AFL-CIO Housing Investment Trust

03/09/2026 | Press release | Distributed by Public on 03/09/2026 12:31

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: 811-3493

American Federation of Labor and Congress of
Industrial Organizations Housing Investment Trust

(Exact name of registrant as specified in charter)

1227 25th Street, N.W., Suite 500

Washington, D.C. 20037

(Address of principal executive offices) (Zip code)

Corey F. Rose, Esq.

Dechert LLP

1900 K Street, NW

Washington, DC 20006-1110

(Name and address of agent for service)

(202) 331-8055

(Registrant's telephone number, including area code)

Date of fiscal year end: December 31

Date of reporting period: January 1, 2025 - December 31, 2025

Item 1. Reports to Stockholders.

(a) A copy of the 2025 Annual Report (the "Report") of the AFL-CIO Housing Investment Trust (the "Trust" or "Registrant") transmitted to Trust participants pursuant to Rule 30e-1 under the Investment Company Act of 1940, as amended (17 CFR 270.30e-1) (the "Act"), is included herewith.

ANNUAL REPORT

DECEMBER 31, 2025

This annual reportcontains important information about the AFL-CIO Housing Investment Trust (the "HIT") for the period of January 1, 2025 to December 31, 2025. You can find additional information about the HIT at aflcio-hit.com/shareholder-reports/. You can also request this information by contacting us at 1-202-331-8055or [email protected].

WHAT WERE THE HIT'S COSTS FOR THE PAST TWELVE MONTHS?

BASED ON A HYPOTHETICAL $10,000 INVESTMENT

The below table explains the costs that Participants would have paid within the reporting period.

COSTS OF A $10,000 INVESTMENT COSTS PAID AS A PERCENTAGE OF A $10,000 INVESTMENT
AFL-CIO Housing Investment Trust $32 0.31%

HOW DID THE HIT PERFORM DURING THE REPORTING PERIOD AND WHAT AFFECTED ITS PERFORMANCE?

In 2025, the HIT delivered a strong absolute return, generating 7.54% gross of fees and 7.20% net of fees. Over the same period, the Bloomberg U.S. Aggregate Bond Index (the "Benchmark") returned 7.30%. Performance benefited from declining interest rates and tightening asset spreads, which supported positive total returns across investment-grade fixed income markets. As of December 31, 2025, the HIT maintained an attractive income profile, with a yield-to-worst of 4.81%-approximately 46 basis points above the Bloomberg Aggregate-while continuing to emphasize high-quality credit.

CONTRIBUTORS DETRACTORS
HIT's overweight to agency-insured multifamily mortgage-backed securities (MBS), as spreads tightened to Treasuries HIT's underweight to agency-insured, fixed-rate single family MBS, the best performing asset class in the Benchmark on an excess return basis
HIT's coupon advantage relative to the Benchmark

HIT's structural underweight to corporate bonds, the second-best performing asset class in the Benchmark on an excess return basis

HIT's underweight to Treasuries, the worst performing asset class in the Benchmark on an excess return basis

FUND PERFORMANCE

The following graph compares the initial and subsequent account values at the end of each of the most recently completed 10 fiscal years of the HIT. It assumes a $50,000 initial investment at the beginning of the first fiscal year in the Benchmark.

continued

aflcio-hit.com
ANNUAL REPORT continued DECEMBER 31, 2025

AVERAGE ANNUAL TOTAL RETURNS

1 YEAR 5 YEAR 10 YEAR
HIT Net 7.20% -0.26% 1.76%
Bloomberg Aggregate* 7.30% -0.36% 2.01%

Past performance is not a good predictor of future performance. The graph and table do not reflect the deductions of taxes that a Participant would pay on fund distributions or redemption of fund shares. Visit aflcio-hit.com/investors/ for the most recent performance information.

KEY FUND STATISTICS

HIT's Net Assets $7,319,572,612
Total Number of Portfolio Holdings 874
Portfolio Turnover Rate 23.9%
Ratio of Net Investment Income to Average Net Assets 3.7%
Effective Duration 5.89%
Current Yield 4.17%
Yield-to-Worst1 4.81%
Advisory Fee Paid N/A
1 Yield-to-Worst is a measure of the lowest possible yield that can be received on a bond that fully operates within the terms of its contract without defaulting. It does not represent the performance yield. It is calculated by using the lower of either the yield to maturity or the yield to call on every possible call date.

FUND HOLDINGS

The graphs below show the investment makeup of HIT on 12/31/25. Portfolio holdings are subject to change.2

2 Based on value of total investment and includes unfunded commitments but does not include U.S. Treasury futures contracts.
3 U.S. Government or Agency includes holdings of government securities issued by the U.S. Department of Treasury and mortgage securities issued by a U.S. government-backed agency (e.g., Ginnie Mae) or U.S. government-sponsored enterprise (e.g., Freddie Mac or Fannie Mae). Holdings designated at "AAA" or "AA" have been rated by Moody's Investors Service, Inc. ("Moody's"), S&P Global Ratings ("S&P") or Fitch Ratings ("Fitch"). If securities are rated differently by these ratings agencies, the highest rating is applied. Moody's ratings are converted to the S&P and Fitch scale with ratings ranging from AAA, being the highest, to D, being the lowest. Holdings designated as "Not Rated" have not been rated by S&P, Moody's or Fitch.

AVAILABILITY OF ADDITIONAL INFORMATION

Additional information about the HIT, including the HIT's Prospectus, Financial Information, Portfolio Holdings and Proxy Voting Information, is available on our website (aflcio-hit.com/shareholder-reports/), through the HIT's Investor Relations Team (1-202-331-8055 or [email protected]) or by scanning this QR code.
* Bloomberg Index Services Limited. BLOOMBERG® is a trademark and service mark of Bloomberg Finance L.P. and its affiliates (collectively "Bloomberg"). Bloomberg or Bloomberg's licensors own all proprietary rights in the Bloomberg Indices. Bloomberg does not approve or endorse this material or guarantee the accuracy or completeness of any information herein, nor does Bloomberg make any warranty, express or implied, as to the results to be obtained therefrom, and, to the maximum extent allowed by law, Bloomberg shall not have any liability or responsibility for injury or damages arising in connection therewith.
1227 25th Street, NW | Suite 500 | Washington, DC 20037 | 202.331.8055 | aflcio-hit.com
(b) Not applicable.

Item 2. Code of Ethics.

(a) The Trust has adopted a Code of Ethics to comply with Section 406 of the Sarbanes-Oxley Act of 2002, as of December 31, 2025. This Code of Ethics applies to the Trust's principal executive officer, principal financial officer, and principal accounting officer or controller or persons performing similar functions.
(b) For purposes of this Item, the term "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) The Trust's Code of Ethics was not amended during the period covered by the Report.
(d) There have been no waivers granted from any provision of the Trust's Code of Ethics during the period covered by the Report.
(e) Not applicable.
(f) (1) A copy of the Trust's Code of Ethics is filed herewith as an Exhibit pursuant to Item 19.

Item 3. Audit Committee Financial Expert.

(a) (1) The Trust's Board of Trustees has determined that Harry S. Thompson possesses the attributes to qualify as an Audit Committee financial expert and has designated Mr. Thompson the Audit Committee's financial expert.
(2) Mr. Thompson is independent for purposes of this Item 3.
(3) Not applicable.

Item 4. Principal Accountant Fees and Services.

(a) Audit Fees

Fees billed by Ernst & Young LLP ("EY") to the Registrant:

Fiscal Year Ended 2024: $393,800

Fiscal Year Ended 2025: $405,600

The amounts above reflect the aggregate fees billed by EY, the Registrant's independent auditor, for professional services provided to the Registrant for the audit of the Registrant's annual financial statements and for services normally provided by the independent auditors in connection with statutory and regulatory filings or engagements.

(b) Audit-Related Fees

Fees billed by EY to the Registrant:

Fiscal Year Ended 2024: $0

Fiscal Year Ended 2025: $0

The amounts above reflect the aggregate fees billed by the Registrant's independent auditors for assurance and related services relating to the performance of the audit of the Registrant's financial statements that are not reported under paragraph (a) of this Item.

Fees billed by EY to the Registrant's investment adviser ("Adviser") and any entity controlling, controlled by or under common control with the registrant's adviser that provides ongoing services to the registrant (hereinafter referred to as "service affiliates") that were pre-approved:

Fiscal Year Ended 2024: $0

Fiscal Year Ended 2025: $0

The amounts above reflect the aggregate fees billed by EY for services relating to the performance of the audit of the financial statements of the Adviser and service affiliates and that relate directly to the operations or financial reporting of the Registrant.

(c) Tax Fees

Fees billed by EY to the Registrant:

Fiscal Year Ended 2024: $39,150

Fiscal Year Ended 2025: $41,075

The amounts above reflect the aggregate fees billed by EY for professional services provided to the Registrant for tax compliance, including preparation of tax returns and distribution assistance.

Fees billed by EY to the Adviser and any service affiliates:

Fiscal Year Ended 2024: $0

Fiscal Year Ended 2025: $0

The amounts above reflect the aggregate fees billed by EY for tax-related services provided to the Adviser and service affiliates and that relate directly to the operations or financial reporting of the Registrant.

(d) All Other Fees

Fees billed by EY to the Registrant:

Fiscal Year Ended 2024: $18,540

Fiscal Year Ended 2025: $19,096

The amounts above reflect the aggregate fees billed for all services provided by EY to the Registrant in connection with the preparation of a report on the Schedule of Rates of Return including an opinion on the Global Investment Performance Standards.

Fees billed by EY to the Adviser and any service affiliates:

Fiscal Year Ended 2024: $0

Fiscal Year Ended 2025: $0

The amounts above reflect the aggregate fees billed for all services other than those set forth in paragraphs (a), (b) and (c) of this Item provided by the EY to the Adviser and service affiliates and that relate directly to the operations or financial reporting of the Registrant.

(e) (1) Audit Committee's Pre-Approval Policies

The Charter of the Trust's Audit Committee provides that the Audit Committee shall review and, if appropriate, approve in advance all audit and non-audit services (as such term may be from time to time defined in the Securities Exchange Act of 1934, as amended) to be provided to the Trust by the Trust's independent auditor. In making a determination, the Audit Committee considers whether the services are consistent with maintaining the principal accountant's independence. If such a service is required between regularly scheduled audit committee meetings, pre-approval may be authorized by a majority of the audit committee members at a special meeting called for such purposes or by unanimous written consent. The Audit Committee's Charter does not permit waiver of pre-approval for audit or non-audit services requiring fees of a de minimis amount.

