# EDGAR Filing Document

**Accession Number:** 0001587982
**File Stem:** 0001398344-23-005976
**Filing Date:** 2023-3
**Character Count:** 168799
**Document Hash:** 7c60c63d62840c0c2b4920752d749d05
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001398344-23-005976.hdr.sgml**: 20230310

**ACCESSION NUMBER**: 0001398344-23-005976

**CONFORMED SUBMISSION TYPE**: N-CSR

**PUBLIC DOCUMENT COUNT**: 14

**CONFORMED PERIOD OF REPORT**: 20221231

**FILED AS OF DATE**: 20230310

**DATE AS OF CHANGE**: 20230310

**EFFECTIVENESS DATE**: 20230310

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Investment Managers Series Trust II
- **CENTRAL INDEX KEY:** 0001587982
- **IRS NUMBER:** 000000000

**FILING VALUES:**
- **FORM TYPE:** N-CSR
- **SEC ACT:** 1940 Act
- **SEC FILE NUMBER:** 811-22894
- **FILM NUMBER:** 23722278

**BUSINESS ADDRESS:**
- **STREET 1:** 235 WEST GALENA STREET
- **CITY:** MILWAUKEE
- **STATE:** WI
- **ZIP:** 53212
- **BUSINESS PHONE:** 414-299-2295

**MAIL ADDRESS:**
- **STREET 1:** 235 WEST GALENA STREET
- **CITY:** MILWAUKEE
- **STATE:** WI
- **ZIP:** 53212

## Series and Classes Contracts Data

### Kennedy Capital ESG SMID Cap Fund (Series ID: S000063803)

| Class ID   | Class Name                 | Ticker Symbol   |
|:---|:---|:---|
| C000206710 | Institutional Class Shares | KESGX           |

### KENNEDY CAPITAL SMALL CAP GROWTH FUND (Series ID: S000076117)

| Class ID   | Class Name                 | Ticker Symbol   |
|:---|:---|:---|
| C000235563 | Institutional Class Shares | KGROX           |

### KENNEDY CAPITAL SMALL CAP VALUE FUND (Series ID: S000076118)

| Class ID   | Class Name                 | Ticker Symbol   |
|:---|:---|:---|
| C000235565 | Institutional Class Shares | KVALX           |

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 **<u>811-22894</u>**

**<u>INVESTMENT MANAGERS SERIES TRUST II</u>**

(Exact name of registrant as specified in charter)

**235 W. Galena Street** 

**<u>Milwaukee, WI 53212</u>**

(Address of principal executive offices) (Zip code)

**Diane J. Drake** 

**Mutual Fund Administration, LLC** 

**2220 E. Route 66, Suite 226** 

**<u>Glendora, CA 91740</u>**

(Name and address of agent for service)

**<u>(626) 385-5777</u>**

Registrant's telephone number, including area code

Date of fiscal year end: **<u>December 31</u>**

Date of reporting period: **<u>December 31, 2022</u>**

**<u>Item 1. Report to Stockholders.</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The
 registrant's annual report transmitted to shareholders pursuant to Rule 30e-1 under
 the Investment Company Act of 1940, as amended (the "Investment Company Act"),
 is as follows:

**Kennedy Capital ESG SMID Cap Fund**

**(Institutional Class: KESGX)**

**Kennedy Capital Small Cap Growth Fund**

**(Institutional Class: KGROX)**

**Kennedy Capital Small Cap Value Fund**

**(Institutional Class: KVALX)**

**ANNUAL REPORT**

**DECEMBER 31, 2022**

**Kennedy Capital Funds**

*Each a series of Investment Managers Series Trust II*

**Table of Contents**

---

| | |
|:---|:---|
| Shareholder Letter | 1 |
| Fund Performance | 9 |
| Schedule of Investments | 15 |
| Statements of Assets and Liabilities | 29 |
| Statements of Operations | 30 |
| Statements of Changes in Net Assets | 31 |
| Financial Highlights | 34 |
| Notes to Financial Statements | 37 |
| Report of Independent Registered Public Accounting Firm | 47 |
| Supplemental Information | 49 |
| Expense Example | 57 |

---

*This report and the financial statements contained herein are provided for the general information of the shareholders of the Kennedy Capital Funds. This report is not authorized for distribution to prospective investors in the Fund unless preceded or accompanied by an effective prospectus.*

www.kennedycapital.com

![(graphic)](fp0082244_02.jpg)

**Executive Summary**

The Kennedy Capital ESG SMID Cap Fund declined 17.82% (net of fees) in 2022, outperforming the benchmark, the Russell 2500™ Index, by 55 basis points<sup>1</sup> while delivering on our stated Environmental, Social, and Governance priorities in the stock selection and portfolio construction process. The portfolio is fossil fuel free, has significantly lower greenhouse gas emissions in comparison to the benchmark, and has no exposure to the producers of tobacco, civil firearms, or controversial weapons. The portfolio has broad exposure across the growth-to-value style spectrum, with modest under- and over-weight positioning across sectors. The outperformance in 2022 was driven by favorable stock selection in the Industrials, Health Care, and Information Technology sectors, partially offset by unfavorable relative performance in Energy, Financials, and Materials.

**Strategy Overview**

We seek to outperform the Russell 2500™ Index, while optimizing the portfolio for ESG considerations. Our approach to stock selection and portfolio construction is both inclusionary and exclusionary in nature. The inclusionary component of our process is based on identifying small and mid-cap companies that leverage an environmental advantage or offer a solution to a societal problem as part of the company's product or service offerings. We also consider each investment candidate's governance framework and greenhouse gas emissions as part of our analysis. The exclusionary component of our process results in a portfolio that is fossil fuel free (defined as having no carbon reserves on the balance sheet), and has no exposure to producers of tobacco, civil firearms, or controversial weapons. The end result is a portfolio with exposure to many compelling societal and environmental trends, a significantly lower carbon footprint, and favorable governance characteristics. We believe thoughtful integration of these ESG considerations has the potential to manage long-term risk and enhance alpha\* generation.

**Performance Review**

2022 was a challenging year for equity markets, as steadily increasing interest rates from the US Federal Reserve and a decline in the level of government stimulus payments resulted in investor pessimism. Fears of recession began to build throughout the year, and public equity valuations suffered. On a fundamental basis, many companies experienced strong financial performance in 2022, but the building uncertainty regarding the longevity of the economic cycle drove stocks lower. Relative outperformance in the portfolio was driven by stock selection, while sector allocation was a notable headwind.

*The performance data quoted represents past performance and is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. For the most recent month-end performance, please call (833) 737-7788.*

**Portfolio Characteristics and Positioning**

\*\* As of 12/31/22, the portfolio had weighted average carbon emissions (Scope 1, reported and estimated) of 83,273 metric tons, an 88% reduction from the weighted average emissions of the benchmark. The portfolio had zero carbon reserves, while the benchmark had reserves that equate to over 686 million metric tons of potential future emissions. The weighted average governance score of the portfolio (based on Institutional Shareholder Services' Quality Score metric) was 3.38 compared with 4.19 for the Russell 2500<sup>TM</sup> Index or 19% more attractive (lower score is better).

<u>*10829 Olive Boulevard, Suite 100, St. Louis, MO 63141*</u> <u>*www.kennedycapital.com*</u> <u>*(314) 432 – 0400*</u>

![(graphic)](fp0082244_02.jpg)

Sector weightings in the portfolio are determined based on where we see the most compelling stock ideas and are not driven by a top-down forecast or macroeconomic model. As of 12/31/22, the portfolio was modestly overweight the Industrials, Health Care, and Information Technology sectors, and underweight Energy, Materials, and Financials. Given similar end market drivers, we view the weightings in Industrials and Materials/Energy as partially offsetting one another.

**Outlook**

We see the potential for a broad range of economic and financial scenarios in the year ahead. While interest rates are notably higher, home values have remained resilient as consumers adjust to this new reality. While the fear of a potential recession looms, corporate fundamentals have generally remained solid across many sectors and industries. Government spending in areas such as infrastructure and renewable energy is expected to serve as a buffer if a downturn in other construction-oriented parts of the economy weaken. Overall, we enter the year cautiously optimistic regarding the equity market outlook.

We continue to prioritize balance in the portfolio construction and stock selection process, striving to create a portfolio not wedded to a particular economic backdrop. We seek to have appropriate representation across sector weightings, growth vs. value style characteristics, and market capitalization. Our process remains "bottom-up" in nature, favoring stock ideas and sector weightings driven by company level fundamental analysis vs. a top down, macroeconomic forecast-based approach. We continue to see ESG integration providing opportunities for risk mitigation and alpha generation.

We remain confident in our ability to construct a portfolio with attractive ESG characteristics that strives to deliver relative investment outperformance over the long term. As always, we appreciate the confidence you place in our team.

---

| |
|:---|
| Sincerely, |
| ![(graphic)](fp0082244_03.jpg) |
| Christian McDonald |
| Portfolio Manager |

---

<sup>1</sup> *A basis point is a standard measure for interest rates and other percentages in finance. One basis point equals 1/100th of 1%, or 0.01% (and .0001 in decimal form).*

*\** *Alpha is the excess return of an investment relative to the return of a benchmark index is the investment's alpha. Alpha may be positive or negative and is the result of active investing.*

*\*\** *Source: Factset Research Systems Inc.*

*\*\** *Based on Global Industry Classification Standard (GICS), which was developed by and is the exclusive property and a service mark of MSCI Inc. (MSCI) and Standard & Poor's, a division of The McGraw-Hill Companies, Inc.(S&P). Excludes cash.* 

<u>*10829 Olive Boulevard, Suite 100, St. Louis, MO 63141*</u> <u>*www.kennedycapital.com*</u> <u>*(314) 432 – 0400*</u>

![(graphic)](fp0082244_02.jpg)

*Carbon Emissions (Scope 1 Wtd. Avg., mt.) is a weighted average of companies' reported or estimated Scope 1 greenhouse gas emissions measured in metric tons. Scope 1 emissions are those from sources owned or controlled by the company, typically direct combustion of fuel as in a furnace or vehicle. Exposure to Fossil Fuels is a measurement of how much of a company's business model is invested in or tied to fossil fuels. The Governance Score is the ISS Governance QualityScore, which is derived from publicly disclosed data on a company's governance practices and for which a lower score is preferable and a score 10 is considered high risk.* 

*The views in this letter were as of December 31, 2022 and may not necessarily reflect the same views on the date this letter is first published or any time thereafter. These views are intended to help shareholders in understanding the fund's investment methodology and do not constitute investment advice.*

***Important Information:*** *There can be no guarantee that any strategy (risk management or otherwise) will be successful. All investing involves risk, including potential loss of principal. Equity securities (stocks) are generally more volatile and carry more risk than fixed income securities (bonds) and money market investments. The net asset value per share of the ESG SMID Cap fund (the Fund) will fluctuate as the value of the securities in the portfolio changes. Common stocks, and funds investing in common stocks, generally provide greater returns over long time periods than fixed income securities. The Fund is comprised primarily of equity securities and is subject to market risk. Stocks may decline due to general market and economic conditions or due to company specific circumstances. The Fund is comprised of small-mid capitalization ("SMID cap") stocks. SMID cap stocks typically carry additional risk, since smaller companies generally have a higher risk of failure, and historically have experienced a greater degree of volatility. ESG criteria may affect the Fund's exposure to risks associated with certain issuers, industries and sectors, which may impact the Fund's investment performance. The Fund may forgo some market opportunities available to funds that do not use these criteria. Small-mid capitalization companies generally have a greater risk of failure, and their stocks generally have greater volatility than large companies. Must be preceded or accompanied by a prospectus.*

<u>*10829 Olive Boulevard, Suite 100, St. Louis, MO 63141*</u> <u>*www.kennedycapital.com*</u> <u>*(314) 432 – 0400*</u>

![(graphic)](fp0082244_02.jpg)

**Executive Summary**

The Kennedy Capital Small Cap Growth Fund returned -4.89% (net of fees) from inception 4/27/2022 through 12/31/2022. This compares to a decline of -5.05% for the benchmark, the Russell 2000<sup>®</sup> Growth Index.

2022 was a difficult year for investors, particularly those investing in growth-oriented strategies. In response to excessive inflation, the Federal Reserve implemented a series of sharp interest rate increases, which directly caused a reset of equity discount rates (lessening the value of future cash flows) and is expected to have a negative drag on demand (and thus estimates for near term earnings potential). The result was declining equity markets and underperformance, even within the Russell 2000<sup>®</sup> Growth Index, of companies with "growthier" characteristics (i.e., higher sales & earnings growth rates and higher valuations). Despite this general factor headwind and our lack of ownership in the Energy sector (which outperformed), the Fund was able to slightly outperform overall due to strong stock selection in the Consumer Staples sector.

**Performance Review and Positioning**

From Fund inception (4/27/22) through 12/31/22, the Kennedy Small Cap Growth Fund returned -4.89% (net of fees), outperforming the Russell 2000<sup>®</sup> Growth Index by 16 basis points\*. Relative outperformance in the fund was driven primarily by strong stock selection in Consumer Staples, Industrials, and Consumer Discretionary. This was partially offset by weaker relative returns from holdings in the Health Care and Real Estate sectors, as well as the negative relative impact of not owning any companies in the Energy sector, which outperformed with a positive return in this time period.

Sector weightings in the portfolio are determined based on where we see the most compelling stock ideas and are not driven by a top-down forecast or macroeconomic model. Our investment process seeks to identify companies with high current and/or future returns on investment with opportunities to invest in higher-than-average growth. As of 12/31/22, this resulted in our largest overweight sectors in the portfolio (relative to the Russell 2000<sup>®</sup> Growth Index) being Industrials, Consumer Discretionary, and Consumer Staples. The largest underweight sectors relative to the benchmark were Energy, Materials, and Information Technology.

*The performance data quoted represents past performance and is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. For the most recent month-end performance, please call (833) 737-7788.*

**Outlook**

While the macro backdrop remains volatile, valuations and earnings expectations have declined significantly from their peaks in 2021, increasingly presenting us with more attractive long-term opportunities to consider. As a result, we have started the process of slowly deploying our excess cash into new and existing investments where we have conviction in the medium-term earnings potential vs. market expectations. That said, we believe there is still significant risk as to exactly where things land in 2023/2024 – both to the upside and the downside – and expect that near term the equity markets will continue to be dominated by any news on the same key macro factors: inflation, interest rates, and demand destruction. For this reason, we are taking a deliberately slow and methodical approach to any changes in the portfolio holdings. But we still believe that at some point in 2023, visibility on these key macro inputs should settle out and investors will again focus on individual company earnings execution and longer-term opportunities. We spend the majority of our time preparing the portfolio for that day, understanding how the new environment impacts our companies' returns but making sure to keep our focus on the 3–5-year growth opportunities. In aggregate, the portfolio is invested in companies with higher CFROIs (cash flow return on investment) and higher asset growth (i.e., re-investment opportunities), trading at a roughly similar valuation as the benchmark (based on current and next year's price/earnings ratio). Assuming our companies can execute against these growth opportunities, we believe this should be a recipe for potential longer-term outperformance.

<u>*10829 Olive Boulevard, Suite 100, St. Louis, MO 63141*</u> <u>*www.kennedycapital.com*</u> <u>*(314) 432 – 0400*</u>

![(graphic)](fp0082244_02.jpg)

Thank you for your continued confidence in the Kennedy Capital team.

---

| |
|:---|
| Sincerely, |
| ![(graphic)](fp0082244_04.jpg) |
| Jean Barnard, CFA<sup>®</sup> |
| Portfolio Manager |

---

---

| |
|:---|
| ![(graphic)](fp0082244_05.jpg) |
| Ryan Dunnegan, CPA |
| Portfolio Manager |

---

\* *A basis point is a standard measure for interest rates and other percentages in finance. One basis point equals 1/100th of 1%, or 0.01% (and .0001 in decimal form).*

*The views in this letter were as of December 31, 2022 and may not necessarily reflect the same views on the date this letter is first published or any time thereafter. These views are intended to help shareholders in understanding the fund's investment methodology and do not constitute investment advice.*

***Important Information:*** *There can be no guarantee that any strategy (risk management or otherwise) will be successful. All investing involves risk, including potential loss of principal. Equity securities (stocks) are generally more volatile and carry more risk than fixed income securities (bonds) and money market investments. The net asset value per share of the ESG SMID Cap fund (the Fund) will fluctuate as the value of the securities in the portfolio changes. Common stocks, and funds investing in common stocks, generally provide greater returns over long time periods than fixed income securities. The Fund is comprised primarily of equity securities and is subject to market risk. Stocks may decline due to general market and economic conditions or due to company specific circumstances. The Fund is comprised of small-mid capitalization ("SMID cap") stocks. SMID cap stocks typically carry additional risk, since smaller companies generally have a higher risk of failure, and historically have experienced a greater degree of volatility. ESG criteria may affect the Fund's exposure to risks associated with certain issuers, industries and sectors, which may impact the Fund's investment performance. The Fund may forgo some market opportunities available to funds that do not use these criteria. Small-mid capitalization companies generally have a greater risk of failure, and their stocks generally have greater volatility than large companies. Must be preceded or accompanied by a prospectus.*

<u>*10829 Olive Boulevard, Suite 100, St. Louis, MO 63141*</u> <u>*www.kennedycapital.com*</u> <u>*(314) 432 – 0400*</u>

![(graphic)](fp0082244_02.jpg)

**Executive Summary**

The Kennedy Capital Small Cap Value Fund returned -0.34% (net of fees) from 4/27/2022 through 12/31/2022. This compares to a decline of 5.91% for the benchmark, Russell 2000<sup>®</sup> Value Index.

2022 experienced a number of significant shifts in the macro environment, which created a difficult backdrop for equity market performance. To summarize:

The Russian invasion of Ukraine, which caused oil prices to spike over 60% from year end 2021 levels.

Inflation, as measured by the Consumer Price Index\* "CPI", increased at a high single digit percentage rate. This is the highest inflation reading we've seen since the early 1980s.

In response to the higher inflation readings, the Federal Reserve shifted quickly to monetary tightening, raising the Federal Funds Target Rate by over 400 basis points. The Fed has signaled that further rate increases will be needed to quell inflationary pressures, which will have a slowing effect on economic growth.

- Longer term interest rate measures – such as the 10-year treasury yield and the 30-year mortgage rate – rose sharply to multi-year highs in response to the higher inflation readings.

One of the consequences of higher interest rates is an increase in the discount rate that's used to value financial assets. The arithmetic is straight forward: Rising discount rates means the value of future cash flows generated by an asset are worth less in today's dollars. We believe this sharp rise in discount rates was the predominate factor driving negative equity market returns in 2022. While no sectors were immune from the compression in equity valuations, the impact was most acutely felt in historically expensive areas of the market, such as biotech and software. These industry groups dramatically underperformed the broader market in 2022, posting declines of 38%, and 51%, respectively, within the benchmark.

