|
|
|
|
|
|
|
|
|
|
|
|
|
<PAGE>
NestEgg Funds
Semi-Annual Report
For the Period Ended August 31, 1999
NestEgg 2000 Fund
NestEgg 2010 Fund
NestEgg 2020 Fund
NestEgg 2030 Fund
NestEgg 2040 Fund
Lifepath Master Portfolios
- --------------------------------------------------------------------------------
Important Customer Information, Investment Products:
. Are not deposits or obligations of, or guaranteed by, INTRUST Bank, N.A. or
any of its affiliates,
. Are not insured by the FDIC, and
. Are subject to investment risks, including possible loss of the principal
amount invested.
- --------------------------------------------------------------------------------
This material must be accompanied or preceded by a prospectus.
INTRUST Funds Trust is distributed by BISYS Fund Services.
<PAGE>
Dear Shareholders
Highlights from the six-month period ended August 31, 1999 include:
. The Dow Jones Industrial Average, which measures the value of 30 actively
traded, well-established U.S. companies, surpassed 10,000 points for the
first time in its 104-year history on March 16.
. The U.S. bond market, which had experienced tremendous growth in fiscal
year 1998, slowed considerably as indicators of a strong U.S. economy
reached record levels.
. The Federal Reserve Board raised short-term interest rates twice between
February 28, 1999, and August 31, 1999.
As you read through this report and review the performance of the funds in your
portfolio, we encourage you to keep long-term goals in mind when making
investment decisions. While one fund's recent performance may be better than
another's, it is important to remember that past performance is no guarantee of
future results. Even as market conditions change, you should maintain your
investment strategy as long as it remains appropriate for your short- or long-
term objectives. One trait many successful investors share is the ability to
stay focused on their personal financial goals while ignoring temporary market
swings.
The NestEgg Funds offer a simple, cost-effective way for you to invest in your
future. We trust that the funds are fulfilling your expectations, and will
continue to do so. We appreciate your confidence and look forward to continuing
to help you meet your investment goals.
/s/ Dave Bunstine
Dave Bunstine
President
<PAGE>
PORTFOLIO PERFORMANCE DISCUSSION
- --------------------------------
NestEgg Funds August 31, 1999
Performance Average Annual
as of 8/31/99 Total Return
- --------------------------------------------------------------------------------
Fund One Year Five Year Since Inception Date
(3/1/94 - 8/31/99)
NestEgg 2000 6.34% 4.94% 4.12%
NestEgg 2010 15.00% 9.48% 8.31%
NestEgg 2020 22.55% 12.58% 11.16%
NestEgg 2030 27.27% 14.79% 13.16%
NestEgg 2040 34.01% 16.95% 15.33%
The chart above shows the average annual returns for the NestEgg Funds. The
NestEgg Funds invest all of their investable assets in the corresponding Master
Portfolios. Performance shown above is the actual performance of each NestEgg
Fund since January 4, 1999 (its inception) and actual performance of the
corresponding Master Portfolio managed by BGFA: LifePath 2000 Master Portfolio,
LifePath 2010 Master Portfolio, LifePath 2020 Master Portfolio, LifePath 2030
Maser Portfolio, and LifePath 2040 Master Portfolio. Each Master Portfolio's
performance has been adjusted to reflect the fees and expenses, which apply to
the applicable NestEgg Funds. The performance would have been higher had such
fees and expenses not been taken into account in calculating the performance.
The one-year total returns represent performance of the Master Portfolios from
March 1, 1998 through January 3, 1999 and the NestEgg Fund from January 4, 1999
through February 28, 1999. The three-year returns represent performance of the
Master Portfolios from March 1, 1996 through January 3, 1999. The five-year
return (since inception) represents the performance of the Master Portfolios
from March 1, 1994 through January 3, 1999 and the NestEgg Funds from January 4,
1999 through February 28, 1999.
Performance of the NestEgg Funds, which commenced operations on January 4, 1999,
is based on the actual performance of the LifePath Master Portfolio for the
period of March 1,1994 through January 3,1999. The Master Portfolios'
performance has not been adjusted to reflect the fees and expenses, which apply
to the NestEgg Funds. The performance would have been significantly lower had
such fees and expenses been taken into account in calculating the performance.
The NestEgg Funds' objective is growing assets while taking on levels of risk
appropriate to investors' time horizons. The Funds' strategies assume that the
investor will begin to withdraw his or her investment in the decade included in
the Fund's name. For example, investors in NestEgg 2040 plan to withdraw their
investments in 2040. Assets in this Fund, therefore, are invested almost
entirely in stocks because investors can wait out the short-term ups and downs
of the markets in return for greater potential rewards over the
1
<PAGE>
long term. By contrast, assets in the NestEgg 2000 Fund are invested more
conservatively in short-term, low-risk, low-return bonds and money market
instruments.
The models used to manage the NestEgg Funds' assets are "strategic" and
"tactical."
Strategic asset allocation techniques affect 75% of the NestEgg Funds' total
asset allocation. The strategic model focuses on long-term asset allocation by
comparing the potential risks and returns for each asset class based on the
Funds' different time horizons. As each Fund nears its target date, the asset
allocation becomes more conservative, shifting to less risky investments -- such
as short-term bonds or money market investments. Short-term volatility in the
markets has only a small effect on a Fund's long-term strategic allocation. The
progression to less risky assets is an ongoing process; 40 years from now, the
asset allocation of the NestEgg 2040 Fund will look very similar to the asset
allocation of the NestEgg 2000 Fund today.
Tactical asset allocation techniques affect 25% of the NestEgg Funds' total
asset allocation. The more conservative tactical approach shifts assets from
long-term bonds to short-term bonds and money market investments as the Fund
nears its target date; the more aggressive tactical approach shifts assets among
stocks, bonds, and cash.
Assets in the NestEgg Funds were allocated as follows on February 28, 1999: +
U.S. International U.S. Money
Fund Equity Equity/1/ Bonds Market*
- --------------------------------------------------------
NestEgg 2000 14% 6% 56% 24%
NestEgg 2010 34% 11% 43% 12%
NestEgg 2020 52% 15% 26% 7%
NestEgg 2030 64% 19% 14% 3%
NestEgg 2040 77% 21% 2% 0%
*The percentage of the Funds' assets that are invested in money market
instruments is net of the Funds' other assets and liabilities.
All five NestEgg Funds significantly outperformed their customized benchmarks in
the first six months of fiscal year 2000. The strong performance of large-cap
U.S. equities contributed to the success of the more aggressive funds, and the
more conservative funds benefited from heavy investments in short-term U.S.
Treasury bonds, which performed better than longer-term U.S. Treasury bonds
during the first half of the fiscal year.
Large-cap U.S. equities had a positive effect on the performance of the NestEgg
2030 and 2040 Funds. Exposure to better-performing small- and mid-cap U.S.
equities, as well as international equities, helped the Funds outperform their
benchmarks. The NestEgg 2020 and 2010 Funds also benefited from the strong
returns that characterized the U.S. equity market, but it was the Funds'
investments in short-term U.S. Treasury bonds that really
______________________________
/1/ International disclosure
2
<PAGE>
paid off during the first half of the fiscal year. The NestEgg 2000 Fund's money
market investments remained stable throughout the year, unaffected by the more
substantial movement in the riskier asset classes.
Assets in the NestEgg Funds were allocated as follows on August 31, 1999: +
U.S. International U.S. Money
Fund Equity Equity/1/ Bonds Market*
- --------------------------------------------------------
NestEgg 2000 15% 6% 61% 18%
NestEgg 2010 32% 10% 52% 6%
NestEgg 2020 51% 14% 31% 4%
NestEgg 2030 62% 18% 17% 3%
NestEgg 2040 74% 21% 4% 1%
*The percentage of the Funds' assets that are invested in money market
instruments is net of the Funds' other assets and liabilities.
The NestEgg Funds do not have their own investment adviser. They are organized
as "feeder" funds in a "master-feeder" structure. Instead of investing directly
in the individual securities in the portfolios, the feeder funds, which are
offered to the public, hold interests in the net assets of the Master
Portfolios. It is the Master Portfolios that actually invest in the individual
securities. References to "the Fund" are to the feeder fund or the Master
Portfolio. Barclays Global Fund Advisors (BGFA) advises the Master Portfolios.
The Master Portfolios may accept investments from other feeder funds. Certain
events involving other feeder funds, such as a substantial withdrawal, could
affect the Master Portfolios.
+Portfolio composition is subject to change.
________________________________
/1/ International disclosure
3
<PAGE>
NestEgg Funds
NestEgg 2000 Fund
<TABLE>
<CAPTION>
Statements of Assets and Liabilities Statements of Operations
August 31, 1999 For the six months ended August 31, 1999
(Unaudited) (Unaudited)
<S> <C> <C> <C>
Assets: Investment Income:
Investments in corresponding Master Investment Income allocated from
Portfolio at value (Note1) $3,954,586 corresponding Master Portfolio
Prepaid expenses and other assets 6,455 Interest income $ 61,905
----------
Total Assets 3,961,041 Dividend income 4,869
Expenses (Note 3) (7,594)
-----------
Net Investment Income allocated from
Liabilities: corresponding Master Portfolio 59,180
Accrued expenses and other payables:
Administration fees 679 Expenses:(Note 3)
Transfer agent fees 666 Fund accounting fees 14,148
Other payables and accrued expenses 4,364 Offering expense 6,799
----------
Total Liabilities 5,709 Shareholder services expense 3,436
----------
12b-1 fees 3,436
Net Assets consist of: Administration expense 2,749
Paid in Capital $4,014,238 Investment advisory fees 2,062
Accumulated undistributed net investment Other 1,220
income/(loss) 4,171 Professional services expense 518
Accumulated undistributed net realized Custodian fees 275
gains/(losses) from investment transactions 34,172 Transfer agent fees 270
-----------
Net unrealized appreciation/(depreciation) from
investments (97,249)
----------
Net Assets $3,955,332 Total expenses before waivers/reimbursements 34,913
==========
Less expenses waived/reimbursed (18,264)
-----------
Outstanding shares of Beneficial Interest: Net Expenses 16,649
Service Class 398,345 -----------
Offering and redemption price per share $ 9.93 Net investment income 42,531
========== -----------
Realized and Unrealized Gains/(Losses) on
Investments allocated from corresponding
Master Portfolio:
Net realized gains/(losses) on investment
transactions 34,310
Net change in unrealized appreciation/
(depreciation) of investments (72,700)
-----------
Net realized and unrealized gains/(losses)
on investments (38,390)
-----------
Increase/(decrease) in Net Assets Resulting
from Operations $ 4,141
===========
</TABLE>
See notes to financial statements
<PAGE>
NestEgg Funds
NestEgg 2000 Fund
Statements of Changes in Net Assets
<TABLE>
<CAPTION>
For the
six months ended For the
August 31, period ended (a)
1999 February 28,
(Unaudited) 1999
---------------- ----------------
<S> <C> <C>
From Investment Activities:
Operations:
Net investment income/(loss) $ 42,531 $ 4,454
Net realized gains/(losses) from investment transactions 34,310 (138)
Net change in unrealized appreciation/(depreciation) from investments (72,700) (24,549)
---------------- ----------------
Change in net assets resulting from operations 4,141 (20,233)
---------------- ----------------
Distributions to Shareholders:
From net investment income (42,814) -
---------------- ----------------
Change in net assets from shareholder distributions (42,814) -
Capital Share Transactions:
Proceeds from shares issued 2,661,056 $ 1,403,579
Dividends reinvested 42,814 -
Cost of shares redeemed (25,960) (67,251)
---------------- ----------------
Change in net assets from capital share transactions 2,677,910 1,336,328
---------------- ----------------
Change in net assets 2,639,237 1,316,095
Net Assets:
Beginning of period 1,316,095 -
---------------- ----------------
End of period $ 3,955,332 $ 1,316,095
================ ================
Share Transactions:
Issued 263,609 139,775
Reinvested 4,294 -
Redeemed (2,581) (6,752)
---------------- ----------------
Change in shares 265,322 133,023
================ ================
</TABLE>
(a) The Fund commenced operations on January 4, 1999
See notes to financial statements
<PAGE>
NestEgg Funds
NestEgg 2000 Fund
Financial Highlights, Service Shares
<TABLE>
<CAPTION>
For the For the
six months ended period ended (a)
August 31,1999 February 28,
(Unaudited) 1999
<S> <C> <C>
---------------- ----------------
Net Asset Value, Beginning of Period $ 9.89 $ 10.00
---------------- ----------------
Investment Activities
Net investment income 0.11 0.03
Net realized and unrealized gains from investments 0.04 (0.14)
---------------- ----------------
Total from Investment Activities 0.15 (0.11)
---------------- ----------------
Distributions
Net investment income (0.11) -
---------------- ----------------
Total Distributions (0.11) -
---------------- ----------------
Net Asset Value, End of Period $ 9.93 $ 9.89
================ ================
Total Return (excludes sales charge) 1.51% (b) -1.10% (b)
Ratios/Supplementary Data:
Net Assets at end of period (000) $ 3,955 $ 1,316
Ratio of expenses to average net assets 1.76% (c) (d) 1.50% (c) (d)
Ratio of net investment income to average net assets 3.08% (c) (d) 2.68% (c) (d)
Ratio of expenses to average net assets* 3.08% (c) (d) 12.20% (c) (d)
</TABLE>
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
(a) The fund commenced operations on January 4, 1999
(b) Not annualized. (c) Annualized (d) The per share amounts and ratios
reflect income and expenses assuming inclusion of the Fund's proportionate
share of the income and expenses of the corresponding Master Portfolios.
