Annual Report by Investment Company (Form N-CSR)

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

811-22756

Advisors Preferred Trust

(Exact name of registrant as specified in charter)

1445 Research Blvd, Suite 530, Rockville, MD 20850

(Address of principal executive offices) (Zip code)

The Corporation Trust Company

1209 Orange Street Wilmington, DE 19801

(Name and address of agent for service)

Registrant's telephone number, including area code:	631-470-2600

Date of fiscal year end:	8/31
Date of reporting period:	8/31/25

Item 1. Reports to Stockholders.

(a)

(b)

Not applicable

Item 2. Code of Ethics.

(a)

The registrant has, as of the end of the period covered by this report, 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)

N/A

(c)

During the period covered by this report, there were no amendments to any provision of the code of ethics.

(d)

During the period covered by this report, there were no waivers or implicit waivers of a provision of the code of ethics.

(e)

N/A

(f)

See Item 19(a)(1)

Item 3. Audit Committee Financial Expert.

(a)

The Registrant's board of trustees has determined that Felix Rivera is an audit committee financial expert, as defined in Item 3 of Form N-CSR. Mr. Rivera is independent for purposes of this Item 3.

(a)(2)

Not applicable.

(a)(3)

Not applicable.

Item 4. Principal Accountant Fees and Services.

(a)

Audit Fees. The aggregate fees billed for each of the last two fiscal years for professional services rendered by the registrant's principal accountant for the audit of the registrant's annual financial statements or services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for those fiscal years are as follows:

2025 - $17,500

2024 - $18,400

(b)

Audit-Related Fees. There were no fees billed in each of the last two fiscal years for assurances and related services by the principal accountant that are reasonably related to the performance of the audit of the registrant's financial statements and are not reported under paragraph (a) of this item.

2025 - None

2024 - None

(c)

Tax Fees. The aggregate fees billed in each of the last two fiscal years for professional services rendered by the principal accountant for tax compliance are as follows:

2025 - $3,500

2024 - $3,500

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. The aggregate fees billed in each of the last two fiscal years for products and services provided by the registrant's principal accountant, other than the services reported in paragraphs (a) through (c) of this item were $0 and $0 for the fiscal years ended August 31, 2025 and 2024, respectively.

(e)(1)

The audit committee does not have pre-approval policies and procedures. Instead, the audit committee or audit committee chairman approves on a case-by-case basis each audit or non-audit service before the principal accountant is engaged by the registrant.

(e)(2)

There were no services described in each of paragraphs (b) through (d) of this Item that were approved by the audit committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.

(f)

Not applicable. The percentage of hours expended on the principal accountant's engagement to audit the registrant's financial statements for the most recent fiscal year that were attributed to work performed by persons other than the principal accountant's full-time, permanent employees was zero percent (0%).

(g)

All non-audit fees billed by the registrant's principal accountant for services rendered to the registrant for the fiscal years ended August 31, 2025 and 2024 respectively are disclosed in (b)-(d) above. There were no audit or non-audit services performed by the registrant's principal accountant for the registrant's adviser.

(h)

Not applicable.

(i)

Not applicable.

(j)

Not applicable.

Item 5. Audit Committee of Listed Registrants. Not applicable.

Item 6. Investments. The Registrant's schedule of investments in unaffiliated issuers is included in the Financial Statements under Item 7 of this form.

Item 7. Financial Statements and Financial Highlights for Open-End Management Investment Companies.

(a)

Hundredfold Select Alternative Fund

ANNUAL FINANCIAL STATEMENTS

and ADDITIONAL INFORMATION

August 31, 2025

Service Class (SFHYX)

Investor Class (HFSAX)

1-855-582-8006

www.HundredfoldSelect.com

Distributed by Ceros Financial Services, Inc.

Hundredfold Select Alternative Fund

CONSOLIDATED SCHEDULE OF INVESTMENTS

August 31, 2025

Shares						Fair Value
				OPEN-END FUNDS - 68.2%
				ALTERNATIVE - 9.9%
	712,392			Ambassador Fund		$	7,245,031
	341,496			Federated Hermes MDT Market Neutral Fund, Institutional Shares			7,328,499
							14,573,530
				FIXED INCOME - 58.3%
	2,005,457			American Beacon Developing World Income Fund, R5 Class			14,700,000
	1,085,429			Easterly Income Opportunities Fund, Class R6			11,255,894
	713,587			Nationwide Strategic Income Fund, Class R6			7,314,272
	1,538,854			PGIM Securitized Credit Fund, Class Z			15,019,211
	1,398,980			PIMCO Income Fund, Institutional Class			15,178,930
	1,551,536			PIMCO Preferred and Capital Security Fund, Institutional Class			14,863,718
	682,881			Thompson Bond Fund			7,320,486
							85,652,511
				TOTAL OPEN-END FUNDS (Cost $99,350,561)			100,226,041

Principal Amount ($)

Coupon Rate (%)

Maturity

U.S. GOVERNMENT & AGENCIES - 2.5%

U.S. TREASURY BILLS - 2.5%

3,761,000

United States Treasury Bill(a)

4.0400

11/20/25

3,727,572

TOTAL U.S. GOVERNMENT & AGENCIES (Cost $3,726,900)

3,727,572

Shares
				SHORT-TERM INVESTMENTS - 10.1%
				MONEY MARKET FUNDS - 10.1%
	14,030,799			Fidelity Money Market Government Portfolio, Institutional Class, 4.21%(b)			14,030,799
	883,309			First American Government Obligations Fund, Class X, 4.22%(b),(c)			883,309
				TOTAL MONEY MARKET FUNDS (Cost $14,914,108)			14,914,108
				TOTAL SHORT-TERM INVESTMENTS (Cost $14,914,108)			14,914,108

See accompanying notes to consolidated financial statements.

Hundredfold Select Alternative Fund

CONSOLIDATED SCHEDULE OF INVESTMENTS (Continued)

August 31, 2025

						Fair Value
				TOTAL INVESTMENTS - 80.8% (Cost $117,991,569)		$	118,867,721
				OTHER ASSETS IN EXCESS OF LIABILITIES- 19.2%			28,320,927
				NET ASSETS - 100.0%		$	147,188,648

OPEN FUTURES CONTRACTS
Number of Contracts			Open Long Futures Contracts		Expiration			Notional Amount				Unrealized Appreciation
25			CME E-Mini Standard & Poor's 500 Index Futures		09/22/2025			$	8,090,938			$	442,900
17			COMEX Gold 100 Troy Ounces Futures(c)		12/30/2025				5,977,370				94,230
			TOTAL FUTURES CONTRACTS									$	537,130

	MDT	Managing Directed Trustee
	(a)	Zero coupon bond; rate disclosed is the effective yield as of August 31, 2025
	(b)	Rate disclosed is the seven-day effective yield as of August 31, 2025.
	(c)	All or a portion of this investment is a holding of the Hundredfold Select Alternative Fund Limited (HFSA Fund Limited).

TOTAL RETURN SWAPS

Number of Shares				Reference Entity		Notional Amount at August 31, 2025				Interest Rate Payable(1)			Termination Date			Counterparty			Unrealized Appreciation (Depreciation)
Long Position:
	644,172			AQR Equity Market Neutral Fund, Class R6		$	7,498,157			USD-SOFR plus 165 bp			8/4/2026			NGFP			$	75,065
	1,180,891			AQR Long-Short Equity Fund, Class R6*			22,991,948			USD-SOFR plus 165 bp			4/27/2026			NGFP				-
	14,600			Berkshire Hathaway, Inc. Class B			7,343,508			USD-OBFR plus 55 bp			4/27/2026			NGFP				(35,986	)
	1,362,781			Buffalo High Yield Fund, Institutional Class			14,595,395			USD-SOFR plus 165 bp			6/15/2026			NGFP				(73,595	)
	1,439,921			Diamond Hill Short Duration Securitized Bond Fund, Class Y			14,500,000			USD-SOFR plus 165 bp			6/24/2028			BRC				(29,762	)
	1,273,830			Eaton Vance Global Macro Absolute Return Advantage Fund, Class R6			14,674,523			USD-SOFR plus 165 bp			8/28/2028			BRC				(32,839	)
	1,864,623			Fidelity Advisor High Income Fund, Class Z			15,103,448			USD-SOFR plus 165 bp			5/30/2028			BRC				66,668
	1,498,471			Holbrook Income Fund, Class I			14,700,000			USD-SOFR plus 165 bp			9/23/2026			NGFP				(805	)
	275,600			iShares Flexible Income Active ETF			14,642,628			USD-OBFR plus 55 bp			4/28/2026			NGFP				24,448
	812,918			Nuveen Floating Rate Income Fund, Class A			14,713,808			USD-SOFR plus 165 bp			5/2/2028			BRC				(79,421	)
	928,163			Nuveen Preferred Securities & Income Fund, Class R6			14,832,041			USD-SOFR plus 165 bp			6/20/2028			BRC				62,099
	645,161			Victory Pioneer Cat Bond Fund, Class Y			7,432,258			USD-SOFR plus 165 bp			9/29/2026			NGFP				28,552
																Total:			$	4,424

	BRC	- Barclays Capital
	NGFP	- Nomura Global Financial Products, Inc.
	OBFR	- Overnight Bank Funding Rate
	SOFR	- Secured Overnight Financing Rate
	(1)	Interest rate is based upon predeterminied notional amounts, which may be a multiple of the number of shares plus a specified spread.
	*	Swap contract reset at August 31, 2025.