**Performance Review and Positioning**

From fund inception (4/27/22) through 12/31/2022, the Kennedy Capital Small Cap Value Fund returned -0.34% (net of fees), outperforming the Russell 2000<sup>®</sup> Value Index which declined 5.91% over the same period. Relative outperformance in the portfolio was driven primarily by strong stock selection in the Industrials, Energy, and Communication Services sectors. This was partially offset by weaker relative returns from holdings in the Financials, Real Estate, and Consumer Discretionary sectors.

*The performance data quoted represents past performance and is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. For the most recent month-end performance, please call (833) 737-7788.*

Sector weightings in the portfolio are determined based on where we see the most compelling stock ideas and are not driven by a top-down forecast or macroeconomic model. As of 12/31/22, the largest overweight sectors in the portfolio (relative to the Russell 2000<sup>®</sup> Value Index) were Industrials, Information Technology and Consumer Discretionary. The largest underweight sectors relative to the benchmark were Utilities, Communication Services and Financials.

<u>*10829 Olive Boulevard, Suite 100, St. Louis, MO 63141*</u> <u>*www.kennedycapital.com*</u> <u>*(314) 432 – 0400*</u>

![(graphic)](fp0082244_02.jpg)

**Outlook**

The intermediate macroeconomic picture is decidedly cloudy. Financial conditions are tightening, economic growth is slowing, and markets have responded with increased volatility. Experience tells us the most attractive long term investment opportunities present themselves during such times of heightened uncertainty and bearish market sentiment. Capturing these opportunities requires a deep focus on company and industry fundamentals, and the ability to recognize situations where market prices inadequately reflect the long-term value creation potential of the underlying business. By staying disciplined to our process, we can construct a portfolio of companies that in aggregate have attractive fundamental attributes relative to the overall market, but at valuation levels that give us a sufficient margin of safety\*\*. We believe this is a winning recipe for potential portfolio returns over the long term.

We welcome the opportunity to discuss any questions or concerns you may have, and we thank you for the opportunity you have given us to manage your investment.

---

| |
|:---|
| Sincerely, |
| ![(graphic)](fp0082244_06.jpg) |
| Frank Latuda, Jr., CFA<sup>®</sup> |
| Chief Investment Officer & Portfolio Manager |

---

---

| |
|:---|
| ![(graphic)](fp0082244_07.jpg) |
| McAfee Burke, CFA<sup>®</sup> |
| Portfolio Manager, Research Analyst |

---

*\** *The Consumer Price Index (CPI) is a measure of the average change over time in the prices paid by urban consumers for a representative basket of consumer goods and services.*

*\*\** *Margin of safety is when a security is purchased for less than its estimated value. This helps protect against permanent capital loss in the case of an unexpected event or analytical mistake. A purchase made with a margin of safety does not guarantee the security will not decline in price.*

*The views in this letter were as of December 31, 2022 and may not necessarily reflect the same views on the date this letter is first published or any time thereafter. These views are intended to help shareholders in understanding the fund's investment methodology and do not constitute investment advice.*

 

<u>*10829 Olive Boulevard, Suite 100, St. Louis, MO 63141*</u> <u>*www.kennedycapital.com*</u> <u>*(314) 432 – 0400*</u>

***Important Information:*** *There can be no guarantee that any strategy (risk management or otherwise) will be successful. All investing involves risk, including potential loss of principal. Equity securities (stocks) are generally more volatile and carry more risk than fixed income securities (bonds) and money market investments. The net asset value per share of the ESG SMID Cap fund (the Fund) will fluctuate as the value of the securities in the portfolio changes. Common stocks, and funds investing in common stocks, generally provide greater returns over long time periods than fixed income securities. The Fund is comprised primarily of equity securities and is subject to market risk. Stocks may decline due to general market and economic conditions or due to company specific circumstances. The Fund is comprised of small-mid capitalization ("SMID cap") stocks. SMID cap stocks typically carry additional risk, since smaller companies generally have a higher risk of failure, and historically have experienced a greater degree of volatility. ESG criteria may affect the Fund's exposure to risks associated with certain issuers, industries and sectors, which may impact the Fund's investment performance. The Fund may forgo some market opportunities available to funds that do not use these criteria. Small-mid capitalization companies generally have a greater risk of failure, and their stocks generally have greater volatility than large companies. Must be preceded or accompanied by a prospectus.*

 

<u>*10829 Olive Boulevard, Suite 100, St. Louis, MO 63141*</u> <u>*www.kennedycapital.com*</u> <u>*(314) 432 – 0400*</u>

**Kennedy Capital ESG SMID Cap Fund**

**FUND PERFORMANCE at December 31, 2022 (Unaudited)**

![(graphic)](fp0082244_08.jpg)

This graph compares a hypothetical $10,000 investment in the Fund's Institutional Class shares, made at its inception, with a similar investment in the Russell 2500™ Index. Results include the reinvestment of all dividends and capital gains.

Russell 2500™ Index measures the performance of the small to mid-cap segment of the U.S. equity universe, commonly referred to as "smid" cap. The Russell 2500™ index is a subset of the Russell 3000<sup>®</sup> Index. It includes approximately 2500 of the smallest securities based on a combination of their market cap and current index membership. The Russell 2500™ index is constructed to provide a comprehensive and unbiased barometer for the small to mid-cap segment. The index is completely reconstituted annually to ensure larger stocks do not distort the performance characteristics of the true small to mid-cap opportunity set. The index does not reflect expenses, fees, or sales charge, which would lower performance. The index is unmanaged and it is not available for investment.

---

| | | | |
|:---|:---|:---|:---|
| **Average Annual Total Returns** *as of December 31, 2022* | 1 Year | Since Inception<br>| Inception Date |
| Institutional Class | -17.82% | 9.10% | 06/28/19 |
| Russell 2500™ Index | -18.37% | 6.33% | 06/28/19 |

---

*The performance data quoted here represents past performance and past performance is not a guarantee of future results. Investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance information quoted. The most recent month end performance may be obtained by calling (877) 882-8825.* 

Gross and net expense ratios for the Institutional Class shares were 2.49% and 0.82%, respectively, which were the amounts stated in the current prospectus dated May 01, 2022. For the Fund's current one year expense ratios, please refer to the Financial Highlights section of this report. The Fund's advisor has contractually agreed to waive fees and/or pay for operating expenses of the Fund to ensure that total annual fund operating expenses do not exceed 0.82% of the average daily net assets of the Institutional Class shares of the Fund. This agreement is in effect until April 30, 2023, and it may be terminated before that date only by the Trust's Board of Trustees. In the absence of such waivers, the Fund's returns would be lower.

**Kennedy Capital ESG SMID Cap Fund**

**FUND PERFORMANCE at December 31, 2022 (Unaudited) - Continued**

Returns reflect the reinvestment of distributions made by the Fund, if any. The graph and the performance table above do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

**Kennedy Capital Small Cap Growth Fund**

**FUND PERFORMANCE at December 31, 2022 (Unaudited)**

![(graphic)](fp0082244_09.jpg)

This graph compares a hypothetical $50,000 investment in the Fund's Institutional Class shares, made at its inception, with a similar investment in the Russell 2000<sup>®</sup> Growth Index. Results include the reinvestment of all dividends and capital gains.

Russell 2000<sup>®</sup> Growth Index measures the performance of the small-cap growth segment of the U.S. equity universe. It includes those Russell 2000 companies with higher price-to-value ratios and higher forecasted growth values. The Russell 2000<sup>®</sup> Growth Index is constructed to provide a comprehensive and unbiased barometer for the small-cap growth segment. The Russell 2000<sup>®</sup> Growth Index is completely reconstituted annually to ensure larger stocks do not distort the performance and characteristics of the true small-cap opportunity set and that the represented companies continue to reflect growth characteristics. The index does not reflect expenses, fees, or sales charge, which would lower performance. The index is unmanaged and it is not available for investment.

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Total Returns** *as of December 31, 2022* | 3 Months <br> (Actual) | 6 Months<br> (Actual) | Since Inception<br> (Cumulative) | Inception Date |
| Institutional Class | 7.46% | 5.67% | -4.89% | 04/27/22 |
| Russell 2000<sup>®</sup> Growth Index | 4.13% | 4.38% | -5.05% | 04/27/22 |

---

*The performance data quoted here represents past performance and past performance is not a guarantee of future results. Investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance information quoted. The most recent month end performance may be obtained by calling (877) 882-8825. The Fund has been in existence for less than one year; cumulative performance may not be indicative of the Fund's long-term potential. The Fund returns will fluctuate over long and short-term period. Periods over one year are annualized.*

**Kennedy Capital Small-Cap Growth Fund**

**FUND PERFORMANCE at December 31, 2022 (Unaudited) - Continued**

Gross and net expense ratio for the Institutional Class shares were 1.44% and 0.89%, respectively, which were the amounts stated in the current prospectus dated April 27, 2022. For the Fund's current period ended December 31, 2022 expense ratios, please refer to the Financial Highlights section of this report. The Fund's advisor has contractually agreed to waive fees and/or pay for operating expenses of the Fund to ensure that total annual fund operating expenses do not exceed 0.89% of the average daily net assets of the Institutional Class shares of the Fund. This agreement is in effect until April 30, 2023, and it may be terminated before that date only by the Trust's Board of Trustees. In the absence of such waivers, the Fund's returns would be lower.

Returns reflect the reinvestment of distributions made by the Fund, if any. The graph and the performance table above do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

**Kennedy Capital Small Cap Value Fund**

**FUND PERFORMANCE at December 31, 2022 (Unaudited)**

![(graphic)](fp0082244_10.jpg)

This graph compares a hypothetical $50,000 investment in the Fund's Institutional Class shares, made at its inception, with a similar investment in the Russell 2000<sup>®</sup> Value Index. Results include the reinvestment of all dividends and capital gains.

Russell 2000<sup>®</sup> Value Index measures the performance of the small-cap value segment of the U.S. equity universe. It includes those Russell 2000 companies with lower price-to-book ratios and lower forecasted growth values. The Russell 2000<sup>®</sup> Value Index is constructed to provide a comprehensive and unbiased barometer for the small-cap value segment. The Russell 2000<sup>®</sup> Value Index is completely reconstituted annually to ensure larger stocks do not distort the performance and characteristics of the true small-cap opportunity set and that the represented companies continue to reflect value characteristics. The index does not reflect expenses, fees, or sales charge, which would lower performance. The index is unmanaged and it is not available for investment.

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Total Returns** *as of December 31, 2022* | 3 Months<br> (Actual) | 6 Months<br> (Actual) | Since Inception<br> (Cumulative) | Inception Date |
| Institutional Class | 10.61% | 7.28% | -0.34% | 04/27/22 |
| Russell 2000<sup>®</sup> Value Index | 8.42% | 3.42% | -5.91% | 04/27/22 |

---

*The performance data quoted here represents past performance and past performance is not a guarantee of future results. Investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance information quoted. The most recent month end performance may be obtained by calling (877) 882-8825. The Fund has been in existence for less than one year; cumulative performance may not be indicative of the Fund's long-term potential. The Fund returns will fluctuate over long and short-term period. Periods over one year are annualized.*

Gross and net expense ratio for the Institutional Class shares were 1.45% and 0.89%, respectively, which were the amounts stated in the current prospectus dated April 27, 2022. For the Fund's current period ended December 31, 2022 expense ratios, please refer to the Financial Highlights section of this report. The Fund's advisor has contractually agreed to waive fees and/or pay for operating expenses of the Fund to ensure that total annual fund operating expenses do not exceed 0.89% of the average daily net assets Institutional Class shares of the Fund. This agreement is in effect until April 30, 2023, and it may be terminated before that date only by the Trust's Board of Trustees. In the absence of such waivers, the Fund's returns would be lower.

**Kennedy Capital Small-Cap Value Fund**

**FUND PERFORMANCE at December 31, 2022 (Unaudited) - Continued**

Returns reflect the reinvestment of distributions made by the Fund, if any. The graph and the performance table above do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

**Kennedy Capital ESG SMID Cap Fund**

**SCHEDULE OF INVESTMENTS**

**As of December 31, 2022**

---

| | | |
|:---|:---|:---|
| Number<br> of Shares |  | Value |
|  | **COMMON STOCKS — 96.9%** |  |
|  | **COMMUNICATION SERVICES — 0.5%** |  |
| 17761 | Magnite, Inc.\* | $**188089** |
|  | **CONSUMER DISCRETIONARY — 11.8%** |  |
| 11292 | American Eagle Outfitters, Inc. | 157636 |
| 4879 | Brunswick Corp. | 351678 |
| 4893 | Columbia Sportswear Co. | 428529 |
| 11298 | Gentex Corp. | 308096 |
| 2946 | Hasbro, Inc. | 179735 |
| 2982 | Helen of Troy, Ltd.\*<sup>,1</sup> | 330734 |
| 1509 | Lithia Motors, Inc. - Class A | 308953 |
| 9217 | LKQ Corp. | 492280 |
| 2836 | Papa John's International, Inc. | 233431 |
| 1222 | Pool Corp. | 369447 |
| 6390 | Steven Madden Ltd. | 204224 |
| 2853 | TopBuild Corp.\* | 446466 |
| 24682 | Topgolf Callaway Brands Corp.\* | 487470 |
| 1210 | Vail Resorts, Inc. | 288404 |
|  |  | **4587083** |
|  | **CONSUMER STAPLES — 2.7%** |  |
| 2387 | Bunge, Ltd.<sup>1</sup> | 238151 |
| 3302 | elf Beauty, Inc.\* | 182601 |
| 30903 | SunOpta, Inc.\*<sup>,1</sup> | 260821 |
| 9997 | United Natural Foods, Inc.\* | 386984 |
|  |  | **1068557** |
|  | **ENERGY — 2.4%** |  |
| 14822 | ChampionX Corp. | 429690 |
| 25161 | DMC Global, Inc.\* | 489130 |
|  |  | **918820** |
|  | **FINANCIALS — 14.8%** |  |
| 2326 | Assurant, Inc. | 290890 |
| 9517 | BankUnited, Inc. | 323292 |
| 5212 | Banner Corp. | 329398 |
| 6510 | Brown & Brown, Inc. | 370875 |
| 7395 | Commerce Bancshares, Inc. | 503378 |
| 5999 | East West Bancorp, Inc. | 395334 |
| 486 | FactSet Research Systems, Inc. | 194988 |
| 14597 | First Foundation, Inc. | 209175 |
| 3920 | Globe Life, Inc. | 472556 |
| 10154 | Hannon Armstrong Sustainable Infrastructure Capital, Inc. - REIT | 294263 |
| 6258 | HomeStreet, Inc. | 172596 |
| 1096 | LPL Financial Holdings, Inc. | 236922 |
| 5657 | PacWest Bancorp | 129828 |

---

**Kennedy Capital ESG SMID Cap Fund**

**SCHEDULE OF INVESTMENTS - Continued**

**As of December 31, 2022**

---

| | | |
|:---|:---|:---|
| Number<br> of Shares |  | Value |
|  | **COMMON STOCKS (Continued)** |  |
|  | **FINANCIALS (Continued)** |  |
| 6714 | Stifel Financial Corp. | $391896 |
| 8075 | Voya Financial, Inc. | 496532 |
| 3715 | Walker & Dunlop, Inc. | 291553 |
| 5188 | Western Alliance Bancorp | 308997 |
| 4059 | Wintrust Financial Corp. | 343067 |
|  |  | **5755540** |
|  | **HEALTH CARE — 14.7%** |  |
| 3743 | Axonics, Inc.\* | 234050 |
| 1259 | Charles River Laboratories International, Inc.\* | 274336 |
| 792 | Chemed Corp. | 404260 |
| 6918 | Encompass Health Corp. | 413766 |
| 21148 | Enhabit, Inc.\* | 278308 |
| 21968 | Evolent Health, Inc. - Class A\* | 616861 |
| 8659 | Halozyme Therapeutics, Inc.\* | 492697 |
| 1381 | ICON PLC\*<sup>,1</sup> | 268259 |
| 3835 | ICU Medical, Inc.\* | 603936 |
| 4065 | Intra-Cellular Therapies, Inc.\* | 215120 |
| 4059 | Ionis Pharmaceuticals, Inc.\* | 153308 |
| 13964 | Iovance Biotherapeutics, Inc.\* | 89230 |
| 5481 | LivaNova PLC\*<sup>,1</sup> | 304415 |
| 1903 | Neurocrine Biosciences, Inc.\* | 227294 |
| 10749 | NextGen Healthcare, Inc.\* | 201866 |
| 6569 | NuVasive, Inc.\* | 270906 |
| 4329 | Omnicell, Inc.\* | 218268 |
| 12462 | Premier, Inc. - Class A | 435921 |
|  |  | **5702801** |
|  | **INDUSTRIALS — 22.4%** |  |
| 4437 | AAON, Inc. | 334195 |
| 4524 | Albany International Corp. - Class A | 446021 |
| 2316 | Axon Enterprise, Inc.\* | 384294 |
| 1971 | Chart Industries, Inc.\* | 227118 |
| 4383 | ESCO Technologies, Inc. | 383688 |
| 3190 | Hillenbrand, Inc. | 136117 |
| 1888 | IDEX Corp. | 431087 |
| 2184 | John Bean Technologies Corp. | 199465 |
| 46338 | Leonardo DRS, Inc.\* | 592200 |
| 8569 | Mercury Systems, Inc.\* | 383377 |
| 2097 | Middleby Corp.\* | 280788 |
| 3518 | MSA Safety, Inc. | 507260 |
| 1626 | Nordson Corp. | 386533 |
| 3626 | Regal Rexnord Corp. | 435047 |
| 7158 | Spirit AeroSystems Holdings, Inc., Class A | 211877 |
| 4750 | Stanley Black & Decker, Inc. | 356820 |

