SEC Info - Northern Lights Fund Trust - ‘N-CSR/A’ for 9/30/14

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Northern Lights Fund Trust – ‘N-CSR/A’ for 9/30/14

On: Thursday, 12/18/14, at 3:35pm ET · Effective: 12/18/14 · For: 9/30/14 · Accession #: 910472-14-5820 · File #: 811-21720

  As Of                Filer                Filing    For·On·As Docs:Size              Issuer               Agent

12/18/14  Northern Lights Fund Trust        N-CSR/A     9/30/14    4:1.0M                                   Gemini Fund Svcs, LLC.
          → Sierra Tactical All Asset Fund ⇒ 7 Classes/Contracts
          → Sierra Tactical Core Income Fund ⇒ 5 Classes/Contracts

Amendment to Certified Annual Shareholder Report of a Management Investment Company — Form N-CSR
Filing Table of Contents

Document/Exhibit                   Description                      Pages   Size 

 1: N-CSR/A     Amendment to Certified Annual Shareholder Report    HTML    399K 
                          of a Management Investment Company                     
 3: EX-99.906 CERT  Miscellaneous Exhibit                           HTML      7K 
 2: EX-99.CERT  Miscellaneous Exhibit                               HTML     13K 
 4: EX-99.CODE ETH  Miscellaneous Exhibit                           HTML     32K

N-CSR/A — Amendment to Certified Annual Shareholder Report of a Management Investment Company
Document Table of Contents

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GemCom, LLC

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES

Investment Company Act file number

811-21720

Northern Lights Fund Trust

(Exact name of registrant as specified in charter)

17605 Wright Street Omaha, Nebraska 68130

(Address of principal executive offices)

(Zip code)

James Ash, Gemini Fund Services, LLC.

80 Arkay Blvd., Hauppauge, NY 11788

(Name and address of agent for service)

Registrant's telephone number, including area code:

631-470-2619

Date of fiscal year end:

9/30

Date of reporting period: 9/30/14

Item 1. Reports to Stockholders.

(SIERRA LOGO)

SIERRA CORE RETIREMENT FUND
SIERRA STRATEGIC INCOME FUND

Annual Report
September 30, 2014

1-866-738-4363
www.sierramutualfunds.com

Distributed by Northern Lights Distributors, LLC
Member FINRA

Letter to Shareholders, October 2014

Dear Shareholders:

During the fiscal year ended September 30, 2014, the portfolio of the Sierra Core Retirement Fund was defensively positioned as global political and economic uncertainty increased. Even though we were concerned with avoiding extreme market volatility, our underlying portfolio allocation, fund selection, and attention to risk mitigation resulted in a gain of +5.69%* for Class R shares for the fiscal year. The Sierra Strategic Income Fund was also defensively aligned and returned +7.49%* for Class R shares for the same period.

Sierra Core Retirement Fund

Long-term performance is always a concern of our Portfolio Management team, and we are pleased to report the strong performance of both Funds since inception. The Sierra Core Retirement Fund Class R shares since inception December 24, 2007 to September 30, 2014 had an annualized return of +6.92% and a cumulative return of +57.26%. During the same period, the S&P 500 had an annualized return of +6.47% and a cumulative return of +52.52%, even with the recent highs in the S&P 500.

The performance data quoted here represent past performance for the Class R shares (symbol SIRRX), and are net of the total annual operating expenses of the Class R shares. For performance numbers current to the most recent month end, please call toll-free 866-738-4363 or visit our website, SierraMutualFunds.com. Current performance may be lower or higher than the performance data quoted above. Past performance is no guarantee of future results. The investment return and principal value of an investment in the Fund will fluctuate, so that investors’ shares, when redeemed, may be worth more or less than their original cost.

The total annual operating expenses, including expenses of the underlying funds (estimated at 0.51% per year) are 2.19% for Class A and Class I, 2.34% for Class A1 and I1, 2.94% for Class C, and 1.98% for Class R. Please review the Fund’s prospectus for more information regarding the Fund’s fees and expenses.

These returns are based on traded NAVs.

Sierra Strategic Income Fund

The Sierra Strategic Income Fund Class R shares, from its inception of December 27, 2011 to September 30, 2014, had an annualized return of +5.91% and a cumulative performance of +17.30%. During the same period, Barclays Capital Aggregate Bond Index, the Strategic Income Fund’s benchmark, had an annualized return of +2.46% and a cumulative return of +7.08%.

The performance data quoted here represent past performance for the Class R shares (symbol SSIRX), and are net of the total annual operating expenses of the Class R shares. For performance numbers current to the most recent month end, please call toll-free 866-738-4363 or visit our website, SierraMutualFunds.com. Current performance may be lower or higher than the performance data quoted above. Past performance is no guarantee of future results. The

investment return and principal value of an investment in the Fund will fluctuate, so that investors’ shares, when redeemed, may be worth more or less than their original cost.

The Fund’s investment adviser has contractually agreed to reduce its fees and/or absorb expenses of the Fund, at least until January 31, 2015, to ensure that the net annual fund operating expenses will not exceed 1.30% for Class A and Class I, 1.90% for Class C, 1.00% for Class R, and 0.95% for Class Y. Absent this arrangement, the Fund’s returns would have been lower. Please review the Fund’s prospectus for more information regarding the Fund’s fees and expenses. The total annual operating expenses, including expenses of the underlying funds (estimated at 0.56% per year) are 1.93% for Class A, 1.93% for Class I, 2.51% for Class C, 1.53% for Class R, and 1.51% for Class Y. Please review the Fund’s prospectus for more information regarding the Fund’s fees and expenses.

Comments applicable to both Funds:

Risk mitigation is an essential aspect of the Funds’ operational mandate. As we approached the end of the fiscal year and after a period of relative stability, increased volatility in the global bond and stock markets led us to sell several individual mutual fund positions. In particular, high yield corporate bond funds and interest sensitive bond funds declined enough to trigger sells under our risk mitigation strategy. By September 30, 2014, both of our Funds had about 13% in money market. The largest allocation in both Funds was to municipal bonds at about 20%.

We believe that both Funds are appropriately allocated for the current economic environment and have the potential to provide returns consistent with our long-term goals.

In our view, risk in the investment markets has not abated. Each of the last several uptrends in the global stock markets appear to have been driven by the massive monetary injections by the Fed, the European Central Bank and other central banks, even as global fundamentals worsened. At some point, the flood of liquidity will end or slow. We believe that both the Sierra Core Retirement Fund and the Sierra Strategic Income Fund are well positioned to respond to changes in the global monetary environment. As active investment managers, the key is that we do not predict what is going to occur, but rather react to what actually is taking place in the investment markets we monitor.

For more detailed Commentary and updates, see the “Recent Trends and Outlook” link on our website, www.SierraMutualFunds.com.

We at Sierra appreciate your confidence in our Portfolio Management team.

Sincerely,

David C. Wright, JD
Kenneth L. Sleeper, MBA, PhD
Frank A. Barbera, Jr., CMT
Portfolio Managers

Cumulative performance from inception is the total increase in value of an investment in the Class R shares assuming reinvestment of dividends and capital gains.

The S&P 500 Index, a registered trademark of McGraw-Hill Co., Inc., is a market- capitalization-weighted index of 500 widely-held common stocks. Data here for the S&P includes dividends.

Barclays Capital Aggregate Bond Index, formerly called the “Lehman Aggregate Bond Index”, and is a broad based index maintained by Barclays Capital that is often used to represent investment-grade bonds traded in the United States.

Investors cannot directly invest in an index and unmanaged index returns do not reflect any fees, expenses or sales charges.

2453-NLD-10/22/2014

SIERRA CORE RETIREMENT FUND
PORTFOLIO REVIEW (Unaudited)
September 30, 2014

The Fund’s performance figures* for the year or periods ended September 30, 2014, compared to its benchmarks:

										Inception**-			Inception***-			Inception****-
	One			Three			Five			September 30,			September 30,			September 30,
	Year			Year			Year			2014			2014			2014
Sierra Core Retirement Fund – Class A		5.40	%		3.50	%		4.45	%		6.70	%		—			—
Sierra Core Retirement Fund – Class A with load		(0.68	)%		1.48	%		3.22	%		5.77	%		—			—
Sierra Core Retirement Fund – Class C		4.61	%		2.73	%		—			—			3.33	%		—
Sierra Core Retirement Fund – Class I		5.42	%		3.51	%		4.46	%		6.68	%		—			—
Sierra Core Retirement Fund – Class R		5.69	%		3.74	%		4.71	%		6.92	%		—			—
Sierra Core Retirement Fund – Class A1		5.21	%		—			—			—			—			3.09	%
Sierra Core Retirement Fund – Class A1 with load		(0.83	)%		—			—			—			—			0.48	%
Sierra Core Retirement Fund – Class I1		5.28	%		—			—			—			—			3.14	%
S&P 500 Total Return Index		19.73	%		22.99	%		15.70	%		6.47	%		16.59	%		21.71	%
Morningstar Conservative Allocation Average		6.49	%		8.32	%		7.09	%		4.21	%		7.05	%		7.37	%

The performance data quoted here represents past performance. The performance comparison includes reinvestment of all dividends and capital gain distributions and has been adjusted for the Class A and Class A1 maximum applicable sales charge of 5.75%. Current performance may be lower or higher than the performance data quoted above. Past performance is no guarantee of future results. The investment return and principal value of an investment will fluctuate so that investor’s shares, when redeemed, may be worth more or less than their original cost. Total returns are calculated using the traded NAV on September 30, 2014 (Class A) and the traded NAV on September 30, 2013 (Class A, R, and I1). The returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or on the redemption of Fund shares. Performance figures for periods greater than 1 year are annualized. The Fund’s total annual operating expenses are 2.19% for Class A and Class I shares, 1.98% for Class R shares, 2.94% for Class C shares and 2.34% for Class A1 shares and Class I1 per the January 28, 2014, prospectus. Class A shares are subject to a maximum sales charge of 5.75% and a contingent deferred sales charge of 1.00%. For performance information current to the most recent month-end, please call toll-free 1-866-738-4363 (1-866-RETI-FND).

Inception date is December 24, 2007 for Class A, I and R shares.

***

Inception date is February 5, 2010 for Class C shares.

****

Inception date is June 7, 2012 for A1 and I1 shares. The S&P 500 Total Return Index is a widely accepted, unmanaged index of U.S. stock market performance which does not take into account charges, fees and other expenses.

The Morningstar Conservative Allocation average is the average performance, published by Morningstar, of mutual funds that Morningstar categorizes in its Conservative Allocation group, as published by Morningstar at the end of each calendar quarter, and thus the original reports include funds that have subsequently merged, changed categories or liquidated.

SIERRA CORE RETIREMENT FUND
PORTFOLIO REVIEW (Unaudited)(Continued)
September 30, 2014

Comparison of the Change in Value of a $10,000 Investment

(LINE GRAPH)

The Fund’s Top Asset Classes are as follows:

Asset Class	% of Net Assets

Debt Funds		71.8	%
Asset Allocation Funds		8.9	%
Equity Funds		6.3	%
Other, Cash & Cash Equivalents		13.0	%
		100.0	%

Please refer to the Portfolio of Investments in this Annual Report for a detailed analysis of the Fund’s holdings.

SIERRA STRATEGIC INCOME FUND
PORTFOLIO REVIEW (Unaudited)
September 30, 2014

The Fund’s performance figures* for the year or periods ended September 30, 2014, compared to its benchmark:

		Inception** -
	One Year	September 30, 2014
Sierra Strategic Income Fund – Class A	7.11%	5.61%
Sierra Strategic Income Fund – Class A with load	0.96%	3.38%
Sierra Strategic Income Fund – Class C	6.49%	4.98%
Sierra Strategic Income Fund – Class I	7.12%	5.67%
Sierra Strategic Income Fund – Class R	7.49%	5.91%
Sierra Strategic Income Fund – Class Y	7.45%	5.93%
Barclays Capital Aggregate Bond Index	3.96%	2.46%

The performance data quoted here represents past performance. The performance comparison includes reinvestment of all dividends and capital gain distributions and has been adjusted for the Class A maximum applicable sales charge of 5.75%. Current performance may be lower or higher than the performance data quoted above. Past performance is no guarantee of future results. The investment return and principal value of an investment will fluctuate so that investor’s shares, when redeemed, may be worth more or less than their original cost. Total returns are calculated using the traded NAV on September 30, 2014 (Class A and Class Y) and the traded NAV on September 30, 2013 (Classes A, C, I and R). The returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or on the redemption of Fund shares. The Fund’s total annual operating expenses are 1.93% for Class A and Class I shares, 1.53% for Class R shares, 1.51% for Class Y shares and 2.51% for Class C shares per the January 28, 2014, prospectus. Class A shares are subject to a maximum sales charge of 5.75% and a contingent deferred sales charge of 1.00%. For performance information current to the most recent month-end, please call toll-free 1-866-738-4363 (1-866-RETI-FND).

The Fund’s inception date is December 27, 2011.

The Barclays Capital Aggregate Bond Index is commonly used as a benchmark by both passive and active investors to measure portfolio performance relative to the U.S. dollar-denominated investment grade fixed-rate taxable bond market. It is also an informational measure of broad market returns commonly applied to fixed income instruments. The index contains approximately 8,200 fixed income issues and is valued at around $15 trillion, representing 43% of the total U. S. bond market.