See accompanying notes to consolidated financial statements.

Hundredfold Select Alternative Fund

CONSOLIDATED STATEMENT OF ASSETS AND LIABILITIES

August 31, 2025

Assets:
Investment securities:
At cost		$	117,991,569
At value		$	118,867,721
Cash collateral for swaps			26,740,000
Receivable for swaps			654,768
Unrealized appreciation on swap contracts - OTC			256,832
Unrealized appreciation on futures			537,130
Deposits with brokers for futures			482,406
Receivable:
Dividends and interest			131,837
Fund shares sold			11,206
Prepaid expenses and other assets			66,065
Total Assets			147,747,965
Liabilities:
Unrealized depreciation on swap contracts - OTC			252,408
Payables:
Investment advisory fees			123,997
Fund shares redeemed			98,944
Distributions (12b-1) fees - Service Class			58,540
Related parties			20,519
Shareholder servicing fees - Investor Class			4,909
Total Liabilities			559,317
Net Assets		$	147,188,648
Net Assets Consist of:
Paid in Capital		$	168,105,132
Accumulated Deficit			(20,916,484	)
Net Assets		$	147,188,648
Net Asset Value Per Share
Service Class Shares:
Net Assets		$	69,202,679
Shares of beneficial interest outstanding (no par value; unlimited shares authorized)			2,965,828
Net asset value, (Net Assets ÷ Shares Outstanding), offering and redemption price per share		$	23.33
Investor Class Shares:
Net Assets		$	77,985,969
Shares of beneficial interest outstanding (no par value; unlimited shares authorized)			3,108,387
Net asset value, (Net Assets ÷ Shares Outstanding), offering and redemption price per share		$	25.09

See accompanying notes to consolidated financial statements.

Hundredfold Select Alternative Fund

CONSOLIDATED STATEMENT OF OPERATIONS

For the Year Ended August 31, 2025

Investment Income:
Dividend income		$	4,874,718
Interest income			1,649,693
Total Investment Income			6,524,411
Expenses:
Investment advisory fees			1,469,080
Distribution (12b-1) fees - Service Class			710,961
Operating services fees			301,538
Shareholder servicing fees - Investor Class			64,354
Miscellaneous expense			15,159
Net Operating Expenses			2,561,092
Net Investment Income			3,963,319
Realized and Unrealized Gain (Loss) on Investments, Futures and Swaps
Net realized gain from:
Investments			2,721,257
Futures			3,680,832
Swaps			2,727,019
			9,129,108
Net change in unrealized depreciation on:
Investments			(394,053	)
Futures			(1,041,020	)
Swaps			(1,141,944	)
			(2,577,017	)
Net Realized and Unrealized Gain on Investments, Futures and Swaps			6,552,091
Net Increase in Net Assets Resulting From Operations		$	10,515,410

See accompanying notes to consolidated financial statements.

Hundredfold Select Alternative Fund

CONSOLIDATED STATEMENTS OF CHANGES IN NET ASSETS

		Year Ended August 31, 2025				Year Ended August 31, 2024
Operations:
Net investment income		$	3,963,319			$	7,298,936
Net realized gain from investments, futures and swaps			9,129,108				9,454,471
Net change in unrealized appreciation (depreciation) on investments, futures and swaps			(2,577,017	)			1,061,621
Net Increase in Net Assets Resulting From Operations			10,515,410				17,815,028
Distributions to Shareholders from:
Earnings:
Service Class			(3,632,302	)			(3,820,218	)
Investor Class			(3,796,641	)			(5,096,565	)
Total Distributions to Shareholders			(7,428,943	)			(8,916,783	)
Capital share transactions:
Proceeds from shares sold:
Service Class			4,275,959				5,279,631
Investor Class			26,170,700				29,307,757
Net asset value of shares issued in reinvestment of distributions:
Service Class			3,516,496				3,674,840
Investor Class			3,551,678				4,728,937
Payments for shares redeemed
Service Class			(14,987,855	)			(17,586,108	)
Investor Class			(30,223,589	)			(73,415,485	)
Total Decrease in Net Assets From Shares of Beneficial Interest			(7,696,611	)			(48,010,428	)
Total Decrease in Net Assets			(4,610,144	)			(39,112,183	)
Net Assets:
Beginning of Year			151,798,792				190,910,975
End of Year		$	147,188,648			$	151,798,792
Share Activity
Service Class:
Shares Sold			190,609				235,533
Shares issued in reinvestment of distributions			157,468				163,140
Shares Redeemed			(661,390	)			(793,576	)
Net Decrease in Shares of Beneficial Interest Outstanding			(313,313	)			(394,903	)
Share Activity
Investor Class:
Shares Sold			1,080,912				1,225,240
Shares issued in reinvestment of distributions			148,868				198,255
Shares Redeemed			(1,243,993	)			(3,091,324	)
Net Decrease in Shares of Beneficial Interest Outstanding			(14,213	)			(1,667,829	)

See accompanying notes to consolidated financial statements.

Hundredfold Select Alternative Fund

CONSOLIDATED FINANCIAL HIGHLIGHTS

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

		Service Class
		Year Ended August 31,
		2025				2024				2023				2022				2021
Net asset value, beginning of year		$	22.98			$	21.83			$	23.12			$	27.54			$	26.55
Income (loss) from investment operations:
Net investment income (loss) (1)			0.51				0.84				0.48				(0.18	)			(0.10	)
Net realized and unrealized gain (loss) on investments			1.00				1.43				(0.84	)			(1.68	)			4.56
Total from investment operations			1.51				2.27				(0.36	)			(1.86	)			4.46
Less distributions from:
Net investment income			(1.16	)			(1.12	)			(0.93	)			(1.19	)			(1.38	)
Net realized gains			-				-				-				(1.37	)			(2.09	)
Total distributions			(1.16	)			(1.12	)			(0.93	)			(2.56	)			(3.47	)
Net asset value, end of year		$	23.33			$	22.98			$	21.83			$	23.12			$	27.54
Total return (2)			6.83	%			10.57	%			(1.50	)%			(7.51	)%			19.09	%
Net assets, at end of year (000s)		$	69,203			$	75,344			$	80,197			$	90,349			$	104,988
Ratios/Supplemental Data:
Ratio of net expenses to average net assets (3)			2.22	%			2.20	%			2.15	%			2.16	%			2.22	%
Ratio of net investment income (loss) to average net assets (3,4)			2.23	%			3.75	%			2.20	%			(0.71	)%			(0.39	)%
Portfolio Turnover Rate (5)			466	%			334	%			643	%			332	%			51	%

	(1)	Net investment income (loss) per share represents net investment income (loss) divided by the daily average shares of beneficial interest outstanding throughout each year.
	(2)	All returns reflect reinvested dividends, if any, but do not reflect the impact of taxes.
	(3)	The ratios of expenses to average net assets and net investment income (loss) to average net assets do not reflect the expenses of the underlying investment companies in which the Fund invests.
	(4)	Recognition of net investment income (loss) by the Fund is affected by the timing of the declaration of dividends by the underlying investment companies in which the Fund invests.
	(5)	The Fund's portfolio turnover is calculated without regard to short-term securities having a maturity of less than one year. Investments in options, swaps, and futures contracts and repurchase agreements are deemed short-term securities. The Fund's aggressive investment strategy may result in significant portfolio turnover to take advantage of anticipated changes in market conditions.

