Manning & Napier Insurance Fund, Inc.
Manning & Napier Moderate Growth Portfolio
Manning & Napier Growth Portfolio
Manning & Napier Maximum Horizon Portfolio
Manning & Napier Small Cap Portfolio
Manning & Napier Equity Portfolio
Manning & Napier Bond Portfolio
Semi-Annual Report
June 30, 1998
<PAGE>
Management Discussion and Analysis
Dear Contract Owners:
An annuity contract puts you in the favorable position of taking a long-term
view of investing, which is especially advantageous when valuations are high
and short-term uncertainty is increasing, which is the current environment in
a nutshell.
The most significant market force in the second quarter of 1998 was the Asian
Crisis, the effects of which are beginning to be felt on these shores. The
impact is threefold:
1. As Pacific Rim economies have collapsed, exports from the U.S. to that
region have also collapsed.
2. As Pacific Rim currencies have dropped precipitously, imports from that
region to the U. S. have become cheaper and as a result have
accelerated.
3. Since Pacific Rim economies were the marginal buyers of many
commodities, their economic problems have hurt demand, causing
commodity prices to fall.
The impact on the U.S. markets thus far has been mixed. In the fixed income
markets, anything that slows domestic economic growth and causes commodity
prices to fall, benefits bonds. Throw in the "flight to quality" that occurs
when any emerging market or region comes under pressure, and bonds had a nice
if unspectacular quarter. As for equities, the revenue losses and the
heightened competitive environment have more than offset the benefits
of modest declines in interest rates. As a result, the equity markets came
down from the record levels they posted during the month of April.
As the effects of the Asian Crisis take a deeper hold on a drastically
overvalued U.S. market, a long-term perspective will help to not only keep
short-term performance in perspective, but to appreciate the opportunities
that can be created when markets are disrupted.
In what promises to be a volatile environment, equity turnover is likely to
increase and bonds play an important role in portfolio management. With
higher turnover and more income-oriented investments, the tax-deferred
characteristics of an annuity are especially valuable.
Thank you for your continued support. We will make every effort to warrant
continued confidence in our services.
Sincerely,
Manning and Napier Advisors, Inc.
1
<PAGE>
Performance Update as of June 30, 1998 (unaudited)
OBJECTIVES-BASED PORTFOLIOS
(MODERATE GROWTH PORTFOLIO, GROWTH PORTFOLIO, & MAXIMUM HORIZON PORTFOLIO)
Each of the Objectives Based portfolios is managed toward a specific
investment objective, with the specific asset allocation adjusted throughout
the year in response to the prevailing market conditions and our economic
outlook.
Within the first two quarters of 1998, we have become concerned with the
extremely high valuations of U.S. stocks. We have addressed this concern by
increasing our holdings in foreign securities, which we choose using the same
investment strategies we apply to U.S. stocks. We have also decreased the
equity portions in the Moderate Growth and Growth Portfolios because we are
growing more concerned with the increased risk of holding stocks. Because of
the more aggressive objective of the Maximum Horizon Portfolio, its equity
position remains high.
In the bond markets, the weakness in Asia has resulted in a very favorable
environment for bonds. Bonds with longer maturities and durations will
benefit from this environment and we will continue to use these bonds to
manage stock market volatility in each of the portfolios in addition to
capturing the returns they offer.
We have been continuously upgrading the portfolios with strong strategy fits
that coincide with our value discipline. Going forward, we believe we have
positioned the portfolios appropriately with our long-term outlook and their
individual objectives.
<TABLE>
<CAPTION>
<S> <C> <C> <C>
Manning & Napier
Moderate Growth Portfolio
Total Return
Through Growth of $10,000 Average
06/30/98 Investment Cummulative Annual
One Year $ 10,942 9.42% 9.42%
Inception 1 $ 11,719 17.19% 10.01%
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C>
Lehman Brothers
Intermediate Bond Index 4
Total Return
Through Growth of $10,000 Average
06/30/98 Investment Cumulative Annual
One Year $ 10,854 8.54% 8.54%
Inception 1 $ 11,236 12.36% 7.26%
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C>
30-70 Blended Index 5
Total Return
Through Growth of $10,000 Average
06/30/98 Investment Cummulative Annual
One Year $ 11,479 14.79% 14.79%
Inception 1 $ 12,669 26.69% 15.29%
</TABLE>
[graphic]
<line chart>
Data for line chart to follow:
Manning & Napier Lehman Brothers 30 - 70
Date Moderate Growth Portfolio Intermediate Bond Index Blended Index
11/01/96 10,000 10,000 10,000
12/31/96 10,110 10,067 10,211
03/31/97 10,060 10,056 10,286
06/30/97 10,710 10,352 11,036
09/30/97 11,216 10,631 11,493
12/31/97 11,397 10,859 11,764
03/31/98 11,880 11,028 12,384
06/30/98 11,719 11,236 12,669
[graphic]
<chart>
Data for pie chart to follow:
Portfolio Composition -
Moderate Growth Portfolio - As of 6/30/98
Stocks 33%
Bonds 65%
Cash, short-term investments and other assets, less liabilities 2%
Please see page 8 for footnotes
2
<PAGE>
Performance Update as of June 30, 1998 (unaudited)
OBJECTIVES-BASED PORTFOLIOS
(MODERATE GROWTH PORTFOLIO, GROWTH PORTFOLIO, & MAXIMUM HORIZON PORTFOLIO)
<TABLE>
<CAPTION>
<S> <C> <C> <C>
Manning & Napier
Growth Portfolio
Total Return
Through Growth of $10,000 Average
06/30/98 Investment Cumulative Annual
One Year $ 10,902 9.02% 9.02%
Inception 1 $ 12,472 24.72% 14.20%
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C>
Lehman Brothers
Intermediate Bond Index 4
Total Return
Through Growth of $10,000 Average
06/30/98 Investment Cumulative Annual
One Year $ 10,854 8.54% 8.54%
Inception 1 $ 11,236 12.36% 7.26%
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C>
50-50 Blended Index 5
Total Return
Through Growth of $10,000 Average
06/30/98 Investment Cummulative Annual
One Year $ 11,834 20.15% 20.15%
Inception 1 $ 13,839 38.39% 21.58%
</TABLE>
[graphic]
<line chart>
Data for line chart to follow:
Manning & Napier Lehman Brothers
Date Growth Portfolio Intermediate Bond Index 50-50 Blended Index
11/01/96 10,000 10,000 10,000
12/31/96 10,250 10,067 10,311
03/31/97 10,290 10,056 10,421
06/30/97 11,440 10,352 11,520
09/30/97 12,241 10,631 12,143
12/31/97 12,221 10,859 12,495
03/31/98 12,893 11,028 13,496
06/30/98 12,472 11,236 13,839
[graphic]
<chart>
Data for pie chart to follow:
Portfolio Composition -
Growth Portfolio - As of 6/30/98
Stocks 51%
Bonds 46%
Cash, short-term investments and liabilities, less other assets 3%
Please see Page 8 for Footnotes
3
<PAGE>
OBJECTIVES-BASED PORTFOLIOS
(MODERATE GROWTH PORTFOLIO, GROWTH PORTFOLIO, & MAXIMUM HORIZON PORTFOLIO)
<TABLE>
<CAPTION>
<S> <C> <C> <C>
Manning & Napier
Maximum Horizon Portfolio
Total Return
Through Growth of $10,000 Average
06/30/98 Investment Cummulative Annual
One Year $ 11,423 14.23% 14.23%
Inception 1 $ 13,925 39.25% 22.03%
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C>
Standard & Poor's (S&P) 500 Total Return Index3
Total Return
Through Growth of $10,000 Average
06/30/98 Investment Cummulative Annual
One Year $ 13,015 30.15% 30.15%
Inception 1 $ 16,545 65.45% 35.36%
</TABLE>
[graphic]
<line chart>
Data for line chart to follow:
Manning & Napier Standard & Poor's (S&P) 500
Date Maximum Horizon Portfolio Total Return Index
11/01/96 10,000 10,000
12/31/96 10,440 10,542
03/31/97 10,540 10,827
06/30/97 12,190 12,713
09/30/97 13,234 13,665
12/31/97 12,913 14,057
03/31/98 14,396 16,017
06/30/98 13,925 16,545
[graphic]
<chart>
Data for pie chart to follow:
Portfolio Composition -
Maximum Horizon Portfolio - As of 6/30/98
Stocks 90%
Bonds 9%
Cash, short-term investments and liabilities, less other assets 1%
Please see Page 8 for Footnotes
4
<PAGE>
Performance Update as of June 30, 1998 (unaudited)
SMALL CAP PORTFOLIO
The first half of 1998 produced mediocre results for investors in small cap
stocks. As small cap stocks continue to underperform the large cap stocks, the
overall perception of small cap stocks countinues to weaken. During the first
half of 1998, the largest 50 stocks of the S & P 500 have outperformed the
smallest 450 stocks by a wide margin, reflecting how narrow the breadth of
1998's market rise has been.
Recent purchases, including oil-related stocks and stocks in the paper
industry, have increased the portfolios investment in energy and basic
materials. As the majority of Asian economies continue to weaken, the
worldwide demand for commodities and basic materials has slowed significantly.
This had led to excess capacity in many industries and falling commodity
prices. Historically, natural market forces have led to the closing of excess
capacity when commodity prices fall too low. This continues until demand
exceeds supply, leading to a cyclical upturn. Continued weakness in Asia has
delayed the cyclical upturns, but we believe the long-term outlook for these
stocks remains positive.
Our strategies have enabled us to seek out several securities that are
attractive and appear to be undervalued. We believe in the value-oriented
approach and continue to watch the market carefully for futher opportunities.
<TABLE>
<CAPTION>
<S> <C> <C> <C>
Manning & Napier
Small Cap Portfolio
Total Return
Through Growth of $10,000 Average
06/30/98 Investment Cummulative Annual
One Year $ 10,187 1.87% 1.87%
Inception 1 $ 12,969 29.69% 16.92%
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C>
Standard & Poor's (S&P) 500 Total Return Index3
Total Return
Through Growth of $10,000 Average
06/30/98 Investment Cummulative Annual
One Year $ 13,015 30.15% 30.15%
Inception 1 $ 16,545 65.45% 35.36%
</TABLE>
[graphic]
<line chart>
Data for line chart to follow:
Manning & Napier Standard & Poor's (S&P)500
Date Small Cap Portfolio Total Return Index
11/01/96 10,000 10,000
12/31/96 10,720 10,542
03/31/97 10,400 10,827
06/30/97 12,730 12,713
09/30/97 13,939 13,655
12/31/97 12,138 14,057
03/31/98 14,119 16,017
06/30/98 12,969 16,545
[graphic]
<pie chart>
Data for pie chart to follow:
Portfolio Composition - Small Cap Portfolio - As of 6/30/98
Transportation 4%
Computer Integrated Systems Design 4%
Chemicals & Allied Products 5%
Computer Equipment 5%
Electronics & Electrical Equipment 8%
Glass Products 4%
Industrial & Commercial Machinery 8%
Paper & Allied Products 6%
Primary Metal Industries 7%
Printing & Publishing 5%
Retail - Specialty Stores 6%
Technical Instruments & Supplies 6%
Cash, short-term investments and
liabilities, less other assets 14%
Miscellaneous * 18%
* Miscellaneous includes:
Agricultural Production
Apparel
Distribution - Wholesale
Refuse Systems
Software
Telecommunication Services
Testing Laboratories
Textile Mill Products
Please see Page 8 for Footnotes
5
<PAGE>
Performance Updates as of June 30,1998 (unaudited)
EQUITY PORTFOLIO
The objective of the Equity Portfolio is to provide long-term capital growth,
accepting stock market volatility. Market valuations for U.S. stocks remain
very high, reflecting all the good news and none of the potential risk in the
current environment. We believe that it is extremely important to be very
selective in our choices due to the high level of risk inherent in the
overvalued U.S. stock market.
With the increased risk in the U.S. market and the prospect of the Asian
Crisis slowing the growth rate of the U.S. economy, we continue to place an
increased emphasis on global diversification. We have added foreign holdings
as valuations overseas have become more attractive and as we have identified
companies which we to believe will be well positioned from the restructuring
that is taking place at the government and corporate levels in many countries
around the world.
