Registration No. 33-98980
securities and exchange commission
Washington, D.C. 20549
FORM N-1A
REGISTRATION STATEMENT
UNDER
THE SECURITIES ACT OF 1933
Post-Effective Amendment No. 1
and
REGISTRATION STATEMENT
UNDER
THE INVESTMENT COMPANY ACT OF 1940
Amendment No. 1
WEST UNIVERSITY FUND, INC.
(Exact Name as Specified in Charter)
3030 University Blvd.
Houston, Texas 77005
(Address of Principal Executive)
(713) 666-1652
(Registrant s Telephone Number)
Richard Peter Cancelmo, Jr.
3030 University Blvd.
Houston, Texas 77005
(Name and Address of Agent for Service)
is proposed that this filing will become effective on August 9, 1996 pursuant
to Paragraph (b) under Rule 485 of the Securities Act of 1933.
CALCULATION OF REGISTRATION FEE UNDER THE SECURITIES ACT OF 1933
Title of Securities Being Registered
Amount Being Registered
Proposed Maximum Offering Price Per Unit
Proposed Maximum Aggregate Offering Price
Amount of Registration Fee
No additional shares being registered at this time.
THIS DOCUMENT CONTAINS 19 PAGES
The registrant hereby incorporates by reference Parts A, B, and C of its
registration statement dated November 2, 1995 into this post-effective
amendment Number One. The sole purpose of this amendment is to comply with
Item 32, and under taking to file a post-effective amendment, using
financial statements within four to six months from the effective date of
registrant s 1933 Act Registration Statement.
West University Fund, Inc.
Portfolio of Investments June 30, 1996 (Unaudited)
Common Stocks
Broadcasting and Publishing - 6.2%
New World Communications, Inc.*
Investments:
No. of Shares: 3,000 Market Value: 43,875
Outstanding Options:
Shares Optioned: 3,000 Exp. Date: Dec 96
Exercise Price: 17-1/2 Market Value: 4,688
Readers Digeset
Investments:
No. of Shares: 1,500 Market Value: 63,750
Outstanding Options:
Shares Optioned: 1,500 Exp. Date: Oct 96
Exercise Price: 40 Market Value: 4,969
Broadcasting and Publishing Market Value: 107,625
Broadcasting and Publishing Options Sold: 9,657
Chemicals - 5.69%
Betz Labs
Investments:
No. of Shares: 700 Market Value: 30,712
Outstanding Options:
Shares Optioned: 700 Exp. Date: Oct 96
Exercise Price: 40 Market Value: 3,369
Lawter International
Investments:
No. of Shares: 2,500 Market Value: 31,250
Outstanding Options:
Shares Optioned: 2,500 Exp. Date: Sept 96
Exercise Price: 10 Market Value: 6,563
Schulman (A), Inc.
Investments:
No. of Shares: 1,500 Market Value: 36,750
Outstanding Options:
Shares Optioned: 1,500 Exp. Date: Sept 96
Exercise Price: 20 Market Value: 7,031
Chemicals Market Value: 98,712
Chemicals Options Sold: 16,963
Common Stocks (continued)
Cosmetics and Personal Care - 3.96%
Carter Wallace
Investments:
No. of Shares: 4,700 Market Value: 68,737
Outstanding Options:
Shares Optioned: 4,700 Exp. Date: Oct 96
Exercise Price: 12-1/2 Market Value: 14,100
Energy - 4.96%
Burlington Resources
Investments:
No. of Shares: 2,000 Market Value: 86,000
Outstanding Options:
Shares Optioned: 2,000 Exp. Date: Nov 96
Exercise Price: 35 Market Value: 17,500
Environmental Services - 2.02%
Safety-Kleen
Investments:
No. of Shares: 2,000 Market Value: 35,000
Outstanding Options:
Shares Optioned: 2,000 Exp. Date: Sept 96
Exercise Price: 12-1/2 Market Value: 10,125
Insurance - 2.12%
Leucadia National
Investments:
No. of Shares: 1,500 Market Value: 36,750
Investment Companies - 10.01%
Aim Strategic, Inc.
Investments:
No. of Shares: 6,500 Market Value: 62,969
Putnam Int. Gov. Trust
Investments:
No. of Shares: 15,000 Market Value: 110,625
Investment Companies Market Value: 173,594
Common Stocks (continued)
Miscellaneous Manufacturing - 13.21%
Corning, Inc.
Investments:
No. of Shares: 500 Market Value: 19,187
Outstanding Options:
Shares Optioned: 500 Exp. Date: Aug 96
Exercise Price: 30 Market Value: 4,344
Gould Pumps, Inc.
