energizer Holdings, Inc. 4.750%, 6/15/28§		267,000		233,625
Kronos Acquisition Holdings, Inc. 7.000%, 12/31/27§		16,000		12,720
Spectrum Brands, Inc. 5.750%, 7/15/25		220,000		221,925
5.500%, 7/15/30§		21,000		19,504
3.875%, 3/15/31§		220,000		184,250

				744,480

*Personal Products (0.7%)*
Herbalife Nutrition Ltd. 7.875%, 9/1/25§		291,000		286,271
Prestige Brands, Inc. 3.750%, 4/1/31§		239,000		202,127

				488,398

Total Consumer Staples				3,978,989

See Notes to Financial Statements.

1290 FUNDS

1290 HIGH YIELD BOND FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Principal Amount		Value (Note 1)

Energy (8.6%)
*Energy Equipment & Services (0.2%)*
Precision Drilling Corp. 7.125%, 1/15/26§	$	139,000	$	138,305

*Oil, Gas & Consumable Fuels (8.4%)*
Aethon United BR LP 8.250%, 2/15/26§		202,000		207,555
Antero Resources Corp. 7.625%, 2/1/29§		42,000		44,415
Ascent Resources Utica Holdings LLC 7.000%, 11/1/26§		320,000		321,600
Blue Racer Midstream LLC 7.625%, 12/15/25§		113,000		116,390
6.625%, 7/15/26§		250,000		250,313
Colgate Energy Partners III LLC 5.875%, 7/1/29§		77,000		76,615
Crescent Energy Finance LLC 7.250%, 5/1/26§		250,000		244,375
Crestwood Midstream Partners LP 5.625%, 5/1/27§		54,000		52,717
6.000%, 2/1/29§		485,000		471,100
CrownRock LP 5.625%, 10/15/25§		393,000		392,018
Delek Logistics Partners LP 6.750%, 5/15/25		395,000		390,062
Encino Acquisition Partners Holdings LLC 8.500%, 5/1/28§		164,000		163,590
Genesis Energy LP 8.000%, 1/15/27		95,000		92,953
7.750%, 2/1/28		508,000		488,950
Holly Energy Partners LP 6.375%, 4/15/27§		123,000		125,767
5.000%, 2/1/28§		221,000		210,262
NuStar Logistics LP 5.750%, 10/1/25		125,000		123,437
6.000%, 6/1/26		175,000		173,688
Occidental Petroleum Corp. 6.625%, 9/1/30		100,000		108,375
6.125%, 1/1/31		55,000		57,681
6.450%, 9/15/36		446,000		483,910
PBF Logistics LP 6.875%, 5/15/23		290,000		287,100
Rockcliff Energy II LLC 5.500%, 10/15/29§		97,000		94,696
Southwestern Energy Co. 7.750%, 10/1/27		97,000		101,122
4.750%, 2/1/32		142,000		134,368
Summit Midstream Holdings LLC 8.500%, 10/15/26§		274,000		255,505
Sunoco LP 4.500%, 4/30/30§		428,000		383,060

				5,851,624

Total Energy				5,989,929

Financials (5.9%)
*Consumer Finance (1.3%)*
Curo Group Holdings Corp. 7.500%, 8/1/28§		347,000		286,629
Enova International, Inc. 8.500%, 9/1/24§		252,000		250,740

Ford Motor Credit Co. LLC 4.000%, 11/13/30		322,000		279,335
OneMain Finance Corp. 8.875%, 6/1/25		77,000		80,450

				897,154

*Diversified Financial Services (1.7%)*
Armor Holdco, Inc. 8.500%, 11/15/29§		155,000		149,575
Shift4 Payments LLC 4.625%, 11/1/26§		455,000		435,662
Verscend Escrow Corp. 9.750%, 8/15/26§		580,000		597,400

				1,182,637

*Insurance (1.9%)*
Alliant Holdings Intermediate LLC 6.750%, 10/15/27§		468,000		442,845
AmWINS Group, Inc. 4.875%, 6/30/29§		170,000		154,840
HUB International Ltd. 7.000%, 5/1/26§		706,000		701,913

				1,299,598

*Thrifts & Mortgage Finance (1.0%)*
Freedom Mortgage Corp. 8.250%, 4/15/25§		310,000		299,925
6.625%, 1/15/27§		237,000		204,116
PHH Mortgage Corp. 7.875%, 3/15/26§		104,000		93,860
Rocket Mortgage LLC 2.875%, 10/15/26§		154,000		137,445

				735,346

Total Financials				4,114,735

Health Care (7.0%)
*Biotechnology (0.2%)*
Grifols Escrow Issuer SA 4.750%, 10/15/28§		200,000		182,500

*Health Care Equipment & Supplies (1.1%)*
Mozart Debt Merger Sub, Inc. 3.875%, 4/1/29§		214,000		186,715
5.250%, 10/1/29 (x)§		282,000		245,340
Varex Imaging Corp. 7.875%, 10/15/27§		303,000		312,090

				744,145

*Health Care Providers & Services (2.5%)*
AdaptHealth LLC 6.125%, 8/1/28§		178,000		167,320
5.125%, 3/1/30§		328,000		282,080
HCA, Inc. 7.690%, 6/15/25		91,000		98,280
HealthEquity, Inc. 4.500%, 10/1/29§		463,000		423,066
Tenet Healthcare Corp. 4.875%, 1/1/26§		454,000		440,675
US Acute Care Solutions LLC 6.375%, 3/1/26§		233,000		226,010

See Notes to Financial Statements.

1290 FUNDS

1290 HIGH YIELD BOND FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Principal Amount		Value (Note 1)

Vizient, Inc. 6.250%, 5/15/27§	$	91,000	$	93,530

				1,730,961

*Health Care Technology (0.4%)*
IQVIA, Inc. 5.000%, 5/15/27§		260,000		256,919

*Pharmaceuticals (2.8%)*
Bausch Health Americas, Inc. 9.250%, 4/1/26§		317,000		313,830
Bausch Health Cos., Inc. 5.500%, 11/1/25§		310,000		299,925
4.875%, 6/1/28§		111,000		98,485
6.250%, 2/15/29§		144,000		104,400
Catalent Pharma Solutions, Inc. 5.000%, 7/15/27§		457,000		446,718
3.500%, 4/1/30§		149,000		129,257
Cheplapharm Arzneimittel GmbH 5.500%, 1/15/28§		200,000		191,500
Organon & Co. 5.125%, 4/30/31§		200,000		180,750
P&L Development LLC 7.750%, 11/15/25§		196,000		173,950

				1,938,815

Total Health Care				4,853,340

Industrials (14.4%)
*Aerospace & Defense (0.3%)*
Rolls-Royce plc 5.750%, 10/15/27§		200,000		192,500

*Building Products (1.6%)*
CP Atlas Buyer, Inc. 7.000%, 12/1/28§		196,000		163,660
JELD-WEN, Inc. 6.250%, 5/15/25§		111,000		113,914
New Enterprise Stone & Lime Co., Inc. 5.250%, 7/15/28§		343,000		315,560
Standard Industries, Inc. 4.375%, 7/15/30§		234,000		196,560
Summit Materials LLC 5.250%, 1/15/29§		222,000		207,570
Victors Merger Corp. 6.375%, 5/15/29§		178,000		108,135

				1,105,399

*Commercial Services & Supplies (6.8%)*
ACCO Brands Corp. 4.250%, 3/15/29§		54,000		46,710
ADT Security Corp. (The) 4.125%, 6/15/23		110,000		108,845
4.875%, 7/15/32§		306,000		257,805
Allied Universal Holdco LLC 6.625%, 7/15/26§		470,000		464,125
9.750%, 7/15/27§		374,000		362,331
6.000%, 6/1/29§		48,000		39,360
Aramark Services, Inc. 5.000%, 4/1/25§		116,000		115,420
6.375%, 5/1/25§		224,000		227,573
Cimpress plc 7.000%, 6/15/26§		150,000		140,970

Covanta Holding Corp. 5.000%, 9/1/30		55,000		50,050
Garda World Security Corp. 9.500%, 11/1/27§		578,000		569,995
6.000%, 6/1/29§		249,000		207,292
GFL Environmental, Inc. 5.125%, 12/15/26§		220,000		215,684
4.750%, 6/15/29§		160,000		144,800
KAR Auction Services, Inc. 5.125%, 6/1/25§		819,000		816,952
Madison IAQ LLC 5.875%, 6/30/29§		94,000		76,375
Matthews International Corp. 5.250%, 12/1/25§		471,000		468,056
Nielsen Finance LLC 5.875%, 10/1/30§		246,000		236,775
4.750%, 7/15/31§		202,000		191,395

				4,740,513

*Construction & Engineering (1.5%)*
Artera Services LLC 9.033%, 12/4/25§		343,333		329,600
Dycom Industries, Inc. 4.500%, 4/15/29§		298,000		271,925
Pike Corp. 5.500%, 9/1/28§		345,000		317,400
Weekley Homes LLC 4.875%, 9/15/28§		111,000		97,125

				1,016,050

*Machinery (1.4%)*
ATS Automation Tooling Systems, Inc. 4.125%, 12/15/28§		300,000		270,480
Clark Equipment Co. 5.875%, 6/1/25§		285,000		287,583
Welbilt, Inc. 9.500%, 2/15/24		447,000		448,788

				1,006,851

*Professional Services (0.4%)*
Dun & Bradstreet Corp. (The) 5.000%, 12/15/29§		239,000		223,465
Science Applications International Corp. 4.875%, 4/1/28§		40,000		38,300

				261,765

*Road & Rail (1.7%)*
NESCO Holdings II, Inc. 5.500%, 4/15/29§		352,000		331,760
Watco Cos. LLC 6.500%, 6/15/27§		796,000		762,170
XPO Logistics, Inc. 6.250%, 5/1/25§		63,000		64,260

				1,158,190

*Trading Companies & Distributors (0.7%)*
WESCO Distribution, Inc. 7.250%, 6/15/28§		499,000		518,960

Total Industrials				10,000,228

See Notes to Financial Statements.

1290 FUNDS

1290 HIGH YIELD BOND FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Principal Amount		Value (Note 1)

Information Technology (13.4%)
*Communications Equipment (1.6%)*
CommScope Technologies LLC 6.000%, 6/15/25§	$	196,000	$	172,480
CommScope, Inc. 6.000%, 3/1/26§		394,000		372,330
8.250%, 3/1/27§		237,000		203,820
4.750%, 9/1/29§		412,000		343,773

				1,092,403

*Electronic Equipment, Instruments & Components (0.7%)*
II-VI, Inc. 5.000%, 12/15/29§		81,000		75,938
Likewize Corp. 9.750%, 10/15/25§		417,000		407,617

				483,555

*IT Services (2.3%)*
Ahead DB Holdings LLC 6.625%, 5/1/28§		228,000		202,350
Black Knight InfoServ LLC 3.625%, 9/1/28§		70,000		64,750
Bread Financial Holdings, Inc. 4.750%, 12/15/24§		489,000		475,553
7.000%, 1/15/26§		162,000		163,620
ION Trading Technologies Sarl 5.750%, 5/15/28§		200,000		188,250
Northwest Fiber LLC 6.000%, 2/15/28§		179,000		149,465
Unisys Corp. 6.875%, 11/1/27§		343,000		347,287

				1,591,275

*Software (8.7%)*
ACI Worldwide, Inc. 5.750%, 8/15/26§		417,000		423,776
Boxer Parent Co., Inc. 7.125%, 10/2/25§		284,000		288,615
Camelot Finance SA 4.500%, 11/1/26§		400,000		378,000
Change Healthcare Holdings LLC 5.750%, 3/1/25§		909,000		906,728
Clarivate Science Holdings Corp. 4.875%, 7/1/29§		489,000		430,931
Condor Merger Sub, Inc. 7.375%, 2/15/30§		256,000		229,043
Helios Software Holdings, Inc. 4.625%, 5/1/28§		400,000		353,000
LogMeIn, Inc. 5.500%, 9/1/27§		246,000		217,021
Minerva Merger Sub, Inc. 6.500%, 2/15/30 (x)§		450,000		413,437
NCR Corp. 5.000%, 10/1/28§		315,000		289,416
5.125%, 4/15/29§		527,000		505,261
NortonLifeLock, Inc. 5.000%, 4/15/25§		112,000		111,580
Open Text Holdings, Inc. 4.125%, 12/1/31§		260,000		224,926
Rocket Software, Inc. 6.500%, 2/15/29§		453,000		390,713

SS&C Technologies, Inc. 5.500%, 9/30/27§		671,000		655,903
ZoomInfo Technologies LLC 3.875%, 2/1/29§		309,000		273,465

				6,091,815

*Technology Hardware, Storage & Peripherals (0.1%)*
Diebold Nixdorf, Inc. 9.375%, 7/15/25§		60,000		52,500

Total Information Technology				9,311,548

Materials (9.6%)
*Chemicals (3.8%)*
Avient Corp. 5.750%, 5/15/25§		280,000		281,576
Diamond BC BV 4.625%, 10/1/29§		67,000		57,635
Illuminate Buyer LLC 9.000%, 7/1/28§		491,000		466,450
INEOS Quattro Finance 2 plc 3.375%, 1/15/26§		200,000		180,000
LSF11 A5 HoldCo LLC 6.625%, 10/15/29§		216,000		192,240
Minerals Technologies, Inc. 5.000%, 7/1/28§		343,000		317,275
NOVA Chemicals Corp. 4.875%, 6/1/24§		104,000		102,570
Nufarm Australia Ltd. 5.000%, 1/27/30§		210,000		197,925
Olympus Water US Holding Corp. 4.250%, 10/1/28§		343,000		302,492
6.250%, 10/1/29§		200,000		166,500
WR Grace Holdings LLC 5.625%, 8/15/29§		431,000		371,199

				2,635,862

*Containers & Packaging (5.6%)*
ARD Finance SA 6.500%, 6/30/27 PIK§		400,000		339,000
Ardagh Metal Packaging Finance USA LLC 4.000%, 9/1/29§		200,000		170,892
Ardagh Packaging Finance plc 4.125%, 8/15/26§		200,000		185,560
Clydesdale Acquisition Holdings, Inc. 8.750%, 4/15/30§		264,000		241,890
Crown Americas LLC 5.250%, 4/1/30 (x)§		348,000		345,390
Intelligent Packaging Ltd. Finco, Inc. 6.000%, 9/15/28§		243,000		228,420
LABL, Inc. 6.750%, 7/15/26§		219,000		210,240
10.500%, 7/15/27§		390,000		378,300
5.875%, 11/1/28§		143,000		130,568
Mauser Packaging Solutions Holding Co. 5.500%, 4/15/24§		286,000		278,993
7.250%, 4/15/25§		758,000		718,205
Owens-Brockway Glass Container, Inc. 5.875%, 8/15/23§		130,000		131,526
6.625%, 5/13/27§		144,000		142,920

See Notes to Financial Statements.

1290 FUNDS

1290 HIGH YIELD BOND FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Principal Amount		Value (Note 1)

Trivium Packaging Finance BV 5.500%, 8/15/26 (e)§	$	400,000	$	386,500

				3,888,404

*Metals & Mining (0.2%)*
Kaiser Aluminum Corp. 4.500%, 6/1/31§		204,000		176,256

Total Materials				6,700,522

Real Estate (3.0%)
*Equity Real Estate Investment Trusts (REITs) (1.9%)*
Iron Mountain, Inc. (REIT) 5.000%, 7/15/28§		420,000		395,850
Park Intermediate Holdings LLC (REIT) 7.500%, 6/1/25§		79,000		81,544
5.875%, 10/1/28§		303,000		293,025
4.875%, 5/15/29§		129,000		117,837
VICI Properties LP (REIT) 4.625%, 6/15/25§		153,000		152,235
XHR LP (REIT) 6.375%, 8/15/25§		166,000		167,859
4.875%, 6/1/29§		86,000		79,013

				1,287,363

*Real Estate Management & Development (1.1%)*
Cushman & Wakefield US Borrower LLC 6.750%, 5/15/28§		149,000		151,983
Greystar Real Estate Partners LLC 5.750%, 12/1/25§		511,000		512,047
Howard Hughes Corp. (The) 4.375%, 2/1/31§		122,000		108,262

				772,292

Total Real Estate				2,059,655

Utilities (0.6%)
*Water Utilities (0.6%)*
Solaris Midstream Holdings LLC 7.625%, 4/1/26§		421,000		429,420

Total Utilities				429,420

Total Corporate Bonds				66,794,608

Total Long-Term Debt Securities (96.0%) (Cost $71,482,892)				66,794,608


	Number of Shares		Value (Note 1)
SHORT-TERM INVESTMENTS:
Investment Company (1.1%)
JPMorgan Prime Money Market Fund, IM Shares		799,010		799,249



	Principal Amount		Value (Note 1)

Repurchase Agreement (1.2%)
Deutsche Bank Securities, Inc., 0.26%, dated 4/29/22, due 5/2/22, repurchase price $805,787, collateralized by various U.S. Government Treasury Securities, 0.000%, maturing 5/15/22-11/15/51; total market value $821,885. (xx)	$	805,770	$	805,770

Total Short-Term Investments (2.3%) (Cost $1,605,019)				1,605,019

Total Investments in Securities (98.3%) (Cost $73,087,911)				68,399,627
Other Assets Less Liabilities (1.7%)				1,168,413

Net Assets (100%)			$	69,568,040

Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may only be resold to qualified institutional buyers. At April 30, 2022, the market value of these securities amounted to $59,977,915 or 86.2% of net assets. Securities denoted with “§” but without “b” have been determined to be liquid under the guidelines established by the Board of Trustees. To the extent any securities might provide a right to demand registration, such rights have not been relied upon when determining liquidity.

(e)

Step Bond - Coupon rate increases or decreases in increments to maturity. Rate disclosed is as of April 30, 2022. Maturity date disclosed is the ultimate maturity date.

(x)

All or a portion of security is on loan at April 30, 2022.

(xx)

At April 30, 2022, the Portfolio had loaned securities with a total value of $781,701. This was collateralized by cash of $805,770 which was subsequently invested in joint repurchase agreements as detailed in the Notes to the Financial Statements.

Glossary:

CRDI

— CREST Depository Interest

PIK

— Payment-in Kind Security

See Notes to Financial Statements.

1290 FUNDS

1290 HIGH YIELD BOND FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

The following is a summary of the inputs, summarized in three broad levels, used to value the Fund’s assets and liabilities carried at fair value as of April 30, 2022:

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.



Investment Type	Level 1 Quoted Prices in Active Markets for Identical Securities		Level 2 Significant Other Observable Inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)		Level 3 Significant Unobservable Inputs (including the Fund’s own assumptions in determining the fair value of investments)		Total
Assets:
Corporate Bonds
Communication Services	$	—	$	8,063,934	$	—	$	8,063,934
Consumer Discretionary		—		11,292,308		—		11,292,308
Consumer Staples		—		3,978,989		—		3,978,989
Energy		—		5,989,929		—		5,989,929
Financials		—		4,114,735		—		4,114,735
Health Care		—		4,853,340		—		4,853,340
Industrials		—		10,000,228		—		10,000,228
Information Technology		—		9,311,548		—		9,311,548
Materials		—		6,700,522		—		6,700,522
Real Estate		—		2,059,655		—		2,059,655
Utilities		—		429,420		—		429,420
Short-Term Investments
Investment Company		799,249		—		—		799,249
Repurchase Agreement		—		805,770		—		805,770

Total Assets	$	799,249	$	67,600,378	$	—	$	68,399,627

Total Liabilities	$	—	$	—	$	—	$	—

Total	$	799,249	$	67,600,378	$	—	$	68,399,627

The Fund held no derivatives contracts during the six months ended April 30, 2022.

Investment security transactions for the six months ended April 30, 2022 were as follows:


Cost of Purchases:
Long-term investments other than U.S. government debt securities	$	19,319,319
Net Proceeds of Sales and Redemptions:
Long-term investments other than U.S. government debt securities	$	12,444,334


Aggregate gross unrealized appreciation	$	199,149
Aggregate gross unrealized depreciation		(5,071,658	)

Net unrealized depreciation	$	(4,872,509	)

Federal income tax cost of investments in securities and derivative instruments, if applicable	$	73,272,136

See Notes to Financial Statements.

1290 FUNDS

1290 HIGH YIELD BOND FUND

STATEMENT OF ASSETS AND LIABILITIES

April 30, 2022 (Unaudited)


ASSETS
Investments in Securities, at value (x)
Unaffiliated Issuers (Cost $72,282,141)	$	67,593,857
Repurchase Agreements (Cost $805,770)		805,770
Cash		895,383
Dividends, interest and other receivables		1,132,015
Receivable for Fund shares sold		372,925
Prepaid registration and filing fees		22,721
Securities lending income receivable		84

Total assets		70,822,755

LIABILITIES
Payable for return of collateral on securities loaned		805,770
Payable for Fund shares redeemed		283,755
Dividends and distributions payable		87,352
Investment advisory fees payable		12,656
Administrative fees payable		8,711
Transfer agent fees payable		6,889
Distribution fees payable – Class A		409
Distribution fees payable – Class R		231
Accrued expenses		48,942

Total liabilities		1,254,715

NET ASSETS	$	69,568,040

Net assets were comprised of:
Paid in capital	$	77,506,892
Total distributable earnings (loss)		(7,938,852	)

Net assets	$	69,568,040

Class A
Net asset value and redemption price per share, $1,954,697 / 229,552 shares outstanding (unlimited amount authorized: $0.001 par value)	$	8.52
Maximum sales charge (4.50% of offering price)		0.40

Maximum offering price per share	$	8.92

Class I
Net asset value, offering and redemption price per share, $66,937,598 / 7,855,416 shares outstanding (unlimited amount authorized: $0.001 par value)	$	8.52

Class R
Net asset value, offering and redemption price per share, $554,833 / 65,194 shares outstanding (unlimited amount authorized: $0.001 par value)	$	8.51

Class T**
Net asset value and redemption price per share, $120,912 / 14,192 shares outstanding (unlimited amount authorized: $0.001 par value)	$	8.52
Maximum sales charge (2.50% of offering price)		0.22

Maximum offering price per share	$	8.74

**	Class T shares currently are not offered for sale.

(x)

Includes value of securities on loan of $781,701.

STATEMENT OF OPERATIONS

For the Six Months Ended April 30, 2022 (Unaudited)


INVESTMENT INCOME
Interest	$	1,847,619
Dividends		1,161
Securities lending (net)		84

Total income		1,848,864

EXPENSES
Investment advisory fees		212,575
Administrative fees		53,144
Professional fees		40,267
Transfer agent fees		38,184
Registration and filing fees		18,968
Printing and mailing expenses		15,729
Custodian fees		5,951
Distribution fees – Class A		2,576
Distribution fees – Class R		1,691
Trustees’ fees		1,341
Distribution fees – Class T**		159
Miscellaneous		8,877

Gross expenses		399,462
Less: Waiver from investment adviser		(129,438	)
Waiver from distributor		(159	)

Net expenses		269,865

NET INVESTMENT INCOME (LOSS)		1,578,999

REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) on investments in securities		219,991
Net change in unrealized appreciation (depreciation) on investments in securities		(5,912,590	)

NET REALIZED AND UNREALIZED GAIN (LOSS)		(5,692,599	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	(4,113,600	)

**	Class T shares currently are not offered for sale.

See Notes to Financial Statements.

1290 FUNDS

1290 HIGH YIELD BOND FUND

STATEMENT OF CHANGES IN NET ASSETS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31, 2021
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS:
Net investment income (loss)	$	1,578,999		$	2,553,737
Net realized gain (loss)		219,991			425,483
Net change in unrealized appreciation (depreciation)		(5,912,590	)		719,925

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS		(4,113,600	)		3,699,145

Distributions to shareholders:
Class A		(46,233	)		(89,733	)
Class I		(1,634,342	)		(2,597,218	)
Class R		(13,909	)		(28,070	)
Class T**		(3,023	)		(6,224	)

Total distributions to shareholders		(1,697,507	)		(2,721,245	)

Tax return of capital:
Class A		—			(665	)
Class I		—			(19,245	)
Class R		—			(208	)
Class T		—			(46	)

Total tax return of capital		—			(20,164	)

CAPITAL SHARES TRANSACTIONS:
Class A
Capital shares sold [ 20,560 and 27,116 shares, respectively ]		185,091			252,459
Capital shares issued in reinvestment of dividends [ 4,664 and 8,735 shares, respectively ]		41,568			81,160
Capital shares repurchased [ (27,806) and (38,563) shares, respectively ]		(250,970	)		(357,887	)

Total Class A transactions		(24,311	)		(24,268	)

Class I
Capital shares sold [ 1,782,010 and 3,042,995 shares, respectively ]		16,026,713			28,373,193
Capital shares issued in reinvestment of dividends [ 116,925 and 139,589 shares, respectively ]		1,040,898			1,298,274
Capital shares repurchased [ (1,233,637) and (669,848) shares, respectively ]		(11,020,054	)		(6,242,382	)

Total Class I transactions		6,047,557			23,429,085

Class R
Capital shares sold [ 7,982 and 11,691 shares, respectively ]		72,133			108,891
Capital shares issued in reinvestment of dividends [ 1,097 and 2,126 shares, respectively ]		9,796			19,746
Capital shares repurchased [ (20,584) and (8,024) shares, respectively ]		(183,155	)		(74,269	)

Total Class R transactions		(101,226	)		54,368

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE TRANSACTIONS		5,922,020			23,459,185

TOTAL INCREASE (DECREASE) IN NET ASSETS		110,913			24,416,921
NET ASSETS:
Beginning of period		69,457,127			45,040,206

End of period	$	69,568,040		$	69,457,127

** Class T shares currently are not offered for sale.

See Notes to Financial Statements.

1290 FUNDS

1290 HIGH YIELD BOND FUND

FINANCIAL HIGHLIGHTS


Class A	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class A	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	9.24		$	9.01		$	9.06		$	8.93		$	9.33		$	9.01

Income (loss) from investment operations:
Net investment income (loss) (e)		0.19			0.39			0.44			0.47			0.48			0.49
Net realized and unrealized gain (loss)		(0.66	)		0.26			(0.03	)		0.14			(0.40	)		0.32

Total from investment operations		(0.47	)		0.65			0.41			0.61			0.08			0.81

Less distributions:
Dividends from net investment income		(0.25	)		(0.42	)		(0.46	)		(0.47	)		(0.48	)		(0.48	)
Return of capital		—			—	#		—			(0.01	)		—			(0.01	)

Total dividends and distributions		(0.25	)		(0.42	)		(0.46	)		(0.48	)		(0.48	)		(0.49	)

Net asset value, end of period	$	8.52		$	9.24		$	9.01		$	9.06		$	8.93		$	9.33

Total return (b)		(5.80	)%		7.27	%		4.72	%		6.97	%		0.86	%		9.20	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	1,955		$	2,145		$	2,115		$	1,623		$	2,500		$	709
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		1.00	%		1.00	%		1.00	%		1.00	%		1.04	%		1.06	%
Before waivers and reimbursements (a)(f)		1.37	%		1.44	%		1.68	%		1.79	%		1.77	%		1.84	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)		4.22	%		4.24	%		4.97	%		5.27	%		5.20	%		5.26	%
Before waivers and reimbursements (a)(f)		3.85	%		3.80	%		4.29	%		4.48	%		4.47	%		4.48	%
Portfolio turnover rate^		18	%(z)		39	%		59	%		54	%		45	%		54	%

Class I	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class I	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	9.25		$	9.01		$	9.06		$	8.94		$	9.34		$	9.01

Income (loss) from investment operations:
Net investment income (loss) (e)		0.20			0.42			0.47			0.50			0.50			0.52
Net realized and unrealized gain (loss)		(0.67	)		0.26			(0.04	)		0.12			(0.40	)		0.33

Total from investment operations		(0.47	)		0.68			0.43			0.62			0.10			0.85

Less distributions:
Dividends from net investment income		(0.26	)		(0.44	)		(0.48	)		(0.49	)		(0.50	)		(0.51	)
Return of capital		—			—	#		—			(0.01	)		—			(0.01	)

Total dividends and distributions		(0.26	)		(0.44	)		(0.48	)		(0.50	)		(0.50	)		(0.52	)

Net asset value, end of period	$	8.52		$	9.25		$	9.01		$	9.06		$	8.94		$	9.34

Total return (b)		(5.67	)%		7.65	%		4.98	%		7.12	%		1.09	%		9.58	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	66,938		$	66,473		$	42,159		$	35,453		$	30,386		$	30,185
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.75	%		0.75	%		0.75	%		0.75	%		0.80	%		0.82	%
Before waivers and reimbursements (a)(f)		1.12	%		1.18	%		1.43	%		1.53	%		1.52	%		1.58	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)		4.47	%		4.47	%		5.22	%		5.50	%		5.47	%		5.55	%
Before waivers and reimbursements (a)(f)		4.11	%		4.04	%		4.54	%		4.71	%		4.74	%		4.79	%
Portfolio turnover rate^		18	%(z)		39	%		59	%		54	%		45	%		54	%

See Notes to Financial Statements.

1290 FUNDS

1290 HIGH YIELD BOND FUND

FINANCIAL HIGHLIGHTS (Continued)


Class R	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class R	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	9.23		$	9.00		$	9.05		$	8.93		$	9.33		$	9.01

Income (loss) from investment operations:
Net investment income (loss) (e)		0.18			0.37			0.42			0.45			0.45			0.47
Net realized and unrealized gain (loss)		(0.66	)		0.25			(0.03	)		0.13			(0.39	)		0.32

Total from investment operations		(0.48	)		0.62			0.39			0.58			0.06			0.79

Less distributions:
Dividends from net investment income		(0.24	)		(0.39	)		(0.44	)		(0.45	)		(0.46	)		(0.46	)
Return of capital		—			—	#		—			(0.01	)		—			(0.01	)

Total dividends and distributions		(0.24	)		(0.39	)		(0.44	)		(0.46	)		(0.46	)		(0.47	)

Net asset value, end of period	$	8.51		$	9.23		$	9.00		$	9.05		$	8.93		$	9.33

Total return (b)		(5.81	)%		7.01	%		4.46	%		6.59	%		0.63	%		8.95	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	555		$	708		$	638		$	307		$	287		$	218
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		1.25	%		1.25	%		1.25	%		1.25	%		1.30	%		1.32	%
Before waivers and reimbursements (a)(f)		1.62	%		1.69	%		1.92	%		2.03	%		2.02	%		2.08	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)		3.96	%		3.98	%		4.69	%		5.00	%		4.96	%		5.05	%
Before waivers and reimbursements (a)(f)		3.59	%		3.54	%		4.01	%		4.22	%		4.23	%		4.28	%
Portfolio turnover rate^		18	%(z)		39	%		59	%		54	%		45	%		54	%

Class T**	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class T**	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	9.24		$	9.01		$	9.06		$	8.93		$	9.33		$	9.01

Income (loss) from investment operations:
Net investment income (loss) (e)		0.20			0.42			0.47			0.50			0.50			0.52
Net realized and unrealized gain (loss)		(0.66	)		0.25			(0.04	)		0.13			(0.40	)		0.32

Total from investment operations		(0.46	)		0.67			0.43			0.63			0.10			0.84

Less distributions:
Dividends from net investment income		(0.26	)		(0.44	)		(0.48	)		(0.49	)		(0.50	)		(0.51	)
Return of capital		—			—	#		—			(0.01	)		—			(0.01	)

Total dividends and distributions		(0.26	)		(0.44	)		(0.48	)		(0.50	)		(0.50	)		(0.52	)

Net asset value, end of period	$	8.52		$	9.24		$	9.01		$	9.06		$	8.93		$	9.33

Total return (b)		(5.57	)%		7.53	%		4.98	%		7.24	%		1.09	%		9.46	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	121		$	131		$	128		$	129		$	127		$	132
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.75	%		0.75	%		0.75	%		0.75	%		0.80	%		0.82	%
Before waivers and reimbursements (a)(f)		1.37	%		1.44	%		1.68	%		1.78	%		1.77	%		2.08	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)		4.46	%		4.49	%		5.23	%		5.50	%		5.46	%		5.56	%
Before waivers and reimbursements (a)(f)		3.85	%		3.80	%		4.30	%		4.47	%		4.49	%		4.30	%
Portfolio turnover rate^		18	%(z)		39	%		59	%		54	%		45	%		54	%

**	Class T shares currently are not offered for sale. Class T shares were formerly known as Class C Shares.

#	Per share amount is less than $0.005.

^	Portfolio turnover rate excludes derivatives, if any.

(a)

Ratios for periods less than one year are annualized.

(b)

Total returns for periods less than one year are not annualized.

(e)

Net investment income (loss) per share is based on average shares outstanding.

(f)

Expenses do not include the expenses of the underlying funds (“indirect expenses”), if applicable.

(z)

Portfolio turnover rate for periods less than one year is not annualized.

See Notes to Financial Statements.

1290 MULTI-ALTERNATIVE STRATEGIES FUND (Unaudited)



Table by Asset Class (as a percentage of Total Investments in Securities) As of April 30, 2022
Alternatives	32.9	%
Fixed Income	23.1
Commodity	15.4
Repurchase Agreement	15.1
Equity	13.5



Top 10 Holdings (as a percentage of Total Investments in Securities) As of April 30, 2022
Deutsche Bank Securities, Inc.	15.1	%
Vanguard Short-Term Inflation-Protected Securities ETF	13.2
WisdomTree Managed Futures Strategy Fund	12.7
IQ Merger Arbitrage ETF	11.6
iShares Convertible Bond ETF	10.0
iShares Core US REIT ETF	6.8
Vanguard Global ex-U.S. Real Estate ETF	6.7
ProShares Long Online/Short Stores ETF	5.9
Invesco DB Energy Fund	4.2
Invesco DB Agriculture Fund	3.8
Holdings are subject to change without notice.

UNDERSTANDING YOUR EXPENSES:

As a shareholder of the Fund, you incur two types of costs:

The examples are based on an investment of $1,000 invested at the beginning of the six-month period ended April 30, 2022 and held for the entire six-month period.

Actual Expenses

Hypothetical Example for Comparison Purposes

EXAMPLE



	Beginning Account Value 11/1/21		Ending Account Value 4/30/22		Expenses Paid During Period* 11/1/21 - 4/30/22
Class A
Actual		$1,000.00	$	935.70		$5.26
Hypothetical (5% average annual return before expenses)		1,000.00		1,019.36		5.49
Class I
Actual		1,000.00		937.10		4.08
Hypothetical (5% average annual return before expenses)		1,000.00		1,020.58		4.26
Class R
Actual		1,000.00		934.80		6.46
Hypothetical (5% average annual return before expenses)		1,000.00		1,018.12		6.73

* Expenses are equal to the Fund’s A, I and R shares annualized expense ratio of 1.09%, 0.85% and 1.34%, respectively, multiplied by the average account value over the period, and multiplied by 181/365 (to reflect the one-half year period).

