# EDGAR Filing Document

**Accession Number:** 0001039667
**File Stem:** 0001580642-23-001258
**Filing Date:** 2023-3
**Character Count:** 305876
**Document Hash:** 8f335af05fe8479f45e0e1ff1b6f6967
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001580642-23-001258.hdr.sgml**: 20230306

**ACCESSION NUMBER**: 0001580642-23-001258

**CONFORMED SUBMISSION TYPE**: N-CSR

**PUBLIC DOCUMENT COUNT**: 17

**CONFORMED PERIOD OF REPORT**: 20221231

**FILED AS OF DATE**: 20230306

**DATE AS OF CHANGE**: 20230306

**EFFECTIVENESS DATE**: 20230306

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** SPIRIT OF AMERICA INVESTMENT FUND INC
- **CENTRAL INDEX KEY:** 0001039667
- **IRS NUMBER:** 000000000
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** N-CSR
- **SEC ACT:** 1940 Act
- **SEC FILE NUMBER:** 811-08231
- **FILM NUMBER:** 23708450

**BUSINESS ADDRESS:**
- **STREET 1:** 477 JERICHO TURNPIKE
- **CITY:** SYOSSET
- **STATE:** NY
- **ZIP:** 11791
- **BUSINESS PHONE:** 5163905555

**MAIL ADDRESS:**
- **STREET 1:** 477 JERICHO TURNPIKE
- **CITY:** SYOSSET
- **STATE:** NY
- **ZIP:** 11791

## Series and Classes Contracts Data

### SPIRIT OF AMERICA REAL ESTATE INCOME AND GROWTH FUND (Series ID: S000001448)

| Class ID   | Class Name           | Ticker Symbol   |
|:---|:---|:---|
| C000003855 | CLASS A              | SOAAX           |
| C000003856 | CLASS B              | SOABX           |
| C000167226 | Class C              | SACRX           |
| C000219377 | Institutional Shares | SOIAX           |

### SPIRIT OF AMERICA LARGE CAP VALUE FUND (Series ID: S000001449)

| Class ID   | Class Name           | Ticker Symbol   |
|:---|:---|:---|
| C000003857 | CLASS A              | SOAVX           |
| C000167227 | Class C              | SACVX           |
| C000219378 | Institutional Shares | SOIVX           |

### Spirit of America Municipal Tax Free Bond Fund (Series ID: S000021071)

| Class ID   | Class Name           | Ticker Symbol   |
|:---|:---|:---|
| C000059931 | Class A Shares       | SOAMX           |
| C000167228 | Class C              | SACFX           |
| C000219379 | Institutional Shares | SOIMX           |

### Spirit of America Income Fund (Series ID: S000024753)

| Class ID   | Class Name           | Ticker Symbol   |
|:---|:---|:---|
| C000073513 | Class A              | SOAIX           |
| C000167229 | Class C              | SACTX           |
| C000219380 | Institutional Shares | SOITX           |

### Spirit of America Income and Opportunity Fund (Series ID: S000041401)

| Class ID   | Class Name           | Ticker Symbol   |
|:---|:---|:---|
| C000128397 | Class A              | SOAOX           |
| C000167230 | Class C              | SACOX           |
| C000219381 | Institutional Shares | SOIOX           |

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>811-08231</u>

**<u>SPIRIT OF AMERICA INVESTMENT FUND, INC.</u>**

(Exact name of registrant as specified in charter)

477 Jericho Turnpike

P.O. Box 9006

<u>Syosset, NY 11791-9006</u>

(Address of principal executive offices) (Zip code)

Mr. David Lerner

David Lerner Associates

477 Jericho Turnpike

P.O. Box 9006

<u>Syosset, NY 11791-9006</u>

(Name and address of agent for service)

Registrant's telephone number, including area code: <u>1-516-390-5565</u> 

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

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

Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection and policymaking roles.

A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget ("OMB") control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.

**Item 1. Reports to Stockholders.**

(a) ---

| | |
|:---|:---|
| ![(SPIRIT OF AMERICA LOGO)](sf001_v1.jpg) |  |
| **ANNUAL REPORT** |  |
| December 31, 2022 |  |
|  | &nbsp;&nbsp;&nbsp;&nbsp;Spirit of America Real Estate Income and Growth Fund |
|  | &nbsp;&nbsp;&nbsp;&nbsp;Spirit of America Large Cap Value Fund |
|  | &nbsp;&nbsp;&nbsp;&nbsp;Spirit of America Municipal Tax Free Bond Fund |
|  | &nbsp;&nbsp;&nbsp;&nbsp;Spirit of America Income Fund |
|  | &nbsp;&nbsp;&nbsp;&nbsp;Spirit of America Income & Opportunity Fund |

---

---

| |
|:---|
| **SPIRIT OF AMERICA REAL ESTATE INCOME AND GROWTH FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED)** |

---

Dear Shareholder,

We are happy to have this opportunity to share with you, our shareholders, the Annual Report for the Spirit of America Real Estate Income and Growth Fund. This includes a review of our performance in 2022, in addition to a discussion of the economy, and our thoughts on the securities markets.

At Spirit of America Investment Funds, our team takes a comprehensive approach to investing. We analyze economic trends, and evaluate industries that could benefit from those trends. Based upon this analysis, we select investments we believe are positioned to provide the best potential returns. Our portfolio managers and analysts utilize their extensive backgrounds in their respective fields to carefully scrutinize each security in the portfolio on an ongoing basis.

The Spirit of America Real Estate Income and Growth Fund's investment philosophy continues to seek enduring value in the physical structures of America by investing in real estate companies which own data centers, industrial warehouses, hotels, apartments, and other income producing assets. Our goal is to maximize total return to shareholders by benefitting from the income generated through the rental of these properties, while also participating in potential long term appreciation of asset values.

**We thank you for your support, and look forward to your future investment in the Spirit of America Real Estate Income and Growth Fund.**

Sincerely,

---

| | | | |
|:---|:---|:---|:---|
| ![(PHOTO OF DAVID LERNER)](sf002_v1.jpg) | ![(-s-David Lerner)](sf003_v1.jpg)<br>David Lerner<br> *President*<br> *Spirit of America Investment Fund, Inc.* | ![(PHOTO OF DOUG REVELLO)](sf004_v1.jpg) | ![(-s-Doug Revello)](sf005_v1.jpg)<br>Doug Revello<br> *Portfolio Manager* |

---

---

| |
|:---|
| **SPIRIT OF AMERICA REAL ESTATE INCOME AND GROWTH FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

---

**Economic Summary**

At the end of December, the U.S. Bureau of Economic Analysis released its final reading of the third quarter 2022 gross domestic product (GDP), to show an increase in the annual growth rate of 3.2%, higher than previous estimates, at least temporarily easing recession fears. GDP, a sum of all goods and services, unexpectedly rose from the previously reported 2.9%. The stronger than previously estimated growth in the third quarter GDP follows consecutive negative quarters to start the year, meeting a commonly accepted definition of a recession. The growth in the third quarter came in large part due to a narrowing trade deficit, which economists expected and consider to be a one-off occurrence that won't be repeated in future quarters. Consumer spending as measured through personal consumption expenditures increased at just a 1.4% pace in the quarter, down from 2% in the second quarter. Gross private domestic investment fell 8.5%, continuing a trend after falling 14.1% in the second quarter. Residential investment, a gauge of homebuilding, tumbled 26.4% after falling 17.8% in the second quarter, reflecting a sharp slowdown in the real estate market. On the plus side, exports, which add to GDP, rose 14.4%, while imports, which subtract, dropped 6.9%. There was some good news on the inflation front. The chain-weighted price index, a cost-of-living measure that adjusts for consumer behavior, rose 4.1% for the quarter, well below the Dow Jones estimates for a 5.3% gain, due in large part to falling energy prices. Also, the personal consumption expenditures price index, a key inflation measure for the Federal Reserve, increased 4.2%, down sharply from 7.3% in the prior quarter.

Job growth decelerated in December but was still better than expected, a sign that labor market remains strong even as the Federal Reserve tries to slow economic growth. Nonfarm payrolls increased by 223,000 for the month, above the Dow Jones estimate for 200,000, while the unemployment rate fell to 3.5%. The job growth marked a decrease from the 256,000 gain in November, which was revised down 7,000 from the initial estimate. Wage growth was less than expected in an indication that inflation pressures could be weakening. By sector, leisure and hospitality led with 67,000 added jobs. The relative strength in job growth comes despite repeated efforts by the Federal Reserve to slow the economy, the labor market in particular. The central bank raised its benchmark interest rate seven times in 2022 for a total of 4.25 percentage points, with more increases likely on the way.

During its December meeting, The Federal Open Market Committee (FOMC) raised its benchmark interest rate to its highest level in 15 years, indicating the fight against inflation is not over despite some promising signs lately. Keeping with expectations, the rate setting FOMC voted to boost the overnight borrowing rate half a percentage point, taking it to a targeted range between 4.25% and 4.5%. The increase broke a string of four straight three-quarter point hikes, the most aggressive policy moves since the early 1980s. Along with the increase came an indication that officials expect to keep rates higher through next year, with no reductions until 2024. Fed officials believe raising rates helps take money out of the economy, reducing demand and ultimately pulling prices lower after inflation spiked to its highest level in more than 40 years. During a news conference, Chairman Jerome Powell said it was important to keep up the fight against inflation so that the expectation of higher prices does not become entrenched.

The new level marks the highest the fed funds rate has been since December 2007, just ahead of the global financial crisis and as the Federal Reserve was loosening policy aggressively to combat what would turn into the worst economic downturn since the Great Depression. Members penciled in increases for the funds rate until it hits a median level of 5.1% next year, equivalent to a target range of 5-5.25%. The FOMC lowered its growth targets for 2023, putting expected GDP gains at just 0.5%, barely above what would be considered a recession.

**Market Commentary**

In 2022 the FTSE Nareit All Equity REITs Index delivered a total return of (24.95)% In an extremely challenging year for the markets, the leading REIT sector was the Diversified Sector which finished with a (9.02)% for the year. This sector is comprised of REITS that are able to own and manage a mix of property types while collecting rent from these tenants. Having that broad exposure was able to help alleviate the market losses for properties in that sector. It has been a difficult year for REITs and stocks in general as interest rates continue to rise. REITs fundamentally borrow money to buy properties and charge rents and as rates rise thus weakening the economy it makes those properties more expensive while also limiting the ability of Americans to pay rent.

On March 11, 2020, the World Health Organization announced that it had made the assessment that COVID-19 can be characterized as a pandemic. The impact of COVID-19, and other infectious illness outbreaks that may arise in the future, could adversely affect the economies of many nations or the entire global economy, individual issuers and capital markets

2 SPIRIT OF AMERICA

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| |
|:---|
| **SPIRIT OF AMERICA REAL ESTATE INCOME AND GROWTH FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

---

in ways that cannot necessarily be foreseen. Public health crises caused by the COVID-19 outbreak may exacerbate other pre-existing political, social and economic risks in certain countries or globally. The duration of the COVID-19 outbreak and its effects cannot be determined with certainty.

**Fund Summary**

The Spirit of America Real Estate Income and Growth Fund, SOAAX (the "Fund"), aims to provide high total return through a combination of capital appreciation and dividend income.

As of December 31, 2022 the Fund was invested over 95% in REITs. A REIT, or Real Estate Investment Trust, is a company that owns or finances income-producing real estate. REITs provide investors regular income streams, diversification and long-term capital appreciation. REITs typically pay out all of their taxable income as dividends to shareholders. REITs are tied to almost all aspects of the economy, including apartments, hospitals, hotels, industrial facilities, infrastructure, nursing homes, offices, shopping malls, storage centers, and student housing.

**Return Summary**

The Fund had a total one year return of (27.36)% (no load, gross of fees). This compares to the (24.51)% returned by its benchmark, the MSCI US REIT Index, for the same period. That result does not take the sales charge and expense ratio into account.

The material factors that affected the Fund were market direction and security selection. The Funds underperformance was primarily due to the REIT market that was hit hard with rising interest rates and the world readjusting to post pandemic living. The Fund was overweight in the Industrial sector as compared to its MSCI US REIT benchmark. That was one of the worst performing sectors in the REITs market, with Industrial having a total return of (37.22)% for the Fund compared to (28.99)% return in the benchmark. The Fund did not rely on derivatives or leverage strategies.

The value of the Fund and the securities in which the Fund invests may be adversely affected by impacts caused by COVID-19 and other epidemics and pandemics that may arise in the future.

Including sales charge and expenses, as of December 31, 2022 the Fund's one year return was (32.22)%. The annualized five year return was 1.72% per year, while the average annual return over the past ten years was 4.89%.

---

| |
|:---|
| **SPIRIT OF AMERICA REAL ESTATE INCOME AND GROWTH FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

---

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| | | |
|:---|:---|:---|
| **Summary of Portfolio Holdings** (Unaudited) | **Summary of Portfolio Holdings** (Unaudited) | **Summary of Portfolio Holdings** (Unaudited) |
| As of December 31, 2022 | As of December 31, 2022 | As of December 31, 2022 |
| Residential REITs | 21.71% | $19623634 |
| Industrial REITs | 17.76% | 16067991 |
| Retail REITs | 12.91% | 11681499 |
| Self-Storage REITs | 9.37% | 8474845 |
| Data Center REITs | 8.12% | 7341117 |
| Gaming REITs | 5.29% | 4787892 |
| Health Care REITs | 4.29% | 3879773 |
| Infrastructure REITs | 3.92% | 3542801 |
| Hotel REITs | 3.64% | 3295766 |
| Office REITs | 3.63% | 3286559 |
| Multi Asset Class REITs | 3.20% | 2895226 |
| Energy | 2.55% | 2307936 |
| Specialty REITs | 1.39% | 1258324 |
| Mortage Finance | 1.23% | 1108979 |
| Midstream - Oil & Gas | 0.32% | 292247 |
| Financials | 0.27% | 244827 |
| Municipal Bonds | 0.17% | 150992 |
| Money Market Funds | 0.12% | 109524 |
| Timber REITs | 0.11% | 102300 |
| **Total Investments** | 100.00% | $90452232 |

---

4 SPIRIT OF AMERICA

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| |
|:---|
| **SPIRIT OF AMERICA REAL ESTATE INCOME AND GROWTH FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

---

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| | | | | |
|:---|:---|:---|:---|:---|
| **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 |
|  | **1 Year** | **5 Year** | **10 Year** | **Expense Ratios<sup>4</sup>** |
| Class A Shares - with load | (32.22)% | 1.72% | 4.89% | 1.52% |
| Class A Shares - no load | (28.46)% | 2.83% | 5.46% | 1.52% |
| Class C Shares - with load<sup>1</sup> | (29.64)% | 2.11% | 4.71% | 2.22% |
| Class C Shares - no load<sup>1</sup> | (28.98)% | 2.11% | 4.71% | 2.22% |
| Institutional Shares<sup>2</sup> | (28.26)% | 3.15% | 5.78% | 1.22% |
| MSCI US REIT Index<sup>3</sup> | (24.51)% | 3.69% | 6.48% |  |

---

*The Fund's past performance does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Total returns, with load, include the 5.25% maximum sales charge for the Class A Shares or the 1.00% maximum deferred sales charge for the Class C Shares.*

*<sup>1</sup>* *Class C Shares commenced operations on March 15, 2016. Prior to March 15, 2016, performance is based on the performance of Class A Shares adjusted for the Class C Shares' 12b-1 fees and contingent deferred sales charge.*

*<sup>2</sup>* *Institutional Shares commenced operations on May 1, 2020. Prior to May 1, 2020, performance is based on the performance of Class A Shares.*

*<sup>3</sup>* *The Morgan Stanley Capital International ("MSCI") US REIT Index is an unmanaged index. The MSCI US REIT Index is a free float- adjusted market capitalization weighted index that is comprised of equity Real Estate Investment Trusts ("REITs") that are included in the MSCI US Investable Market 2500 Index, with the exception of specialty equity REITs that do not generate a majority of their revenue and income from real estate rental and leasing operations. The index represents approximately 85% of the US REIT universe. The performance of an index assumes no transaction costs, taxes, management fees or other expenses. A direct investment in an index is not possible.*

*<sup>4</sup>* *Reflects the expense ratio as disclosed in the Fund's prospectus dated May 1, 2022. Additional information pertaining to the Fund's expense ratios as of December 31, 2022, can be found in the Financial Highlights tables.*

**Fixed Distribution Policy** (Unaudited)

The Board of Directors of the Fund has set a fixed distribution policy whereby the Fund will declare semi-annual distributions comprised of income earned, if any, realized long-term capital gains, if any, and to the extent necessary, return of capital, payable as of June 30 and December 31 of each year in the annual aggregate minimum amount of $0.85 per share. Shareholders should not draw any conclusions about the Fund's investment performance from the amount of these distributions. The Fund's total return based on net asset value is presented in the table above as well as in the Financial Highlights tables.

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|:---|
| **SPIRIT OF AMERICA REAL ESTATE INCOME AND GROWTH FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED)** |

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|:---|
| **Growth of $10,000** (Unaudited) |
| (includes one-time 5.25% maximum sales charge and reinvestment of all distributions) |

---

 

![(LINE GRAPH)](sf006_v1.jpg)

*The chart represents historical performance of a hypothetical investment of $10,000 in the Fund over the past 10 years.*

*Past performance does not guarantee future results. The performance data quoted represents past performance and current returns may be lower or higher. The investment return and net asset value will fluctuate so that an investor's shares, when redeemed may be worth more or less than the original cost. To obtain performance information current to the most recent month-end, please call (800) 452-4892.*

6 SPIRIT OF AMERICA

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|:---|
| **SPIRIT OF AMERICA LARGE CAP VALUE FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED)** |

---

Dear Shareholder,

We welcome this opportunity to share with you, our investors, the Annual Report for the Spirit of America Large Cap Value Fund, along with our thoughts on the market and recent events.

At Spirit of America, we take a comprehensive approach to investing. Our portfolio managers and analysts use their extensive backgrounds in their respective fields to carefully scrutinize each security in the portfolio on an ongoing basis. We evaluate economic trends, we analyze sectors that could benefit from those trends, and finally, invest in companies that we believe possess strong fundamentals.

We believe that investing in sound companies with attractive valuations will help enhance the long-term returns of the Spirit of America Large Cap Value Fund.

The Spirit of America Large Cap Value Fund's investment philosophy continues to be to focus on the large cap value segment of the U.S. equity market. Among the valuation factors used to evaluate these stocks are companies with lower debt ratios than their peer group and companies that are undervalued versus the company's intrinsic worth and future income potential.

**We appreciate your continued support and look forward to your future investment in the Spirit of America Large Cap Value Fund.**

Sincerely,

---

| | | | |
|:---|:---|:---|:---|
| ![(PHOTO OF DAVID LERNER)](sf002_v1.jpg) | ![(-s-David Lerner)](sf003_v1.jpg)<br>David Lerner<br> *President*<br> *Spirit of America Investment Fund, Inc.* | ![(PHOTO OF DOUG REVELLO)](sf004_v1.jpg) | ![(-s-Doug Revello)](sf005_v1.jpg)<br>Doug Revello<br> *Portfolio Manager* |

---

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| |
|:---|
| **SPIRIT OF AMERICA LARGE CAP VALUE FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

---

**Economic Summary**

At the end of December, the U.S. Bureau of Economic Analysis released its final reading of the third quarter 2022 gross domestic product (GDP), to show an increase in the annual growth rate of 3.2%, higher than previous estimates, at least temporarily easing recession fears. GDP, a sum of all goods and services, unexpectedly rose from the previously reported 2.9%. The stronger than previously estimated growth in the third quarter GDP follows consecutive negative quarters to start the year, meeting a commonly accepted definition of a recession. The growth in the third quarter came in large part due to a narrowing trade deficit, which economists expected and consider to be a one-off occurrence that won't be repeated in future quarters. Consumer spending as measured through personal consumption expenditures increased at just a 1.4% pace in the quarter, down from 2% in the second quarter. Gross private domestic investment fell 8.5%, continuing a trend after falling 14.1% in the second quarter. Residential investment, a gauge of homebuilding, tumbled 26.4% after falling 17.8% in the second quarter, reflecting a sharp slowdown in the real estate market. On the plus side, exports, which add to GDP, rose 14.4%, while imports, which subtract, dropped 6.9%. There was some good news on the inflation front. The chain-weighted price index, a cost-of-living measure that adjusts for consumer behavior, rose 4.1% for the quarter, well below the Dow Jones estimates for a 5.3% gain, due in large part to falling energy prices. Also, the personal consumption expenditures price index, a key inflation measure for the Federal Reserve, increased 4.2%, down sharply from 7.3% in the prior quarter.

Job growth decelerated in December but was still better than expected, a sign that labor market remains strong even as the Federal Reserve tries to slow economic growth. Nonfarm payrolls increased by 223,000 for the month, above the Dow Jones estimate for 200,000, while the unemployment rate fell to 3.5%. The job growth marked a decrease from the 256,000 gain in November, which was revised down 7,000 from the initial estimate. Wage growth was less than expected in an indication that inflation pressures could be weakening. By sector, leisure and hospitality led with 67,000 added jobs. The relative strength in job growth comes despite repeated efforts by the Federal Reserve to slow the economy, the labor market in particular. The central bank raised its benchmark interest rate seven times in 2022 for a total of 4.25 percentage points, with more increases likely on the way.

During its December meeting, The Federal Open Market Committee (FOMC) raised its benchmark interest rate to its highest level in 15 years, indicating the fight against inflation is not over despite some promising signs lately. Keeping with expectations, the rate setting FOMC voted to boost the overnight borrowing rate half a percentage point, taking it to a targeted range between 4.25% and 4.5%. The increase broke a string of four straight three-quarter point hikes, the most aggressive policy moves since the early 1980s. Along with the increase came an indication that officials expect to keep rates higher through next year, with no reductions until 2024. Fed officials believe raising rates helps take money out of the economy, reducing demand and ultimately pulling prices lower after inflation spiked to its highest level in more than 40 years. During a news conference, Chairman Jerome Powell said it was important to keep up the fight against inflation so that the expectation of higher prices does not become entrenched.

The new level marks the highest the fed funds rate has been since December 2007, just ahead of the global financial crisis and as the Federal Reserve was loosening policy aggressively to combat what would turn into the worst economic downturn since the Great Depression. Members penciled in increases for the funds rate until it hits a median level of 5.1% next year, equivalent to a target range of 5-5.25%. The FOMC lowered its growth targets for 2023, putting expected GDP gains at just 0.5%, barely above what would be considered a recession.

**Market Commentary**

When it came to market performance and investment returns in 2022 there was one clear, dominant force driving the markets and that was: inflation. We saw the highest inflation numbers in over 40 years which led to the Federal Reserve instituting an unprecedented series of interest rate hikes. These hikes were felt across both fixed income and equity markets. The Morningstar U.S. Market Index lost 19.4% in 2022, leaving the stock market with its biggest annual loss since 2008, when it lost 38.4%. Investor concerns about rising interest rates, slowing economic growth and persistently high inflation triggered sustained bouts of selling throughout 2022. Tech stocks and growth names in communication services were hit the hardest. These sectors were among the worst performing segments for 2022. Information technology stocks from the S&P 500 were down 27% for the year, while communications services stocks were down more than 30% in 2022. We now move to the more positive side of the ledger for 2022. Of the 11 sectors in the S&P 500, just one posted a positive return for the year and that was energy. Overall it was a rough year for the markets and investors alike.

8 SPIRIT OF AMERICA

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|:---|
| **SPIRIT OF AMERICA LARGE CAP VALUE FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

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On March 11, 2020, the World Health Organization announced that it had made the assessment that COVID-19 can be characterized as a pandemic. The impact of COVID-19, and other infectious illness outbreaks that may arise in the future, could adversely affect the economies of many nations or the entire global economy, individual issuers and capital markets in ways that cannot necessarily be foreseen. Public health crises caused by the COVID-19 outbreak may exacerbate other pre-existing political, social and economic risks in certain countries or globally. The duration of the COVID-19 outbreak and its effects cannot be determined with certainty.

**Fund Summary**

The Spirit of America Large Cap Value Fund, SOAVX (the "Fund"), seeks to provide capital appreciation with a secondary objective of current income. The emphasis of the Fund is focused on investing in a diversified portfolio. We are invested in all 11 sectors on the S&P 500 Index.

The material factors that affected the Fund were market direction, stock selection, and the ongoing COVID-19 pandemic. The value of the Fund and the securities in which the Fund invests may be adversely affected by impacts caused by COVID-19 and other epidemics and pandemics that may arise in the future.

The Fund does not make decisions based on complicated algorithms. We are not a hedge fund. At Spirit of America, technology works for us; we do not work for technology. We do not receive buy signals from a computer generated model. We invest the old-fashioned way – utilizing hard work, intensive research, and intuitive decisions. Our decisions are based on the experience of our dedicated team of professionals.

**Return Summary**

The Fund had a total return of (16.45)% (no load, gross of fees) in 2022. This compares to its benchmark, the S&P 500 Index, which was down (18.11)% for the year 2022.

The material factors that affected the Fund's outperformance of its benchmark, the S&P 500 Index, were market direction and security selection. The Fund continues to invest with a value approach looking for companies with attractive valuations. The Fund outweighed the S&P by 8.18% in the Energy sector which was the only sector in the S&P 500 to finish the year in positive territory. Another reason for the Fund's outperformance over the benchmark was the Consumer Discretionary sector ending the year with a total return down more than (30%) where the Fund was over five percent less concentrated in that segment than the S&P 500. This was due to the security selection and sector positioning within the Fund.

Including sales charge and expenses, as of December 31, 2022 the Fund's one year return was (22.03)%. The annualized five year return was 6.79% per year, while the average annual return over the past ten years was 9.58%.

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| |
|:---|
| **SPIRIT OF AMERICA LARGE CAP VALUE FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

---

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| | | |
|:---|:---|:---|
| **Summary of Portfolio Holdings** (Unaudited)<br> As of December 31, 2022 | **Summary of Portfolio Holdings** (Unaudited)<br> As of December 31, 2022 | **Summary of Portfolio Holdings** (Unaudited)<br> As of December 31, 2022 |
| Technology | 25.92% | $31948397 |
| Health Care | 14.20% | 17508905 |
| Energy | 14.00% | 17256273 |
| Industrials | 10.98% | 13538757 |
| Consumer Staples | 9.29% | 11450847 |
| Financials | 8.73% | 10760171 |
| Communications | 4.94% | 6093266 |
| Utilities | 4.08% | 5028846 |
| Consumer Discretionary | 3.70% | 4557326 |
| Real Estate Investment Trusts (REITs) | 2.27% | 2799078 |
| Materials | 1.89% | 2335342 |
| **Total Investments** | 100.00% | $123277208 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 |
|  | **1 Year** | **5 Year** | **10 Year** | **Expense Ratios<sup>4</sup>** |
| Class A Shares - with load | (22.03)% | 6.79% | 9.58% | 1.50% |
| Class A Shares - no load | (17.70)% | 7.96% | 10.18% | 1.50% |
| Class C Shares - with load<sup>1</sup> | (19.04)% | 7.20% | 9.39% | 2.20% |
| Class C Shares - no load<sup>1</sup> | (18.29)% | 7.20% | 9.39% | 2.20% |
| Institutional Shares<sup>2</sup> | (17.48)% | 8.28% | 10.51% | 1.20% |
| S&P 500 Index<sup>3</sup> | (18.11)% | 9.42% | 12.56% |  |

---

*The Fund's past performance does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Total returns, with load, include the 5.25% maximum sales charge for the Class A Shares or the 1.00% maximum deferred sales charge for the Class C Shares.*

*<sup>1</sup>* *Class C Shares commenced operations on March 15, 2016. Prior to March 15, 2016, performance is based on the performance of Class A Shares adjusted for the Class C Shares' 12b-1 fees and contingent deferred sales charge.*

*<sup>2</sup>* *Institutional Shares commenced operations on May 1, 2020. Prior to May 1, 2020, performance is based on the performance of Class A Shares.*

*<sup>3</sup>* *The S&P 500 Index is an unmanaged capitalization-weighted index of 500 stocks designed to measure the performance of the broad domestic economy through changes in the aggregate market value of 500 stocks representing all major industries. The performance of an index assumes no transaction costs, taxes, management fees or other expenses. A direct investment in an index is not possible.*

*<sup>4</sup>* *Reflects the expense ratio as disclosed in the Fund's prospectus dated May 1, 2022. Additional information pertaining to the Fund's expense ratios as of December 31, 2022, can be found in the Financial Highlights tables.*

10 SPIRIT OF AMERICA

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| |
|:---|
| **SPIRIT OF AMERICA LARGE CAP VALUE FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

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**Fixed Distribution Policy** (Unaudited)

The Board of Directors of the Fund has set a fixed distribution policy whereby the Fund will declare semi-annual distributions comprised of income earned, if any, realized long-term capital gains, if any, and to the extent necessary, return of capital, payable as of June 30 and December 31 of each year in the annual aggregate minimum amount of $1.40 per share. Shareholders should not draw any conclusions about the Fund's investment performance from the amount of these distributions. The Fund's total return based on net asset value is presented in the table on the prior page as well as in the Financial Highlights tables.

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| |
|:---|
| **SPIRIT OF AMERICA LARGE CAP VALUE FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

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| |
|:---|
| **Growth of $10,000** (Unaudited) |
| (includes one-time 5.25% maximum sales charge and reinvestment of all distributions) |

---

 

![(LINE GRAPH)](sf007_v1.jpg)

*The chart represents historical performance of a hypothetical investment of $10,000 in the Fund over the past 10 years.*

*Past performance does not guarantee future results. The performance data quoted represents past performance and current returns may be lower or higher. The investment return and net asset value will fluctuate so that an investor's shares, when redeemed may be worth more or less than the original cost. To obtain performance information current to the most recent month-end, please call (800) 452-4892.*

12 SPIRIT OF AMERICA

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| |
|:---|
| **SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED)** |

---

Dear Shareholder,

We are very pleased to provide the 2022 Annual report for the Spirit of America Municipal Tax Free Bond Fund. We look forward to continued inflows and further development of the Spirit of America Municipal Tax Free Bond Fund.

Our many years of experience in the municipal bond market have helped us to pursue a balance between yield and quality. Our goal is to continue seeking current income that is exempt from federal income tax, while employing a relatively conservative approach to investing in the municipal market. Although the mandate of the Spirit of America Municipal Tax Free Bond Fund allows it to invest in lower rated securities, at this time, the focus will continue to be investing in bonds which are investment grade.

**We appreciate your support of our fund and look forward to your future investment in the Spirit of America Municipal Tax Free Bond Fund.**

Thank you for being a part of the Spirit of America Family of Funds.

Sincerely,

---

| | | | |
|:---|:---|:---|:---|
| ![(PHOTO OF DAVID LERNER)](sf002_v1.jpg) | ![(-s-David Lerner)](sf003_v1.jpg)<br>David Lerner<br> *President*<br> *Spirit of America Investment Fund, Inc.* | ![(PHOTO OF DOUG REVELLO)](sf008_v1.jpg) | ![(-s-Doug Revello)](sf009_v1.jpg)<br>Mark Reilly<br> *Portfolio Manager* |

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| |
|:---|
| **SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

---

**Economic Summary**

At the end of December, the U.S. Bureau of Economic Analysis released its final reading of the third quarter 2022 gross domestic product (GDP), to show an increase in the annual growth rate of 3.2%, higher than previous estimates, at least temporarily easing recession fears. GDP, a sum of all goods and services, unexpectedly rose from the previously reported 2.9%. The stronger than previously estimated growth in the third quarter GDP follows consecutive negative quarters to start the year, meeting a commonly accepted definition of a recession. The growth in the third quarter came in large part due to a narrowing trade deficit, which economists expected and consider to be a one-off occurrence that won't be repeated in future quarters. Consumer spending as measured through personal consumption expenditures increased at just a 1.4% pace in the quarter, down from 2% in the second quarter. Gross private domestic investment fell 8.5%, continuing a trend after falling 14.1% in the second quarter. Residential investment, a gauge of homebuilding, tumbled 26.4% after falling 17.8% in the second quarter, reflecting a sharp slowdown in the real estate market. On the plus side, exports, which add to GDP, rose 14.4%, while imports, which subtract, dropped 6.9%. There was some good news on the inflation front. The chain-weighted price index, a cost-of-living measure that adjusts for consumer behavior, rose 4.1% for the quarter, well below the Dow Jones estimates for a 5.3% gain, due in large part to falling energy prices. Also, the personal consumption expenditures price index, a key inflation measure for the Federal Reserve, increased 4.2%, down sharply from 7.3% in the prior quarter.

Job growth decelerated in December but was still better than expected, a sign that labor market remains strong even as the Federal Reserve tries to slow economic growth. Nonfarm payrolls increased by 223,000 for the month, above the Dow Jones estimate for 200,000, while the unemployment rate fell to 3.5%. The job growth marked a decrease from the 256,000 gain in November, which was revised down 7,000 from the initial estimate. Wage growth was less than expected in an indication that inflation pressures could be weakening. By sector, leisure and hospitality led with 67,000 added jobs. The relative strength in job growth comes despite repeated efforts by the Federal Reserve to slow the economy, the labor market in particular. The central bank raised its benchmark interest rate seven times in 2022 for a total of 4.25 percentage points, with more increases likely on the way.

During its December meeting, The Federal Open Market Committee (FOMC) raised its benchmark interest rate to its highest level in 15 years, indicating the fight against inflation is not over despite some promising signs lately. Keeping with expectations, the rate setting FOMC voted to boost the overnight borrowing rate half a percentage point, taking it to a targeted range between 4.25% and 4.5%. The increase broke a string of four straight three-quarter point hikes, the most aggressive policy moves since the early 1980s. Along with the increase came an indication that officials expect to keep rates higher through next year, with no reductions until 2024. Fed officials believe raising rates helps take money out of the economy, reducing demand and ultimately pulling prices lower after inflation spiked to its highest level in more than 40 years. During a news conference, Chairman Jerome Powell said it was important to keep up the fight against inflation so that the expectation of higher prices does not become entrenched.

The new level marks the highest the fed funds rate has been since December 2007, just ahead of the global financial crisis and as the Federal Reserve was loosening policy aggressively to combat what would turn into the worst economic downturn since the Great Depression. Members penciled in increases for the funds rate until it hits a median level of 5.1% next year, equivalent to a target range of 5-5.25%. The FOMC lowered its growth targets for 2023, putting expected GDP gains at just 0.5%, barely above what would be considered a recession.

**Market Commentary**

Total 2022 municipal bond sale volume plunged 21% from 2021, as issuers were flush with cash and rising interest rates stymied refundings and taxable issuances. December municipal bond issuance, at $17.165 billion, also disappointed, dropping 58.1% from the same period a year earlier. Most firms at the end of 2021 estimated total issuance for 2022 would fall between $390 billion and $550 billion, basing their forecasts on factors like the new infrastructure law, interest rate expectations and monetary policy, global economic recovery and future tax policy. But Russia's invasion of Ukraine added a major macroeconomic concern to the mix, which aside from humanitarian costs, amplified supply-chain problems and drove up fossil fuel costs and inflation around the globe. Tax-exempt issuance dropped 10.9% to $309.6 billion from $347.6 billion in 2022. Taxable issuance dropped 56.4% to $52.7 billion from $120.8 billion in 2021.

14 SPIRIT OF AMERICA

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| |
|:---|
| **SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

---

The 30 Year US Treasury yield moved from a 2.03% on 1/3/22 to a 3.97% on 12/31/22. The MMD Tax-Free 30 Year AAA yield began the year at a 1.50% on 1/3/22 and ended the year at a 3.58% on 12/31/22. The U.S.10-year Treasury yield finished 2022 at 3.88% in a year marked by prices rising at its fastest pace in 40 years and the Federal Reserve aggressively tightening its monetary policy. The 10-year yield started the year at 1.63%. The yield hit a high of 4.24% in October.