---

**Kennedy Capital ESG SMID Cap Fund**

**SCHEDULE OF INVESTMENTS - Continued**

**As of December 31, 2022**

---

| | | |
|:---|:---|:---|
| Number<br> of Shares |  | Value |
|  | **COMMON STOCKS (Continued)** |  |
|  | **INDUSTRIALS (Continued)** |  |
| 2392 | Tetra Tech, Inc. | $347294 |
| 27182 | Thermon Group Holdings, Inc.\* | 545815 |
| 3289 | Titan Machinery, Inc.\* | 130672 |
| 8633 | Trex Co., Inc.\* | 365435 |
| 790 | United Rentals, Inc.\* | 280782 |
| 2335 | Valmont Industries, Inc. | 772114 |
| 6004 | XPO, Inc.\* | 199873 |
| 17065 | Zurn Elkay Water Solutions Corp. | 360925 |
|  |  | **8698797** |
|  | **INFORMATION TECHNOLOGY — 15.5%** |  |
| 3493 | CyberArk Software Ltd.\*<sup>,1</sup> | 452867 |
| 3740 | Elastic N.V.\*<sup>,1</sup> | 192610 |
| 4545 | Euronet Worldwide, Inc.\* | 428957 |
| 7655 | Everbridge, Inc.\* | 226435 |
| 1305 | F5, Inc.\* | 187281 |
| 6157 | Kulicke & Soffa Industries, Inc. | 272509 |
| 8079 | PagerDuty, Inc.\* | 214578 |
| 1549 | Paylocity Holding Corp.\* | 300909 |
| 2029 | Perficient, Inc.\* | 141685 |
| 1821 | Rogers Corp.\* | 217318 |
| 2304 | TD SYNNEX Corp. | 218212 |
| 1992 | Teledyne Technologies, Inc.\* | 796621 |
| 2390 | Teradyne, Inc. | 208767 |
| 11912 | Trimble, Inc.\* | 602271 |
| 20282 | Vishay Precision Group, Inc.\* | 783899 |
| 7480 | WNS Holdings Ltd. ADR\* | 598325 |
| 2683 | Wolfspeed, Inc.\* | 185234 |
|  |  | **6028478** |
|  | **MATERIALS — 3.6%** |  |
| 7003 | Avient Corp. | 236421 |
| 4560 | Crown Holdings, Inc. | 374878 |
| 9276 | Livent Corp.\* | 184314 |
| 2919 | Reliance Steel & Aluminum Co. | 590922 |
|  |  | **1386535** |
|  | **REAL ESTATE — 6.4%** |  |
| 2727 | EastGroup Properties, Inc. - REIT | 403760 |
| 24179 | Independence Realty Trust, Inc. - REIT | 407658 |
| 2000 | Jones Lang LaSalle, Inc.\* | 318740 |
| 20683 | Kite Realty Group Trust - REIT | 435377 |
| 31669 | Macerich Co. - REIT | 356593 |
| 7267 | National Storage Affiliates Trust - REIT | 262484 |

---

**Kennedy Capital ESG SMID Cap Fund**

**SCHEDULE OF INVESTMENTS - Continued**

**As of December 31, 2022**

---

| | | |
|:---|:---|:---|
| Number<br> of Shares |  | Value |
|  | **COMMON STOCKS (Continued)** |  |
|  | **REAL ESTATE (Continued)** |  |
| 2281 | Sun Communities, Inc. - REIT | $326183 |
|  |  | **2510795** |
|  | **UTILITIES — 2.1%** |  |
| 12371 | Atlantica Sustainable Infrastructure PLC<sup>1</sup> | 320409 |
| 10381 | Essential Utilities, Inc. | 495485 |
|  |  | **815894** |
|  | **TOTAL COMMON STOCKS** |  |
|  | &nbsp;&nbsp;&nbsp;&nbsp;(Cost $40,493,122) | **37661389** |

---

---

| | | |
|:---|:---|:---|
| Principal<br> Amount |  |  |
|  | **SHORT-TERM INVESTMENTS — 3.6%** |  |
| $1409482 | UMB Bank Demand Deposit, 0.01%<sup>2</sup> | 1409482 |
|  | **TOTAL SHORT-TERM INVESTMENTS** |  |
|  | &nbsp;&nbsp;&nbsp;&nbsp;(Cost $1,409,482) | **1409482** |
|  | **TOTAL INVESTMENTS — 100.5%** |  |
|  | &nbsp;&nbsp;&nbsp;&nbsp;(Cost $41,902,604) | **39070871** |
|  | Liabilities in Excess of Other Assets — (0.5)% | (180353) |
|  | **NET ASSETS — 100.0%** | $**38890518** |

---

REIT – Real Estate Investment Trusts

PLC – Public Limited Company

ADR – American Depository Receipt

\* Non-income producing security. <br> <sup>1</sup> Foreign security denominated in U.S. Dollars. <br> <sup>2</sup> The rate is the annualized seven-day yield at period end.

*See accompanying Notes to Financial Statements.*

**Kennedy Capital ESG SMID Cap Fund**

**SUMMARY OF INVESTMENTS**

**As of December 31, 2022**

---

| | |
|:---|:---|
| Security Type/Sector | Percent of Total<br> Net Assets |
| Common Stocks |  |
| &nbsp;&nbsp;Industrials | 22.4% |
| &nbsp;&nbsp;Information Technology | 15.5% |
| &nbsp;&nbsp;Financials | 14.8% |
| &nbsp;&nbsp;Health Care | 14.7% |
| &nbsp;&nbsp;Consumer Discretionary | 11.8% |
| &nbsp;&nbsp;Real Estate | 6.4% |
| &nbsp;&nbsp;Materials | 3.6% |
| &nbsp;&nbsp;Consumer Staples | 2.7% |
| &nbsp;&nbsp;Energy | 2.4% |
| &nbsp;&nbsp;Utilities | 2.1% |
| &nbsp;&nbsp;Communication Services | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.5% |
| **Total Common Stocks** | **96.9%** |
| Short-Term Investments | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.6% |
| **Total Investments** | **100.5%** |
| Liabilities in Excess of Other Assets | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(0.5)% |
| **Total Net Assets** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**100.0%**  |

---

*See accompanying Notes to Financial Statements.*

**Kennedy Capital Small Cap Growth Fund**

**SCHEDULE OF INVESTMENTS**

**As of December 31, 2022**

---

| | | |
|:---|:---|:---|
| Number<br> of Shares |  | Value |
|  | **COMMON STOCKS — 98.5%** |  |
|  | **COMMUNICATION SERVICES — 1.9%** |  |
| 875 | Magnite, Inc.\* | $**9266** |
|  | **CONSUMER DISCRETIONARY — 15.5%** |  |
| 58 | Installed Building Products, Inc. | 4965 |
| 33 | Lithia Motors, Inc. - Class A | 6757 |
| 78 | Marriott Vacations Worldwide Corp. | 10498 |
| 138 | Monarch Casino & Resort, Inc.\* | 10611 |
| 93 | Ollie's Bargain Outlet Holdings, Inc.\* | 4356 |
| 128 | Planet Fitness, Inc. - Class A\* | 10086 |
| 214 | Skyline Champion Corp.\* | 11023 |
| 380 | Topgolf Callaway Brands Corp.\* | 7505 |
| 57 | Wingstop, Inc. | 7844 |
|  |  | **73645** |
|  | **CONSUMER STAPLES — 6.5%** |  |
| 332 | elf Beauty, Inc.\* | 18360 |
| 214 | Performance Food Group Co\* | 12495 |
|  |  | **30855** |
|  | **FINANCIALS — 5.7%** |  |
| 204 | Axos Financial, Inc.\* | 7797 |
| 312 | BRP Group, Inc. - Class A\* | 7843 |
| 168 | National Bank Holdings Corp. - Class A | 7068 |
| 87 | Triumph Financial, Inc.\* | 4252 |
|  |  | **26960** |
|  | **HEALTH CARE — 22.9%** |  |
| 353 | AdaptHealth Corp.\* | 6785 |
| 792 | ADMA Biologics, Inc.\* | 3073 |
| 117 | Apollo Medical Holdings, Inc.\* | 3462 |
| 317 | Artivion, Inc.\* | 3842 |
| 419 | Avid Bioservices, Inc.\* | 5770 |
| 135 | Axonics, Inc.\* | 8442 |
| 106 | Bruker Corp. | 7245 |
| 1146 | Cerus Corp.\* | 4183 |
| 170 | Cullinan Oncology, Inc.\* | 1794 |
| 205 | Halozyme Therapeutics, Inc.\* | 11664 |
| 123 | Intra-Cellular Therapies, Inc.\* | 6509 |
| 72 | Ionis Pharmaceuticals, Inc.\* | 2719 |
| 251 | Iovance Biotherapeutics, Inc.\* | 1604 |
| 62 | Keros Therapeutics, Inc.\* | 2977 |
| 219 | Kezar Life Sciences, Inc.\* | 1542 |
| 30 | Ligand Pharmaceuticals, Inc.\* | 2004 |
| 91 | LivaNova PLC\*<sup>,1</sup> | 5054 |
| 150 | NuVasive, Inc.\* | 6186 |

---

**Kennedy Capital Small Cap Growth Fund**

**SCHEDULE OF INVESTMENTS - Continued**

**As of December 31, 2022**

---

| | | |
|:---|:---|:---|
| Number<br> of Shares |  | Value |
|  | **COMMON STOCKS (Continued)** |  |
|  | **HEALTH CARE (Continued)** |  |
| 0<sup>2</sup> | OmniAb, Inc.\* | $—<sup>3</sup> |
| 11 | OmniAb, Inc. Earnout Shares<sup>4</sup> |  |
| 11 | OmniAb, Inc. Earnout Shares<sup>4</sup> |  |
| 108 | Omnicell, Inc.\* | 5445 |
| 131 | Protagonist Therapeutics, Inc.\* | 1429 |
| 70 | Reata Pharmaceuticals, Inc. - Class A\* | 2659 |
| 173 | Surgery Partners, Inc.\* | 4820 |
| 130 | Tandem Diabetes Care, Inc.\* | 5844 |
| 100 | Travere Therapeutics, Inc.\* | 2103 |
| 80 | Zentalis Pharmaceuticals, Inc.\* | 1611 |
|  |  | **108766** |
|  | **INDUSTRIALS — 24.7%** |  |
| 418 | Array Technologies, Inc.\* | 8080 |
| 120 | ASGN, Inc.\* | 9778 |
| 88 | Axon Enterprise, Inc.\* | 14602 |
| 143 | Casella Waste Systems, Inc. - Class A\* | 11341 |
| 53 | Chart Industries, Inc.\* | 6107 |
| 61 | John Bean Technologies Corp. | 5571 |
| 466 | Leonardo DRS, Inc.\* | 5955 |
| 55 | MasTec, Inc.\* | 4693 |
| 116 | Mercury Systems, Inc.\* | 5190 |
| 67 | NV5 Global, Inc.\* | 8865 |
| 69 | Tetra Tech, Inc. | 10018 |
| 133 | Trex Co., Inc.\* | 5630 |
| 95 | UFP Industries, Inc. | 7529 |
| 316 | WillScot Mobile Mini Holdings Corp.\* | 14274 |
|  |  | **117633** |
|  | **INFORMATION TECHNOLOGY — 17.7%** |  |
| 221 | CI&T, Inc. - Class A\*<sup>,1</sup> | 1437 |
| 64 | Elastic N.V.\*<sup>,1</sup> | 3296 |
| 86 | Euronet Worldwide, Inc.\* | 8117 |
| 111 | Five9, Inc.\* | 7533 |
| 1188 | Infinera Corp.\* | 8007 |
| 183 | MACOM Technology Solutions Holdings, Inc.\* | 11525 |
| 194 | MaxLinear, Inc.\* | 6586 |
| 246 | PagerDuty, Inc.\* | 6534 |
| 44 | Paylocity Holding Corp.\* | 8547 |
| 40 | Perficient, Inc.\* | 2793 |
| 125 | Shift4 Payments, Inc. - Class A\* | 6991 |
| 26 | Synaptics, Inc.\* | 2474 |
| 127 | WNS Holdings Ltd. ADR\* | 10159 |
|  |  | **83999** |

---

**Kennedy Capital Small Cap Growth Fund**

**SCHEDULE OF INVESTMENTS - Continued**

**As of December 31, 2022**

---

| | | |
|:---|:---|:---|
| Number<br> of Shares |  | Value |
|  | **COMMON STOCKS (Continued)** |  |
|  | **REAL ESTATE — 3.6%** |  |
| 527 | Independence Realty Trust, Inc. - REIT | $8885 |
| 81 | Innovative Industrial Properties, Inc. - REIT | 8210 |
|  |  | **17095** |
|  | **TOTAL COMMON STOCKS** |  |
|  | &nbsp;&nbsp;&nbsp;&nbsp;(Cost $491,541) | **468219** |
|  | **EXCHANGE-TRADED FUNDS — 3.8%** |  |
| 85 | iShares Russell 2000 Growth ETF | 18234 |
|  | **TOTAL EXCHANGE-TRADED FUNDS** |  |
|  | &nbsp;&nbsp;&nbsp;&nbsp;(Cost $18,115) | **18234** |

---

---

| | | |
|:---|:---|:---|
| Principal<br> Amount |  |  |
|  | **SHORT-TERM INVESTMENTS — 6.3%** |  |
| $29985 | UMB Bank Demand Deposit, 0.01%<sup>5</sup> | 29985 |
|  | **TOTAL SHORT-TERM INVESTMENTS** |  |
|  | &nbsp;&nbsp;&nbsp;&nbsp;(Cost $29,985) | **29985** |
|  | **TOTAL INVESTMENTS — 108.6%** |  |
|  | &nbsp;&nbsp;&nbsp;&nbsp;(Cost $539,641) | **516438** |
|  | Liabilities in Excess of Other Assets — (8.6)% | (40951) |
|  | **NET ASSETS — 100.0%** | $**475487** |

---

PLC – Public Limited Company

ADR – American Depository Receipt

REIT – Real Estate Investment Trusts

ETF – Exchange-Traded Fund

\* Non-income producing security.

<sup>1</sup> Foreign security denominated in U.S. Dollars.

<sup>2</sup> Amount represents less than 0.5 shares.

<sup>3</sup> Amount represents less than $0.50.

<sup>4</sup> Level 3 securities fair valued under procedures established by the Board of Trustees, represents 0.00% of Net Assets. The total value of these securities is $0.

<sup>5</sup> The rate is the annualized seven-day yield at period end.

*See accompanying Notes to Financial Statements.*

**Kennedy Capital Small Cap Growth Fund**

**SUMMARY OF INVESTMENTS**

**As of December 31, 2022**

---

| | |
|:---|:---|
| Security Type/Sector | Percent of Total<br> Net Assets |
| Common Stocks |  |
| &nbsp;&nbsp;Industrials | 24.7% |
| &nbsp;&nbsp;Health Care | 22.9% |
| &nbsp;&nbsp;Information Technology | 17.7% |
| &nbsp;&nbsp;Consumer Discretionary | 15.5% |
| &nbsp;&nbsp;Consumer Staples | 6.5% |
| &nbsp;&nbsp;Financials | 5.7% |
| &nbsp;&nbsp;Real Estate | 3.6% |
| &nbsp;&nbsp;Communication Services | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.9% |
| **Total Common Stocks** | **98.5%** |
| Exchange-Traded Funds |  |
| &nbsp;&nbsp;Unknown GICS Sector | 3.8% |
| &nbsp;&nbsp;Short-Term Investments | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.3% |
| **Total Investments** | **108.6%** |
| Liabilities in Excess of Other Assets | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(8.6)% |
| **Total Net Assets** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**100.0%**  |

---

*See accompanying Notes to Financial Statements.*

**Kennedy Capital Small Cap Value Fund**

**SCHEDULE OF INVESTMENTS**

**As of December 31, 2022**

---

| | | |
|:---|:---|:---|
| Number<br> of Shares |  | Value |
|  | **COMMON STOCKS — 97.3%** |  |
|  | **COMMUNICATION SERVICES — 1.0%** |  |
| 715 | Ziff Davis, Inc.\* | $**56557** |
|  | **CONSUMER DISCRETIONARY — 10.3%** |  |
| 3958 | American Eagle Outfitters, Inc. | 55254 |
| 546 | America's Car-Mart, Inc.\* | 39454 |
| 3202 | Bloomin' Brands, Inc. | 64424 |
| 293 | Cavco Industries, Inc.\* | 66291 |
| 4663 | Dana, Inc. | 70551 |
| 1009 | Green Brick Partners, Inc.\* | 24448 |
| 579 | Helen of Troy, Ltd.\*<sup>,1</sup> | 64217 |
| 431 | Johnson Outdoors, Inc. - Class A | 28498 |
| 239 | LCI Industries | 22095 |
| 1549 | Modine Manufacturing Co.\* | 30763 |
| 851 | Ollie's Bargain Outlet Holdings, Inc.\* | 39861 |
| 1009 | Rent-A-Center, Inc. | 22753 |
| 314 | TopBuild Corp.\* | 49138 |
|  |  | **577747** |
|  | **CONSUMER STAPLES — 1.7%** |  |
| 1744 | BellRing Brands, Inc. - Class A\* | 44716 |
| 1698 | Calavo Growers, Inc. | 49921 |
|  |  | **94637** |
|  | **ENERGY — 4.6%** |  |
| 2013 | ChampionX Corp. | 58357 |
| 134 | Denbury, Inc.\* | 11661 |
| 704 | Helmerich & Payne, Inc. | 34897 |
| 705 | HF Sinclair Corp. | 36582 |
| 1964 | Northern Oil and Gas, Inc. | 60531 |
| 9701 | Southwestern Energy Co.\* | 56751 |
|  |  | **258779** |
|  | **FINANCIALS — 26.9%** |  |
| 1291 | 1st Source Corp. | 68539 |
| 1338 | American Equity Investment Life Holding Co. | 61040 |
| 2520 | Argo Group International Holdings Ltd.<sup>1</sup> | 65142 |
| 1613 | Bank OZK | 64617 |
| 1463 | BankUnited, Inc. | 49698 |
| 528 | Banner Corp. | 33370 |
| 2297 | Cadence Bank | 56644 |
| 1245 | Enterprise Financial Services Corp. | 60955 |
| 667 | FB Financial Corp. | 24105 |
| 2043 | First Interstate BancSystem, Inc., Class A | 78962 |
| 3263 | Heritage Commerce Corp. | 42419 |
| 4173 | Home BancShares, Inc. | 95103 |

---

**Kennedy Capital Small Cap Value Fund**

**SCHEDULE OF INVESTMENTS - Continued**

**As of December 31, 2022**

---

| | | |
|:---|:---|:---|
| Number<br> of Shares |  | Value |
|  | **COMMON STOCKS (Continued)** |  |
|  | **FINANCIALS (Continued)** |  |
| 1111 | HomeStreet, Inc. | $30641 |
| 534 | Horace Mann Educators Corp. | 19956 |
| 2089 | National Bank Holdings Corp. - Class A | 87884 |
| 2528 | New York Community Bancorp, Inc. | 21741 |
| 1734 | Origin Bancorp, Inc. | 63638 |
| 1147 | PacWest Bancorp | 26324 |
| 1365 | Peapack-Gladstone Financial Corp. | 50805 |
| 650 | Pinnacle Financial Partners, Inc. | 47710 |
| 580 | Piper Sandler Cos. | 75510 |
| 1210 | Sandy Spring Bancorp, Inc. | 42628 |
| 185 | SouthState Corp. | 14127 |
| 1365 | Stifel Financial Corp. | 79675 |
| 1097 | Texas Capital Bancshares, Inc.\* | 66160 |
| 1454 | United Community Banks, Inc. | 49145 |
| 1139 | Washington Federal, Inc. | 38214 |
| 1122 | Wintrust Financial Corp. | 94831 |
|  |  | **1509583** |
|  | **HEALTH CARE — 9.8%** |  |
| 1371 | AdaptHealth Corp.\* | 26351 |
| 737 | Addus HomeCare Corp.\* | 73324 |
| 447 | AMN Healthcare Services Inc\* | 45960 |
| 1760 | ANI Pharmaceuticals, Inc.\* | 70805 |
| 2551 | Enhabit, Inc.\* | 33571 |
| 1474 | Halozyme Therapeutics, Inc.\* | 83871 |
| 255 | ICU Medical, Inc.\* | 40157 |
| 991 | LeMaitre Vascular, Inc. | 45606 |
| 171 | Mesa Laboratories, Inc. | 28422 |
| 3401 | NextGen Healthcare, Inc.\* | 63871 |
| 404 | Omnicell, Inc.\* | 20370 |
| 446 | Syneos Health, Inc.\* | 16359 |
|  |  | **548667** |
|  | **INDUSTRIALS — 16.9%** |  |
| 207 | Acuity Brands, Inc. | 34281 |
| 660 | Alamo Group, Inc. | 93456 |
| 1528 | Altra Industrial Motion Corp. | 91298 |
| 1215 | Astec Industries, Inc. | 49402 |
| 244 | Chart Industries, Inc.\* | 28116 |
| 1159 | Gibraltar Industries, Inc.\* | 53175 |
| 959 | IES Holdings, Inc.\* | 34112 |
| 1675 | Insteel Industries, Inc. | 46096 |
| 897 | Kirby Corp.\* | 57722 |
| 540 | Regal Rexnord Corp. | 64789 |
| 238 | Saia, Inc.\* | 49904 |