See accompanying notes to consolidated financial statements.

Hundredfold Select Alternative Fund

CONSOLIDATED FINANCIAL HIGHLIGHTS

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

		Investor Class
		Year Ended August 31,
		2025				2024				2023				2022				2021
Net asset value, beginning of year		$	24.48			$	23.11			$	24.54			$	29.15			$	27.87
Income (loss) from investment operations:
Net investment income (1)			0.76				1.12				0.69				0.04	(6)			0.15
Net realized and unrealized gain (loss) on investments			1.09				1.50				(0.86	)			(1.76	)			4.80
Total from investment operations			1.85				2.62				(0.17	)			(1.72	)			4.95
Less distributions from:
Net investment income			(1.24	)			(1.25	)			(1.26	)			(1.52	)			(1.58	)
Net realized gains			-				-				-				(1.37	)			(2.09	)
Total distributions			(1.24	)			(1.25	)			(1.26	)			(2.89	)			(3.67	)
Net asset value, end of year		$	25.09			$	24.48			$	23.11			$	24.54			$	29.15
Total return (2)			7.86	%			11.56	%			(0.59	)%			(6.64	)%			20.18	%
Net assets, at end of year (000s)		$	77,986			$	76,455			$	110,714			$	195,277			$	220,337
Ratios/Supplemental Data:
Ratio of net expenses to average net assets (3)			1.30	%			1.29	%			1.22	%			1.22	%			1.27	%
Ratio of net investment income to average net assets (3,4)			3.14	%			4.73	%			2.96	%			0.14	%			0.53	%
Portfolio Turnover Rate (5)			466	%			334	%			643	%			332	%			51	%

	(1)	Net investment income (loss) per share represents net investment income (loss) divided by the daily average shares of beneficial interest outstanding throughout each year.
	(2)	All returns reflect reinvested dividends, if any, but do not reflect the impact of taxes.
	(3)	The ratios of expenses to average net assets and net investment income to average net assets do not reflect the expenses of the underlying investment companies in which the Fund invests.
	(4)	Recognition of net investment income by the Fund is affected by the timing of the declaration of dividends by the underlying investment companies in which the Fund invests.
	(5)	The Fund's portfolio turnover is calculated without regard to short-term securities having a maturity of less than one year. Investments in options, swaps, and futures contracts and repurchase agreements are deemed short-term securities. The Fund's aggressive investment strategy may result in significant portfolio turnover to take advantage of anticipated changes in market conditions.
	(6)	The amount of net investment income per share does not accord with the amount reported in the Statement of Operations due to the timing of shareholder transactions.

See accompanying notes to consolidated financial statements.

Hundredfold Select Alternative Fund

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

August 31, 2025

1. ORGANIZATION

The Hundredfold Select Alternative Fund (the "Fund") is a diversified series of Advisors Preferred Trust, a Delaware statutory trust (the "Trust") organized on August 15, 2012 and registered under the Investment Company Act of 1940, as amended (the "1940 Act"), as an open-end management investment company. The Fund currently offers Service Class Shares and Investor Class Shares with commencement of operations on September 1, 2004 and October 24, 2012, respectively. The Fund was reorganized on August 9, 2019 from a predecessor fund to a series of Advisors Preferred Trust, a Delaware statutory trust. The Fund is a "fund of funds", in that the Fund will generally invest in other investment companies.

Each class represents an interest in the same assets of the respective Fund and classes are identical except for differences in their 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 Fund's income, expenses (other than class specific distribution and shareholding servicing fees) and realized and unrealized gains and losses are allocated proportionately each day based upon the relative net assets of each class.

The Fund seeks a moderate total rate of return (income plus capital appreciation) on an annual basis. Although the Fund may invest directly in equity and fixed-income securities, it will primarily invest in such securities indirectly through securities that invest in or are a derivative of such securities, primarily including futures contracts, swap agreements, exchange-traded funds (ETFs), naked and covered options on such instruments, currencies, and other unaffiliated investment companies.

2. SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies followed by the Fund in preparation of its financial statements. The policies are in conformity with generally accepted accounting principles in the United States of America ("GAAP"). The Fund follows the specialized accounting and reporting requirements under GAAP that are applicable to investment companies. The preparation of the 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 increase and decrease in net assets from operations during the fiscal year. Actual results could differ from those estimates. The Fund is an investment company and accordingly follows the investment company accounting and reporting guidance of the Financial Accounting Standards Board's ("FASB") Accounting Standards Codification Topic 946 "Financial Services - Investment Companies".

Operating Segments - The Fund has adopted Financial Accounting Standards Board ("FASB") Accounting Standards Update 2023-07, Segment Reporting (Topic 280) - Improvements to Reportable Segment Disclosures ("ASU 2023-07"). Adoption of the standard impacted financial statement disclosures only and did not affect the Fund's financial position or the results of its operations. An operating segment is defined in Topic 280 as a component of a public entity that engages in business activities from which it may recognize revenues and incur expenses, has operating results that are regularly reviewed by the public entity's chief operating decision maker ("CODM") to make decisions about resources to be allocated to the segment and assess its performance, and has discrete financial information available. The CODM is comprised of the portfolio manager and Chief Financial Officer of the Fund. The Fund operates as a single operating segment. The Fund's income, expenses, assets, changes in net assets resulting from operations and performance are regularly monitored and assessed as a whole by the CODM responsible for oversight functions of the Fund, using the information presented in the financial statements and financial highlights.

a) Investment Valuation - Securities listed on an exchange are valued at the last reported sale price at the close of the regular trading session of the 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"). If the NOCP is not available, such securities shall be valued at the last bid on the day of valuation. Financial futures, which are traded on an exchange, are valued at the last quoted sales price determined by the exchange. Investments in open-end investment companies are valued at net asset value. Total return swaps on exchange-listed securities shall be valued at the last quoted sales price or, in the absence of a sale, at the mean between the current bid and ask prices. Exchange listed swaps shall be valued at the last quoted sales price or, in the absence of a sale, at the mean between the current bid and ask prices. Credit default swaps are valued by a pricing agent covering the specific type of swap. Certain credit default swaps ("CDS") and credit indices are valued independently by Markit; or if no valuation is available from a pricing agent, at the price received from the broker-dealer/counterparty that issued the swap. The independent pricing service does not distinguish between smaller‐sized bond positions known as "odd lots" and larger institutional‐sized bond positions known as "round lots". The Fund may fair value a particular bond if the adviser does not believe that the round lot value provided by the independent pricing service reflects fair value of the Fund's holding. Short-term debt obligations having 60 days or less remaining until maturity, at time of purchase, may be valued at amortized cost.

The Fund may hold securities, such as private investments, 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 using the "fair value" procedures approved by the Trust's Board of Trustees (the "Board"). The Board has delegated execution of these procedures to a fair value committee composed of one or more representatives from each of the (i) Trust, (ii) administrator, and (iii) advisor and/or sub-advisor. The committee may also enlist third party consultants such as a valuation specialist at a public accounting firm, valuation consultant or financial officer of a security issuer on an as-needed basis to assist in determining a security-

Hundredfold Select Alternative Fund

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

August 31, 2025

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.

b) Fair Valuation Process - As noted above, the fair value committee is composed of one or more representatives from each of the (i) Trust, (ii) administrator, (iii) advisor and/or sub-advisor. 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 advisor and/or sub-advisor, the prices or values available do not represent the fair value of the instrument. Factors which may cause the advisor and/or sub advisor 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 investments or non-traded securities are valued via inputs from the advisor 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 consideration all relevant factors as may be appropriate under the circumstances). If the advisor and/or sub-advisor is unable to obtain a current bid from such independent dealers or other independent parties, the fair value committee 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.

Valuation of Fund of Funds - The Fund may invest in portfolios of open-end or closed-end investment companies (the "Underlying Funds"). 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 to the methods established by the board of directors of the Underlying Funds.

Open-ended investment companies are valued at their respective net asset values as reported by such investment companies. 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 each Fund will not change.

The Fund utilizes various methods to measure the fair value of all of its 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 Fund has the ability to access.