SIERRA STRATEGIC INCOME FUND
PORTFOLIO REVIEW (Unaudited)(Continued)
September 30, 2014

Comparison of the Change in Value of a $10,000 Investment

(LINE GRAPH)

The Fund’s Top Asset Classes are as follows:

Asset Class	% of Net Assets

Debt Funds		74.5	%
Equity Funds		9.5	%
Asset Allocation Funds		3.7	%
Other, Cash & Cash Equivalents		12.3	%
		100.0	%

Please refer to the Portfolio of Investments in this Annual Report for a detailed analysis of the Fund’s holdings.

Sierra Core Retirement Fund
PORTFOLIO OF INVESTMENTS
September 30, 2014

Shares			Value
		MUTUAL FUNDS - 87.0%
		ASSET ALLOCATION FUNDS - 8.9%
	1,904,711	JPMorgan Income Builder Fund - Institutional Class	$	19,656,614
	1,192,661	Manning & Napier Fund Inc - Pro Blend Conservative Term Series Fund - Institutional Class		13,274,318
	1,692,210	PIMCO StockPlus Long Duration Fund - Institutional Class		13,673,055
	215,351	Vanguard Wellesley Income Fund - Retail Class		13,381,904
				59,985,891
		DEBT FUNDS - 71.8%
	2,748,107	Baird Core Plus Bond Fund - Institutional Class		30,366,583
	1,300,192	DoubleLine Emerging Markets Fixed Income Bond Fund - Institutional Class		13,925,058
	821,831	Forward Select Income Fund - Institutional Class		20,743,005
	6,721,903	Ivy Municipal High Income Fund - Class I		35,289,988
	3,327,299	MainStay High Yield Municipal Bond Fund - Institutional Class		39,428,495
	2,522,565	Metropolitan West Total Return Bond Fund - Class I		27,268,931
	3,097,771	Natixis Loomis Sayles Core Plus Bond Fund - Class Y		41,107,422
	794,332	Nuveen High Yield Municipal Bond Fund - Institutional Class		13,487,756
	3,081,970	PIMCO Income Fund - Institutional Class		38,956,102
	3,801,116	PIMCO Long-Term Credit Fund - Institutional Class		48,198,153
	2	Principal High Yield Fund - Institutional Class		16
	2,660,494	Principal Preferred Securities Fund - Institutional Class		27,615,931
	4,052,548	Putnam Diversified Income Trust - Class Y		31,690,924
	1,238,325	RidgeWorth Investment Grade Tax-Exempt Bond Fund - Class I		15,342,849
	3,029,200	TCW Total Return Bond Fund - Class I		31,079,589
	1,265	Vanguard Long-Term Treasury Fund - Investor Class		15,552
	3,035,000	Voya Intermediate Bond Fund - Class W		30,350,001
	2,359,566	Western Asset Managed Municipals Fund - Class I		39,735,093
				484,601,448
		EQUITY FUNDS - 6.3%
	2,108,935	Oppenheimer SteelPath MLP Select 40 Fund - Institutional Class		28,786,962
	887,394	Salient MLP & Energy Infrastructure Fund II - Institutional Class		13,665,866
				42,452,828

		TOTAL MUTUAL FUNDS (Cost $574,703,267)		587,040,167

See accompanying notes to financial statements.

Sierra Core Retirement Fund
PORTFOLIO OF INVESTMENTS (Continued)
September 30, 2014

Shares			Value
		SHORT-TERM INVESTMENT - 13.1%
		MONEY MARKET FUND - 13.1%
	88,593,276	Goldman Sachs Financial Square Funds-	$	88,593,276
		Prime Obligations Portfolio to yield 0.01% * (Cost $88,593,276)

		TOTAL INVESTMENTS - 100.1% (Cost $663,296,543) (a)	$	675,633,443
		LIABILITIES IN EXCESS OF OTHER ASSETS - (0.1)%		(819,541	)
		NET ASSETS - 100.0%	$	674,813,902

(a)

Represents cost for financial reporting purposes. Aggregate cost for federal tax purposes is $662,929,279 and differs from value by net unrealized appreciation (depreciation) of securities as follows:

Unrealized Appreciation:	$	14,202,276
Unrealized Depreciation:		(1,498,112	)
Net Unrealized Appreciation:	$	12,704,164

Money market fund; interest rate reflects seven-day effective yield on September 30, 2014.

See accompanying notes to financial statements.

Sierra Strategic Income Fund
PORTFOLIO OF INVESTMENTS
September 30, 2014

Shares			Value
		MUTUAL FUNDS - 87.7%
		ASSET ALLOCATION FUNDS - 3.7%
	539,257	JPMorgan Income Builder Fund - Institutional Class	$	5,565,129
	709,839	PIMCO StockPlus Long Duration Fund - Institutional Class		5,735,498
				11,300,627
		DEBT FUNDS - 74.5%
	908,616	Angel Oak Multi-Strategy Income Fund - Institutional Class		11,048,775
	591,241	Baird Core Plus Bond Fund - Institutional Class		6,533,210
	622,397	DoubleLine Emerging Markets Fixed Income Bond Fund - Institutional Class		6,665,867
	628,827	Forward Select Income Fund - Institutional Class		15,871,583
	1,692,629	Lord Abbett High Yield Municipal Bond Fund - Class A		19,786,837
	2,381,253	Lord Abbett Income Fund - Institutional Class		6,953,259
	602,858	Metropolitan West Total Return Bond Fund - Class I		6,516,891
	1,255,757	Nuveen High Yield Municipal Bond Fund - Institutional Class		21,322,749
	1,341,794	PIMCO Foreign Bond Fund U.S. Dollar-Hedged - Institutional Class		14,907,336
	1,117,929	PIMCO Income Fund - Institutional Class		14,130,627
	1,240,694	PIMCO Long-Term Credit Fund - Institutional Class		15,731,999
	954,282	Principal Global Diversified Income Fund - Institutional Class		13,999,322
	1	Principal High Yield Fund - Institutional Class		4
	1,547,554	Principal Preferred Securities Fund - Institutional Class		16,063,613
	916,893	Prudential Muni High Income Fund - Class Z		9,315,629
	1,920,964	Putnam Diversified Income Trust - Class Y		15,021,935
	1,107,666	TCW Total Return Bond Fund - Class I		10,338,652
	440	Vanguard Long-Term Treasury Fund - Investor Class		5,404
	1,088,002	Voya Intermediate Bond Fund - Class W		10,880,023
	675,729	Western Asset Managed Municipals Fund - Class I		11,379,283
				226,472,998
		EQUITY FUNDS - 9.5%
	1,210,644	Oppenheimer SteelPath MLP Select 40 Fund - Institutional Class		16,525,289
	800,749	Salient MLP & Energy Infrastructure Fund II		12,331,534
				28,856,823

		TOTAL MUTUAL FUNDS (Cost $260,452,536)		266,630,448

See accompanying notes to financial statements.

Sierra Strategic Income Fund
PORTFOLIO OF INVESTMENTS (Continued)
September 30, 2014

Shares			Value
		SHORT-TERM INVESTMENT - 12.3%
		MONEY MARKET FUND - 12.3%
	37,429,726	Goldman Sachs Financial Square Funds-	$	37,429,726
		Prime Obligations Portfolio to yield 0.01% * (Cost $37,429,726)

		TOTAL INVESTMENTS - 100.0% (Cost $297,882,262) (a)	$	304,060,174
		LIABILITIES IN EXCESS OF OTHER ASSETS - (0.0)%		(75,217	)
		NET ASSETS - 100%	$	303,984,957

(a)

Represents cost for financial reporting purposes. Aggregate cost for federal tax purposes is $297,463,467 and differs from value by net unrealized appreciation (depreciation) of securities as follows:

Unrealized Appreciation:	$	7,175,260
Unrealized Depreciation:		(578,553	)
Net Unrealized Appreciation:	$	6,596,707

Money market fund; interest rate reflects seven-day effective yield on September 30, 2014.

See accompanying notes to financial statements.

THE SIERRA FUNDS
STATEMENTS OF ASSETS AND LIABILITIES
September 30, 2014

	Sierra Core		Sierra Strategic
	Retirement Fund		Income Fund
ASSETS
Investment securities:
At cost	$	663,296,543	$	297,882,262
At value	$	675,633,443	$	304,060,174
Cash		7		—
Receivable for Fund shares sold		728,184		309,078
Dividends and interest receivable		1,218,668		722,255
Prepaid expenses and other assets		99,393		58,851
TOTAL ASSETS		677,679,695		305,150,358

LIABILITIES
Payable for Fund shares repurchased		650,008		153,835
Payable for investments purchased		1,197,451		722,255
Investment advisory fees payable		746,236		181,380
Distribution (12b-1) fees payable		139,458		58,761
Fees payable to other affiliates		63,447		18,466
Accrued expenses and other liabilities		69,193		30,704
TOTAL LIABILITIES		2,865,793		1,165,401
NET ASSETS	$	674,813,902	$	303,984,957

Net Assets Consist Of:
Paid in capital	$	662,109,738	$	297,249,699
Undistributed net investment income		367,264		418,820
Accumulated net realized gain(loss) from security transactions		—		138,526
Net unrealized appreciation of investments		12,336,900		6,177,912
NET ASSETS	$	674,813,902	$	303,984,957

See accompanying notes to financial statements.

THE SIERRA FUNDS
STATEMENTS OF ASSETS AND LIABILITIES (Continued)
September 30, 2014

	Sierra Core			Sierra Strategic
	Retirement Fund			Income Fund
Net Asset Value Per Share:
Class A Shares:
Net Assets	$	89,441,164		$	36,523,807
Shares of beneficial interest outstanding [$0 par value, unlimited shares authorized]		3,840,772			1,721,375
Net asset value (Net Assets ÷ Shares Outstanding) and redemption price per share	$	23.29	(b)	$	21.22	(b)
Maximum offering price per share (maximum sales charge of 5.75%) (a)	$	24.71	(b)	$	22.51	(b)

Class C Shares:
Net Assets	$	93,290,933		$	21,345,675
Shares of beneficial interest outstanding [$0 par value, unlimited shares authorized]		3,977,472			1,007,294
Net asset value (Net Assets ÷ Shares Outstanding), offering price and redemption price per share	$	23.45		$	21.19

Class I Shares:
Net Assets	$	101,797,968		$	81,311,365
Shares of beneficial interest outstanding [$0 par value, unlimited shares authorized]		4,378,092			3,827,721
Net asset value (Net Assets ÷ Shares Outstanding), offering price and redemption price per share	$	23.25		$	21.24

Class R Shares:
Net Assets	$	347,369,986		$	157,023,392
Shares of beneficial interest outstanding [$0 par value, unlimited shares authorized]		15,025,391			7,415,917
Net asset value (Net Assets ÷ Shares Outstanding), offering price and redemption price per share	$	23.12		$	21.17

Class Y Shares:
Net Assets				$	7,780,718
Shares of beneficial interest outstanding [$0 par value, unlimited shares authorized]					368,136
Net asset value (Net Assets ÷ Shares Outstanding), offering price and redemption price per share					$21.14	(b)

Class A1 Shares:
Net Assets	$	1,838,296
Shares of beneficial interest outstanding [$0 par value, unlimited shares authorized]		78,179
Net asset value (Net Assets ÷ Shares Outstanding) and redemption price per share	$	23.51
Maximum offering price per share (maximum sales charge of 5.75%) (a)	$	24.94

Class I1 Shares:
Net Assets	$	41,075,555
Shares of beneficial interest outstanding [$0 par value, unlimited shares authorized]		1,756,144
Net asset value (Net Assets ÷ Shares Outstanding), offering price and redemption price per share	$	23.39

(a)

On investments of $1 million or more, the maximum sales charge will not apply. Instead, the investment may be subject to a 1.00% contingent deferred sales charge on redemptions within 18 months of purchase.

(b)

The NAV and offering price shown above differs from the traded NAV on September 30, 2014 due to financial statement rounding and/or financial statement adjustments.

See accompanying notes to financial statements.

THE SIERRA FUNDS
STATEMENTS OF OPERATIONS
For the Year Ended September 30, 2014

	Sierra Core			Sierra Strategic
	Retirement Fund			Income Fund
INVESTMENT INCOME
Dividends	$	31,015,043		$	11,911,044
Interest		2,733			1,138
TOTAL INVESTMENT INCOME		31,017,776			11,912,182

EXPENSES
Investment advisory fees		8,309,441			1,822,561
Distribution (12b-1) fees:
Class A		246,768			124,514
Class C		933,464			172,248
Class I		268,621			223,258
Class A1		36,692			—
Class I1		145,805			—
Administrative services fees		442,189			158,190
Transfer agent fees		222,841			66,909
Non 12b-1 shareholder servicing		148,711			19,060
Accounting services fees		95,040			52,619
Custodian fees		105,666			37,425
Registration fees		96,365			63,214
Printing and postage expenses		97,272			44,235
Insurance expense		36,975			8,381
Professional fees		30,874			24,417
Compliance officer fees		23,200			7,820
Trustees fees and expenses		11,326			11,326
Other expenses		45,297			15,808
TOTAL EXPENSES		11,296,547			2,851,985

Plus: Recapture of fees waived/reimbursed by the Adviser		—			5,366
Less: Fees waived by the Adviser		—			(60,683	)

NET EXPENSES		11,296,547			2,796,668
NET INVESTMENT INCOME		19,721,229			9,115,514

REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain (loss) from:
Security transactions		(984,075	)		198,675
Distributions of capital gains from underlying investment companies		2,118,481			585,725
		1,134,406			784,400
Net change in unrealized appreciation of:
Investments		13,241,733			6,276,104
NET REALIZED AND UNREALIZED GAIN ON INVESTMENTS		14,376,139			7,060,504

NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS	$	34,097,368		$	16,176,018

See accompanying notes to financial statements.