See notes to financial statements
<PAGE>
NestEgg Funds
NestEgg 2010 Fund
<TABLE>
<CAPTION>
Statements of Assets and Liabilities Statements of Operations
August 31, 1999 For the six months ended August 31, 1999
(Unaudited) (Unaudited)
<S> <C> <C> <C>
Assets: Investment Income:
Investment in corresponding Master Portfolio Investment Income allocated from
at value (Note 1) $ 5,036,433 corresponding Master Portfolio
Receivable from Intrust Bank, N.A. 3,317 Interest income $ 64,512
Prepaid expenses and other assets 14,556 Dividend income 15,008
---------------
Total Assets 5,054,306 Expenses (Note 3) (11,504)
-----------
Net Investment Income allocated from
corresponding Master Portfolio 68,016
Liabilities:
Accrued expenses and other payables: Expenses:(Note 3)
Administration fees 904 Professional services expense 13,450
Transfer agent fees 2,062 Offering expense 11,762
Other payables and accrued expenses 8,577 Fund accounting fees 7,430
----------
Total Liabilities 11,543 12b-1 fees 5,229
---------------
Shareholder services expense 5,229
Net Assets consist of: Administration expense 4,184
Paid in Capital $ 5,098,578 Investment advisory fees 3,138
Accumulated undistributed net investment Transfer agent fees 1,938
income/(loss) 3,528 Other 1,066
Accumulated undistributed net realized gains/
(losses) from investment transactions 241,662 Custodian fees 418
-----------
Net unrealized appreciation/(depreciation)
from investments (301,005) Total expenses before waivers/reimbursements 53,844
---------------
Net Assets $ 5,042,763 Less expenses waived/reimbursed (33,972)
=============== -----------
Net Expenses 19,872
-----------
Outstanding shares of Beneficial Interest:
Service Class 498,366 Net investment income 48,144
-----------
Offering and redemption price per share $ 10.12
===============
Realized and Unrealized Gains/(Losses)
on Investments allocated from
corresponding Master Portfolio:
Net realized gains/(losses) on investment
transactions 244,649
Net change in unrealized appreciation/
(depreciation) of investments (233,737)
-----------
Net realized and unrealized gains/(losses)
on investments 10,912
-----------
Increase/(decrease) in Net Assets Resulting
from Operations $ 59,056
===========
</TABLE>
See notes to financial statements
<PAGE>
NestEgg 2010 Fund
Statements of Changes in Net Assets
<TABLE>
<CAPTION>
For the
six months ended For the
August 31, period ended (a)
1999 February 28,
(Unaudited) 1999
---------------- ----------------
<S> <C> <C>
From Investment Activities:
Operations:
Net investment income/(loss) $ 48,144 $ 8,054
Net realized gains/(losses) from investment transactions 244,649 (2,987)
Net change in unrealized appreciation/(depreciation) from investments (233,737) (67,268)
---------------- ----------------
Change in net assets resulting from operations 59,056 (62,201)
---------------- ----------------
Distributions to Shareholders:
From net investment income (52,670) -
---------------- ----------------
Change in net assets from shareholder distributions (52,670) -
Capital Share Transactions:
Proceeds from shares issued 2,849,613 $ 3,316,827
Dividends reinvested 51,344 -
Cost of shares redeemed (593,442) (525,764)
---------------- ----------------
Change in net assets from capital share transactions 2,307,515 2,791,063
---------------- ----------------
Change in net assets 2,313,901 2,728,862
Net Assets:
Beginning of period 2,728,862 -
---------------- ----------------
End of period $ 5,042,763 $ 2,728,862
================ ================
Share Transactions:
Issued 276,227 328,084
Reinvested 5,044 -
Redeemed (57,942) (53,047)
---------------- ----------------
Change in shares 223,329 275,037
================ ================
</TABLE>
(a) The Fund commenced operations on January 4, 1999
See notes to financial statements
<PAGE>
NestEgg Funds
NestEgg 2010 Fund
Financial Highlights, Service Shares
<TABLE>
<CAPTION>
For the For the
six months ended period ended (a)
August 31,1999 February 28,
(Unaudited) 1999
<S> <C> <C>
---------------- ----------------
Net Asset Value, Beginning of Period $ 9.92 $ 10.00
---------------- ----------------
Investment Activities
Net investment income 0.10 (e) 0.03
Net realized and unrealized gains from investments 0.20 (0.11)
---------------- ----------------
Total from Investment Activities 0.30 (0.08)
---------------- ----------------
Distributions ----------------
Nest Investment Income (0.10)
---------------- ----------------
Net Asset Value, End of Period $ 10.12 $ 9.92
================ ================
Total Return (excludes sales charge) 3.06% (b) (0.80%)(b)
Ratios/Supplementary Data:
Net Assets at end of period (000) $ 5,043 $ 2,729
Ratio of expenses to average net assets 1.50% (c) (d) 1.29% (c) (d)
Ratio of net investment income to average net assets 2.30% (c) (d) 2.46% (c) (d)
Ratio of expenses to average net assets* 3.13% (c) (d) 8.26% (c) (d)
</TABLE>
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
(a) The fund commenced operations on January 4, 1999
(b) Not annualized. (c) Annualized (d) The per share amounts and ratios
reflect income and expenses assuming inclusion of the Fund's proportionate
share of the income and expenses of the corresponding Master Portfolios.
(e) Average Shares Method was used
See notes to financial statements
<PAGE>
NestEgg Funds
NestEgg 2020 Fund
<TABLE>
<CAPTION>
Statement of Assets and Liabilities Statement of Operations
August 31, 1999 For the six months ended August 31, 1999
(Unaudited) (Unaudited)
<S> <C> <C> <C>
Assets: Investment Income:
Investment in corresponding Master Portfolio Investment Income allocated from
at value (Note 1) $ 9,758,946 corresponding Master Portfolio
Receivable from Intrust Bank, N.A. 140,890 Interest income $ 79,379
Prepaid expenses and other assets 33,463 Dividend income 46,178
---------------
Total Assets 9,933,299 Expenses (Note 3) (23,495)
----------
Liabilities: Net Investment Income allocated from
Accrued expenses and other payables: corresponding Master Portfolio 102,062
Administration fees 1,683
Transfer agent fees 12,773 Expenses:(Note 3)
Other payables and accrued expenses 121,770 Professional services expense 125,720
--------------- Offering expense 31,022
Total Liabilities 136,226 Other expenses 27,842
---------------
Fund accounting fees 13,432
Net Assets consist of: Transfer agent fees 12,452
Paid in Capital $ 9,778,275 Shareholder services expense 10,750
Accumulated undistributed net investment 12b-1 fees 10,750
income/(loss) 3,397 Administration fees 8,600
Accumulated undistributed net realized Investment advisory fees 6,450
gains/(losses) from investment transactions 530,714 Custodian fees 860
Net unrealized appreciation/(depreciation) from ---------------
investments (515,313)
--------------- Total expenses before
Net Assets $ 9,797,073 waivers/reimbursements 247,878
===============
Less expenses waived/reimbursed (207,424)
Outstanding shares of Beneficial Interest: Service ----------
Class 950,115 Net Expenses 40,454
Offering and redemption price per share $ 10.31 ----------
===============
Net investment income 61,608
----------
Realizeed and Unrealized
Gains/(Losses) on Investments
allocated from corresponding
Master Portfolio:
Net realized gains/(losses) on investment
transactions 539,223
Net change in unrealized
appreciation/(depreciation) of
investments (320,180)
----------
Net realized and unrealized
gains/(losses) on investments 219,043
----------
Increase/(decrease) in Net Assets
Resulting from Operations $ 280,651
==========
</TABLE>
See notes to financial statements
<PAGE>
NestEgg Funds
NestEgg 2020 Fund
Statements of Changes in Net Assets
<TABLE>
<CAPTION>
For the
six months ended For the
August 31, period ended (a)
1999 February 28,
(Unaudited) 1999
--------------------- ---------------------
<S> <C> <C>
From Investment Activities:
Operations:
Net investment income/(loss) $ 61,608 $ 7,304
Net realized gains/(losses) from investment transactions 539,223 (8,509)
Net change in unrealized appreciation/(depreciation) from investments (320,180) (195,133)
--------------------- ---------------------
Change in net assets resulting from operations 280,651 (196,338)
--------------------- ---------------------
Distributions to Shareholders:
From net investment income (65,515) -
--------------------- ---------------------
Change in net assets from shareholder distributions (65,515) -
Capital Share Transactions:
Proceeds from shares issued 4,037,563 7,457,828
Dividends reinvested 65,515 -
Cost of shares redeemed (1,669,972) (112,659)
--------------------- ---------------------
Change in net assets from capital share transactions 2,433,106 7,345,169
--------------------- ---------------------
Change in net assets 2,648,242 7,148,831
Net Assets:
Beginning of period 7,148,831 -
--------------------- ---------------------
End of period $ 9,797,073 $7,148,831
===================== =====================
Share Transactions:
Issued 384,467 731,007
Reinvested 6,300 -
Redeemed (160,361) (11,298)
---------------------
Change in shares 230,406 719,709
===================== =====================
</TABLE>
(a) The Fund commenced operations on January 4, 1999
See notes to financial statements
<PAGE>
NestEgg Funds
NestEgg 2020 Fund
Financial Highlights, Service Shares
<TABLE>
<CAPTION>
For the For the
six months ended period ended (a)
August 31,1999 February 28,
(Unaudited) 1999
---------------------- -------------------
<S> <C> <C>
Net Asset Value, Beginning of Period $ 9.93 $ 10.00
---------------------- -------------------
Investment Activities
Net investment income 0.07 0.01
Net realized and unrealized gains from investments 0.38 (0.08)
---------------------- -------------------
Total from Investment Activities 0.45 (0.07)
---------------------- -------------------
Distributions
Net investment income (0.07) -
---------------------- -------------------
Total Distributions (0.07) -
---------------------- -------------------
Net Asset Value, End of Period $ 10.31 $ 9.93
====================== ===================
Total Return (excludes sales charge) 4.53% (b) (0.70%) (b)
Ratios/Supplementary Data:
Net Assets at end of period (000) $ 9,797 $ 7,149
Ratio of expenses to average net assets 1.49% (c) (d) 1.50% (c) (d)
Ratio of net investment income to average net assets 1.44% (c) (d) 2.68% (c) (d)
Ratio of expenses to average net assets* 6.33% (c) (d) 12.20% (c) (d)
</TABLE>
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated
(a) The fund commenced operations on January 4, 1999
(b) Not annualized. (c) Annualized (d) The per share amounts and ratios reflect
income and expenses assuming inclusion of the Fund's proportionate share of the
income and expenses of the corresponding Master Portfolios.
