- Quarterly Schedule of Portfolio Holdings of Registered Management Investment Company (N-Q)

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

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF
REGISTERED MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number: 811-7852

Exact Name of Registrant as Specified in Charter: USAA MUTUAL FUNDS TRUST

Address of Principal Executive Offices and Zip Code: 9800 FREDERICKSBURG ROAD

SAN ANTONIO, TX 78288

Name and Address of Agent for Service: CHRISTOPHER P. LAIA
 USAA MUTUAL FUNDS TRUST
 9800 FREDERICKSBURG ROAD
 SAN ANTONIO, TX 78288

Registrant's Telephone Number, Including Area Code: (210) 498-0226

Date of Fiscal Year End: JULY 31

Date of Reporting Period: OCTOBER 31, 2009

ITEM 1. SCHEDULE OF INVESTMENTS.
USAA INTERMEDIATE-TERM BOND FUND - 1ST QUARTER REPORT - PERIOD ENDED
OCTOBER 31, 2009

[LOGO OF USAA]
USAA(R)

PORTFOLIO OF INVESTMENTS
1ST QUARTER
USAA INTERMEDIATE-TERM BOND FUND
OCTOBER 31, 2009

(Form N-Q)

PORTFOLIO OF INVESTMENTS

USAA INTERMEDIATE-TERM BOND FUND
October 31, 2009 (unaudited)

 PRINCIPAL MARKET
 AMOUNT COUPON VALUE
 (000) SECURITY RATE MATURITY (000)
 ----------------------------------------------------------------------------------------------------------

 CORPORATE OBLIGATIONS (51.6%)

 CONSUMER DISCRETIONARY (1.8%)
 -----------------------------
 APPAREL & ACCESSORIES & LUXURY GOODS (0.1%)
$ 2,000 Kellwood Co. 7.88% 7/15/2011 $ 1,050
 ---------------
 AUTOMOTIVE RETAIL (0.1%)
 1,000 Autozone, Inc. 5.75 1/15/2015 1,072
 ---------------
 BROADCASTING (0.4%)
 983 Charter Communications Operating, LLC (a) 7.54 (b) 3/06/2014 897
 1,000 Comcast Corp. 6.50 1/15/2017 1,092
 2,000 Liberty Media Corp., LLC 5.70 5/15/2013 1,890
 1,000 Time Warner Cable, Inc. 8.25 2/14/2014 1,174
 ---------------
 5,053
 ---------------
 CASINOS & GAMING (0.1%)
 134 Harrah's Operating Co., Inc. (c) 10.00 2/01/2016 103
 950 Seminole Tribe of Florida (c) 7.80 10/01/2020 808
 ---------------
 911
 ---------------
 DEPARTMENT STORES (0.1%)
 1,500 J.C. Penney Co., Inc. 7.95 4/01/2017 1,594
 ---------------
 HOTELS, RESORTS, & CRUISE LINES (0.2%)
 2,000 Starwood Hotels & Resorts Worldwide,
 Inc. 7.88 10/15/2014 2,080
 ---------------
 HOUSEHOLD APPLIANCES (0.2%)
 2,000 Stanley Works Capital Trust I 5.90 12/01/2045 1,791
 1,000 Whirlpool Corp. 7.75 7/15/2016 1,076
 ---------------
 2,867
 ---------------
 HOUSEWARES & SPECIALTIES (0.1%)
 1,000 Newell Rubbermaid, Inc. 4.63 12/15/2009 1,001
 ---------------
 LEISURE PRODUCTS (0.2%)
 2,000 Hasbro, Inc. 6.13 5/15/2014 2,199
 ---------------
 SPECIALTY STORES (0.3%)
 1,000 Staples, Inc. 7.75 4/01/2011 1,075
 2,000 Staples, Inc. 9.75 1/15/2014 2,426
 ---------------
 3,501
 ---------------
 Total Consumer Discretionary 21,328
 ---------------

 CONSUMER STAPLES (2.2%)
 -----------------------
 AGRICULTURAL PRODUCTS (0.3%)
 1,000 Bunge Ltd. Finance Co. 8.50 6/15/2019 1,167
 2,000 Cargill, Inc. (c) 6.00 11/27/2017 2,171
 ---------------
 3,338
 ---------------
 BREWERS (0.2%)
 2,000 Anheuser-Busch Companies, Inc. (c) 7.20 1/15/2014 2,255
 ---------------

1 | USAA Intermediate-Term Bond Fund

 PRINCIPAL MARKET
 AMOUNT COUPON VALUE
 (000) SECURITY RATE MATURITY (000)
 ----------------------------------------------------------------------------------------------------------
 DISTILLERS & VINTNERS (0.2%)
$ 2,000 Constellation Brands, Inc. 7.25% 5/15/2017 $ 2,015
 ---------------
 DRUG RETAIL (0.9%)
 2,797 CVS Caremark Corp. 6.04 12/10/2028 2,755
 8,600 CVS Caremark Corp. 6.30 6/01/2037 7,400
 ---------------
 10,155
 ---------------
 FOOD RETAIL (0.3%)
 1,643 Ahold Lease USA, Inc. 7.82 1/20/2020 1,728
 2,000 Kroger Co. (d) 5.50 2/01/2013 2,143
 ---------------
 3,871
 ---------------
 SOFT DRINKS (0.2%)
 1,000 Bottling Group, LLC 5.50 4/01/2016 1,094
 1,000 Coca Cola Enterprises, Inc. 7.38 3/03/2014 1,176
 ---------------
 2,270
 ---------------
 TOBACCO (0.1%)
 1,000 Universal Corp. 5.00 9/01/2011 1,032
 ---------------
 Total Consumer Staples 24,936
 ---------------

 ENERGY (6.8%)
 -------------
 INTEGRATED OIL & GAS (0.7%)
 2,000 Hess Corp. 8.13 2/15/2019 2,432
 1,000 Marathon Oil Corp. 6.50 2/15/2014 1,113
 1,000 Occidental Petroleum Corp. 7.00 11/01/2013 1,161
 1,000 Polar Tankers, Inc. (c) 5.95 5/10/2037 994
 2,000 TransCanada Pipelines Ltd. 7.13 1/15/2019 2,382
 ---------------
 8,082
 ---------------
 OIL & GAS DRILLING (0.2%)
 2,000 Nabors Industries, Inc. 9.25 1/15/2019 2,420
 ---------------
 OIL & GAS EQUIPMENT & SERVICES (0.4%)
 2,000 Seacor Holdings, Inc. (d) 5.88 10/01/2012 1,985
 2,000 Weatherford International Ltd. 9.63 3/01/2019 2,480
 ---------------
 4,465
 ---------------
 OIL & GAS EXPLORATION & PRODUCTION (0.7%)
 2,000 Devon Energy Corp. 6.30 1/15/2019 2,218
 2,000 Noble Energy, Inc. 8.25 3/01/2019 2,402
 1,000 Range Resources Corp. 8.00 5/15/2019 1,043
 1,000 XTO Energy, Inc. 4.63 6/15/2013 1,039
 1,000 XTO Energy, Inc. 5.65 4/01/2016 1,046
 ---------------
 7,748
 ---------------
 OIL & GAS REFINING & MARKETING (0.4%)
 1,000 Plains All American Pipeline, LP 8.75 5/01/2019 1,216
 2,000 Premcor Refining Group, Inc. (d) 7.50 6/15/2015 2,049
 1,000 Sunoco, Inc. 9.63 4/15/2015 1,217
 ---------------
 4,482
 ---------------
 OIL & GAS STORAGE & TRANSPORTATION (4.4%)
 250 Buckeye Partners, LP 5.13 7/01/2017 249
 1,000 DCP Midstream, LLC (c) 9.70 12/01/2013 1,161
 2,000 El Paso Energy Corp. (c),(d) 5.90 4/01/2017 2,053
 8,000 Enbridge Energy Partners, LP 8.05 10/01/2037 7,511
 1,000 Energy Transfer Partners, LP 6.00 7/01/2013 1,072
 1,000 Energy Transfer Partners, LP 9.70 3/15/2019 1,240
 1,000 Enterprise Products Operating, LP 8.38 8/01/2066 981
 5,000 Enterprise Products Operating, LP (d) 7.00 6/01/2067 4,390
 3,550 Enterprise Products Operating, LP 7.03 1/15/2068 3,271
 2,000 Gulf South Pipeline Co., LP 5.75 8/15/2012 2,114

Portfolio of Investments | 2

 PRINCIPAL MARKET
 AMOUNT COUPON VALUE
 (000) SECURITY RATE MATURITY (000)
 ----------------------------------------------------------------------------------------------------------
$ 2,000 Kaneb Pipe Line Operating Partnership, LP
 (d) 5.88% 6/01/2013 $ 2,081
 1,000 Kinder Morgan Finance Co. 5.70 1/05/2016 956
 2,000 Kinder Morgan, Inc. (d) 6.50 9/01/2012 2,065
 1,000 NGPL PipeCo, LLC 6.51 12/15/2012 1,093
 2,000 NGPL PipeCo, LLC (d) 7.12 12/15/2017 2,214
 2,000 Rockies Express Pipeline, LLC (c),(d) 6.25 7/15/2013 2,173
 2,000 Sabine Pass LNG, LP (d) 7.25 11/30/2013 1,800
 1,110 SourceGas, LLC (c) 5.90 4/01/2017 951
 3,000 Southeast Supply Header 4.85 8/15/2014 3,061
 1,000 Spectra Energy Capital, LLC 5.90 9/15/2013 1,063
 2,000 Sunoco Logistics Partners Operations, LP 8.75 2/15/2014 2,264
 1,000 Tennessee Gas Pipeline Co. 8.00 2/01/2016 1,146
 2,000 Tennessee Gas Pipeline Co. 7.00 10/15/2028 2,121
 500 Transcontinental Gas Pipeline Corp. 8.88 7/15/2012 574
 1,000 Valero Logistics Operations, LP 6.05 3/15/2013 1,050
 2,000 Williams Companies, Inc. 8.13 3/15/2012 2,180
 500 Williams Partners Finance Corp. 7.50 6/15/2011 518
 250 Williams Partners Finance Corp. 7.25 2/01/2017 249
 ---------------
 51,601
 ---------------
 Total Energy 78,798
 ---------------