Level 2 - Observable inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. These inputs may include quoted prices for the identical instrument 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 Fund's own assumptions about the assumptions a market participant would use in valuing the asset or liability, and would be based on the best information available.

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

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

Hundredfold Select Alternative Fund

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

August 31, 2025

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following table summarizes the inputs used as of August 31, 2025 for the Fund's assets and liabilities measured at fair value:

		Level 1				Level 2				Level 3				Total
Assets *
Investments
Open End Funds		$	100,226,041			$	-			$	-			$	100,226,041
U.S. Government & Agencies			-				3,727,572				-				3,727,572
Short-Term Investments			14,914,108				-				-				14,914,108
Total Investments		$	115,140,149			$	3,727,572			$	-			$	118,867,721
Derivatives
Futures Contracts **		$	537,130			$	-			$	-			$	537,130
Swap Contracts ^			-				256,832				-				256,832
Total Derivatives		$	537,130			$	256,832			$	-			$	793,962
Total Assets		$	115,677,279			$	3,984,404			$	-			$	119,661,683
Liabilities
Derivatives
Swap Contracts ^		$	-			$	(252,408	)		$	-			$	(252,408	)
Total Liabilities		$	-			$	(252,408	)		$	-			$	(252,408	)

The Fund did not hold any Level 3 securities during the year ended August 31, 2025.

	*	Refer to the Consolidated Schedule of Investments for classification by asset class.
	**	Includes cumulative unrealized gain on futures contracts open at August 31, 2025.
	^	The amounts shown for swaps are unrealized appreciation/depreciation.

c) Consolidation of Subsidiaries - Hundredfold Select Alternative Fund Limited ("HFSA Fund Limited")

The Consolidated Schedule of Investments, Consolidated Statement of Assets and Liabilities, Consolidated Statement of Operations and Consolidated Statements of Changes in Net Assets and the Consolidated Financial Highlights of the Hundredfold Select Alternative Fund include the accounts of HFSA Fund Limited, a wholly owned and controlled subsidiary. HFSA Fund Limited is a fund incorporated as an exempted company under the companies' law of the Cayman Islands on June 19, 2018 and is a controlled foreign corporation for tax purposes. All inter-company accounts and transactions have been eliminated in consolidation.

The Hundredfold Select Alternative Fund may invest up to 25% of its total assets in a controlled foreign corporation ("CFC") which acts as an investment vehicle in order to effect certain investments consistent with the Fund's investment objectives and policies.

	Inception Date of CFC	CFC Net Assets as of August 31, 2025	% of Net Assets as of August 31, 2025
HFSA Fund Limited	6/19/2018	$1,333,096	0.9%

d) Swap Contracts - The Fund is subject to equity price risk, interest rate risk, credit risk and counterparty risk in the normal course of pursuing its investment objectives. The Fund may enter into various swap transactions, such as total return swaps for investment purposes or to manage interest rate, equity, or credit risk. These would be two-party contracts entered into primarily to exchange the returns (or differentials in rates of returns) earned or realized on particular pre-determined investments or instruments.

Standard equity swap contracts are between two parties that agree to exchange the returns (or differentials in rates of return) earned or realized on particular predetermined investments or instruments. The gross amount to be exchanged is calculated with respect to a "notional amount" (i.e. the return on or increase in value of a particular dollar amount invested in a "basket" of securities representing a particular index or industry sector). Most equity swap agreements entered into by the Fund calculate the obligations of the parties on a "net basis". Consequently, a Fund's current obligations under a swap agreement generally will be equal to the net amount to be paid or received under the agreement based on the relative value of the positions held by each party. The Fund's obligations are accrued daily (offset by any amounts owed to the Fund).

In a "long" equity swap agreement, the counterparty will generally agree to pay the Fund the amount, if any, by which the notional amount of the swap contract would have increased in value if the Fund had been invested in the particular securities, plus dividends that would have been received on those securities. The Fund will agree to pay the counterparty a floating rate of interest on the notional amount of the swap contract plus the amount, if any, by which the notional amount would have decreased in value had it been invested in such securities plus, in certain instances, commissions or trading spreads on the notional amounts. Thus, the return on the swap contract should be the gain or loss on the notional amount plus dividends on the securities less the interest paid by the Fund on the notional amount. However, in certain instances, market factors such as the interest rate environment and the demand to borrow the securities underlying the swap agreement can cause a scenario in which the counterparty will pay the Fund interest. Payments may be made at the conclusion of the contract or periodically during its term. Swap contracts do not include the delivery of securities. The net

Hundredfold Select Alternative Fund

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

August 31, 2025

amount of the excess, if any, of the Fund's obligations over its entitlement with respect to each swap is accrued on a daily basis and an amount of cash or liquid assets, having an aggregate net asset value at least equal to such accrued excess is maintained in a segregated account. Until a swap contract is settled in cash, the gain or loss on the notional amount plus dividends on the securities less the interest paid by the Fund on the notional amount are recorded as "unrealized gains or losses on swaps" and when cash is exchanged, the gain or loss is recorded as "realized gains or losses on swaps".

The Fund may enter into swap contracts that provide the opposite return of the particular benchmark or security ("short" the index or security). The operations are similar to that of the swaps disclosed above except that the counterparty pays interest to the Fund on the notional amount outstanding and the dividends on the underlying securities reduce the return of the swap. However, in certain instances, market factors such as the interest rate environment and the demand to borrow the securities underlying the swap agreement can cause a scenario in which the Fund pays the counterparty interest. These amounts are netted with any unrealized appreciation or depreciation to determine the value of the swap. The Fund will typically enter into equity swap agreements in instances where the Advisor believes that it may be more cost effective or practical than buying a security or the securities represented by a particular index.

The Fund may enter into credit default swaps ("CDS"). CDS are typically two-party (bilateral) financial contracts that transfer credit exposure between the two parties. One party to a CDS (referred to as the credit protection "buyer") receives credit protection or sheds credit risk, whereas the other party to a CDS (referred to as the credit protection "seller") is selling credit protection or taking on credit risk. The seller typically receives pre-determined periodic payments from the other party. These payments are in consideration for agreeing to make compensating specific payments to the buyer should a negative credit event occur, such as (1) bankruptcy or (2) failure to pay interest or principal on a reference debt instrument, with respect to a specified issuer or one of the reference issuers in a CDS portfolio. In general, CDS may be used by the Fund to obtain credit risk exposure similar to that of a direct investment in high yield bonds.

The Fund may enter into Interest Rate Swaps. Interest rate swaps involve the exchange of commitments to pay and receive interest based on a notional principal amount. The Funds may elect to pay a fixed rate and receive a floating rate, or receive a fixed rate and pay a floating rate on a notional principal amount.

The amounts to be exchanged or "swapped" between parties are calculated with respect to the notional amount. Changes in the value of swap agreements are recognized as unrealized gains or losses in the Consolidated Statement of Operations by "marking to market" on a daily basis to reflect the value of the swap agreement at the end of each trading day. Payments received or paid at the beginning of the agreement are reflected as such on the Consolidated Statement of Assets and Liabilities and may be referred to as upfront payments. A liquidation payment received or made at the termination of the swap agreement is recorded as a realized gain or loss on the Consolidated Statement of Operations. The maximum pay-outs for these contracts are limited to the notional amount of each swap. CDS may involve greater risks than if a Fund had invested in the referenced obligation directly and are subject to general market risk, liquidity risk, counterparty risk and credit risk.

The Fund collateralizes swap agreements with cash and certain securities, if indicated on the Consolidated Schedule of Investments. Such collateral is held for the benefit of the counterparty in a segregated account at the Custodian to protect the counterparty against non-payment by the Fund. The Fund does not net collateral. In the event of a default by the counterparty, the Fund will seek return of this collateral and may incur certain costs exercising their rights with respect to the collateral. Amounts expected to be owed to the Fund are regularly collateralized either directly with the Fund or in a segregated account at the Custodian.