See notes to financial statements
<PAGE>
NestEgg Funds
NestEgg 2030 Fund
<TABLE>
<CAPTION>
Statement of Assets and Liabilities Statement of Operations
August 31, 1999 For the six months ended August 31, 1999
(Unaudited) (Unaudited)
<S> <C> <C> <C>
Assets: Investment Income:
Investment in corresponding Master Investment Income allocated from corresponding Master
Portfolio
Portfolio at value (Note 1) $ 3,624,465 Interest income $ 18,341
Prepaid expenses and other assets 1,319 Dividend income 16,066
-------------- Expenses (Note 3) (6,778)
Total Assets 3,625,784 ---------
Net Investment Income allocated from corresponding
Master Portfolio 27,629
Liabilities:
Accrued expenses and other payables:
Administration fees 596 Expenses:(Note 3)
Transfer agent fees 665 Fund accounting fees 13,476
Other payables and accrued expenses 2,849 Offering expense 4,880
----- Shareholder services expense 3,077
Total Liabilities 4,110 12b-1 fees 3,077
-----
Net Assets consist of: Administration expense 2,462
Paid in Capital $ 3,632,357 Investment advisory fees 1,846
Accumulated undistributed net investment Transfer agent fees 270
income/(loss) 326 Custodian fees 246
Accumulated undistributed net realized gains/ Other 107
------
(losses) from investment transactions 261,378
Net unrealized appreciation/(depreciation)
from investments (272,387) Total expenses before waivers/reimbursements 29,441
--------------
Net Assets $ 3,621,674 Less expenses waived/reimbursed (13,197)
============== ---------
Net Expenses 16,244
Outstanding shares of Beneficial Interest: ---------
Service Class 348,520
Offering and redemption price per share $ 10.39 Net investment income 11,385
============== ---------
Realized and Unrealized Gains/(Losses) on Investments
allocated from corresponding Master Portfolio:
Net realized gains/(losses) on investment
transactions 262,288
Net change in unrealized appreciation/(depreciation) of
investments (243,715)
---------
Net realized and unrealized gains/(losses) on
investments 18,573
---------
Increase/(decrease) in Net Assets Resulting from
Operations $ 29,958
=========
</TABLE>
<PAGE>
NestEgg Funds
NestEgg 2030 Fund
Statements of Changes in Net Assets
<TABLE>
<CAPTION>
For the
six months ended For the
August 31, period ended (a)
1999 February 28,
(Unaudited) 1999
---------------- -----------------
<S> <C> <C>
From Investment Activities:
Operations:
Net investment income/(loss) $ 11,385 $ 433
Net realized gains/(losses) from investment transactions 262,288 (910)
Net change in unrealized appreciation/(depreciation) from investments (243,715) (28,672)
--------------- ------------
Change in net assets resulting from operations 29,958 (29,149)
--------------- ------------
Distributions to Shareholders:
From net investment income (11,492) -
--------------- ------------
Change in net assets from shareholder distributions (11,492) -
Capital Share Transactions:
Proceeds from shares issued 2,653,409 $ 1,327,190
Dividends reinvested 11,492 -
Cost of shares redeemed (259,734) (100,000)
--------------- ------------
Change in net assets from capital share transactions 2,405,167 1,227,190
--------------- ------------
Change in net assets 2,423,633 1,198,041
Net Assets:
Beginning of period 1,198,041 -
--------------- ------------
End of period $ 3,621,674 $ 1,198,041
=============== ============
Share Transactions:
Issued 250,967 130,886
Reinvested 1,094 -
Redeemed (24,367) (10,060)
--------------- ------------
Change in shares 227,694 120,826
=============== ============
</TABLE>
(a) The Fund commenced operations on January 4, 1999
See notes to financial statements
<PAGE>
NestEgg Funds
NestEgg 2030 Fund
Financial Highlights, Service Shares
<TABLE>
<CAPTION>
For the For the
six months ended period ended (a)
August 31,1999 February 28,
(Unaudited) 1999
<S> <C> <C>
---------------- ----------------
Net Asset Value, Beginning of Period $ 9.92 $ 10.00
---------------- ----------------
Investment Activities
Net investment income 0.03 - **
Net realized and unrealized gains from investments 0.47 (0.08)
---------------- ----------------
Total from Investment Activities 0.50 (0.08)
---------------- ----------------
Distributions
Net investment income (0.03) -
---------------- ----------------
Total Distributions (0.03) -
---------------- ----------------
Net Asset Value, End of Period $ 10.39 $ 9.92
================ ================
Total Return (excludes sales charge) 5.08% (b) (0.80%)(b)
Ratios/Supplementary Data:
Net Assets at end of period (000) $ 3,622 $ 1,198
Ratio of expenses to average net assets 1.86% (c) (d) 1.50% (c) (d)
Ratio of net investment income to average net assets 0.92% (c) (d) 0.41% (c) (d)
Ratio of expenses to average net assets* 2.93% (c) (d) 17.19% (c) (d)
</TABLE>
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
** The amount is less than $0.005
(a) The fund commenced operations on January 4, 1999
(b) Not annualized. (c) Annualized (d) The per share amounts and ratios
reflect income and expenses assuming inclusion of the Fund's proportionate
share of the income and expenses of the corresponding Master Portfolios.
See notes to financial statements
<PAGE>
NestEgg Funds
NestEgg 2040 Fund
<TABLE>
<CAPTION>
Statement of Assets and Liabilities Statement of Operations
August 31, 1999 For the six months ended August 31, 1999
(Unaudited) (Unaudited)
<S> <C> <C> <C>
Assets: Investment Income:
Investment in corresponding Master Portfolio at value Investment Income allocated from
(Note 1) $ 4,097,743 corresponding Master Portfolio
Prepaid expenses and other assets 3,084 Interest income $ 8,000
--------------
Total Assets 4,100,827 Dividend income 16,334
Expenses (Note 3) (6,365)
Liabilities: ----------
Accrued expenses and other payables: Net Investment Income
Administration fees 697 allocated from corresponding
Transfer agent fees 663 Master Portfolio 17,966
Other payables and accrued expenses 5,624
-------------- Expenses:(Note 3)
Total Liabilities 6,984 Fund accounting fees 15,010
--------------
Offering expense 4,243
Net Assets consist of: Shareholder services expense 2,880
Paid in Capital $ 4,151,368 12b-1 fees 2,880
--------------
Accumulated undistributed net investment Administration expense 2,304
income/(loss) (726) Investment advisory1 fees 1,728
Accumulated undistributed net realized Professional services expense 232
gains/(losses) from investment Custodian fees 230
transactions 173,685 Other 133
Net unrealized appreciation/ --------------
(depreciation) from investments (230,484)
--------------
Net Assets $ 4,093,843
============== Total expenses before waivers/
Outstanding shares of reimbursements 29,640
Beneficial Interest: Service Class 386,936 Less expenses waived/reimbursed (14,135)
Offering and redemption price per share $ 10.58 ----------
============== Net Expenses 15,505
----------
Net investment income 2,464
----------
Realized and Unrealized Gains/(Losses)
on Investments allocated from
corresponding Master Portfolio:
Net realized gains/(losses) on investment
transactions 174,208
Net change in unrealized appreciation/
(depreciation) of investments (206,893)
----------
Net realized and unrealized gains/
(losses) on investments (32,685)
----------
Increase/(decrease) in Net Assets
Resulting from Operations $ (30,221)
==========
</TABLE>
See notes to financial statements
<PAGE>
NestEgg Funds
NestEgg 2040 Fund
Statements of Changes in Net Assets
<TABLE>
<CAPTION>
For the
six months ended For the
August 31, period ended (a)
1999 February 28,
(Unaudited) 1999
--------------------- ------------------
<S> <C> <C>
From Investment Activities:
Operations:
Net investment income/(loss) $ 2,464 $ (653)
Net realized gains/(losses) from investment transactions 174,208 (523)
Net change in unrealized appreciation/(depreciation) from investments (206,893) (23,591)
-------------------- ----------------
Change in net assets resulting from operations (30,221) (24,767)
-------------------- ----------------
Distributions to Shareholders:
From net investment income (2,537) -
-------------------- ----------------
Change in net assets from shareholder distributions (2,537) -
Capital Share Transactions:
Proceeds from shares issued 3,344,597 $900,465
Dividends reinvested 2,535 -
Cost of shares redeemed (96,229) -
-------------------- ----------------
Change in net assets from capital share transactions 3,250,903 900,465
-------------------- ----------------
Change in net assets 3,218,145 875,698
Net Assets:
Beginning of period 875,698 -
-------------------- ----------------
End of period $ 4,093,843 $ 875,698
==================== ================
Share Transactions:
Issued 307,564 88,031
Reinvested 237 -
Redeemed (8,896) -
-------------------- ----------------
Change in shares 298,905 88,031
==================== ================
</TABLE>
(a) The Fund commenced operations on January 4, 1999
See notes to financial statements.