SIERRA CORE RETIREMENT FUND
STATEMENTS OF CHANGES IN NET ASSETS

	Year Ended			Year Ended
	September 30,			September 30,
	2014			2013
FROM OPERATIONS
Net investment income	$	19,721,229		$	18,827,002
Net realized gain (loss) from security transactions		(984,075	)		5,553,693
Distributions of capital gains from underlying investment companies		2,118,481			811,097
Net change in unrealized appreciation (depreciation) of investments		13,241,733			(29,814,392	)
Net increase (decrease) in net assets resulting from operations		34,097,368			(4,622,600	)

DISTRIBUTIONS TO SHAREHOLDERS
From net realized gains:
Class A		(257,624	)		—
Class C		(249,527	)		—
Class I		(286,235	)		—
Class R		(868,496	)		—
Class AI		(14,233	)		—
Class I1		(102,175	)		—
From return of capital:
Class A		(222,578	)		—
Class C		(230,505	)		—
Class I		(254,680	)		—
Class R		(870,443	)		—
Class AI		(4,532	)		—
Class I1		(101,847	)		—
From net investment income:
Class A		(3,703,835	)		(3,228,353	)
Class C		(2,739,471	)		(1,341,045	)
Class I		(3,883,326	)		(3,288,494	)
Class R		(12,132,401	)		(8,666,313	)
Class A1		(357,709	)		(91,153	)
Class I1		(1,192,050	)		(716,550	)
Net decrease in net assets resulting from distributions to shareholders		(27,471,667	)		(17,331,908	)

FROM SHARES OF BENEFICIAL INTEREST
Proceeds from shares sold:
Class A		24,030,628			52,283,552
Class C		24,720,482			55,134,793
Class I		28,185,131			49,829,233
Class R		107,695,620			108,713,958
Class A1		1,104,743			13,694,874
Class I1		24,680,511			47,758,341
Net asset value of shares issued in reinvestment of distributions:
Class A		3,397,275			2,778,501
Class C		2,678,896			1,066,632
Class I		3,873,011			2,949,733
Class R		12,687,102			8,036,949
Class A1		368,837			88,623
Class I1		1,258,304			613,990
Payments for shares redeemed:
Class A		(59,294,209	)		(82,218,771	)
Class C		(34,178,596	)		(21,609,323	)
Class I		(54,111,087	)		(88,553,094	)
Class R		(104,641,284	)		(152,807,592	)
Class Y (a)		—			(24	)
Class A1		(12,023,403	)		(1,650,462	)
Class I1		(17,445,433	)		(29,136,622	)
Net decrease in net assets resulting from shares of beneficial interest		(47,013,472	)		(33,026,709	)

TOTAL DECREASE IN NET ASSETS		(40,387,771	)		(54,981,217	)

NET ASSETS
Beginning of Year		715,201,673			770,182,890
End of Year*	$	674,813,902		$	715,201,673
* Includes undistributed net investment income of:	$	367,264		$	4,654,827

See accompanying notes to financial statements.

SIERRA CORE RETIREMENT FUND
STATEMENTS OF CHANGES IN NET ASSETS (Continued)

	Year Ended			Year Ended
	September 30,			September 30,
	2014			2013
SHARE ACTIVITY
Class A:
Shares Sold		1,037,844			2,207,366
Shares Reinvested		148,751			117,904
Shares Redeemed		(2,563,155	)		(3,489,772	)
Net decrease in shares of beneficial interest outstanding		(1,376,560	)		(1,164,502	)

Class C:
Shares Sold		1,055,221			2,311,802
Shares Reinvested		116,568			44,901
Shares Redeemed		(1,467,846	)		(910,045	)
Net increase (decrease) in shares of beneficial interest outstanding		(296,057	)		1,446,658

Class I:
Shares Sold		1,212,021			2,114,892
Shares Reinvested		169,728			125,350
Shares Redeemed		(2,335,447	)		(3,767,650	)
Net decrease in shares of beneficial interest outstanding		(953,698	)		(1,527,408	)

Class R:
Shares Sold		4,651,252			4,621,712
Shares Reinvested		558,007			343,723
Shares Redeemed		(4,548,586	)		(6,540,350	)
Net increase (decrease) in shares of beneficial interest outstanding		660,673			(1,574,915	)

Class Y: (a)
Shares Redeemed					(1	)
Net decrease in shares of beneficial interest outstanding					(1	)

Class A1
Shares Sold		47,309			574,885
Shares Reinvested		16,167			3,784
Shares Redeemed		(507,755	)		(70,391	)
Net increase (decrease) in shares of beneficial interest outstanding		(444,279	)		508,278

Class I1
Shares Sold		1,056,950			2,006,047
Shares Reinvested		54,673			25,947
Shares Redeemed		(747,550	)		(1,233,454	)
Net increase in shares of beneficial interest outstanding		364,073			798,540

(a)

Sierra Core Retirement Fund Class Y liquidated on March 8, 2013.

See accompanying notes to financial statements.

SIERRA STRATEGIC INCOME FUND
STATEMENTS OF CHANGES IN NET ASSETS

	Year Ended			Year Ended
	September 30,			September 30,
	2014			2013
FROM OPERATIONS
Net investment income	$	9,115,514		$	5,820,736
Net realized gain from security transactions		198,675			499,565
Distributions of capital gains from underlying investment companies		585,725			206,848
Net change in unrealized appreciation (depreciation) of investments		6,276,104			(5,407,394	)
Net increase in net assets resulting from operations		16,176,018			1,119,755

DISTRIBUTIONS TO SHAREHOLDERS
From net realized gains:
Class A		(168,693	)		—
Class C		(87,033	)		—
Class I		(278,798	)		—
Class R		(706,715	)		—
Class Y		(46,882	)		—
From net investment income:
Class A		(1,136,340	)		(562,738	)
Class C		(542,120	)		(621,612	)
Class I		(1,854,839	)		(607,687	)
Class R		(5,231,995	)		(2,098,844	)
Class Y		(373,965	)		(1,529,092	)
Net decrease in net assets resulting from distributions to shareholders		(10,427,380	)		(5,419,973	)

FROM SHARES OF BENEFICIAL INTEREST
Proceeds from shares sold:
Class A		17,126,244			25,803,941
Class C		10,102,910			16,133,713
Class I		68,718,352			44,138,214
Class R		60,003,614			129,546,081
Class Y		—			19,647,422
Net asset value of shares issued in reinvestment of distributions:
Class A		1,209,358			508,010
Class C		518,311			167,125
Class I		1,657,117			519,153
Class R		5,538,174			1,966,896
Class Y		419,008			1,529,103
Payments for shares redeemed:
Class A		(12,068,799	)		(7,755,320	)
Class C		(6,268,621	)		(32,054,643	)
Class I		(22,035,332	)		(21,890,469	)
Class R		(27,673,960	)		(25,120,718	)
Class Y		(4,114,943	)		(93,736,176	)
Net increase in net assets resulting from shares of beneficial interest		93,131,433			59,402,332

TOTAL INCREASE IN NET ASSETS		98,880,071			55,102,114

NET ASSETS
Beginning of Year		205,104,886			150,002,772
End of Year*	$	303,984,957		$	205,104,886
* Includes undistributed net investment income of:	$	418,820		$	442,565

See accompanying notes to financial statements.

SIERRA STRATEGIC INCOME FUND
STATEMENTS OF CHANGES IN NET ASSETS (Continued)

	Year Ended			Year Ended
	September 30,			September 30,
	2014			2013
SHARE ACTIVITY
Class A:
Shares Sold		812,121			1,217,788
Shares Reinvested		58,167			24,032
Shares Redeemed		(575,828	)		(370,174	)
Net increase in shares of beneficial interest outstanding		294,460			871,646

Class C:
Shares Sold		479,557			762,115
Shares Reinvested		25,021			7,904
Shares Redeemed		(300,432	)		(1,507,224	)
Net increase (decrease) in shares of beneficial interest outstanding		204,146			(737,205	)

Class I:
Shares Sold		3,274,126			2,079,435
Shares Reinvested		79,089			24,536
Shares Redeemed		(1,047,227	)		(1,043,386	)
Net increase in shares of beneficial interest outstanding		2,305,988			1,060,585

Class R:
Shares Sold		2,851,133			6,117,469
Shares Reinvested		266,531			93,130
Shares Redeemed		(1,326,800	)		(1,195,094	)
Net increase in shares of beneficial interest outstanding		1,790,864			5,015,505

Class Y:
Shares Sold		—			930,281
Shares Reinvested		20,264			72,543
Shares Redeemed		(198,233	)		(4,432,494	)
Net decrease in shares of beneficial interest outstanding		(177,969	)		(3,429,670	)

See accompanying notes to financial statements.

SIERRA CORE RETIREMENT FUND
FINANCIAL HIGHLIGHTS

Per Share Data and Ratios for a Share of Beneficial Interest Outstanding Throughout Each Year

	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	September 30,			September 30,			September 30,			September 30,			September 30,
Class A Shares	2014			2013			2012			2011			2010
Net asset value, beginning of year	$	23.05		$	23.68		$	23.12		$	24.24		$	24.26
Activity from investment operations:
Net investment income (1)		0.71			0.58			0.75			0.82			0.96
Net realized and unrealized gain (loss) on investments		0.50			(0.70	)		0.56			(0.32	)		1.25
Total from investment operations		1.21			(0.12	)		1.31			0.50			2.21
Less distributions from:
Net investment income		(0.85	)		(0.51	)		(0.65	)		(0.78	)		(0.86	)
Net realized gains		(0.06	)		—			(0.10	)		(0.84	)		(1.37	)
Return of capital		(0.06	)		—			—			—			—
Total distributions		(0.97	)		(0.51	)		(0.75	)		(1.62	)		(2.23	)
Net asset value, end of year	$	23.29		$	23.05		$	23.68		$	23.12		$	24.24
Total return (2)		5.40	%		(0.53	)%		5.80	%		2.18	%		9.73	%
Net assets, at end of year (000s)	$	89,441		$	120,236		$	151,147		$	65,664		$	31,288

Ratio of gross expenses to average net assets (3)(5)		1.69	%		1.68	%		1.71	%		1.65	%		1.69	%
Ratio of net expenses to average net assets (5)		1.69	%		1.68	%		1.71	%		1.65	%		1.70	% (4)
Ratio of net investment income to average net assets (5)(6)		3.05	%		2.45	%		3.21	%		3.47	%		4.01	%
Portfolio Turnover Rate		78	%		234	%		125	%		199	%		101	%

(1)

Per share amounts calculated using the average shares method, which more appropriately presents the per share data for the period.

(2)

Total returns shown exclude the effect of applicable sales charges, and assume changes in share price and reinvestment of dividends and capital gain distributions.

(3)

Represents the ratio of expenses to average net assets absent fee waivers and/or expense reimbursements by the Adviser.

(4)

Represents the ratio of expenses to average net assets inclusive of Adviser’s recapture of waived/reimbursed fees from prior periods.

(5)

Does not include the expenses of other investment companies in which the Fund invests.

(6)

Recognition of net investment income by the Fund is affected by the timing of declaration of dividends by the underlying investment companies in which the Fund invests.

See accompanying notes to financial statements.

SIERRA CORE RETIREMENT FUND
FINANCIAL HIGHLIGHTS

Per Share Data and Ratios for a Share of Beneficial Interest Outstanding Throughout Each Period

	Year Ended			Year Ended			Year Ended			Year Ended			Period Ended
	September 30,			September 30,			September 30,			September 30,			September 30,
Class C Shares	2014			2013			2012			2011			2010 (1)
Net asset value, beginning of period	$	23.20		$	23.90		$	23.33		$	24.44		$	23.32
Activity from investment operations:
Net investment income (2)		0.53			0.34			0.58			0.65			0.39
Net realized and unrealized gain (loss) on investments		0.51			(0.65	)		0.57			(0.31	)		0.97
Total from investment operations		1.04			(0.31	)		1.15			0.34			1.36
Less distributions from:
Net investment income		(0.67	)		(0.39	)		(0.48	)		(0.61	)		(0.24	)
Net realized gains		(0.06	)		—			(0.10	)		(0.84	)		—
Return of capital		(0.06	)		—			—			—			—
Total distributions		(0.79	)		(0.39	)		(0.58	)		(1.45	)		(0.24	)
Net asset value, end of period	$	23.45		$	23.20		$	23.90		$	23.33		$	24.44
Total return (3)		4.61	%		(1.33	)%		5.03	%		1.48	%		5.85	% (8)
Net assets, at end of period (000s)	$	93,291		$	99,156		$	67,550		$	59,338		$	32,726

Ratio of gross expenses to average net assets (4)(6)		2.44	%		2.43	%		2.46	%		2.40	%		2.47	% (5)
Ratio of net expenses to average net assets (6)		2.44	%		2.43	%		2.46	%		2.40	%		2.47	% (5)
Ratio of net investment income to average net assets (6)(7)		2.26	%		1.44	%		2.46	%		2.72	%		2.52	% (5)
Portfolio Turnover Rate		78	%		234	%		125	%		199	%		101	% (8)

(1)

The Sierra Core Retirement Fund’s Class C shares commenced operations on February 5, 2010.

(2)

Per share amounts calculated using the average shares method, which more appropriately presents the per share data for the period.

(3)

Total returns shown assume changes in share price and reinvestment of dividends and capital gain distributions.