Investments:
No. of Shares: 1,400 Market Value: 35,875
Outstanding Options:
Shares Optioned: 1,400 Exp. Date: Sept 96
Exercise Price: 20 Market Value: 8,138
Jostens, Inc.
Investments:
No. of Shares: 2,000 Market Value: 39,500
Outstanding Options:
Shares Optioned: 2,000 Exp. Date: Dec 96
Exercise Price: 20 Market Value: 2,500
Keystone International
Investments:
No. of Shares: 1,000 Market Value: 20,750
Outstanding Options:
Shares Optioned: 1,000 Exp. Date: Sept 96
Exercise Price: 20 Market Value: 1,438
Pall Corp.
Investments:
No. of Shares: 3,000 Market Value: 72,375
Outstanding Options:
Shares Optioned: 1,000 Exp. Date: Sept 96
Exercise Price: 25 Market Value: 1,156
Outstanding Options:
Shares Optioned: 2,000 Exp. Date: Dec 96
Exercise Price: 22-1/2 Market Value: 5,875
Common Stocks (continued)
Zurn Industries
Investments:
No. of Shares: 2,000 Market Value: 41,500
Outstanding Options:
Shares Optioned: 1,000 Exp. Date: Oct 96
Exercise Price: 17-1/2 Market Value: 3,813
Outstanding Options:
Shares Optioned: 1,000 Exp. Date: Oct 96
Exercise Price: 20 Market Value: 2,063
Miscellaneous Manufacturing Market Value: 229,187
Miscellaneous Manufacturing Options Sold: 29,327
Medical Devices, and Pharmaceuticals - 8.75%
Abbot Labs
Investments:
No. of Shares: 1,500 Market Value: 65,250
Outstanding Options:
Shares Optioned: 1,500 Exp. Date: Nov 96
Exercise Price: 37-1/2 Market Value: 10,125
Biomet, Inc.*
Investments:
No. of Shares: 2,000 Market Value: 28,750
Outstanding Options:
Shares Optioned: 2,000 Exp. Date: Oct 96
Exercise Price: 12-1/2 Market Value: 4,813
Forest Labs, Inc.*
Investments:
No. of Shares: 1,500 Market Value: 57,938
Outstanding Options:
Shares Optioned: 1,500 Exp. Date: Nov 96
Exercise Price: 40 Market Value: 3,844
Medical Devices, and Pharmaceuticals
Market Value: 151,938
Medical Devices, and Pharmaceuticals
Options Sold: 18,782
Medical Services- 7.12%
Healthsource, Inc.*
Investments:
No. of Shares: 3,000 Market Value: 52,125
Outstanding Options:
Shares Optioned: 2,000 Exp. Date: Jan 97
Exercise Price: 15 Market Value: 8,125
Common Stocks (continued)
Humana, Inc.*
Investments:
No. of Shares: 4,000 Market Value: 71,500
Outstanding Options:
Shares Optioned: 4,000 Exp. Date: Nov 96
Exercise Price: 17-1/2 Market Value: 8,125
Medical Services Market Value: 123,625
Medical Services Options Sold: 16,250
Mining - 4.29%
Hemlo Gold
Investments:
No. of Shares: 7,000 Market Value: 74,375
Outstanding Options:
Shares Optioned: 1,000 Exp. Date: Nov 96
Exercise Price: 10 Market Value: 1,500
Outstanding Options:
Shares Optioned: 4,000 Exp. Date: Nov 96
Exercise Price: 12-1/2 Market Value: 2,000
Packaging - 4.93%
Ball Corp.
Investments:
No. of Shares: 3,000 Market Value: 85,500
Outstanding Options:
Shares Optioned: 3,000 Exp. Date: Nov 96
Exercise Price: 25 Market Value: 14,156
Real Estate - 4.27%
Castle and Cooke, Inc.*
Investments:
No. of Shares: 2,000 Market Value: 32,000
New Plan Realty
Investments:
No. of Shares: 2,000 Market Value: 42,250
Outstanding Options:
Shares Optioned: 2,000 Exp. Date: Nov 96
Exercise Price: 20 Market Value: 3,250
Real Estate Market Value: 74,250
Real Estate Options Sold: 3,250
Common Stocks (continued)
Recreation - 4.26%
WMS Ind., Inc.*
Investments:
No. of Shares: 3,000 Market Value: 73,875
Outstanding Options:
Shares Optioned: 3,000 Exp. Date: Nov 96
Exercise Price: 15 Market Value: 29,438
Restaurant - 2.15%
Wendy s Int l.
