COLORADO BONDSHARES A TAX EXEMPT FUND
N-CSRSfalseCOLORADO BONDSHARES A TAX EXEMPT FUND0000810744N-1A0.0000.0000.0200.0000.0000.0000.8500.0200.1300.0300.0100.2100.5400.0200.0000.040Annualized for period less than one year. 0000810744 2024-10-01 2025-03-31 0000810744 cbs:C000032818Member 2025-03-31 0000810744 cbs:C000032818Member cbs:BBMember 2025-03-31 0000810744 cbs:C000032818Member cbs:AAAAaaMember 2025-03-31 0000810744 cbs:C000032818Member cbs:AAAaMember 2025-03-31 0000810744 cbs:C000032818Member cbs:AAMember 2025-03-31 0000810744 cbs:C000032818Member cbs:BBBBaaMember 2025-03-31 0000810744 cbs:C000032818Member cbs:BBBaMember 2025-03-31 0000810744 cbs:C000032818Member cbs:NOTRATEDMember 2025-03-31 0000810744 cbs:C000032818Member cbs:UTAHPIDMember 2025-03-31 0000810744 cbs:C000032818Member cbs:CASHAndOTHERSASSETSLIABILITIESMember 2025-03-31 0000810744 cbs:C000032818Member cbs:OTHERMember 2025-03-31 0000810744 cbs:C000032818Member cbs:PuertoRicoSectorMember 2025-03-31 0000810744 cbs:C000032818Member cbs:CHARTERSCHOOLSMember 2025-03-31 0000810744 cbs:C000032818Member cbs:COMETRODISTRICTMember 2025-03-31 0000810744 cbs:C000032818Member cbs:SHORTTERMMember 2025-03-31 0000810744 cbs:C000032818Member cbs:HOUSINGMember 2025-03-31 0000810744 cbs:C000032818Member cbs:INDIANTRIBEMember 2025-03-31 0000810744 cbs:C000032818Member 2024-10-01 2025-03-31 iso4217:USD xbrli:pure cbs:Holding
 
 
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:
811-05009
 
 
COLORADO BONDSHARES —
A
TAX-EXEMPT
FUND
(Exact name of registrant as specified in its charter)
 
 
1200 17TH STREET, SUITE 850
DENVER, COLORADO 80202-5808
(Address of principal executive offices) (Zip code)
 
 
FRED R. KELLY, JR.
1200 17TH STREET, SUITE 850
DENVER, COLORADO 80202-5808
(Name and address of agent for service)
 
 
Registrant’s telephone number, including area code:
303-572-6990
Date of fiscal year end:
09/30
Date of reporting period:
03/31/2025
 
 
 

Item 1.
Reports to Stockholders.

 
COLORADO BONDSHARES A TAX-EXEMPT FUND
  LOGO
TICKER: HICOX
 
 
Semi-Annual Shareholder Report (March 31, 2025)
This semi-annual shareholder report contains important information about the Colorado BondShares A Tax-Exempt Fund (“Fund”) for the period of October 1, 2024 to March 31, 2025. You can find additional information about the Fund at www.coloradobondshares.com. You can also request this information by contacting us at
1-800-572-0069.
 
 
What were the Fund costs for the last six
months
?
(Based on a hypothetical $10,000 investment)
 
     
Fund (Class)
    
Costs of a $10,000
investment
      
Costs paid as a percentage of a
$10,000 investment*
 
     
Colorado BondShares        $28          0.56%  
*Annualized for period less than one year.
 
 
What are the Key Fund statistics you should know?
The following table outlines key fund statistic that you should pay attention to:
 
   
Fund’s net assets
   $ 1,845,973,147  
   
Total number of portfolio holdings
     315  
   
Total advisory fees paid
   $ 4,571,786  
   
Portfolio turnover rate as of the end of the reporting period
     4.54%  
 
   

 
What is the fund invested
in
?
The tables and charts below show the investment makeup of the fund, representing percentage of total net asset of the fund.
Portfolio Breakdown by Credit Rating
(As of March 31, 2025)
 

Portfolio Breakdown by Type of Investment
(As of March 31, 2025)
 
 
 
How can you get additional information about the fund?
You can find additional information about the Fund such as the prospectus, financial information, fund holdings and proxy voting information at www.coloradobondshares.com. You can also request this information by contacting us at
1-800-572-0069.
 
 
 
 
2
   
C
OLORADO
 B
OND
S
HARES


Item 2.

Code of Ethics.

Not applicable for this reporting period.

 

Item 3.

Audit Committee Financial Expert.

Not applicable for this reporting period.

 

Item 4.

Principal Accountant Fees and Services.

Not applicable for this reporting period.

 

Item 5.

Audit Committee of Listed Registrants.

Not applicable.

 

Item 6.

Investments.

(a) Schedule of Investments is included as part of the financial statements filed under Item 7 of this Form N-CSR.

(b) Not applicable.


Item 7. Financial Statements and Financial Highlights for Open-End Management Investment Companies.

 

LOGO

 

COLORADO BONDSHARES — A TAX-EXEMPT FUND

(HICOX)

 

Semi-Annual Financial Statements

March 31, 2025

 

(303) 572-6990

www.coloradobondshares.com


COLORADO BONDSHARES

A TAX-EXEMPT FUND

Schedule of Investments

March 31, 2025 (unaudited)

 

     Maturity      Coupon     Principal      Value  

Colorado Municipal Bonds 60.5%

 

Colorado 100.0%

 

Aberdeen MD #1 - Series A - 2035

     12/1/2035        7.50   $ 1,600,000      $ 1,600,000  

Anthology West MD #5 - Series A - 2049

     12/1/2049        4.88     4,575,000        3,958,473  

Anthology West MD #5 - Series B - 2049 (g)

     12/15/2049        7.63     698,000        657,621  

Aspen Street MD - Series A - 2050 (g)

     12/1/2050        5.13     4,300,000        3,533,697  

Banning Lewis Ranch Regional MD - Series A - 2048

     12/1/2048        5.38     2,500,000        2,436,600  

Banning Lewis Ranch Regional MD - Series B - 2041 (g)

     12/15/2041        7.75     625,000        611,750  

Base Village MD #2 - Series B – 2048 (g)

     12/15/2048        6.50     3,500,000        2,729,020  

Belford North MD - Series A - 2050

     12/1/2050        5.50     4,000,000        3,499,720  

Belford North MD - Series B - 2050 (g)

     12/15/2050        8.50     3,475,000        3,340,587  

Bennett Crossing MD #1 - Series A - 2049

     12/1/2049        6.13     6,160,000        6,108,934  

Bennett Ranch MD #1 - Series A - 2051

     12/1/2051        5.00     3,000,000        2,631,720  

Bennett Ranch MD #1 - Series B - 2051 (g)

     12/15/2051        7.50     1,221,000        1,131,025  

Bent Grass MD - Series A - 2049

     12/1/2049        5.25     1,690,000        1,606,920  

Bradburn MD #2 - Series C - 2051 (g)

     12/15/2051        7.50     3,271,000        3,026,656  

Bramming Farm MD #1 - Series A - 2044

     12/1/2044        6.00     1,845,000        1,815,978  

Brighton Crossing MD #6 - Series A - 2035

     12/1/2035        5.00     525,000        527,704  

Brighton Crossing MD #6 - Series A - 2040

     12/1/2040        5.00     1,545,000        1,521,562  

Brighton Crossing MD #6 - Series A - 2050

     12/1/2050        5.00     9,020,000        8,619,963  

Broomfield Village MD #2 - Series A - 2049

     12/1/2049        5.00     1,417,000        1,327,276  

Buckley Yard MD #2 - Series A - 2052

     12/1/2052        6.25     6,800,000        6,723,976  

Buckley Yard MD #2 - Series B - 2052 (g)

     12/15/2052        9.25     1,569,000        1,570,946  

CCP MD 3 - Series A - 2053

     12/1/2053        5.00     1,200,000        1,169,880  

Canyons MD 5 - Series B - 2054

     12/1/2054        6.50     2,064,000        2,106,333  

Castleview MD #2 - Series A - 2050

     12/1/2050        5.00     3,435,000        3,033,414  

Castleview MD #1 - Series A - 2050 (g)

     12/1/2050        5.00     4,727,000        3,882,332  

Cherry Creek South MD #5 - Series A - 2051 (g)

     12/1/2051        6.00        22,500,000           18,820,575  

Cherry Hills City MD - Series A - 2047 (g)

     12/1/2047        5.00     1,375,000        1,308,794  

Cielo MD - Series A - 2050 (g)

     12/1/2050        5.25     12,442,000        10,897,948  

City Center West Residential MD #2 - Series A - 2049

     12/1/2049        5.00     2,080,000        1,913,995  

City Center West Residential MD #2 - Series B - 2049 (g)

     12/15/2049        7.75     1,425,000        1,345,499  

Cityset MD #2 - Series A - 2030

     12/1/2030        3.50     4,570,000        4,170,079  

Cityset MD #2 - Series A - 2040

     12/1/2040        4.38     8,360,000        7,347,019  

Cityset MD #2 - Series A - 2045

     12/1/2045        4.50     3,180,000        2,745,135  

Clear Creek Transit MD #2 - Series A - 2041

     12/1/2041        5.00     1,886,000        1,495,164  

Clear Creek Transit MD #2 - Series A - 2050

     12/1/2050        5.00     4,100,000        3,047,612  

Cloverleaf MD - Series A - 2051

     12/1/2051        6.00     2,330,000        2,339,390  

Cloverleaf MD - Series B - 2051 (g)

     12/15/2051        9.25     1,034,000        1,046,956  

Colliers Hill MD #2 - Series B – 2047 (g)

     12/15/2047        5.75     2,250,000        2,188,530  

Colliers Hill MD #3 - Series A - 2040

     12/1/2040        5.25     8,300,000        7,980,948  

Colliers Hill MD #3 - Series A - 2048

     12/1/2048        5.50     18,250,000        17,461,418  

Colliers Hill MD #3 - Series B - 2043 (g)