On March 11, 2020, the World Health Organization announced that it had made the assessment that COVID-19 can be characterized as a pandemic. The impact of COVID-19, and other infectious illness outbreaks that may arise in the future, could adversely affect the economies of many nations or the entire global economy, individual issuers and capital markets in ways that cannot necessarily be foreseen. Public health crises caused by the COVID-19 outbreak may exacerbate other pre-existing political, social and economic risks in certain countries or globally. The duration of the COVID-19 outbreak and its effects cannot be determined with certainty.

**Fund Summary**

The Spirit of America Municipal Tax Free Bond Fund, (SOAMX) (the "Fund"), seeks to provide high current income that is exempt from federal income tax, including alternative minimum tax. The Fund focuses on quality credits in the municipal market. We are targeting a balance between attractive yield and quality investments.

The Fund can invest in lower rated securities; however we have kept our focus on investing in bonds that are investment grade. Our plan is to continue with this relatively conservative approach to investing in the municipal market.

In keeping with this philosophy, the Fund has been able to maintain attractive yields without venturing into the speculative, below investment grade, segment of the municipal market. As of December 31, 2022, approximately 97.51% of the portfolio was above investment grade, with 97.51% rated "A" or better. The average rating of holdings in the Fund is Aa2/AA.

One of the Fund's goals has been to diversify with respect to geographic location and sector. As of the end of December 2022, the Fund consists of 151 different positions varied across 28 states and the District of Columbia. The holdings range throughout various sectors, including areas such as: general obligations, healthcare, education, industrial development and other public improvement bonds.

While it certainly has not been a primary goal of the Fund, we have been able to maintain a percentage of bonds in states and territories which have a state tax exemption in New York, New Jersey and Connecticut, where a majority of our clients reside. Additionally, Puerto Rico bonds are exempt from state tax. Due to the struggles Puerto Rico has been facing, the Fund has actively managed its Puerto Rico holdings. As of December 31, 2022, Puerto Rico holdings now represent 0.00% of the portfolio.

**Return Summary**

The Fund's Net Asset Value (NAV) went from $9.44 to $8.44 during 2022. The Fund is currently at $39,411,873 million in net assets with 1,206 shareholder accounts as of December 31, 2022.

The Fund had a total one year return of (8.04%) (no load, gross of fees) for 2022. This compares to the (8.53%) return of its benchmark, the Bloomberg Municipal Bond Index, for the same period. That result does not take the Fund's sales charge and expense ratio into account. The Fund's slightly better performance relative to the benchmark was largely due to market timing and security selection.

The material factors that affected the Fund were the rise in interest rates in 2022 and the continued investment in high quality securities. As a result of the Fund's focus on quality, it had very little exposure to Puerto Rico whose challenges have been well documented. The Fund does not rely on derivatives or leverage strategies. The value of the Fund and the securities may be adversely affected by impacts caused by COVID-19 and other epidemics and pandemics that may arise in the future.

Including the sales charge and expenses, as of December 31, 2022, the Fund's one year return was (13.19%). The Fund had an annualized five year return of (0.77%) and an annualized return since inception of 2.34%.

---

| |
|:---|
| **SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

---

Our plan is to proceed with the same strategy that we have utilized since the Fund's inception. We will continue to seek out municipal bonds that provide a balance between credit risk and the potential to offer high current income and consistently attractive yields.

*Ratings are provided by Moody's Investor Services and Standard & Poor's.*

*The Moody's ratings in the following ratings explanations are in parenthesis.*

*AAA (Aaa) - The highest rating assigned by Moody's and S&P. Capacity to pay interest and repay principal is extremely strong. AA (Aa) - Debt has a very strong capacity to pay interest and repay principal and differs from the highest rated issues only in a small degree.*

*A - Debt rated "A" has a strong capacity to pay interest and repay principal, although it is somewhat more susceptible to the adverse effects of changes in circumstances and economic conditions than debt in higher-rated categories.*

*BBB (Baa) - Debt is regarded as having an adequate capacity to pay interest and repay principal. These ratings by Moody's and S&P are the "cut-off" for a bond to be considered investment grade. Whereas debt normally exhibits adequate protection parameters, adverse economic conditions or changing circumstances are more likely to lead to a weakened capacity to pay interest and repay principal in this category than in higher-rated categories.*

*BB (Bb), B, CCC (Ccc), CC (Cc), C - Debt rated in these categories is regarded as having predominantly speculative characteristics with respect to capacity to pay interest and repay principal. "BB" indicates the least degree of speculation and*

*"C" the highest. While such debt will likely have some quality and protective characteristics, these are outweighed by large uncertainties or market exposure to adverse conditions and are not considered to be investment grade.*

*D - Debt rated "D" is in payment default. This rating category is used when interest payments or principal payments are not made on the date due, even if the applicable grace period has not expired, unless S&P believes that such payments will be made during such grace period.*

*Ratings are subject to change.*

*Ratings apply to the bonds in the portfolio. They do not remove market risk associated with the fund.*

*Ratings are based on Moody's and S&P, as applicable. Credit ratings are based largely on the rating agency's investment analysis at the time of rating and the rating assigned to any particular security is not necessarily a reflection of the issuer's current financial condition. The rating assigned to a security by a rating agency does not necessarily reflect its assessment of the volatility of a security's market value or of the liquidity of an investment in the security. If securities are rated differently by the rating agencies, the higher of the two rating is applied thus improving the overall evaluation of the portfolio.*

16 SPIRIT OF AMERICA

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| |
|:---|
| **SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED)(CONT.)** |

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**Summary of Portfolio Holdings** (Unaudited)<br> As of December 31, 2022

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| | | |
|:---|:---|:---|
| New York | 19.6% | $7779623 |
| Texas | 12.85% | 5101791 |
| Pennsylvania | 11.59% | 4596398 |
| Florida | 8.22% | 3258776 |
| California | 7.03% | 2788588 |
| Connecticut | 6.59% | 2614340 |
| Massachusetts | 4.62% | 1834572 |
| Indiana | 3.37% | 1335919 |
| New Jersey | 3.34% | 1325223 |
| District of Columbia | 2.62% | 1038880 |
| Missouri | 2.2% | 870909 |
| Illinois | 2.12% | 839782 |
| Nevada | 1.84% | 729154 |
| Maine | 1.58% | 626036 |
| Minnesota | 1.49% | 591160 |

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| | | |
|:---|:---|:---|
| Georgia | 1.42% | $564760 |
| Arizona | 1.36% | 539753 |
| Utah | 1.3% | 517051 |
| Michigan | 1.15% | 454365 |
| Maryland | 0.96% | 380003 |
| Tennessee | 0.9% | 355298 |
| South Dakota | 0.72% | 287006 |
| Iowa | 0.68% | 267817 |
| Virginia | 0.65% | 258389 |
| Vermont | 0.57% | 225021 |
| North Carolina | 0.52% | 204786 |
| Louisiana | 0.25% | 100140 |
| North Dakota | 0.25% | 100341 |
| Wisconsin | 0.21% | 81497 |
| **Total Investments** | 100.0% | $39667378 |

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| |
|:---|
| **SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 |
|  |  |  |  | **Expense Ratios<sup>4</sup>** | **Expense Ratios<sup>4</sup>** |
|  |  |  |  |  | **With Applicable** |
|  | **1 Year** | **5 Year** | **10 Year** | **Gross** | **Waivers** |
| Class A Shares - with load | (13.19)% | (0.77)% | 0.73% | 1.11% | 0.91% |
| Class A Shares - no load | (8.87)% | 0.20% | 1.22% | 1.11% | 0.91% |
| Class C Shares - with load<sup>1</sup> | (10.55)% | (0.65)% | 0.33% | 1.96% | 1.76% |
| Class C Shares - no load<sup>1</sup> | (9.66)% | (0.65)% | 0.33% | 1.96% | 1.76% |
| Institutional Shares<sup>2</sup> | (8.75)% | 0.35% | 1.37% | 0.96% | 0.76% |
| Bloomberg Municipal Bond Index<sup>3</sup> | (8.53)% | 1.25% | 2.13% |  |  |

---

 

*The Fund's past performance does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Total returns, with load, include the 4.75% maximum sales charge for the Class A Shares or the 1.00% maximum deferred sales charge for the Class C Shares.*

*<sup>1</sup>* *Class C Shares commenced operations on March 15, 2016. Prior to March 15, 2016, performance is based on the performance of Class A Shares adjusted for the Class C Shares' 12b-1 fees and contingent deferred sales charge.*

*<sup>2</sup>* *Institutional Shares commenced operations on May 1, 2020. Prior to May 1, 2020, performance is based on the performance of Class A Shares.*

*<sup>3</sup>* *The Bloomberg Municipal Bond Index is an unmanaged index. The performance of an index assumes no transaction costs, taxes, management fees or other expenses. A direct investment in an index is not possible.*

*<sup>4</sup>* *Reflects the expense ratio as disclosed in the Fund's prospectus dated May 1, 2022. Spirit of America Management Corp. (the "Adviser") has contractually agreed to waive advisory fees and/or reimburse expenses under an Operating Expenses Agreement so that the total operating expenses will not exceed 0.90%, 1.75% and 0.75% of the Class A Shares, Class C Shares and Institutional Shares average daily net assets, respectively, through May 1, 2023. The waiver does not include front end or contingent deferred loads, taxes, interest, dividend expenses, brokerage commissions or expenses incurred in connection with any merger, reorganization, or extraordinary expenses such as litigation. Any amounts waived or reimbursed by the Adviser are subject to reimbursement by the Fund within the following three years, provided the Fund is able to make such reimbursement and remain in compliance with the expense limitations stated above. The Operating Expense Agreement may be terminated at any time, by the Board of Directors, on behalf of the Fund, upon sixty days written notice to the Adviser. Additional information pertaining to the Fund's expense ratios as of December 31, 2022, can be found in the Financial Highlights tables.*

18 SPIRIT OF AMERICA

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| |
|:---|
| **SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

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| |
|:---|
| **Growth of $10,000** (Unaudited) |
| (includes one-time 4.75% maximum sales charge and reinvestment of all distributions) |

---

![(LINE GRAPH)](sf010_v1.jpg)

*The chart represents historical performance of a hypothetical investment of $10,000 in the Fund over the past 10 years.*

*Past performance does not guarantee future results. The performance data quoted represents past performance and current returns may be lower or higher. The investment return and net asset value will fluctuate so that an investor's shares, when redeemed may be worth more or less than the original cost. To obtain performance information current to the most recent month-end, please call (800) 452-4892.*

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| |
|:---|
| **SPIRIT OF AMERICA INCOME FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED)** |

---

Dear Shareholder,

We are pleased to send you the 2022 Annual Report for the Spirit of America Income Fund. The Spirit of America Income Fund began operations on December 31, 2008.

As 2022 has come to an end, we could not be more proud and excited about the progress of this fund. Our goal is to continue seeking current income while investing in quality fixed income securities.

We firmly maintain our philosophy that striving for the optimal balance between yield and quality will continue to position us to achieve long term success. Our dedication to providing our investors with a fund that will merit their long term commitment and satisfaction has never been stronger. Now is an excellent time to team up with your Investment Counselor to evaluate your portfolio and make sure you are properly positioned to achieve your investment goals.

**Your support is sincerely appreciated and we look forward to your continued confidence in the Spirit of America Income Fund.**

Sincerely,

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| | | | |
|:---|:---|:---|:---|
| ![(PHOTO OF DAVID LERNER)](sf002_v1.jpg) | ![(-s-David Lerner)](sf003_v1.jpg)<br>David Lerner<br> *President*<br> *Spirit of America Investment Fund, Inc.* | ![(PHOTO OF DOUG REVELLO)](sf008_v1.jpg) | ![(-s-Doug Revello)](sf009_v1.jpg)<br>Mark Reilly<br> *Portfolio Manager* |

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20 SPIRIT OF AMERICA

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| |
|:---|
| **SPIRIT OF AMERICA INCOME FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

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**Economic Summary**

At the end of December, the U.S. Bureau of Economic Analysis released its final reading of the third quarter 2022 gross domestic product (GDP), to show an increase in the annual growth rate of 3.2%, higher than previous estimates, at least temporarily easing recession fears. GDP, a sum of all goods and services, unexpectedly rose from the previously reported 2.9%. The stronger than previously estimated growth in the third quarter GDP follows consecutive negative quarters to start the year, meeting a commonly accepted definition of a recession. The growth in the third quarter came in large part due to a narrowing trade deficit, which economists expected and consider to be a one-off occurrence that won't be repeated in future quarters. Consumer spending as measured through personal consumption expenditures increased at just a 1.4% pace in the quarter, down from 2% in the second quarter. Gross private domestic investment fell 8.5%, continuing a trend after falling 14.1% in the second quarter. Residential investment, a gauge of homebuilding, tumbled 26.4% after falling 17.8% in the second quarter, reflecting a sharp slowdown in the real estate market. On the plus side, exports, which add to GDP, rose 14.4%, while imports, which subtract, dropped 6.9%. There was some good news on the inflation front. The chain-weighted price index, a cost-of-living measure that adjusts for consumer behavior, rose 4.1% for the quarter, well below the Dow Jones estimates for a 5.3% gain, due in large part to falling energy prices. Also, the personal consumption expenditures price index, a key inflation measure for the Federal Reserve, increased 4.2%, down sharply from 7.3% in the prior quarter.

Job growth decelerated in December but was still better than expected, a sign that labor market remains strong even as the Federal Reserve tries to slow economic growth. Nonfarm payrolls increased by 223,000 for the month, above the Dow Jones estimate for 200,000, while the unemployment rate fell to 3.5%. The job growth marked a decrease from the 256,000 gain in November, which was revised down 7,000 from the initial estimate. Wage growth was less than expected in an indication that inflation pressures could be weakening. By sector, leisure and hospitality led with 67,000 added jobs. The relative strength in job growth comes despite repeated efforts by the Federal Reserve to slow the economy, the labor market in particular. The central bank raised its benchmark interest rate seven times in 2022 for a total of 4.25 percentage points, with more increases likely on the way.

During its December meeting, The Federal Open Market Committee (FOMC) raised its benchmark interest rate to its highest level in 15 years, indicating the fight against inflation is not over despite some promising signs lately. Keeping with expectations, the rate setting FOMC voted to boost the overnight borrowing rate half a percentage point, taking it to a targeted range between 4.25% and 4.5%. The increase broke a string of four straight three-quarter point hikes, the most aggressive policy moves since the early 1980s. Along with the increase came an indication that officials expect to keep rates higher through next year, with no reductions until 2024. Fed officials believe raising rates helps take money out of the economy, reducing demand and ultimately pulling prices lower after inflation spiked to its highest level in more than 40 years. During a news conference, Chairman Jerome Powell said it was important to keep up the fight against inflation so that the expectation of higher prices does not become entrenched.

The new level marks the highest the fed funds rate has been since December 2007, just ahead of the global financial crisis and as the Federal Reserve was loosening policy aggressively to combat what would turn into the worst economic downturn since the Great Depression. Members penciled in increases for the funds rate until it hits a median level of 5.1% next year, equivalent to a target range of 5-5.25%. The FOMC lowered its growth targets for 2023, putting expected GDP gains at just 0.5%, barely above what would be considered a recession.

**Market Commentary**

When it came to market performance and investment returns in 2022 there was one clear, dominant force driving the markets and that was: inflation. We saw the highest inflation numbers in over 40 years which led to the Federal Reserve instituting an unprecedented series of interest rate hikes. These hikes were felt across both fixed income and equity markets. The Morningstar U.S. Market Index lost 19.4% in 2022, leaving the stock market with its biggest annual loss since 2008, when it lost 38.4%. Investor concerns about rising interest rates, slowing economic growth and persistently high inflation triggered sustained bouts of selling throughout 2022. Tech stocks and growth names in communication services were hit the hardest. These sectors were among the worst performing segments for 2022. Information technology stocks from the S&P 500 were down 27% for the year, while communications services stocks were down more than 30% in 2022. We now move to the more positive side of the ledger for 2022. Of the 11 sectors in the S&P 500, just one posted a positive return for the year and that was energy. Overall it was a rough year for the markets and investors alike.

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| |
|:---|
| **SPIRIT OF AMERICA INCOME FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

---

Total 2022 municipal bond sale volume plunged 21% from 2021, as issuers were flush with cash and rising interest rates stymied refundings and taxable issuances. December municipal bond issuance, at $17.165 billion, also disappointed, dropping 58.1% from the same period a year earlier. Most firms at the end of 2021 estimated total issuance for 2022 would fall between $390 billion and $550 billion, basing their forecasts on factors like the new infrastructure law, interest rate expectations and monetary policy, global economic recovery and future tax policy. But Russia's invasion of Ukraine added a major macroeconomic concern to the mix, which aside from humanitarian costs, amplified supply-chain problems and drove up fossil fuel costs and inflation around the globe. Tax-exempt issuance dropped 10.9% to $309.6 billion from $347.6 billion in 2022. Taxable issuance dropped 56.4% to $52.7 billion from $120.8 billion in 2021.

The 30 Year U.S. Treasury yield moved from a 2.03% on 1/3/22 to a 3.97% on 12/31/22. The MMD Taxable 30 Year AAA yield began the year at a 2.59% on 1/3/22 and ended the year at a 5.34% on 12/31/22. The U.S.10-year Treasury yield finished 2022 at 3.88% in a year marked by prices rising at its fastest pace in 40 years and the Federal Reserve aggressively tightening its monetary policy. The 10-year yield started the year at 1.63%. The yield hit a high of 4.24% in October.

On March 11, 2020, the World Health Organization announced that it had made the assessment that COVID-19 can be characterized as a pandemic. The impact of COVID-19, and other infectious illness outbreaks that may arise in the future, could adversely affect the economies of many nations or the entire global economy, individual issuers and capital markets in ways that cannot necessarily be foreseen. Public health crises caused by the COVID-19 outbreak may exacerbate other pre-existing political, social and economic risks in certain countries or globally. The duration of the COVID-19 outbreak and its effects cannot be determined with certainty.

**Fund Summary**

The Spirit of America Income Fund's (SOAIX) (the "Fund") objective is to seek high current income. The emphasis of the Fund is focused on investing in a diversified portfolio of taxable municipal bonds, income producing equity securities, preferred stocks, collateralized mortgage obligations, and master limited partnerships (MLPs).

At the end of 2022, the Fund had over 57% of its assets in taxable municipal bonds, more than 20% in preferred stock, over 13% in common stock positions and more than 10% in corporate bonds. We remain diligent in our approach to the market. Here at Spirit of America each and every credit goes through rigorous credit analysis.

The Fund does not make decisions based on complicated algorithms. We are not a hedge fund. At Spirit of America, technology works for us; we do not work for technology. We do not receive buy signals from a computer generated model.

We invest the old-fashioned way – utilizing hard work, intensive research, and intuitive decisions. Our decisions are based on the experience of our dedicated team of professionals. When we began the Fund, we felt the environment was favorable to start an income fund and while past performance is no guarantee of future results; our results continue to validate that belief.

**Return Summary**

The Fund's Net Asset Value (NAV) went from $12.35 to $10.03 during 2022. The Fund is currently at $75,285,793 million in net assets with 4,212 shareholder accounts as of December 31, 2022.

The Fund had a total return of (11.71%) (gross of fees) for fiscal year ended December 31, 2022. This compares to the (13.01%) returned by its benchmark, the Bloomberg U.S. Aggregate Bond Index, for the same period.

The material factors that affected the Fund were market direction and security selection. The Fund's outperformance relative to its benchmark was principally due to the performance of the common stock holdings within the portfolio, which are not prevalent in the benchmark. The common stock holdings within the Fund had a total return of approximately 11% for 2022. The Fund does not rely on derivatives or leverage strategies. The value of the Fund and the securities may be adversely affected by impacts caused by COVID-19 and other epidemics and pandemics that may arise in the future.

Including the sales charge and expenses, as of December 31, 2022, the Fund's one year return was (16.85%). The Fund, which began operations in January 2009, had an annualized five year return of 0.40% and an annualized return since inception of 5.29%.

We plan to proceed with the same game plan we have employed since the Fund began: pursuing a balance between yield and risk with a focus on quality.

22 SPIRIT OF AMERICA

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| |
|:---|
| **SPIRIT OF AMERICA INCOME FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

---

---

| | | |
|:---|:---|:---|
| **Summary of Portfolio Holdings** (Unaudited)<br> As of December 31, 2022 | **Summary of Portfolio Holdings** (Unaudited)<br> As of December 31, 2022 | **Summary of Portfolio Holdings** (Unaudited)<br> As of December 31, 2022 |
| Municipal Bonds | 56.61% | $44859111 |
| Preferred Stocks | 19.86% | 15740418 |
| Common Stocks | 12.88% | 10208559 |
| Corporate Bonds | 10.58% | 8385006 |
| Collateralized Mortgage Obligations | 0.07% | 59085 |
| **Total Investments** | 100.00% | $79252179 |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 |
|  |  |  |  | **Expense Ratios<sup>4</sup>** | **Expense Ratios<sup>4</sup>** |
|  |  |  |  |  | **With Applicable** |
|  | **1 Year** | **5 Year** | **10 Year** | **Gross** | **Waivers** |
| Class A Shares - with load | (16.85)% | 0.40% | 2.39% | 1.14% | 1.11% |
| Class A Shares - no load | (12.69)% | 1.38% | 2.89% | 1.14% | 1.11% |
| Class C Shares - with load<sup>1</sup> | (14.15)% | 0.59% | 2.11% | 1.89% | 1.86% |
| Class C Shares - no load<sup>1</sup> | (13.34)% | 0.59% | 2.11% | 1.89% | 1.86% |
| Institutional Shares<sup>2</sup> | (12.51)% | 1.61% | 3.13% | 0.89% | 0.86% |
| Bloomberg U.S. Aggregate Bond Index<sup>3</sup> | (13.01)% | 0.02% | 1.06% |  |  |

---

*The Fund's past performance does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Total returns, with load, include the 4.75% maximum sales charge for the Class A Shares or the 1.00% maximum deferred sales charge for the Class C Shares.*

*<sup>1</sup>* *Class C Shares commenced operations on March 15, 2016. Prior to March 15, 2016, performance is based on the performance of Class A Shares adjusted for the Class C Shares' 12b-1 fees and contingent deferred sales charge.*

*<sup>2</sup>* *Institutional Shares commenced operations on May 1, 2020. Prior to May 1, 2020, performance is based on the performance of Class A Shares.*

*<sup>3</sup>* *The Bloomberg U.S. Aggregate Bond Index is an unmanaged index. The performance of an index assumes no transaction costs, taxes, management fees or other expenses. A direct investment in an index is not possible.*

*<sup>4</sup>* *Reflects the expense ratio as disclosed in the Fund's prospectus dated May 1, 2022. Spirit of America Management Corp. (the "Adviser") has contractually agreed to waive advisory fees and/or reimburse expenses under an Operating Expenses Agreement so that the total operating expenses will not exceed 1.10%, 1.85% and 0.85% of the Class A Shares, Class C Shares and Institutional Shares average daily net assets, respectively, through May 1, 2023. The waiver does not include front end or contingent deferred loads, taxes, interest, dividend expenses, brokerage commissions or expenses incurred in connection with any merger, reorganization, or extraordinary expenses such as litigation. Any amounts waived or reimbursed by the Adviser are subject to reimbursement by the Fund within the following three years, provided the Fund is able to make such reimbursement and remain in compliance with the expense limitations stated above. The Operating Expense Agreement may be terminated at any time, by the Board of Directors, on behalf of the Fund, upon sixty days written notice to the Adviser. Additional information pertaining to the Fund's expense ratios as of December 31, 2022, can be found in the Financial Highlights tables.*

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

---

---

| |
|:---|
| **Growth of $10,000** (Unaudited) |
| (includes one-time 4.75% maximum sales charge and reinvestment of all distributions) |

---

![(LINE GRAPH)](sf011_v1.jpg)

*The chart represents historical performance of a hypothetical investment of $10,000 in the Fund over the past 10 years.*

*Past performance does not guarantee future results. The performance data quoted represents past performance and current returns may be lower or higher. The investment return and net asset value will fluctuate so that an investor's shares, when redeemed may be worth more or less than the original cost. To obtain performance information current to the most recent month-end, please call (800) 452-4892.*

24 SPIRIT OF AMERICA

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| |
|:---|
| **SPIRIT OF AMERICA INCOME & OPPORTUNITY FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED)** |

---

Dear Shareholder,

We are pleased to send you the 2022 Annual Report for The Spirit of America Income & Opportunity Fund (the "Fund"). The Fund began operations on July 8, 2013.

On January 24, 2023, the Board of Directors of Spirit of America Investment Fund, Inc., on behalf of the Fund, approved a proposal to close and liquidate the Fund. The Fund is expected to cease operations on March 3, 2023. For additional information, please see the Fund's prospectus supplement dated January 31, 2023. As disclosed in the supplement, the Fund has ceased to pursue its investment objective and management of the Fund has begun the process of liquidating the Fund's assets in anticipation of the Fund's closure.

As always, we remain committed to providing you with excellent service and a full spectrum of investment choices. For more information, please visit us at www.SOAFunds.com.

Sincerely,

---

| | | | |
|:---|:---|:---|:---|
| ![(PHOTO OF DAVID LERNER)](sf002_v1.jpg) | ![(-s-David Lerner)](sf003_v1.jpg)<br>David Lerner<br> *President*<br> *Spirit of America Investment Fund, Inc.* | ![(PHOTO OF DOUG REVELLO)](sf008_v1.jpg) | ![(-s-Doug Revello)](sf009_v1.jpg)<br>Mark Reilly<br> *Portfolio Manager* |

---

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| |
|:---|
| **SPIRIT OF AMERICA INCOME & OPPORTUNITY FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

---

**Economic Summary**

At the end of December, the U.S. Bureau of Economic Analysis released its final reading of the third quarter 2022 gross domestic product (GDP), to show an increase in the annual growth rate of 3.2%, higher than previous estimates, at least temporarily easing recession fears. GDP, a sum of all goods and services, unexpectedly rose from the previously reported 2.9%. The stronger than previously estimated growth in the third quarter GDP follows consecutive negative quarters to start the year, meeting a commonly accepted definition of a recession. The growth in the third quarter came in large part due to a narrowing trade deficit, which economists expected and consider to be a one-off occurrence that won't be repeated in future quarters. Consumer spending as measured through personal consumption expenditures increased at just a 1.4% pace in the quarter, down from 2% in the second quarter. Gross private domestic investment fell 8.5%, continuing a trend after falling 14.1% in the second quarter. Residential investment, a gauge of homebuilding, tumbled 26.4% after falling 17.8% in the second quarter, reflecting a sharp slowdown in the real estate market. On the plus side, exports, which add to GDP, rose 14.4%, while imports, which subtract, dropped 6.9%. There was some good news on the inflation front. The consumer price index, a cost-of-living measure that adjusts for consumer behavior, rose 4.1% for the quarter, well below the Dow Jones estimates for a 5.3% gain, due in large part to falling energy prices. Also, the personal consumption expenditures index, a key inflation measure for the Federal Reserve, increased 4.2%, down sharply from 7.3% in the prior quarter.

Job growth decelerated in December but was still better than expected, a sign that labor market remains strong even as the Federal Reserve tries to slow economic growth. Nonfarm payrolls increased by 223,000 for the month, above the Dow Jones estimate for 200,000, while the unemployment rate fell to 3.5, 0.2 percentage point below the expectation. The job growth marked a decrease from the 256,000 gain in November, which was revised down 7,000 from the initial estimate. Wage growth was less than expected in an indication that inflation pressures could be weakening. By sector, leisure and hospitality led with 67,000 added jobs. The relative strength in job growth comes despite repeated efforts by the Federal Reserve to slow the economy, the labor market in particular. The central bank raised its benchmark seven times in 2022 for a total of 4.25 percentage points, with more increases likely on the way.

During its December meeting, The Federal Open Market Committee (FOMC) raised its benchmark interest rate to its highest level in 15 years, indicating the fight against inflation is not over despite some promising signs lately. Keeping with expectations, the rate setting FOMC voted to boost the overnight borrowing rate half a percentage point, taking it to a targeted range between 4.25% and 4.5%. The increase broke a string of four straight three-quarter point hikes, the most aggressive policy moves since the early 1980s. Along with the increase came an indication that officials expect to keep rates higher through next year, with no reductions until 2024. Fed officials believe raising rates helps take money out of the economy, reducing demand and ultimately pulling prices lower after inflation spiked to its highest level in more than 40 years. During a news conference, Chairman Jerome Powell said it was important to keep up the fight against inflation so that the expectation of higher prices does not become entrenched.

The new level marks the highest the fed funds rate has been since December 2007, just ahead of the global financial crisis and as the Federal Reserve was loosening policy aggressively to combat what would turn into the worst economic downturn since the Great Depression. Members penciled in increases for the funds rate until it hits a median level of 5.1% next year, equivalent to a target range of 5-5.25%. The FOMC lowered its growth targets for 2023, putting expected GDP gains at just 0.5%, barely above what would be considered a recession.

**Market Commentary**

When it came to market performance and investment returns in 2022 there was one clear, dominant force driving the markets and that was: inflation. We saw the highest inflation numbers in over 40 years which led to the Federal Reserve instituting an unprecedented series of interest rate hikes. These hikes were felt across both fixed income and equity markets. The Morningstar U.S. Market Index lost 19.4% in 2022, leaving the stock market with its biggest annual loss since 2008, when it lost 38.4%. Investor concerns about rising interest rates, slowing economic growth and persistently high inflation triggered sustained bouts of selling throughout 2022. Tech stocks and growth names in communication services were hit the hardest. These sectors were among the worst performing segments for 2022. Information technology stocks from the S&P 500 were down 27% for the year, while communications services stocks were down more than 30% in 2022. We now move to the more positive side of the ledger for 2022. Of the 11 sectors in the S&P 500, just one posted a positive return for the year and that was energy. Overall it was a rough year for the markets and investors alike.

26 SPIRIT OF AMERICA

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| |
|:---|
| **SPIRIT OF AMERICA INCOME & OPPORTUNITY FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

---

Total 2022 municipal bond sale volume plunged 21% from 2021, as issuers were flush with cash and rising interest rates stymied refundings and taxable issuances. December municipal bond issuance, at $17.165 billion, also disappointed, dropping 58.1% from the same period a year earlier. Most firms at the end of 2021 estimated total issuance for 2022 would fall between $390 billion and $550 billion, basing their forecasts on factors like the new infrastructure law, interest rate expectations and monetary policy, global economic recovery and future tax policy. But Russia's invasion of Ukraine added a major macroeconomic concern to the mix, which aside from humanitarian costs, amplified supply-chain problems and drove up fossil fuel costs and inflation around the globe. Tax-exempt issuance dropped 10.9% to $309.6 billion from $347.6 billion in 2022. Taxable issuance dropped 56.4% to $52.7 billion from $120.8 billion in 2021.

The 30 Year U.S. Treasury yield moved from a 2.03% on 1/3/22 to a 3.97% on 12/31/22. The MMD Taxable 30 Year AAA yield began the year at a 2.59% on 1/3/22 and ended the year at a 5.34% on 12/31/22. The U.S.10-year Treasury yield finished 2022 at 3.88% in a year marked by prices rising at its fastest pace in 40 years and the Federal Reserve aggressively tightening its monetary policy. The 10-year yield started the year at 1.63%. The yield hit a high of 4.24% in October.

On March 11, 2020, the World Health Organization announced that it had made the assessment that COVID-19 can be characterized as a pandemic. The impact of COVID-19, and other infectious illness outbreaks that may arise in the future, could adversely affect the economies of many nations or the entire global economy, individual issuers and capital markets in ways that cannot necessarily be foreseen. Public health crises caused by the COVID-19 outbreak may exacerbate other pre-existing political, social and economic risks in certain countries or globally. The duration of the COVID-19 outbreak and its effects cannot be determined with certainty.

**Fund Summary**

The Spirit of America Income & Opportunity Fund's (SOAOX) (the "Fund") objective is to provide shareholders with current income and the potential for capital appreciation. The emphasis of the Fund is focused on investing in a diversified portfolio of equity securities, fixed income securities, and master limited partnerships (MLPs).

At the end of 2022, the Fund had more than 41% of its assets invested in taxable municipal bonds, over 37% in non-MLP common stock positions, more than 11% in preferred stock positions, over 5% in master limited partnerships (MLPs) and more than 2% in corporate bonds.

The Fund does not make decisions based on complicated algorithms. We are not a hedge fund. At Spirit of America, technology works for us; we do not work for technology. We do not receive buy signals from a computer generated model. We invest the old-fashioned way – utilizing hard work, intensive research, and intuitive decisions. Our decisions are based on years of experience being involved with the markets.

**Return Summary**

The Fund had a total one year return of (21.36%) (no load, gross of fees) as of December 31, 2022. This compares to the (13.01%) return of its benchmark, the Bloomberg U.S. Aggregate Bond Index, for the same period. That result does not take the Fund's sales charge and expense ratio into account.

The material factors that affected the Fund were market direction and security selection. The downward trajectory of the stock market contributed to the Fund's underperformance of the benchmark, which is solely a measure of the bond market. The common stock holdings within the Fund had a total return of approximately (25%) for 2022.

The holdings of the Fund were chosen based on consideration of several factors including credit ratings, market capitalization, and securities that provide income. The Fund did not rely on derivatives or leverage strategies.

Including the sales charge and expenses, as of December 31, 2022, the Fund's one year return was (26.06%). The Fund, which began operations in July 2013, had an annualized five year return of 0.38% and an annualized return since inception of 2.26% as December 31, 2022.

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME & OPPORTUNITY FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

---

---

| | | |
|:---|:---|:---|
| **Summary of Portfolio Holdings** (Unaudited)<br> As of December 31, 2022 | **Summary of Portfolio Holdings** (Unaudited)<br> As of December 31, 2022 | **Summary of Portfolio Holdings** (Unaudited)<br> As of December 31, 2022 |
| Common Stocks | 43.38% | $7995626 |
| Municipal Bonds | 41.59% | 7665370 |
| Preferred Stocks | 11.72% | 2159526 |
| Corporate Bonds | 2.44% | 449247 |
| Exchange-Traded Funds | 0.87% | 160300 |
| **Total Investments** | 100.00% | $18430069 |

---

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 | **Average Annual Returns** (Unaudited)<br> For the periods ended December 31, 2022 |
|  |  |  |  | **Expense Ratios<sup>4</sup>** | **Expense Ratios<sup>4</sup>** |
|  |  |  | **Since** |  |  |
|  |  |  | **Inception** |  | **With Applicable** |
|  | **1 Year** | **5 Year** | **(July 8, 2013)** | **Gross** | **Waivers** |
| Class A Shares - with load | (26.06)% | 0.38% | 2.26% | 1.41% | 1.26% |
| Class A Shares - no load | (22.34)% | 1.36% | 2.78% | 1.41% | 1.26% |
| Class C Shares - with load<sup>1</sup> | (23.64)% | 0.63% | 1.98% | 2.16% | 2.01% |
| Class C Shares - no load<sup>1</sup> | (22.91)% | 0.63% | 1.98% | 2.16% | 2.01% |
| Institutional Shares<sup>2</sup> | (22.13)% | 1.63% | 3.05% | 1.16% | 1.01% |
| Bloomberg U.S. Aggregate Bond Index<sup>3</sup> | (13.01)% | 0.02% | 1.44% |  |  |

---

*The Fund's past performance does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Total returns, with load, include the 4.75% maximum sales charge for the Class A Shares or the 1.00% maximum deferred sales charge for the Class C Shares.*

*<sup>1</sup>* *Class C Shares commenced operations on March 15, 2016. Prior to March 15, 2016, performance is based on the performance of Class A Shares adjusted for the Class C Shares' 12b-1 fees and contingent deferred sales charge.*

*<sup>2</sup>* *Institutional Shares commenced operations on May 1, 2020. Prior to May 1, 2020, performance is based on the performance of Class A Shares.*

*<sup>3</sup>* *The Bloomberg U.S. Aggregate Bond Index is an unmanaged index. The performance of an index assumes no transaction costs, taxes, management fees or other expenses. A direct investment in an index is not possible.*

*<sup>4</sup>* *Reflects the expense ratio as disclosed in the Fund's prospectus dated May 1, 2022. Spirit of America Management Corp. (the "Adviser") has contractually agreed to waive advisory fees and/or reimburse expenses under an Operating Expenses Agreement so that the total operating expenses will not exceed 1.25%, 2.00% and 1.00% of the Class A Shares, Class C Shares and Institutional Shares average daily net assets, respectively, through May 1, 2023. The waiver does not include front end or contingent deferred loads, taxes, interest, dividend expenses, brokerage commissions or expenses incurred in connection with any merger, reorganization, or extraordinary expenses such as litigation. Any amounts waived or reimbursed by the Adviser are subject to reimbursement by the Fund within the following three years, provided the Fund is able to make such reimbursement and remain in compliance with the expense limitations stated above. The Operating Expense Agreement may be terminated at any time, by the Board of Directors, on behalf of the Fund, upon sixty days written notice to the Adviser. Additional information pertaining to the Fund's expense ratios as of December 31, 2022, can be found in the Financial Highlights tables.*

28 SPIRIT OF AMERICA

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| |
|:---|
| **SPIRIT OF AMERICA INCOME & OPPORTUNITY FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

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**Fixed Distribution Policy** (Unaudited)

The Board of Directors of the Fund has set a fixed distribution policy whereby the Fund will declare semi-annual distributions comprised of income earned, if any, realized long-term capital gains, if any, and to the extent necessary, return of capital, payable as of June 30 and December 31 of each year in the annual aggregate minimum amount of $0.60 per share. Shareholders should not draw any conclusions about the Fund's investment performance from the amount of these distributions. The Fund's total return based on net asset value is presented on the prior page as well as in the Financial Highlights tables.