Investments:
No. of Shares: 2,000 Market Value: 37,250
Outstanding Options:
Shares Optioned: 2,000 Exp. Date: Sept 96
Exercise Price: 15 Market Value: 7,625
Retail - 8.53%
Family Dollar Stores
Investments:
No. of Shares: 1,400 Market Value: 24,675
Outstanding Options:
Shares Optioned: 1,400 Exp. Date: July 96
Exercise Price: 12-1/2 Market Value: 6,913
Food Lion
Investments:
No. of Shares: 8,000 Market Value: 62,000
Outstanding Options:
Shares Optioned: 8,000 Exp. Date: Oct 96
Exercise Price: 5 Market Value: 22,000
Stride Rite Corp.
Investments:
No. of Shares: 5,000 Market Value: 41,250
Outstanding Options:
Shares Optioned: 5,000 Exp. Date: Oct 96
Exercise Price: 7-1/2 Market Value: 7,500
Wal-Mart
Investments:
No. of Shares: 800 Market Value: 20,300
Outstanding Options:
Shares Optioned: 800 Exp. Date: Sept 96
Exercise Price: 22-1/2 Market Value: 2,650
Retail Market Value: 148,225
Retail Market Options Sold: 46,688Common Stocks (continued)
Steel - 1.43%
Birmingham Steel
Investments:
No. of Shares: 1,500 Market Value: 24,750
Outstanding Options:
Shares Optioned: 1,500 Exp. Date: Oct 96
Exercise Price: 15 Market Value: 2,719
Technology - 4.71%
Apple Computer*
Investments:
No. of Shares: 1,500 Market Value: 31,500
Outstanding Options:
Shares Optioned: 1,500 Exp. Date: Oct 96
Exercise Price: 22-1/2 Market Value: 2,766
Compaq Computer*
Investments:
No. of Shares: 600 Market Value: 29,475
Outstanding Options:
Shares Optioned: 600 Exp. Date: July 96
Exercise Price: 40 Market Value: 5,550
Novell, Inc.*
Investments:
No. of Shares: 1,500 Market Value: 20,813
Outstanding Options:
Shares Optioned: 1,500 Exp. Date: Aug 96
Exercise Price: 12-1/2 Market Value: 2,484
Technology Market Value: 81,788
Technology Options Sold: 10,800
Utilities - 3%
Peco Energy Co.
Investments:
No. of Shares: 2,000 Market Value: 52,000
Outstanding Options:
Shares Optioned: 2,000 Exp. Date: Jan 97
Exercise Price: 22-1/2 Market Value: 7,625
Common Stocks (continued)
Preferred Stocks - 2.71%
Sea Containers $4.00 Conv PrE
No. of Shares: 1,000 Market Value: 47,000
Total Equities - 104.32%
(Cost $1,739.743) Market Value: 1,810,181
Total Options Sold - (14.46%) Market Value: (250,876)
(Cost: 198,752)
Short-Term Investments - 10.31%
Variable Demand Notes
Eli Lilly, 4.85%
(Cost: 20,000) Market Value: 20,000
Southwest Bell - 4.94%
(Cost: 74,081) Market Value: 74,081
Warner Lambert - 4.91%
(Cost: 84,813) Market Value: 84,813
Total Short Term Investments
(Cost: $178,893) Market Value: 178,893
Other Assets and Liabilities Net - (.17%)
Market Value: (2,927)
Net Assets - 100% Market Value: 1,735,271
*Non-Income Producing Security
See Accompanying Notes to Financial Statements
WEST UNIVERSITY FUND, INC.
STATEMENT OF ASSETS AND LIABILITIES
June 30, 1996 (Unaudited)
ASSETS
Securities Portfolio at market
value (cost: $1,739,743) . . . . . . . . . . $1,810,182
Variable demand notes, at market
value (cost $178,893) . . . . . . . . . . . . 178,893
Receivables
Dividends . . . . . . . . . . . . . . . . . . 3,126
Interest . . . . . . . . . . . . . . . . . . 771
Total Assets . . . . . . . . . . . . . . . $1,992,972
LIABILITIES AND NET ASSETS
Call options outstanding at market value . . . . $ 250,876
(Premium Received $198,752)
Accrued expenses . . . . . . . . . . . . . . . . 6,825
Total Liabilities . . . . . . . . . . . . . 257,701
Net assets
Common stock, $1.00 par value; 10,000,000
shares . . . . . . . . . . . . . . . . . . 169,310
authorized, 169,310 shares issued and
outstanding,
Paid-in capital . . . . . . . . . . . . . . . 1,539,462
Undistributed net investment income . . . . . 8,184
Net unrealized appreciation on investments . 18,315
Total net assets . . . . . . . . . . . . . 1,735,271
Total liabilities and net assets . . . . . $1,992,972
Net asset value per share . . . . . . . . . . . $10.25
The accompanying notes to financial statements are an integral part of this
statement.