---

**Kennedy Capital Small Cap Value Fund**

**SCHEDULE OF INVESTMENTS - Continued**

**As of December 31, 2022**

---

| | | |
|:---|:---|:---|
| Number<br> of Shares |  | Value |
|  | **COMMON STOCKS (Continued)** |  |
|  | **INDUSTRIALS (Continued)** |  |
| 471 | Simpson Manufacturing Co., Inc. | $41759 |
| 665 | UFP Industries, Inc. | 52701 |
| 229 | UniFirst Corp. | 44195 |
| 270 | Valmont Industries, Inc. | 89281 |
| 3433 | Wabash National Corp. | 77586 |
| 351 | WESCO International, Inc.\* | 43945 |
|  |  | **951818** |
|  | **INFORMATION TECHNOLOGY — 6.4%** |  |
| 1752 | Cambium Networks Corp.\*<sup>,1</sup> | 37966 |
| 1919 | Coherent, Corp.\* | 67357 |
| 411 | Diodes, Inc.\* | 31294 |
| 2145 | Ichor Holdings Ltd.\*<sup>,1</sup> | 57529 |
| 837 | MaxLinear, Inc.\* | 28416 |
| 653 | Perficient, Inc.\* | 45599 |
| 439 | Plexus Corp.\* | 45186 |
| 909 | Progress Software Corp. | 45859 |
|  |  | **359206** |
|  | **MATERIALS — 5.6%** |  |
| 760 | Alcoa Corp. | 34557 |
| 1034 | Carpenter Technology Corp. | 38196 |
| 345 | Eagle Materials, Inc. | 45833 |
| 488 | H.B. Fuller Co. | 34951 |
| 1482 | Hawkins, Inc. | 57205 |
| 384 | Materion Corp. | 33604 |
| 256 | Quaker Chemical Corp. | 42726 |
| 957 | Ryerson Holding Corp. | 28959 |
|  |  | **316031** |
|  | **REAL ESTATE — 10.8%** |  |
| 2464 | Alpine Income Property Trust, Inc. - REIT | 47013 |
| 1733 | American Assets Trust, Inc. - REIT | 45924 |
| 815 | Community Healthcare Trust, Inc. - REIT | 29177 |
| 1520 | Corporate Office Properties Trust - REIT | 39429 |
| 427 | EastGroup Properties, Inc. - REIT | 63222 |
| 1161 | Essential Properties Realty Trust, Inc. - REIT | 27249 |
| 122 | Innovative Industrial Properties, Inc. - REIT | 12365 |
| 3562 | Kite Realty Group Trust - REIT | 74980 |
| 4633 | Macerich Co. - REIT | 52167 |
| 1161 | National Storage Affiliates Trust - REIT | 41935 |
| 1430 | NexPoint Residential Trust, Inc. - REIT | 62234 |
| 1283 | PotlatchDeltic Corp. - REIT | 56439 |
| 5370 | Sunstone Hotel Investors, Inc. - REIT | 51874 |
|  |  | **604008** |

---

**Kennedy Capital Small Cap Value Fund**

**SCHEDULE OF INVESTMENTS - Continued**

**As of December 31, 2022**

---

| | | |
|:---|:---|:---|
| Number<br> of Shares |  | Value |
|  | **COMMON STOCKS (Continued)** |  |
|  | **UTILITIES — 3.3%** |  |
| 450 | ALLETE, Inc. | $29029 |
| 507 | American States Water Co. | 46923 |
| 1197 | Avista Corp. | 53075 |
| 520 | IDACORP, Inc. | 56082 |
|  |  | **185109** |
|  | **TOTAL COMMON STOCKS** |  |
|  | &nbsp;&nbsp;&nbsp;&nbsp;(Cost $5,543,866) | **5462142** |

---

---

| | | |
|:---|:---|:---|
| Principal<br> Amount |  |  |
|  | **SHORT-TERM INVESTMENTS — 3.9%** |  |
| $222018 | UMB Bank Demand Deposit, 0.01%<sup>2</sup> | 222018 |
|  | **TOTAL SHORT-TERM INVESTMENTS** |  |
|  | &nbsp;&nbsp;&nbsp;&nbsp;(Cost $222,018) | **222018** |
|  | **TOTAL INVESTMENTS — 101.2%** |  |
|  | &nbsp;&nbsp;&nbsp;&nbsp;(Cost $5,765,884) | **5684160** |
|  | Liabilities in Excess of Other Assets — (1.2)% | (69547) |
|  | **NET ASSETS — 100.0%** | $**5614613** |

---

REIT – Real Estate Investment Trusts

\* Non-income producing security. <br> <sup>1</sup> Foreign security denominated in U.S. Dollars. <br> <sup>2</sup> The rate is the annualized seven-day yield at period end.

*See accompanying Notes to Financial Statements.*

**Kennedy Capital Small Cap Value Fund**

**SUMMARY OF INVESTMENTS**

**As of December 31, 2022**

---

| | |
|:---|:---|
| Security Type/Sector | Percent of Total<br> Net Assets |
| Common Stocks |  |
| &nbsp;&nbsp;Financials | 26.9% |
| &nbsp;&nbsp;Industrials | 16.9% |
| &nbsp;&nbsp;Real Estate | 10.8% |
| &nbsp;&nbsp;Consumer Discretionary | 10.3% |
| &nbsp;&nbsp;Health Care | 9.8% |
| &nbsp;&nbsp;Information Technology | 6.4% |
| &nbsp;&nbsp;Materials | 5.6% |
| &nbsp;&nbsp;Energy | 4.6% |
| &nbsp;&nbsp;Utilities | 3.3% |
| &nbsp;&nbsp;Consumer Staples | 1.7% |
| &nbsp;&nbsp;Communication Services | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.0% |
| **Total Common Stocks** | **97.3%** |
| Short-Term Investments | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.9% |
| **Total Investments** | **101.2%** |
| Liabilities in Excess of Other Assets | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1.2)% |
| **Total Net Assets** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**100.0%**  |

---

*See accompanying Notes to Financial Statements.*

**Kennedy Capital Funds**

**STATEMENTS OF ASSETS AND LIABILITIES**

**As of December 31, 2022**

---

| | | | |
|:---|:---|:---|:---|
|  | **Kennedy Capital**<br> **ESG SMID**<br> **Cap Fund** | **Kennedy Capital**<br> **Small Cap**<br> **Growth Fund** | **Kennedy Capital**<br> **Small Cap**<br> **Value Fund** |
| **Assets:** | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;Investments, at value (cost $41,902,604, $539,641 and $5,765,884, respectively) | $39070871 | $516438 | $5684160 |
| &nbsp;&nbsp;&nbsp;&nbsp;Receivables: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Investment securities sold | 157387 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Fund shares sold | 6352 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Dividends and interest | 23322 | 300 | 4147 |
| &nbsp;&nbsp;&nbsp;&nbsp;Due from Advisor |  | 15274 | 11445 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses | 6147 | 3891 | 3890 |
| Total assets | 39264079 | 535903 | 5703642 |
| **Liabilities:** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Payables: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Investment securities purchased | 294752 |  | 26423 |
| &nbsp;&nbsp;&nbsp;&nbsp;Offering costs - Advisor |  | 13985 | 13985 |
| &nbsp;&nbsp;&nbsp;&nbsp;Advisory fees | 6965 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Fund administration and accounting fees | 15713 | 8188 | 8219 |
| &nbsp;&nbsp;&nbsp;&nbsp;Transfer agent fees and expenses | 4757 | 4225 | 3997 |
| &nbsp;&nbsp;&nbsp;&nbsp;Custody fees | 6290 | 3967 | 4245 |
| &nbsp;&nbsp;&nbsp;&nbsp;Auditing fees | 16279 | 14999 | 14999 |
| &nbsp;&nbsp;&nbsp;&nbsp;Trustees' deferred compensation (Note 3) | 11251 | 1412 | 1416 |
| &nbsp;&nbsp;&nbsp;&nbsp;Legal fees | 7553 | 3541 | 5789 |
| &nbsp;&nbsp;&nbsp;&nbsp;Chief Compliance Officer fees | 4374 | 632 | 637 |
| &nbsp;&nbsp;&nbsp;&nbsp;Trustees' fees and expenses | 614 | 2842 | 2833 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued other expenses | 5013 | 6625 | 6486 |
| Total liabilities | 373561 | 60416 | 89029 |
| **Net Assets** | $38890518 | $475487 | $5614613 |
| **Components of Net Assets:** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Paid-in capital (par value of $0.01 per share with an unlimited number of shares authorized) | $42228313 | $504198 | $5686760 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total distributable earnings (accumulated deficit) | (3337795) | (28711) | (72147) |
| **Net Assets** | $38890518 | $475487 | $5614613 |
| **Maximum Offering Price per Share:** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Institutional Class: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net assets applicable to shares outstanding | $38890518 | $475487 | $5614613 |
| &nbsp;&nbsp;&nbsp;&nbsp;Shares of beneficial interest issued and outstanding | 3089124 | 50480 | 570829 |
| Net asset value, offering and redemption price per share | $12.59 | $9.42 | $9.84 |

---

*See accompanying Notes to Financial Statements.*

**Kennedy Capital Funds**

**STATEMENTS OF OPERATIONS**

**For the Year/Period Ended December 31, 2022**

---

| | | | |
|:---|:---|:---|:---|
|  | **Kennedy Capital**<br> **ESG SMID**<br> **Cap Fund** | **Kennedy Capital**<br> **Small Cap**<br> **Growth Fund** | **Kennedy Capital**<br> **Small Cap**<br> **Value Fund** |
| **Investment income:** | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;Dividends (net of foreign withholding taxes of $3, $0 and $0, respectively) | $252592 | $940 | $26517 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest | 100 | 2 | 7 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total investment income | 252692 | 942 | 26524 |
| **Expenses:** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Advisory fees | 233374 | 2663 | 10756 |
| &nbsp;&nbsp;&nbsp;&nbsp;Fund administration and accounting fees | 87936 | 32796 | 33588 |
| &nbsp;&nbsp;&nbsp;&nbsp;Transfer agent fees and expenses | 30007 | 7774 | 7774 |
| &nbsp;&nbsp;&nbsp;&nbsp;Custody fees | 16250 | 7366 | 7609 |
| &nbsp;&nbsp;&nbsp;&nbsp;Registration fees | 28199 | 6240 | 6240 |
| &nbsp;&nbsp;&nbsp;&nbsp;Legal fees | 18998 | 12765 | 12765 |
| &nbsp;&nbsp;&nbsp;&nbsp;Auditing fees | 16002 | 14999 | 14999 |
| &nbsp;&nbsp;&nbsp;&nbsp;Chief Compliance Officer fees | 14399 | 5865 | 5869 |
| &nbsp;&nbsp;&nbsp;&nbsp;Trustees' fees and expenses | 11478 | 6776 | 6776 |
| &nbsp;&nbsp;&nbsp;&nbsp;Shareholder reporting fees | 7501 | 6239 | 6239 |
| &nbsp;&nbsp;&nbsp;&nbsp;Miscellaneous | 7001 | 3716 | 3716 |
| &nbsp;&nbsp;&nbsp;&nbsp;Insurance fees | 3201 | 2039 | 2039 |
| &nbsp;&nbsp;&nbsp;&nbsp;Offering costs | - | 13796 | 13796 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total expenses | 474346 | 123034 | 132166 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Advisory fees recovered (waived) | (216728) | (2663) | (10756) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other expenses reimbursed |  | (117407) | (109663) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Fees paid indirectly (Note 3) | (2477) | (74) | (74) |
| &nbsp;&nbsp;&nbsp;&nbsp;Net expenses | 255141 | 2890 | 11673 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net investment income (loss)** | (2449) | (1948) | 14851 |
| **Realized and Unrealized Gain (Loss):** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net realized gain (loss) on investments | (453594) | 638 | 67387 |
| &nbsp;&nbsp;&nbsp;&nbsp;Net change in unrealized appreciation (depreciation) on investments | (4608674) | (23203) | (81724) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net realized and unrealized gain (loss)**  | (5062268) | (22565) | (14337) |
| **Net Increase (Decrease) in Net Assets from Operations** | $**(5064717)** | $**(24513)** | $**514** |

---

*See accompanying Notes to Financial Statements.*

**Kennedy Capital ESG SMID Cap Fund**

**STATEMENTS OF CHANGES IN NET ASSETS**

---

| | | |
|:---|:---|:---|
|  | **For the**<br> **Year Ended**<br> **December 31, 2022** | **For the**<br> **Year Ended**<br> **December 31, 2021** |
| **Increase (Decrease) in Net Assets from:** |  |  |
| **Operations:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net investment income (loss) | $(2449) | $(10774) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net realized gain (loss) on investments | (453594) | 936242 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net change in unrealized appreciation (depreciation) on investments | (4608674) | 1306088 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net increase (decrease) in net assets resulting from operations** | (5064717) | 2231556 |
| **Distributions to Shareholders:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | (178033) | (814389) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total distributions to shareholders** | (178033) | (814389) |
| **Capital Transactions:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net proceeds from shares sold: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | 31318748 | 10241312 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Reinvestment of distributions: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | 173506 | 814389 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cost of shares redeemed: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | (685560) | (5514555) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net increase (decrease) in net assets from capital transactions** | 30806694 | 5541146 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total increase (decrease) in net assets** | 25563944 | 6958313 |
| **Net Assets:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Beginning of period | 13326574 | 6368261 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;End of period | $38890518 | $13326574 |
| **Capital Share Transactions:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares sold: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | 2260237 | 680684 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares reinvested: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | 13461 | 54804 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares redeemed: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | (50411) | (355562) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net increase (decrease) in capital share transactions** | 2223287 | 379926 |

---

*See accompanying Notes to Financial Statements.*

**Kennedy Capital Small Cap Growth Fund**

**STATEMENTS OF CHANGES IN NET ASSETS**

---

| | |
|:---|:---|
|  | **For the Period**<br> **April 27, 2022\***<br> **through**<br> **December 31, 2022** |
| **Increase (Decrease) in Net Assets from:** |  |
| **Operations:** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net investment income (loss) | $(1948) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net realized gain (loss) on investments | 638 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net change in unrealized appreciation (depreciation) on investments | (23203) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net increase (decrease) in net assets resulting from operations** | (24513) |
| **Distributions to Shareholders:** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | (4670) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total distributions to shareholders** | (4670) |
| **Capital Transactions:** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net proceeds from shares sold: |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | 500000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Reinvestment of distributions: |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | 4670 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net increase (decrease) in net assets from capital transactions** | 504670 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total increase (decrease) in net assets** | 475487 |
| **Net Assets:** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Beginning of period | - |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;End of period | $475487 |
| **Capital Share Transactions:** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares sold: |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | 50000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares reinvested: |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | 480 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net increase (decrease) in capital share transactions** | 50480 |

---

\* Commencement of operations.

*See accompanying Notes to Financial Statements.*

**Kennedy Capital Small Cap Value Fund**

**STATEMENTS OF CHANGES IN NET ASSETS**

---

| | |
|:---|:---|
|  | **For the Period**<br> **April 27, 2022\***<br> **through**<br> **December 31, 2022** |
| **Increase (Decrease) in Net Assets from:** |  |
| **Operations:** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net investment income (loss) | $14851 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net realized gain (loss) on investments | 67387 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net change in unrealized appreciation (depreciation) on investments | (81724) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net increase (decrease) in net assets resulting from operations** | 514 |
| **Distributions to Shareholders:** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | (72993) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total distributions to shareholders** | (72993) |
| **Capital Transactions:** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net proceeds from shares sold: |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | 5618769 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Reinvestment of distributions: |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | 71045 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cost of shares redeemed: |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | (2722) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net increase (decrease) in net assets from capital transactions** | 5687092 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total increase (decrease) in net assets** | 5614613 |
| **Net Assets:** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Beginning of period | - |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;End of period | $5614613 |
| **Capital Share Transactions:** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares sold: |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | 564097 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares reinvested: |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | 7000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares redeemed: |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Institutional Class | (268) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net increase (decrease) in capital share transactions** | 570829 |

---

\* Commencement of operations.

*See accompanying Notes to Financial Statements.*

**FINANCIAL HIGHLIGHTS**

**Kennedy Capital ESG SMID Cap Fund**

**Institutional Class**

*Per share operating performance.*

*For a capital share outstanding throughout each period.*

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the<br> Year Ended<br> December 31,** | **For the<br> Year Ended<br> December 31,** | **For the<br> Year Ended<br> December 31,** | |
|  | **2022** | **2021** | **2020** | **For the**<br> **Period**<br> **June 28,**<br> **2019\***<br> **through**<br> **December**<br> **31,**<br>**2019** |
| **Net asset value, beginning of period** | $15.39 | $13.11 | $10.86 | $10.00 |
| **Income from Investment Operations:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Net investment income (loss)<sup>1</sup> | -<sup>2</sup> | (0.01) | -<sup>2</sup> | 0.01 |
| &nbsp;&nbsp;&nbsp;Net realized and unrealized gain (loss) | (2.74) | 3.31 | 2.28 | 0.87 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total from investment operations | (2.74) | 3.30 | 2.28 | 0.88 |
| **Less Distributions:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;From net investment income | (0.01) |  | (0.03) | (0.02) |
| &nbsp;&nbsp;&nbsp;From net realized gain | (0.05) | (1.02) | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Total distributions | (0.06) | (1.02) | (0.03) | (0.02) |
| **Net asset value, end of period** | $12.59 | $15.39 | $13.11 | $10.86 |
| **Total return<sup>3</sup>** | (17.82)% | 25.47% | 20.98% | 8.83%<sup>4</sup> |
| **Ratios and Supplemental Data:** |  |  |  |  |
| Net assets, end of period (in thousands) | $38891 | $13327 | $6368 | $1390 |
| Ratio of expenses to average net assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Before fees waived and expenses absorbed/recovered | 1.52% | 2.49% | 15.92% | 19.45%<sup>5</sup> |
| &nbsp;&nbsp;&nbsp;After fees waived and expenses absorbed/recovered | 0.82% | 0.82% | 0.82% | 0.82%<sup>5</sup> |
| Ratio of net investment income (loss) to average net assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Before fees waived and expenses absorbed/recovered | (0.71)% | (1.75)% | (15.08)% | (18.53)%<sup>5</sup> |
| &nbsp;&nbsp;&nbsp;After fees waived and expenses absorbed/recovered | (0.01)% | (0.08)% | 0.02% | 0.10%<sup>5</sup> |
| Portfolio turnover rate | 50% | 87% | 63% | 27%<sup>4</sup> |

---

\* Commencement of operations.