(4)

Represents the ratio of expenses to average net assets absent fee waivers and/or expense reimbursements by the Adviser.

(5)

Annualized.

(6)

Does not include the expenses of other investment companies in which the Fund invests.

(7)

Recognition of net investment income by the Fund is affected by the timing of declaration of dividends by the underlying investment companies in which the Fund invests.

(8)

Not annualized.

See accompanying notes to financial statements.

SIERRA CORE RETIREMENT FUND
FINANCIAL HIGHLIGHTS

Per Share Data and Ratios for a Share of Beneficial Interest Outstanding Throughout Each Year

	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	September 30,			September 30,			September 30,			September 30,			September 30,
Class I Shares	2014			2013			2012			2011			2010
Net asset value, beginning of year	$	23.01		$	23.65		$	23.09		$	24.23		$	24.25
Activity from investment operations:
Net investment income (1)		0.70			0.57			0.75			0.81			0.95
Net realized and unrealized gain (loss) on investments		0.51			(0.70	)		0.56			(0.29	)		1.26
Total from investment operations		1.21			(0.13	)		1.31			0.52			2.21
Less distributions from:
Net investment income		(0.85	)		(0.51	)		(0.65	)		(0.82	)		(0.86	)
Net realized gains		(0.06	)		—			(0.10	)		(0.84	)		(1.37	)
Return of capital		(0.06	)		—			—			—			—
Total distributions		(0.97	)		(0.51	)		(0.75	)		(1.66	)		(2.23	)
Net asset value, end of year	$	23.25		$	23.01		$	23.65		$	23.09		$	24.23
Total return (2)		5.42	%		(0.58	)%		5.80	%		2.24	% (7)		9.73	%
Net assets, at end of year (000s)	$	101,798		$	122,694		$	162,212		$	136,562		$	113,476

Ratio of gross expenses to average net assets (3)(5)		1.69	%		1.68	%		1.71	%		1.65	%		1.70	%
Ratio of net expenses to average net assets (5)		1.69	%		1.68	%		1.71	%		1.65	%		1.70	% (4)
Ratio of net investment income to average net assets (5)(6)		3.00	%		2.45	%		3.21	%		3.42	%		4.00	%
Portfolio Turnover Rate		78	%		234	%		125	%		199	%		101	%

(1)

Per share amounts calculated using the average shares method, which more appropriately presents the per share data for the period.

(2)

Total returns shown assume changes in share price and reinvestment of dividends and capital gain distributions.

(3)

Represents the ratio of expenses to average net assets absent fee waivers and/or expense reimbursements by the Adviser.

(4)

Represents the ratio of expenses to average net assets inclusive of Adviser’s recapture of waived/reimbursed fees from prior periods.

(5)

Does not include the expenses of other investment companies in which the Fund invests.

(6)

Recognition of net investment income by the Fund is affected by the timing of declaration of dividends by the underlying investment companies in which the Fund invests.

(7)

For the year ended September 30, 2011, 0.04% of the Fund’s Class I shares’ total return consists of a voluntary reimbursement by the Adviser of a realized investment loss incurred on a trading error. Excluding this item, total return would have been 2.20%.

See accompanying notes to financial statements.

SIERRA CORE RETIREMENT FUND
FINANCIAL HIGHLIGHTS

Per Share Data and Ratios for a Share of Beneficial Interest Outstanding Throughout Each Year

	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	September 30,			September 30,			September 30,			September 30,			September 30,
Class R Shares	2014			2013			2012			2011			2010
Net asset value, beginning of year	$	22.89		$	23.51		$	22.96		$	24.12		$	24.19
Activity from investment operations:
Net investment income (1)		0.73			0.61			0.80			0.90			1.00
Net realized and unrealized gain (loss) on investments		0.53			(0.68	)		0.56			(0.33	)		1.26
Total from investment operations		1.26			(0.07	)		1.36			0.57			2.26
Less distributions from:
Net investment income		(0.91	)		(0.55	)		(0.71	)		(0.89	)		(0.96	)
Net realized gains		(0.06	)		—			(0.10	)		(0.84	)		(1.37	)
Return of capital		(0.06	)		—			—			—			—
Total distributions		(1.03	)		(0.55	)		(0.81	)		(1.73	)		(2.33	)
Net asset value, end of year	$	23.12		$	22.89		$	23.51		$	22.96		$	24.12
Total return (2)		5.64	%		(0.34	)%		6.04	%		2.47	%		10.01	%
Net assets, at end of year (000s)	$	347,370		$	328,794		$	374,808		$	385,223		$	327,907

Ratio of gross expenses to average net assets (3)(5)		1.44	%		1.47	%		1.46	%		1.40	%		1.44	%
Ratio of net expenses to average net assets (5)		1.44	%		1.47	%		1.46	%		1.40	%		1.45	% (4)
Ratio of net investment income to average net assets (5)(6)		3.16	%		2.62	%		3.46	%		3.81	%		4.23	%
Portfolio Turnover Rate		78	%		234	%		125	%		199	%		101	%

(1)

Per share amounts calculated using the average shares method, which more appropriately presents the per share data for the period.

(2)

Total returns shown assume changes in share price and reinvestment of dividends and capital gain distributions.

(3)

Represents the ratio of expenses to average net assets absent fee waivers and/or expense reimbursements by the Adviser.

(4)

Represents the ratio of expenses to average net assets inclusive of Adviser’s recapture of waived/reimbursed fees from prior periods.

(5)

Does not include the expenses of other investment companies in which the Fund invests.

(6)

Recognition of net investment income by the Fund is affected by the timing of declaration of dividends by the underlying investment companies in which the Fund invests.

See accompanying notes to financial statements.

SIERRA CORE RETIREMENT FUND
FINANCIAL HIGHLIGHTS

Per Share Data and Ratios for a Share of Beneficial Interest Outstanding Throughout Each Period

	Year Ended			Year Ended			Period Ended
	September 30,			September 30,			September 30,
Class A1 Shares	2014			2013			2012 (1)
Net asset value, beginning of period	$	23.16		$	23.84		$	23.36
Activity from investment operations:
Net investment income (2)		0.74			0.15			0.22
Net realized and unrealized gain (loss) on investments		0.43			(0.32	)		0.42
Total from investment operations		1.17			(0.17	)		0.64
Less distributions from:
Net investment income		(0.70	)		(0.51	)		(0.16	)
Net realized gains		(0.06	)		—			—
Return of capital		(0.06	)		—			—
Total distributions		(0.82	)		(0.51	)		(0.16	)
Net asset value, end of period	$	23.51		$	23.16		$	23.84
Total return (3)		5.21	%		(0.74	)%		2.75	% (8)
Net assets, at end of period (000s)	$	1,838		$	12,103		$	338

Ratio of gross expenses to average net assets (4)(6)		1.84	%		1.83	%		1.99	% (5)
Ratio of net expenses to average net assets (6)		1.84	%		1.83	% (9)		1.90	% (5)
Ratio of net investment income to average net assets (6)(7)		3.18	%		0.66	%		3.06	% (5)
Portfolio Turnover Rate		78	%		234	%		125	% (8)

(1)

The Sierra Core Retirement Fund’s A1 shares commenced operations on June 7, 2012.

(2)

Per share amounts calculated using the average shares method, which more appropriately presents the per share data for the period.

(3)

Total returns shown exclude the effect of applicable sales charges (Class A1) and assume changes in share price and reinvestment of dividends and capital gain distributions, if any.

(4)

Represents the ratio of expenses to average net assets absent fee waivers and/or expense reimbursements by the Adviser.

(5)

Annualized.

(6)

Does not include the expenses of other investment companies in which the Fund invests.

(7)

Recognition of net investment income by the Fund is affected by the timing of declaration of dividends by the underlying investment companies in which the Fund invests.

(8)

Not annualized.

(9)

Represents the ratio of expenses to average net assets inclusive of Adviser’s recapture of waived fees from prior period.

See accompanying notes to financial statements.

SIERRA CORE RETIREMENT FUND
FINANCIAL HIGHLIGHTS

Per Share Data and Ratios for a Share of Beneficial Interest Outstanding Throughout Each Period

	Year Ended			Year Ended			Period Ended
	September 30,			September 30,			September 30,
Class I1 Shares	2014			2013			2012 (1)
Net asset value, beginning of period	$	23.15		$	23.80		$	23.32
Activity from investment operations:
Net investment income (2)		0.64			0.51			0.23
Net realized and unrealized gain (loss) on investments		0.54			(0.67	)		0.42
Total from investment operations		1.18			(0.16	)		0.65
Less distributions from:
Net investment income		(0.82	)		(0.49	)		(0.17	)
Net realized gains		(0.06	)		—			—
Return of capital		(0.06	)		—			—
Total distributions		(0.94	)		(0.49	)		(0.17	)
Net asset value, end of period	$	23.39		$	23.15		$	23.80
Total return (3)		5.23	%		(0.69	)%		2.77	% (8)
Net assets, at end of period(000s)	$	41,076		$	32,220		$	14,127

Ratio of gross expenses to average net assets (4)(6)		1.84	%		1.83	%		1.99	% (5)
Ratio of net expenses to average net assets (6)		1.84	%		1.83	% (9)		1.90	% (5)
Ratio of net investment income to average net assets (6)(7)		2.73	%		2.15	%		3.06	% (5)
Portfolio Turnover Rate		78	%		234	%		125	% (8)

(1)

The Sierra Core Retirement Fund’s I1 shares commenced operations on June 7, 2012.

(2)

Per share amounts calculated using the average shares method, which more appropriately presents the per share data for the period.

(3)

Total returns shown assume changes in share price and reinvestment of dividends and capital gain distributions, if any.

(4)

Represents the ratio of expenses to average net assets absent fee waivers and/or expense reimbursements by the Adviser.

(5)

Annualized.

(6)

Does not include the expenses of other investment companies in which the Fund invests.

(7)

Recognition of net investment income by the Fund is affected by the timing of declaration of dividends by the underlying investment companies in which the Fund invests.

(8)

Not annualized.

(9)

Represents the ratio of expenses to average net assets inclusive of Adviser’s recapture of waived fees from prior period.

See accompanying notes to financial statements.

SIERRA STRATEGIC INCOME FUND
FINANCIAL HIGHLIGHTS

Per Share Data and Ratios for a Share of Beneficial Interest Outstanding Throughout Each Period

	Year Ended			Year Ended			Period Ended
	September 30,			September 30,			September 30,
Class A Shares	2014			2013			2012 (1)
Net asset value, beginning of period	$	20.69		$	21.04		$	20.00
Activity from investment operations:
Net investment income (2)		0.77			0.55			0.57
Net realized and unrealized gain (loss) on investments		0.66			(0.33	)		0.93
Total from investment operations		1.43			0.22			1.50
Less distributions from:
Net investment income		(0.79	)		(0.57	)		(0.46	)
Net realized gains		(0.11	)		—			—
Total distributions		(0.90	)		(0.57	)		(0.46	)
Net asset value, end of period	$	21.22		$	20.69		$	21.04
Total return (3)		7.11	%		1.04	%		7.58	% (8)
Net assets, at end of period (000s)	$	36,524		$	29,520		$	11,685

Ratio of gross expenses to average net assets (4)(6)		1.36	%		1.37	%		1.45	% (5)
Ratio of net expenses to average net assets (6)		1.30	%		1.30	%		1.30	% (5)
Ratio of net investment income to average net assets (6)(7)		3.66	%		2.59	%		3.55	% (5)
Portfolio Turnover Rate		73	%		215	%		72	% (8)

(1)

The Sierra Strategic Income Fund commenced operations on December 27, 2011.

(2)

Per share amounts calculated using the average shares method, which more appropriately presents the per share data for the period.

(3)

Total returns shown exclude the effect of applicable sales charges and assume changes in share price and reinvestment of dividends and capital gain distributions. Had the Adviser not waived a portion of its fees, total returns would have been lower.

(4)

Represents the ratio of expenses to average net assets absent fee waivers and/or expense reimbursements by the Adviser.

(5)

Annualized.

(6)

Does not include the expenses of other investment companies in which the Fund invests.

(7)

Recognition of net investment income by the Fund is affected by the timing of declaration of dividends by the underlying investment companies in which the Fund invests.

(8)

Not annualized.

See accompanying notes to financial statements.

SIERRA STRATEGIC INCOME FUND
FINANCIAL HIGHLIGHTS

Per Share Data and Ratios for a Share of Beneficial Interest Outstanding Throughout Each Period

	Year Ended			Year Ended			Period Ended
	September 30,			September 30,			September 30,
Class C Shares	2014			2013			2012 (1)
Net asset value, beginning of period	$	20.67		$	21.03		$	20.00
Activity from investment operations:
Net investment income (2)		0.65			0.62			0.47
Net realized and unrealized gain (loss) on investments		0.65			(0.52	)		0.93
Total from investment operations		1.30			0.10			1.40
Less distributions from:
Net investment income		(0.67	)		(0.46	)		(0.37	)
Net realized gains		(0.11	)		—			—
Total distributions		(0.78	)		(0.46	)		(0.37	)
Net asset value, end of period	$	21.19		$	20.67		$	21.03
Total return (3)		6.43	%		0.43	%		7.07	% (8)
Net assets, at end of period (000s)	$	21,346		$	16,597		$	32,392

Ratio of gross expenses to average net assets (4)(6)		1.96	%		1.95	%		2.10	% (5)
Ratio of net expenses to average net assets (6)		1.90	%		1.90	%		1.90	% (5)
Ratio of net investment income to average net assets (6)(7)		3.08	%		2.93	%		2.93	% (5)
Portfolio Turnover Rate		73	%		215	%		72	% (8)

(1)

The Sierra Strategic Income Fund commenced operations on December 27, 2011.