 FINANCIALS (21.6%)
 ------------------
 ASSET MANAGEMENT & CUSTODY BANKS (0.3%)
 1,500 American Capital Strategies Ltd. 8.85 (b) 8/01/2012 1,324
 2,000 Mellon Bank, N.A. 5.45 4/01/2016 2,155
 ---------------
 3,479
 ---------------
 CONSUMER FINANCE (0.8%)
 3,000 American Express Co. 6.80 9/01/2066 2,655
 1,000 American Honda Finance Corp. (c) 6.70 10/01/2013 1,094
 965 Capital One Financial Corp. 7.69 8/15/2036 842
 1,000 ERAC USA Finance Co. (c) 6.20 11/01/2016 1,022
 1,000 Ford Motor Credit Co., LLC 7.50 8/01/2012 974
 2,000 Ford Motor Credit Co., LLC 7.00 10/01/2013 1,899
 1,266 General Motors Acceptance Corp. 6.88 8/28/2012 1,209
 ---------------
 9,695
 ---------------
 DIVERSIFIED BANKS (2.2%)
 1,000 Comerica Bank 5.20 8/22/2017 892
 3,000 Comerica Capital Trust II 6.58 2/20/2037 2,205
 1,000 Emigrant Bancorp, Inc. (c) 6.25 6/15/2014 410
 1,000 First Tennessee Bank, N.A. 4.63 5/15/2013 930
 3,000 First Tennessee Bank, N.A. 5.65 4/01/2016 2,610
 2,000 First Union National Bank, FL 6.18 2/15/2036 2,091
 3,000 First Union National Bank, NC (d) 6.18 2/15/2036 3,136
 1,000 Huntington National Bank 4.38 1/15/2010 1,001
 2,000 Key Bank, N.A. 5.45 3/03/2016 1,867
 2,000 Manufacturers & Traders Trust Co. 5.63 12/01/2021 1,619
 5,000 USB Capital IX 6.19 -(e) 3,888
 3,470 Wells Fargo Capital XIII 7.70 -(e) 3,244
 1,000 Wells Fargo Capital XV 9.75 -(e) 1,080
 ---------------
 24,973
 ---------------
 DIVERSIFIED REAL ESTATE ACTIVITIES (0.2%)
 1,000 Brascan Corp. 7.13 6/15/2012 1,023
 500 Brookfield Asset Management, Inc. 5.80 4/25/2017 447
 1,000 Geo Group, Inc. 8.25 7/15/2013 1,030
 ---------------
 2,500
 ---------------
 INVESTMENT BANKING & BROKERAGE (0.5%)
 1,000 First Republic Bank Corp. 7.75 9/15/2012 1,099
 3,000 Goldman Sachs Capital II 5.79 -(e) 2,246

3 | USAA Intermediate-Term Bond Fund

 PRINCIPAL MARKET
 AMOUNT COUPON VALUE
 (000) SECURITY RATE MATURITY (000)
 ----------------------------------------------------------------------------------------------------------
$ 2,000 Merrill Lynch & Co., Inc. 6.05% 8/15/2012 $ 2,145
 ---------------
 5,490
 ---------------
 LIFE & HEALTH INSURANCE (2.2%)
 2,000 Blue Cross Blue Shield, Inc. 8.25 11/15/2011 2,199
 2,000 Great-West Life & Annuity Insurance Co.
 (c) 7.15 5/16/2046 1,690
 3,000 Jackson National Life Global Funding (c) 5.38 5/08/2013 3,054
 6,000 Lincoln National Corp. 7.00 5/17/2066 4,980
 2,000 MetLife Capital Trust X (c) 9.25 4/08/2038 2,186
 3,000 Nationwide Mutual Insurance Co. (d) 5.81 12/15/2024 2,343
 2,000 Prudential Financial, Inc. 6.00 12/01/2017 2,029
 1,000 Prudential Financial, Inc. 8.88 6/15/2038 1,073
 6,000 StanCorp Financial Group, Inc. 6.90 6/01/2067 4,027
 2,000 Travelers Life & Annuity (c) 5.13 8/15/2014 1,973
 ---------------
 25,554
 ---------------
 MULTI-LINE INSURANCE (2.0%)
 2,000 American General Finance Corp. 4.88 7/15/2012 1,541
 2,000 American International Group, Inc. 8.18 5/15/2058 1,215
 3,000 Farmers Exchange Capital (c) 7.05 7/15/2028 2,576
 8,000 Genworth Financial, Inc. 6.15 11/15/2066 5,420
 7,000 Glen Meadow (c) 6.51 2/12/2067 5,372
 2,000 ILFC E-Capital Trust I (c) 5.90 12/21/2065 960
 2,000 ILFC E-Capital Trust II (c) 6.25 12/21/2065 960
 2,000 Oil Casualty Insurance Ltd. (c) 8.00 9/15/2034 1,335
 5,000 Oil Insurance Ltd. (c) 7.56 -(e) 3,539
 ---------------
 22,918
 ---------------
 MULTI-SECTOR HOLDINGS (0.2%)
 1,000 Leucadia National Corp. 7.00 8/15/2013 1,015
 1,000 Leucadia National Corp. 7.13 3/15/2017 950
 ---------------
 1,965
 ---------------
 OTHER DIVERSIFIED FINANCIAL SERVICES (1.4%)
 3,000 AgFirst Farm Credit Bank 6.59 -(e) 1,937
 1,000 Bank of America Corp. 8.00 -(e) 901
 1,000 Bank of America Corp. 8.13 -(e) 900
 2,000 Bank of America Corp. 5.75 12/01/2017 2,037
 2,000 Citigroup, Inc. 6.38 8/12/2014 2,124
 2,000 General Electric Capital Corp. 4.80 5/01/2013 2,104
 5,440 General Electric Capital Corp. 6.38 11/15/2067 4,726
 2,000 Northgroup Preferred Capital Corp. (c) 6.38 -(e) 1,740
 ---------------
 16,469
 ---------------
 PROPERTY & CASUALTY INSURANCE (2.6%)
 1,000 21st Century Insurance Group 5.90 12/15/2013 976
 3,000 Allstate Corp. 6.13 5/15/2037 2,580
 1,535 Assured Guaranty U.S. Holdings, Inc. 7.00 6/01/2034 1,145
 5,500 Chubb Corp. 6.38 3/29/2067 5,074
 1,000 Fidelity National Financial, Inc. 5.25 3/15/2013 929
 2,000 First American Capital Trust I 8.50 4/15/2012 1,905
 2,275 Fund American Companies, Inc. 5.88 5/15/2013 2,247
 1,000 Infinity Property & Casualty Corp. 5.50 2/18/2014 940
 2,000 Liberty Mutual Group, Inc. 7.30 6/15/2014 2,010
 3,000 Liberty Mutual Group, Inc. (c) 7.00 3/15/2037 2,382
 7,000 Progressive Corp. 6.70 6/15/2037 6,140
 2,000 RLI Corp. 5.95 1/15/2014 1,986
 2,000 Travelers Companies, Inc. 6.25 3/15/2037 1,803
 ---------------
 30,117
 ---------------
 REGIONAL BANKS (2.6%)
 1,500 AmSouth Bank, N.A. 5.20 4/01/2015 1,312
 1,750 Bank of Oklahoma 5.75 5/15/2017 1,572
 2,000 Chittenden Corp. 5.80 2/14/2017 1,990
 1,000 City National Corp. 5.13 2/15/2013 1,003

Portfolio of Investments | 4

 PRINCIPAL MARKET
 AMOUNT COUPON VALUE
 (000) SECURITY RATE MATURITY (000)
 ----------------------------------------------------------------------------------------------------------
$ 2,000 Cullen/Frost Bankers, Inc. 5.75% 2/15/2017 $ 1,853
 3,000 Fifth Third Capital Trust IV 6.50 4/15/2037 2,168
 2,395 First Empire Capital Trust I 8.23 2/01/2027 1,819
 2,000 Fulton Capital Trust I 6.29 2/01/2036 1,211
 2,500 Huntington Capital III 6.65 5/15/2037 1,500
 1,000 National City Bank 4.50 3/15/2010 1,011
 1,500 National City Preferred Capital Trust I 12.00 -(e) 1,721
 3,000 Regions Financing Trust II 6.63 5/15/2047 1,904
 2,000 Susquehanna Bancshares, Inc. 2.30 (b) 5/01/2014 1,226
 2,000 TCF Financial Bank 1.93 (b) 6/15/2014 1,475
 2,000 TCF National Bank 5.50 2/01/2016 1,682
 2,000 U.S. AgBank, FCB (c) 6.11 -(e) 1,219
 4,000 Webster Capital Trust IV 7.65 6/15/2037 2,500
 1,000 Whitney National Bank 5.88 4/01/2017 840
 1,000 Wilmington Trust Corp. 8.50 4/02/2018 1,008
 1,000 Zions Bancorp 6.00 9/15/2015 799
 ---------------
 29,813
 ---------------
 REITS - DIVERSIFIED (0.4%)
 1,000 Liberty Property, LP 5.13 3/02/2015 948
 1,000 Liberty Property, LP 6.63 10/01/2017 983
 1,000 Washington REIT 5.35 5/01/2015 963
 2,000 WEA Finance (c) 5.75 9/02/2015 2,013
 ---------------
 4,907
 ---------------
 REITS - INDUSTRIAL (0.4%)
 2,500 AMB Property, LP 6.30 6/01/2013 2,468
 1,000 ProLogis 2.25 4/01/2037 922
 1,000 ProLogis 1.88 11/15/2037 869
 ---------------
 4,259
 ---------------
 REITS - OFFICE (1.3%)
 2,000 Boston Properties, Inc. 5.88 10/15/2019 2,021
 1,500 Boston Properties, LP 6.25 1/15/2013 1,596
 1,000 Brandywine Operating Partnership, LP 4.50 11/01/2009 1,000
 2,000 Brandywine Operating Partnership, LP 7.50 5/15/2015 2,003
 1,000 Duke Realty, LP 5.50 3/01/2016 937
 1,000 Duke Realty, LP 5.95 2/15/2017 949
 1,000 Duke Realty, LP 6.50 1/15/2018 966
 1,000 HRPT Properties Trust 5.75 11/01/2015 942
 1,000 HRPT Properties Trust 6.65 1/15/2018 938
 1,500 Mack-Cali Realty, LP 5.80 1/15/2016 1,393
 1,000 Mack-Cali Realty, LP 7.75 8/15/2019 1,059
 1,000 Reckson Operating Partnership, LP 6.00 3/31/2016 865
 ---------------
 14,669
 ---------------
 REITS - RESIDENTIAL (0.9%)
 2,000 AvalonBay Communities, Inc. 5.50 1/15/2012 2,086
 1,330 BRE Properties, Inc. 5.50 3/15/2017 1,243
 1,000 ERP Operating, LP 6.63 3/15/2012 1,075
 1,965 ERP Operating, LP 6.58 4/13/2015 2,099
 1,000 Post Apartment Homes, LP 5.45 6/01/2012 995
 3,000 UDR, Inc. 5.13 1/15/2014 2,870
 ---------------
 10,368
 ---------------
 REITS - RETAIL (1.9%)
 1,000 Developers Diversified Realty Corp. 5.38 10/15/2012 939
 2,000 Developers Diversified Realty Corp. 5.50 5/01/2015 1,750
 1,000 Federal Realty Investment Trust 6.20 1/15/2017 981
 1,000 National Retail Properties, Inc. 6.88 10/15/2017 985
 1,000 Pan Pacific Retail Properties, Inc. 7.95 4/15/2011 1,047
 1,000 Pan Pacific Retail Properties, Inc. 5.25 9/01/2015 973
 2,000 Realty Income Corp. 5.95 9/15/2016 1,928
 2,000 Regency Centers, LP 5.88 6/15/2017 1,887
 2,000 Rouse Co. (f) 7.20 9/15/2012 1,800