(2) Percentages of Services Approved by the Audit Committee

No percentage of the services included in (b)-(d) above were approved by the audit committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.

(f) For the most recent fiscal year, less than 50% of the hours expended by the Trust's principal accountant on the principal accountant's engagement to audit the Trust's financial statements 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 Trust's accountant for services rendered to the Registrant for fiscal years ending December 31, 2025 and December 31, 2024 were $60,171 and $57,690 respectively. The Trust does not have an investment adviser.
(h) Not applicable.
(i) Not applicable.
(j) Not applicable.

Item 5. Audit Committee of Listed Registrants.

Not applicable to open-end investment companies.

Item 6. Schedule of Investments.

(a) The complete schedule of investments is included in Item 7 of this Form N-CSR.
(b) Not applicable.

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

(a) Report pursuant to Regulation S-X.

Report of Independent Registered Public Accounting Firm

To the Board of Trustees and Participants of American Federation of Labor and Congress of Industrial Organizations Housing Investment Trust

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of American Federation of Labor and Congress of Industrial Organizations Housing Investment Trust (the "Trust"), including the schedule of portfolio investments, as of December 31, 2025, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the 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 Trust at December 31, 2025, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended, and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Trust's management. Our responsibility is to express an opinion on the Trust'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 Trust 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. The Trust is not required to have, nor were we engaged to perform, an audit of the Trust's internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Trust's internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of December 31, 2025, by correspondence with the custodian and counterparties; when replies were not received from counterparties we performed other auditing procedures. 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 Trust's auditor since 2002.
Tysons, Virginia
February 27, 2026

A member firm of Ernst & Young Global Limited

STATEMENT OF ASSETS AND LIABILITIES
December 31, 2025 (dollars in thousands, except per share data)
Assets
Investments, at value (cost $7,771,547) $ 7,388,201
Cash 799
Accrued interest receivable 30,128
Receivables for investments sold 6,076
Cash collateral held with broker 2,065
Variation margin due from broker 2,610
Right of use asset 2,838
Other assets 2,787
Total assets 7,435,504
Liabilities
Payables for investments purchased 95,630
Redemptions payable 7,435
Income distribution and capital gains payable, net of dividends reinvested of $20,543 1,906
Accrued salaries and fringe benefits 6,245
Lease Liability 3,309
Other liabilities and accrued expenses 1,406
Total liabilities 115,931
Other commitments and contingencies (Note 5 of financial statements) -
Net assets applicable to participants' equity -
Certificates of participation-authorized unlimited;
Outstanding 7,375,817 units $ 7,319,573
Net asset value per unit of participation (in dollars) $ 992.37
Participants' equity
Participants' equity consisted of the following:
Amount invested and reinvested by current participants $ 8,074,242
Distributable earnings (accumulated losses) (754,669 )
Total participants' equity $ 7,319,573

See accompanying Notes to Financial Statements.

Schedule of Portfolio Investments

December 31, 2025 (dollars in thousands)

FHA Permanent Securities (1.5% of net assets)1

Interest Rate Maturity Date Face Amount Amortized Cost Value
Multifamily 2.50 % Apr-2063 $ 5,488 $ 5,495 $ 4,685
3.40 % Jun-2038 1,733 1,735 1,649
3.65 % Dec-2037 6,312 6,370 6,300
3.72 % Feb-2062 4,284 4,292 4,000
3.90 % Sep-2062 2,996 3,000 2,822
4.00 % Jun-2053 57,104 57,082 56,566
4.10 % Dec-2060 20,771 20,789 19,812
4.70 % May-2053 4,313 4,461 3,920
5.17 % Feb-2050 6,986 7,363 6,971
5.80 % Jan-2053 1,844 1,851 1,883
5.87 % Jun-2044 1,465 1,464 1,467
6.60 % Jan-2050 3,010 3,024 3,015
Total FHA Permanent Securities $ 116,306 $ 116,926 $ 113,090

Schedule of Portfolio Investments

December 31, 2025 (dollars in thousands)

FHA Construction Securities (0.01% of net assets)1

Interest Rates2 Unfunded
Permanent Construction Commitments3 Face Amount Amortized Cost Value
Forward Commitments 6.02 % 6.02 % $ 31,000 $ - $ 36 $ 697
Total FHA Construction Securities $ 31,000 $ - $ 36 $ 697

Schedule of Portfolio Investments

December 31, 2025 (dollars in thousands)

Ginnie Mae Securities (25.9% of net assets)

Interest Rate Maturity Date Face Amount Amortized Cost Value
Single Family 4.00 % Feb-2040 - Jun-2040 $ 709 $ 712 $ 690
4.50 % Aug-2040 407 411 407
5.50 % Jan-2033 - Jun-2037 540 539 553
6.00 % Jan-2032 - Aug-2037 341 341 356
6.50 % Jul-2028 17 17 18
7.00 % Apr-2026 - Jan-2030 119 119 121
7.50 % Oct-2026 - Aug-2030 28 28 30
8.00 % Sep-2026 - Nov-2030 52 52 52
8.50 % Aug-2027 6 6 6
2,219 2,225 2,233
Multifamily 1.95 % Mar-2064 68,146 68,121 53,803
2.00 % Jul-2062 - Mar-2064 267,745 272,388 213,663
2.00 % Oct-2062 50,602 52,120 39,813
2.00 % Apr-2063 49,061 49,799 38,721
2.00 % Apr-2063 46,436 47,303 36,855
2.00 % Oct-2063 40,458 40,104 32,185
2.00 % Jul-2063 39,747 40,065 31,738
2.08 % Nov-2056 48,771 50,374 43,431
2.15 % May-2056 105 105 105
2.20 % Jun-2056 506 505 496
2.25 % May-2065 49,005 50,438 40,871
2.25 % Dec-2048 2,280 2,267 2,190
2.30 % Oct-2056 832 825 817
2.31 % Nov-2051 2,946 2,946 2,816
2.32 % Sep-2060 25,521 26,707 23,346
2.35 % Nov-2056 - Feb-2061 26,203 26,910 22,330
2.37 % Jan-2053 18,516 18,617 17,251
2.40 % Aug-2047 - Dec-2057 17,214 17,560 14,648
2.45 % Apr-2062 13,958 14,158 12,411
2.50 % Dec-2052 - Jan-2061 47,922 48,586 41,569
2.58 % May-2063 27,471 28,258 23,958
2.60 % Apr-2056 - Jun-2059 7,065 7,081 6,700
2.65 % Oct-2062 6,067 6,199 5,459
2.67 % Mar-2062 33,584 34,279 30,529
2.70 % May-2048 - Jul-2058 4,072 4,067 3,962
2.74 % Apr-2057 22,448 24,100 20,979
2.75 % Apr-2063 4,891 5,071 4,322
2.78 % Aug-2058 9,966 10,714 9,330
2.79 % Apr-2049 1,828 1,840 1,771
2.80 % Feb-2053 60,000 57,386 46,801
2.80 % Dec-2059 2,541 2,511 2,498
2.82 % Apr-2050 144 146 143
2.94 % Nov-2059 44,581 48,935 41,076
2.98 % Jun-2063 14,249 14,707 12,764
3.00 % May-2062 55,788 59,768 49,519
3.03 % Jan-2056 28,157 29,699 26,870
3.05 % Dec-2063 (Level 3) 102,137 103,110 100,471
3.05 % May-2054 11,545 11,584 10,814
3.17 % Aug-2059 32,627 35,639 30,729
3.25 % Sep-2054 - Apr-2059 43,029 41,980 41,844
3.27 % Apr-2046 22,058 22,977 20,506
3.30 % Sep-2060 6,375 6,512 6,143
3.33 % May-2055 6,417 6,142 5,958
3.34 % Sep-2059 15,934 16,194 15,440
3.35 % Mar-2044 5,963 5,794 5,897
3.36 % May-2061 49,175 53,977 46,454
3.38 % Jan-2060 56,089 56,094 54,691
3.39 % Feb-2059 13,413 13,636 13,114
3.41 % Sep-2061 39,731 41,089 37,575
3.43 % Nov-2061 50,428 51,821 47,674
3.47 % Sep-2052 1,878 1,929 1,830
3.50 % Jan-2054 769 766 766
3.53 % Apr-2042 13,843 14,130 13,752
3.60 % Apr-2061 32,347 33,267 31,147
3.60 % Jun-2057 12,801 13,179 12,747
3.61 % Dec-2045 4,734 4,603 4,692
3.62 % Dec-2057 26,830 27,227 26,616
3.65 % Oct-2058 9,686 9,810 9,569
3.67 % Nov-2035 10,554 10,718 10,539
3.74 % Aug-2059 14,769 15,013 14,634
3.75 % Nov-2060 10,729 11,023 10,452
3.78 % Aug-2060 37,549 37,789 36,503
3.92 % Aug-2039 34,403 35,560 34,367

Schedule of Portfolio Investments

December 31, 2025 (dollars in thousands)

Ginnie Mae Securities (25.9% of net assets)

Interest Rate Maturity Date Face Amount Amortized Cost Value
Multifamily continued 4.00 % Nov-2057 23,497 24,346 22,896
4.08 % Feb-2064 15,066 15,382 14,460
4.10 % May-2051 3,538 3,769 3,537
4.14 % Sep-2063 10,903 11,090 10,524
4.35 % Dec-2060 2,187 2,223 2,195
4.37 % Feb-2034 18,926 19,879 18,898
4.45 % Jun-2055 2,351 2,277 2,352
4.53 % Jan-2061 14,240 14,626 14,326
5.17 % Jul-2064 10,639 10,777 10,946
5.25 % Apr-2037 13,670 13,667 13,686
5.45 % Jun-2059 39,396 41,159 41,131
5.55 % Oct-2060 31,988 33,119 33,873
5.62 % Oct-2058 12,685 13,140 13,405
5.64 % Nov-2058 2,225 2,305 2,355
5.66 % Oct-2058 - Dec-2058 21,982 22,786 23,309
5.69 % Aug-2059 10,893 11,314 11,553
5.71 % Oct-2058 6,410 6,631 6,814
5.78 % Dec-2058 20,105 20,800 21,477
5.82 % Nov-2058 5,458 5,647 5,845
6.15 % Apr-2064 17,472 17,853 19,100
2,088,270 2,139,012 1,893,346
Total Ginnie Mae Securities $ 2,090,489 $ 2,141,237 $ 1,895,579

Schedule of Portfolio Investments

December 31, 2025 (dollars in thousands)

Ginnie Mae Construction Securities (2.7% of net assets)