<TABLE>
<CAPTION>
<S> <C> <C> <C>
Manning & Napier
Equity Portfolio
Total Return
Through Growth of $10,000 Average
06/30/98 Investment Cummulative Annual
One Year $ 10,716 7.16% 7.16%
Inception 1 $ 13.298 32.98% 18.70%
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C>
Standard & Poor's (S&P) 500 Total Return Index3
Total Return
Through Growth of $10,000 Average
06/30/98 Investment Cummulative Annual
One Year $ 13,015 30.15% 30.15%
Inception 1 $ 16,545 65.45% 35.36%
</TABLE>
[graphic]
<line chart>
Data for line chart to follow:
Manning & Napier Standard & Poor's (S&P) 500
Date Equity Portfolio Total Return Index
11/01/96 10,000 10,000
12/31/96 10,560 10,542
03/31/97 10,720 10,827
06/30/97 12,410 12,713
09/30/97 13,238 13,655
12/31/97 12,826 14,057
03/31/98 14,583 16,017
06/30/98 13,298 16,545
[graphic]
<pie chart>
Data for pie chart to follow:
Portfolio Composition - Equity Portfolio - As of 6/30/98
Chemicals & Allied Products 11%
Computer Equipment 7%
Electronics & Electrical Equipment 5%
Business Services 4%
Paper & Allied Products 9%
Crude Petroleum & Natural Gas 6%
Food & Beverage 9%
Leather & Leather Products 4%
Technical Instruments & Supplies 9%
Telecommunications Services 5%
Restaurants 4%
Miscellaneous * 27%
* Miscellaneous includes:
Amusement & Recreational Services
Diamonds
Distribution-Wholesale
Engineering Services
Glass Products
Health Services
Industrial & Commercial Machinery
Retail - Specialty Stores
Software
Transportation - Railroad
Utilities - Electric
Cash, short-term investments, and
liabilities, less other assets
Please see Page 8 for Footnotes
6
<PAGE>
Performance Updates as of June 30,1998 (unaudited)
BOND PORTFOLIO
As the economies in the Pacific Rim continue to suffer, the effects on the
world equity markets have been staggering. This type of economic environment
has been favorable to bonds, with interest rates moving slightly lower and
inflation continuing at low levels. Longer-term bonds have represented good
value and we have postioned the Bond Portfolio accordingly.
At the end of 1997, we wrote that we expected the federal budget deficit to
shrink, and it has. Reduced government spending has been good for the bond
market, as the government has been able to reduce its new bond issuance,
boosting the prices of existing bonds and keeping interest rates low.
We continue to monitor the short-term factors affecting the bond market but
only to compare them to the relative effect on our long-term overview, rather
than managing our portfolio for the short-term. The world-wide outlook
continues for slow economic growth, stable inflation and low interest rates.
<TABLE>
<CAPTION>
<S> <C> <C> <C>
Manning & Napier
Bond Portfolio
Total Return
Through Growth of $10,000 Average
06/30/98 Investment Cumulative Annual
One Year $ 11,221 12.21% 12.21%
Inception 1 $ 11.378 13.78% 8.07%
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C>
Merrill Lynch Corporate/Government Bond Index2
Total Return
Through Growth of $10,000 Average
06/30/98 Investment Cumulative Annual
One Year $ 11,132 11.32% 11.32%
Inception 1 $ 11,530 15.30% 8.94%
</TABLE>
[graphic]
<line chart>
Data for line chart to follow:
Manning & Napier Merrill Lynch Corporate/
Date Bond Portfolio Government Bond Index2
11/01/96 10,000 10,000
12/31/96 9,940 10,076
03/31/97 9,770 9,997
06/30/97 10,140 10,357
09/30/97 10,523 10,720
12/31/97 10,915 11,061
03/31/98 11,066 11,237
06/30/98 11,378 11,530
[graphic]
<pie chart>
Data for pie chart to follow:
Effective Maturity - Bond Portfolio - As of 6/30/98
Less than 1 Year 7%
1 - 3 Years 23%
3 - 5 Years 12%
5 - 10 Years 28%
Over 10 Years 30%
[graphic]
<pie chart>
Data for pie chart to follow:
Portfolio Composition - Bond Portfolio - As of 6/30/98
U.S. Treasury Securities 50%
U.S. Government Agencies 43%
Cash, short-term investments, and
liabilities, less other assets 7%
Please see Page 8 for Footnotes
7
<PAGE>
Footnotes to Performance Update (unaudited)
1 Performance numbers for the Fund and Indices are calculated from November 1,
1996, the Fund's inception date. The Fund's performance is historical and may
not be indicative of future results.
2 The Merrill Lynch Corporate/Government Bond Index is a market value weighted
measure of approximately 6,306 corporate and government bonds. The Index is
comprised of investment grade securities with maturities greater than one
year. The Index returns assume reinvestment of coupons and, unlike Fund
returns, do not reflect any fees or expenses.
3 The Standard & Poors (S&P) 500 Total Return Index is an unmanaged
capitalization-weighted measure of 500 widely held common stocks listed on the
New York Stock Exchange, American Stock Exchange, and Over-the-Counter market.
The Index returns assume reinvestment of income and, unlike Fund returns, do
not reflect any fees or expenses.
4 The Lehman Brothers Intermediate Bond Index is a market value weighted
measure of approximately 4,254 corporate and government securities. The Index
is comprised of investment grade securities with maturities greater than one
year but less than ten years. The Index returns assume reinvestment of income
and, unlike Fund returns, do not reflect any fees or expenses.
5 The 30-70 Blended Index is 30% S&P 500 Total Return Index (see note 3) and
70% Lehman Brothers Intermediate Bond Index (see note 4). The Index returns
assume reinvestment of income and, unlike Fund returns, do not reflect any
fees of expenses.
6 The 50-50 Blended Index is 50% S&P 500 Total Return Index (see note 3) and
50% Lehman Brothers Aggregate Bond Index. The Lehman Brothers Aggregate Bond
Index is a market value weighted measure of approximately 6,821 corporate,
government and mortgage backed securities. This Index is comprised of
investment grade securities with maturities greater than one year. The Index
returns assume reinvestment of income and, unlike Fund returns, do not reflect
any fees of expenses.
8
<PAGE>
Investment Portfolio - June 30, 1998 (unaudited)
<TABLE>
<CAPTION>
<S> <C> <C>
Value
MANNING & NAPIER MODERATE GROWTH PORTFOLIO SHARES (Note 2)
- ----------------------------------------------------------- ------ ---------
COMMON STOCK - 33.06%
AMUSEMENT & RECREATIONAL SERVICES - 0.37%
Resorts World Bhd. - ADR (Note 7) 100 $ 550
---------
BUSINESS SERVICES - 1.47%
National Data Corp. 50 2,187
---------
CHEMICALS & ALLIED PRODUCTS - 3.11%
Pharmacia & Upjohn, Inc. 100 4,613
---------
COMPUTER EQUIPMENT - 1.63%
International Game Technology 100 2,425
---------
CRUDE PETROLEUM & NATURAL GAS - 1.57%
Petroleo Brasileiro S.A. (Petrobras) - ADR (Note 7) 125 2,324
---------
DIAMONDS- 0.59%
De Beers Centenary AG - ADR (Note 7) 50 875
---------
ELECTRONICS & ELECTRICAL EQUIPMENT - 6.07%
Motorola, Inc. 50 2,628
Philips Electronics N.V. - ADR (Note 7) 75 6,375
---------
9,003
---------
GLASS PRODUCTS - 1.17%
Corning, Inc. 50 1,737
---------
HEALTH SERVICES - 1.48%
MedPartners, Inc.* 275 2,200
---------
RETAIL - SPECIALTY STORES - 0.63%
Hancock Fabrics, Inc. 75 938
---------
SOFTWARE - 1.66%
Oracle Corp. 100 2,456
---------
TECHNICAL INSTRUMENTS & SUPPLIES - 8.25%
Eastman Kodak Co. 75 5,480
Millipore Corp. 150 4,087
Teradyne, Inc.* 100 2,675
---------
12,242
---------
TELECOMMUNICATION SERVICES - 2.37%
Compania Anonima Nacional Telefonos de Venezuela (CANTV)
ADR (Note 7) 75 1,875
Telecomunicacoes Brasileiras (Telebras) - ADR (Note 7) 15 1,638
---------
3,513
---------
TRANSPORTATION - RAILROAD - 2.69 %
Canadian National Railway Co. - ADR (Note 7) 75 3,984
---------
TOTAL COMMON STOCK
(Identified Cost $55,997) 49,047
---------
</TABLE>
The accompanying notes are an integral part of the financial statements.
9
<PAGE>
Investment Portfolio - June 30, 1998 (unaudited)
<TABLE>
<CAPTION>
<S> <C> <C>
PRINCIPAL Value
MANNING & NAPIER MODERATE GROWTH PORTFOLIO (continued) AMOUNT/SHARES (Note 2)
- ----------------------------------------------------------- -------------- ---------
U.S. TREASURY SECURITIES - 44.87%
U.S. TREASURY BONDS - 24.23%
U.S. Treasury Bond, 5.50%, 3/31/2003 $ 7,000 $ 6,996
U.S. Treasury Bond, 6.875%, 8/15/2025 25,000 28,961
---------
TOTAL U.S. TREASURY BONDS
(Identified Cost $33,026) 35,957
---------
U.S. TREASURY NOTES- 20.64%
U.S. Treasury Note, 5.875%, 9/30/2002 25,000 25,312
U.S. Treasury Note, 6.50%, 10/15/2006 5,000 5,311
---------
TOTAL U.S. TREASURY NOTES
(Identified Cost $30,310) 30,623
---------
TOTAL U.S. TREASURY SECURITIES
(Identified Cost $63,336) 66,580
---------
U.S. GOVERNMENT AGENCIES - 20.25%
Federal Home Loan Bank Note, 5.95%, 11/05/1999 15,000 15,043
Federal National Mortgage Association Medium Term Note,
5.67%, 5/26/2000 15,000 15,010
---------
TOTAL U.S. GOVERNMENT AGENCIES
(Identified Cost $30,004) 30,053
---------
SHORT-TERM INVESTMENTS - 4.02%
Dreyfus Treasury Cash Management Fund
(Identified Cost $5,970) 5,970 5,970
---------
TOTAL INVESTMENTS - 102.20%
(Identified Cost $155,307) 151,650
LIABILITIES, LESS OTHER ASSETS - (2.20)% (3,275)
---------
NET ASSETS - 100% $148,375
=========
</TABLE>
*Non-income producing security
<TABLE>
<CAPTION>
<S> <C>
FEDERAL TAX INFORMATION:
At June 30, 1998, the net unrealized depreciation based on identified cost for federal income
tax purposes of $155,307 was as follows:
Aggregate gross unrealized appreciation for all investments
in which there was an excess of value over tax cost $ 5,474
Aggregate gross unrealized depreciation for all investments
in which there was an excess of tax cost over value (9,131)
-------
UNREALIZED DEPRECIATION - NET $(3,657)
========
</TABLE>
The accompanying notes are an integral part of the financial statements.
10
<PAGE>
Investment Portfolio - June 30, 1998 (unaudited)
<TABLE>
<CAPTION>
<S> <C> <C>
VALUE
MANNING & NAPIER GROWTH PORTFOLIO SHARES (NOTE 2)
- ------------------------------------------------------ ------ ---------
COMMON STOCK - 50.99%
AMUSEMENT & RECREATIONAL SERVICES - 0.29%
Resorts World Bhd. - ADR (Note 7) 425 $ 2,336
---------
APPAREL - 3.05%
Liz Claiborne Inc. 475 24,819
---------
BUSINESS SERVICES - 2.42%
National Data Corp. 450 19,687
---------
CHEMICALS & ALLIED PRODUCTS - 3.26%
Pharmacia & Upjohn, Inc. 575 26,522
---------
COMPUTER EQUIPMENT - 2.65%
Bell & Howell Co.* 200 5,163
International Game Technology 675 16,369
---------
21,532
---------
CRUDE PETROLEUM & NATURAL GAS - 2.28%
Petroleo Brasileiro S.A. (Petrobras) - ADR (Note 7) 1,000 18,589
---------
DIAMONDS - 1.40%
De Beers Centenary AG - ADR (Note 7) 650 11,375
---------
ELECTRONICS & ELECTRICAL EQUIPMENT - 6.79%
Motorola, Inc. 525 27,595
Philips Electronics N.V. - ADR (Note 7) 325 27,625
---------
55,220
---------
GLASS PRODUCTS - 1.81%
Corning, Inc. 425 14,769
---------
HEALTH SERVICES - 2.41%
MedPartners, Inc.* 2,450 19,600
---------
INDUSTRIAL & COMMERCIAL MACHINERY - 1.34%
York International Corp. 250 10,891
---------
LEATHER & LEATHER PRODUCTS - 3.58%
Gucci Group - ADR (Note 7) 550 29,150
---------
PAPER & ALLIED PRODUCTS - 1.21%
Asia Pulp & Paper Co. Ltd. - ADR (Note 7) 875 9,844
---------
RETAIL - SPECIALTY STORES - 0.15%
Hancock Fabrics, Inc. 100 1,250
---------
SOFTWARE - 2.41%
Oracle Corp. 800 19,650
---------
TECHNICAL INSTRUMENTS & SUPPLIES - 8.76%
Eastman Kodak Co. 550 40,184
Millipore Corp. 725 19,756
Teradyne, Inc.* 425 11,369
---------
71,309
---------
</TABLE>
The accompanying notes are an integral part of the financial statements.