5 | USAA Intermediate-Term Bond Fund

 PRINCIPAL MARKET
 AMOUNT COUPON VALUE
 (000) SECURITY RATE MATURITY (000)
 ----------------------------------------------------------------------------------------------------------
$ 2,000 Rouse Co. (f) 5.38% 11/26/2013 $ 1,770
 3,525 Simon Property Group, LP 5.30 5/30/2013 3,656
 1,000 Simon Property Group, LP 6.10 5/01/2016 1,041
 4,000 Weingarten Realty Investors 4.86 1/15/2014 3,726
 ---------------
 22,483
 ---------------
 REITS - SPECIALIZED (0.8%)
 2,000 Health Care Property Investors, Inc. 6.30 9/15/2016 1,988
 1,000 Hospitality Properties Trust 5.13 2/15/2015 898
 2,000 Nationwide Health Properties, Inc. 6.90 10/01/2037 2,053
 1,000 Ventas Realty, LP 9.00 5/01/2012 1,052
 500 Ventas Realty, LP 6.50 6/01/2016 480
 3,000 Ventas Realty, LP 6.75 4/01/2017 2,895
 ---------------
 9,366
 ---------------
 SPECIALIZED FINANCE (0.7%)
 2,425 Assured Guaranty U.S. Holdings, Inc. 6.40 12/15/2066 1,734
 3,000 Financial Security Assurance Holdings
 Ltd. (c) 6.40 12/15/2066 1,845
 2,500 MBIA Insurance Co. (c) 14.00 1/15/2033 1,113
 3,000 Syncora Holdings Ltd. (g) 6.88 -(e) --
 4,000 XL Capital Ltd. 6.50 -(e) 3,085
 ---------------
 7,777
 ---------------
 THRIFTS & MORTGAGE FINANCE (0.2%)
 2,000 Sovereign Bank 2.19 (b) 8/01/2013 1,911
 1,000 Sovereign Bank 2.11 (b) 4/01/2014 967
 ---------------
 2,878
 ---------------
 Total Financials 249,680
 ---------------

 HEALTH CARE (0.8%)
 ------------------
 HEALTH CARE EQUIPMENT (0.2%)
 1,000 Baxter International, Inc. 4.00 3/01/2014 1,044
 1,000 Hospira, Inc. 6.40 5/15/2015 1,113
 1,000 Hospira, Inc. 6.05 3/30/2017 1,055
 ---------------
 3,212
 ---------------
 HEALTH CARE SERVICES (0.1%)
 1,000 Laboratory Corp. of America 5.63 12/15/2015 1,034
 ---------------
 LIFE SCIENCES TOOLS & SERVICES (0.1%)
 1,000 Fisher Scientific International, Inc. 6.75 8/15/2014 1,038
 ---------------
 MANAGED HEALTH CARE (0.2%)
 2,000 Highmark, Inc. (c) 6.80 8/15/2013 2,097
 ---------------
 PHARMACEUTICALS (0.2%)
 2,000 Roche Holdings, Inc. (c) 5.00 3/01/2014 2,168
 ---------------
 Total Health Care 9,549
 ---------------

 INDUSTRIALS (3.4%)
 ------------------
 AIR FREIGHT & LOGISTICS (0.2%)
 2,000 FedEx Corp. 7.38 1/15/2014 2,265
 ---------------
 AIRLINES (1.1%)
 309 America West Airlines, Inc. Pass-Through
 Trust 6.87 1/02/2017 271
 1,730 America West Airlines, Inc. Pass-Through
 Trust (INS) 7.93 1/02/2019 1,551
 2,500 American Airlines Pass-Through Trust 10.38 7/02/2019 2,778
 924 American Airlines, Inc. Pass-Through
 Trust (INS) 3.86 7/09/2010 901
 1,000 American Airlines, Inc. Pass-Through
 Trust 6.82 5/23/2011 955
 3,000 Continental Airlines, Inc. Pass-Through
 Trust 9.00 7/08/2016 3,204
 1,196 Continental Airlines, Inc. Pass-Through
 Trust 6.55 2/02/2019 1,143

Portfolio of Investments | 6

 PRINCIPAL MARKET
 AMOUNT COUPON VALUE
 (000) SECURITY RATE MATURITY (000)
 ----------------------------------------------------------------------------------------------------------
$ 1,113 Continental Airlines, Inc. Pass-Through
 Trust (INS) 6.24 % 3/15/2020 $ 820
 844 United Airlines Pass-Through Trust 7.73 7/01/2010 836
 ---------------
 12,459
 ---------------
 BUILDING PRODUCTS (0.3%)
 2,000 CRH America, Inc. 5.63 9/30/2011 2,113
 1,000 USG Corp. 6.30 11/15/2016 865
 1,000 USG Corp. 9.25 (b) 1/15/2018 988
 ---------------
 3,966
 ---------------
 CONSTRUCTION & FARM MACHINERY & HEAVY TRUCKS (0.1%)
 1,000 Paccar, Inc. 6.88 2/15/2014 1,143
 ---------------
 ENVIRONMENTAL & FACILITIES SERVICES (0.3%)
 2,000 Allied Waste North America, Inc. 7.25 3/15/2015 2,105
 2,000 Allied Waste North America, Inc. 6.88 6/01/2017 2,123
 ---------------
 4,228
 ---------------
 INDUSTRIAL CONGLOMERATES (0.5%)
 2,000 Textron Financial Corp. 5.40 4/28/2013 1,977
 3,000 Tyco International Finance 8.50 1/15/2019 3,665
 ---------------
 5,642
 ---------------
 INDUSTRIAL MACHINERY (0.3%)
 2,000 Ingersoll-Rand GL Holding Co. 9.50 4/15/2014 2,402
 1,000 Pall Corp. (c) 6.00 8/01/2012 1,006
 ---------------
 3,408
 ---------------
 RAILROADS (0.3%)
 2,000 Norfolk Southern Corp. 7.70 5/15/2017 2,387
 1,630 Southern Capital Corp. (c) 5.70 6/30/2023 1,113
 ---------------
 3,500
 ---------------
 SECURITY & ALARM SERVICES (0.3%)
 2,000 Corrections Corp. of America 7.75 6/01/2017 2,070
 1,000 Geo Group, Inc. (c) 7.75 10/15/2017 1,020
 ---------------
 3,090
 ---------------
 Total Industrials 39,701
 ---------------

 INFORMATION TECHNOLOGY (0.6%)
 -----------------------------
 DATA PROCESSING & OUTSOURCED SERVICES (0.4%)
 1,000 Computer Sciences Corp. 5.50 3/15/2013 1,057
 2,000 Fiserv, Inc. 6.13 11/20/2012 2,199
 1,000 Iron Mountain, Inc. 7.75 1/15/2015 1,018
 ---------------
 4,274
 ---------------
 ELECTRONIC MANUFACTURING SERVICES (0.2%)
 2,000 Tyco International Finance S.A. 4.13 10/15/2014 2,046
 ---------------
 Total Information Technology 6,320
 ---------------

 MATERIALS (1.7%)
 ----------------
 DIVERSIFIED CHEMICALS (0.5%)
 2,000 Chevron Phillips Chemical Co., LP (c) 7.00 6/15/2014 2,214
 2,000 Dow Chem Co. 5.90 2/15/2015 2,071
 1,000 E.I. du Pont de Nemours and Co. 6.00 7/15/2018 1,125
 ---------------
 5,410
 ---------------
 DIVERSIFIED METALS & MINING (0.3%)
 3,000 Rio Tinto Finance (USA) Ltd. 8.95 5/01/2014 3,549
 ---------------
 GOLD (0.2%)
 2,000 Barrick Gold Finance Co., LLC 6.13 9/15/2013 2,213
 ---------------

7 | USAA Intermediate-Term Bond Fund

 PRINCIPAL MARKET
 AMOUNT COUPON VALUE
 (000) SECURITY RATE MATURITY (000)
 ----------------------------------------------------------------------------------------------------------
 METAL & GLASS CONTAINERS (0.2%)
$ 2,000 Ball Corp. 6.63% 3/15/2018 $ 1,970
 1,000 Owens Brockway Glass Container, Inc. 6.75 12/01/2014 1,002
 ---------------
 2,972
 ---------------
 PAPER PRODUCTS (0.3%)
 3,000 International Paper Co. 7.50 8/15/2021 3,292
 ---------------
 STEEL (0.2%)
 2,000 Allegheny Technologies, Inc. 9.38 6/01/2019 2,278
 ---------------
 Total Materials 19,714
 ---------------

 TELECOMMUNICATION SERVICES (1.6%)
 ---------------------------------
 INTEGRATED TELECOMMUNICATION SERVICES (1.3%)
 1,708 Citizens Communications Co. 6.25 1/15/2013 1,695
 5,000 Qwest Communications International, Inc. 7.25 2/15/2011 5,025
 500 Qwest Corp. (c) 8.38 5/01/2016 519
 2,000 Telecom Italia Capital 5.25 11/15/2013 2,106
 1,000 Verizon Communications, Inc. 5.25 4/15/2013 1,087
 3,000 Verizon Wireless Capital, LLC (c) 5.55 2/01/2014 3,272
 2,000 Windstream Corp. (c) 7.88 11/01/2017 2,030
 ---------------
 15,734
 ---------------
 WIRELESS TELECOMMUNICATION SERVICES (0.3%)
 1,000 AT&T Wireless Services, Inc. 7.88 3/01/2011 1,084
 2,000 Centennial Communications Corp. 10.00 1/01/2013 2,117
 ---------------
 3,201
 ---------------
 Total Telecommunication Services 18,935
 ---------------