17
<PAGE>
<TABLE>
<CAPTION>
NestEgg Funds
NestEgg 2040 Fund
Financial Highlights, Service Shares
For the For the
six months ended period ended (a)
August 31,1999 February 28,
(Unaudited) 1999
------------------- ---------------------
<S> <C> <C>
Net Asset Value, Beginning of Period $ 9.95 $ 10.00
------------------- ---------------------
Investment Activities
Net investment income 0.01 (0.01)
Net realized and unrealized gains from investments 0.63 (0.04)
------------------- ---------------------
Total from Investment Activities 0.64 (0.05)
------------------- ---------------------
Distributions
Net investment income (0.01) -
------------------- ---------------------
Total Distributions (0.01) -
------------------- ---------------------
Net Asset Value, End of Period $ 10.58 $ 9.95
=================== ====================-
Total Return (excludes sales charge) 6.40% (b) (0.50%) (b)
Ratios/Supplementary Data:
Net Assets at end of period (000) $ 4,094 $ 876
Ratio of expenses to average net assets 1.89% (c) (d) 1.50% (c) (d)
Ratio of net investment income to average net assets 0.21% (c) (d) (0.51%) (c) (d)
Ratio of expenses to average net assets* 3.10% (c) (d) 14.00% (c) (d)
</TABLE>
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
(a) The fund commenced operations on January 4, 1999
(b) Not annualized. (c) Annualized (d) The per share amounts and ratios reflect
income and expenses assuming inclusion of the Fund's proportionate share of the
income and expenses of the corresponding Master Portfolios.
See notes to financial statements.
18
<PAGE>
NESTEGG FUNDS
Notes to Financial Statements
August 31, 1999
(Unaudited)
================================================================================
1. Organization:
The INTRUST Funds Trust (the "Trust") was established as a Delaware business
trust and is registered under the Investment Company Act of 1940, as amended
(the "1940 Act"), as an open-end, diversified management investment company. The
Trust currently offers eleven series, including the NestEgg Funds. The
accompanying financial statements and financial highlights are those of the
NestEgg 2000 Fund, the NestEgg 2010 Fund, the NestEgg 2020 Fund, the NestEgg
2030 Fund, and the NestEgg 2040 (individually a "Fund", collectively the
"NestEgg Funds").
Each NestEgg Fund seeks to provide long-term investors with an asset allocation
strategy designed to maximize assets for retirement or for other purposes
consistent with the quantitatively measured risk that investors, on average, may
be willing to accept given their investment time horizons. The Funds' investment
objectives are as follows:
Fund Objective
---- ---------
NestEgg 2000 Fund Managed for investors planning to retire (or begin to
withdraw substantial portions of their investment)
approximately in the year 2000.
NestEgg 2010 Fund Managed for investors planning to retire (or begin to
withdraw substantial portions of their investment)
approximately in the year 2010.
NestEgg 2020 Fund Managed for investors planning to retire (or begin to
withdraw substantial portions of their investment)
approximately in the year 2020.
NestEgg 2030 Fund Managed for investors planning to retire (or begin to
withdraw substantial portions of their investment)
approximately in the year 2030.
NestEgg 2040 Fund Managed for investors planning to retire (or begin to
withdraw substantial portions of their investment)
approximately in the year 2040.
Each NestEgg Fund seeks to achieve its objective by investing all of its
investable assets in a corresponding portfolio (each a "Master Portfolio") :
LifePath 2000 Master Portfolio, LifePath 2010 Master Portfolio, LifePath 2020
Master Portfolio, LifePath 2030 Master Portfolio, and LifePath 2040 Master
Portfolio. Each Master Portfolio has a substantially similar investment
objective as the corresponding NestEgg Fund. Each Fund's investment in its
corresponding Master Portfolio reflects the Fund's interest in the net assets of
the Master Portfolio. The percentage of the corresponding LifePath Master
Portfolios owned by each Fund as of August 31, 1999 was approximately 3.76% for
NestEgg 2000; 2.25% for NestEgg 2010; 2.61% for NestEgg 2020; 1.41% for NestEgg
2030; and .87% for NestEgg 2040. The financial statements of the Master
Portfolios, including their schedules of investments, are included elsewhere in
this report and should be read in conjunction with the NestEgg Funds' financial
statements.
2. Significant Accounting Policies:
The following is a summary of significant accounting policies followed by the
NestEgg Funds in preparation of their financial statements. The policies are in
conformity with generally accepted accounting principles. The preparation of
financial statements requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities at the date of the
financial statements and the reported amounts of income and expenses for the
period. Actual results could differ from those estimates.
Continued
<PAGE>
NESTEGG FUNDS
Notes to Financial Statements
August 31, 1999
(Unaudited)
================================================================================
Security Valuation
Valuation of securities held by the Master Portfolios is discussed in the notes
to the Master Portfolios' financial statements included elsewhere in this
report.
Investment income and expenses
The NestEgg Funds record daily their proportionate share of the Master
Portfolios' income, expenses, and realized and unrealized gains and losses. In
addition, the Funds accrue their own expenses.
Offering Costs
Costs incurred in connection with the offering and initial registration of the
Funds have been accounted for as a deferred charge until operations began and
thereafter amortized to expense over twelve months on a straight-line basis
beginning with the commencement of each Fund's operations.
Distributions to Shareholders
The NestEgg Funds intend to declare and to pay dividends from net investment
income quarterly. Distributions from net realized capital gains, if any, are
distributed at least annually.
Distributions from net investment income and from net realized capital gains are
determined in accordance with income tax regulations, which may differ from
generally accepted accounting principles. These "book/tax" differences are
either considered temporary or permanent in nature. To the extent these
differences are permanent in nature, such amounts are reclassified within the
composition of net assets based on their federal tax-basis treatment; temporary
differences do not require reclassifications. To the extent they exceed net
investment income and net realized capital gains for tax purposes, they are
reported as distributions of capital.
Federal Income Taxes
The Trust treats each Fund as a separate entity for federal income tax purposes.
Each Fund intends to qualify as a regulated investment company by complying with
the provisions available to certain investment companies as defined in
applicable sections of the Internal Revenue Code, and to make distributions from
net investment income and from net realized capital gains sufficient to relieve
it from all, or substantially all, federal income taxes.
3. Investment Advisory, Administration, and Distribution Agreements:
The Trust and INTRUST Bank, N.A. (the "Adviser") are parties to an investment
advisory agreement under which the Adviser is entitled to receive an annual fee
up to 0.15% of the average daily net assets of each NestEgg Fund when the Fund
invests all of its investable assets in a Master Portfolio or another investment
company. This fee is computed daily and paid monthly. The investment advisory
agreement for the NestEgg Funds also provides for an investment advisory fee up
to 1.25% of the average daily net assets of the Fund if the Fund does not invest
all of its assets in the Master Portfolio or another investment company.
Investment advisory fees of 0.55% are paid at the Master Portfolio level.
Continued
<PAGE>
NESTEGG FUNDS
Notes to Financial Statements
August 31, 1999
(Unaudited)
================================================================================
The Funds and BISYS Fund Services Limited Partnership d/b/a BISYS Fund Services
(the "Administrator") are parties to an administration agreement under which the
Administrator provides services for a fee that is computed daily and paid
monthly, at an annual rate of 0.20% of each NestEgg Funds' average daily net
assets.
The Funds and BISYS Fund Services (the "Distributor") are parties to a
distribution agreement under which shares of the Funds are sold on a continuous
basis. Each fund is subject to a distribution plan (the "Plan") pursuant to Rule
12b-1 under the 1940 Act. As provided under the Plan, the Fund will pay the
Distributor up to an annual rate of 0.25% of the average daily net assets of the
Service Class shares of the Funds and 0.75% of the average daily net assets of
the Premium Class shares of the Funds.
Other financial organizations ("Service Organizations") also may provide
administrative services for the Funds, such as maintaining shareholder accounts
and records. The Funds may pay fees to Service Organizations in amounts up to an
annual rate of 0.25% of the daily net asset value of the Funds' shares owned by
shareholders with whom the Service Organizations has a servicing relationship.
Fees may be voluntarily reduced to assist the Funds in maintaining competitive
expense ratios.
For the period ended August 31, 1999, the Adviser reimbursed the following
amounts:
NestEgg NestEgg NestEgg NestEgg NestEgg
2000 2010 2020 2030 2040
Fund Fund Fund Fund Fund
---- ---- ---- ---- ----
Reimbursed Expenses $7,595 $17,526 $173,228 $ 3,592 $5,375
Additional information regarding fees waived for the period
ended August 31, 1999 is as follows:
NestEgg NestEgg NestEgg
2000 2010 2020
Fund Fund Fund
---- ---- ----
Shareholder Services Fees Waived $3,436 $ 5,229 $10,750
12b-1 Fees Waived 3,436 5,229 10,750
Investment Advisory Fees Waived 2,062 3,138 6,450
Administration Fees Waived 1,460 2,432 5,386
Custodian Fees Waived 275 418 860
NestEgg NestEgg
2030 2040
Fund Fund
---- ----
Shareholder Services Fees Waived $3,077 $ 2,880
12b-1 Fees Waived 3,077 2,880
Investment Advisory Fees Waived 1,846 1,728
Administration Fees Waived 1,359 1,042
Custodian Fees Waived 246 230
Continued
<PAGE>
NESTEGG FUNDS
Notes to Financial Statements
August 31, 1999
(Unaudited)
================================================================================
4. Shares of Beneficial Interest:
Currently, shares of the Funds are offered through two classes: Service and
Premium. As of and for the period ended August 31, 1999, no shareholders were in
the Premium class. Shareholders are entitled to one vote for each full share
held and will vote in the aggregate and not by class or series, except as
otherwise expressly required by law or when the Board of Trustees has determined
that the matter to be voted on affects only the interest of shareholders of a
particular class or series.