A Fund bears the risk of loss of the amount expected to be received under a swap agreement in the event of the default or bankruptcy of a swap agreement counterparty to the extent that posted collateral is insufficient. A Fund will enter into swap agreements only with large, well-capitalized and established financial institutions. The creditworthiness of each of the firms that is counterparty to a swap agreement is monitored by the Advisor. The financial statements of these counterparties may be available by accessing the SEC's website, at www.sec.gov.

e) Stock Index Futures Contracts and Options on Futures Contracts - The Fund may purchase and sell stock index futures contracts and options on such futures contracts. The Fund may use futures contracts to gain exposure to, or hedge against changes in the value of equities, interest rates, commodities or foreign currencies. Upon entering into a contract, the Fund deposits and maintains as collateral such initial margin as required by the exchange on which the transaction is effected. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in value of the contract. Such receipts or payments are known as "variation margin" and are recorded by the Fund as unrealized gains and losses. When the contract is closed, the Fund records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed. As collateral for futures contracts, the Fund is required under the 1940 Act to maintain assets consisting of cash, cash equivalents or liquid securities. This collateral is required to be adjusted daily to reflect the market value of the purchase obligation for long futures contracts or the market value of the instrument underlying the contract, but not less than the market price at which the futures contract was established, for short futures contracts.

Hundredfold Select Alternative Fund

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

August 31, 2025

f) Risks of Options, Futures Contracts, Options on Futures Contracts and Short Positions - The risks inherent in the use of options, futures contracts, options on futures contracts and short positions include 1) adverse changes in the value of such instruments; 2) imperfect correlation between the price of options and futures contracts and options thereon and movements in the price of the underlying securities, index or futures contracts; 3) the possible absence of a liquid secondary market for any particular instrument at any time; 4) the possible need to defer closing out certain positions to avoid adverse tax consequences; and 5) the possible nonperformance by the counterparty under the terms of the contract. The Fund designates all cash, cash equivalents and liquid securities as collateral for futures contracts and options on futures contracts.

g) Exchange Traded Funds - The Fund may invest in exchange traded funds ("ETFs"). Passive ETFs are a type of index fund bought and sold on a securities exchange. A passive ETF trades like common stock and represents a fixed portfolio of securities designed to track the performance and dividend yield of a particular domestic or foreign market index. A Fund may purchase an ETF to temporarily gain exposure to a portion of the U.S. or a foreign market while awaiting purchase of underlying securities. The risks of owning an ETF generally reflect the risks of owning the underlying securities they are designed to track, although the lack of liquidity on an ETF could result in it being more volatile. Additionally, ETFs have fees and expenses that reduce their value.

h) Security Transactions and Related Income - Investment transactions are recorded on the trade date. The Fund determines the gain or loss realized from the investment transactions by comparing the identified cost, which is the same basis used for federal income tax purposes, with the net sales proceeds. Dividend income is recorded on the ex-dividend date. Interest income, including amortization of premium and discount, and dividends received from money market funds, is recognized on an accrual basis. Upfront payments on Credit Default Swaps are amortized over the life of the contract.

i) 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.

j) Federal Income Taxes - The Fund has complied, and intends to continue to comply, with the requirements of Subchapter M of the Internal Revenue Code necessary to qualify as a regulated investment company and to make the requisite distributions of income and capital gains to its shareholders sufficient to relieve it from all or substantially all federal income tax. No provision for federal income taxes has been made.

For tax purposes, HFSA Fund Limited ("HFSA") is an exempted Cayman Islands investment company. HFSA has received an undertaking from the Government of the Cayman Islands exempting it from all local income, profits, and capital gains taxes. No such taxes are levied in the Cayman Islands at the present time. For U.S. income tax purposes, HFSA is a CFC and as such is not subject to U.S. income tax. However, as a wholly-owned CFC, the net income and capital gain of the CFC, to the extent of its earnings and profits, will be included each year in the respective Fund's investment company taxable income.

The Fund recognizes interest and penalties, if any, related to unrecognized tax benefits as income tax expense in the Statement of Operations. During the period, the Fund did not incur any interest or penalties.

The Fund recognizes 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 Fund's 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 ended August 31, 2022 through August 31, 2024 or expected to be taken in the Fund's August 31, 2025 year-end tax returns.

k) Dividends and Distributions to Shareholders - Dividends from net investment income, if any, are declared and paid at least quarterly. Distributable net realized capital gains, if any, are declared and distributed annually. Dividends from net investment income and distributions from net realized gains are recorded on ex-date and 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, capital loss carry forwards) 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. Any such reclassifications will have no effect on net assets, results of operations, or net asset values per share of the Fund.

l) Indemnifications - 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 Fund enters into contracts that contain a variety of representations and warranties and which provide general indemnities. The Fund's maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Fund that have not yet occurred. However, based on experience, the risk of loss due to these warranties and indemnities appears to be remote.

m) Market Risks - Unexpected local, regional or global events, such as war; acts of terrorism; financial, political or social disruptions; natural, environmental or man-made disasters; the spread of infectious illnesses or other public health issues; and recessions and depressions could have a significant impact on the Fund and its investments and may impair market liquidity. Such events can cause

Hundredfold Select Alternative Fund

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

August 31, 2025

investor fear, which can adversely affect the economies of nations, regions and the market in general, in ways that cannot necessarily be foreseen.

3. INVESTMENT AND DERIVATIVE TRANSACTIONS

For the year ended August 31, 2025, the aggregate purchases and sales of investments (excluding short-term investments, swaps and futures contracts) amounted to $426,351,551 and $420,538,940, respectively.

The Fund uses derivative instruments as part of its principal investment strategy to achieve its investment objective. For additional discussion on the risks associated with derivative instruments refer to Note 2. For the year ended August 31, 2025, the Fund invested in futures and swap contracts.

At August 31, 2025, the fair value of derivatives instruments was as follows:

Asset/Liability Derivatives
		Commodity				Credit risk				Equity risk				Total
Futures1		$	94,230			$	-			$	442,900			$	537,130
Swap contracts2			-				(34,153	)			38,577				4,424
Total		$	94,230			$	(34,153	)		$	481,477			$	541,554

	1.	Consolidated Statement of Assets and Liabilities location: Unrealized appreciation on futures.
	2.	Consolidated Statement of Assets and Liabilities location: Unrealized appreciation/depreciation on swap

The following is a sumary of the realized gain (loss) and unrealized appreciation (depreciation) on derivatives in the Consolidated Statement of Operations categorized by risk for the year ended August 31, 2025:

		Commodity risk				Credit risk				Currency risk				Equity risk				Total
Realized gain (loss)3
Futures contracts		$	1,395,283			$	11,130			$	82,726			$	2,191,693			$	3,680,832
Swap contracts			-				1,723,742				-				1,003,277				2,727,019
Total realized gain (loss)		$	1,395,283			$	1,734,872			$	82,726			$	3,194,970			$	6,407,851
Change in unrealized appreciation (depreciation)4
Futures contracts		$	(44,400	)		$	-			$	31,400			$	(1,028,020	)		$	(1,041,020	)
Swap contracts			-				(152,476	)			-				(989,468	)			(1,141,944	)
Total change in unrealized appreciation (depreciation)		$	(44,400	)		$	(152,476	)		$	31,400			$	(2,017,488	)		$	(2,182,964	)

	3.	Consolidated Statement of Operations location: Net realized gain from futures and swaps.
	4.	Consolidated Statement of Operations location: Net change in unrealized appreciation on futures and swaps.

The derivative instruments outstanding as of August 31, 2025, as disclosed in the Consolidated Schedule of Investments and the amounts of realized gain (loss) and changes in unrealized gains and losses on derivative instruments during the period as disclosed above and within the Consolidated Statement of Operations serve as indicators of the volume of derivative activity for the Fund.

4. OFFSETTING OF FINANCIAL ASSETS AND DERIVATIVE ASSETS AND LIABILITIES

The Fund's policy is to recognize a gross asset or liability equal to the unrealized gain/ (loss) for futures and gross asset or liability equal to unrealized gain/(loss) for swaps contracts. During the year ended August 31, 2025, the Fund is subject to a master netting arrangement for the swaps and futures. The following table shows additional information regarding the offsetting of assets and liabilities at August 31, 2025.