WEST UNIVERSITY FUND, INC.
STATEMENT OF OPERATIONS
For the period ended June 30, 1996 (Unaudited)
INCOME
Interest . . . . . . . . . . . . . . . . . . . $ 8,235
Dividends . . . . . . . . . . . . . . . . . . . 8,297
16,532
EXPENSES
Management fee. . . . . . . . . . . . . . . . . 4,174
Accounting fee. . . . . . . . . . . . . . . . . 3,436
Audit and tax consulting fees . . . . . . . . . 2,022
Custodian fees. . . . . . . . . . . . . . . . . 1,214
Other operating expenses. . . . . . . . . . . . 1,415
Total expenses. . . . . . . . . . . . . . . . 12,261
Less: Reimbursed Expenses. . . . . . . . . . . (3,913)
Net Expenses. . . . . . . . . . . . . . . . . . 8,348
Net Investment Income . . . . . . . . . . . . . 8,184
NET REALIZED AND UNREALIZED GAIN ON INVESTMENTS
Net realized gain on investments. . . . . . . . 5
Net change in unrealized appreciation . . . . . 18,315
Net gain on investments . . . . . . . . . . . 18,320
Net increase in net assets resulting
from operations. . . . . . . . . . . . . . 26,504
The accompanying notes to financial statements are an integral part of this
statement.
WEST UNIVERSITY FUND, INC.
STATEMENT OF CHANGES IN NET ASSETS
For the period ending June 30, 1996 and year ending
December 31, 1995 (Unaudited)
June 30, Dec. 31,
1996 1995
OPERATIONS
Net investment income . . . . . . . $ 8,184 $ 2,188
Net realized gain on investments . 5 0
Net change in unrealized appreciation 18,315 0
Net increase in net assets resulting
from operations . . . . . . . 26,504 2,188
DISTRIBUTIONS TO SHAREHOLDERS
Distributions from net investment
income . . . . . . . . . . . . . 0 2,188
Distributions from net realized gains 0 0
Total distributions . . . . . . . 0 2,188
CAPITAL SHARE TRANSACTIONS:
Proceeds from shares issued (133,910
and 35,400 shares, respectively) 1,354,767 354,000
Increase from shares issued in
reinvested distributions . . . . 0 0
Cost of shares redeemed . . . . . . 0 0
Net increase in net assets derived
from capital share
transactions . . . . . . . . . 1,354,767 354,000
Net increase in net assets . . . 1,354,767 354,000
NET ASSETS AT BEGINNING OF PERIOD . . 354,000 0
NET ASSETS AT END OF PERIOD AND YEAR
(including accumulated undistributed
net investment income of 8,184
and 0, respectively) . . . . . . . $1,735,271 $354,000
The accompanying notes to financial statements are an integral
part of this statement.
WEST UNIVERSITY FUND, INC.
FINANCIAL HIGHLIGHTS (Unaudited)
Condensed financial information per share of capital stock
outstanding throughout the period is presented below:
Six Months
Ended
June 30,
1996
Net asset value at beginning of year $ 10.00
Income from investment operations:
Net investment income 0.08
Net realized and unrealized gain on
securities 0.17
Total from investment operations 0.25
Net asset value at end of period $ 10.25
Total return 2.5%
Ratios/Supplemental Data:
Net assets at end of period
(in thousands) $ 1,735
Expenses to average net assets 2.0%
Net investment income before taxes to average
net assets 0.1%
Portfolio turnover rate 0.0%
Average commission rate (1) .05
(1) The formula for calculating the average commission
rate is total commissions paid dividend by total
shares purchased and sold. Each option contract is
100 shares.
West University Fund, Inc.
Notes to Financial Statements
1. Summary of Significant Accounting Policies
West University Fund, Inc. (the Fund) is registered under
the Investment Company Act of 1940, as amended, as a diversified no-load, open-
end management investment company. The following is a summary of the Fund s
significant accounting policies.
Securities Valuation Investments and outstanding options
(collectively referred to as securities) are stated at market value.
