UNITED STATES   SECURITIES AND EXCHANGE COMMISSION  Washington, DC 20549**FORM N-Q****QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED  MANAGEMENT INVESTMENT COMPANY**  Investment Company Act file number: 811-05071**SATURNA INVESTMENT TRUST**  (Exact Name of Registrant as Specified in Charter)**1300 N. State Street  Bellingham, Washington 98225-4730**  (Address of Principal Executive Offices, including ZIP Code)  Nicholas F. Kaiser  1300 N. State Street  Bellingham, Washington 98225-4730  (Name and Address of Agent for Service)  Registrant’s Telephone Number- (360) 734-9900  Date of fiscal year end: November 30, 2013  Date of reporting period: August 30, 2013

 

 

**Item 1. Schedule of Investments**

The unaudited schedule of investments as of the close of the reporting  period are as follows:

| **Saturna Investment Trust, Sextant Short Term Bond Fund** |
|------------------------------------------------------------|
|                                                       |
| **Certificate  of Deposit**                                | **Coupon/Maturity** | **Face Amount** | **Market Value** | **Percentage of Assets** |
| **Financials**                                             |
| **Consumer Finance**                                       |   |
| American Express Bank Med. Term CD                         | 4.75% due 12/24/2013 | $220,000 | $222,810 | 2.7% |
|                                                       |   | **220,000** | **222,810** | **2.7%** |
|                                                       |
| **Corporate Bonds**                                        | **Coupon/Maturity** | **Face Amount** | **Market  Value** | **Percentage of Assets** |
| **Communications**                                         |
| **Telecom Carriers**                                       |   |
| America Movil Sab De CV                                    | 2.375% due 09/08/2016 | 250,000 | 253,408 | 3.1% |
| Verizon New England                                        | 4.75% due 10/01/2013 | 129,000 | 129,409 | 1.6% |
|                                                       |   | **379,000** | **382,817** | **4.7%** |
|                                                       |
| **Consumer Discretionary**                                 |   |
| **Apparel, Footwear, Accessory  Design**                   |   |
| Cintas Corp No. 2                                          | 6.125% due 12/01/2017 | 270,000 | 308,216 | 3.8% |
|                                                       |
| **Automobile OEM**                                         |   |
| American Honda                                             | 1.50% due 09/11/2017 | 250,000 | 244,842 | 3.0% |
| Toyota Motor Credit                                        | 1.25% due 10/05/2017 | 226,000 | 220,799 | 2.8% |
|                                                       |   | 476,000 | 465,641 | 5.8% |
|                                                       |   | **746,000** | **773,857** | **9.6%** |
|                                                       |
| **Consumer Staples**                                       |   |
| **Beverages**                                              |   |
| Coca Cola Hellenic                                         | 5.125% due 09/17/2013 | 100,000 | 100,145 | 1.2% |
| Coca Cola Hellenic                                         | 5.50% due 09/17/2015 | 175,000 | 189,247 | 2.4% |
|                                                       |   | 275,000 | 289,392 | 3.6% |
|                                                       |
| **Food Manufacturing**                                     |   |
| Sara Lee                                                   | 2.75% due 09/15/2015 | 245,000 | 251,523 | 3.1% |
|                                                       |
| **Household Products  Manufacturing**                      |   |
| Clorox                                                     | 5.00% due 01/15/2015 | 200,000 | 211,141 | 2.6% |
|                                                       |   | **720,000** | **752,056** | **9.3%** |
|                                                       |
| **Energy**                                                 |   |
| **Exploration & Production**                           |   |
| Enbridge (Pipeline)                                        | 5.60% due 04/01/2017 | 200,000 | 221,581 | 2.7% |
| Encana                                                     | 4.75% due 10/15/2013 | 100,000 | 100,460 | 1.2% |
| Petrobras International Finance                            | 6.125% due 10/06/2016 | 250,000 | 271,345 | 3.4% |
|                                                       |   | 550,000 | 593,386 | 7.3% |
|                                                       |
| **Midstream - Oil & Gas**                              |   |
| Kinder Morgan Energy Partners                              | 5.00% due 12/15/2013 | 100,000 | 101,197 | 1.3% |
|                                                       |
| **Power Generation**                                       |   |
| Georgia Power                                              | 5.70% due 06/01/2017 | 250,000 | 283,856 | 3.5% |
|                                                       |
| **Refining & Marketing**                               |   |
| Ultramar Diamond Shamrock                                  | 7.20% due 10/15/2017 | 189,000 | 216,505 | 2.7% |
|                                                       |   | **1,089,000** | **1,194,944** | **14.8%** |
|                                                       |
| **Financials**                                             |   |