Hundredfold Select Alternative Fund

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

August 31, 2025

						Gross Amounts				Net Amounts of				Gross Amounts Not Offset in the
						Offset in the				Assets Presented in				Consolidated Statement of Assets &
						Consolidated				the Consolidated				Liabilities
		Gross Amounts of				Statement of Assets &				Statement of Assets &				Financial				Cash Collateral
		Recognized Assets				Liabilities				Liabilities				Instruments				Received				Net Amount
Assets:
Swaps Contracts		$	256,832			$	-			$	256,832			$	(252,408	)		$	-			$	4,424
Futures Contracts			537,130				-				537,130				-				-				537,130
Total		$	793,962			$	-			$	793,962			$	(252,408	)		$	-			$	541,554
						Gross Amounts				Net Amounts of				Gross Amounts Not Offset in the
						Offset in the				Liabilities Presented in				Consolidated Statement of Assets &
		Gross Amounts of				Consolidated				the Consolidated				Liabilities
		Recognized				Statement of Assets &				Statement of Assets &				Financial				Cash Collateral
		Liabilities				Liabilities				Liabilities				Instruments				Pledged				Net Amount
Liabilities:
Swaps Contracts		$	(252,408	)		$	-			$	(252,408	)		$	252,408			$	-			$	-
Total		$	(252,408	)		$	-			$	(252,408	)		$	252,408			$	-			$	-

5. AGGREGATE UNREALIZED APPRECIATION AND DEPRECIATION - TAX BASIS

The identified cost of investments in securities owned by the Fund for federal income tax purposes and gross unrealized appreciation and depreciation, including futures and swaps, at August 31, 2025, were as follows:

Tax Cost				Gross Unrealized Appreciation				Gross Unrealized (Depreciation)				Net Unrealized Appreciation
$	118,728,823			$	1,232,517			$	(552,065	)		$	680,452

6. DISTRIBUTIONS TO SHAREHOLDERS AND TAX COMPONENTS OF CAPITAL

The tax character of distributions paid during the following fiscal years was as follows:

		Fiscal Year Ended August 31, 2025				Fiscal Year Ended August 31, 2024
Ordinary Income		$	7,428,943			$	8,916,783
		$	7,428,943			$	8,916,783

As of August 31, 2025, the components of accumulated earnings/ (deficit) on a tax basis were as follows:

Undistributed Ordinary Income				Undistributed Long-Term Gains				Post October Loss and Late Year Loss				Capital Loss Carry Forwards				Other Book/Tax Differences				Unrealized Appreciation/ (Depreciation)				Total Distributable Earnings/ (Accumulated Deficit)
$	2,719,035			$	-			$	-			$	(24,410,201	)		$	94,230			$	680,452			$	(20,916,484)

The difference between book basis and tax basis undistributed net investment income, accumulated net realized loss and unrealized appreciation from investments is primarily attributable to the tax deferral of losses on wash sales, mark-to-market on open futures and mark-to-market on swap contracts, and adjustments for the Fund's wholly owned subsidiary. In addition, other book/tax differences relate to mark-to-market on open futures contracts in the Fund's wholly owned subsidiary.

Hundredfold Select Alternative Fund

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

August 31, 2025

At August 31, 2025, the Funds had capital loss carry forwards for federal income tax purposes available to offset future capital gains and amounts utilized as follows:

Short-Term				Long-Term				Total				CLCF Utilized
$	15,174,701			$	9,235,500			$	24,410,201			$	3,588,324

Permanent book and tax differences, primarily attributable to the tax adjustments for the Fund's wholly owned subsidiary, resulted in reclassifications for the Fund for the fiscal year ended August 31, 2025, as follows:

Paid In Capital				Accumulated Deficit
$	44,400			$	(44,400	)

7. INVESTMENT ADVISORY AGREEMENT AND TRANSACTIONS WITH RELATED PARTIES

Advisors Preferred, LLC ("Advisor"), serves as investment advisor to the Fund.

Investment Advisory Agreement: The Fund has entered into an investment advisory agreement with the Advisor. The Advisor receives a fee, computed daily and payable monthly and applied to the Fund's average daily net assets at an annual rate of 1.00%. In addition, the Advisor has entered into a sub-advisory agreement with Hundredfold Advisors, LLC ("Sub-Advisor") whereby the Sub-Advisor will direct investment activities of the Fund. The Sub-Advisor is paid by the Advisor and not the Fund. For the year ended August 31, 2025, the Fund paid $1,469,080 in advisory fees.

The Board has adopted a Distribution Plan and Agreement (the "Plan") pursuant to Rule 12b-1 under the 1940 Act. Under the Plan, an account maintenance fee of 0.25% as compensation for sales, promotional activities and services, and a distribution fee at the rate of 0.75% on an annualized basis of the average net assets are attributable to Service Class Shares of the Fund. The fees are paid to Ceros Financial Services Inc. (the "Distributor" or "Ceros") an affiliate of the Advisor to provide compensation for ongoing shareholder servicing and distribution-related activities or services and-or maintenance of Service Class accounts, not otherwise required to be provided by the Advisor. The Plan is a compensation plan, which means that compensation is provided regardless of 12b-1 expenses incurred. For the year ended August 31, 2025, the Fund incurred $710,961 in fees. During the year ended August 31, 2025, Ceros, a registered broker/dealer, executed trades on behalf of the Fund and received $2,256 in trade commissions.

The Board has adopted a Shareholder Servicing Plan (the "Servicing Plan") with respect to the Investor Class of the Fund. The Servicing Plan provides that a monthly service fee is calculated by the Fund at an annual rate of up to 0.25% of its average daily net assets of the Investor Class and is paid to Ceros to provide compensation for ongoing shareholder servicing and distribution-related activities or service and/or maintenance of accounts, not otherwise required to be provided by the Advisor. For the year ended August 31, 2025, the Fund incurred $64,354 in fees.

Pursuant to a liquidity program administrator agreement with the Fund, the Advisor, provides a liquidity program administrator who, directs the operations of the Fund's liquidity risk management program. As compensation for its services and the related expenses borne by the Advisor, the Fund pays the Advisor out of pocket expenses and an annual fee of $9,000. Pursuant to the liquidity program administrator agreement, the Advisor earned $9,000 in fees for the year ended August 31, 2025.

Spectrum Financial Inc., an affiliate of Hundredfold, may provide services to the Fund and receive an annualized fee of 0.25% based on the average daily net assets of the Fund attributable to clients of Spectrum Financial, Inc. who are Service Class shareholders of the Fund. For the year ended August 31, 2025, there were no fees paid under this agreement.

Ultimus Fund Solutions, LLC ("UFS"), UFS, provides administration, fund accounting, and transfer agent services to the Trust. Pursuant to the servicing agreement with UFS, the Fund pays UFS customary fees for providing administration, fund accounting and transfer agency services to the Fund. These fees are shown as operating service fees on the Consolidated Statement of Operations. Under the terms of the Funds' agreement with UFS, UFS pays for certain operating expenses of the Funds. Certain officers of the Trust are also officers of UFS, and are not paid any fees directly by the Funds for serving in such capacities.

In addition, certain affiliates of UFS provide services to each Fund as follows:

Hundredfold Select Alternative Fund

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

August 31, 2025

Blu Giant, LLC ("Blu Giant"), an affiliate of UFS, provides EDGAR conversion and filing services as well as print management services for the Fund on an ad-hoc basis. UFS is responsible for these fees.

Each Trustee who is not an "interested person" of the Trust or Advisor is compensated at a rate of $72,000 per year plus $2,500 minimum per meeting for certain special meetings, which varies based on the matters submitted, as well as for reimbursement for any reasonable expenses incurred attending the meetings, paid quarterly. The "interested persons" who serve as Trustees of the Trust receive no compensation for their services as Trustees. None of the executive officers receive compensation from the Trust. Interested trustees of the Trust are also officers or employees of the Advisor and its affiliates. The Advisor pays trustee fees with respect to the Fund.

8. CONTROL OWNERSHIP

The beneficial ownership, either directly or indirectly, of more than 25% of the voting securities of a Fund creates presumption of control of the Fund, under Section 2(a)9 of the 1940 Act. As of August 31, 2025, Charles Schwab & Co., Inc., National Financial Services LLC and Pershing LLC hold shares for the benefit of others in nominee name, totaling approximately 27%, 34% and 27% respectively of the voting securities of the Fund.

9. NEW ACCOUNTING PRONOUNCEMENT

In December 2023, the FASB issued Accounting Standards Update 2023-09 ("ASU 2023-09"), Income Taxes (Topic 740) Improvements to Income Tax Disclosures, which amends quantitative and qualitative income tax disclosure requirements in order to increase disclosure consistency, bifurcate income tax information by jurisdiction and remove information that is no longer beneficial. ASU 2023-09 is effective for annual periods beginning after December 15, 2024, and early adoption is permitted. Fund Management is evaluating the impacts of these changes on the Fund's financial statements.