     12/15/2043        8.50     2,213,000        2,056,452  


Colorado Centre MD - Series B - 2032 (g)(i)

     1/1/2032        0.00   6,592,306      2,966,538  

Colorado Centre MD - Series A (PO) - 2027 (e)(i)

     1/1/2027        0.00     2,074,674        1,935,878  

Colorado Centre MD - Series A (IO) - 2027 (f)(i)

     1/1/2027        9.00     2,131,449        1,278,869  

CECFA Swallow Academy - Series A - 2027 (m)

     11/15/2027        5.35     3,110,000        3,047,738  

CECFA Addenbrooke Classical Academy - Series A - 2027 (m)

     6/1/2027        4.50     23,905,000        23,830,655  

CECFA Imagine Charter School at Firestone - Series A - 2027 (m)

     6/1/2027        4.50     17,345,000        17,291,057  

CECFA Academy Of Advanced Learning - Series A - 2027 (m)

     6/1/2027        4.38     8,370,000        8,138,151  

CECFA Chavez/Huerta Preparatory - Series A - 2027 (m)

     7/1/2027        4.38     35,975,000        34,101,062  

CECFA Swallows Charter Academy - Series A - 2027 (m)

     11/15/2027        4.38     6,525,000        6,242,598  

CECFA Vanguard Classical School - Series A - 2027 (m)

     7/1/2027        4.38     23,685,000        22,832,103  

CECFA Third Future School - Series A - 2029 (m)

     7/1/2029        4.25     5,645,000        5,189,166  

CECFA Grand Peak Academy - Series A - 2031 (m)

     7/1/2031        4.00     2,150,000        1,947,363  

CECFA Grand Peak Academy - Series A - 2041 (m)

     7/1/2041        4.25     5,040,000        4,033,058  

CECFA Grand Peak Academy - Series A - 2051 (m)

     7/1/2051        4.50     13,070,000        9,950,191  

CECFA Doral Academy - Series A - 2028 (m)

     7/15/2028        4.50        19,405,000           17,911,979  

CECFA Civica Career & Collegiate Academy - Series A - 2029 (m)

     7/15/2029        4.75     7,790,000        7,464,222  

CECFA Chavez/Huerta Academy - Series A - 2027 (m)

     7/1/2027        4.50     8,220,000        7,812,863  

CECFA Mountain Sage Community School - Series A - 2029 (m)

     7/1/2029        4.75     3,945,000        3,885,075  

CECFA Mountain Song Community School - Series A - 2029 (m)

     7/1/2029        4.75     5,810,000        5,730,461  

CECFA CEC / Aurora Charter School - Series A - 2032 (m)

     7/1/2032        5.00     76,170,000        75,542,359  

CECFA CEC / CSEC BC Project - Series A - 2032 (m)

     1/1/2032        4.88     3,785,000        3,756,537  

CECFA CEC / CSEC BC Project - Series A - 2037 (m)

     1/1/2037        5.00     3,595,000        3,529,966  

CECFA CEC / CSEC BC Project - Series A - 2042 (m)

     1/1/2042        5.13     40,335,000        39,436,740  

CECFA Global Village Academy - Senior Bonds - 2029 (m)

     6/15/2029        5.85     11,630,000        11,638,490  

CECFA Fort Collins Montessori School - Series A - 2029 (m)

     7/1/2029        6.13     17,790,000        17,816,863  

CECFA Colorado Skies Academy - Series A - 2030 (m)

     7/1/2030        7.00     10,595,000        10,765,580  

Colorado Crossing MD #2 - Series A - 2047

     12/1/2047        5.00     4,000,000        3,807,400  

Colorado Crossing MD #2 - Series A - 2050

     12/1/2050        5.00     4,000,000        3,743,000  

700 Kalamath LLC - Series A - 2025 (a)(j)

     12/1/2025        0.00     3,755,000        3,500,000  

Hudson Asphalt Terminal Project – Series A – 2034 (m)

     10/1/2034        7.25     10,000,000        10,360,400  

Hudson Asphalt Terminal Project – Series B – 2034 (m)

     10/1/2031        9.75     10,000,000        10,339,200  

Colorado International Center MD #3 - Series A - 2031

     12/1/2031        4.63     539,000        520,227  

Colorado Science & Tech Park MD #1 - Series B - 2039

     12/15/2039        4.13     185,000        180,022  

Colorado Science & Tech Park MD #1 - Series B - 2044

     12/15/2044        4.50     215,000        215,226  

Colorado Science & Tech Park MD #1 - Series B - 2054

     12/15/2054        4.75     635,000        638,893  

Conestoga MD #2 - Series A - 2051 (g)

     12/1/2051        5.25     1,625,000        1,462,191  

Conifer MD - Series A - 2030 (j)

     12/1/2030        0.00     10,000,000        4,514,271  

Conifer MD - Series A - 2032 (j)

     12/1/2032        0.00     1,450,000        654,569  

Conifer MD - Series A - 2033 (j)

     12/1/2033        0.00     1,550,000        699,712  

Constitution Heights MD - Series A - 2049

     12/1/2049        5.00     1,758,000        1,644,433  

Copperleaf MD #9 - Series A - 2051 (g)

     12/1/2051        4.88     8,175,000        6,552,508  

Country Club Highlands MD - Series A - 2037

     12/1/2037        7.25     1,030,000        947,600  

Crowfoot Valley Ranch MD #2 - Series B - 2054 (g)

     12/15/2054        6.13     2,750,000        2,703,250  

Dakota Ridge MD - Series A - 2052 (g)

     12/1/2052        6.00     2,339,000        2,361,805  

Deer Creek Villas MD - Series A - 2055

     12/1/2055        5.00     6,085,000        5,592,237  

Denver Intl Business Center MD #1 - Series B - 2048 (g)

     12/1/2048        6.00     4,578,000        4,657,886  

E86 MD - Series A - 2051 (g)

     12/1/2051        5.13     4,060,000        3,426,762  

Eagle Brook Meadows MD #3 - Series A – 2051 (g)

     12/1/2051        5.00     1,600,000        1,404,368  

Erie Highlands MD #2 - Series A - 2048

     12/1/2048        5.25     6,000,000        6,011,040  


Erie Highlands MD #2 - Series B - 2048 (g)

     12/15/2048        7.63   1,819,000      1,759,555  

Fitzsimons Village MD #1 - Series A - 2049

     12/1/2049        5.00     1,037,000        995,738  

Fitzsimons Village MD #1 - Series B - 2049 (g)

     12/15/2049        7.00     611,000        563,947  

Fitzsimons Village MD #3 - Series A - 2026

     12/1/2026        4.00     1,640,000        1,639,606  

Fitzsimons Village MD #3 - Series A - 2031

     12/1/2031        4.00     500,000        490,235  

Fitzsimons Village MD #3 - Series A - 2041

     12/1/2041        4.00     4,445,000        3,943,248  

Fitzsimons Village MD #3 - Series A - 2055

     12/1/2055        4.25     9,660,000        7,877,150  

Flying Horse MD #2 - Series B - 2050 (g)(m)

     12/15/2050        7.25     15,405,000        14,468,530  

Flying Horse MD #3 - Series A - 2049 (g)

     12/1/2049        6.00     2,965,000        2,973,510  

Gold Hill North BID - Series A - 2054 (m)

     12/1/2054        5.60     3,600,000        3,498,804  

Golden Eagle Acres MD #2 - Series A - 2051 (g)

     12/1/2051        4.50     2,759,000        2,293,308  

Green Gables MD #3 - Series B – 2053 (g)

     12/15/2053        8.25     2,984,000        3,096,348  

Green Valley Ranch East MD #6 - Series A - 2050

     12/1/2050        5.88     3,325,000        3,314,560  

Greenspire MD #1 - Series A - 2051

     12/1/2051        5.13     1,925,000        1,739,796  

Greenways MD #1 - Series A - 2051 (g)

     12/1/2051        4.63     6,845,000        4,851,736  

Hess Ranch MD #6 - Series A - 2049

     12/1/2049        5.00     5,000,000        4,514,500  

Hidden Creek MD - Series A - 2045 (g)

     12/1/2045        4.63     3,430,000        2,823,713  

Highlands Mead MD - Series A - 2050

     12/1/2050        5.13     1,395,000        1,323,743  

Hogback MD - Series A - 2041

     12/1/2041        5.00     725,000        702,155  

Hogback MD - Series A - 2051

     12/1/2051        5.00     1,550,000        1,456,442  

Horizon MD #2 - Series A - 2051 (g)

     12/1/2051        4.50     11,657,000        8,380,800  

Hunter’s Overlook MD #7 - Series A - 2051 (g)

     12/1/2051        5.50     3,525,000        3,283,079  

Hyland Village MD - Series A - 2027

     12/1/2027        10.00     4,770,000        4,102,200  

Independence MD #3 - Series A - 2054

     12/1/2054        5.38     4,500,000        4,373,595  

Indy Oak Tod MD - Series A - 2050

     12/1/2050        5.50     1,060,000        1,096,040  

Indy Oak Tod MD - Series B - 2050 (g)

     12/15/2050        8.00     736,000        762,437  

Inspiration MD - Series B - 2036 (g)

     12/15/2036        5.00     732,000        663,997  

Jay Grove MD - Series A - 2051 (g)

     12/1/2051        4.25     2,450,000        1,896,374  

Jeffco Business Center MD #1 - Series A - 2025 (j)

     5/1/2028        8.00     1,006,000        1,025,682  

Jefferson Center MD #1 - Series B - 2050 (g)

     12/15/2050        5.75     14,414,000        14,496,736  

Karl’s Farm MD #2 - Series A - 2040

     12/1/2040        5.38     1,155,000        1,200,900  

Karl’s Farm MD #2 - Series A - 2050

     12/1/2050        5.63     3,030,000        3,153,503  

Karl’s Farm MD # 2 - Series B - 2049 (g)

     12/15/2044        6.20     567,000        582,230  

Lafferty Canyon MD - Series A - 2055

     12/1/2055        5.63     1,500,000        1,474,665  

Lafferty Canyon MD - Series B - 2055 (g)