<sup>1</sup> Based on average shares outstanding for the period.

<sup>2</sup> Amount represents less than $0.01 per share.

<sup>3</sup> Total returns would have been lower/higher had certain expenses not been waived or absorbed/recovered by the Advisor. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

<sup>4</sup> Not annualized.

<sup>5</sup> Annualized.

*See accompanying Notes to Financial Statements.*

**FINANCIAL HIGHLIGHTS**

**Kennedy Capital Small Cap Growth Fund**

**Institutional Class**

*Per share operating performance.*

*For a capital share outstanding throughout each period.*

 

---

| | |
|:---|:---|
|  | **For the Period**<br> **April 27,**<br> **2022\***<br> **through**<br> **December 31,**<br> **2022** |
| **Net asset value, beginning of period** | $10.00 |
| **Income from Investment Operations:** |  |
| &nbsp;&nbsp;Net investment income (loss)<sup>1</sup> | (0.04) |
| &nbsp;&nbsp;Net realized and unrealized gain (loss) | (0.45) |
| &nbsp;&nbsp;&nbsp;&nbsp;Total from investment operations | (0.49) |
| **Less Distributions:** |  |
| &nbsp;&nbsp;From net investment income | (-)<sup>2</sup> |
| &nbsp;&nbsp;From net realized gain | (0.09) |
| &nbsp;&nbsp;&nbsp;&nbsp;Total distributions | (0.09) |
| **Net asset value, end of period** | $9.42 |
| **Total return<sup>3</sup>** | (4.89)%<sup>4</sup> |
| **Ratios and Supplemental Data:** |  |
| Net assets, end of period (in thousands) | $475 |
| Ratio of expenses to average net assets: |  |
| &nbsp;&nbsp;Before fees waived and expenses absorbed/recovered | 37.88%<sup>5</sup> |
| &nbsp;&nbsp;After fees waived and expenses absorbed/recovered | 0.89%<sup>5</sup> |
| Ratio of net investment income (loss) to average net assets: |  |
| &nbsp;&nbsp;Before fees waived and expenses absorbed/recovered | (37.59)%<sup>5</sup> |
| &nbsp;&nbsp;After fees waived and expenses absorbed/recovered | (0.60)%<sup>5</sup> |
| Portfolio turnover rate | 17%<sup>4</sup> |

---

\* Commencement of operations.

<sup>1</sup> Based on average shares outstanding for the period.

<sup>2</sup> Amount represents less than $0.01 per share.

<sup>3</sup> Total returns would have been lower/higher had certain expenses not been waived or absorbed/recovered by the Advisor. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

<sup>4</sup> Not annualized.

<sup>5</sup> Annualized.

*See accompanying Notes to Financial Statements.*

**FINANCIAL HIGHLIGHTS**

**Kennedy Capital Small Cap Value Fund**

**Institutional Class**

*Per share operating performance.*

*For a capital share outstanding throughout each period.*

---

| | |
|:---|:---|
|  | **For the Period**<br> **April 27,**<br> **2022\***<br> **through**<br> **December 31,**<br> **2022** |
| **Net asset value, beginning of period** | $10.00 |
| **Income from Investment Operations:** |  |
| &nbsp;&nbsp;Net investment income (loss)<sup>1</sup> | 0.08 |
| &nbsp;&nbsp;Net realized and unrealized gain (loss) | (0.11) |
| &nbsp;&nbsp;&nbsp;&nbsp;Total from investment operations | (0.03) |
| **Less Distributions:** |  |
| &nbsp;&nbsp;From net investment income | (0.03) |
| &nbsp;&nbsp;From net realized gain | (0.10) |
| &nbsp;&nbsp;&nbsp;&nbsp;Total distributions | (0.13) |
| **Net asset value, end of period** | $9.84 |
| **Total return<sup>2</sup>** | (0.34)%<sup>3</sup> |
| **Ratios and Supplemental Data:** |  |
| Net assets, end of period (in thousands) | $5615 |
| Ratio of expenses to average net assets: |  |
| &nbsp;&nbsp;Before fees waived and expenses absorbed/recovered | 10.08%<sup>4</sup> |
| &nbsp;&nbsp;After fees waived and expenses absorbed/recovered | 0.89%<sup>4</sup> |
| Ratio of net investment income (loss) to average net assets: |  |
| &nbsp;&nbsp;Before fees waived and expenses absorbed/recovered | (8.06)%<sup>4</sup> |
| &nbsp;&nbsp;After fees waived and expenses absorbed/recovered | 1.13%<sup>4</sup> |
| Portfolio turnover rate | 220%<sup>3</sup> |

---

\* Commencement of operations.

<sup>1</sup> Based on average shares outstanding for the period.

<sup>2</sup> Total returns would have been lower/higher had certain expenses not been waived or absorbed/recovered by the Advisor. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

<sup>3</sup> Not annualized.

<sup>4</sup> Annualized.

*See accompanying Notes to Financial Statements.*

**Kennedy Capital Funds**

**NOTES TO FINANCIAL STATEMENTS**

**December 31, 2022**

**Note 1 – Organization**

Kennedy Capital ESG SMID Cap Fund (the ''ESG SMID Cap Fund"), Kennedy Capital Small Cap Growth Fund (the "Small Cap Growth Fund"), and Kennedy Capital Small Cap Value Fund (the "Small Cap Value Fund") are organized as a diversified series of Investment Managers Series Trust II, a Delaware statutory trust (the "Trust") which is registered as an open-end management investment company under the Investment Company Act of 1940, as amended (the "1940 Act").

The Kennedy Capital ESG SMID Cap Fund's investment objective is capital appreciation. The Fund currently offers two classes of shares: Investor Class and Institutional Class. The Fund's Institutional Class shares commenced operations on June 28, 2019. The Fund's Investor Class shares are not currently available for purchase.

The Kennedy Capital Small Cap Growth Fund's investment objective is capital appreciation. The Fund currently offers two classes of shares: Investor Class and Institutional Class. The Fund's Institutional Class shares commenced operations on April 27, 2022. The Fund's Investor Class shares are not currently available for purchase.

The Kennedy Capital Small Cap Value Fund's investment objective is capital appreciation. The Fund currently offers two classes of shares: Investor Class and Institutional Class. The Fund's Institutional Class shares commenced operations on April 27, 2022. The Fund's Investor Class shares are not currently available for purchase.

With regards to the ESG SMID Cap Fund, the Small Cap Growth Fund, and the Small Cap Value Fund, the shares of each class represent an interest in the same portfolio of investments of the Fund and have equal rights as to voting, redemptions, dividends and liquidation, subject to the approval of the Trustees. Income, expenses (other than expenses attributable to a specific class) and realized and unrealized gains and losses on investments are allocated to each class of shares in proportion to their relative net assets. Shareholders of a class that bears distribution and service expenses under the terms of a distribution plan have exclusive voting rights to that distribution plan.

Each Fund is an investment company and accordingly follows the investment company accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standard Codification Topic 946 "Financial Services—Investment Companies".

**Note 2 – Accounting Policies**

The following is a summary of the significant accounting policies consistently followed by the Funds in the preparation of its financial statements. The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America ("GAAP") requires management to make estimates and assumptions that affect the reported amounts and disclosures in the financial statements. Actual results could differ from these estimates.

**(a) Valuation of Investments**

The Funds value equity securities at the last reported sale price on the principal exchange or in the principal over the counter ("OTC") market in which such securities are traded, as of the close of regular trading on the NYSE on the day the securities are being valued or, if the last-quoted sales price is not readily available, the securities will be valued at the last bid or the mean between the last available bid and ask price. Securities traded on the NASDAQ are valued at the NASDAQ Official Closing Price ("NOCP"). Investments in open-end investment companies are valued at the daily closing net asset value of the respective investment company. Debt securities are valued by utilizing a price supplied by independent pricing service providers. The independent pricing service providers may use various valuation methodologies including matrix pricing and other analytical pricing models as well as market transactions and dealer quotations. These models generally consider such factors as yields or prices of bonds of comparable quality, type of issue, coupon, maturity, ratings and general market conditions. If a price is not readily available for a portfolio security, the security will be valued at fair value (the amount which the Funds' might reasonably expect to receive for the security upon its current sale). The Board of Trustees has designated the Advisor as the Funds' valuation designee (the "Valuation Designee") to make all fair value determinations with respect to the Funds' portfolio investments, subject to the Board's oversight. As the Valuation Designee, the Advisor has adopted and implemented policies and procedures to be followed when the Funds' must utilize fair value pricing. Prior to September 8, 2022, securities were valued at fair value as determined in good faith by the Funds' advisor, subject to review and approval by the Valuation Committee, pursuant to procedures adopted by the Board of Trustees. The actions of the Valuation Committee were subsequently reviewed by the Board at its next regularly scheduled board meeting. The Valuation Committee met as needed. The Valuation Committee was comprised of all the Trustees, but action may had been taken by any one of the Trustees.

**Kennedy Capital Funds**

**NOTES TO FINANCIAL STATEMENTS - Continued**

**December 31, 2022**

**(b) Investment Transactions, Investment Income and Expenses**

Investment transactions are accounted for on the trade date. Realized gains and losses on investments are determined on the identified cost basis. Dividend income is recorded net of applicable withholding taxes on the ex-dividend date and interest income is recorded on an accrual basis. Withholding taxes on foreign dividends, if applicable, are paid (a portion of which may be reclaimable) or provided for in accordance with the applicable country's tax rules and rates and are disclosed in the Statements of Operations. Withholding tax reclaims are filed in certain countries to recover a portion of the amounts previously withheld. The Funds record a reclaim receivable based on a number of factors, including a jurisdiction's legal obligation to pay reclaims as well as payment history and market convention. Income and expenses of the Funds are allocated on a pro rata basis to each class of shares relative net assets, except for distribution and service fees which are unique to each class of shares. Expenses incurred by the Trust with respect to more than one Fund are allocated in proportion to the net assets of each Fund except where allocation of direct expenses to each Fund or an alternative allocation method can be more appropriately made.

The Small Cap Growth Fund and the Small Cap Value Fund each incurred offering costs of $16,496, respectively, which are being amortized over a one-year period from April 27, 2022 (commencement of operations).

**(c) Federal Income Taxes**

The Funds intend to comply with the requirements of Subchapter M of the Internal Revenue Code applicable to regulated investment companies and to distribute substantially all of their net investment income and any net realized gains to their shareholders. Therefore, no provision is made for federal income or excise taxes. Due to the timing of dividend distributions and the differences in accounting for income and realized gains and losses for financial statement and federal income tax purposes, the fiscal year in which amounts are distributed may differ from the year in which the income and realized gains and losses are recorded by the Funds.

*Accounting for Uncertainty in Income Taxes* (the "Income Tax Statement") requires an evaluation of tax positions taken (or expected to be taken) in the course of preparing a Fund's tax returns to determine whether these positions meet a "more-likely-than-not" standard that, based on the technical merits, have a more than fifty percent likelihood of being sustained by a taxing authority upon examination. A tax position that meets the "more-likely-than-not" recognition threshold is measured to determine the amount of benefit to recognize in the financial statements. The Funds recognize interest and penalties, if any, related to unrecognized tax benefits as income tax expense in the Statements of Operations.

The Income Tax Statement requires management of the Funds to analyze tax positions taken in the prior three open tax years, if any, and tax positions expected to be taken in the Funds' current tax year, as defined by the IRS statute of limitations for all major jurisdictions, including federal tax authorities and certain state tax authorities. As of and during the open period June 28, 2019 (commencement of operations) through December 31, 2019, and as of and during the years ended December 31, 2020 through December 31, 2022, the Funds did not have a liability for any unrecognized tax benefits. The Funds have no examinations in progress and are not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months.

**Kennedy Capital Funds**

**NOTES TO FINANCIAL STATEMENTS - Continued**

**December 31, 2022**

**(d) Distributions to Shareholders**

The Funds will make distributions of net investment income and net capital gains, if any, at least annually, typically in December. Distributions to shareholders are recorded on the ex-dividend date. The amount and timing of distributions are determined in accordance with federal income tax regulations, which may differ from GAAP.

The character of distributions made during the year from net investment income or net realized gains may differ from the characterization for federal income tax purposes due to differences in the recognition of income, expense and gain (loss) items for financial statement and tax purposes.

**(e) Illiquid Securities**

Pursuant to Rule 22e-4 under the 1940 Act, the Funds have adopted a Liquidity Risk Management Program ("LRMP") that requires, among other things, that the Funds limit their illiquid investments that are assets to no more than 15% of net assets. An illiquid investment is any security which may not reasonably be expected to be sold or disposed of in current market conditions in seven calendar days or less without the sale or disposition significantly changing the market value of the investment. If the Advisor, at any time, determines that the value of illiquid securities held by a Fund exceeds 15% of its net asset value, the Advisor will take such steps as it considers appropriate to reduce them as soon as reasonably practicable in accordance with the Fund's written LRMP.

**Note 3 – Investment Advisory and Other Agreements**

The Trust, on behalf of the Funds, entered into an Investment Advisory Agreements (the "Agreements") with Kennedy Capital Management LLC (the "Advisor"). Under the terms of the Agreements, the Funds pay a monthly investment advisory fee to the Advisor based on each Fund's average daily net assets. The annual rates are listed by Fund in the table below. The Advisor has contractually agreed to waive its fees and/or pay for operating expenses of the Funds to ensure that total annual fund operating expenses (excluding any taxes, leverage interest, brokerage commissions, dividend and interest expenses on short sales, acquired fund fees and expenses (as determined in accordance with SEC Form N-1A), expenses incurred in connection with any merger or reorganization, and extraordinary expenses such as litigation expenses) do not exceed the following levels of each Fund's average daily net assets of the Institutional Class shares of the Fund. These agreements are in effect until April 30, 2023, and they may be terminated before that date only by the Trust's Board of Trustees. The table below contains the investment advisory fee annual rate and the expense cap by Fund and by Class:

---

| | | |
|:---|:---|:---|
|  | | Total Limit on Annual<br>Operating Expenses |
|  | Investment<br>Advisory<br>Fees | Institutional Class |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ESG SMID Cap Fund | 0.75% | 0.82% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Small Cap Growth Fund | 0.82% | 0.89% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Small Cap Value Fund | 0.82% | 0.89% |

---

For the periods ended December 31, 2022, the Advisor waived its advisory fees and absorbed other expenses totaling $216,728, $120,070, and $120,419 for the ESG SMID Cap Fund, Small Cap Growth Fund, and Small Cap Value Fund, respectively. The Advisor is permitted to seek reimbursement from each Fund, subject to certain limitations, of fees waived or payments made to the Fund for a period ending three full years after the date of the waiver or payment. This reimbursement may be requested from the Fund if the reimbursement will not cause the Fund's annual expense ratio to exceed the lesser of (a) the expense limitation amount in effect at the time such fees were waived or payments made, or (b) the expense limitation amount in effect at the time of the reimbursement. At December 31, 2022, the amount of these potentially recoverable expenses was $656,511, $120,070, $120,419 for the ESG SMID Cap Fund, Small Cap Growth Fund, and Small Cap Value Fund, respectively. The Advisor may recapture all or a portion of this amount no later than December 31 of the years stated below:

**Kennedy Capital Funds**

**NOTES TO FINANCIAL STATEMENTS - Continued**

**December 31, 2022**

---

| | | | |
|:---|:---|:---|:---|
|  | ESG SMID Cap Fund | Small Cap Growth Fund | Small Cap Value Fund |
| 2023 | $224818 | $- | $- |
| 2024 | 214965 |  |  |
| 2025 | 216728 | 120070 | 120419 |
| Total | $656511 | $120070 | $120419 |

---

UMB Fund Services, Inc. ("UMBFS") serves as the Funds' fund accountant, transfer agent and co-administrator; and Mutual Fund Administration, LLC ("MFAC") serves as the Funds' other co-administrator. UMB Bank, n.a., an affiliate of UMBFS, serves as the Funds' custodian.

IMST Distributors, LLC, a wholly owned subsidiary of Foreside Financial Group, LLC (d/b/a ACA Group), serves as the Funds' distributor (the "Distributor"). The Distributor does not receive compensation from the Funds for its distribution services; the Advisor pays the Distributor a fee for its distribution-related services.

Certain trustees and officers of the Trust are employees of UMBFS or MFAC. The Funds do not compensate trustees and officers affiliated with the Funds' co-administrators. For the periods ended December 31, 2022, the Funds' allocated fees incurred to Trustees who are not affiliated with the Funds' co-administrators are reported on the Statements of Operations. A portion of the fees were paid by the Trust's Co-Administrators. Such amount is shown as a reduction of expenses, "Fees paid indirectly", on the Statements of Operations.

The Funds' Board of Trustees has adopted a Deferred Compensation Plan (the "Plan") for the Independent Trustees that enables Trustees to elect to receive payment in cash or the option to select various fund(s) in the Trust in which their deferred accounts shall be deemed to be invested. If a trustee elects to defer payment, the Plan provides for the creation of a deferred payment account. The Funds' liability for these amounts is adjusted for market value changes in the invested fund(s) and remains a liability to the Fund until distributed in accordance with the Plan. The Trustees Deferred compensation liability under the Plan constitutes a general unsecured obligation of each Fund and will be disclosed in the Statements of Assets and Liabilities. Contributions made under the plan and the change in unrealized appreciation/depreciation and income will be included in the Trustees' fees and expenses in the Statements of Operations.

Dziura Compliance Consulting, LLC provides Chief Compliance Officer ("CCO") services to the Trust. The Funds' allocated fees incurred for CCO services for the periods ended December 31, 2022, are reported on the Statements of Operations.

**Kennedy Capital Funds**

**NOTES TO FINANCIAL STATEMENTS - Continued**

**December 31, 2022**

**Note 4 – Federal Income Taxes**

At December 31, 2022, gross unrealized appreciation and depreciation of investments owned by the Funds, based on cost for federal income tax purposes were as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | ESG SMID<br> Cap Fund | Small Cap<br> Growth Fund | Small Cap<br> Value Fund |
| Cost of investments | $41976593 | $539666 | $5770022 |
| Gross unrealized appreciation | $2205716 | $46805 | $225323 |
| Gross unrealized depreciation | (5111438) | (70033) | (311185) |
| Net unrealized appreciation (depreciation) on investments | $(2905722) | $(23228) | $(85862) |

---

The difference between cost amounts for financial statements and federal income tax purposes is due primarily to timing differences in recognizing certain gains and losses in security transactions.