11
<PAGE>
Investment Portfolio - June 30, 1998 (unaudited)
<TABLE>
<CAPTION>
<S> <C> <C>
SHARES/PRINCIPAL VALUE
MANNING & NAPIER GROWTH PORTFOLIO (continued) AMOUNT (NOTE 2)
- ------------------------------------------------------------------ ----------------- ---------
TELECOMMUNICATION SERVICES - 4.57%
Compania Anonima Nacional Telefonos de Venezuela
(CANTV) - ADR (Note 7) 550 $ 13,750
Telecomunicacoes Brasileiras S.A. (Telebras) - ADR (Note 7) 215 23,475
---------
37,225
---------
TRANSPORTATION - RAILROAD- 2.61%
Canadian National Railway Co. - ADR (Note 7) 400 21,250
---------
TOTAL COMMON STOCK
(Identified Cost $461,656) 415,018
---------
U.S. TREASURY SECURITIES - 45.68%
U.S. TREASURY BONDS - 18.21%
U.S. Treasury Bond, 6.875%, 8/15/2025 $ 80,000 92,675
U.S. Treasury Bond, 6.50%, 11/15/2026 50,000 55,531
---------
TOTAL U.S. TREASURY BONDS
(Identified Cost $139,116) 148,206
---------
U.S. TREASURY NOTES - 27.47%
U.S. Treasury Note, 5.375%, 6/30/2000 60,000 59,887
U.S. Treasury Note, 5.625%, 12/31/2002 40,000 40,163
U.S. Treasury Note, 6.25%, 2/15/2003 120,000 123,488
---------
TOTAL U.S. TREASURY NOTES
(Identified Cost $222,876) 223,538
---------
TOTAL U.S. TREASURY SECURITIES
(Identified Cost $361,992) 371,744
---------
SHORT-TERM INVESTMENTS - 3.40%
Dreyfus Treasury Cash Management Fund (Identified Cost $27,655) 27,655 27,655
---------
TOTAL INVESTMENTS - 100.07%
(Identified Cost $851,303) 814,417
LIABILITIES, LESS OTHER ASSETS - (0.07)% (521)
---------
NET ASSETS -100% $813,896
=========
</TABLE>
*Non-income producing security
<TABLE>
<CAPTION>
<S> <C>
FEDERAL TAX INFORMATION:
At June 30, 1998, the net unrealized depreciation based on identified cost for federal income tax purposes of
$851,303 was as follows:
Aggregate gross unrealized appreciation for all investments in
which there was an excess of value over tax cost $ 24,152
Aggregate gross unrealized depreciation for all investments in
which there was an excess of tax cost over value (61,038)
---------
UNREALIZED DEPRECIATION - NET $(36,886)
=========
</TABLE>
The accompanying notes are an integral part of the financial statements.
12
<PAGE>
Investment Portfolio - June 30, 1998 (unaudited)
<TABLE>
<CAPTION>
<S> <C> <C>
VALUE
MANNING & NAPIER MAXIMUM HORIZON PORTFOLIO SHARES (NOTE 2)
- ------------------------------------------------------ ------ ---------
COMMON STOCK - 89.67%
AMUSEMENT & RECREATIONAL SERVICES - 0.78%
Resorts World Bhd. - ADR (Note 7) 250 $ 1,374
---------
Apparel - 4.44%
Liz Claiborne, Inc. 150 7,837
---------
BUSINESS SERVICES - 2.48%
National Data Corp. 100 4,375
---------
CHEMICALS & ALLIED PRODUCTS - 11.64%
Celltech plc* (United Kingdom) (Note 7) 900 4,748
Pharmacia & Upjohn, Inc. 150 6,919
R.P. Scherer Corp.* 100 8,863
---------
20,530
---------
COMPUTER EQUIPMENT - 6.36%
Bell & Howell Co.* 200 5,163
International Game Technology 250 6,063
---------
11,226
---------
COMPUTER INTEGRATED SYSTEMS DESIGN - 8.00%
HBO & Co. 400 14,100
---------
CRUDE PETROLEUM & NATURAL GAS - 5.19%
Petroleo Brasileiro S.A. (Petrobras) - ADR (Note 7) 250 4,647
YPF Sociedad Anonima - ADR (Note 7) 150 4,509
---------
9,156
---------
DIAMONDS - 1.00%
De Beers Centenary AG - ADR (Note 7) 100 1,750
---------
ELECTRONICS & ELECTRICAL EQUIPMENT - 6.60%
Motorola, Inc. 100 5,256
Philips Electronics N.V. - ADR (Note 7) 75 6,375
---------
11,631
---------
GLASS PRODUCTS - 1.97%
Corning, Inc. 100 3,475
---------
HEALTH SERVICES - 3.06%
MedPartners, Inc.* 675 5,400
---------
HOTELS & LODGING PLACES - 1.85%
CDL Hotels International Ltd. - ADR (Note 7) 1,100 3,265
---------
INDUSTRIAL & COMMERCIAL MACHINERY - 1.85%
York International Corp. 75 3,267
---------
LEATHER & LEATHER PRODUCTS - 4.51%
Gucci Group - ADR (Note 7) 150 7,950
---------
PAPER & ALLIED PRODUCTS - 7.74%
Aracruz Celulose S.A. - ADR (Note 7) 300 3,431
Asia Pulp & Paper Co. Ltd. - ADR (Note 7) 500 5,625
Kimberly-Clark Corp. 100 4,588
---------
13,644
---------
</TABLE>
The accompanying notes are an integral part of the financial statements.
13
<PAGE>
Investment Portfolio - June 30, 1998 (unaudited)
<TABLE>
<CAPTION>
<S> <C> <C>
SHARES/PRINCIPAL VALUE
MANNING & NAPIER MAXIMUM HORIZON PORTFOLIO (continued) AMOUNT (NOTE 2)
- ------------------------------------------------------------------ ----------------- ---------
RESTAURANTS - 4.89%
McDonald's Corp. 125 $ 8,625
---------
RETAIL - SPECIALTY STORES - 0.71%
Hancock Fabrics, Inc. 100 1,250
---------
SOFTWARE - 2.78%
Oracle Corp. 200 4,913
---------
TECHNICAL INSTRUMENTS & SUPPLIES - 8.24%
Eastman Kodak Co. 125 9,133
Millipore Corp. 100 2,725
Teradyne, Inc.* 100 2,675
---------
14,533
---------
TELECOMMUNICATION SERVICES - 3.32%
Compania Anonima Nacional Telefonos de Venezuela
(CANTV) - ADR (Note 7) 125 3,125
Telecomunicacoes Brasileiras S. A. (Telebras) - ADR (Note 7) 25 2,730
---------
5,855
---------
TRANSPORTATION - RAILROAD - 2.26%
Canadian National Railway Co. - ADR (Note 7) 75 3,984
---------
TOTAL COMMON STOCK
(Identified Cost $158,039) 158,140
---------
U.S. TREASURY SECURITIES - 9.45%
U.S. Treasury Bond, 6.50%, 11/15/2026 (Identified Cost $16,167) $ 15,000 16,659
---------
SHORT-TERM INVESTMENTS - 3.13%
Dreyfus Treasury Cash Management Fund
(Identified Cost $5,514) 5,514 5,514
---------
TOTAL INVESTMENTS - 102.25%
(Identified Cost $179,750) 180,313
LIABILITIES, LESS OTHER ASSETS - (2.25)% (3,967)
---------
NET ASSETS - 100% $176,346
=========
</TABLE>
*Non-income producing security
<TABLE>
<CAPTION>
<S> <C>
FEDERAL TAX INFORMATION:
At June 30, 1998, the net unrealized appreciation based on identified cost for federal income tax purposes of
$179,750 was as follows:
Aggregate gross unrealized appreciation for all investments in
which there was an excess of value over tax cost $ 20,955
Aggregate gross unrealized depreciation for all investments in
which there was an excess of tax cost over value (20,392)
---------
UNREALIZED APPRECIATION - NET $ 563
=========
</TABLE>
The accompanying notes are an integral part of the financial statements.
14
<PAGE>
Investment Portfolio - June 30, 1998 (unaudited)
<TABLE>
<CAPTION>
<S> <C> <C>
VALUE
MANNING & NAPIER SMALL CAP PORTFOLIO SHARES (NOTE 2)
- -------------------------------------------------- ------ ---------
COMMON STOCK - 85.94%
AGRICULTURAL PRODUCTION - 2.12%
Sylvan, Inc.* 225 $ 3,544
---------
APPAREL - 3.11%
Novel Denim Holdings Ltd.* 200 5,200
---------
CHEMICALS & ALLIED PRODUCTS - 5.18%
Cypress Bioscience, Inc.* 550 1,633
Orion-Yhtyma OY - B Shares (Finland) (Note 7) 210 6,458
Pt Tri Polyta Indonesia - ADR (Note 7) 525 591
---------
8,682
---------
COMPUTER EQUIPMENT - 4.62%
Bell & Howell Co.* 300 7,744
---------
COMPUTER INTEGRATED SYSTEMS DESIGN - 4.33%
Apache Medical Systems, Inc.* 200 387
DAOU Systems, Inc.* 300 6,863
---------
7,250
---------
DISTRIBUTION - WHOLESALE - 1.54%
Philip Services Corp.* 625 2,578
---------
ELECTRONICS & ELECTRICAL EQUIPMENT - 8.18%
The Carbide/Graphite Group, Inc. 175 4,867
Firearms Training Systems, Inc.* 1,075 2,687
Gold Peak Industries, Ltd. (Hong Kong) (Note 7) 8,000 2,736
Ultralife Batteries, Inc.* 400 3,400
---------
13,690
---------
GLASS PRODUCTS - 4.00%
Libbey, Inc. 175 6,705
---------
INDUSTRIAL & COMMERCIAL MACHINERY - 7.78%
Comfort Systems USA, Inc.* 225 5,259
Lam Research Corp. 125 2,391
NN Ball & Roller, Inc. 450 5,372
---------
13,022
---------
PAPER & ALLIED PRODUCTS - 5.83%
Schweitzer-Mauduit International, Inc. 175 5,075
Stone Conatainer Corp. 300 4,688
---------
9,763
---------
PRIMARY METAL INDUSTRIES - 6.77%
Gibraltar Steel Corp.* 275 5,638
Wolverine Tube, Inc.* 150 5,700
---------
11,338
---------
PRINTING & PUBLISHING - 4.76%
Scholastic Corp.* 200 7,975
---------
REFUSE SYSTEMS - 1.83%
Newpark Resources, Inc.* 275 3,059
---------
</TABLE>
The accompanying notes are an integral part of the financial statements.