 UTILITIES (11.1%)
 -----------------
 ELECTRIC UTILITIES (5.2%)
 1,000 Ameren UE 5.10 10/01/2019 1,010
 1,000 Baltimore Gas and Electric Co. 5.90 10/01/2016 1,063
 992 Bruce Mansfield Unit 1 & 2 2007
 Pass-Through Trust 6.85 6/01/2034 948
 1,045 Carolina Power & Light Co. 6.13 9/15/2033 1,159
 1,560 Cedar Brakes II, LLC (c) 9.88 9/01/2013 1,581
 2,000 Cleveland Electric Illuminating Co. 8.88 11/15/2018 2,521
 2,000 Commonwealth Edison Co. 5.80 3/15/2018 2,162
 1,000 Duke Energy Carolinas, LLC 5.75 11/15/2013 1,107
 2,550 Entergy Gulf States, Inc. 5.70 6/01/2015 2,574
 1,000 Entergy Louisiana Holdings, Inc. 5.83 11/01/2010 1,002
 2,000 Entergy Mississippi, Inc. 5.92 2/01/2016 2,036
 744 FPL Energy National Wind, LLC (c) 5.61 3/10/2024 695
 4,000 FPL Group Capital, Inc. 6.35 10/01/2066 3,695
 1,000 FPL Group Capital, Inc. 7.30 9/01/2067 989
 1,000 Illinois Power Co. 6.13 11/15/2017 1,069
 2,000 Illinois Power Co. 9.75 11/15/2018 2,506
 2,000 Indiana Michigan Power Co. 7.00 3/15/2019 2,261
 2,320 ITC Holdings Corp. (c) 5.25 7/15/2013 2,171
 2,000 Metropolitan Edison Co. 7.70 1/15/2019 2,351
 1,000 MidAmerican Energy Holdings Co. 5.88 10/01/2012 1,092
 2,000 Monongahela Power Co. 7.36 1/15/2010 2,018
 1,000 Nevada Power Co. 6.50 5/15/2018 1,095
 1,000 New York State Electric & Gas Corp. 5.50 11/15/2012 1,071
 2,000 Northeast Utilities 5.65 6/01/2013 2,067
 1,700 Northern States Power Co. 8.00 8/28/2012 1,974
 341 Oglethorpe Power Corp. 6.97 6/30/2011 346
 2,000 Oglethorpe Power Corp. 6.10 3/15/2019 2,191
 1,000 Oncor Electric Delivery Co. 5.95 9/01/2013 1,085
 237 Power Contract Financing, LLC (c) 6.26 2/01/2010 239
 2,500 PPL Capital Funding, Inc. 6.70 3/30/2067 2,153

Portfolio of Investments | 8

 PRINCIPAL MARKET
 AMOUNT COUPON VALUE
 (000) SECURITY RATE MATURITY (000)
 ----------------------------------------------------------------------------------------------------------
$ 2,000 PPL Energy Supply, LLC 6.40 % 11/01/2011 $ 2,158
 1,000 PSI Energy, Inc. 6.05 6/15/2016 1,096
 2,000 Public Service Co. of New Mexico 7.95 5/15/2018 2,047
 1,000 Public Service Co. of Oklahoma 6.15 8/01/2016 1,058
 1,000 Sierra Pacific Power Co. 6.25 4/15/2012 1,062
 980 Texas Competitive Electric Holding Co.,
 LLC (a) 3.74 (b) 10/10/2014 761
 980 Texas Competitive Electric Holding Co.,
 LLC (a) 3.74 (b) 10/10/2014 755
 838 Tristate General & Transport Association
 (c) 6.04 1/31/2018 846
 1,000 Union Electric Co. 6.70 2/01/2019 1,125
 1,000 Virginia Electric Power Co. 5.40 1/15/2016 1,061
 ---------------
 60,200
 ---------------
 GAS UTILITIES (2.5%)
 2,000 AGL Capital Corp. 6.38 7/15/2016 2,177
 2,000 Atmos Energy Corp. 6.35 6/15/2017 2,173
 1,000 Atmos Energy Corp. 8.50 3/15/2019 1,232
 1,000 CenterPoint Energy Resources Corp. 5.95 1/15/2014 1,070
 1,000 Duke Capital Corp., LLC 5.50 3/01/2014 1,045
 1,000 Duke Capital Corp., LLC 8.00 10/01/2019 1,173
 1,000 EQT Corp. 8.13 6/01/2019 1,148
 2,000 Equitable Resources Foundation, Inc. 6.50 4/01/2018 2,069
 2,000 Florida Gas Transmission Co. (c) 7.90 5/15/2019 2,374
 3,000 Gulfstream Natural Gas (c) 6.95 6/01/2016 3,319
 1,000 National Fuel Gas Co. 7.38 6/13/2025 1,014
 1,000 Northern Natural Gas Co. (c) 5.38 10/31/2012 1,075
 2,000 Oneok Partners, LP 8.63 3/01/2019 2,400
 1,000 Questar Pipeline Co. 5.83 2/01/2018 1,054
 1,000 Southern Star Central Gas Pipeline, Inc.
 (c) 6.00 6/01/2016 950
 6,000 Southern Union Co. 7.20 11/01/2066 4,950
 ---------------
 29,223
 ---------------
 INDEPENDENT POWER PRODUCERS & ENERGY TRADERS (0.1%)
 1,500 IPALCO Enterprises, Inc. (c) 7.25 4/01/2016 1,519
 ---------------
 MULTI-UTILITIES (3.1%)
 1,000 Ameren Corp. 8.88 5/15/2014 1,123
 3,500 Black Hills Corp. 6.50 5/15/2013 3,695
 2,000 CenterPoint Energy Houston Electric, LLC 7.00 3/01/2014 2,256
 1,000 CenterPoint Energy, Inc. 7.25 9/01/2010 1,025
 1,000 Dominion Resources, Inc. 8.88 1/15/2019 1,264
 3,000 Dominion Resources, Inc. 7.50 6/30/2066 2,944
 1,000 Energy East Corp. 6.75 6/15/2012 1,107
 5,160 Integrys Energy Group, Inc. 6.11 12/01/2066 4,134
 1,000 NiSource Finance Corp. 6.40 3/15/2018 1,033
 1,000 Puget Sound Energy, Inc. 6.75 1/15/2016 1,107
 7,500 Puget Sound Energy, Inc. 6.97 6/01/2067 6,583
 2,000 Sempra Energy 9.80 2/15/2019 2,556
 4,000 Texas - New Mexico Power Co. (c) 9.50 4/01/2019 4,908
 2,000 Wisconsin Energy Corp. 6.25 5/15/2067 1,743
 ---------------
 35,478
 ---------------
 WATER UTILITIES (0.2%)
 2,000 American Water Capital Corp. 6.09 10/15/2017 2,101
 ---------------
 Total Utilities 128,521
 ---------------
 Total Corporate Obligations (cost: $584,484) 597,482
 ---------------

 EURODOLLAR AND YANKEE OBLIGATIONS (6.8%)

 ENERGY (0.9%)
 -------------
 INTEGRATED OIL & GAS (0.4%)
 1,000 Husky Energy, Inc. 7.25 12/15/2019 1,158
 1,000 Nakilat, Inc. (c) 6.07 12/31/2033 907
 667 PEMEX Finance Ltd. 8.88 11/15/2010 692

9 | USAA Intermediate-Term Bond Fund

PRINCIPAL MARKET
AMOUNT COUPON VALUE
(000) SECURITY RATE MATURITY (000)
----------------------------------------------------------------------------------------------------------
$ 300 PEMEX Finance Ltd. 9.03 % 2/15/2011 $ 310
 2,000 Trans-Canada Pipelines Ltd. 6.35 5/15/2067 1,864
 ---------------
 4,931
 ---------------
 OIL & GAS DRILLING (0.1%)
 317 Delek & Avner-Yam Tethys Ltd. (c) 1.58(b) 8/01/2013 317
 432 Delek & Avner-Yam Tethys Ltd. (c) 5.33 8/01/2013 436
 ---------------
 753
 ---------------
 OIL & GAS EXPLORATION & PRODUCTION (0.4%)
 1,500 Talisman Energy, Inc. 7.75 6/01/2019 1,786
 2,000 Woodside Finance Ltd. (c) 8.75 3/01/2019 2,378
 ---------------
 4,164
 ---------------
 Total Energy 9,848
 ---------------

 FINANCIALS (4.7%)
 -----------------
 DIVERSIFIED BANKS (3.1%)
 1,000 Banco Santander (c) 5.38 12/09/2014 1,035
 4,000 Barclays Bank plc (c),(d) 5.93 -(e) 3,160
 3,000 BayernLB Capital Trust I 6.20 -(e) 1,260
 2,000 BBVA International Preferred S.A.
 Unipersonal (c) 5.92 -(e) 1,602
 2,000 BNP Paribas (c) 5.19 -(e) 1,675
 1,000 BOI Capital Funding Number 2, LP (c) 5.57 -(e) 455
 2,000 BOI Capital Funding Number 3, LP (c) 6.11 -(e) 910
 3,000 HBOS plc (c),(d) 5.38 -(e) 2,265
 1,000 HSBC Capital Funding, LP (c) 9.55 -(e) 1,035
 4,000 ING Groep N.V. 5.78 -(e) 2,924
 4,000 Lloyds TSB Group plc (c),(d) 6.27 -(e) 2,603
 3,000 Mizuho Capital Investment 1 Ltd. (c) 6.69 -(e) 2,506
 2,000 MUFG Capital Finance 1 Ltd. 6.35 -(e) 1,850
 2,000 National Capital Trust II (c) 5.49 -(e) 1,642
 2,000 Nordea Bank AB (c) 5.42 -(e) 1,602
 1,500 Rabobank Nederland 5.26 -(e) 1,888
 4,000 Royal Bank of Scotland Group plc 7.64 -(e) 1,962
 2,000 Societe Generale (c) 5.92 -(e) 1,592
 2,000 Standard Chartered plc (c) 6.41 -(e) 1,582
 2,000 Sumitomo Mitsui Financial Group (c) 6.08 -(e) 1,738
 1,000 Westpac Capital Trust IV (c) 5.26 -(e) 790
 ---------------
 36,076
 ---------------
 INVESTMENT BANKING & BROKERAGE (0.1%)
 1,000 Credit Suisse Group, AG 5.50 5/01/2014 1,085
 ---------------
 MULTI-LINE INSURANCE (0.1%)
 2,000 AXA S.A. (c) 6.46 -(e) 1,678
 ---------------
 OTHER DIVERSIFIED FINANCIAL SERVICES (0.4%)
 2,500 ZFS Finance USA Trust I (c) 6.15 12/15/2065 2,250
 3,000 ZFS Finance USA Trust II (c) 6.45 12/15/2065 2,730
 ---------------
 4,980
 ---------------
 PROPERTY & CASUALTY INSURANCE (0.3%)
 1,000 Allied World Assurance Holdings Ltd. 7.50 8/01/2016 1,044
 3,000 Catlin Insurance Co. Ltd. (c) 7.25 -(e) 2,325
 ---------------
 3,369
 ---------------
 REGIONAL BANKS (0.3%)
 4,000 Credit Agricole S.A. (c) 6.64 -(e) 3,220
 ---------------
 REINSURANCE (0.3%)
 2,624 Max USA Holdings Ltd. (c) 7.20 4/14/2017 2,184
 ---------------

Portfolio of Investments | 10

 PRINCIPAL MARKET
 AMOUNT COUPON VALUE
 (000) SECURITY RATE MATURITY (000)
 ----------------------------------------------------------------------------------------------------------
$ 1,000 Platinum Underwriters Finance, Inc. 7.50% 6/01/2017 $ 961
 ---------------
 3,145
 ---------------
 SPECIALIZED FINANCE (0.1%)
 1,000 QBE Capital Funding II, LP (c) 6.80 -(e) 815
 ---------------
 Total Financials 54,368