(2)

Per share amounts calculated using the average shares method, which more appropriately presents the per share data for the period.

(3)

Total returns shown assume changes in share price and reinvestment of dividends and capital gain distributions. Had the Adviser not waived a portion of its fees, total returns would have been lower.

(4)

Represents the ratio of expenses to average net assets absent fee waivers and/or expense reimbursements by the Adviser.

(5)

Annualized.

(6)

Does not include the expenses of other investment companies in which the Fund invests.

(7)

Recognition of net investment income by the Fund is affected by the timing of declaration of dividends by the underlying investment companies in which the Fund invests.

(8)

Not annualized.

See accompanying notes to financial statements.

SIERRA STRATEGIC INCOME FUND
FINANCIAL HIGHLIGHTS

Per Share Data and Ratios for a Share of Beneficial Interest Outstanding Throughout Each Period

	Year Ended			Year Ended			Period Ended
	September 30,			September 30,			September 30,
Class I Shares	2014			2013			2012 (1)
Net asset value, beginning of period	$	20.72		$	21.07		$	20.00
Activity from investment operations:
Net investment income (2)		0.73			0.52			0.62
Net realized and unrealized gain (loss) on investments		0.70			(0.29	)		0.92
Total from investment operations		1.43			0.23			1.54
Less distributions from:
Net investment income		(0.80	)		(0.58	)		(0.47	)
Net realized gains		(0.11	)		—			—
Total distributions		(0.91	)		(0.58	)		(0.47	)
Net asset value, end of period	$	21.24		$	20.72		$	21.07
Total return (3)		7.07	%		1.04	%		7.75	% (8)
Net assets, at end of period (000s)	$	81,311		$	31,523		$	9,717

Ratio of gross expenses to average net assets (4)(6)		1.36	%		1.37	%		1.47	% (5)
Ratio of net expenses to average net assets (6)		1.30	%		1.30	%		1.30	% (5)
Ratio of net investment income to average net assets (6)(7)		3.43	%		2.45	%		3.87	% (5)
Portfolio Turnover Rate		73	%		215	%		72	% (8)

(1)

The Sierra Strategic Income Fund commenced operations on December 27, 2011.

(2)

Per share amounts calculated using the average shares method, which more appropriately presents the per share data for the period.

(3)

Total returns shown assume changes in share price and reinvestment of dividends and capital gain distributions. Had the Adviser not waived a portion of its fees, total returns would have been lower.

(4)

Represents the ratio of expenses to average net assets absent fee waivers and/or expense reimbursements by the Adviser.

(5)

Annualized.

(6)

Does not include the expenses of other investment companies in which the Fund invests.

(7)

Recognition of net investment income by the Fund is affected by the timing of declaration of dividends by the underlying investment companies in which the Fund invests.

(8)

Not annualized.

See accompanying notes to financial statements.

SIERRA STRATEGIC INCOME FUND
FINANCIAL HIGHLIGHTS

Per Share Data and Ratios for a Share of Beneficial Interest Outstanding Throughout Each Period

	Year Ended			Year Ended			Period Ended
	September 30,			September 30,			September 30,
Class R Shares	2014			2013			2012 (1)
Net asset value, beginning of period	$	20.66		$	21.02		$	20.00
Activity from investment operations:
Net investment income (2)		0.83			0.52			0.63
Net realized and unrealized gain (loss) on investments		0.67			(0.23	)		0.90
Total from investment operations		1.50			0.29			1.53
Less distributions from:
Net investment income		(0.88	)		(0.65	)		(0.51	)
Net realized gains		(0.11	)					—
Total distributions		(0.99	)		(0.65	)		(0.51	)
Net asset value, end of period	$	21.17		$	20.66		$	21.02
Total return (3)		7.44	%		1.34	%		7.73	% (8)
Net assets, at end of period (000s)	$	157,023		$	116,203		$	12,812

Ratio of gross expenses to average net assets (4)(6)		0.96	%		0.97	%		1.11	% (5)
Ratio of net expenses to average net assets (6)		0.96	% (9)		0.97	%		1.00	% (5)
Ratio of net investment income to average net assets (6)(7)		3.97	%		2.46	%		3.91	% (5)
Portfolio Turnover Rate		73	%		215	%		72	% (8)

(1)

The Sierra Strategic Income Fund commenced operations on December 27, 2011.

(2)

Per share amounts calculated using the average shares method, which more appropriately presents the per share data for the period.

(3)

Total returns shown assume changes in share price and reinvestment of dividends and capital gain distributions. Had the Adviser not waived a portion of its fees, total returns would have been lower.

(4)

Represents the ratio of expenses to average net assets absent fee waivers and/or expense reimbursements by the Adviser.

(5)

Annualized.

(6)

Does not include the expenses of other investment companies in which the Fund invests.

(7)

Recognition of net investment income by the Fund is affected by the timing of declaration of dividends by the underlying investment companies in which the Fund invests.

(8)

Not annualized.

(9)

Represents the ratio of expenses to average net assets inclusive of Adviser’s recapture of waived fees from prior period.

See accompanying notes to financial statements.

SIERRA STRATEGIC INCOME FUND
FINANCIAL HIGHLIGHTS

Per Share Data and Ratios for a Share of Beneficial Interest Outstanding Throughout Each Period

	Year Ended			Year Ended			Period Ended
	September 30,			September 30,			September 30,
Class Y Shares	2014			2013			2012 (1)
Net asset value, beginning of period	$	20.62		$	20.98		$	20.00
Activity from investment operations:
Net investment income (2)		0.86			0.96			0.60
Net realized and unrealized gain (loss) on investments		0.65			(0.67	)		0.93
Total from investment operations		1.51			0.29			1.53
Less distributions from:
Net investment income		(0.88	)		(0.65	)		(0.55	)
Net realized gains		(0.11	)		—			—
Total distributions		(0.99	)		(0.65	)		(0.55	)
Net asset value, end of period	$	21.14		$	20.62		$	20.98
Total return (3)		7.51	%		1.35	%		7.76	% (8)
Net assets, at end of period (000s)	$	7,781		$	11,261		$	83,397

Ratio of gross expenses to average net assets (4)(6)		0.95	%		0.95	%		1.16	% (5)
Ratio of net expenses to average net assets (6)		0.95	%		0.95	%		0.95	% (5)
Ratio of net investment income to average net assets (6)(7)		4.11	%		4.56	%		3.76	% (5)
Portfolio Turnover Rate		73	%		215	%		72	% (8)

(1)

The Sierra Strategic Income Fund commenced operations on December 27, 2011.

(2)

Per share amounts calculated using the average shares method, which more appropriately presents the per share data for the period.

(3)

Total returns shown assume changes in share price and reinvestment of dividends and capital gain distributions. Had the Adviser not waived a portion of its fees, total returns would have been lower.

(4)

Represents the ratio of expenses to average net assets absent fee waivers and/or expense reimbursements by the Adviser.

(5)

Annualized.

(6)

Does not include the expenses of other investment companies in which the Fund invests.

(7)

Recognition of net investment income by the Fund is affected by the timing of declaration of dividends by the underlying investment companies in which the Fund invests.

(8)

Not annualized.

See accompanying notes to financial statements.

THE SIERRA FUNDS
NOTES TO FINANCIAL STATEMENTS
September 30, 2014

ORGANIZATION

The Sierra Core Retirement Fund (“SCRF”) and Sierra Strategic Income Fund (“SSIF”) (each a “Fund” and collectively “the Funds”), are each a diversified series of shares of beneficial interest of Northern Lights Fund Trust (the “Trust”), a statutory trust organized under the laws of the State of Delaware on January 19, 2005, and are registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as open-ended management investment companies. SCRF’s investment objective is to provide long-term total return (the combination of yield and net price gains from underlying funds) and to limit volatility and downside risk. SSIF’s two investment objectives are to provide total return (with income contributing a significant part) and limit volatility and downside risk. The Funds’ pursue their investment objectives by investing in a broadly diversified portfolio consisting of open-end and/or closed-end investment companies, including mutual funds and exchange-traded funds (“ETFs”).

The Funds currently offer Class A, Class C, Class I, and Class R shares with SCRF also offering Class A1 and Class I1. Class C, Class I, Class R, and Class I1 shares are offered at net asset value. The Trust suspended the sale of Class Y shares for SCRF and has suspended sales of Class Y shares for SSIF, effective March 8, 2013. Class A and Class A1 shares are offered at net asset value plus a maximum sales charge of 5.75%. Each class represents an interest in the same assets of the respective Fund and classes are identical except for differences in their sales charge structures, minimum investment amounts and ongoing service and distribution charges. All classes of shares have equal voting privileges except that each class has exclusive voting rights with respect to its service and/or distribution plans. The Funds’ income, expenses (other than class specific distribution fees) and realized and unrealized gains and losses are allocated proportionately each day based upon the relative net assets of each class.

SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies followed by the Funds in preparation of their financial statements. These policies are in conformity with accounting principles generally accepted in the United States of America (“GAAP”). The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of income and expenses for the period. Actual results could differ from those estimates.

Securities Valuation – Securities listed on an exchange are valued at the last reported sale price at the close of the regular trading session of the primary exchange on the business day the value is being determined, or in the case of securities listed on NASDAQ at the NASDAQ Official Closing Price (“NOCP”). In the absence of a sale such securities shall be valued at the mean between the current bid and ask prices on the day of valuation. Debt securities (other than short-term obligations) are valued each day by an independent pricing service approved by the Board of Trustees (the “Board”) based on methods which include consideration of: yields or prices of securities of comparable quality, coupon, maturity and type, indications as to values from dealers, and general market conditions or market quotations from a major market maker in the securities. Investments valued in currencies other than the U.S. dollar are converted to U.S. dollars using exchange rates obtained from pricing services.

THE SIERRA FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
September 30, 2014

Short-term debt obligations having 60 days or less remaining until maturity, at time of purchase, may be valued at amortized cost.

Valuation of Fund of Funds – The Funds may invest in portfolios of open-end or closed-end investment companies (the “underlying funds”). Underlying open-end investment companies are valued at their respective net asset values as reported by such investment companies. The underlying funds value securities in their portfolios for which market quotations are readily available at their market values (generally the last reported sale price) and all other securities and assets at their fair value by the methods established by the Boards of the underlying funds. The shares of many closed-end investment companies, after their initial public offering, frequently trade at a price per share, which is different than the net asset value per share. The difference represents a market premium or market discount of such shares. There can be no assurances that the market discount or market premium on shares of any closed-end investment company purchased by the Fund will not change.

The Fund may hold securities, such as private placements, interests in commodity pools, other non-traded securities or temporarily illiquid securities, for which market quotations are not readily available or are determined to be unreliable. These securities will be valued at their fair market value as determined using the “fair value” procedures approved by the Board. The Board has delegated execution of these procedures to a fair value team composed of one or more representatives from each of the (i) Trust, (ii) administrator, and (iii) adviser. The team may also enlist third party consultants such as an audit firm, valuation consultant or financial officer of a security issuer on an as-needed basis to assist in determining a security-specific fair value. The Board reviews and ratifies the execution of this process and the resultant fair value prices at least quarterly to assure the process produces reliable results.

Fair Valuation Process – This team is composed of one or more representatives from each of the (i) Trust, (ii) administrator, and (iii) adviser. The applicable investments are valued collectively via inputs from each of these groups. For example, fair value determinations are required for the following securities: (i) securities for which market quotations are insufficient or not readily available on a particular business day (including securities for which there is a short and temporary lapse in the provision of a price by the regular pricing source), (ii) securities for which, in the judgment of the adviser, the prices or values available do not represent the fair value of the instrument. Factors which may cause the adviser to make such a judgment include, but are not limited to, the following: only a bid price or an asked price is available; the spread between bid and asked prices is substantial; the frequency of sales; the thinness of the market; the size of reported trades; and actions of the securities markets, such as the suspension or limitation of trading; (iii) securities determined to be illiquid; (iv) securities with respect to which an event that will affect the value thereof has occurred (a “significant event”) since the closing prices were established on the principal exchange on which they are traded, but prior to a Fund’s calculation of its net asset value. Specifically, interests in commodity pools or managed futures pools are valued on a daily basis by reference to the closing market prices of each futures contract or other asset held by a pool, as adjusted for pool expenses. Restricted or illiquid securities, such as private placements or non-traded securities are valued via inputs from the adviser based upon the current bid for the security from two or more independent dealers or other parties reasonably familiar with the facts and circumstances of the security (who should take into

THE SIERRA FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
September 30, 2014

consideration all relevant factors as may be appropriate under the circumstances). If the adviser is unable to obtain a current bid from such independent dealers or other independent parties, the fair value team shall determine the fair value of such security using the following factors: (i) the type of security; (ii) the cost at date of purchase; (iii) the size and nature of the Fund’s holdings; (iv) the discount from market value of unrestricted securities of the same class at the time of purchase and subsequent thereto; (v) information as to any transactions or offers with respect to the security; (vi) the nature and duration of restrictions on disposition of the security and the existence of any registration rights; (vii) how the yield of the security compares to similar securities of companies of similar or equal creditworthiness; (viii) the level of recent trades of similar or comparable securities; (ix) the liquidity characteristics of the security; (x) current market conditions; and (xi) the market value of any securities into which the security is convertible or exchangeable.