15
<PAGE>
Investment Portfolio - June 30, 1998 (unaudited)
<TABLE>
<CAPTION>
<S> <C> <C>
SHARES/PRINCIPAL VALUE
MANNING & NAPIER SMALL CAP PORTFOLIO (continued) AMOUNT (NOTE 2)
- ---------------------------------------------------- ----------------- ---------
RETAIL - SPECIALTY STORES - 6.44%
Hancock Fabrics, Inc. 300 $ 3,750
Loehmann's Inc.* 375 1,805
Talbots, Inc. 200 5,238
---------
10,793
---------
SOFTWARE - 2.31%
HCIA, Inc.* 300 3,862
---------
TECHNICAL INSTRUMENTS & SUPPLIES - 6.39%
CardioGenesis Corp.* 100 531
Physio-Control International Corp.* 200 5,262
Sola International, Inc.* 150 4,903
---------
10,696
---------
TELECOMMUNICATION SERVICES - 2.42%
Microcell Telecommunications, Inc. - ADR (Note 7) 450 4,050
---------
TESTING LABORATORIES - 1.57%
Paradigm Geophysical, Ltd. 375 2,637
---------
TEXTILE MILL PRODUCTS - 2.87%
Albany International Corp. - Class A 201 4,811
---------
TRANSPORTATION - 3.89%
Miller Industries, Inc.* 400 3,100
Trico Marine Services, Inc.* 250 3,422
---------
6,522
---------
TOTAL COMMON STOCK
(Identified Cost $151,668) 143,921
---------
SHORT-TERM INVESTMENTS - 16.22%
U.S. Treasury Bill, 7/16/1998 $ 15,000 14,970
U.S. Treasury Note, 5.25%, 7/31/1998 5,000 5,000
Dreyfus Treasury Cash Management Fund 7,199 7,199
---------
TOTAL SHORT-TERM INVESTMENTS
(Identified Cost $27,170) 27,169
---------
TOTAL INVESTMENTS - 102.16%
(Identified Cost $178,838) 171,090
LIABILITIES, LESS OTHER ASSETS - (2.16)% (3,625)
---------
NET ASSETS - 100% $167,465
=========
</TABLE>
*Non-income producing security
<TABLE>
<CAPTION>
<S> <C>
FEDERAL TAX INFORMATION:
At June 30, 1998, the net unrealized depreciation based on identified cost for federal income tax purposes of
$178,838 was as follows:
Aggregate gross unrealized appreciation for all investments
in which there was an excess of value over tax cost $ 16,934
Aggregate gross unrealized depreciation for all investments
in which there was an excess of tax cost over value (24,682)
---------
UNREALIZED DEPRECIATION - NET $ (7,748)
=========
</TABLE>
The accompanying notes are an integral part of the financial statements.
16
Investment Portfolio - June 30, 1998 (unaudited)
<TABLE>
<CAPTION>
<S> <C> <C>
VALUE
MANNING & NAPIER EQUITY PORTFOLIO SHARES (NOTE 2)
- ------------------------------------------------------ ------ ---------
COMMON STOCK - 99.40%
AMUSEMENT & RECREATIONAL SERVICES - 1.20%
Resorts World Bhd. - ADR (Note 7) 375 $ 2,061
---------
BUSINESS SERVICES -3.82%
National Data Corp. 150 6,563
---------
CHEMICALS & ALLIED PRODUCTS - 10.54%
Pharmacia & Upjohn, Inc. 200 9,225
R.P. Scherer Corp.* 100 8,863
---------
18,088
---------
COMPUTER EQUIPMENT - 6.59%
Bell & Howell Co.* 250 6,453
International Game Technology 200 4,850
---------
11,303
---------
CRUDE PETROLEUM & NATURAL GAS - 6.04%
Petroleo Brasileiro S.A. (Petrobras) - ADR (Note 7) 275 5,112
YPF Sociedad Anonima - ADR (Note 7) 175 5,261
---------
10,373
---------
DIAMONDS - 1.27%
De Beers Centenary AG - ADR (Note 7) 125 2,187
---------
DISTRIBUTION - WHOLESALE - 1.89%
Unisource Worldwide, Inc. 300 3,244
---------
ELECTRONICS & ELECTRICAL EQUIPMENT - 4.59%
Motorola, Inc. 150 7,884
---------
ENGINEERING SERVICES - 3.28%
Jacobs Engineering Group, Inc.* 175 5,622
---------
FOOD & BEVERAGE - 8.81%
Diageo plc- ADR (Note 7) 134 6,457
Unilever plc - ADR (Note 7) 200 8,663
---------
15,120
---------
GLASS PRODUCTS - 2.02%
Corning, Inc. 100 3,475
---------
HEALTH SERVICES - 3.26%
MedPartners, Inc.* 700 5,600
---------
INDUSTRIAL & COMMERCIAL MACHINERY - 3.17%
York International Corp. 125 5,445
---------
LEATHER & LEATHER PRODUCTS - 3.86%
Gucci Group - ADR (Note 7) 125 6,625
---------
PAPER & ALLIED PRODUCTS - 9.28%
Aracruz Celulose S.A - ADR (Note 7) 450 5,147
Asia Pulp & Paper Co. Ltd. - ADR (Note 7) 550 6,187
Kimberly-Clark Corp. 100 4,588
---------
15,922
---------
RESTAURANTS - 4.02%
McDonald's Corp. 100 6,900
---------
</TABLE>
The accompanying notes are an integral part of the financial statements.
17
<PAGE>
Investment Portfolio - June 30, 1998 (unaudited)
<TABLE>
<CAPTION>
<S> <C> <C>
VALUE
MANNING & NAPIER EQUITY PORTFOLIO (continued) SHARES (NOTE 2)
- -------------------------------------------------------------- ------ ---------
RETAIL - SPECIALTY STORES - 3.28%
Hancock Fabrics, Inc. 450 $ 5,625
---------
SOFTWARE - 3.22%
Oracle Corp. 225 5,527
---------
TECHNICAL INSTRUMENTS & SUPPLIES - 9.38%
Eastman Kodak Co. 100 7,306
Millipore Corp. 200 5,450
Teradyne, Inc.* 125 3,344
---------
16,100
---------
TELECOMMUNICATION SERVICES - 5.37%
Compania Anonima Nacional Telefonos de Venezuela
(CANTV) - ADR (Note 7) 150 3,750
Telecomunicacoes Brasileiras S.A. (Telebras) - ADR (Note 7) 50 5,459
---------
9,209
---------
TRANSPORTATION - RAILROAD - 3.09%
Canadian National Railway Co. - ADR (Note 7) 100 5,312
---------
UTILITIES - ELECTRIC - 1.42%
Enersis SA - ADR (Note 7) 100 2,444
---------
TOTAL COMMON STOCK
(Identified Cost $179,635) 170,629
---------
SHORT-TERM INVESTMENTS - 3.37%
Dreyfus Treasury Cash Management Fund
(Identified Cost $5,786) 5,786 5,786
---------
TOTAL INVESTMENTS - 102.77%
(Identified Cost $185,421) 176,415
LIABILITIES, LESS OTHER ASSETS - (2.77)% (4,747)
---------
NET ASSETS - 100% $171,668
=========
</TABLE>
*Non-income producing security
<TABLE>
<CAPTION>
<S> <C>
FEDERAL TAX INFORMATION:
At June 30, 1998, the net unrealized depreciation based on identified cost for federal income tax purposes of
$185,421 was as follows:
Aggregate gross unrealized appreciation for all investments
in which there was an excess of value over tax cost $ 18,560
Aggregate gross unrealized depreciation for all investments in
which there was an excess of tax cost over value (27,566)
---------
UNREALIZED DEPRECIATION - NET $ (9,006)
=========
</TABLE>
The accompanying notes are an integral part of the financial statements.
18
<PAGE>
Investment Portfolio - June 30, 1998 (unaudited)
<TABLE>
<CAPTION>
<S> <C> <C>
PRINCIPAL VALUE
MANNING & NAPIER BOND PORTFOLIO AMOUNT/SHARES (NOTE 2)
- -------------------------------------------------------------- -------------- ---------
U.S. TREASURY SECURITIES - 50.2%
U.S. Treasury Note, 6.50%, 10/15/2006 $ 30,000 $ 31,866
U.S. Treasury Bond, 6.875%, 8/15/2025 35,000 40,545
---------
TOTAL U.S. TREASURY SECURITIES
(Identified Cost $66,628) 72,411
---------
U.S. GOVERNMENT AGENCIES - 42.8%
Federal Home Loan Bank Bond, 5.905%, 10/23/1998 10,000 10,007
Federal Home Loan Mortgage Bond, 6.13%, 8/19/1999 15,000 15,062
Federal National Mortgage Association Bond, 7.55%, 4/22/2002 15,000 15,950
Student Loan Marketing Association Bond, 7.50%, 3/8/2000 15,000 15,432
Tennessee Valley Authority Bond, 6.375%, 6/15/2005 5,000 5,191
---------
TOTAL U.S. GOVERNMENT AGENCIES
(Identified Cost $61,248) 61,642
---------
SHORT-TERM INVESTMENTS - 9.0%
Dreyfus Treasury Cash Management Fund
(Identified Cost $12,898) 12,898 12,898
---------
TOTAL INVESTMENTS - 102.0%
(Identified Cost $140,774) 146,951
LIABILITIES, LESS OTHER ASSETS - (2.0)% (2,813)
---------
NET ASSETS - 100% $144,138
=========
</TABLE>
<TABLE>
<CAPTION>
<S> <C>
FEDERAL TAX INFORMATION:
At June 30, 1998, the net unrealized appreciation based on identified cost for federal income tax purposes of
$140,774 was as follows:
Aggregate gross unrealized appreciation for all investments
in which there was an excess of value over tax cost $6,177
Aggregate gross unrealized depreciation for all investments
in which there was an excess of tax cost over value 0
------
UNREALIZED APPRECIATION - NET $6,177
======
</TABLE>
The accompanying notes are an integral part of the financial statements.
19
<PAGE>
Statements of Assets and Liabilities (unaudited)
June 30, 1998
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
MANNING & NAPIER INSURANCE FUND, INC.
---------------------------------------
Moderate Maximum
Growth Growth Horizon Small Cap
Portfolio Portfolio Portfolio Portfolio
ASSETS: ------------- ---------- ---------- ---------
Investments in securities (Note 2):
At identified cost $ 155,307 $ 851,303 $ 179,750 $ 178,838
============= ========== ========== ==========
At value $ 151,650 $ 814,417 $ 180,313 $ 171,090
Cash -- 41 31 5
Dividends receivable 73 675 325 30
Interest receivable 1,400 5,315 124 110
Receivable from investment advisor (Note 3) 6,248 3,829 6,090 6,103
------------- ---------- ---------- ---------
TOTAL ASSETS 159,371 824,277 186,883 177,338
------------- ---------- ---------- ---------
LIABILITIES:
Accrued Directors' fees (Note 3) 3,818 3,818 3,818 3,818
Audit fee payable 4,450 4,450 4,450 4,450
Other payables and accrued expenses 2,728 2,113 2,269 1,605
------------- ---------- ---------- ---------
TOTAL LIABILITIES 10,996 10,381 10,537 9,873
------------- ---------- ---------- ---------
NET ASSETS $ 148,375 $ 813,896 $ 176,346 $ 167,465
============= ========== ========== ==========
NET ASSETS CONSIST OF:
Capital stock $ 127 $ 655 $ 127 $ 129
Additional paid-in-capital 127,363 790,641 126,836 130,711
Undistributed net investment income 7,071 12,525 2,520 262
Accumulated net realized gain on investments 17,471 46,961 46,300 44,114
Net unrealized appreciation
(depreciation) on investments (3,657) (36,886) 563 (7,751)
------------- ---------- ---------- ---------
TOTAL NET ASSETS $ 148,375 $ 813,896 $ 176,346 $ 167,465
============= ========== ========== ==========
SHARES OUTSTANDING 12,741 65,556 12,690 12,921
============= ========== ========== ==========
NET ASSET VALUE PER SHARE $ 11.65 $ 12.42 $ 13.90 $ 12,96
============= ========== ========== ==========
<S> <C> <C>
Equity Bond
Portfolio Portfolio
---------- ----------
ASSETS:
Investments in securities (Note 2):
At identified cost $ 185,421 $ 140,774
========== ==========
At value $ 176,415 $ 146,951
Cash -- --
Dividends receivable 229 --
Interest receivable -- 2,343
Receivable from investment advisor (Note 3) 6,079 6,536
---------- ----------
TOTAL ASSETS 182,723 155,830
---------- ----------
LIABILITIES:
Accrued Directors' fees (Note 3) 3,818 3,818
Audit fee payable 4,450 4,450
Other payables and accrued expenses 2,787 3,424
---------- ----------
TOTAL LIABILITIES 11,055 11,692
---------- ----------
NET ASSETS $ 171,668 $ 144,138
========== ==========
NET ASSETS CONSIST OF:
Capital stock $ 130 $ 127
Additional paid-in-capital 129,670 127,325
Undistributed net investment income 1,929 10,495
Accumulated net realized gain on investments 48,945 14
Net unrealized appreciation
(depreciation) on investments (9,006) 6,177
---------- ----------
TOTAL NET ASSETS $ 171,668 $ 144,138
========== ==========
SHARES OUTSTANDING 12,954 12,743
========== ==========
NET ASSET VALUE PER SHARE $ 13.25 $ 11.31
========== ==========
</TABLE>
The accompanying notes are an integral part of the financial statements.