Interest Rates2 Unfunded
Permanent Construction Maturity Date Commitments3 Face Amount Amortized Cost Value
Multifamily 2.59 % 3.59 % Aug-2064 $ 5,844 $ 36,468 $ 37,225 $ 30,434
4.50 % 4.50 % Mar-2068 96,202 28,798 21,256 22,846
5.05 % 5.05 % Dec-2066 - Apr-2067 47,090 34,766 36,744 35,117
5.34 % 9.75 % Aug-2065 - 20,898 21,657 21,671
5.45 % 5.45 % Mar-2068 15,393 1,607 1,457 1,613
5.88 % 10.75 % Feb-2066 3,128 16,025 16,847 17,420
5.90 % 5.90 % Aug-2065 564 3,545 3,665 3,860
5.92 % 5.92 % Mar-2066 2,285 20,194 19,434 21,890
5.99 % 5.99 % Dec-2057 118,935 13,301 16,092 20,448
6.10 % 6.10 % Apr-2067 20,524 940 1,825 2,378
6.10 % 7.65 % Jul-2065 630 1,541 1,635 1,744
6.15 % 6.15 % Aug-2065 - 16,836 17,202 18,475
310,595 194,919 195,039 197,896
Forward Commitments 5.33 % 5.33 % Sep-2067 5,110 - 107 138
5,110 - 107 138
Total Ginnie Mae Construction Securities $ 315,705 $ 194,919 $ 195,146 $ 198,034

Schedule of Portfolio Investments

December 31, 2025 (dollars in thousands)

Fannie Mae Securities (44.0% of net assets)

Unfunded
Interest Rate4 Maturity Date Commitments3 Face Amount Amortized Cost Value
Single Family 2.50 % May-2050- Jan-2052 $ - $ 92,245 $ 95,240 $ 78,787
2.50 % Jan-2052 - 38,666 38,789 33,222
3.00 % Apr-2031- Mar-2052 - 97,289 100,238 87,407
3.50 % Oct-2026- Sep-2051 - 55,638 57,148 52,340
4.00 % Apr-2026 - Jul-2052 - 63,993 64,124 61,467
4.24 % 1M SOFR+36 Mar-2037 - 75 75 74
4.31 % 1M SOFR+43 Jun-2037 - 327 327 324
4.39 % 1M SOFR+51 Apr-2037 - 159 159 158
4.45 % 1M SOFR+57 Oct-2042 - 1,010 1,012 998
4.49 % 1M SOFR+61 Jun-2042 - 2,292 2,293 2,269
4.50 % Mar-2038- Oct-2052 - 102,381 101,861 101,120
4.54 % 1M SOFR+66 Mar-2042 - 1,118 1,119 1,110
4.59 % 1M SOFR+71 Oct-2043 - 2,447 2,454 2,429
5.00 % May-2034- Feb-2055 - 121,349 121,742 122,189
5.50 % Sep-2032- Jan-2055 - 215,927 215,762 221,595
6.00 % Nov-2028- Nov-2054 - 120,542 121,153 124,722
6.50 % Sep-2028- Dec-2054 - 28,559 28,918 29,862
7.00 % Sep-2027- May-2032 - 255 255 267
7.50 % Mar-2030- Jun-2030 - 2 2 2
8.00 % Aug-2030- May-2031 - 22 22 23
- 944,296 952,693 920,365
Multifamily 1.22 % Aug-2028- Jul-2030 - 35,085 35,116 31,573
1.26 % Jan-2031 - 23,927 23,924 21,017
1.31 % Aug-2030 - 4,200 4,220 3,725
1.32 % Aug-2030 - 20,852 20,943 18,547
1.38 % Jul-2030 - 10,500 10,546 9,344
1.41 % Jul-2030 - 3,019 3,029 2,705
1.46 % Jul-2030 - 6,876 6,907 6,179
1.47 % Jul-2030- Dec-2030 - 15,425 15,471 13,524
1.50 % Aug-2030 - 1,070 1,079 961
1.57 % Jan-2031 - 21,052 21,078 18,586
1.58 % Oct-2031 - 57,950 58,059 49,856
1.65 % Jul-2030 - 1,159 1,169 1,050
1.76 % Aug-2031- Dec-2036 - 41,092 41,155 35,978
1.88 % Nov-2031 - 25,400 25,415 22,235
2.00 % Apr-2031 - 18,000 18,237 16,171
2.09 % Jul-2050 - 8,392 8,517 5,242
2.16 % Sep-2050 - 14,200 14,329 8,496
2.41 % Apr-2051 - 3,505 3,534 2,610
2.47 % Dec-2051 - 12,601 12,749 9,460
2.49 % Dec-2026- Nov-2031 - 25,900 25,918 24,582
2.53 % Jan-2030 - 20,550 20,589 19,239
2.55 % Sep-2026- Mar-2030 - 24,465 24,484 23,619
2.56 % Dec-2051 - 11,827 11,851 8,973
2.57 % Mar-2042 - 25,155 25,163 18,879
2.61 % Nov-2026 - 9,429 9,431 9,323
2.67 % Aug-2029 - 36,735 36,807 35,135
2.85 % Aug-2031 - 8,550 8,567 7,974
2.91 % Jun-2031 - 25,000 25,042 23,485
2.94 % Sep-2027- Jul-2039 - 47,252 47,269 46,622
2.96 % Sep-2034 - 20,000 20,372 17,640
3.00 % May-2027 - 5,948 5,949 5,872
3.01 % Apr-2052 - 7,025 7,029 5,569
3.02 % Jun-2027 - 3,310 3,310 3,273
3.04 % Apr-2030 - 23,445 23,459 22,549
3.05 % Apr-2030 - 23,686 23,691 22,777
3.12 % Apr-2030 - 11,703 11,704 11,208
3.18 % May-2035 - 7,376 7,420 6,984
3.21 % May-2030 - 5,885 5,901 5,654
3.24 % May-2052 - 6,105 6,210 4,861
3.30 % May-2029 - 3,405 3,435 3,333
3.31 % Oct-2027 - 14,018 14,024 13,898
3.36 % Oct-2029 - 9,588 9,589 9,382
3.42 % Apr-2035 - 4,660 4,690 4,287
3.63 % Jul-2035 - 20,087 20,100 18,629
3.68 % Jul-2028 - 11,395 11,468 11,284
4.05 % Jun-2030 - 10,632 10,576 10,621
4.07 % Oct-2034 - 12,936 12,402 12,618
4.21 % 1M SOFR+20 Nov-2031 - 40,943 40,946 40,622
4.30 % 1M SOFR+29 Feb-2029 - 20,000 20,001 19,737
4.32 % Mar-2028 - 41,708 41,739 41,629
4.35 % Sep-2030 - 21,800 21,865 22,044
4.37 % Jun-2033 - 21,805 21,822 21,841
4.40 % Jan-2034 - 3,815 3,731 3,813

Schedule of Portfolio Investments

December 31, 2025 (dollars in thousands)

Fannie Mae Securities (44.0% of net assets)

Unfunded
Interest Rate4 Maturity Date Commitments3 Face Amount Amortized Cost Value
Multifamily continued 4.43 % Jul-2030 - 11,760 11,827 11,926
4.47 % Nov-2041 - 9,348 9,348 8,941
4.48 % 1M SOFR+47 Jun-2029 - 63,761 63,767 63,486
4.48 % Aug-2030 - 20,915 20,915 21,255
4.49 % Jul-2030 - 35,232 35,245 35,818
4.50 % 1M SOFR+49 May-2032 - 28,526 28,528 28,207
4.52 % Sep-2033 - 11,361 11,291 11,468
4.53 % 1M SOFR+52 Jun-2032 - 30,975 30,975 31,096
4.55 % Jul-2030 - 10,699 10,710 10,904
4.56 % Feb-2028 - 29,835 29,850 29,780
4.61 % Jul-2029 - 16,100 16,382 16,412
4.62 % Feb-2034 - 7,430 7,381 7,530
4.64 % Jul-2032 - 11,272 11,272 11,519
4.66 % Apr-2035 - 10,493 10,498 10,611
4.69 % Jun-2035 - 428 432 430
4.70 % 1M SOFR+69 Jun-2029 - 40,149 40,149 40,176
4.70 % 1M SOFR+69 May-2029 - 16,911 16,912 16,921
4.70 % Feb-2032 - 7,700 7,809 7,898
4.72 % Jul-2032 - 18,427 18,840 18,913
4.73 % Jun-2030 - 19,397 19,575 19,905
4.74 % Sep-2033 - 13,405 13,428 13,725
4.76 % Jun-2029 - 55,600 56,699 56,960
4.76 % Sep-2030 - Jan-2040 - 13,098 13,025 13,304
4.79 % Mar-2032 - 7,613 7,690 7,844
4.80 % Jun-2035- Oct-2052 - 22,952 22,913 22,621
4.81 % Aug-2029 - 12,750 12,806 13,094
4.82 % Jul-2030- Feb-2034 - 31,012 31,481 31,866
4.83 % Sep-2028- Jul-2032 - 28,556 28,712 29,358
4.83 % 1M SOFR+82 Jan-2028 - 3,532 3,532 3,528
4.85 % Jan-2034 - 2,801 2,808 2,884
4.86 % Jul-2029- Jun-2032 - 30,034 30,535 31,008
4.86 % 1M SOFR+85 Nov-2032 - 15,800 15,803 15,817
4.87 % Sep-2032 - 6,124 6,299 6,335
4.88 % May-2029- Aug-2035 - 38,461 38,851 39,578
4.90 % Feb-2032 - 4,560 4,669 4,725
4.91 % Feb-2034 - 4,250 4,335 4,390
4.92 % Aug-2032 - 22,694 23,236 23,540
4.96 % Aug-2033- Dec-2034 - 13,880 14,133 14,378
4.97 % Feb-2030- Feb-2035 - 15,943 16,235 16,500
4.98 % Jun-2035 - 11,800 12,060 12,225
4.99 % Mar-2030- Jul-2035 - 21,472 21,980 22,247
5.00 % Jun-2029 - 68,500 68,853 70,701
5.00 % Sep-2033- Apr-2035 - 22,021 22,210 22,889
5.02 % Feb-2035 - 47,214 47,488 49,097
5.02 % Dec-2033 - 5,222 5,199 5,436
5.03 % Jun-2029 - 9,129 9,213 9,429
5.04 % Apr-2029 - 22,230 22,422 22,946
5.05 % Oct-2030- Feb-2035 - 32,052 32,542 33,361
5.06 % Dec-2032 - 46,805 47,743 48,788
5.08 % Jul-2034 - 8,324 8,498 8,690
5.09 % Apr-2040 - 7,283 7,216 7,411
5.10 % Feb-2030- Mar-2040 - 17,154 17,502 17,706
5.13 % Jan-2029 - 36,000 36,115 37,123
5.13 % Sep-2028 - 14,584 14,644 15,041
5.16 % Oct-2030 - 8,020 8,061 8,372
5.18 % Jun-2034 - 7,869 8,002 8,243
5.20 % Dec-2029- Feb-2035 - 13,446 13,762 14,074
5.22 % Feb-2035 - 27,957 28,832 29,354
5.24 % Nov-2028 - 9,807 9,892 10,148
5.28 % Dec-2028 - 16,998 17,195 17,621
5.30 % Aug-2029- Sep-2033 - 5,948 5,994 6,209
5.31 % Nov-2028 - 34,346 34,639 35,610
5.32 % Jun-2034 - 3,634 3,695 3,833
5.35 % Dec-2032 - 11,692 12,092 12,402
5.36 % Nov-2028- Nov-2030 - 23,977 24,358 25,130
5.39 % May-2034 - 7,910 8,083 8,415
5.46 % May-2029 - 4,652 4,685 4,852
5.47 % Nov-2033 - 6,140 6,205 6,576