GAAP requires that certain components of net assets be reclassified between financial and tax reporting. These reclassifications have no effect on net assets or net asset value per share. For the year ended December 31, 2022, permanent differences in book and tax accounting have been reclassified to paid-in capital and total distributable earnings as follows:

---

| | | |
|:---|:---|:---|
| Increase (Decrease) | Increase (Decrease) | Increase (Decrease) |
|  | Paid-in Capital | Total Distributable<br> Earnings (Loss) |
| ESG SMID Cap Fund | $(17888) | $17888 |
| Small Cap Growth Fund | (472) | 472 |
| Small Cap Value Fund | (332) | 332 |

---

As of December 31, 2022, the components of accumulated earnings (deficit) on a tax basis were as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | ESG SMID<br> Cap Fund | Small Cap<br> Growth Fund | Small Cap<br> Value Fund |
| Undistributed ordinary income | $- | $- | $13130 |
| Undistributed long-term gains | - | - | 2001 |
| Tax accumulated earnings |  |  | 15131 |
| Accumulated capital and other losses | $(420822) | $(4071) | $- |
| Unrealized appreciation (depreciation) on investments | (2905722) | (23228) | (85862) |
| Unrealized deferred compensation | (11251) | (1412) | (1416) |
| Total accumulated earnings (deficit) | $(3337795) | $(28711) | $(72147) |

---

**Kennedy Capital Funds**

**NOTES TO FINANCIAL STATEMENTS - Continued**

**December 31, 2022**

The tax character of the distributions paid during the fiscal years ended December 31, 2022 and December 31, 2021 were as follows:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | ESG SMID Cap Fund | ESG SMID Cap Fund | Small Cap Growth Fund | Small Cap Growth Fund | Small Cap Value Fund | Small Cap Value Fund |
|  | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 |
| Distributions paid from: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Ordinary income | $118992 | $220660 | $4488 | $- | $72700 | $- |
| &nbsp;&nbsp;&nbsp;Long-term capital gains | 59041 | 593729 | 222 | - | 292 | - |
| Total distributions paid | $178033 | $814389 | $4670 | $- | $72992 | $- |

---

As of December 31, 2022, the ESG SMID Cap Fund, Small Cap Growth Fund, and Small Cap Value Fund had $420,822, $4,071, and $0 of post-October capital losses, respectively, which are deferred until January 1, 2023 for tax purposes. Net capital losses incurred after October 31 and within the taxable year are deemed to arise on the first day of the Funds' next taxable year.

**Note 5 – Investment Transactions**

For the periods ended December 31, 2022, purchases and sales of investments, excluding short-term investments, were as follows:

---

| | | |
|:---|:---|:---|
|  | Purchases | Sales |
| ESG SMID Cap Fund | $44636561 | $15016612 |
| Small Cap Growth Fund | 589816 | 80576 |
| Small Cap Value Fund | 9859822 | 4379459 |

---

**Note 6 – Distribution Plan**

The Trust, on behalf of each Fund, has adopted a Rule 12b-1 plan with respect to its Investor Class shares. Under the plan, the Fund pays to the Distributor distribution fees in connection with the sale and distribution of the Fund's Investor Class shares and/or administrative service fees in connection with the provision of ongoing services to shareholders and the maintenance of shareholder accounts.

For Investor Class shares, the maximum annual fee payable to the Distributor for such distribution and/or administrative services is 0.25% of the average daily net assets of such shares. As of December 31, 2022, the Investor Class shares had not commenced operations. Institutional Class shares are not subject to any distribution or service fees under the plan.

**Note 7 – Indemnifications**

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

**Note 8 – Fair Value Measurements and Disclosure**

*Fair Value Measurements and Disclosures* defines fair value, establishes a framework for measuring fair value in accordance with GAAP, and expands disclosure about fair value measurements. It also provides guidance on determining when there has been a significant decrease in the volume and level of activity for an asset or a liability, when a transaction is not orderly, and how that information must be incorporated into a fair value measurement.

**Kennedy Capital Funds**

**NOTES TO FINANCIAL STATEMENTS - Continued**

**December 31, 2022**

Under *Fair Value Measurements and Disclosures*, various inputs are used in determining the value of each Fund's investments. These inputs are summarized into three broad Levels as described below:

● Level 1 – Unadjusted quoted prices in active markets for identical assets or liabilities that the Fund has the ability to access.

● Level 2 – Observable inputs other than quoted prices included in level 1 that are observable for the asset or liability, either directly or indirectly. These inputs may include quoted prices for the identical instrument on an inactive market, prices for similar instruments, interest rates, prepayment speeds, credit risk, yield curves, default rates and similar data.

● Level 3 – Unobservable inputs for the asset or liability, to the extent relevant observable inputs are not available; representing the Fund's own assumptions about the assumptions a market participant would use in valuing the asset or liability, and would be based on the best information available.

The availability of observable inputs can vary from security to security and is affected by a wide variety of factors, including, for example, the type of security, whether the security is new and not yet established in the marketplace, the liquidity of markets, and other characteristics particular to the security. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3.

The inputs used to measure fair value may fall into different Levels of the fair value hierarchy. In such cases, for disclosure purposes, the Level in the fair value hierarchy within which the fair value measurement falls in its entirety, is determined based on the lowest Level input that is significant to the fair value measurement in its entirety.

The inputs or methodology used for valuing securities are not an indication of the risk associated with investing in those securities. The following is a summary of the inputs used, as of December 31, 2022, in valuing the Funds' assets carried at fair value:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **ESG SMID Cap Fund** | **Level 1** | **Level 2\*** | **Level 3\*** | **Total** |
| **Assets** |  |  |  |  |
| Investments |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Common Stocks<sup>1</sup> | $37661389 | $- | $- | $37661389 |
| &nbsp;&nbsp; Short-Term Investments | 1409482 | - | - | 1409482 |
| Total Assets | $39070871 | $- | $- | $39070871 |

---

<sup>1</sup> For a detailed break-out of common stocks by sector, please refer to the Schedule of Investments.

\* The Fund did not hold any Level 2 or Level 3 securities at period end.

**Kennedy Capital Funds**

**NOTES TO FINANCIAL STATEMENTS - Continued**

**December 31, 2022**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Small Cap Growth Fund** | **Level 1** | **Level 2\*** | **Level 3\*\*** | **Total** |
| **Assets** |  |  |  |  |
| Investments |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Common Stocks |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Communication Services | $9266 | $- | $- | $9266 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Consumer Discretionary | 73645 |  |  | 73645 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Consumer Staples | 30855 |  |  | 30855 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Financials | 26960 |  |  | 26960 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Health Care | 108766 |  | 0 | 108766 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Industrials | 117633 |  |  | 117633 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Information Technology | 83999 |  |  | 83999 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Real Estate | 17095 |  |  | 17095 |
| &nbsp;&nbsp;&nbsp;Exchange-Traded Funds | 18234 |  |  | 18234 |
| &nbsp;&nbsp;&nbsp;Short-Term Investments | 29985 | - | - | 29985 |
| Total Assets | $516438 | $- | $- | $516438 |

---

\* The Fund did not hold any Level 2 securities at period end.

\*\* The Fund held Level 3 securities valued at zero at period end.

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Small Cap Value Fund** | **Level 1** | **Level 2\*** | **Level 3\*** | **Total** |
| **Assets** |  |  |  |  |
| Investments |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Common Stocks<sup>1</sup> | $5462142 | $- | $- | $5462142 |
| &nbsp;&nbsp;&nbsp;Short-Term Investments | 222018 | - | - | 222018 |
| Total Assets | $5684160 | $- | $- | $5684160 |

---

<sup>1</sup> For a detailed break-out of common stocks by sector, please refer to the Schedule of Investments.

\* The Fund did not hold any Level 2 or Level 3 securities at period end.

The following is a reconciliation of assets in which significant unobservable inputs (Level 3) were used in determining value:

---

| | |
|:---|:---|
| | **Small Cap Growth Fund** |
| Beginning balance April 27, 2022 | $- |
| &nbsp;&nbsp;&nbsp;Transfers into Level 3 during the period |  |
| &nbsp;&nbsp;&nbsp;Transfers out of Level 3 during the period |  |
| &nbsp;&nbsp;&nbsp;Total realized gain/(loss) |  |
| &nbsp;&nbsp;&nbsp;Change in unrealized appreciation/(depreciation) |  |
| &nbsp;&nbsp;&nbsp;Net purchases | 0 |
| &nbsp;&nbsp;&nbsp;Return of Capital |  |
| &nbsp;&nbsp;&nbsp;Net sales | - |
| Balance as of December 31, 2022 | $0 |

---

**Kennedy Capital Funds**

**NOTES TO FINANCIAL STATEMENTS - Continued**

**December 31, 2022**

The following table presents additional quantitative information about valuation methodologies and inputs used for investments that are measured at fair value and categorized within Level 3 as of December 31, 2022:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Small Cap Growth Fund** | **Small Cap Growth Fund** | **Small Cap Growth Fund** | **Small Cap Growth Fund** | **Small Cap Growth Fund** | **Small Cap Growth Fund** | **Small Cap Growth Fund** |
| Asset Class | Fair Value at <br> 12/31/2022 | Valuation Technique(s) | Unobservable Input | Range of Input | Weighted Average of Input | Impact to<br> Valuation<br> from an<br> Increase in<br> Input<sup>(1)</sup> |
| Common Stock | $0 | Market Approach | Discount for<br> lack of<br> marketability | $0 | N/A | Increase |

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<sup>(1)</sup> This column represents the directional change in the fair value of the Level 3 investments that would result from an increase to the corresponding unobservable input. A decrease to the unobservable input would have the opposite effect.

**Note 9 – Market Disruption and Geopolitical Risks**

Certain local, regional or global events such as war, acts of terrorism, the spread of infectious illness or other public health issues, or other events could have a significant impact on a security or instrument. Since 2020, the novel strain of coronavirus (COVID-19) has negatively affected the worldwide economy, as well as the economies of individual countries, the financial health of individual companies and the market in general in significant and unforeseen ways. Following Russia's large-scale invasion of Ukraine, the President of the United States signed an Executive Order in February 2022 prohibiting U.S. persons from entering transactions with the Central Bank of Russia and Executive Orders in March 2022 prohibiting U.S. persons from importing oil and gas from Russia as well as other popular Russian exports, such as diamonds, seafood and vodka. There may also be restrictions on investments in Chinese companies. For example, the President of the United States of America signed an Executive Order in June 2021 affirming and expanding the U.S. policy prohibiting U.S. persons from purchasing or investing in publicly-traded securities of companies identified by the U.S. Government as "Chinese Military-Industrial Complex Companies." The list of such companies can change from time to time, and as a result of forced selling or an inability to participate in an investment the Advisor otherwise believes is attractive, the Funds may incur losses. The duration of the coronavirus outbreak and the Russian-Ukraine conflict could adversely affect the Fund's performance, the performance of the securities in which the Funds invest and may lead to losses on your investment. The ultimate impact of COVID-19 and Russia Invasion on the financial performance of the Funds' investments is not reasonably estimable at this time. Management is actively monitoring these events.

**Note 10- New Accounting Pronouncements**

In December 2020, the SEC adopted a new rule providing a framework for fund valuation practices ("Rule 2a-5"). Rule 2a-5 establishes requirements for determining fair value in good faith for purposes of the 1940 Act. Rule 2a-5 will permit fund boards to designate certain parties to perform fair value determinations, subject to board oversight and certain other conditions. Rule 2a-5 also defines when market quotations are "readily available" for purposes of the 1940 Act and the threshold for determining whether a fund must fair value a security. In connection with Rule 2a-5, the SEC also adopted related recordkeeping requirements and is rescinding previously issued guidance, including with respect to the role of a board in determining fair value and the accounting and auditing of fund investments. The Funds have adopted procedures in accordance with Rule 2a-5.

In March 2020, FASB issued ASU 2020-04, Reference Rate Reform: Facilitation of the Effects of Reference Rate Reform on Financial Reporting. The main objective of the new guidance is to provide relief to companies that will be impacted by the expected change in benchmark interest rates at the end of 2021, when participating banks will no longer be required to submit London Interbank Offered Rate ("LIBOR") quotes by the UK Financial Conduct Authority. The new guidance allows companies to, provided the only change to existing contracts are a change to an approved benchmark interest rate, account for modifications as a continuance of the existing contract without additional analysis. In addition, derivative contracts that qualified for hedge accounting prior to modification, will be allowed to continue to receive such treatment, even if critical terms change due to a change in the benchmark interest rate. For new and existing contracts, the Funds may elect to apply the amendments as of March 12, 2020 through December 31, 2022. Management is currently assessing the impact of the ASU's adoption to the Funds' financial statements and various filings.

**Kennedy Capital Funds**

**NOTES TO FINANCIAL STATEMENTS - Continued**

**December 31, 2022**

**Note 11 – Events Subsequent to the Fiscal Period End**

The Funds have adopted financial reporting rules regarding subsequent events which require an entity to recognize in the financial statements the effects of all subsequent events that provide additional evidence about conditions that existed at the date of the balance sheet. Management has evaluated the Funds' related events and transactions that occurred through the date of issuance of the Funds' financial statements. There were no events or transactions that occurred during this period that materially impacted the amounts or disclosures in the Funds' financial statements.

On November 15, 2022, the Advisor, Kennedy Capital Management LLC ("KCM"), and Azimut Group ("Azimut") announced that Azimut, through Azimut US Holdings, Inc., intended to purchase a 35% equity interest in KCM, with the remainder continuing to be widely held by existing KCM employees (the "Transaction"). The Transaction closed on February 8, 2023 (the "Closing"). In connection with the Transaction, Azimut has the option to purchase a majority interest in KCM following the second anniversary of Closing.

The Transaction constituted an assignment and resulted in the automatic termination of the Initial Advisory Agreement. In anticipation of the Transaction and these related events, the Board of Trustees of the Trust, at a meeting held on January 19, 2023, considered and approved the New Advisory Agreement with respect to each Fund with terms substantially similar to those of the Initial Advisory Agreement and for the same fees that were in effect under the Initial Advisory Agreement. The New Advisory Agreement is effective with respect to each Fund for 150 days from the date of the Closing, unless approved by the shareholders of the respective Fund, in which case the New Advisory Agreement will remain in effect for a two-year period.

A special meeting of the Shareholders of each Kennedy Capital Fund has been scheduled for March 29, 2023 (the "Special Meeting"). At the Special Meeting, shareholders of each Fund will separately consider a proposal (each, a "Proposal") to approve a new investment advisory agreement between the Trust, on behalf of each Fund, and KCM, pursuant to which KCM will continue to serve as the investment advisor to their Funds.

There were no other events or transactions that occurred during this period that materially impacted the amounts or disclosures in the Funds' financial statements.

**REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

**To the Board of Trustees of Investment Managers Series Trust II and** 

**Shareholders of Kennedy Capital Management**

**Opinion on the Financial Statements**

We have audited the accompanying statements of assets and liabilities of Kennedy Capital ESG SMID Cap Fund, Kennedy Capital Small Cap Growth Fund, Kennedy Capital Small Cap Value Fund (the "Funds"), each a series of Investment Managers Series Trust II (the "Trust"), including the schedules of investments, as of December 31, 2022, the related statements of operations, the statements of changes in net assets and the financial highlights for the periods indicated in the table below, and the related notes (collectively referred to as the "financial statements"). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Funds as of December 31, 2022, the results of their operations, the changes in their net assets and their financial highlights for each of the periods indicated in the table below, in conformity with accounting principles generally accepted in the United States of America.

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| | | | |
|:---|:---|:---|:---|
| **Fund**  | **Statement of Operations** | **Statements of Changes in**<br> **Net Assets**  | **Financial Highlights**  |
| Kennedy Capital ESG SMID Cap Fund<br>| For the year ended December 31, 2022<br>| For each of the two years in the period ended December 31, 2022<br>| For each of the three years in the period ended December 31, 2022 and for the period June 28, 2019 (commencement of operations) through December 31, 2019  |
| Kennedy Capital Small Cap Growth Fund and Kennedy Capital Small Cap Value Fund  | For the period April 27, 2022 (commencement of operations) through December 31, 2022  | For the period April 27, 2022 (commencement of operations) through December 31, 2022  | For the period April 27, 2022 (commencement of operations) through December 31, 2022 |

---

**Basis for Opinion**

These financial statements are the responsibility of the Funds' management. Our responsibility is to express an opinion on the Funds' financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) ("PCAOB") and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We have served as the auditor of one or more of the funds in the Trust since 2013.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Funds are not required to have, nor were we engaged to perform, an audit of the Funds' internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Funds' internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of December 31, 2022 by correspondence with the custodian and brokers or by other appropriate auditing procedures where replies were not received. We believe that our audits provide a reasonable basis for our opinion.

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| |
|:---|
| ![](fp0082244_11.jpg) |
| TAIT, WELLER & BAKER LLP |

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**Philadelphia, Pennsylvania** 

**March 1, 2023**

**Kennedy Capital Funds** 

**SUPPLEMENTAL INFORMATION (Unaudited)**

***Long-Term Capital Gain Designation***

For the fiscal year ended December 31, 2022, the Kennedy Capital ESG SMID Cap, Kennedy Capital Small Cap Growth and Kennedy Capital Small Cap Value Funds designate $59,041, $222 and $292, respectively as a 20% rate gain distribution for purposes of the dividends paid deduction.

***Corporate Dividends Received Deduction***

For the fiscal year ended December 31, 2022, 100%, 12.03% and 29.03%, respectively, of the dividends to be paid from net investment income, including short-term capital gains (if any) from the Kennedy Capital ESG SMID Cap, Kennedy Capital Small Cap Growth and Kennedy Capital Small Cap Value Funds, are designated as dividends received deduction available to corporate shareholders.

***Qualified Dividend Income***

For the fiscal year ended December 31, 2022, 100%, 12.36% and 29.51% of dividends to be paid from net investment income, including short-term capital gains (if any) from the Kennedy Capital ESG SMID Cap, Kennedy Capital Small Cap Growth and Kennedy Capital Small Cap Value Funds, are designated as qualified dividend income.