     12/1/2055        8.00     835,000        832,378  

The Lakes MD #4 - Series A - 2061 (g)

     12/1/2061        5.50     20,080,000        16,757,362  

Lanterns MD #2 - Series A - 2050 (g)

     12/1/2050        4.50     12,492,000        9,665,435  

Legato Community Authority - Series A - 2036

     12/1/2036        4.00     2,130,000        1,795,590  

Legato Community Authority - Series A - 2046

     12/1/2046        5.00     1,000,000        873,500  

Legato Community Authority - Series A - 2051

     12/1/2051        5.00     2,500,000        2,125,100  

Loretto Heights Community Authority - Series A - 2051 (g)

     12/1/2051        4.88     12,750,000        10,111,643  

Marin MD - Series A - 2028 (a)(j)

     12/1/2028        0.00     17,485,000        1,573,650  

Mayfield MD - Series A - 2050

     12/1/2050        5.75     1,182,000        1,191,811  

Mayfield MD - Series B - 2050 (g)

     12/15/2050        8.25     622,000        612,539  

Mayfield MD - Series C - 2050

     12/15/2050        3.00     766,000        329,418  

Meadows MD #1 - Series A - 2029 (k)

     6/1/2029        8.00        30,730,000           30,380,907  

Meadows MD #2 - Series A - 2029 (k)

     6/1/2029        8.00     23,830,000        23,559,291  

Meadows MD #7 - Series A - 2029 (k)

     6/1/2029        8.00     15,440,000        15,264,602  

Meadowlark MD - Series A - 2040

     12/1/2040        4.88     1,032,000        1,035,292  


Meadowlark MD - Series A - 2050

     12/1/2050        5.13   1,505,000      1,485,179  

Mineral BID - Series A - 2054 (m)

     12/1/2054        5.75     1,750,000        1,767,220  

Mirabelle MD #2 - Series B - 2049 (g)

     12/15/2049        6.13     2,000,000        2,001,420  

Monument Junction MD #1 - Series A - 2051 (g)

     12/1/2051        5.75     12,258,000        10,836,072  

Mount Carbon MD - Series C - 2043

     6/1/2043        0.00     521,078        521,349  

Mountain Brook MD - Series A - 2051

     12/1/2051        4.75     7,740,000        6,215,762  

Mountain Brook MD - Series A - 2041

     12/1/2041        4.50     1,000,000        841,750  

Mountain Shadows MD - Series A - 2035

     12/1/2035        5.00     488,000        489,513  

Muegge Farms MD #1 - Series A - 2051 (g)

     12/1/2051        5.00     6,300,000        5,403,006  

Muegge Farms MD #3 - Series A - 2051 (g)

     12/1/2051        5.50     10,431,000        9,120,866  

Murphy Creek MD #5 - Series A - 2052

     12/1/2052        6.00     2,645,000        2,625,189  

Newlin Crossing MD - Series A - 2054 (m)

     12/1/2054        5.38     1,150,000        1,135,798  

Newlin Crossing MD - Series B - 2054 (g)(m)

     12/1/2054        7.75     604,000        602,297  

Nine Mile MD - Series A - 2030

     12/1/2030        4.63     1,125,000        1,131,131  

Nine Mile MD - Series A - 2040

     12/1/2040        5.13     2,500,000        2,508,400  

North Range MD #3 - Series A - 2040

     12/1/2040        5.00     2,000,000        1,988,800  

Painted Prairie Improvement Authority - Series A - 2029

     12/1/2029        4.00     1,000,000        962,570  

Parkdale Community Authority - Series A - 2040

     12/1/2040        5.00     3,140,000        2,979,012  

Parkdale Community Authority - Series A - 2050

     12/1/2050        5.25     5,620,000        5,147,751  

Parkdale Community Authority - Series B - 2050 (g)

     12/15/2050        7.75     2,424,000        2,458,009  

Parkdale Community Authority MD #2 - Series B - 2053 (g)

     12/15/2053        9.00     1,391,000        1,407,469  

Parker Automotive MD - Series A - 2045

     12/1/2045        5.00     1,819,000        1,871,587  

Pinery Commercial MD 2 - Series A - 2054

     12/1/2054        5.75     3,200,000        3,204,064  

Pioneer Community Authority - Series B - 2050 (g)

     12/15/2050        6.75        24,592,000         23,031,638  

The Plaza MD #1 - Series A - 2040 (m)

     12/1/2040        5.00     7,850,000        7,697,867  

Powhaton Community Authority - Series A - 2051 (g)

     12/1/2051        5.00     7,450,000        6,441,568  

Pronghorn Valley MD - Series A - 2041

     12/1/2041        3.75     515,000        441,906  

Pronghorn Valley MD - Series A - 2051

     12/1/2051        4.00     4,400,000        3,631,320  

PFA / Monument Academy - Series A - 2026 (m)

     6/1/2026        5.00     28,165,000        27,967,000  

Reata Ridge Village MD #2 - Series A - 2049

     12/1/2049        5.00     1,760,000        1,637,310  

Remuda Ridge MD - Series A - 2051 (g)

     12/1/2051        5.63     5,520,000        4,868,971  

Reserve MD #2 - Series A - 2045

     12/1/2045        5.00     500,000        484,490  

Ritoro MD - Series B - 2057 (g)

     12/15/2057        6.25     658,000        647,683  

Riverdale Peaks II MD - Series A - 2035

     12/1/2035        6.50     1,135,000        1,021,500  

Riverpark MD - Series A - 2054

     12/1/2054        6.38     1,415,000        1,432,886  

Riverview MD - Series A - 2041

     12/1/2041        5.00     1,105,000        1,047,883  

Riverview MD - Series A - 2051

     12/1/2051        5.00     2,075,000        1,845,650  

Rock Creek MD - Series A - 2041

     12/1/2041        4.50     2,230,000        1,844,232  

Rock Creek MD - Series A - 2050

     12/1/2050        4.75     3,880,000        3,054,220  

Rock Creek MD - Series A - 2031 (g)

     12/1/2031        4.00     3,432,000        3,132,558  

Rose Farm Acres MD - Series A - 2050

     12/1/2050        5.00     2,935,000        2,723,533  

Rose Farm Acres MD - Series B - 2050 (g)

     12/15/2050        8.75     910,000        902,957  

RRC MD #2 - Series A - 2051 (g)

     12/1/2051        5.25     5,625,000        4,849,706  

Sabell MD - Series A - 2050 (g)

     12/1/2050        5.00     1,053,000        1,022,084  

Sabell MD - Series B - 2050 (g)

     12/15/2050        8.25     605,000        605,012  

Scott Gulch MD - Series A - 2053 (m)

     12/1/2053        6.50     3,160,000        3,177,886  

Scott Gulch MD - Series B - 2053 (g)(m)

     12/15/2053        8.75     694,000        698,004  

Silver Peaks East MD - Series A - 2051 (g)

     12/1/2051        5.00     5,410,000        4,703,292  

64th Avenue ARI Authority - Series A - 2043 (g)

     12/1/2043        6.50     5,000,000        4,944,700  


Sky Dance MD #2 - Series A - 2054

     12/1/2054        6.00     2,500,000        2,459,275  

Solitude MD - Series A - 2026 (j)

     12/1/2026        7.00     3,520,000        3,218,283  

Southlands MD #1 - Series A - 2037

     12/1/2037        5.00     500,000        500,465  

Southlands MD #1 - Series A - 2047

     12/1/2047        5.00     3,000,000        2,924,640  

Southshore MD #2 - Series B - 2041 (g)

     12/15/2041        4.13     9,690,000        9,352,885  

Spring Hill MD #3 - Series A - 2052

     12/1/2052        6.75     1,220,000        1,239,581  

Spring Valley MD #4 - Series A - 2040

     12/1/2040        5.00     1,410,000        1,306,929  

Spring Valley MD #4 - Series A - 2050

     12/1/2050        5.12     1,775,000        1,564,716  

Spring Valley MD #4 - Series B - 2050 (g)

     12/15/2050        7.63     2,811,000        2,604,673  

STC MD #2 - Series A - 2029

     12/1/2029        4.00     1,615,000        1,588,223  

STC MD #2 - Series A - 2038

     12/1/2038        5.00     15,160,000        14,793,583  

STC MD #2 - Series B - 2049 (g)

     12/15/2049        8.00     3,954,000        3,812,012  

Sterling Ranch Community Authority - Series A - 2054

     12/1/2054        6.50     1,000,000        1,026,390  

Sterling Ranch MD # 4/B - Series A - 2054

     12/1/2054        5.75     2,305,000        2,298,615  

Sterling Ranch MD #2 - Series A - 2032

     12/1/2032        5.25     1,340,000        1,338,982  

Sterling Ranch MD #2 - Series A - 2042

     12/1/2042        5.50     5,645,000        5,514,375  

Sterling Ranch MD #2 - Series A - 2051

     12/1/2051        5.75     11,750,000        11,559,180  

Stone Ridge MD #2 - Series A - 2031

     12/1/2031        0.00     11,896,000        1,903,360  

Third Creek MD #1 - Series A - 2037

     12/1/2037        4.50     1,130,000        990,196  

Third Creek MD #1 - Series A - 2042

     12/1/2042        4.50     3,140,000        2,571,880  

Third Creek MD #1 - Series A - 2051

     12/1/2051        4.75     7,390,000        5,823,098  

Thompson Crossing MD #4 - Series A - 2039

     12/1/2039        5.00     1,410,000        1,412,778  

Thompson Crossing MD #4 - Series A - 2049

     12/1/2049        5.00     1,315,000        1,245,344  

Trailside MD #4 - Series B - 2051 (g)

     12/15/2051        7.00     3,249,000        3,219,921  

Trailside MD #6 - Series A - 2053 (g)

     12/1/2053        7.75     2,181,000        2,191,949  

Valagua MD - Series A - 2037

     12/1/2037        0.00     11,500,000        2,300,000  

Villages At Murphy Creek MD #1 - Series A - 2051 (g)