The Funds utilize various methods to measure the fair value of all of their investments on a recurring basis. GAAP establishes a hierarchy that prioritizes inputs to valuation methods. The three levels of input are:

Level 1 – Unadjusted quoted prices in active markets for identical assets and liabilities that the Funds have the ability to access.

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

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

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

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

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following tables summarize the inputs used as of September 30, 2014 for the Funds’ assets measured at fair value:

THE SIERRA FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
September 30, 2014

Sierra Core Retirement Fund
Assets	Level 1		Level 2		Level 3		Total
Mutual Funds *	$	587,040,167	$	—	$	—	$	587,040,167
Short-Term Investment		88,593,276		—		—		88,593,276
Total	$	675,633,443	$	—	$	—	$	675,633,443

Sierra Strategic Income Fund
Assets	Level 1		Level 2		Level 3		Total
Mutual Funds *	$	266,630,448	$	—	$	—	$	266,630,448
Short-Term Investment		37,429,726		—		—		37,429,726
Total	$	304,060,174	$	—	$	—	$	304,060,174

There were no transfers into or out of Level 1, Level 2 or Level 3 during the period. It is each Fund’s policy to record transfers into or out of Fair Value Levels at the end of the reporting year.

The Funds did not hold any Level 2 or Level 3 securities during the year.

See Portfolio of Investments for industry classification.

Security Transactions and Related Income – Security transactions are accounted for on trade date. Interest income is recognized on an accrual basis. Discounts are accreted and premiums are amortized on securities purchased over the lives of the respective securities. Dividend income is recorded on the ex-dividend date. Realized gains or losses from sales of securities are determined by comparing the identified cost of the security lot sold with the net sales proceeds.

Dividends and Distributions to Shareholders – Dividends from net investment income, if any, are declared and paid monthly for SSIC and quarterly for SCRF. Distributable net realized capital gains, if any, are declared and distributed annually. Dividends from net investment income and distributions from net realized gains are determined in accordance with Federal income tax regulations, which may differ from GAAP. These “book/tax” differences are considered either temporary (e.g., deferred losses) or permanent in nature. To the extent these differences are permanent in nature, such amounts are reclassified within the composition of net assets based on their Federal tax-basis treatment; temporary differences do not require reclassification. Dividends and distributions to shareholders are recorded on ex-dividend date.

Federal Income Taxes – The Funds intend to continue to comply with the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of their taxable income to their shareholders. Therefore, no provision for Federal income tax is required. The Funds recognize the tax benefits of uncertain tax positions only where the position is “more likely than not” to be sustained assuming examination by tax authorities. Management has analyzed the Funds’ tax positions, and has concluded that no liability for unrecognized tax benefits should be recorded related to uncertain tax positions taken on returns filed for open tax years (SCRF, 2011-2013; SSIF, 2012-2013), or expected to be taken in the Funds’ 2014 tax returns. The Funds have identified their major tax jurisdictions as U.S. Federal, Nebraska and foreign jurisdictions where the Funds make significant investments. The Funds are not aware of any tax positions for which it is reasonably possible that the

THE SIERRA FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
September 30, 2014

total amounts of unrecognized tax benefits will change materially in the next twelve months.

Expenses – Expenses of the Trust that are directly identifiable to a specific fund are charged to that fund. Expenses, which are not readily identifiable to a specific fund, are allocated in such a manner as deemed equitable (as determined by the Board), taking into consideration the nature and type of expense and the relative sizes of the funds in the Trust.

Indemnification – The Trust indemnifies its officers and Trustees for certain liabilities that may arise from the performance of their duties to the Trust. Additionally, in the normal course of business, the Funds enter into contracts that contain a variety of representations and warranties and which provide general indemnities. The Funds’ maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Funds that have not yet occurred. However, based on experience, the risk of loss due to these warranties and indemnities appears to be remote.

INVESTMENT TRANSACTIONS

For the year ended September 30, 2014, cost of purchases and proceeds from sales of portfolio securities, other than short-term investments and U.S. Government securities, amounted to $503,262,527 and $609,409,322, respectively for SCRF. For the year ended September 30, 2014, cost of purchases and proceeds from sales of portfolio securities, other than short-term investments and U.S. Government securities, amounted to $239,148,903 and $173,193,712, respectively for SSIF.

INVESTMENT ADVISORY AGREEMENT AND TRANSACTIONS WITH AFFILIATES

Wright Fund Management, LLC serves as the Funds’ investment adviser (the “Adviser”). The Funds have employed Gemini Fund Services, LLC (“GFS”) to provide administration, fund accounting, and transfer agent services. A Trustee and certain officers of the Funds are also officers of GFS, and are not paid any fees directly by the Funds for serving in such capacities.

Pursuant to an advisory agreement with the Trust, on behalf of the Funds, the Adviser, under the oversight of the Board, directs the daily operations of the Funds and supervises the performance of administrative and professional services provided by others. As compensation for its services and the related expenses borne by the Adviser, the Funds pay the Adviser a management fee, computed and accrued daily and paid monthly, at an annual rate of 1.25% of the Fund’s average daily net assets for SCRF and 0.75% of the Fund’s average daily net assets for SSIF.

Pursuant to a written contract (the “Expense Limitation Agreement”), the Adviser has agreed, at least until January 31, 2015 for SSIF and SCRF, to waive a portion of its advisory fee and has agreed to reimburse the Funds for other expenses to the extent necessary so that the total expenses incurred by the Funds (excluding front-end or contingent deferred loads, brokerage fees and commissions, acquired fund fees and expenses, borrowing costs (such as interest and dividend expenses on securities sold short) or extraordinary expenses, such as litigation, not incurred in the ordinary course of the Funds’ business) do not exceed the following amounts per annum of the average daily net assets of

THE SIERRA FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
September 30, 2014

each class of shares:

	Class A	Class C	Class I	Class R	Class Y	Class A1	Class I1
SCRF	1.75%	2.50%	1.75%	1.50%	N/A	1.90%	1.90%
SSIF	1.30%	1.90%	1.30%	1.00%	0.95%	N/A	N/A

These amounts will herein be referred to as the “expense limitations.”

If the Adviser waives any fee or reimburses any expenses pursuant to the Expense Limitation Agreement, and any Funds’ operating expenses are subsequently lower than their respective expense limitation, the Adviser shall be entitled to reimbursement by the respective Fund provided that such reimbursement does not cause that Fund’s operating expenses to exceed the respective expense limitation. If any Fund’s operating expenses subsequently exceed the respective expense limitation, the reimbursements for such Fund shall be suspended. The Adviser may seek reimbursement only for expenses waived or paid by it during the three fiscal years prior to such reimbursement; provided, however, that such expenses may only be reimbursed to the extent they were waived or paid after the date of the Expense Limitation Agreement (or any similar agreement). The Board may terminate this expense reimbursement arrangement at any time.

The following amounts are subject to recapture by the Funds by the following dates:

		9/30/2015		9/30/2016		9/30/2017
SCRF	$	—	$	—	$	—
SSIF	$	181,852	$	47,580	$	60,683

Distributor- The Trust, with respect to the Funds, has adopted the Trust’s Master Distribution and Shareholder Servicing Plans (the “Plan” or “Plans”) pursuant to Rule 12b-1 under the 1940 Act. The Plan provides that a monthly service and/or distribution fee is calculated by the Fund at annual rates of 0.25%, 0.25%, 1.00%, 0.40% and 0.40% of the average daily net assets attributable to Class A, Class I, Class C, Class A1 and Class I1 shares, respectively for SCRF, and 0.40%, 0.40% and 1.00% of the average daily net assets attributable to Class A, I and C shares, respectively for SSIF and is paid to Northern Lights Distributors, LLC (the “Distributor”), to provide compensation for ongoing distribution-related activities or services and/or maintenance of the Funds’ shareholder accounts, not otherwise required to be provided by the Adviser. The Plans are compensation plans, which means that compensation is provided regardless of 12b-1 expenses incurred.

The Distributor acts as the Funds’ principal underwriter in a continuous public offering of the Funds’ shares. The Distributor is an affiliate of GFS. On sales of SCRF’s Class A and Class A1 shares, respectively, for the year ended September 30, 2014, the Distributor received $379,730 and $10,142 from front-end sales charge of which $23,334 and $594 was retained by the principal underwriter or other affiliated broker-dealers. On sales of SSIF’s Class A shares for the year ended September 30, 2014, the Distributor received $120,018 from front-end sales charge of which $16,460 was retained by the principal underwriter or other affiliated broker-dealers.

THE SIERRA FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
September 30, 2014

Pursuant to a separate servicing agreement with GFS, the Funds pay GFS customary fees for providing administration, fund accounting and transfer agency services to the Funds. GFS provides a Principal Executive Officer and a Principal Financial Officer to the Funds.

In addition, certain affiliates of GFS provide ancillary services to the Funds as follows:

Northern Lights Compliance Services, LLC (“NLCS”)- NLCS, an affiliate of GFS, provides a Chief Compliance Officer to the Trust, as well as related compliance services, pursuant to a consulting agreement between NLCS and the Trust. Under the terms of such agreement, NLCS receives customary fees from the Funds.

Gemcom, LLC (“Gemcom”)- Gemc om, an affiliate of GFS, provides EDGAR conversion and filing services as well as print management services for the Funds on an ad-hoc basis. For the provision of these services, Gemcom receives customary fees from the Funds.

Amounts due to GFS for these various services as of September 30, 2014 are reported in the Statements of Assets and Liabilities as “Fees Payable to other affiliates.”

DISTRIBUTIONS TO SHAREHOLDERS AND TAX COMPONENTS OF CAPITAL

The tax character of fund distributions for the following years was as follows:

For the year ended September 30, 2014:

	Ordinary		Long-Term		Return of
Portfolio	Income		Capital Gains		Capital		Total
SCRF	$	24,072,072	$	1,715,010	$	1,684,585	$	27,471,667
SSIF		9,487,436		939,944		—		10,427,380

For the year ended September 30, 2013:

	Ordinary		Long-Term		Return of
Portfolio	Income		Capital Gains		Capital		Total
SCRF	$	17,331,908	$	—	$	—	$	17,331,908
SSIF		5,419,973		—		—		5,419,973

As of September 30, 2014, the components of accumulated earnings/(deficit) on a tax basis were as follows:

	Undistributed		Undistributed		Post October Loss		Capital Loss		Unrealized		Total
	Ordinary		Long-Term		and		Carry		Appreciation/		Accumulated
Portfolio	Income		Capital Gains		Late Year Loss		Forwards		(Depreciation)		Earnings/(Deficits)
SCRF	$	—	$	—	$	—	$	—	$	12,704,164	$	12,704,164
SSIF		—		138,551		—		—		6,596,707		6,735,258

THE SIERRA FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
September 30, 2014

The difference between the book basis and tax basis for undistributed net investment income, unrealized appreciation and accumulated net realized gain from security transactions is primarily attributable to the tax deferral of losses on wash sales and C Corporation return of capital distributions.

SUBSEQUENT EVENTS

Subsequent events after the date of the Statements of Assets and Liabilities have been evaluated through the date the financial statements were issued. Management has concluded that there is no impact requiring adjustment or disclosure in the consolidated financial statements.

Dividends: The Trust’s Boards of Trustees declared the following monthly dividends:

Fund		Dividend Per Share	Record Date	Payable Date
Sierra Strategic Income Fund	Class A	0.0160	10/29/2014	10/30/2014
Sierra Strategic Income Fund	Class C	0.0068	10/29/2014	10/30/2014
Sierra Strategic Income Fund	Class I	0.0157	10/29/2014	10/30/2014
Sierra Strategic Income Fund	Class R	0.0225	10/29/2014	10/30/2014
Sierra Strategic Income Fund	Class Y	0.0225	10/29/2014	10/30/2014

Sierra Strategic Income Fund	Class A	0.0194	11/25/2014	11/26/2014
Sierra Strategic Income Fund	Class C	0.0104	11/25/2014	11/26/2014
Sierra Strategic Income Fund	Class I	0.0194	11/25/2014	11/26/2014
Sierra Strategic Income Fund	Class R	0.0256	11/25/2014	11/26/2014
Sierra Strategic Income Fund	Class Y	0.0256	11/25/2014	11/26/2014

(BBD LOGO)

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Shareholders of Sierra Core Retirement Fund and Sierra Strategic Income Fund and
Board of Trustees of Northern Lights Fund Trust

We have audited the accompanying statement of assets and liabilities of Sierra Core Retirement Fund, a series of shares of beneficial interest of Northern Lights Fund Trust, including the portfolio of investments, as of September 30, 2014, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years and periods presented in the five-year period then ended. We have also audited the accompanying statement of assets and liabilities of Sierra Strategic Income Fund, a series of shares of beneficial interest of Northern Lights Fund Trust, including the portfolio of investments, as of September 30, 2014, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years in the two-year period then ended and for the period December 27, 2011 (commencement of operations) through September 30, 2012. These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of September 30, 2014 by correspondence with the custodian. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of Sierra Core Retirement Fund and Sierra Strategic Income Fund, as of September 30, 2014, and the results of their operations, the changes in their net assets and their financial highlights for each of the years and periods presented in conformity with accounting principles generally accepted in the United States of America.



	BBD, LLP

Philadelphia, Pennsylvania
November 28, 2014

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THE SIERRA FUNDS
EXPENSE EXAMPLES (Unaudited)
September 30, 2014

As a shareholder of the Sierra Funds, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchases of Class A and Class A1 shares and; (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees; and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Sierra Funds and to compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from April 1, 2014 through September 30, 2014.