 INDUSTRIALS (0.5%)
 ------------------
 BUILDING PRODUCTS (0.2%)
 2,000 CRH America, Inc. 6.00 9/30/2016 2,073
 ---------------
 INDUSTRIAL CONGLOMERATES (0.3%)
 2,000 Hutchison Whampoa Ltd. (c) 7.63 4/09/2019 2,263
 1,000 Siemens Financieringsmat (c) 6.13 8/17/2026 1,096
 ---------------
 Total Industrials 5,432
 ---------------

 MATERIALS (0.7%)
 ----------------
 DIVERSIFIED METALS & MINING (0.4%)
 2,000 Glencore Funding, LLC (c) 6.00 4/15/2014 1,964
 3,000 Noranda, Inc. 6.00 10/15/2015 3,020
 ---------------
 4,984
 ---------------
 GOLD (0.2%)
 2,000 Barrick Gold Corp. 6.95 4/01/2019 2,287
 ---------------
 STEEL (0.1%)
 1,000 ArcelorMittal 9.00 2/15/2015 1,155
 ---------------
 Total Materials 8,426
 ---------------
 Total Eurodollar and Yankee Obligations (cost: $86,298) 78,074
 ---------------

 ASSET-BACKED SECURITIES (11.3%)

 FINANCIALS (11.1%)
 ------------------
 ASSET-BACKED FINANCING (11.1%)
 598 Aerco Ltd. (c) 0.77 (b) 7/15/2025 600
 4,000 AESOP Funding II, LLC (c) 0.47 (b) 3/20/2012 3,803
 3,000 AESOP Funding II, LLC (c) 9.31 10/20/2013 3,310
 339 Airport Airplanes 0.62 (b) 3/15/2019 321
 2,000 American Express Credit Account Master
 Trust (c) 0.53 (b) 3/17/2014 1,916
 3,000 American Express Credit Account Master
 Trust (c) 0.60 (b) 9/15/2016 2,751
 5,000 AmeriCredit Automobile Receivables Trust 6.96 10/14/2014 5,274
 2,000 Banc of America Securities Auto Trust 5.51 2/19/2013 2,001
 3,000 Bank of America Auto Trust (c) 5.73 1/20/2013 3,163
 4,405 Bank One Issuance Trust (d) 4.77 2/16/2016 4,409
 2,000 Bank One Issuance Trust 1.05 (b) 2/15/2017 1,836
 2,000 Cabela's Credit Card Master Note Trust
 (c) 5.26 10/15/2014 2,063
 1,099 Capital One Auto Finance Trust 5.03 4/15/2012 1,113
 1,558 Capital One Auto Finance Trust 5.13 4/16/2012 1,592
 984 Capital One Auto Finance Trust (INS) 4.71 6/15/2012 995
 984 Capital One Auto Finance Trust 0.28 (b) 5/15/2013 969
 3,000 Capital One Multi-Asset Execution Trust 6.00 8/15/2013 3,073
 2,000 Caterpillar Financial Asset Trust 4.94 4/25/2014 2,044
 2,670 CenterPoint Energy Transition Bond Co.,
 LLC 4.19 2/01/2020 2,833
 1,000 Citibank Credit Card Issuance Trust 6.95 2/18/2014 1,051
 4,000 Citibank Credit Card Issuance Trust 6.30 6/20/2014 4,136
 1,000 Citibank Credit Card Issuance Trust 5.50 3/24/2017 969
 1,000 Citibank Credit Card Issuance Trust 5.65 9/20/2019 1,107
 5,000 CPS Auto Receivables Trust (INS) 6.48 7/15/2013 5,059
 172 Credit Acceptance Auto Dealer Loan Trust 6.16 4/15/2013 171

11 | USAA Intermediate-Term Bond Fund

 PRINCIPAL MARKET
 AMOUNT COUPON VALUE
 (000) SECURITY RATE MATURITY (000)
 ----------------------------------------------------------------------------------------------------------
$ 530 Detroit Edison 6.19 % 3/01/2013 $ 555
 2,000 Ford Credit Auto Owner Trust 2.00 (b) 4/15/2013 2,030
 3,000 GE Capital Credit Card Master Note Trust 0.52 (b) 3/15/2013 2,953
 1,000 GE Capital Credit Card Master Note Trust 0.26 (b) 6/15/2013 994
 1,000 GE Capital Credit Card Master Note Trust 0.29 (b) 3/15/2015 963
 2,500 GE Dealer Floorplan Master Trust 0.26 (b) 7/20/2012 2,472
 1,537 GE Equipment Midticket, LLC 0.28 (b) 10/15/2012 1,527
 2,463 GE Equipment Midticket, LLC 0.40 (b) 9/15/2017 2,283
 1,333 Hertz Vehicle Financing, LLC (c) 5.01 2/25/2011 1,341
 2,000 Hertz Vehicle Financing, LLC (c) 5.08 11/25/2011 2,044
 2,000 Hertz Vehicle Financing, LLC (c) 5.08 11/25/2011 2,044
 3,000 Hertz Vehicle Financing, LLC (c) -- 3/25/2014 3,018
 2,241 HSBC Automotive Trust 4.94 11/19/2012 2,303
 2,000 HSBC Private Label Credit Card Master
 Note Trust 0.27 (b) 12/16/2013 1,994
 5,000 Huntington Auto Trust (c) 4.81 4/16/2012 5,145
 2,000 Hyundai Auto Receivables Trust 5.48 11/17/2014 2,134
 2,000 MBNA Master Credit Card Note Trust 6.80 7/15/2014 2,083
 3,000 Nissan Auto Receivables Owner Trust 5.05 11/17/2014 3,183
 7,500 Rental Car Finance Corp. (c),(d) 0.38 (b) 7/25/2013 6,446
 5,289 SLM Student Loan Trust 0.64 (b) 4/25/2025 4,085
 6,045 SLM Student Loan Trust 0.66 (b) 4/25/2025 4,665
 1,479 SLM Student Loan Trust 0.48 (b) 10/27/2025 1,101
 1,879 SLM Student Loan Trust 0.83 (b) 10/25/2038 1,414
 441 Triad Auto Receivables Owners Trust 5.30 10/12/2011 444
 2,261 Trinity Rail Leasing, LP (INS)(g) 5.27 8/14/2027 2,043
 4,850 Trinity Rail Leasing, LP (c) 5.90 5/14/2036 4,480
 1,525 USXL Funding, LLC (INS)(c) 5.38 4/15/2014 1,526
 3,000 Wachovia Auto Owner Trust 5.35 3/20/2014 3,162
 3,000 WFS Financial Owner Trust 4.76 5/17/2013 3,030
 ---------------
 128,021
 ---------------
 Total Financials 128,021
 ---------------

 INDUSTRIALS (0.2%)
 ------------------
 AIRLINES (0.2%)
 2,830 United Airlines, Inc. Pass-Through Trust 7.78 1/01/2014 2,814
 ---------------
 Total Asset-Backed Securities (cost: $123,470) 130,835
 ---------------

 COMMERCIAL MORTGAGE SECURITIES (17.9%)

 FINANCIALS (17.9%)
 ------------------
 COMMERCIAL MORTGAGE-BACKED SECURITIES (17.2%)
 2,000 Banc of America Commercial Mortgage,
 Inc. 6.40 (b) 1/10/2018 1,189
 2,000 Banc of America Commercial Mortgage,
 Inc. 6.97 4/15/2036 2,056
 870 Banc of America Commercial Mortgage,
 Inc. 6.56 4/11/2037 721
 3,000 Banc of America Commercial Mortgage,
 Inc. 4.56 11/10/2041 2,962
 1,000 Banc of America Commercial Mortgage,
 Inc. 5.26 11/10/2042 662
 1,000 Banc of America Commercial Mortgage,
 Inc. 5.26 11/10/2042 339
 2,000 Banc of America Commercial Mortgage,
 Inc. 4.77 7/10/2043 1,301
 4,000 Banc of America Commercial Mortgage, Inc.
 (d) 5.91 (b) 5/10/2045 4,142
 2,000 Banc of America Commercial Mortgage,
 Inc. 5.35 9/10/2047 1,729
 3,366 Banc of America Commercial Mortgage, Inc.
 (c) 5.46 9/10/2047 2,668
 962 Banc of America Commercial Mortgage, Inc.
 (c) 5.50 9/10/2047 619
 1,500 Bear Stearns Commercial Mortgage
 Securities, Inc. (c) 6.00 6/16/2030 1,096
 3,000 Bear Stearns Commercial Mortgage
 Securities, Inc. 5.63 (b) 4/12/2038 3,188
 1,007 Bear Stearns Commercial Mortgage
 Securities, Inc. 4.00 3/13/2040 1,018
 2,000 Bear Stearns Commercial Mortgage
 Securities, Inc. 5.53 (b) 10/12/2041 2,118