1290 FUNDS

1290 MULTI-ALTERNATIVE STRATEGIES FUND

PORTFOLIO OF INVESTMENTS

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

EXCHANGE TRADED FUNDS (ETF):
Alternatives (38.5%)
IQ Merger Arbitrage ETF (x)*		63,620	$	2,021,844
ProShares Long Online/Short Stores ETF (x)*		26,190		1,021,892
ProShares RAFI Long/Short‡		14,590		485,132
WisdomTree Managed Futures Strategy Fund (x)		62,190		2,210,854

Total Alternatives				5,739,722

Commodity (18.0%)
Invesco DB Agriculture Fund*		30,050		663,203
Invesco DB Energy Fund*		28,730		729,455
Invesco DB Gold Fund*		12,130		653,926
Invesco DB Precious Metals Fund*		12,570		627,746

Total Commodity				2,674,330

Equity (15.8%)
iShares Core US REIT ETF (x)		19,180		1,186,475
Vanguard Global ex-U.S. Real Estate ETF		23,810		1,158,594

Total Equity				2,345,069

Fixed Income (27.0%)
iShares Convertible Bond ETF		22,520		1,735,842
Vanguard Short-Term Inflation-Protected Securities ETF (x)		45,220		2,291,297

Total Fixed Income				4,027,139

Total Exchange Traded Funds (99.3%) (Cost $15,792,300)				14,786,260


SHORT-TERM INVESTMENT:
Repurchase Agreement (17.7%)
Deutsche Bank Securities, Inc., 0.26%, dated 4/29/22, due 5/2/22, repurchase price $2,634,938, collateralized by various U.S. Government Treasury Securities, 0.000%, maturing 5/15/22-11/15/51; total market value $2,687,579. (xx)	$	2,634,881		2,634,881

Total Short-Term Investment (17.7%) (Cost $2,634,881)				2,634,881

Total Investments in Securities (117.0%) (Cost $18,427,181)				17,421,141
Other Assets Less Liabilities (-17.0%)				(2,525,132	)

Net Assets (100%)			$	14,896,009

*	Non-income producing.

‡	All, or a portion, of the security is an affiliated company as defined under the Investment Company Act of 1940.

(x)

All or a portion of security is on loan at April 30, 2022.

(xx)

At April 30, 2022, the Portfolio had loaned securities with a total value of $2,579,586. This was collateralized by $19,654 of various U.S. Government Treasury Securities, ranging from 0.125% - 4.750%, maturing 4/30/22 - 11/15/51 and by cash of $2,634,881 which was subsequently invested in joint repurchase agreements as detailed in the Notes to the Financial Statements.

Glossary:

REIT

— Real Estate Investment Trust

Investments in companies which were affiliates for the six months ended April 30, 2022, were as follows:


Security Description	Shares at April 30, 2022		Market Value October 31, 2021 ($)		Purchases at Cost ($)		Proceeds from Sales ($)			Net Realized Gain (Loss) ($)			Change in Unrealized Appreciation/ (Depreciation) ($)		Market Value April 30, 2022 ($)		Dividend/ Interest Income ($)		Capital Gain Distributions ($)
EXCHANGE TRADED FUNDS (ETF):
Alternatives
ProShares RAFI Long/Short		14,590		563,975		—		(119,489	)		(28,891	)		69,537		485,132		2,524		—

See Notes to Financial Statements.

1290 FUNDS

1290 MULTI-ALTERNATIVE STRATEGIES FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

The following is a summary of the inputs, summarized in three broad levels, used to value the Fund’s assets and liabilities carried at fair value as of April 30, 2022:

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.



Investment Type	Level 1 Quoted Prices in Active Markets for Identical Securities		Level 2 Significant Other Observable Inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)		Level 3 Significant Unobservable Inputs (including the Fund’s own assumptions in determining the fair value of investments)		Total
Assets:
Exchange Traded Funds
Exchange Traded Funds	$	14,786,260	$	—	$	—	$	14,786,260
Short-Term Investment
Repurchase Agreement		—		2,634,881		—		2,634,881

Total Assets	$	14,786,260	$	2,634,881	$	—	$	17,421,141

Total Liabilities	$	—	$	—	$	—	$	—

Total	$	14,786,260	$	2,634,881	$	—	$	17,421,141

The Fund held no derivatives contracts during the six months ended April 30, 2022.

Investment security transactions for the six months ended April 30, 2022 were as follows:


Cost of Purchases:
Long-term investments other than U.S. government debt securities	$	1,666,670
Net Proceeds of Sales and Redemptions:
Long-term investments other than U.S. government debt securities	$	2,405,559


Aggregate gross unrealized appreciation	$	660,791
Aggregate gross unrealized depreciation		(1,811,908	)

Net unrealized depreciation	$	(1,151,117	)

Federal income tax cost of investments in securities and derivative instruments, if applicable	$	18,572,258

See Notes to Financial Statements.

1290 FUNDS

1290 MULTI-ALTERNATIVE STRATEGIES FUND

STATEMENT OF ASSETS AND LIABILITIES

April 30, 2022 (Unaudited)


ASSETS
Investments in Securities, at value (x)
Affiliated Issuers (Cost $551,284)	$	485,132
Unaffiliated Issuers (Cost $15,241,016)		14,301,128
Repurchase Agreements (Cost $2,634,881)		2,634,881
Cash		126,991
Prepaid registration and filing fees		13,891
Securities lending income receivable		325
Receivable for Fund shares sold		75
Other assets		877

Total assets		17,563,300

LIABILITIES
Payable for return of collateral on securities loaned		2,634,881
Transfer agent fees payable		2,759
Administrative fees payable		197
Distribution fees payable – Class A		105
Distribution fees payable – Class R		59
Accrued expenses		29,290

Total liabilities		2,667,291

NET ASSETS	$	14,896,009

Net assets were comprised of:
Paid in capital	$	15,810,559
Total distributable earnings (loss)		(914,550	)

Net assets	$	14,896,009

Class A
Net asset value and redemption price per share, $496,888 / 52,066 shares outstanding (unlimited amount authorized: $0.001 par value)	$	9.54
Maximum sales charge (5.50% of offering price)		0.56

Maximum offering price per share	$	10.10

Class I
Net asset value, offering and redemption price per share, $14,257,694 / 1,492,668 shares outstanding (unlimited amount authorized: $0.001 par value)	$	9.55

Class R
Net asset value, offering and redemption price per share, $141,427 / 14,884 shares outstanding (unlimited amount authorized: $0.001 par value)	$	9.50

(x)

Includes value of securities on loan of $2,579,586.

STATEMENT OF OPERATIONS

For the Six Months Ended April 30, 2022 (Unaudited)


INVESTMENT INCOME
Dividends ($2,524 of dividend income received from affiliates)	$	170,787
Interest		27
Securities lending (net)		325

Total income		171,139

EXPENSES
Investment advisory fees		38,780
Professional fees		20,508
Registration and filing fees		15,833
Transfer agent fees		13,821
Administrative fees		11,634
Printing and mailing expenses		9,348
Custodian fees		2,359
Distribution fees – Class A		695
Distribution fees – Class R		375
Trustees’ fees		293
Miscellaneous		2,447

Gross expenses		116,093
Less: Waiver from investment adviser		(49,160	)

Net expenses		66,933

NET INVESTMENT INCOME (LOSS)		104,206

REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) on investments in securities ($(28,891) realized gain (loss) from affiliates)		65,780
Net distributions of realized gain received from underlying funds		141,771

Net realized gain (loss)		207,551

Net change in unrealized appreciation (depreciation) on investments in securities ($69,537 of change in unrealized appreciation (depreciation) from affiliates)		(1,360,042	)

NET REALIZED AND UNREALIZED GAIN (LOSS)		(1,152,491	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	(1,048,285	)

See Notes to Financial Statements.

1290 FUNDS

1290 MULTI-ALTERNATIVE STRATEGIES FUND

STATEMENT OF CHANGES IN NET ASSETS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31, 2021
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS:
Net investment income (loss)	$	104,206		$	380,439
Net realized gain (loss)		207,551			1,645,658
Net change in unrealized appreciation (depreciation)		(1,360,042	)		24,075

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS		(1,048,285	)		2,050,172

Distributions to shareholders:
Class A		(61,473	)		(3,248	)
Class I		(1,528,806	)		(113,005	)
Class R		(14,471	)		(470	)

Total distributions to shareholders		(1,604,750	)		(116,723	)

CAPITAL SHARES TRANSACTIONS:
Class A
Capital shares sold [ 48 and 8,051 shares, respectively ]		474			89,504
Capital shares issued in reinvestment of dividends [ 5,213 and 254 shares, respectively ]		51,140			2,663
Capital shares repurchased [ (12,683) and (4,808) shares, respectively ]		(124,204	)		(52,952	)

Total Class A transactions		(72,590	)		39,215

Class I
Capital shares sold [ 66,798 and 134,572 shares, respectively ]		699,953			1,506,301
Capital shares issued in reinvestment of dividends [ 50,070 and 3,009 shares, respectively ]		491,182			31,502
Capital shares repurchased [ (45,891) and (101,764) shares, respectively ]		(459,986	)		(1,098,711	)

Total Class I transactions		731,149			439,092

Class R
Capital shares sold [ 304 and 2,848 shares, respectively ]		3,029			31,638
Capital shares issued in reinvestment of dividends [ 449 and 13 shares, respectively ]		4,393			131
Capital shares repurchased [ (2,512) and (40) shares, respectively ]		(28,053	)		(442	)

Total Class R transactions		(20,631	)		31,327

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE TRANSACTIONS		637,928			509,634

TOTAL INCREASE (DECREASE) IN NET ASSETS		(2,015,107	)		2,443,083
NET ASSETS:
Beginning of period		16,911,116			14,468,033

End of period	$	14,896,009		$	16,911,116

See Notes to Financial Statements.

1290 FUNDS

1290 MULTI-ALTERNATIVE STRATEGIES FUND

FINANCIAL HIGHLIGHTS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class A	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	11.27		$	9.92		$	10.32		$	10.02		$	10.21		$	9.97

Income (loss) from investment operations:
Net investment income (loss) (e)(x)		0.06			0.26			0.10			0.11			0.04			0.02
Net realized and unrealized gain (loss)		(0.76	)		1.15			(0.30	)		0.28			(0.19	)		0.26

Total from investment operations		(0.70	)		1.41			(0.20	)		0.39			(0.15	)		0.28

Less distributions:
Dividends from net investment income		(0.16	)		(0.06	)		(0.20	)		(0.04	)		—			(0.01	)
Distributions from net realized gains		(0.87	)		—			—			(0.05	)		(0.04	)		(0.03	)

Total dividends and distributions		(1.03	)		(0.06	)		(0.20	)		(0.09	)		(0.04	)		(0.04	)

Net asset value, end of period	$	9.54		$	11.27		$	9.92		$	10.32		$	10.02		$	10.21

Total return (b)		(6.43	)%		14.24	%		(2.01	)%		3.98	%		(1.49	)%		2.78	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	497		$	670		$	556		$	627		$	827		$	659
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		1.10	%(j)		1.13	%(k)		1.06	%***(m)		1.07	%**(n)		1.03	%(o)		1.00	%(o)
Before waivers and reimbursements (a)(f)		1.73	%		1.78	%		1.97	%		1.89	%		1.79	%		2.08	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)(x)		1.21	%		2.34	%		1.03	%		1.12	%		0.39	%		0.20	%
Before waivers and reimbursements (a)(f)(x)		0.58	%		1.69	%		0.12	%		0.30	%		(0.37	)%		(0.88	)%
Portfolio turnover rate^		11	%(z)		66	%		15	%		8	%		5	%		13	%

	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class I	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	11.29		$	9.94		$	10.34		$	10.04		$	10.23		$	9.99

Income (loss) from investment operations:
Net investment income (loss) (e)(x)		0.07			0.27			0.13			0.13			0.07			0.05
Net realized and unrealized gain (loss)		(0.75	)		1.16			(0.31	)		0.29			(0.20	)		0.25

Total from investment operations		(0.68	)		1.43			(0.18	)		0.42			(0.13	)		0.30

Less distributions:
Dividends from net investment income		(0.19	)		(0.08	)		(0.22	)		(0.07	)		(0.02	)		(0.03	)
Distributions from net realized gains		(0.87	)		—			—			(0.05	)		(0.04	)		(0.03	)

Total dividends and distributions		(1.06	)		(0.08	)		(0.22	)		(0.12	)		(0.06	)		(0.06	)

Net asset value, end of period	$	9.55		$	11.29		$	9.94		$	10.34		$	10.04		$	10.23

Total return (b)		(6.29	)%		14.48	%		(1.76	)%		4.25	%		(1.25	)%		3.04	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	14,258		$	16,054		$	13,776		$	17,783		$	18,151		$	16,358
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.85	%(j)		0.88	%(k)		0.81	%***(m)		0.82	%**(n)		0.78	%(o)		0.75	%(o)
Before waivers and reimbursements (a)(f)		1.48	%		1.53	%		1.71	%		1.63	%		1.54	%		1.82	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)(x)		1.35	%		2.45	%		1.36	%		1.32	%		0.66	%		0.45	%
Before waivers and reimbursements (a)(f)(x)		0.72	%		1.80	%		0.46	%		0.50	%		(0.11	)%		(0.62	)%
Portfolio turnover rate^		11	%(z)		66	%		15	%		8	%		5	%		13	%

See Notes to Financial Statements.

1290 FUNDS

1290 MULTI-ALTERNATIVE STRATEGIES FUND

FINANCIAL HIGHLIGHTS (Continued)


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class R	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	11.21		$	9.87		$	10.27		$	9.97		$	10.19		$	9.95

Income (loss) from investment operations:
Net investment income (loss) (e)(x)		0.04			0.21			0.06			0.08			0.03			—	#
Net realized and unrealized gain (loss)		(0.74	)		1.16			(0.29	)		0.29			(0.21	)		0.27

Total from investment operations		(0.70	)		1.37			(0.23	)		0.37			(0.18	)		0.27

Less distributions:
Dividends from net investment income		(0.14	)		(0.03	)		(0.17	)		(0.02	)		—			—
Distributions from net realized gains		(0.87	)		—			—			(0.05	)		(0.04	)		(0.03	)

Total dividends and distributions		(1.01	)		(0.03	)		(0.17	)		(0.07	)		(0.04	)		(0.03	)

Net asset value, end of period	$	9.50		$	11.21		$	9.87		$	10.27		$	9.97		$	10.19

Total return (b)		(6.52	)%		13.95	%		(2.27	)%		3.74	%		(1.79	)%		2.53	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	141		$	187		$	136		$	116		$	105		$	105
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		1.35	%(j)		1.38	%(k)		1.31	%***(m)		1.32	%**(n)		1.26	%(o)		1.25	%(o)
Before waivers and reimbursements (a)(f)		1.98	%		2.03	%		2.23	%		2.13	%		2.02	%		2.32	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)(x)		0.82	%		1.96	%		0.65	%		0.78	%		0.27	%		(0.02	)%
Before waivers and reimbursements (a)(f)(x)		0.19	%		1.31	%		(0.26	)%		(0.04	)%		(0.49	)%		(1.08	)%
Portfolio turnover rate^		11	%(z)		66	%		15	%		8	%		5	%		13	%

**	Includes Tax expense of 0.04%.

***	Includes Tax expense of 0.01%.

#	Per share amount is less than $0.005.

^	Portfolio turnover rate excludes derivatives, if any.

(a)

Ratios for periods less than one year are annualized.

(b)

Total returns for periods less than one year are not annualized.

(e)

Net investment income (loss) per share is based on average shares outstanding.

(f)

Expenses do not include the expenses of the underlying funds (“indirect expenses”), if applicable.

(j)

Including direct and indirect expenses, the net expense ratio after waivers and reimbursements would be 1.10% for Class A, 0.85% for Class I and 1.35% for Class R.

(k)

Including direct and indirect expenses, the net expense ratio after waivers and reimbursements would be 1.60% for Class A, 1.35% for Class I and 1.85% for Class R.

(m)

Including direct and indirect expenses, the net expense ratio after waivers and reimbursements would be 1.66% for Class A, 1.41% for Class I and 1.91% for Class R.

(n)

Including direct and indirect expenses, the net expense ratio after waivers and reimbursements would be 1.69% for Class A, 1.44% for Class I and 1.94% for Class R.

(o)

Including direct and indirect expenses, the net expense ratio after waivers and reimbursements would be 1.65% for Class A, 1.40% for Class I and 1.90% for Class R.

(x)

Recognition of net investment income is affected by the timing of dividend declarations by the underlying funds in which the Fund invests.

(z)

Portfolio turnover rate for periods less than one year is not annualized.

See Notes to Financial Statements.

1290 RETIREMENT 2020 FUND (Unaudited)



Table by Asset Class (as a percentage of Total Investments in Securities) As of April 30, 2022
Fixed Income	42.4	%
Equity	39.0
Repurchase Agreement	18.6



Top 10 Holdings (as a percentage of Total Investments in Securities) As of April 30, 2022
iShares Core U.S. Aggregate Bond ETF	24.6	%
Natwest Markets Securities, Inc.	18.6
iShares Core S&P Total US Stock Market ETF	13.6
iShares TIPS Bond ETF	6.4
iShares Core MSCI EAFE ETF	4.8
Vanguard Short-Term Bond ETF	4.8
iShares MSCI USA Min Vol Factor ETF	4.5
Invesco S&P 500 Low Volatility ETF	4.5
Vanguard Total International Bond ETF	3.5
iShares Broad USD High Yield Corporate Bond ETF	3.3
Holdings are subject to change without notice.

UNDERSTANDING YOUR EXPENSES:

As a shareholder of the Fund, you incur two types of costs:

(1) transaction costs, including applicable sales charges and redemption fees; and (2) ongoing costs, including investment advisory fees, distribution and/or service (12b-1) fees and other Fund expenses. These examples are 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 examples are based on an investment of $1,000 invested at the beginning of the six-month period ended April 30, 2022 and held for the entire six-month period.

Actual Expenses

Hypothetical Example for Comparison Purposes

EXAMPLE



	Beginning Account Value 11/1/21		Ending Account Value 4/30/22		Expenses Paid During Period* 11/1/21 - 4/30/22
Class I
Actual	$	1,000.00	$	920.80	$	2.63
Hypothetical (5% average annual return before expenses)		1,000.00		1,022.06		2.76

* Expenses are equal to the Fund’s I shares annualized expense ratio of 0.55%, multiplied by the average account value over the period, and multiplied by 181/365 (to reflect the one-half year period).

1290 FUNDS

1290 RETIREMENT 2020 FUND

PORTFOLIO OF INVESTMENTS

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

EXCHANGE TRADED FUNDS (ETF):
Equity (47.8%)
Invesco S&P 500 Low Volatility ETF		7,240	$	473,134
Invesco S&P Emerging Markets Low Volatility ETF		2,350		59,361
Invesco S&P International Developed Low Volatility ETF		8,490		254,708
Invesco S&P MidCap Low Volatility ETF		4,810		259,018
Invesco S&P SmallCap Low Volatility ETF		2,630		120,007
iShares Core MSCI EAFE ETF		7,930		513,943
iShares Core MSCI Emerging Markets ETF		2,080		108,680
iShares Core S&P Total US Stock Market ETF (x)		15,740		1,445,404
iShares MSCI EAFE Min Vol Factor ETF		3,740		255,891
iShares MSCI Emerging Markets Min Vol Factor ETF		870		51,156
iShares MSCI USA Min Vol Factor ETF		6,470		475,092
SPDR SSGA US Small Cap Low Volatility Index ETF		1,120		120,230

Total Equity				4,136,624

Fixed Income (52.1%)
iShares Broad USD High Yield Corporate Bond ETF (x)		9,310		344,843
iShares Core U.S. Aggregate Bond ETF		25,330		2,605,698
iShares TIPS Bond ETF		5,590		676,781
Vanguard Short-Term Bond ETF (x)		6,570		506,087
Vanguard Total International Bond ETF		7,240		368,009

Total Fixed Income				4,501,418

Total Exchange Traded Funds (99.9%) (Cost $8,517,267)				8,638,042



	Principal Amount		Value (Note 1)

SHORT-TERM INVESTMENT:
Repurchase Agreement (22.9%)
Natwest Markets Securities, Inc., 0.30%, dated 4/29/22, due 5/2/22, repurchase price $1,975,677, collateralized by various U.S. Government Treasury Securities, ranging from 0.125%-3.625%, maturing 7/15/22-2/15/50; total market value $2,015,216. (xx)	$	1,975,628		1,975,628

Total Short-Term Investment (22.9%) (Cost $1,975,628)				1,975,628

Total Investments in Securities (122.8%) (Cost $10,492,895)				10,613,670
Other Assets Less Liabilities (-22.8%)				(1,968,154	)

Net Assets (100%)			$	8,645,516

(x)

All or a portion of security is on loan at April 30, 2022.

(xx)

At April 30, 2022, the Portfolio had loaned securities with a total value of $1,888,308. This was collateralized by cash of $1,975,628 which was subsequently invested in joint repurchase agreements as detailed in the Notes to the Financial Statements.

Glossary:

TIPS

— Treasury Inflation Protected Security

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2020 FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

The following is a summary of the inputs, summarized in three broad levels, used to value the Fund’s assets and liabilities carried at fair value as of April 30, 2022:

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.



Investment Type	Level 1 Quoted Prices in Active Markets for Identical Securities		Level 2 Significant Other Observable Inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)		Level 3 Significant Unobservable Inputs (including the Fund’s own assumptions in determining the fair value of investments)		Total
Assets:
Exchange Traded Funds
Exchange Traded Funds	$	8,638,042	$	—	$	—	$	8,638,042
Short-Term Investment
Repurchase Agreement		—		1,975,628		—		1,975,628

Total Assets	$	8,638,042	$	1,975,628	$	—	$	10,613,670

Total Liabilities	$	—	$	—	$	—	$	—

Total	$	8,638,042	$	1,975,628	$	—	$	10,613,670

The Fund held no derivatives contracts during the six months ended April 30, 2022.

Investment security transactions for the six months ended April 30, 2022 were as follows:


Cost of Purchases:
Long-term investments other than U.S. government debt securities	$	993,021
Net Proceeds of Sales and Redemptions:
Long-term investments other than U.S. government debt securities	$	4,130,276


Aggregate gross unrealized appreciation	$	517,182
Aggregate gross unrealized depreciation		(448,828	)

Net unrealized appreciation	$	68,354

Federal income tax cost of investments in securities and derivative instruments, if applicable	$	10,545,316

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2020 FUND

STATEMENT OF ASSETS AND LIABILITIES

April 30, 2022 (Unaudited)


ASSETS
Investments in Securities, at value (x)
Unaffiliated Issuers (Cost $8,517,267)	$	8,638,042
Repurchase Agreements (Cost $1,975,628)		1,975,628
Receivable for securities sold		321,530
Prepaid registration and filing fees		14,134
Receivable from investment adviser		3,530
Securities lending income receivable		349
Dividends, interest and other receivables		2
Other assets		13

Total assets		10,953,228

LIABILITIES
Payable for return of collateral on securities loaned		1,975,628
Overdraft payable		299,965
Transfer agent fees payable		1,108
Accrued expenses		31,011

Total liabilities		2,307,712

NET ASSETS	$	8,645,516

Net assets were comprised of:
Paid in capital	$	7,996,829
Total distributable earnings (loss)		648,687

Net assets	$	8,645,516

Class I
Net asset value, offering and redemption price per share, $8,645,516 / 782,983 shares outstanding (unlimited amount authorized: $0.001 par value)	$	11.04

(x)

Includes value of securities on loan of $1,888,308.

STATEMENT OF OPERATIONS

For the Six Months Ended April 30, 2022 (Unaudited)


INVESTMENT INCOME
Dividends	$	133,096
Interest		17
Securities lending (net)		349

Total income		133,462

EXPENSES
Investment advisory fees		27,790
Professional fees		20,099
Registration and filing fees		10,252
Printing and mailing expenses		8,850
Administrative fees		8,337
Transfer agent fees		5,801
Custodian fees		2,429
Trustees’ fees		217
Miscellaneous		2,190

Gross expenses		85,965
Less: Waiver from investment adviser		(36,127	)
Reimbursement from investment adviser		(19,211	)

Net expenses		30,627

NET INVESTMENT INCOME (LOSS)		102,835

REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) on investments in securities		530,422
Net distributions of realized gain received from underlying funds		5,447

Net realized gain (loss)		535,869

Net change in unrealized appreciation (depreciation) on investments in securities		(1,480,948	)

NET REALIZED AND UNREALIZED GAIN (LOSS)		(945,079	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	(842,244	)

STATEMENT OF CHANGES IN NET ASSETS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31, 2021
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS:
Net investment income (loss)	$	102,835		$	177,051
Net realized gain (loss)		535,869			481,981
Net change in unrealized appreciation (depreciation)		(1,480,948	)		1,250,109

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS		(842,244	)		1,909,141

Distributions to shareholders:
Class I		(629,769	)		(499,146	)

CAPITAL SHARES TRANSACTIONS:
Class I
Capital shares sold [ 97,759 and 174,043 shares, respectively ]		1,175,244			2,115,871
Capital shares issued in reinvestment of dividends [ 39,293 and 33,214 shares, respectively ]		473,869			384,946
Capital shares repurchased [ (369,823) and (267,829) shares, respectively ]		(4,341,305	)		(3,268,726	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE TRANSACTIONS		(2,692,192	)		(767,909	)

TOTAL INCREASE (DECREASE) IN NET ASSETS		(4,164,205	)		642,086
NET ASSETS:
Beginning of period		12,809,721			12,167,635

End of period	$	8,645,516		$	12,809,721

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2020 FUND

FINANCIAL HIGHLIGHTS


Class I	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,												February 27, 2017* to October 31, 2017
Class I	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			February 27, 2017* to October 31, 2017
Net asset value, beginning of period	$	12.61		$	11.30		$	11.57		$	10.49		$	10.66		$	10.00

Income (loss) from investment operations:
Net investment income (loss) (e)(x)		0.11			0.17			0.22			0.23			0.20			0.12
Net realized and unrealized gain (loss)		(1.06	)		1.60			(0.10	)		1.05			(0.17	)		0.54

Total from investment operations		(0.95	)		1.77			0.12			1.28			0.03			0.66

Less distributions:
Dividends from net investment income		(0.15	)		(0.20	)		(0.24	)		(0.15	)		(0.18	)		—
Distributions from net realized gains		(0.47	)		(0.26	)		(0.15	)		(0.05	)		(0.02	)		—

Total dividends and distributions		(0.62	)		(0.46	)		(0.39	)		(0.20	)		(0.20	)		—

Net asset value, end of period	$	11.04		$	12.61		$	11.30		$	11.57		$	10.49		$	10.66

Total return (b)		(7.92	)%		15.99	%		1.03	%		12.37	%		0.24	%		6.60	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	8,646		$	12,810		$	12,168		$	10,791		$	7,659		$	2,665
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.55	%(j)		0.54	%(j)		0.53	%**(j)		0.54	%(j)		0.53	%(j)		0.53	%(j)
Before waivers and reimbursements (a)(f)		1.55	%		1.60	%		1.93	%		2.09	%		3.93	%		5.32	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)(x)		1.85	%		1.38	%		1.95	%		2.10	%		1.88	%		1.66	%(l)
Before waivers and reimbursements (a)(f)(x)		0.86	%		0.31	%		0.56	%		0.55	%		(1.52	)%		(3.13	)%(l)
Portfolio turnover rate^		9	%(z)		17	%		32	%		18	%		8	%		2	%(z)

*	Commencement of Operations.

**	Includes tax expense of less than 0.005%.

^	Portfolio turnover rate excludes derivatives, if any.

(a)

Ratios for periods less than one year are annualized. Certain non-recurring expenses incurred by the Fund are not annualized for periods less than one year.

(b)

Total returns for periods less than one year are not annualized.

(e)

Net investment income (loss) per share is based on average shares outstanding.

(f)

Expenses do not include the expenses of the underlying funds (“indirect expenses”), if applicable.

(j)

Including direct and indirect expenses, the net expense ratio after waivers and reimbursements would be 0.65% .

(l)

The annualized ratio of net investment income to average net assets may not be indicative of operating results for a full year.

(x)

Recognition of net investment income is affected by the timing of dividend declarations by the underlying funds in which the Fund invests.

(z)

Portfolio turnover rate for periods less than one year is not annualized.

See Notes to Financial Statements.

1290 RETIREMENT 2025 FUND (Unaudited)



Table by Asset Class (as a percentage of Total Investments in Securities)

As of April 30, 2022
Equity	50.1	%
Fixed Income	36.8
Repurchase Agreement	12.6
Investment Company	0.5



Top 10 Holdings (as a percentage of Total Investments in Securities)

As of April 30, 2022
iShares Core U.S. Aggregate Bond ETF	24.4	%
iShares Core S&P Total US Stock Market ETF	16.7
Natwest Markets Securities, Inc.	12.6
iShares Core MSCI EAFE ETF	6.2
iShares MSCI USA Min Vol Factor ETF	5.9
Invesco S&P 500 Low Volatility ETF	5.8
iShares TIPS Bond ETF	5.5
Invesco S&P MidCap Low Volatility ETF	3.3
Invesco S&P International Developed Low Volatility ETF	3.2
iShares MSCI EAFE Min Vol Factor ETF	3.1
Holdings are subject to change without notice.

UNDERSTANDING YOUR EXPENSES:

As a shareholder of the Fund, you incur two types of costs:

(1) transaction costs, including applicable sales charges and redemption fees; and (2) ongoing costs, including investment advisory fees, distribution and/or service (12b-1) fees and other Fund expenses. These examples are 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 examples are based on an investment of $1,000 invested at the beginning of the six-month period ended April 30, 2022 and held for the entire six-month period.

Actual Expenses

Hypothetical Example for Comparison Purposes

EXAMPLE



	Beginning Account Value 11/1/21		Ending Account Value 4/30/22		Expenses Paid During Period* 11/1/21 - 4/30/22
Class I
Actual		$1,000.00		$919.10		$2.60
Hypothetical (5% average annual return before expenses)		1,000.00		1,022.08		2.74

* Expenses are equal to the Fund’s I shares annualized expense ratio of 0.55%, multiplied by the average account value over the period, and multiplied by 181/365 (to reflect the one-half year period).

1290 FUNDS

1290 RETIREMENT 2025 FUND

PORTFOLIO OF INVESTMENTS

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)
EXCHANGE TRADED FUNDS (ETF):
Equity (57.1%)
Invesco S&P 500 Low Volatility ETF		18,740	$	1,224,659
Invesco S&P Emerging Markets Low Volatility ETF		6,180		156,107
Invesco S&P International Developed Low Volatility ETF		22,920		687,621
Invesco S&P MidCap Low Volatility ETF		12,950		697,357
Invesco S&P SmallCap Low Volatility ETF		6,550		298,877
iShares Core MSCI EAFE ETF		20,130		1,304,625
iShares Core MSCI Emerging Markets ETF		5,810		303,573
iShares Core S&P Total US Stock Market ETF (x)		38,620		3,546,475
iShares MSCI EAFE Min Vol Factor ETF		9,710		664,358
iShares MSCI Emerging Markets Min Vol Factor ETF		2,790		164,052
iShares MSCI USA Min Vol Factor ETF		17,050		1,251,981
SPDR SSGA US Small Cap Low Volatility Index ETF		2,990		320,971

Total Equity				10,620,656

Fixed Income (42.0%)
iShares Broad USD High Yield Corporate Bond ETF (x)		11,900		440,776
iShares Core U.S. Aggregate Bond ETF		50,240		5,168,189
iShares TIPS Bond ETF		9,610		1,163,483
Vanguard Short-Term Bond ETF		7,420		571,562
Vanguard Total International Bond ETF		9,010		457,978

Total Fixed Income				7,801,988

Total Exchange Traded Funds (99.1%) (Cost $17,627,591)				18,422,644

SHORT-TERM INVESTMENTS:
Investment Company (0.5%)
JPMorgan Prime Money Market Fund, IM Shares		103,301		103,332


	Principal Amount		Value (Note 1)
Repurchase Agreement (14.4%)
Natwest Markets Securities, Inc., 0.30%, dated 4/29/22, due 5/2/22, repurchase price $2,671,378, collateralized by various U.S. Government Treasury Securities, ranging from 0.125%-3.625%, maturing 7/15/22-2/15/50; total market value $2,724,841. (xx)	$	2,671,312		2,671,312

Total Short-Term Investments (14.9%) (Cost $2,774,644)				2,774,644

Total Investments in Securities (114.0%) (Cost $20,402,235)				21,197,288
Other Assets Less Liabilities (-14.0%)				(2,604,464	)

Net Assets (100%)			$	18,592,824

(x)

All or a portion of security is on loan at April 30, 2022.

(xx)

At April 30, 2022, the Portfolio had loaned securities with a total value of $2,533,981. This was collateralized by cash of $2,671,312 which was subsequently invested in joint repurchase agreements as detailed in the Notes to the Financial Statements.

Glossary:

TIPS

— Treasury Inflation Protected Security

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2025 FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

The following is a summary of the inputs, summarized in three broad levels, used to value the Fund’s assets and liabilities carried at fair value as of April 30, 2022:

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.



Investment Type	Level 1 Quoted Prices in Active Markets for Identical Securities		Level 2 Significant Other Observable Inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)		Level 3 Significant Unobservable Inputs (including the Fund’s own assumptions in determining the fair value of investments)		Total
Assets:
Exchange Traded Funds
Exchange Traded Funds	$	18,422,644	$	—	$	—	$	18,422,644
Short-Term Investments
Investment Company		103,332		—		—		103,332
Repurchase Agreement		—		2,671,312		—		2,671,312

Total Assets	$	18,525,976	$	2,671,312	$	—	$	21,197,288

Total Liabilities	$	—	$	—	$	—	$	—

Total	$	18,525,976	$	2,671,312	$	—	$	21,197,288

The Fund held no derivatives contracts during the six months ended April 30, 2022.

Investment security transactions for the six months ended April 30, 2022 were as follows:


Cost of Purchases:
Long-term investments other than U.S. government debt securities	$	176,132
Net Proceeds of Sales and Redemptions:
Long-term investments other than U.S. government debt securities	$	3,355,980


Aggregate gross unrealized appreciation	$	1,486,736
Aggregate gross unrealized depreciation		(814,609	)

Net unrealized appreciation	$	672,127

Federal income tax cost of investments in securities and derivative instruments, if applicable	$	20,525,161

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2025 FUND

STATEMENT OF ASSETS AND LIABILITIES

April 30, 2022 (Unaudited)


ASSETS
Investments in Securities, at value (x)
Unaffiliated Issuers (Cost $17,730,923)	$	18,525,976
Repurchase Agreements (Cost $2,671,312)		2,671,312
Cash		75,000
Prepaid registration and filing fees		15,023
Receivable for Fund shares sold		9,571
Securities lending income receivable		474
Dividends, interest and other receivables		16
Other assets		66

Total assets		21,297,438

LIABILITIES
Payable for return of collateral on securities loaned		2,671,312
Transfer agent fees payable		989
Administrative fees payable		217
Accrued expenses		32,096

Total liabilities		2,704,614

NET ASSETS	$	18,592,824

Net assets were comprised of:
Paid in capital	$	17,240,016
Total distributable earnings (loss)		1,352,808

Net assets	$	18,592,824

Class I
Net asset value, offering and redemption price per share, $18,592,824 / 1,625,400 shares outstanding (unlimited amount authorized: $0.001 par value)	$	11.44

(x)

Includes value of securities on loan of $2,533,981.