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| |
|:---|
| **SPIRIT OF AMERICA INCOME & OPPORTUNITY FUND** |
| **MANAGEMENT DISCUSSION (UNAUDITED) (CONT.)** |

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| |
|:---|
| **Growth of $10,000** (Unaudited) |
| (includes one-time 4.75% maximum sales charge and reinvestment of all distributions) |

---

![(LINE GRAPH)](sf012_v1.jpg)

*The chart represents historical performance of a hypothetical investment of $10,000 in the Fund since inception.*

*Past performance does not guarantee future results. The performance data quoted represents past performance and current returns may be lower or higher. The investment return and net asset value will fluctuate so that an investor's shares, when redeemed may be worth more or less than the original cost. To obtain performance information current to the most recent month-end, please call (800) 452-4892.*

30 SPIRIT OF AMERICA

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| |
|:---|
| **SPIRIT OF AMERICA REAL ESTATE INCOME AND GROWTH FUND** |
| **SCHEDULE OF INVESTMENTS \| DECEMBER 31, 2022** |

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| | | |
|:---|:---|:---|
| <br>**Common Stocks** 97.17%<br>**Data Center REITs** 8.00% | **Shares**<br>| **Market Value**<br>|
| Digital Realty Trust, Inc. | 26581 | $2665277 |
| Equinix, Inc. | 7010 | 4591760 |
|  |  | 7257037 |
| **Energy** 2.54% |  |  |
| Black Stone Minerals LP | 19000 | 320530 |
| Cheniere Energy Partners LP | 13500 | 767745 |
| Energy Transfer LP | 42500 | 504475 |
| Enterprise Products Partners LP | 7000 | 168840 |
| Hess Midstream LP, Class A | 1000 | 29920 |
| Magellan Midstream Partners LP | 600 | 30126 |
| MPLX LP | 9000 | 295560 |
| Viper Energy Partners LP | 6000 | 190740 |
|  |  | 2307936 |
| **Financials** 0.27% |  |  |
| Blackstone Group, Inc. (The), Class A | 3300 | 244827 |
| **Gaming REITs** 5.27% |  |  |
| Gaming and Leisure Properties, Inc. | 33885 | 1765069 |
| VICI Properties, Inc. | 93297 | 3022823 |
|  |  | 4787892 |
| **Health Care REITs** 4.27% |  |  |
| Global Medical REIT, Inc. | 15000 | 142200 |
| Healthcare Realty Trust, Inc. | 10000 | 192700 |
| Healthpeak Properties, Inc. | 39568 | 991970 |
| Medical Properties Trust, Inc. | 29500 | 328630 |
| Omega Healthcare Investors, Inc. | 11000 | 307450 |
| Physicians Realty Trust | 16350 | 236584 |
| Ventas, Inc. | 6050 | 272553 |
| Welltower, Inc. | 21475 | 1407686 |
|  |  | 3879773 |
| **Hotel REITs** 2.54% |  |  |
| Apple Hospitality REIT, Inc. | 42710 | 673964 |
| Host Hotels & Resorts, Inc. | 45900 | 736695 |
| Park Hotels & Resorts, Inc. | 9250 | 109057 |
| Pebblebrook Hotel Trust | 42281 | 566143 |
| Summit Hotel Properties, Inc. | 9000 | 64980 |
| Sunstone Hotel Investors, Inc. | 15700 | 151662 |
|  |  | 2302501 |
| **Industrial REITs** 17.70% |  |  |
| Americold Realty Trust | 5700 | 161367 |
| Innovative Industrial Properties, Inc. | 13700 | 1388495 |
| Prologis, Inc. | 87451 | 9858351 |
| Rexford Industrial Realty, Inc. | 14500 | 792280 |
| STAG Industrial, Inc. | 45950 | 1484645 |
| Terreno Realty Corp. | 41900 | 2382853 |
|  |  | 16067991 |

---

See accompanying notes which are an integral part of these financial statements.

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| |
|:---|
| **SPIRIT OF AMERICA REAL ESTATE INCOME AND GROWTH FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

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| | | |
|:---|:---|:---|
| <br>**Infrastructure REITs** 3.90% | **Shares** | **Market Value** |
| American Tower Corp., Class A | 8060 | $1707592 |
| Crown Castle International Corp. | 13530 | 1835209 |
|  |  | 3542801 |
| **Midstream - Oil & Gas** 0.32% |  |  |
| Plains All American Pipeline LP | 11000 | 129360 |
| Plains GP Holdings LP, Class A<sup>(a)</sup> | 5000 | 62200 |
| Western Midstream Partners LP | 3750 | 100687 |
|  |  | 292247 |
| **Mortgage Finance** 1.19% |  |  |
| Blackstone Mortgage Trust, Inc., Class A | 26700 | 565239 |
| Starwood Property Trust, Inc. | 28000 | 513240 |
|  |  | 1078479 |
| **Multi Asset Class REITs** 3.15% |  |  |
| Gladstone Commercial Corp. | 22500 | 416250 |
| Lexington Realty Trust | 2700 | 27054 |
| One Liberty Properties, Inc. | 2500 | 55550 |
| WP Carey, Inc. | 30150 | 2356222 |
|  |  | 2855076 |
| **Office REITs** 3.57% |  |  |
| Alexandria Real Estate Equities, Inc. | 13750 | 2002962 |
| American Assets Trust, Inc. | 3500 | 92750 |
| Boston Properties, Inc. | 7015 | 474074 |
| City Office REIT, Inc. | 30000 | 251400 |
| Cousins Properties, Inc. | 1000 | 25290 |
| Hudson Pacific Properties, Inc. | 4250 | 41353 |
| Kilroy Realty Corp. | 9015 | 348610 |
|  |  | 3236439 |
| **Residential REITs** 21.57% |  |  |
| American Homes 4 Rent, Class A | 15050 | 453607 |
| Apartment Income REIT Corp. | 25902 | 888697 |
| AvalonBay Communities, Inc. | 15390 | 2485793 |
| Camden Property Trust | 13600 | 1521568 |
| Equity LifeStyle Properties, Inc. | 34450 | 2225470 |
| Equity Residential | 30715 | 1812185 |
| Essex Property Trust, Inc. | 7236 | 1533453 |
| Invitation Homes, Inc. | 2000 | 59280 |
| Mid-America Apartment Communities, Inc. | 17622 | 2766478 |
| Sun Communities, Inc. | 26850 | 3839550 |
| UDR, Inc. | 47100 | 1824183 |
| UMH Properties, Inc. | 10500 | 169050 |
|  |  | 19579314 |
| **Retail REITs** 12.68% |  |  |
| Agree Realty Corp. | 8250 | 585173 |
| Brixmor Property Group, Inc. | 47975 | 1087593 |
| Federal Realty Investment Trust | 13700 | 1384248 |
| Four Corners Property Trust, Inc. | 5000 | 129650 |
| Getty Realty Corp. | 1000 | 33850 |
| Kimco Realty Corp. | 29569 | 626271 |
| National Retail Properties, Inc. | 17750 | 812240 |
| Realty Income Corp. | 31485 | 1997094 |
| Regency Centers Corp. | 30000 | 1875000 |

---

See accompanying notes which are an integral part of these financial statements.

32 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA REAL ESTATE INCOME AND GROWTH FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Retail REITs (cont.)** | **Shares** | **Market Value** |
| Simon Property Group, Inc. | 20700 | $2431836 |
| Spirit MTA REIT<sup>(a)(b)</sup> | 1140 |  |
| STORE Capital Corp. | 3000 | 96180 |
| Tanger Factory Outlet Centers, Inc. | 25100 | 450294 |
|  |  | 11509429 |
| **Self-Storage REITs** 8.70% |  |  |
| CubeSmart | 20750 | 835188 |
| Extra Space Storage, Inc. | 13395 | 1971476 |
| Life Storage, Inc. | 25850 | 2546225 |
| Public Storage | 9075 | 2542724 |
|  |  | 7895613 |
| **Specialty REITs** 1.39% |  |  |
| Hannon Armstrong Sustainable Infrastructure Capital, Inc. | 4717 | 136699 |
| Iron Mountain, Inc. | 22500 | 1121625 |
|  |  | 1258324 |
| **Timber REITs** 0.11% |  |  |
| Weyerhaeuser Co. | 3300 | 102300 |
| **Total Common Stocks** (Cost $74,301,333) |  | **88197979** |
| **Preferred Stocks** 2.20% |  |  |
| **Data Center REITs** 0.09% |  |  |
| Digital Realty Trust, Inc., Series J, 5.25% | 4000 | 84080 |
| **Hotel REITs** 1.10% |  |  |
| Ashford Hospitality Trust, Inc., Series F, 7.38% | 6000 | 103260 |
| Hersha Hospitality Trust, Series D, 6.50% | 5000 | 93525 |
| Hersha Hospitality Trust, Series E, 6.50% | 5000 | 92500 |
| Pebblebrook Hotel Trust, Series F, 6.30% | 2500 | 44500 |
| Pebblebrook Hotel Trust, Series G, 6.38% | 4000 | 72800 |
| Pebblebrook Hotel Trust, Series H, 6.38% | 6000 | 99000 |
| Sotherly Hotels, Inc., Series B, 8.00% | 6000 | 126120 |
| Sotherly Hotels, Inc., Series C, 7.88% | 2000 | 40700 |
| Summit Hotel Properties, Inc., Series F, 5.88% | 10000 | 171300 |
| Sunstone Hotel Investors, Inc., Series H, 6.13% | 4000 | 77600 |
| Sunstone Hotel Investors, Inc., Series I, 5.70% | 4000 | 71960 |
|  |  | 993265 |
| **Mortgage Finance** 0.04% |  |  |
| New York Mortgage Trust Inc., Series G, 7.00% | 2000 | 30500 |
| **Multi Asset Class REITs** 0.04% |  |  |
| Vornado Realty Trust, Series M, 5.25% | 2500 | 40150 |
| **Office REITs** 0.06% |  |  |
| Hudson Pacific Properties Inc., Series C, 4.75% | 4000 | 50120 |
| **Residential REITs** 0.05% |  |  |
| American Homes 4 Rent, Series G, 5.88% | 2000 | 44320 |

---

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA REAL ESTATE INCOME AND GROWTH FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Retail REITs** 0.19% | **Shares** | **Market Value** |
| CTO Realty Growth, Inc., Series A, 6.38% | 2000 | $40900 |
| Federal Realty Investment Trust, Series C, 5.00% | 6500 | 131170 |
|  |  | 172070 |
| **Self-Storage REITs** 0.63% |  |  |
| Public Storage, Series I, 4.88% | 1917 | 38628 |
| Public Storage, Series K, 4.75% | 4000 | 80680 |
| Public Storage, Series L, 4.63% | 2000 | 38220 |
| Public Storage, Series M, 4.13% | 1167 | 20084 |
| Public Storage, Series N, 3.88% | 4000 | 65080 |
| Public Storage, Series P, 4.00% | 2000 | 33260 |
| Public Storage, Series Q, 3.95% | 4000 | 65680 |
| Public Storage, Series R, 4.00% | 4000 | 66800 |
| Public Storage, Series S, 4.10% | 10000 | 170800 |
|  |  | 579232 |
| **Total Preferred Stocks** (Cost $2,752,766) |  | **1993737** |
|  | **Principal** |  |
|  | **Amount** |  |
| **Municipal Bonds** 0.17% |  |  |
| Franklin County Convention Facilities Authority, Revenue Bonds, *6.54%, 12/1/2036* | $140000 | 150992 |
| **Total Municipal Bonds** (Cost $160,021) |  | **150992** |
|  | **Shares** |  |
| **Money Market Funds** 0.12% |  |  |
| Morgan Stanley Institutional Liquidity Funds Government Portfolio, Institutional Class, 4.11%<sup>(c)</sup> | 109524 | 109524 |
| **Total Money Market Funds** (Cost $109,524) |  | **109524** |
| **Total Investments —** 99.66% (Cost $77,323,644) |  | 90452232 |
| **Other Assets in Excess of Liabilities** — 0.34% |  | 304344 |
| **NET ASSETS —** 100.00% |  | $90756576 |

---

*(a)* *Non-income producing security.* 

*(b)* *Security is currently being valued according to the fair value procedures approved by the Board of Directors.* 

*(c)* *Rate disclosed is the seven day effective yield as of December 31, 2022.* 

See accompanying notes which are an integral part of these financial statements.

34 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA LARGE CAP VALUE FUND** |
| **SCHEDULE OF INVESTMENTS \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Common Stocks** 99.55%<br>**Communications** 4.97% | **Shares**<br>| **Market Value**<br>|
| Alphabet, Inc., Class A<sup>(a)</sup> | 36300 | $3202749 |
| AT&T, Inc. | 6500 | 119665 |
| Verizon Communications, Inc. | 28540 | 1124476 |
| Walt Disney Co. (The)<sup>(a)</sup> | 18950 | 1646376 |
|  |  | 6093266 |
| **Consumer Discretionary** 3.72% |  |  |
| Amazon.com, Inc.<sup>(a)</sup> | 11600 | 974400 |
| Home Depot, Inc. (The) | 6238 | 1970335 |
| Lowe's Companies, Inc. | 1750 | 348670 |
| Masco Corp. | 8500 | 396695 |
| McDonald's Corp. | 2980 | 785319 |
| NIKE, Inc., Class B | 700 | 81907 |
|  |  | 4557326 |
| **Consumer Staples** 9.34% |  |  |
| Altria Group, Inc. | 12650 | 578231 |
| Coca-Cola Co. (The) | 7900 | 502519 |
| Colgate-Palmolive Co. | 1500 | 118185 |
| Conagra Brands, Inc. | 7100 | 274770 |
| Constellation Brands, Inc., Class A | 1400 | 324450 |
| Costco Wholesale Corp. | 6451 | 2944882 |
| Kroger Co. (The) | 9000 | 401220 |
| Lamb Weston Holdings, Inc. | 4300 | 384248 |
| PepsiCo, Inc. | 2400 | 433584 |
| Philip Morris International, Inc. | 7350 | 743894 |
| Procter & Gamble Co. (The) | 7265 | 1101083 |
| Target Corp. | 11430 | 1703527 |
| Wal-Mart Stores, Inc. | 13684 | 1940254 |
|  |  | 11450847 |
| **Energy** 14.08% |  |  |
| Antero Midstream Corp. | 5000 | 53950 |
| Baker Hughes Co. | 8750 | 258388 |
| Cheniere Energy, Inc. | 13150 | 1971974 |
| Chevron Corp. | 16960 | 3044150 |
| CNX Resources Corp.<sup>(a)</sup> | 4000 | 67360 |
| ConocoPhillips | 10300 | 1215400 |
| Devon Energy Corp. | 10800 | 664308 |
| Diamondback Energy, Inc. | 2650 | 362467 |
| Enbridge, Inc. | 3000 | 117300 |
| EOG Resources, Inc. | 4400 | 569888 |
| Exxon Mobil Corp. | 7550 | 832765 |
| Halliburton Co. | 4000 | 157400 |
| Kinder Morgan, Inc. | 22750 | 411320 |
| Marathon Oil Corp. | 1000 | 27070 |
| Marathon Petroleum Corp. | 250 | 29098 |
| Occidental Petroleum Corp. | 6500 | 409435 |
| ONEOK, Inc. | 2000 | 131400 |
| Phillips 66 | 7250 | 754580 |
| Pioneer Natural Resources Co. | 7575 | 1730054 |
| Schlumberger Ltd. | 500 | 26730 |
| Targa Resources Corp. | 5600 | 411600 |

---

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA LARGE CAP VALUE FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Energy (cont.)** | **Shares** | **Market Value** |
| Valero Energy Corp. | 16565 | $2101436 |
| Williams Companies, Inc. (The) | 58000 | 1908200 |
|  |  | 17256273 |
| **Financials** 7.82% |  |  |
| American Express Co. | 5000 | 738750 |
| Bank of America Corp. | 30850 | 1021752 |
| Berkshire Hathaway, Inc., Class B<sup>(a)</sup> | 3770 | 1164553 |
| Blackstone Group, Inc. (The), Class A | 11250 | 834637 |
| Carlyle Group, Inc. (The) | 6050 | 180532 |
| Citigroup, Inc. | 17200 | 777956 |
| CME Group, Inc. | 1404 | 236097 |
| Goldman Sachs Group, Inc. (The) | 2915 | 1000953 |
| JPMorgan Chase & Co. | 20992 | 2815027 |
| Morgan Stanley | 3000 | 255060 |
| Signature Bank | 1325 | 152667 |
| SVB Financial Group<sup>(a)</sup> | 600 | 138084 |
| Wells Fargo & Co. | 6500 | 268385 |
|  |  | 9584453 |
| **Health Care** 14.29% |  |  |
| Abbott Laboratories | 3100 | 340349 |
| AbbVie, Inc. | 24957 | 4033301 |
| Amgen, Inc. | 2700 | 709128 |
| Bristol-Myers Squibb Co. | 16650 | 1197967 |
| Centene Corp.<sup>(a)</sup> | 9800 | 803698 |
| CVS Health Corp. | 7611 | 709269 |
| Edwards LifeSciences Corp.<sup>(a)</sup> | 3000 | 223830 |
| Eli Lilly & Co. | 3200 | 1170688 |
| Humana, Inc. | 1350 | 691456 |
| McKesson Corp. | 4700 | 1763064 |
| Medtronic PLC | 7069 | 549403 |
| Merck & Co., Inc. | 18350 | 2035933 |
| Pfizer, Inc. | 8150 | 417606 |
| Quest Diagnostics, Inc. | 4500 | 703980 |
| Thermo Fisher Scientific, Inc. | 1490 | 820528 |
| UnitedHealth Group, Inc. | 2525 | 1338705 |
|  |  | 17508905 |
| **Industrials** 11.05% |  |  |
| Boeing Co. (The)<sup>(a)</sup> | 3355 | 639094 |
| Caterpillar, Inc. | 11340 | 2716610 |
| CSX Corp. | 42525 | 1317424 |
| Cummins, Inc. | 3550 | 860129 |
| Deere & Co. | 6235 | 2673319 |
| FedEx Corp. | 1500 | 259800 |
| Honeywell International, Inc. | 8900 | 1907270 |
| Johnson Controls International PLC | 8253 | 528192 |
| Lockheed Martin Corp. | 200 | 97298 |
| Raytheon Technologies Corp. | 2100 | 211932 |
| Union Pacific Corp. | 750 | 155303 |
| United Parcel Service, Inc., Class B | 2450 | 425908 |
| Waste Connections, Inc. | 13175 | 1746478 |
|  |  | 13538757 |

---

See accompanying notes which are an integral part of these financial statements.

36 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA LARGE CAP VALUE FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Materials** 1.91% | **Shares** | **Market Value** |
| CF Industries Holdings, Inc. | 8200 | $698640 |
| Corteva, Inc. | 7233 | 425156 |
| Dow, Inc. | 6083 | 306522 |
| DuPont de Nemours, Inc. | 6500 | 446095 |
| International Paper Co. | 500 | 17315 |
| Linde PLC | 1300 | 424034 |
| WestRock Co. | 500 | 17580 |
|  |  | 2335342 |
| **Real Estate Investment Trusts (REITs)** 2.28% |  |  |
| American Tower Corp., Class A | 1040 | 220334 |
| Crown Castle International Corp. | 2690 | 364872 |
| Equinix, Inc. | 1125 | 736909 |
| Mid-America Apartment Communities, Inc. | 250 | 39248 |
| Prologis, Inc. | 6500 | 732745 |
| Sun Communities, Inc. | 3300 | 471900 |
| Terreno Realty Corp. | 2075 | 118005 |
| VICI Properties, Inc. | 3073 | 99565 |
| Weyerhaeuser Co. | 500 | 15500 |
|  |  | 2799078 |
| **Technology** 26.07% |  |  |
| Accenture PLC, Class A | 4025 | 1074031 |
| Adobe, Inc.<sup>(a)</sup> | 1600 | 538448 |
| Advanced Micro Devices, Inc.<sup>(a)</sup> | 2100 | 136017 |
| Apple, Inc. | 50582 | 6572119 |
| Applied Materials, Inc. | 14220 | 1384744 |
| Cisco Systems, Inc. | 17250 | 821790 |
| Cognizant Technology Solutions Corp., Class A | 4600 | 263074 |
| Corning, Inc. | 10000 | 319400 |
| Dell Technologies, Inc., Class C | 1624 | 65317 |
| Garmin Ltd. | 1000 | 92290 |
| HP, Inc. | 15600 | 419172 |
| International Business Machines Corp. | 2668 | 375895 |
| MasterCard, Inc., Class A | 2400 | 834552 |
| Microchip Technology, Inc. | 6450 | 453112 |
| Microsoft Corp. | 20439 | 4901681 |
| NetApp, Inc. | 2600 | 156156 |
| NortonLifeLock, Inc. | 27700 | 593611 |
| NVIDIA Corp. | 35892 | 5245257 |
| Oracle Corp. | 26575 | 2172240 |
| Palo Alto Networks, Inc.<sup>(a)</sup> | 200 | 27908 |
| Paychex, Inc. | 3850 | 444906 |
| QUALCOMM, Inc. | 3550 | 390287 |
| Texas Instruments, Inc. | 10425 | 1722419 |
| Visa, Inc., Class A | 7150 | 1485484 |
| Workday, Inc., Class A<sup>(a)</sup> | 7780 | 1301827 |
| Zscaler, Inc.<sup>(a)</sup> | 1400 | 156660 |
|  |  | 31948397 |
| **Utilities** 4.02% |  |  |
| AES Corp. | 7000 | 201320 |
| American Electric Power Co., Inc. | 1850 | 175658 |
| Dominion Energy, Inc. | 13000 | 797160 |

---

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA LARGE CAP VALUE FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Utilities (cont.)** | **Shares** | **Market Value** |
| Duke Energy Corp. | 2000 | $205980 |
| Edison International | 2600 | 165412 |
| NextEra Energy, Inc. | 28625 | 2393050 |
| UGI Corp. | 1000 | 37070 |
| WEC Energy Group, Inc. | 10100 | 946976 |
|  |  | 4922626 |
| **Total Common Stocks** (Cost $70,603,991) |  | **121995270** |
| **Preferred Stocks** 1.05% |  |  |
| **Financials** 0.96% |  |  |
| Annaly Capital Management, Inc., Series F, 6.95% | 2000 | 48760 |
| Arch Capital Group Ltd., Series F, 5.45% | 2000 | 40600 |
| Arch Capital Group Ltd., Series G, 4.55% | 2000 | 34540 |
| Athene Holding Ltd., Series C, 6.38% | 2000 | 47880 |
| Bank of America Corp., Series GG, 6.00% | 4000 | 95680 |
| Bank of America Corp., Series HH, 5.88% | 2000 | 46400 |
| Bank of America Corp., Series LL, 5.00% | 2000 | 38900 |
| Bank of America Corp., Series SS, 4.75% | 2000 | 37620 |
| Charles Schwab Corp. (The), Series J, 4.45% | 2000 | 37000 |
| First Republic Bank, Series L, 4.25% | 2000 | 32860 |
| First Republic Bank, Series N, 4.50% | 2000 | 34520 |
| Globe Life, Inc., 4.25% | 1000 | 17900 |
| JPMorgan Chase & Co., Series EE, 6.00% | 2000 | 49520 |
| JPMorgan Chase & Co., Series JJ, 4.55% | 2000 | 37220 |
| JPMorgan Chase & Co., Series LL 4.63% | 6000 | 113040 |
| JPMorgan Chase & Co., Series MM, 4.20% | 6000 | 104700 |
| KeyCorp, Series G, 5.63% | 2000 | 41520 |
| Ladenburg Thalmann Financial Services, Inc., Series A, 8.00% | 7000 | 86800 |
| Morgan Stanley, Series O, 4.25% | 2000 | 34360 |
| Northern Trust Corp., Series E, 4.70% | 1360 | 26928 |
| Prudential Financial, Inc., 4.13% | 705 | 12796 |
| Prudential Financial, Inc., 5.63% | 2000 | 48960 |
| RenaissanceRE Holdings Ltd., Series G, 4.20% | 150 | 2434 |
| U.S. Bancorp, Series O, 4.50% | 2000 | 36660 |
| Wells Fargo & Co., Series CC, 4.38% | 4000 | 68120 |
|  |  | 1175718 |
| **Utilities** 0.09% |  |  |
| Brookfield Infrastructure Partners LP, 5.00% | 2000 | 30780 |
| DTE Energy Co., 4.38% | 2000 | 34900 |
| Entergy Louisiana LLC, 4.88% | 2000 | 40540 |
|  |  | 106220 |
| **Total Preferred Stocks** (Cost $1,708,425) |  | **1281938** |
| **Total Investments —** 100.60% (Cost $72,312,416) |  | 123277208 |
| **Liabilities in Excess of Other Assets** — (0.60)% |  | (736161) |
| **NET ASSETS —** 100.00% |  | $122541047 |

---

*(a)* *Non-income producing security.* 

See accompanying notes which are an integral part of these financial statements.

38 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND** |
| **SCHEDULE OF INVESTMENTS \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| | **Principal** | |
| | **Amount** | **Market Value** |
| <br>**Municipal Bonds** 100.54%<br>**Arizona** 1.37% |  |  |
| City of Phoenix, AZ, General Obligation Unlimited, Callable 7/1/2026 @ 100, *5.00%, 7/1/2027* | $500000 | $539753 |
| **California** 7.07% |  |  |
| California State Public Works Board, Revenue Bonds, Callable 11/1/2026 @ 100, *5.00%, 11/1/2029* | 600000 | 653857 |
| Los Angeles CA Department of Water & Power, Revenue Bonds, Callable 1/1/2029 @ 100, *5.25%, 7/1/2049* | 200000 | 215335 |
| Los Angeles Community College District, General Obligation Refunding Bonds Unlimited, Callable 8/1/2026 @ 100, *4.00%, 8/1/2038* | 500000 | 503651 |
| Regents of the University of California Medical Center Pooled Revenue, Revenue Bond, Callable 5/15/2026 @ 100, *4.00%, 5/15/2037* | 145000 | 145623 |
| San Francisco City & County Public Utilities Commission Water Revenue, Revenue Bonds, Callable 11/1/2030 @ 100, *5.00%, 11/1/2050* | 500000 | 535680 |
| San Francisco City & County Public Utilities Commission Water Revenue, Revenue Bonds Series 2020 A, Callable 4/1/2028 @ 100, *4.00%, 10/1/2043* | 100000 | 98181 |
| San Francisco Municipal Transportation Agency, Callable 3/1/2027 @ 100, *4.00%, 3/1/2046* | 200000 | 194130 |
| State of California, General Obligation Unlimited, Callable 8/1/2025 @ 100, *5.00%, 8/1/2029* | 250000 | 264458 |
| State of California, General Obligation Unlimited, Callable 9/1/2026 @ 100, *4.00%, 9/1/2036* | 175000 | 177673 |
|  |  | 2788588 |
| **Connecticut** 6.63% |  |  |
| City of New Haven, CT, General Obligation Unlimited, Callable 8/15/2026 @ 100, *5.00%, 8/15/2036* | 230000 | 242210 |
| Connecticut Housing Finance Authority, Multi-Family Housing, Revenue Bonds, Callable 11/15/2025 @ 100, *3.25%, 11/15/2036* | 250000 | 231614 |
| Connecticut Housing Finance Authority, Revenue Bonds, Callable 5/15/2027 @ 100, *3.40%, 11/15/2037* | 25000 | 23434 |
| Connecticut State Health & Educational Facility Authority, Revenue Bonds, Callable 7/1/2026 @ 100, *5.00%, 7/1/2034* | 250000 | 262063 |
| Connecticut State Health & Educational Facility Authority, Revenue Bonds, Callable 7/1/2024 @ 100, *5.00%, 7/1/2034* | 100000 | 101812 |
| State of Connecticut Special Tax Revenue, Highway Improvements, Revenue Bonds, Callable 10/1/2023 @ 100, *5.00%, 10/1/2030* | 250000 | 253836 |
| State of Connecticut Special Tax Revenue, Public Improvements, Revenue Bonds, Callable 1/1/2023 @ 100, *5.00%, 1/1/2028* | 445000 | 445000 |
| State of Connecticut, General Obligation Unlimited, Callable 4/15/2027 @ 100, *5.00%, 4/15/2032* | 500000 | 541961 |
| State of Connecticut, General Obligation Unlimited, *5.00%, 6/15/2024* | 250000 | 257913 |
| University of Connecticut, University & College Improvements, Revenue Bonds, Callable 2/15/2024 @ 100, *5.00%, 2/15/2034* | 250000 | 254497 |
|  |  | 2614340 |
| **District of Columbia** 2.63% |  |  |
| District of Columbia Housing Finance Agency, State Multi-Family Housing, Revenue Bonds, (Fannie Mae), *4.45%, 6/15/2031* | 320000 | 320510 |
| District of Columbia Water & Sewer Authority, Revenue Bonds, Callable 10/1/2029 @ 100, *4.00%, 10/1/2049* | 315000 | 296389 |
| District of Columbia Water & Sewer Authority, Revenue Bonds, Callable 4/1/2026 @ 100, *5.00%, 10/1/2036* | 250000 | 263175 |
| District of Columbia Water & Sewer Authority, Revenue Bonds, Callable 4/1/2026 @ 100, *5.00%, 10/1/2034* | 150000 | 158806 |
|  |  | 1038880 |

---

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Florida** 8.26% | **Principal**<br>**Amount** |<br>**Market Value** |
| Central Florida Expressway Authority, Revenue Bonds, Callable 7/1/2026 @ 100, *4.00%, 7/1/2035* | $150000 | $151637 |
| City of Orlando, FL, Public Improvements, Revenue Bonds, Callable 10/1/2024 @ 100, *5.00%, 10/1/2046* | 1000000 | 1028420 |
| FSU Financial Assistance, Inc., State Single-Family Housing, Refunding Revenue Bonds, *5.00%, 10/1/2030* | 500000 | 500765 |
| Greater Orlando Aviation Authority, Port, Airport & Marina Improvements, Revenue Bonds, *5.00%, 10/1/2025* | 120000 | 120198 |
| Miami Dade County FL Water & Sewage System, Revenue Bonds, *4.00%, 10/1/2044* | 150000 | 139598 |
| Miami-Dade County Educational Facilities Authority, University & College Improvements, Revenue Bonds, (AMBAC), *5.25%, 4/1/2031* | 260000 | 295723 |
| School Board of Miami-Dade County (The), Certificates of Participation, Callable 2/1/2026 @ 100, *4.00%, 2/1/2033* | 1000000 | 1022435 |
|  |  | 3258776 |
| **Georgia** 1.43% |  |  |
| Atlanta GA Water & Wastewater Revenue, Revenue Bonds, Callable 11/1/2029 @ 100, *3.00%, 11/1/2037* | 500000 | 433459 |
| Atlanta GA Water & Wastewater Revenue, Revenue Bonds, Callable 11/1/2027 @ 100, *5.00%, 11/1/2047* | 125000 | 131301 |
|  |  | 564760 |
| **Illinois** 2.13% |  |  |
| Illinois State Finance Authority, Revenue Bonds Series 2020 A, Callable 4/1/2030 @ 100, *4.00%, 4/1/2050* | 900000 | 839782 |
| **Indiana** 3.38% |  |  |
| Indiana Finance Authority Wastewater Utility Revenue, Revenue Bonds, Callable 10/1/2026 @ 100, *5.00%, 10/1/2046* | 600000 | 626038 |
| Indiana Finance Authority Wastewater Utility Revenue, Revenue Bonds, Callable 10/1/2030 @ 100, *5.00%, 10/1/2050* | 500000 | 529530 |
| Indiana State Finance Authority Health Systems Revenue, Revenue Bonds, Callable 11/1/2025 @ 100, *4.00%, 11/1/2051* | 200000 | 180351 |
|  |  | 1335919 |
| **Iowa** 0.68% |  |  |
| State of Iowa, Revenue Bonds, Callable 6/1/2026 @ 100, *5.00%, 6/1/2027* | 250000 | 267817 |
| **Louisiana** 0.25% |  |  |
| Louisiana Local Government Environmental Facilities & Community Development Authority, Sewer Improvements, Revenue Bonds, Callable 2/1/2023 @ 100, *5.00%, 2/1/2035* | 100000 | 100140 |
| **Maine** 1.59% |  |  |
| Maine Health & Higher Educational Facilities Authority, Revenue Bonds, Callable 7/1/2030 @ 100, *4.00%, 7/1/2045* | 385000 | 348245 |
| Maine State Housing Authority, State Single-Family Housing, Revenue Bonds, *3.60%, 11/15/2036* | 95000 | 91047 |
| Maine State Housing Authority, State Single-Family Housing, Revenue Bonds, Callable 11/15/2024 @ 100, *3.75%, 11/15/2044* | 100000 | 89662 |
| Maine State Housing Authority, State Single-Family Housing, Revenue Bonds, *3.45%, 11/15/2032* | 45000 | 44287 |
| Maine Turnpike Authority, Refunding Revenue Bonds, Callable 7/1/2025 @ 100, *5.00%, 7/1/2026* | 50000 | 52795 |
|  |  | 626036 |

---

See accompanying notes which are an integral part of these financial statements.