Schedule of Portfolio Investments

December 31, 2025 (dollars in thousands)

Fannie Mae Securities (44.0% of net assets)

Unfunded
Interest Rate4 Maturity Date Commitments3 Face Amount Amortized Cost Value
Multifamily continued 5.50 % Jan-2029 - 10,500 10,649 10,948
5.52 % Oct-2033 - 3,860 3,926 4,123
5.55 % Dec-2028 - 20,041 20,259 20,868
5.69 % Jun-2041 - 3,831 3,890 3,842
5.75 % Jun-2041 - 1,862 1,895 1,871
5.87 % Dec-2035 - 6,609 7,044 7,262
5.96 % Jan-2029 - 120 120 120
- 2,253,236 2,267,890 2,212,829
When Issued5 4.65 % Jan-2036 - 75,000 75,946 75,715
5.18 % Jan-2044 - 13,690 13,912 13,975
- 88,690 89,858 89,690
Forward Commitments 5.21 % Jul-2044 12,174 - - 76
5.40 % Jun-2043 23,950 - - 1,097
36,124 - - 1,173
Total Fannie Mae Securities $ 36,124 $ 3,286,222 $ 3,310,441 $ 3,224,057

Schedule of Portfolio Investments

December 31, 2025 (dollars in thousands)

Freddie Mac Securities (11.2% of net assets)

Interest Rate4 Maturity Date Face Amount Amortized Cost Value
Single Family 2.50 % Jan-2043- Aug-2046 $ 4,368 $ 4,406 $ 3,824
3.00 % Aug-2042- Sep-2046 18,098 18,338 16,668
3.50 % Feb-2026- Oct-2046 32,247 32,780 30,593
4.00 % Apr-2026- Aug-2047 30,137 31,017 29,259
4.40 % 1M SOFR+41 Feb-2036 103 103 102
4.43 % 1M SOFR+44 May-2037 59 59 58
4.45 % 1M SOFR+46 Apr-2036- Jan-2043 1,456 1,457 1,433
4.50 % 1M SOFR+51 Aug-2043 1,435 1,434 1,414
4.50 % Jan-2038- Dec-2044 8,273 8,508 8,287
4.58 % 1M SOFR+59 Oct-2040 1,041 1,040 1,032
4.60 % 1M SOFR+61 Oct-2040- Jun-2044 3,837 3,839 3,803
4.65 % 1M SOFR+66 Nov-2040 945 950 936
4.77 % 1M SOFR+78 Aug-2037 1,066 1,072 1,065
5.00 %

Jul-2035-Aug-2040

968 967 991
5.50 %

Apr-2033-

Jul-2038

1,023 1,021 1,062
6.00 % Dec-2033- Oct-2037 1,465 1,469 1,536
6.50 % Apr-2028- Nov-2037 199 200 212
7.00 % Apr-2028- Mar-2030 6 5 6
7.50 % Dec-2029- Apr-2031 6 6 6
106,732 108,671 102,287
Multifamily 2.04 % May-2050 18,886 19,256 13,539
2.40 % Jun-2031 7,256 7,289 6,660
2.42 % Jun-2031 11,471 11,529 10,540
3.34 % Dec-2029 8,931 8,964 8,677
3.35 % Oct-2033 28,638 28,580 27,162
3.60 % Apr-2030 23,213 23,385 22,681
3.86 % May-2040 17,376 17,376 16,664
4.17 % Oct-2032 25,000 24,791 24,883
4.21 % 1M SOFR+20 Aug-2031 11,633 11,633 11,539
4.23 % 1M SOFR+23 Jul-2027 3,804 3,805 3,795
4.25 % Jan-2028 93,652 93,426 94,157
4.25 % 1M SOFR+24 Nov-2027- Jun-2031 41,699 41,699 41,376
4.26 % 1M SOFR+25 Dec-2030 4,943 4,943 4,869
4.29 % Jul-2030 32,500 32,460 32,784
4.31 % 1M SOFR+30 Dec-2030 8,017 8,017 7,979
4.32 % Dec-2030 25,000 25,208 24,827
4.36 % Dec-2029 9,198 9,174 9,289
4.37 % 1M SOFR+36 Oct-2030 1,012 1,012 1,007
4.38 % 1M SOFR+37 Nov-2030 4,029 4,029 4,010
4.42 % Oct-2035 25,000 24,740 24,757
4.45 % 1M SOFR+44 Oct-2030 574 574 572
4.57 % 1M SOFR+56 Jan-2035 20,000 20,000 19,982
4.67 % 1M SOFR+66 Apr-2033 35,155 35,215 35,397
4.73 % 1M SOFR+72 Jul-2033 20,668 20,728 20,703
4.83 % Jan-2039 9,745 9,816 9,798
4.85 % Jun-2040 40,000 39,956 40,003
4.85 % Jan-2030 13,144 13,553 13,527
4.90 % Feb-2029- Dec-2032 15,252 15,245 15,502
5.15 % Apr-2055 60,000 56,457 57,907
5.15 % Aug-2055 18,583 18,340 17,819
5.36 % Jan-2029 47,428 49,258 49,234
5.40 % Jan-2029 31,632 32,893 32,839
5.48 % Jan-2029 9,971 10,385 10,375
723,410 723,736 714,853
Total Freddie Mac Securities $ 830,142 $ 832,407 $ 817,140

Schedule of Portfolio Investments

December 31, 2025 (dollars in thousands)

State Housing Finance Agency Securities (4.5% of net assets)

Interest Rates2
Issuer Permanent Construction Maturity Date Face Amount Amortized Cost Value
Multifamily Illinois Housing Development Auth6 2.70 % - Jun-2027 $ 1,140 $ 1,140 $ 1,141
NYC Housing Development Corp 2.95 % - Nov-2041 6,275 6,275 4,777
NYC Housing Development Corp 3.05 % - Nov-2046 13,000 13,000 9,169
NYC Housing Development Corp 3.10 % - Oct-2046 19,231 19,231 15,737
Illinois Housing Development Auth6 3.30 % - Sep-2026 2,370 2,372 2,370
Illinois Housing Development Auth6 - 3.54 % Nov-2026 5,615 5,626 5,651
Mass Housing6 3.85 % - Dec-2058 9,135 9,133 7,021
Illinois Housing Development Auth6 4.22 % - Jul-2042 16,390 16,431 16,613
Chicago Housing Authority 4.36 % - Jan-2038 25,000 25,000 23,047
MassHousing6 4.50 % - Dec-2065 30,060 30,102 28,940
MassHousing 4.62 % - Jun-2067 24,600 24,662 24,124
City of Chicago7 4.63 % - Sep-2037 1,500 1,474 1,501
Illinois Housing Development Auth6 4.65 % - Jan-2067 21,400 21,439 21,293
Illinois Housing Development Auth6 4.69 % - Jan-2066 14,470 14,470 14,452
Mass Housing 4.84 % - Dec-2067 35,415 35,473 34,971
Mass Housing 4.85 % - Dec-2068 20,095 20,095 19,888
Mass Housing6 4.90 % - Jun-2066 26,645 26,681 26,976
City of Chicago7 4.90 % - Mar-2044 1,000 993 1,000
Illinois Housing Development Auth6 5.05 % - Jul-2066 13,320 13,385 13,474
Mass Housing6 5.11 % - Jun-2066 53,425 53,465 53,955
Total State Housing Finance Agency Securities $ 340,086 $ 340,447 $ 326,100

Schedule of Portfolio Investments

December 31, 2025 (dollars in thousands)

Other Mutifamily Investments (1.9% of net assets)

Interest Rates2,4 Unfunded
Issuer Permanent Construction Maturity Date Commitments3 Face Amount Amortized Cost Value
Direct Loans Olson Court - Minneapolis, MN (Level 3) - 5.82 % May-2027 $ 1 $ 16,992 $ 16,985 $ 17,353
400 Lake Shore Drive - Chicago, IL (Level 3) - 5.97 % 80% Daily SOFR+300 Dec-20538 1,828 13,886 13,756 13,934
400 Lake Shore Drive - Chicago, IL (Level 3) - 5.97 % 80% Daily SOFR+300 Dec-20588 39,276 10 (238 ) 128
Landmark Towers - St. Paul, MN (Level 3) - 6.05 % 1M TERM SOFR+235 Jun-2027 452 18,208 18,205 18,239
311 W 42nd Street - New York, NY (Level 3) - 6.17 % Nov-2027 1,225 48,775 48,775 48,756
Hudson Exchange - Jersey City, NJ (Level 3) - 6.50 % 1M SOFR+275 Jun-2027 12,396 37,603 37,561 37,603
Olson Court - Minneapolis, MN (Level 3) - 6.52 % May-2027 1,553 - (4 ) 29
Eleven Eleven Sutter - San Francisco, CA (Level 3) - 7.50 % Oct-2028 39,475 2,521 2,276 2,561
96,206 137,995 137,316 138,603
Forward Commitments Rochester Civic Center - Rochester, MN (Level 3) - 5.19 % Jan-2030 6,344 - (26 ) 131
Union Tower - San Diego, CA (Level 3) - 5.70 % 1M SOFR+200 Jun-2027 15,068 - 151 (33 )
Beltline Station Building 1 - St. Louis Park, MN (Level 3) - 6.30 % Jul-2030 16,207 - (33 ) 374
Beltline Station Building 3 - St. Louis Park, MN (Level 3) - 6.30 % Jul-2030 14,842 - (35 ) 369
Carville Park - Reno, NV (Level 3) - 6.30 % 1M SOFR+275 Jun-2027 7,010 - (103 ) (24 )
59,471 - (46 ) 817
Privately Insured Mortgages9 Illinois Housing Development Auth 6.40 % - Nov-2048 - 827 834 823
- 827 834 823
Total Other Multifamily Investments $ 155,677 $ 138,822 $ 138,104 $ 140,243