10. SUBSEQUENT EVENTS

Subsequent events after the date of the Consolidated Statement of Assets and Liabilities have been evaluated through the date the financial statements were issued. Management has determined that no events or transactions occurred requiring adjustment or disclosure in the financial statements.

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Shareholders of Hundredfold Select Alternative Fund and

Board of Trustees of Advisors Preferred Trust

Opinion on the Financial Statements

We have audited the accompanying consolidated statement of assets and liabilities, including the consolidated schedule of investments, of Hundredfold Select Alternative Fund (the "Fund"), a series of Advisors Preferred Trust, as of August 31, 2025, the related consolidated statement of operations for the year then ended, the consolidated statements of changes in net assets for each of the two years in the period then ended, the consolidated financial highlights for each of the five years in the period then ended, and the related notes (collectively referred to as the "financial statements"). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund as of August 31, 2025, the results of its operations for the year then ended, the changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinion

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

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement whether due to error or fraud.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of August 31, 2025, by correspondence with the custodian and brokers. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more investment companies advised by Advisors Preferred, LLC since 2012.

COHEN & COMPANY, LTD.

Cleveland, Ohio

October 29, 2025

PROXY VOTING POLICY

Information regarding how the Fund votes proxies relating to portfolio securities for the twelve month period ended June 30th as well as a description of the policies and procedures that the Fund used to determine how to vote proxies is available without charge, upon request, by calling 1-855-582-8006, by referring to the Securities and Exchange Commission's ("SEC") website at http://www.sec.gov, or by visiting www.Hundredfoldselect.com for a voting record.

INVESTMENT ADVISOR

Advisors Preferred, LLC

1445 Research Boulevard, #530

Rockville, MD 20850

SUB-ADVISOR

Hundredfold Advisors, LLC

272 Bendix Road, Suite 600

Virginia Beach, VA 23452

ADMINISTRATOR

Ultimus Fund Solutions, LLC

225 Pictoria Drive, Suite 450

Cincinnati, OH 45246

Hundredfold Select Alternative Fund

SUPPLEMENTAL INFORMATION (Unaudited)

August 31, 2025

Changes in and Disagreements with Accountants

There were no changes in or disagreements with accountants during the period covered by this report.

Proxy Disclosures

Not applicable.

Remuneration Paid to Directors, Officers and Others

Refer to the notes to financial statements included herein.

Statement Regarding Basis for Approval of Investment Advisory Agreement

Approval of Renewal of the Investment Advisory Agreements and Sub-Advisory Agreements for the Hundredfold Select Alternative Fund (and its subsidiary)

At an in-person Board meeting held on May 21, 2025 (the "Meeting") the Board of Trustees (the "Board") of Advisors Preferred Trust (the "Trust"), including a majority of Trustees who are not "interested persons" (the "Independent Trustees"), as such term is defined under Section 2(a)(19) of the 1940 Act, considered the renewal of the investment advisory agreement (the "Advisory Agreement") between Advisors Preferred, LLC (the "Adviser") and the Trust, on behalf of Hundredfold Select Alternative Fund and its subsidiary (the "Fund" or "Hundredfold Select" and "Hundredfold Select Alternative Fund, Limited.", respectively); and the renewal of the sub-advisory agreement (the "Sub-Advisory Agreements") between the Adviser and Hundredfold Advisors, LLC (the "Sub-Adviser or "Hundredfold"). The Directors of the Hundredfold Select Alternative Fund Limited, a wholly owned foreign subsidiary of Hundredfold Select, approved an investment advisory agreement between Hundredfold Select Alternative Fund Limited and the Adviser (the "Subsidiary Advisory Agreement") as well as a sub-advisory agreement (the "Subsidiary Sub-Advisory Agreement") between the Adviser and Hundredfold Advisors with respect to the Hundredfold Select Alternative Fund Limited (all together the "Agreements"). The Trustees' and Directors' deliberations are presented as collective deliberations as they were conducted concurrently and refences to the Board also include the Directors.

The Board reviewed and discussed the written materials that were provided by Advisors Preferred, LLC and Hundredfold Advisors in advance of the Meeting and deliberated on the renewal of the Advisory Agreements with respect to Hundredfold Select (and subsidiary Hundredfold Select Alternative Fund Limited). The Board members relied upon the advice of independent legal counsel and their own business judgment in determining the material factors to be considered in evaluating the Agreements with respect to Hundredfold Select. The Board conducted some of their deliberations on a joint basis for the Adviser and the Sub-Adviser given the close working relationship of the Adviser and Sub-Adviser and conducted their deliberations on a consolidated basis for the Fund and its subsidiary.

Nature, Extent and Quality of Services: With respect to the nature, extent and quality of services provided, the Board reviewed the Adviser's Form ADV, and the Sub-Adviser's Form ADV, a description of the manner in which investment decisions, including asset allocation, sector selection and trade execution, are made for the Fund by the Sub-Adviser, a description of the services provided by the Adviser and those services provided by the Sub-Adviser and those executed by the Adviser. The Board reviewed the experience of professional

Hundredfold Select Alternative Fund

SUPPLEMENTAL INFORMATION (Unaudited) (Continued)

August 31, 2025

personnel from both the Adviser and the Sub-Adviser performing services for the Fund, including the team of individuals that primarily monitor and execute the investment and administration process, and the portfolio manager. The Board considered the depth of resources of the Adviser and the Sub-Adviser. Further the Board reviewed a certification from each of the Adviser and the Sub-Adviser, certifying that each has adopted a Code of Ethics containing provisions reasonably necessary to prevent Access Persons, as that term is defined in Rule 17j-1 under the 1940 Act, from engaging in conduct prohibited by Rule 17j-1(b) and noted that each of the Adviser and the Sub-Adviser have adopted procedures reasonably necessary to prevent Access Persons from violating such Code of Ethics.

Advisors Preferred LLC:

The Board reviewed the balance sheet of the Adviser as of March 31, 2025, and the income statement and balance sheet at March 31, 2025 and the profit and loss statement for January through March 31, 2025. The Board also reviewed the audited financials of the Adviser as of December 31, 2024. The Adviser reported $1.5 billion in total assets under management in active mutual funds and Ms. Ayers-Rigsby noted the commitment from Adviser to raise assets and fees as discussed earlier. The Board confirmed with Ms. Ayers-Rigsby that the Adviser has access to additional capital if so required.

The Board discussed the Adviser's compliance program with the CCO of the Trust. The Board considered that the CCO of the Trust also serves as CCO of the Adviser and was recently appointed to serve as the CCO for The North Country Funds. The Trustees acknowledged they are confident in her abilities with respect to all positions, and Trustees were comfortable that if a conflict of interest were to arise, counsel would be called upon for a solution. The Board noted that the Adviser continues to have in place procedures which are currently working to prevent violations of applicable securities laws. The CCO confirmed that she has the support and resources to ensure the compliance procedures of the Trust are updated in accordance with current SEC rules. The Board considered that the cybersecurity risk of the Adviser is managed by Sikich LLP (a cybersecurity consultancy) with no data breaches reported. The Board discussed the overall technology of the Adviser with the CCO. The Adviser confirmed adequate Directors & Officers Error & Omissions Professional Liability Insurance ("D&O/E&O") is in place. Counsel noted the Board had previously reviewed the business continuity plan for the Adviser. The Board concluded that the Adviser has qualified professionals, resources, and compliance policies essential to performing its duties under the Advisory Agreements. The Board reviewed financial statements of the Adviser and concluded it has sufficient financial resources to fulfill Trust-related obligations, based in part on a representation that the Adviser has access to additional capital, as needed.

Hundredfold Advisors, LLC:

With respect to Hundredfold Advisors, the Board reviewed the income statement for the four months ended April 30, 2025 and the balance sheet at April 30, 2025. The Sub-Adviser was determined by the Board to be financially sound. The Board recalled that Hundredfold Advisors donates its advisory services to the Fund, and that Spectrum Financial Services, Inc. ("Spectrum Financial") supplies the support services for Hundredfold Select. The Board concluded that Hundredfold Advisor is sufficiently financially sound to continue to serve as sub-adviser to Hundredfold Select.