STATEMENT OF OPERATIONS

For the Six Months Ended April 30, 2022 (Unaudited)


INVESTMENT INCOME
Dividends	$	231,656
Interest		12
Securities lending (net)		474

Total income		232,142


EXPENSES
Investment advisory fees		51,957
Professional fees		21,053
Administrative fees		15,587
Registration and filing fees		11,213
Printing and mailing expenses		9,975
Transfer agent fees		5,653
Custodian fees		2,579
Trustees’ fees		401
Miscellaneous		2,812

Gross expenses		121,230
Less: Waiver from investment adviser		(64,470	)

Net expenses		56,760

NET INVESTMENT INCOME (LOSS)		175,382

REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) on investments in securities		604,777
Net distributions of realized gain received from underlying funds		5,245

Net realized gain (loss)		610,022

Net change in unrealized appreciation (depreciation) on investments in securities		(2,456,043	)

NET REALIZED AND UNREALIZED GAIN (LOSS)		(1,846,021	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	(1,670,639	)

STATEMENT OF CHANGES IN NET ASSETS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31, 2021
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS:
Net investment income (loss)	$	175,382		$	308,805
Net realized gain (loss)		610,022			859,590
Net change in unrealized appreciation (depreciation)		(2,456,043	)		2,740,032

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS		(1,670,639	)		3,908,427

Distributions to shareholders:
Class I		(1,149,434	)		(768,938	)

CAPITAL SHARES TRANSACTIONS:
Class I
Capital shares sold [ 69,259 and 397,992 shares, respectively ]		848,302			4,950,241
Capital shares issued in reinvestment of dividends [ 91,808 and 64,780 shares, respectively ]		1,149,434			768,938
Capital shares repurchased [ (331,865) and (458,469) shares, respectively ]		(4,165,664	)		(5,733,463	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE TRANSACTIONS		(2,167,928	)		(14,284	)

TOTAL INCREASE (DECREASE) IN NET ASSETS		(4,988,001	)		3,125,205
NET ASSETS:
Beginning of period		23,580,825			20,455,620

End of period	$	18,592,824		$	23,580,825

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2025 FUND

FINANCIAL HIGHLIGHTS


Class I	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,												February 27, 2017* to October 31, 2017
Class I	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			February 27, 2017* to October 31, 2017
Net asset value, beginning of period	$	13.13		$	11.42		$	11.81		$	10.62		$	10.75		$	10.00

Income (loss) from investment operations:
Net investment income (loss) (e)(x)		0.10			0.17			0.21			0.22			0.21			0.11
Net realized and unrealized gain (loss)		(1.11	)		1.96			(0.15	)		1.14			(0.14	)		0.64

Total from investment operations		(1.01	)		2.13			0.06			1.36			0.07			0.75

Less distributions:
Dividends from net investment income		(0.17	)		(0.20	)		(0.23	)		(0.14	)		(0.18	)		—
Distributions from net realized gains		(0.51	)		(0.22	)		(0.22	)		(0.03	)		(0.02	)		—

Total dividends and distributions		(0.68	)		(0.42	)		(0.45	)		(0.17	)		(0.20	)		—

Net asset value, end of period	$	11.44		$	13.13		$	11.42		$	11.81		$	10.62		$	10.75

Total return (b)		(8.09	)%		19.05	%		0.47	%		12.99	%		0.60	%		7.50	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	18,593		$	23,581		$	20,456		$	19,202		$	10,286		$	2,688
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.55	%(j)		0.54	%(j)		0.54	%**(j)		0.54	%(j)		0.54	%(j)		0.53	%(j)
Before waivers and reimbursements (a)(f)		1.17	%		1.18	%		1.43	%		1.58	%		3.23	%		5.30	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)(x)		1.69	%		1.33	%		1.88	%		1.99	%		1.91	%		1.62	%(l)
Before waivers and reimbursements (a)(f)(x)		1.07	%		0.68	%		0.99	%		0.95	%		(0.79	)%		(3.15	)%(l)
Portfolio turnover rate^		1	%(z)		17	%		34	%		23	%		4	%		2	%(z)

*	Commencement of Operations.

**	Includes tax expense of less than 0.005%.

^	Portfolio turnover rate excludes derivatives, if any.

(a)

Ratios for periods less than one year are annualized. Certain non-recurring expenses incurred by the Fund are not annualized for periods less than one year.

(b)

Total returns for periods less than one year are not annualized.

(e)

Net investment income (loss) per share is based on average shares outstanding.

(f)

Expenses do not include the expenses of the underlying funds (“indirect expenses”), if applicable.

(j)

Including direct and indirect expenses, the net expense ratio after waivers and reimbursements would be 0.65%.

(l)

The annualized ratio of net investment income to average net assets may not be indicative of operating results for a full year.

(x)

Recognition of net investment income is affected by the timing of dividend declarations by the underlying funds in which the Fund invests.

(z)

Portfolio turnover rate for periods less than one year is not annualized.

See Notes to Financial Statements.

1290 RETIREMENT 2030 FUND (Unaudited)



Table by Asset Class (as a percentage of Total Investments in Securities) As of April 30, 2022
Equity	66.4	%
Fixed Income	33.2
Repurchase Agreement	0.4



Top 10 Holdings (as a percentage of Total Investments in Securities) As of April 30, 2022
iShares Core U.S. Aggregate Bond ETF	26.9	%
iShares Core S&P Total US Stock Market ETF	22.9
iShares Core MSCI EAFE ETF	8.3
Invesco S&P 500 Low Volatility ETF	7.1
iShares MSCI USA Min Vol Factor ETF	7.1
iShares TIPS Bond ETF	5.0
Invesco S&P International Developed Low Volatility ETF	4.5
iShares MSCI EAFE Min Vol Factor ETF	4.4
Invesco S&P MidCap Low Volatility ETF	4.2
iShares Core MSCI Emerging Markets ETF	2.2
Holdings are subject to change without notice.

UNDERSTANDING YOUR EXPENSES:

As a shareholder of the Fund, you incur two types of costs:

(1) transaction costs, including applicable sales charges and redemption fees; and (2) ongoing costs, including investment advisory fees, distribution and/or service (12b-1) fees and other Fund expenses. These examples are 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 examples are based on an investment of $1,000 invested at the beginning of the six-month period ended April 30, 2022 and held for the entire six-month period.

Actual Expenses

Hypothetical Example for Comparison Purposes

EXAMPLE



	Beginning Account Value 11/1/21		Ending Account Value 4/30/22		Expenses Paid During Period* 11/1/21 - 4/30/22
Class I
Actual		$1,000.00		$917.70		$2.58
Hypothetical (5% average annual return before expenses)		1,000.00		1,022.10		2.72

* Expenses are equal to the Fund’s I shares annualized expense ratio of 0.54%, multiplied by the average account value over the period, and multiplied by 181/365 (to reflect the one-half year period).

1290 FUNDS

1290 RETIREMENT 2030 FUND

PORTFOLIO OF INVESTMENTS

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

EXCHANGE TRADED FUNDS (ETF):
Equity (66.7%)
Invesco S&P 500 Low Volatility ETF		9,540	$	623,439
Invesco S&P Emerging Markets Low Volatility ETF		3,420		86,389
Invesco S&P International Developed Low Volatility ETF		13,040		391,212
Invesco S&P MidCap Low Volatility ETF		6,780		365,103
Invesco S&P SmallCap Low Volatility ETF		3,680		167,918
iShares Core MSCI EAFE ETF		11,110		720,039
iShares Core MSCI Emerging Markets ETF		3,600		188,100
iShares Core S&P Total US Stock Market ETF		21,740		1,996,384
iShares MSCI EAFE Min Vol Factor ETF		5,590		382,468
iShares MSCI Emerging Markets Min Vol Factor ETF		1,450		85,260
iShares MSCI USA Min Vol Factor ETF		8,430		619,015
SPDR SSGA US Small Cap Low Volatility Index ETF		1,630		174,978

Total Equity				5,800,305

Fixed Income (33.3%)
iShares Broad USD High Yield Corporate Bond ETF (x)		920		34,077
iShares Core U.S. Aggregate Bond ETF		22,850		2,350,579
iShares TIPS Bond ETF		3,580		433,431
Vanguard Short-Term Bond ETF		600		46,218
Vanguard Total International Bond ETF		620		31,515

Total Fixed Income				2,895,820

Total Exchange Traded Funds (100.0%) (Cost $8,849,362)				8,696,125

	Principal Amount		Value (Note 1)

SHORT-TERM INVESTMENT:
Repurchase Agreement (0.4%)
Natwest Markets Securities, Inc., 0.30%, dated 4/29/22, due 5/2/22, repurchase price $31,713, collateralized by various U.S. Government Treasury Securities, ranging from 0.125%-3.625%, maturing 7/15/22-2/15/50; total market value $32,348. (xx)	$	31,712		31,712

Total Short-Term Investment (0.4%) (Cost $31,712)				31,712

Total Investments in Securities (100.4%) (Cost $8,881,074)				8,727,837
Other Assets Less Liabilities (-0.4%)				(27,965	)

Net Assets (100%)			$	8,699,872

(x)

All or a portion of security is on loan at April 30, 2022.

(xx)

At April 30, 2022, the Portfolio had loaned securities with a total value of $30,669. This was collateralized by cash of $31,712 which was subsequently invested in joint repurchase agreements as detailed in the Notes to the Financial Statements.

Glossary:

TIPS

— Treasury Inflation Protected Security

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2030 FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

The following is a summary of the inputs, summarized in three broad levels, used to value the Fund’s assets and liabilities carried at fair value as of April 30, 2022:

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.



Investment Type	Level 1 Quoted Prices in Active Markets for Identical Securities		Level 2 Significant Other Observable Inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)		Level 3 Significant Unobservable Inputs (including the Fund’s own assumptions in determining the fair value of investments)		Total
Assets:
Exchange Traded Funds
Exchange Traded Funds	$	8,696,125	$	—	$	—	$	8,696,125
Short-Term Investment
Repurchase Agreement		—		31,712		—		31,712

Total Assets	$	8,696,125	$	31,712	$	—	$	8,727,837

Total Liabilities	$	—	$	—	$	—	$	—

Total	$	8,696,125	$	31,712	$	—	$	8,727,837

The Fund held no derivatives contracts during the six months ended April 30, 2022.

Investment security transactions for the six months ended April 30, 2022 were as follows:


Cost of Purchases:
Long-term investments other than U.S. government debt securities	$	2,157,497
Net Proceeds of Sales and Redemptions:
Long-term investments other than U.S. government debt securities	$	3,147,220


Aggregate gross unrealized appreciation	$	230,781
Aggregate gross unrealized depreciation		(410,759	)

Net unrealized depreciation	$	(179,978	)

Federal income tax cost of investments in securities and derivative instruments, if applicable	$	8,907,815

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2030 FUND

STATEMENT OF ASSETS AND LIABILITIES

April 30, 2022 (Unaudited)


ASSETS
Investments in Securities, at value (x)
Unaffiliated Issuers (Cost $8,849,362)	$	8,696,125
Repurchase Agreements (Cost $31,712)		31,712
Cash		13,602
Prepaid registration and filing fees		14,067
Receivable for Fund shares sold		3,770
Receivable from investment adviser		3,698
Securities lending income receivable		329
Dividends, interest and other receivables		3

Total assets		8,763,306

LIABILITIES
Payable for return of collateral on securities loaned		31,712
Transfer agent fees payable		1,482
Trustees’ fees payable		6
Accrued expenses		30,234

Total liabilities		63,434

NET ASSETS	$	8,699,872

Net assets were comprised of:
Paid in capital	$	8,331,067
Total distributable earnings (loss)		368,805

Net assets	$	8,699,872

Class I
Net asset value, offering and redemption price per share, $8,699,872 / 727,173 shares outstanding (unlimited amount authorized: $0.001 par value)	$	11.96

(x)

Includes value of securities on loan of $30,669.

STATEMENT OF OPERATIONS

For the Six Months Ended April 30, 2022 (Unaudited)


INVESTMENT INCOME
Dividends	$	115,135
Interest		16
Securities lending (net)		329

Total income		115,480

EXPENSES
Investment advisory fees		26,619
Professional fees		20,045
Registration and filing fees		10,088
Printing and mailing expenses		8,797
Administrative fees		7,986
Transfer agent fees		6,000
Custodian fees		2,281
Trustees’ fees		204
Miscellaneous		2,244

Gross expenses		84,264
Less: Waiver from investment adviser		(34,605	)
Reimbursement from investment adviser		(20,784	)

Net expenses		28,875

NET INVESTMENT INCOME (LOSS)		86,605

REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) on investments in securities		519,895
Net distributions of realized gain received from underlying funds		355

Net realized gain (loss)		520,250

Net change in unrealized appreciation (depreciation) on investments in securities		(1,468,178	)

NET REALIZED AND UNREALIZED GAIN (LOSS)		(947,928	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	(861,323	)

STATEMENT OF CHANGES IN NET ASSETS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31, 2021
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS:
Net investment income (loss)	$	86,605		$	101,964
Net realized gain (loss)		520,250			128,738
Net change in unrealized appreciation (depreciation)		(1,468,178	)		1,221,403

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS		(861,323	)		1,452,105

Distributions to shareholders:
Class I		(251,073	)		(404,614	)

CAPITAL SHARES TRANSACTIONS:
Class I
Capital shares sold [ 172,252 and 380,305 shares, respectively ]		2,261,397			4,839,850
Capital shares issued in reinvestment of dividends [ 13,805 and 19,062 shares, respectively ]		181,124			225,890
Capital shares repurchased [ (262,709) and (86,543) shares, respectively ]		(3,327,833	)		(1,097,669	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE TRANSACTIONS		(885,312	)		3,968,071

TOTAL INCREASE (DECREASE) IN NET ASSETS		(1,997,708	)		5,015,562
NET ASSETS:
Beginning of period		10,697,580			5,682,018

End of period	$	8,699,872		$	10,697,580

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2030 FUND

FINANCIAL HIGHLIGHTS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,												February 27, 2017* to October 31, 2017
Class I	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			February 27, 2017* to October 31, 2017
Net asset value, beginning of period	$	13.31		$	11.57		$	11.89		$	10.69		$	10.80		$	10.00

Income (loss) from investment operations:
Net investment income (loss) (e)(x)		0.10			0.16			0.22			0.22			0.20			0.11
Net realized and unrealized gain (loss)		(1.17	)		2.30			(0.30	)		1.20			(0.12	)		0.69

Total from investment operations		(1.07	)		2.46			(0.08	)		1.42			0.08			0.80

Less distributions:
Dividends from net investment income		(0.14	)		(0.20	)		(0.21	)		(0.18	)		(0.18	)		—
Distributions from net realized gains		(0.14	)		(0.52	)		(0.03	)		(0.04	)		(0.01	)		—

Total dividends and distributions		(0.28	)		(0.72	)		(0.24	)		(0.22	)		(0.19	)		—

Net asset value, end of period	$	11.96		$	13.31		$	11.57		$	11.89		$	10.69		$	10.80

Total return (b)		(8.23	)%		21.98	%		(0.68	)%		13.56	%		0.70	%		8.00	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	8,700		$	10,698		$	5,682		$	6,724		$	4,273		$	2,701
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.54	%(j)		0.54	%(j)		0.54	%**(j)		0.54	%(j)		0.54	%(j)		0.53	%(j)
Before waivers and reimbursements (a)(f)		1.58	%		2.14	%		2.88	%		3.14	%		4.74	%		5.27	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)(x)		1.63	%		1.24	%		1.95	%		1.98	%		1.78	%		1.59	%(l)
Before waivers and reimbursements (a)(f)(x)		0.59	%		(0.36	)%		(0.40	)%		(0.62	)%		(2.41	)%		(3.15	)%(l)
Portfolio turnover rate^		20	%(z)		8	%		38	%		5	%		3	%		1	%(z)

*	Commencement of Operations.

**	Includes tax expense of less than 0.005%.

^	Portfolio turnover rate excludes derivatives, if any.

(a)

Ratios for periods less than one year are annualized. Certain non-recurring expenses incurred by the Fund are not annualized for periods less than one year.

(b)

Total returns for periods less than one year are not annualized.

(e)

Net investment income (loss) per share is based on average shares outstanding.

(f)

Expenses do not include the expenses of the underlying funds (“indirect expenses”), if applicable.

(j)

Including direct and indirect expenses, the net expense ratio after waivers and reimbursements would be 0.65% .

(l)

The annualized ratio of net investment income to average net assets may not be indicative of operating results for a full year.

(x)

Recognition of net investment income is affected by the timing of dividend declarations by the underlying funds in which the Fund invests.

(z)

Portfolio turnover rate for periods less than one year is not annualized.

See Notes to Financial Statements.

1290 RETIREMENT 2035 FUND (Unaudited)



Table by Asset Class (as a percentage of Total Investments in Securities) As of April 30, 2022
Equity	60.8	%
Fixed Income	21.8
Repurchase Agreement	17.2
Investment Company	0.2



Top 10 Holdings (as a percentage of Total Investments in Securities) As of April 30, 2022
iShares Core S&P Total US Stock Market ETF	20.1	%
iShares Core U.S. Aggregate Bond ETF	18.6
Natwest Markets Securities, Inc.	17.2
iShares Core MSCI EAFE ETF	7.9
Invesco S&P 500 Low Volatility ETF	7.3
iShares MSCI USA Min Vol Factor ETF	7.0
Invesco S&P MidCap Low Volatility ETF	4.0
Invesco S&P International Developed Low Volatility ETF	3.9
iShares MSCI EAFE Min Vol Factor ETF	3.8
iShares TIPS Bond ETF	3.2
Holdings are subject to change without notice.

UNDERSTANDING YOUR EXPENSES:

As a shareholder of the Fund, you incur two types of costs:

(1) transaction costs, including applicable sales charges and redemption fees; and (2) ongoing costs, including investment advisory fees, distribution and/or service (12b-1) fees and other Fund expenses. These examples are 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 examples are based on an investment of $1,000 invested at the beginning of the six-month period ended April 30, 2022 and held for the entire six-month period.

Actual Expenses

Hypothetical Example for Comparison Purposes

EXAMPLE



	Beginning Account Value 11/1/21		Ending Account Value 4/30/22		Expenses Paid During Period* 11/1/21 - 4/30/22
Class I
Actual		$1,000.00		$918.90		$2.56
Hypothetical (5% average annual return before expenses)		1,000.00		1,022.12		2.70

* Expenses are equal to the Fund’s I shares annualized expense ratio of 0.54%, multiplied by the average account value over the period, and multiplied by 181/365 (to reflect the one-half year period).

1290 FUNDS

1290 RETIREMENT 2035 FUND

PORTFOLIO OF INVESTMENTS

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

EXCHANGE TRADED FUNDS (ETF):
Equity (73.1%)
Invesco S&P 500 Low Volatility ETF		15,580	$	1,018,153
Invesco S&P Emerging Markets Low Volatility ETF		4,800		121,248
Invesco S&P International Developed Low Volatility ETF		18,340		550,216
Invesco S&P MidCap Low Volatility ETF		10,380		558,963
Invesco S&P SmallCap Low Volatility ETF		5,190		236,820
iShares Core MSCI EAFE ETF		17,040		1,104,363
iShares Core MSCI Emerging Markets ETF		4,900		256,025
iShares Core S&P Total US Stock Market ETF (x)		30,740		2,822,854
iShares MSCI EAFE Min Vol Factor ETF		7,860		537,781
iShares MSCI Emerging Markets Min Vol Factor ETF		1,950		114,660
iShares MSCI USA Min Vol Factor ETF		13,310		977,353
SPDR SSGA US Small Cap Low Volatility Index ETF		2,240		240,460

Total Equity				8,538,896

Fixed Income (26.2%)
iShares Core U.S. Aggregate Bond ETF		25,380		2,610,841
iShares TIPS Bond ETF		3,650		441,905

Total Fixed Income				3,052,746

Total Exchange Traded Funds (99.3%) (Cost $10,727,693)				11,591,642

SHORT-TERM INVESTMENTS:
Investment Company (0.2%)
JPMorgan Prime Money Market Fund, IM Shares		22,775		22,782

	Principal Amount		Value (Note 1)

Repurchase Agreement (20.7%)
Natwest Markets Securities, Inc., 0.30%, dated 4/29/22, due 5/2/22, repurchase price $2,418,998, collateralized by various U.S. Government Treasury Securities, ranging from 0.125%-3.625%, maturing 7/15/22-2/15/50; total market value $2,467,410. (xx)	$	2,418,938		2,418,938

Total Short-Term Investments (20.9%) (Cost $2,441,720)				2,441,720

Total Investments in Securities (120.2%) (Cost $13,169,413)				14,033,362
Other Assets Less Liabilities (-20.2%)				(2,356,514	)

Net Assets (100%)			$	11,676,848

(x)

All or a portion of security is on loan at April 30, 2022.

(xx)

At April 30, 2022, the Portfolio had loaned securities with a total value of $2,286,475. This was collateralized by cash of $2,418,938 which was subsequently invested in joint repurchase agreements as detailed in the Notes to the Financial Statements.

Glossary:

TIPS

— Treasury Inflation Protected Security

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2035 FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

The following is a summary of the inputs, summarized in three broad levels, used to value the Fund’s assets and liabilities carried at fair value as of April 30, 2022:

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.



Investment Type	Level 1 Quoted Prices in Active Markets for Identical Securities		Level 2 Significant Other Observable Inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)		Level 3 Significant Unobservable Inputs (including the Fund’s own assumptions in determining the fair value of investments)		Total
Assets:
Exchange Traded Funds
Exchange Traded Funds	$	11,591,642	$	—	$	—	$	11,591,642
Short-Term Investments
Investment Company		22,782		—		—		22,782
Repurchase Agreement		—		2,418,938		—		2,418,938

Total Assets	$	11,614,424	$	2,418,938	$	—	$	14,033,362

Total Liabilities	$	—	$	—	$	—	$	—

Total	$	11,614,424	$	2,418,938	$	—	$	14,033,362

The Fund held no derivatives contracts during the six months ended April 30, 2022.

Investment security transactions for the six months ended April 30, 2022 were as follows:


Cost of Purchases:
Long-term investments other than U.S. government debt securities	$	805,884
Net Proceeds of Sales and Redemptions:
Long-term investments other than U.S. government debt securities	$	2,662,718


Aggregate gross unrealized appreciation	$	1,133,975
Aggregate gross unrealized depreciation		(325,730	)

Net unrealized appreciation	$	808,245

Federal income tax cost of investments in securities and derivative instruments, if applicable	$	13,225,117

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2035 FUND

STATEMENT OF ASSETS AND LIABILITIES

April 30, 2022 (Unaudited)


ASSETS
Investments in Securities, at value (x)
Unaffiliated Issuers (Cost $10,750,475)	$	11,614,424
Repurchase Agreements (Cost $2,418,938)		2,418,938
Cash		75,000
Prepaid registration and filing fees		14,158
Receivable from investment adviser		2,601
Receivable for Fund shares sold		1,755
Securities lending income receivable		680
Dividends, interest and other receivables		13

Total assets		14,127,569

LIABILITIES
Payable for return of collateral on securities loaned		2,418,938
Transfer agent fees payable		937
Trustees’ fees payable		26
Accrued expenses		30,820

Total liabilities		2,450,721

NET ASSETS	$	11,676,848

Net assets were comprised of:
Paid in capital	$	10,325,702
Total distributable earnings (loss)		1,351,146

Net assets	$	11,676,848

Class I
Net asset value, offering and redemption price per share, $11,676,848 / 937,707 shares outstanding (unlimited amount authorized: $0.001 par value)	$	12.45

(x)

Includes value of securities on loan of $2,286,475.

STATEMENT OF OPERATIONS

For the Six Months Ended April 30, 2022 (Unaudited)


INVESTMENT INCOME
Dividends	$	139,516
Interest		17
Securities lending (net)		680

Total income		140,213

EXPENSES
Investment advisory fees		33,342
Professional fees		20,327
Registration and filing fees		10,227
Administrative fees		10,002
Printing and mailing expenses		9,130
Transfer agent fees		6,000
Custodian fees		2,309
Trustees’ fees		257
Miscellaneous		2,398

Gross expenses		93,992
Less: Waiver from investment adviser		(43,344	)
Reimbursement from investment adviser		(14,739	)

Net expenses		35,909

NET INVESTMENT INCOME (LOSS)		104,304

REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) on investments in securities		516,677
Net change in unrealized appreciation (depreciation) on investments in securities		(1,721,867	)

NET REALIZED AND UNREALIZED GAIN (LOSS)		(1,205,190	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	(1,100,886	)

STATEMENT OF CHANGES IN NET ASSETS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31, 2021
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS:
Net investment income (loss)	$	104,304		$	152,623
Net realized gain (loss)		516,677			(7,346	)
Net change in unrealized appreciation (depreciation)		(1,721,867	)		2,267,023

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS		(1,100,886	)		2,412,300

Distributions to shareholders:
Class I		(166,168	)		(490,540	)

CAPITAL SHARES TRANSACTIONS:
Class I
Capital shares sold [ 86,635 and 259,452 shares, respectively ]		1,163,249			3,366,472
Capital shares issued in reinvestment of dividends [ 9,201 and 28,425 shares, respectively ]		125,693			343,940
Capital shares repurchased [ (193,337) and (72,337) shares, respectively ]		(2,539,877	)		(958,672	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE TRANSACTIONS		(1,250,935	)		2,751,740

TOTAL INCREASE (DECREASE) IN NET ASSETS		(2,517,989	)		4,673,500
NET ASSETS:
Beginning of period		14,194,837			9,521,337

End of period	$	11,676,848		$	14,194,837

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2035 FUND

FINANCIAL HIGHLIGHTS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,												February 27, 2017* to October 31, 2017
Class I	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			February 27, 2017* to October 31, 2017
Net asset value, beginning of period	$	13.71		$	11.62		$	12.03		$	10.76		$	10.85		$	10.00

Income (loss) from investment operations:
Net investment income (loss) (e)(x)		0.10			0.16			0.22			0.22			0.19			0.11
Net realized and unrealized gain (loss)		(1.20	)		2.52			(0.32	)		1.23			(0.09	)		0.74

Total from investment operations		(1.10	)		2.68			(0.10	)		1.45			0.10			0.85

Less distributions:
Dividends from net investment income		(0.16	)		(0.21	)		(0.22	)		(0.16	)		(0.18	)		—
Distributions from net realized gains		—			(0.38	)		(0.09	)		(0.02	)		(0.01	)		—

Total dividends and distributions		(0.16	)		(0.59	)		(0.31	)		(0.18	)		(0.19	)		—

Net asset value, end of period	$	12.45		$	13.71		$	11.62		$	12.03		$	10.76		$	10.85

Total return (b)		(8.11	)%		23.70	%		(0.87	)%		13.61	%		0.88	%		8.50	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	11,677		$	14,195		$	9,521		$	8,369		$	6,692		$	2,712
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.54	%(j)		0.54	%(j)		0.54	%**(j)		0.54	%(j)		0.53	%(j)		0.53	%(j)
Before waivers and reimbursements (a)(f)		1.41	%		1.63	%		2.17	%		2.50	%		3.95	%		5.28	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)(x)		1.56	%		1.23	%		1.92	%		1.98	%		1.73	%		1.58	%(l)
Before waivers and reimbursements (a)(f)(x)		0.69	%		0.14	%		0.28	%		0.01	%		(1.68	)%		(3.17	)%(l)
Portfolio turnover rate^		6	%(z)		1	%		40	%		13	%		2	%		1	%(z)

*	Commencement of Operations.

**	Includes tax expense of less than 0.005%.

^	Portfolio turnover rate excludes derivatives, if any.

(a)

Ratios for periods less than one year are annualized. Certain non-recurring expenses incurred by the Fund are not annualized for periods less than one year.

(b)

Total returns for periods less than one year are not annualized.

(e)

Net investment income (loss) per share is based on average shares outstanding.

(f)

Expenses do not include the expenses of the underlying funds (“indirect expenses”), if applicable.

(j)

Including direct and indirect expenses, the net expense ratio after waivers and reimbursements would be 0.65% .

(l)

The annualized ratio of net investment income to average net assets may not be indicative of operating results for a full year.

(x)

Recognition of net investment income is affected by the timing of dividend declarations by the underlying funds in which the Fund invests.

(z)

Portfolio turnover rate for periods less than one year is not annualized.

See Notes to Financial Statements.

1290 RETIREMENT 2040 FUND (Unaudited)



Table by Asset Class (as a percentage of Total Investments in Securities) As of April 30, 2022
Equity	78.3	%
Fixed Income	21.7



Top 10 Holdings (as a percentage of Total Investments in Securities) As of April 30, 2022
iShares Core S&P Total US Stock Market ETF	26.4	%
iShares Core U.S. Aggregate Bond ETF	18.6
iShares Core MSCI EAFE ETF	9.9
Invesco S&P 500 Low Volatility ETF	9.3
iShares MSCI USA Min Vol Factor ETF	9.2
Invesco S&P MidCap Low Volatility ETF	5.1
Invesco S&P International Developed Low Volatility ETF	4.9
iShares MSCI EAFE Min Vol Factor ETF	4.9
iShares TIPS Bond ETF	3.1
iShares Core MSCI Emerging Markets ETF	2.2
Holdings are subject to change without notice.

UNDERSTANDING YOUR EXPENSES:

As a shareholder of the Fund, you incur two types of costs:

(1) transaction costs, including applicable sales charges and redemption fees; and (2) ongoing costs, including investment advisory fees, distribution and/or service (12b-1) fees and other Fund expenses. These examples are 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 examples are based on an investment of $1,000 invested at the beginning of the six-month period ended April 30, 2022 and held for the entire six-month period.

Actual Expenses

Hypothetical Example for Comparison Purposes

EXAMPLE



	Beginning Account Value 11/1/21		Ending Account Value 4/30/22		Expenses Paid During Period* 11/1/21 - 4/30/22
Class I
Actual	$	1,000.00	$	918.90	$	2.55
Hypothetical (5% average annual return before expenses)		1,000.00		1,022.14		2.69

* Expenses are equal to the Fund’s I shares annualized expense ratio of 0.54%, multiplied by the average account value over the period, and multiplied by 181/365 (to reflect the one-half year period).

1290 FUNDS

1290 RETIREMENT 2040 FUND

PORTFOLIO OF INVESTMENTS

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)


EXCHANGE TRADED FUNDS (ETF):
Equity (77.7%)
Invesco S&P 500 Low Volatility ETF		8,650	$	565,278
Invesco S&P Emerging Markets Low Volatility ETF		2,680		67,697
Invesco S&P International Developed Low Volatility ETF		9,970		299,109
Invesco S&P MidCap Low Volatility ETF		5,730		308,560
Invesco S&P SmallCap Low Volatility ETF		2,840		129,589
iShares Core MSCI EAFE ETF		9,300		602,733
iShares Core MSCI Emerging Markets ETF		2,610		136,372
iShares Core S&P Total US Stock Market ETF		17,490		1,606,107
iShares MSCI EAFE Min Vol Factor ETF		4,360		298,311
iShares MSCI Emerging Markets Min Vol Factor ETF		1,060		62,328

iShares MSCI USA Min Vol Factor ETF		7,590		557,334

SPDR SSGA US Small Cap Low Volatility Index ETF		1,260		135,259

Total Equity				4,768,677

Fixed Income (21.6%)
iShares Core U.S. Aggregate Bond ETF		11,010		1,132,599
iShares TIPS Bond ETF		1,580		191,290

Total Fixed Income				1,323,889

Total Investments in Securities (99.3%) (Cost $5,489,094)				6,092,566
Other Assets Less Liabilities (0.7%)				43,224

Net Assets (100%)			$	6,135,790

Glossary:

TIPS

— Treasury Inflation Protected Security

The following is a summary of the inputs, summarized in three broad levels, used to value the Fund’s assets and liabilities carried at fair value as of April 30, 2022:

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.



Investment Type	Level 1 Quoted Prices in Active Markets for Identical Securities		Level 2 Significant Other Observable Inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)		Level 3 Significant Unobservable Inputs (including the Fund’s own assumptions in determining the fair value of investments)		Total
Assets:
Exchange Traded Funds
Exchange Traded Funds	$	6,092,566	$	—	$	—	$	6,092,566

Total Assets	$	6,092,566	$	—	$	—	$	6,092,566

Total Liabilities	$	—	$	—	$	—	$	—

Total	$	6,092,566	$	—	$	—	$	6,092,566

The Fund held no derivatives contracts during the six months ended April 30, 2022.

Investment security transactions for the six months ended April 30, 2022 were as follows:


Cost of Purchases:
Long-term investments other than U.S. government debt securities	$	1,026,342
Net Proceeds of Sales and Redemptions:
Long-term investments other than U.S. government debt securities	$	56,663


Aggregate gross unrealized appreciation	$	714,031
Aggregate gross unrealized depreciation		(120,651	)

Net unrealized appreciation	$	593,380

Federal income tax cost of investments in securities and derivative instruments, if applicable	$	5,499,186

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2040 FUND

STATEMENT OF ASSETS AND LIABILITIES

April 30, 2022 (Unaudited)


ASSETS
Investments in Securities, at value (Cost $5,489,094)	$	6,092,566
Cash		54,401
Prepaid registration and filing fees		13,902
Receivable from investment adviser		4,690
Receivable for Fund shares sold		1,250
Securities lending income receivable		187
Other assets		1

Total assets		6,166,997

LIABILITIES
Transfer agent fees payable		1,248
Trustees’ fees payable		32
Accrued expenses		29,927

Total liabilities		31,207

NET ASSETS	$	6,135,790

Net assets were comprised of:
Paid in capital	$	5,502,543
Total distributable earnings (loss)		633,247

Net assets	$	6,135,790

Class I
Net asset value, offering and redemption price per share, $6,135,790 / 476,438 shares outstanding (unlimited amount authorized: $0.001 par value)	$	12.88

STATEMENT OF OPERATIONS

For the Six Months Ended April 30, 2022 (Unaudited)


INVESTMENT INCOME
Dividends	$	60,527
Interest		13
Securities lending (net)		187

Total income		60,727

EXPENSES
Professional fees		19,583
Investment advisory fees		15,085
Registration and filing fees		10,002
Printing and mailing expenses		8,284
Transfer agent fees		5,752
Administrative fees		4,526
Custodian fees		2,132
Trustees’ fees		113
Miscellaneous		1,790

Gross expenses		67,267
Less: Waiver from investment adviser		(19,611	)
Reimbursement from investment adviser		(31,489	)

Net expenses		16,167

NET INVESTMENT INCOME (LOSS)		44,560

REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) on investments in securities		25,081
Net change in unrealized appreciation (depreciation) on investments in securities		(602,049	)

NET REALIZED AND UNREALIZED GAIN (LOSS)		(576,968	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	(532,408	)

STATEMENT OF CHANGES IN NET ASSETS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31, 2021
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS:
Net investment income (loss)	$	44,560		$	62,347
Net realized gain (loss)		25,081			57,650
Net change in unrealized appreciation (depreciation)		(602,049	)		979,181

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS		(532,408	)		1,099,178

Distributions to shareholders:
Class I		(123,256	)		(166,556	)

CAPITAL SHARES TRANSACTIONS:
Class I
Capital shares sold [ 76,929 and 56,933 shares, respectively ]		1,070,500			763,834
Capital shares issued in reinvestment of dividends [ 3,304 and 3,936 shares, respectively ]		46,681			49,156
Capital shares repurchased [ (2,975) and (16,517) shares, respectively ]		(41,197	)		(215,489	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE TRANSACTIONS		1,075,984			597,501

TOTAL INCREASE (DECREASE) IN NET ASSETS		420,320			1,530,123
NET ASSETS:
Beginning of period		5,715,470			4,185,347

End of period	$	6,135,790		$	5,715,470

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2040 FUND

FINANCIAL HIGHLIGHTS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,												February 27, 2017* to October 31, 2017
Class I	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			February 27, 2017* to October 31, 2017
Net asset value, beginning of period	$	14.32		$	11.80		$	12.05		$	10.84		$	10.89		$	10.00

Income (loss) from investment operations:
Net investment income (loss) (e)(x)		0.10			0.17			0.23			0.22			0.20			0.11
Net realized and unrealized gain (loss)		(1.24	)		2.82			(0.26	)		1.24			(0.06	)		0.78

Total from investment operations		(1.14	)		2.99			(0.03	)		1.46			0.14			0.89

Less distributions:
Dividends from net investment income		(0.16	)		(0.22	)		(0.21	)		(0.20	)		(0.18	)		—
Distributions from net realized gains		(0.14	)		(0.25	)		(0.01	)		(0.05	)		(0.01	)		—

Total dividends and distributions		(0.30	)		(0.47	)		(0.22	)		(0.25	)		(0.19	)		—

Net asset value, end of period	$	12.88		$	14.32		$	11.80		$	12.05		$	10.84		$	10.89

Total return (b)		(8.11	)%		25.92	%		(0.24	)%		13.79	%		1.26	%		8.90	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	6,136		$	5,715		$	4,185		$	4,005		$	2,915		$	2,722
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.54	%(j)		0.53	%(j)		0.53	%**(j)		0.53	%(j)		0.53	%(j)		0.53	%(j)
Before waivers and reimbursements (a)(f)		2.23	%		3.05	%		3.86	%		4.57	%		5.31	%		5.28	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)(x)		1.48	%		1.22	%		1.93	%		1.96	%		1.80	%		1.57	%(l)
Before waivers and reimbursements (a)(f)(x)		(0.22	)%		(1.29	)%		(1.39	)%		(2.08	)%		(2.99	)%		(3.18	)%(l)
Portfolio turnover rate^		1	%(z)		4	%		20	%		3	%		2	%		1	%(z)

*	Commencement of Operations.