| **Banks**                                                  |   |
| BNP Paribas                                                | 2.375% due 09/14/2017 | 250,000 | 250,740 | 3.1% |
| Murray Street Trust 1                                      | 4.647% due 03/09/2017 | 300,000 | 318,328 | 3.9% |
| PNC Funding                                                | 5.40% due 06/10/2014 | 200,000 | 207,381 | 2.6% |
|                                                       |   | 750,000 | 776,449 | 9.6% |
|                                                       |
| **Commercial Finance**                                     |   |
| General Electric Capital                                   | 5.625% due 09/15/2017 | 250,000 | 282,855 | 3.5% |
|                                                       |
| **Investment Management**                                  |   |
| BlackRock                                                  | 3.50% due 12/10/2014 | 250,000 | 259,167 | 3.2% |
|                                                       |
| **Payment & Data Processors**                          |   |
| Broadridge Financial Solutions                             | 6.125% due 06/01/2017 | 275,000 | 299,296 | 3.7% |
|                                                       |
| **Retail REITS**                                           |   |
| Simon Property Group                                       | 5.10% due 06/15/2015 | 220,000 | 236,486 | 2.9% |
|                                                       |   | **1,745,000** | **1,854,253** | **22.9%** |
|                                                       |
| **Industrials**                                            |   |
| **Electrical Components**                                  |   |
| ABB Finance                                                | 1.625% due 05/08/2017 | 250,000 | 248,206 | 3.1% |
|                                                       |
| **Rail Freight Transportation**                            |   |
| Burlington Northern Santa Fe                               | 5.65% due 05/01/2017 | 200,000 | 225,774 | 2.8% |
|                                                       |   | **450,000** | **473,980** | **5.9%** |
|                                                       |
| **Materials**                                              |   |
| **Base Metals**                                            |   |
| Rio Tinto Finance                                          | 8.95% due 05/01/2014 | 150,000 | 158,119 | 1.9% |
|                                                       |
| **Basic & Diversified  Chemicals**                     |   |
| Air Products & Chemicals                               | 1.20% due 10/15/2017 | 250,000 | 241,878 | 3.0% |
|                                                       |
| **Chemicals Distribution**                                 |   |
| Sherwin Williams                                           | 1.35% due 12/15/2017 | 250,000 | 242,590 | 3.0% |
|                                                       |   | **650,000** | **642,587** | **7.9%** |
|                                                       |
| **Technology**                                             |   |
| **Infrastructure Software**                                |   |
| Oracle                                                     | 5.75% due 04/15/2018 | 250,000 | 289,570 | 3.6% |
|                                                       |   | **250,000** | **289,570** | **3.6%** |
|                                                       |
| **Utilities**                                              |   |
| **Oil & Gas Services**                                 |   |
| LaClede Gas                                                | 2.00% due 08/15/2018 | 300,000 | 296,403 | 3.7% |
|                                                       |   | **300,000** | **296,403** | **3.7%** |
|                                                       |
| **Total Corporate Bonds**                                  |   | **6,329,000** | **6,660,467** | **82.4%** |
|                                                       |
| **Municipal Government Bonds**                             | **Coupon/Maturity** | **Face Amount** | **Market  Value** | **Percentage of Assets** |
| **General Obligation**                                     |
| Commerce Charter Township MI                               | 5.50% due 12/01/2013 | 125,000 | 126,209 | 1.6% |
| Manhattan KS                                               | 3.276% due 12/01/2013 | 180,000 | 180,889 | 2.2% |
| Southwestern MI Comm. College                              | 4.875% due 05/01/2015 | 125,000 | 131,408 | 1.6% |
|                                                       |   | **430,000** | **438,506** | **5.4%** |
|                                                       |
| **Revenue**                                                |   |
| Kansas City Special Facility Revenue                       | 4.25% due 09/01/2016 | 110,000 | 117,677 | 1.5% |
|                                                       |   | **110,000** | **117,677** | **1.5%** |
|                                                       |
| **Total Municipal Bonds**                                  |   | **540,000** | **556,183** | **6.9%** |
|                                                       |
| Total investments                                          | (Cost = $7,488,106) | $7,089,000 | 7,439,460 | 92.0% |
| Other assets (net of liabilities)                          |   |   | 646,302 | 8.0% |
| **Total net assets**                                       |   |   | **$8,085,762** | **100.0%** |