Portfolio of Investments | 12

 PRINCIPAL MARKET
 AMOUNT COUPON VALUE
 (000) SECURITY RATE MATURITY (000)
 ----------------------------------------------------------------------------------------------------------
$ 2,000 Bear Stearns Commercial Mortgage
 Securities, Inc. 4.82 % 2/13/2042 $ 2,079
 4,000 Chase Commercial Mortgage Securities
 Corp. (d) 7.73 1/15/2032 4,003
 1,000 Citigroup Commercial Mortgage Trust 5.40 7/15/2044 467
 2,000 Citigroup Commercial Mortgage Trust (c) 4.83 9/20/2051 1,434
 1,000 Commercial Mortgage Asset Trust 7.64 11/17/2032 954
 3,000 Commercial Mortgage Trust 4.58 10/15/2037 2,840
 3,989 Commercial Mortgage Trust (c) 5.65 3/03/2041 2,964
 3,000 Commercial Mortgage Trust 5.12 6/10/2044 2,872
 2,500 Credit Suisse First Boston Mortgage
 Capital 5.71 2/15/2039 2,329
 3,525 Credit Suisse First Boston Mortgage
 Securities Corp. (c) 6.65 12/18/2035 3,563
 754 Credit Suisse First Boston Mortgage
 Securities Corp. 4.30 7/15/2036 758
 2,000 Credit Suisse First Boston Mortgage
 Securities Corp. 4.92 4/15/2037 1,204
 3,000 Credit Suisse First Boston Mortgage
 Securities Corp. 5.10 8/15/2038 2,996
 1,300 Credit Suisse First Boston Mortgage
 Securities Corp. 5.10 8/15/2038 1,099
 1,000 Credit Suisse First Boston Mortgage
 Securities Corp. 4.82 10/15/2039 423
 831 Credit Suisse First Boston Mortgage
 Securities Corp. 7.17 5/17/2040 848
 4,000 Credit Suisse First Boston Mortgage
 Securities Corp. 5.21 12/15/2040 4,063
 2,000 Credit Suisse First Boston Mortgage
 Securities Corp. 5.23 12/15/2040 458
 1,735 Deutsche Mortgage & Asset Receiving
 Corp. 7.50 6/15/2031 1,643
 751 Diversified REIT (c) 6.97 3/08/2010 700
 530 G-Force, LLC (c) 4.39 8/22/2036 461
 1,500 GE Capital Commercial Mortgage Corp. (c) 5.34 12/10/2037 1,398
 2,200 GE Capital Commercial Mortgage Corp. 6.26 6/10/2038 2,246
 1,000 GE Capital Commercial Mortgage Corp. 5.51 (b) 11/10/2045 207
 1,200 GE Commercial Mortgage Corp. 5.51 (b) 11/10/2045 1,228
 2,894 GE Commercial Mortgage Corp. 4.35 6/10/2048 2,893
 622 GMAC Commercial Mortgage Securities,
 Inc. 7.19 (b) 5/15/2033 623
 2,000 GMAC Commercial Mortgage Securities,
 Inc. 6.50 5/15/2035 1,999
 119 GMAC Commercial Mortgage Securities,
 Inc. 6.50 5/15/2035 122
 1,500 GMAC Commercial Mortgage Securities,
 Inc. 5.04 (b) 12/10/2041 489
 2,829 GMAC Commercial Mortgage Securities,
 Inc. 4.81 5/10/2043 2,175
 2,000 Greenwich Capital Commercial Funding
 Corp. 5.12 4/10/2037 2,007
 2,188 GS Mortgage Securities Corp. II (c) 6.04 8/15/2018 2,172
 2,000 GS Mortgage Securities Corp. II 5.53 8/10/2038 892
 5,000 J.P. Morgan Chase Commercial Mortgage
 Securities Corp. (d) 4.82 9/12/2037 5,033
 4,000 J.P. Morgan Chase Commercial Mortgage
 Securities Corp. 4.99 9/12/2037 3,061
 2,000 J.P. Morgan Chase Commercial Mortgage
 Securities Corp. 5.49 4/15/2043 2,100
 2,000 J.P. Morgan Chase Commercial Mortgage
 Securities Corp. 5.79 6/12/2043 2,006
 5,000 J.P. Morgan Chase Commercial Mortgage
 Securities Corp. (d) 5.42 12/12/2043 5,084
 2,025 J.P. Morgan Chase Commercial Mortgage
 Securities Corp. 5.30 (b) 12/15/2044 1,549
 3,000 J.P. Morgan Chase Commercial Mortgage
 Securities Corp. 5.34 (b) 12/15/2044 2,998
 4,000 J.P. Morgan Chase Commercial Mortgage
 Securities Corp. (d) 5.88 (b) 4/15/2045 4,261
 1,000 J.P. Morgan Chase Commercial Mortgage
 Securities Corp. 5.37 5/15/2045 1,045
 4,544 J.P. Morgan Chase Commercial Mortgage
 Securities Corp. 4.63 3/15/2046 4,548

13 | USAA Intermediate-Term Bond Fund

 PRINCIPAL MARKET
 AMOUNT COUPON VALUE
 (000) SECURITY RATE MATURITY (000)
 ----------------------------------------------------------------------------------------------------------
$ 1,000 LB-UBS Commercial Mortgage Trust (c) 6.83% 7/14/2016 $ 1,024
 4,000 LB-UBS Commercial Mortgage Trust 4.58 8/15/2029 3,882
 4,220 LB-UBS Commercial Mortgage Trust 4.51 12/15/2029 4,210
 3,400 LB-UBS Commercial Mortgage Trust 5.47 11/15/2030 3,360
 3,000 LB-UBS Commercial Mortgage Trust 5.64 (b) 3/15/2032 3,096
 2,000 LB-UBS Commercial Mortgage Trust 5.39 4/15/2040 583
 3,000 Machine One Trust (c),(d) 5.22 5/28/2040 2,218
 2,000 Merrill Lynch Mortgage Trust 5.41 11/12/2037 1,175
 2,000 Merrill Lynch Mortgage Trust 5.27 (b) 7/12/2038 1,028
 2,000 Merrill Lynch Mortgage Trust 4.86 10/12/2041 2,001
 2,285 Merrill Lynch Mortgage Trust 4.92 10/12/2041 1,767
 4,000 Merrill Lynch Mortgage Trust 5.76 8/12/2043 4,050
 2,000 Merrill Lynch Mortgage Trust 5.55 (b) 1/12/2044 464
 2,000 Merrill Lynch Mortgage Trust (c) 6.46 2/12/2051 376
 2,000 Merrill Lynch Mortgage Trust 6.46 2/12/2051 1,149
 2,000 Merrill Lynch-Countrywide Commercial
 Mortgage Trust 6.11 (b) 6/12/2046 1,083
 2,000 Merrill Lynch-Countrywide Commercial
 Mortgage Trust 5.38 (b) 7/12/2046 1,966
 4,000 Morgan Stanley Capital I, Inc. 5.97 (b) 8/12/2041 4,328
 4,600 Morgan Stanley Capital I, Inc. 5.69 7/12/2044 4,905
 3,445 Morgan Stanley Capital I, Inc. 4.89 6/12/2047 3,383
 5,000 Morgan Stanley Dean Witter Capital I,
 Inc. (c),(d) 5.13 5/24/2043 3,897
 2,000 Morgan Stanley Dean Witter Capital I,
 Inc. 4.54 7/15/2056 1,993
 3,000 Mortgage Capital Funding, Inc. 7.18 (b) 6/18/2030 2,977
 3,213 Prudential Securities Secured Financing
 Corp. 6.76 6/16/2031 3,252
 1,000 SBA Commercial Mortgage-Backed Trust (c) 5.56 11/15/2036 924
 1,583 Structured Asset Securities Corp. 7.15 10/12/2034 1,620
 2,000 Timberstar Trust (c) 5.75 10/15/2036 1,797
 8,012 Wachovia Bank Commercial Mortgage Trust 5.00 7/15/2041 8,081
 2,000 Wachovia Bank Commercial Mortgage Trust 5.08 3/15/2042 1,996
 2,000 Wachovia Bank Commercial Mortgage Trust 4.81 4/15/2042 2,078
 5,000 Wachovia Bank Commercial Mortgage Trust 5.62 7/15/2045 5,049
 5,000 Wachovia Bank Commercial Mortgage Trust
 (d) 5.50 10/15/2048 5,060
 ---------------
 198,874
 ---------------
 ESCROWED BONDS (0.3%)
 1,000 GS Mortgage Securities Corp. II 6.62 5/03/2018 1,054
 2,000 Hilton Hotels Pool Trust (c) 7.46 10/03/2015 2,104
 ---------------
 3,158
 ---------------
 INTEREST-ONLY COMMERCIAL MORTGAGE-BACKED SECURITIES (0.4%)
 27,945 Credit Suisse First Boston Mortgage
 Securities Corp., acquired
 8/30/2004; cost $1,209(c),(h) 0.95 1/15/2037 344
 24,577 Credit Suisse First Boston Mortgage
 Securities Corp., acquired
 6/17/2003 & 12/05/2007; cost
 $1,168(c),(h) 1.69 5/15/2038 256
 18,913 Greenwich Capital Commercial Funding
 Corp., acquired 7/17/2003 &
 8/13/2003; cost $1,083(c),(h) 1.99 1/11/2035 40
 64,383 GS Mortgage Securities Corp. II, acquired
 5/13/2004; cost $968(c),(h) 0.19 5/03/2018 229
 39,190 J.P. Morgan Chase Commercial Mortgage
 Securities Corp., acquired
 8/05/2009; cost $510(c),(h) 0.69 1/12/2037 508
 62,097 LB-UBS Commercial Mortgage Trust,
 acquired 8/05/2009; cost
 $944(c),(h) 1.05 3/15/2036 825
 128,981 LB-UBS Commercial Mortgage Trust,
 acquired 7/22/2009; cost
 $1,663(c),(h) 0.60 10/15/2036 1,773
 6,398 LB-UBS Commercial Mortgage Trust,
 acquired 7/16/2003; cost
 $323(c),(h) 0.56 4/15/2037 31
 48,604 Morgan Stanley Cap I, Inc., acquired
 8/05/2009; cost $720(c),(h) 0.40 6/12/2047 697

Portfolio of Investments | 14

 PRINCIPAL MARKET
 AMOUNT COUPON VALUE
 (000) SECURITY RATE MATURITY (000)
 ----------------------------------------------------------------------------------------------------------
$ 11,027 Morgan Stanley Dean Witter Capital I,
 Inc., acquired 1/23/2004; cost
 $600(c),(h) 0.87% 9/13/2045 $ 185
 ---------------
 4,888
 ---------------
 Total Financials 206,920
 ---------------
 Total Commercial Mortgage Securities (cost: $224,041) 206,920
 ---------------

 U.S. GOVERNMENT AGENCY ISSUES (6.3%)(I)
 ---------------------------------------
 COLLATERALIZED MORTGAGE OBLIGATIONS (0.3%)
 2,000 Freddie Mac (+) 4.50 1/15/2029 2,092
 756 Freddie Mac (+) 6.00 2/15/2013 779
 ---------------
 2,871
 ---------------
 INTEREST-ONLY COMMERCIAL MORTGAGE-BACKED SECURITIES (0.0%)
 3,171 Government National Mortgage Assn. 1.75 7/16/2010 39
 ---------------
 MORTGAGE-BACKED PASS-THROUGH SECURITIES (6.0%)
 7,373 Fannie Mae (+) 5.50 11/01/2037 7,774
 4,190 Fannie Mae (+) 5.50 6/01/2038 4,418
 8,148 Fannie Mae (+) 6.00 4/01/2037 8,674
 8,683 Fannie Mae (+) 6.00 7/01/2037 9,244
 14,808 Fannie Mae (+) 6.00 11/01/2037 15,765
 6,694 Fannie Mae (+) 6.00 11/01/2037 7,126
 3,614 Fannie Mae (+) 6.00 11/01/2037 3,848
 3,877 Fannie Mae (+) 6.00 7/01/2038 4,127
 4,421 Fannie Mae (+) 6.00 8/01/2038 4,703
 1,546 Freddie Mac (+) 5.00 9/01/2020 1,646
 2,350 Freddie Mac (+) 5.50 4/01/2036 2,479
 ---------------
 69,804
 ---------------
 Total U.S. Government Agency Issues (cost: $68,830) 72,714
 ---------------

 MUNICIPAL BONDS (2.5%)
 AIRPORT/PORT (0.3%)
 2,000 College Park (INS) 5.76 1/01/2015 1,975
 1,695 Riverside (INS) 5.19 8/01/2017 1,570
 ---------------
 3,545
 ---------------
 APPROPRIATED DEBT (0.2%)
 1,500 Kentucky State Property and Buildings
 Commission (j) 4.08 11/01/2015 1,509
 1,105 Reeves County (INS) 5.75 3/01/2012 1,101
 ---------------
 2,610
 ---------------
 CASINOS & GAMING (0.3%)
 1,000 Mashantucket (Western) Pequot Tribe,
 acquired 7/29/2005; cost
 $1,000(c),(h) 5.91 9/01/2021 608
 3,055 Seneca Nation of Indians Capital
 Improvements Auth. (d) 6.75 12/01/2013 2,857
 ---------------
 3,465
 ---------------
 EDUCATION (0.2%)
 1,845 California State Univ. (INS) 5.27 11/01/2017 1,859
 1,000 Univ. of Oklahoma 5.25 11/01/2019 1,036
 ---------------
 2,895
 ---------------