Schedule of Portfolio Investments

December 31, 2025 (dollars in thousands)

United States Treasury Securities (7.2% of net assets)

Interest Rate Maturity Date Face Amount Amortized Cost Value
3.88 % Feb-2043 $ 105,000 $ 105,179 $ 94,592
4.00 % Nov-2042 15,000 14,783 13,765
4.13 % Aug-2053 18,000 16,609 15,961
4.13 % Aug-2044 115,000 110,639 105,675
4.50 % Nov-2054 93,000 91,767 87,885
4.63 % Nov-2044 55,600 55,005 54,548
4.63 % May-2044 55,000 57,195 54,078
4.63 % Nov-2045 30,000 29,451 29,348
4.75 % Nov-2043 10,000 10,074 10,012
5.00 % May-2045 60,000 60,892 61,678
Total United States Treasury Securities $ 556,600 $ 551,594 $ 527,542
Total Fixed-Income Investments $ 7,553,586 $ 7,626,338 $ 7,242,482

Schedule of Portfolio Investments

December 31, 2025 (dollars in thousands)

Equity Investment in Wholly-Owned Subsidiary (0.01% of net assets)

Amount of
Face Dividends
Issuer Amount (Cost) or Interest Value
HIT Advisers10 (Level 3) $ 1 $ - $ 511
Total Equity Investment $ 1 $ - $ 511

Schedule of Portfolio Investments

December 31, 2025 (dollars in thousands)

Short-Term Investments (2.0% of net assets)

Issuer Interest Rate Maturity Date Face Amount Amortized Cost Value
BlackRock Liquidity Funds | FedFund | Institutional Shares 3.67 %11 Jan-2026 145,208 145,208 145,208
Total Short-Term Investments $ 145,208 $ 145,208 $ 145,208
Total Investments $ 7,698,795 $ 7,771,547 $ 7,388,201

Schedule of Portfolio Investments

December 31, 2025 (dollars in thousands)

Futures Contracts (Notional Amount Long 1.0% of net assets | Short 2.2% of net assets)

Unrealized
Number Appreciation
Description of Contracts Expiration Date Notional Amount Market Value (Depreciation)
Futures Long
CBOT U.S. Treasury Long Bond 610 Mar-2026 $ 71,275 $ 70,512 $ (763 )
Futures Short
CBOT Ultra 10-Year U.S. Treasury Note 1,385 Mar-2026 $ 160,393 $ 159,297 $ 1,096
Total Futures Contracts $ 333

Schedule of Portfolio Investments

December 31, 2025

Footnotes

1 Securities issued by state housing finance agencies but backed by mortgage loans insured as to principal and interest by the Federal Housing Administration ("FHA") under the Housing Finance Agency ("HFA") Risk-Sharing Program.
2 Construction interest rates are the rates charged to the borrower during the construction phase of the project. The permanent interest rates are charged to the borrower during the amortization period of the loan, unless the U.S. Department of Housing and Urban Development requires that such rates be charged earlier.
3 The HIT may make commitments, including forward commitments, in securities or loans that fund over time on a draw basis or fund at a single point in time. Generally, GNMA construction securities fund over a 12-to-24 month period. Funding periods for State Housing Agency construction securities and Direct Loans vary by project, but generally fund over a one-to-48 month period. Forward commitments generally settle within 12 months of the original commitment date. At period end, the principal amount of the unfunded commitments totaled $538.5 million, for which unrealized gains of $6.0 million are included in the related Value column of the Schedule of Portfolio Investments for such commitments.
4 For floating and variable rate securities the rate indicated is for the period end. With respect to these securities, the schedule also includes the reference rate and spread in basis points.
5 The HIT records when issued securities on the trade date and maintains security positions such that sufficient liquid assets will be available to make payment for the securities purchased. Securities purchased on a when issued basis are marked to market monthly and begin earning interest on the settlement date. Losses may occur on these transactions due to changes in market conditions or the failure of counterparties to perform under the contract.
6 Securities exempt from registration under the Securities Act of 1933 and were privately placed directly by a state housing agency (a not-for-profit public agency) with the HIT and are secured by the full faith and credit of said agency. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. These securities are considered liquid, under procedures established by and under the general supervision of the HIT's Board of Trustees.
7 Federally tax-exempt bonds collateralized by Ginnie Mae securities.
8 Date reflects the stated maturity date of the bond. However, the bond is subject to a mandatory tender for purchase in December 2027, which may be extended to December 2028 under certain conditions.
9 Loans insured by Ambac Assurance Corporation, are additionally backed by a repurchase option from the mortgagee for the benefit of the HIT. The repurchase price is defined as the unpaid principal balance of the loan plus all accrued unpaid interest due through the remittance date. The repurchase option can be exercised by the HIT in the event of a payment failure by Ambac Assurance Corporation.
10 The HIT has a participation interest in HIT Advisers, a Delaware limited liability company. HIT Advisers is a New York-based adviser currently exempt from investment adviser registration in New York. The investment in HIT Advisers is valued by the HIT's valuation committee in accordance with the fair value procedures adopted by the HIT's Board of Trustees, and approximates carrying value of HIT Advisors and its subsidiary on a consolidated basis. The participation interest is not registered under the federal securities laws.
11 Rate indicated is the 1-day yield as of 12/31/25.
Key to abbreviations
M Month
Y Year
UST U.S. Treasury
SOFR Secured Overnight Financing Rate
CBOT Chicago Board of Trade
STATEMENT OF OPERATIONS
For the Year Ended December 31, 2025 (dollars in thousands)
Investment income $ 286,595
Expenses
Non-officer salaries and fringe benefits 9,951
Officer salaries and fringe benefits 4,955
Investment management 1,589
Marketing and sales promotion (12b-1) 1,658
Auditing, tax and accounting fees 469
Legal fees 379
Consulting fees 329
Insurance 415
Trustee expenses 100
Rental expenses 572
General expenses 2,149
Total expenses 22,566
Net investment income 264,029
Net realized and unrealized gains (losses) on investments
Net realized gains (losses) on investments (110,881 )
Net realized gains (losses) on futures 825
Total net realized gains (losses) (110,056 )
Net change in unrealized appreciation (depreciation) on investments 342,816
Net change in unrealized appreciation (depreciation) on futures 1,785
Total net change in unrealized gains (losses) 344,601
Net realized and unrealized gains (losses) on investments 234,545
Net increase (decrease) in net assets resulting from operations $ 498,574

See accompanying Notes to Financial Statements.

STATEMENTS OF CHANGES IN NET ASSETS
For the Years Ended December 31, 2025 and 2024 (dollars in thousands)
Increase (decrease) in net assets from operations 2025 2024
Net investment income $ 264,029 $ 240,687
Net realized gains (losses) (110,056 ) (153,138 )
Net change in unrealized appreciation (depreciation) 344,601 65,203
Net increase (decrease) in net assets resulting from operations 498,574 152,752
Distributions to participants or reinvested (267,350 ) (244,471 )
Increase (decrease) in net assets from unit transactions
Proceeds from the sale of units of participation 252,307 395,840
Dividend reinvestment of units of participation 244,343 225,149
Payments for redemption of units of participation (298,515 ) (197,887 )
Net increase (decrease) from unit transactions 198,135 423,102
Total increase (decrease) in net assets 429,359 331,383
Net assets
Beginning of period $ 6,890,214 $ 6,558,831
End of period $ 7,319,573 $ 6,890,214
Unit information
Units sold 256,958 408,761
Distributions reinvested 249,295 232,784
Units redeemed (302,646 ) (205,395 )
Increase in units outstanding 203,607 436,150

See accompanying Notes to Financial Statements.

Notes to Financial Statements

Note 1. Summary of Significant Accounting Policies

The American Federation of Labor and Congress of Industrial Organizations (AFL-CIO) Housing Investment Trust (HIT) is a common law trust created under the laws of the District of Columbia and is registered under the Investment Company Act of 1940, as amended (Investment Company Act), as a no-load, open-end investment company. The HIT has obtained certain exemptions from the requirements of the Investment Company Act that are described in the HIT's Prospectus and Statement of Additional Information. Participation in the HIT is limited to eligible pension plans and labor organizations, including health and welfare, general, voluntary employees' benefit associations and other funds that have beneficiaries who are represented by labor organizations. The following is a summary of significant accounting policies followed by the HIT in the preparation of its financial statements. The policies are in conformity with generally accepted accounting principles (GAAP) in the United States. The HIT follows the investment company accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services-Investment Companies.

Investment Valuation

Net asset value per share (NAV) is determined as of the close of regular trading (normally 4:00 p.m.) of the New York Stock Exchange on the last business day of each calendar month. When the markets close early for holidays, prices may be taken earlier in the day. The HIT's Board of Trustees is responsible for the valuation process. The HIT's Board of Trustees has designated the officers of the HIT that comprise the HIT's Valuation Committee as the "valuation designee" to perform fair valuations of the HIT's investments pursuant to Rule 2a-5 under the Investment Company Act. The Valuation Committee, in accordance with the policies and procedures approved by the HIT's Board of Trustees, is also responsible for evaluating the effectiveness of the HIT's pricing policies, determining the reliability of third-party pricing information and reporting to the Board of Trustees on valuation matters, including fair value determinations. Following is a description of the valuation methods and inputs applied to the HIT's major categories of assets. The majority of the HIT's assets are valued using evaluated prices provided by independent third-party pricing services that are approved by the Board of Trustees. Portfolio securities for which market quotations are readily available are valued through exchange determined market pricing. For U.S. Treasury securities, independent pricing services generally base evaluated prices on actual transactions as well as dealer-supplied market information. For State Housing Finance Agency securities, independent pricing services generally base evaluated prices using models that utilize trading spreads, new issue scales, verified bid information and credit ratings. For commercial mortgage-backed securities, independent pricing services generally base evaluated prices on cash flow models that take into consideration benchmark yields and utilize available trade information, dealer quotes and market color.