**	Includes tax expense of less than 0.005%.

^	Portfolio turnover rate excludes derivatives, if any.

(a)

Ratios for periods less than one year are annualized. Certain non-recurring expenses incurred by the Fund are not annualized for periods less than one year.

(b)

Total returns for periods less than one year are not annualized.

(e)

Net investment income (loss) per share is based on average shares outstanding.

(f)

Expenses do not include the expenses of the underlying funds (“indirect expenses”), if applicable.

(j)

Including direct and indirect expenses, the net expense ratio after waivers and reimbursements would be 0.65%.

(l)

The annualized ratio of net investment income to average net assets may not be indicative of operating results for a full year.

(x)

Recognition of net investment income is affected by the timing of dividend declarations by the underlying funds in which the Fund invests.

(z)

Portfolio turnover rate for periods less than one year is not annualized.

See Notes to Financial Statements.

1290 RETIREMENT 2045 FUND (Unaudited)



Table by Asset Class (as a percentage of Total Investments in Securities) As of April 30, 2022
Equity	83.0	%
Fixed Income	16.9
Investment Company	0.1



Top 10 Holdings (as a percentage of Total Investments in Securities) As of April 30, 2022
iShares Core S&P Total US Stock Market ETF	28.6	%
iShares Core U.S. Aggregate Bond ETF	14.4
iShares Core MSCI EAFE ETF	9.9
Invesco S&P 500 Low Volatility ETF	9.8
iShares MSCI USA Min Vol Factor ETF	9.5
iShares MSCI EAFE Min Vol Factor ETF	5.4
Invesco S&P International Developed Low Volatility ETF	5.2
Invesco S&P MidCap Low Volatility ETF	5.1
iShares TIPS Bond ETF	2.6
iShares Core MSCI Emerging Markets ETF	2.4
Holdings are subject to change without notice.

UNDERSTANDING YOUR EXPENSES:

As a shareholder of the Fund, you incur two types of costs:

(1) transaction costs, including applicable sales charges and redemption fees; and (2) ongoing costs, including investment advisory fees, distribution and/or service (12b-1) fees and other Fund expenses. These examples are 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 examples are based on an investment of $1,000 invested at the beginning of the six-month period ended April 30, 2022 and held for the entire six-month period.

Actual Expenses

The first line of the following table 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 this period.

Hypothetical Example for Comparison Purposes

EXAMPLE



	Beginning Account Value 11/1/21		Ending Account Value 4/30/22		Expenses Paid During Period* 11/1/21 - 4/30/22
Class I
Actual		$1,000.00		$919.40		$2.53
Hypothetical (5% average annual return before expenses)		1,000.00		1,022.16		2.66

* Expenses are equal to the Fund’s I shares annualized expense ratio of 0.53%, multiplied by the average account value over the period, and multiplied by 181/365 (to reflect the one-half year period).

1290 FUNDS

1290 RETIREMENT 2045 FUND

PORTFOLIO OF INVESTMENTS

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

EXCHANGE TRADED FUNDS (ETF):
Equity (82.5%)
Invesco S&P 500 Low Volatility ETF		11,620	$	759,367
Invesco S&P Emerging Markets Low Volatility ETF		4,020		101,545
Invesco S&P International Developed Low Volatility ETF		13,420		402,612
Invesco S&P MidCap Low Volatility ETF		7,310		393,644
Invesco S&P SmallCap Low Volatility ETF		3,840		175,219
iShares Core MSCI EAFE ETF		11,800		764,758
iShares Core MSCI Emerging Markets ETF		3,540		184,965
iShares Core S&P Total US Stock Market ETF		24,040		2,207,593
iShares MSCI EAFE Min Vol Factor ETF		6,120		418,731
iShares MSCI Emerging Markets Min Vol Factor ETF		1,580		92,904
iShares MSCI USA Min Vol Factor ETF		10,000		734,300
SPDR SSGA US Small Cap Low Volatility Index ETF		1,640		176,051

Total Equity				6,411,689


Fixed Income (16.8%)
iShares Core U.S. Aggregate Bond ETF		10,790		1,109,967
iShares TIPS Bond ETF		1,630		197,344

Total Fixed Income				1,307,311

Total Exchange Traded Funds (99.3%) (Cost $6,744,377)				7,719,000


SHORT-TERM INVESTMENT:
Investment Company (0.1%)
JPMorgan Prime Money Market Fund, IM Shares		8,722		8,725

Total Short-Term Investment (0.1%) (Cost $8,725)				8,725

Total Investments in Securities (99.4%) (Cost $6,753,102)				7,727,725
Other Assets Less Liabilities (0.6%)				48,542

Net Assets (100%)			$	7,776,267

Glossary:

TIPS

— Treasury Inflation Protected Security

The following is a summary of the inputs, summarized in three broad levels, used to value the Fund’s assets and liabilities carried at fair value as of April 30, 2022:

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.



Investment Type	Level 1 Quoted Prices in Active Markets for Identical Securities		Level 2 Significant Other Observable Inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)		Level 3 Significant Unobservable Inputs (including the Fund’s own assumptions in determining the fair value of investments)		Total
Assets:
Exchange Traded Funds
Exchange Traded Funds	$	7,719,000	$	—	$	—	$	7,719,000
Short-Term Investment
Investment Company		8,725		—		—		8,725

Total Assets	$	7,727,725	$	—	$	—	$	7,727,725

Total Liabilities	$	—	$	—	$	—	$	—

Total	$	7,727,725	$	—	$	—	$	7,727,725

The Fund held no derivatives contracts during the six months ended April 30, 2022.

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2045 FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

Investment security transactions for the six months ended April 30, 2022 were as follows:


Cost of Purchases:
Long-term investments other than U.S. government debt securities	$	537,421
Net Proceeds of Sales and Redemptions:
Long-term investments other than U.S. government debt securities	$	316,282


Aggregate gross unrealized appreciation	$	1,102,317
Aggregate gross unrealized depreciation		(127,694	)

Net unrealized appreciation	$	974,623

Federal income tax cost of investments in securities and derivative instruments, if applicable	$	6,753,102

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2045 FUND

STATEMENT OF ASSETS AND LIABILITIES

April 30, 2022 (Unaudited)


ASSETS
Investments in Securities, at value (Cost $6,753,102)	$	7,727,725
Cash		75,000
Prepaid registration and filing fees		13,996
Receivable for Fund shares sold		5,375
Receivable from investment adviser		4,206
Securities lending income receivable		324
Dividends, interest and other receivables		14

Total assets		7,826,640

LIABILITIES
Payable for securities purchased		18,683
Transfer agent fees payable		1,149
Trustees’ fees payable		38
Accrued expenses		30,503

Total liabilities		50,373

NET ASSETS	$	7,776,267

Net assets were comprised of:
Paid in capital	$	6,660,647
Total distributable earnings (loss)		1,115,620

Net assets	$	7,776,267

Class I
Net asset value, offering and redemption price per share, $7,776,267 / 621,031 shares outstanding (unlimited amount authorized: $0.001 par value)	$	12.52

STATEMENT OF OPERATIONS

For the Six Months Ended April 30, 2022 (Unaudited)


INVESTMENT INCOME
Dividends	$	81,347
Interest		13
Securities lending (net)		324

Total income		81,684

EXPENSES
Professional fees		19,766
Investment advisory fees		19,709
Registration and filing fees		10,065
Printing and mailing expenses		8,486
Transfer agent fees		6,100
Administrative fees		5,913
Custodian fees		2,380
Trustees’ fees		149
Miscellaneous		1,920

Gross expenses		74,488
Less: Waiver from investment adviser		(25,622	)
Reimbursement from investment adviser		(27,939	)

Net expenses		20,927

NET INVESTMENT INCOME (LOSS)		60,757

REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) on investments in securities		122,825
Net change in unrealized appreciation (depreciation) on investments in securities		(845,372	)

NET REALIZED AND UNREALIZED GAIN (LOSS)		(722,547	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	(661,790	)

STATEMENT OF CHANGES IN NET ASSETS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31, 2021
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS:
Net investment income (loss)	$	60,757		$	98,203
Net realized gain (loss)		122,825			377,152
Net change in unrealized appreciation (depreciation)		(845,372	)		1,357,551

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS		(661,790	)		1,832,906

Distributions to shareholders:
Class I		(477,748	)		(300,773	)

CAPITAL SHARES TRANSACTIONS:
Class I
Capital shares sold [ 46,815 and 137,150 shares, respectively ]		624,345			1,838,993
Capital shares issued in reinvestment of dividends [ 19,296 and 12,999 shares, respectively ]		265,123			162,623
Capital shares repurchased [ (7,965) and (147,416) shares, respectively ]		(111,536	)		(2,021,175	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE TRANSACTIONS		777,932			(19,559	)

TOTAL INCREASE (DECREASE) IN NET ASSETS		(361,606	)		1,512,574
NET ASSETS:
Beginning of period		8,137,873			6,625,299

End of period	$	7,776,267		$	8,137,873

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2045 FUND

FINANCIAL HIGHLIGHTS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,												February 27, 2017* to October 31, 2017
Class I	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			February 27, 2017* to October 31, 2017
Net asset value, beginning of period	$	14.46		$	11.83		$	12.18		$	10.91		$	10.93		$	10.00

Income (loss) from investment operations:
Net investment income (loss) (e)(x)		0.10			0.16			0.23			0.23			0.20			0.11
Net realized and unrealized gain (loss)		(1.19	)		3.03			(0.36	)		1.25			(0.03	)		0.82

Total from investment operations		(1.09	)		3.19			(0.13	)		1.48			0.17			0.93

Less distributions:
Dividends from net investment income		(0.18	)		(0.23	)		(0.22	)		(0.18	)		(0.18	)		—
Distributions from net realized gains		(0.67	)		(0.33	)		—	#		(0.03	)		(0.01	)		—

Total dividends and distributions		(0.85	)		(0.56	)		(0.22	)		(0.21	)		(0.19	)		—

Net asset value, end of period	$	12.52		$	14.46		$	11.83		$	12.18		$	10.91		$	10.93

Total return (b)		(8.06	)%		27.63	%		(1.08	)%		13.85	%		1.53	%		9.30	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	7,776		$	8,138		$	6,625		$	5,635		$	3,834		$	2,741
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.53	%(j)		0.53	%(j)		0.53	%**(j)		0.53	%(j)		0.53	%(j)		0.52	%(j)
Before waivers and reimbursements (a)(f)		1.89	%		2.18	%		2.78	%		3.51	%		4.91	%		5.29	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)(x)		1.54	%		1.21	%		1.92	%		1.97	%		1.76	%		1.55	%(l)
Before waivers and reimbursements (a)(f)(x)		0.18	%		(0.43	)%		(0.33	)%		(1.01	)%		(2.62	)%		(3.22	)%(l)
Portfolio turnover rate^		4	%(z)		18	%		18	%		1	%		2	%		1	%(z)

*	Commencement of Operations.

**	Includes tax expense of less than 0.005%.

#	Per share amount is less than $0.005.

^	Portfolio turnover rate excludes derivatives, if any.

(a)

Ratios for periods less than one year are annualized. Certain non-recurring expenses incurred by the Fund are not annualized for periods less than one year.

(b)

Total returns for periods less than one year are not annualized.

(e)

Net investment income (loss) per share is based on average shares outstanding.

(f)

Expenses do not include the expenses of the underlying funds (“indirect expenses”), if applicable.

(j)

Including direct and indirect expenses, the net expense ratio after waivers and reimbursements would be 0.65% .

(l)

The annualized ratio of net investment income to average net assets may not be indicative of operating results for a full year.

(x)

Recognition of net investment income is affected by the timing of dividend declarations by the underlying funds in which the Fund invests.

(z)

Portfolio turnover rate for periods less than one year is not annualized.

See Notes to Financial Statements.

1290 RETIREMENT 2050 FUND (Unaudited)



Table by Asset Class (as a percentage of Total Investments in Securities) As of April 30, 2022
Equity	70.3	%
Repurchase Agreement	20.6
Fixed Income	9.1



Top 10 Holdings (as a percentage of Total Investments in Securities) As of April 30, 2022
iShares Core S&P Total US Stock Market ETF	24.2	%
Natwest Markets Securities, Inc.	20.6
iShares Core MSCI EAFE ETF	8.5
Invesco S&P 500 Low Volatility ETF	8.4
iShares MSCI USA Min Vol Factor ETF	8.2
iShares Core U.S. Aggregate Bond ETF	7.8
Invesco S&P MidCap Low Volatility ETF	4.4
iShares MSCI EAFE Min Vol Factor ETF	4.4
Invesco S&P International Developed Low Volatility ETF	4.4
iShares Core MSCI Emerging Markets ETF	2.0
Holdings are subject to change without notice.

UNDERSTANDING YOUR EXPENSES:

As a shareholder of the Fund, you incur two types of costs:

(1) transaction costs, including applicable sales charges and redemption fees; and (2) ongoing costs, including investment advisory fees, distribution and/or service (12b-1) fees and other Fund expenses. These examples are 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 examples are based on an investment of $1,000 invested at the beginning of the six-month period ended April 30, 2022 and held for the entire six-month period.

Actual Expenses

The first line of the following table 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 this period.

Hypothetical Example for Comparison Purposes



	Beginning Account Value 11/1/21		Ending Account Value 4/30/22		Expenses Paid During Period* 11/1/21 - 4/30/22
Class I
Actual	$	1,000.00	$	919.60	$	2.52
Hypothetical (5% average annual return before expenses)		1,000.00		1,022.17		2.65

* Expenses are equal to the Fund’s I shares annualized expense ratio of 0.53%, multiplied by the average account value over the period, and multiplied by 181/365 (to reflect the one-half year period).

1290 FUNDS

1290 RETIREMENT 2050 FUND

PORTFOLIO OF INVESTMENTS

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

EXCHANGE TRADED FUNDS (ETF):
Equity (87.9%)
Invesco S&P 500 Low Volatility ETF		10,830	$	707,741
Invesco S&P Emerging Markets Low Volatility ETF		3,300		83,358
Invesco S&P International Developed Low Volatility ETF		12,180		365,411
Invesco S&P MidCap Low Volatility ETF		6,840		368,334
Invesco S&P SmallCap Low Volatility ETF		3,620		165,181
iShares Core MSCI EAFE ETF		11,040		715,502
iShares Core MSCI Emerging Markets ETF		3,260		170,335
iShares Core S&P Total US Stock Market ETF (x)		22,140		2,033,116
iShares MSCI EAFE Min Vol Factor ETF		5,360		366,731
iShares MSCI Emerging Markets Min Vol Factor ETF		1,360		79,968
iShares MSCI USA Min Vol Factor ETF		9,350		686,571
SPDR SSGA US Small Cap Low Volatility Index ETF		1,490		159,949

Total Equity				5,902,197

Fixed Income (11.4%)
iShares Core U.S. Aggregate Bond ETF		6,340		652,196
iShares TIPS Bond ETF		950		115,016

Total Fixed Income				767,212

Total Exchange Traded Funds (99.3%) (Cost $5,751,123)				6,669,409

	Principal Amount		Value (Note 1)

SHORT-TERM INVESTMENT:
Repurchase Agreement (25.7%)
Natwest Markets Securities, Inc., 0.30%, dated 4/29/22, due 5/2/22, repurchase price $1,728,050, collateralized by various U.S. Government Treasury Securities, ranging from 0.125%-3.625%, maturing 7/15/22-2/15/50; total market value $1,762,634. (xx)	$	1,728,007		1,728,007

Total Short-Term Investment (25.7%) (Cost $1,728,007)				1,728,007

Total Investments in Securities (125.0%) (Cost $7,479,130)				8,397,416
Other Assets Less Liabilities (-25.0%)				(1,680,103	)

Net Assets (100%)			$	6,717,313

(x)

All or a portion of security is on loan at April 30, 2022.

(xx)

At April 30, 2022, the Portfolio had loaned securities with a total value of $1,633,380. This was collateralized by cash of $1,728,007 which was subsequently invested in joint repurchase agreements as detailed in the Notes to the Financial Statements.

Glossary:

TIPS

— Treasury Inflation Protected Security

The following is a summary of the inputs, summarized in three broad levels, used to value the Fund’s assets and liabilities carried at fair value as of April 30, 2022:

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.



Investment Type	Level 1 Quoted Prices in Active Markets for Identical Securities		Level 2 Significant Other Observable Inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)		Level 3 Significant Unobservable Inputs (including the Fund’s own assumptions in determining the fair value of investments)		Total
Assets:
Exchange Traded Funds
Exchange Traded Funds	$	6,669,409	$	—	$	—	$	6,669,409
Short-Term Investment
Repurchase Agreement		—		1,728,007		—		1,728,007

Total Assets	$	6,669,409	$	1,728,007	$	—	$	8,397,416

Total Liabilities	$	—	$	—	$	—	$	—

Total	$	6,669,409	$	1,728,007	$	—	$	8,397,416

The Fund held no derivatives contracts during the six months ended April 30, 2022.

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2050 FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

Investment security transactions for the six months ended April 30, 2022 were as follows:


Cost of Purchases:
Long-term investments other than U.S. government debt securities	$	969,647
Net Proceeds of Sales and Redemptions:
Long-term investments other than U.S. government debt securities	$	99,781


Aggregate gross unrealized appreciation	$	957,774
Aggregate gross unrealized depreciation		(81,366	)

Net unrealized appreciation	$	876,408

Federal income tax cost of investments in securities and derivative instruments, if applicable	$	7,521,008

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2050 FUND

STATEMENT OF ASSETS AND LIABILITIES

April 30, 2022 (Unaudited)


ASSETS
Investments in Securities, at value (x)
Unaffiliated Issuers (Cost $5,751,123)	$	6,669,409
Repurchase Agreements (Cost $1,728,007)		1,728,007
Cash		70,712
Prepaid registration and filing fees		13,931
Receivable for Fund shares sold		6,563
Receivable from investment adviser		4,449
Securities lending income receivable		273
Dividends, interest and other receivables		1

Total assets		8,493,345

LIABILITIES
Payable for return of collateral on securities loaned		1,728,007
Payable for securities purchased		16,814
Transfer agent fees payable		1,076
Trustees’ fees payable		44
Accrued expenses		30,091

Total liabilities		1,776,032

NET ASSETS	$	6,717,313

Net assets were comprised of:
Paid in capital	$	5,793,092
Total distributable earnings (loss)		924,221

Net assets	$	6,717,313

Class I
Net asset value, offering and redemption price per share, $6,717,313 / 503,464 shares outstanding (unlimited amount authorized: $0.001 par value)	$	13.34

(x)

Includes value of securities on loan of $1,633,380.

STATEMENT OF OPERATIONS

For the Six Months Ended April 30, 2022 (Unaudited)


INVESTMENT INCOME
Dividends	$	67,031
Interest		15
Securities lending (net)		273

Total income		67,319

EXPENSES
Professional fees		19,637
Investment advisory fees		16,505
Registration and filing fees		9,981
Printing and mailing expenses		8,338
Transfer agent fees		5,455
Administrative fees		4,952
Custodian fees		2,132
Trustees’ fees		124
Miscellaneous		1,819

Gross expenses		68,943
Less: Waiver from investment adviser		(21,457	)
Reimbursement from investment adviser		(30,052	)

Net expenses		17,434

NET INVESTMENT INCOME (LOSS)		49,885

REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) on investments in securities		32,682
Net change in unrealized appreciation (depreciation) on investments in securities		(650,338	)

NET REALIZED AND UNREALIZED GAIN (LOSS)		(617,656	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	(567,771	)

STATEMENT OF CHANGES IN NET ASSETS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31, 2021
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS:
Net investment income (loss)	$	49,885		$	67,958
Net realized gain (loss)		32,682			67,673
Net change in unrealized appreciation (depreciation)		(650,338	)		1,269,846

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS		(567,771	)		1,405,477

Distributions to shareholders:
Class I		(139,581	)		(134,290	)

CAPITAL SHARES TRANSACTIONS:
Class I
Capital shares sold [ 80,119 and 53,658 shares, respectively ]		1,141,773			740,914
Capital shares issued in reinvestment of dividends [ 4,122 and 3,904 shares, respectively ]		60,381			49,665
Capital shares repurchased [ (14,732) and (28,413) shares, respectively ]		(209,333	)		(390,949	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE TRANSACTIONS		992,821			399,630

TOTAL INCREASE (DECREASE) IN NET ASSETS		285,469			1,670,817
NET ASSETS:
Beginning of period		6,431,844			4,761,027

End of period	$	6,717,313		$	6,431,844

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2050 FUND

FINANCIAL HIGHLIGHTS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,												February 27, 2017* to October 31, 2017
Class I	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			February 27, 2017* to October 31, 2017
Net asset value, beginning of period	$	14.82		$	11.76		$	12.24		$	10.97		$	10.98		$	10.00

Income (loss) from investment operations:
Net investment income (loss) (e)(x)		0.11			0.16			0.22			0.22			0.20			0.11
Net realized and unrealized gain (loss)		(1.28	)		3.24			(0.46	)		1.30			(0.02	)		0.87

Total from investment operations		(1.17	)		3.40			(0.24	)		1.52			0.18			0.98

Less distributions:
Dividends from net investment income		(0.16	)		(0.21	)		(0.22	)		(0.20	)		(0.18	)		—
Distributions from net realized gains		(0.15	)		(0.13	)		(0.02	)		(0.05	)		(0.01	)		—

Total dividends and distributions		(0.31	)		(0.34	)		(0.24	)		(0.25	)		(0.19	)		—

Net asset value, end of period	$	13.34		$	14.82		$	11.76		$	12.24		$	10.97		$	10.98

Total return (b)		(8.04	)%		29.37	%		(2.05	)%		14.18	%		1.63	%		9.80	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	6,717		$	6,432		$	4,761		$	3,747		$	3,068		$	2,744
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.53	%(j)		0.53	%(j)		0.53	%**(j)		0.52	%(j)		0.52	%(j)		0.52	%(j)
Before waivers and reimbursements (a)(f)		2.09	%		2.75	%		3.80	%		4.52	%		5.20	%		5.26	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)(x)		1.51	%		1.17	%		1.90	%		1.96	%		1.77	%		1.54	%(l)
Before waivers and reimbursements (a)(f)(x)		(0.05	)%		(1.05	)%		(1.37	)%		(2.03	)%		(2.90	)%		(3.20	)%(l)
Portfolio turnover rate^		2	%(z)		5	%		21	%		2	%		2	%		1	%(z)

*	Commencement of Operations.

**	Includes tax expense of less than 0.005%.

^	Portfolio turnover rate excludes derivatives, if any.

(a)

Ratios for periods less than one year are annualized. Certain non-recurring expenses incurred by the Fund are not annualized for periods less than one year.

(b)

Total returns for periods less than one year are not annualized.

(e)

Net investment income (loss) per share is based on average shares outstanding.

(f)

Expenses do not include the expenses of the underlying funds (“indirect expenses”), if applicable.

(j)

Including direct and indirect expenses, the net expense ratio after waivers and reimbursements would be 0.65%.

(l)

The annualized ratio of net investment income to average net assets may not be indicative of operating results for a full year.

(x)

Recognition of net investment income is affected by the timing of dividend declarations by the underlying funds in which the Fund invests.

(z)

Portfolio turnover rate for periods less than one year is not annualized.

See Notes to Financial Statements.

1290 RETIREMENT 2055 FUND (Unaudited)



Table by Asset Class (as a percentage of Total Investments in Securities) As of April 30, 2022
Equity	73.6	%
Repurchase Agreement	21.3
Fixed Income	5.1



Top 10 Holdings (as a percentage of Total Investments in Securities) As of April 30, 2022
iShares Core S&P Total US Stock Market ETF	25.1	%
Natwest Markets Securities, Inc.	21.3
iShares Core MSCI EAFE ETF	9.0
Invesco S&P 500 Low Volatility ETF	8.8
iShares MSCI USA Min Vol Factor ETF	8.7
Invesco S&P MidCap Low Volatility ETF	4.6
iShares MSCI EAFE Min Vol Factor ETF	4.5
Invesco S&P International Developed Low Volatility ETF	4.5
iShares Core U.S. Aggregate Bond ETF	4.3
SPDR SSGA US Small Cap Low Volatility Index ETF	2.1
Holdings are subject to change without notice.

UNDERSTANDING YOUR EXPENSES:

As a shareholder of the Fund, you incur two types of costs:

(1) transaction costs, including applicable sales charges and redemption fees; and (2) ongoing costs, including investment advisory fees, distribution and/or service (12b-1) fees and other Fund expenses. These examples are 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 examples are based on an investment of $1,000 invested at the beginning of the six-month period ended April 30, 2022 and held for the entire six-month period.

Actual Expenses

The first line of the following table 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 this period.

Hypothetical Example for Comparison Purposes

EXAMPLE



	Beginning Account Value 11/1/21		Ending Account Value 4/30/22		Expenses Paid During Period* 11/1/21 - 4/30/22
Class I
Actual		$1,000.00		$919.60		$2.49
Hypothetical (5% average annual return before expenses)		1,000.00		1,022.20		2.63

* Expenses are equal to the Fund’s I shares annualized expense ratio of 0.52%, multiplied by the average account value over the period, and multiplied by 181/365 (to reflect the one-half year period).

1290 FUNDS

1290 RETIREMENT 2055 FUND

PORTFOLIO OF INVESTMENTS

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

EXCHANGE TRADED FUNDS (ETF):
Equity (92.9%)
Invesco S&P 500 Low Volatility ETF		8,870	$	579,655
Invesco S&P Emerging Markets Low Volatility ETF		2,730		68,960
Invesco S&P International Developed Low Volatility ETF		9,950		298,509
Invesco S&P MidCap Low Volatility ETF		5,650		304,252
Invesco S&P SmallCap Low Volatility ETF		2,930		133,696
iShares Core MSCI EAFE ETF		9,180		594,956
iShares Core MSCI Emerging Markets ETF		2,570		134,282
iShares Core S&P Total US Stock Market ETF (x)		18,040		1,656,613
iShares MSCI EAFE Min Vol Factor ETF		4,380		299,680
iShares MSCI Emerging Markets Min Vol Factor ETF		1,150		67,620
iShares MSCI USA Min Vol Factor ETF		7,840		575,691
SPDR SSGA US Small Cap Low Volatility Index ETF		1,260		135,259

Total Equity				4,849,173

Fixed Income (6.4%)
iShares Core U.S. Aggregate Bond ETF		2,780		285,979
iShares TIPS Bond ETF		420		50,849

Total Fixed Income				336,828

Total Exchange Traded Funds (99.3%) (Cost $4,151,462)				5,186,001

	Principal Amount		Value (Note 1)

SHORT-TERM INVESTMENT:
Repurchase Agreement (27.0%)
Natwest Markets Securities, Inc., 0.30%, dated 4/29/22, due 5/2/22, repurchase price $1,406,961, collateralized by various U.S. Government Treasury Securities, ranging from 0.125%-3.625%, maturing 7/15/22-2/15/50; total market value $1,435,119. (xx)	$	1,406,926		1,406,926

Total Short-Term Investment (27.0%) (Cost $1,406,926)				1,406,926

Total Investments in Securities (126.3%) (Cost $5,558,388)				6,592,927
Other Assets Less Liabilities (-26.3%)				(1,372,807	)

Net Assets (100%)			$	5,220,120

(x)

All or a portion of security is on loan at April 30, 2022.

(xx)

At April 30, 2022, the Portfolio had loaned securities with a total value of $1,329,882. This was collateralized by cash of $1,406,926 which was subsequently invested in joint repurchase agreements as detailed in the Notes to the Financial Statements.

Glossary:

TIPS

— Treasury Inflation Protected Security

The following is a summary of the inputs, summarized in three broad levels, used to value the Fund’s assets and liabilities carried at fair value as of April 30, 2022:

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.



Investment Type	Level 1 Quoted Prices in Active Markets for Identical Securities		Level 2 Significant Other Observable Inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)		Level 3 Significant Unobservable Inputs (including the Fund’s own assumptions in determining the fair value of investments)		Total
Assets:
Exchange Traded Funds
Exchange Traded Funds	$	5,186,001	$	—	$	—	$	5,186,001
Short-Term Investment
Repurchase Agreement		—		1,406,926		—		1,406,926

Total Assets	$	5,186,001	$	1,406,926	$	—	$	6,592,927

Total Liabilities	$	—	$	—	$	—	$	—

Total	$	5,186,001	$	1,406,926	$	—	$	6,592,927

The Fund held no derivatives contracts during the six months ended April 30, 2022.

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2055 FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

Investment security transactions for the six months ended April 30, 2022 were as follows:


Cost of Purchases:
Long-term investments other than U.S. government debt securities	$	289,983
Net Proceeds of Sales and Redemptions:
Long-term investments other than U.S. government debt securities	$	145,347


Aggregate gross unrealized appreciation	$	1,063,298
Aggregate gross unrealized depreciation		(29,045	)

Net unrealized appreciation	$	1,034,253

Federal income tax cost of investments in securities and derivative instruments, if applicable	$	5,558,674

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2055 FUND

STATEMENT OF ASSETS AND LIABILITIES

April 30, 2022 (Unaudited)


ASSETS
Investments in Securities, at value (x)
Unaffiliated Issuers (Cost $4,151,462)	$	5,186,001
Repurchase Agreements (Cost $1,406,926)		1,406,926
Cash		57,673
Prepaid registration and filing fees		13,893
Receivable from investment adviser		5,117
Receivable for Fund shares sold		3,171
Securities lending income receivable		224
Dividends, interest and other receivables		1

Total assets		6,673,006

LIABILITIES
Payable for return of collateral on securities loaned		1,406,926
Accrued professional fees		26,414
Payable for securities purchased		14,946
Transfer agent fees payable		1,160
Trustees’ fees payable		41
Accrued expenses		3,399

Total liabilities		1,452,886

NET ASSETS	$	5,220,120

Net assets were comprised of:
Paid in capital	$	4,131,942
Total distributable earnings (loss)		1,088,178

Net assets	$	5,220,120

Class I
Net asset value, offering and redemption price per share, $5,220,120 / 384,335 shares outstanding (unlimited amount authorized: $0.001 par value)	$	13.58

(x)

Includes value of securities on loan of $1,329,882.

STATEMENT OF OPERATIONS

For the Six Months Ended April 30, 2022 (Unaudited)


INVESTMENT INCOME
Dividends	$	55,263
Interest		10
Securities lending (net)		224

Total income		55,497

EXPENSES
Professional fees		19,526
Investment advisory fees		13,487
Registration and filing fees		9,948
Printing and mailing expenses		8,204
Transfer agent fees		5,852
Administrative fees		4,046
Custodian fees		2,132
Trustees’ fees		103
Miscellaneous		1,770

Gross expenses		65,068
Less: Waiver from investment adviser		(17,533	)
Reimbursement from investment adviser		(33,414	)

Net expenses		14,121

NET INVESTMENT INCOME (LOSS)		41,376

REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) on investments in securities		42,765
Net change in unrealized appreciation (depreciation) on investments in securities		(536,210	)

NET REALIZED AND UNREALIZED GAIN (LOSS)		(493,445	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	(452,069	)

STATEMENT OF CHANGES IN NET ASSETS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31, 2021
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS:
Net investment income (loss)	$	41,376		$	57,685
Net realized gain (loss)		42,765			24,625
Net change in unrealized appreciation (depreciation)		(536,210	)		1,164,738

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS		(452,069	)		1,247,048

Distributions to shareholders:
Class I		(86,187	)		(114,811	)

CAPITAL SHARES TRANSACTIONS:
Class I
Capital shares sold [ 30,065 and 44,363 shares, respectively ]		436,468			615,203
Capital shares issued in reinvestment of dividends [ 1,847 and 2,369 shares, respectively ]		27,561			30,211
Capital shares repurchased [ (12,770) and (12,648) shares, respectively ]		(183,842	)		(182,370	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE TRANSACTIONS		280,187			463,044

TOTAL INCREASE (DECREASE) IN NET ASSETS		(258,069	)		1,595,281
NET ASSETS:
Beginning of period		5,478,189			3,882,908

End of period	$	5,220,120		$	5,478,189

See Notes to Financial Statements.

1290 FUNDS

1290 RETIREMENT 2055 FUND

FINANCIAL HIGHLIGHTS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,												February 27, 2017* to October 31, 2017
Class I	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			February 27, 2017* to October 31, 2017
Net asset value, beginning of period	$	15.00		$	11.73		$	12.32		$	11.04		$	11.02		$	10.00

Income (loss) from investment operations:
Net investment income (loss) (e)(x)		0.11			0.16			0.23			0.22			0.20			0.11
Net realized and unrealized gain (loss)		(1.29	)		3.45			(0.58	)		1.32			0.01			0.91

Total from investment operations		(1.18	)		3.61			(0.35	)		1.54			0.21			1.02

Less distributions:
Dividends from net investment income		(0.17	)		(0.21	)		(0.23	)		(0.21	)		(0.18	)		—
Distributions from net realized gains		(0.07	)		(0.13	)		(0.01	)		(0.05	)		(0.01	)		—

Total dividends and distributions		(0.24	)		(0.34	)		(0.24	)		(0.26	)		(0.19	)		—

Net asset value, end of period	$	13.58		$	15.00		$	11.73		$	12.32		$	11.04		$	11.02

Total return (b)		(8.04	)%		31.27	%		(2.97	)%		14.29	%		1.90	%		10.20	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	5,220		$	5,478		$	3,883		$	3,545		$	2,918		$	2,755
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.52	%(j)		0.52	%(j)		0.53	%**(j)		0.52	%(j)		0.52	%(j)		0.52	%(j)
Before waivers and reimbursements (a)(f)		2.41	%		3.11	%		4.34	%		4.74	%		5.27	%		5.25	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)(x)		1.53	%		1.16	%		1.97	%		1.95	%		1.73	%		1.53	%(l)
Before waivers and reimbursements (a)(f)(x)		(0.35	)%		(1.43	)%		(1.84	)%		(2.27	)%		(3.02	)%		(3.21	)%(l)
Portfolio turnover rate^		3	%(z)		2	%		6	%		2	%		2	%		1	%(z)

*	Commencement of Operations.