Hundredfold Select Alternative Fund

SUPPLEMENTAL INFORMATION (Unaudited) (Continued)

August 31, 2025

The Board confirmed with the Adviser's CCO that she works with the CCO of Spectrum Financial, who also serves as CCO of Hundredfold Advisors. She reported that she had reviewed the policies and procedures manual of Hundredfold Advisors, including their latest revisions and business continuity plans. The Board confirmed the cybersecurity risk management is the responsibility of the compliance and IT teams of Spectrum Financial for Hundredfold Advisors. The Adviser's CCO reported that a cyber breach at Spectrum Financial was immediately reported and handled in a timely matter, resulting in no loss of confidential data.

Performance. The Board considered that the Adviser delegates day-to-day investment decisions to the Sub-Adviser and, therefore, does not directly control the performance of Hundredfold. The Board considered the Adviser's other responsibilities under the Agreements, including with respect to trade oversight, reviewing daily positions and balance reports for the Fund, obtaining derivative agreements for the Fund and reporting to the Board. The Trustees concluded that the Adviser appears to be properly and reasonably monitoring the Sub-Adviser's adherence to the Fund's investment objectives and to be carrying out its functions appropriately.

The Board reviewed the Fund's performance for the one-, three-, five- and ten-year periods ended March 31, 2025 and found the Fund underperformed the Bloomberg Aggregate Bond Index for the one-year period but outperformed for all the others. The Board also compared the Fund's performance to the Morningstar Tactical Allocation category and found the Fund outperformed for all but the three-year period when it slightly lagged the Morningstar category. The Board noted the Fund had lagged S&P 500 Index for all periods. The Board observed the S&P 500 Index is shown primarily for a market performance reference point but does not serve as direct comparison because its 100% equity composition is outside the moderate return investment mandate and other alternative investments available under the Fund's strategy. The Board noted that based on the experience of the portfolio manager, with oversight by the Adviser, and strategy refinements, Hundredfold Advisors is expected to continue to provide satisfactory performance for the Fund and its shareholders.

Fees and Expenses: As to the costs of the services provided to Hundredfold by the Adviser and the Sub-Adviser, respectively, the Board reviewed and discussed the advisory fee and total operating expenses of the Fund compared to its peer group and Morningstar category or categories as presented in the meeting materials. The Board acknowledged that the Adviser pays the Sub-Adviser directly consistent with agreements and any breakpoints in effect.

The Board noted the advisory fee of 1.00% for Hundredfold Select was well within the reasonable range and below the maximum management fee for the Morningstar Tactical Allocation category. The Adviser pays Hundredfold Advisors directly 0.65% of the advisory fee on the first $150 million, then 0.80% on amounts over $150 million. The Sub-Adviser reported it does not manage other pooled vehicles of a similar nature. The Board discussed the net expenses of 1.73% for Investor Class shares and 2.64% for Service Class shares and found both well within the reasonable range of Institutional and Class C shares, respectively, and for Service Class, within range of the average net expenses of the Morningstar Tactical Allocation respective Class C category. The Board concluded that the advisory fee and net expenses for Hundredfold Select are reasonable.

Hundredfold Select Alternative Fund

SUPPLEMENTAL INFORMATION (Unaudited) (Continued)

August 31, 2025

Profitability of Adviser: With respect to Hundredfold Select, the Board noted the adviser made 14% profit from advisory fees and made a 9% profit from the totality of relationship with the Fund. The Board reviewed the split between the Adviser and the Sub-Adviser and found it reasonable. The Board concluded that excess profits to the Adviser from its relationship with Hundredfold Select are not of concern at this time and agreed to monitor the profits as the Fund increases in assets.

Profitability of Sub-Adviser: The Board noted that Hundredfold Advisors is owned 100% by Simply Distribute Foundation, a non-profit. They reviewed the profitability analysis submitted by Hundredfold Advisors and noted that it receives 0.65% on assets up to and including $150 million and 0.80% for higher asset levels. The Trustees noted that Hundredfold Advisors has almost no overhead expenses, as the back office and personnel are supplied by Spectrum Financial. The Board acknowledged that as most of all Hundredfold Advisor's portfolio management services provided by the portfolio manager are provided at no cost, the Sub-Adviser's profits were extremely high, but are not retained by Hundredfold Advisors, but passed on to its owner. After giving consideration to the high percentage of these profits going to charities, the Board found the high profits were acceptable. The Board also considered that the profitability of Hundredfold Advisors would be reasonable if direct and full overhead expenses were included to cover the costs of portfolio management and support services. The Board did note, however, that Spectrum Financial may receive a shareholder servicing fee from the Fund for providing services to its clients that are invested in the Hundredfold Select. After considering the non-conventional ways of measuring Sub-Adviser profits, and that services had been donated to the Fund to help further its charitable purpose; the Board found the level of profit from the Sub-Adviser's relationship with the Fund was not excessive, and after charitable donations, Hundredfold Advisors does not profit from its relationship with the Fund. The Board concluded that excess profits to the Sub-Adviser from its relationship with the Fund are not of current concern.

Economies of Scale. As to the extent to which Hundredfold will realize economies of scale, the Adviser reported an estimate of $300 to $700 million to be the minimum asset level required to reach such economies of scale. The Board discussed the Adviser's expectations for the growth in net assets of the Fund and concluded that any material economies of scale were not a concern at present assets levels. The Trustees noted economies of scale is an advisory agreement concern and is not a consideration for approval of any sub-advisory agreements. The Board agreed to revisit economies of scale as assets of the Fund continue to grow.

Conclusion. Counsel assisted the Board throughout the 15(c) review process. The Board members relied upon the advice of counsel, and their own business judgement, in determining the material factors to be considered in evaluating the Agreements. In considering the approval, the Board noted that each Trustee may have afforded different weight to the various factors in reaching his or her conclusions.

Accordingly, having requested and received such information from the Adviser and Sub-Adviser as the Board believed to be reasonably necessary to evaluate the terms of each Agreement as appropriate; the Board, including a majority of the Independent Trustees, determined that, with respect to the Agreements, separately that (i) the terms of the Agreements are reasonable; (ii) the compensation payable by the Fund to Advisors Preferred, LLC under the Agreements is determined to be for investment advisory services that are not primarily intended to result in sales of shares of the Fund (iii) compensation

Hundredfold Select Alternative Fund

SUPPLEMENTAL INFORMATION (Unaudited) (Continued)

August 31, 2025

payable under the Agreements is based on services provided that are in addition to rather than duplicative of services provided by other investment funds, ETFs, mutual funds and similar productions (iv) such compensation is determined to be fair and reasonable in light of such services and expenses and such other matters as the Trustees have considered to be relevant in the exercise of their reasonable business judgement and (v) the renewal of the Agreements is in the best interests of the Fund and its shareholders

Item 8. Changes in and Disagreements with Accountants for Open-End Management Investment Companies. Not applicable

Item 9. Proxy Disclosures for Open-End Management Investment Companies. Not applicable

Item 10. Remuneration Paid to Directors, Officers, and Others of Open-End Management Investment Companies. Included under Item 7

Item 11. Statement Regarding Basis for Approval of Investment Advisory Contract. Included under Item 7

Item 12. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies. Not applicable.

Item 13. Portfolio Managers of Closed-End Management Investment Companies. Not applicable.

Item 14. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers. Not applicable.

Item 15. Submission of Matters to a Vote of Security Holders. None

Item 16. Controls and Procedures

(a)

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

(b)

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

Item 17. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies. Not applicable

Item 18. Recovery of Erroneously Awarded Compensation.

(a)

Not applicable

(b)

Not applicable

Item 19. Exhibits.

(a)(1)

Code of Ethics for Principal Executive and Senior Financial Officers is attached hereto.

(a)(2)

Not applicable

(a)(3)

A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the Act (17 CFR 270.30a-2(a)): Attached hereto.

(a)(4)

Not applicable

(b)

Certifications required by Rule 30a-2(b) under the Act (17 CFR 270.30a-2(b)): Attached hereto

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)	Advisors Preferred Trust
By (Signature and Title)	/s/ Catherine Ayers-Rigsby
	Catherine Ayers-Rigsby, Principal Executive Officer/President

Date	10/29/25

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/ Catherine Ayers-Rigsby
	Catherine Ayers-Rigsby, Principal Executive Officer/President

Date	10/29/25

By (Signature and Title)	/s/ Christine Casares
	Christine Casares, Principal Financial Officer/Treasurer

Date

10/29/25