15 | USAA Intermediate-Term Bond Fund

 PRINCIPAL MARKET
 AMOUNT COUPON VALUE
 (000) SECURITY RATE MATURITY (000)
 ----------------------------------------------------------------------------------------------------------
 ELECTRIC UTILITIES (0.2%)
$ 2,000 American Municipal Power, Inc. 3.82% 2/15/2014 $ 2,027
 ---------------
 ELECTRIC/GAS UTILITIES (0.1%)
 1,000 North Carolina Eastern Municipal Power
 Agency 5.23 1/01/2011 1,012
 ---------------
 GENERAL OBLIGATION (0.1%)
 1,000 Riverside (INS) 4.21 2/15/2011 1,023
 ---------------
 HOSPITAL (0.1%)
 1,000 Medical Univ. (INS) 5.01 2/15/2015 971
 ---------------
 MISCELLANEOUS (0.1%)
 841 Keenan Dev. Association of Tennessee, LLC
 (INS) 5.02 7/15/2028 751
 ---------------
 MULTIFAMILY HOUSING (0.1%)
 1,080 American Eagle Northwest LLC 4.97 12/15/2018 1,071
 ---------------
 NURSING/CCRC (0.1%)
 2,000 Statewide Communities Dev. Auth. (INS) 5.59 2/01/2015 1,869
 ---------------
 OIL & GAS REFINING & MARKETING (0.1%)
 1,000 Harris County 5.68 3/01/2023 1,001
 ---------------
 SPECIAL ASSESSMENT/TAX/FEE (0.5%)
 1,565 Erie County Tobacco Asset Securitization
 Corp. 6.00 6/01/2028 1,211
 1,000 New York State Environmental Facilities
 Corp. (INS) 4.02 12/15/2009 1,004
 1,000 New York State Housing Finance Agency 5.19 9/15/2011 1,063
 2,000 New York State Urban Dev. Corp. (INS) 4.38 12/15/2011 2,108
 ---------------
 5,386
 ---------------
 WATER/SEWER UTILITY (0.1%)
 1,885 Escondido Joint Powers Financing Auth.
 (INS) 5.53 9/01/2018 1,826
 ---------------
 Total Municipal Bonds (cost: $30,514) 29,452
 ---------------

 PRINCIPAL
 AMOUNT MARKET
 $(000)/ VALUE
 SHARES SECURITY (000)
----------------------------------------------------------------------------------------------------------

 PREFERRED SECURITIES (1.1%)

 CONSUMER STAPLES (0.3%)
 -----------------------
 AGRICULTURAL PRODUCTS (0.3%)
 50,000 Dairy Farmers of America, Inc., 7.88%, cumulative redeemable, perpetual
 (c) 3,541
 ---------------

 FINANCIALS (0.6%)
 -----------------
 DIVERSIFIED BANKS (0.1%)
 50,000 HSBC Holdings, 6.20%, perpetual * 1,074
 ---------------
 LIFE & HEALTH INSURANCE (0.1%)
 100,000 Delphi Financial Group, Inc., 7.38%, perpetual * 1,741
 ---------------

Portfolio of Investments | 16

 PRINCIPAL
 AMOUNT MARKET
 $(000)/ VALUE
 SHARES SECURITY (000)
----------------------------------------------------------------------------------------------------------
 Reinsurance (0.2%)
 2,000 Ram Holdings Ltd., 7.50%, non-cumulative, perpetual * $ 100
 $3,000 Swiss Re Capital I LP, 6.85%, perpetual (c) 2,313
 ---------------
 2,413
 ---------------
 REITS - INDUSTRIAL (0.1%)
 30,000 AMB Property Corp., Series C, 7.00%, cumulative redeemable, perpetual 664
 ---------------
 REITS - SPECIALIZED (0.1%)
 40,000 Public Storage, Inc., 7.00%, perpetual * 921
 ---------------
 Total Financials 6,813
 ---------------

 GOVERNMENT (0.0%)(I)
 --------------------
 U.S. GOVERNMENT (0.0%)
 80,000 Fannie Mae, 8.25%, perpetual * 93
 80,000 Freddie Mac, 8.38%, perpetual * 88
 ---------------
 181
 ---------------
 Total Government 181
 ---------------

 TELECOMMUNICATION SERVICES (0.2%)
 ---------------------------------
 WIRELESS TELECOMMUNICATION SERVICES (0.2%)
 2,000 Centaur Funding Corp., 9.08% (c) 2,012
 ---------------
 Total Preferred Securities (cost: $20,610) 12,547
 ---------------

 PRINCIPAL MARKET
 AMOUNT COUPON VALUE
 (000) SECURITY RATE MATURITY (000)
 ----------------------------------------------------------------------------------------------------------
 MONEY MARKET INSTRUMENTS (2.2%)

 COMMERCIAL PAPER (0.3%)

 CONSUMER STAPLES (0.3%)
 -----------------------
 PACKAGED FOODS & MEAT (0.3%)
$ 3,000 Kraft Foods, Inc. 0.33% 11/18/2009 2,999
 ---------------

 VARIABLE-RATE DEMAND NOTES (0.9%)

 MUNICIPAL BONDS (0.9%)
 ----------------------
 HOSPITAL (0.9%)
 10,000 Johnson City Health and Educational
 Facilities Board (LOC - Regions
 Bank) 3.10 7/01/2033 10,000
 ---------------

Number of
Shares Security
----------------------------------------------------------------------------------------------------------

 MONEY MARKET FUNDS (1.0%)
11,779,609 State Street Institutional Liquid Reserve Fund, 0.25% (k) 11,780
 ---------------
 Total Money Market Instruments
 (cost: $24,779) 24,779
 ---------------


 TOTAL INVESTMENTS (COST: $1,163,026) $ 1,152,803
 ===============

17 | USAA Intermediate-Term Bond Fund

($ IN 000S) VALUATION HIERARCHY

 (LEVEL 1) (LEVEL 2) (LEVEL 3)
 QUOTED PRICES OTHER SIGNIFICANT
 IN ACTIVE SIGNIFICANT UNOBSERVABLE
 MARKETS OBSERVABLE INPUTS
 OR IDENTICAL INPUTS
 ASSETS TOTAL
---------------------------------------------------------------------------------------------------------
 CORPORATE OBLIGATIONS $ -- $ 597,482 $ -- $ 597,482
 EURODOLLAR AND YANKEE OBLIGATIONS -- 78,074 -- 78,074
 ASSET-BACKED SECURITIES -- 128,792 2,043 130,835
 COMMERCIAL MORTGAGE SECURITIES -- 206,920 -- 206,920
 U.S. GOVERNMENT AGENCY ISSUES -- 72,714 -- 72,714
 MUNICIPAL BONDS -- 29,452 -- 29,452
EQUITY SECURITIES:
 PREFERRED SECURITIES 88 12,459 -- 12,547
MONEY MARKET INSTRUMENTS:
 COMMERCIAL PAPER -- 2,999 -- 2,999
 VARIABLE-RATE DEMAND NOTES -- 10,000 -- 10,000
 MONEY MARKET FUNDS 11,780 -- -- 11,780
---------------------------------------------------------------------------------------------------------
Total $ 11,868 $ 1,138,892 $ 2,043 $ 1,152,803
---------------------------------------------------------------------------------------------------------

Reconciliation of investments in which significant unobservable inputs (Level 3) were used in determining value:

 Corporate Obligations Asset-Backed Securities
-------------------------------------------------------------------------------------------------
Balance as of July 31, 2009 $1,555,000 $4,566,000

Net realized gain (loss) - -

Change in net unrealized 813,000 831,000
appreciation/depreciation

Net purchases (sales) - (44,000)

Transfers in and/or out of Level 3 (2,368,000) (3,310,000)
-------------------------------------------------------------------------------------------------
Balance as of July 31, 2009 $- $2,043,000
-------------------------------------------------------------------------------------------------

Portfolio of Investments | 18

NOTES TO PORTFOLIO
OF INVESTMENTS

October 31, 2009 (unaudited)

GENERAL NOTES

USAA MUTUAL FUNDS TRUST (the Trust), registered under the Investment Company Act of 1940 (the 1940 Act), as amended, is an open-end management investment company organized as a Delaware statutory trust consisting of 45 separate funds. The information presented in this quarterly report pertains only to the USAA Intermediate-Term Bond Fund (the Fund), which is classified as diversified under the 1940 Act.

The Fund has two classes of shares: Intermediate-Term Bond Fund Shares and Intermediate-Term Bond Fund Institutional Shares. Each class of shares has equal rights to assets and earnings, except that each class bears certain class-related expenses specific to the particular class. These expenses include administration and servicing fees, transfer agent fees, postage, shareholder reporting fees, and certain registration and custodian fees. Expenses not attributable to a specific class, income, and realized gains or losses on investments are allocated to each class of shares based on each class's relative net assets. Each class has exclusive voting rights on matters related solely to that class and separate voting rights on matters that relate to both classes. The Institutional Shares are currently only offered for sale to the USAA Target Retirement Funds (Target Funds) and not to the general public. The Target Funds are managed by USAA Investment Management Company (the Manager), an affiliate of the Fund.

A. SECURITY VALUATION - The value of each security is determined (as of the close of trading on the New York Stock Exchange (NYSE) on each business day the NYSE is open) as set forth below:

1. Debt securities with maturities greater than 60 days are valued each business day by a pricing service (the Service) approved by the Trust's Board of Trustees. The Service uses an evaluated mean between quoted bid and asked prices or the last sales price to price securities when, in the Service's judgment, these prices are readily available and are representative of the securities' market values. For many securities, such prices are not readily available. The Service generally prices these securities based on methods that include consideration of yields or prices of securities of comparable quality, coupon, maturity, and type; indications as to values from dealers in securities; and general market conditions.

2. Equity securities, including exchange-traded funds (ETFs), except as otherwise noted, traded primarily on a domestic securities exchange or the Nasdaq over-the-counter markets are valued at the last sales price or official closing price on the exchange or primary market on which they trade. Equity securities traded primarily on foreign securities exchanges or markets are valued at the last quoted sales price, or the most recently determined official closing price calculated according to local market convention, available at the time the Fund is valued. If no last sale or official closing price is reported or available, the average of the bid and asked prices generally is used.

19 | USAA Intermediate-Term Bond Fund

3. Investments in open-end investment companies, hedge, or other funds, other than ETFs, are valued at their NAV at the end of each business day.

4. Debt securities purchased with original or remaining maturities of 60 days or less may be valued at amortized cost, which approximates market value.

5. Futures are valued based upon the last sale price at the close of market on the principal exchange on which they are traded.