**	Includes Tax expense of 0.01%.

^	Portfolio turnover rate excludes derivatives, if any.

(a)

Ratios for periods less than one year are annualized. Certain non-recurring expenses incurred by the Fund are not annualized for periods less than one year.

(b)

Total returns for periods less than one year are not annualized.

(e)

Net investment income (loss) per share is based on average shares outstanding.

(f)

Expenses do not include the expenses of the underlying funds (“indirect expenses”), if applicable.

(j)

Including direct and indirect expenses, the net expense ratio after waivers and reimbursements would be 0.66% in 2020 and 0.65% in 2022, 2021, 2019, 2018 and 2017.

(l)

The annualized ratio of net investment income to average net assets may not be indicative of operating results for a full year.

(x)

Recognition of net investment income is affected by the timing of dividend declarations by the underlying funds in which the Fund invests.

(z)

Portfolio turnover rate for periods less than one year is not annualized.

See Notes to Financial Statements.

1290 RETIREMENT 2060 FUND (Unaudited)



Table by Asset Class (as a percentage of Total Investments in Securities) As of April 30, 2022
Equity	95.3	%
Repurchase Agreement	3.5
Fixed Income	1.2



Top 10 Holdings (as a percentage of Total Investments in Securities) As of April 30, 2022
iShares Core S&P Total US Stock Market ETF	32.7	%
iShares Core MSCI EAFE ETF	11.6
Invesco S&P 500 Low Volatility ETF	11.5
iShares MSCI USA Min Vol Factor ETF	11.3
Invesco S&P International Developed Low Volatility ETF	6.0
Invesco S&P MidCap Low Volatility ETF	5.9
iShares MSCI EAFE Min Vol Factor ETF	5.8
Natwest Markets Securities, Inc.	3.5
iShares Core MSCI Emerging Markets ETF	2.6
Invesco S&P SmallCap Low Volatility ETF	2.6
Holdings are subject to change without notice.

UNDERSTANDING YOUR EXPENSES:

As a shareholder of the Fund, you incur two types of costs:

(1) transaction costs, including applicable sales charges and redemption fees; and (2) ongoing costs, including investment advisory fees, distribution and/or service (12b-1) fees and other Fund expenses. These examples are 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 examples are based on an investment of $1,000 invested at the beginning of the six-month period ended April 30, 2022 and held for the entire six-month period.

Actual Expenses

Hypothetical Example for Comparison Purposes

EXAMPLE



	Beginning Account Value 11/1/21		Ending Account Value 4/30/22		Expenses Paid During Period* 11/1/21 - 4/30/22
Class I
Actual		$1,000.00		$920.70		$2.48
Hypothetical (5% average annual return before expenses)		1,000.00		1,022.21		2.61

* Expenses are equal to the Fund’s I shares annualized expense ratio of 0.52%, multiplied by the average account value over the period, and multiplied by 181/365 (to reflect the one-half year period).

1290 FUNDS

1290 RETIREMENT 2060 FUND

PORTFOLIO OF INVESTMENTS

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

EXCHANGE TRADED FUNDS (ETF):
Equity (98.1%)
Invesco S&P 500 Low Volatility ETF		10,280	$	671,798
Invesco S&P Emerging Markets Low Volatility ETF		3,310		83,611
Invesco S&P International Developed Low Volatility ETF		11,590		347,710
Invesco S&P MidCap Low Volatility ETF		6,410		345,179
Invesco S&P SmallCap Low Volatility ETF		3,350		152,861
iShares Core MSCI EAFE ETF		10,450		677,265
iShares Core MSCI Emerging Markets ETF		2,930		153,092
iShares Core S&P Total US Stock Market ETF (x)		20,780		1,908,227
iShares MSCI EAFE Min Vol Factor ETF		4,960		339,363
iShares MSCI Emerging Markets Min Vol Factor ETF		1,280		75,264
iShares MSCI USA Min Vol Factor ETF		8,950		657,198
SPDR SSGA US Small Cap Low Volatility Index ETF		1,420		152,435

Total Equity				5,564,003

Fixed Income (1.2%)
iShares Core U.S. Aggregate Bond ETF		580		59,664
iShares TIPS Bond ETF		70		8,475

Total Fixed Income				68,139

Total Exchange Traded Funds (99.3%) (Cost $4,636,261)				5,632,142

	Principal Amount		Value (Note 1)

SHORT-TERM INVESTMENT:
Repurchase Agreement (3.6%)
Natwest Markets Securities, Inc., 0.30%, dated 4/29/22, due 5/2/22, repurchase price $204,603, collateralized by various U.S. Government Treasury Securities, ranging from 0.125%-3.625%, maturing 7/15/22-2/15/50; total market value $208,698. (xx)	$	204,598		204,598

Total Short-Term Investment (3.6%) (Cost $204,598)				204,598

Total Investments in Securities (102.9%) (Cost $4,840,859)				5,836,740
Other Assets Less Liabilities (-2.9%)				(164,502	)

Net Assets (100%)			$	5,672,238

(x)

All or a portion of security is on loan at April 30, 2022.

(xx)

At April 30, 2022, the Portfolio had loaned securities with a total value of $193,394. This was collateralized by cash of $204,598 which was subsequently invested in joint repurchase agreements as detailed in the Notes to the Financial Statements.

Glossary:

TIPS

— Treasury Inflation Protected Security

The following is a summary of the inputs, summarized in three broad levels, used to value the Fund’s assets and liabilities carried at fair value as of April 30, 2022:

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.



Investment Type	Level 1 Quoted Prices in Active Markets for Identical Securities		Level 2 Significant Other Observable Inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)		Level 3 Significant Unobservable Inputs (including the Fund’s own assumptions in determining the fair value of investments)		Total
Assets:
Exchange Traded Funds
Exchange Traded Funds	$	5,632,142	$	—	$	—	$	5,632,142
Short-Term Investment
Repurchase Agreement		—		204,598		—		204,598

Total Assets	$	5,632,142	$	204,598	$	—	$	5,836,740

Total Liabilities	$	—	$	—	$	—	$	—

Total	$	5,632,142	$	204,598	$	—	$	5,836,740

The Fund held no derivatives contracts during the six months ended April 30, 2022.

See Notes to Financial Statements.

100

1290 FUNDS

1290 RETIREMENT 2060 FUND

PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

Investment security transactions for the six months ended April 30, 2022 were as follows:


Cost of Purchases:
Long-term investments other than U.S. government debt securities	$	570,235
Net Proceeds of Sales and Redemptions:
Long-term investments other than U.S. government debt securities	$	78,847


Aggregate gross unrealized appreciation	$	1,005,123
Aggregate gross unrealized depreciation		(15,669	)

Net unrealized appreciation	$	989,454

Federal income tax cost of investments in securities and derivative instruments, if applicable	$	4,847,286

See Notes to Financial Statements.

101

1290 FUNDS

1290 RETIREMENT 2060 FUND

STATEMENT OF ASSETS AND LIABILITIES

April 30, 2022 (Unaudited)


ASSETS
Investments in Securities, at value (x)
Unaffiliated Issuers (Cost $4,636,261)	$	5,632,142
Repurchase Agreements (Cost $204,598)		204,598
Cash		61,479
Prepaid registration and filing fees		13,902
Receivable for Fund shares sold		7,333
Receivable from investment adviser		5,068
Securities lending income receivable		269

Total assets		5,924,791

LIABILITIES
Payable for return of collateral on securities loaned		204,598
Payable for securities purchased		16,814
Transfer agent fees payable		1,327
Trustees’ fees payable		40
Accrued expenses		29,774

Total liabilities		252,553

NET ASSETS	$	5,672,238

Net assets were comprised of:
Paid in capital	$	4,644,544
Total distributable earnings (loss)		1,027,694

Net assets	$	5,672,238

Class I
Net asset value, offering and redemption price per share, $5,672,238 / 413,524 shares outstanding (unlimited amount authorized: $0.001 par value)	$	13.72

(x)

Includes value of securities on loan of $193,394.

STATEMENT OF OPERATIONS

For the Six Months Ended April 30, 2022 (Unaudited)


INVESTMENT INCOME
Dividends	$	58,319
Interest		13
Securities lending (net)		269

Total income		58,601

EXPENSES
Professional fees		19,552
Investment advisory fees		14,279
Registration and filing fees		9,943
Printing and mailing expenses		8,239
Transfer agent fees		6,447
Administrative fees		4,284
Custodian fees		2,181
Trustees’ fees		107
Miscellaneous		1,777

Gross expenses		66,809
Less: Waiver from investment adviser		(18,563	)
Reimbursement from investment adviser		(33,388	)

Net expenses		14,858

NET INVESTMENT INCOME (LOSS)		43,743

REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) on investments in securities		26,322
Net change in unrealized appreciation (depreciation) on investments in securities		(541,797	)

NET REALIZED AND UNREALIZED GAIN (LOSS)		(515,475	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	(471,732	)

See Notes to Financial Statements.

102

1290 FUNDS

1290 RETIREMENT 2060 FUND

STATEMENT OF CHANGES IN NET ASSETS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31, 2021
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS:
Net investment income (loss)	$	43,743		$	54,101
Net realized gain (loss)		26,322			56,769
Net change in unrealized appreciation (depreciation)		(541,797	)		1,161,954

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS		(471,732	)		1,272,824

Distributions to shareholders:
Class I		(116,998	)		(126,805	)

CAPITAL SHARES TRANSACTIONS:
Class I
Capital shares sold [ 47,621 and 60,936 shares, respectively ]		695,484			883,287
Capital shares issued in reinvestment of dividends [ 2,586 and 2,338 shares, respectively ]		38,949			29,954
Capital shares repurchased [ (8,758) and (15,498) shares, respectively ]		(131,363	)		(219,446	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE TRANSACTIONS		603,070			693,795

TOTAL INCREASE (DECREASE) IN NET ASSETS		14,340			1,839,814
NET ASSETS:
Beginning of period		5,657,898			3,818,084

End of period	$	5,672,238		$	5,657,898

See Notes to Financial Statements.

103

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1290 RETIREMENT 2060 FUND

FINANCIAL HIGHLIGHTS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,												February 27, 2017* to October 31, 2017
Class I	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			February 27, 2017* to October 31, 2017
Net asset value, beginning of period	$	15.21		$	11.77		$	12.38		$	11.07		$	11.03		$	10.00

Income (loss) from investment operations:
Net investment income (loss) (e)(x)		0.11			0.16			0.24			0.22			0.20			0.11
Net realized and unrealized gain (loss)		(1.29	)		3.66			(0.61	)		1.34			0.03			0.92

Total from investment operations		(1.18	)		3.82			(0.37	)		1.56			0.23			1.03

Less distributions:
Dividends from net investment income		(0.16	)		(0.22	)		(0.22	)		(0.21	)		(0.18	)		—
Distributions from net realized gains		(0.15	)		(0.16	)		(0.02	)		(0.04	)		(0.01	)		—

Total dividends and distributions		(0.31	)		(0.38	)		(0.24	)		(0.25	)		(0.19	)		—

Net asset value, end of period	$	13.72		$	15.21		$	11.77		$	12.38		$	11.07		$	11.03

Total return (b)		(7.93	)%		33.13	%		(3.11	)%		14.43	%		2.09	%		10.30	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	5,672		$	5,658		$	3,818		$	3,490		$	2,867		$	2,758
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.52	%(j)		0.52	%(j)		0.53	%**(j)		0.52	%(j)		0.52	%(j)		0.52	%(j)
Before waivers and reimbursements (a)(f)		2.34	%		3.24	%		4.31	%		4.83	%		5.27	%		5.25	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)(x)		1.53	%		1.13	%		2.01	%		1.93	%		1.73	%		1.52	%(l)
Before waivers and reimbursements (a)(f)(x)		(0.29	)%		(1.58	)%		(1.78	)%		(2.39	)%		(3.02	)%		(3.21	)%(l)
Portfolio turnover rate^		1	%(z)		4	%		9	%		2	%		2	%		1	%(z)

*	Commencement of Operations.

**	Includes Tax expense of 0.01%.

^	Portfolio turnover rate excludes derivatives, if any.

(a)

Ratios for periods less than one year are annualized. Certain non-recurring expenses incurred by the Fund are not annualized for periods less than one year.

(b)

Total returns for periods less than one year are not annualized.

(e)

Net investment income (loss) per share is based on average shares outstanding.

(f)

Expenses do not include the expenses of the underlying funds (“indirect expenses”), if applicable.

(j)

Including direct and indirect expenses, the net expense ratio after waivers and reimbursements would be 0.66% in 2020 and 0.65% in 2022,2021, 2019, 2018 and 2017.

(l)

The annualized ratio of net investment income to average net assets may not be indicative of operating results for a full year.

(x)

Recognition of net investment income is affected by the timing of dividend declarations by the underlying funds in which the Fund invests.

(z)

Portfolio turnover rate for periods less than one year is not annualized.

See Notes to Financial Statements.

104

1290 SMARTBETA EQUITY FUND (Unaudited)



Sector Weightings as of April 30, 2022	% of Net Assets
Financials		20.6	%
Information Technology		17.6
Industrials		14.9
Health Care		11.6
Consumer Staples		11.0
Communication Services		6.0
Consumer Discretionary		6.0
Utilities		3.6
Real Estate		3.0
Materials		2.9
Energy		1.1
Investment Company		0.5
Repurchase Agreement		0.2
Cash and Other		1.0

		100.0	%

Holdings are subject to change without notice.

UNDERSTANDING YOUR EXPENSES:

As a shareholder of the Fund, you incur two types of costs:

(1) transaction costs, including applicable sales charges and redemption fees; and (2) ongoing costs, including investment advisory fees, distribution and/or service (12b-1) fees (in the case of Class A, Class R and Class T shares of the Fund), and other Fund expenses. These examples are 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 examples are based on an investment of $1,000 invested at the beginning of the six-month period ended April 30, 2022 and held for the entire six-month period.

Actual Expenses

Hypothetical Example for Comparison Purposes

EXAMPLE



	Beginning Account Value 11/1/21		Ending Account Value 4/30/22		Expenses Paid During Period* 11/1/21 - 4/30/22
Class A
Actual		$1,000.00		$915.70		$5.23
Hypothetical (5% average annual return before expenses)		1,000.00		1,019.34		5.51
Class I
Actual		1,000.00		916.80		4.04
Hypothetical (5% average annual return before expenses)		1,000.00		1,020.58		4.26
Class R
Actual		1,000.00		914.60		6.41
Hypothetical (5% average annual return before expenses)		1,000.00		1,018.10		6.76
Class T
Actual		1,000.00		917.40		4.04
Hypothetical (5% average annual return before expenses)		1,000.00		1,020.58		4.26

* Expenses are equal to the Fund’s A, I, R and T shares annualized expense ratio of 1.10%, 0.85%, 1.35% and 0.85%, respectively, multiplied by the average account value over the period, and multiplied by 181/365 (to reflect the one-half year period).

105

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PORTFOLIO OF INVESTMENTS

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

COMMON STOCKS:
Communication Services (6.0%)
*Diversified Telecommunication Services (2.0%)*
AT&T, Inc.		45,700	$	861,902
BCE, Inc.		2,000		106,332
Nippon Telegraph & Telephone Corp.		8,500		251,100
Singapore Telecommunications Ltd.		67,600		134,365
Swisscom AG (Registered)		571		338,179
Verizon Communications, Inc.		30,300		1,402,890

				3,094,768

*Entertainment (0.2%)*
Netflix, Inc.*		971		184,840
Walt Disney Co. (The)*		1,400		156,282

				341,122

*Interactive Media & Services (2.5%)*
Alphabet, Inc., Class A*		1,400		3,195,066
Meta Platforms, Inc., Class A*		3,300		661,551

				3,856,617

*Media (0.8%)*
Charter Communications, Inc., Class A*		460		197,105
Comcast Corp., Class A		21,500		854,840
Quebecor, Inc., Class B		8,300		195,313

				1,247,258

*Wireless Telecommunication Services (0.5%)*
KDDI Corp.		7,000		232,088
Rogers Communications, Inc., Class B		4,800		261,475
SoftBank Corp.		14,300		166,178

				659,741

Total Communication Services				9,199,506

Consumer Discretionary (6.0%)
*Auto Components (0.1%)*
Bridgestone Corp.		4,800		175,686

*Automobiles (0.4%)*
Honda Motor Co. Ltd.		6,200		162,797
Toyota Motor Corp.		23,300		397,031

				559,828

*Household Durables (0.7%)*
Garmin Ltd.		6,000		658,440
Sekisui House Ltd.		17,200		296,641
Sony Group Corp.		2,300		197,688

				1,152,769

*Internet & Direct Marketing Retail (1.5%)*
Amazon.com, Inc.*		900		2,237,067

*Leisure Products (0.1%)*
Yamaha Corp.		2,300		88,285

*Multiline Retail (0.9%)*
Dollar General Corp.		2,000		475,060
Target Corp.		2,700		617,355
Wesfarmers Ltd.		10,269		354,182

				1,446,597


*Specialty Retail (1.8%)*
AutoZone, Inc.*		100		195,547
Home Depot, Inc. (The)		3,800		1,141,520
Lowe’s Cos., Inc.		3,300		652,509
O’Reilly Automotive, Inc.*		505		306,308
TJX Cos., Inc. (The)		4,800		294,144
Tractor Supply Co.		500		100,725

				2,690,753

*Textiles, Apparel & Luxury Goods (0.5%)*
LVMH Moet Hennessy Louis Vuitton SE		622		398,015
NIKE, Inc., Class B		2,500		311,750

				709,765

Total Consumer Discretionary				9,060,750

Consumer Staples (11.0%)
*Beverages (3.0%)*
Brown-Forman Corp., Class B		1,700		114,648
Carlsberg A/S, Class B		1,112		140,752
Coca-Cola Co. (The)		23,800		1,537,718
Diageo plc		7,117		352,683
Heineken NV		2,851		278,067
Keurig Dr Pepper, Inc.		10,132		378,937
PepsiCo, Inc.		9,800		1,682,758
Pernod Ricard SA		493		101,575

				4,587,138

*Food & Staples Retailing (2.3%)*
Costco Wholesale Corp.		2,568		1,365,457
George Weston Ltd.		1,000		124,407
Koninklijke Ahold Delhaize NV (x)		7,274		214,875
Loblaw Cos. Ltd.		2,500		228,681
Metro, Inc.		1,800		98,936
Tesco plc		29,714		100,943
Walmart, Inc.		9,000		1,376,910

				3,510,209

*Food Products (2.7%)*
Archer-Daniels-Midland Co.		15,300		1,370,268
General Mills, Inc.		8,600		608,278
Hershey Co. (The)		2,200		496,694
Kellogg Co.		7,700		527,450
McCormick & Co., Inc. (Non-Voting)		3,200		321,824
Nestle SA (Registered)		6,253		807,297

				4,131,811

*Household Products (2.4%)*
Church & Dwight Co., Inc.		3,300		321,948
Clorox Co. (The)		1,600		229,552
Colgate-Palmolive Co.		12,800		986,240
Essity AB, Class B		5,085		135,426
Kimberly-Clark Corp.		3,600		499,788
Procter & Gamble Co. (The)		9,600		1,541,280

				3,714,234

*Personal Products (0.6%)*
Estee Lauder Cos., Inc. (The), Class A		1,200		316,872
L’Oreal SA		776		282,309
Unilever plc (Cboe Europe)		4,078		189,998

See Notes to Financial Statements.

106

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PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

Unilever plc (London Stock Exchange)		1,300	$	60,382

				849,561

Total Consumer Staples				16,792,953

Energy (1.1%)
*Oil, Gas & Consumable Fuels (1.1%)*
Enbridge, Inc.		15,300		667,667
Equinor ASA		10,536		359,043
TC Energy Corp.		11,300		597,700

Total Energy				1,624,410

Financials (20.6%)
*Banks (6.3%)*
Bank Hapoalim BM		42,421		392,745
Bank Leumi Le-Israel BM		10,549		110,648
Bank of Montreal		4,400		466,527
Bank of Nova Scotia (The)		17,400		1,101,849
Canadian Imperial Bank of Commerce		6,300		696,475
Commonwealth Bank of Australia		1,326		96,064
DBS Group Holdings Ltd.		11,000		266,433
Israel Discount Bank Ltd., Class A		31,153		183,981
Japan Post Bank Co. Ltd.		21,900		165,593
JPMorgan Chase & Co.		7,600		907,136
Mitsubishi UFJ Financial Group, Inc.		48,200		280,131
Mizuho Financial Group, Inc.		28,360		344,666
National Bank of Canada		6,300		439,992
Oversea-Chinese Banking Corp. Ltd.		22,500		199,506
PNC Financial Services Group, Inc. (The)		1,800		298,980
Regions Financial Corp.		5,900		122,248
Royal Bank of Canada		11,500		1,161,503
Shizuoka Bank Ltd. (The)		21,900		141,960
Sumitomo Mitsui Financial Group, Inc.		10,000		301,036
Sumitomo Mitsui Trust Holdings, Inc.		10,700		331,474
Svenska Handelsbanken AB, Class A		12,505		126,054
Toronto-Dominion Bank (The)		18,000		1,300,136
United Overseas Bank Ltd.		9,800		210,025

				9,645,162

*Capital Markets (4.0%)*
Ameriprise Financial, Inc.		400		106,196
ASX Ltd.		7,512		451,499
Bank of New York Mellon Corp. (The)		4,300		180,858
BlackRock, Inc.		1,100		687,148
Brookfield Asset Management, Inc., Class A		1,900		94,774
CME Group, Inc.		2,500		548,350
Daiwa Securities Group, Inc.		40,500		198,152
Deutsche Boerse AG		2,051		359,485
FactSet Research Systems, Inc.		300		121,047
Intercontinental Exchange, Inc.		7,400		856,994
Moody’s Corp.		1,200		379,776
MSCI, Inc.		700		294,875
Nasdaq, Inc.		600		94,422
Northern Trust Corp.		4,200		432,810

S&P Global, Inc.		2,100		790,650
T. Rowe Price Group, Inc.		2,100		258,384
TMX Group Ltd.		1,900		193,439

				6,048,859

*Consumer Finance (0.6%)*
American Express Co.		4,300		751,253
Capital One Financial Corp.		2,100		261,702

				1,012,955

*Diversified Financial Services (1.5%)*
Berkshire Hathaway, Inc., Class B*		7,000		2,259,810

*Insurance (8.2%)*
Admiral Group plc		5,511		172,744
Aflac, Inc.		10,200		584,256
Allianz SE (Registered)		3,452		786,246
American International Group, Inc.		5,400		315,954
Aon plc, Class A		2,400		691,176
Arthur J Gallagher & Co.		2,000		336,980
Assicurazioni Generali SpA (x)		20,746		391,521
Brown & Brown, Inc.		1,700		105,366
Chubb Ltd.		2,800		578,060
Cincinnati Financial Corp.		800		98,128
Dai-ichi Life Holdings, Inc.		9,200		184,706
Gjensidige Forsikring ASA		4,392		94,262
Hannover Rueck SE		1,052		165,299
Hartford Financial Services Group, Inc. (The)		2,600		181,818
iA Financial Corp., Inc.		1,900		99,345
Intact Financial Corp.		3,000		419,694
Loews Corp.		1,700		106,828
Manulife Financial Corp.		23,400		457,563
Markel Corp.*		80		108,262
Marsh & McLennan Cos., Inc.		5,800		937,860
MetLife, Inc.		7,600		499,168
MS&AD Insurance Group Holdings, Inc.		8,500		254,016
Muenchener Rueckversicherungs-Gesellschaft AG in Muenchen (Registered)		1,338		320,170
NN Group NV		6,491		317,166
Poste Italiane SpA (m)		10,421		101,175
Power Corp. of Canada		3,400		100,043
Progressive Corp. (The)		4,400		472,384
Sompo Holdings, Inc.		9,600		391,470
Sun Life Financial, Inc.		13,400		666,636
Swiss Re AG		1,961		160,823
Tokio Marine Holdings, Inc.		6,600		356,168
Travelers Cos., Inc. (The)		7,000		1,197,420
Willis Towers Watson plc		500		107,430
Zurich Insurance Group AG		1,542		701,358

				12,461,495

Total Financials				31,428,281

Health Care (11.6%)
*Biotechnology (0.5%)*
Amgen, Inc.		1,206		281,227
CSL Ltd.		795		150,461
Gilead Sciences, Inc.		1,700		100,878
Regeneron Pharmaceuticals, Inc.*		300		197,733

				730,299

See Notes to Financial Statements.

107

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PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

*Health Care Equipment & Supplies (1.9%)*
Abbott Laboratories		9,400	$	1,066,900
Baxter International, Inc.		2,400		170,544
Becton Dickinson and Co.		1,300		321,347
Boston Scientific Corp.*		2,300		96,853
Carl Zeiss Meditec AG		1,148		145,000
Coloplast A/S, Class B		1,154		155,807
Edwards Lifesciences Corp.*		3,400		359,652
Hologic, Inc.*		2,500		179,975
Hoya Corp.		1,000		99,629
IDEXX Laboratories, Inc.*		562		241,930
ResMed, Inc.		600		119,982

				2,957,619

*Health Care Providers & Services (2.3%)*
AmerisourceBergen Corp.		1,200		181,548
Anthem, Inc.		1,100		552,123
Cigna Corp.		1,800		444,204
HCA Healthcare, Inc.		1,200		257,460
Laboratory Corp. of America Holdings*		700		168,196
McKesson Corp.		1,300		402,493
Quest Diagnostics, Inc.		700		93,688
Sonic Healthcare Ltd.		5,021		128,766
UnitedHealth Group, Inc.		2,500		1,271,375

				3,499,853

*Life Sciences Tools & Services (2.2%)*
Agilent Technologies, Inc.		3,500		417,445
Danaher Corp.		4,200		1,054,746
Mettler-Toledo International, Inc.*		200		255,506
Thermo Fisher Scientific, Inc.		2,000		1,105,840
Waters Corp.*		900		272,718
West Pharmaceutical Services, Inc.		900		283,554

				3,389,809

*Pharmaceuticals (4.7%)*
Astellas Pharma, Inc.		7,500		114,190
Bristol-Myers Squibb Co.		3,400		255,918
Eli Lilly and Co.		2,400		701,112
GlaxoSmithKline plc		11,219		252,619
Johnson & Johnson		9,900		1,786,554
Merck & Co., Inc.		10,300		913,507
Merck KGaA		924		171,352
Novartis AG (Registered)		5,261		465,427
Novo Nordisk A/S, Class B		4,065		464,922
Pfizer, Inc.		5,100		250,257
Roche Holding AG		1,785		661,104
Sanofi		1,405		147,878
Shionogi & Co. Ltd.		1,800		100,615
Zoetis, Inc.		4,600		815,350

				7,100,805

Total Health Care				17,678,385

Industrials (14.9%)
*Aerospace & Defense (1.4%)*
General Dynamics Corp.		3,100		733,243
Lockheed Martin Corp.		2,200		950,664
Northrop Grumman Corp.		1,100		483,340

				2,167,247


*Air Freight & Logistics (0.8%)*
Deutsche Post AG (Registered)		4,680		202,024
Expeditors International of Washington, Inc.		4,800		475,536
United Parcel Service, Inc., Class B		2,700		485,946

				1,163,506

*Building Products (1.2%)*
Allegion plc		5,500		628,320
Assa Abloy AB, Class B		6,231		157,196
Daikin Industries Ltd.		1,000		153,760
Geberit AG (Registered)		249		142,083
Johnson Controls International plc		5,800		347,246
Trane Technologies plc		2,600		363,714

				1,792,319

*Commercial Services & Supplies (0.4%)*
Brambles Ltd.		14,150		104,490
Cintas Corp.		500		198,630
Copart, Inc.*		1,507		171,271
Secom Co. Ltd.		2,500		176,365

				650,756

*Construction & Engineering (0.1%)*
Skanska AB, Class B		5,073		96,725
WSP Global, Inc.		900		104,961

				201,686

*Electrical Equipment (1.6%)*
Eaton Corp. plc		4,900		710,598
Emerson Electric Co.		11,500		1,037,070
Rockwell Automation, Inc.		1,300		328,471
Schneider Electric SE		2,328		331,563

				2,407,702

*Industrial Conglomerates (1.4%)*
3M Co.		9,800		1,413,356
Honeywell International, Inc.		2,800		541,828
Siemens AG (Registered)		2,011		250,138

				2,205,322

*Machinery (3.0%)*
Atlas Copco AB, Class A		8,920		403,949
Caterpillar, Inc.		1,800		378,972
Cummins, Inc.		1,000		189,190
Deere & Co.		1,300		490,815
Dover Corp.		2,600		346,580
Epiroc AB, Class A		4,626		94,079
Illinois Tool Works, Inc.		4,800		946,128
Knorr-Bremse AG		1,509		108,729
Kone OYJ, Class B		2,205		105,806
PACCAR, Inc.		7,181		596,382
Pentair plc		5,900		299,425
SKF AB, Class B		5,578		90,523
Snap-on, Inc.		1,600		339,984
Volvo AB, Class B		12,291		195,063

				4,585,625

*Marine (0.1%)*
Kuehne + Nagel International AG (Registered)		464		130,111

See Notes to Financial Statements.

108

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PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

*Professional Services (0.9%)*
Jacobs Engineering Group, Inc.		1,400	$	193,970
Robert Half International, Inc.		1,000		98,310
Teleperformance		337		120,491
TransUnion		1,000		87,520
Verisk Analytics, Inc.		1,600		326,480
Wolters Kluwer NV		4,825		488,050

				1,314,821

*Road & Rail (2.0%)*
Canadian National Railway Co.		5,900		693,864
Canadian Pacific Railway Ltd.		7,000		512,038
CSX Corp.		6,770		232,482
Norfolk Southern Corp.		1,200		309,456
Old Dominion Freight Line, Inc.		2,100		588,252
Union Pacific Corp.		3,000		702,870

				3,038,962

*Trading Companies & Distributors (2.0%)*
Brenntag SE		4,227		329,861
Fastenal Co.		12,442		688,167
ITOCHU Corp.		17,800		538,472
Mitsubishi Corp.		15,300		513,413
Mitsui & Co. Ltd.		9,500		230,231
Toromont Industries Ltd.		1,300		114,441
Toyota Tsusho Corp.		4,400		158,549
WW Grainger, Inc.		800		400,024

				2,973,158

Total Industrials				22,631,215

Information Technology (17.6%)
*Communications Equipment (0.8%)*
Cisco Systems, Inc.		18,194		891,142
Motorola Solutions, Inc.		1,400		299,166

				1,190,308

*Electronic Equipment, Instruments & Components (0.9%)*
Amphenol Corp., Class A		8,700		622,050
CDW Corp.		4,400		717,992
Kyocera Corp.		2,400		126,893

				1,466,935

*IT Services (3.7%)*
Accenture plc, Class A		3,500		1,051,260
Automatic Data Processing, Inc.		4,011		875,120
Broadridge Financial Solutions, Inc.		700		100,891
Cognizant Technology Solutions Corp., Class A		2,209		178,708
Fiserv, Inc.*		2,300		225,216
Gartner, Inc.*		400		116,220
Mastercard, Inc., Class A		2,400		872,112
Paychex, Inc.		2,859		362,321
VeriSign, Inc.*		1,395		249,273
Visa, Inc., Class A		6,000		1,278,780
Western Union Co. (The)		18,100		303,356

				5,613,257

*Semiconductors & Semiconductor Equipment (2.5%)*
Applied Materials, Inc.		3,872		427,275
ASML Holding NV		1,049		593,491
Intel Corp.		11,802		514,449
KLA Corp.		500		159,630

NXP Semiconductors NV		1,021		174,489
QUALCOMM, Inc.		2,200		307,318
Texas Instruments, Inc.		9,467		1,611,757

				3,788,409

*Software (5.2%)*
Adobe, Inc.*		1,874		742,010
ANSYS, Inc.*		330		90,978
Cadence Design Systems, Inc.*		1,400		211,190
Intuit, Inc.		1,275		533,906
Microsoft Corp.		16,810		4,665,111
Oracle Corp.		13,900		1,020,260
SAP SE		3,430		353,781
Synopsys, Inc.*		1,000		286,790

				7,904,026

*Technology Hardware, Storage & Peripherals (4.5%)*
Apple, Inc.		38,404		6,054,390
Canon, Inc.		10,500		241,270
FUJIFILM Holdings Corp.		3,700		204,351
HP, Inc.		7,000		256,410
NetApp, Inc.		1,400		102,550

				6,858,971

Total Information Technology				26,821,906

Materials (2.9%)
*Chemicals (2.2%)*
BASF SE*		6,433		341,962
Corteva, Inc.		10,800		623,052
Covestro AG (m)		2,117		92,188
Givaudan SA (Registered)		84		333,801
Nitto Denko Corp.		1,900		127,577
Novozymes A/S, Class B		2,091		145,282
Nutrien Ltd.		3,600		353,765
Sherwin-Williams Co. (The)		2,900		797,384
Sika AG (Registered)		505		153,560
Symrise AG		2,778		332,159
Yara International ASA (x)		2,537		129,027

				3,429,757

*Metals & Mining (0.7%)*
BHP Group Ltd.		7,744		260,282
Franco-Nevada Corp.		1,200		181,478
Rio Tinto Ltd.		2,153		170,656
Rio Tinto plc		3,125		221,662
Wheaton Precious Metals Corp.		4,100		183,769

				1,017,847

Total Materials				4,447,604

Real Estate (3.0%)
*Equity Real Estate Investment Trusts (REITs) (2.8%)*
American Tower Corp. (REIT)		2,800		674,856
AvalonBay Communities, Inc. (REIT)		700		159,236
Crown Castle International Corp. (REIT)		3,500		648,235
Dexus (REIT)		44,644		347,866
Duke Realty Corp. (REIT)		3,100		169,725
Equity Residential (REIT)		3,400		277,100
Essex Property Trust, Inc. (REIT)		400		131,708
Goodman Group (REIT)		7,429		123,567

See Notes to Financial Statements.