     12/1/2051        5.50     12,358,000        10,736,260  

Vincent Village MD - Series A - 2051

     12/1/2051        5.00     1,970,000        1,697,569  

Water Valley MD #3 - Series A - 2054

     12/1/2054        5.25     600,000        597,360  

Waterfall MD #1 - Series A - 2052

     12/1/2052        5.25     2,265,000        2,116,212  

Westcreek MD #2 - Series A - 2048

     12/1/2048        5.38     1,284,000        1,264,727  

Westerly MD #4 - Series A - 2031

     12/1/2031        4.13     600,000        576,438  

Westerly MD #4 - Series A - 2040

     12/1/2040        5.00     2,255,000        2,230,353  

Westerly MD #4 - Series A - 2050

     12/1/2050        5.00     5,250,000        5,059,898  

White Buffalo MD #3 - Series A - 2050

     12/1/2050        5.50     4,780,000        4,671,542  

Woodmen Heights MD #2 - Series C - 2040 (g)

     12/15/2040        7.50     3,358,000        3,176,064  

Wyndham Hill MD #2 - Series B - 2049 (g)

     12/15/2049        7.63     9,600,000        9,182,208  
       

 

 

    

 

 

 

Colorado (amortized cost $1,173,648,360)

          1,239,081,507        1,116,907,575  
       

 

 

    

 

 

 

Colorado Municipal Bonds (amortized cost $1,173,648,360)

        $ 1,239,081,507      $ 1,116,907,575  
       

 

 

    

 

 

 
Other Municipal Bonds 6.6%  

South Dakota 56.2%

 

Flandreau Santee Sioux Tribe / Healthcare - Series A - 2036 (m)

     1/1/2036        5.75   $ 6,055,000      $ 4,572,009  

Flandreau Santee Sioux Tribe / Healthcare - Series A - 2031 (m)

     1/1/2031        5.50     3,565,000        3,018,842  

Flandreau Santee Sioux Tribe / Gaming - Series B - 2038 (g)(m)

     1/1/2038        6.00     6,120,000        5,191,535  

Flandreau Santee Sioux Tribe / Gaming - Series C - 2038 (m)

     1/1/2038        6.00     5,450,000        4,623,181  

Flandreau Santee Sioux Tribe / Gaming - Series A - 2027 (m)

     1/1/2027        8.28     1,205,000        1,179,201  

Flandreau Santee Sioux Tribe / Gaming - Series A - 2028 (m)

     1/1/2028        8.28     1,305,000        1,268,982  


Flandreau Santee Sioux Tribe / Gaming - Series A - 2033 (m)

     1/1/2033        8.28   8,670,000        8,285,919  

Flandreau Santee Sioux Tribe / Healthcare NH - Series A - 2026 (m)

     7/1/2026        5.75     785,000      764,284  

Flandreau Santee Sioux Tribe / Healthcare NH - Series A - 2027 (m)

     7/1/2027        5.75     830,000        791,521  

Flandreau Santee Sioux Tribe / Healthcare NH - Series A - 2028 (m)

     7/1/2028        5.75     875,000        819,341  

Flandreau Santee Sioux Tribe / Healthcare NH - Series A - 2029 (m)

     7/1/2029        5.75     930,000        854,177  

Flandreau Santee Sioux Tribe / Healthcare NH - Series A - 2030 (m)

     7/1/2030        5.75     980,000        883,156  

Flandreau Santee Sioux Tribe / Healthcare NH - Series A - 2031 (m)

     7/1/2031        5.75     1,040,000        920,972  

Flandreau Santee Sioux Tribe / Healthcare NH - Series A - 2032 (m)

     7/1/2032        5.75     1,095,000        953,329  

Flandreau Santee Sioux Tribe / Healthcare NH - Series A - 2033 (m)

     7/1/2033        5.75     1,160,000        993,726  

Flandreau Santee Sioux Tribe / Healthcare NH - Series A - 2034 (m)

     7/1/2034        5.75     1,225,000        1,034,035  

Flandreau Santee Sioux Tribe / Healthcare NH - Series A - 2035 (m)

     7/1/2035        5.75     1,300,000        1,082,081  

Flandreau Santee Sioux Tribe / Healthcare NH - Series A - 2040 (m)

     7/1/2040        6.00     7,730,000        6,114,430  

Flandreau Santee Sioux Tribe / Healthcare NH - Series A - 2045 (m)

     7/1/2045        6.25     10,395,000        8,019,327  

Oglala Sioux Tribe / Healthcare - Series A - 2028 (m)

     7/1/2028        5.50     1,800,000        1,704,708  

Oglala Sioux Tribe / Healthcare - Series A - 2037 (m)

     7/1/2037        6.00     9,270,000        7,527,240  

Oglala Sioux Tribe / Healthcare - Series B - 2041 (m)

     9/1/2041        6.50     5,700,000        4,641,510  

Oglala Sioux Tribe - Series C - 2026 (m)

     10/1/2026        8.00     800,000        797,296  

Oglala Sioux Tribe - Series A - 2027 (m)

     10/1/2027        4.50     2,370,000        2,227,421  
       

 

 

    

 

 

 

South Dakota (amortized cost $80,655,000)

             80,655,000           68,268,222  
       

 

 

    

 

 

 

Utah 34.0%

 

Arrowhead Springs PID - Series A - 2054 (m)

     12/1/2054        5.63     3,200,000        3,201,056  

Coral Canyon IFD - Series A - 2053 (m)

     12/1/2053        5.50     13,545,000        13,241,321  

Fields Estate PID - Series A - 2055 (m)

     12/1/2053        6.13     825,000        826,254  

Fields Estate PID - Series B - 2053 (m)

     3/15/2055        8.75     504,000        500,674  

Fields Estate PID - Series A2 - 2053 (g)(m)

     12/1/2053        5.25     2,750,000        2,644,153  

Ares Strategic Mining - Series A - 2034 (m)

     12/15/2034        10.00     10,000,000        9,242,500  

Pointe West PID - Series A - 2053 (m)

     12/15/2053        5.50     3,090,000        2,990,966  

Soleil Hills PID - Series A - 2055 (m)

     3/1/2055        5.88     2,425,000        2,389,159  

Range IFD - Series A - 2053 (m)

     12/1/2053        5.50     6,515,000        6,253,097  
       

 

 

    

 

 

 

Utah (amortized cost $41,901,619)

          42,854,000        41,289,178  
       

 

 

    

 

 

 

Puerto Rico 8.1%

 

Puerto Rico - Series A - 2027

     7/1/2027        5.63     102,175        105,792  

Puerto Rico - Series A - 2029

     7/1/2029        5.63     100,517        107,675  

Puerto Rico - Series A - 2031

     7/1/2031        5.75     97,632        107,267  

Puerto Rico - Series A - 2033

     7/1/2033        4.00     92,580        90,644  

Puerto Rico - Series A - 2035

     7/1/2035        4.00     83,217        79,496  

Puerto Rico - Series A - 2037

     7/1/2037        4.00     71,422        67,504  

Puerto Rico - Series A - 2041

     7/1/2041        4.00     97,107        88,800  

Puerto Rico - Series A - 2046

     7/1/2046        4.00     100,990        88,038  

Puerto Rico - Series A - 2033

     7/1/2033        4.64     119,142        81,633  

Puerto Rico - Series A - 2043

     7/1/2043        3.00     383,020        239,867  

Puerto Rico / Sales Tax - Series A - 2034

     7/1/2034        4.50     277,000        275,216  

Puerto Rico / Sales Tax - Series A - 2040

     7/1/2040        4.55     140,000        138,573  

Puerto Rico / Sales Tax - Series A - 2053

     7/1/2053        4.75     1,028,000        988,371  

Puerto Rico / Sales Tax - Series A - 2058

     7/1/2058        5.00     2,600,000        2,560,376  

Puerto Rico / Sales Tax - Series A - 2027

     7/1/2027        4.41     267,000        244,796  

Puerto Rico / Sales Tax - Series A - 2029

     7/1/2029        4.69     260,000        220,004  


Puerto Rico / Sales Tax - Series A - 2031

     7/1/2031        4.96     336,000        262,997  

Puerto Rico / Sales Tax - Series A - 2033

     7/1/2033        5.20     378,000        270,886  

Puerto Rico / Sales Tax - Series A - 2046

     7/1/2046        5.97     3,597,000        1,173,845  

Puerto Rico / Sales Tax - Series A - 2051

     7/1/2051        6.02     2,930,000        707,654  

Puerto Rico / Sales Tax - Series A - 2040

     7/1/2040        4.33     1,424,000        1,387,531  

Puerto Rico / Sales Tax - Series A - 2053

     7/1/2053        4.54     43,000        40,267  

Puerto Rico / Sales Tax - Series A - 2058

     7/1/2058        4.78     571,000        543,512  
       

 

 

    

 

 

 

Puerto Rico (amortized cost $8,993,865)

          15,098,802        9,870,745  
       

 

 

    

 

 

 

Washington 1.4%

 

Tacoma / Local Improvement District #65 - Series A - 2043

     4/1/2043        5.75     1,750,000        1,691,550  
       

 

 

    

 

 

 

Washington (amortized cost $1,638,630)

          1,750,000        1,691,550  
       

 

 

    

 

 

 

California 0.2%

 

Freddie Mac – 2035 (g)(j)

     8/15/2035        6.50     244,917        254,123  
       

 

 

    

 

 

 

California (amortized cost $244,917)

          244,917        254,123  
       

 

 

    

 

 

 

Other Municipal Bonds (amortized cost $133,434,030)

        $ 140,602,719      $ 121,373,818  
       

 

 

    

 

 

 
Short-Term Municipal Bonds 3.1%  

Colorado 84.6%

 

Boulder College of Massage - Series A - 2031 (a)(j)

     10/15/2031        0.00   $ 4,315,000      $ 2,031,918  

CECFA Monarch Montessori - Series A - 2025 (m)

     5/15/2025        4.75     8,175,000        8,163,555  

CHFA / Ready Foods - Series A - 2032 (LOC 1)

     1/1/2032        2.92     3,725,000        3,725,000  

Colorado Springs Utilities - Series A - 2041 (LOC 1)