6. Securities for which market quotations are not readily available or are considered unreliable, or whose values have been materially affected by events occurring after the close of their primary markets but before the pricing of the Fund, are valued in good faith at fair value, using methods determined by the Manager under valuation procedures approved by the Trust's Board of Trustees. The effect of fair value pricing is that securities may not be priced on the basis of quotations from the primary market in which they are traded and the actual price realized from the sale of a security may differ materially from the fair value price. Valuing these securities at fair value is intended to cause the Fund's NAV to be more reliable than it otherwise would be.

Fair value methods used by the Manager include, but are not limited to, obtaining market quotations from secondary pricing services, broker-dealers, or widely used quotation systems. General factors considered in determining the fair value of securities include fundamental analytical data, the nature and duration of any restrictions on disposition of the securities, and an evaluation of the forces that influenced the market in which the securities are purchased and sold.

B. FAIR VALUE MEASUREMENTS - Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The three-level valuation hierarchy disclosed in the portfolio of investments is based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date. The three levels are defined as follows:

Level 1 - inputs to the valuation methodology are quoted prices (unadjusted) in active markets for identical securities.

Level 2 - inputs to the valuation methodology are other significant observable inputs, including quoted prices for similar securities, inputs that are observable for the securities, either directly or indirectly, and market-corroborated inputs such as market indices.

Level 3 - inputs to the valuation methodology are unobservable and significant to the fair value measurement, including the Manager's own assumptions in determining the fair value.

The inputs or methodologies used for valuing securities are not necessarily an indication of the risks associated with investing in those securities.

For the securities valued using significant unobservable inputs, market quotations were not available from the pricing services. As such, the securities were valued in good faith using methods determined by the Manager, under valuation procedures approved by the Trust's Board of Trustees.

Notes to Portfolio of Investments | 20

The fair value methods included using inputs such as market quotations obtained from the broker-dealers from which the Fund purchased the securities. Refer to the portfolio of investments for a reconciliation of investments in which significant unobservable inputs (Level 3) were used in determining value.

C. FUTURES CONTRACTS - The Fund is subject to equity price risk, interest rate risk, and foreign currency exchange rate risk in the normal course of pursuing its investment objectives. The Fund may use futures contracts to gain exposure to, or hedge against, changes in the value of equities, interest rates, or foreign currencies. A futures contract represents a commitment for the future purchase or sale of an asset at a specified price on a specified date. Upon entering into such contracts, the Fund is required to deposit with the broker in either cash or securities an initial margin in an amount equal to a certain percentage of the contract amount. Subsequent payments (variation margin) are made or received by the Fund each day, depending on the daily fluctuations in the value of the contract, and are recorded for financial statement purposes as unrealized gains or 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. Upon entering into such contracts, the Fund bears the risk of interest or exchange rates or securities prices moving unexpectedly in an unfavorable direction, in which case, the Fund may not achieve the anticipated benefits of the futures contracts.

D. SECURITIES PURCHASED ON A DELAYED-DELIVERY OR WHEN-ISSUED BASIS - Delivery and payment for securities that have been purchased by the Fund on a delayed-delivery or when-issued basis can take place a month or more after the trade date. During the period prior to settlement, these securities do not earn interest, are subject to market fluctuation, and may increase or decrease in value prior to their delivery. The Fund maintains segregated assets with a market value equal to or greater than the amount of its purchase commitments. The purchase of securities on a delayed-delivery or when-issued basis may increase the volatility of the Fund's NAV to the extent that the Fund makes such purchases while remaining substantially fully invested.

E. SUBSEQUENT EVENTS - Subsequent events are events or transactions that occur after the balance sheet date but before the quarterly report is issued and are categorized as recognized or non-recognized for quarterly report purposes. The Manager has evaluated subsequent events through December 17, 2009, the date the quarterly report was issued, and has determined there were no events that required recognition or disclosure in the Fund's quarterly report.

F. As of October 31, 2009, the cost of securities, for federal income tax purposes, was approximately the same as that reported in the portfolio of investments. Gross unrealized appreciation and depreciation of investments as of October 31, 2009, were $59,636,000 and $69,859,000, respectively, resulting in net unrealized depreciation of $10,223,000.

G. The portfolio of investments category percentages shown represent the percentages of the investments to net assets, which were $1,156,829,000 at October 31, 2009, and, in total, may not equal 100%. A category percentage of 0.0% represents less than 0.1% of net assets. Investments in foreign securities were 6.8% of net assets at October 31, 2009.

21 | USAA Intermediate-Term Bond Fund

CATEGORIES AND DEFINITIONS

ASSET-BACKED AND COMMERCIAL MORTGAGE-BACKED SECURITIES - Asset-backed securities represent a participation in, or are secured by and payable from, a stream of payments generated by particular assets. Commercial mortgage-backed securities reflect an interest in, and are secured by, mortgage loans on commercial real property. The weighted average life is likely to be substantially shorter than the stated final maturity as a result of scheduled and unscheduled principal repayments.

EURODOLLAR AND YANKEE OBLIGATIONS - Eurodollar obligations are dollar-denominated instruments that are issued outside the U.S. capital markets by foreign corporations and financial institutions and by foreign branches of U.S. corporations and financial institutions. Yankee obligations are dollar-denominated instruments that are issued by foreign issuers in the U.S. capital markets.

INTEREST-ONLY COMMERCIAL MORTGAGE-BACKED SECURITIES (CMBS IOS) - represent the right to receive only the interest payments on an underlying pool of commercial mortgage loans. The purchase yield reflects an anticipated yield based upon interest rates at the time of purchase and the estimated timing and amount of future cash flows. Coupon rates after purchase vary from period to period. The principal amount represents the notional amount of the underlying pool on which current interest is calculated. CMBS IOs are backed by loans that have various forms of prepayment protection, which include lock-out provisions, yield maintenance provisions, and prepayment penalties. This serves to moderate their prepayment risk. CMBS IOs are subject to default-related prepayments that may have a negative impact on yield.

VARIABLE-RATE DEMAND NOTES (VRDNS) - provide the right to sell the security at face value on either that day or within the rate-reset period. The interest rate is adjusted at a stipulated daily, weekly, monthly, quarterly, or other specified time interval to reflect current market conditions. VRDNs will normally trade as if the maturity is the earlier put date, even though stated maturity is longer.

PORTFOLIO ABBREVIATIONS AND DESCRIPTIONS

REIT Real estate investment trust

CREDIT ENHANCEMENTS - add the financial strength of the provider of the enhancement to support the issuer's ability to repay the principal and interest payments when due. The enhancement may be provided by a high-quality bank, insurance company or other corporation, or a collateral trust. The enhancements do not guarantee the market values of the securities.

(INS) Principal and interest payments are insured by one of the
 following: ACA Financial Guaranty Corp., AMBAC Assurance Corp.,
 Financial Guaranty Insurance Co., Financial Security Assurance,
 Inc., MBIA Insurance Corp., Radian Asset Assurance, Inc., or XL
 Capital Assurance. Although bond insurance reduces the risk of
 loss due to default by an issuer, such bonds remain subject to
 the risk that value may fluctuate for other reasons, and there is
 no assurance that the insurance company will meet its
 obligations.

Notes to Portfolio of Investments | 22

SPECIFIC NOTES

(a) Senior loan (loan) - is not registered under the Securities Act of 1933. The loan contains certain restrictions on resale and cannot be sold publicly. The interest rate is adjusted periodically, and the rate disclosed represents the current rate at October 31, 2009. The weighted average life of the loan is likely to be substantially shorter than the stated final maturity date due to mandatory or optional prepayments. Security deemed liquid by the Manager, under liquidity guidelines approved by the Trust's Board of Trustees, unless otherwise noted as illiquid.
(b) Variable-rate or floating-rate security - interest rate is adjusted periodically. The interest rate disclosed represents the current rate at October 31, 2009.
(c) Restricted security that is not registered under the Securities Act of 1933. A resale of this security in the United States may occur in an exempt transaction to a qualified institutional buyer as defined by Rule 144A, and as such has been deemed liquid by the Manager under liquidity guidelines approved by the Trust's Board of Trustees, unless otherwise noted as illiquid.
(d) At October 31, 2009, portions of these securities were segregated to cover delayed-delivery and/or when-issued purchases.
(e) Security is perpetual and has no final maturity date but may be subject to calls at various dates in the future.
(f) Currently the issuer is in default with respect to interest and/or principal payments.
(g) Security was fair valued at October 31, 2009, by the Manager in accordance with valuation procedures approved by the Trust's Board of Trustees.
(h) Security deemed illiquid by the Manager, under liquidity guidelines approved by the Trust's Board of Trustees. The aggregate market value of these securities at October 31, 2009, was $5,496,000, which represented 0.5% of the Fund's net assets.
(i) U.S. government agency issues - mortgage-backed securities issued by Government National Mortgage Association (GNMA) and certain other U.S. government guaranteed securities are supported by the full faith and credit of the U.S. government. Securities issued by government-sponsored enterprises, indicated with "+" are supported only by the right of the government-sponsored enterprise to borrow from the U.S. Treasury, the discretionary authority of the U.S. government to purchase the government-sponsored enterprises' obligations, or by the credit of the issuing agency, instrumentality, or corporation, and are neither issued nor guaranteed by the U.S. Treasury.
(j) At October 31, 2009, the aggregate market value of securities purchased on a when-issued basis was $1,509,000.
(k) Rate represents the money market fund annualized seven-day yield at October 31, 2009.
* Non-income-producing security.

23 | USAA Intermediate-Term Bond Fund

ITEM 2. CONTROLS AND PROCEDURES

The principal executive officer and principal financial officer of USAA Mutual Funds Trust (Trust) have concluded that the Trust's disclosure controls and procedures are sufficient to ensure that information required to be disclosed by the Trust in this Form N-Q was recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission's rules and forms, based upon such officers' evaluation of these controls and procedures as of a date within 90 days of the filing date of the report.

There were no significant changes or corrective actions with regard to significant deficiencies or material weaknesses in the Trust's internal controls or in other factors that could significantly affect the Trust's internal controls subsequent to the date of their evaluation.

ITEM 3. EXHIBITS.

Certification pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)) is filed and attached hereto as Exhibit 99.CERT.

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: USAA MUTUAL FUNDS TRUST - Period Ended October 31, 2009

By:* /s/ CHRISTOPHER P. LAIA
 --------------------------------------------------------------
 Signature and Title: Christopher P. Laia, Assistant Secretary

Date: 12-18-2009
 -------------------------------

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:* /s/ CHRISTOPHER W. CLAUS
 -----------------------------------------------------
 Signature and Title: Christopher W. Claus, President

Date: 12-21-2009
 ------------------------------


By:* /s/ ROBERTO GALINDO, JR.
 -----------------------------------------------------
 Signature and Title: Roberto Galindo, Jr., Treasurer

Date: 12-18-2009
 ------------------------------

*PRINT THE NAME AND TITLE OF EACH SIGNING OFFICER UNDER HIS OR HER SIGNATURE.

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