40 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Maryland** 0.96% | **Principal**<br>**Amount** |<br>**Market Value** |
| City of Baltimore MD, Water Projects, Revenue Bonds, Callable 7/1/2029 @ 100, *4.00%, 7/1/2049* | $405000 | $380003 |
| **Massachusetts** 4.65% |  |  |
| Massachusetts Housing Finance Agency, Revenue Bonds, Callable 12/1/2025 @ 100, *3.25%, 12/1/2036* | 575000 | 515266 |
| Massachusetts Housing Finance Agency, Revenue Bonds, Callable 12/1/2026 @ 100, *3.75%, 12/1/2037* | 250000 | 235992 |
| Massachusetts Housing Finance Agency, Revenue Bonds, Callable 12/1/2027 @ 100, *3.25%, 12/1/2032* | 200000 | 192684 |
| Massachusetts Housing Finance Agency, Revenue Bonds, Callable 12/1/2026 @ 100, *3.55%, 12/1/2037* | 90000 | 88243 |
| Massachusetts Housing Finance Agency, Revenue Bonds, Callable 6/1/2026 @ 100, *3.15%, 12/1/2026* | 40000 | 39860 |
| Massachusetts Housing Finance Agency, State Multi-Family Housing, Revenue Bonds, *5.13%, 12/1/2039* | 65000 | 65038 |
| Massachusetts Housing Finance Agency, State Multi-Family Housing, Revenue Bonds, *4.85%, 12/1/2029* | 60000 | 60027 |
| Massachusetts School Building Authority, Revenue Bonds, Callable 2/15/2028 @ 100, *5.25%, 2/15/2048* | 500000 | 531422 |
| Massachusetts School Building Authority, Revenue Bonds, Callable 8/15/2025 @ 100, *5.00%, 8/15/2026* | 100000 | 106040 |
|  |  | 1834572 |
| **Michigan** 1.15% |  |  |
| Michigan Public Educational Facilities Authority, School Improvements, Refunding Revenue Bonds, *6.00%, 12/1/2035* | 500000 | 454365 |
| **Minnesota** 1.50% |  |  |
| Southern Minnesota Municipal Power Agency Power Supply System, Revenue Bonds, Callable 1/1/2026 @ 100, *5.00%, 1/1/2041* | 565000 | 591160 |
| **Missouri** 2.21% |  |  |
| Health & Educational Facilities Authority of the State of Missouri, Healthcare, Hospital & Nursing Home Improvements, Revenue Bonds, (OID), Callable 11/15/2024 @ 100, *4.00%, 11/15/2045* | 500000 | 461190 |
| Health & Educational Facilities Authority of the State of Missouri, Healthcare, Hospital & Nursing Home Improvements, Revenue Bonds, (OID), *3.75%, 11/15/2039* | 100000 | 91500 |
| Missouri State Health & Educational Facilities Authority, Health Facilities Revenue. Revenue Bonds, Callable 11/15/2027 @ 100, *4.00%, 11/15/2049* | 360000 | 318219 |
|  |  | 870909 |
| **Nevada** 1.85% |  |  |
| Nevada System of Higher Education, Certificates of Participation, Callable 7/1/2026 @ 100, *4.00%, 7/1/2027* | 700000 | 729154 |
| **New Jersey** 3.36% |  |  |
| Borough of Seaside Heights, NJ, General Obligation Unlimited, Callable 4/1/2025 @ 100, *4.00%, 4/1/2026* | 125000 | 128472 |
| Hudson County Improvement Authority, Refunding Revenue Bonds, (AGM), *5.40%, 10/1/2025* | 150000 | 160593 |
| New Jersey Economic Development Authority, School Improvements, Refunding Revenue Bonds, Callable 3/1/2023 @ 100, *5.00%, 3/1/2031* | 50000 | 50146 |
| New Jersey Health Care Facilities Financing Authority, Revenue Bonds, (OID), *5.00%, 7/1/2027* | 15000 | 15011 |

---

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**New Jersey (cont.)** | **Principal**<br>**Amount** |<br>**Market Value** |
| New Jersey Housing & Mortgage Finance Agency, Revenue Bonds, Callable 11/1/2025 @ 100, *3.50%, 11/1/2036* | $500000 | $474123 |
| New Jersey Housing & Mortgage Finance Agency, Revenue Bonds, Callable 11/1/2025 @ 100, *3.90%, 11/1/2050* | 175000 | 155599 |
| New Jersey St Transportation Trust Fund Authority, Revenue Bonds, Callable 12/15/2030 @ 100, *4.00%, 6/15/2045* | 100000 | 87449 |
| State of New Jersey, Public Improvements, General Obligation Unlimited, Callable 6/1/2025 @ 100, *4.00%, 6/1/2034* | 250000 | 253830 |
|  |  | 1325223 |
| **New York** 19.72% |  |  |
| City of New York NY, General Obligation Unlimited, Callable 4/1/2028 @ 100, *5.00%, 4/1/2040* | 305000 | 322591 |
| City of New York NY, General Obligation Unlimited, Callable 10/1/2029 @ 100, *5.00%, 10/1/2039* | 145000 | 155112 |
| City of New York NY, General Obligation Unlimited, Callable 3/1/2030 @ 100, *5.00%, 3/1/2043* | 150000 | 158503 |
| City of New York NY, General Obligation Unlimited, Callable 4/1/2028 @ 100, *5.00%, 4/1/2043* | 195000 | 205277 |
| Hudson Yards Infrastructure Corp., Revenue Bonds Series 2017 A, Callable 2/15/2027 @ 100, *4.00%, 2/15/2044* | 575000 | 531806 |
| Metropolitan Transportation Authority, Refunding Revenue Bonds, *5.25%, 11/15/2028* | 50000 | 51016 |
| Metropolitan Transportation Authority, Refunding Revenue Bonds, Callable 11/15/2027 @ 100, *5.00%, 11/15/2037* | 250000 | 266648 |
| Metropolitan Transportation Authority, Revenue Bonds, Callable 11/15/2027 @ 100, *5.00%, 11/15/2035* | 250000 | 269664 |
| Metropolitan Transportation Authority, Revenue Bonds, *5.00%, 11/15/2028* | 250000 | 261251 |
| Metropolitan Transportation Authority, Transit Improvements, Refunding Revenue Bonds, *5.00%, 11/15/2028* | 250000 | 263494 |
| Metropolitan Transportation Authority, Transit Improvements, Revenue Bonds, Callable 5/15/2023 @ 100, *5.00%, 11/15/2033* | 100000 | 100236 |
| New York City Housing Development Corp., Revenue Bonds, Callable 2/1/2026 @ 100, *3.50%, 11/1/2032* | 150000 | 149491 |
| New York City Housing Development Corp., Revenue Bonds, Callable 11/1/2025 @ 100, *3.60%, 11/1/2031* | 250000 | 250643 |
| New York City Housing Development Corp., Revenue Bonds, Callable 5/1/2025 @ 100, *3.10%, 11/1/2032* | 250000 | 235936 |
| New York City Transitional Finance Authority, *5.00%, 8/1/2023* | 25000 | 25307 |
| New York City Transitional Finance Authority, *5.00%, 8/1/2023* | 75000 | 75813 |
| New York City Transitional Finance Authority Building Aid Revenue, Public Improvements, Revenue Bonds, (State Aid Withholding), Callable 1/15/2025 @ 100, *5.00%, 7/15/2027* | 250000 | 260932 |
| New York City Transitional Finance Authority Building Aid Revenue, Revenue Bonds, *5.00%, 7/15/2031* | 250000 | 265569 |
| New York City Transitional Finance Authority Future Tax Secured Revenue Bonds, Callable 5/1/2027 @ 100, *4.00%, 5/1/2044* | 300000 | 282408 |
| New York City Transitional Finance Authority Future Tax Secured Revenue, Public Improvements, Revenue Bonds, Callable 8/1/2025 @ 100, *5.00%, 8/1/2027* | 25000 | 26408 |
| New York City Transitional Finance Authority Future Tax Secured Revenue, Public Improvements, Revenue Bonds, Callable 8/1/2026 @ 100, *4.00%, 8/1/2035* | 100000 | 101623 |
| New York City Transitional Finance Authority Future Tax Secured Revenue, Public Improvements, Revenue Bonds Series 2016 A-1, *5.00%, 8/1/2024* | 100000 | 103549 |
| New York City Water & Sewer System, Revenue Bonds, Callable 6/15/2027 @ 100, *5.00%, 6/15/2032* | 100000 | 109197 |

---

See accompanying notes which are an integral part of these financial statements.

42 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**New York (cont.)** | **Principal**<br>**Amount** |<br>**Market Value** |
| New York City Water & Sewer System, Revenue Bonds, Callable 6/15/2028 @ 100, *5.00%, 6/15/2049* | $500000 | $523580 |
| New York State Dormitory Authority, Refunding Revenue Bonds, (State Aid Withholding), *3.25%, 4/1/2031* | 280000 | 280059 |
| New York State Dormitory Authority, Revenue Bonds, *4.75%, 10/1/2040* | 5000 | 5003 |
| New York State Dormitory Authority, Revenue Bonds, Callable 7/1/2025 @ 100, *5.00%, 7/1/2037* | 135000 | 142545 |
| New York State Dormitory Authority, Revenue Bonds, Callable 3/15/2028 @ 100, *5.00%, 3/15/2043* | 250000 | 262354 |
| New York State Thruway Authority, Revenue Bonds, Callable 1/1/2026 @ 100, *4.00%, 1/1/2037* | 100000 | 98402 |
| New York, NY, General Obligation Unlimited, Callable 8/1/2029 @ 100, *5.00%, 8/1/2043* | 500000 | 526633 |
| Port Authority of New York & New Jersey, Revenue Bonds, Callable 11/15/2027 @ 100, *5.00%, 11/15/2030* | 250000 | 276173 |
| Port Authority of New York & New Jersey, Revenue Bonds, Callable 11/15/2027 @ 100, *5.00%, 11/15/2037* | 250000 | 267651 |
| Triborough Bridge & Tunnel Authority, Revenue Bonds, *5.00%, 11/15/2027* | 100000 | 106602 |
| Triborough Bridge & Tunnel Authority, Revenue Bonds, Callable 5/15/2031 @ 100, *5.00%, 11/15/2051* | 125000 | 132189 |
| Triborough Bridge & Tunnel Authority, Revenue Bonds, *5.00%, 11/15/2023* | 100000 | 101802 |
| Triborough Bridge & Tunnel Authority, Revenue Bonds, Callable 11/15/2025 @ 100, *5.00%, 11/15/2040* | 310000 | 322218 |
| Triborough Bridge & Tunnel Authority, Revenue Bonds, Callable 11/15/2025 @ 100, *5.00%, 11/15/2035* | 250000 | 261938 |
|  |  | 7779623 |
| **North Carolina** 0.52% |  |  |
| University of North Carolina at Charlotte (The), Revenue Bonds, Callable 10/1/2027 @ 100, *4.00%, 10/1/2037* | 100000 | 99674 |
| University of North Carolina at Charlotte (The), University & College Improvements, Revenue Bonds, Callable 4/1/2025 @ 100, *5.00%, 4/1/2040* | 100000 | 105112 |
|  |  | 204786 |
| **North Dakota** 0.25% |  |  |
| City of Bismarck, ND, Sanitary Sewer Revenue, Revenue Bonds, Callable 5/1/2025 @ 100, *3.00%, 5/1/2029* | 100000 | 100341 |
| **Pennsylvania** 11.65% |  |  |
| Allegheny County PA Hospital, Development Authority, Revenue Bonds, Callable 4/1/2028 @ 100, *4.00%, 4/1/2044* | 150000 | 136398 |
| Chester County Health and Education, Revenue Bonds, Callable 9/1/2030 @ 100, *4.00%, 9/1/2050* | 500000 | 444135 |
| City of Philadelphia, PA Water & Wastewater Revenue, Revenue Bonds Series 2021 C, Callable 10/1/2031 @ 100, *5.00%, 10/1/2046* | 500000 | 530870 |
| City of Philadelphia, PA Water & Wastewater Revenue, Revenue Bonds Series 2021 C, Callable 10/1/2031 @ 100, *4.00%, 10/1/2051* | 500000 | 451018 |
| Commonwealth Financing Authority, Tobacco Master Settlement Payment Revenue, Revenue Bonds, Callable 6/1/2028 @ 100, *4.00%, 6/1/2039* | 250000 | 246262 |
| Lehigh County PA General Purpose Authority Hospital Revenue, Revenue Bonds, Callable 7/1/2029 @ 100, *4.00%, 7/1/2049* | 500000 | 436259 |
| Pennsylvania Higher Educational Facilities Authority, Hospital Improvements, Revenue Bonds, *5.00%, 5/1/2037* | 100000 | 89408 |
| Pennsylvania Higher Educational Facilities Authority, Hospital Improvements, Revenue Bonds, *5.00%, 5/1/2042* | 100000 | 84493 |

---

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Pennsylvania (cont.)** | **Principal**<br>**Amount** |<br>**Market Value** |
| Pennsylvania Higher Educational Facilities Authority, Hospital Improvements, Revenue Bonds, (OID), *4.00%, 5/1/2032* | $100000 | $87234 |
| Pennsylvania Housing Finance Agency, Revenue Bonds, Callable 4/1/2027 @ 100, *3.65%, 10/1/2042* | 100000 | 88581 |
| Pennsylvania State Economic Development Financing Authority, Revenue Bonds Series 2017 A, Callable 11/15/2027 @ 100, *4.00%, 11/15/2047* | 400000 | 350330 |
| Pennsylvania State University, Revenue Bonds, Callable 9/1/2026 @ 100, *5.00%, 9/1/2034* | 190000 | 204130 |
| Pennsylvania State University, Revenue Bonds, Callable 9/1/2026 @ 100, *5.00%, 9/1/2035* | 125000 | 134161 |
| Pennsylvania State University, Revenue Bonds, Callable 9/1/2026 @ 100, *5.00%, 9/1/2036* | 100000 | 107113 |
| Pennsylvania Turnpike Commission, Revenue Bonds, Callable 12/1/2025 @ 100, *5.00%, 12/1/2045* | 500000 | 508096 |
| Pennsylvania Turnpike Commission, Revenue Refunding Bonds Series 2005 A, *5.25%, 7/15/2028* | 150000 | 169081 |
| Philadelphia PA Water & Wastewater Revenue, Revenue Bonds, Callable 11/1/2030 @ 100, *5.00%, 11/1/2045* | 500000 | 528829 |
|  |  | 4596398 |
| **South Dakota** 0.73% |  |  |
| South Dakota Housing Development Authority, Revenue Bonds, Callable 11/1/2025 @ 100, *2.45%, 5/1/2027* | 250000 | 242988 |
| South Dakota Housing Development Authority, Revenue Bonds, Callable 11/1/2025 @ 100, *3.13%, 11/1/2036* | 45000 | 44018 |
|  |  | 287006 |
| **Tennessee** 0.90% |  |  |
| City of Memphis, TN, Callable 4/1/2024 @ 100, *5.00%, 4/1/2044* | 80000 | 81278 |
| City of Memphis, TN, *5.00%, 4/1/2044* | 20000 | 20525 |
| Metropolitan Government of Nashville & Davidson County Convention Center Authority, Public Improvements, Revenue Bonds, *5.00%, 7/1/2026* | 200000 | 200332 |
| Tennessee Housing Development Agency, Revenue Bonds, Callable 1/1/2027 @ 100, *3.40%, 7/1/2037* | 55000 | 53163 |
|  |  | 355298 |
| **Texas** 12.93% |  |  |
| Austin TX Electric Utility System Revenue, Revenue Bonds Series 2019 B, Callable 11/15/2029 @ 100, *5.00%, 11/15/2049* | 500000 | 527068 |
| City of Houston, TX, Refunding Revenue Bonds, Callable 3/1/2029 @ 100, *4.00%, 3/1/2049* | 500000 | 458744 |
| City Public Service Board of San Antonio, TX, Revenue Bonds, Callable 8/1/2026 @ 100, *5.00%, 2/1/2032* | 250000 | 267860 |
| Clifton Higher Education Finance Corp., School Improvements, Refunding Revenue Bonds, *4.00%, 8/15/2044* | 500000 | 485531 |
| Comal Independent School District, Unlimited Tax School Building Bonds, Callable 2/1/2026 @ 100, *4.00%, 2/1/2034* | 250000 | 256276 |
| Harris County Cultural Education Facilities Finance Corp., Revenue Bonds, Callable 5/15/2026 @ 100, *4.00%, 11/15/2030* | 130000 | 133146 |
| North Texas Tollway Authority Revenue, Revenue Bonds, Series 2017 A, Callable 1/1/2028 @ 100, *4.00%, 1/1/2043* | 470000 | 442592 |
| San Antonio Public Facilities Corp., Public Improvements, Refunding Revenue Bonds, (OID), *4.00%, 9/15/2042* | 250000 | 238462 |
| San Antonio Water System, Refunding Revenue Bonds, Callable 11/15/2029 @ 100, *5.00%, 5/15/2034* | 190000 | 213226 |
| San Antonio Water System, Revenue Bonds Series 2020 A, Callable 5/15/2030 @ 100, *5.00%, 5/15/2050* | 205000 | 216870 |
| Texas Public Finance Authority, Revenue Bonds, Callable 12/1/2026 @ 100, *4.00%, 12/1/2031* | 200000 | 208026 |
| Texas State Water Development Board, Revenue Bonds Series 2019 A, Callable 10/15/2029 @ 100, *4.00%, 10/15/2037* | 500000 | 507060 |

---

See accompanying notes which are an integral part of these financial statements.

44 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Texas (cont.)** | **Principal**<br>**Amount** |<br>**Market Value** |
| Texas State Water Development Board, Revenue Bonds, Callable 10/15/2028 @ 100, *5.00%, 4/15/2049* | $450000 | $474735 |
| Texas State Water Development Board, Revenue Bonds Series 2019 A, Callable 10/15/2029 @ 100, *4.00%, 10/15/2054* | 500000 | 474593 |
| White Oak, TX, Independent School District, Unlimited Tax School Building Bonds, Callable 2/15/2027 @ 100, *4.00%, 2/15/2029* | 190000 | 197602 |
|  |  | 5101791 |
| **Utah** 1.31% |  |  |
| Utah County Utah Hospital Revenue IHC Health Services, Revenue Bonds, Callable 5/15/2026 @ 100, *5.00%, 5/15/2050* | 500000 | 517051 |
| **Vermont** 0.57% |  |  |
| Vermont Housing Finance Agency, State Multi-Family Housing, Revenue Bonds, *3.75%, 8/15/2037* | 225000 | 225021 |
| **Virginia** 0.65% |  |  |
| Virginia State Resource Authority Infrastructure, Revenue Bonds, Callable 11/1/2025 @ 100, *4.00%, 11/1/2033* | 75000 | 76725 |
| Virginia State Resource Authority Infrastructure, Revenue Bonds, Pre-Refunded, Callable 11/1/2025 @ 100, *4.00%, 11/1/2033* | 175000 | 181664 |
|  |  | 258389 |
| **Wisconsin** 0.21% |  |  |
| Wisconsin Housing & Economic Development Authority, State Multi- Family Housing, Revenue Bonds, (OID), *5.63%, 11/1/2035* | 80000 | 81497 |
| **Total Municipal Bonds** (Cost $42,818,720) |  | **39667378** |
| **Total Investments —** 100.54% (Cost $42,818,720) |  | 39667378 |
| **Liabilities in Excess of Other Assets** — (0.54)% |  | (211461) |
| **NET ASSETS** — 100.00% |  | $39455917 |

---

AGM — Assured Guaranty Municipal Corp.

AMBAC — American Municipal Bond Assurance Corp.

OID — Original Issue Discount

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME FUND** |
| **SCHEDULE OF INVESTMENTS \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Common Stocks** 13.06%<br>**Communications** 0.50% | **Shares**<br>| **Market Value**<br>|
| Verizon Communications, Inc. | 10000 | $394000 |
| Warner Bros. Discovery, Inc.<sup>(a)</sup> | 19 | 180 |
|  |  | 394180 |
| **Consumer Staples** 1.29% |  |  |
| Philip Morris International, Inc. | 10000 | 1012100 |
| **Energy** 7.51% |  |  |
| Chevron Corp. | 6500 | 1166685 |
| Enbridge, Inc. | 25000 | 977500 |
| Kinder Morgan, Inc. | 40000 | 723200 |
| Phillips 66 | 6000 | 624480 |
| TC Energy Corp. | 15000 | 597900 |
| Valero Energy Corp. | 3000 | 380580 |
| Williams Companies, Inc. (The) | 42500 | 1398250 |
|  |  | 5868595 |
| **Financials** 0.67% |  |  |
| Blackstone Group, Inc. (The), Class A | 3750 | 278213 |
| Blackstone Mortgage Trust, Inc., Class A | 11565 | 244831 |
|  |  | 523044 |
| **Health Care** 1.45% |  |  |
| AbbVie, Inc. | 7000 | 1131270 |
| **Real Estate** 1.24% |  |  |
| City Office REIT, Inc. | 10000 | 83800 |
| Hannon Armstrong Sustainable Infrastructure Capital, Inc. | 10000 | 289800 |
| Medical Properties Trust, Inc. | 5000 | 55700 |
| Physicians Realty Trust | 2000 | 28940 |
| Simon Property Group, Inc. | 3000 | 352440 |
| Spirit MTA REIT<sup>(a)(b)</sup> | 2000 |  |
| Spirit Realty Capital, Inc. | 4000 | 159720 |
|  |  | 970400 |
| **Utilities** 0.40% |  |  |
| Duke Energy Corp. | 3000 | 308970 |
| **Total Common Stocks** (Cost $8,617,058) |  | **10208559** |
| **Preferred Stocks** 20.13% |  |  |
| **Financials** 14.09% |  |  |
| Affiliated Managers Group, Inc., 4.20% | 10000 | 147400 |
| Affiliated Managers Group, Inc., 4.75% | 10000 | 168200 |
| Allstate Corp. (The), Series I, 4.75% | 20000 | 400200 |
| American Financial Group, Inc., 5.13% | 15000 | 309150 |
| American Financial Group, Inc., 5.63% | 20000 | 430200 |
| Athene Holding Ltd., Series C, 6.38% | 10000 | 239400 |
| Athene Holding Ltd., Series D, 4.88% | 20000 | 340800 |
| Bank of America Corp., Series HH, 5.88% | 8000 | 185600 |
| Bank of America Corp., Series LL, 5.00% | 20000 | 389000 |

---

See accompanying notes which are an integral part of these financial statements.

46 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Financials (cont.)** | **Shares** | **Market Value** |
| Bank of America Corp., Series NN, 4.38% | 10000 | $175500 |
| Bank of America Corp., Series PP, 4.13% | 16667 | 278339 |
| Bank of America Corp., Series QQ, 4.25% | 10000 | 169500 |
| Brighthouse Financial, Inc., Series C, 5.38% | 20000 | 348200 |
| Capital One Financial Corp., Series J, 4.80% | 10000 | 174000 |
| Capital One Financial Corp., Series K, 4.63% | 12334 | 215833 |
| CNO Financial Group, Inc., 5.13% | 2000 | 33820 |
| Equitable Holdings, Inc., Series C, 4.30% | 20000 | 353800 |
| First Republic Bank, Series J, 4.70% | 20000 | 371000 |
| First Republic Bank, Series K, 4.13% | 13667 | 218672 |
| First Republic Bank, Series L, 4.25% | 10000 | 164300 |
| First Republic Bank, Series N, 4.50% | 10000 | 172600 |
| Fulton Financial Corp., Series A, 5.13% | 6000 | 117780 |
| Huntington Bancshares, Inc., Series H, 4.50% | 10000 | 169600 |
| JPMorgan Chase & Co., Series EE, 6.00% | 20000 | 495200 |
| JPMorgan Chase & Co., Series GG, 4.75% | 20000 | 385200 |
| JPMorgan Chase & Co., Series JJ, 4.55% | 10000 | 186100 |
| KeyCorp, Series G, 5.63% | 15000 | 311400 |
| MetLife, Inc., Series F, 4.75% | 25000 | 488750 |
| Morgan Stanley, Series O, 4.25% | 10000 | 171800 |
| Northern Trust Corp., Series E, 4.70% | 18640 | 369072 |
| Prudential Financial, Inc., 4.13% | 3530 | 64069 |
| Prudential Financial, Inc., 5.63% | 10000 | 244800 |
| Prudential Financial, Inc., 5.95% | 10000 | 242200 |
| RenaissanceRE Holdings Ltd., Series G, 4.20% | 500 | 8115 |
| Selective Insurance Group, Inc., Series B, 4.60% | 1000 | 16750 |
| State Street Corp., 5.35% | 1000 | 23510 |
| Truist Financial Corp., Series R, 4.75% | 16334 | 311816 |
| U.S. Bancorp, Series L, 3.75% | 20000 | 310000 |
| U.S. Bancorp, Series M, 4.00% | 10000 | 162400 |
| W.R. Berkley Corp., 5.10% | 20000 | 405600 |
| Washington Federal, Inc., Series A, 4.88% | 10000 | 176500 |
| Wells Fargo & Co., Series AA, 4.70% | 20000 | 367800 |
| Wells Fargo & Co., Series CC, 4.38% | 20000 | 340600 |
| Wells Fargo & Co., Series Z, 4.75% | 20000 | 366400 |
|  |  | 11020976 |
| **Real Estate** 2.40% |  |  |
| Brookfield Property Partners LP, Series A, 5.75% | 7500 | 101475 |
| Diversified Healthcare Trust, 5.63% | 26660 | 287928 |
| Federal Realty Investment Trust, Series C, 5.00% | 7500 | 151350 |
| PS Business Parks, Inc., 5.20% | 4000 | 53400 |
| PS Business Parks, Inc., 5.25% | 10000 | 134500 |
| Public Storage, Series I, 4.88% | 9583 | 193097 |
| Public Storage, Series L, 4.63% | 10000 | 191100 |
| Public Storage, Series M, 4.13% | 3889 | 66930 |
| Public Storage, Series N, 3.88% | 20000 | 325400 |
| Public Storage, Series S, 4.10% | 10000 | 170800 |
| Vornado Realty Trust, 5.40% | 12298 | 198859 |
|  |  | 1874839 |
| **Technology** 0.12% |  |  |
| Pitney Bowes, Inc., 6.70% | 5700 | 93765 |

---

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Utilities** 3.52% | **Shares** | **Market Value** |
| BIP Bermuda Holdings I Ltd, 5.125% | 10000 | $162000 |
| Brookfield Infrastructure Partners LP, 5.00% | 10000 | 153900 |
| Brookfield Infrastructure Partners LP, 5.13% | 20000 | 320998 |
| DTE Energy Co., Series G, 4.38% | 20000 | 381600 |
| Entergy Arkansas, Inc., 4.88% | 20000 | 402000 |
| Entergy Louisiana LLC, 4.88% | 10000 | 202700 |
| Entergy Mississippi, Inc., 4.90% | 30000 | 611100 |
| Southern Co., 4.95% | 21000 | 412440 |
| Southern Co., Series C, 4.20% | 6000 | 104100 |
|  |  | 2750838 |
| **Total Preferred Stocks** (Cost $21,399,294) |  | **15740418** |
|  | **Principal<br> Amount** |  |
| **Collateralized Mortgage Obligations** 0.08% |  |  |
| CHL Mortgage Pass-Through Trust, Series 2005-21, Class A27, *5.50%, 10/25/2035* | $16870 | 10405 |
| CHL Mortgage Pass-Through Trust, Series 2005-21, Class A7, *5.50%, 10/25/2035* | 18238 | 11248 |
| Citicorp Mortgage Securities, Inc., Class 1A12, *5.00%, 2/25/2035* | 41784 | 37432 |
| **Total Collateralized Mortgage Obligations** (Cost $56,584) |  | **59085** |
| **Corporate Bonds** 10.73% |  |  |
| Bank of New York Mellon Corp. (The), *4.63%, 12/20/2049* | 500000 | 427620 |
| Bank of New York Mellon Corp. (The), *3.70%, 3/20/2169* | 100000 | 89491 |
| Entergy Texas, Inc., *5.15%, 6/1/2045* | 100000 | 88537 |
| Exelon Generation Co. LLC, *5.60%, 6/15/2042*<sup>(b)(c)</sup> | 400000 | 348896 |
| Fifth Third Bancorp, *8.25%, 3/1/2038* | 250000 | 311905 |
| General Electric Co., *8.10%, 12/29/2049* | 765000 | 754437 |
| Goldman Sachs Group, Inc. (The), *6.45%, 5/1/2036* | 500000 | 522912 |
| Goldman Sachs Group, Inc. (The), *6.75%, 10/1/2037* | 850000 | 907852 |
| Hospitality Properties Trust, *4.50%, 3/15/2025* | 500000 | 432063 |
| Kinder Morgan Energy Partners LP, *6.50%, 2/1/2037* | 250000 | 254075 |
| MetLife, Inc., *9.25%, 4/8/2038*<sup>(c)</sup> | 1500000 | 1749455 |
| MetLife, Inc., *10.75%, 8/1/2039* | 1000000 | 1330780 |
| PECO Energy Capital Trust IV, *5.75%, 6/15/2033* | 1000000 | 901367 |
| Valero Energy Corp., *8.75%, 6/15/2030* | 224000 | 265616 |
| **Total Corporate Bonds** (Cost $8,846,001) |  | **8385006** |

---

See accompanying notes which are an integral part of these financial statements.

48 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Municipal Bonds** 57.38%<br>**Alabama** 2.29% | **Principal<br> Amount**<br>| **Market Value**<br>|
| Health Care Authority for Baptist Health (The), Refunding Revenue Bonds, *5.50%, 11/15/2043* | $2000000 | $1789611 |
| **Arizona** 0.51% |  |  |
| Arizona School Facilities Board, School Improvements, Certificates of Participation, *6.00%, 9/1/2027* | 225000 | 231582 |
| Phoenix Arizona Civic Improvement Corp. Excise Tax Revenue, Revenue Bonds, Callable 7/1/2030 @ 100, *2.70%, 7/1/2045* | 250000 | 167033 |
|  |  | 398615 |
| **California** 5.32% |  |  |
| Alhambra Unified School District, University & College Improvements, General Obligation Unlimited, *6.70%, 2/1/2026* | 465000 | 482312 |
| California State University, Revenue Bonds Series 2020 B, Callable 5/1/2030 @ 100, *3.07%, 11/1/2042* | 50000 | 37005 |
| City & County of San Francisco, CA, General Obligation Unlimited, *6.26%, 6/15/2030* | 450000 | 483296 |
| County of San Bernardino, CA, Refunding Revenue Bonds, *6.02%, 8/1/2023* | 45000 | 45240 |
| Peralta Community College District, Refunding Revenue Bonds, *6.91%, 8/1/2025* | 500000 | 516431 |
| Peralta Community College District, Refunding Revenue Bonds, *7.31%, 8/1/2031* | 310000 | 330378 |
| San Bernardino City Unified School District, School Improvements, Certificates of Participation, (AGM) (OID), *8.05%, 2/1/2023* | 1000000 | 1001857 |
| San Bernardino City Unified School District, School Improvements, Certificates of Participation, (AGM) (OID), *8.25%, 2/1/2026* | 500000 | 537981 |
| University of California Revenues, Revenue Bonds, Callable 5/15/2030 @ 100, *6.30%, 5/15/2050* | 260000 | 271823 |
| University of California Revenues, Revenue Bonds, *4.13%, 5/15/2045* | 250000 | 214208 |
| University of California, University & College Improvements, Refunding Revenue Bonds, *3.66%, 5/15/2027* | 250000 | 236793 |
|  |  | 4157324 |
| **Colorado** 0.71% |  |  |
| Colorado Mesa University, University & College Improvements, Build America Revenue Bonds, (State Higher Education Intercept Program), *6.75%, 5/15/2042* | 500000 | 557620 |
| **Connecticut** 0.38% |  |  |
| State of Connecticut, General Obligation Unlimited, *5.85%, 3/15/2032* | 280000 | 295914 |
| **Florida** 4.29% |  |  |
| City of Miami Gardens, FL, Public Improvements, Build America Bonds, Certificates of Participation, *7.17%, 6/1/2026* | 875000 | 908222 |
| City of Tallahassee, FL, Utility System Revenue, Build America Revenue Bonds, *5.22%, 10/1/2040* | 300000 | 293533 |
| County of Miami-Dade, FL Transit System, Transit Improvements, Build America Revenue Bonds, *5.53%, 7/1/2032* | 500000 | 509421 |
| County of Miami-Dade, FL, Port, Airport & Marina Improvements, Build America Revenue Bonds, (AGM) (OID), *7.50%, 4/1/2040* | 1000000 | 1186214 |
| County of Miami-Dade, FL, Recreational Facility Improvements, Revenue Bonds, (AGM), *7.08%, 10/1/2029* | 250000 | 278233 |
| Town of Miami Lakes, FL, Public Improvements, Build America Revenue Bonds, *7.59%, 12/1/2030* | 150000 | 170415 |
|  |  | 3346038 |
| **Georgia** 3.16% |  |  |
| Cobb Marietta Georgia Coliseum, Revenue Bonds, Callable 1/1/2026 @ 100, *4.50%, 1/1/2047* | 100000 | 91274 |

---

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Georgia (cont.)** | **Principal<br> Amount** | **Market Value** |
| Municipal Electric Authority of Georgia, Electric Lights & Power Improvements, Build America Revenue Bonds, *7.06%, 4/1/2057* | $1422000 | $1443564 |
| State of Georgia, Public Improvements, General Obligation Unlimited, Callable 2/1/2024 @ 100, *3.84%, 2/1/2032* | 1000000 | 932705 |
|  |  | 2467543 |
| **Hawaii** 0.59% |  |  |
| State of Hawaii, General Obligation Unlimited, Callable 10/1/2025 @ 100, *4.05%, 10/1/2032* | 495000 | 462254 |
| **Idaho** 0.51% |  |  |
| Idaho Water Resource Board, Water Utility Improvements, Revenue Bonds, (OID), *5.25%, 9/1/2024* | 400000 | 400077 |
| **Illinois** 2.16% |  |  |
| City of Chicago, IL Waterworks Revenue, Water Utility Improvements, Build America Revenue Bonds, *6.74%, 11/1/2040* | 250000 | 273144 |
| Village of Glenwood, IL, Public Improvements, Build America Bonds, General Obligation Unlimited, (AGM), *7.03%, 12/1/2028* | 1330000 | 1419191 |
|  |  | 1692335 |
| **Indiana** 2.41% |  |  |
| Anderson School Building Corp., Refunding Bonds, General Obligation Limited, Callable 7/5/2023 @ 100, *3.95%, 7/5/2029* | 1000000 | 942080 |
| Anderson School Building Corp., Refunding Bonds, General Obligation Limited, (OID), Callable 7/5/2023 @ 100, *3.75%, 7/5/2028* | 1000000 | 943075 |
|  |  | 1885155 |
| **Kansas** 0.30% |  |  |
| Wyandotte County Unified School District No. 500 Kansas City, General Obligation Unlimited Series 2020 B, Callable 9/1/2030 @ 100, *3.17%, 9/1/2046* | 330000 | 234043 |
| **Kentucky** 0.39% |  |  |
| Kentucky State Property & Building Commission, Economic Improvements, University & College Improvements, Build America Revenue Bonds, *5.37%, 11/1/2025* | 305000 | 306594 |
| **Louisiana** 0.09% |  |  |
| East Baton Rouge Parish, LA Sewerage Commission, Revenue Refunding Bonds Series 2020 B, *2.44%, 2/1/2039* | 100000 | 70641 |
| **Massachusetts** 0.52% |  |  |
| City of Worcester, MA, Pension Funding, General Obligation Limited, (AGM) (OID), *6.25%, 1/1/2028* | 125000 | 127435 |
| Massachusetts Health & Educational Facilities Authority, Refunding Revenue Bonds, *6.43%, 10/1/2035* | 250000 | 266969 |
| University of Massachusetts Building Authority, University & College Improvements, Build America Revenue Bonds, *6.57%, 5/1/2039* | 15000 | 15013 |
|  |  | 409417 |
| **Michigan** 1.10% |  |  |
| Comstock Park Public Schools, School Improvements, General Obligation Unlimited, *6.20%, 5/1/2024* | 200000 | 200203 |
| Michigan Finance Authority, School Improvements, Revenue Bonds, *6.38%, 11/1/2025* | 500000 | 500405 |
| Onsted Community Schools, School Improvements, General Obligation Unlimited, *5.90%, 5/1/2027* | 150000 | 151040 |

---

See accompanying notes which are an integral part of these financial statements.