     11/1/2041        2.85     1,100,000        1,100,000  

Riverdale Peaks II MD - Series A - 2025

     12/1/2025        6.40     930,000        837,000  

Sheridan Redevelopment Agency / Santa Fe - Series A - 2029 (LOC 3)

     12/1/2029        2.85     31,660,000        31,660,000  

STC MD #2 - Series A - 2025

     12/1/2025        3.00     555,000        551,376  
       

 

 

    

 

 

 

Colorado (amortized cost $50,457,891)

          50,460,000        48,068,849  
       

 

 

    

 

 

 

Oregon 10.2%

 

Multnomah County Hospital - Series A - 2023 (m)

     10/1/2025        5.45     5,815,000        5,815,000  
       

 

 

    

 

 

 

Oregon (amortized cost $5,815,000)

          5,815,000        5,815,000  
       

 

 

    

 

 

 

South Dakota 4.3%

 

Flandreau Santee Sioux Tribe / Healthcare - Series A - 2026 (m)

     1/1/2026        5.00     610,000        596,379  

Flandreau Santee Sioux Tribe / Gaming - Series A - 2026 (m)

     1/1/2026        8.28     1,115,000            1,101,754  

Flandreau Santee Sioux Tribe / Healthcare NH - Series A - 2025 (m)

     7/1/2025        5.75     740,000        735,279  
       

 

 

    

 

 

 

South Dakota (amortized cost $2,465,000)

          2,465,000        2,433,411  
       

 

 

    

 

 

 

Utah 0.8%

 

Ares Strategic Mining / Taxable - Series A - 2025 (m)

     12/15/2025        12.00     500,000        482,725  
       

 

 

    

 

 

 

Utah (amortized cost $452,381)

          500,000        482,725  
       

 

 

    

 

 

 

Puerto Rico 0.1%

 

Puerto Rico - Series A - 2025

     7/1/2025        5.38     51,483        51,712  
       

 

 

    

 

 

 

Puerto Rico (amortized cost $54,995)

          51,483        51,712  
       

 

 

    

 

 

 

Short-Term Municipal Bonds (amortized cost $59,245,267)

        $ 59,291,483      $ 56,851,697  
       

 

 

    

 

 

 


Colorado Capital Appreciation and Zero Coupon Bonds 2.1%

 

Colorado 100.0%

 

Bella Mesa MD - Series A CABs - 2049 (m)

     12/1/2049       6.75   $ 7,565,000      $ 7,446,532  

Colorado International Center MD #7 - Series A CABs - 2027

     12/1/2027       5.25     21,285,000        15,875,630  

Conifer MD - Series B - 2031 (a)(j)

     12/1/2031       0.00     7,470,000        2,335,399  

Lanterns MD #3 - Series A CABs - 2053

     12/1/2053       8.00     2,250,000        1,789,538  

PV ERU Holding Trust - Series A CABs - 2039 (a)(j)(m)

     2/14/2039       0.00     710,000        101,468  

PV ERU Holding Trust - Series A CABs - 2039 (a)(j)(m)

     2/14/2039       0.00     3,122,000        446,174  

PV ERU Holding Trust - Series A CABs - 2039 (a)(j)(m)

     2/14/2039       0.00     13,168,000        1,881,875  

PV ERU Holding Trust - Series A CABs – 2039 (a)(j)(m)

     12/15/2037       0.00     14,000,000        2,000,778  

Parkdale Community Authority MD #2 - Series A CABs – 2053

     12/1/2027       7.75     5,670,000        4,583,741  

Third Creek MD #1 - Series A CABs - 2026

     12/1/2026       5.25     2,285,000        1,611,908  

Westerly MD #4 - Series A CABs - 2050

     12/1/2026       5.20     1,000,000        909,710  
      

 

 

    

 

 

 

Colorado (amortized cost $46,808,320)

            78,525,000           38,982,752  
      

 

 

    

 

 

 

Colorado Capital Appreciation and Zero Coupon Bonds (amortized cost $46,808,320)

       $ 78,525,000      $ 38,982,752  
      

 

 

    

 

 

 
Colorado Taxable Certificates/Notes/Bonds 0.4%  

Colorado 100.0%

 

CECFA Colorado Skies Academy / Taxable - Series A2 – 2030 (j)

     7/1/2030       8.00   $ 935,000      $ 940,722  

CECFA CEC / Aurora Charter School / Taxable - Series B – 2029 (m)

     7/1/2029       6.00     1,960,000        1,940,165  

CECFA CEC / Aurora Charter School / Taxable - Series A - 2031 (m)

     7/1/2031       6.13     1,960,000        1,910,471  

CECFA Colorado Skies Academy / Taxable - Series A1 – 2030 (m)

     7/1/2030       7.50     500,000        512,825  

Woodmen Heights MD #2 / Taxable - Series B - 2040 (g)

     12/15/2040       6.25     1,733,000        1,698,669  

Tabernash Pole Creek Note – 2025 (a)(j)

     12/31/2025       0.00     227,347        190,000  
      

 

 

    

 

 

 

Colorado (amortized cost $7,315,347)

         7,315,347        7,192,852  
      

 

 

    

 

 

 

Colorado Taxable Certificates/Notes/Bonds (amortized cost $7,315,347)

       $ 7,315,347      $ 7,192,852  
      

 

 

    

 

 

 
Other Assets 0.0%  

Utah 100.0%

 

Ares Strategic Mining - Equity

     12/15/2034       0.00   $ 6,780,500      $ 911,299  
      

 

 

    

 

 

 

Utah (amortized cost $1,000,000)

         6,780,500        911,299  
      

 

 

    

 

 

 

Other Assets (amortized cost $1,000,000)

       $ 6,780,500      $ 911,299  
      

 

 

    

 

 

 

Total investments, at value (amortized cost $1,421,451,324)

     72.7        $ 1,342,219,993  

Other assets net of liabilities

     27.3          503,753,154  
  

 

 

        

 

 

 

Net Assets

     100.0        $ 1,845,973,147  
  

 

 

        

 

 

 


COLORADO BONDSHARES

A TAX-EXEMPT FUND

Schedule of Investments (unaudited) - (Continued)

 

(a)

Defaulted or non-income producing based upon the financial condition of the issuer (see note 2 in notes to financial statements).

(b)

Originally issued as general obligation bonds but are now pre-refunded and are secured by an escrow fund consisting entirely of direct U.S. Government obligations. No pre-refunded bonds were owned by the Fund at March 31, 2025.

(c)

Represents securities whose blended characteristics are reflective of a zero coupon bond and a step rate bond. Interest rate shown represents effective yield at acquisition.

(d)

Interest rate shown for capital appreciation and zero coupon bonds represents the effective yield at the date of acquisition.

(e)

Principal-only certificate represents the right to receive the principal payments on the underlying debt security upon maturity. The price of this security is typically more volatile than that of coupon-bearing bonds of the same maturity.

(f)

Interest-only certificate represents the right to receive semi-annual interest payments on the underlying debt security. The principal amount of the underlying security represents the notional amount on which current interest is calculated. The interest rate shown represents the effective yield at the date of acquisition.

(g)

Interest rate disclosed for cash flow bond represents the effective yield at March 31, 2025. Income on this security is derived from the cash flow of the issuer.

(h)

Represents current interest rate for a step rate bond. No step rate bonds were owned by the Fund at March 31, 2025.

(i)

Terms of security have been restructured since the original issuance. The total face amount of all such restructured securities approximates $10,798,429 and a value of $6,181,285 or less than 1.0% of net assets, as of March 31, 2025.

(j)

Securities valued at fair value (see note 2 in notes to financial statements).

(k)

See note 7 in notes to financial statements for further information on purchase accrued interest related to these bonds.

(l)

The Fund is not a party to any forbearance agreements as of March 31, 2025.

(m)

Security exempt from registration under Rule 144A of the Securities Act of 1933. Such securities may be sold in transactions exempt from registration, normally to qualified institutional buyers. At March 31, 2025 the aggregate value was $566,299,663 representing 30.68% of net assets.

See accompanying notes to financial statements.


COLORADO BONDSHARES

A TAX-EXEMPT FUND

Schedule of Investments (unaudited) - (Continued)

 

(LOC)    These securities are Variable Rate Demand Obligations (“VRDO”) with scheduled principal and interest payments that have a guaranteed liquidity provider in the form of a letter of credit. These obligations bear interest at a rate that resets daily or weekly (see note 2 in notes to financial statements). The numbered list below corresponds to the liquidity provider associated with the respective LOC.

 

  1.

US Bank, N.A.

 

  2.

BNP Paribas

 

  3.

JP Morgan Chase Bank N.A.

The following abbreviations are used in the descriptions of securities included in the Schedule of Investments:

CABs-Capital Appreciation Bonds

CONV-Convertible

I/O-Interest Only

L/D-Local Improvement District

MD-Metropolitan District

P/O-Principal Only

See accompanying notes to financial statements.


Colorado BondShares

A Tax-Exempt Fund

Statement of Assets and Liabilities

March 31, 2025 (unaudited)

 

ASSETS

  

Investments, at value (amortized cost 1,421,451,324)

   $ 1,342,219,993  

- see accompanying schedule

  

Cash

     235,347,561  

Interest receivable

     180,197,857  

Purchase accrued interest (note 7)

     92,156,671  

Bond interest receivable

     365,956  
     

 

 

 

TOTAL ASSETS

     1,850,288,038  
     

 

 

 

LIABILITIES

  

Payables and other liabilities:

  

Dividends payable

     3,365,000  

Management fees payable

     786,210  

Accrued expenses payable

     163,681  
     

 

 

 

TOTAL LIABILITIES

     4,314,891  
     

 

 

 

NET ASSETS

   $ 1,845,973,147  
     

 

 

 

COMPOSITION OF NET ASSETS

  

Paid-in capital

   $ 1,926,446,918  

Accumulated net realized gain (loss)

     (1,242,440

Net unrealized depreciation of investments

     (79,231,331
     

 

 

 

NET ASSETS

   $ 1,845,973,147  
     

 

 

 

NET ASSET PRICE AND REDEMPTION PRICE PER SHARE

   $ 8.91  
     

 

 

 

(based on 207,303,705 shares of beneficial interest outstanding at March 31, 2025 unlimited number of no par value shares authorized)

  

MAXIMUM OFFERING PRICE PER SHARE

   $ 9.35  
     

 

 

 

(net asset value plus sales charge of 4.75% of offering price)

  

See accompanying notes to financial statements.