109

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PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



	Number of Shares		Value (Note 1)

Japan Real Estate Investment Corp. (REIT)		37	$	178,827
Mid-America Apartment Communities, Inc. (REIT)		900		177,012
Prologis, Inc. (REIT)		4,500		721,305
Public Storage (REIT)		1,000		371,500
Realty Income Corp. (REIT)		2,000		138,720
Weyerhaeuser Co. (REIT)		4,500		185,490

				4,305,147

*Real Estate Management & Development (0.2%)*
Mitsubishi Estate Co. Ltd.		9,200		133,256
Swiss Prime Site AG (Registered)		1,335		130,652

				263,908

Total Real Estate				4,569,055

Utilities (3.6%)
*Electric Utilities (1.4%)*
EDP - Energias de Portugal SA		55,412		257,981
Enel SpA		46,107		297,992
Eversource Energy		6,900		603,060
Iberdrola SA		32,488		371,199
Power Assets Holdings Ltd.		15,500		104,144
Red Electrica Corp. SA		5,446		109,430
Terna - Rete Elettrica Nazionale		58,178		473,878

				2,217,684

*Gas Utilities (0.5%)*
Atmos Energy Corp.		4,100		464,940
Osaka Gas Co. Ltd.		5,500		99,298
Snam SpA		32,906		180,579

				744,817

*Multi-Utilities (1.5%)*
CMS Energy Corp.		2,600		178,594
Consolidated Edison, Inc.		5,600		519,344
E.ON SE		33,023		346,101
National Grid plc		11,977		178,076
Sempra Energy		5,300		855,208
WEC Energy Group, Inc.		1,700		170,085

				2,247,408

*Water Utilities (0.2%)*
American Water Works Co., Inc.		2,100		323,568

Total Utilities				5,533,477

Total Common Stocks (98.3%) (Cost $146,489,637)				149,787,542

SHORT-TERM INVESTMENTS:
Investment Company (0.5%)
JPMorgan Prime Money Market Fund, IM Shares		749,942		750,167

	Principal Amount		Value (Note 1)

Repurchase Agreement (0.2%)
Deutsche Bank Securities, Inc., 0.26%, dated 4/29/22, due 5/2/22, repurchase price $331,890, collateralized by various U.S. Government Treasury Securities, 0.000%, maturing 5/15/22-11/15/51; total market value $338,520. (xx)	$	331,883		331,883

Total Short-Term Investments (0.7%) (Cost $1,082,050)				1,082,050

Total Investments in Securities (99.0%) (Cost $147,571,687)				150,869,592
Other Assets Less Liabilities (1.0%)				1,507,142

Net Assets (100%)			$	152,376,734

*	Non-income producing.

(m)

(x)

All or a portion of security is on loan at April 30, 2022.

(xx)

At April 30, 2022, the Portfolio had loaned securities with a total value of $506,514. This was collateralized by $208,986 of various U.S. Government Treasury Securities, ranging from 0.375% - 4.500%, maturing 7/15/23 - 11/15/49 and by cash of $331,883 which was subsequently invested in joint repurchase agreements as detailed in the Notes to the Financial Statements.

Glossary:

AUD

— Australian Dollar

CAD

— Canadian Dollar

CHF

— Swiss Franc

DKK

— Denmark Krone

EUR

— European Currency Unit

GBP

— British Pound

HKD

— Hong Kong Dollar

ILS

— Israeli Shekel

JPY

— Japanese Yen

NOK

— Norwegian Krone

NZD

— New Zealand Dollar

SEK

— Swedish Krona

SGD

— Singapore Dollar

USD

— United States Dollar

See Notes to Financial Statements.

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PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)



Country Diversification As a Percentage of Total Net Assets
Australia	1.6	%
Brazil	0.2
Canada	7.5
China	0.1
Denmark	0.6
Finland	0.1
France	0.7
Germany	2.8
Hong Kong	0.1
Israel	0.5
Italy	0.9
Japan	5.3
Netherlands	1.2
Norway	0.3
Portugal	0.2
Singapore	0.5
Spain	0.3
Sweden	0.9
Switzerland	2.5
United Kingdom	0.7
United States	72.0
Cash and Other	1.0

	100.0	%

Foreign cash on the statement of assets and liabilities is maintained at JPMorgan or its affiliates and is comprised of the following (in USD): AUD 34,066, CAD 36,762, CHF 2,056, DKK 9,687, EUR 73,675, GBP 246,726, HKD 144,728, ILS 85,805, JPY 143,391, NOK 4,828, NZD 5,719, SEK 20,216 and SGD 118,761.

The following is a summary of the inputs, summarized in three broad levels, used to value the Fund’s assets and liabilities carried at fair value as of April 30, 2022:

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.



Investment Type	Level 1 Quoted Prices in Active Markets for Identical Securities		Level 2 Significant Other Observable Inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)		Level 3 Significant Unobservable Inputs (including the Fund’s own assumptions in determining the fair value of investments)		Total
Assets:
Common Stocks
Communication Services	$	8,077,596	$	1,121,910	$	—	$	9,199,506
Consumer Discretionary		6,990,425		2,070,325		—		9,060,750
Consumer Staples		14,128,646		2,664,307		—		16,792,953
Energy		1,265,367		359,043		—		1,624,410
Financials		22,871,705		8,556,576		—		31,428,281
Health Care		14,620,615		3,057,770		—		17,678,385
Industrials		17,509,544		5,121,671		—		22,631,215
Information Technology		25,302,120		1,519,786		—		26,821,906
Materials		2,139,448		2,308,156		—		4,447,604
Real Estate		3,654,887		914,168		—		4,569,055
Utilities		3,114,799		2,418,678		—		5,533,477
Short-Term Investments
Investment Company		750,167		—		—		750,167
Repurchase Agreement		—		331,883		—		331,883

Total Assets	$	120,425,319	$	30,444,273	$	—	$	150,869,592

Total Liabilities	$	—	$	—	$	—	$	—

Total	$	120,425,319	$	30,444,273	$	—	$	150,869,592

See Notes to Financial Statements.

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PORTFOLIO OF INVESTMENTS (Continued)

April 30, 2022 (Unaudited)

Investment security transactions for the six months ended April 30, 2022 were as follows:


Cost of Purchases:
Long-term investments other than U.S. government debt securities	$	57,123,377
Net Proceeds of Sales and Redemptions:
Long-term investments other than U.S. government debt securities	$	21,211,879


Aggregate gross unrealized appreciation	$	10,719,296
Aggregate gross unrealized depreciation		(7,696,386	)

Net unrealized appreciation	$	3,022,910

Federal income tax cost of investments in securities and derivative instruments, if applicable	$	147,846,682

See Notes to Financial Statements.

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STATEMENT OF ASSETS AND LIABILITIES

April 30, 2022 (Unaudited)


ASSETS
Investments in Securities, at value (x)
Unaffiliated Issuers (Cost $147,239,804)	$	150,537,709
Repurchase Agreements (Cost $331,883)		331,883
Cash		390,600
Foreign cash (Cost $961,974)		926,420
Receivable for Fund shares sold		1,179,141
Receivable for securities sold		411,674
Dividends, interest and other receivables		312,227
Prepaid registration and filing fees		29,550
Securities lending income receivable		58

Total assets		154,119,262

LIABILITIES
Payable for securities purchased		963,805
Payable for return of collateral on securities loaned		331,883
Payable for Fund shares redeemed		311,389
Investment advisory fees payable		54,135
Administrative fees payable		19,437
Transfer agent fees payable		12,318
Distribution fees payable – Class A		1,036
Trustees’ fees payable		612
Distribution fees payable – Class R		531
Accrued expenses		47,382

Total liabilities		1,742,528

NET ASSETS	$	152,376,734

Net assets were comprised of:
Paid in capital	$	148,586,539
Total distributable earnings (loss)		3,790,195

Net assets	$	152,376,734

Class A
Net asset value and redemption price per share, $4,838,134 / 322,068 shares outstanding (unlimited amount authorized: $0.001 par value)	$	15.02
Maximum sales charge (5.50% of offering price)		0.87

Maximum offering price per share	$	15.89

Class I
Net asset value, offering and redemption price per share, $146,142,335 / 9,708,874 shares outstanding (unlimited amount authorized: $0.001 par value)	$	15.05

Class R
Net asset value, offering and redemption price per share, $1,240,799 / 82,753 shares outstanding (unlimited amount authorized: $0.001 par value)	$	14.99

Class T**
Net asset value and redemption price per share, $155,466 / 10,332 shares outstanding (unlimited amount authorized: $0.001 par value)	$	15.05
Maximum sales charge (2.50% of offering price)		0.39

Maximum offering price per share	$	15.44

**	Class T shares currently are not offered for sale.

(x)

Includes value of securities on loan of $506,514.

STATEMENT OF OPERATIONS

For the Six Months Ended April 30, 2022 (Unaudited)


INVESTMENT INCOME
Dividends (net of $88,289 foreign withholding tax)	$	1,414,119
Securities lending (net)		58

Total income		1,414,177

EXPENSES
Investment advisory fees		504,430
Administrative fees		108,092
Transfer agent fees		78,526
Professional fees		39,159
Registration and filing fees		24,214
Printing and mailing expenses		23,733
Custodian fees		15,537
Distribution fees – Class A		6,235
Distribution fees – Class R		2,857
Trustees’ fees		2,630
Interest expense		338
Distribution fees – Class T**		211
Miscellaneous		15,566

Gross expenses		821,528
Less: Waiver from investment adviser		(199,911	)
Waiver from distributor		(211	)

Net expenses		621,406

NET INVESTMENT INCOME (LOSS)		792,771

REALIZED AND UNREALIZED GAIN (LOSS)
Realized gain (loss) on:
Investments in securities		193,880
Foreign currency transactions		(6,280	)

Net realized gain (loss)		187,600

Change in unrealized appreciation (depreciation) on:
Investments in securities		(14,139,928	)
Foreign currency translations		(50,458	)

Net change in unrealized appreciation (depreciation)		(14,190,386	)

NET REALIZED AND UNREALIZED GAIN (LOSS)		(14,002,786	)

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	(13,210,015	)

**	Class T shares currently are not offered for sale.

See Notes to Financial Statements.

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STATEMENT OF CHANGES IN NET ASSETS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31, 2021
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS:
Net investment income (loss)	$	792,771		$	1,062,547
Net realized gain (loss)		187,600			8,608,441
Net change in unrealized appreciation (depreciation)		(14,190,386	)		13,571,896

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS		(13,210,015	)		23,242,884

Distributions to shareholders:
Class A		(351,607	)		(40,097	)
Class I		(9,465,365	)		(773,942	)
Class R		(71,605	)		(2,846	)
Class T**		(13,147	)		(2,027	)

Total distributions to shareholders		(9,901,724	)		(818,912	)

CAPITAL SHARES TRANSACTIONS:
Class A
Capital shares sold [ 29,990 and 72,644 shares, respectively ]		493,136			1,161,775
Capital shares issued in reinvestment of dividends [ 20,966 and 2,635 shares, respectively ]		351,607			38,322
Capital shares repurchased [ (11,610) and (38,308) shares, respectively ]		(194,590	)		(619,414	)

Total Class A transactions		650,153			580,683

Class I
Capital shares sold [ 3,104,358 and 5,685,167 shares, respectively ]		50,851,647			91,584,341
Capital shares issued in reinvestment of dividends [ 563,723 and 40,091 shares, respectively ]		9,464,904			583,327
Capital shares repurchased [ (999,481) and (2,182,924) shares, respectively ]		(16,385,876	)		(35,774,883	)

Total Class I transactions		43,930,675			56,392,785

Class R
Capital shares sold [ 29,161 and 50,673 shares, respectively ]		483,876			835,353
Capital shares issued in reinvestment of dividends [ 4,275 and 100 shares, respectively ]		71,605			1,448
Capital shares repurchased [ (3,997) and (15,174) shares, respectively ]		(64,669	)		(246,722	)

Total Class R transactions		490,812			590,079

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE TRANSACTIONS		45,071,640			57,563,547

TOTAL INCREASE (DECREASE) IN NET ASSETS		21,959,901			79,987,519
NET ASSETS:
Beginning of period		130,416,833			50,429,314

End of period	$	152,376,734		$	130,416,833

** Class T shares currently are not offered for sale.

See Notes to Financial Statements.

114

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FINANCIAL HIGHLIGHTS


	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class A	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	17.61		$	13.34		$	13.34		$	12.09		$	12.23		$	10.25

Income (loss) from investment operations:
Net investment income (loss) (e)		0.07			0.14			0.14			0.15			0.15			0.13
Net realized and unrealized gain (loss)		(1.42	)		4.29			0.14			1.67			0.06			1.96

Total from investment operations		(1.35	)		4.43			0.28			1.82			0.21			2.09

Less distributions:
Dividends from net investment income		(0.13	)		(0.08	)		(0.13	)		(0.14	)		(0.15	)		(0.11	)
Distributions from net realized gains		(1.11	)		(0.08	)		(0.15	)		(0.43	)		(0.20	)		—

Total dividends and distributions		(1.24	)		(0.16	)		(0.28	)		(0.57	)		(0.35	)		(0.11	)

Net asset value, end of period	$	15.02		$	17.61		$	13.34		$	13.34		$	12.09		$	12.23

Total return (b)		(8.43	)%		33.49	%		2.07	%		15.81	%		1.64	%		20.58	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	4,838		$	4,978		$	3,278		$	2,014		$	1,123		$	685
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		1.10	%*		1.10	%		1.14	%		1.15	%		1.15	%		1.20	%
Before waivers and reimbursements (a)(f)		1.38	%*		1.48	%		1.83	%		2.26	%		2.42	%		2.77	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)		0.84	%		0.89	%		1.04	%		1.19	%		1.21	%		1.17	%
Before waivers and reimbursements (a)(f)		0.56	%		0.51	%		0.35	%		0.08	%		(0.06	)%		(0.41	)%
Portfolio turnover rate^		15	%(z)		59	%		42	%		31	%		49	%		41	%

	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class I	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	17.66		$	13.37		$	13.37		$	12.11		$	12.25		$	10.27

Income (loss) from investment operations:
Net investment income (loss) (e)		0.09			0.19			0.17			0.19			0.18			0.17
Net realized and unrealized gain (loss)		(1.42	)		4.29			0.14			1.67			0.06			1.95

Total from investment operations		(1.33	)		4.48			0.31			1.86			0.24			2.12

Less distributions:
Dividends from net investment income		(0.17	)		(0.11	)		(0.16	)		(0.17	)		(0.18	)		(0.14	)
Distributions from net realized gains		(1.11	)		(0.08	)		(0.15	)		(0.43	)		(0.20	)		—

Total dividends and distributions		(1.28	)		(0.19	)		(0.31	)		(0.60	)		(0.38	)		(0.14	)

Net asset value, end of period	$	15.05		$	17.66		$	13.37		$	13.37		$	12.11		$	12.25

Total return (b)		(8.32	)%		33.87	%		2.30	%		16.16	%		1.86	%		20.85	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	146,142		$	124,320		$	46,777		$	23,959		$	16,340		$	14,158
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.85	%*		0.85	%		0.89	%		0.90	%		0.90	%		0.96	%
Before waivers and reimbursements (a)(f)		1.13	%*		1.23	%		1.58	%		2.02	%		2.16	%		2.49	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)		1.11	%		1.16	%		1.27	%		1.49	%		1.47	%		1.48	%
Before waivers and reimbursements (a)(f)		0.84	%		0.78	%		0.58	%		0.37	%		0.21	%		(0.05	)%
Portfolio turnover rate^		15	%(z)		59	%		42	%		31	%		49	%		41	%

See Notes to Financial Statements.

115

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FINANCIAL HIGHLIGHTS (Continued)


Class R	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class R	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	17.56		$	13.30		$	13.31		$	12.06		$	12.20		$	10.23

Income (loss) from investment operations:
Net investment income (loss) (e)		0.05			0.10			0.10			0.12			0.12			0.11
Net realized and unrealized gain (loss)		(1.42	)		4.29			0.14			1.67			0.06			1.94

Total from investment operations		(1.37	)		4.39			0.24			1.79			0.18			2.05

Less distributions:
Dividends from net investment income		(0.09	)		(0.05	)		(0.10	)		(0.11	)		(0.12	)		(0.08	)
Distributions from net realized gains		(1.11	)		(0.08	)		(0.15	)		(0.43	)		(0.20	)		—

Total dividends and distributions		(1.20	)		(0.13	)		(0.25	)		(0.54	)		(0.32	)		(0.08	)

Net asset value, end of period	$	14.99		$	17.56		$	13.30		$	13.31		$	12.06		$	12.20

Total return (b)		(8.54	)%		33.21	%		1.75	%		15.55	%		1.39	%		20.21	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	1,241		$	936		$	236		$	151		$	136		$	137
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		1.35	%*		1.35	%		1.39	%		1.40	%		1.40	%		1.46	%
Before waivers and reimbursements (a)(f)		1.63	%*		1.73	%		2.09	%		2.52	%		2.66	%		2.98	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)		0.62	%		0.64	%		0.77	%		1.00	%		0.98	%		0.98	%
Before waivers and reimbursements (a)(f)		0.34	%		0.26	%		0.07	%		(0.12	)%		(0.29	)%		(0.54	)%
Portfolio turnover rate^		15	%(z)		59	%		42	%		31	%		49	%		41	%

Class T**	Six Months Ended April 30, 2022 (Unaudited)			Year Ended October 31,
Class T**	Six Months Ended April 30, 2022 (Unaudited)			2021			2020			2019			2018			2017
Net asset value, beginning of period	$	17.65		$	13.37		$	13.37		$	12.11		$	12.25		$	10.27

Income (loss) from investment operations:
Net investment income (loss) (e)		0.09			0.18			0.17			0.19			0.18			0.17
Net realized and unrealized gain (loss)		(1.41	)		4.29			0.14			1.67			0.06			1.95

Total from investment operations		(1.32	)		4.47			0.31			1.86			0.24			2.12

Less distributions:
Dividends from net investment income		(0.17	)		(0.11	)		(0.16	)		(0.17	)		(0.18	)		(0.14	)
Distributions from net realized gains		(1.11	)		(0.08	)		(0.15	)		(0.43	)		(0.20	)		—

Total dividends and distributions		(1.28	)		(0.19	)		(0.31	)		(0.60	)		(0.38	)		(0.14	)

Net asset value, end of period	$	15.05		$	17.65		$	13.37		$	13.37		$	12.11		$	12.25

Total return (b)		(8.26	)%		33.79	%		2.30	%		16.16	%		1.86	%		20.85	%

Ratios/Supplemental Data:
Net assets, end of period (000’s)	$	155		$	182		$	138		$	138		$	125		$	127
Ratio of expenses to average net assets:
After waivers and reimbursements (a)(f)		0.85	%*		0.85	%		0.90	%		0.90	%		0.90	%		0.96	%
Before waivers and reimbursements (a)(f)		1.38	%*		1.48	%		1.84	%		2.27	%		2.41	%		2.96	%
Ratio of net investment income (loss) to average net assets:
After waivers and reimbursements (a)(f)		1.08	%		1.14	%		1.28	%		1.50	%		1.47	%		1.48	%
Before waivers and reimbursements (a)(f)		0.55	%		0.50	%		0.33	%		0.13	%		(0.04	)%		(0.52	)%
Portfolio turnover rate^		15	%(z)		59	%		42	%		31	%		49	%		41	%

See Notes to Financial Statements.

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FINANCIAL HIGHLIGHTS (Continued)

*	Includes Interest Expense of less than 0.005%.

**	Class T shares currently are not offered for sale. Class T shares were formerly known as Class C Shares.

^	Portfolio turnover rate excludes derivatives, if any.

(a)

Ratios for periods less than one year are annualized.

(b)

Total returns for periods less than one year are not annualized.

(e)

Net investment income (loss) per share is based on average shares outstanding.

(f)

Expenses do not include the expenses of the underlying funds (“indirect expenses”), if applicable.

(z)

Portfolio turnover rate for periods less than one year is not annualized.

See Notes to Financial Statements.

117

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NOTES TO FINANCIAL STATEMENTS

April 30, 2022 (Unaudited)

Note 1

Organization and Significant Accounting Policies

1290 Funds (the “Trust”) was organized as a Delaware statutory trust on March 1, 2013 and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open- end management investment company with fifteen diversified funds in operation (each, a “Fund” and collectively, the “Funds”). The investment adviser to each Fund is Equitable Investment Management Group, LLC (“EIM” or the “Adviser”), a wholly-owned subsidiary of Equitable Financial Life Insurance Company (“Equitable Financial”).

Each of the investment sub-advisers (each a “Sub-Adviser”) independently chooses and maintains a portfolio of securities for their respective Fund.

The 1290 Retirement 2020 Fund, 1290 Retirement 2025 Fund, 1290 Retirement 2030 Fund, 1290 Retirement 2035 Fund, 1290 Retirement 2040 Fund, 1290 Retirement 2045 Fund, 1290 Retirement 2050 Fund, 1290 Retirement 2055 Fund and the 1290 Retirement 2060 Fund (each, a “1290 Retirement Fund” and together, the “1290 Retirement Funds”) as well as 1290 Multi- Alternative Strategies Fund are types of mutual funds often described as “fund-of-funds.” These Funds pursue their investment objectives by investing exclusively in other unaffiliated investment companies or exchange-traded funds (“ETFs”). The underlying funds’ financial statements are included in each underlying fund’s annual report, which is filed with the SEC on Form N-CSR and are publicly available through the SEC’s EDGAR database (https://www.sec.gov/edgar/searchedgar/ companysearch.html).

The Trust has authorized four classes of shares, Class A, Class I, Class R and Class T on behalf of each of the fifteen Funds. Class T shares are currently not offered for sale. Additionally, 1290 Retirement Funds currently only offer Class I shares for sale.

The Class A, Class R and Class T shares are subject to distribution fees imposed under distribution plans (“Distribution Plans”) adopted pursuant to Rule 12b-1 under the 1940 Act. Under the Trust’s multiple-class distribution system, all four classes of shares have identical voting, dividend, liquidation and other rights, other than the payment of distribution fees under the applicable Distribution Plan.

Additionally, Class A shares are sold at a maximum front-end sales charge of up to 4.50% for 1290 Diversified Bond Fund and 1290 High Yield Bond Fund, and up to 5.50% for 1290 DoubleLine Dynamic Allocation Fund, 1290 GAMCO Small/Mid Cap Value Fund, 1290 Multi-Alternative Strategies Fund, 1290 SmartBeta Equity Fund and each 1290 Retirement Fund. Class A shares sold without a front-end sales charge are subject to a contingent deferred sales charge (“CDSC”) of 1% of the lesser of the original net asset value (“NAV”) of the redeemed shares at the time of purchase or the aggregate NAV of the redeemed shares at the time of redemption, if redeemed within 12 months of purchase. Class T shares are subject to a maximum front-end sales charge of up to 2.50%.

On March 2, 2022, EIM redeemed capital out of the 1290 High Yield Bond Fund, 1290 Retirement 2020 Fund, 1290 Retirement 2030 Fund, and 1290 Retirement 2035 Fund in the amount of $5,000,000, $1,500,000, $1,600,000, and $1,700,000, respectively, for Class I shares.

The investment objectives of each Fund are as follows:

1290 Diversified Bond Fund (sub-advised by Brandywine Global Investment Management, LLC) — Seeks to maximize total return consisting of income and capital appreciation.

1290 DoubleLine Dynamic Allocation Fund (sub-advised by DoubleLine Capital LP) — Seeks to achieve total return from long-term capital appreciation and income. (Please refer to Note 7 - Subsequent Events in the Notes to Financial Statements.)

1290 GAMCO Small/Mid Cap Value Fund (sub-advised by GAMCO Asset Management Inc.) — Seeks to maximize capital appreciation.

1290 High Yield Bond Fund (sub-advised by AXA Investment Managers US Inc.) — Seeks to maximize current income. Effective January 1, 2022, AXA Investment Managers, Inc., the Sub-Adviser, was renamed AXA Investment Managers US Inc.

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1290 Multi-Alternative Strategies Fund — Seeks long-term growth of capital.

1290 Retirement 2020 Fund — Seeks the highest total return over time consistent with its asset mix while managing portfolio volatility. Total return includes capital growth and income.

1290 Retirement 2025 Fund — Seeks the highest total return over time consistent with its asset mix while managing portfolio volatility. Total return includes capital growth and income.

1290 Retirement 2030 Fund — Seeks the highest total return over time consistent with its asset mix while managing portfolio volatility. Total return includes capital growth and income.

1290 Retirement 2035 Fund — Seeks the highest total return over time consistent with its asset mix while managing portfolio volatility. Total return includes capital growth and income.

1290 Retirement 2040 Fund — Seeks the highest total return over time consistent with its asset mix while managing portfolio volatility. Total return includes capital growth and income.

1290 Retirement 2045 Fund — Seeks the highest total return over time consistent with its asset mix while managing portfolio volatility. Total return includes capital growth and income.

1290 Retirement 2050 Fund — Seeks the highest total return over time consistent with its asset mix while managing portfolio volatility. Total return includes capital growth and income.

1290 Retirement 2055 Fund — Seeks the highest total return over time consistent with its asset mix while managing portfolio volatility. Total return includes capital growth and income.

1290 Retirement 2060 Fund — Seeks the highest total return over time consistent with its asset mix while managing portfolio volatility. Total return includes capital growth and income.

1290 SmartBeta Equity Fund (sub-advised by AXA Investment Managers US Inc.) — Seeks to achieve long-term capital appreciation. Prior to January 1, 2022, AXA Rosenberg Investment Management LLC, an affiliated investment adviser of AXA Investment Managers, Inc., was the sub-adviser to the 1290 SmartBeta Equity Fund. Effective January 1, 2022, AXA Rosenberg Investment Management LLC was merged into AXA Investment Managers US Inc.

The following is a summary of the significant accounting policies of the Trust:

The preparation of financial statements in accordance with United States of America generally accepted accounting principles (“U.S. GAAP”) requires management to make estimates and assumptions that affect the reported amounts and disclosures. Actual results could differ from those estimates. The Funds are investment companies and, accordingly, follow the Investment Company accounting and reporting guidance of the Financial Accounting Standards Board Accounting Standards Codification Topic 946 — Investment Companies, which is part of U.S. GAAP.

Valuation:

Equity securities (including securities issued by ETFs) listed on national securities exchanges are generally valued at the last sale price or official closing price on the date of valuation or, if there is no sale or official closing price, at the latest available bid price. Securities listed on the NASDAQ stock market will be valued using the NASDAQ Official Closing Price (“NOCP”). Generally, the NOCP will be the last sale price unless the reported trade for the security is outside the range of the bid/ask price. In such cases, the NOCP will be normalized to the nearer of the bid or ask price. Other unlisted stocks are generally valued at their last sale price or official closing price, or if there is no such price, at a bid price estimated by a broker.

Corporate and municipal bonds and notes are generally valued on the basis of prices provided by a pricing service. The pricing services may utilize many inputs that are observable in making evaluations which may include, but are not limited to, trading activity for similar securities, issuer details, yields, default rates, credit spreads, quoted prices and any developments related to the specific securities. However, when such prices are not available, such bonds and notes are generally valued at a bid price estimated by a broker.

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Convertible preferred stocks listed on national securities exchanges are generally valued as of their last sale price or, if there is no sale, at the latest available bid price. Convertible bonds and unlisted convertible preferred stocks are generally valued using prices obtained from a pricing service for such investments or, if a pricing service price is not available, at bid prices obtained from one or more of the major dealers in such bonds or stocks. Where there is a discrepancy between dealers, values may be adjusted based on recent premium spreads to the underlying common stocks. Convertible bonds may be matrix-priced based upon the conversion value to the underlying common stocks and market premiums.

Mortgage-backed and asset-backed securities are generally valued at evaluated prices obtained from a pricing service where available, or at a bid price obtained from one or more of the major dealers in such securities. The pricing service may utilize data such as issuer type, coupon, cash flows, collateral performance, mortgage prepayment projection tables and Adjustable Rate Mortgage evaluations that incorporate index data, periodic and life caps, the next coupon reset date and the convertibility of the bond in making evaluations. If a quoted price is unavailable, an equivalent yield or yield spread quotes may be obtained from a broker and converted to a price.

Options that are traded on an exchange are generally valued at their last sale price or official closing price on the date of valuation. Options not traded on an exchange or actively traded are valued according to fair value methods. The market value of a put or call option will usually reflect, among other factors, the market price of the underlying security.

U.S. Treasury securities and other obligations issued or guaranteed by the U.S. Government, its agencies or instrumentalities, are generally valued at prices obtained from a bond pricing service where available. The pricing service may utilize data received from active market makers and broker- dealers, yield curves and the spread over comparable U.S. Treasury issues in making evaluations.

Foreign securities, including foreign government securities, not traded directly in the U.S., or traded in American Depositary Receipts (“ADR”) or similar form, are generally valued at representative quoted prices from the primary exchange in the currency of the country of origin. Foreign currency is converted into U.S. dollar equivalent at current exchange rates.

Investments in shares of open-end investment companies (other than ETFs) held by a Fund are generally valued at the NAV of the shares of such funds as described in the underlying funds’ prospectuses.

Futures contracts are generally valued at their last settlement price or, if there is no sale, at the latest available bid price.

Forward foreign currency contracts are generally valued by interpolating between the forward and spot currency rates as quoted by a pricing service as of a designated hour on the valuation date. The pricing service may utilize data such as actual trading information and foreign currency rates gathered from leading market makers and foreign currency trading centers throughout the world in making evaluations. Forward foreign currency contracts may be settled with the counterparty in U.S. dollars without the delivery of foreign currency.

Swap agreements are two party contracts entered into primarily by institutional investors for periods ranging from a few weeks to more than one year. Swaps are marked-to-market daily based upon values from third party vendors, which may include a clearing counterparty, registered exchange, or quotations from market makers to the extent available. In the event that market quotes are not readily available and the swap cannot be valued pursuant to one of the valuation methods, the value of the swap will be determined in good faith by the Trust’s Valuation Committee (as discussed below).

If market quotations are not readily available for a security or other financial instrument, such security and instrument shall be referred to the Trust’s Valuation Committee (“Committee”), which will value the asset in good faith pursuant to procedures (“Pricing Procedures”) adopted by the Board of Trustees of the Trust (the “Board”).

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The Board is responsible for ensuring that appropriate valuation methods are used to price securities for the Funds. The Board has delegated the responsibility of calculating the NAVs of each of the Funds and classes pursuant to these Pricing Procedures to the Trust’s administrator, Equitable Investment Management, LLC (the “Administrator”). The Administrator has entered into a sub- administration agreement with JPMorgan Chase Bank, N.A. (the “Sub-Administrator”), which assists in performing certain of the duties described herein. The Committee, established by the Board, determines the value of the Trust’s securities and assets for which market quotations are not readily available or for which valuation cannot otherwise be provided in accordance with procedures adopted by the Board. The Committee is comprised of senior employees from EIM.

Due to the inherent uncertainty of valuations of such securities, the fair value may differ significantly from the values that would have been used had a ready market for such securities existed.

Various inputs are used in determining the value of the Trust’s assets or liabilities carried at fair value. These inputs are summarized in three broad levels below:

•

Level 1 - quoted prices in active markets for identical assets

•

Level 2 - other significant observable inputs (including quoted prices of similar securities, interest rates, prepayment speeds, credit risk, etc.)

•

Level 3 - significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

A summary of inputs used to value each Fund’s assets and liabilities carried at fair value as of April 30, 2022, is included in the Portfolio of Investments for each Fund. Changes in valuation techniques may result in transfers in or out of an investment’s assigned level.

Transfers into and transfers out of Level 3 are included in the Level 3 reconciliation following the Portfolio of Investments for each Fund, if any. Transfers between levels may be due to a decline, or an increase, in market activity (e.g., frequency of trades), which may result in a lack of, or increase in, available observable market inputs to determine price.

The inputs or methodology used to value securities are not necessarily an indication of the risk associated with investing in those securities. An investment’s level within the fair value hierarchy is based on the lowest level of any input, both individually and in the aggregate, that is significant to the fair value measurement.

The Committee has the ability to meet and review reports based on the valuation techniques used to value Level 3 securities. As part of a review, the Committee would consider obtaining updates from its pricing vendors and Sub-Advisers for fair valued securities. For example, with respect to model driven prices, the Committee may receive reports regarding a review and recalculation of pricing models and related discounts. For those securities which are valued based on broker quotes, the Committee may evaluate variances between existing broker quotes and any alternative broker quotes provided by a Sub-Adviser or other pricing source.

To substantiate unobservable inputs used in a fair valuation, the Secretary of the Committee may perform an independent verification as well as additional research for fair value notifications received from the pricing agents. Among other factors, particular areas of focus may include: description of security, historical pricing, intra-day price movement, last trade information, corporate actions, related securities, any available company news and announcements, any available trade data or other information. The Committee also notes the materiality of holdings and price changes on a Fund’s NAV.

The Committee reviews and considers changes in value for all fair valued securities that have occurred since the last review.

Pursuant to procedures approved by the Board, events or circumstances affecting the values of Fund securities that occur between the closing of their principal markets and the time the NAV is

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determined may be reflected in the Trust’s calculation of a NAV for each applicable Fund when the Committee deems that the particular event or circumstance would materially affect such Fund’s NAV.

Security Transactions and Investment Income:

Securities transactions are recorded on the trade date net of brokerage fees, commissions, and transfer fees. Dividend income (net of withholding taxes) and distributions to shareholders are recorded on the ex-dividend date, except that certain dividends from foreign securities, if any, are recognized as soon as the Fund is informed of the ex-dividend date. Non-cash dividends, if any, are recorded at the fair market value of the asset received. Interest income (including amortization of premium and accretion of discount on long-term securities using the effective yield method) and interest expense are accrued daily. The Trust records paydown gains and losses realized on prepayments received on mortgage-backed securities as an adjustment to interest income.

The Funds record distributions received in excess of income from underlying investments as a reduction of cost of investments and/or realized gain. Such amounts are based on estimates if actual amounts are not available and actual amounts of income, realized gain and return of capital may differ from the estimated amounts. The Funds adjust the estimated amounts of components of distributions (and consequently its net investment income) as necessary once the issuers provide information about the actual composition of the distributions.

Realized gains and losses on the sale of investments are computed on the basis of the specific identified cost of the investments sold. Unrealized appreciation (depreciation) on investments and foreign currency denominated assets and liabilities, if any, is presented net of deferred taxes on unrealized appreciation in the Statements of Assets and Liabilities.

Allocation of Expenses and Income:

Expenses attributable to a single Fund or class are charged to that Fund or class. Expenses of the Trust not attributable to a single Fund or class are charged to each Fund or class in proportion to the average net assets of each Fund or other appropriate allocation methods.

All income earned and expenses incurred by each Fund are borne on a pro-rata basis by each outstanding class of shares, based on the proportionate interest in the Fund represented by the daily net assets of such class, except for distribution fees which are charged on a class-specific basis.

Foreign Currency Valuation:

The books and records of the Trust are kept in U.S. dollars. Foreign currency amounts are translated into U.S. dollars at current exchange rates at the following dates:

(i) Market value of investment securities, other assets and liabilities — at the valuation date.

(ii) Purchases and sales of investment securities, income and expenses — at the date of such transactions.

The Funds do not isolate that portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Such fluctuations are included with the net realized and unrealized gain or loss on investments.

Reported realized foreign currency gains and losses arise from the disposition of foreign currency, currency gains or losses realized between the trade and settlement dates on securities transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on each Fund’s books on the transaction date and the U.S. dollar equivalent of the amounts actually received or paid. These reported realized foreign currency gains and losses are included in Net realized gain (loss) on foreign currency transactions on the Statements of Operations. Unrealized foreign currency gains and losses arise from changes (due to changes in

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exchange rates) in the value of foreign currency and other assets and liabilities denominated in foreign currencies, which are held at period end and are included in Change in net unrealized appreciation/depreciation on foreign currency translations on the Statements of Operations.

Taxes:

Each Fund intends to comply with the requirements of the Internal Revenue Code of 1986, as amended, applicable to regulated investment companies (“RICs”) and to distribute substantially all of its net investment income and net realized capital gains to shareholders of each Fund. Therefore, no Federal, State and local income tax provisions are required.