Actual Expenses

The “Actual Expenses” line in the table below provides information about actual account values and actual expenses. You may use the information below, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the table under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The “Hypothetical” line in the table below provides information about hypothetical account values and hypothetical expenses based on the Sierra Funds’ actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Funds’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balances or expenses you paid for the period. You may use this information to compare this 5% hypothetical example with the 5% hypothetical examples that appear in the 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). Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

	Beginning	Ending	Expenses Paid	Expense Ratio
	Account Value	Account Value	During Period*	During Period**
Actual	4/1/14	9/30/14	4/1/14 – 9/30/14	4/1/14 – 9/30/14
Sierra Core Retirement Class A	$1,000.00	$1,020.20	$8.56	1.69%
Sierra Core Retirement Class C	1,000.00	1,016.80	12.34	2.44
Sierra Core Retirement Class I	1,000.00	1,020.70	8.56	1.69
Sierra Core Retirement Class R	1,000.00	1,021.90	7.55	1.49
Sierra Core Retirement Class A1	1,000.00	1,019.30	9.26	1.83
Sierra Core Retirement Class I1	1,000.00	1,019.90	9.32	1.84
Sierra Strategic Income Class A	1,000.00	1,030.50	6.62	1.30
Sierra Strategic Income Class C	1,000.00	1,028.00	9.66	1.90
Sierra Strategic Income Class I	1,000.00	1,030.90	6.62	1.30
Sierra Strategic Income Class R	1,000.00	1,032.60	4.89	0.96
Sierra Strategic Income Class Y	1,000.00	1,032.60	4.84	0.95

THE SIERRA FUNDS
EXPENSE EXAMPLES (Unaudited)(Continued)
September 30, 2014

	Beginning	Ending	Expenses Paid	Expense Ratio
Hypothetical	Account Value	Account Value	During Period*	During Period**
(5% return before expenses)	4/1/14	9/30/14	4/1/14 – 9/30/14	4/1/14 – 9/30/14
Sierra Core Retirement Class A	$1,000.00	$1,016.60	$8.54	1.69%
Sierra Core Retirement Class C	1,000.00	1,012.84	12.31	2.44
Sierra Core Retirement Class I	1,000.00	1,016.60	8.54	1.69
Sierra Core Retirement Class R	1,000.00	1,017.60	7.54	1.49
Sierra Core Retirement Class A1	1,000.00	1,015.89	9.25	1.83
Sierra Core Retirement Class I1	1,000.00	1,015.84	9.30	1.84
Sierra Strategic Income Class A	1,000.00	1,018.55	6.58	1.30
Sierra Strategic Income Class C	1,000.00	1,015.54	9.60	1.90
Sierra Strategic Income Class I	1,000.00	1,018.55	6.58	1.30
Sierra Strategic Income Class R	1,000.00	1,020.26	4.86	0.96
Sierra Strategic Income Class Y	1,000.00	1,021.31	4.81	0.95

Expenses are equal to the average account value over the period, multiplied by each Fund’s annualized expense ratio, multiplied by the number of days in the period (183) divided by the number of days in the fiscal year (365).

Annualized.

SIERRA FUNDS

SUPPLEMENTAL INFORMATION (Unaudited)(Continued)

September 30, 2014

Renewal of Advisory Agreement - Sierra Core Retirement Fund and Sierra Strategic Income Fund (Adviser – Wright Fund Management, LLC)

In connection with the regular meeting held on September 30, 2014 and October 1, 2014 the Board of Trustees (the “Trustees”) of the Northern Lights Fund Trust (the “Trust”), including a majority of the Trustees who are not “interested persons,” as that term is defined in the Investment Company Act of 1940, discussed the renewal of an investment advisory agreement (the “Advisory Agreement”) between Wright Fund Management, LLC (“Wright”) and the Trust, with respect to the Sierra Core Retirement Fund (“Sierra Core”) and the Sierra Strategic Income Fund (“Sierra Strategic” andeach individually a “Fund” and together the “Funds”). In considering the renewal of the Advisory Agreement, the Trustees received materials specifically relating to the Advisory Agreement.

The Trustees relied upon the advice of legal counsel and their own business judgment in determining the material factors to be considered in evaluating the Advisory Agreement, and the weight to be given to each such factor. The conclusions reached by the Trustees were based on a comprehensive evaluation of all of the information provided and were not the result of any one factor. Moreover, each Trustee may have afforded different weight to the various factors in reaching his conclusions with respect to the Advisory Agreement.

Nature, Extent and Quality of Services. The Trustees noted that Wright is a member of the Sierra Investment Management group of companies, founded in 1987, and combined with other Sierra affiliates manages approximately $1.7 billion for retirees and other clients seeking conservative asset management services. The Trustees reviewed the background information of the key investment personnel who are responsible for providing services to the Funds, and expressed their familiarity and satisfaction with Wright’s many years of investment management experience and expertise with portfolio management, trading, research and compliance. The Trustees reviewed and noted that Wright’s process involves analyzing the current economic environment and private and governmental data when constructing and managing a portfolio of mutual funds and ETFs designed to obtain a reasonable return, while also focusing on keeping losses manageable and recoverable in an effort to preserve capital. The Trustees noted that Wright actively monitors economic conditions to position itself to alter asset allocation and change portfolio positions to reflect its changing views of those market conditions. The Trustees expressed their appreciation for the fact that Wright is focused on the needs of its conservative investors, and have considered risk mitigation an integral part of its investment process in an effort to avoid irrecoverable losses, using risk mitigation strategies designed to exit the market temporarily and into the relative safety of cash when market conditions warrant. The Trustees favorably observed that Wright utilizes integrated risk management disciplines, through the use of software to monitor behavior and performance of each underlying fund on a daily basis. The Trustees reviewed Wright’s compliance processes and noted that in monitoring compliance with each Fund’s investment limitations, Wright assesses each portfolio fund’s size and capacity to absorb a Fund purchase and determines if there are any other constraints prior to making any investment. The Trustees also noted that Wright conducts weekly reviews to ensure compliance of each of the Funds’ holdings. They further noted that there have been no material compliance or litigation issues reported since the last contract approval. The Trustees positively noted Wright’s veteran investment team and the focus put on risk management to protect capital for its target shareholder. The Trustees concluded that Wright has performed its services satisfactorily, and further concluded that Wright should continue to provide high quality services to each Fund for the benefit of their shareholders.

Performance.

Sierra Core – The Trustees reviewed the Fund’s performance over the past 1-year, 2-year, 3-year, and 5-year periods, noting that the Fund trailed its Morningstar category and peer group over each period. The Trustees discussed the fact that Wright shifted assets to cash at certain points, which affected performance, and noted that this conservative approach was consistent with Wright’s focus on downside protection. The Trustees concluded that the Fund has met its objective of long term total return with limited volatility and downside risk.

Sierra Strategic – The Trustees reviewed the Fund’s performance over the past 1 year and 2-year periods, noting that the Fund outperformed the Barclays Capital Aggregate Bond Index over both periods, while slightly trailing the Morningstar category over both periods and underperforming the peer group average over both periods. The Trustees noted that Wright’s approach is risk-averse, providing lower risk with reasonable return. After discussion, the Trustees concluded that the Fund is delivering performance as intended and the returns are reasonable.

Fees and Expenses.

Sierra Core – The Trustees noted the Fund’s advisory fee is in line with the peer group average. They reviewed the Morningstar category average, noting that the Fund’s advisory fee is significantly higher (more than double), but noted that the Fund’s advisory fee falls within the range of the Morningstar category. The Trustees noted that the Fund’s expense ratio is lower than the peer group average, but higher than the Morningstar category average while falling within the range of the category. The Trustees discussed Wright’s contention that Wright’s approach is more labor intensive than most funds in the Morningstar category. After discussion, the Trustees concluded the advisory fee is not unreasonable.

Sierra Strategic – The Trustees noted the Fund’s advisory fee is in line with the peer group average. They reviewed the Morningstar category average, noting that the Fund’s advisory fee is higher, but noted that the Fund’s advisory fee falls well within the range of the Morningstar category. The Trustees discussed that the Fund’s expense ratio is lower than the peer group average, but higher than the Morningstar category average while falling well within the range of the category. The Trustees discussed Wright’s contention that Wright’s approach is more labor intensive than most funds in the Morningstar category. After discussion, the Trustees concluded the advisory fee is reasonable.

Economies of Scale. The Trustees queried Wright regarding the potential for breakpoints in the future, and referenced a report in the meeting materials describing breakpoint levels for several other funds. A representative of Wright noted Wright’s reluctance to implement breakpoints at this time for either Fund, based on several factors, including uncertainty as to future costs of managing the Funds and increasing pressure on adviser profits from a variety of fronts but noted that economies justifying a breakpoint may be realized when assets of a Fund reach $1 billion. After discussion, Wright indicated its willingness to institute breakpoints, and agreed to work with Gemini to determine the amount of any fee reduction and asset level at which breakpoints would be instituted.

Profitability. The Trustees reviewed the profitability analysis provided by Wright. The Trustees noted that based solely on this analysis, the profits realized by Wright appeared high. They discussed the fact that the analysis provided by Wright did not reflect any compensation of the firm’s principals, who are also the portfolio managers. The Trustees discussed the financial information provided by Wright, and discussed the income and capitalization of Wright in the context of the profitability analysis. The Trustees concluded, noting again as it had in prior years, that if a reasonable cost was imputed for the portfolio managers’ compensation, the overall profitability of Wright would be much lower, and that as adjusted, profitability was not excessive.

Conclusion. Having requested and received such information from Wright as the Trustees believed to be reasonably necessary to evaluate the terms of the Advisory Agreement, and as assisted by the advice of counsel, the Trustees concluded that the advisory fee structure is reasonable and that renewal of the Advisory Agreement is in the best interests the shareholders of the Sierra Core Retirement Fund and the Sierra Strategic Income Fund.

* Due to timing of the contract renewal schedule, these deliberations may or may not relate to the current performance results of the Funds.

THE SIERRA FUNDS
SUPPLEMENTAL INFORMATION (Unaudited)
September 30, 2014

The following is a list of the Trustees and executive officers of the Trust and each person’s principal occupation over the last five years. Unless otherwise noted, the address of each Trustee and Officer is 17605 Wright Street, Suite 2, Omaha, Nebraska 68130.

Independent Trustees

Name, Address and Year of Birth	Position/Term of Office*	Principal Occupation During the Past Five Years	Number of Portfolios in Fund Complex Overseen by Trustee**	Other Directorships held by Trustee During the Past Five Years
Mark Garbin Born in 1951	Trustee Since 2013	Managing Principal, Coherent Capital Management LLC (since 2007).	98	Two Roads Shared Trust (since 2012) (Chairman of the Valuation Committee); Forethought Variable Insurance Trust (since 2013) (Lead Independent and Chairman of the Valuation Committee); Independent Director OHA Mortgage Strategies Fund (offshore), Ltd. (since 2014)
Mark D. Gersten Born in 1950	Trustee Since 2013	Independent Consultant (since 2012); Senior Vice President – Global Fund Administration Mutual Funds & Alternative Funds, AllianceBernstein LP (1985-2011).	98	Schroder Global Series Trust and Two Roads Shared Trust (since 2012)
Anthony J. Hertl Born in 1950	Trustee Since 2005; Chairman of the Board since 2013	Consultant to small and emerging businesses (since 2000).	98	AdvisorOne Funds (2004-2013); Alternative Strategies Fund (since 2010); Satuit Capital Management Trust. (2007 – May, 2010); The Z- Seven Fund, Inc. (2007 – May, 2010), Greenwich Advisers Trust (2007– February 2011), Global Real Estate Fund (2008-2011), The World Funds Trust (2010-2013) and Northern Lights Variable Trust (since 2006)
Gary W. Lanzen Born in 1954	Trustee Since 2005	Retired since 2012. Formerly, Founder, Partner and President, Orizon Investment Counsel, Inc. (2000-2006); Chief Investment Officer (2000-2010).	98	AdvisorOne Funds (16 portfolios) (since 2003); Alternative Strategies Fund (since 2010); Northern Lights Variable Trust (since 2006)
John V. Palancia Born in 1954	Trustee Since 2011	Retired (since 2011). Formerly, Director of Futures Operations, Merrill Lynch, Pierce, Fenner & Smith Inc. (1975-2011).	131	Northern Lights Variable Trust (since 2011); NLFT III (since February 2012); Alternative Strategies Fund (since 2012)

9/30/14 – NLFT_v1

THE SIERRA FUNDS
SUPPLEMENTAL INFORMATION (Unaudited)(Continued)
September 30, 2014

Mark H. Taylor
Born in 1964

Trustee Since 2007

Andrew D. Braden Professor of Accounting and Auditing, Weatherhead School of Management, Case Western Reserve University (since 2009); President, Auditing Section of the American Accounting Association (2012-2015); Former member of the AICPA Auditing Standards Board, AICPA (2008-2011); Fellow, Office of the Chief Accountant, United States Securities Exchange Commission (2005-2006).