20
<PAGE>
Statements of Operations (unaudited)
For the Six Months Ended June 30, 1998
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
MANNING & NAPIER INSURANCE FUND, INC.
---------------------------------------
Moderate Maximum
Growth Growth Horizon Small Cap
Portfolio Portfolio Portfolio Portfolio
---------- ---------- ---------- ----------
INVESTMENT INCOME:
Interest $ 2,591 $ 7,512 $ 615 $ 683
Dividends 808 4,009 1,758 605
---------- ---------- ---------- ----------
Total Investment Income 3,399 11,521 2,373 1,288
---------- ---------- ---------- ----------
EXPENSES:
Management fees (Note 3) 734 2,771 866 855
Directors' fees (Note 3) 3,818 3,818 3,818 3,818
Audit fee 2,531 2,531 2,531 2,531
Custodian fee 496 496 496 496
Miscellaneous 283 309 284 284
---------- ---------- ---------- ----------
Total Expenses 7,862 9,925 7,995 7,984
Less Reduction of Expenses (Note 3) (6,982) (6,600) (6,956) (6,958)
---------- ---------- ---------- ----------
Net Expenses 880 3,325 1,039 1,026
---------- ---------- ---------- ----------
NET INVESTMENT INCOME 2,519 8,196 1,334 262
---------- ---------- ---------- ----------
REALIZED AND UNREALIZED GAIN
(LOSS) ON INVESTMENTS:
Net realized gain on investments 9,071 27,763 19,467 16,655
Net change in unrealized appreciation
(depreciation) on investments (7,601) (39,194) (7,993) (6,250)
---------- ---------- ---------- ----------
NET REALIZED AND UNREALIZED
GAIN (LOSS) ON INVESTMENTS 1,470 (11,431) 11,474 10,405
---------- ---------- ---------- ----------
NET INCREASE (DECREASE) IN NET
ASSETS RESULTING FROM OPERATIONS $ 3,989 $ (3,235) $ 12,808 $ 10,667
========== ========== ========== ==========
<S> <C> <C>
Equity Bond
Portfolio Portfolio
---------- ----------
INVESTMENT INCOME:
Interest $ 249 $ 4,232
Dividends 2,102 --
---------- ----------
Total Investment Income 2,351 4,232
---------- ----------
EXPENSES:
Management fees (Note 3) 875 349
Directors' fees (Note 3) 3,818 3,818
Audit fee 2,531 2,531
Custodian fee 496 496
Miscellaneous 284 285
---------- ----------
Total Expenses 8,004 7,479
Less Reduction of Expenses (Note 3) (6,954) (6,885)
---------- ----------
Net Expenses 1,050 594
---------- ----------
NET INVESTMENT INCOME 1,301 3,638
---------- ----------
REALIZED AND UNREALIZED GAIN
(LOSS) ON INVESTMENTS:
Net realized gain on investments 38,868 14
Net change in unrealized appreciation
(depreciation) on investments (33,990) 2,244
---------- ----------
NET REALIZED AND UNREALIZED
GAIN (LOSS) ON INVESTMENTS 4,878 2,258
---------- ----------
NET INCREASE (DECREASE) IN NET
ASSETS RESULTING FROM OPERATIONS $ 6,179 $ 5,896
========== ==========
</TABLE>
The accompanying notes are an integral part of the financial statements.
21
<PAGE>
Statements of Changes in Net Assets (unaudited)
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
MANNING & NAPIER INSURANCE FUND INC
Moderate Growth
Portfolio Growth Portfolio
------------------------------------------
For the For the For the For the
Six Months Year Six Months Year
Ended Ended Ended Ended
6/30/98 12/31/97 6/30/98 12/31/97
---------- --------- ---------- ---------
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS:
Net investment income $ 2,519 $ 4,554 $ 8,196 $ 4,330
Net realized gain on investments 9,071 8,400 27,763 19,221
Net change in unrealized appreciation
(depreciation) on investments (7,601) 3,328 (39,194) (288)
---------- --------- ---------- ---------
Net increase (decrease) in net assets
from operations 3,989 16,282 (3,235) 23,263
---------- --------- ---------- ---------
DISTRIBUTIONS TO SHAREHOLDERS
(NOTE 2):
From net investment income -- (823) -- (635)
---------- --------- ---------- ---------
CAPITAL STOCK ISSUED AND
REPURCHASED:
Net increase from capital share
transactions (Note 5) -- 823 498,903 165,726
---------- --------- ---------- ---------
Net increase in net assets 3,989 16,282 495,668 188,354
NET ASSETS:
Beginning of period 144,386 128,104 318,228 129,874
---------- --------- ---------- ---------
END OF PERIOD $ 148,375 $ 144,386 $ 813,896 $ 318,228
========== ========= ========== =========
<S> <C> <C>
Maximum Horizon
Portfolio
-----------------
For the For the
Six Months Year
Ended Ended
6/30/98 12/31/97
---------------- ---------
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS:
Net investment income $ 1,334 $ 1,186
Net realized gain on investments 19,467 26,923
Net change in unrealized appreciation
(depreciation) on investments (7,993) 3,213
---------------- ---------
Net increase (decrease) in net assets
from operations 12,808 31,322
---------------- ---------
DISTRIBUTIONS TO SHAREHOLDERS
(NOTE 2):
From net investment income -- (296)
---------------- ---------
CAPITAL STOCK ISSUED AND
REPURCHASED:
Net increase from capital share
transactions (Note 5) -- 296
---------------- ---------
Net increase in net assets 12,808 31,322
NET ASSETS:
Beginning of period 163,538 132,216
---------------- ---------
END OF PERIOD $ 176,346 $ 163,538
================ =========
</TABLE>
The accompanying notes are an integral part of the financial statements.
22
<PAGE>
Statements of Changes in Net Assets - continued (unaudited)
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
MANNING & NAPIER INSURANCE FUND INC
-------------------------------------
Small Cap Portfolio Equity Portfolio
------------------------- ------------------
For the For the For the For the
Six Months Year Six Months Year
Ended Ended Ended Ended
6/30/98 12/31/97 6/30/98 12/31/97
---------- --------- ---------- ---------
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS:
Net investment income $ 262 $ 1,192 $ 1,301 $ 633
Net realized gain on investments 16,655 28,497 38,868 11,664
Net change in unrealized appreciation
(depreciation) on investments (6,250) (11,265) (33,990) 16,925
---------- --------- ---------- ---------
Net increase (decrease) in net assets
from operations 10,667 18,424 6,179 29,222
---------- --------- ---------- ---------
DISTRIBUTIONS TO SHAREHOLDERS
(NOTE 2):
From net investment income -- (113) -- (607)
---------- --------- ---------- ---------
CAPITAL STOCK ISSUED AND
REPURCHASED:
Net increase from capital share
transactions (Note 5) -- 113 -- 607
---------- --------- ---------- ---------
Net increase in net assets 10,667 18,424 6,179 29,222
NET ASSETS:
Beginning of period 156,798 138,374 165,489 136,267
---------- --------- ---------- ---------
END OF PERIOD $ 167,465 $ 156,798 $ 171,668 $ 165,489
========== ========= ========== =========
<S> <C> <C>
Bond Portfolio
---------------
For the For the
Six Months Year
Ended Ended
6/30/98 12/31/97
--------------- ---------
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS:
Net investment income $ 3,638 $ 6,861
Net realized gain on investments 14 --
Net change in unrealized appreciation
(depreciation) on investments 2,244 5,506
--------------- ---------
Net increase (decrease) in net assets
from operations 5,896 12,367
--------------- ---------
DISTRIBUTIONS TO SHAREHOLDERS
(NOTE 2):
From net investment income -- (785)
--------------- ---------
CAPITAL STOCK ISSUED AND
REPURCHASED:
Net increase from capital share
transactions (Note 5) -- 785
--------------- ---------
Net increase in net assets 5,896 12,367
NET ASSETS:
Beginning of period 138,242 125,875
--------------- ---------
END OF PERIOD $ 144,138 $ 138,242
=============== =========
</TABLE>
The accompanying notes are an integral part of the financial statements.
23
<PAGE>
Financial Highlights (unaudited)
<TABLE>
<CAPTION>
<S> <C> <C> <C>
MANNING & NAPIER INSURANCE FUND, INC.
---------------------------------------
MODERATE GROWTH PORTFOLIO
---------------------------------------
For the For the For the
Six Months Year Period
Ended Ended 11/1/96 1 to
6/30/98 12/31/97 12/31/96
---------- --------- -------------
Per share data (for a share outstanding
throughout each period):
NET ASSET VALUE - BEGINNING OF PERIOD $ 11.33 $ 10.11 $ 10.00
----------- ---------- --------------
Income from investment operations:
Net investment income 0.198 0.357 0.065
Net realized and unrealized gain (loss)
on investments 0.122 0.928 0.045
----------- ---------- --------------
Total from investment operations 0.320 1.285 0.110
----------- ---------- --------------
Less distributions to shareholders:
From net investment income -- (0.065) --
----------- ---------- --------------
NET ASSET VALUE - END OF PERIOD $ 11.65 $ 11.33 $ 10.11
=========== ========== ==============
Total return 2 2.82% 12.73% 1.10%
Ratios of expenses (to average net assets)/
Supplemental Data:
Expenses * 1.20%3 1.20% 1.20%3
Net investment income * 3.43%3 3.35% 4.08%3
Portfolio turnover 40% 53% 0%
Average commission rate paid $ 0.0543 $ 0.0565 $ 0.0700
NET ASSETS - END OF PERIOD $ 148,375 $ 144,386 $ 128,104
=========== ========== ==============
<S> <C> <C> <C>
GROWTH PORTFOLIO
------------------
For the For the For the
Six Months Year Period
Ended Ended 11/1/96 1 to
6/30/98 12/31/97 12/31/96
----------------- --------- --------------
Per share data (for a share outstanding
throughout each period):
NET ASSET VALUE - BEGINNING OF PERIOD $ 12.17 $ 10.25 $ 10.00
----------------- --------- --------------
Income from investment operations:
Net investment income 0.025 0.166 0.050
Net realized and unrealized gain (loss)
on investments 0.225 1.804 0.200
----------------- --------- --------------
Total from investment operations 0.250 1.970 0.250
----------------- --------- --------------
Less distributions to shareholders:
From net investment income -- (0.050) --
----------------- --------- --------------
NET ASSET VALUE - END OF PERIOD $ 12.42 $ 12.17 $ 10.25
================= ========= ==============
Total return 2 2.05% 19.23% 2.50%
Ratios of expenses (to average net assets)/
Supplemental Data:
Expenses * 1.20%3 1.20% 1.20%3
Net investment income * 2.96%3 2.42% 3.11%3
Portfolio turnover 74% 90% 3%
Average commission rate paid $ 0.0569 $ 0.0524 $ 0.0696
NET ASSETS - END OF PERIOD $ 813,896 $ 318,228 $ 129,874
================= ========= ==============
</TABLE>
* The investment advisor did not impose its management fee and paid a portion
of the Fund's expenses. If these expenses had been incurred by the Fund, and
had 1996 expenses been limited by state securities law, the net investment
income per share and the ratios would have been as follows:
<TABLE>
<CAPTION>
<S> <C> <C> <C>
Net investment income (loss) $(0.352) $(1.024) $ 0.044
Ratios (to average net assets):
Expenses 10.72%3 14.16% 2.50%3
Net investment income (loss) (6.09)%3 (9.61)% 2.78%3
<S> <C> <C> <C>
Net investment income (loss) $0.005 $(0.505) $ 0.029
Ratios (to average net assets):
Expenses 3.58%3 10.98% 2.50%3
Net investment income (loss) 0.58%3 (7.36)% 1.81%3
</TABLE>
1 Commencement of operations.
2 Represents aggregate total return for the period indicated.
3 Annualized.
The accompanying notes are an integral part of the financial statements.
24
<PAGE>
Financial Highlights - continued (unaudited)
<TABLE>
<CAPTION>
<S> <C> <C> <C>
MANNING & NAPIER INSURANCE FUND, INC.