Continued
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
----------------------- ----------------------- -----------------------
Shares Value Shares Value Shares Value
- -----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS
Percent of Net Assets 20.40% 40.81% 64.24%
ADVERTISING
Percent of Net Assets 0.03% 0.04% 0.08%
Doubleclick Inc + 0 -- 0 -- 0 --
Lamar Advertising Co + 0 -- 0 -- 100 4,175
Omnicom Group 211 15,904 615 46,356 2,465 185,799
Outdoor Systems Inc + 350 11,309 680 21,972 1,424 46,013
R.R. Donnelley Corp 36 623 252 4,363 550 9,522
Snyder Communications Inc + 0 -- 152 3,097 514 10,473
Speedway Motorsports + 0 -- 0 -- 0 --
Talk.com Inc + 100 1,031 540 5,569 1,077 11,107
TMP Worldwide Inc + 0 -- 0 -- 100 5,537
Young & Rubicam Inc 100 4,462 64 2,856 238 10,621
---------- ---------- ----------
TOTAL ADVERTISING
- VALUE $ 33,329 $ 84,213 $ 283,247
- COST $ 17,674 $ 55,083 $ 176,974
AEROSPACE & DEFENSE
Percent of Net Assets 0.21% 0.46% 0.73%
Allied Signal Inc 492 30,135 3,425 209,781 8,616 527,730
Boeing Co 1,002 45,403 6,187 280,348 16,648 754,363
Briggs & Stratton Corp 42 2,557 158 9,618 452 27,516
Cordant Technologies Inc 232 9,599 240 9,930 768 31,776
GenCorp Inc 0 -- 0 -- 425 9,137
General Dynamics Corp 316 19,908 1,137 71,631 2,864 180,432
Lockheed Martin Corp 410 15,170 2,433 90,021 6,050 223,850
Newport News Shipbuilding 64 2,012 257 8,079 539 16,945
Northrop Grumman Corp 129 9,352 429 31,103 943 68,368
Primex Technologies Inc 94 1,962 98 2,046 188 3,924
Rockwell International Corp 220 13,008 1,214 71,778 3,339 197,418
Sequa Corp Class A + 110 7,439 0 -- 120 8,115
Stewart & Stevenson Services 364 4,323 334 3,966 434 5,154
Textron Inc 237 19,138 949 76,632 2,676 216,087
United Technologies Corp 658 43,510 2,479 163,924 6,778 448,195
---------- ---------- ----------
TOTAL AEROSPACE & DEFENSE
- VALUE $ 223,516 $1,028,857 $2,719,010
- COST $ 181,281 $ 818,082 $2,108,061
AIRLINES
Percent of Net Assets 0.18% 0.32% 0.49%
Airborne Freight Corp 100 2,519 504 12,694 1,315 33,122
Airtran Holdings Inc + 300 1,659 176 973 450 2,489
AMR Corp + 244 14,304 1,067 62,553 2,969 174,058
British Airways PLC ADR (UK) 490 32,554 1,900 126,231 4,395 291,993
Comair Holdings Inc 350 7,394 956 20,195 2,103 44,426
Continental Airlines Class B + 300 12,244 328 13,386 1,027 41,914
Delta Air Lines Inc 252 12,805 953 48,424 2,476 125,812
FDX Corp + 324 13,750 1,804 76,557 4,726 200,560
Japan Air Lines Co ADR (Japan) 7,308 55,723 30,340 231,342 76,075 580,072
KLM Royal Dutch Airlines ADR
(Netherlands) 193 5,247 855 23,245 1,871 50,868
Northwest Airlines Corp Class A + 100 2,950 516 15,222 1,052 31,034
Southwest Airlines Co 473 7,893 2,837 47,342 8,146 135,936
UAL Corp + 300 19,444 504 32,665 1,052 68,183
USAirways Group Inc + 13 401 428 13,188 1,178 36,297
----------------------------------------------------------------------------
TOTAL AIRLINES
- VALUE $ 188,887 $ 724,017 $1,816,764
- COST $ 213,133 $ 728,979 $1,756,178
APPAREL
Percent of Net Assets 0.02% 0.07% 0.12%
Brown Shoe Company Inc 31 539 158 2,745 296 5,143
<CAPTION>
LifePath 2030 LifePath 2040
----------------------- -----------------------
Shares Value Shares Value
- --------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS
Percent of Net Assets 77.96% 95.80%
ADVERTISING
Percent of Net Assets 0.11% 0.13%
Doubleclick Inc + 0 -- 100 9,987
Lamar Advertising Co + 100 4,175 100 4,175
Omnicom Group 2,095 157,911 4,756 358,483
Outdoor Systems Inc + 2,054 66,370 4,315 139,428
R.R. Donnelley Corp 489 8,466 1,320 22,853
Snyder Communications Inc + 425 8,659 1,113 22,677
Speedway Motorsports + 0 -- 100 3,731
Talk.com Inc + 993 10,240 2,155 22,223
TMP Worldwide Inc + 100 5,537 100 5,537
Young & Rubicam Inc 246 10,978 783 34,941
---------- ----------
TOTAL ADVERTISING
- VALUE $ 272,336 $ 624,035
- COST $ 182,593 $ 411,084
AEROSPACE & DEFENSE
Percent of Net Assets 0.89% 1.06%
Allied Signal Inc 7,622 466,847 16,337 1,000,641
Boeing Co 13,842 627,216 29,705 1,346,008
Briggs & Stratton Corp 459 27,942 654 39,812
Cordant Technologies Inc 621 25,694 1,766 73,068
GenCorp Inc 0 -- 0 --
General Dynamics Corp 2,446 154,098 5,447 343,161
Lockheed Martin Corp 5,286 195,582 11,264 416,768
Newport News Shipbuilding 415 13,047 847 26,628
Northrop Grumman Corp 869 63,002 1,948 141,230
Primex Technologies Inc 152 3,173 222 4,634
Rockwell International Corp 2,673 158,041 5,506 325,542
Sequa Corp Class A + 91 6,154 0 --
Stewart & Stevenson Services 326 3,871 846 10,046
Textron Inc 2,224 179,588 4,938 398,743
United Technologies Corp 5,600 370,300 13,415 887,067
---------- ----------
TOTAL AEROSPACE & DEFENSE
- VALUE $2,294,555 $5,013,348
- COST $1,792,969 $4,359,911
AIRLINES
Percent of Net Assets 0.60% 0.75%
Airborne Freight Corp 1,050 26,447 2,550 64,228
Airtran Holdings Inc + 278 1,538 719 3,977
AMR Corp + 2,372 139,058 5,449 319,448
British Airways PLC ADR (UK) 4,029 267,677 8,899 591,227
Comair Holdings Inc 2,008 42,419 4,239 89,549
Continental Airlines Class B + 1,050 42,853 2,661 108,602
Delta Air Lines Inc 2,125 107,977 4,505 228,910
FDX Corp + 3,998 169,665 8,736 370,734
Japan Air Lines Co ADR (Japan) 62,174 474,077 132,887 1,013,263
KLM Royal Dutch Airlines ADR
(Netherlands) 1,497 40,700 3,778 102,714
Northwest Airlines Corp Class A + 1,686 49,737 3,710 109,445
Southwest Airlines Co 6,580 109,804 16,236 270,938
UAL Corp + 871 56,452 2,991 193,854
USAirways Group Inc + 975 30,042 2,352 72,471
------------------------------------------------
TOTAL AIRLINES
- VALUE $1,558,446 $3,539,360
- COST $1,503,455 $3,428,385
APPAREL
Percent of Net Assets 0.13% 0.15%
Brown Shoe Company Inc 197 3,423 224 3,892
</TABLE>
1
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
----------------------- ----------------------- -----------------------
Shares Value Shares Value Shares Value
- -----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Hartmarx Corp + 81 334 202 833 441 1,819
Land's End Inc + 0 -- 0 -- 479 24,130
Liz Claiborne Inc 81 2,977 455 16,721 879 32,303
Nike Inc Class B 193 8,926 1,786 82,602 4,774 220,797
OshKosh B'Gosh Class A 52 838 86 1,387 400 6,450
Phillips Van Heusen Corp 0 -- 0 -- 359 3,052
Reebok International Ltd + 137 1,618 409 4,831 916 10,820
Russell Corp 65 1,089 283 4,740 547 9,162
Stride Rite Corp 63 547 330 2,867 883 7,671
Too Inc + 28 494 216 3,799 527 9,263
VF Corp 120 4,320 756 27,216 2,009 72,324
Warnaco Group Inc Class A 100 2,200 792 17,424 1,502 33,044
---------- ---------- ----------
TOTAL APPAREL
- VALUE $ 23,882 $ 165,165 $ 435,978
- COST $ 24,584 $ 182,586 $ 466,647
AUTO PARTS & EQUIPMENT
Percent of Net Assets 0.12% 0.24% 0.36%
Bandag Inc 0 -- 88 2,926 175 5,819
Bandag Inc Class A 100 2,656 88 2,337 175 4,648
Breed Technologies Inc + 0 -- 0 -- 0 --
Cooper Tire & Rubber Co 65 1,235 514 9,766 1,101 20,919
Dana Corp 219 9,540 981 42,735 2,760 120,233
Delphi Automotive Systems Corp 531 9,956 2,781 52,144 7,385 138,469
Deluxe Corp 64 2,180 514 17,508 1,191 40,568
Eaton Corp 76 7,448 459 44,982 1,049 102,802
Genuine Parts Co 79 2,281 1,069 30,867 2,869 82,842
Goodyear Tire & Rubber Co 247 13,863 925 51,916 2,758 154,793
Illinois Tool Works Inc 309 24,083 1,308 101,942 3,597 280,341
ITT Industries Inc 126 4,260 731 24,717 2,061 69,688
Lear Corp + 200 8,037 516 20,737 1,027 41,273
Mascotech Inc 0 -- 264 4,554 0 --
Meritor Automotive Inc 170 3,708 994 21,682 1,868 40,746
Modine Manufacturing Co 309 9,193 220 6,545 408 12,138
Navistar International Corp + 124 6,030 456 22,173 897 43,617
PACCAR Inc 93 5,127 552 30,429 1,133 62,457
Strattec Security Corp + 10 349 25 873 63 2,201
Superior Industries International Inc 322 9,016 229 6,412 398 11,144
The Pep Boys - Manny Moe & Jack 149 2,170 469 6,830 947 13,791
TRW Inc 121 6,594 715 38,967 2,015 109,818
---------- ---------- ----------
TOTAL AUTO PARTS & EQUIPMENT
- VALUE $ 127,726 $ 541,042 $1,358,307
- COST $ 104,741 $ 450,114 $1,125,474
AUTOMOBILES
Percent of Net Assets 0.66% 1.28% 1.86%
Autonation Inc + 1,600 20,700 4,016 51,957 7,889 102,064
Daimler-Chrysler AG 3,789 284,885 15,398 1,157,737 35,749 2,687,878
Fiat SpA ADR 1,549 50,342 5,615 182,488 13,350 433,875
Ford Motor Co 1,381 71,985 8,127 423,620 20,892 1,088,996
General Motors Corp Class A 761 50,321 4,052 267,939 10,667 705,355
Harley-Davidson Inc 736 40,112 1,560 85,020 2,921 159,194
Hertz Corp Class A 100 4,031 264 10,642 426 17,173
Honda Motor Co Ltd ADR (Japan) 433 35,100 1,785 144,697 4,477 362,917
Nissan Motor Co Ltd ADR (Japan) 2,735 31,282 11,226 128,397 28,354 324,299
Toyota Motor Corp ADR (Japan) 1,678 105,609 6,761 425,520 17,081 1,075,035
---------- ---------- ----------
TOTAL AUTOMOBILES
- VALUE $ 694,367 $2,878,017 $6,956,786
- COST $ 559,167 $2,232,254 $5,599,901
<CAPTION>