The Funds are not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months. However, the Funds’ conclusions may be subject to future review based on changes in, or the interpretation of, the accounting standards or tax laws and regulations. The Funds recognize interest and penalties, if any, related to uncertain tax positions as income tax expense in the Statements of Operations. During the year ended October 31, 2021, the Funds did not incur any interest or penalties. Each of the tax years in the four year period ended October 31, 2021 remains subject to examination by the Internal Revenue Service, state and local taxing authorities.

Dividends from net investment income, if any, are declared and distributed at least annually for all Funds (1290 Diversified Bond Fund and 1290 High Yield Bond Fund declare and distribute monthly). Dividends to shareholders of a Fund to which such gains are attributable from net realized short-term and long-term capital gains are declared and distributed at least annually. All distributions are calculated on a tax basis and, as such, the amounts may differ from financial statement investment income and realized gains. Short-term capital gains and foreign currency gains are treated as capital gains for U.S. GAAP purposes but are considered ordinary income for tax purposes. The tax character of distributions for the years ended October 31, 2021 and October 31, 2020 and the tax composition of undistributed ordinary income and undistributed long term gains at October 31, 2021 are presented in the following table. For the Funds, the cumulative timing differences related to the tax composition of undistributed ordinary income and long term gains are primarily due to capital loss carryforwards (1290 High Yield Bond), partnership basis adjustments (1290 Multi-Alternative Strategies), and wash sale loss deferrals (1290 DoubleLine Dynamic Allocation, 1290 GAMCO Small/Mid Cap Value, 1290 Retirement 2025 and 1290 Retirement 2050).


	Year Ended October 31, 2021				As of October 31, 2021				Year Ended October 31, 2020
Funds:	Distributed Ordinary Income		Distributed Long Term Gains		Accumulated Undistributed Ordinary Income		Accumulated Undistributed Long Term Gains		Distributed Ordinary Income		Distributed Long Term Gains
1290 Diversified Bond	$	22,199,718	$	1,259,904	$	—	$	—	$	3,422,102	$	1,135,916
1290 DoubleLine Dynamic Allocation		3,435,284		1,965,664		4,997,740		1,902,826		2,459,180		932,015
1290 GAMCO Small/Mid Cap Value		547,954		—		2,015,553		6,538,607		1,124,418		682,834
1290 High Yield Bond		2,721,245		—		—		—		2,116,287		—
1290 Multi-Alternative Strategies		116,723		—		285,773		1,243,789		394,171		—
1290 Retirement 2020		218,431		280,715		108,514		462,884		230,001		147,437
1290 Retirement 2025		361,068		407,870		184,459		860,251		376,997		347,700
1290 Retirement 2030		112,968		291,646		64,798		128,203		117,233		18,945
1290 Retirement 2035		175,930		314,610		95,648		—		160,866		64,748
1290 Retirement 2040		78,809		87,747		36,366		57,116		73,000		5,113
1290 Retirement 2045		123,390		177,383		58,996		376,167		105,828		853
1290 Retirement 2050		83,748		50,542		37,675		67,152		71,246		4,801
1290 Retirement 2055		71,655		43,156		31,862		24,109		65,440		3,067
1290 Retirement 2060		72,993		53,812		28,933		56,240		64,568		4,754
1290 SmartBeta Equity		466,820		352,092		3,681,999		6,056,713		324,944		297,980

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Ordinary losses incurred after December 31st and within the taxable year are deemed to arise on the first business day of a Fund’s next taxable year. For the year ended October 31, 2020, the Fund elected to defer late year losses, in the amount listed below:


Fund:	Deferred Late Year Losses
1290 Multi-Alternative Strategies	$	37,322

The following Fund had a Return of Capital during the year ended October 31, 2021:


Fund:	Return of Capital
1290 Diversified Bond	$	846,864
1290 High Yield Bond		20,164

Net capital losses recognized by the Funds may get carried forward indefinitely, and retain their character as short-term and/or long-term losses. The following Funds utilized net capital loss carry forwards during the year and/or have capital losses incurred that will be carried forward:


	Utilized				Losses Carried Forward
Funds:	Short Term		Long Term		Short Term		Long Term
1290 GAMCO Small/Mid Cap Value	$	285,840	$	3,645,837	$	—	$	—
1290 High Yield Bond		270,397		63,558		490,878		2,463,890
1290 Multi-Alternative Strategies		156,700		276,770		—		—
1290 Retirement 2035		—		—		7,561		—

Accounting for Derivative Instruments:

Following is a description of how and why the Funds use derivative instruments, the type of derivatives utilized by the Funds during the reporting period, as well as the primary underlying risk exposures related to each instrument type. Derivatives accounted for as hedging instruments must be disclosed separately from those that do not qualify for hedge accounting. Even though the Funds may use derivatives in an attempt to achieve an economic hedge, the Fund’s derivatives are not accounted for as hedging instruments because the Funds account for their derivatives at fair value and record any changes in fair value in current period earnings in the Statements of Operations. All open derivative positions at period end are reflected on each respective Fund’s Portfolio of Investments. The volume of derivative activity, based on month-end notional amounts during the period is also noted in each respective Fund’s Portfolio of Investments. Portfolio securities are reserved and/or pledged with the custodian as collateral for current or potential derivative holdings as necessary throughout the year.

Options:

Certain Funds may write (sell) covered options as a hedge to provide protection against adverse movements in the price of securities in the Fund or to enhance investment performance. Certain Funds purchase and sell exchange traded options on foreign currencies. When a Fund writes an option, an amount equal to the premium received by the Fund is recorded as a liability and is subsequently adjusted on a daily basis to the current market price of the option written. Premiums received from writing options that expire unexercised are recognized as gains on the expiration date. Premiums received from writing options that are exercised or are cancelled in closing purchase transactions are offset against the cost of any securities purchased or added to the proceeds or netted against the amount paid on the transaction to determine the realized gain or loss. In writing options, a Fund must assume that the option may be exercised at any time prior to the expiration of its obligation as a writer, and that in such circumstances the net proceeds of the sale (or cost of) purchase of the underlying securities and currencies pursuant to the call or put option may be substantially below or above the prevailing market price. A Fund also has the additional risk of not being able to enter into a closing purchase transaction if a liquid secondary market does not exist and bears the risk of unfavorable changes in the price of the financial instruments underlying the options.

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Certain Funds may purchase put options on securities to increase the Fund’s total investment return or to protect its holdings against a substantial decline in market value. The purchase of put options on securities will enable a Fund to preserve, at least partially, unrealized gains in an appreciated security in its Fund without actually selling the security. In addition, the Funds will continue to receive interest or dividend income on the security. The Funds may also purchase call options on securities to protect against substantial increases in prices of securities that Funds intend to purchase pending their ability to invest in an orderly manner in those securities. The Funds may sell put or call options they have previously purchased, which could result in a net gain or loss depending on whether the amount received on the sale is more or less than the premium and other transaction costs paid on the put or call option which was bought.

Futures Contracts, Options on Futures Contracts and Foreign Currency Contracts:

The futures contracts used by the Funds are agreements to buy or sell a financial instrument for a set price in the future. Options on futures contracts used by the Funds are rights to buy, or sell a futures contract for a set price in the future. Certain Funds buy or sell futures contracts for the purpose of protecting their Fund securities against future changes in interest rates and indices which might adversely affect the value of the Funds’ securities or the price of securities that they intend to purchase at a later date. Initial margin deposits are made upon entering into futures contracts and can be in cash, certain money market instruments, treasury securities or other liquid, high grade debt securities. During the period the futures contracts are open, changes in the market price of the contracts are recognized as unrealized gains or losses by “marking-to-market” at the end of each trading day. Variation margin payments on futures contracts are received or made, depending upon whether unrealized gains or losses are incurred. When the contract is closed, the Fund records a realized gain or loss equal to the difference between the proceeds from or cost of the closing transactions and the Fund’s basis in the contract. The Funds enter into futures contracts only on exchanges or boards of trade. The exchange or board of trade acts as the counterparty to each futures transaction; therefore, a Fund’s credit risk is limited to failure of the exchange or board of trade.

The Funds may be exposed to foreign currency risks associated with Fund investments. Certain Funds may purchase foreign currency on a spot (or cash) basis. In addition, certain Funds enter into contracts to purchase or sell foreign currencies at a future date (“forward contracts”). A forward foreign currency contract is a commitment to purchase or sell a foreign currency at a future date at a negotiated forward rate. Daily fluctuations in the value of such contracts are recognized as unrealized appreciation or depreciation by “marking-to-market”. The gain or loss arising from the difference between the original contracts and the closing of such contracts is included in realized gains or losses from foreign currency transactions in the Statements of Operations of the Funds. The Funds may engage in these forward contracts to protect against uncertainty in the level of future rates in connection with the purchase and sale of Fund securities (“transaction hedging”) and to protect the value of specific Fund positions (“position hedging”). The Funds also buy forward foreign currency contracts to gain exposure to currencies.

Swap Agreements:

Changes in market value, if any, are reflected as a component of net changes in unrealized appreciation (depreciation) on the Statements of Operations. Daily changes in valuation of centrally cleared swaps, if any, are recorded as a receivable or payable for the change in value as appropriate (“variation margin”) on the Statements of Assets and Liabilities. Over-the-counter (“OTC”) swap payments received or made at the beginning of the measurement period are reflected as such on the Statements of Assets and Liabilities and represent premiums paid or received upon entering into the swap agreement to compensate for differences between the stated terms of the swap agreement and prevailing market conditions (credit spreads, currency exchange rates, interest rates, and other relevant factors). These upfront premiums are recorded as realized gains or losses on the Statement of Operations upon termination or maturity of the swap. A liquidation payment received

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or made at the termination of the swap is recorded as realized gain or loss on the Statement of Operations. Net periodic payments received or paid by a Fund are included as part of realized gains or losses on the Statement of Operations.

Total return swap agreements involve commitments where cash flows are exchanged based on the price of an underlying reference and based on a fixed or variable rate. Total return swap agreements may involve commitments to pay interest in exchange for a market-linked return. One counterparty pays out the total return of a specific reference asset, which may include an underlying equity, index, or bond, and in return receives a fixed or variable rate. At the maturity date, a net cash flow is exchanged where the total return is equivalent to the return of the underlying reference less a financing rate, if any. As a receiver, the Fund would receive payments based on any positive total return and would owe payments in the event of a negative total return. As the payer, the Fund would owe payments on any net positive total return, and would receive payment in the event of a negative total return. In connection with total return swap agreements, securities or cash may be identified as collateral or margin in accordance with the terms of the respective swap agreements to provide assets of value and recourse in the event of default or bankruptcy/insolvency.

Interest rate swaps involve the exchange between two parties of payments calculated by reference to specified interest rates (e.g., an exchange of floating rate payments for fixed rate payments). The purchase of an interest rate cap entitles the purchaser, to the extent that a specified index exceeds a predetermined interest rate, to receive payments of interest on a notional principal amount from the party selling such interest rate cap. The purchase of an interest rate floor entitles the purchaser, to the extent that a specified index falls below a predetermined interest rate, to receive payments of interest on a notional principal amount from the party selling such interest rate floor. Caps and floors may be less liquid than swaps. In addition, the value of interest rate transactions will fluctuate based on changes in interest rates.

Credit default swap agreements involve greater risks than if a Fund had invested in the reference obligation directly since, in addition to general market risks, credit default swaps are subject to illiquidity risk, counterparty risk and credit risk. A Fund will enter into credit default swap agreements only with counterparties that meet certain standards of creditworthiness. A buyer generally also will lose its investment and recover nothing should no credit event occur and the swap is held to its termination date. If a credit event were to occur, the value of any deliverable obligation received by the seller, coupled with the upfront or periodic payments previously received, may be less than the full notional value it pays to the buyer, resulting in a loss of value to the seller. A Fund’s obligations under a credit default swap agreement will be accrued daily (offset against any amounts owing to the Fund). In connection with credit default swaps in which a Fund is the buyer, the Fund will segregate or “earmark” cash or assets determined to be liquid, or enter into certain offsetting positions, with a value at least equal to the Fund’s exposure (any accrued but unpaid net amounts owed by the Fund to any counterparty), on a marked-to-market basis. In connection with credit default swaps in which a Fund is the seller, the Fund will segregate or “earmark” cash or assets determined to be liquid, or enter into offsetting positions, with a value at least equal to the full notional amount of the swap (minus any amounts owed to the Fund). Such segregation or “earmarking” is intended to ensure that the Fund has assets available to satisfy its obligations with respect to the transaction and limit any potential leveraging of the Fund. Such segregation or “earmarking” will not limit the Fund’s exposure to loss. To the extent that credit default swaps are entered into for hedging purposes or are covered as described above, the Adviser believes such obligations do not constitute “senior securities” under the 1940 Act and, accordingly, will not treat them as being subject to the Fund’s senior security and borrowing restrictions.

An option on a swap agreement, also called a “swaption,” is an option that gives the buyer the right, but not the obligation, to enter into a swap on a future date in exchange for paying a market- based “premium.” A receiver swaption gives the owner the right to receive the total return of a specified asset, reference rate, or index. A payer swaption gives the owner the right to pay the total return of a specified asset, reference rate, or index. A purchaser of a swaption risks losing only the

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amount of the premium they have paid should they decide to let the option expire, whereas the seller of a swaption is subject to the risk that they will become obligated if the option is exercised. Swaptions also include options that allow an existing swap to be terminated or extended by one of the counterparties.

Forward Settling Transactions:

Certain Funds make contracts to purchase or sell securities for a fixed price at a future date beyond customary settlement time (“forward settling transactions”). Funds may designate the segregation, either on their records or with the Trust’s custodian, of cash or other liquid securities in an amount sufficient to meet the purchase price, or may enter into offsetting contracts for the forward sale of other securities they own. These commitments are reported at market value in the financial statements. Forward settling transactions may be considered securities in themselves and involve a risk of loss if the value of the security to be purchased declines or if the value of the security to be sold increases prior to the settlement date, which is a risk in addition to the risk of decline in the value of the Funds’ other assets. Where such purchases or sales are made through dealers, a Fund relies on the dealer to consummate the sale. The dealer’s failure to do so may result in the loss to a Fund of an advantageous yield or price. Market risk exists on these commitments to the same extent as if the securities were owned on a settled basis and gains and losses are recorded and reported in the same manner. However, during the commitment period, these investments earn no interest or dividends.

Certain Funds may enter into to-be-announced purchase or sale commitments (“TBA transactions”), pursuant to which it agrees to purchase or sell, respectively, mortgage backed securities for a fixed unit price, with payment and delivery at a scheduled future date beyond the customary settlement period for such securities. With TBA transactions, the particular securities to be received or delivered by a Fund are not identified at the trade date; however, the securities must meet specified terms, including issuer, rate, and mortgage term, and be within industry accepted “good delivery” standards. Funds may enter into TBA transactions with the intention of taking possession of or relinquishing the underlying securities, may elect to extend the settlement by “rolling” the transaction, and/or may use TBA transactions to gain or reduce interim exposure to underlying securities. Until settlement, a Fund maintains liquid assets sufficient to settle its commitment to purchase a TBA or, in the case of a sale commitment, a Fund maintains an entitlement to the security to be sold.

Master netting arrangements and collateral:

International Swaps and Derivatives Association, Inc. Master Agreements (“ISDA Master Agreements”) govern bilateral OTC derivative transactions entered into by the Sub-Advisers on behalf of the Funds with select counterparties. ISDA Master Agreements maintain provisions for general obligations, representations, agreements, collateral posting and events of default or termination. Events of termination include conditions that may entitle counterparties to elect to terminate early and cause settlement of all outstanding transactions under the applicable ISDA Master Agreement. Any election to terminate early could be material to the financial statements. In limited circumstances, the ISDA Master Agreement may contain additional provisions that add counterparty protection beyond coverage of existing daily exposure if the counterparty has a decline in credit quality below a predefined level. These amounts, if any, may be segregated with a third- party custodian. The market value of OTC financial derivative instruments, collateral received or pledged, and net exposure by counterparty as of period end are disclosed in the Portfolio of Investments.

Master Securities Forward Transaction Agreements (“Master Forward Agreements”) govern certain forward settling transactions, such as TBA transactions, delayed-delivery or sale buybacks by and between the Sub-Advisers on behalf of the Funds and select counterparties. The Master Forward Agreements maintain provisions for, among other things, transaction initiation and

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confirmation, payment and transfer, events of default, termination, and maintenance of collateral. The market value of forward settling transactions, collateral pledged and/or received, and the net exposure by counterparty as of period end is disclosed in the Portfolio of Investments.

ISDA Master Agreements and Master Forward Agreements are intended to reduce the counterparty risk associated with relevant transactions by specifying credit protection mechanisms and providing standardization that is intended to improve legal certainty. Under most ISDA Master Agreements and Master Forward Agreements, collateral is routinely pledged if the total net exposure to certain transactions (net of existing collateral already in place) governed under the relevant master agreement with a counterparty in a given account exceeds a specified threshold, which typically ranges from zero to $250,000 (on a per counterparty basis) depending on the counterparty and the type of master agreement.

Collateral on OTC derivatives and centrally cleared derivatives may be in the form of cash or debt securities issued by the U.S. government or related agencies or foreign governments. Cash pledged as collateral by a Fund is reflected as cash held as collateral at the broker in the accompanying financial statements and generally is restricted from withdrawal by the Fund; securities pledged by a Fund are so noted in the accompanying Portfolio of Investments; both remain in the Fund’s assets. Securities received as collateral by counterparties are not included in the Fund’s assets because the Fund does not obtain effective control over those securities. The obligation to return cash collateral received from counterparties is included as a liability in the accompanying financial statements. Collateral posted or received by the Fund may be held in a segregated account at the respective counterparty or Fund’s custodian.

On October 28, 2020, the SEC adopted Rule 18f-4 (the “Derivatives Rule” or “Rule 18f-4”) under the 1940 Act which, following a transition period, will replace existing SEC and staff guidance with an updated, comprehensive framework for registered funds’ use of derivatives. Among other changes, the Derivatives Rule will require a Fund to trade derivatives and certain other instruments that create future payment or delivery obligations subject to a value-at-risk (“VaR”) leverage limit, develop and implement a derivatives risk management program and new testing requirements, and comply with new requirements related to board and SEC reporting. These new requirements will apply unless a Fund qualifies as a “limited derivatives user,” as defined in the Derivatives Rule. In connection with the final rule, the SEC and its staff will rescind and withdraw applicable guidance and relief regarding asset segregation and coverage transactions reflected in the Funds’ asset segregation and cover practices discussed herein. The full impact of Rule 18f-4 on the Funds remains uncertain. The Funds intend to comply with Rule 18f-4 on or before August 19, 2022.

Securities Lending:

During the six months ended April 30, 2022, certain Funds entered into securities lending transactions. To generate additional income, a Fund may lend its fund securities, up to 30% of the market value of the Fund’s total assets, to brokers, dealers, and other financial institutions.

JPMorgan serves as securities lending agent for the securities lending program of the Trust. Securities lending transactions are considered to be overnight and continuous and can be terminated by a Fund or the borrower at any time.

The Funds’ securities lending policies and procedures require that the borrower (i) deliver cash or U.S. Government securities as collateral with respect to each new loan of U.S. securities, equal to at least 102% of the value of the fund securities loaned, and with respect to each new loan on non-U.S. securities, collateral of at least 105% of the value of the fund securities loaned; and (ii) at all times thereafter mark-to-market the collateral on a daily basis so that the market value of such collateral is at least 100% of the value of securities loaned. Cash collateral received is generally invested in joint repurchase agreements or government money market funds and shown in the Portfolio of Investments and included in calculating the Fund’s total assets. U.S. Government securities received as collateral, if any, are held in safekeeping by JPMorgan and cannot be sold or

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repledged by the Fund and accordingly are not reflected in the Fund’s total assets. For additional information on the non-cash collateral received, please refer to note (xx) in the Portfolio of Investments. Certain of the securities on loan may have been sold prior to the close of the reporting period and are included in Receivables for Securities Sold on the Statements of Assets and Liabilities.

The Funds receive payments from the lending agent equivalent to any dividends and/or interest that would have been earned on the securities loaned while simultaneously seeking to earn income on the investment of cash collateral. Securities lending income includes any fees charged to borrowers less expenses associated with the loan. Income from the securities lending program is recorded when earned from the lending agent and reflected in the Statements of Operations under “Securities lending (net).” The Funds may invest cash collateral in joint repurchase agreements or government money market funds as indicated on the Portfolio of Investments, and record a liability in the Statements of Assets and Liabilities for the return of the collateral, during the period the securities are on loan. Such liabilities, if any, are reflected in the Statements of Assets and Liabilities under “Payable for return of collateral on securities loaned”. There may be risks of delay or restrictions in recovery of the securities or disposal of collateral should the borrower of the securities fail financially. Loans are made, however, only to borrowers deemed by the lending agent to be of good standing and creditworthy and approved by EIM. Loans are subject to termination by a Fund or the borrower at any time, and, therefore, are not considered to be illiquid investments. The lending agent receives a fee based on a percentage of earnings derived from the investment of cash collateral. The Funds receive 90% of the net earnings of the Repurchase Agreements up to $45 million of aggregate earnings across all Funds within a calendar year and 92% thereafter.

The Securities Lending Agreement between the Trust and JPMorgan provides that in the event of a default by a borrower with respect to any loan, a Fund may terminate the loan and JPMorgan will exercise any and all remedies provided under the applicable borrower agreement to make the Fund whole. These remedies include purchasing replacement securities by applying the collateral held from the defaulting borrower against the purchase cost of the replacement securities. If, despite such efforts by JPMorgan to exercise these remedies, the Fund sustains losses as a result of a borrower’s default, JPMorgan indemnifies the Fund by purchasing replacement securities at JPMorgan’s expense, or paying the Fund an amount equal to the market value of the replacement securities, subject to certain limitations which are set forth in detail in the Securities Lending Agreement between the Fund and JPMorgan.

At April 30, 2022, the Securities Lending Agreement does not permit the Fund to enforce a netting arrangement.

Joint Repurchase Agreements:

During the six months ended April 30, 2022, certain Funds have transferred cash collateral received from the securities lending program to a joint account at JPMorgan, the lending agent. The joint account aggregates cash collateral received from the participating Funds, along with other customers of JPMorgan, in order to execute joint repurchase agreement transactions with various counterparties (the “Joint Repurchase Agreements”). As such, each Fund has a proportionate interest in one or more of the Joint Repurchase Agreements. The Joint Repurchase Agreements can contractually be collateralized by U.S. Government Treasury Securities, U.S. Government Agency Securities, Supranational/Non-U.S. Agency or U.S. Equity Securities and are held at a financial institution acting as a tri-party custodian. In a Joint Repurchase Agreement, the seller of the security agrees to repurchase the security at a mutually agreed upon time and price, which reflects the effective rate of return for the term of the agreement. The underlying collateral is marked to market daily to ensure that the value of the collateral pledged is equal to or greater than the agreed upon repurchase price, including accrued interest. In the event of default of the obligation to repurchase, the Fund has the right to cause JPMorgan to liquidate the collateral. JPMorgan shall indemnify the Funds against a decline in the value of the collateral below the agreed upon repurchase price. However, the execution of such actions may result in the delay of realization of the collateral by the

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Funds. The details of the proportionate share of the Joint Repurchase Agreements open at April 30, 2022 for the Funds are reflected in each Fund’s Portfolio of Investments. At April 30, 2022, the Joint Repurchase Agreements (on a gross basis, including other customers of JPMorgan) in which the Funds participated were as follows:

Deutsche Bank Securities, Inc., 0.26%, dated 4/29/22, due 5/2/22, repurchase price $500,010,834, collateralized by various U.S. Government Treasury Securities, 0.000%, maturing 5/15/22 — 11/15/51; total market value $510,000,000.

Natwest Markets Securities, Inc., 0.30%, dated 4/29/22, due 5/2/22, repurchase price $250,006,250, collateralized by various U.S. Government Treasury Securities, ranging from 0.125% — 3.625%, maturing 7/15/22 — 2/15/50; total market value $255,009,652.

Market, Credit and Other Risk:

A Fund’s investments in financial instruments expose the Fund to various risks such as, but not limited to, interest rate, foreign currency, foreign securities, forward settling transactions and equity risks.

Interest rate risk is the risk that fixed income securities will decline in value because of changes in interest rates. When nominal interest rates decline, the value of certain fixed-income securities held by a Fund generally rises. Conversely, when nominal interest rates rise, the value of certain fixed income securities held by a Fund generally decreases. A nominal interest rate can be described as the sum of a real interest rate and an expected inflation rate. Interest rate changes can be sudden and unpredictable, and a Fund may lose money if these changes are not anticipated by Fund management. A Fund may not be able to hedge against changes in interest rates or may choose not to do so for cost or other reasons. In addition, any hedges may not work as intended. Fixed income securities with longer durations tend to be more sensitive to changes in interest rates, usually making them more volatile than securities with shorter durations. Duration is useful primarily as a measure of the sensitivity of a security’s market price to interest rate (i.e., yield) movements.

Interest rates have been unusually low in recent years in the United States and abroad, and central banks reduced rates further in an effort to combat the economic effects of the COVID-19 pandemic. Because there is little precedent for this situation, it is difficult to predict the impact on various markets of a significant rate increase or other significant policy changes. However, due to concerns regarding rising inflation in many sectors of the U.S. and global economy, it is expected that the U.S. and many foreign governments and monetary authorities will raise interest rates and implement other policy initiatives that are intended to contain the impacts of rising inflation. Rising interest rates may present a particularly greater risk than has historically been the case due to the current period of relatively low rates and the effect of government fiscal and monetary policy initiatives and potential market reaction to those initiatives, or their alteration or cessation. Inflation risk is the uncertainty over the future real value (after inflation) of an investment. A Fund’s investments may not keep pace with inflation, and the value of an investment in a Fund may be eroded over time by inflation.

Many debt securities, derivatives and other financial instruments utilize the London Interbank Offered Rate (“LIBOR”) as the reference or benchmark rate for variable interest rate calculations. The publication of most LIBOR settings was discontinued at the end of 2021, except for the overnight, 1-month, 3-month, 6-month and 12-month U.S. dollar-denominated LIBOR settings, which will continue through June 30, 2023. The Secured Overnight Financing Rate (“SOFR”) has been selected by a committee established by the Board of Governors of the Federal Reserve System and the Federal Reserve Bank of New York to replace LIBOR as a reference or benchmark rate in the United States. Other countries have undertaken similar initiatives to identify replacement reference or benchmark rates in their respective markets. However, there are obstacles to converting certain existing investments and transactions to a new reference or benchmark rate, as well as risks associated with using a new reference or benchmark rate with respect to new investments and

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transactions. The transition process, or a failure to transition properly, might lead to increased volatility and illiquidity in markets that currently rely on LIBOR to determine interest rates, a reduction in the values of some LIBOR-based investments, and reduced effectiveness of certain hedging strategies, which may adversely affect a Fund’s performance or net asset value. In addition, the alternative reference or benchmark rate may be an ineffective substitute resulting in prolonged adverse market conditions for a Fund.

If a Fund invests directly in foreign currencies or in securities that trade in, and receive revenues in, foreign currencies, or in financial derivatives that provide exposure to foreign currencies, it will be subject to the risk that those currencies will decline in value relative to the base currency of the Fund, or, in the case of hedging positions, that the Fund’s base currency will decline in value relative to the currency being hedged. Currency rates in foreign countries may fluctuate significantly over short periods of time for a number of reasons, including changes in interest rates, intervention (or the failure to intervene) by U.S. or foreign governments, central banks or supranational entities such as the International Monetary Fund, or by the imposition of currency controls or other political developments in the United States or abroad. As a result, a Fund’s investments in foreign currency denominated securities may reduce the Fund’s returns. The Funds are subject to off-balance sheet risk to the extent of the value of the contracts for purchase of foreign currency and in an unlimited amount for sales of foreign currency.

Foreign (non-U.S.) securities in this report are classified by the country of risk of a holding. Investments in foreign securities, including depositary receipts, involve risks not associated with investment in U.S. securities. Foreign markets may be less liquid, more volatile and subject to less government supervision and regulation than U.S. markets. Differences between U.S. and foreign legal, political and economic systems, regulatory regimes and market practices also may impact security values, and it may take more time to clear and settle trades involving foreign securities. In addition, foreign operations or holding can involve risks relating to conditions in foreign countries.

Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict have had, and could continue to have, severe adverse effects on regional and global economies and could further increase volatility and uncertainty in the financial markets. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that provide military or economic support to Russia. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion. To the extent that a Fund has exposure to Russian investments or investments in countries affected by the invasion, the Fund’s ability to price, buy, sell, receive or deliver such investments may be impaired. In addition, any exposure that a Fund may have to counterparties in Russia or in countries affected by the invasion could negatively impact the Fund’s investments. The extent and duration of military actions and the repercussions of such actions (including any retaliatory actions or countermeasures that may be taken by those subjected to sanctions) are impossible to predict. These events have resulted in, and could continue to result in, significant market disruptions, including in certain industries or sectors such as the oil and natural gas markets, and may further strain global supply chains and negatively affect inflation and global growth. These and any related events could significantly impact a Fund’s performance and the value of an investment in a Fund beyond any direct exposure a Fund may have to Russian issuers or issuers in other countries affected by the invasion.

Forward settling transactions and forward foreign currency contracts involve elements of both market and credit risk in excess of the amounts reflected in the Statements of Assets and Liabilities. They are executed directly with the counterparty and not through an exchange and can be

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terminated only by agreement of both parties to such contracts. With respect to such transactions there is no daily margin settlement. There is also the risk that the security will not be issued or that the other party to the transaction will not meet its obligations. If this occurs, the Fund may lose both the investment opportunity for its assets if set aside to pay for the security and any gain in the security. The use of forward settling transaction may result in market risk to the Funds that is greater than if the Funds had engaged solely in transactions that settle in the customary time.

Should interest rates or indices move unexpectedly, the Fund may not achieve the anticipated benefits of the futures contracts and may incur a loss. The use of futures contracts involves the risk of imperfect correlation in movements in the price of futures contracts, interest rates and the underlying hedged assets. Use of long futures contracts subjects the Funds to risk of loss in excess of the amounts shown on the Statements of Assets and Liabilities, up to the notional value of the futures contracts. Use of short futures contracts subjects the Funds to unlimited risk of loss.

The market values of the Fund’s investments may decline due to general market conditions which are not specifically related to a particular company or issuer, such as real or perceived adverse economic conditions, changes in the general outlook for corporate earnings, changes in interest or currency rates or adverse investor sentiment generally. They may also decline due to factors which affect a particular industry or industries, such as labor shortages or increased production costs and competitive conditions within an industry. Equity securities and equity related investments generally have greater market price volatility than fixed income securities, although under certain market conditions fixed income securities may have comparable or greater price volatility. Credit ratings downgrades may also negatively affect securities held by a Fund. Even when markets perform well, there is no assurance that the investments held by a Fund will increase in value along with the broader market. In addition, market risk includes the risk that geopolitical events will disrupt the economy on a national or global level.

A Fund will be exposed to credit risk to parties with whom it trades and will also bear the risk of settlement default. The Fund is subject to the risk that the issuer or guarantor of a fixed income security, or the counterparty to a transaction, is unable or unwilling or is perceived as unable or unwilling to make timely interest or principal payments or otherwise honor its obligations, which may cause the Fund’s holding to lose value. The downgrade of a security’s credit rating may decrease its value. Lower credit quality also may lead to greater volatility in the price of a security and may negatively affect a security’s liquidity. The credit quality of a security can deteriorate suddenly and rapidly.

Certain Funds may invest in below investment grade high-yield securities (commonly known as “junk bonds”). These securities are considered to be high risk investments. Securities rated below investment grade are speculative in nature, involve greater risk of default by the issuing entity and may be subject to greater market fluctuations than higher rated fixed income securities because such securities are generally unsecured and subordinated to other creditors’ claims. The retail secondary market for these “junk bonds” may be less liquid than that of higher rated securities and adverse economic conditions could make it difficult to sell certain securities or could result in lower prices than those used in calculating the Fund’s NAV.

Because certain Funds invest in affiliated mutual funds, unaffiliated mutual funds and ETFs, the Funds indirectly bear a portion of the expenses incurred by the underlying funds and ETFs. As a result, the cost of investing in the Funds may be higher than the cost of investing in a Fund that exclusively invests directly in individual securities and financial instruments. The Funds are also subject to certain risks related to the underlying funds’ and ETFs’ investments in securities and financial instruments (such as fixed income securities, including high yield, asset-backed and mortgage- related securities, equity securities, foreign and emerging markets securities, commodities and real estate securities) and the ability of the Fund to meet its investment objective will directly depend on the ability of the underlying fund or ETF to meet its investment objective. With respect to the Fund’s investments in ETFs, there is also the risk that an ETF’s performance may not match that of the relevant index. It is also possible that

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an active trading market for an ETF may not develop or be maintained, in which case the liquidity and value of the Fund’s investments in the ETF could be substantially and adversely affected. The extent to which the investment performance and risks associated with the Fund correlate to those of a particular underlying fund or ETF will depend upon the extent to which the Fund’s assets are allocated from time to time for investment in the underlying fund or ETF, which will vary.

Offsetting Assets and Liabilities:

The Funds may be subject to various netting arrangements with select counterparties (“Master Agreements”). Master Agreements govern the terms of certain transactions, and are intended to reduce the counterparty risk associated with relevant transactions by specifying credit protection mechanisms and providing standardization that is intended to improve legal certainty. As the Master Agreements are specific to unique operations of different asset types, they allow a Fund to close out and net its total exposure to counterparty in the event of a default with respect to all the transactions governed under a single Master Agreement with a counterparty. For financial reporting purposes the Statement of Assets and Liabilities generally show derivative assets and liabilities on a gross basis, which reflects the full risks and exposures prior to netting.

Note 2

Agreements

The Trust, on behalf of each Fund, has entered into an investment advisory agreement (the “Advisory Agreement”) with the Adviser which provides that the Adviser is responsible for (i) providing a continuous investment program for the Funds; (ii) monitoring the implementation of the investment program for each Fund; (iii) assessing the investment objectives and policies, composition, investment style and investment process for each Fund; (iv) effecting transactions for each Fund and selecting brokers or dealers to execute such transactions; (v) developing and evaluating strategic initiatives with respect to the Funds; (vi) making recommendations to the Board regarding the investment programs of the Funds, including any changes to the investment objectives and policies of a Fund; (vii) coordinating and/or implementing strategic initiatives approved by the Board; and (viii) preparing and providing reports to the Board on the impact of such strategic initiatives. The Adviser is paid a fee for these services. The fee is accrued daily and paid monthly based on the Fund’s average daily net assets, at an annual rate of:


Funds:		Investment Advisory Fees
1290 Retirement 2020		0.500% of average daily net assets
1290 Retirement 2025		0.500% of average daily net assets
1290 Retirement 2030		0.500% of average daily net assets
1290 Retirement 2035		0.500% of average daily net assets
1290 Retirement 2040		0.500% of average daily net assets
1290 Retirement 2045		0.500% of average daily net assets
1290 Retirement 2050		0.500% of average daily net assets
1290 Retirement 2055		0.500% of average daily net assets
1290 Retirement 2060		0.500% of average daily net assets


	(as a percentage of average daily net assets)
Funds:	First $1 Billion			Next $1 Billion			Next $3 Billion			Next $5 Billion			Thereafter
1290 DoubleLine Dynamic Allocation		0.750	%		0.700	%		0.675	%		0.650	%		0.625	%
1290 GAMCO Small/Mid Cap Value		0.750			0.700			0.675			0.650			0.625
1290 SmartBeta Equity		0.700			0.650			0.625			0.600			0.575


	(as a percentage of average daily net assets)
Fund:	First $4 Billion			Next $4 Billion			Next $2 Billion			Thereafter
1290 Multi-Alternative Strategies		0.500	%		0.490	%		0.480	%		0.470	%

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	(as a percentage of average daily net assets)
Funds:	First $4 Billion			Next $4 Billion			Thereafter
1290 Diversified Bond		0.600	%		0.580	%		0.560	%
1290 High Yield Bond		0.600			0.580			0.560

On behalf of the Trust, the Adviser has entered into an investment sub-advisory agreement (“Sub-Advisory Agreements”) with each of the Sub-Advisers. Each of the Sub-Advisory Agreements obligates the Sub-Advisers for the respective Funds to: (i) continuously furnish investment programs for the Funds; (ii) place all orders for the purchase and sale of investments for the Funds with brokers or dealers selected by the Adviser or the respective Sub-Advisers; and (iii) perform certain limited related administrative functions in connection therewith. The Adviser pays the expenses of providing investment sub-advisory services to the Funds, including the fees of the Sub-Advisers of each Fund.