---------------------------------------
Maximum Horizon Portfolio
---------------------------------------
For the For the For the
Six Months Year Period
Ended Ended 11/1/96 1 to
6/30/98 12/31/97 12/31/96
------------ --------- -------------
Per share data (for a share outstanding
throughout each period):
NET ASSET VALUE - BEGINNING OF PERIOD $ 12.89 $ 10.44 $ 10.00
------------ --------- -------------
Income from investment operations:
Net investment income (loss) 0.105 0.093 0.023
Net realized and unrealized gain (loss)
on investments 0.905 2.380 0.417
------------ --------- -------------
Total from investment operations 1.010 2.473 0.440
------------ --------- -------------
Less distributions to shareholders:
From net investment income -- (0.023) --
------------ --------- -------------
NET ASSET VALUE - END OF PERIOD $ 13.90 $ 12.89 $ 10.44
============ ========= =============
Total return 2 7.84% 23.69% 4.40%
Ratios of expenses (to average net assets)/
Supplemental Data:
Expenses * 1.20%3 1.20% 1.20%3
Net investment income (loss) * 1.54%3 0.78% 1.43%3
Portfolio turnover 49% 120% 4%
Average commission rate paid $ 0.0439 $ 0.0535 $ 0.0691
NET ASSETS - END OF PERIOD $ 176,346 $ 163,538 $ 132,216
============ ========= =============
<S> <C> <C> <C>
Small Cap Portfolio
-------------------------
For the For the For the
Six Months Year Period
Ended Ended 11/1/96 1 to
6/30/98 12/31/97 12/31/96
------------------------ --------- -------------
Per share data (for a share outstanding
throughout each period):
NET ASSET VALUE - BEGINNING OF PERIOD $ 12.13 $ 10.72 $ 10.00
------------------------ --------- -------------
Income from investment operations:
Net investment income (loss) 0.020 (0.027) 0.009
Net realized and unrealized gain (loss)
on investments 0.810 1.446 0.711
------------------------ --------- -------------
Total from investment operations 0.830 1.419 0.720
------------------------ --------- -------------
Less distributions to shareholders:
From net investment income -- (0.009) --
------------------------ --------- -------------
NET ASSET VALUE - END OF PERIOD $ 12.96 $ 12.13 $ 10.72
======================== ========= =============
Total return 2 6.84% 13.23% 7.20%
Ratios of expenses (to average net assets)/
Supplemental Data:
Expenses * 1.20%3 1.20% 1.20%3
Net investment income (loss) * 0.31%3 (0.23)% 0.55%3
Portfolio turnover 45% 72% 9%
Average commission rate paid $ 0.0100 $ 0.0200 $ 0.0356
NET ASSETS - END OF PERIOD $ 167,465 $ 156,798 $ 138,374
======================== ========= =============
</TABLE>
* The investment advisor did not impose its management fee and paid a portion
of the Fund's expenses. If these expenses had been incurred by the Fund, and
had 1996 expenses been limited by state securities law, the net investment
income per share and the ratios would have been as follows:
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
Net investment income (loss) ($0.443) $(1.285) $ 0.002 $ (0.505) $ (1.357)
Ratios (to average net assets):
Expenses 9.24%3 12.76% 2.50%3 9.34%3 12.53%
Net investment income (loss) (6.50)%3 (10.78)% 0.13%3 (7.83)%3 (11.56)%
<S> <C>
Net investment income (loss) $ (0.012)
Ratios (to average net assets):
Expenses 2.50%3
Net investment income (loss) (0.75)%3
</TABLE>
1 Commencement of operations.
2 Represents aggregate total return for the period indicated.
3 Annualized.
The accompanying notes are an integral part of the financial statements.
25
<PAGE>
Financial Highlights - continued (unaudited)
<TABLE>
<CAPTION>
<S> <C> <C> <C>
MANNING & NAPIER INSURANCE FUND, INC.
---------------------------------------
Equity Portfolio
---------------------------------------
For the For the For the
Six Months Year Period
Ended Ended 11/1/96 1 to
6/30/98 12/31/97 12/31/96
----------- --------- -------------
Per share data (for a share outstanding
throughout each period):
NET ASSET VALUE - BEGINNING OF PERIOD $ 12.78 $ 10.56 $ 10.00
----------- --------- -------------
Income from investment operations:
Net investment income (loss) 0.101 0.048 0.047
Net realized and unrealized gain (loss)
on investments 0.369 2.219 0.513
----------- --------- -------------
Total from investment operations 0.470 2.267 0.560
----------- --------- -------------
Less distributions to shareholders:
From net investment income -- (0.047) --
----------- --------- -------------
NET ASSET VALUE - END OF PERIOD $ 13.25 $ 12.78 $ 10.56
=========== ========= =============
Total return2 3.68% 21.46% 5.60%
Ratios of expenses (to average net assets)/
Supplemental Data:
Expenses * 1.20%3 1.20% 1.20%3
Net investment income * 1.49%3 0.41% 2.84%3
Portfolio turnover 43% 50% 29%
Average commission rate paid $ 0.0601 $ 0.0602 $ 0.0661
NET ASSETS - END OF PERIOD $ 171,668 $ 165,489 $ 136,267
=========== ========= =============
<S> <C> <C> <C>
Bond Portfolio
----------------
For the For the For the
Six Months Year Period
Ended Ended 11/1/96 1 to
6/30/98 12/31/97 12/31/96
--------------- --------- -------------
Per share data (for a share outstanding
throughout each period):
NET ASSET VALUE - BEGINNING OF PERIOD $ 10.85 $ 9.94 $ 10.00
--------------- --------- -------------
Income from investment operations:
Net investment income (loss) 0.286 0.538 0.062
Net realized and unrealized gain (loss)
on investments 0.174 0.434 (0.122)
--------------- --------- -------------
Total from investment operations 0.460 0.972 (0.060)
--------------- --------- -------------
Less distributions to shareholders:
From net investment income -- (0.062) --
--------------- --------- -------------
NET ASSET VALUE - END OF PERIOD $ 11.31 $ 10.85 $ 9.94
=============== ========= =============
Total return2 4.24% 9.81% (0.60)%
Ratios of expenses (to average net assets)/
Supplemental Data:
Expenses * 0.85%3 0.85% 0.85%3
Net investment income * 5.21%3 5.29% 3.92%3
Portfolio turnover 4% 0% 0%
Average commission rate paid -- -- --
NET ASSETS - END OF PERIOD $ 144,138 $ 138,242 $ 125,875
=============== ========= =============
</TABLE>
* The investment advisor did not impose its management fee and paid a portion
of the Fund's expenses. If these expenses had been incurred by the Fund, and
had 1996 expenses been limited by state securities law, the net investment
income per share and the ratios would have been as follows:
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
Net investment income (loss) $ (0.438) $ (1.268) $ 0.025 $ (0.255) $(0.827) $ 0.036
Ratios (to average net assets):
Expenses 9.15%3 12.44% 2.50%3 10.71%3 14.27% 2.50%3
Net investment income (loss) (6.46)%3 (10.83)% 1.54%3 (4.65)%3 (8.13)% 2.27%3
1 Commencement of operations.
2 Represents aggregate total return for the period indicated.
3 Annualized.
</TABLE>
The accompanying notes are an integral part of the financial statements.
26
<PAGE>
Notes to Financial Statements (unaudited)
1. ORGANIZATION
Manning & Napier Moderate Growth Portfolio (Moderate Growth Portfolio),
Manning & Napier Growth Portfolio (Growth Portfolio), Manning & Napier Maximum
Horizon Portfolio (Maximum Horizon Portfolio), Manning & Napier Small Cap
Portfolio (Small Cap Portfolio), Manning & Napier Equity Portfolio (Equity
Portfolio), and Manning & Napier Bond Portfolio (Bond Portfolio) are no-load
diversified series (collectively the "Funds") of Manning & Napier Insurance
Fund, Inc. (the "Corporation"). The Corporation is organized in Maryland and
is registered under the Investment Company Act of 1940, as amended, as an
open-end management investment company. It was established for the purpose of
providing a vehicle for the investment of assets of various separate accounts
established exclusively for the purpose of providing an investment vehicle for
variable annuity contracts. Currently, shares of the Corporation are offered
only to separate accounts funding variable annuity contracts issued by Keyport
Life Insurance Company and Liberty Life Insurance Company of Boston.
The total authorized capital stock of the Corporation consists of 550 million
shares of common stock each having a par value of $0.01. As of June 30,
1998, the shares are currently classified into six classes of shares
including: Class A - Moderate Growth Portfolio, Class B - Growth Portfolio,
Class C - Maximum Horizon Portfolio, Class D - Equity Portfolio, Class E -
Small Cap Portfolio, and Class F - Bond Portfolio.
2. SIGNIFICANT ACCOUNTING POLICIES
SECURITY VALUATION
Portfolio securities, including domestic equities, foreign equities, options
and corporate bonds, listed on an exchange are valued at the latest quoted
sales price of the exchange on which the security is traded most extensively.
Securities not traded on valuation date or securities not listed on an
exchange are valued at the latest quoted bid price.
Debt securities, including government bonds and mortgage backed securities,
will normally be valued on the basis of evaluated bid prices provided by the
Funds pricing service.
Securities for which representative valuations or prices are not available
from the Funds' pricing service are valued at fair value as determined in good
faith by the Advisor under procedures established by and under the general
supervision and responsibility of the Funds' Board of Directors.
Short-term investments that mature in sixty days or less are valued at
amortized cost, which approximates market value.
SECURITY TRANSACTIONS, INVESTMENT INCOME AND EXPENSES
Security transactions are accounted for on the date the securities are
purchased or sold. Dividend income is recorded on the ex-dividend date.
Interest income and expenses are recorded on an accrual basis.
Most expenses of the Corporation can be attributed to a specific fund.
Expenses which cannot be directly attributed are apportioned among the funds
in the Corporation.
FEDERAL INCOME TAXES
The Funds policy is to comply with the provisions of the Internal Revenue Code
applicable to regulated investment companies. The Funds are not subject to
federal income tax to the extent the Funds qualify as Regulated Investment
Companies as defined in Subchapter M in the Internal Revenue Code and
distribute to shareholders each year their taxable income, including any net
realized gains on investments in accordance with requirements of the Internal
Revenue Code. Accordingly, no provision for federal income tax have been
made in the financial statements.
The Funds uses the identified cost method for determining realized gains or
losses on investments for both financial statement and federal income tax
reporting purposes.
DISTRIBUTIONS OF INCOME AND GAINS
Distributions to shareholders of net investment income are made annually.
Distributions are recorded on the ex-dividend date. Distributions of net
realized gains are distributed annually. An additional distribution may be
necessary to avoid taxation of the Funds.
The timing and characterization of certain income and capital gains are
determined in accordance with federal income tax regulations which may differ
from generally accepted accounting principles. The differences may be a
result of deferral of certain losses, foreign denominated investments or
character reclassification between net
27
<PAGE>
Notes to Financial Statements (unaudited)
2. SIGNIFICANT ACCOUNTING POLICIES (continued)
DISTRIBUTIONS OF INCOME AND GAINS (continued)
income and net gains. As a result, net investment income (loss) and net
investment gain (loss) on investment transactions for a reporting period may
differ significantly from distributions to shareholders during such period.
As a result, the Funds may periodically make reclassifications among their
capital accounts without impacting the Funds net asset values.
FOREIGN CURRENCY TRANSLATION
The accounting records of the Funds are maintained in U.S. dollars. Foreign
currency amounts are translated into U.S. dollars on the following basis: a)
investment securities, other assets and liabilities are converted to U.S.
dollars based upon current exchange rates; and b) purchases and sales of
securities and income and expenses are converted into U.S. dollars based upon
the currency exchange rates prevailing on the respective dates of such
transactions.
Gains and losses attributable to foreign currency exchange rates are recorded
for financial statement purposes as net realized gains and losses on
investments. The portion of both realized and unrealized gains and losses on
investment that result from fluctuations in foreign currency exchange rates is
not separately stated.
FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS
The Funds may purchase or sell forward foreign currency exchange contracts in
order to hedge a portfolio position or specific transaction. Risks may arise
if the counterparties to a contract are unable to meet the terms of the
contract or if the value of the foreign currency moves unfavorably.
At June 30, 1998, the Funds had no open forward foreign currency exchange
contracts.
OTHER
The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions
that affect the reported amounts of assets and liabilities and the disclosure
of contingent asset and liabilities at the date of the financial statements
and the reported amounts of the revenues and expenses during the reporting
period. Actual results could differ from those estimates.