***Trustees and Officers Information***

Additional information about the Trustees is included in the Fund's Statement of Additional Information which is available, without charge, upon request by calling (877) 882-8825. The Trustees and officers of the Fund and their principal occupations during the past five years are as follows:

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| | | | | |
|:---|:---|:---|:---|:---|
| **Name, Address, Year of**<br> **Birth and Position(s)**<br> **held with Trust**  | **Term of**<br> **Office<sup>c</sup> and**<br> **Length of**<br> **Time**<br> **Served**  | **Principal Occupation During the Past Five Years and Other Affiliations**  | **Number of**<br> **Portfolios in**<br> **the Fund**<br> **Complex** <br> **Overseen by**<br> **Trustee<sup>d</sup>**  | **Other Directorships Held by Trustee<sup>e</sup>**  |
| **"Independent" Trustees:** | | | | |
| Thomas Knipper, CPA <sup>a</sup> <br> (Born 1957) <br> Trustee  | Since<br> September 2013 | Retired (April 2022 – present); Independent Consulting, financial services organizations (March 2021 – March 2022); Vice President and Chief Compliance Officer, Ameritas Investment Partners, a registered investment advisor (1995 – March 2021). | 3 | Monachil Credit Income Fund, a closed-end investment company. |
| Kathleen K. Shkuda <sup>a</sup><br> (born 1951) <br> Trustee  | Since<br> September 2013 | Zigzag Consulting, a financial services consulting firm (2008 – present); Director, Managed Accounts, Merrill Lynch (2007 – 2008). | 3 | None. |
| Larry D. Tashjian <sup>a</sup> <br> (born 1953) <br> Trustee and Chairman of the Board  | Since<br> September 2013 | Principal, CAM Capital Advisors, a family office (2001 – present). | 3 | General Finance Corporation.<br>|

---

**Kennedy Capital Funds** 

**SUPPLEMENTAL INFORMATION (Unaudited) - Continued**

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| | | | | |
|:---|:---|:---|:---|:---|
| **Name, Address, Year of**<br> **Birth and Position(s)**<br> **held with Trust**  | **Term of**<br> **Office<sup>c</sup> and**<br> **Length of**<br> **Time**<br> **Served**  | **Principal Occupation During the Past Five Years and Other Affiliations**  | **Number of**<br> **Portfolios in**<br> **the Fund**<br> **Complex** <br> **Overseen by**<br> **Trustee<sup>d</sup>**  | **Other Directorships Held by Trustee<sup>e</sup>**  |
| **"Independent" Trustee:** | | | | |
| John P. Zader <sup>a</sup> <br> (born 1961) <br> Trustee  | Since<br> September <br> 2013 | Retired (June 2014 – present); CEO, UMB Fund Services, Inc., a mutual fund and hedge fund service provider, and the transfer agent, fund accountant, and co-administrator for the Fund(s) (December 2006 – June 2014); President, Investment Managers Series Trust (December 2007 – June 2014).  | 3 | None.<br>|
| **Interested Trustee:** |  |  |  |  |
| Terrance P. Gallagher <sup>a\*</sup> <br> (born 1958) <br> Trustee and President  | Since<br> July<br> 2019<br>| President, Investment Managers Series Trust II (September 2013 – present); Executive Vice President, UMB Fund Services, Inc. (2007 – present); Director of Compliance, Unified Fund Services Inc. (now Huntington Fund Services), a mutual fund service provider (2004 – 2007).<br>| 3 | Cliffwater Corporate Lending Fund, Agility Multi-Asset Income Fund, Corbin Multi-Strategy Fund, LLC, Aspiriant Risk-Managed Real Asset Fund, Aspiriant Risk-Managed Capital Appreciation Fund, AFA Multi-Manager Credit Fund, The Optima Dynamic Alternatives Fund, Infinity Core Alternative Fund, Keystone Private Income Fund, First Trust Alternative Opportunities Fund, Variant Alternative Income Fund, Variant Impact Fund, First Trust Private Assets Fund, First Trust Private Credit Fund, First Trust Real Assets Fund, Destiny Alternative Fund LLC, Destiny Alternative Fund (TEI) LLC, and Pender Real Estate Credit Fund, each a closed-end investment company.  |

---

**Kennedy Capital Funds** 

**SUPPLEMENTAL INFORMATION (Unaudited) - Continued**

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| | | | | |
|:---|:---|:---|:---|:---|
| **Name, Address, Year of**<br> **Birth and Position(s)**<br> **held with Trust**  | **Term of**<br> **Office<sup>c</sup> and**<br> **Length of**<br> **Time**<br> **Served**  | **Principal Occupation During the Past Five Years and Other Affiliations**  | **Number of**<br> **Portfolios in**<br> **the Fund**<br> **Complex** <br> **Overseen by**<br> **Trustee<sup>d</sup>**  | **Other Directorships Held by Trustee<sup>e</sup>**  |
| **Interested Trustee:** | | | | |
| Joy Ausili <sup>b†</sup> <br> (born 1966) <br> Trustee, Vice President and Assistant Secretary  | Since<br> January 2023 | Co-Chief Executive Officer (2016 – present), and Vice President (2006 – 2015), Mutual Fund Administration, LLC; Vice President and Assistant Secretary (January 2016 – present), Investment Managers Series Trust II; Vice President and Secretary, Investment Managers Series Trust (March 2016 – present); Co-President, Foothill Capital Management, LLC, a registered investment advisor (2018 – 2022). | 3 | N/A<br>|

---

**Kennedy Capital Funds** 

**SUPPLEMENTAL INFORMATION (Unaudited) - Continued**

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| | | | | |
|:---|:---|:---|:---|:---|
| **Name, Address, Year of**<br> **Birth and Position(s)**<br> **held with Trust**  | **Term of**<br> **Office<sup>c</sup> and**<br> **Length of**<br> **Time**<br> **Served**  | **Principal Occupation During the Past Five Years and Other Affiliations**  | **Number of**<br> **Portfolios in**<br> **the Fund**<br> **Complex** <br> **Overseen by**<br> **Trustee<sup>d</sup>**  | **Other Directorships Held by Trustee<sup>e</sup>**  |
| **Officers of the Trust:** | | | | |
| Rita Dam <sup>b</sup> <br> (born 1966) <br> Treasurer and Assistant Secretary  | Since<br> September 2013 | Co-Chief Executive Officer (2016 – present), and Vice President (2006 – 2015), Mutual Fund Administration, LLC; Co-President, Foothill Capital Management, LLC, a registered investment advisor (2018 – 2022). | N/A | N/A |
| Diane Drake <sup>b</sup> <br> (born 1967) <br> Secretary  | Since<br> January 2016 | Senior Counsel, Mutual Fund Administration, LLC (October 2015 – present); Chief Compliance Officer, Foothill Capital Management, LLC, a registered investment advisor (2018 – 2019). | N/A | N/A<br>|
| Martin Dziura <sup>b</sup> <br> (born 1959) <br> Chief Compliance Officer  | Since<br> September 2013 | Principal, Dziura Compliance Consulting, LLC (October 2014 – present); Managing Director, Cipperman Compliance Services (2010 – September 2014); Chief Compliance Officer, Hanlon Investment Management (2009 – 2010); Vice President - Compliance, Morgan Stanley Investment Management (2000 - 2009).  | N/A | N/A |

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| | |
|:---|:---|
| <br> a | Address for certain Trustees and certain officers: 235 West Galena Street, Milwaukee, Wisconsin 53212. |
| b | Address for Ms. Ausili, Ms. Dam and Ms. Drake: 2220 E. Route 66, Suite 226, Glendora, California 91740. |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Address for Mr. Dziura: 309 Woodridge Lane, Media, Pennsylvania 19063.

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| | |
|:---|:---|
| c | Trustees and officers serve until their successors have been duly elected. |
| d | The Trust is comprised of 61 series managed by unaffiliated investment advisors. Each Trustee serves as Trustee of each series of the Trust. The term "Fund Complex" applies only to the Fund(s) managed by the same investment advisor. The Funds do not hold themselves out as related to any other series within the Trust, for purposes of investment and investor services, nor does it share the same investment advisor with any other series. |
| e | "Other Directorships Held" includes only directorships of companies required to register or file reports with the SEC under the Securities Exchange Act of 1934, as amended (that is, "public companies"), or other investment companies registered under the 1940 Act. |
| † | Ms. Ausili is an "interested person" of the Trust by virtue of her position with Mutual Fund Administration, LLC. |
| \* | Mr. Gallagher is an "interested person" of the Trust by virtue of his position with UMB Fund Services, Inc. |

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**Kennedy Capital ESG SMID Cap Fund** 

**SUPPLEMENTAL INFORMATION (Unaudited) - Continued**

***Board Consideration of Investment Advisory Agreement***

At an in-person meeting held on July 19-20, 2022, the Board of Trustees (the "*Board*") of Investment Managers Series Trust II (the "*Trust*"), including the trustees who are not "interested persons" of the Trust (the "*Independent Trustees*") as defined in the Investment Company Act of 1940, as amended (the "*1940 Act*"), reviewed and unanimously approved the renewal of the investment advisory agreement (the "*Advisory Agreement*") between the Trust and Kennedy Capital Management, Inc. (the "*Investment Advisor*") with respect to the Kennedy Capital ESG SMID Cap Fund series of the Trust (the "*Fund*") for an additional one-year term from when it otherwise would expire. In approving renewal of the Advisory Agreement, the Board, including the Independent Trustees, determined that such renewal was in the best interests of the Fund and its shareholders.

***Background***

In advance of the meeting, the Board received information about the Fund and the Advisory Agreement from the Investment Advisor and from Mutual Fund Administration, LLC and UMB Fund Services, Inc., the Trust's co-administrators, certain portions of which are discussed below. The materials, among other things, included information about the Investment Advisor's organization and financial condition; information regarding the background, experience, and compensation structure of relevant personnel providing services to the Fund; information about the Investment Advisor's compliance policies and procedures, disaster recovery and contingency planning, and policies with respect to portfolio execution and trading; information regarding the profitability of the Investment Advisor's overall relationship with the Fund; reports comparing the performance of the Fund with returns of the Russell 2500 Index and a group of comparable funds (the "*Peer Group*") selected by Broadridge Financial Solutions, Inc. ("*Broadridge*") from Morningstar, Inc.'s Mid-Cap Blend fund universe (the "*Fund Universe*") for the one-year period ended April 30, 2022; and reports comparing the investment advisory fee and total expenses of the Fund with those of the Peer Group and Fund Universe. The Board also received a memorandum from legal counsel to the Trust and the Independent Trustees discussing the legal standards under the 1940 Act and other applicable law for their consideration of the proposed renewal of the Advisory Agreement. In addition, the Board considered information reviewed by the Board during the year at other Board and Board committee meetings. No representatives of the Investment Advisor were present during the Board's consideration of the Advisory Agreement, and the Independent Trustees were represented by their legal counsel with respect to the matters considered.

In renewing the Advisory Agreement, the Board and the Independent Trustees considered a variety of factors, including those discussed below. In their deliberations, the Board and the Independent Trustees did not identify any particular factor that was controlling, and each Trustee may have attributed different weights to the various factors.

***Nature, Extent and Quality of Services***

With respect to the performance results of the Fund, the meeting materials indicated that the Fund's total return for the one-year period was above the Peer Group median return and the Russell 2500 Index return, but below the Fund Universe median return by 2.01%. The Trustees observed that the Fund's risk-adjusted returns, as measured by its Sharpe ratio, and its risk-adjusted returns relative to the benchmark, as measured by its information ratio, ranked it in the second quartile of the funds (which is the second most favorable) in the Peer Group for the one-year period. The Trustees also considered that the Fund had been operating for a relatively short period, and that performance over longer periods would be more meaningful.

The Board also considered the overall quality of services provided by the Investment Advisor to the Fund. In doing so, the Board considered the Investment Advisor's specific responsibilities in day-to-day management and oversight of the Fund, as well as the qualifications, experience, and responsibilities of the personnel involved in the activities of the Fund. The Board also considered the overall quality of the organization and operations of the Investment Advisor, its commitment to the maintenance and growth of the Fund's assets, and its compliance structure and compliance procedures. The Board and the Independent Trustees concluded that based on the various factors they had reviewed, the nature, overall quality, and extent of the management and oversight services provided by the Investment Advisor to the Fund were satisfactory.

**Kennedy Capital ESG SMID Cap Fund** 

**SUPPLEMENTAL INFORMATION (Unaudited) - Continued**

***Advisory Fee and Expense Ratio***

With respect to the advisory fee paid by the Fund, the meeting materials indicated that the annual investment advisory fee (gross of fee waivers) was lower than the Peer Group median and the same as the Fund Universe median. The Trustees considered that the Fund's advisory fee was within the range of advisory fees that the Investment Advisor charges institutional clients to manage separate accounts using the same strategy as the Fund. The Trustees observed, however, that management of mutual fund assets requires compliance with certain requirements under the 1940 Act that do not apply to the Investment Advisor's separate account clients. The annual total expenses paid by the Fund (net of fee waivers) for the Fund's most recent fiscal year were lower than the Peer Group and Fund Universe medians.

The Board and the Independent Trustees concluded that based on the factors they had reviewed, the compensation payable to the Investment Advisor under the Advisory Agreement was fair and reasonable in light of the nature and quality of the services the Investment Advisor provides to the Fund.

***Profitability and Economies of Scale***

The Board next considered information prepared by the Investment Advisor relating to its costs and profits with respect to the Fund for the year ended April 30, 2022. The Board noted that the Investment Advisor had waived its entire advisory fee and subsidized certain of the operating expenses for the Fund, and had not realized a profit with respect to the Fund.

The Board also considered the benefits received by the Investment Advisor as a result of the Investment Advisor's relationship with the Fund, other than the receipt of its investment advisory fee, including any research received from broker-dealers providing execution services to the Fund, the beneficial effects from the review by the Trust's Chief Compliance Officer of the Investment Advisor's compliance program, the intangible benefits of the Investment Advisor's association with the Fund generally, and any favorable publicity arising in connection with the Fund's performance. The Board noted that although there were no advisory fee breakpoints, the asset level of the Fund was not currently likely to lead to significant economies of scale, and that any such economies would be considered in the future as the assets of the Fund grow.

***Conclusion***

Based on these and other factors, the Board and the Independent Trustees concluded that renewal of the Advisory Agreement was in the best interests of the Fund and its shareholders and, accordingly, approved the renewal of the Advisory Agreement.

**Kennedy Capital Funds** 

**SUPPLEMENTAL INFORMATION (Unaudited) - Continued**

**Statement Regarding Liquidity Risk Management Program** 

The Securities and Exchange Commission adopted Rule 22e-4 under the Investment Company Act of 1940, as amended (the "Liquidity Rule"), to promote effective liquidity risk management throughout the open-end investment company industry, thereby reducing the risk that funds will be unable to meet their redemption obligations and mitigating dilution of the interests of fund shareholders.

The Board of Trustees (the "Board") of Investment Managers Series Trust II (the "Trust") met on July 19 -20, 2022 (the "Meeting"), to review the liquidity risk management program (the "Fund Program") applicable to the following series of the Trust (each, a "Fund" and together, the "Funds") pursuant to the Liquidity Rule:

***<u>Reporting Period - May 1, 2021 through April 30, 2022</u>***

Kennedy Capital ESG SMID Cap Fund

***<u>Reporting Period – April 27, 2022<sup>1</sup> through April 30, 2022</u>***

Kennedy Capital Small Cap Growth Fund

Kennedy Capital Small Cap Value Fund

The Board has appointed Kennedy Capital Management LLC, the investment adviser to the Funds, as the program administrator ("Program Administrator") for the Fund Program. Under the Trust's liquidity risk management program (the "Trust Program"), the Board has delegated oversight of the Trust Program to the Liquidity Oversight Committee (the "Oversight Committee"). At the Meeting, the Oversight Committee, on behalf of Program Administrator and the Funds, provided the Board with a written report (the "Report") that addressed the operation, adequacy, and effectiveness of implementation of the Fund Program, and any material changes to it for the periods detailed above (the "Program Reporting Periods").

In assessing the adequacy and effectiveness of implementation of the Fund Program, the Report discussed the following, among other things:

● The Fund Program's liquidity classification methodology for categorizing each Fund's investments;

● An overview of market liquidity for each Fund during the Program Reporting Periods;

● Each Fund's ability to meet redemption requests;

● Each Fund's cash management;

● Each Fund's borrowing activity, if any, in order to meet redemption requests;

● Each Fund's compliance with the 15% limit of illiquid investments; and

● Each Fund's status as a primarily highly liquid fund ("PHLF"), the effectiveness of the implementation of the PHLF standard, and whether it would be appropriate for each Fund to adopt a highly liquid investment minimum ("HLIM").

The Report stated that the Funds primarily hold assets that are defined under the Liquidity Rule as "highly liquid investments," and therefore each Fund is not required to establish an HLIM. Highly liquid investments are defined as cash and any investment reasonably expected to be convertible to cash in current market conditions in three business days or less without the conversion to cash significantly changing the market value of the investment. The Report also stated that there were no material changes made to the Fund Program during the Program Reporting Periods.In the Report, the Program Administrator concluded that (i) the Fund Program, as adopted and implemented, remains reasonably designed to assess and manage each Fund's liquidity risk; (ii) each Fund continues to qualify as a PHLF and therefore is not required to adopt an HLIM; (iii) during the Program Reporting Periods, each Fund was able to meet redemption requests without significant dilution of remaining investors' interests; and (iv) there were no weaknesses in the design or implementation of the Fund Program during the Program Reporting Periods.

<sup>1</sup> Commencement date.

**Kennedy Capital Funds** 

**SUPPLEMENTAL INFORMATION (Unaudited) - Continued**

There can be no assurance that the Fund Program will achieve its objectives in the future. Please refer to the Funds' prospectuses for more information regarding each Fund's exposure to liquidity risk and other principal risks to which an investment in the Funds may be subject.

**Kennedy Capital Funds** 

**EXPENSE EXAMPLES** 

**For the Six Months Ended December 31, 2022 (Unaudited)**

**Expense Examples** 

As a shareholder of the Funds, you incur two types of costs: (1) transaction costs, including redemption fees; and (2) ongoing costs, including management fees; distribution and other Fund expenses. The examples below are intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.

These examples are based on an investment of $1,000 invested at the beginning of the period and held for the entire period from July 1, 2022 to December 31, 2022.

**Actual Expenses** 

The information in the rows titled "Actual Performance" of the tables below provides actual account values and actual expenses. You may use the information in these columns, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the appropriate row for your share class, under the column titled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period.

**Hypothetical Example for Comparison Purposes** 

The information in the rows titled "Hypothetical (5% annual return before expenses)" of the table below provides hypothetical account values and hypothetical expenses based on the Funds' actual expense ratios and an assumed rate of return of 5% per year before expenses, which is not the Funds' actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Funds and other funds. To do so, compare these 5% hypothetical examples with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (load) or contingent deferred sales charges. Therefore, the information in the row titled "Hypothetical (5% annual return before expenses)" is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

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| | | | |
|:---|:---|:---|:---|
| **Kennedy Capital ESG SMID Cap Fund** | Beginning<br> Account Value | Ending<br> Account Value | Expense Paid<br> During Period\* |
| **Kennedy Capital ESG SMID Cap Fund** | 7/1/22 | 12/31/22 | 7/1/22–12/31/22 |
| Actual Performance | $1000.00 | $1034.90 | $4.21 |
| Hypothetical (5% annual return before expenses) | &nbsp;&nbsp;&nbsp;&nbsp;1000.00 | &nbsp;&nbsp;&nbsp;&nbsp;1021.07 | 4.18 |

---

\* Expenses are equal to the Fund's annualized expense ratio of 0.82%, multiplied by the average account values over the period, multiplied by 184/365 (to reflect the six month period). The expense ratio reflects an expense waiver. Assumes all dividends and distributions were reinvested.