For administrative services, each Fund pays the Administrator an asset-based administration fee of 0.15% of the average daily net assets of the Fund. The asset-based administration fee is calculated and billed monthly, and subject to an annual minimum of $30,000 per Fund or $30,000 for each allocated portion (or sleeve) of a Fund, as applicable. The Administrator has contracted with the Sub-Administrator to provide, pursuant to a sub-administration agreement, the Funds with certain administrative services, including monitoring of Fund compliance and Fund accounting services.

The Trust, on behalf of the Funds, has entered into a distribution agreement (the “Distribution Agreement”) with ALPS Distributors, Inc. (“ALPS” or the “Distributor”), under which ALPS serves as Distributor for each Fund’s Class A, Class I, Class R and Class T shares. The Board has approved Distribution Plans pursuant to Rule 12b-1 under the 1940 Act for Class A, Class R and Class T shares for each Fund. Pursuant to the Distribution Plans, the Funds will pay the Distributor annual fees at the following rates:


Share Class:	Distribution Fee and/or Service Fee (as a % of average daily net assets attributable to the class)
Class A		0.25	%
Class R		0.50
Class T*		0.25

The Distribution Fees for Class T shares are currently being waived. This waiver is voluntary and could be eliminated at any time at the discretion of the Distributor. The amounts waived for the period ended April 30, 2022 are included in waiver from distributor on the Statement of Operations for each Fund and are not eligible for recoupment.

The Trust, on behalf of the Funds, has entered into a transfer agency and service agreement (the “Transfer Agency Agreement”) with DST Asset Manager Solutions, Inc. (“DST”). Pursuant to the Transfer Agency Agreement, DST is responsible for, among other things, the issuance, transfer and redemption of shares, the opening and maintenance of shareholder accounts, the handling of certain communications between shareholders and the Trust, and the payment of dividends and distributions payable by the Funds. Under the Transfer Agency Agreement, DST receives a monthly fee comprised of a fixed base fee plus a fee computed on the basis of the number of shareholder accounts it maintains for the Trust during the month.

The Trust, on behalf of the Funds, has entered into a custody agreement (the “Custody Agreement”) with JPMorgan Chase Bank, N.A. (in this capacity, the “Custodian”). The custody agreement provides for an annual fee based on the amount of assets under custody plus transaction charges. The Custodian serves as custodian of the Trust’s Fund securities and other assets. Under the terms of the Custody Agreement between the Trust and the Custodian, the Custodian maintains and deposits in each Fund’s account, cash, securities and other assets of the Funds. The Custodian is also required, upon the order of the Trust, to deliver securities held by the Custodian, and to make

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1290 FUNDS

NOTES TO FINANCIAL STATEMENTS (Continued)

April 30, 2022 (Unaudited)

payments for securities purchased by the Trust. The Custodian has also entered into sub-custodian agreements with a number of foreign banks and clearing agencies, pursuant to which Fund securities purchased outside the United States are maintained in the custody of these entities. At period end, certain of the Funds maintain significant cash balances with the Custodian or its affiliates. These balances are presented as cash on each Fund’s Statement of Assets and Liabilities.

The Adviser has contractually agreed to limit the expenses of certain Funds (exclusive of taxes, interest, brokerage commissions, dividend and interest expenses on securities sold short, capitalized expenses (other than offering costs), fees and expenses of other investment companies in which a Fund invests (except as noted in the table below), 12b-1 fees and extraordinary expenses not incurred in the ordinary course of such Fund’s business) through April 30, 2023 (unless the Board consents to an earlier revision or termination of this arrangement) (“Expense Limitation Agreement”), pursuant to which the Adviser has agreed to make payments or waive or limit its fees so that the total annual operating expenses do not exceed the following annual rates:


Funds:	Total Expense Limited For All Share Classes to (% of daily net assets)
1290 Diversified Bond		0.50	%
1290 DoubleLine Dynamic Allocation*		0.95
1290 GAMCO Small/Mid Cap Value*		0.95
1290 High Yield Bond		0.75
1290 Multi-Alternative Strategies		0.85
1290 Retirement 2020*		0.65
1290 Retirement 2025*		0.65
1290 Retirement 2030*		0.65
1290 Retirement 2035*		0.65
1290 Retirement 2040*		0.65
1290 Retirement 2045*		0.65
1290 Retirement 2050*		0.65
1290 Retirement 2055*		0.65
1290 Retirement 2060*		0.65
1290 SmartBeta Equity		0.85

*	Includes fees and expenses of other investment companies in which the Fund invests.

Prior to March 1, 2022 the expense limitation was as follows:


Funds:	Total Expense Limited For All Share Classes to (% of daily net assets)
1290 GAMCO Small/Mid Cap Value*		1.00	%

*	Includes fees and expenses of other investment companies in which the Fund invests.

The Adviser first waives its advisory fees, then waives its administration fees, and then reimburses the Fund’s expenses out of its own resources. Each Fund may at a later date reimburse to the Adviser the advisory fees waived or other expenses assumed and paid for by the Adviser pursuant to the Expense Limitation Agreement within three years of payments or waivers being recorded, provided such Fund has reached a sufficient asset size to permit such reimbursement to be made without causing the total annual expense ratio of each Fund to exceed the percentage limits mentioned above for the respective period. Consequently, no reimbursement by a Fund will be made unless the Fund’s total annual expense ratio is less than the respective percentages stated above for the respective period. Any reimbursement, called recoupment fees on the Statement of Operations of the Fund, will be based on the earliest fees waived or assumed by the Adviser. During the six months ended April 30, 2022, the

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1290 FUNDS

NOTES TO FINANCIAL STATEMENTS (Continued)

April 30, 2022 (Unaudited)

Funds did not incur recoupment fees. At April 30, 2022, under the Expense Limitation Agreement, the amount that would be recoverable from each Fund is as follows:


	Amount Eligible Through								Total Eligible For Reimbursement
Funds:	2022		2023		2024		2025		Total Eligible For Reimbursement
1290 Diversified Bond	$	255,002	$	809,448	$	2,190,751	$	1,476,737	$	4,731,938
1290 DoubleLine Dynamic Allocation		136,690		262,989		200,745		95,264		695,688
1290 GAMCO Small/Mid Cap Value		219,900		294,675		251,731		136,876		903,182
1290 High Yield Bond		138,595		264,144		248,164		129,438		780,341
1290 Multi-Alternative Strategies		75,554		147,303		101,405		49,160		373,422
1290 Retirement 2020		88,116		154,847		137,253		55,338		435,554
1290 Retirement 2025		96,112		172,097		150,364		64,470		483,043
1290 Retirement 2030		84,208		143,990		131,389		55,389		414,976
1290 Retirement 2035		84,830		150,885		135,296		58,083		429,094
1290 Retirement 2040		81,610		140,231		128,227		51,100		401,168
1290 Retirement 2045		83,144		145,551		133,137		53,561		415,393
1290 Retirement 2050		81,378		139,420		129,144		51,509		401,451
1290 Retirement 2055		81,333		138,525		128,662		50,947		399,467
1290 Retirement 2060		82,291		139,205		129,838		51,951		403,285
1290 SmartBeta Equity		125,968		243,147		350,864		199,911		919,890

Under the Trust’s organizational documents, its officers and trustees are indemnified against certain liabilities arising out of the performance of their duties to the Trust. In addition, in the normal course of business, the Trust enters into contracts with vendors and others that provide for general indemnifications. A Fund’s maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Fund. However, based on experience, the Trust and management expect the risk of loss to be remote.

Note 3

Sales Charges

The Distributor receives sales charges on the Funds’ Class A and Class T shares and the proceeds of contingent deferred sales charges paid by the investor in connection with certain redemptions of the Funds’ Class A shares. The Distributor has advised the Funds that for the six months April 30, 2022, the proceeds retained from sales and redemptions are as follows:


	Class A				Class T
Funds:	Front End Sales Charge		Contingent Deferred Sales Charge		Front End Sales Charge
1290 Diversified Bond	$	33,436	$	—	$	—
1290 DoubleLine Dynamic Allocation		13,493		—		—
1290 GAMCO Small/Mid Cap Value		13,982		—		—
1290 High Yield Bond		5,569		—		—
1290 Multi-Alternative Strategies		23		—		—
1290 SmartBeta Equity		21,502		—		—

Sales loads and contingent deferred sales charges imposed on purchases and redemptions of Fund shares are retained by the Trust’s Distributors and do not represent expenses or income of the Funds.

Note 4

Compensation of Officers

Each officer of the Trust is an employee of Equitable Financial, the Adviser and/or Equitable Distributors, LLC. No officer of the Trust, other than the Chief Compliance Officer, receives compensation paid by the Trust. During the six months ended April 30, 2022, the three trusts in the fund complex reimbursed EIM for $290,000 of the Chief Compliance Officer’s compensation, including $2,037 reimbursed by the Trust.

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1290 FUNDS

NOTES TO FINANCIAL STATEMENTS (Continued)

April 30, 2022 (Unaudited)

Note 5

Percentage of Ownership by Affiliates

At April 30, 2022, the Adviser and Equitable Financial held investments in each of the Funds as follows:


Funds:	Percentage of Ownership
1290 Doubleline Dynamic Allocation		83	%
1290 GAMCO Small/ Mid Cap Value		14
1290 High Yield Bond		30
1290 Multi-Alternative Strategies		64
1290 RETIREMENT 2020		99
1290 RETIREMENT 2025		97
1290 RETIREMENT 2030		99
1290 RETIREMENT 2035		99
1290 RETIREMENT 2040		99
1290 RETIREMENT 2045		98
1290 RETIREMENT 2050		100
1290 RETIREMENT 2055		100
1290 RETIREMENT 2060		99

Shares of 1290 Diversified Bond, 1290 GAMCO Small/Mid Cap Value, 1290 High Yield Bond and 1290 SmartBeta Equity Funds may be held as an underlying investment by certain series of the EQ Advisors Trust (EQ/All Asset Growth Allocation Portfolio, Equitable Growth MF/ETF, Equitable Moderate Growth MF/ETF and EQ/Ultra Conservative Strategy Portfolio, EQ/Conservative Strategy Portfolio, EQ/Conservative Growth Strategy Portfolio, EQ/Balanced Strategy Portfolio, EQ/Moderate Growth Strategy Portfolio, EQ/Growth Strategy Portfolio and EQ/Aggressive Growth Strategy Portfolio (each, a “Strategic Allocation Series Portfolio” and together, the “Strategic Allocation Series Portfolios”)) and certain series of the EQ/Premier VIP Trust (EQ/Conservative Allocation Portfolio, EQ/Conservative-Plus Allocation Portfolio, EQ/Moderate Allocation Portfolio, EQ/Moderate-Plus Allocation Portfolio and EQ/Aggressive Allocation Portfolio (each, an “EQ Allocation Portfolio” and together, the “EQ Allocation Portfolios”) and the Target 2015 Allocation Portfolio, Target2025 Allocation Portfolio, Target 2035 Allocation Portfolio, Target 2045 Allocation Portfolio and Target 2055 Allocation Portfolio (each, a “Target Allocation Portfolio” and together, the “Target Allocation Portfolios”)). The following table represents the percentage of ownership that each of the EQ/All Asset Growth Allocation, Strategic Allocation Series Portfolios, EQ Allocation Portfolios and Target Allocation Portfolios has in each Fund’s net assets as of April 30, 2022.


Portfolios:	1290 Diversified Bond			1290 GAMCO Small/Mid Cap Value			1290 High Yield Bond			1290 SmartBeta Equity
EQ/All Asset Growth Allocation		0.85	%		—	%		—	%		—	%
Equitable Moderate Growth MF/ETF		0.35			0.49			0.67			1.47
Equitable Growth MF/ETF		0.16			0.64			0.79			2.20
EQ/Conservative Allocation		3.92			—			—			—
EQ/Conservative-Plus Allocation		3.33			—			—			—
EQ/Moderate Allocation		16.93			—			—			—
EQ/Moderate-Plus Allocation		12.20			—			—			—
EQ/Aggressive Allocation		1.66			—			—			—
Target 2015 Allocation		0.51			—			—			—
Target 2025 Allocation		1.27			—			—			—
Target 2035 Allocation		0.80			—			—			—
Target 2045 Allocation		0.37			—			—			—
Target 2055 Allocation		0.04			—			—			—

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1290 FUNDS

NOTES TO FINANCIAL STATEMENTS (Concluded)

April 30, 2022 (Unaudited)

Note 6

COVID-19 Impact

The novel coronavirus (COVID-19) pandemic and efforts to contain its spread have resulted, and may continue to result, in significant disruptions to business operations, supply chains and customer activity, widespread business closures and layoffs, travel restrictions, international, national and local border closings, extended quarantines and stay-at-home orders, event cancellations, service cancellations, reductions and other changes, labor shortages, and significant challenges in healthcare service preparation and delivery, as well as general concern, uncertainty and social unrest. Global financial markets have experienced, and may continue to experience, significant volatility and severe losses, and the pandemic has resulted in an economic slowdown, which may continue for an extended period of time. The pandemic has accelerated trends toward working remotely and shopping on-line, which may negatively affect the value of office and commercial real estate and the value of investments in other companies and industries that historically have relied on higher concentrations of people working in traditional office and commercial environments. The travel, hospitality, and public transit industries, among others, may suffer long-term negative effects from the pandemic and resulting changes to public behavior. Public health crises caused by outbreaks of infectious diseases or other public health issues, such as the COVID-19 pandemic, may exacerbate other pre-existing political, social, and economic tensions and risks and disrupt market conditions and operations. The ongoing impact of the COVID-19 pandemic on the financial performance of the Trust’s investments cannot be predicted and could have a materially adverse effect on the Trust’s investments.

Note 7 - Subsequent Events

The Adviser evaluated subsequent events from April 30, 2022, the date of these financial statements, through the date these financial statements were issued. The subsequent events include the following:

On April 20-21, 2022, the Board of Trustees (the “Board”) of the Trust approved certain changes to the 1290 DoubleLine Dynamic Allocation Fund (the “Fund”), including changes to the Fund’s investment objective, principal investment strategy, related principal risks, and name; and the appointment of a new sub-adviser, and the termination of the existing sub-adviser, to the Fund (together with other related Board-approved changes, the “Fund Restructuring”). The Fund Restructuring is expected to become effective on or about August 19, 2022. For additional information on the Fund Restructuring, please refer to Approval of New Investment Sub-Advisory Agreement and Amended Investment Advisory Agreement (Unaudited).

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1290 FUNDS

DISCLOSURE REGARDING ADVISORY CONTRACT APPROVAL

APPROVAL OF NEW INVESTMENT SUB-ADVISORY AGREEMENT AND AMENDED INVESTMENT ADVISORY AGREEMENT (UNAUDITED)

At a meeting held on April 20-21, 2022,¹ the Board of Trustees (the “Board”) of 1290 Funds (the “Trust”), including those Trustees who are not parties to any Agreement (as defined below) or “interested persons” (as that term is defined in the Investment Company Act of 1940, as amended) of such parties or the Trust (the “Independent Trustees”), considered and unanimously approved (i) a new Investment Sub-Advisory Agreement (the “Sub-Advisory Agreement”) between Equitable Investment Management Group, LLC (“EIM” or the “Adviser”), which serves as the Trust’s investment adviser, and Loomis, Sayles & Company, L.P. (“Loomis Sayles” or the “Sub-Adviser”), and (ii) an amendment to the current Investment Advisory Agreement (the “Advisory Agreement” and together with the Sub-Advisory Agreement, the “Agreements”) between EIM and the Trust, with respect to the 1290 DoubleLine Dynamic Allocation Fund (the “Fund”). In connection with its approval of the new Sub-Advisory Agreement and the amended Advisory Agreement, the Board also approved the Adviser’s proposed restructuring of the Fund, involving (i) changes to the Fund’s investment objective, principal investment strategy, and related principal risks, and name, and (ii) changes to the Fund’s fee and expense structure. These changes, which are described in more detail below, together with the appointment of Loomis Sayles as the sub-adviser to the Fund, collectively are referred to as the “Fund Restructuring.” It is anticipated that Loomis Sayles will become the sub-adviser to the Fund effective on or about August 19, 2022, in connection with the replacement of the current sub-adviser to the Fund.

The Board noted that Loomis Sayles currently serves as a sub-adviser with respect to one or more series, or allocated portions of series, of EQ Advisors Trust and EQ Premier VIP Trust – two affiliated investment companies of the Trust for which the Adviser serves as investment adviser and for which all of the Board members currently serve on the Board of Trustees. In connection with its approval of the new Sub-Advisory Agreement, the Board considered its conclusions in connection with its prior approval of the investment sub-advisory agreements between the Adviser and Loomis Sayles with respect to these affiliated investment companies, including its satisfaction with the nature and quality of services being provided to the affiliated investment companies by Loomis Sayles.

The Board considered that, in connection with the Fund Restructuring, the Fund would continue to employ a dynamic asset allocation strategy under which it shifts its allocations between equity and fixed income asset classes, and that the strategy would focus on income-generating securities and investments. The Board noted that the proposed Fund Restructuring was based on the Adviser’s belief that the Fund has failed to attract sufficient interest from investors, has not achieved sufficient scale to operate with a sustainable asset base and has limited prospects for future growth and would have better prospects for future growth as a restructured fund pursuing a lower-cost income-based strategy. The Board also noted that, in connection with the Fund Restructuring, the Adviser would (i) revise the Fund’s investment objective so that the Fund would seek to provide income and total return through principally investing in income generating securities and investments, and (ii) change the Fund’s name to “1290 Loomis Sayles Multi-Asset Income Fund.” The Board further noted that the Adviser proposed these related changes because they reflect the investment mandate of the restructured Fund.

The Board also considered that, in connection with the Fund Restructuring, the Adviser would (i) amend its current Advisory Agreement with the Trust with respect to the Fund to reflect a revised advisory fee schedule that would lower the effective advisory fee payable by the Fund at all asset levels, and (ii) amend its contractual expense limitation arrangement with the Trust with respect to the Fund to lower the maximum annual operating expense limits (or “expense caps”) for each class of shares of the Fund from the current expense caps. The Board noted the Adviser’s belief that (i) the revised advisory fee schedule is appropriate given the new investment mandate, the services to be provided, and comparisons of the revised advisory fee schedule and expense ratios with comparable peer funds, and (ii) the lower fees and expenses that could be achieved through the new investment mandate

The meeting was held by videoconference in reliance on an exemptive order issued by the Securities and Exchange Commission. Reliance on the exemptive order was necessary and appropriate due to circumstances related to the effects of COVID-19. All Trustees participating in the videoconference meeting were able to hear each other simultaneously during the meeting. Reliance on the exemptive order requires the Trustees, including a majority of the Independent Trustees, to ratify actions taken pursuant to the exemptive order by vote cast at the next in-person meeting.

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would further enhance the Fund’s prospects for future growth. The Board also noted that, other than the revised advisory fee schedule, all the terms of the current Advisory Agreement with respect to the Fund would remain the same under the amended Advisory Agreement with respect to the restructured Fund. The Board also noted that it had reviewed, among other matters, the nature, quality and extent of the overall services being provided to the Fund by the Adviser, and had approved the continuation of the current Advisory Agreement with respect to the Fund, at a meeting held on July 20-22, 2021. In this regard, the Board noted that the Adviser had stated that there would be no change in the nature, quality or extent of services it provided as a result of the advisory fee schedule revision.

In reaching its decision to approve the Sub-Advisory Agreement, the Board considered the overall fairness of the Sub-Advisory Agreement and whether the Sub-Advisory Agreement was in the best interests of the Fund and its shareholders. The Board further considered all factors it deemed relevant with respect to the Fund and the Sub-Advisory Agreement, including: (1) the nature, quality and extent of the overall services to be provided to the Fund by the proposed Sub-Adviser; (2) comparative performance information; (3) the level of the proposed sub-advisory fee; (4) economies of scale that may be realized by the Fund; and (5) “fall out” benefits that may accrue to the proposed Sub-Adviser and its affiliates (i.e., indirect benefits that the Sub-Adviser or its affiliates would not receive but for the relationship with the Fund). In considering the Sub-Advisory Agreement, the Board members did not identify any particular factor or information that was all-important or controlling, and each Trustee may have given different weights to different factors and, thus, each Trustee may have had a different basis for his or her decision.

In connection with its deliberations, the Board took into account information prepared by the Adviser and the proposed Sub-Adviser, including memoranda and other materials addressing the factors set out above, which were provided to the Trustees prior to the meeting. The information provided to the Trustees described, among other things, the services to be provided by the proposed Sub-Adviser, as well as the proposed Sub-Adviser’s investment personnel, proposed sub-advisory fee, performance information, and other matters. The Board considered that the Adviser had conducted extensive due diligence on the proposed Sub-Adviser from an investment management, operational and compliance perspective. The Board also noted the Adviser’s familiarity with Loomis Sayles’s operational and compliance structure as Loomis Sayles currently serves as a sub-adviser with respect to one or more series, or allocated portions of series, of two investment company affiliates of the Trust, as noted above. The Board also took into account information provided to the Trustees at prior Board meetings. During the meeting, the Trustees met with senior representatives of the Adviser to discuss the Sub-Advisory Agreement and the information provided. The Independent Trustees also met in executive session during the meeting to discuss the Sub-Advisory Agreement and review the information provided. The Independent Trustees were assisted by independent legal counsel prior to and during the meeting and during their deliberations regarding the Sub-Advisory Agreement and also received from legal counsel materials addressing, among other things, the legal standards applicable to their consideration of the Sub-Advisory Agreement.

In approving the Sub-Advisory Agreement, each Trustee, including the Independent Trustees, on the basis of their business judgment after review of the information provided, determined that the proposed sub-advisory fee was fair and reasonable and that the approval of the Sub-Advisory Agreement was in the best interests of the Fund and its shareholders. Although the Board gave attention to all information provided, the following discusses some of the primary factors it deemed relevant to its decision to approve the Sub-Advisory Agreement.

Nature, Quality and Extent of Services

The Board evaluated the nature, quality and extent of the overall services to be provided to the Fund and its shareholders by the proposed Sub-Adviser. In addition to the investment performance and expense information discussed below, the Board considered the proposed Sub-Adviser’s responsibilities with respect to the Fund pursuant to the Sub-Advisory Agreement. The Board considered that the proposed Sub-Adviser, subject to the oversight of the Adviser, would be responsible for making investment decisions with respect to the Fund; placing with brokers or dealers orders for the purchase and sale of investments for the Fund; and performing certain related administrative functions. The Board also considered information regarding the proposed Sub-Adviser’s process for selecting investments for the Fund, as well as information regarding the qualifications and experience of the proposed Sub-Adviser’s portfolio managers who would provide services to the Fund. The Board also considered the Adviser’s familiarity with, and confidence in, the proposed Sub-Adviser, and the results of the Adviser’s due diligence. The Board also considered information regarding the proposed Sub-Adviser’s procedures for executing portfolio transactions for the Fund, and the proposed Sub-Adviser’s policies and procedures for selecting brokers and dealers and, for applicable transactions, obtaining research from brokers and dealers. In

140

addition, the Board considered information regarding the proposed Sub-Adviser’s trading experience and how the proposed Sub-Adviser would seek to achieve “best execution” on behalf of the Fund. The Board also considered information about the impact of the coronavirus pandemic on the proposed Sub-Adviser’s operations and its ability to provide services to the Fund.

The Board also considered that the Trust’s compliance team, as well as Equitable Financial Life Insurance Company’s cybersecurity team, had performed due diligence on Loomis Sayles from an operational and compliance perspective, noting the Adviser’s familiarity with Loomis Sayles’s operational and compliance structure as Loomis Sayles currently serves as a sub-adviser with respect to one or more series, or allocated portions of series, of two investment company affiliates of the Trust, as noted above. The Board also considered the Trust’s Chief Compliance Officer’s evaluation of Loomis Sayles’s compliance program, policies and procedures, and certification that they were consistent with applicable legal standards. The Board also considered whether there were any pending lawsuits, enforcement proceedings or regulatory investigations involving the proposed Sub-Adviser and reviewed information regarding the proposed Sub-Adviser’s financial condition and history of operations and potential conflicts of interest in managing the Fund.

The Board also received and reviewed information regarding the performance of the Fund relative to the hypothetical performance of the income-based strategy and the restructured Fund, as compared to the Fund’s performance benchmark, for various periods. The Board generally considered long-term performance to be more important than short-term performance. The Board noted that the proposed Sub-Adviser does not currently advise or sub-advise other registered mutual funds with investment objectives, policies and strategies similar to those proposed for the restructured Fund. The Board also considered the proposed Sub-Adviser’s expertise, resources, proposed investment strategy, and personnel for advising the Fund.

Based on its review, the Board determined that the nature, quality and extent of the overall services to be provided by the proposed Sub-Adviser were appropriate for the Fund in light of its proposed investment objective and, thus, supported a decision to approve the Sub-Advisory Agreement.

Expenses

With respect to the Sub-Advisory Agreement, the Board considered the proposed sub-advisory fee for the proposed Sub-Adviser in light of the nature, quality and extent of the overall services to be provided by the proposed Sub-Adviser. In this regard, the Board noted that the sub-advisory fee rate to be paid to Loomis Sayles under the proposed Sub-Advisory Agreement is lower at all asset levels than the sub-advisory fee rate paid to the current sub-adviser. In addition, the Board considered the relative levels of the sub-advisory fee to be paid to the proposed Sub-Adviser and the advisory fee to be retained by the Adviser in light of, among other factors, the nature and extent of responsibilities retained and risks assumed by the Adviser and not delegated to or assumed by the proposed Sub-Adviser. In this regard, the Board noted that the appointment of Loomis Sayles is expected to have no material impact on the Adviser’s overall profitability (as discussed below) at the Fund’s current asset levels. The Board considered that the Adviser’s proposed advisory fee reduction and lower expense limitation arrangement would enable the shareholders of the Fund to benefit from the lower sub-advisory fee rate and to be subject to a lower overall net expense ratio.

The Board further noted that the Adviser, and not the Fund, would pay the proposed Sub-Adviser and that the proposed sub-advisory fee was negotiated between the proposed Sub-Adviser and the Adviser. Moreover, the Board noted that the Adviser generally is aware of the fees charged by sub-advisers to other clients and that the Adviser believes that the fee agreed upon with the proposed Sub-Adviser is reasonable in light of the nature, quality and extent of the investment sub-advisory services to be provided. Based on its review, the Board determined that the proposed sub-advisory fee for the proposed Sub-Adviser is fair and reasonable.

With respect to the Advisory Agreement, the Board considered that, based on the advisory fee reduction and the lower expense limitation arrangement described above, it was expected that the net annual operating expense ratio of the Fund would decline by approximately 15 basis points. The Board also noted that, like the current advisory fee schedule, the revised advisory fee schedule includes breakpoints that would reduce the advisory fee rate as the Fund’s assets increase above certain levels and that any such further reduction in the Fund’s advisory fee rate could result in a corresponding reduction in the Fund’s total expense ratio. The Board also noted that, to the extent that the Adviser waives fees pursuant to the revised expense limitation arrangement, the Fund’s actual advisory fee may be lower than the Fund’s contractual advisory fee. Based on its review, the Board determined that the Adviser’s proposed advisory fee for the Fund is fair and reasonable.

141

Profitability and Costs

The Board also considered the estimated impact of the Fund Restructuring on the profitability of the Adviser. In this regard, the Board noted that the proposed sub-advisory fee together with the Adviser’s proposed changes to the Fund’s fee and expense structure are expected to have no material impact on the Adviser’s overall profitability at the Fund’s current asset levels and a modest positive impact on the Adviser’s overall profitability at the Fund’s assets at scale, assuming future growth. The Adviser advised the Board that it does not regard Sub-Adviser profitability as meaningful to its evaluation of the Sub-Advisory Agreement. The Board acknowledged the Adviser’s view of Sub-Adviser profitability, noting the Board’s findings as to the reasonableness of the sub-advisory fee and that the fee to be paid to the proposed Sub-Adviser is the product of negotiations with the Adviser and reflects levels of profitability acceptable to the Adviser and the proposed Sub-Adviser based on the particular circumstances for each of them. The Board noted again that the proposed Sub-Adviser’s fee would be paid by the Adviser and not the Fund and that many responsibilities related to the advisory function are retained by the Adviser. In light of all the factors considered, the Board determined that the anticipated profitability to the Adviser remained within the reasonable range of profitability levels previously reported.

Economies of Scale

The Board also considered whether economies of scale would be realized as the restructured Fund grows larger and the extent to which this is reflected in the proposed sub-advisory fee rate schedule. While recognizing that any precise determination is inherently subject to assumptions and subjective assessments, the Board noted that the proposed sub-advisory fee rate schedule for Loomis Sayles includes a breakpoint that would reduce the sub-advisory fee rate as Fund assets under Loomis Sayles’s management increase above a certain level. In this regard, the Board acknowledged that, at some levels, breakpoints in a sub-advisory fee rate schedule may result in savings to the Adviser and not to shareholders. The Board considered these factors, and the relationship they bear to the revised fee and expense structure proposed to be charged to the restructured Fund by the Adviser, and concluded that there would be a reasonable sharing of benefits from any economies of scale with the Fund. The Board also considered that the Adviser continues to share economies of scale with the Fund and its shareholders through the revised fee and expense structure described above.

Fall-Out and Other Benefits

The Board also considered possible fall-out benefits and other types of benefits that may accrue to the proposed Sub-Adviser, including the following. The Board considered that the proposed Sub-Adviser, through its position as a sub-adviser to the Fund, may engage in “soft dollar” transactions. The Board also considered that the proposed Sub-Adviser may benefit from greater exposure in the marketplace with respect to its investment process and from expanding its level of assets under management, and the proposed Sub-Adviser may derive benefits from its association with the Adviser. Based on its review, the Board determined that any fall-out benefits and other types of benefits that may accrue to the proposed Sub-Adviser are fair and reasonable.

142

CONTROL PERSON AND PRINCIPAL HOLDERS OF SECURITIES (UNAUDITED)

Equitable Investment Management Group, LLC may be deemed to be a control person with respect to the 1290 Funds by virtue of its ownership of a substantial majority of the 1290 Funds’ shares. Shareholders owning more than 25% of the outstanding shares of a Fund may be able to determine the outcome of most issues that are submitted to shareholders for a vote.

PROXY VOTING POLICIES AND PROCEDURES (UNAUDITED)

A description of the policies and procedures that the Funds use to determine how to vote proxies relating to portfolio securities is available (i) without charge, upon request, by calling a toll-free number at 1-888-310-0416 and (ii) on the Securities and Exchange Commission’s website at http://www.sec.gov. Information regarding how the Funds voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge (i) on the Trust’s website at www.1290Funds.com and (ii) on the Securities and Exchange Commission’s website at http://www.sec.gov.

QUARTERLY PORTFOLIO HOLDINGS INFORMATION (UNAUDITED)

The Funds file their complete schedule of portfolio holdings with the Securities and Exchange Commission for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The Funds’ Form N-PORT filings are available on the Securities and Exchange Commission’s website at http://www.sec.gov.

143

Visit the Funds’ Website: 1290Funds.com

Must be accompanied or preceded by a Prospectus. 1290 Funds are distributed by ALPS Distributors, Inc.

DFIN#312802

1290SAR043022

1290 Avenue of the Americas, New York, NY 10104.

Equitable Financial Life Insurance Company


Item 2.		Code of Ethics.

Not required.

Item 3.		Audit Committee Financial Expert.

Not required.

Item 4.		Principal Accountant Fees and Services.

Not required.

Item 5.		Audit Committee of Listed Registrants.

Not applicable

Item 6.		Schedule of Investments.

The Schedule of Investments is included as part of the Semi-Annual Report to Shareholders filed under Item 1 of this Form N-CSR.

Item 7.		Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable.

Item 8.		Portfolio Managers of Closed-End Management Investment Companies.

Not applicable.

Item 9.		Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

Not applicable.

Item 10		Submission of Matters to a Vote of Security Holders.

There have been no material changes to the procedures by which shareholders may recommend nominees to the registrant’s board of trustees.

Item 11		Controls and Procedures.

(a)		The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (“1940 Act”)) are effective as of a date within 90 days prior to the filing date of this report that includes the disclosure required by this paragraph, based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 15d-15(b) under the Securities Exchange Act of 1934, as amended.


(b)		The registrant’s certifying officers are not aware of any change in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 12.		Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.

Not Applicable.

Item 13.		Exhibits.

(a)(1)		Not applicable for the reporting period.

(a)(2)		Certifications pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 are filed herewith.

(b)		Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 are filed herewith.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

1290 FUNDS


By:		/s/ Steven M. Joenk
		Steven M. Joenk
		Chief Executive Officer
		June 30, 2022

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.


By:		/s/ Steven M. Joenk
		Steven M. Joenk
		Chief Executive Officer
		June 30, 2022


By:		/s/ Brian E. Walsh
		Brian E. Walsh
		Chief Financial Officer
		June 30, 2022

CERTIFICATIONS PURSUANT TO SECTION 302

Exhibit (a)(2)

I, Steven M. Joenk, certify that:

1. I have reviewed this report on Form N-CSR of 1290 Funds;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal controls over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.


Date: June 30, 2022		/s/ Steven M. Joenk
		Steven M. Joenk
		Chief Executive Officer

I, Brian E. Walsh, certify that:

1. I have reviewed this report on Form N-CSR of 1290 Funds;

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.


Date: June 30, 2022		/s/ Brian E. Walsh
		Brian E. Walsh
		Chief Financial Officer

CERTIFICATIONS PURSUANT TO SECTION 906

Certifications Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

In connection with the Report on Form N-CSR for 1290 Funds (the “Registrant”), the undersigned hereby certifies, to the best of his knowledge, that:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Registrant.


Date: June 30, 2022		/s/ Steven M. Joenk
		Steven M. Joenk
		Chief Executive Officer

In connection with the Report on Form N-CSR for 1290 Funds (the “Registrant”), the undersigned hereby certifies, to the best of his knowledge, that:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Registrant.


Date: June 30, 2022		/s/ Brian E. Walsh
		Brian E. Walsh
		Chief Financial Officer

A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to 1290 Funds and will be retained by 1290 Funds and furnished to the Securities and Exchange Commission or its staff upon request.