| **Saturna Investment Trust, Sextant Bond Income Fund** |
|--------------------------------------------------------|
|                                                   |
| **Corporate  Bonds**                                   | **Coupon/Maturity** | **Face Amount** | **Market Value** | **Percentage of Assets** |
| **Consumer Discretionary**                             |
| **Auto Retail Stores**                                 |   |
| AutoZone                                               | 5.50% due 11/15/2015 | $95,000 | $103,877 | 1.5% |
|                                                   |   | **95,000** | **103,877** | **1.5%** |
|                                                   |
| **Consumer Staples**                                   |   |
| **Pharmacies & Drug Stores**                       |   |
| CVS Caremark                                           | 6.25% due 06/01/2027 | 200,000 | 237,850 | 3.4% |
|                                                   |   | **200,000** | **237,850** | **3.4%** |
|                                                   |
| **Energy**                                             |   |
| **Exploration & Production**                       |   |
| Canadian Natural Resources                             | 6.45% due 06/30/2033 | 225,000 | 251,894 | 3.6% |
|                                                   |
| **Integrated Oils**                                    |   |
| ConocoPhillips                                         | 6.00% due 01/15/2020 | 150,000 | 177,314 | 2.5% |
| StatoilHydro                                           | 2.90% due 10/15/2014 | 200,000 | 205,191 | 2.9% |
|                                                   |   | 350,000 | 382,505 | 5.4% |
|                                                   |
| **Oil & Gas Services**                             |   |
| Baker Hughes                                           | 6.875% due 01/15/2029 | 100,000 | 128,265 | 1.8% |
|                                                   |   | **675,000** | **762,664** | **10.8%** |
|                                                   |
| **Financials**                                         |   |
| **Banks**                                              |   |
| Bank of Nova Scotia Yankee                             | 3.00% due 11/16/2026 | 250,000 | 246,654 | 3.5% |
|                                                   |
| **Institutional Brokerage**                            |   |
| Morgan Stanley Dean Witter                             | 6.75% due 10/15/2013 | 50,000 | 50,322 | 0.7% |
| Paine Webber Group                                     | 7.625% due 02/15/2014 | 50,000 | 51,371 | 0.7% |
| UBS AG Stamford CT                                     | 7.75% due 09/01/2026 | 200,000 | 244,121 | 3.5% |
|                                                   |   | 300,000 | 345,814 | 4.9% |
|                                                   |
| **Property & Casualty**                            |   |
| Progressive                                            | 7.00% due 10/01/2013 | 75,000 | 75,352 | 1.1% |
| St. Pauls Travelers Insurance                          | 5.50% due 12/01/2015 | 125,000 | 137,793 | 1.9% |
|                                                   |   | 200,000 | 213,145 | 3.0% |
|                                                   |   | **750,000** | **805,613** | **11.4%** |
|                                                   |
| **Health Care**                                        |   |
| **Generic Pharmaceuticals**                            |   |
| Teva Pharmaceutical                                    | 3.65% due 11/10/2021 | 250,000 | 246,697 | 3.5% |
|                                                   |
| Large Pharmaceuticals                                  |   |
| Merck & Co. (Schering)                             | 6.50% due 12/01/2033 | 215,000 | 273,552 | 3.9% |
| Pharmacia                                              | 6.50% due 12/01/2018 | 100,000 | 119,916 | 1.7% |
|                                                   |   | 315,000 | 393,468 | 5.6% |
|                                                   |   | **565,000** | **640,165** | **9.1%** |
|                                                   |
| **Industrials**                                        |   |
| **Agricultural Machinery**                             |   |
| Deere & Co.                                        | 8.10% due 05/15/2030 | 95,000 | 133,374 | 1.9% |
|                                                   |
| **Commercial Aircraft**                                |   |
| Boeing                                                 | 6.125% due 02/15/2033 | 215,000 | 258,230 | 3.7% |