3. TRANSACTIONS WITH AFFILIATES
The Funds have an investment advisory agreement with Manning & Napier
Advisors, Inc. (the "Advisor"), for which the Funds pay the Advisor a fee,
computed daily and payable monthly, at an annual rate based upon the following
percentages of average daily net assets: 1.00% for Moderate Growth Portfolio,
Growth Portfolio, Maximum Horizon Portfolio, Small Cap Portfolio, Equity
Portfolio, and 0.50% for the Bond Portfolio. For the six months ended
June 30, 1998, the fees amounted to: $734 for the Moderate Growth Portfolio;
$2,771 for the Growth Portfolio; $866 for the Maximum Horizon Portfolio; $855
for the Small Cap Portfolio; $875 for the Equity Portfolio; and $349 for the
Bond Portfolio.
Under the Funds Investment Advisory Agreement (the "Agreement"), personnel of
the Advisor provide the Funds with advice and assistance in the choice of
investments and the execution of securities transactions, and otherwise
maintain the Funds organization. The Advisor also provides the Funds with
necessary office space and portfolio accounting and bookkeeping services. The
salaries of all officers of the Funds and of all Directors who are "affiliated
persons" of the Funds or of the Advisor, and all personnel of the Funds or of
the Advisor performing services relating to research, statistical and
investment activities are paid by the Advisor.
The Advisor has voluntarily agreed to waive its fee and, if necessary pay
other expenses of the Funds in order to maintain total expenses for the
Moderate Growth Portfolio, Growth Portfolio, Maximum Horizon Portfolio, Small
Cap Portfolio, Equity Portfolio at no more than 1.20%, and for the Bond
Portfolio at no more than 0.85% of average daily net assets each year.
Accordingly, the Advisor did not impose any of its fee and paid expenses
amounting to $6,248 for the Moderate Growth Portfolio, $3,829 for the Growth
Portfolio,$6,090 for the Maximum Horizon Portfolio, $6,103 for the Small Cap
Portfolio, $6,079 for the Equity Portfolio, and $6,536 for the Bond Portfolio,
for the six months ended June 30, 1998.
The Advisor also acts as the transfer, dividend paying and shareholder
servicing agent for the Funds. These services are provided at no additional
cost to the Funds.
28
<PAGE>
Notes to Financial Statements (unaudited)
3. TRANSACTIONS WITH AFFILIATES (CONTINUED)
Manning & Napier Investor Services, Inc., a registered broker-dealer affiliate
of the Advisor, acts as distributor for the Funds shares. The services of
Manning & Napier Investor Services, Inc. are provided at no additional cost to
the Funds.
The compensation of the non-affiliated Directors totaled $3,818 for each Fund
for the six months ended June 30, 1998.
4. PURCHASES AND SALES OF SECURITIES
Purchases and sales of securities, other than short-term securities, for the
six months ended June 30, 1998 were as follows:
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
Purchases Sales
-------------- --------------
Fund Other Issuers Government Other Issuers Government
- ------------------------- -------------- ----------- -------------- -----------
Moderate Growth Portfolio $ 25,132 $ 47,773 $ 42,791 $ 14,902
Growth Portfolio $ 461,901 $ 406,120 $ 224,197 $ 162,298
Maximum Horizon Portfolio $ 52,100 $ 32,182 $ 66,897 $ 16,220
Small Cap Portfolio $ 71,478 -- $ 88,972 --
Equity Portfolio $ 78,425 -- $ 73,994 --
Bond Portfolio -- $ 5,150 -- $ 5,104
</TABLE>
5. CAPITAL STOCK TRANSACTIONS
Transactions in capital shares of Funds were as follows:
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
For the Six Months
Ended 6/30/98 For the Year Ended 12/31/97
--------------------------- -------------------------------------
Fund Shares Amount Shares Amount
- ------------------------- ------------------ -------- --------------------------- --------
Moderate Growth Portfolio
Sold -- -- -- --
Reinvested -- -- 74 $ 823
Growth Portfolio
Sold 39,407 $498,903 13,429 $165,091
Reinvested -- -- 53 635
---------- -------- -------- --------
Total 39,407 $498,903 13,482 $165,726
========== ======== ======== ========
Maximum Horizon Portfolio
Sold -- -- -- --
Reinvested -- -- 23 $ 296
Small Cap Portfolio
Sold -- -- -- --
Reinvested -- -- 8 $ 113
Equity Portfolio
Sold -- -- -- --
Reinvested -- -- 47 $ 607
Bond Portfolio
Sold -- -- -- --
Reinvested -- -- 76 $ 785
</TABLE>
There were no shares repurchased during the six months ended June 30, 1998 or
the year ended December 31, 1997.
29
<PAGE>
Notes to Financial Statements (unaudited)
6. FINANCIAL INSTRUMENTS
The Funds may trade in financial instruments with off-balance sheet risk in
the normal course of their investing activities to assist in managing exposure
to various market risks. These financial instruments include written options,
forward foreign currency exchange contracts, and futures contracts and may
involve, to a varying degree, elements of risk in excess of the amounts
recognized for financial statement purposes. No such investments were held by
the Funds on June 30, 1998.
7. FOREIGN SECURITIES
Investing in securities of foreign companies and foreign governments involves
special risks and considerations not typically associated with investing in
securities of domestic companies and the United States Government. These
risks include revaluation of currencies and future adverse political and
economic developments. Moreover, securities of foreign companies and foreign
governments and their markets may be less liquid and their prices more
volatile than those of securities of comparable domestic companies and the
United States Government.
30
<PAGE>
[ARTICLE] 6
[LEGEND]
[RESTATED]
[CIK] 0001003369
[NAME] MANNING & NAPIER INSURANCE FUND, INC.
[SERIES]
[NAME] MANNING & NAPIER BOND PORTFOLIO
[NUMBER] 1
[MULTIPLIER] 1
[CURRENCY] 1
[FISCAL-YEAR-END] DEC-31-1998
[PERIOD-START] JAN-01-1998
[PERIOD-END] JUN-30-1998
[PERIOD-TYPE] 6-MOS
[EXCHANGE-RATE] 1
[INVESTMENTS-AT-COST] 140774
[INVESTMENTS-AT-VALUE] 146951
[RECEIVABLES] 8879
[ASSETS-OTHER] 0
[OTHER-ITEMS-ASSETS] 0
[TOTAL-ASSETS] 155830
[PAYABLE-FOR-SECURITIES] 0
[SENIOR-LONG-TERM-DEBT] 0
[OTHER-ITEMS-LIABILITIES] 11692
[TOTAL-LIABILITIES] 11692
[SENIOR-EQUITY] 0
[PAID-IN-CAPITAL-COMMON] 127452
[SHARES-COMMON-STOCK] 12743
[SHARES-COMMON-PRIOR] 12743
[ACCUMULATED-NII-CURRENT] 10495
[OVERDISTRIBUTION-NII] 0
[ACCUMULATED-NET-GAINS] 14
[OVERDISTRIBUTION-GAINS] 0
[ACCUM-APPREC-OR-DEPREC] 6177
[NET-ASSETS] 144138
[DIVIDEND-INCOME] 0
[INTEREST-INCOME] 4232
[OTHER-INCOME] 0
[EXPENSES-NET] 594
[NET-INVESTMENT-INCOME] 3638
[REALIZED-GAINS-CURRENT] 14
[APPREC-INCREASE-CURRENT] 2244
[NET-CHANGE-FROM-OPS] 5896
[EQUALIZATION] 0
[DISTRIBUTIONS-OF-INCOME] 0
[DISTRIBUTIONS-OF-GAINS] 0
[DISTRIBUTIONS-OTHER] 0
[NUMBER-OF-SHARES-SOLD] 0
[NUMBER-OF-SHARES-REDEEMED] 0
[SHARES-REINVESTED] 0
[NET-CHANGE-IN-ASSETS] 5896
[ACCUMULATED-NII-PRIOR] 6857
[ACCUMULATED-GAINS-PRIOR] 0
[OVERDISTRIB-NII-PRIOR] 0
[OVERDIST-NET-GAINS-PRIOR] 0
[GROSS-ADVISORY-FEES] 349
[INTEREST-EXPENSE] 0
[GROSS-EXPENSE] 7479
[AVERAGE-NET-ASSETS] 140797
[PER-SHARE-NAV-BEGIN] 10.85
[PER-SHARE-NII] 0.286
[PER-SHARE-GAIN-APPREC] 0.174
[PER-SHARE-DIVIDEND] 0
[PER-SHARE-DISTRIBUTIONS] 0
[RETURNS-OF-CAPITAL] 0
[PER-SHARE-NAV-END] 11.31
[EXPENSE-RATIO] .85
[AVG-DEBT-OUTSTANDING] 0
[AVG-DEBT-PER-SHARE] 0
[ARTICLE] 6
[LEGEND]
[RESTATED]
[CIK] 0001003369
[NAME] MANNING & NAPIER INSURANCE FUND, INC.
[SERIES]
[NAME] MANNING & NAPIER EQUITY PORTFOLIO
[NUMBER] 5
[MULTIPLIER] 1
[CURRENCY] 1
[FISCAL-YEAR-END] DEC-31-1998
[PERIOD-START] JAN-01-1998
[PERIOD-END] JUN-30-1998
[PERIOD-TYPE] 6-MOS
[EXCHANGE-RATE] 1
[INVESTMENTS-AT-COST] 185421
[INVESTMENTS-AT-VALUE] 176415
[RECEIVABLES] 6308
[ASSETS-OTHER] 0
[OTHER-ITEMS-ASSETS] 0
[TOTAL-ASSETS] 182723
[PAYABLE-FOR-SECURITIES] 0
[SENIOR-LONG-TERM-DEBT] 0
[OTHER-ITEMS-LIABILITIES] 11055
[TOTAL-LIABILITIES] 11055
[SENIOR-EQUITY] 0
[PAID-IN-CAPITAL-COMMON] 129800
[SHARES-COMMON-STOCK] 129800
[SHARES-COMMON-PRIOR] 12954
[ACCUMULATED-NII-CURRENT] 1929
[OVERDISTRIBUTION-NII] 0
[ACCUMULATED-NET-GAINS] 48945
[OVERDISTRIBUTION-GAINS] 0
[ACCUM-APPREC-OR-DEPREC] (9006)
[NET-ASSETS] 171668
[DIVIDEND-INCOME] 2102
[INTEREST-INCOME] 249
[OTHER-INCOME] 0
[EXPENSES-NET] 1050
[NET-INVESTMENT-INCOME] 1301
[REALIZED-GAINS-CURRENT] 38868
[APPREC-INCREASE-CURRENT] (33990)
[NET-CHANGE-FROM-OPS] 6179
[EQUALIZATION] 0
[DISTRIBUTIONS-OF-INCOME] 0
[DISTRIBUTIONS-OF-GAINS] 0
[DISTRIBUTIONS-OTHER] 0
[NUMBER-OF-SHARES-SOLD] 0
[NUMBER-OF-SHARES-REDEEMED] 0
[SHARES-REINVESTED] 0
[NET-CHANGE-IN-ASSETS] 6179
[ACCUMULATED-NII-PRIOR] 628
[ACCUMULATED-GAINS-PRIOR] 10077
[OVERDISTRIB-NII-PRIOR] 0
[OVERDIST-NET-GAINS-PRIOR] 0
[GROSS-ADVISORY-FEES] 875
[INTEREST-EXPENSE] 0
[GROSS-EXPENSE] 8004
[AVERAGE-NET-ASSETS] 175543
[PER-SHARE-NAV-BEGIN] 12.78
[PER-SHARE-NII] 0.101
[PER-SHARE-GAIN-APPREC] 0.369
[PER-SHARE-DIVIDEND] 0
[PER-SHARE-DISTRIBUTIONS] 0
[RETURNS-OF-CAPITAL] 0
[PER-SHARE-NAV-END] 13.25
[EXPENSE-RATIO] 1.20
[AVG-DEBT-OUTSTANDING] 0
[AVG-DEBT-PER-SHARE] 0
[ARTICLE] 6
[LEGEND]
[RESTATED]
[CIK] 0001003369
[NAME] MANNING & NAPIER INSURANCE FUND, INC.