50 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Michigan (cont.)** | **Principal<br> Amount** | **Market Value** |
| St. Johns Public Schools, General Obligation Unlimited, *6.65%, 5/1/2040* | $5000 | $5124 |
|  |  | 856772 |
| **Mississippi** 0.92% |  |  |
| Mississippi Development Bank, Highway Improvements, Build America Revenue Bonds, *6.59%, 1/1/2035* | 650000 | 715702 |
| **Missouri** 4.05% |  |  |
| City of Kansas City, MO, Revenue Bonds, *7.83%, 4/1/2040* | 2295000 | 2596051 |
| Missouri Joint Municipal Electric Utility Commission, Electric Lights & Power Improvements, Build America Revenue Bonds, *7.73%, 1/1/2039* | 475000 | 574641 |
|  |  | 3170692 |
| **Nebraska** 0.26% |  |  |
| Nebraska Public Power District, Electric Lights & Power Improvements, Build America Revenue Bonds, *5.32%, 1/1/2030* | 200000 | 199794 |
| **Nevada** 1.34% |  |  |
| County of Washoe, NV, Public Improvements, Build America Revenue Bonds, *7.97%, 2/1/2040* | 590000 | 724320 |
| County of Washoe, NV, Public Improvements, Build America Revenue Bonds, *7.88%, 2/1/2040* | 250000 | 320694 |
|  |  | 1045014 |
| **New Jersey** 1.59% |  |  |
| New Jersey Educational Facilities Authority, University & College Improvements, Build America Revenue Bonds, *6.19%, 7/1/2040* | 500000 | 468603 |
| Township of Brick, NJ, General Obligation Unlimited, *3.75%, 9/1/2028* | 780000 | 774254 |
|  |  | 1242857 |
| **New York** 5.00% |  |  |
| City of New York, NY, Public Improvements, Build America Bonds, General Obligation Unlimited, *5.70%, 3/1/2027* | 145000 | 149082 |
| City of New York, NY, Public Improvements, Build America Bonds, General Obligation Unlimited, *5.21%, 10/1/2031* | 100000 | 101208 |
| County of Nassau, NY, Public Improvements, Build America Bonds, General Obligation Unlimited, *5.38%, 10/1/2024* | 500000 | 502558 |
| Long Island Power Authority, Revenue Bonds, (OID), *5.85%, 5/1/2041* | 195000 | 201465 |
| Metropolitan Transportation Authority, Revenue Bonds, *5.87%, 11/15/2039* | 200000 | 193047 |
| Metropolitan Transportation Authority, Transit Improvements, Build America Revenue Bonds, *6.59%, 11/15/2030* | 145000 | 148791 |
| Metropolitan Transportation Authority, Transit Improvements, Build America Revenue Bonds, *5.99%, 11/15/2030* | 125000 | 129496 |
| Metropolitan Transportation Authority, Transit Improvements, Build America Revenue Bonds, *6.20%, 11/15/2026* | 105000 | 106796 |
| New York City Industrial Development Agency, Recreational Facilities Improvements Revenue Bonds, (NATL-RE), *5.90%, 3/1/2046* | 580000 | 569760 |
| New York City Transitional Finance Authority Building Aid Revenue, School Improvements, Build America Revenue Bonds, (State Aid Withholding), *6.83%, 7/15/2040* | 500000 | 561111 |
| New York City Transitional Finance Authority Future Tax Secured Revenue, Public Improvements, Build America Revenue Bonds, *5.47%, 5/1/2036* | 815000 | 816933 |
| Port Authority of New York & New Jersey, Port, Airport & Marina Improvements, Revenue Bonds, *3.92%, 10/15/2028* | 115000 | 107094 |
| Triborough Bridge & Tunnel Authority, Revenue Bonds, Callable 11/15/2033 @ 100, *5.55%, 11/15/2040* | 150000 | 151211 |
| Western Nassau County Water Authority, Build America Revenue Bonds, *6.70%, 4/1/2040* | 150000 | 165038 |
|  |  | 3903590 |

---

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**North Carolina** 0.30% | **Principal<br> Amount** | **Market Value** |
| County of Cabarrus, NC, School Improvements, Revenue Bonds, *5.50%, 4/1/2026* | $235000 | $235663 |
| **Ohio** 3.40% |  |  |
| American Municipal Power, Inc., Electric Lights & Power Improvements, Build America Revenue Bonds, *7.50%, 2/15/2050* | 500000 | 601482 |
| American Municipal Power, Inc., Revenue Bonds, *6.27%, 2/15/2050* | 480000 | 508482 |
| Cincinnati City School District, Refunding Bonds, Certificates of Participation, (OID), Callable 12/15/2024 @ 100, *4.00%, 12/15/2032* | 200000 | 185755 |
| County of Cuyahoga, OH, Hospital Improvements, Build America Revenue Bonds, *8.22%, 2/15/2040* | 1000000 | 1153854 |
| Springfield Local School District/Summit County, School Improvements, Build America Bonds, General Obligation Unlimited (School District Credit Program), *5.65%, 9/1/2031* | 200000 | 200188 |
|  |  | 2649761 |
| **Pennsylvania** 3.19% |  |  |
| Pennsylvania Turnpike Commission Turnpike Revenue, Revenue Bonds, Callable 12/1/2029 @ 100, *3.58%, 12/1/2043* | 390000 | 294694 |
| Pennsylvania Turnpike Commission, Build America Revenue Bonds, *6.38%, 12/1/2037* | 520000 | 574962 |
| Philadelphia Authority for Industrial Development, Pension Funding, Revenue Bonds, (AGM) (OID), *6.35%, 4/15/2028* | 130000 | 134993 |
| Philadelphia Municipal Authority, Public Improvements, Revenue Bonds, *5.09%, 3/15/2028* | 500000 | 484441 |
| Sports & Exhibition Authority of Pittsburgh and Allegheny County, Recreational Facilities Improvements, Revenue Bonds, *7.04%, 11/1/2039* | 1000000 | 1011128 |
|  |  | 2500218 |
| **Rhode Island** 0.22% |  |  |
| Narragansett Bay Commission, Revenue Bonds Series 2020 A, Callable 9/1/2030 @ 100, *2.92%, 9/1/2043* | 250000 | 172109 |
| **Texas** 1.65% |  |  |
| Frisco Economic Development Corp., Public Improvements, Revenue Bonds, *4.20%, 2/15/2034* | 1000000 | 940584 |
| Grand Parkway Transportation Corp., Revenue Bonds Series 2020 B, Callable 4/1/2030 @ 100, *3.24%, 10/1/2052* | 100000 | 71137 |
| Midland County Hospital District, Health, Hospital & Nursing Home Improvements, Build America Bonds, General Obligation Limited, *6.44%, 5/15/2039* | 260000 | 285675 |
|  |  | 1297396 |
| **Virgin Islands** 2.56% |  |  |
| Virgin Islands Water & Power Authority- Electric System, Electric Lights & Power Improvements, Build America Revenue Bonds, (AGM), *6.65%, 7/1/2028* | 840000 | 884363 |
| Virgin Islands Water & Power Authority- Electric System, Electric Lights & Power Improvements, Build America Revenue Bonds, (AGM), *6.85%, 7/1/2035* | 1000000 | 1118750 |
|  |  | 2003113 |
| **Virginia** 6.39% |  |  |
| Tobacco Settlement Financing Corp., Refunding Revenue Bonds, (OID), Callable 6/1/2025 @ 100, *6.71%, 6/1/2046* | 5540000 | 4996211 |
| **Washington** 1.67% |  |  |
| City of Seattle, WA, Municipal Light & Power Revenue, Electric Lights & Power Improvements, Build America Revenue Bonds, (OID), *5.57%, 2/1/2040* | 250000 | 252620 |
| Douglas County Public Utility District No. 1, Electric Lights & Power Improvements, Revenue Bonds, *5.35%, 9/1/2030* | 250000 | 253404 |
| Public Utility District No. 1 of Cowlitz County, WA, Electric Lights & Power Improvements, Build America Revenue Bonds, *6.88%, 9/1/2032* | 500000 | 555623 |

---

See accompanying notes which are an integral part of these financial statements.

52 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Washington (cont.)** | **Principal<br> Amount** | **Market Value** |
| Snohomish County Public Utility District No. 1, Electric Lights & Power Improvements, Build America Revenue Bonds, (OID), *5.68%, 12/1/2040* | $250000 | $252730 |
|  |  | 1314377 |
| **Wisconsin** 0.11% |  |  |
| State of Wisconsin, General Obligation Unlimited, *2.35%, 5/1/2031* | 100000 | 82661 |
| **Total Municipal Bonds** (Cost $45,149,860) |  | **44859111** |
| **Total Investments —** 101.38% (Cost $84,068,797) |  | 79252179 |
| **Liabilities in Excess of Other Assets** — (1.38)% |  | (1076123) |
| **NET ASSETS —** 100.00% |  | $78176056 |

---

*(a)* *Non-income producing security.* 

*(b)* *Security is currently being valued according to the fair value procedures approved by the Board of Directors.* 

*(c)* *Security exempt from registration under Rule 144A or Section 4(2) of the Securities Act of 1933. The security may be resold in transactions exempt from registration, normally to qualified institutional buyers.* 

AGM — Assured Guaranty Municipal Corp.

NATL-RE — Insured by National Public Finance Guarantee Corp.

OID — Original Issue Discount

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME & OPPORTUNITY FUND** |
| **SCHEDULE OF INVESTMENTS \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Common Stocks** 42.87%<br>**Communications** 4.64% | **Shares**<br>| **Market Value**<br>|
| Alphabet, Inc., Class A<sup>(a)</sup> | 5000 | $441150 |
| Alphabet, Inc., Class C<sup>(a)</sup> | 3800 | 337174 |
| Walt Disney Co. (The)<sup>(a)</sup> | 1000 | 86880 |
|  |  | 865204 |
| **Consumer Discretionary** 3.27% |  |  |
| Amazon.com, Inc.<sup>(a)</sup> | 3500 | 294000 |
| Home Depot, Inc. (The) | 1000 | 315860 |
|  |  | 609860 |
| **Energy** 6.76% |  |  |
| Cheniere Energy Partners LP | 2300 | 130801 |
| Energy Transfer LP | 15000 | 178050 |
| Enterprise Products Partners LP | 10000 | 241200 |
| Kinder Morgan, Inc. | 7500 | 135600 |
| Magellan Midstream Partners LP | 2000 | 100420 |
| MPLX LP | 8850 | 290634 |
| Viper Energy Partners LP | 3200 | 101728 |
| Williams Companies, Inc. (The) | 2500 | 82250 |
|  |  | 1260683 |
| **Financials** 3.56% |  |  |
| Blackstone Group, Inc. (The), Class A | 5500 | 408045 |
| Blackstone Mortgage Trust, Inc., Class A | 3207 | 67892 |
| Fifth Third Bancorp | 3400 | 111554 |
| Starwood Property Trust, Inc. | 4175 | 76528 |
|  |  | 664019 |
| **Health Care** 3.47% |  |  |
| AbbVie, Inc. | 4000 | 646440 |
| **Industrials** 3.54% |  |  |
| Caterpillar, Inc. | 700 | 167692 |
| Deere & Co. | 1150 | 493074 |
|  |  | 660766 |
| **Materials** 0.27% |  |  |
| Dow, Inc. | 1000 | 50390 |
| **Real Estate Investment Trusts (REITs) 4.55%** |  |  |
| Prologis, Inc. | 3000 | 338190 |
| Sun Communities, Inc. | 714 | 102102 |
| Terreno Realty Corp. | 4000 | 227480 |
| Welltower, Inc. | 1160 | 76038 |
| WP Carey, Inc. | 1340 | 104721 |
|  |  | 848531 |
| **Technology** 11.67% |  |  |
| Apple, Inc. | 3250 | 422272 |
| Crowdstrike Holdings, Inc., Class A<sup>(a)</sup> | 350 | 36852 |
| MasterCard, Inc., Class A | 200 | 69546 |
| Microsoft Corp. | 2000 | 479640 |
| NVIDIA Corp. | 7500 | 1096050 |
| Visa, Inc., Class A | 350 | 72716 |
|  |  | 2177076 |

---

See accompanying notes which are an integral part of these financial statements.

54 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME & OPPORTUNITY FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Utilities** 1.14% | **Shares** | **Market Value** |
| American Electric Power Co., Inc. | 1155 | $109667 |
| Duke Energy Corp. | 1000 | 102990 |
|  |  | 212657 |
| **Total Common Stocks** (Cost $5,422,545) |  | **7995626** |
| **Exchange-Traded Funds** 0.86% |  |  |
| ProShares Short S&P 500 ETF | 10000 | 160300 |
| **Total Exchange-Traded Funds** (Cost $152,650) |  | **160300** |
| **Preferred Stocks** 11.58% |  |  |
| **Financials** 6.97% |  |  |
| Affiliated Managers Group, Inc., 4.20% | 5000 | 73700 |
| Arch Capital Group Ltd., Series G, 4.55% | 5000 | 86350 |
| Bank of America Corp., Series QQ, 4.25% | 5000 | 84750 |
| Bank of America Corp., Series SS, 4.75% | 5000 | 94050 |
| Brighthouse Financial, Inc. Series D, 4.63% | 6000 | 91200 |
| Capital One Financial Corp., Series K, 4.63% | 6166 | 107899 |
| First Republic Bank, Series K, 4.13% | 1333 | 21328 |
| Globe Life, Inc., 4.25% | 1000 | 17900 |
| JPMorgan Chase & Co., Series JJ, 4.55% | 5000 | 93050 |
| JPMorgan Chase & Co., Series LL 4.63% | 6000 | 113040 |
| Morgan Stanley, Series O, 4.25% | 5000 | 85900 |
| Prudential Financial, Inc., 4.13% | 1765 | 32035 |
| RenaissanceRE Holdings Ltd., Series G, 4.20% | 350 | 5680 |
| Truist Financial Corp., Series R, 4.75% | 8166 | 155889 |
| U.S. Bancorp, Series L, 3.75% | 10000 | 155000 |
| Wells Fargo & Co., Series DD, 4.25% | 5000 | 82350 |
|  |  | 1300121 |
| **Real Estate** 2.16% |  |  |
| Hudson Pacific Properties Inc., Series C, 4.75% | 6000 | 75180 |
| Public Storage, 5.05% | 5000 | 108150 |
| Public Storage, Series M, 4.13% | 1944 | 33456 |
| Public Storage, Series R, 4.00% | 6000 | 100200 |
| Public Storage, Series S, 4.10% | 5000 | 85400 |
|  |  | 402386 |
| **Utilities** 2.45% |  |  |
| Brookfield Infrastructure Partners LP, 5.13% | 10000 | 160499 |
| Southern Co., 5.25% | 14000 | 296520 |
|  |  | 457019 |
| **Total Preferred Stocks** (Cost $3,093,922) |  | **2159526** |

---

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME & OPPORTUNITY FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Corporate Bonds** 2.41% | **Principal**<br>**Amount** |<br>**Market Value** |
| Apple, Inc., *2.20%, 9/11/2029* | $250000 | $217344 |
| Microsoft Corp., *3.30%, 2/6/2027* | 240000 | 231903 |
| **Total Corporate Bonds** (Cost $498,041) |  | **449247** |
| **Municipal Bonds** 41.11% |  |  |
| **Arizona** 3.16% |  |  |
| City of Tucson, AZ, Certificates of Participation, (AGM), *4.83%, 7/1/2034* | 620000 | 588953 |
| **California** 5.16% |  |  |
| California State University, Revenue Bonds Series 2020 B, Callable 5/1/2030 @ 100, *3.07%, 11/1/2042* | 50000 | 37005 |
| City of Newport Beach, CA, Public Improvements, Certificates of Participation, *7.17%, 7/1/2040* | 800000 | 925241 |
|  |  | 962246 |
| **Florida** 5.14% |  |  |
| Pasco County School Board, School Improvements, Certificates of Participation, *5.00%, 12/1/2037* | 1000000 | 958637 |
| **Kansas** 5.85% |  |  |
| Kansas Development Finance Authority, Revenue Bonds, *4.73%, 4/15/2037* | 1000000 | 969782 |
| Wyandotte County Unified School District No. 500 Kansas City, General Obligation Unlimited Series 2020 B, Callable 9/1/2030 @ 100, *3.17%, 9/1/2046* | 170000 | 120568 |
|  |  | 1090350 |
| **Nevada** 0.66% |  |  |
| County of Washoe, NV, Public & Highway Improvements, Build America Revenue Bonds, *7.97%, 2/1/2040* | 100000 | 122766 |
| **New York** 3.90% |  |  |
| New York City Transitional Finance Authority Building Aid Revenue, School Improvements, Miscellaneous Purposes Revenue Bonds, *5.00%, 7/15/2030* | 300000 | 298993 |
| New York State Dormitory Authority, Revenue Bonds, Callable 7/1/2026 @ 100, *3.88%, 7/1/2046* | 250000 | 197739 |
| Port Authority of New York & New Jersey, Callable 6/1/2025 @ 100, *4.82%, 6/1/2045* | 250000 | 230566 |
|  |  | 727298 |
| **Ohio** 7.13% |  |  |
| American Municipal Power, Inc., Electric Lights & Power Improvements, Build America Revenue Bonds, *7.83%, 2/15/2041* | 1000000 | 1224494 |
| American Municipal Power, Inc., Electric Lights & Power Improvements, Build America Revenue Bonds, *5.94%, 2/15/2047* | 100000 | 104245 |
|  |  | 1328739 |
| **Pennsylvania** 5.41% |  |  |
| City of Reading, PA, General Obligation Unlimited, (AGM) (OID), Callable 11/1/2024 @ 100, *5.30%, 11/1/2033* | 1000000 | 1009442 |
| **Rhode Island** 0.92% |  |  |
| Narragansett Bay Commission, Revenue Bonds Series 2020 A, Callable 9/1/2030 @ 100, *2.92%, 9/1/2043* | 250000 | 172109 |

---

See accompanying notes which are an integral part of these financial statements.

56 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME & OPPORTUNITY FUND** |
| **SCHEDULE OF INVESTMENTS (CONT.) \| DECEMBER 31, 2022** |

---

---

| | | |
|:---|:---|:---|
| <br>**Tennessee** 3.59% | **Principal**<br>**Amount** |<br>**Market Value** |
| Metropolitan Government of Nashville & Davidson County Convention Center Authority, Public Improvements, Revenue Bonds, *7.43%, 7/1/2043* | $500000 | $579175 |
| Metropolitan Government of Nashville & Davidson County, General Obligation Unlimited, *3.49%, 7/1/2029* | 100000 | 90087 |
|  |  | 669262 |
| **Texas** 0.19% |  |  |
| Grand Parkway Transportation Corp., Revenue Bonds Series 2020 B, Callable 4/1/2030 @ 100, *3.24%, 10/1/2052* | 50000 | 35568 |
| **Total Municipal Bonds** (Cost $7,597,669) |  | **7665370** |
| **Total Investments —** 98.83% (Cost $16,764,827) |  | 18430069 |
| **Other Assets in Excess of Liabilities** — 1.17% |  | 217601 |
| **NET ASSETS —** 100.00% |  | $18647670 |

---

*(a)* *Non-income producing security.* 

AGM — Assured Guaranty Municipal Corp.

ETF — Exchange-Traded Fund

OID — Original Issue Discount

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **STATEMENTS OF ASSETS AND LIABILITIES** |
| **DECEMBER 31, 2022** |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| <br>**ASSETS** | **Spirit of America**<br>**Real Estate Income**<br>**and Growth Fund** | **Spirit of America**<br>**Large Cap Value**<br>**Fund** | **Spirit of America**<br>**Municipal Tax Free**<br>**Bond Fund** |<br>**Spirit of America**<br>**Income Fund** | **Spirit of America**<br>**Income &**<br>**Opportunity Fund** |
| Investments in securities at fair value (cost $77,323,644, $72,312,416, $42,818,720, $84,068,797 and $16,764,827, respectively) | $90452232 | $123277208 | $39667378 | $79252179 | $18430069 |
| Receivable for investments sold |  | 186059 |  |  | 373692 |
| Receivable for Fund shares sold | 948 | 33493 | 2416 | 2122 | 48 |
| Dividends and interest receivable | 469989 | 97179 | 465858 | 952443 | 158974 |
| Reclaims receivable |  |  |  |  |  |
| Prepaid expenses | 11098 | 13172 | 3037 | 15489 | 3451 |
| **TOTAL ASSETS** | **90934267** | **123607111** | **40138689** | **80222233** | **18966234** |
| **LIABILITIES** |  |  |  |  |  |
| Cash overdraft |  | 171838 |  | 258322 | 43933 |
| Line of credit payable |  | 661738 | 597784 | 1565130 | 175348 |
| Payable for Fund shares redeemed | 19799 | 37764 | 125 | 111859 | 50700 |
| Payable for distributions to shareholders |  |  | 23507 |  |  |
| Payable for investment advisory fees | 77776 | 104657 | 10490 | 36305 | 6434 |
| Payable for distribution (12b-1) fees | 23898 | 32590 | 5450 | 18090 | 4553 |
| Payable for accounting and administration fees | 7529 | 7325 | 2470 | 5127 | 1258 |
| Chief Compliance Officer | 440 | 420 | 147 | 300 | 74 |
| Payable for transfer agent fees | 2338 | 2263 | 859 | 2878 | 583 |
| Other accrued expenses | 45911 | 47469 | 41940 | 48166 | 35681 |
| **TOTAL LIABILITIES** | **177691** | **1066064** | **682772** | **2046177** | **318564** |
| **NET ASSETS** | $90756576 | $122541047 | $39455917 | $78176056 | $18647670 |
| **SOURCE OF NET ASSETS** |  |  |  |  |  |
| As of December 31, 2022, net assets consisted of: |  |  |  |  |  |
| Paid-in capital | $77691158 | $70852548 | $50621734 | $81824360 | $18980002 |
| Accumulated earnings (deficits) | 13065418 | 51688499 | (11165817) | (3648304) | (332332) |
| **NET ASSETS** | $90756576 | $122541047 | $39455917 | $78176056 | $18647670 |
| **NET ASSETS:** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Class A Shares | $90566617 | $122332716 | $39308698 | $77766525 | $18169385 |
| &nbsp;&nbsp;&nbsp;Class C Shares | $178158 | $194069 | $138556 | $398443 | $469416 |
| &nbsp;&nbsp;&nbsp;Institutional Shares | $11801 | $14262 | $8663 | $11088 | $8869 |
| **SHARES OUTSTANDING ($0.001 par value, 500,000,000 authorized shares):** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Class A Shares | 9928262 | 5525673 | 4657449 | 7756543 | 2299723 |
| &nbsp;&nbsp;&nbsp;Class C Shares | 19877 | 8754 | 16462 | 39721 | 59578 |
| &nbsp;&nbsp;&nbsp;Institutional Shares | 1326 | 645 | 1029 | 1102 | 1129 |
| **NET ASSET VALUE AND REDEMPTION PRICE PER SHARE** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Class A Shares<sup>(a)</sup> | $9.12 | $22.14 | $8.44 | $10.03 | $7.90 |
| &nbsp;&nbsp;&nbsp;&nbsp;Class C Shares<sup>(b)</sup> | $8.96 | $22.17 | $8.42 | $10.03 | $7.88 |
| &nbsp;&nbsp;&nbsp;Institutional Shares | $8.90 | $22.12 <sup>(c)</sup> | $8.42 <sup>(c)</sup> | $10.06 | $7.86 |
| **OFFERING PRICE PER SHARE (100%/(100%-maximum sales charge) of net asset value adjusted to the nearest cent) per share:** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Class A Shares | $9.63 | $23.37 | $8.86 | $10.53 | $8.29 |
| **MAXIMUM SALES CHARGE:** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Class A Shares | 5.25% | 5.25% | 4.75% | 4.75% | 4.75% |

---

*<sup>(a)</sup>* *A contingent deferred sales charge of 1.00% may be charged on shares held less than one year where an indirect commission was paid.*

 

*<sup>(b)</sup>* *A contingent deferred sales charge of 1.00% may be charged on shares held less than 13 months.*

*<sup>(c)</sup>* *Per share amounts may not recalculate due to rounding of net assets and/or shares outstanding.*

See accompanying notes which are an integral part of these financial statements.

58 SPIRIT OF AMERICA

---

| |
|:---|
| **STATEMENTS OF OPERATIONS** |
| **FOR THE YEAR ENDED DECEMBER 31, 2022** |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| <br>**INVESTMENT INCOME** | **Spirit of America**<br>**Real Estate Income**<br>**and Growth Fund** | **Spirit of America**<br>**Large Cap Value**<br>**Fund** | **Spirit of America**<br>**Municipal Tax Free**<br>**Bond Fund** |<br>**Spirit of America**<br>**Income Fund** | **Spirit of America**<br>**Income &**<br>**Opportunity Fund** |
| Dividends | $3105655 | $2656112 | $1168 | $1355356 | $286554 |
| Foreign dividend taxes | 1528 | (3911) |  | (19762) | 41 |
| Interest | 7885 |  | 1366347 | 3429147 | 446671 |
| **TOTAL INVESTMENT INCOME** | **3115068** | **2652201** | **1367515** | **4764741** | **733266** |
| **EXPENSES** |  |  |  |  |  |
| Investment advisory | 1070644 | 1293632 | 290983 | 578872 | 150838 |
| Distribution (12b-1) — Class A Shares | 330494 | 399358 | 72520 | 240103 | 56695 |
| Distribution (12b-1) — Class C Shares | 1982 | 2302 | 1417 | 4255 | 5184 |
| Accounting and Administration | 72719 | 85420 | 31426 | 62247 | 14998 |
| Registration | 35924 | 30706 | 40242 | 37939 | 30651 |
| Transfer agent | 26831 | 26927 | 8918 | 30622 | 4982 |
| Auditing | 24800 | 24801 | 24800 | 24800 | 24800 |
| Sub transfer agent | 23981 | 23872 | 7527 | 26286 | 4566 |
| Insurance | 19336 | 24991 | 10723 | 20758 | 4701 |
| Directors | 18862 | 22409 | 8524 | 16630 | 4108 |
| Printing | 17126 | 16516 | 6724 | 13101 | 5457 |
| Custodian | 14464 | 14659 | 4870 | 8028 | 4800 |
| Legal | 12033 | 13892 | 4796 | 9649 | 2400 |
| Interest | 6605 | 2493 | 9689 | 15294 | 5460 |
| Chief Compliance Officer | 4370 | 5122 | 1873 | 3715 | 900 |
| Pricing | 1821 | 2711 | 30904 | 20017 | 4731 |
| Line of credit | 1564 | 1841 | 665 | 1342 | 334 |
| Other | 20887 | 22183 | 19872 | 24629 | 19419 |
| **TOTAL EXPENSES** | **1704443** | **2013835** | **576473** | **1138287** | **345024** |
| Fees waived by Adviser |  |  | (128720) | (57831) | (45634) |
| **NET EXPENSES** | **1704443** | **2013835** | **447753** | **1080456** | **299390** |
| **NET INVESTMENT INCOME** | **1410625** | **638366** | **919762** | **3684285** | **433876** |
| **REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS** |  |  |  |  |  |
| Net realized gain (loss) from investment transactions | 4961989 | 8515904 | (383502) | 2655594 | (247021) |
| Net realized loss on foreign currency transactions |  | (34) |  | (490) |  |
| Net change in unrealized depreciation of investments | (45181077) | (36714039) | (5677383) | (20187089) | (6494992) |
| Net change in unrealized depreciation of foreign currency transactions |  |  |  | (135) |  |
| **NET REALIZED AND UNREALIZED LOSS ON INVESTMENTS** | (40219088) | (28198169) | (6060885) | (17532120) | (6742013) |
| **NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS** | $**(38808463)** | $**(27559803)** | $**(5141123)** | $**(13847835)** | $**(6308137)** |

---

See accompanying notes which are an integral part of these financial statements.

**STATEMENTS OF CHANGES IN NET ASSETS**

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Spirit of America** | **Spirit of America** | **Spirit of America** | **Spirit of America** |
| | **Real Estate Income and Growth Fund** | **Real Estate Income and Growth Fund** | **Large Cap Value Fund** | **Large Cap Value Fund** |
| | **For the Year** | **For the Year** | **For the Year** | **For the Year** |
| | **Ended** | **Ended** | **Ended** | **Ended** |
| | **December 31, 2022** | **December 31, 2021** | **December 31, 2022** | **December 31, 2021** |
| <br>**OPERATIONS** | | | | |
| Net investment income | $1410625 | $696749 | $638366 | $82027 |
| Net realized gain (loss) from investment and foreign currency transactions | 4961989 | 9038521 | 8515870 | 12397405 |
| Net change in unrealized appreciation (depreciation) of investments and foreign currency transactions | (45181077) | 27150040 | (36714039) | 24273756 |
| Net increase (decrease) in net assets resulting from operations | (38808463) | 36885310 | (27559803) | 36753188 |
| **DISTRIBUTIONS TO SHAREHOLDERS FROM** |  |  |  |  |
| Earnings: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Class A Shares | (7062689) | (7553255) | (10882304) | (9337158) |
| &nbsp;&nbsp;&nbsp;Class C Shares | (13086) | (8233) | (16573) | (17585) |
| &nbsp;&nbsp;&nbsp;Institutional Shares | (917) | (1137) | (1261) | (1042) |
| Return of capital: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Class A Shares | (1300482) |  | (506944) | (895843) |
| &nbsp;&nbsp;&nbsp;Class C Shares | (1910) |  |  |  |
| &nbsp;&nbsp;&nbsp;Institutional Shares | (176) |  | (79) | (100) |
| Total distributions to shareholders | (8379260) | (7562625) | (11407161) | (10251728) |
| **CAPITAL TRANSACTIONS** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Class A Shares: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares sold | 20865037 | 28594738 | 18948198 | 21872349 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares issued from reinvestment of distributions | 6060405 | 5568843 | 8405915 | 7628189 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares redeemed | (22631957) | (12680540) | (23604134) | (27153709) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total – Class A Shares | 4293485 | 21483041 | 3749979 | 2346829 |
| &nbsp;&nbsp;&nbsp;Class C Shares: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares sold | 63049 | 121522 | 27500 | 42925 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares issued from reinvestment of distributions | 10284 | 4841 | 4125 | 5368 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares redeemed | (27504) | (170986) | (78928) | (49707) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total – Class C Shares | 45829 | (44623) | (47303) | (1414) |
| &nbsp;&nbsp;&nbsp;Institutional Shares: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares issued from reinvestment of distributions | 1093 | 1137 | 1341 | 1141 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares redeemed |  | (3759) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total – Institutional Shares | 1093 | (2622) | 1341 | 1141 |
| Increase (decrease) in net assets derived from capital share transactions | 4340407 | 21435796 | 3704017 | 2346556 |
| Total increase (decrease) in Net Assets | (42847316) | 50758481 | (35262947) | 28848016 |
| **NET ASSETS** |  |  |  |  |
| Beginning of year | 133603892 | 82845411 | 157803994 | 128955978 |
| End of year | $90756576 | $133603892 | $122541047 | $157803994 |
| **SHARE TRANSACTIONS** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Class A Shares: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares sold | 1808804 | 2314697 | 752673 | 800065 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares issued from reinvestment of distributions | 629407 | 435093 | 376184 | 265218 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares redeemed | (2104320) | (1057494) | (928882) | (998594) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total – Class A Shares | 333891 | 1692296 | 199975 | 66689 |
| &nbsp;&nbsp;&nbsp;Class C Shares: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares sold | 5300 | 9463 | 1077 | 1444 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares issued from reinvestment of distributions | 1089 | 368 | 185 | 186 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares redeemed | (2319) | (15675) | (2945) | (1944) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total – Class C Shares | 4070 | (5844) | (1683) | (314) |
| &nbsp;&nbsp;&nbsp;Institutional Shares: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares issued from reinvestment of distributions | 117 | 92 | 60 | 40 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares redeemed |  | (284) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total – Institutional Shares | 117 | (192) | 60 | 40 |

---

See accompanying notes which are an integral part of these financial statements.

60 SPIRIT OF AMERICA

**STATEMENTS OF CHANGES IN NET ASSETS (CONT.)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Spirit of America** | **Spirit of America** | **Spirit of America** | **Spirit of America** | **Spirit of America** | **Spirit of America** |
| **Municipal Tax Free Bond Fund** | **Municipal Tax Free Bond Fund** | **Income Fund** | **Income Fund** | **Income & Opportunity Fund** | **Income & Opportunity Fund** |
| **For the Year** | **For the Year** | **For the Year** | **For the Year** | **For the Year** | **For the Year** |
| **Ended** | **Ended** | **Ended** | **Ended** | **Ended** | **Ended** |
| **December 31, 2022** | **December 31, 2021** | **December 31, 2022** | **December 31, 2021** | **December 31, 2022** | **December 31, 2021** |
| $919762 | $1304788 | $3684285 | $5120862 | $433876 | $760034 |
| (383502) | 89293 | 2655104 | 1979637 | (247021) | (307945) |
| (5677383) | (836051) | (20187224) | (1401531) | (6494992) | 3376180 |
| (5141123) | 558030 | (13847835) | 5698968 | (6308137) | 3828269 |
| (918075) | (1301229) | (6535212) | (6116674) | (412335) | (708804) |
| (1505) | (3363) | (27950) | (18434) | (9315) | (13035) |
| (182) | (196) | (877) | (636) | (203) | (292) |
|  |  |  |  | (997336) | (815342) |
|  |  |  |  | (21317) | (14995) |
|  |  |  |  | (463) | (336) |
| (919762) | (1304788) | (6564039) | (6135744) | (1440969) | (1552804) |
| 1435637 | 6138659 | 8958538 | 12554745 | 2047944 | 5440440 |
| 574461 | 822409 | 3825124 | 3803136 | 891534 | 945959 |
| (19054427) | (14769755) | (33834470) | (31949311) | (6214088) | (4180353) |
| (17044329) | (7808687) | (21050808) | (15591430) | (3274610) | 2206046 |
| 600 | 25000 | 73860 | 30000 | 29298 | 72069 |
| 1122 | 2985 | 21814 | 12482 | 30005 | 28030 |
| (150) | (203464) | (44568) | (67248) | (18115) | (109004) |
| 1572 | (175479) | 51106 | (24766) | 41188 | (8905) |
| 182 | 196 | 877 | 636 | 666 | 628 |
| 182 | 196 | 877 | 636 | 666 | 628 |
| (17042575) | (7983970) | (20998825) | (15615560) | (3232756) | 2197769 |
| (23103460) | (8730728) | (41410699) | (16052336) | (10981862) | 4473234 |
| 62559377 | 71290105 | 119586755 | 135639091 | 29629532 | 25156298 |
| $39455917 | $62559377 | $78176056 | $119586755 | $18647670 | $29629532 |
| 162031 | 646519 | 794665 | 1003653 | 211876 | 507165 |
| 66259 | 86827 | 359736 | 305429 | 108557 | 87783 |
| (2179580) | (1558623) | (3016715) | (2554740) | (674787) | (395418) |
| (1951290) | (825277) | (1862314) | (1245658) | (354354) | 199530 |
| 70 | 2642 | 6419 | 2405 | 3260 | 6689 |
| 130 | 315 | 2078 | 1002 | 3665 | 2610 |
| (16) | (21691) | (4057) | (5444) | (2093) | (10342) |
| 184 | (18734) | 4440 | (2037) | 4832 | (1043) |
| 22 | 20 | 82 | 51 | 82 | 58 |
| 22 | 20 | 82 | 51 | 82 | 58 |

---

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA REAL ESTATE INCOME AND GROWTH FUND** |
| **CLASS A SHARES** |
| **FINANCIAL HIGHLIGHTS** |
| The table below sets forth financial data for one share of beneficial interest outstanding throughout the period presented. |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** |
|  | **2022** | **2021** | **2020** | **2019** | **2018** |
| **Net Asset Value, Beginning of Period** | $13.90 | $10.45 | $11.96 | $10.03 | $11.65 |
| **From Investment Operations:** |  |  |  |  |  |
| Net investment income | 0.14<sup>1</sup> | 0.08<sup>1</sup> | 0.15<sup>1</sup> | 0.09 | 0.15<sup>1</sup> |
| Net realized and unrealized gain (loss) on investments | (4.07) | 4.22 | (0.81) | 2.69 | (0.92) |
| Total from investment operations | (3.93) | 4.30 | (0.66) | 2.78 | (0.77) |
| **Less Distributions:** |  |  |  |  |  |
| Distributions from net investment income | (0.17) | (0.14) | (0.11) | (0.09) | (0.40) |
| Distributions from net capital gains | (0.55) | (0.71) | (0.04) | (0.76) | (0.45) |
| Distributions from return of capital | (0.13) |  | (0.70) |  |  |
| Total distributions | (0.85) | (0.85) | (0.85) | (0.85) | (0.85) |
| **Net Asset Value, End of Period** | $9.12 | $13.90 | $10.45 | $11.96 | $10.03 |
| **Total Return<sup>2</sup>** | (28.46)% | 42.03% | (5.13)% | 28.06% | (6.85)% |
| **Ratios and Supplemental Data:** |  |  |  |  |  |
| Net assets, end of year (000) | $90567 | $133371 | $82609 | $90679 | $80761 |
| Ratio of net expenses to average net assets | 1.54% | 1.52% | 1.59% | 1.54% | 1.54% |
| Ratio of net investment income to average net assets | 1.28% | 0.68% | 1.05% | 0.74% | 1.35% |
| Portfolio turnover rate | 16% | 17% | 18% | 4% | 4% |

---

*1* *Calculated based on the average number of shares outstanding during the period.*

*2* *Calculation does not reflect sales load.*

See accompanying notes which are an integral part of these financial statements.