|                                                   |   | **310,000** | **391,604** | **5.6%** |
|                                                   |
| **Materials**                                          |   |
| **Basic & Diversified  Chemicals**                 |   |
| Air Products & Chemicals                           | 8.75% due 04/15/2021 | 50,000 | 65,567 | 0.9% |
|                                                   |
| **Raw Material Suppliers**                             |   |
| BHP Finance USA                                        | 5.25% due 12/15/2015 | 125,000 | 137,011 | 1.9% |
|                                                   |   | **175,000** | **202,578** | **2.8%** |
|                                                   |
| **Utilities**                                          |   |
| **Integrated Utilities**                               |   |
| Entergy Louisiana                                      | 5.40% due 11/01/2024 | 200,000 | 224,048 | 3.2% |
| Florida Power & Light                              | 5.95% due 10/01/2033 | 100,000 | 120,443 | 1.7% |
|                                                   |   | **300,000** | **344,491** | **4.9%** |
|                                                   |
| **Total Corporate Bonds**                              |   | **3,070,000** | **3,488,842** | **49.5%** |
|                                                   |
| **Foreign Government Bonds**                           | **Coupon/Maturity** | **Face  Amount** | **Market  Value** | **Percentage of Assets** |
| **Canadian Government**                                |
| Quebec Canada Yankee                                   | 7.125% due 02/09/2024 | 175,000 | 222,122 | 3.2% |
|                                                   |   | **175,000** | **222,122** | **3.2%** |
|                                                   |
| **Municipal Bonds**                                    | **Coupon/Maturity** | **Face  Amount** | **Market  Value** | **Percentage of Assets** |
| **General Obligation**                                 |   |
| Blaine Co. ID SCD #61 Hailey                           | 5.25% due 08/01/2020 | 250,000 | 276,698 | 3.9% |
| City of Burlington Taxable GO 2009 Series  B           | 5.75% due 11/01/2028 | 160,000 | 142,557 | 2.0% |
| Dell Rapids SCD 49-3                                   | 6.257% due 01/15/2030 | 200,000 | 209,676 | 3.0% |
| Dupage Co. IL SCD #502                                 | 5.50% due 01/01/2026 | 150,000 | 164,372 | 2.3% |
| Idaho Hsg. & Fin. GARVEE BAB A-2                   | 5.379% due 07/15/2020 | 180,000 | 197,064 | 2.8% |
| Milan Co. MI Area Schools                              | 6.45% due 05/01/2024 | 150,000 | 166,754 | 2.4% |
| San Marcos Texas ULTD GO BAB                           | 6.028% due 08/15/2030 | 200,000 | 211,972 | 3.0% |
| Springville UT GO BAB                                  | 5.30% due 05/01/2031 | 240,000 | 244,730 | 3.5% |
|                                                   |   | **1,530,000** | **1,613,823** | **22.9%** |
|                                                   |
| **Revenue**                                            |   |
| American Municipal Power Ohio Rev.                     | 7.20% due 02/15/2029 | 250,000 | 284,853 | 4.0% |
| Johnson Co. KS Bldg. Ls./Pr. Rev. BAB                  | 4.60% due 09/01/2026 | 250,000 | 252,580 | 3.6% |
| Oklahoma City Fin. Auth. Ed. Lease Rev.                | 6.60% due 09/01/2022 | 160,000 | 181,794 | 2.6% |
|                                                   |   | **660,000** | **719,227** | **10.2%** |
|                                                   |
| **Total Municipal Bonds**                              |   | **2,190,000** | **2,333,050** | **33.1%** |
|                                                   |
| **US Government Bonds**                                | **Coupon/Maturity** | **Face  Amount** | **Market  Value** | **Percentage of Assets** |
| **Treasury Notes**                                     |
| United States Treasury Note                            | 1.00% due 11/30/2019 | 400,000 | 376,156 | 5.3% |
|                                                   |   | **400,000** | **376,156** | **5.3%** |
|                                                   |
| Total investments                                      | (Cost = $6,263,576) | $5,835,000 | 6,420,170 | 91.1% |
| Other assets (net of liabilities)                      |   |   | 623,921 | 8.9% |
| **Total net assets**                                   |   |   | **$7,044,091** | **100.0%** |

| **Saturna Investment Trust, Sextant Core Fund** |
|-------------------------------------------------|