Colorado BondShares

A Tax-Exempt Fund

Statement of Operations

For the Six Months Ended March 31, 2025 (unaudited)

 

INVESTMENT INCOME

  

Interest

   $ 58,021,640  

EXPENSES

  

Management fees (note 4)

     4,571,786  

Custodian fees (note 5)

     55,082  

Legal and auditing fees

     119,974  

Portfolio pricing fees

     33,126  

Registration fees

     18,353  

Shareholders’ reports

     46,774  

Transfer agency expenses (note 4)

     132,967  

Trustees’ fees

     6,006  

Other

     199,868  
  

 

 

 

Total expenses

     5,183,936  

Custody credits (note 5)

     (43,070
  

 

 

 

Net expenses

     5,140,866  
  

 

 

 

NET INVESTMENT INCOME

     52,880,774  
  

 

 

 

REALIZED AND UNREALIZED GAIN ON INVESTMENTS

  

Net realized gain (loss) on investments

     (3,929,130

Net unrealized appreciation (depreciation) on investments

     (24,435,341
  

 

 

 

NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS

     (28,364,471
  

 

 

 

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS

   $ 24,516,303  
  

 

 

 

See accompanying notes to financial statements.


Colorado BondShares

A Tax-Exempt Fund

Statements of Changes in Net Assets

For the Periods Indicated

 

     Six Months
Ended March 31,
2025
    Year Ended
September 30,
2024
 

FROM OPERATIONS:

    

Net investment income

   $ 52,880,774     $ 88,885,149  

Net realized gain (loss) on investments

     (3,929,130     2,330,850  

Unrealized appreciation (depreciation) on investments

     (24,435,341     123,725,352  
  

 

 

   

 

 

 

Net increase (decrease) in net assets resulting from operations

     24,516,303       214,941,351  
  

 

 

   

 

 

 

FROM DISTRIBUTIONS TO SHAREHOLDERS: (note 2)

    

Dividends to shareholders from net investment income

     (52,880,774     (88,885,149

Net realized gain to shareholders from investment transactions

     (603,197     (885,589
  

 

 

   

 

 

 

Total distributions to shareholders

     (53,483,971     (89,770,738
  

 

 

   

 

 

 

FROM BENEFICIAL INTEREST TRANSACTIONS:

    

Proceeds from sale of shares

     68,460,513       132,412,182  

Reinvested dividends and distributions

     36,542,905       62,774,205  

Redemption of shares

     (53,261,420     (143,335,236
  

 

 

   

 

 

 

Increase (decrease) in net assets derived from beneficial interest transactions

     51,741,998       51,851,151  
  

 

 

   

 

 

 

Net increase (decrease) in net assets

     22,774,331       177,021,764  

NET ASSETS:

    

Beginning of period

     1,823,198,816       1,646,177,052  
  

 

 

   

 

 

 

End of period

   $ 1,845,973,147     $ 1,823,198,816  
  

 

 

   

 

 

 

See accompanying notes to financial statements.


COLORADO BONDSHARES - A TAX-EXEMPT FUND

Financial Highlights

 

The financial highlights table is intended to help you understand the Fund’s financial performance. Certain information reflects financial results for a single Fund share. The total returns in the table represent the rate that an investor would have earned (or lost) on an investment in the Fund (assuming reinvestment of all dividends and distributions). Sales charges are not reflected in the total returns.

 

     For the Fiscal Year Ended September 30  
For a share outstanding throughout the period    3/31/2025     2024     2023     2022     2021  
     (unaudited)                          

Net asset value, beginning of period

   $ 9.05     $ 8.41     $ 8.50     $ 9.39     $ 9.22  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income From Investment Operations

          

Net investment income (1)

     0.26       0.45       0.43       0.37       0.37  

Net gain or (loss) on investments (both realized and unrealized)

     (0.14     0.64       (0.07     (0.88     0.19  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Increase (decrease) from investment operations

     0.12       1.09       0.36       (0.51     0.56  

Less Distributions

          

Dividends to shareholders from net investment income

     (0.26     (0.45     (0.43     (0.37     (0.37

Distributions from realized capital gains

   $ —      $ —      $ (0.02   $ (0.01   $ (0.02
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Distributions

     (0.26     (0.45     (0.45     (0.38     (0.39
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) in net asset value

     (0.14     0.64       (0.09     (0.89     0.17  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Asset Value, end of period

   $ 8.91     $ 9.05     $ 8.41     $ 8.50     $ 9.39  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Return, at Net Asset Value (2)

     1.35 %+      13.24     4.21     -5.72     5.91
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Ratios/Supplemental Data:

          

Ratios to average net assets:

          

Net investment income

     5.76 %*      5.12     4.99     4.01     3.92

Total expenses

     0.56 %*      0.60     0.61     0.55     0.61

Net expenses

     0.56 %*      0.59     0.61     0.55     0.61

Net assets, end of period (000s)

   $ 1,845,973     $ 1,823,199     $ 1,646,177     $ 1,675,670     $ 1,768,143  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Portfolio turnover rate (3)

     4.54     5.58     6.23     9.94     10.66
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
 
+

not annualized

*

annualized

(1)

Net investment income per share was calculated using an average shares method.

(2)

Assumes a hypothetical initial investment on the business day before the first day of the fiscal period, with all dividends reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. Sales charges are not reflected in the total returns.

(3)

The portfolio turnover rate is computed by dividing the lesser of purchases or sales of portfolio securities for a period by the monthly average of the value of portfolio securities owned during the period. Sales of securities include the proceeds of securities that have been called or for which payment has been made through redemption or maturity. Securities with a maturity date of one year or less at the time of acquisition are excluded from the calculation. Cost of purchases and proceeds from sales of investment securities (excluding short-term securities) for the period ended March 31, 2025 were $61,517,361 and $60,177,410 respectively.

See accompanying notes to financial statements.


COLORADO BONDSHARES

A TAX-EXEMPT FUND

Notes to Financial Statements (unaudited)

 

(1) Organization

Colorado BondShares – A Tax-Exempt Fund (the “Fund”) is registered under the Investment Company Act of 1940, as amended, as a diversified, open-end management company. The Fund’s investment objectives are to maximize income exempt from federal income taxes and from personal income taxes of the State of Colorado to the extent consistent with the preservation of capital and to seek opportunities for capital appreciation. The Fund’s investment adviser is Freedom Funds Management Company (“Freedom Funds”).

(2) Summary of Significant Accounting Policies

These financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America. This requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of income and expenses during the reporting period. Actual results could differ from those estimates. These financial statements reflect all adjustments which are, in the opinion of management, necessary to a fair statement of financial position and results of operations for the reporting period. The following summarizes the significant accounting policies of the Fund:

In this reporting period, the Fund adopted FASB Accounting Standards Update 2023-07, Segment Reporting (Topic 280)—Improvements to Reportable Segment Disclosures (“ASU 2023-07”). This update is limited to disclosure requirements and does not impact the Fund’s financial position or the results of its operations. An operating segment is defined in Topic 280 as a component of a public entity that engages in business activities from which it may recognize revenues and incur expenses, has operating results that are regularly reviewed by the public entity’s chief operating decision maker (“CODM”) to make decisions about resources to be allocated to the segment and assess its performance, and has discrete financial information available.

The Fund operates as a single operating segment. The Fund’s portfolio management team serves as the Chief Operating Decision Maker (CODM). The CODM oversees the Fund’s overall performance and is responsible for its long-term asset allocation outlined in the Fund’s prospectus based on the investment objective executed by the Fund’s portfolio management team. The CODM evaluates performance and makes resource allocation decisions based on financial information including portfolio composition, expected total returns, costs and changes in net assets (i.e., changes in net assets resulting from operations, subscriptions and redemptions). This information is presented in the fund’s financial statements. Segment assets are reported as “total assets” on the Statement of Assets and Liabilities and segment expenses are reported on the Statement of Operations.

(a) Investment Valuation and Risk

The fair value of securities for which there is no last sales price is determined either by an independent pricing service or management, considering market transactions and dealer quotes of comparable securities as well as proprietary pricing models.

Securities for which market quotations are not readily available (or management considers otherwise are no longer valid or reliable) are valued at fair value determined in accordance with procedures approved by the Board of Trustees. This can occur in the event of, among other things, natural disasters, acts of terrorism, market disruptions, intra-day trading halts, and extreme market volatility. The determination of fair value involves subjective judgments. As a result, using fair value to price a security may result in a price materially different from the prices used by other mutual funds to determine net asset value or the price that may be realized upon the actual sale of the security. Short-term holdings are valued at current market quotations or amortized cost, whichever management believes best approximates fair value.

Fixed-income securities owned by the Fund are subject to interest-rate risk, credit risk, prepayment risk and market risk. The Fund invests in non-rated securities which may be subject to a greater degree of credit risk and risk of loss of income and principal and may be more sensitive to economic conditions than lower yielding, higher rated fixed income securities. The Fund concentrates its investments in Colorado and, therefore, may be impacted by specific events, issuers or factors affecting Colorado. The Fund has more credit risk related to the economic conditions of Colorado than a portfolio with a broader geographical diversification. The Fund concentrates its investments in and the majority of the Fund’s shareholders are located within Colorado and, therefore, may be impacted by specific events, issuers or factors affecting Colorado. The Company does not have any significant concentrations within any one shareholder.

Accounting Standards Codification (“ASC”) 820 Fair Value Measurements and Disclosures establishes a fair value hierarchy that classifies securities based on valuation techniques used to measure fair value and distinguish between observable inputs (market data obtained from independent sources) and the reporting entities own assumptions, which are not readily observable to market participants. The fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3).