62 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA REAL ESTATE INCOME AND GROWTH FUND** |
| **CLASS C SHARES** |
| **FINANCIAL HIGHLIGHTS** |
| The table below sets forth financial data for one share of beneficial interest outstanding throughout the period presented. |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** |
|  | **2022** | **2021** | **2020** | **2019** | **2018** |
| **Net Asset Value, Beginning of Period** | $13.68 | $10.26 | $11.77 | $9.90 | $11.56 |
| **From Investment Operations:** |  |  |  |  |  |
| Net investment income | 0.07<sup>1</sup> | 0.01<sup>1</sup> | 0.08<sup>1</sup> | 0.08 | 0.11<sup>1</sup> |
| Net realized and unrealized gain (loss) on investments | (4.01) | 4.14 | (0.81) | 2.57 | (0.94) |
| Total from investment operations | (3.94) | 4.15 | (0.73) | 2.65 | (0.83) |
| **Less Distributions:** |  |  |  |  |  |
| Distributions from net investment income | (0.13) | (0.02) | (0.10) | (0.08) | (0.38) |
| Distributions from net capital gains | (0.55) | (0.71) | (0.04) | (0.70) | (0.45) |
| Distributions from return of capital | (0.10) |  | (0.64) |  |  |
| Total distributions | (0.78) | (0.73) | (0.78) | (0.78) | (0.83) |
| **Net Asset Value, End of Period** | $8.96 | $13.68 | $10.26 | $11.77 | $9.90 |
| **Total Return<sup>2</sup>** | (28.98)% | 41.07% | (5.85)% | 27.15% | (7.44)% |
| **Ratios and Supplemental Data:** |  |  |  |  |  |
| Net assets, end of year (000) | $178 | $216 | $222 | $211 | $118 |
| Ratio of net expenses to average net assets | 2.25% | 2.22% | 2.29% | 2.24% | 2.24% |
| Ratio of net investment income to average net assets | 0.62% | 0.06% | 0.41% | 0.16% | 0.97% |
| Portfolio turnover rate | 16% | 17% | 18% | 4% | 4% |

---

*1* *Calculated based on the average number of shares outstanding during the period.*

*2* *Calculation does not reflect contingent deferred sales charge.*

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA REAL ESTATE INCOME AND GROWTH FUND** |
| **INSTITUTIONAL SHARES** |
| **FINANCIAL HIGHLIGHTS** |
| The table below sets forth financial data for one share of beneficial interest outstanding throughout the period presented. |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **For the Year** | **For the Year** | |
|  | **Ended** | **Ended** | |
|  | **December 31** | **December 31** | **For the**<br>**Period Ended**<br>**December 31,** |
|  | **2022** | **2021** | **2020\*** |
| **Net Asset Value, Beginning of Period** | $13.60 | $10.24 | $9.67 |
| **From Investment Operations:** |  |  |  |
| Net investment income | 0.17<sup>1</sup> | 0.11<sup>1</sup> | 0.14<sup>1</sup> |
| Net realized and unrealized gain (loss) on investments | (3.99) | 4.14 | 1.31 |
| Total from investment operations | (3.82) | 4.25 | 1.45 |
| **Less Distributions:** |  |  |  |
| Distributions from net investment income | (0.19) | (0.18) | (0.12) |
| Distributions from net capital gains | (0.55) | (0.71) | (0.04) |
| Distributions from return of capital | (0.14) |  | (0.72) |
| Total distributions | (0.88) | (0.89) | (0.88) |
| **Net Asset Value, End of Period** | $8.90 | $13.60 | $10.24 |
| **Total Return** | (28.26)% | 42.39% | 15.52% <sup>2</sup> |
| **Ratios and Supplemental Data:** |  |  |  |
| Net assets, end of year (000) | $12 | $16 | $14 |
| Ratio of net expenses to average net assets | 1.24% | 1.22% | 1.29% <sup>3</sup> |
| Ratio of net investment income to average net assets | 1.59% | 0.89% | 1.53% <sup>3</sup> |
| Portfolio turnover rate | 16% | 17% | 18% <sup>2</sup> |

---

*\** *For the period May 1, 2020 (commencement of operations) to December 31, 2020.*

*<sup>1</sup>* *Calculated based on the average number of shares outstanding during the period.*

*<sup>2</sup>* *Not annualized.*

*<sup>3</sup>* *Annualized.*

See accompanying notes which are an integral part of these financial statements.

64 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA LARGE CAP VALUE FUND** |
| **CLASS A SHARES** |
| **FINANCIAL HIGHLIGHTS** |
| The table below sets forth financial data for one share of beneficial interest outstanding throughout the period presented. |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** |
|  | **2022** | **2021** | **2020** | **2019** | **2018** |
| **Net Asset Value, Beginning of Period** | $29.57 | $24.47 | $22.53 | $18.53 | $21.59 |
| **From Investment Operations:** |  |  |  |  |  |
| Net investment income | 0.12<sup>1</sup> | 0.02<sup>1</sup> | 1.08<sup>1</sup> | 0.13<sup>1</sup> | 0.15<sup>1</sup> |
| Net realized and unrealized gain (loss) on investments | (5.38) | 7.05 | 2.26 | 5.27 | (1.81) |
| Total from investment operations | (5.26) | 7.07 | 3.34 | 5.40 | (1.66) |
| **Less Distributions:** |  |  |  |  |  |
| Distributions from net investment income | (0.10) | (0.01) | (0.17) | (0.13) | (0.15) |
| Distributions from net capital gains | (1.97) | (1.79) | (0.90) | (0.80) | (0.78) |
| Distributions from return of capital | (0.10) | (0.17) | (0.33) | (0.47) | (0.47) |
| Total distributions | (2.17) | (1.97) | (1.40) | (1.40) | (1.40) |
| **Net Asset Value, End of Period** | $22.14 | $29.57 | $24.47 | $22.53 | $18.53 |
| **Total Return**<sup>2</sup>** | (17.70)% | 29.27% | 15.49% | 29.54% | (7.87)% |
| **Ratios and Supplemental Data:** |  |  |  |  |  |
| Net assets, end of year (000) | $122333 | $157478 | $128680 | $113819 | $88939 |
| Ratio of net expenses to average net assets | 1.51% | 1.50% | 1.53% | 1.52% | 1.52% |
| Ratio of net investment income to average net assets | 0.48% | 0.06% | 0.82% | 0.60% | 0.70% |
| Portfolio turnover rate | 10% | 11% | 15% | 8% | 13% |

---

*1* *Calculated based on the average number of shares outstanding during the period.*

*2* *Calculation does not reflect sales load.*

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA LARGE CAP VALUE FUND** |
| **CLASS C SHARES** |
| **FINANCIAL HIGHLIGHTS** |
| The table below sets forth financial data for one share of beneficial interest outstanding throughout the period presented. |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** |
|  | **2022** | **2021** | **2020** | **2019** | **2018** |
| **Net Asset Value, Beginning of Period** | $29.56 | $24.48 | $22.59 | $18.52 | $21.62 |
| **From Investment Operations:** |  |  |  |  |  |
| Net investment income (loss) | (0.06) <sup>1</sup> | (0.18) <sup>1</sup> | 0.88<sup>1</sup> | (0.02) <sup>1</sup> | —<sup>1,2</sup> |
| Net realized and unrealized gain (loss) on investments | (5.36) | 7.05 | 2.30 | 5.26 | (1.80) |
| Total from investment operations | (5.42) | 6.87 | 3.18 | 5.24 | (1.80) |
| **Less Distributions:** |  |  |  |  |  |
| Distributions from net investment income |  |  | (0.13) | (0.08) | (0.12) |
| Distributions from net capital gains | (1.97) | (1.79) | (0.90) | (0.80) | (0.78) |
| Distributions from return of capital |  |  | (0.26) | (0.29) | (0.40) |
| Total distributions | (1.97) | (1.79) | (1.29) | (1.17) | (1.30) |
| **Net Asset Value, End of Period** | $22.17 | $29.56 | $24.48 | $22.59 | $18.52 |
| **Total Return<sup>3</sup>** | (18.29)% | 28.37% | 14.70% | 28.59% | (8.50)% |
| **Ratios and Supplemental Data:** |  |  |  |  |  |
| Net assets, end of year (000) | $194 | $308 | $263 | $40 | $83 |
| Ratio of net expenses to average net assets | 2.21% | 2.20% | 2.23% | 2.22% | 2.22% |
| Ratio of net investment (loss) income to average net assets | (0.24)% | (0.64)% | (0.09)% | (0.10)% | 0.01% |
| Portfolio turnover rate | 10% | 11% | 15% | 8% | 13% |

---

*1* *Calculated based on the average number of shares outstanding during the period.*

*2* *Rounds to less than 0.005 per share.*

*3* *Calculation does not reflect contingent deferred sales charge.*

See accompanying notes which are an integral part of these financial statements.

66 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA LARGE CAP VALUE FUND** |
| **INSTITUTIONAL SHARES** |
| **FINANCIAL HIGHLIGHTS** |
| The table below sets forth financial data for one share of beneficial interest outstanding throughout the period presented. |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **For the Year** | **For the Year** | |
|  | **Ended** | **Ended** | |
|  | **December 31** | **December 31** | **For the**<br>**Period Ended**<br>**December 31,** |
|  | **2022** | **2021** | **2020\*** |
| **Net Asset Value, Beginning of Period** | $29.56 | $24.46 | $19.57 |
| **From Investment Operations:** |  |  |  |
| Net investment income | 0.20<sup>1</sup> | 0.10<sup>1</sup> | 1.02<sup>1</sup> |
| Net realized and unrealized gain (loss) on investments | (5.39) | 7.06 | 5.34 |
| Total from investment operations | (5.19) | 7.16 | 6.36 |
| **Less Distributions:** |  |  |  |
| Distributions from net investment income | (0.15) | (0.02) | (0.19) |
| Distributions from net capital gains | (1.97) | (1.79) | (0.90) |
| Distributions from return of capital | (0.13) | (0.25) | (0.38) |
| Total distributions | (2.25) | (2.06) | (1.47) |
| **Net Asset Value, End of Period** | $22.12 | $29.56 | $24.46 |
| **Total Return** | (17.48)% | 29.64% | 33.28% <sup>2</sup> |
| **Ratios and Supplemental Data:** |  |  |  |
| Net assets, end of year (000) | $14 | $17 | $13 |
| Ratio of net expenses to average net assets | 1.21% | 1.20% | 1.23% <sup>3</sup> |
| Ratio of net investment income to average net assets | 0.78% | 0.36% | 0.80% <sup>3</sup> |
| Portfolio turnover rate | 10% | 11% | 15% <sup>2</sup> |

---

*\** *For the period May 1, 2020 (commencement of operations) to December 31, 2020.*

*<sup>1</sup>* *Calculated based on the average number of shares outstanding during the period.*

*<sup>2</sup>* *Not annualized.*

*<sup>3</sup>* *Annualized.*

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND** |
| **CLASS A SHARES** |
| **FINANCIAL HIGHLIGHTS** |
| The table below sets forth financial data for one share of beneficial interest outstanding throughout the period presented. |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** |
|  | **2022** | **2021** | **2020** | **2019** | **2018** |
| **Net Asset Value, Beginning of Period** | $9.44 | $9.54 | $9.45 | $9.26 | $9.47 |
| **From Investment Operations:** |  |  |  |  |  |
| Net investment income | 0.17 | 0.18 | 0.24 | 0.27 | 0.30 |
| Net realized and unrealized gain (loss) on investments | (1.00) | (0.10) | 0.09 | 0.19 | (0.21) |
| Total from investment operations | (0.83) | 0.08 | 0.33 | 0.46 | 0.09 |
| **Less Distributions:** |  |  |  |  |  |
| Distributions from net investment income | (0.17) | (0.18) | (0.24) | (0.27) | (0.30) |
| Total distributions | (0.17) | (0.18) | (0.24) | (0.27) | (0.30) |
| **Net Asset Value, End of Period** | $8.44 | $9.44 | $9.54 | $9.45 | $9.26 |
| **Total Return<sup>1</sup>** | (8.87)% | 0.88% | 3.56% | 5.06% | 0.96% |
| **Ratios and Supplemental Data:** |  |  |  |  |  |
| Net assets, end of year (000) | $39309 | $62397 | $70947 | $69002 | $72818 |
| Ratio of expenses to average net assets: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Before expense waiver or recoupment | 1.19% | 1.10% | 1.11% | 1.13% <sup>2</sup> | 1.11% <sup>2</sup> |
| &nbsp;&nbsp;&nbsp;&nbsp;After expense waiver or recoupment | 0.92% | 0.90% | 0.90% | 0.92% <sup>2</sup> | 0.92% <sup>2</sup> |
| Ratio of net investment income to average net assets | 1.90% | 1.94% | 2.55% | 2.92% | 3.21% |
| Portfolio turnover rate | —% | 11% | 18% | 6% | —% |

---

*1* *Calculation does not reflect sales load.*

---

| | |
|:---|:---|
| *2* | *Includes interest expense of 0.02%.* |

---

See accompanying notes which are an integral part of these financial statements.

68 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND** |
| **CLASS C SHARES** |
| **FINANCIAL HIGHLIGHTS** |
| The table below sets forth financial data for one share of beneficial interest outstanding throughout the period presented. |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** |
|  | **2022** | **2021** | **2020** | **2019** | **2018** |
| **Net Asset Value, Beginning of Period** | $9.42 | $9.52 | $9.43 | $9.23 | $9.45 |
| **From Investment Operations:** |  |  |  |  |  |
| Net investment income | 0.09 | 0.10 | 0.16 | 0.19 | 0.22 |
| Net realized and unrealized gain (loss) on investments | (1.00) | (0.10) | 0.09 | 0.20 | (0.22) |
| Total from investment operations | (0.91) |  | 0.25 | 0.39 |  |
| **Less Distributions:** |  |  |  |  |  |
| Distributions from net investment income | (0.09) | (0.10) | (0.16) | (0.19) | (0.22) |
| Total distributions | (0.09) | (0.10) | (0.16) | (0.19) | (0.22) |
| **Net Asset Value, End of Period** | $8.42 | $9.42 | $9.52 | $9.43 | $9.23 |
| **Total Return<sup>1</sup>** | (9.66)% | 0.03% | 2.70% | 4.30% | 0.00% |
| **Ratios and Supplemental Data:** |  |  |  |  |  |
| Net assets, end of year (000) | $139 | $153 | $333 | $335 | $155 |
| Ratio of expenses to average net assets: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Before expense waiver or recoupment | 2.04% | 1.95% | 1.96% | 1.98% <sup>2</sup> | 1.96% <sup>2</sup> |
| &nbsp;&nbsp;&nbsp;&nbsp;After expense waiver or recoupment | 1.77% | 1.75% | 1.75% | 1.77% <sup>2</sup> | 1.77% <sup>2</sup> |
| Ratio of net investment income to average net assets | 1.06% | 1.11% | 1.71% | 2.03% | 2.27% |
| Portfolio turnover rate | —% | 11% | 18% | 6% | —% |

---

*1* *Calculation does not reflect contingent deferred sales charge.*

---

| | |
|:---|:---|
| *2* | *Includes interest expense of 0.02%.* |

---

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND** |
| **INSTITUTIONAL SHARES** |
| **FINANCIAL HIGHLIGHTS** |
| The table below sets forth financial data for one share of beneficial interest outstanding throughout the period presented. |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **For the Year** | **For the Year** | |
|  | **Ended** | **Ended** | |
|  | **December 31** | **December 31** | **For the**<br>**Period Ended**<br>**December 31,** |
|  | **2022** | **2021** | **2020\*** |
| **Net Asset Value, Beginning of Period** | $9.42 | $9.52 | $9.28 |
| **From Investment Operations:** |  |  |  |
| Net investment income | 0.18 | 0.20 | 0.16 |
| Net realized and unrealized gain (loss) on investments | (1.00) | (0.10) | 0.24 |
| Total from investment operations | (0.82) | 0.10 | 0.40 |
| **Less Distributions:** |  |  |  |
| Distributions from net investment income | (0.18) | (0.20) | (0.16) |
| Total distributions | (0.18) | (0.20) | (0.16) |
| **Net Asset Value, End of Period** | $8.42 | $9.42 | $9.52 |
| **Total Return** | (8.75)% | 1.03% | 4.37% <sup>1</sup> |
| **Ratios and Supplemental Data:** |  |  |  |
| Net assets, end of year (000) | $9 | $9 | $9 |
| Ratio of expenses to average net assets: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Before expense waiver or recoupment | 1.04% | 0.95% | 0.96% <sup>2</sup> |
| &nbsp;&nbsp;&nbsp;&nbsp;After expense waiver or recoupment | 0.77% | 0.75% | 0.75% <sup>2</sup> |
| Ratio of net investment income to average net assets | 2.06% | 2.08% | 2.60% <sup>2</sup> |
| Portfolio turnover rate | —% | 11% | 18% <sup>1</sup> |

---

*\** *For the period May 1, 2020 (commencement of operations) to December 31, 2020.*

*<sup>1</sup>* *Not annualized.*

*<sup>2</sup>* *Annualized.*

See accompanying notes which are an integral part of these financial statements.

70 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME FUND** |
| **CLASS A SHARES** |
| **FINANCIAL HIGHLIGHTS** |
| The table below sets forth financial data for one share of beneficial interest outstanding throughout the period presented. |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** |
|  | **2022** | **2021** | **2020** | **2019** | **2018** |
| **Net Asset Value, Beginning of Period** | $12.39 | $12.44 | $12.21 | $11.42 | $12.06 |
| **From Investment Operations:** |  |  |  |  |  |
| Net investment income | 0.44 | 0.50 | 0.44 | 0.44 | 0.44 |
| Net realized and unrealized gain (loss) on investments | (1.99) | 0.06 | 0.26 | 0.87 | (0.54) |
| Total from investment operations | (1.55) | 0.56 | 0.70 | 1.31 | (0.10) |
| **Less Distributions:** |  |  |  |  |  |
| Distributions from net investment income | (0.43) | (0.46) | (0.43) | (0.39) | (0.48) |
| Distributions from net capital gains | (0.38) | (0.15) | (0.04) | (0.07) |  |
| Distributions from return of capital |  |  |  | (0.06) | (0.06) |
| Total distributions | (0.81) | (0.61) | (0.47) | (0.52) | (0.54) |
| **Net Asset Value, End of Period** | $10.03 | $12.39 | $12.44 | $12.21 | $11.42 |
| **Total Return<sup>1</sup>** | (12.69)% | 4.59% | 5.95% | 11.64% | (0.87)% |
| **Ratios and Supplemental Data:** |  |  |  |  |  |
| Net assets, end of year (000) | $77767 | $119137 | $135162 | $132166 | $136223 |
| Ratio of expenses to average net assets: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Before expense waiver or recoupment | 1.18% | 1.14% <sup>2</sup> | 1.15% | 1.14% <sup>2</sup> | 1.13% <sup>3</sup> |
| &nbsp;&nbsp;&nbsp;&nbsp;After expense waiver or recoupment | 1.12% | 1.11% <sup>2</sup> | 1.10% | 1.11% <sup>2</sup> | 1.12% <sup>3</sup> |
| Ratio of net investment income to average net assets | 3.83% | 3.98% | 3.70% | 3.74% | 3.87% |
| Portfolio turnover rate | 1% | 4% | 20% | 3% | 1% |

---

*1* *Calculation does not reflect sales load.*

---

| | |
|:---|:---|
| *2* | *Includes interest expense of 0.01%.* |

---

---

| | |
|:---|:---|
| *3* | *Includes interest expense of 0.02%.* |

---

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME FUND** |
| **CLASS C SHARES** |
| **FINANCIAL HIGHLIGHTS** |
| The table below sets forth financial data for one share of beneficial interest outstanding throughout the period presented. |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** |
|  | **2022** | **2021** | **2020** | **2019** | **2018** |
| **Net Asset Value, Beginning of Period** | $12.39 | $12.45 | $12.22 | $11.43 | $12.08 |
| **From Investment Operations:** |  |  |  |  |  |
| Net investment income | 0.35 | 0.40 | 0.36 | 0.38 | 0.38 |
| Net realized and unrealized gain (loss) on investments | (1.98) | 0.06 | 0.25 | 0.84 | (0.58) |
| Total from investment operations | (1.63) | 0.46 | 0.61 | 1.22 | (0.20) |
| **Less Distributions:** |  |  |  |  |  |
| Distributions from net investment income | (0.35) | (0.37) | (0.34) | (0.32) | (0.40) |
| Distributions from net capital gains | (0.38) | (0.15) | (0.04) | (0.07) |  |
| Distributions from return of capital |  |  |  | (0.04) | (0.05) |
| Total distributions | (0.73) | (0.52) | (0.38) | (0.43) | (0.45) |
| **Net Asset Value, End of Period** | $10.03 | $12.39 | $12.45 | $12.22 | $11.43 |
| **Total Return<sup>1</sup>** | (13.34)% | 3.72% | 5.18% | 10.79% | (1.69)% |
| **Ratios and Supplemental Data:** |  |  |  |  |  |
| Net assets, end of year (000) | $398 | $437 | $465 | $422 | $293 |
| Ratio of expenses to average net assets: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Before expense waiver or recoupment | 1.93% | 1.89% <sup>2</sup> | 1.90% | 1.89% <sup>2</sup> | 1.88% <sup>3</sup> |
| &nbsp;&nbsp;&nbsp;&nbsp;After expense waiver or recoupment | 1.87% | 1.86% <sup>2</sup> | 1.85% | 1.86% <sup>2</sup> | 1.87% <sup>3</sup> |
| Ratio of net investment income to average net assets | 3.12% | 3.23% | 2.92% | 2.97% | 3.12% |
| Portfolio turnover rate | 1% | 4% | 20% | 3% | 1% |

---

*1* *Calculation does not reflect contingent deferred sales charge.*

---

| | |
|:---|:---|
| *2* | *Includes interest expense of 0.01%.* |

---

---

| | |
|:---|:---|
| *3* | *Includes interest expense of 0.02%.* |

---

See accompanying notes which are an integral part of these financial statements.

72 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME FUND** |
| **INSTITUTIONAL SHARES** |
| **FINANCIAL HIGHLIGHTS** |
| The table below sets forth financial data for one share of beneficial interest outstanding throughout the period presented. |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **For the Year** | **For the Year** | |
|  | **Ended** | **Ended** | |
|  | **December 31** | **December 31** | **For the**<br>**Period Ended**<br>**December 31,** |
|  | **2022** | **2021** | **2020\*** |
| **Net Asset Value, Beginning of Period** | $12.43 | $12.48 | $11.66 |
| **From Investment Operations:** |  |  |  |
| Net investment income | 0.46 | 0.53 | 0.31 |
| Net realized and unrealized gain (loss) on investments | (1.99) | 0.07 | 0.83 |
| Total from investment operations | (1.53) | 0.59 | 1.14 |
| **Less Distributions:** |  |  |  |
| Distributions from net investment income | (0.46) | (0.50) | (0.28) |
| Distributions from net capital gains | (0.38) | (0.15) | (0.04) |
| Total distributions | (0.84) | (0.65) | (0.32) |
| **Net Asset Value, End of Period** | $10.06 | $12.43 | $12.48 |
| **Total Return** | (12.51)% | 4.83% | 9.89% <sup>1</sup> |
| **Ratios and Supplemental Data:** |  |  |  |
| Net assets, end of year (000) | $11 | $13 | $12 |
| Ratio of expenses to average net assets: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Before expense waiver or recoupment | 0.93% | 0.89% <sup>2</sup> | 0.90% <sup>3</sup> |
| &nbsp;&nbsp;&nbsp;&nbsp;After expense waiver or recoupment | 0.87% | 0.86% <sup>2</sup> | 0.85% <sup>3</sup> |
| Ratio of net investment income to average net assets | 4.10% | 4.21% | 3.80% <sup>3</sup> |
| Portfolio turnover rate | 1% | 4% | 20% <sup>1</sup> |

---

*<sup>\*</sup>* *For the period May 1, 2020 (commencement of operations) to December 31, 2020.*

*<sup>1</sup>* *Not annualized.*

*<sup>2</sup>* *Includes interest expense of 0.01%.*

*<sup>3</sup>* *Annualized.*

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME & OPPORTUNITY FUND** |
| **CLASS A SHARES** |
| **FINANCIAL HIGHLIGHTS** |
| The table below sets forth financial data for one share of beneficial interest outstanding throughout the period presented. |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** |
|  | **2022** | **2021** | **2020** | **2019** | **2018** |
| **Net Asset Value, Beginning of Period** | $10.93 | $10.02 | $9.64 | $9.12 | $9.87 |
| **From Investment Operations:** |  |  |  |  |  |
| Net investment income | 0.17 | 0.301 | 0.22 | 0.38 | 0.16 |
| Net realized and unrealized gain (loss) on investments | (2.60) | 1.21 | 0.76 | 0.74 | (0.52) |
| Total from investment operations | (2.43) | 1.51 | 0.98 | 1.12 | (0.36) |
| **Less Distributions:** |  |  |  |  |  |
| Distributions from net investment income | (0.18) | (0.28) | (0.23) | (0.33) | (0.16) |
| Distributions from return of capital | (0.42) | (0.32) | (0.37) | (0.27) | (0.23) |
| Total distributions | (0.60) | (0.60) | (0.60) | (0.60) | (0.39) |
| **Net Asset Value, End of Period** | $7.90 | $10.93 | $10.02 | $9.64 | $9.12 |
| **Total Return<sup>2</sup>** | (22.34)% | 15.24% | 10.46% | 12.37% | (3.70)% |
| **Ratios and Supplemental Data:** |  |  |  |  |  |
| Net assets, end of year (000) | $18169 | $29021 | $24589 | $23029 | $25177 |
| Ratio of expenses to average net assets: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Before expense waiver or recoupment | 1.26% | 1.40% | 1.46% | 1.43% <sup>3</sup> | 1.33% <sup>4</sup> |
| &nbsp;&nbsp;&nbsp;&nbsp;After expense waiver or recoupment | 1.09% | 1.25% | 1.25% | 1.26% <sup>3</sup> | 1.27% <sup>4</sup> |
| Ratio of net investment income to average net assets | 1.61% | 2.82% | 2.22% | 3.82% | 1.89% |
| Portfolio turnover rate | 2% | 7% | 19% | 23% | 4% |

---

*1* *Calculated based on the average number of shares outstanding during the period.*

*2* *Calculation does not reflect sales load.*

---

| | |
|:---|:---|
| *3* | *Includes interest expense of 0.01%.* |

---

---

| | |
|:---|:---|
| *4* | *Includes interest expense of 0.02%.* |

---

See accompanying notes which are an integral part of these financial statements.

74 SPIRIT OF AMERICA

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME & OPPORTUNITY FUND** |
| **CLASS C SHARES** |
| **FINANCIAL HIGHLIGHTS** |
| The table below sets forth financial data for one share of beneficial interest outstanding throughout the period presented. |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** | **For the Year Ended December 31** |
|  | **2022** | **2021** | **2020** | **2019** | **2018** |
| **Net Asset Value, Beginning of Period** | $10.90 | $9.99 | $9.62 | $9.10 | $9.85 |
| **From Investment Operations:** |  |  |  |  |  |
| Net investment income | 0.12 | 0.221 | 0.14 | 0.34 | 0.12 |
| Net realized and unrealized gain (loss) on investments | (2.61) | 1.21 | 0.76 | 0.70 | (0.55) |
| Total from investment operations | (2.49) | 1.43 | 0.90 | 1.04 | (0.43) |
| **Less Distributions:** |  |  |  |  |  |
| Distributions from net investment income | (0.16) | (0.24) | (0.20) | (0.29) | (0.13) |
| Distributions from return of capital | (0.37) | (0.28) | (0.33) | (0.23) | (0.19) |
| Total distributions | (0.53) | (0.52) | (0.53) | (0.52) | (0.32) |
| **Net Asset Value, End of Period** | $7.88 | $10.90 | $9.99 | $9.62 | $9.10 |
| **Total Return<sup>2</sup>** | (22.91)% | 14.48% | 9.62% | 11.58% | (4.43)% |
| **Ratios and Supplemental Data:** |  |  |  |  |  |
| Net assets, end of year (000) | $469 | $597 | $557 | $435 | $394 |
| Ratio of expenses to average net assets: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Before expense waiver or recoupment | 2.06% | 2.15% | 2.21% | 2.18% <sup>3</sup> | 2.08% <sup>4</sup> |
| &nbsp;&nbsp;&nbsp;&nbsp;After expense waiver or recoupment | 1.87% | 2.00% | 2.00% | 2.01% <sup>3</sup> | 2.02% <sup>4</sup> |
| Ratio of net investment income to average net assets | 1.09% | 2.10% | 1.48% | 3.08% | 1.14% |
| Portfolio turnover rate | 2% | 7% | 19% | 23% | 4% |

---

*1* *Calculated based on the average number of shares outstanding during the period.*

*2* *Calculation does not reflect contingent deferred sales charge.*

---

| | |
|:---|:---|
| *3* | *Includes interest expense of 0.01%.* |

---

---

| | |
|:---|:---|
| *4* | *Includes interest expense of 0.02%.* |

---

See accompanying notes which are an integral part of these financial statements.

---

| |
|:---|
| **SPIRIT OF AMERICA INCOME & OPPORTUNITY FUND** |
| **INSTITUTIONAL SHARES** |
| **FINANCIAL HIGHLIGHTS** |
| The table below sets forth financial data for one share of beneficial interest outstanding throughout the period presented. |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **For the Year** | **For the Year** | |
|  | **Ended** | **Ended** | |
|  | **December 31** | **December 31** | **For the**<br>**Period Ended**<br>**December 31,** |
|  | **2022** | **2021** | **2020\*** |
| **Net Asset Value, Beginning of Period** | $10.88 | $9.97 | $9.16 |
| **From Investment Operations:** |  |  |  |
| Net investment income | 0.21 | 0.331 | 0.15 |
| Net realized and unrealized gain (loss) on investments | (2.61) | 1.20 | 1.28 |
| Total from investment operations | (2.40) | 1.53 | 1.43 |
| **Less Distributions:** |  |  |  |
| Distributions from net investment income | (0.19) | (0.29) | (0.23) |
| Distributions from return of capital | (0.43) | (0.33) | (0.39) |
| Total distributions | (0.62) | (0.62) | (0.62) |
| **Net Asset Value, End of Period** | $7.86 | $10.88 | $9.97 |
| **Total Return** | (22.13)% | 15.59% | 15.99% <sup>2</sup> |
| **Ratios and Supplemental Data:** |  |  |  |
| Net assets, end of year (000) | $9 | $11 | $10 |
| Ratio of expenses to average net assets: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Before expense waiver or recoupment | 1.11% | 1.15% | 1.21% <sup>3</sup> |
| &nbsp;&nbsp;&nbsp;&nbsp;After expense waiver or recoupment | 0.93% | 1.00% | 1.00% <sup>3</sup> |
| Ratio of net investment income to average net assets | 1.99% | 3.10% | 2.27% <sup>3</sup> |
| Portfolio turnover rate | 2% | 7% | 19% <sup>2</sup> |

---

*\** *For the period May 1, 2020 (commencement of operations) to December 31, 2020.*

*<sup>1</sup>* *Calculated based on the average number of shares outstanding during the period.*

*<sup>2</sup>* *Not annualized.*

*<sup>3</sup>* *Annualized.*

See accompanying notes which are an integral part of these financial statements.

76 SPIRIT OF AMERICA

**NOTES TO FINANCIAL STATEMENTS \| DECEMBER 31, 2022**

**Note 1 – Organization**

Spirit of America Investment Fund, Inc. (the "Company"), is an open-end management investment company registered under the Investment Company Act of 1940, as amended (the "1940 Act"). The Company was incorporated under the laws of Maryland on May 15, 1997. The Company offers 6 separate series, or mutual funds (the "Spirit of America Funds"), each with its own investment objective and strategy. This report includes the following funds, each operating as a diversified fund as defined by the 1940 Act (individually, a "Fund", or collectively, the "Funds"):

**Spirit of America Real Estate Income and Growth Fund** (the "Real Estate Income and Growth Fund") commenced operations on January 9, 1998. The Real Estate Income and Growth Fund seeks current income and growth of capital by investing in equity real estate investment trusts ("REITs") and the equity securities of real estate industry companies.

**Spirit of America Large Cap Value Fund** (the "Large Cap Value Fund") commenced operations on August 1, 2002. The Large Cap Value Fund seeks capital appreciation with a secondary objective of current income by investing in equity securities in the large cap value segment of the U.S. equity market.

**Spirit of America Municipal Tax Free Bond Fund** (the "Municipal Tax Free Bond Fund") commenced operations on February 29, 2008. The Municipal Tax Free Bond Fund seeks high current income that is exempt from federal income tax, including the alternative minimum tax ("AMT"), investing at least 80% of its assets in municipal bonds.

**Spirit of America Income Fund** (the "Income Fund") commenced operations on December 31, 2008. The Income Fund seeks high current income, investing at least 80% of its assets in a portfolio of taxable municipal bonds, income producing convertible securities, preferred stocks, high yield U.S. corporate bonds (frequently called "junk" bonds), and collateralized mortgage obligations ("CMOs").

**Spirit of America Income & Opportunity Fund** (the "Income & Opportunity Fund") commenced operations on July 8, 2013. The Income & Opportunity Fund seeks to achieve its investment objective of providing shareholders with current income and the potential for capital appreciation by investing a substantial percentage of its total assets in a portfolio of common and preferred stocks, fixed income securities of any grade, as well non-rated fixed income securities, both short-term and long- term, including zero-coupon securities, taxable and tax-free municipal bonds, income producing convertible securities, corporate bonds, including high-yield U.S. corporate bonds, floating rate bonds and step coupon bonds, municipal lease agreements, certificates of participation and collateralized mortgage obligations ("CMOs"), U.S. government agency securities, including securities issued by the Federal National Mortgage Association ("FNMA"), the Federal Home Loan Mortgage Corporation ("FHLMC"), and the Government National Mortgage Association ("GNMA"), equity real estate investment companies ("REITs"), which are subject to federal income tax, and Master Limited Partnerships ("MLPs").

Each Fund currently offers Class A Shares, Class C Shares and Institutional Shares. Each class of shares for each Fund has identical rights and privileges except with respect to distribution (12b-1) and service fees, voting rights on matters affecting a single class of shares, exchange privileges of each class of shares and sales charges. The price at which the Funds will offer or redeem shares is the net asset value ("NAV") per share next determined after the order is considered received, subject to any applicable front end or contingent deferred sales charges. Class A Shares have a maximum sales charge on purchases of 5.25% for the Real Estate Income and Growth Fund and Large Cap Value Fund, and 4.75% for the Municipal Tax Free Bond Fund, Income Fund and Income & Opportunity Fund, as a percentage of the original purchase price. A Contingent Deferred Sales Charge ("CDSC") of 1.00% may be imposed on redemptions of $1 million or more of Class A Shares that were purchased within one year of the redemption date where an indirect commission was paid. CDSC on Class C Shares applies to shares sold within 13 months of purchase.