LifePath 2030 LifePath 2040
----------------------- ------------------------
Shares Value Shares Value
- ---------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Hartmarx Corp + 416 1,716 646 2,665
Land's End Inc + 0 -- 0 --
Liz Claiborne Inc 809 29,731 1,798 66,076
Nike Inc Class B 3,956 182,965 8,257 381,886
OshKosh B'Gosh Class A 152 2,451 392 6,321
Phillips Van Heusen Corp 259 2,201 0 --
Reebok International Ltd + 713 8,422 1,454 17,175
Russell Corp 516 8,643 746 12,495
Stride Rite Corp 731 6,351 1,381 11,997
Too Inc + 450 7,896 932 16,361
VF Corp 1,716 61,776 3,621 130,356
Warnaco Group Inc Class A 1,139 25,058 2,726 59,972
---------- -----------
TOTAL APPAREL
- VALUE $ 340,633 $ 709,196
- COST $ 376,648 $ 858,750
AUTO PARTS & EQUIPMENT
Percent of Net Assets 0.44% 0.52%
Bandag Inc 89 2,959 265 8,811
Bandag Inc Class A 179 4,755 353 9,377
Breed Technologies Inc + 0 -- 189 130
Cooper Tire & Rubber Co 918 17,442 1,987 37,753
Dana Corp 2,183 95,097 4,672 203,524
Delphi Automotive Systems Corp 6,078 113,962 13,028 244,275
Deluxe Corp 1,067 36,345 1,984 67,580
Eaton Corp 879 86,142 1,894 185,612
Genuine Parts Co 2,228 64,334 4,991 144,115
Goodyear Tire & Rubber Co 2,247 126,113 4,736 265,808
Illinois Tool Works Inc 2,819 19,706 6,797 529,741
ITT Industries Inc 1,624 54,912 3,252 109,958
Lear Corp + 961 38,620 2,473 99,384
Mascotech Inc 357 6,158 807 13,921
Meritor Automotive Inc 1,814 39,568 3,730 81,361
Modine Manufacturing Co 299 8,895 442 13,149
Navistar International Corp + 854 41,526 1,854 90,151
PACCAR Inc 1,018 56,117 1,903 104,903
Strattec Security Corp + 44 1,537 0 --
Superior Industries International Inc 296 8,288 450 12,600
The Pep Boys - Manny Moe & Jack 799 11,635 1,715 24,975
TRW Inc 1,725 94,012 3,633 197,999
---------- -----------
TOTAL AUTO PARTS & EQUIPMENT
- VALUE $1,128,123 $ 2,445,127
- COST $ 919,066 $ 2,158,603
AUTOMOBILES
Percent of Net Assets 2.30% 2.49%
Autonation Inc + 6,822 88,260 19,098 247,080
Daimler-Chrysler AG 31,555 2,372,542 55,389 4,164,560
Fiat SpA ADR 11,689 379,876 25,726 836,079
Ford Motor Co 17,108 891,755 35,120 1,830,630
General Motors Corp Class A 8,899 588,446 19,015 1,257,367
Harley-Davidson Inc 2,557 139,356 5,700 310,650
Hertz Corp Class A 536 21,607 960 38,700
Honda Motor Co Ltd ADR (Japan) 3,642 295,230 7,644 619,642
Nissan Motor Co Ltd ADR (Japan) 23,199 265,339 49,557 566,808
Toyota Motor Corp ADR (Japan) 13,969 879,174 29,744 1,872,013
---------- -----------
TOTAL AUTOMOBILES
- VALUE $5,921,585 $11,743,529
- COST $4,743,860 $ 9,884,943
</TABLE>
2
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
----------------------- ----------------------- -----------------------
Shares Value Shares Value Shares Value
- -----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
BANK & FINANCE
Percent of Net Assets 2.11% 4.35% 6.65%
Advanta Corp Class B 163 2,486 143 2,181 238 3,629
Allied Irish Banks PLC ADR (Ireland) 4,438 114,833 16,406 424,505 34,669 897,060
American Express Corp 341 46,887 2,414 331,925 7,147 982,713
Ameritrade Holding Corp Class A + 100 2,037 100 2,037 200 4,075
Amsouth Bancorp 900 19,687 2,181 47,709 3,540 77,437
Associated Banc Corp 150 5,287 538 18,964 786 27,706
Associates First Capital Corp 782 26,832 4,156 142,603 11,117 381,452
Astoria Financial Corp 330 10,849 481 15,813 781 25,675
Avalonbay Communities Inc 0 -- 692 24,393 1,490 52,522
Banco Bilbao Vizcaya ADR (Spain) 3,310 44,478 11,708 157,326 27,795 373,495
Bancwest Corp 200 8,362 64 2,676 426 17,812
Bank of America Corp 1,683 101,822 10,636 643,478 28,114 1,700,897
Bank of New York Inc 788 28,171 4,589 164,057 12,000 429,000
Bank One Corp 1,185 47,552 7,223 289,823 19,066 765,023
BankBoston Corp 222 10,309 1,729 80,290 4,938 229,308
BB&T Corp 210 7,035 1,739 58,256 4,664 156,244
Bear Stearns Co Inc 189 7,867 750 31,219 1,972 82,085
Branco Santander Central ADR 10,254 103,181 37,548 377,827 77,228 777,107
Campstead Mortgage Corp 0 -- 352 1,606 801 3,655
Capital One Financial Corp 0 -- 1,175 44,356 200 7,550
CCB Financial Corp 200 9,450 152 7,182 601 28,397
Centura Banks Inc 200 9,262 352 16,302 338 15,654
Charter One Financial Inc 542 12,686 1,198 28,041 2,545 59,564
Chase Manhattan 1,178 98,584 4,173 349,228 11,985 1,002,995
Citigroup Inc 3,557 158,064 20,910 929,188 55,617 2,471,480
City National Corp 100 3,319 328 10,885 864 28,674
CNB Bancshares Inc 0 -- 152 8,683 200 11,425
Colonial BancGroup Inc 100 1,237 100 1,237 400 4,950
Comdisco Inc 448 9,436 1,062 22,368 3,000 63,188
Comerica Inc 194 10,100 872 45,399 2,717 141,454
Commerce Bancshares Inc 251 9,271 578 21,350 970 35,829
Commercial Federal Corp 0 -- 704 16,368 300 6,975
Compass Bancshares Inc 500 13,281 888 23,588 1,956 51,956
ContiFinancial Corp + 0 -- 88 115 275 361
Countrywide Credit Industries Inc 94 3,020 695 22,327 1,867 59,977
Credit Acceptance Corp + 200 1,175 176 1,034 0 --
Crescent Operating Inc + 0 -- 70 332 0 --
Crescent Real Estate Co 500 10,375 1,032 21,414 1,928 40,006
Cullen/Frost Bankers Inc 0 -- 504 13,167 300 7,837
Dime Bancorp Inc 600 11,025 1,120 20,580 2,291 42,097
DLJDirect + 0 -- 0 -- 100 1,706
Donaldson Lufkin & Jenrette Inc 200 9,562 152 7,267 414 19,794
Duke Realty Investments 200 4,487 1,056 23,694 2,128 47,747
E*Trade Group Inc + 100 2,500 100 2,500 700 17,456
Edwards A G & Sons Inc 382 9,598 1,070 26,884 2,313 58,114
Equifax Inc 61 1,860 600 18,300 2,299 70,119
Federal Home Loan Mortgage Corp 703 36,204 3,544 182,516 10,817 557,075
Federal National Mortgage Assoc 1,021 63,430 6,304 391,636 16,881 1,048,732
Federated Investors Inc Class B 100 1,837 100 1,837 400 7,350
Fifth Third Bancorp 349 23,121 1,318 87,318 3,742 247,908
Financial Security Assurance Holdings 0 -- 0 -- 100 5,006
Finova Group Inc 200 7,600 416 15,808 864 32,832
First American Corp 500 20,062 1,004 40,285 2,033 81,574
First Security Corp 841 18,239 1,420 30,796 2,698 58,518
First Tennessee National Corp 616 19,712 1,278 40,896 2,502 80,064
First Union Corp 911 37,806 5,793 240,411 15,653 649,600
<CAPTION>
LifePath 2030 LifePath 2040
----------------------- ------------------------
Shares Value Shares Value
- ---------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
BANK & FINANCE 8.17% 10.04%
Percent of Net Assets 194 2,958 336 5,124
Advanta Corp Class B 32,445 839,514 71,333 1,845,741
Allied Irish Banks PLC ADR (Ireland) 5,758 791,725 14,656 2,015,200
American Express Corp 100 2,037 300 6,112
Ameritrade Holding Corp Class A + 3,230 70,656 9,210 201,469
Amsouth Bancorp 737 25,979 3,280 115,620
Associated Banc Corp 9,264 317,871 19,811 679,765
Associates First Capital Corp 1,144 37,609 2,647 87,020
Astoria Financial Corp 1,229 43,322 300 10,575
Avalonbay Communities Inc 24,603 330,603 54,781 736,120
Banco Bilbao Vizcaya ADR (Spain) 246 10,286 1,048 43,819
Bancwest Corp 23,327 1,411,284 50,332 3,045,086
Bank of America Corp 10,171 363,613 21,651 774,023
Bank of New York Inc 15,817 634,657 33,887 1,359,716
Bank One Corp 3,833 177,995 8,519 395,601
BankBoston Corp 3,737 125,189 8,089 270,981
BB&T Corp 1,751 72,885 3,393 141,234
Bear Stearns Co Inc 74,088 745,510 156,336 1,573,131
Branco Santander Central ADR 725 3,308 1,525 6,958
Campstead Mortgage Corp 1,965 74,179 110 4,152
Capital One Financial Corp 514 24,286 1,478 69,835
CCB Financial Corp 725 33,577 1,225 56,733
Centura Banks Inc 2,138 50,043 6,919 161,948
Charter One Financial Inc 9,630 805,911 22,982 1,923,306
Chase Manhattan 45,801 2,035,282 99,507 4,421,842
Citigroup Inc 782 25,953 2,031 67,404
City National Corp 100 5,712 100 5,712
CNB Bancshares Inc 200 2,475 400 4,950
Colonial BancGroup Inc 2,653 55,879 6,229 131,198
Comdisco Inc 2,210 115,058 4,534 236,051
Comerica Inc 854 31,545 3,265 120,595
Commerce Bancshares Inc 100 2,325 300 6,975
Commercial Federal Corp 2,311 61,386 5,415 143,836
Compass Bancshares Inc 278 365 630 827
ContiFinancial Corp + 1,561 50,147 3,184 102,286
Countrywide Credit Industries Inc 278 1,633 542 3,184
Credit Acceptance Corp + 0 -- 277 1,316
Crescent Operating Inc + 2,468 51,211 5,841 121,201
Crescent Real Estate Co 100 2,612 200 5,225
Cullen/Frost Bankers Inc 2,736 50,274 6,283 115,450
Dime Bancorp Inc 0 -- 100 1,706
DLJDirect + 425 20,320 1,225 58,570
Donaldson Lufkin & Jenrette Inc 1,875 42,070 3,886 87,192
Duke Realty Investments 300 7,500 700 17,456
E*Trade Group Inc + 2,101 52,788 4,349 109,269
Edwards A G & Sons Inc 1,606 48,983 4,266 130,113
Equifax Inc 8,633 444,599 21,776 1,121,464
Federal Home Loan Mortgage Corp 14,123 877,391 29,981 1,862,570
Federal National Mortgage Assoc 200 3,675 400 7,350
Federated Investors Inc Class B 2,984 197,690 7,210 477,663
Fifth Third Bancorp 0 -- 100 5,006
Financial Security Assurance Holdings 1,139 43,282 2,726 103,588
Finova Group Inc 1,681 67,450 5,890 236,336