Level 1 Inputs: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date.

Level 2 Inputs: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. If the asset or liability has a specified (contractual) term, a Level 2 input must be observable for substantially the full term of the asset or liability.

Level 3 Inputs: Significant unobservable inputs for the asset or liability including management’s own assumptions. Unobservable inputs shall be used to measure fair value to the extent that observable inputs are not available.


The following table summarizes the valuation of the Fund’s investments as defined by ASC 820 hierarchy levels as of March 31, 2025:

Valuation Inputs Summary

 

     Colorado Municipal
Bonds
     Other
Municipal
Bonds
     Short-Term Municipal
Bonds
     Colorado Capital
Appreciation and Zero
Coupon Bonds
     Colorado Taxable
Certificates/
Notes/Bonds
     Other
Assets
     Total Securities
March 31, 2025
 

Level 1 Securities

   $ —       $ —       $ —       $ —       $ —       $ 911,299      $ 911,299  

Level 2 Securities

     1,101,721,407        121,119,695        54,819,779        32,217,059        6,062,130           1,315,940,070  

Level 3 Securities

     15,186,167        254,123        2,031,918        6,765,694        1,130,722        —         25,368,624  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Totals

   $ 1,116,907,574      $ 121,373,818      $ 56,851,697      $ 38,982,753      $ 7,192,852      $ 911,299      $ 1,342,219,993  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

     Colorado Municipal
Bonds
    Other Municipal
Bonds
    Short-Term
Municipal Bonds
    Colorado Capital
Appreciation and Zero
Coupon Bonds
    Colorado
Taxable
Certificates/
Notes/Bonds
     Other
Assets
     Totals  

Level 3 Beginning Balance September 30, 2024

   $ 13,860,446     $ 264,992     $ 3,089,058     $ 6,774,649     $ 190,000      $ 0      $ 24,179,145  

Unrealized Losses

     (74,026     (5,139     —        (8,955     —         —         (88,120

Unrealized Gains

     342,607       —        —        —        5,722        —         348,329  

Realized Losses

     —        —        —        —        —         —         —   

Realized Gains

     —        —        —        —        —         —         —   

Purchases

     —        —        —        —        935,000        —         935,000  

Sales

     —        (5,730     —        —        —         —         (5,730

Transfers In to Level 3*

     1,057,140       —        —        —        —         —         1,057,140  

Transfers Out of Level 3*

     —        —        (1,057,140     —        —         —         (1,057,140
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

Balance as of March 31, 2025

   $ 15,186,167     $ 254,123     $ 2,031,918     $ 6,765,694     $ 1,130,722      $ 0      $ 25,368,624  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

    

 

 

    

 

 

 

 

*

Transfers from Level 2 to Level 3 are because of a lack, or change of observable inputs or reduced market data reliability. Transfers from Level 3 to Level 2 are the result of observable inputs becoming available or increased market data reliability. The Fund’s policy is to recognize transfers into and out of Level 3 when management becomes aware of a change to significant observable input or market data reliability.


Significant Unobservable Inputs Quantitative Disclosure

 

Level 3 Securities *

   Fair Value as
of March 31,
2025
     Valuation Technique(s)**      Unobservable Inputs      Low     High     Weighted
Average
 

Colorado Municipal Bonds

   $ 15,186,167        discounted cash flow        probability of default        5.00     100.00     27.23

Other Municipal Bonds

     254,123        discounted cash flow        probability of default        1.00     1.00     1.00

Short-Term Municipal Bonds

     2,031,918        discounted cash flow        probability of default        5.00     5.00     5.00

Colorado Capital Appreciation and Zero Coupon Bonds

     6,765,694        discounted cash flow        probability of default        5.00     100.00     98.58

Colorado Taxable Certificates/Notes/Bonds

     1,130,722        discounted cash flow        probability of default        0.00     100.00     16.80

Other Assets

     —         discounted cash flow        probability of default        0.00     0.00     0.00
  

 

 

              

Total Level 3 Securities at March 31, 2025

   $ 25,368,624               
  

 

 

              

The significant unobservable inputs used in the fair value measurement of the Fund’s securities are collateral value, probability of default, and loss severity in the event of default. Any changes in unobservable inputs may result in substantial changes to fair value measurements.

 

*

The inputs for these securities are not readily available or cannot be reasonably estimated and are generally those inputs described in Note 2(a). The appropriateness of fair values for these securities is based on results of back testing, broker due diligence, unchanged price review and consideration of macro or security specific events.

**

Other unobservable inputs used in the discounted cash flow technique include collateral value and loss severity. These unobservable inputs are specific to the characteristics of each security being valued.


(b) Cash 

The Fund continually monitors its positions with, and the credit quality of, the financial institutions with which it invests. As of March 31, 2025, and periodically throughout the year, the Fund has maintained balances in various operating accounts in excess of federally insured limits. The Fund’s balances are covered up to $250,000 per institution.

(c) Income Tax Information and Distributions to Shareholders 

The Fund intends to comply with the requirements of Subchapter M of the Internal Revenue Code, as amended, applicable to regulated investment companies and to distribute all its net investment income and any net realized gain on investments not offset by capital loss carryforwards to shareholders. The Fund distributes investment income monthly and due to the tax-exempt nature of its investments, the income is generally non-taxable to the shareholders. The Fund distributes net realized capital gains, if any, to its shareholders at least annually. Income distributions and capital gain distributions are determined in accordance with income tax regulations, which may differ from generally accepted accounting principles. These differences are primarily due to the differing treatment of tax allocations.

Management reviewed the Fund’s tax position for all open tax years. As of March 31, 2025, the Fund had a tax liability of $1,702,688 related to undistributed capital gain. This liability represents the Fund’s estimated exposure arising from transactions that occurred in the prior fiscal year. The Fund recognizes interest and penalties, if any, related to unrecognized tax obligations as income tax expense in the Statement of Operations. The Fund has no examinations in progress.

At March 31, 2025 the cost and unrealized appreciation (depreciation) of investments, as determined on a federal income tax basis, were as follows: 

 

    Colorado
Municipal Bonds
    Other Municipal
Bonds
    Short-Term
Municipal
Bonds
    Colorado
Capital
Appreciation
and Zero
Coupon Bonds
    Colorado
Taxable
Certificates/
Notes/Bonds
    Other Assets     Totals  

Cost of investments

  $ 1,173,648,360     $ 133,434,030     $ 59,245,267     $ 46,808,320     $ 7,315,347     $ 1,000,000     $ 1,421,451,324  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Gross unrealized appreciation

  $ 15,085,614     $ 1,188,088     $ 30,344     $ 2,007,740     $ 18,547       —      $ 18,330,333  

Gross unrealized depreciation

  ($ 71,826,399   ($ 13,248,301   ($ 2,423,913   ($ 9,833,308   ($ 141,042   ($ 88,701   ($ 97,561,664
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net unrealized appreciation (depreciation) of investments

  ($ 56,740,785   ($ 12,060,213   ($ 2,393,569   ($ 7,825,568   ($ 122,495   ($ 88,701   ($ 79,231,331
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 


For tax purposes, capital losses may be carried over to offset future capital gains, if any. Under the Regulated Investment Company Modernization Act of 2010, capital losses incurred by the Fund in taxable years beginning after December 22, 2010 are not subject to expiration and such losses retain their character as either short-term or long-term rather than being considered short-term as under previous law. Post-enactment capital losses must be fully utilized prior to utilizing any losses incurred in pre-enactment tax years.

(d) Defaulted or Non-income Producing Investments

The Fund discontinues the accrual of interest income on municipal bonds when the securities become delinquent as to payment of principal or interest, or when the Fund’s investment adviser determines that an uncertainty exists as to the realization of all or a portion of the principal balance. The face amount of bonds for which the accrual of interest income has been discontinued approximates $64,252,347 and such bonds have a value of $14,061,261 or 0.76% of net assets, as of March 31, 2025. These securities have been identified in the accompanying Schedule of Investments.

The Fund is not a party to any forbearance agreements as of March 31, 2025.

(e) Investment Transactions and Revenue Recognition

Investment transactions are accounted for on the date the investments are purchased or sold (trade date). Purchases and sales of securities, other than short-term securities, aggregated to $61,517,361 and $60,177,410 respectively.

Dividends to shareholders are declared each business day and paid monthly. Distributions to shareholders are recorded on the ex-dividend date. Realized gains and losses from investment transactions are calculated using the identified-cost basis, which is the same basis the Fund uses for federal income tax purposes. Interest income is recorded on the accrual basis.

Variable Rate Demand Obligations (“VRDO”) purchased by the Fund are floating rate obligations that have a nominal long-term maturity but have a coupon rate that is reset periodically (e.g., daily or weekly). The investor has the option to put the issue back to the trustee or tender agent at any time with specified (e.g., seven days) notice; accordingly the Fund treats these obligations as short-term holdings. On March 31, 2025, the interest rates paid on these obligations ranged from 2.92% to 2.85%.

(f) Classification of Distributions to Shareholders

The character of distributions made during the year from net investment income or net realized gains may differ from its ultimate characterization for federal income tax purposes. Also, due to timing of dividend distributions, the fiscal year in which amounts are distributed may differ from the fiscal year in which the income or realized gain was recorded by the Fund.

(g) Securities Purchased on a When-Issued Basis

The Fund may purchase securities on a when-issued basis with payment and delivery scheduled for a future date. These transactions are subject to market fluctuations and may increase or decrease in value prior to the delivery date. The Fund maintains segregated assets with a value equal to or greater than the amount of its purchase commitments. The Fund did not have any when-issued securities at March 31, 2025.