**Note 2 – Significant Accounting Policies**

Each Fund is an investment company and follows accounting and reporting guidance under Financial Accounting Standards Board Accounting Standards Codification ("ASC") Topic 946, "Financial Services-Investment Companies". The following is a summary of significant accounting policies consistently followed by the Funds in the preparation of their financial statements. These policies are in conformity with generally accepted accounting principles in the United States of America ("GAAP") for investment companies.

**NOTES TO FINANCIAL STATEMENTS (CONT.) \| DECEMBER 31, 2022**

**A. Security Valuation:** The offering price and NAV per share for the Funds are calculated as of the close of regular trading on the New York Stock Exchange ("NYSE"), currently 4:00 p.m., Eastern Time on each day the NYSE is open for trading. Each Fund's securities are valued at the official close or the last reported sales price on the principal exchange on which the security trades, or if no sales price is reported, the mean of the latest bid and ask prices is used. Securities traded over-the-counter are priced at the mean of the latest bid and ask prices. Unlisted securities traded in the over-the-counter market are valued using an evaluated quote provided by the independent pricing service, or, if an evaluated quote is unavailable, such securities are valued using prices received from dealers, provided that if the dealer supplies both bid and ask prices, the price to be used is the mean of the bid and ask prices. The independent pricing service derives an evaluated quote by obtaining dealer quotes, analyzing the listed markets, reviewing trade execution data and employing sensitivity analysis. Evaluated quotes may also reflect appropriate factors such as individual characteristics of the issue, communications with broker-dealers, and other market data. Pursuant to Rule 2a-5 under the 1940 Act, the Company's Board of Directors (the "Board") has designed Spirit of America Management Corp., the Company's investment adviser, as the Company's Valuation Designee, to perform any fair value determinations for securities and other assets held by the Funds for which market quotations are not readily available in accordance with the Company's Valuation Procedures.

**B. Fair Value Measurements:** Various inputs are used in determining the fair value of investments which are as follows:

● Level 1 – Unadjusted quoted prices in active markets for identical investments
and/or registered investment companies where the value per share is determined and published and is the basis for current transactions
for identical assets or liabilities at the valuation date.

● 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 based on the best information available
in the circumstances, to the extent observable inputs are not available (including each Fund's own assumptions used in determining
the fair value of investments).

The summary of inputs used to value each Fund's net assets as of December 31, 2022 is as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Value Inputs** | **Value Inputs** | **Value Inputs** | **Value Inputs** |
|  | **Level 1** | **Level 2** | **Level 3** | **Total** |
| **Real Estate Income and Growth Fund** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Common Stocks\* | $88197979 | $— | $— | $88197979 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Preferred Stocks\* | 1764357 | 229380 |  | 1993737 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Municipal Bonds |  | 150992 |  | 150992 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Money Market Funds | 109524 |  |  | 109524 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $**90071860** | $**380372** | $**—** | $**90452232** |
| **Large Cap Value Fund** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Common Stocks\* | $121995270 | $— | $— | $121995270 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Preferred Stocks\* | 1281938 |  |  | 1281938 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $**123277208** | $**—** | $**—** | $**123277208** |
| **Municipal Tax Free Bond Fund** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Municipal Bonds | $— | $39667378 | $— | $39667378 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $**—** | $**39667378** | $**—** | $**39667378** |

---

78 SPIRIT OF AMERICA

**NOTES TO FINANCIAL STATEMENTS (CONT.) \| DECEMBER 31, 2022**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Value Inputs** | **Value Inputs** | **Value Inputs** | **Value Inputs** |
|  | **Level 1** | **Level 2** | **Level 3** | **Total** |
| **Income Fund** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Common Stocks\* | $10208559 | $— | $— | $10208559 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Preferred Stocks\* | 15740418.00 |  |  | 15740418 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Collateralized Mortgage Obligations |  | 59085 |  | 59085 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Corporate Bonds |  | 8036110 | 348896 | 8385006 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Municipal Bonds |  | 44859111 |  | 44859111 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $**25948977** | $**52954306** | $**348896** | $**79252179** |
| **Income & Opportunity Fund** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Common Stocks\* | $7995626 | $— | $— | $7995626 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Exchange-Traded Funds | 160300 |  |  | 160300 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Preferred Stocks\* | 2159526 |  |  | 2159526 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Corporate Bonds |  | 449247 |  | 449247 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Municipal Bonds | **—** | 7665370 | **—** | 7665370 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $**10315452** | $**8114617** | $**—** | $**18430069** |

---

\* *Refer to Schedule of Investments for sector/industry classification.*

In the absence of a listed price quote, or a supplied price quote which is deemed to be unrepresentative of the actual market price, the Adviser shall use any or all of the following criteria to value Level 3 securities:

● Last sales price

● Price given by pricing service

● Last quoted bid & asked price

● Third party bid & asked price

● Indicated opening range

The significant unobservable inputs that may be used in the fair value measurement of the Fund's investments in common stock, corporate bonds and convertible corporate bonds for which market quotations are not readily available include: broker quotes, discounts from the most recent trade or "stale price" and estimates from trustees (in bankruptcies) on disbursements. A change in the assumption used for each of the inputs listed above may indicate a directionally similar change in the fair value of the investment.

The following provides quantitative information about the Real Estate Income and Growth Fund's significant Level 3 fair value measurements as of December 31, 2022:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Quantitative Information about Significant Level 3 Fair Value Measurements** | **Quantitative Information about Significant Level 3 Fair Value Measurements** | **Quantitative Information about Significant Level 3 Fair Value Measurements** | **Quantitative Information about Significant Level 3 Fair Value Measurements** | **Quantitative Information about Significant Level 3 Fair Value Measurements** |
|  | **Fair Value** |  |  |  |
| **Asset Category** | **December 31, 2022** | **Valuation Techniques** | **Unobservable Input(s)** | **Range** |
| Common Stocks | $— | Asset Liquidation Analysis | Liquidation Proceeds | N/A |

---

**NOTES TO FINANCIAL STATEMENTS (CONT.) \| DECEMBER 31, 2022**

The following provides quantitative information about the Income Fund's significant Level 3 fair value measurements as of December 31, 2022:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Quantitative Information about Significant Level 3 Fair Value Measurements** | **Quantitative Information about Significant Level 3 Fair Value Measurements** | **Quantitative Information about Significant Level 3 Fair Value Measurements** | **Quantitative Information about Significant Level 3 Fair Value Measurements** | **Quantitative Information about Significant Level 3 Fair Value Measurements** |
|  | **Fair Value At** |  |  |  |
| **Asset Category** | **December 31, 2022** | **Valuation Techniques** | **Unobservable Input(s)** | **Range** |
| Common Stocks | $— | Asset Liquidation Analysis | Liquidation Proceeds | N/A |
| Corporate Bonds | $348896 | Comparable Security Analysis | Discount for Lack of Marketability | 1%-20%<sup>1</sup> |

---

*<sup>1</sup>* *Significant changes in this range would result in a significantly higher or lower fair value measurement.*

Following is a reconciliation of assets in which significant unobservable inputs (Level 3) were used in determining fair value for the Real Estate Income and Growth Fund:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | | | **Change in** | |
|  | **Balance as of** | | **unrealized** | **Balance as of** |
|  | **December 31,** | **Amortization/** | **appreciation** | **December 31,** |
|  | **2021** | **Accretion** | **(depreciation)** | **2022** |
| Common Stocks | $485 | $(593) | $108 | $— |

---

Following is a reconciliation of assets in which significant unobservable inputs (Level 3) were used in determining fair value for the Income Fund:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | | | **Change in** | |
|  | **Balance as of** | | **unrealized** | **Balance as of** |
|  | **December 31,** | **Amortization/** | **appreciation** | **December 31,** |
|  | **2021** | **Accretion** | **(depreciation)** | **2022** |
| Common Stocks | $850 | $(1040) | $190 | $— |
| Corporate Bonds | 426317 | (560) | (76861) | 348896 |

---

**Investment Income and Securities Transactions:** Security transactions are accounted for on the date the securities are purchased or sold (trade date) for financial reporting purposes. Cost is determined and gains and losses are based on the identified cost basis for both financial statement and federal income tax purposes. Dividend income and distributions to shareholders are reported on the ex-dividend date. Interest income and expenses are accrued daily.

**C. Federal Income Taxes:** The Funds intend to comply with all requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute substantially all of its taxable income to its shareholders. Therefore, no federal income tax provision is required.

**D. Use of Estimates:** In preparing financial statements in conformity with GAAP, management makes estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

**E. Distributions to Shareholders:** The Funds intend to distribute substantially all of its net investment income and capital gains to shareholders each year. The Real Estate Income and Growth Fund intends to pay two semi-annual income dividends and other distributions on June 30 and December 31 in the annual minimum amount of $0.85 per share. The Large Cap Value Fund intends to pay two semi-annual income dividends and other distributions on June 30 and December 31 in the annual minimum amount of $1.40 per share. The Income & Opportunity Fund intends to pay two semi-annual income dividends and other distributions on June 30 and December 31 in the annual minimum amount of $0.60 per share. For the Income Fund and Municipal Tax Free Bond Fund, income distributions will typically be declared daily and paid monthly. Capital gains, if any, for all the Funds, will be distributed annually in December, but may be distributed more frequently if deemed advisable by the Board. All such distributions are taxable to the shareholders whether received in cash or reinvested in shares.

80 SPIRIT OF AMERICA

**NOTES TO FINANCIAL STATEMENTS (CONT.) \| DECEMBER 31, 2022**

The Real Estate Income and Growth Fund, Large Cap Value Fund and Income & Opportunity Fund have made certain investments in REITs which pay distributions to their shareholders based upon available funds from operations. Each REIT reports annually the tax character of its distributions. It is quite common for these distributions to exceed the REIT's taxable earnings and profits resulting in the excess portion of such distributions being designated as a return of capital or long-term capital gain. The Funds intend to include the gross distributions from such REITs in its distributions to its shareholders; accordingly, a portion of the distributions paid to the Funds and subsequently distributed to shareholders may be re-characterized based on the prior calendar year's actual reported return of capital. The final determination of the amount of each Fund's return of capital distribution for the period will be made after the end of each calendar year.

**F. Allocation of Income, Expenses, Gains and Losses.** Expenses incurred by the Company that do not relate to a specific fund of the Company are allocated to the individual funds by or under the direction of the Board in such a manner as the Board determine to be fair and equitable. Income, expenses (other than those attributable to a specific class), gains and losses are allocated on a daily basis to each class of shares based upon the relative proportion of net assets represented by such class. Operating expenses directly attributable to a specific class are charged against the operations of that class.

**Note 3 – Derivative Transactions**

Written Options Contracts – The Real Estate Income and Growth Fund, Large Cap Value Fund and Income & Opportunity Fund may write options contracts for which premiums received are recorded as liabilities and are subsequently adjusted to the current value of the options written. Premiums received from writing options which expire are treated as realized gains. Premiums received from writing options which are either exercised or closed are offset against the proceeds received or the amount paid on the transaction to determine realized gains or losses. Investing in written options contracts exposes a Fund to equity price risk.

The Funds did not use derivatives for the fiscal year ended December 31, 2022.

**Note 4 – Purchases and Sales of Securities**

Purchases and proceeds from the sales of securities for the fiscal year ended December 31, 2022, excluding short-term investments and U.S. government obligations, were as follows:

---

| | | |
|:---|:---|:---|
| **Fund** | **Purchases** | **Sales** |
| Real Estate Income and Growth Fund | $20027845 | $17988493 |
| Large Cap Value Fund | 12851539 | 20173986 |
| Municipal Tax Free Bond Fund |  | 15537933 |
| Income Fund | 1134468 | 22210496 |
| Income & Opportunity Fund | 417637 | 2943022 |

---

The Income & Opportunity Fund had sales of U.S. Treasury Notes in the amount of $890,520 during the fiscal year ended December 31, 2022. There were no other purchases or sales of Long Term U.S. Government Obligations during the fiscal year ended December 31, 2022.

**NOTES TO FINANCIAL STATEMENTS (CONT.) \| DECEMBER 31, 2022**

**Note 5 – Investment Management Fee and Other Transactions with Affiliates**

Spirit of America Management Corp. (the "Adviser") has been retained to act as the Company's investment adviser pursuant to an Investment Advisory Agreement (the "Advisory Agreement"). The Adviser was incorporated in 1997 and is a registered investment adviser under the Investment Advisers Act of 1940, as amended. The Adviser, under the terms of the Advisory Agreement with respect to each Fund, manages the Funds' investments. As compensation for its management services, each Fund is obligated to pay the Adviser a fee based on each Fund's average daily net assets as follows:

---

| | | |
|:---|:---|:---|
|  | | **Advisory** |
| **Fund** | **Fee Rate** | **Fees Earned** |
| Real Estate Income and Growth Fund | 0.97% | $1070644 |
| Large Cap Value Fund | 0.97% | 1293632 |
| Municipal Tax Free Bond Fund | 0.60% | 290983 |
| Income Fund | 0.60% | 578872 |
| Income & Opportunity Fund | 0.65% | 150838 |

---

The Adviser has contractually agreed to waive advisory fees and/or reimburse expenses for the following funds (based on average daily net assets) through April 30, 2023 so that the total operating expenses will not exceed the amounts presented in the table below. The waiver does not include, front end or contingent deferred loads, taxes, interest, dividend expenses, brokerage commissions or expenses incurred in connection with any merger, reorganization, or extraordinary expenses such as litigation. Additionally, for the fiscal year ended December 31, 2022, the Adviser waived advisory fees, as indicated:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  |  |  | **Institutional** | **Fees Recouped** |
| **Fund** | **Class A Shares** | **Class C Shares** | **Shares** | **(Waived)** |
| Municipal Tax Free Bond Fund | 0.90% | 1.75% | 0.75% | $(128720) |
| Income Fund | 1.10% | 1.85% | 0.85% | (57831) |
| Income & Opportunity Fund | 1.25% | 2.00% | 1.00% | (45634) |

---

Any amounts waived or reimbursed by the Adviser are subject to repayment by a Fund within a period of three years after such waivers or expenses were incurred, provided the Fund is able to make such repayments and remain in compliance with the expense limitation as stated above.

The amounts subject to repayment by the Funds, pursuant to the aforementioned conditions are as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | **Municipal** | | **Income &** |
|  | **Tax Free** | **Income** | **Opportunity** |
| **Recoverable through** | **Bond Fund** | **Fund** | **Fund** |
| December 31, 2023 | $146088 | $60762 | $49944 |
| December 31, 2024 | 133559 | 41389 | 41152 |
| December 31, 2025 | 128720 | 57831 | 45634 |

---

The Funds' Class A Shares and Class C Shares have adopted a plan of distribution pursuant to Rule 12b-1 (the "Plan"). The Plan permits each Fund's Class A Shares and Class C Shares to pay David Lerner Associates, Inc. (the "Distributor") an annual fee, accrued daily and paid monthly based on each Class of each Fund's average daily net assets for the Distributor's services and expenses in distributing shares of each Fund and providing personal services and/or maintaining shareholder accounts. For the fiscal year ended December 31, 2022, the annual fee rate and the fees paid to the Distributor under the Plan were as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Class A Shares** | **Class A Shares** | **Class C Shares** | **Class C Shares** |
| **Fund** | **Annual Rate** | **Fees Paid** | **Annual Rate** | **Fees Paid** |
| Real Estate Income and Growth Fund | 0.30% | $330494 | 1.00% | $1982 |
| Large Cap Value Fund | 0.30% | 399358 | 1.00% | 2302 |
| Municipal Tax Free Bond Fund | 0.15% | 72520 | 1.00% | 1417 |
| Income Fund | 0.25% | 240103 | 1.00% | 4255 |
| Income & Opportunity Fund | 0.25% | 56695 | 1.00% | 5184 |

---

82 SPIRIT OF AMERICA

**NOTES TO FINANCIAL STATEMENTS (CONT.) \| DECEMBER 31, 2022**

Each Fund's Class A Shares are subject to an initial sales charge imposed at the time of purchase, in accordance with the Fund's current prospectus. A CDSC of 1.00% may be imposed on redemptions of $1 million or more of Class A Shares that were purchased within one year of the redemption date where an indirect commission was paid. CDSC on Class C Shares applies to shares sold within 13 months of purchase. For the fiscal year ended December 31, 2022, sales charges received by the Distributor from each of the Funds were as follows:

---

| | | |
|:---|:---|:---|
|  | **Front-End Sales** | **CDSC Fees** |
|  | **Charges Received** | **Received by** |
| **Fund** | **by Distributor** | **Distributor** |
| Real Estate Income and Growth Fund | $976352 | $3798 |
| Large Cap Value Fund | 867639 | 3343 |
| Municipal Tax Free Bond Fund | 66420 | 4503 |
| Income Fund | 410014 | 2931 |
| Income & Opportunity Fund | 86596 | 4 |

---

Certain Officers and Directors of the Company are "affiliated persons", as that term is defined in the 1940 Act, of the Adviser or the Distributor. Each Director of the Company, who is not an affiliated person of the Adviser or Distributor, receives a quarterly retainer of $6,000, $1,500 for each Board meeting attended, $500 for each special meeting attended, and $500 for each committee meeting attended plus reimbursement for certain travel and other out-of-pocket expenses incurred in connection with attending Board meetings. The Company does not compensate the Officers for the services they provide. There are no Directors' fees paid to Interested Directors of the Company. For the fiscal year ended December 31, 2022, the Funds were allocated $15,980 of the Chief Compliance Officer's salary.

**Note 6 – Concentration and Other Risks**

The performance of the Municipal Tax Free Bond Fund, Income Fund and Income & Opportunity Fund could be adversely affected by interest rate risk, which is the possibility that overall bond prices will decline because of rising interest rates. Interest rate risk is expected to be high for the Funds because they invest mainly in long-term bonds, whose prices are much more sensitive to interest fluctuations than are the prices of short-term bonds.

The Municipal Tax Free Bond Fund, Income Fund and Income & Opportunity Fund may be affected by credit risk, which is the possibility that the issuer of a bond will fail to pay interest and principal in a timely manner, or that negative perceptions of the issuer's ability to make such payments will cause the price of that bond to decline. This risk may be greater to the extent that the Funds may invest in taxable fixed income or municipal securities rated below investment grade, or unrated of similar quality (frequently called "junk bonds").

The Municipal Tax Free Bond Fund, Income Fund and Income & Opportunity Fund may be affected by credit risk of lower grade securities, which is the possibility that junk bonds may be subject to greater price fluctuations and risks of loss of income and principal than investment-grade taxable fixed income or municipal securities. Securities that are (or that have fallen) below investment-grade have a greater risk that the issuers may not meet their debt obligations. These types of securities are generally considered speculative in relation to the issuer's ongoing ability to make principal and interest payments. During periods of rising interest rates or economic downturn, the trading market for these securities may not be active and may reduce a Fund's ability to sell these securities at an acceptable price. If the issuer of securities is in default in payment of interest or principal, a Fund may lose its entire investment in those securities.

The Real Estate Income and Growth Fund invests primarily in real estate related securities. A fund that concentrates its investments among fewer sectors is subject to greater risk of loss than a fund that has more sector diversification. Investments in real estate and real estate-related equity securities involve risks different from, and in certain cases greater than, the risks presented by equity securities generally. The main risks are those presented by direct ownership of real estate or real estate industry securities, including possible declines in the value of real estate, environmental problems and changes in interest rates. To the extent that assets underlying the Fund's investments are concentrated geographically, by property type or in certain other respects, the Fund may be subject to these risks to a greater extent. The stocks purchased by the Fund may not appreciate in value as the Adviser anticipates. In addition, if the Fund receives rental income or income from the disposition of real property acquired as a result of a default on securities the Fund owns, its ability to retain its tax status as a regulated investment company may be adversely affected.

**NOTES TO FINANCIAL STATEMENTS (CONT.) \| DECEMBER 31, 2022**

The Large Cap Value Fund may, at times, concentrate its investments in a particular sector, such as information technology, if the Adviser believes stocks in that particular sector are performing more favorably. If the Fund invests a significant portion of its total assets in certain sectors, its investment portfolio will be more susceptible to the financial, economic, business, and political developments that affect those sectors.

Other risks to the Funds may include income risk, liquidity risk, prepayment risk on collateralized mortgage obligations, municipal project specific risk, municipal lease obligation risk, zero coupon securities risk, market risk, manager risk, taxability risk, state-specific risk and exchange traded funds risk. The Funds' prospectus contains more information regarding these risks and other risks related to the Funds as well as other information about the Funds, and should be read carefully before investing.

**Note 7 – Restricted Securities**

Restricted securities are securities that may only be resold upon registration under federal securities laws or in transactions exempt from such registration. In some cases, the issuer of restricted securities has agreed to register such securities for resale, at the issuer's expense, either upon demand by the Funds or in connection with another registered offering of the securities. Many restricted securities may be resold in the secondary market in transactions exempt from registration. Such restricted securities may be determined to be liquid. The Funds will not incur any registration costs upon such resale. The Funds' restricted securities are valued at the price provided by dealers in the secondary market or, if no market prices are available, at the fair value as determined by the Board. At December 31, 2022, the Income Fund held illiquid restricted securities representing 3% of net assets, as listed below:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Issuer Description** | **Acquisition** | **Principal** | | |
| **Corporate Bonds** | **Date** | **Amount** | **Cost** | **Value** |
| Exelon Generation Co. LLC, 5.60%, 6/15/2042 | 7/12/2012 | $400000 | $418452 | $348896 |
| MetLife Capital Trust X, 9.25%, 4/8/2038 | 6/4/2013 | 1500000 | 2100764 | 1749455 |

---

**Note 8 – Federal Income Taxes**

The adjusted cost basis of investment and gross unrealized appreciation and depreciation of investments for federal income tax purposes for each of the Funds as of December 31, 2022, were as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | | | **Net** | |
|  | **Gross** | **Gross** | **Unrealized** | |
|  | **Unrealized** | **Unrealized** | **Appreciation/** | **Cost Basis of** |
| **Fund** | **Appreciation** | **Depreciation** | **(Depreciation)<sup>1</sup>** | **Investments** |
| Real Estate Income and Growth Fund | $20274477 | $(7209059) | $13065418 | $77386814 |
| Large Cap Value Fund | 53140490 | (1997149) | 51143341 | 72133867 |
| Municipal Tax Free Bond Fund | 66891 | (3220509) | (3153618) | 42820996 |
| Income Fund | 4619111 | (9209455) | (4590344) | 83842524 |
| Income & Opportunity Fund | 3537953 | (1837819) | 1700134 | 16729935 |

---

*<sup>1</sup>* *The difference between book-basis and tax-basis net unrealized appreciation/(depreciation) is primarily due to wash sales, tax treatment of Trust Preferred securities and partnership investments.*

The tax character of distributions paid by each of the Funds for the year ended December 31, 2022, was as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Ordinary** | **Tax Exempt** | **Net Long-Term** | **Return of** | **Total** |
| **Fund** | **Income** | **Income** | **Capital Gains** | **Capital** | **Distributions** |
| Real Estate Income and Growth Fund | $1723097 | $— | $5353595 | $1302568 | $8379260 |
| Large Cap Value Fund | 558225 |  | 10341913 | 507023 | 11407161 |
| Municipal Tax Free Bond Fund | 2510 | 917252 |  |  | 919762 |
| Income Fund | 3660432 |  | 2903607 |  | 6564039 |
| Income & Opportunity Fund | 421853 |  |  | 1019116 | 1440969 |

---

84 SPIRIT OF AMERICA

**NOTES TO FINANCIAL STATEMENTS (CONT.) \| DECEMBER 31, 2022**

The tax character of distributions paid by each of the Funds for the year ended December 31, 2021, was as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Ordinary** | **Tax Exempt** | **Net Long-Term** | **Return of** | **Total** |
| **Fund** | **Income** | **Income** | **Capital Gains** | **Capital** | **Distributions** |
| Real Estate Income and Growth Fund | $1197033 | $— | $6365592 | $— | $7562625 |
| Large Cap Value Fund | 56631 |  | 9299154 | 895943 | 10251728 |
| Municipal Tax Free Bond Fund | 5505 | 1299283 |  |  | 1304788 |
| Income Fund | 4734199 |  | 1401545 |  | 6135744 |
| Income & Opportunity Fund | 722131 |  |  | 830673 | 1552804 |

---

Distribution classifications may differ from the Statements of Changes in Net Assets as a result of the treatment of short-term capital gains as ordinary income for tax purposes.

At December 31, 2022, the components of accumulated distributable earnings for each Fund on a tax basis were as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | | | | | **Total** |
|  | **Undistributed** | **Undistributed** | **Accumulated** | **Unrealized** | **Accumulated** |
|  | **Tax Exempt** | **Long-Term** | **Capital and** | **Appreciation** | **Earnings** |
| **Fund** | **Income** | **Capital Gains** | **Other Losses** | **(Depreciation)** | **(Losses)** |
| Real Estate Income and Growth Fund | $— | $— | $— | $13065418 | $13065418 |
| Large Cap Value Fund |  | 545158 |  | 51143341 | 51688499 |
| Municipal Tax Free Bond Fund | 2 |  | (8012201) | (3153618) | (11165817) |
| Income Fund |  | 942029 |  | (4590333) | (3648304) |
| Income & Opportunity Fund |  |  | (2032466) | 1700134 | (332332) |

---

At December 31, 2022, for federal income tax purposes and the treatment of distributions payable, the following Funds had capital loss carryforwards available to offset future gains, if any, to the extent provided by the Treasury regulations:

---

| | | | |
|:---|:---|:---|:---|
|  | **No Expiration** | **No Expiration** | |
| **Fund** | **Short-Term** | **Long-Term** | **Total** |
| Municipal Tax Free Bond Fund | $2781584 | $5230617 | $8012201 |
| Income & Opportunity Fund | 1835765 | 196701 | 2032466 |

---

Management of the Funds have reviewed tax positions taken in tax years that remain subject to examination by all major tax jurisdictions, including federal (i.e., the last three tax year ends and the interim tax period since then). Management believes there is no tax liability resulting from unrecognized tax benefits related to uncertain tax positions taken.

**Note 9 – Reclassification**

Permanent differences, incurred during the year ended December 31, 2022, resulting from differences in book and tax accounting have been reclassified at year end to accumulated earnings (deficit) and paid-in capital as follows:

---

| | | |
|:---|:---|:---|
|  | **Accumulated** | |
| **Fund** | **Earnings (Deficit)** | **Paid-In Capital** |
| Income Fund | $333 | $(333) |
| Income & Opportunity Fund | 148 | (148) |

---

**Note 10 – Line of Credit**

The Company participates in a short-term credit agreement ("Line of Credit") with The Huntington National Bank, the custodian of the Funds' investments expiring on May 19, 2023. Borrowings under this agreement bear interest at 1-Month Secured Overnight Financing Rate plus 1.625%. Maximum borrowings for the Company is the lesser of $5,000,000 or 10% of the Spirit of America Funds' daily market value. At December 31, 2022, the Large Cap Value Fund, Municipal Tax

**NOTES TO FINANCIAL STATEMENTS (CONT.) \| DECEMBER 31, 2022**

Free Bond Fund, Income Fund and Income & Opportunity Fund had outstanding borrowings of $661,738, $597,784, $1,565,130 and $175,348, respectively. During the fiscal year ended December 31, 2022, each Fund's borrowing activity was as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Real Estate** | | | | **Income &** |
|  | **Income and** | **Large Cap** | **Municipal Tax** | | **Opportunity** |
|  | **Growth Fund** | **Value Fund** | **Free Bond Fund** | **Income Fund** | **Fund** |
| Total bank line of credit as of December 31, 2022 | $5000000 | $4338262 | $4402216 | $3434870 | $4824652 |
| Average borrowings during period | $117928 | $118073 | $95737 | $120432 | $35288 |
| Number of days outstanding\* | 35 | 60 | 137 | 149 | 110 |
| Average interest rate during period | 4.292% | 3.051% | 3.363% | 3.620% | 3.149% |
| Highest balance drawn during period | $801863 | $661738 | $665997 | $1017357 | $282992 |
| Highest balance interest rate | 5.950% | 5.950% | 5.950% | 5.950% | 5.950% |
| Interest expense incurred | $6605 | $1757 | $9689 | $2493 | $5460 |
| Interest rate at December 31, 2022 | 5.950% | 5.950% | 5.950% | 5.950% | 5.950% |

---

\* *Number of days outstanding represents the total days during the fiscal year ended December 31, 2022 that each Fund utilized the line of credit.*

**Note 11 – Commitments and Contingencies**

The Company indemnifies its officers and trustees for certain liabilities that may arise from their performance of their duties to the Company or the Funds. Additionally, in the normal course of business, the Company enters into contracts that contain a variety of representations and warranties which provide general indemnifications. The Company's maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Company that have not yet occurred.

**Note 12 – Subsequent Events**

At a meeting held on January 24, 2023, the Board approved a plan to close and liquidate the Income & Opportunity Fund effective at the close of business on March 3, 2023.

Management of the Funds has evaluated the need for disclosures resulting from subsequent events through the date these financial statements were issued. Management has determined that there were no additional items requiring additional disclosure.

**Tax Information (Unaudited)**

All designations are based on financial information available as of the date of this annual report and, accordingly, are subject to change. For each item, it is the intention of the Fund to designate the maximum amount permitted under the Internal Revenue Code and the regulations thereunder.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Qualified** | **Dividends** | **Qualified** | **Long-Term** | |
|  | **Dividend** | **Received** | **Business** | **Capital Gain** | **Tax-Exempt** |
| **Fund** | **Income** | **Deduction** | **Income** | **Dividends** | **Distributions** |
| Real Estate Income and Growth Fund | 9.63% | 10.13% | 89.89% | $5353595 | $— |
| Large Cap Value Fund | 100.00% | 100.00% | 0.00% | 10341913 |  |
| Municipal Tax Free Bond Fund | 0.00% | 0.00% | 0.00% |  | 917252 |
| Income Fund | 34.45% | 42.42% | 0.00% | 2903607 |  |
| Income & Opportunity Fund | 43.86% | 53.89% | 0.00% |  |  |

---

86 SPIRIT OF AMERICA

**REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

**To the Shareholders and Board of Directors<br> of Spirit of America Investment Fund, Inc.<br> Syosset, New York**

**Opinion on the Financial Statements**

We have audited the accompanying statement of assets and liabilities of Spirit of America Real Estate Income & Growth Fund, Spirit of America Large Cap Value Fund, Spirit of America Municipal Tax Free Bond Fund, Spirit of America Income Fund, and the Spirit of America Income & Opportunity Fund (the "Funds"), a series of shares of beneficial interest in Spirit of America Investment Fund, Inc., including the schedule of investments, as of December 31, 2022, the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, and financial highlights for each of the five years in the period then ended, 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 for the year then ended, the changes in their net assets for each of the two years in the period then ended, and their financial highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America.

**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 Funds' auditor since 1998.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit 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 their 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. We believe that our audits provide a reasonable basis for our opinion.

**TAIT, WELLER & BAKER LLP**

**Philadelphia, Pennsylvania<br> February 28, 2023**

**DISCLOSURE OF FUND EXPENSES (UNAUDITED)<br> FOR THE SIX MONTH PERIOD JULY 1, 2022 TO DECEMBER 31, 2022**

We believe it is important for you to understand the impact of fees regarding your investment. All mutual funds have operating expenses. As a shareholder of a Fund, you incur ongoing costs, which include costs for portfolio management, administrative services, and shareholder reports (like this one), among others. Operating expenses, which are deducted from the Fund's gross income, directly reduce the investment return of the Fund.

Each Fund's expenses are expressed as a percentage of its average net assets. This figure is known as the expense ratio. The following examples are intended to help you understand the ongoing fees (in dollars) of investing in your Fund and to compare these costs with those of other mutual funds. The examples are based on an investment of $1,000 made at the beginning of the period shown and held for the six month period, July 1, 2022 to December 31, 2022.

**Actual Fund Return:** This section helps you to estimate the actual expenses that you paid over the period. The "Ending Account Value" shown is derived from the Fund's actual return, the third column shows the period's annualized expense ratio, and the last column shows the dollar amount that would have been paid by an investor who started with $1,000 in the Fund at the beginning of the period. You may use the information here, together with your account value, to estimate the expenses that you paid over the period.

To do so, simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled "Expenses Paid During the Period."

**Hypothetical 5% Return:** This section is intended to help you compare your Fund's costs with those of other mutual funds. It assumes that the Fund had a return of 5% before expenses during the period shown, but that the expense ratio is unchanged. In this case, because the return used is not the Fund's actual return, the results do not apply to your investment. You can assess your Fund's costs by comparing this hypothetical example with the hypothetical examples that appear in shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs such as sales charges (loads), or redemption fees.