**Kennedy Capital Funds** 

**EXPENSE EXAMPLES - Continued** 

**For the Six Months Ended December 31, 2022 (Unaudited)**

---

| | | | |
|:---|:---|:---|:---|
| **Kennedy Capital Small Cap Growth Fund** | Beginning<br> Account Value | Ending<br> Account Value | Expense Paid<br> During Period\* |
| **Kennedy Capital Small Cap Growth Fund** | 7/1/22 | 12/31/22 | 7/1/22–12/31/22 |
| Actual Performance  | $1000.00 | $1056.70 | $4.61 |
| Hypothetical (5% annual return before expenses) | &nbsp;&nbsp;&nbsp;&nbsp;1000.00 | &nbsp;&nbsp;&nbsp;&nbsp;1020.72 | 4.53 |

---

\* Expenses are equal to the Fund's annualized expense ratio of 0.89%, multiplied by the average account values over the period, multiplied by 184/365 (to reflect the six month period). The expense ratio reflects an expense waiver. Assumes all dividends and distributions were reinvested.

---

| | | | |
|:---|:---|:---|:---|
| **Kennedy Capital Small Cap Value Fund** | Beginning<br> Account Value | Ending<br> Account Value | Expense Paid<br> During Period\* |
| **Kennedy Capital Small Cap Value Fund** | 7/1/22 | 12/31/22 | 7/1/22–12/31/22 |
| Actual Performance  | $1000.00 | $1072.80 | $4.65 |
| Hypothetical (5% annual return before expenses) | &nbsp;&nbsp;&nbsp;&nbsp;1000.00 | &nbsp;&nbsp;&nbsp;&nbsp;1020.72 | 4.53 |

---

\* Expenses are equal to the Fund's annualized expense ratio of 0.89%, multiplied by the average account values over the period, multiplied by 184/365 (to reflect the six month period). The expense ratio reflects an expense waiver. Assumes all dividends and distributions were reinvested.

**This page is intentionally left blank**

**This page is intentionally left blank**

**Kennedy Capital Funds** 

*Each a series of Investment Managers Series Trust II*

***Investment Advisor***

Kennedy Capital Management LLC

10829 Olive Boulevard, Suite 100<br> St. Louis, Missouri 63141

***Independent Registered Public Accounting Firm***

Tait, Weller & Baker LLP

Two Liberty Place

50 South 16<sup>th</sup> Street, Suite 2900

Philadelphia, Pennsylvania 19102

***Custodian***

UMB Bank, n.a.

928 Grand Boulevard, 5<sup>th</sup> Floor

Kansas City, Missouri 64106

***Fund Co-Administrator***

Mutual Fund Administration, LLC

2220 East Route 66, Suite 226

Glendora, California 91740

***Fund Co-Administrator, Transfer Agent and Fund Accountant***

UMB Fund Services, Inc.

235 West Galena Street

Milwaukee, Wisconsin 53212

***Distributor***

IMST Distributors, LLC

Three Canal Plaza, Suite 100

Portland, Maine 04101

www.acaglobal.com

FUND INFORMATION

---

| | | |
|:---|:---|:---|
|  | **TICKER** | **CUSIP** |
| Kennedy Capital ESG SMID Cap Fund – Institutional Class | KESGX | 46141T562 |
| Kennedy Capital Small Cap Growth Fund – Institutional Class | KGROX | 46144X305 |
| Kennedy Capital Small Cap Value Fund – Institutional Class | KVALX | 46144X503 |

---

**Privacy Principles of the Kennedy Capital Funds for Shareholders** 

The Funds are committed to maintaining the privacy of its shareholders and to safeguarding its non-public personal information. The following information is provided to help you understand what personal information the Funds collect, how we protect that information and why, in certain cases, we may share information with select other parties.

Generally, the Funds do not receive any non-public personal information relating to its shareholders, although certain non-public personal information of its shareholders may become available to the Funds. The Funds do not disclose any non-public personal information about its shareholders or former shareholders to anyone, except as permitted by law or as is necessary in order to service shareholder accounts (for example, to a transfer agent or third party administrator).

This report is sent to shareholders of the Kennedy Capital Funds for their information. It is not a Prospectus, circular or representation intended for use in the purchase or sale of shares of the Funds or of any securities mentioned in this report.

**Proxy Voting Policies and Procedures** 

A description of the Funds' proxy voting policies and procedures related to portfolio securities is available without charge, upon request, by calling the Funds at (877) 882-8825 or on the U.S. Securities and Exchange Commission's ("SEC") website at <u>www.sec.gov</u>.

**Proxy Voting Record** 

Information regarding how the Funds voted proxies for portfolio securities, if applicable, during the most recent 12-month period ended June 30, is also available, without charge and upon request by calling (877) 882-8825 or by accessing the Funds' Form N-PX on the SEC's website at <u>www.sec.gov</u>.

**Fund Portfolio Holdings** 

The Funds file a complete schedule of their portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-PORT within 60 days of the end of such fiscal quarter. Shareholders may obtain the Funds' Form N-PORT on the SEC's website at <u>www.sec.gov</u>.

Prior to the use of Form N-PORT, the Kennedy Capital ESG SMID Cap Fund filed its complete schedule of portfolio holdings with the SEC on Form N-Q, which is available online at <u>www.sec.gov</u>

**Householding** 

The Funds will mail only one copy of shareholder documents, including prospectuses and notice of annual and semi-annual reports availability and proxy statements, to shareholders with multiple accounts at the same address. This practice is commonly called "householding" and is intended to reduce expenses and eliminate duplicate mailings of shareholder documents. Mailings of your shareholder documents may be householded indefinitely unless you instruct us otherwise. If you do not want the mailing of these documents to be combined with those for other members of your household, please call the Funds at (877) 882-8825.

Kennedy Capital Funds

P.O. Box 2175

Milwaukee, WI 53201

Toll Free: (877) 882-8825

**<u>Item 1. Report to Stockholders (Continued).</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Not
 Applicable

**<u>Item 2. Code of Ethics.</u>**

The registrant has adopted a code of ethics that applies to the registrant's principal executive officer and principal financial officer. The registrant has not made any amendments to its code of ethics during the period covered by this report. The registrant has not granted any waivers from any provisions of the code of ethics during the period covered by this report.

The registrant undertakes to provide to any person without charge, upon request, a copy of its code of ethics by mail when they call the registrant at 1-877-882-8825.

**<u>Item 3. Audit Committee Financial Expert.</u>**

The Board of Trustees of the Registrant has determined that the Registrant has the following "audit committee financial experts" as defined in Item 3(b) of Form N-CSR serving on its Audit Committee: Messrs. Thomas Knipper and John P. Zader. The audit committee financial experts are "independent" as that term is defined in Item 3(a)(2) of Form N-CSR.

**<u>Item 4. Principal Accountant Fees and Services.</u>**

The registrant has engaged its principal accountant to perform audit services, audit-related services, tax services and other services during the past two fiscal years. "Audit services" refer to performing an audit of the registrant's annual financial statements or services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for those fiscal years. "Audit-related services" refer to the assurance and related services by the principal accountant that are reasonably related to the performance of the audit. "Tax services" refer to professional services rendered by the principal accountant for tax compliance, tax advice, and tax planning. There were no "other services" provided by the principal accountant. The following table details the aggregate fees billed or expected to be billed for each of the last two fiscal years for audit fees, audit-related fees, tax fees and other fees by the principal accountant.

---

| | | |
|:---|:---|:---|
| | FYE 12/31/2022 | FYE 12/31/2021 |
| Audit Fees | $28000 | $12500 |
| Audit-Related Fees | N/A | N/A |
| Tax Fees | $7500 | $2500 |
| All Other Fees | N/A | N/A |

---

The audit committee has adopted pre-approval policies and procedures that require the audit committee to pre-approve all audit and non-audit services of the registrant, including services provided to any entity affiliated with the registrant.

The percentage of fees billed by Tait Weller applicable to non-audit services pursuant to waiver of pre-approval requirement were as follows:

---

| | | |
|:---|:---|:---|
| | FYE 12/31/2022 | FYE 12/31/2021 |
| Audit-Related Fees | 0% | 0% |
| Tax Fees | 0% | 0% |
| All Other Fees | 0% | 0% |

---

All of the principal accountant's hours spent on auditing the registrant's financial statements were attributed to work performed by full-time permanent employees of the principal accountant.

The following table indicates the non-audit fees billed or expected to be billed by the registrant's accountant for services to the registrant and to the registrant's investment advisor (and any other controlling entity, etc.—not sub-advisor) for the last two years. The audit committee of the Board of Trustees has considered whether the provision of non-audit services that were rendered to the registrant's investment advisor is compatible with maintaining the principal accountant's independence and has concluded that the provision of such non-audit services by the accountant has not compromised the accountant's independence.

<u>Non-Audit Related Fees</u> <u>FYE 12/31/2022</u> <u>FYE 12/31/2021</u> <br> <u>Registrant</u> <u>N/A</u> <u>N/A</u> <br> <u>Registrant's Investment Advisor</u> <u>N/A</u> <u>N/A</u>

**<u>Item 5. Audit Committee of Listed Registrants.</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Not
 applicable to registrants who are not listed issuers (as defined in Rule 10A-3 under
 the Securities Exchange Act of 1934).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Not
 applicable.

**<u>Item 6. Schedule of Investments.</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Schedule
 of Investments is included as part of the report to shareholders filed under Item 1 of
 this Form.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Not
 applicable.

**<u>Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.</u>**

Not applicable to open-end investment companies.

**<u>Item 8. Portfolio Managers of Closed-End Management Investment Companies.</u>**

Not applicable to open-end investment companies.

**<u>Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.</u>**

Not applicable.

**<u>Item 10. Submission of Matters to a Vote of Security Holders.</u>**

The registrant has not made any material changes to the procedures by which shareholders may recommend nominees to the registrant's Board of Trustees.

**<u>Item 11. Controls and Procedures.</u>**

&nbsp;&nbsp;&nbsp;&nbsp;(a) The
 Registrant's President/Chief Executive Officer and Treasurer/Chief Financial Officer
 have reviewed the Registrant's disclosure controls and procedures (as defined in Rule
 30a-3(c) under the Investment Company Act of 1940 (the "Act")) as of a date
 within 90 days of the filing of this report, as required by Rule 30a-3(b) under the Act
 and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934. Based on
 their review, such officers have concluded that the disclosure controls and procedures
 are effective in ensuring that information required to be disclosed in this report is
 appropriately recorded, processed, summarized and reported and made known to them by
 others within the Registrant and by the Registrant's service provider.

&nbsp;&nbsp;&nbsp;&nbsp;(b) There
 were no changes in the Registrant's internal control over financial reporting (as defined
 in Rule 30a-3(d) under the Act) that occurred during the period covered by this report
 that has materially affected, or is reasonably likely to materially affect, the Registrant's
 internal control over financial reporting.

**<u>Item 12. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.</u>**

Not applicable to open-end investment companies.

**<u>Item 13. Exhibits.</u>**

&nbsp;&nbsp;&nbsp;&nbsp;(a) (1) [*Any code of ethics or amendment thereto, that is subject of the disclosure required by Item 2, to the extent that the registrant intends to satisfy Item 2 requirements through filing an exhibit.* Incorporated by reference to the Registrant's Form N-CSR filed June 8, 2018.](https://www.sec.gov/Archives/edgar/data/1587982/000139834418008801/fp0033775_ex99code.htm)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) [*Certifications pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.* Filed herewith](fp0082244-1_ex99cert.htm).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) *Any written solicitation to purchase securities under Rule 23c-1 under the Act sent or given during the period covered by the report by or on behalf of the registrant to 10 or more persons.* Not applicable to open-end investment companies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) *Change in the registrant's independent public accountant*. There was no change in the registrant's independent public accountant for the period covered by this report.

&nbsp;&nbsp;&nbsp;&nbsp;*(b)* [*Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.* Filed herewith.](fp0082244-1_ex99906cert.htm)

**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.

---

| | |
|:---|:---|
| (Registrant) | Investment Managers Series Trust II |
| By (Signature and Title) | /s/ Terrance Gallagher |
|  | Terrance Gallagher, President/Chief Executive Officer |
| Date | 03/10/2023 |

---

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

---

| | |
|:---|:---|
| By (Signature and Title) | /s/ Terrance Gallagher |
|  | Terrance Gallagher, President/Chief Executive Officer |
| Date | 03/10/2023 |
| By (Signature and Title) | /s/ Rita Dam |
|  | Rita Dam, Treasurer/Chief Financial Officer |
| Date | 03/10/2023 |

---

## Ex-99.Cert

EX.99.CERT

**<u>CERTIFICATIONS</u>**

I, **Terrance Gallagher**, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;1. I
 have reviewed this report on Form N-CSR of the  **<u>Kennedy Capital Funds,</u>** each
 a series of Investment Managers Series Trust II (the "Trust");

&nbsp;&nbsp;&nbsp;&nbsp;2. Based
 on my knowledge, this report does not contain any untrue statement of a material fact
 or omit to state a material fact necessary to make the statements made, in light of the
 circumstances under which such statements were made, not misleading with respect to the
 period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;3. Based
 on my knowledge, the financial statements, and other financial information included in
 this report, fairly present in all material respects the financial condition, results
 of operations, changes in net assets, and cash flows (if the financial statements are
 required to include a statement of cash flows) of the registrant as of, and for, the
 periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;4. The
 registrant's other certifying officer(s) and I are responsible for establishing and maintaining
 disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment
 Company Act of 1940) and internal control over financial reporting (as defined in Rule
 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Designed
 such disclosure controls and procedures, or caused such disclosure controls and procedures
 to be designed under our supervision, to ensure that material information relating to
 the registrant, including its consolidated subsidiaries, is made known to us by others
 within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Designed
 such internal control over financial reporting, or caused such internal control over
 financial reporting to be designed under our supervision, to provide reasonable assurance
 regarding the reliability of financial reporting and the preparation of financial statements
 for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Evaluated
 the effectiveness of the registrant's disclosure controls and procedures and presented
 in this report our conclusions about the effectiveness of the disclosure controls and
 procedures, as of a date within 90 days prior to the filing date of this report based
 on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Disclosed
 in this report any change in the registrant's internal control over financial reporting
 that occurred during the second fiscal quarter of the period covered by this report that
 has materially affected, or is reasonably likely to materially affect, the registrant's
 internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;5. The
 registrant's other certifying officer(s) and I have disclosed to the registrant's auditors
 and the audit committee of the registrant's board of directors (or persons performing
 the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) All
 significant deficiencies and material weaknesses in the design or operation of internal
 control record, process, summarize, and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any
 fraud, whether or not material, that involves management or other employees who have
 a significant role in the registrant's internal control over financial reporting.

---

| | | |
|:---|:---|:---|
| Date: | 03/10/2023 | /s/ Terrance Gallagher |
|  |  | Terrance Gallagher <br> President/Chief Executive Officer  |

---

**<u>CERTIFICATIONS</u>**

I, **Rita Dam**, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;1. I
 have reviewed this report on Form N-CSR of the  **<u>Kennedy Capital Funds,</u>** each
 a series of Investment Managers Series Tust II (the "Trust");

&nbsp;&nbsp;&nbsp;&nbsp;2. Based
 on my knowledge, this report does not contain any untrue statement of a material fact
 or omit to state a material fact necessary to make the statements made, in light of the
 circumstances under which such statements were made, not misleading with respect to the
 period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;3. Based
 on my knowledge, the financial statements, and other financial information included in
 this report, fairly present in all material respects the financial condition, results
 of operations, changes in net assets, and cash flows (if the financial statements are
 required to include a statement of cash flows) of the registrant as of, and for, the
 periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;4. The
 registrant's other certifying officer(s) and I are responsible for establishing and maintaining
 disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment
 Company Act of 1940) and internal control over financial reporting (as defined in Rule
 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Designed
 such disclosure controls and procedures, or caused such disclosure controls and procedures
 to be designed under our supervision, to ensure that material information relating to
 the registrant, including its consolidated subsidiaries, is made known to us by others
 within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Designed
 such internal control over financial reporting, or caused such internal control over
 financial reporting to be designed under our supervision, to provide reasonable assurance
 regarding the reliability of financial reporting and the preparation of financial statements
 for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Evaluated
 the effectiveness of the registrant's disclosure controls and procedures and presented
 in this report our conclusions about the effectiveness of the disclosure controls and
 procedures, as of a date within 90 days prior to the filing date of this report based
 on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Disclosed
 in this report any change in the registrant's internal control over financial reporting
 that occurred during the second fiscal quarter of the period covered by this report that
 has materially affected, or is reasonably likely to materially affect, the registrant's
 internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;5. The
 registrant's other certifying officer(s) and I have disclosed to the registrant's auditors
 and the audit committee of the registrant's board of directors (or persons performing
 the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) over
 financial reporting which are reasonably likely to adversely affect the registrant's
 ability to record, process, summarize, and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any
 fraud, whether or not material, that involves management or other employees who have
 a significant role in the registrant's internal control over financial reporting.

---

| | | |
|:---|:---|:---|
| Date: | 03/10/2023 | /s/ Rita Dam |
|  |  | Rita Dam <br> Treasurer/Chief Financial Officer |

---

## Exhibit 99.906

EX.99.906CERT

**Certification of CEO and CFO Pursuant to** 

**18 U.S.C. Section 1350,** 

**as Adopted Pursuant to** 

**Section 906 of the Sarbanes-Oxley Act of 2002**

In connection with the report on Form N-CSR of the **<u>Kennedy Capital Funds,</u>** each a series of Investment Managers Series Trust II (the "Trust"), for the year ended December 31, 2022 (the "Report"), Terrance Gallagher, as President/Chief Executive Officer of the Trust, and Rita Dam, as Treasurer/Chief Financial Officer of the Trust, each hereby certifies, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to the best of his or her knowledge:

(1) the
 Report fully complies with the requirements of Section 13 (a) or 15 (d) of the Securities Exchange Act of 1934; and

(2) the
 information contained in the Report fairly presents, in all material respects, the financial condition and results of operations
 of the Company.

---

| | |
|:---|:---|
| Date | 03/10/2023 |
| /s/ Terrance Gallagher | /s/ Terrance Gallagher |
| Terrance Gallagher | Terrance Gallagher |
| President/Chief Executive Officer | President/Chief Executive Officer |
| /s/ Rita Dam | /s/ Rita Dam |
| Rita Dam | Rita Dam |
| Treasurer/Chief Financial Officer | Treasurer/Chief Financial Officer |

---

This statement accompanies this report on Form N-CSR pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and shall not be deemed as filed by Investment Managers Series Trust II for purposes of Section 18 of the Securities Exchange Act of 1934.