For U.S. agency and government-sponsored enterprise securities, including single family and multifamily mortgage-backed securities, construction mortgage securities and loans and collateralized mortgage obligations, independent pricing services generally base evaluated prices on an active TBA (to-be-announced) market for mortgage pools, discounted cash flow models, or option-adjusted spread models. Independent pricing services examine reference data and use observable inputs such as issue name, issue size, ratings, maturity, call type and spread/benchmark yields, as well as dealer-supplied market information. The discounted cash flow or option-adjusted spread models utilize inputs from matrix pricing, which consider observable market-based discount and prepayment rates, attributes of the collateral, and yield or price of bonds of comparable quality, coupon, maturity and type.

Investments in registered open-end investment management companies are valued based upon the NAV of such investments.

When the HIT finances the construction and permanent securities or participation interests, value is determined based upon the total amount, funded and/or unfunded, of the commitment.

Portfolio investments for which market quotations or independent third-party provider evaluated prices are deemed unreliable or not available are valued at their fair value determined in good faith by the HIT's Valuation Committee, as valuation designee, pursuant to procedures approved by the HIT's Board of Trustees. In determining fair market value, the Valuation Committee will employ a valuation method that it believes reflects fair value for that asset, which may include the use of an independent valuation consultant or the utilization of a discounted cash flow model based on broker and/or other market inputs. The frequency with which these fair value procedures may be used cannot be predicted. However, on December 31, 2025 the Valuation Committee fair valued 0.01% of the HIT's net assets utilizing its internally derived unobservable inputs.

Futures contracts are valued at the settlement price established each day by the board of trade or exchange on which they are traded.

Short-term investments acquired with a stated maturity of 60 days or less are generally valued at amortized cost, which approximates fair market value.

The HIT holds a 100% ownership interest, either directly or indirectly in HIT Advisers LLC (HIT Advisers). HIT Advisers is valued at its fair value determined in good faith under consistently applied procedures approved by the HIT's Board of Trustees, which approximates its respective carrying value.

GAAP establishes a disclosure hierarchy that categorizes the inputs to valuation techniques used to value assets and liabilities at measurement date. The HIT classifies its assets and liabilities into three levels based on the method used to value the assets or liabilities. Level 1 values are based on quoted prices in active markets for identical securities. Level 2 values are based on significant observable market inputs, such as quoted prices for similar securities, interest rates, prepayment speeds, credit risk and quoted prices in inactive markets. Level 3 values are based on significant unobservable inputs that reflect the HIT's determination of assumptions that market participants might reasonably use in valuing the securities.

The following table presents the HIT's valuation levels as of December 31, 2025:

Investment Securities
(dollars in thousands) Level 1 Level 2 Level 3 Total
Investments in Securities:
FHA Permanent Securities $ - $ 113,090 $ - $ 113,090
FHA Construction Securities - - - -
Ginnie Mae Securities - 1,795,108 100,471 1,895,579
Ginnie Mae Construction Securities - 197,896 - 197,896
Fannie Mae Securities - 3,133,194 - 3,133,194
Freddie Mac Securities - 817,140 - 817,140
State Housing Finance Agency Securities - 326,100 - 326,100
Other Multifamily Investments
Direct Loans - - 138,603 138,603
Privately Insured Construction/Permanent Mortgages - 823 - 823
Total Other Multifamily Investments - 823 138,603 139,426
United States Treasury Securities - 527,542 - 527,542
Equity Investments - - 511 511
Short-Term Investments 145,208 - - 145,208
Other Financial Instruments1 - 91,698 817 92,515
Total Investments in Securities 145,208 7,002,591 240,402 7,388,201
Derivatives Investments:
Long
Futures Contracts2 (763 ) - - (763 )
Short
Futures Contracts2 1,096 - - 1,096
Total Derivatives Investments $ 333 $ - $ - $ 333
1. If held in the portfolio at report date, other financial instruments includes forward commitments, TBA and when-issued securities.
2. Amounts shown represent unrealized appreciation (depreciation) at period end as presented in the Schedule of Investments. Only initial margin and variation margin on exchange-traded and centrally cleared derivatives, if any, are reported in the Statement of Assets and Liabilities.

The following table reconciles the valuation of the HIT's Level 3 investment securities and related transactions for the period ended December 31, 2025:

Investments in Securities

(dollars in thousands)

Ginnie Mae Securities Other Multifamily Investments Equity Investments Other Financial Instruments Total
Beginning Balance, 12/31/2024 $ 96,209 $ 168,919 $ 558 $ (23 ) $ 265,663
Paydowns/Settlements (2,608 ) (100,545 ) - - (103,153 )
Total Unrealized Gain (Loss)1 1,998 115 (47 ) 840 2,906
Cost of Purchases 4,872 70,114 - - 74,986
Ending Balance, 12/31/2025 $ 100,471 $ 138,603 $ 511 $ 817 $ 240,402
1. Net change in unrealized gain (loss) attributable to Level 3 securities held at December 31, 2025, totaled $2,906,000 and is included on the accompanying Statement of Operations.

For the year ended December 31, 2025, there were no transfers in levels.

Level 3 securities primarily consist of Other Multifamily Investments (Direct Loans) and one Ginnie Mae Security which were valued using evaluated prices provided by an independent, third-party pricing service as of December 31, 2025. The pricing services applies a discounted cash flow model that incorporates unobservable inputs, including assumptions regarding expected prepayment speeds (reflected in weighted-average life ("WAL") and spreads to relevant U.S. Treasury rates. Changes in these unobservable inputs can materially affect the resulting fair value measurements.

For investments valued at a premium, a shorter WAL (meaning faster expected prepayments) generally decreases fair value, while a longer WAL (slower expected prepayments) generally increases fair value, assuming all other inputs remain constant. Conversely, for investments valued at a discount, a shorter WAL generally increases fair value, and a longer WAL generally decreases fair value, holding other inputs constant. Similarly, changes in assumed spreads can significantly affect fair value. An increase in the spread, indicating higher perceived risk, generally results in a decrease in fair value, whereas a decrease in the spread generally results in an increase in fair value, all else being equal.

Ginnie Mae Securities
Minimum Average1 Maximum
Weighted Average Life (WAL) 1.83 1.83 1.83
Spread to U.S. Treasuries (bps) 77 77 77
Other Multifamily Investments
Minimum Average1 Maximum
Weighted Average Life (WAL) 1.00 2.14 4.58
Spread to U.S. Treasuries (bps) 72 214 392
1. Represents the mean of securities in this category.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the period. Actual results could differ from those estimates.

Federal Income Taxes

The HIT's policy is to comply with the requirements of the Internal Revenue Code of 1986, as amended (Internal Revenue Code), that are applicable to regulated investment companies, and to distribute all of its taxable income to its participants. Therefore, no federal income tax provision is required.

Tax positions taken or expected to be taken in the course of preparing the HIT's tax returns are evaluated to determine whether the tax positions are "more-likely-than-not" of being sustained by the applicable tax authority. Tax positions not deemed to meet the more-likely-than-not threshold would be recorded as a tax benefit or expense in the current year. Management has analyzed for all open years the HIT's tax positions taken on federal income tax returns and has concluded that no provision for income tax is required in the HIT's financial statements.

The HIT files U.S. federal, state and local tax returns as required. The HIT's tax returns are subject to examination by the relevant tax authorities until the expiration of the applicable statutes of limitations, which is generally three years after the filing of the tax return but could be longer in certain circumstances.

Distributions to Participants

At the end of each calendar month, a pro-rata distribution is made to participants of the net investment income earned during the month. This pro- rata distribution is based on the participant's number of units held as of the immediately preceding month-end and excludes realized gains (losses) which are distributed at year-end. Participants redeeming their investments are paid their pro-rata share of undistributed net income accrued through the month-end of the month in which they redeem. The HIT offers a reinvestment plan that permits current participants to automatically reinvest their distributions of income and capital gains, if any, into the HIT's units of participation. Total reinvestment was approximately 91% of distributed income for the year ended December 31, 2025.

Investment Transactions and Income

For financial reporting purposes, security transactions are accounted for as of the trade date. Gains and losses on securities sold are determined on the basis of amortized cost, using the specific identification method. Realized gains (losses) on paydowns of mortgage- and asset-backed securities are classified as interest income.

Interest income is accrued as earned. Premiums, purchase discounts, and loan origination discounts, including related direct costs, are amortized as adjustments to the related loan's yield over the contractual life of the loan using the effective interest method. In connection with the prepayment of a loan or security, any remaining unamortized amounts are recognized into income as a gain or loss and, depending upon the terms of the loan, there may be additional income that is earned based upon the prepayment and recognized in the period of the prepayment.

12b-1 Plan of Distribution

The HIT's Board of Trustees has approved a Plan of Distribution under Rule 12b-1 under the Investment Company Act to pay for marketing and sales promotion expenses incurred in connection with the offer and sale of units and related distribution activities (12b-1 expenses). For the year ended December 31, 2025, the HIT was authorized to pay 12b-1 expenses in an annual amount up to $600,000 or 0.05% of its average net assets on an annualized basis per fiscal year, whichever was greater. During the year ended December 31, 2025, the HIT incurred approximately $1,658,000, or 0.02% of its average monthly net assets on an annualized basis, in 12b-1 expenses.

Segment Reporting

The Portfolio Management Committee acts as the HIT's Chief Operating Decision Maker ("CODM") and is responsible for assessing performance and allocating resources with respect to the HIT. The CODM has concluded that the HIT operates as a single operating segment since the HIT has a single investment strategy as disclosed in its prospectus against which the CODM assesses performance included in Net increase (decrease) in net assets resulting from operations on the Statement of Operations. The financial information provided to and reviewed by the CODM is presented within the financial statements.

Note 2. Investment Risk

Interest Rate Risk

As with any fixed income investment, the market value of the HIT's investments will generally fall at times when market interest rates rise. Rising interest rates may also reduce prepayment rates, causing the average life of the HIT's investments to increase. This could in turn further reduce the value of the HIT's portfolio.

Prepayment and Extension Risk

The HIT invests in certain fixed income securities whose value is derived from an underlying pool of mortgage loans that are subject to prepayment and extension risk.

Prepayment risk is the risk that a security will pay more quickly than its assumed payment rate, shortening its expected average life. In such an event, the HIT may be required to reinvest the proceeds of such prepayments in other investments bearing lower interest rates. The majority of the HIT's securities backed by loans for multifamily projects include restrictions on prepayments for specified periods to mitigate this risk or include prepayment penalties to compensate the HIT. Prepayment penalties, when received, are included in realized gains.

Extension risk is the risk that a security will pay more slowly than its assumed payment rate, extending its expected average life. When this occurs, the HIT's ability to reinvest principal repayments in higher returning investments may be limited.

These two risks may increase the sensitivity of the HIT's portfolio to fluctuations in interest rates and negatively affect the value of the HIT's portfolio.