First American Corp 2,304 49,968 9,452 204,985
First Security Corp 2,211 70,752 6,942 222,144
First Tennessee National Corp 13,213 548,338 28,032 1,163,328
First Union Corp
</TABLE>
3
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
----------------------- ----------------------- -----------------------
Shares Value Shares Value Shares Value
- -----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
First Virginia Banks Inc 238 10,531 390 17,257 852 37,701
Firstar Corp 3,724 99,850 5,928 158,944 11,297 302,901
Firstmerit Corp 200 5,256 704 18,502 1,953 51,327
Firstplus Financial Group + 200 75 440 165 788 295
Fleet Financial Group Inc 602 23,967 3,512 139,822 9,271 369,102
Franklin Resources Inc 328 11,787 1,300 46,719 2,663 95,702
GATX Corp 246 8,210 451 15,052 1,231 41,085
Golden State Bancorp + 100 2,006 428 8,587 952 19,099
Golden West Financial 54 4,904 470 42,682 777 70,561
Goldman Sachs Group Inc 200 11,962 300 17,944 1,800 107,662
Greenpoint Financial Corp 400 10,350 780 20,182 1,502 38,864
GTECH Holdings Corp + 200 5,050 440 11,110 877 22,144
Hibernia Corp Class A 700 9,056 1,272 16,456 2,905 37,583
Highwood Properties Inc 100 2,481 792 19,651 1,590 39,452
Household International Inc 549 20,725 2,911 109,890 7,963 300,603
Huntington Bancshares Inc 108 3,233 1,299 38,889 3,810 114,062
INMC Mortgage Holdings Inc REIT 200 2,687 892 11,986 1,778 23,892
John Nuveen & Co Inc Class A 0 -- 88 3,437 0 --
Keycorp 454 13,166 2,503 72,587 7,234 209,786
Keystone Financial Inc 100 2,656 604 16,044 1,315 34,930
Knight/Trimark Group Inc + 100 3,275 100 3,275 400 13,100
Legg Mason Inc 300 11,456 504 19,246 1,227 46,856
Lehman Brothers Holdings 180 9,675 750 40,312 1,955 105,081
M & T Bank Corp 0 -- 88 40,832 88 40,832
MBNA Corp 606 14,961 4,140 102,206 12,142 299,756
Mellon Bank Corp 494 16,487 3,126 104,330 8,552 285,423
Mercantile Bancorp 134 7,395 845 46,633 2,503 138,134
Mercantile Bankshares 254 8,318 723 23,678 1,770 57,967
Merrill Lynch & Co Inc 240 17,910 2,134 159,250 5,678 423,721
Metris Companies Inc 320 8,820 224 6,174 454 12,485
MGIC Investment Corp 95 4,127 734 31,883 1,851 80,403
Morgan (J P) & Co Inc 216 27,904 1,109 143,269 2,962 382,653
Morgan Stanley Dean Witter 654 56,121 3,666 314,589 9,491 814,446
National Australia Bank Ltd ADR
(Australia) 903 68,515 3,131 237,565 7,502 569,214
National City Corp 852 23,536 3,422 94,533 9,528 263,211
National Commerce Bancorp 300 6,356 1,144 24,238 2,291 48,541
Northern Trust Corp 124 10,517 670 56,824 1,816 154,020
Northfork Bancorp 600 10,875 1,296 23,490 2,454 44,479
Oakwood Homes Corp 200 1,212 616 3,734 1,239 7,511
Ocwen Financial Corp + 0 -- 364 2,434 726 4,855
Old Kent Financial Corp 443 17,499 1,074 42,423 2,221 87,729
Old National Bancorp 544 16,305 69 2,070 439 13,170
Pacific Century Financial Corp 548 10,172 898 16,669 1,702 31,593
Paine Webber Group Inc 500 19,625 1,132 44,431 1,972 77,401
Peoples Bank Bridgeport 100 2,612 152 3,990 501 13,151
Peoples Heritage Financial Group Inc 100 1,681 944 15,871 400 6,700
Pimco Advisors Holdings LP 0 -- 0 -- 300 10,575
PNC Bank Corp 229 11,980 1,895 99,132 5,067 265,067
Price (T Rowe) & Associates 400 12,375 944 29,205 1,841 56,956
Provident Financial Group 100 4,187 64 2,680 326 13,651
Regions Financial Corp 70 2,472 1,237 43,682 3,410 120,416
Republic New York Corp 94 6,521 632 43,845 1,850 128,344
Ryder System Inc 129 2,846 462 10,193 1,042 22,989
Sabre Group Holding Inc + 0 -- 176 9,856 351 19,656
Schwab (Charles) Corp 194 7,663 4,090 161,555 11,860 468,470
SLM Holding Corp 135 5,965 575 25,408 2,570 113,562
Sovereign Bancorp Inc 600 6,019 1,648 16,532 3,619 36,303
Spieker Properties Inc 100 3,825 604 23,103 1,215 46,474
<CAPTION>
LifePath 2030 LifePath 2040
----------------------- ------------------------
Shares Value Shares Value
- ---------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
First Virginia Banks Inc 1,176 52,038 2,741 121,289
Firstar Corp 9,781 262,253 24,654 661,035
Firstmerit Corp 1,696 44,573 3,433 90,224
Firstplus Financial Group + 714 268 1,590 596
Fleet Financial Group Inc 7,650 304,566 16,298 648,864
Franklin Resources Inc 2,859 102,745 5,220 187,594
GATX Corp 991 33,075 2,479 82,737
Golden State Bancorp + 871 17,474 2,108 42,292
Golden West Financial 787 71,469 1,561 141,758
Goldman Sachs Group Inc 800 47,850 1,600 95,700
Greenpoint Financial Corp 1,329 34,388 4,593 118,844
GTECH Holdings Corp + 804 20,301 2,066 52,166
Hibernia Corp Class A 3,628 46,937 8,049 104,134
Highwood Properties Inc 1,318 32,703 3,091 76,695
Household International Inc 6,642 250,736 14,321 540,618
Huntington Bancshares Inc 2,954 88,435 6,507 194,803
INMC Mortgage Holdings Inc REIT 1,618 21,742 3,491 46,910
John Nuveen & Co Inc Class A 0 -- 0 --
Keycorp 5,967 173,043 12,709 368,561
Keystone Financial Inc 1,050 27,891 2,550 67,734
Knight/Trimark Group Inc + 200 6,550 400 13,100
Legg Mason Inc 1,050 40,097 2,461 93,979
Lehman Brothers Holdings 1,685 90,569 3,425 184,094
M & T Bank Corp 89 41,296 65 30,160
MBNA Corp 9,522 235,074 24,396 602,276
Mellon Bank Corp 7,054 235,427 14,882 496,687
Mercantile Bancorp 2,076 114,569 4,480 247,240
Mercantile Bankshares 1,752 57,378 3,739 122,452
Merrill Lynch & Co Inc 4,859 362,603 9,942 741,922
Metris Companies Inc 290 7,993 278 7,645
MGIC Investment Corp 1,493 64,852 3,309 143,735
Morgan (J P) & Co Inc 2,505 323,615 5,082 656,531
Morgan Stanley Dean Witter 7,858 674,315 16,872 1,447,828
National Australia Bank Ltd ADR
(Australia) 6,497 492,960 14,645 1,111,189
National City Corp 7,552 208,624 17,818 492,222
National Commerce Bancorp 2,143 45,405 4,516 95,683
Northern Trust Corp 1,561 132,392 3,150 267,159
Northfork Bancorp 3,193 57,873 7,122 129,086
Oakwood Homes Corp 1,171 7,099 2,408 14,598
Ocwen Financial Corp + 636 4,253 1,172 7,838
Old Kent Financial Corp 1,933 76,354 5,654 223,333
Old National Bancorp 187 5,610 926 27,780
Pacific Century Financial Corp 1,387 25,746 4,025 74,714
Paine Webber Group Inc 1,875 73,594 5,320 208,810
Peoples Bank Bridgeport 425 11,156 1,225 32,156
Peoples Heritage Financial Group Inc 200 3,362 400 6,700
Pimco Advisors Holdings LP 100 3,525 200 7,050
PNC Bank Corp 3,956 206,948 8,740 457,211
Price (T Rowe) & Associates 2,111 65,309 5,034 155,739
Provident Financial Group 246 10,301 972 40,702
Regions Financial Corp 2,965 104,702 6,073 214,453
Republic New York Corp 1,494 103,646 3,013 209,027
Ryder System Inc 893 19,702 1,935 42,691
Sabre Group Holding Inc + 268 15,008 442 24,752
Schwab (Charles) Corp 9,654 381,333 23,236 917,822
SLM Holding Corp 2,070 91,468 4,730 209,007
Sovereign Bancorp Inc 3,293 33,033 7,278 73,008
Spieker Properties Inc 1,139 43,567 2,738 104,728
</TABLE>
4
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
------------------------- ------------------------- -------------------------
Shares Value Shares Value Shares Value
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
State Street Boston Corp 205 12,274 747 44,727 2,367 141,724
Summit Bancorp 184 6,141 1,080 36,045 2,947 98,356
SunTrust Banks Inc 648 41,674 2,318 149,076 5,219 335,647
Synovus Financial Corp 197 3,718 1,550 29,256 4,556 85,995
TCF Financial Corp 400 11,300 1,056 29,832 2,116 59,777
Trustmark Corp 100 2,306 616 14,206 1,865 43,012
U.S. Bancorp 681 21,026 3,798 117,263 11,549 356,575
Union Planters Corp 173 7,298 732 30,881 1,998 84,291
UnionBanCal Corp 100 3,837 100 3,837 700 26,862
United Asset Management Corp 300 5,869 880 17,215 1,865 36,484
US Trust Corp New 0 -- 0 -- 0 --
Valley National Bancorp 110 2,860 634 16,484 1,362 35,412
Value America Inc + 100 1,056 0 -- 0 --
Wachovia Corp 282 22,102 1,254 98,282 3,375 264,516
Waddell & Reed Financial Class A 9 204 68 1,543 138 3,131
Waddell & Reed Financial Class B 39 890 273 6,228 608 13,870
Washington Federal Inc 143 3,414 826 19,721 1,672 39,919
Washington Mutual Inc 604 19,177 3,653 115,983 9,658 306,642
Wells Fargo & Co 2,437 97,023 10,838 431,488 29,275 1,165,511
Wesco Financial Corp 0 -- 0 -- 0 --
Westamerica Bancorp 100 3,194 416 13,286 952 30,404
Westpac Banking Corp ADR (Australia) 1,236 37,698 4,558 139,019 10,939 333,640
White Mountains Insurance 0 -- 0 -- 0 --
Wilmington Trust Corp 192 9,600 249 12,450 719 35,950
Zions Bancorp 300 14,925 780 38,805 1,502 74,723
---------- ---------- -----------
TOTAL BANK & FINANCE
- VALUE $2,218,723 $9,750,653 $24,864,946
- COST $1,776,050 $7,467,762 $18,658,331
BASIC INDUSTRIES
Percent of Net Assets 0.29% 0.59% 0.93%
Alcoa Inc 388 25,050 2,340 151,076 6,002 387,504
ASARCO Inc 25 522 307 6,409 700 14,613
Avery-Dennison Corp 70 3,841 516 28,316 1,632 89,556
Baker Hughes Inc 199 6,766 1,880 63,920 5,188 176,392
Bemis Co 42 1,593 428 16,237 760 28,833
Boise Cascade Corp 59 2,146 473 17,205 722 26,263