88 SPIRIT OF AMERICA

---

| |
|:---|
| **DISCLOSURE OF FUND EXPENSES (UNAUDITED) (CONT.)** |
| **FOR THE SIX MONTH PERIOD JULY 1, 2022 TO DECEMBER 31, 2022** |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  |  |  | **Ending** |  |  |
|  |  | **Beginning** | **Account Value** |  | **Expenses** |
|  |  | **Account Value** | **December 31,** | **Annualized** | **Paid During** |
|  |  | **July 1, 2022** | **2022** | **Expense Ratio** | **the Period<sup>1</sup>** |
| **Real Estate Income and Growth Fund** | **Real Estate Income and Growth Fund** |  |  |  |  |
| **Class A Shares** | Actual | $1000.00 | $994.80 | 1.56% | $7.65 |
|  | Hypothetical<sup>2</sup> | $1000.00 | $1017.34 | 1.56% | $7.93 |
| **Class C Shares** | Actual | $1000.00 | $941.50 | 2.26% | $11.06 |
|  | Hypothetical<sup>2</sup> | $1000.00 | $1013.76 | 2.26% | $11.47 |
| **Institutional Shares** | Actual | $1000.00 | $946.10 | 1.26% | $6.18 |
|  | Hypothetical<sup>2</sup> | $1000.00 | $1018.85 | 1.26% | $6.41 |
| **Large Cap Value Fund** |  |  |  |  |  |
| **Class A Shares** | Actual | $1000.00 | $1038.60 | 1.51% | $7.76 |
|  | Hypothetical<sup>2</sup> | $1000.00 | $1017.59 | 1.51% | $7.68 |
| **Class C Shares** | Actual | $1000.00 | $1035.00 | 2.21% | $11.34 |
|  | Hypothetical<sup>2</sup> | $1000.00 | $1014.06 | 2.21% | $11.22 |
| **Institutional Shares** | Actual | $1000.00 | $1040.20 | 1.21% | $6.22 |
|  | Hypothetical<sup>2</sup> | $1000.00 | $1019.11 | 1.21% | $6.16 |
| **Municipal Tax Free Bond Fund** | **Municipal Tax Free Bond Fund** |  |  |  |  |
| **Class A Shares** | Actual | $1000.00 | $994.40 | 0.92% | $4.62 |
|  | Hypothetical<sup>2</sup> | $1000.00 | $1020.57 | 0.92% | $4.69 |
| **Class C Shares** | Actual | $1000.00 | $990.20 | 1.77% | $8.88 |
|  | Hypothetical<sup>2</sup> | $1000.00 | $1016.28 | 1.77% | $9.00 |
| **Institutional Shares** | Actual | $1000.00 | $995.20 | 0.77% | $3.87 |
|  | Hypothetical<sup>2</sup> | $1000.00 | $1021.32 | 0.77% | $3.92 |
| **Income Fund** |  |  |  |  |  |
| **Class A Shares** | Actual | $1000.00 | $968.30 | 1.12% | $5.56 |
|  | Hypothetical<sup>2</sup> | $1000.00 | $1019.56 | 1.12% | $5.70 |
| **Class C Shares** | Actual | $1000.00 | $964.60 | 1.87% | $9.26 |
|  | Hypothetical<sup>2</sup> | $1000.00 | $1015.78 | 1.87% | $9.50 |
| **Institutional Shares** | Actual | $1000.00 | $968.70 | 0.87% | $4.32 |
|  | Hypothetical<sup>2</sup> | $1000.00 | $1020.82 | 0.87% | $4.43 |
| **Income & Opportunity Fund** | **Income & Opportunity Fund** | **Income & Opportunity Fund** |  |  |  |
| **Class A Shares** | Actual | $1000.00 | $963.50 | 1.30% | $6.43 |
|  | Hypothetical<sup>2</sup> | $1000.00 | $1018.65 | 1.30% | $6.61 |
| **Class C Shares** | Actual | $1000.00 | $959.70 | 2.05% | $10.13 |
|  | Hypothetical<sup>2</sup> | $1000.00 | $1014.87 | 2.05% | $10.41 |
| **Institutional Shares** | Actual | $1000.00 | $964.60 | 1.04% | $5.15 |
|  | Hypothetical<sup>2</sup> | $1000.00 | $1019.96 | 1.04% | $5.30 |

---

*<sup>1</sup>* *Expenses are equal to each Fund's annualized expense ratios, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period). The annualized expense ratios reflect reimbursement/recoupment of expenses by the Funds' Adviser for the period beginning July 1, 2022 to December 31, 2022. The Financial Highlights tables in the Funds' financial statements, included in this report, also show the gross expense ratios, without such reimbursements.*

*<sup>2</sup>* *Assumes a 5% annual return before expenses.*

**MANAGEMENT OF THE COMPANY (UNAUDITED)**

Information pertaining to the Directors and Officers of the Company is set forth below. The Statement of Additional Information includes additional information about the Directors and is available without charge, upon request, by calling (516) 390-5565.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Name (Age) and Address** | &nbsp;&nbsp;**Position(s)**<br> **Held with the**<br> **Company** | &nbsp;&nbsp;**Term of**<br> **Office<sup>1</sup> and**<br> **Length of**<br> **Time Served** | &nbsp;&nbsp;**Principal Occupation(s)**<br> **During Past Five Years** | &nbsp;&nbsp;**Number of<br> Portfolios in<br> Fund Complex<br> Overseen by<br> Director** | &nbsp;&nbsp;**Other**<br> **Directorships Held**<br> **by Director During**<br> **Past Five Years** |
| **<u>INTERESTED DIRECTORS</u>** | **<u>INTERESTED DIRECTORS</u>** | **<u>INTERESTED DIRECTORS</u>** | **<u>INTERESTED DIRECTORS</u>** |  |  |
| David Lerner<sup>2</sup> (86)<br> c/o Spirit of America<br> Investment Fund, Inc. 477<br> Jericho Turnpike<br> Syosset, New York 11791 | &nbsp;&nbsp;Director, Chairman of the Board and President | &nbsp;&nbsp;Since 1998 | &nbsp;&nbsp;Founder, David Lerner Associates, Inc., a registered broker-dealer and the Company's Distributor; and President, Spirit of America Management Corp., the Company's investment adviser. | &nbsp;&nbsp;7 | &nbsp;&nbsp;President and a Director of Spirit of America Management Corp., the Company's investment adviser. |
| Daniel Lerner<sup>2</sup> (60)<br> c/o Spirit of America<br> Investment Fund, Inc.<br> 477 Jericho Turnpike<br> Syosset, New York 11791 | &nbsp;&nbsp;Director | &nbsp;&nbsp;Since 1998 | &nbsp;&nbsp;Senior Vice President, Investment Counselor with David Lerner Associates, Inc., a registered broker-dealer and the Company's Distributor, since September 2000. | &nbsp;&nbsp;7 | &nbsp;&nbsp;Director of David Lerner Associates, Inc., a registered broker-dealer and the Company's Distributor. |
| **<u>INDEPENDENT DIRECTORS</u>** | **<u>INDEPENDENT DIRECTORS</u>** | **<u>INDEPENDENT DIRECTORS</u>** | **<u>INDEPENDENT DIRECTORS</u>** |  |  |
| Allen Kaufman (85)<br> c/o Spirit of America<br> Investment Fund, Inc.<br> 477 Jericho Turnpike<br> Syosset, New York 11791 | &nbsp;&nbsp;Director | &nbsp;&nbsp;Since 1998 | &nbsp;&nbsp;Vice President of K.G.K. Agency, Inc. since 2019; Former President and Chief Executive Officer of K.G.K. Agency, Inc., a property and casualty insurance agency, from 1963 to 2019.<sup>3</sup> | &nbsp;&nbsp;7 | &nbsp;&nbsp;Director of K.G.K. Agency, Inc., a property and casualty insurance agency. |
| Stanley S. Thune (85)<br> c/o Spirit of America<br> Investment Fund, Inc.<br> 477 Jericho Turnpike<br> Syosset, New York 11791 | &nbsp;&nbsp;Lead Director | &nbsp;&nbsp;Since 1998 | &nbsp;&nbsp;Private equity investor. Former President and Chief Executive Officer, Freight Management Systems, Inc., a third party logistics management company, from 1994 to 2012. | &nbsp;&nbsp;7 | &nbsp;&nbsp;Former Director of Freight Management Systems, Inc. |
| John Desmond (72)<br> c/o Spirit of America<br> Investment Fund, Inc.<br> 477 Jericho Turnpike<br> Syosset, New York 11791 | &nbsp;&nbsp;Director | &nbsp;&nbsp;Since 2022 | &nbsp;&nbsp;Former Senior Audit Partner, Partner in Charge of Long Island office and Partnership Board Member of Grant Thornton, LLP (August 1980 to July 2015). | &nbsp;&nbsp;7 | &nbsp;&nbsp;Director and Member of the Compensation Committee, Risk Committee and Ad-Hoc Strategic Planning Committee and Chair of the Audit Committee, The First of Long Island Corporation and its wholly owned subsidiary, The First National Bank of Long Island (2016 to present); Director and Chair of the Audit Committee, Clip Money Inc. (2022 to present); and Treasurer and Board Member, Theodore Roosevelt Council, Boy Scouts of America, Inc. (1992 to present). Former Director, Former Chair of the Audit Committee and Former Member of the Compensation Committee and Nominating & Corporate Governance Committee, MusclePharm Corporation (2017 to 2021); and Former Chair of the Audit Committee, North Hempstead Country Club (2000 to 2019). |

---

90 SPIRIT OF AMERICA

**MANAGEMENT OF THE COMPANY (UNAUDITED) (CONT.)**

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Name (Age) and Address** | &nbsp;&nbsp;**Position(s)<br> Held with the<br> Company** | &nbsp;&nbsp;**Term of<br> Office<sup>1</sup> and<br> Length of<br> Time Served** | &nbsp;&nbsp;**Principal Occupation(s)<br> During Past Five Years** | &nbsp;&nbsp;**Number of<br> Portfolios in<br> Fund Complex<br> Overseen by<br> Director** | &nbsp;&nbsp;**Other<br> Directorships Held<br> by Director During<br> Past Five Years** |
| **<u>INDEPENDENT DIRECTORS</u>** | **<u>INDEPENDENT DIRECTORS</u>** | **<u>INDEPENDENT DIRECTORS</u>** | **<u>INDEPENDENT DIRECTORS</u>** |  |  |
| Richard Weinberger<sup>4</sup> (84)<br> c/o Spirit of America<br> Investment Fund, Inc.<br> 477 Jericho Turnpike<br> Syosset, New York 11791 | &nbsp;&nbsp;Director | &nbsp;&nbsp;Since 2005 | &nbsp;&nbsp;Retired; Formerly Of Counsel to Ballon Stoll Bader & Nadler, P.C., a mid-sized law firm, January 2005 to March 2011; Shareholder, Ballon Stoll Bader & Nadler, P.C. January 2000 to December 2004. | &nbsp;&nbsp;7 | &nbsp;&nbsp;None. |
| **<u>OFFICERS</u>** | **<u>OFFICERS</u>** | **<u>OFFICERS</u>** |  |  |  |
| David Lerner<br> *(see biography above)* | &nbsp;&nbsp;President |  |  |  |  |
| Alan P. Chodosh (68)<br> c/o Spirit of America<br> Investment Fund, Inc.<br> 477 Jericho Turnpike<br> Syosset, New York 11791 | &nbsp;&nbsp;Treasurer and Secretary | &nbsp;&nbsp;Since 2003<br> Since 2005 | &nbsp;&nbsp;Senior Advisor, David Lerner Associates, Inc. from April 2016 to present; Executive Vice President and Chief Financial Officer of David Lerner Associates, Inc. from June 1999 to August 2016. | &nbsp;&nbsp;N/A | &nbsp;&nbsp;N/A |
| Joseph Pickard (61)<br> c/o Spirit of America<br> Investment Fund, Inc.<br> 477 Jericho Turnpike<br> Syosset, New York 11791 | &nbsp;&nbsp;Chief Compliance Officer | &nbsp;&nbsp;Since 2007 | &nbsp;&nbsp;Chief Compliance Officer of Spirit of America Investment Fund, Inc. and Spirit of America Management Corp. since July 2007; Counsel to Interested Directors of Spirit of America Investment Fund, Inc. since July 2002; Senior Vice President and General Counsel of David Lerner Associates, Inc. since July 2002. | &nbsp;&nbsp;N/A | &nbsp;&nbsp;N/A |

---

*<sup>1</sup>* *Each director serves for an indefinite term, until his successor is elected.*

*<sup>2</sup>* *David Lerner is an "interested" director, as defined in the 1940 Act, by reason of his positions with the Adviser, and Daniel Lerner is an "interested" director by reason of his position with the Distributor. Daniel Lerner is the son of David Lerner.*

*<sup>3</sup>* *K.G.K. Agency, Inc. provides insurance to David Lerner Associates, Inc. and affiliated entities. However, the Board has determined that Mr. Kaufman is not an "interested" director because the insurance services are less than $120,000 in value.*

*<sup>4</sup>* *Effective October 24, 2022, Richard Weinberger resigned as a director and has assumed a role of Director Emeritus for a period of one year.*

---

| |
|:---|
| &nbsp;&nbsp;The following notice does not constitute part of and is not |
| &nbsp;&nbsp;incorporated into the prospectus of the Funds. |
| **<u>PRIVACY NOTICE</u>** |
| &nbsp;&nbsp;Rev. 5/2018 |

---

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**FACTS** | &nbsp;&nbsp;**WHAT DO THE SPIRIT OF AMERICA REAL ESTATE INCOME AND GROWTH FUND, SPIRIT OF AMERICA LARGE CAP VALUE FUND, SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND, SPIRIT OF AMERICA INCOME FUND AND SPIRIT OF AMERICA INCOME & OPPORTUNITY FUND (THE "FUNDS") DO WITH YOUR PERSONAL INFORMATION?** | &nbsp;&nbsp;**WHAT DO THE SPIRIT OF AMERICA REAL ESTATE INCOME AND GROWTH FUND, SPIRIT OF AMERICA LARGE CAP VALUE FUND, SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND, SPIRIT OF AMERICA INCOME FUND AND SPIRIT OF AMERICA INCOME & OPPORTUNITY FUND (THE "FUNDS") DO WITH YOUR PERSONAL INFORMATION?** | &nbsp;&nbsp;**WHAT DO THE SPIRIT OF AMERICA REAL ESTATE INCOME AND GROWTH FUND, SPIRIT OF AMERICA LARGE CAP VALUE FUND, SPIRIT OF AMERICA MUNICIPAL TAX FREE BOND FUND, SPIRIT OF AMERICA INCOME FUND AND SPIRIT OF AMERICA INCOME & OPPORTUNITY FUND (THE "FUNDS") DO WITH YOUR PERSONAL INFORMATION?** |
| &nbsp;&nbsp;**Why?** | &nbsp;&nbsp;Financial companies choose how they share your personal information. Federal law gives consumers the right to limit some but not all sharing. Federal law also requires us to tell you how we collect, share, and protect your personal information. Please read this notice carefully to understand what we do. | &nbsp;&nbsp;Financial companies choose how they share your personal information. Federal law gives consumers the right to limit some but not all sharing. Federal law also requires us to tell you how we collect, share, and protect your personal information. Please read this notice carefully to understand what we do. | &nbsp;&nbsp;Financial companies choose how they share your personal information. Federal law gives consumers the right to limit some but not all sharing. Federal law also requires us to tell you how we collect, share, and protect your personal information. Please read this notice carefully to understand what we do. |
| &nbsp;&nbsp;**What?** | &nbsp;&nbsp;The types of personal information we collect and share depend on the product or service you have with us. This information can include:<br>● Social Security number<br>● account balances<br>● account transactions<br>● transaction history<br>● wire transfer instructions<br>● checking account information<br>When you are *no longer* our customer, we continue to share your information as described in this notice. | &nbsp;&nbsp;The types of personal information we collect and share depend on the product or service you have with us. This information can include:<br>● Social Security number<br>● account balances<br>● account transactions<br>● transaction history<br>● wire transfer instructions<br>● checking account information<br>When you are *no longer* our customer, we continue to share your information as described in this notice. | &nbsp;&nbsp;The types of personal information we collect and share depend on the product or service you have with us. This information can include:<br>● Social Security number<br>● account balances<br>● account transactions<br>● transaction history<br>● wire transfer instructions<br>● checking account information<br>When you are *no longer* our customer, we continue to share your information as described in this notice. |
| &nbsp;&nbsp;**How?** | &nbsp;&nbsp;All financial companies need to share customers' personal information to run their everyday business. In the section below, we list the reasons financial companies can share their customers' personal information; the reasons Spirit of America Investment Fund, Inc. chooses to share; and whether you can limit this sharing. | &nbsp;&nbsp;All financial companies need to share customers' personal information to run their everyday business. In the section below, we list the reasons financial companies can share their customers' personal information; the reasons Spirit of America Investment Fund, Inc. chooses to share; and whether you can limit this sharing. | &nbsp;&nbsp;All financial companies need to share customers' personal information to run their everyday business. In the section below, we list the reasons financial companies can share their customers' personal information; the reasons Spirit of America Investment Fund, Inc. chooses to share; and whether you can limit this sharing. |
| &nbsp;&nbsp;**Reasons we can share your personal information** | &nbsp;&nbsp;**Reasons we can share your personal information** | &nbsp;&nbsp;**Do the Funds share?** | &nbsp;&nbsp;**Can you limit this sharing?** |
| &nbsp;&nbsp;**For our everyday business purposes –** such as to process your transactions, maintain your account(s), respond to court orders and legal investigations, or report to credit bureaus | &nbsp;&nbsp;**For our everyday business purposes –** such as to process your transactions, maintain your account(s), respond to court orders and legal investigations, or report to credit bureaus | &nbsp;&nbsp;**Yes** | &nbsp;&nbsp;**No** |
| &nbsp;&nbsp;**For our marketing purposes –** to offer our products and services to you | &nbsp;&nbsp;**For our marketing purposes –** to offer our products and services to you | &nbsp;&nbsp;**No** | &nbsp;&nbsp;**We don't share** |
| &nbsp;&nbsp;**For joint marketing with other financial companies** | &nbsp;&nbsp;**For joint marketing with other financial companies** | &nbsp;&nbsp;**No** | &nbsp;&nbsp;**We don't share** |
| &nbsp;&nbsp;**For our affiliates' everyday business purposes –** information about your transactions and experiences | &nbsp;&nbsp;**For our affiliates' everyday business purposes –** information about your transactions and experiences | &nbsp;&nbsp;**Yes** | &nbsp;&nbsp;**No** |
| &nbsp;&nbsp;**For our affiliates' everyday business purposes –** information about your creditworthiness | &nbsp;&nbsp;**For our affiliates' everyday business purposes –** information about your creditworthiness | &nbsp;&nbsp;**No** | &nbsp;&nbsp;**We don't share** |
| &nbsp;&nbsp;**For our affiliates to market to you** | &nbsp;&nbsp;**For our affiliates to market to you** | &nbsp;&nbsp;**No** | &nbsp;&nbsp;**We don't share** |
| &nbsp;&nbsp;**For non-affiliates to market to you** | &nbsp;&nbsp;**For non-affiliates to market to you** | &nbsp;&nbsp;**No** | &nbsp;&nbsp;**We don't share** |
| &nbsp;&nbsp;**Questions?** | &nbsp;&nbsp;Call (516) 390-5565 | &nbsp;&nbsp;Call (516) 390-5565 | &nbsp;&nbsp;Call (516) 390-5565 |

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92 SPIRIT OF AMERICA

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| | |
|:---|:---|
| &nbsp;&nbsp;**What we do** | &nbsp;&nbsp;**What we do** |
| &nbsp;&nbsp;**Who is providing this notice?** | &nbsp;&nbsp;Funds advised by Spirit of America Management Corp. A complete list is included below. |
| &nbsp;&nbsp;**How do the Funds protect my personal information?** | &nbsp;&nbsp;To protect your personal information from unauthorized access and use, we use security measures that comply with federal law. These measures include computer safeguards and secured files and buildings. |
| &nbsp;&nbsp;**How do the Funds collect my personal information?** | &nbsp;&nbsp;We collect your personal information, typically through David Lerner Associates, Inc., ("DLA") for example, when you<br>● open an account<br>● provide account information<br>● give DLA your contact information<br>● make a wire transfer<br>● tell DLA where to send the money<br>DLA may collect your information from others, such as credit bureaus, affiliates, or other companies. |
| &nbsp;&nbsp;**Why can't I limit all sharing?** | &nbsp;&nbsp;Federal law gives you the right to limit only<br>● sharing for affiliates' everyday business purposes – information about your creditworthiness<br>● affiliates from using your information to market to you<br>● sharing for non-affiliates to market to you<br>State laws and individual companies may give you additional rights to limit sharing. |
| &nbsp;&nbsp;**Definitions** | &nbsp;&nbsp;**Definitions** |
| &nbsp;&nbsp;**Affiliates** | &nbsp;&nbsp;Companies related by common ownership or control. They can be financial and non-financial companies.<br>● Our affiliates include: Spirit of America Management Corp; David Lerner Associates, Inc.; The Great Art Fund, LLC; and SRLA, Inc. |
| &nbsp;&nbsp;**Non-affiliates** | &nbsp;&nbsp;Companies not related by common ownership or control. They can be financial and nonfinancial companies.<br>● The Funds do not share with non-affiliates so they can market to you. |
| &nbsp;&nbsp;**Joint Marketing** | &nbsp;&nbsp; ● The Funds do not jointly market. |
| &nbsp;&nbsp;**List of funds providing this notice** | &nbsp;&nbsp;**List of funds providing this notice** |
| &nbsp;&nbsp;Spirit of America Real Estate Income and Growth Fund<br> Spirit of America Large Cap Value Fund<br> Spirit of America Municipal Tax Free Bond Fund<br> Spirit of America Income Fund<br> Spirit of America Income & Opportunity Fund | &nbsp;&nbsp;Spirit of America Real Estate Income and Growth Fund<br> Spirit of America Large Cap Value Fund<br> Spirit of America Municipal Tax Free Bond Fund<br> Spirit of America Income Fund<br> Spirit of America Income & Opportunity Fund |

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---

| | |
|:---|:---|
| **Proxy Voting Information**<br>The Funds' Statement of Additional Information containing a description of the policies and procedures that the Funds use to determine how to vote proxies relating to portfolio securities, along with the Funds' proxy voting record relating to portfolio securities held during the 12-month period ended June 30 are available (i) without charge, upon request, by calling (516) 390-5565; and (ii) on the SEC's website at www.sec.gov.<br>**Portfolio Disclosure**<br>The Funds file their complete schedules of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to their reports on Form N-PORT. The Funds' Form N-PORT reports are available on the SEC's website at www.sec.gov and on the Funds' website at www.soafunds.com.<br>| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Investment Adviser**<br> Spirit of America Management Corp.<br> 477 Jericho Turnpike<br> P.O. Box 9006<br> Syosset, NY 11791-9006<br>**Distributor**<br> David Lerner Associates, Inc.<br> 477 Jericho Turnpike<br> P.O. Box 9006<br> Syosset, NY 11791-9006<br>**Shareholder Services**<br> Ultimus Fund Solutions, LLC<br> 225 Pictoria Drive, Suite 450<br> Cincinnati, OH 45246<br>**Custodian**<br> The Huntington National Bank<br> 7 Easton Oval<br> Columbus, OH 43219<br>**Independent Registered**<br> **Public Accounting Firm**<br> Tait, Weller & Baker LLP<br> Two Liberty Place<br> 50 South 16th Street, Suite 2900<br> Philadelphia, PA 19102-2529<br>**Counsel**<br> Blank Rome LLP<br> 1271 Avenue of the Americas<br> New York, NY 10020 |

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![(SPIRIT OF AMERICA LOGO)](sf013_v1.jpg)

For additional information about the Funds, call (800) 452-4892 or (610) 382-7819.

This report is submitted for the general information of the shareholders of the Funds. It is not authorized for distribution to prospective investors in the Funds unless preceded or accompanied by an effective Prospectus which includes details regarding each Fund's objectives, risks, policies, expenses, and other information.

<sup>©</sup>Copyright 2022 Spirit of America SOAFunds-AR-22

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

**Item 2. Code of Ethics.**

As of the end of the period covered by this report, the registrant has adopted a code of ethics that applies to the registrant's principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party. Pursuant to Item 12(a)(1), a copy of registrant's code of ethics is filed as an exhibit to this Form N-CSR. During the period covered by this report, the code of ethics has not been amended, and the registrant has not granted any waivers, including implicit waivers, from the provisions of the code of ethics.

**Item 3. Audit Committee Financial Expert.**

(a)(1) The registrant's Board of Trustees has determined that the registrant has at least one audit committee financial expert serving on its audit committee.

(a)(2) The audit committee financial expert is John Desmond, who is "independent" for purposes of this Item 3 of Form N-CSR.

**Item 4. Principal Accountant Fees and Services.**

(a) Audit Fees billed to the registrant by its principal accountants for the two most recent fiscal years:

Fiscal year ended 2022: $100,500

Fiscal year ended 2021: $100,500

(b) Audit-Related Fees billed to the registrant by its principal accountants for the two most recent fiscal years:

Fiscal year ended 2022: $0

Fiscal year ended 2021: $0

Fees for 2022 and 2021 related to the agreed-upon review of items within the Management's Discussion of Fund Performance sections of the Funds' Form N-CSR filing. Amount requiring approval of the registrant's audit committee pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X, $0 and $0 respectively.

(c) Tax Fees billed to the registrant by its principal accountants for the two most recent fiscal years:

Fiscal year ended 2022: $18,500

Fiscal year ended 2021: $18,500

Fees for 2022 and 2021 related to the review of the registrant's tax returns. Amount requiring approval of the registrant's audit committee pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X, $0 and $0 respectively.

(d) All other fees billed to the registrant by its principal accountants for the two most recent fiscal years:

Fiscal year ended 2022: $0

Fiscal year ended 2021: $0

Amount requiring approval of the registrant's audit committee pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X, $0 and $0 respectively.

(e)(1) Disclose the audit committee's pre-approval policies and procedures described in paragraph (c)(7) of Rule 2-01 of Regulation S-X

**<u>Pre-Approval of Audit and Permitted Non-Audit Services Provided to the Company</u>**

*Pre-Approval Requirements*. The Committee shall pre-approve all auditing services and permissible non-audit services (e.g., tax services) to be provided to the Company by the Auditor, including the fees therefor. The Committee may delegate to one or more of its members the authority to grant pre-approvals. In connection with such delegation, the Committee shall establish pre-approval policies and procedures, including the requirement that the decisions of any member to whom authority is delegated under this section (B) shall be presented to the full Committee at each of its scheduled meetings.

*De Minimis Exception to Pre-Approval*: Pre-approval for a permitted non-audit service shall not be required if:

a. the aggregate amount of all such non-audit services is not more than 5% of the total revenues paid by the Company to the Auditor in the fiscal year in which the non-audit services are provided;

b. such services were not recognized by the Company at the time of the engagement to be non-audit services; and

c. such services are promptly brought to the attention of the Committee and approved prior to the completion of the audit by the Committee or by one or more members of the Committee to whom authority to grant such approvals has been delegated by the Committee.

Additionally, the Committee shall pre-approve the Auditor's engagements for non-audit services with the Adviser and any affiliate of the Adviser that provides ongoing services to the Company in accordance with the foregoing, if the engagement relates directly to the operations and financial reporting of the Company, unless the aggregate amount of all services provided constitutes no more than 5% of the total amount of revenues paid to the Auditor by the Company, the Adviser and any affiliate of the Adviser that provides ongoing services to the Company during the fiscal year in which the services are provided that would have to be pre-approved by the Committee pursuant to this paragraph (without regard to this exception).

(e)(2) The percentage of services described in each of paragraphs (b) through (d) of this Item that were approved by the audit committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X are as follows:

(b) 0%

(c) 0 %

(d) 0%

(f) The percentage of hours expended on the principal accountant's engagement to audit the registrant's financial statements for the most recent fiscal year that were attributed to work performed by persons other than the principal accountant's full-time, permanent employees was 0%.

(g) The aggregate non-audit fees billed by the registrant's accountant for services rendered to the registrant, and rendered to the registrant's investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant for fiscal years ended December 31, 2022 and December 31, 2021 are $0 and $0, respectively

(h) The registrant's audit committee of the board of directors has considered whether the provision of non-audit services that were rendered to the registrant's investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the registrant that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X is compatible with maintaining the principal accountant's independence.

**Item 5. Audit Committee of Listed Registrants.**

Not applicable.

**Item 6. Schedule of Investments.**

(a) Not applicable.

(b) Not applicable.

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

Not applicable.

**Item 8. Portfolio Managers of Closed-End Management Investment Companies.**

Not applicable.

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

Not applicable.

**Item 10. Submission of Matters to a Vote of Security Holders.**

Not applicable.

**Item 11. Controls and Procedures.**

(a) The registrant's Principal Executive Officer and Principal Financial Officer have concluded that the registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Act) are effective in design and operation and are sufficient to form the basis of the certifications required by Rule 30a-2 under the Act, based on their evaluation of these disclosure controls and procedures within 90 days of the filing of this report on Form N-CSR.

(b) There were no changes in the registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d)) that occurred during the period covered by this report that have materially affected or are reasonably likely to materially affect, the registrant's internal control over financial reporting.

**Item 12. Disclosure of Securities Lending Activities for Closed-End Investment Companies.**

Not Applicable.

**Item 13. Exhibits.**

[(a)(1) The code of ethics that is the subject of the disclosure required by Item 2 is attached hereto.](coe.htm)

[(a)(2) Certifications pursuant to Rule 30a-2(a) are attached hereto.](cert1.htm)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Not applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) Change in the registrant's independent public accountants: Not applicable

[(b) Certifications pursuant to Rule 30a-2(b) are furnished herewith.](cert2.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) <u>Spirit of America Investment Fund, Inc.</u> 

By (Signature and Title) <u>_/s/ David Lerner_________</u>_<u>_ ___________________</u>

David Lerner, Principal Executive Officer

Date<u>_3/6/2023____</u>

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) <u>_/s/ David Lerner_____</u>_<u>__ ___________________</u>

David Lerner, Principal Executive Officer

Date<u>_3/6/2023____</u>

By (Signature and Title <u>__/s/ Alan P. Chodosh____________________</u>

Alan P. Chodosh, Principal Financial Officer

Date<u>_3/6/2023_______</u>

## Ex-99.Cert

<u>CERTIFICATIONS</u>

I, Alan P. Chodosh, certify that:

1. I have reviewed this report on Form N-CSR of Spirit of America Investment Fund, Inc. (the "registrant");

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

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

4. The registrant's other certifying officer 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;&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;&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;&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;&nbsp;&nbsp;&nbsp;&nbsp;d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer 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;&nbsp;&nbsp;&nbsp;&nbsp;a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&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.

<u>3/6/2023</u> <u>/s/ Alan P. Chodosh</u> 

Date Alan P. Chodosh

Principal Financial Officer

<u>CERTIFICATIONS</u>

I, David Lerner, certify that:

1. I have reviewed this report on Form N-CSR of Spirit of America Investment Fund, Inc. (the "registrant");

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

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

4. The registrant's other certifying officer 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;&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;&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;&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;&nbsp;&nbsp;&nbsp;&nbsp;d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer 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;&nbsp;&nbsp;&nbsp;&nbsp;a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&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.

<u>3/6/2023</u> <u>/s/ David Lerner</u> 

Date David Lerner

Principal Executive Officer

## Exhibit 99.906

This certification is provided pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 18 U.S.C. § 1350, and accompanies the report on Form N-CSR for the period ended December 31, 2022 of Spirit of America Investment Fund, Inc. (the "Registrant").

I, Alan P. Chodosh, the Principal Financial Officer of the Registrant, certify that, to the best of my knowledge:

&nbsp;&nbsp;&nbsp;&nbsp;1. the Form N-CSR fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange
Act of 1934 (15 U.S.C. 78m(a) or 78o(d)); and

&nbsp;&nbsp;&nbsp;&nbsp;2. the information contained in the Form N-CSR fairly presents, in all material respects, the financial
condition and results of operations of the Registrant.

<u>3/6/2023;</u> 

Date

<u>/s/ Alan P. Chodosh</u> 

Alan P. Chodosh

Principal Financial Officer

This certification is being furnished solely pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and is not being filed as part of Form N-CSR or as a separate disclosure document. A signed original of this written statement required by Section 906 has been provided to the Registrant and will be retained by the Registrant and furnished to the Securities and Exchange Commission or its staff upon request.

This certification is provided pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 18 U.S.C. § 1350, and accompanies the report on Form N-CSR for the period ended December 31, 2022 of Spirit of America Investment Fund, Inc. (the "Registrant").

I, David Lerner, the Principal Executive Officer of the Registrant, certify that, to the best of my knowledge:

&nbsp;&nbsp;&nbsp;&nbsp;1. the Form N-CSR fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange
Act of 1934 (15 U.S.C. 78m(a) or 78o(d)); and

&nbsp;&nbsp;&nbsp;&nbsp;2. the information contained in the Form N-CSR fairly presents, in all material respects, the financial
condition and results of operations of the Registrant.

<u>3/6/2023</u> 

Date

<u>/s/ David Lerner</u> 

David Lerner

Principal Executive Officer

This certification is being furnished solely pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and is not being filed as part of Form N-CSR or as a separate disclosure document. A signed original of this written statement required by Section 906 has been provided to the Registrant and will be retained by the Registrant and furnished to the Securities and Exchange Commission or its staff upon request.

## Ex-99.Code

APPENDIX A

**SPIRIT OF AMERICA INVESTMENT FUND, INC.**

FINANCIAL OFFICER CODE OF ETHICS

**Purposes of the Code**

The reputation and integrity of the Spirit of America Investment Fund, Inc. (the "Fund") are valuable assets that are vital to the Fund's success. Each officer and employee of the Fund, including each of the Fund's senior financial officers ("SFOs"), is responsible for conducting the Fund's business in a manner that demonstrates a commitment to the highest standards of integrity. SFOs include the principal executive officer, the principal financial officer, principal accounting officer, and any person who performs a similar function.

The Fund has adopted a Code of Ethics under Rule 17j-1 under the Investment Company Act of 1940. The Fund's Rule 17j-1 Code is designed to prevent certain conflicts of interest that may arise when officers, employees, or directors know about present or future Fund transactions, have the power to influence those transactions; and engage in securities transactions in their personal account(s).

The Fund has chosen to adopt a financial officer code of ethics to encourage its SFOs to act ethically and to question potentially unethical or illegal practices, and to strive to ensure that the Fund's financial disclosures are complete, accurate, and understandable. This Code of Ethics should be read in conjunction with the Fund's other policy statements, including its Rule 17j-1 Code and its Disclosure Controls and Procedures.

**Principles for Handling of Financial Information**

The Fund has adopted the following principles to govern the manner in which SFOs perform their duties. Persons subject to these guidelines include the principal executive officer, the principal financial officer, principal accounting officer, and any Fund officer or employee who performs a similar function or who participates in the preparation of any part of the Fund's financial statements. Specifically, persons subject to this Code shall:

• Act with honesty and integrity

• Avoid actual or apparent conflicts of interest with the Fund in personal and professional relationships

• Provide information to the Fund's employees and service providers (adviser, administrator, outside auditor, outside counsel, custodian, etc.) that is accurate, complete, objective, relevant, timely, and understandable

• Endeavor to ensure full, fair, timely, accurate, and understandable disclosure in the Fund's periodic reports

• Comply with the federal securities laws and other applicable laws and rules, such as the Internal Revenue Code

• Act in good faith, responsibly, and with due care, competence and diligence, without misrepresenting material facts or subordinating independent judgment to another end

• Respect the confidentiality of information acquired in the course of their work, except where disclosure is expressly permitted or is otherwise legally mandated

• Record (or participate in the recording of) entries in the Fund's books and records that are accurate

• Refrain from using confidential information for personal advantage

**Violations of the Code**

Any action that directly or indirectly contravenes one or more of the Principles outlined above shall be treated as a violation of this Code unless good cause for such apparent contravention is found to exist.

Dishonest or unethical conduct or conduct that is illegal will constitute a *per se* violation of this Code, regardless of whether this Code refers to that particular conduct.

A violation of this Code may result in disciplinary action, up to and including termination of employment. The Fund must and will report all suspected criminal violations to the appropriate authorities for possible prosecution, and will investigate, address and report as appropriate, non-criminal violations.

**<u>Enforcement of the Code</u>**

***Violations***

 ****

All persons subject to this Code who observe, learn of, or in good faith, suspect a current or threatened violation of the Code <u>must</u> immediately report the violation in writing to the Compliance Officer, another member of the Fund's senior management, or to the Audit Committee of the Board. An example of a possible Code violation is the preparation and filing of financial disclosure that omits material facts, or that is accurate but is written in a way that obscures its meaning.

***Disclosures***

All persons subject to this Code shall file a letter (a "Disclosure Letter") regarding any transaction or relationship that reasonably appears to involve an actual or apparent conflict of interest with the Fund within ten days of becoming aware of such transaction or relationship. A Disclosure Letter should be prepared regarding these transactions or relationships whether you are involved or have only observed the transaction or relationship. All Disclosure Letters shall be submitted to the Compliance Officer, or if it is not possible to disclose the matter to the Compliance Officer, then the Disclosure Letter shall be submitted to another member of the Fund's senior management or to the Audit Committee of the Board.

An executive officer of the Fund or the Audit Committee will review all Disclosure Letters and determine whether further action is warranted. All determinations will be documented in writing and will be maintained by the Compliance Officer or other appropriate officers of the Fund.

 ****

***Outside Service Providers***

Because service providers to the Fund, such as the Administrator, outside accounting firm, and custodian, provide much of the work relating to the Fund's financial statements, you should be alert for actions by

service providers that may be illegal, or that could be viewed as dishonest or unethical conduct. You should report these actions to the Compliance Officer even if you know, or think, that the service provider has its own code of ethics covering persons who are Fund SFOs or employees.

***Non-Retaliation Policy***

SFOs who report violations or suspected violations in good faith will not be subject to retaliation of any kind. Reported violations will be investigated and addressed promptly and will be treated confidentially to the extent possible.

***Annual Certification***

SFOs will receive training on the contents and importance of this Code and related policies and the manner in which violations must be reported and how Disclosure Letters must be submitted. Each SFO will be asked to certify on an annual basis that he/she is in full compliance with the Code and any related policy statements.

**<u>Questions about the Code</u>**

The Fund's Board of Directors has designated Joseph Pickard to be the Compliance Officer for purposes of implementing and administering this Code. Any questions about this Code should be directed to the Compliance Officer.

Adopted: December 10, 2003 <br> Amended: February 29, 2008 <br> Amended: December 31, 2008