Credit Risk

A majority of HIT's investments have a form of credit enhancement to protect against losses in the event of a default. However, in the event of a default of an underlying mortgage loan where the investment does not have credit enhancement or that an entity providing credit enhancement for an investment fails to meet its obligations under the credit enhancement, the HIT would be subject to the risks that apply to real estate investments generally with respect to that investment. Certain real estate risks include construction failure, loan non-repayment, foreclosure, and environmental and litigation risk.

Futures Contracts

A futures contract is a standardized, exchange-traded agreement to buy or sell a specific quantity of an underlying asset at a specified price on a specified day or days in the future. The HIT may use U.S. Treasury futures contracts to manage the interest rate risk of the HIT portfolio. Upon entering into a futures contract, the HIT is required to deposit either cash or securities (Initial Margin) with a clearing broker. Non-cash collateral pledged by the HIT, if any, is disclosed in the Schedule of Investments, and cash collateral, if any, is held in a segregated account with the broker, which is reflected as Cash collateral held with broker in the Statement of Assets and Liabilities. Positions taken in the futures market are not normally held to maturity but are instead liquidated through offsetting transactions which may result in a profit or a loss. While the HIT will usually liquidate futures contracts in this manner, the HIT may instead make or take delivery of the underlying asset whenever it appears economically advantageous for the HIT to do so.

The HIT may invest up to 5% of its net assets, measured using notional value, in U.S. Treasury futures contracts for duration management purposes. Investments in U.S. Treasury futures contracts may add leverage because the HIT would be subject to investment exposure on the notional amount of the futures contracts. Investments in derivatives can increase the volatility of the HIT's NAV and may expose it to significant additional costs. The use of derivatives is a highly specialized activity that involves investment techniques and risks different from those associated with investments in more traditional securities and instruments. There is no guarantee that the use of derivatives will achieve their intended result.

Any open futures contracts at period end are presented in the Schedule of Investments, which reflects unrealized cumulative appreciation (depreciation). The notional amount at value reflects each contract's exposure to the underlying instrument at period end. The period end variation margin is reflected as Variation margin due from broker in the Statement of Assets and Liabilities, and the net cumulative appreciation (depreciation) is included in Net realized and change in unrealized gains (losses) on futures in the Statement of Operations. The average month-end notional amount of short and long futures contracts held was $90.1 million and $90.5 million, respectively, for the period ended December 31, 2025.

Market Risk

The value of securities held by the HIT may fluctuate, sometimes rapidly or unpredictably, due to general market conditions, such as real or perceived adverse economic, political or regulatory conditions, inflation, changes in interest rates, adverse investor sentiment and other global market developments and disruptions, including those arising out of geopolitical events (such as war), health emergencies (such as pandemics), natural disasters, terrorism, supply chain disruptions, sanctions and government or quasi-government actions. It Is difficult to predict when events affecting the U.S or global financial markets may occur.

Concentration Risk

The HIT concentrates its investments in fixed-income securities in the mortgage and mortgage finance sectors of the real estate industry. These sectors have experienced price volatility in the past. This concentration subjects the HIT to greater risk of loss as a result of adverse economic, political or regulatory conditions, or other developments than if its investments were diversified across different industries.

Note 3. Transactions with Related Entities

HIT Advisers

HIT Advisers, a Delaware limited liability company, was formed by HIT to operate as an investment adviser and be registered, as appropriate under applicable federal or state law. HIT Advisers is owned by HIT directly (99.9%), and indirectly through HIT Advisers Managing Member (0.1%) which is also wholly owned by HIT. This ownership structure is intended to insulate HIT from any potential liabilities associated with the conduct of HIT Advisers' business. HIT receives no services from HIT Advisers and carries it as a portfolio investment that meets the definition of a controlled affiliate. As of December 31, 2025, HIT Advisers had no assets under management.

Building America

Building America CDE, Inc. (Building America), a wholly owned subsidiary of HIT Advisers, is a Community Development Entity, certified by the Community Development Financial Institutions Fund (CDFI Fund) of the U.S. Department of the Treasury.

Labor Capital Partners

AFL-CIO Labor Capital Partners (LCP), a Delaware limited liability company, is a wholly owned subsidiary of HIT Advisers. LCP began operations effective January 1, 2025 and has a contract to provide non-fiduciary labor and investor relations to a third-party.

Advances to Affiliates

In accordance with contracts with each affiliate, HIT provides the time of certain personnel and allocates certain shared operational expenses on a cost-reimbursement basis. Expenses solely attributable to an entity are charged to that entity. Also, in accordance with the contracts, HIT provides advances to assist with each affiliate's operations and cash flow management as needed. Advances are expected to be repaid as cash becomes available and are included in Other Assets on the accompanying Statement of Assets and Liabilities. For HIT Advisers, HIT maintains an allowance for doubtful accounts due to aging balances and no assets under management.

Rollforwards of advances by HIT to HIT Advisers, Building America and LCP are included in the tables below:

Advances to HIT Advisers by HIT (dollars in thousands)
Ending Balance, net of allowances,12/31/2024 $ 758
Advances (Adjustments) in 2025 (76 )
Repayment by HIT Advisers in 2025 (100 )
Ending Balance, net of allowances, 12/31/2025 $ 582
Advances to Building America by HIT (dollars in thousands)
Ending Balance, 12/31/2024 $ 188
Advances in 2025 1,756
Repayment by Building America in 2025 (1,941 )
Ending Balance, 12/31/2025 $ 3
Advances to LCP by HIT (dollars in thousands)
Advances in 2025 $ 1,939
Repayment by LCP in 2025 (1,599 )
Ending Balance, 12/31/2025 $ 340

HIT Advisers Consolidated

Summarized consolidated financial information for HIT Advisers and its subsidiaries, Building America and LCP, is included in the table below:

(dollars in thousands)
As of December 31, 2025
Assets $ 2,961
Liabilities $ 2,450
Equity1 $ 511
For the period ended December 31, 2025
Income $ 3,868
Expenses (3,733 )
Tax Expenses (34 )
Net Income (Loss) $ 101
1. For the year ended December 31, 2025, the net change in unrealized gain (loss) attributable to the consolidated value of HIT Advisers and its subsidiaries totaled ($47,000) and is included in the accompanying Statement of Operations.

Note 4. Leases

The HIT leases certain real estate properties for office space which are classified as operating leases. The HIT also leases equipment which is classified as a financing lease. The leases are included in right-of-use (ROU) assets on the HIT's Statement of Assets and Liabilities. ROU assets represent the HIT's right to use an underlying asset for the lease term and lease obligations represent the HIT's obligation to make lease payments

arising from the lease. ROU assets and obligations are recognized at the commencement date based on the present value of lease payments over the lease term. As most of the HIT's leases do not provide an implicit rate, the HIT uses its incremental borrowing rate based on the information available at the commencement date of the lease in determining the present value of lease payments. The HIT determines if an arrangement is a lease at inception. The HIT's lease terms may include options to extend or terminate the lease when it is reasonably certain that the HIT will exercise that option. Lease expense and amortization expense are recognized on a straight-line basis over the lease term.

(dollars in thousands) Operating Lease Financing Lease Total
ROU Asset, 1/1/2025 $ 3,328 $ 27 $ 3,355
Reduction/Amortization of ROU Asset (507 ) (10 ) (517 )
Right-of-Use Asset, 12/31/2025 $ 2,821 $ 17 $ 2,838
Lease Liability, 1/1/2025 3,835 29 3,864
Lease Payments (605 ) (11 ) (616 )
Imputed Interest 60 1 61
Reduction of Lease Liability (545 ) (10 ) (555 )
Lease Liability, 12/31/2025 $ 3,291 $ 19 $ 3,309
Lease Expense (567 ) (13 ) (578 )
Weighted Average Discount Rate 1.94 % 5.26 %
Weighted Average Remaining Term (Years) 5.4 1.7

Note 5. Commitments

The HIT may make commitments, including forward commitments, in securities or loans that fund over time on a draw basis or fund at a single point in time. The HIT agrees to an interest rate and purchase price for these securities or loans when the commitment to purchase is originated.

Certain assets of the HIT are invested in liquid investments until they are required to fund these purchase commitments. As December 31, 2025, the HIT had outstanding unfunded purchase commitments of approximately $538.5 million. The HIT maintains a sufficient level of liquid securities of no less than the total of the outstanding unfunded purchase commitments. As of December 31, 2025, the value of liquid securities, less short- term investments, maintained in a custodial trading account was approximately $7.1 billion.

Note 6. Investment Transactions

Purchases and sales of investments, excluding short-term securities and U.S. Treasury securities, for the year ended December 31, 2025, were $1.5 billion and $879.9 million, respectively.

Note 7. Income Taxes

No provision for federal income taxes is required since the HIT intends to continue to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code and distribute to shareholders all of its taxable income and gains. Federal income tax regulations differ from GAAP; therefore, distributions determined in accordance with tax regulations may differ in amount or character from net investment income and realized gains for financial reporting purposes. Financial reporting records were adjusted for permanent book/tax differences to reflect tax character.

The tax character of distributions paid during 2025 and 2024 were as follows:

(dollars in thousands) 2025 2024
Ordinary Investment Income $ 267,350 $ 244,471
Total Distributions Paid to Participants or Reinvested $ 267,350 $ 244,471

As of December 31, 2025, the components of accumulated earnings on a tax basis were as follows:

(dollars in thousands) 2025
Accumulated Capital Loss Carryforward $ (369,857 )
Plus: Deferred loss on US Treasury Futures Straddles (786 )
Accumulated Capital and Other Losses (370,643 )
Unrealized Depreciation (383,348 )
Undistributed Ordinary Income 3,758
Other Temporary Differences (4,436 )
Total Accumulated Losses $ (754,669 )

During 2025, the HIT accumulated a capital loss carry forward of $369,857,000 consisting of $45,788,000 short-term and $324,069,000 long-term capital losses, which may be used to offset future capital gains for an unlimited period.

The differences between book basis and tax basis components are primarily attributed to wash sales, recognition for tax purposes of unrealized

gains/losses on certain derivative instruments, and the tax treatment of deferred compensation plans, accrued expenses, paydowns and depreciation. For financial reporting purposes, capital accounts are adjusted to reflect the tax character of permanent book/tax differences. These reclassifications are primarily due to meals and entertainment and insurance premiums paid. Results of operations and net assets are not affected by these reclassifications.