(3) Shares of Beneficial Interest

The Fund has an unlimited number of no par value shares of beneficial interest authorized. Transactions in shares of beneficial interest were as follows:

 

     Six Months Ended
March 31, 2025
    Year Ended
September 30, 2024
 
     (unaudited)              
     Shares     Amount     Shares     Amount  

Shares sold

     7,648,629     $ 68,460,513       15,100,535     $ 132,412,182  

Dividends reinvested

     4,076,239       36,542,905       7,150,728       62,772,106  
  

 

 

   

 

 

   

 

 

   

 

 

 
     11,724,868       105,003,418       22,251,263       195,184,288  

Shares redeemed

     (5,955,371     (53,261,420     (16,440,100     (143,333,137
  

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) in shares outstanding

     5,769,497     $ 51,741,998       5,811,163     $ 51,851,151  
  

 

 

   

 

 

   

 

 

   

 

 

 

(4) Management Fees and Other Transactions with Affiliates

Management fees paid to Freedom Funds were in accordance with the investment advisory agreement with the Fund which provides for an annual fee equivalent to 0.5% of the net assets of the Fund. Freedom Funds pays all expense associated with advertising, marketing, and distributing the Fund’s shares and serves as the transfer agent, dividend disbursing agent, and registrar for the Fund. Freedom Funds provided certain transfer agency and shareholder services as part of the management fee arrangement for the period ended March 31, 2025. Transfer agency expenses on the Statement of Operations represent direct expenses charged to the Fund by third parties.

Crest Insurance, an affiliate of the investment adviser, acted as agent for the Fidelity Bond and the Errors and Omissions insurance policy maintained by the Fund and as a result received compensation in the form of commissions. The policies were provided by Traveler’s Insurance Company and all the commissions referred to above were paid by Travelers. Crest Insurance received no compensation directly from the assets of the Fund.

The Fund does not have any Trustees who are affiliated with the Adviser or Distributor. The Board of Trustees appointed a Chief Compliance Officer to the Fund in accordance with federal securities regulations. The Fund does not reimburse the Adviser for any compensation or fees associated with the Chief Compliance Officer.

(5) Custody Credits

Expenses paid indirectly by the Fund represent earnings credits on cash balances maintained with the Fund’s custodian bank, UMB Bank, N.A. The earnings credits resulted in offsetting custodian fees of $43,070 for the period ended March 31, 2025.

(6) Indemnification

From time to time the Fund may be involved in certain disputes and legal actions arising in the ordinary course of its business. While it is not feasible to predict or determine the outcome of these proceedings, in management’s opinion, based on a review with legal counsel, none of these disputes and legal actions is expected to have a material impact on its financial position or results of operations. However, litigation is subject to inherent uncertainties, and an adverse result in these matters may arise from time to time that may harm the Fund’s business.

In the normal course of business, the Fund enters into contracts that contain a variety of representations which provide general indemnifications. The Fund’s maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Fund that have not yet occurred. However, based on experience, the Fund expects the risk of loss to be remote.

(7) Purchase Accrued Interest

Purchase accrued interest is typically a component of a municipal bond purchase and is paid on settlement date. The accrual period begins on the last interest payment date (or original issue date) and runs through the day immediately preceding the settlement date. The Fund has purchased three bonds from the Meadows Metropolitan Districts No. 1, 2 and 7 with an aggregate balance of purchase accrued of $90,436,317 (98.1% of the March 31, 2025 balance of $92,156,671). Approximately $272,044,067 of additional interest has accrued on the purchase accrued interest since its purchase in 2007. This additional accrued interest has been fair valued in accordance with ASC 820 at approximately $107,675,685 and is included in other assets net of liabilities in the Schedule of Investments. This amount bears interest at the rate of 7.999% and will be received over an uncertain period of years. The value of the Meadows bonds is contained within three separate line items of the financial statements which all relate to a single set of bonds that cannot be sold separately.


(8) Litigation

Litigation

The Fund is periodically involved in various legal proceedings. As of March 31, 2025, the Fund has a litigation payable of -$3,928 for all pending litigation matters primarily for the purpose of paying lawyer fees. Possible additional amounts cannot be currently estimated but will be set aside as needed. Although there can be no assurances, based on information available, management believes that it is probable that the ultimate outcome of the action described below and other matters that are pending or threatened will not have a material effect on the Fund’s financial condition.

Marin Metropolitan District LTD Tax G.O. Series 2008 Bond

The Fund is the beneficial owner of bonds issued in 2008 (the “Bonds”) by Marin Metropolitan District (the “District”) as described more fully in the Fund’s most recent quarterly schedule of portfolio holdings for the period ended December 31, 2024 on Form NPORT-P filed with the Securities and Exchange Commission (“SEC”) on February 28, 2025. The Bonds were issued in 2008 pursuant to a trust indenture (the “Trust Indenture”) between the District, as issuer and UMB Bank, N.A. (“UMB”), as trustee (the “Trustee”). The original principal amount of Bonds was $30,485,000. The current principal amount of the Bonds is $17,485,000. The valuation of these Bonds as of March 31, 2025, is set forth in the schedule of investments.

On about June 24, 2022, the District filed an Amended Complaint for Declaratory and Injunctive Relief (the “Complaint”) against the Fund and the Trustee with the District Court, Arapahoe County, Colorado (the “Court”). The Complaint also names Century at Landmark, LLC, a Colorado limited liability company (“Century”) as an “Interested Party” in the Complaint on the grounds that Century is the owner of the real property remaining in the District. In the Complaint, the District has asserted a single claim for relief for declaratory judgment. In essence, based on the rulings in Landmark Towers Association, Inc. v. UMB Bank, N.A. and Colorado BondShares (District Court, Arapahoe County, Colorado Case No. 11CV1076) (the “Landmark Litigation”), the District has requested that the Court declare that the Fund and the Trustee cannot compel the District to impose a tax levy on Century’s parcel of real property within the District and that, further, the Court enjoin the Fund and the Trustee from attempting to compel the District to impose the Required Mill Levy (as such term is defined in the Trust Indenture) on Century’s parcel of real property within the District. In response, the Fund and the Trustee filed Amended Counterclaims for breach of the District’s resolution authorizing public debt in accordance with, and as required by, the Colorado Constitution (the “Bond Resolution”), declaratory judgment for breach of the Bond Resolution, declaratory judgment that the District has violated Colo. Const. art. XI, section 6 and the Bond Resolution, breach of the Trust Indenture, declaratory judgment that the District has violated the Trust Indenture, promissory estoppel and unjust enrichment (the collectively, the “Counterclaims”). The Counterclaims seek a judgment in the full amount due and owing on the Bonds with accrued interest along with a declaration that the District is obligated to impose the Required Mill Levy under the terms of the Trust Indenture.

On October 16 and 17, 2023, the Court held a two-day non-jury trial on all remaining issues presented in the Complaint and the Counterclaims. On May 2, 2024, the Court issued Findings of Fact and Conclusions of Law and Orders After Trial to Court finding in favor of the District and against the Fund, which precludes the Fund from seeking repayment of the amounts owed. The Fund filed a Notice of Appeal to the Colorado Court of Appeals on June 18, 2024. The Fund expects oral argument on the appeal to occur in or around May 20, 2025, with a decision in mid-2025. At this point, it is impossible to determine the direction, cost, duration or ultimate outcome of these matters.


(9) Subsequent Events

Management has evaluated the possibility of subsequent events in the Fund’s financial statements through the date of issuance. Management has determined that there are no material events that would require disclosure in the Fund’s financial statements through this date.

 

Item 8.

Changes in and Disagreements with Accountants for Open-End Management Investment Companies.

There were no changes in or disagreements with Plante Moran during the period covered by the report.

 

Item 9.

Proxy Disclosures for Open-End Management Investment Companies.

Not applicable.

 

Item 10.

Remuneration Paid to Directors, Officers, and Others of Open-End Management Investment Companies.

(1) Aggregate renumeration paid to Trustees is included in the Statement of Operations under the line item “Trustee Fees” filed under Item 7 of this Form N-CSR.

(2) None.

(3) None.

(4) None.

 

Item 11.

Statement Regarding Basis for Approval of Investment Advisory Contract.

Not applicable for this reporting period.


Item 12.

Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable.

 

Item 13.

Portfolio Managers of Closed-End Management Investment Companies.

Not applicable.

 

Item 14.

Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

Not applicable.

 

Item 15.

Submission of Matters to a Vote of Security Holders.

The registrant has not adopted procedures by which shareholders may recommend nominees to the registrant’s board of trustees.

 

Item 16.

Controls and Procedures.

 

(a)

The registrant has adopted and maintained disclosure controls and procedures (as such term is defined in Rules 30a-3(c) under the Investment Company Act of 1940, as amended (the “Act”)) that are designed to ensure that information required to be disclosed in the registrant’s reports under the Act, is recorded, processed, summarized and reported within the time periods required under the SEC’s rules and forms and that the information is accumulated and communicated to the registrant’s management, including its principal executive officer and principal financial officer to allow for timely decisions regarding required disclosure.

As required by Rule 30a-3(b) of the Act, the registrant carried out an evaluation under the supervision and with the participation of its management, including its principal executive officer and principal financial officer, of the effectiveness of the design and operation of the registrant’s disclosure controls and procedures within the 90-day period prior to the filing date of this report. Based on the foregoing, the registrant’s principal executive officer and principal financial officer have concluded that the registrant’s disclosure controls and procedures were effective, as of that date.

 

(b)

There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Act) 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 17.

Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.

Not applicable.

 

Item 18.

Recovery of Erroneously Awarded Compensation.

 

(a)

Not applicable.

 

(b)

Not applicable.

 

Item 19.

Exhibits.

(a)(1) Not applicable (See Item 2(f)(3) of this report).

(a)(2)(i) (99.302) Interim President’s (Principal Executive Officer) Section 302 Certification

(a)(2)(ii) (99.302) Interim Treasurer’s (Principal Financial Officer) Section 302 Certification

(b) (99.906) Combined Interim President & Treasurer (Principal Executive Officer and Principal Financial Officer) Section 906 Certification


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.

 

Colorado BondShares — A Tax-Exempt Fund
/s/ George N. Donnelly

George N. Donnelly

Interim President, Secretary and Treasurer

Date: June 4, 2025

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.

 

/s/ George N. Donnelly
George N. Donnelly

Interim President, Secretary and Treasurer

(Principal Executive Officer and

Principal Financial Officer)
Date: June 4, 2025