Table of Contents (continued)

The Funds are distributed by Victory Capital Services, Inc. Victory Capital Management Inc. is the investment adviser to the Funds and receives fees from the Funds for performing services for the Funds.

This report is not authorized for distribution to prospective investors unless preceded or accompanied by a current prospectus of the Victory Funds.

For additional information about any Victory Fund, including fees, expenses, and risks, view our prospectus online at www.vcm.com or call 800-539-3863. Read it carefully before you invest or
send money.

The information in this annual report is based on data obtained from recognized services and sources and is believed to be reliable. Any opinions, projections, or recommendations in this report are subject to change without notice and are not intended as individual investment advice. Past investment performance of the Funds, markets or securities mentioned herein should not be considered to be indicative of future results.

• NOT FDIC INSURED • NO BANK GUARANTEE • MAY LOSE VALUE

Call Victory at:

800-539-FUND (800-539-3863)

Visit our website at:

www.vcm.com

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Victory Funds Letter to Shareholders

Dear Shareholder,

What a difference a year makes. Not long ago, we were marveling at the longest-ever bull market in equities. Although the current market environment appears constructive and relatively calm (as of this writing), what has transpired over the past year has been nothing short of astounding.

In fact, the annual period ended June 30, 2020, has been the most unusual period for investors since the Global Financial Crisis or, perhaps, the Great Depression. We entered this year with mundane concerns of interest rates and global trade talks, but that all changed quickly in early 2020. The spread of COVID-19 throughout the United States was an unprecedented event that rendered virtually any economic forecast unreliable. In March, and seemingly overnight, the sentiment pendulum swung from risk-on to risk-off.

The global economy came to an all-stop and equities sold off sharply. Meanwhile, liquidity evaporated in many segments of the fixed-income market, especially higher-yielding credits and anything perceived to be higher risk, which caused credit spreads to widen and depressed prices.

Fortunately, the U.S. Federal Reserve (the "Fed") and other monetary authorities worldwide leapt into action — slashing interest rates, (re)starting quantitative easing and, in the case of the Fed, launching an array of programs to provide liquidity to stabilize fixed-income markets.

The U.S. government also stepped up to provide $2 trillion of fiscal stimulus in the form of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), which aims help toward corporations, small businesses, and individuals that have been affected by the abrupt economic stoppage.

All those steps ended the market's freefall, spurred a significant rally in equities, and helped tighten credit spreads across much of the fixed-income universe. In fact, by June 30, 2020, sentiment was nothing less than bullish and the broad market indexes had largely recovered losses from the first quarter. Through all this turmoil and volatility, the S&P 500^® Index managed to deliver an annual return of approximately 7.5% for the 12-month period ended June 30, 2020. Meanwhile, the yield on 10-year U.S. Treasuries declined 144 basis points, reflecting both the Fed intervention and the uncertainties, ending June 30 at approximately 0.66%.

Looking ahead, the economy and markets remain unpredictable. For equities, investors should expect continued bouts of elevated volatility, which will likely be driven by reports on the virus, a possible vaccine, and the economic data. On the whole, however, we believe the tenor of the market is much improved from the depths of the crisis even as earnings estimates remain vague at best.

Credit markets, too, remain unpredictable, though they have stabilized markedly. A wide range of outcomes are conceivable over the next year, but continued monetary intervention and fiscal stimulus, coupled with a regional approach to economic shutdowns, may well prevent credit spreads from returning to the elevated levels of March.

Regardless, whatever is in store for markets, the investment philosophies and resolve of Victory Capital's various independent investment franchises remain steadfast. We believe that our collective investment talent and their actively managed portfolios will be able to manage risks and excel in an environment that often creates short-term pricing dislocations that benefit astute investors.

On the following pages, you will find information relating to your Victory Funds investment. If you have any questions, we encourage you to contact your financial advisor. If you invest with us directly, you may call (800) 539-3863, or visit our website at www.vcm.com.

My colleagues and I sincerely appreciate the confidence you have placed in the Victory Funds, and we value the opportunity to help meet your investment goals.

Christopher K. Dyer, CFA

President,
Victory Funds

Victory Integrity Discovery Fund

What were the market conditions during the reporting period?

Equity markets rallied throughout 2019 and into the first month and a half of 2020 due to progress made on trade disputes, an accommodative U.S. Federal Reserve (the "Fed"), and strong earning seasons. Despite uncertainty around Brexit, geopolitical tensions, and concerns about the health of the global economy, U.S. equities outperformed. Equity markets sold off sharply in the last week of February and continued throughout the month of March as the unexpected spread of the novel coronavirus ("COVID-19") dominated market headlines. Sudden market shifts and sentiment swings based on virus news flow were common occurrences. Market volatility was further exacerbated by the collapse of oil prices as Russia and Saudi Arabia withdrew negotiations on oil output cooperation. Equity markets sold off sharply across all styles and market capitalizations. Equity markets bottomed near the end of the first quarter of 2020, rebounding sharply off the bottom which continued into the second quarter. Declining COVID-19 cases, hopes of a medical breakthrough, and massive liquidity injections by the Fed and world monetary authorities drove investors back to equities.

The top-performing sectors within the benchmark were Health Care, Consumer Staples, and Information Technology, while Energy, Communication Services, and Financials were the weakest-performing sectors. Micro-cap growth stocks outperformed micro-cap value stocks.

How did Victory Integrity Discovery Fund (the "Fund") perform during the reporting period?

The Fund seeks to provide capital appreciation. The Fund returned -23.78% (Class A Shares at net asset value) for the fiscal year ended June 30, 2020, underperforming the Russell Microcap^® Value Index (the "Index"), which returned -14.93% during the period.

What strategies did you employ during the reporting period?

Stock selection in Health Care was the prominent detractor to relative Fund performance. Stock selection in Industrials and Energy was also a detractor to relative Fund performance. Security selection in Information Technology and Financials were positives. Sector weights were a negative on relative Fund performance relative to the Index due to an underweight position in Health Care, which significantly outperformed. From a style perspective, the Fund's holdings on average had lower volatility relative to the Index, and this was a headwind.

We have worked diligently to build a portfolio that should benefit from a reduction in anxiety over the virus and the economy. We have been adding small positions in companies where we see enticing relative valuations with above-average snap-back potential as the COVID-19 and economic clouds begin to clear. The number of securities held in the portfolio has expanded to try to capture this return while taking less company-specific risk. We believe our strategy of buying names with solid free cash flow characteristics, coupled with deeper

Portfolio Holdings

As a Percentage of Total Investments

Victory Integrity Discovery Fund (continued)

discounts and some controversy surrounding them, is the right one that will add alpha for our clients going forward. Our largest risk lies in second-wave fears and the resulting economic worries and implications. Our performance was very strong during the first two months of the second quarter of 2020; however, in the last few weeks of the quarter, second-wave COVID-19 cases increased, and we did lose some relative outperformance. This is certainly a concern, but we see it as performance delayed, not lost.