Securities traded on securities exchanges are valued at the last sale price
on the day of valuation or, in the absence of a sale that day, at the mean
between the last current bid and asked prices.
Investment Income and Securities Transactions Dividend
income is recorded on the ex-dividend date and interest
income is accrued as earned. Securities transactions are
accounted for on the trade date (the date the order to buy
or sell is executed). Realized gains and losses from
securities transactions and unrealized appreciation or
depreciation of securities are reported on an identified
cost basis for both financial statement and Federal income
tax purposes.
Option Accounting Principles When the Fund writes a call
option, an amount equal to the premium received by the Fund
is included in the Fund s Statement of Assets and
Liabilities as an asset and an equivalent liability. The
amount of the liability will be subsequently marked-to-
market to reflect
the current market value of the option written. The current
market value of a traded option is the last sale price or,
in the absence of a sale, the mean between the last current
bid and asked prices.
When a call expires on its stipulated expiration date, or if
the Fund enters into a closing purchase transaction, the
Fund will realize a gain (or loss if the cost of a closing
purchase transaction exceeds the premium received when the
call option was written) without regard to any unrealized
gain or loss on the underlying security, and the liability
related to such option will be extinguished. When a call
option is exercised, the Fund will realize a gain or loss
from the sale of the underlying security and the proceeds of
the sale are increased by the premium originally received.
Fund Share Valuation Fund shares are sold and redeemed on a
continuing basis at net asset value. Net asset value per
share is determined daily as of the close of trading of the
New York Stock Exchange on each day the Exchange is open for
trading by dividing the total value of the Fund s
investments and other assets, less the sum of liabilities
and the value of outstanding call options, by the number of
Fund shares outstanding.
Federal Income Taxes It is the Fund s intention to comply
with the provisions of the Internal Revenue Code enabling it
to qualify as a regulated investment company and, in the
manner provided therein, to distribute all of its taxable
income to its shareholders. Accordingly, no provision for
income taxes has been made.
2. Investment Advisory Agreement and Affiliated
Persons
Cancelmo Capital Management, Inc. (the Adviser ) is the
investment adviser of the Fund. The Adviser, subject to the
control and direction of the Fund s board of directors,
manages and supervises the investment operations of the Fund
and the composition of its portfolio, including the writing
of all options and making recommendations to the Fund s
board of directors as to investment policies.
As compensation for furnishing investment advisory,
management, and other services, and costs and expenses
assumed, pursuant to the Investment Management Agreement,
the Fund pays the Adviser an annual fee equal to 1.0 % of
average daily net assets. The Adviser will reduce its fees
to limit the total annual expenses of the Company (including
the Adviser s fee, but excluding interest, taxes, fees
incurred in acquiring and disposing of portfolio securities
and certain extraordinary expenses) to 2.0% of the first
$10,000,000 of average daily assets, 1.5% of the next
$20,000,000 of such assets, and 1.0% of such assets over
$30,000,000.
3. Investment Activity
For the six months ended June 30, 1996, purchases of
investment securities (excluding short term investments)
totaled $1,739,743 and proceeds from sales totaled 0.
Number of
Contracts Premiums
Outstanding at beginning of year . . . 0 $ 0
Call options written . . . . . . . . . 761 198,752
Call options terminated in closing
purchase transactions . . . . . . . 0 0
Call options expired . . . . . . . . . 0 0
Call options exercised . . . . . . . . 0 0
Outstanding at June 30, 1996 . . . . . 761 $198,752
As of June 30, 1996, portfolio securities valued at
$1,503,463 were held in escrow by the custodian in connection
with covered call options written by the Fund.
SIGNATURES
Pursuant to the requirements of (the Securities Act of
1933 and) the Investment Company Act of 1940 the Registrant
(certifies that it meets all the requirements for
effectiveness of this Registration Statement pursuant to
Rule 485(b) under the Securities Act of 1933 and) has duly
caused this Registration Statement to be signed on its
behalf by the undersigned, thereto duly authorized, in the
City of Houston and state of Texas on the 9th day of
August, 1996.
West University Fund, Inc.
BY Richard Peter Cancelmo, Jr.
Richard Peter Cancelmo, Jr.
President
Pursuant to the requirements of (the Securities Act of 1933
and) this Registration Statement has been signed below by the
following persons in the capacities and on the date indicated.
Director, Secretary August 9, 1996
James Barry Kendrick (Title) (Date)
Director August 9, 1996
Samuel Lee Moreland (Title) (Date)