131

Alternative Strategies Fund (since 2010); Lifetime Achievement Mutual Fund, Inc. (LFTAX) (Director and Audit Committee Chairman) (2007-2012); NLFT III (since February 2012); Northern Lights Variable Trust (since 2007)

Interested Trustees and Officers

Name, Address and Year of Birth	Position/Term of Office*	Principal Occupation During the Past Five Years	Number of Portfolios in Fund Complex Overseen by Trustee**	Other Directorships held by Trustee During the Past Five Years
Andrew Rogers*** 80 Arkay Drive Hauppauge, NY 11788 Born in 1969	Trustee Since 2013; President Since 2006	Chief Executive Officer, Gemini Alternative Funds, LLC (since 2013); Chief Executive Officer, Gemini Hedge Fund Services, LLC (since 2013); Chief Executive Officer, Gemini Fund Services, LLC (since 2012); President and Manager, Gemini Fund Services, LLC (2006-2012); Formerly President and Manager, GemCom LLC (2004-2011).	98	Northern Lights Variable Trust (since 2013)
Kevin E. Wolf 80 Arkay Drive Hauppauge, NY 11788 Born in 1969	Treasurer Since 2006	President, Gemini Fund Services, LLC (since 2012); Director of Fund Administration, Gemini Fund Services, LLC (2006-2012); and Vice-President, GemCom, LLC (2004 - 2013).	N/A	N/A

9/30/14 – NLFT_v1

THE SIERRA FUNDS
SUPPLEMENTAL INFORMATION (Unaudited)(Continued)
September 30, 2014

James P. Ash 80 Arkay Drive Hauppauge, NY 11788 Born in 1976	Secretary Since 2011	Senior Vice President, Gemini Fund Services, LLC (since 2012); Vice President, Gemini Fund Services, LLC (2011-2012); Director of Legal Administration, Gemini Fund Services, LLC (2009-2011); Assistant Vice President of Legal Administration, Gemini Fund Services, LLC (2008-2011).	N/A	N/A
Lynn Bowley 17605 Wright Street Suite 2, Omaha, NE 68130 Born in 1958	Chief Compliance Officer Since 2007	Compliance Officer of Northern Lights Compliance Services, LLC (since 2007); Vice President of Investment Support Services for Mutual of Omaha Companies (2002-2006).	N/A	N/A

The term of office for each Trustee and officer listed above will continue indefinitely until the individual resigns or is removed.

The term “Fund Complex” includes the Northern Lights Fund Trust (“NLFT”), Northern Lights Fund Trust II (“NLFT II”), Northern Lights Fund Trust III (“NLFT III”) and the Northern Lights Variable Trust (“NLVT”).

***

Andrew Rogers is an “Interested Trustee” of the Trust as that term is defined under the 1940 Act, because of his affiliation with Gemini Fund Services, LLC, (the Trust’s Administrator, Fund Accountant and Transfer Agent).

The Fund’s SAI includes additional information about the Trustees and is available free of charge, upon request, by calling toll-free at 1-866-738-4363.

9/30/14 – NLFT_v1

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PRIVACY NOTICE

Northern Lights Fund Trust

Rev. February 2014

FACTS

WHAT DOES NORTHERN LIGHTS FUND TRUST DO WITH YOUR PERSONAL INFORMATION?

Why?

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.

What?

The types of personal information we collect and share depends on the product or service that you have with us. This information can include:

● Social Security number and wire transfer instructions

● account transactions and transaction history

● investment experience and purchase history

When you are no longer our customer, we continue to share your information as described in this notice.

How?

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 Northern Lights Fund Trust chooses to share; and whether you can limit this sharing.

Reasons we can share your personal information:	Does Northern Lights Fund Trust share information?	Can you limit this sharing?
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.	YES	NO
For our marketing purposes - to offer our products and services to you.	NO	We don’t share
For joint marketing with other financial companies.	NO	We don’t share
For our affiliates’ everyday business purposes - information about your transactions and records.	NO	We don’t share
For our affiliates’ everyday business purposes - information about your credit worthiness.	NO	We don’t share
For nonaffiliates to market to you	NO	We don’t share

QUESTIONS?

Call 1-402-493-4603

PRIVACY NOTICE

Northern Lights Fund Trust

Page 2

What we do:

How does Northern Lights Fund Trust protect my personal information?

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.

Our service providers are held accountable for adhering to strict policies and procedures to prevent any misuse of your nonpublic personal information.

How does Northern Lights Fund Trust collect my personal information?

We collect your personal information, for example, when you

● open an account or deposit money

● direct us to buy securities or direct us to sell your securities

● seek advice about your investments

We also collect your personal information from others, such as credit bureaus, affiliates, or other companies.

Why can’t I limit all sharing?

Federal law gives you the right to limit only:

● sharing for affiliates’ everyday business purposes – information about your creditworthiness.

● affiliates from using your information to market to you.

● sharing for nonaffiliates to market to you.

State laws and individual companies may give you additional rights to limit sharing.

Definitions
Affiliates	Companies related by common ownership or control. They can be financial and nonfinancial companies. ● Northern Lights Fund Trust does not share with our affiliates.
Nonaffiliates	Companies not related by common ownership or control. They can be financial and nonfinancial companies. ● Northern Lights Fund Trust does not share with nonaffiliates so they can market to you.
Joint marketing	A formal agreement between nonaffiliated financial companies that together market financial products or services to you. ● Northern Lights Fund Trust doesn’t jointly market.

PROXY VOTING POLICY

Information regarding how the Funds voted proxies relating to portfolio securities for the most recent period ended June 30 as well as a description of the policies and procedures that the Funds use to determine how to vote proxies is available without charge, upon request, by calling 1-866-738-4363 or by referring to the Securities and Exchange Commission’s (“SEC”) website at http://www.sec.gov.

PORTFOLIO HOLDINGS

The Funds file their complete schedules of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Form N-Q is available on the SEC’s website at http://www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC (1-800-SEC-0330). The information on Form N-Q is available without charge, upon request, by calling 1-866-738-4363.

INVESTMENT ADVISER

Wright Fund Management, LLC

3420 Ocean Park Blvd. Suite 3060

Santa Monica, CA 90405

ADMINISTRATOR

Gemini Fund Services, LLC

80 Arkay Drive, Suite 110

Hauppauge, New York 11788

Item 2. Code of Ethics.

(a)

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.

(b)

For purposes of this item, “code of ethics” means written standards that are reasonably designed to deter wrongdoing and to promote:

(1)

Honest and ethical conduct, including the ethical handling of actual or apparent conflicts of interest between personal and professional relationships;

(2)

Full, fair, accurate, timely, and understandable disclosure in reports and documents that a registrant files with, or submits to, the Commission and in other public communications made by the registrant;

(3)

Compliance with applicable governmental laws, rules, and regulations;

(4)

The prompt internal reporting of violations of the code to an appropriate person or persons identified in the code; and

(5)

Accountability for adherence to the code.

(c)

Amendments: During the period covered by the report, there have not been any amendments to the provisions of the code of ethics.

(d)

Waivers: During the period covered by the report, the registrant has not granted any express or implicit waivers from the provisions of the code of ethics.

(e) The Code of Ethics is not posted on Registrant’ website.

(f) A copy of the Code of Ethics is attached as an exhibit.

Item 3. Audit Committee Financial Expert.

(a)(1)ii

The Registrant’s board of trustees has determined that Anthony J. Hertl, Mark H. Taylor and Mark Gersten are audit committee financial experts, as defined in Item 3 of Form N-CSR. Mr. Hertl, Mr. Taylor and Mr. Gersten are independent for purposes of this Item 3.

(a)(2) Not applicable.

(a)(3) In this regard, no member of the audit committee was identified as having all of the required technical attributes identified in instruction 2 (b) to item 3 of Form N-CSR to qualify as an “audit committee financial expert,” whether through the type of specialized education or experience required by that instruction. At this time, the board believes the experience provided by each member of the audit committee collectively offers the fund adequate oversight by its audit committee given the fund’s level of financial complexity. The board will from time to time reexamine such belief.

Item 4. Principal Accountant Fees and Services.

(a)

Audit Fees

2014 - $ 27,500

2013 - $ 26,500

(b)

Audit-Related Fees

2014 – None

2013 – None

(c)

Tax Fees

2014 – $ 4,000

2013 – $ 4,000

Preparation of Federal & State income tax returns, assistance with calculation of required income, capital gain and excise distributions and preparation of Federal excise tax returns.

(d)

All Other Fees

2014 - None

2013 - None

(e)

(1)

Audit Committee’s Pre-Approval Policies

The registrant’s Audit Committee is required to pre-approve all audit services and, when appropriate, any non-audit services (including audit-related, tax and all other services) to the registrant. The registrant’s Audit Committee also is required to pre-approve, when appropriate, any non-audit services (including audit-related, tax and all other services) to its adviser, or any entity controlling, controlled by or under common control with the adviser that provides ongoing services to the registrant, to the extent that the services may be determined to have an impact on the operations or financial reporting of the registrant. Services are reviewed on an engagement by engagement basis by the Audit Committee.

(2)

Percentages of Services Approved by the Audit Committee

2014 2013

2012

Audit-Related Fees: 0.00%

0.00%

Tax Fees:

0.00%

0.00% 0.00%

All Other Fees:

0.00%

0.00% 0.00%

(f)

During the audit of registrant's financial statements for the most recent fiscal year, less than 50 percent of the hours expended on the principal accountant's engagement were attributed to work performed by persons other than the principal accountant's full-time, permanent employees.

(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:

2014 - $ 4,000

2013 - $ 4,000

(h)

The registrant's audit committee has considered whether the provision of non-audit services 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 Companies. Not applicable to open-end investment companies.

Item 6. Schedule of Investments. See Item 1.

Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Funds. Not applicable to open-end investment companies.

Item 8. Portfolio Managers of Closed-End Management Investment Companies. Not applicable to open-end investment companies.

Item 9. Purchases of Equity Securities by Closed-End Funds. Not applicable to open-end investment companies.

Item 10. Submission of Matters to a Vote of Security Holders. None

Item 11. Controls and Procedures.

(a)

Based on an evaluation of the Registrant’s disclosure controls and procedures as of a date within 90 days of filing date of this Form N-CSR, the principal executive officer and principal financial officer of the Registrant have concluded that the disclosure controls and procedures of the Registrant are reasonably designed to ensure that the information required in filings on Form N-CSR is recorded, processed, summarized, and reported by the filing date, including that information required to be disclosed is accumulated and communicated to the Registrant’s management, including the Registrant’s principal executive officer and principal financial officer, as appropriate to allow timely decisions regarding required disclosure.

(b)

There were no significant changes in the Registrant’s internal control over financial reporting that occurred during the Registrant’s last fiscal half-year that have materially affected, or are reasonably likely to materially affect, the Registrant’s internal control over financial reporting.

Item 12. Exhibits.

(a)(1)

Code of Ethics herewith.

(a)(2)

Certifications required by Section 302 of the Sarbanes-Oxley Act of 2002 (and Item 11(a)(2) of Form N-CSR) are filed herewith.

(a)(3)

Not applicable for open-end investment companies.

(b)

Certifications required by Section 906 of the Sarbanes-Oxley Act of 2002 (and Item 11(b) of Form N-CSR) are filed herewith.

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) Northern Lights Fund Trust

By (Signature and Title)

/s/ Andrew B. Rogers

Andrew B. Rogers, President

Date

12/11/14

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

By (Signature and Title)

/s/ Andrew B. Rogers

Andrew B. Rogers, President

Date

12/11/14

By (Signature and Title)

/s/ Kevin E. Wolf

Kevin E. Wolf, Treasurer

Date

12/11/14

Dates Referenced Herein and Documents Incorporated by Reference

This ‘N-CSR/A’ Filing	Date	Other Filings

	1/31/15
Filed on / Effective on:	12/18/14	24F-2NT
	11/28/14	485BPOS, N-Q
	10/1/14	497, 497K
For Period End:	9/30/14	24F-2NT, 485APOS, N-CSR, N-CSRS, N-Q, NSAR-A, NSAR-A/A, NSAR-B, NSAR-B/A, NT-NSAR, NTFNCSR
	4/1/14	497, N-Q, NSAR-A, NSAR-A/A, NSAR-B, NSAR-B/A
	1/28/14	485BPOS
	9/30/13	24F-2NT, 485BPOS, 497, N-CSR, N-CSR/A, N-CSRS, N-Q, NSAR-A, NSAR-A/A, NSAR-B, NSAR-B/A
	3/8/13	DEF 14A, DEFA14A, N-CSR, N-CSRS
	9/30/12	24F-2NT, N-CSR, N-CSRS, N-CSRS/A, N-Q, NSAR-A, NSAR-A/A, NSAR-B, NSAR-B/A
	6/7/12	485BPOS, 497, N-CSR, N-CSRS
	12/27/11	24F-2NT, 24F-2NT/A
	9/30/11	24F-2NT, 24F-2NT/A, 485APOS, 497, N-CSR, N-CSR/A, N-CSRS, N-Q, NSAR-A, NSAR-A/A, NSAR-B, NSAR-B/A
	2/5/10	485APOS
	12/24/07
	1/19/05
		List all Filings

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Filing Submission 0000910472-14-005820 – Alternative Formats (Word / Rich Text, HTML, Plain Text, et al.)

Northern Lights Fund Trust – ‘N-CSR/A’ for 9/30/14

On: Thursday, 12/18/14, at 3:35pm ET · Effective: 12/18/14 · For: 9/30/14 · Accession #: 910472-14-5820 · File #: 811-21720

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Amendment to Certified Annual Shareholder Report of a Management Investment Company — Form N-CSRFiling Table of Contents

N-CSR/A — Amendment to Certified Annual Shareholder Report of a Management Investment CompanyDocument Table of Contents

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Dates Referenced Herein and Documents Incorporated by Reference

Amendment to Certified Annual Shareholder Report of a Management Investment Company — Form N-CSR
Filing Table of Contents

N-CSR/A — Amendment to Certified Annual Shareholder Report of a Management Investment Company
Document Table of Contents