[SERIES]
[NAME] MANNING & NAPIER GROWTH PORTFOLIO
[NUMBER] 3
[MULTIPLIER] 1
[CURRENCY] 1
[FISCAL-YEAR-END] DEC-31-1998
[PERIOD-START] JAN-01-1998
[PERIOD-END] JUN-30-1998
[PERIOD-TYPE] 6-MOS
[EXCHANGE-RATE] 1
[INVESTMENTS-AT-COST] 851303
[INVESTMENTS-AT-VALUE] 814417
[RECEIVABLES] 9819
[ASSETS-OTHER] 41
[OTHER-ITEMS-ASSETS] 0
[TOTAL-ASSETS] 824277
[PAYABLE-FOR-SECURITIES] 0
[SENIOR-LONG-TERM-DEBT] 0
[OTHER-ITEMS-LIABILITIES] 10381
[TOTAL-LIABILITIES] 10381
[SENIOR-EQUITY] 0
[PAID-IN-CAPITAL-COMMON] 791296
[SHARES-COMMON-STOCK] 65556
[SHARES-COMMON-PRIOR] 26149
[ACCUMULATED-NII-CURRENT] 12525
[OVERDISTRIBUTION-NII] 0
[ACCUMULATED-NET-GAINS] 46961
[OVERDISTRIBUTION-GAINS] 0
[ACCUM-APPREC-OR-DEPREC] (36886)
[NET-ASSETS] 813896
[DIVIDEND-INCOME] 4009
[INTEREST-INCOME] 7512
[OTHER-INCOME] 0
[EXPENSES-NET] 3325
[NET-INVESTMENT-INCOME] 8196
[REALIZED-GAINS-CURRENT] 27763
[APPREC-INCREASE-CURRENT] (39194)
[NET-CHANGE-FROM-OPS] (3235)
[EQUALIZATION] 0
[DISTRIBUTIONS-OF-INCOME] 0
[DISTRIBUTIONS-OF-GAINS] 0
[DISTRIBUTIONS-OTHER] 0
[NUMBER-OF-SHARES-SOLD] 39407
[NUMBER-OF-SHARES-REDEEMED] 0
[SHARES-REINVESTED] 0
[NET-CHANGE-IN-ASSETS] 495668
[ACCUMULATED-NII-PRIOR] 4329
[ACCUMULATED-GAINS-PRIOR] 19198
[OVERDISTRIB-NII-PRIOR] 0
[OVERDIST-NET-GAINS-PRIOR] 0
[GROSS-ADVISORY-FEES] 2771
[INTEREST-EXPENSE] 0
[GROSS-EXPENSE] 9925
[AVERAGE-NET-ASSETS] 572105
[PER-SHARE-NAV-BEGIN] 12.17
[PER-SHARE-NII] 0.025
[PER-SHARE-GAIN-APPREC] 0.225
[PER-SHARE-DIVIDEND] 0
[PER-SHARE-DISTRIBUTIONS] 0
[RETURNS-OF-CAPITAL] 0
[PER-SHARE-NAV-END] 12.42
[EXPENSE-RATIO] 1.20
[AVG-DEBT-OUTSTANDING] 0
[AVG-DEBT-PER-SHARE] 0
[ARTICLE] 6
[LEGEND]
[RESTATED]
[CIK] 0001003369
[NAME] MANNING & NAPIER INSURANCE FUND, INC.
[SERIES]
[NAME] MANNING & NAPIER MODERATE GROWTH PORTFOLIO
[NUMBER] 2
[MULTIPLIER] 1
[CURRENCY] 1
[FISCAL-YEAR-END] DEC-31-1998
[PERIOD-START] JAN-01-1998
[PERIOD-END] JUN-30-1998
[PERIOD-TYPE] 6-MOS
[EXCHANGE-RATE] 1
[INVESTMENTS-AT-COST] 155307
[INVESTMENTS-AT-VALUE] 151650
[RECEIVABLES] 7721
[ASSETS-OTHER] 0
[OTHER-ITEMS-ASSETS] 0
[TOTAL-ASSETS] 159371
[PAYABLE-FOR-SECURITIES] 0
[SENIOR-LONG-TERM-DEBT] 0
[OTHER-ITEMS-LIABILITIES] 10996
[TOTAL-LIABILITIES] 10996
[SENIOR-EQUITY] 0
[PAID-IN-CAPITAL-COMMON] 127490
[SHARES-COMMON-STOCK] 12741
[SHARES-COMMON-PRIOR] 127490
[ACCUMULATED-NII-CURRENT] 7071
[OVERDISTRIBUTION-NII] 0
[ACCUMULATED-NET-GAINS] 17471
[OVERDISTRIBUTION-GAINS] 0
[ACCUM-APPREC-OR-DEPREC] (3657)
[NET-ASSETS] 148375
[DIVIDEND-INCOME] 808
[INTEREST-INCOME] 2591
[OTHER-INCOME] 0
[EXPENSES-NET] 880
[NET-INVESTMENT-INCOME] 2519
[REALIZED-GAINS-CURRENT] 9071
[APPREC-INCREASE-CURRENT] (7601)
[NET-CHANGE-FROM-OPS] 3989
[EQUALIZATION] 0
[DISTRIBUTIONS-OF-INCOME] 0
[DISTRIBUTIONS-OF-GAINS] 0
[DISTRIBUTIONS-OTHER] 0
[NUMBER-OF-SHARES-SOLD] 0
[NUMBER-OF-SHARES-REDEEMED] 0
[SHARES-REINVESTED] 0
[NET-CHANGE-IN-ASSETS] 3989
[ACCUMULATED-NII-PRIOR] 4552
[ACCUMULATED-GAINS-PRIOR] 8400
[OVERDISTRIB-NII-PRIOR] 0
[OVERDIST-NET-GAINS-PRIOR] 0
[GROSS-ADVISORY-FEES] 734
[INTEREST-EXPENSE] 0
[GROSS-EXPENSE] 7862
[AVERAGE-NET-ASSETS] 147784
[PER-SHARE-NAV-BEGIN] 11.33
[PER-SHARE-NII] 0.198
[PER-SHARE-GAIN-APPREC] 0.122
[PER-SHARE-DIVIDEND] 0
[PER-SHARE-DISTRIBUTIONS] 0
[RETURNS-OF-CAPITAL] 0
[PER-SHARE-NAV-END] 11.65
[EXPENSE-RATIO] 1.20
[AVG-DEBT-OUTSTANDING] 0
[AVG-DEBT-PER-SHARE] 0
[ARTICLE] 6
[LEGEND]
[RESTATED]
[CIK] 0001003369
[NAME] MANNING & NAPIER INSURANCE FUND, INC.
[SERIES]
[NAME] MANNING & NAPIER MAXIMUM HORIZON PORTFOLIO
[NUMBER] 4
[MULTIPLIER] 1
[CURRENCY] 1
[FISCAL-YEAR-END] DEC-31-1998
[PERIOD-START] JAN-01-1998
[PERIOD-END] JUN-30-1998
[PERIOD-TYPE] 6-MOS
[EXCHANGE-RATE] 1
[INVESTMENTS-AT-COST] 179750
[INVESTMENTS-AT-VALUE] 180313
[RECEIVABLES] 6539
[ASSETS-OTHER] 31
[OTHER-ITEMS-ASSETS] 0
[TOTAL-ASSETS] 186883
[PAYABLE-FOR-SECURITIES] 0
[SENIOR-LONG-TERM-DEBT] 0
[OTHER-ITEMS-LIABILITIES] 10537
[TOTAL-LIABILITIES] 10537
[SENIOR-EQUITY] 0
[PAID-IN-CAPITAL-COMMON] 126963
[SHARES-COMMON-STOCK] 12690
[SHARES-COMMON-PRIOR] 12690
[ACCUMULATED-NII-CURRENT] 2520
[OVERDISTRIBUTION-NII] 0
[ACCUMULATED-NET-GAINS] 46300
[OVERDISTRIBUTION-GAINS] 0
[ACCUM-APPREC-OR-DEPREC] 563
[NET-ASSETS] 176346
[DIVIDEND-INCOME] 1758
[INTEREST-INCOME] 615
[OTHER-INCOME] 0
[EXPENSES-NET] 1039
[NET-INVESTMENT-INCOME] 1334
[REALIZED-GAINS-CURRENT] 19467
[APPREC-INCREASE-CURRENT] (7993)
[NET-CHANGE-FROM-OPS] 12808
[EQUALIZATION] 0
[DISTRIBUTIONS-OF-INCOME] 0
[DISTRIBUTIONS-OF-GAINS] 0
[DISTRIBUTIONS-OTHER] 0
[NUMBER-OF-SHARES-SOLD] 0
[NUMBER-OF-SHARES-REDEEMED] 0
[SHARES-REINVESTED] 0
[NET-CHANGE-IN-ASSETS] 12808
[ACCUMULATED-NII-PRIOR] 1186
[ACCUMULATED-GAINS-PRIOR] 26833
[OVERDISTRIB-NII-PRIOR] 0
[OVERDIST-NET-GAINS-PRIOR] 0
[GROSS-ADVISORY-FEES] 866
[INTEREST-EXPENSE] 0
[GROSS-EXPENSE] 7995
[AVERAGE-NET-ASSETS] 173938
[PER-SHARE-NAV-BEGIN] 12.89
[PER-SHARE-NII] 0.105
[PER-SHARE-GAIN-APPREC] 0.905
[PER-SHARE-DIVIDEND] 0
[PER-SHARE-DISTRIBUTIONS] 0
[RETURNS-OF-CAPITAL] 0
[PER-SHARE-NAV-END] 13.90
[EXPENSE-RATIO] 1.20
[AVG-DEBT-OUTSTANDING] 0
[AVG-DEBT-PER-SHARE] 0
[ARTICLE] 6
[LEGEND]
[RESTATED]
[CIK] 0001003369
[NAME] MANNING & NAPIER INSURANCE FUND, INC.
[SERIES]
[NAME] MANNING & NAPIER SMALL CAP PORTFOLIO
[NUMBER] 6
[MULTIPLIER] 1
[CURRENCY] 1
[FISCAL-YEAR-END] DEC-31-1998
[PERIOD-START] JAN-01-1998
[PERIOD-END] JUN-30-1998
[PERIOD-TYPE] 6-MOS
[EXCHANGE-RATE] 1
[INVESTMENTS-AT-COST] 178838
[INVESTMENTS-AT-VALUE] 171090
[RECEIVABLES] 6243
[ASSETS-OTHER] 5
[OTHER-ITEMS-ASSETS] 0
[TOTAL-ASSETS] 177338
[PAYABLE-FOR-SECURITIES] 0
[SENIOR-LONG-TERM-DEBT] 0
[OTHER-ITEMS-LIABILITIES] 9873
[TOTAL-LIABILITIES] 9873
[SENIOR-EQUITY] 0
[PAID-IN-CAPITAL-COMMON] 130840
[SHARES-COMMON-STOCK] 12921
[SHARES-COMMON-PRIOR] 12921
[ACCUMULATED-NII-CURRENT] 262
[OVERDISTRIBUTION-NII] 0
[ACCUMULATED-NET-GAINS] 44114
[OVERDISTRIBUTION-GAINS] 0
[ACCUM-APPREC-OR-DEPREC] (7751)
[NET-ASSETS] 167465
[DIVIDEND-INCOME] 605
[INTEREST-INCOME] 683
[OTHER-INCOME] 0
[EXPENSES-NET] 1026
[NET-INVESTMENT-INCOME] 262
[REALIZED-GAINS-CURRENT] 16655
[APPREC-INCREASE-CURRENT] (6250)
[NET-CHANGE-FROM-OPS] 10667
[EQUALIZATION] 0
[DISTRIBUTIONS-OF-INCOME] 0
[DISTRIBUTIONS-OF-GAINS] 0
[DISTRIBUTIONS-OTHER] 0
[NUMBER-OF-SHARES-SOLD] 39
[NUMBER-OF-SHARES-REDEEMED] 0
[SHARES-REINVESTED] 0
[NET-CHANGE-IN-ASSETS] 10667
[ACCUMULATED-NII-PRIOR] 0
[ACCUMULATED-GAINS-PRIOR] 27459
[OVERDISTRIB-NII-PRIOR] 0
[OVERDIST-NET-GAINS-PRIOR] 0
[GROSS-ADVISORY-FEES] 855
[INTEREST-EXPENSE] 0
[GROSS-EXPENSE] 7984
[AVERAGE-NET-ASSETS] 170764
[PER-SHARE-NAV-BEGIN] 12.13
[PER-SHARE-NII] 0.020
[PER-SHARE-GAIN-APPREC] 0.810
[PER-SHARE-DIVIDEND] 0
[PER-SHARE-DISTRIBUTIONS] 0
[RETURNS-OF-CAPITAL] 0
[PER-SHARE-NAV-END] 12.96
[EXPENSE-RATIO] 1.20
[AVG-DEBT-OUTSTANDING] 0
[AVG-DEBT-PER-SHARE] 0