For the year ended December 31, 2025, the HIT recorded the following permanent reclassifications:

(dollars in thousands) 2025
Distributable earnings (accumulated losses) $ 412
Amount Invested and Reinvested by Current Participants $ (412 )

At December 31, 2025, the cost of investments for federal income tax purposes was $7,771,549,000. Net unrealized loss aggregated $383,348,000 at period-end, of which $61,998,000 related to appreciated investments and $445,346,000 related to depreciated investments.

Note 8. Retirement and Deferred Compensation Plans

The HIT participates in the AFL-CIO Staff Retirement Plan (Plan), which is a multiemployer defined benefit pension plan, under the terms of a collective bargaining agreement. The Plan covers substantially all employees, including non-bargaining unit employees. The risks of participating in a multiemployer plan are different from a single-employer plan in the following aspects:

a. Assets contributed to a multiemployer plan by one employer may be used to provide benefits to employees of other participating employers.
b. If a participating employer stops contributing to the plan, the unfunded obligations of the plan may be borne by the remaining participating employers based on their level of contributions to the plan.
c. If the HIT chooses to stop participating in its multiemployer plan, the HIT may be required to pay the plan an amount based on the HIT's share of the underfunded status of the plan, referred to as a withdrawal liability.

The HIT's participation in the Plan for the year ended December 31, 2025, is outlined in the table below. The "EIN/Pension Plan Number" line provides the Employer Identification Number (EIN) and the three-digit plan number. The most recent Pension Protection Act (PPA) zone status available as of December 31, 2025, is for the 2023 Plan year ended at June 30, 2024. The zone status is based on information that the HIT received from the Plan and is certified by the Plan's actuary. Among other factors, plans in the red zone are generally less than 65% funded, plans in the yellow zone are less than 80% funded, and plans in the green zone are at least 80% funded. The "FIP/RP Status Pending/Implemented" line indicates whether a financial improvement plan (FIP) or a rehabilitation plan (RP) is either pending or has been implemented. The HIT was listed in the Plan's Form 5500 as providing more than 5% of the total contributions for the following plan year:

Pension Fund: AFL-CIO Staff Retirement Plan (dollars in thousands)
EIN/Pension Plan Number 53-0228172 / 001
2023 Plan Year PPA Zone Status Green
FIP/RP Status Pending/ Implemented No
2025 Contributions1 $ 2,199
2025 Contribution Rate 24 %
Surcharge Imposed No
Expiration Date of Collective Bargaining Agreement 04/01/2028
1. Included in salaries and fringe benefits expense line items on the Statement of Operations.

The HIT was listed in the Plan's Form 5500 as providing more than 5% of the total contributions for the following plan year:

Pension Fund Year Contributions to Plan Exceeded 5 Percent of Total Contributions
AFL-CIO Staff Retirement Plan 2023 1
1. The 2023 plan year ended at June 30, 2024.

At the date the HIT financial statements were issued, the Plan's Form 5500 was not available for the plan year ended June 30, 2025.

The HIT also sponsors a deferred compensation plan, referred to as a 401(k) plan, covering all employees. This plan permits employees to defer the lesser of 100% of their total compensation or the applicable Internal Revenue Service limit. During 2025, the HIT will match dollar for dollar the first $10,000 of each employee's contributions. The HIT's 401(k) contribution for the year ended December 31, 2025, was approximately $396,000.

Note 9. Contract Obligations

In the ordinary course of business, the HIT enters into contracts that contain a variety of indemnifications. The HIT's maximum exposure under these arrangements is unknown. However, the HIT has not had any prior claims or losses pursuant to these contracts and expects the risk of loss to be low.

Note 10. Master Securities Forward Transaction Agreements

The HIT may enter into "Master Securities Forward Transaction Agreements ("MSFTA") with certain counterparties that govern margining on certain forward settling mortgage-backed securities transactions. The MSFTAs contain provisions for, among other things, eligible collateral, rights of setoff, events of default, termination, and the transfer and maintenance of collateral. Under the MSFTAs and related agreements, collateral posted by counterparties would be held in segregated accounts under the control of the HIT at the HIT's custodian while collateral posted by the HIT would be held for the benefit of the counterparties under the terms of account control agreements in segregated accounts at the HIT's custodian. As of December 31, 2025, neither the HIT nor its counterparties were required to post collateral in connection with MSFTAs.

Note 11. Subsequent Events

The HIT evaluated subsequent events through the date the financial statements were available for issue and determined there were no additional material events that would require adjustment to or disclosure in the HIT's financial statements.

FINANCIAL HIGHLIGHTS
Select Per Share Data and Ratios for the Years Ended December 31,
Per share data 2025 2024 2023 2022 2021
Net asset value, beginning of period $ 960.68 $ 973.69 $ 958.52 $ 1,137.06 $ 1,176.64
Income from investment operations:
Net investment income * 35.97 35.06 32.45 23.21 20.20
Net realized and unrealized gains (losses) on investments 32.14 (12.47 ) 15.84 (176.26 ) (32.43 )
Total income (loss) from investment operations 68.11 22.59 48.29 (153.05 ) (12.23 )
Less distributions from:
Net investment income (36.42 ) (35.60 ) (33.12 ) (25.49 ) (24.29 )
Net realized gains on investments - - - - (3.06 )
Total distributions (36.42 ) (35.60 ) (33.12 ) (25.49 ) (27.35 )
Net asset value, end of period $ 992.37 $ 960.68 $ 973.69 $ 958.52 $ 1,137.06
Total return 7.20 % 2.36 % 5.17 % -13.55 % -1.04 %
Net assets, end of period (in thousands) $ 7,319,573 $ 6,890,214 $ 6,558,831 $ 6,025,063 $ 7,106,556
Ratios/supplemental data
Ratio of expenses to average net assets 0.31 % 0.32 % 0.33 % 0.32 % 0.31 %
Ratio of net investment income to average net assets 3.7 % 3.6 % 3.4 % 2.3 % 1.7 %
Portfolio turnover rate 23.9 % 20.7 % 14.5 % 25.3 % 30.4 %

*The average shares outstanding method has been applied for this per share information.

See accompanying Notes to Financial Statements.

(b) Report pursuant to Regulation S-X.

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

The HIT's 2025 Annual Meeting of Participants was held on Wednesday, December 17, 2025. The following matters were put to a vote of the participants at the meeting through the solicitation of proxies: Chris Coleman was elected to chair the Board of Trustees. Timothy J. Driscoll, Brendan Griffith and Terry O'Sullivan were elected as Class III Union Trustees and Kevin Filter was elected a Class III Management Trustee. Ernst & Young, LLP was ratified as the HIT's Independent Registered Public Accounting Firm.

Candidate Votes For Votes Against Votes Abstain
Election of Chair of Board of Trustees
Chris Coleman

5,108,340.741

100.00%

0.000

0.00%

46,167.321

0.90%

Election of Class III Trustees
Union Trustees
Timothy J. Driscoll

5,108,340.741

100.00%

0.000

0.00%

46,167.321

0.90%

Brendan Griffith

5,108,105.827

100.00%

0.000

0.00%

46,402.235

0.91%

Terry O'Sullivan

5,108,340.741

100.00%

0.000

0.00%

46,167.321

0.90%

Management Trustees
Kevin Filter

5,108,340.741

100.00%

0.000

0.00%

46,167.321

0.90%

Ratification Independent Registered Public Accounting Firm
Ernst & Young, LLP

5,108,340.741

100.00%

0.000

0.00%

46,167.321

0.90%

The following Trustees were not up for reelection and their terms of office continued after the meeting: Sean McGarvey; Vito V. Mundo; Paul A. Noble; Fredrick Redmond; Anthony Shelton; Elizabeth H. Shuler; James A. Williams, Jr.; Bridget Gainer; Jack F. Quinn, Jr.; Deidre L. Schmidt; Harry S. Thompson.

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

Remuneration Paid to Directors, Officers and Others of Open-End Investment Company is included in Item 7 of this Form N-CSR.

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

Not applicable.

Item 12. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable to open-end investment companies.

Item 13. Portfolio Managers of Closed-End Management Investment Companies.

Not applicable to open-end investment companies.

Item 14. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchases.

Not applicable to open-end investment companies.

Item 15. Submission of Matters to a Vote of Security Holders.

There has been no change to the procedures by which participants may recommend nominees to the Board of Trustees of the Trust, where those changes were implemented after the Registrant last provided disclosure in response to the requirements of Item 407(c)(2)(iv) of Regulation S-K (per Item 22(b)(15) of Schedule 14A)), or this Item.

Item 16. Controls and Procedures.

(a) The Trust's Chief Executive Officer (the principal executive officer) and Chief Financial Officer (the principal financial officer) have evaluated the Trust's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Act (17 CFR 270.30a-3(c)) within 90 days of this filing and have concluded that the registrant's disclosure controls and procedures were effective, as of that date, in ensuring that information required to be disclosed by the registrant in this Form N-CSR was recorded, processed, summarized, and reported timely.
(b) The Trust's Chief Executive Officer (the principal executive officer) and Chief Financial Officer (the principal financial officer) are aware of no change in the Trust's internal control over financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d)) that occurred during the period covered by this report that has materially affected, or is 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 to open-end investment companies.

Item 18. Recovery of Erroneously Awarded Compensation.

Not applicable.

Item 19. Exhibits.

(a) (1) Code of Ethics
(2) Not applicable.
(3) Separate certifications for each of the Chief Executive Officer (principal executive officer) and Chief Financial Officer (principal financial officer) of the Trust pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 and required by Rule 30a-2(a) under the Act (17 CFR 270.30a-2(a)).
(4) Not applicable.
(5) Not applicable.
(b) Separate certifications for each of the Chief Executive Officer (principal executive officer) and Chief Financial Officer (principal financial officer) of the Trust pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and required by Rule 30a-2(b) under the Act (17 CFR 270.30a-2(b)).

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the AFL-CIO Housing Investment Trust has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

AFL-CIO HOUSING INVESTMENT TRUST

By: /s/ Chang Suh

Chang Suh

Chief Executive Officer

Date: March 8, 2026

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 AFL-CIO Housing Investment Trust and in the capacities and on the dates indicated.

/s/ Chang Suh

Chang Suh

Chief Executive Officer

AFL-CIO Housing Investment Trust

(Principal Executive Officer)

Date: March 8, 2026

/s/ Harpreet S. Peleg

Harpreet S. Peleg

Chief Financial Officer

AFL-CIO Housing Investment Trust

(Principal Financial Officer)

Date: March 8, 2026

AFL-CIO Housing Investment Trust published this content on March 09, 2026, and is solely responsible for the information contained herein. Distributed via EDGAR on March 09, 2026 at 18:32 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at [email protected]