Delaware Diversified Income Fund

Fund Holdings

More than 40 percent of the fund’s total assets are in U.S. corporate bonds, a significantly greater proportion than the Barclays Capital U.S. Aggregated Bond Index (composed of about 18 percent corporates) or the typical intermediate-bond fund (composed of about 28 percent corporate bonds). The fund also has substantial exposure to foreign corporate bonds and mortgage-backed bonds. The average credit quality of the fund’s bonds is BB, indicating an appetite for riskier assets, Morningstar says. The average effective duration of the fund’s bonds hovers around five years.

Asset Allocation

	% Long	% Short	% Net
Cash	6.33	4.52	1.8
Stocks	0.04	0.0	0.04
Bonds	49.14	0.0	49.14
Other	4.18	0.3	3.88
Foreign Bonds	41.15	1.2	39.96
Foreign Stocks	0.0	0.0	0.0
Convertible	2.77	0.0	2.77
Preferred	2.41	0.0	2.41

Updated 02.28.2013

Top 10 Holdings

Performance as of 04.30.2013

Portfolio as of 02.28.2013

	% Net Assets
Us 10yr Note (Cbt) Jun13	3.85
Fannie Mae Single Family TBA 3.5% 2043-03-01	2.43
US Treasury Bond 2.75%	1.45
Fannie Mae Single Family TBA 3% 2043-03-01	1.4
Eur0-Bund Future Mar13	1.22
Euro-Oat Future Mar13	1.2
Fannie Mae Single Family TBA 3% 2028-03-01	1.11
Fannie Mae Single Family TBA 3% 2043-04-01	0.99
Fannie Mae Single Family TBA 3.5% 2043-04-01	0.95
Long Gilt Future Jun13	0.85

Bond Ratings (%)

Updated 02.28.2013

Sector	DPDFX
AAA	28.01
AA	5.91
A	11.22
BBB	31.87
BB	7.38
B	10.26
Below B	2.78
Other	2.56