Boise Cascade Office Products + 0 -- 88 847 801 7,710
Bowater Inc 195 10,457 513 27,510 1,360 72,930
Broken Hill Propriety Co Ltd ADR (Australia) 520 11,245 1,878 40,612 4,701 101,659
Champion International Corp 122 6,710 561 30,855 1,602 88,110
Chesapeake Corp 256 8,656 176 5,951 316 10,685
Consolidated Papers Inc 172 4,579 657 17,493 1,538 40,949
Crown Vantage Inc + 21 50 42 100 91 216
Cyprus Amax Minerals 170 2,879 555 9,400 1,676 28,387
Deltic Timber Corp 140 3,491 145 3,616 269 6,708
Dover Corp 185 7,157 1,303 50,410 3,672 142,061
Fort James Corp 51 1,645 1,001 32,282 3,294 106,231
Georgia-Pacific Corp 254 10,509 1,146 47,416 3,008 124,456
Glatfelter (P H) Co 486 6,409 246 3,244 674 8,888
Harnischfeger Industries Inc 50 72 185 266 933 1,341
Homestake Mining Co 152 1,292 1,202 10,217 3,456 29,376
Ikon Office Solutions Inc 124 1,380 673 7,487 2,471 27,490
Inco Ltd 166 3,403 809 16,584 2,605 53,402
Longview Fibre Co 554 7,167 475 6,145 780 10,091
Louisiana-Pacific Corp 63 1,165 592 10,952 1,731 32,024
LTB Corp 900 5,175 1,408 8,096 2,730 15,697
Mail-Well Inc + 0 -- 100 1,425 100 1,425
Mark IV Industries Inc 247 4,894 556 11,016 1,126 22,309
<CAPTION>
LifePath 2000 LifePath 2010
------------------------- -------------------------
Shares Value Shares Value
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
State Street Boston Corp 1,830 109,571 4,501 269,497
Summit Bancorp 2,346 78,298 5,052 168,611
SunTrust Banks Inc 4,397 282,782 9,562 614,956
Synovus Financial Corp 3,312 62,514 8,753 165,213
TCF Financial Corp 2,411 68,111 4,858 137,238
Trustmark Corp 1,596 36,808 3,545 81,757
U.S. Bancorp 9,170 283,124 23,328 720,252
Union Planters Corp 1,771 74,714 6,797 286,748
UnionBanCal Corp 504 19,341 990 37,991
United Asset Management Corp 1,596 31,222 3,445 67,393
US Trust Corp New 0 -- 100 8,312
Valley National Bancorp 1,200 31,200 2,869 74,594
Value America Inc + 0 -- 100 1,056
Wachovia Corp 2,868 224,780 5,993 469,701
Waddell & Reed Financial Class A 122 2,768 258 5,853
Waddell & Reed Financial Class B 572 13,049 1,112 25,368
Washington Federal Inc 1,268 30,273 2,948 70,384
Washington Mutual Inc 8,062 255,969 17,144 544,322
Wells Fargo & Co 24,058 957,809 54,411 2,166,238
Wesco Financial Corp 0 -- 88 25,520
Westamerica Bancorp 871 27,818 2,108 67,324
Westpac Banking Corp ADR (Australia) 9,713 296,246 21,632 659,776
White Mountains Insurance 0 -- 100 13,025
Wilmington Trust Corp 696 34,800 1,733 86,650
Zions Bancorp 1,139 56,665 3,721 185,119
----------- -----------
TOTAL BANK & FINANCE
- VALUE $21,049,317 $47,356,620
- COST $15,450,014 $40,020,895
BASIC INDUSTRIES
Percent of Net Assets 1.11% 1.37%
Alcoa Inc 5,466 352,899 11,584 747,892
ASARCO Inc 436 9,102 1,010 21,084
Avery-Dennison Corp 1,174 64,423 3,508 192,502
Baker Hughes Inc 4,296 146,064 13,601 462,434
Bemis Co 782 29,667 1,389 52,695
Boise Cascade Corp 886 32,228 1,483 53,944
Boise Cascade Office Products + 179 1,723 353 3,398
Bowater Inc 1,146 61,454 2,704 145,002
Broken Hill Propriety Co Ltd ADR
(Australia) 3,912 84,597 9,287 200,831
Champion International Corp 1,328 73,040 2,514 138,270
Chesapeake Corp 237 8,014 674 22,790
Consolidated Papers Inc 1,211 32,243 2,762 73,538
Crown Vantage Inc + 72 171 117 278
Cyprus Amax Minerals 1,180 19,986 2,629 44,529
Deltic Timber Corp 178 4,439 295 7,357
Dover Corp 2,898 112,116 7,244 280,252
Fort James Corp 2,699 87,043 6,203 200,047
Georgia-Pacific Corp 2,362 97,728 5,084 210,350
Glatfelter (P H) Co 437 5,763 780 10,286
Harnischfeger Industries Inc 704 1,012 1,480 2,128
Homestake Mining Co 2,776 23,596 5,531 47,013
Ikon Office Solutions Inc 1,805 20,081 3,711 41,285
Inco Ltd 2,235 45,817 4,363 89,441
Longview Fibre Co 513 6,637 1,275 16,495
Louisiana-Pacific Corp 1,564 28,934 3,231 59,773
LTB Corp 2,511 14,438 6,153 35,380
Mail-Well Inc + 0 -- 188 2,679
Mark IV Industries Inc 948 18,782 2,298 45,529
</TABLE>
5
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
------------------------- ------------------------- -------------------------
Shares Value Shares Value Shares Value
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Mead Corp 102 3,806 635 23,693 1,776 66,267
Minnesota Mining & Manufacturing Co 505 47,722 2,105 198,923 5,437 513,796
Mitsubishi Corp ADR (Japan) 2,094 34,798 14,125 234,726 35,518 590,231
NACCO Industries Inc Class A 18 1,402 48 3,738 147 11,448
Newmont Mining Corp 87 1,768 1,171 23,932 2,813 57,480
Potlatch Corp 2 77 230 8,884 530 20,471
Rayonier Inc 156 6,474 196 8,134 556 23,074
Sealed Air Corp + 177 10,399 405 23,794 1,132 66,505
Smith International Inc + 214 9,991 616 28,759 1,237 57,752
St Joe Paper Corp 200 4,675 152 3,553 601 14,048
U.S. Industries Inc 427 6,885 1,146 18,479 2,439 39,329
Varco International Inc + 584 7,227 440 5,445 1,019 12,610
Watts Industries Inc Class A 308 6,776 0 -- 407 8,954
Wausau-Mosinee Paper Corp 392 5,390 278 3,822 501 6,889
Westvaco Corp 56 1,466 652 17,074 1,868 48,918
Weyerhauser Co 269 15,131 1,259 70,819 3,479 195,694
Willamette Industries Inc 109 4,319 670 26,549 1,822 72,197
-------- ---------- ----------
TOTAL BASIC INDUSTRIES
- VALUE $306,559 $1,325,411 $3,460,969
- COST $274,068 $1,185,297 $3,112,369
BEVERAGES
Percent of Net Assets 0.65% 1.37% 2.17%
Anheuser-Busch Inc 322 24,794 2,250 173,250 7,088 545,776
Cadbury Schweppes PLC ADR (UK) 2,434 61,763 8,724 221,371 18,622 472,533
Coca-Cola Co 1,817 108,679 12,184 728,756 36,832 2,203,014
Coca-Cola Enterprises Co 1,036 29,461 2,205 62,705 5,919 168,322
Coors (Adolph) Co Class B 59 3,367 318 18,146 533 30,414
Diageo PLC ADR (UK) 2,987 123,774 10,695 443,174 25,702 1,065,027
Hanson PLC ADR (UK) 1,899 80,470 6,656 282,048 16,027 679,144
Kirin Brewery Co ADR (Japan) 1,197 143,939 4,882 587,060 11,966 1,438,911
Louis Vuitton Moet Hennessey ADR (France) 831 50,691 3,053 186,233 7,095 432,795
Pepsi Bottling Group Inc 100 1,894 100 1,894 400 7,575
Pepsico Inc 1,087 37,094 7,312 249,522 21,809 744,232
Seagrams Co Ltd 244 12,947 2,140 113,554 5,301 281,284
Whitman Corp 364 6,074 924 15,419 2,587 43,171
-------- ---------- ----------
TOTAL BEVERAGES
- VALUE $684,947 $3,083,132 $8,112,198
- COST $544,293 $2,423,087 $6,489,822
BIOTECHNOLOGY
Percent of Net Assets 0.07% 0.10% 0.10%
Beckman Coulter Inc 194 9,191 196 9,285 545 25,819
Biogen Inc + 636 48,813 1,214 93,174 2,222 170,538
Chiron Corp + 296 9,509 937 30,101 2,125 68,266
Genentech Inc + 0 -- 0 -- 100 16,425
Genzyme Corp - General Division + 126 7,111 798 45,037 631 35,612
Genzyme Corp - Tissue Repair + 44 85 10 19 162 314
Genzyme Corp Molecular Oncology + 35 155 96 432 179 805
Medimmune Inc + 0 -- 328 33,845 300 30,937
Quest Diagnostics Inc + 46 1,216 211 5,578 451 11,923
-------- ---------- ----------
TOTAL BIOTECHNOLOGY
- VALUE $ 76,080 $ 217,471 $ 360,639
- COST $ 36,314 $ 104,599 $ 232,590
BROADCASTING
Percent of Net Assets 0.38% 0.59% 0.82%
Adelphia Communications Class A + 0 -- 0 -- 100 6,200
American Tower Corp + 100 2,275 856 19,474 2,028 46,137
Amfm Inc + 500 24,625 1,120 55,160 2,304 113,472
AT & T Liberty Media Group + 6,010 192,320 12,444 398,208 20,650 660,800
<CAPTION>
LifePath 2000 LifePath 2010
------------------------- -------------------------
Shares Value Shares Value
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Mead Corp 1,330 49,626 2,722 101,565
Minnesota Mining & Manufacturing Co 4,649 439,330 10,736 1,014,552
Mitsubishi Corp ADR (Japan) 29,050 482,747 61,890 1,028,476
NACCO Industries Inc Class A 149 11,603 179 13,940
Newmont Mining Corp 2,283 46,659 5,406 110,485
Potlatch Corp 522 20,162 495 19,119
Rayonier Inc 537 22,285 1,418 58,847
Sealed Air Corp + 849 49,879 2,418 142,057
Smith International Inc + 1,095 51,123 2,496 116,532
St Joe Paper Corp 514 12,015 1,302 30,434
U.S. Industries Inc 2,136 34,443 4,979 80,286
Varco International Inc + 846 10,469 1,878 23,240
Watts Industries Inc Class A 298 6,556 0 --
Wausau-Mosinee Paper Corp 363 4,991 328 4,510
Westvaco Corp 1,347 35,275 2,684 70,287
Weyerhauser Co 2,716 152,775 5,657 318,206
Willamette Industries Inc 1,443 57,179 3,196 126,642
---------- -----------
TOTAL BASIC INDUSTRIES
- VALUE $2,869,114 $ 6,466,380
- COST $2,602,097 $ 5,935,235
BEVERAGES
Percent of Net Assets 2.64% 3.30%
Anheuser-Busch Inc 5,591 430,507 13,972 1,075,844
Cadbury Schweppes PLC ADR (UK) 17,356 440,408 38,468 976,125
Coca-Cola Co 29,532 1,766,383 71,405 4,270,912
Coca-Cola Enterprises Co 5,049 143,581 12,550 356,891
Coors (Adolph) Co Class B 651 37,148 799 45,593
Diageo PLC ADR (UK) 22,526 933,421 50,128 2,077,179
Hanson PLC ADR (UK) 14,092 597,143 31,166 1,320,659
Kirin Brewery Co ADR (Japan) 9,680 1,164,020 20,852 2,507,453
Louis Vuitton Moet Hennessey ADR (France) 6,486 395,646 13,999 853,939
Pepsi Bottling Group Inc 200 3,787 400 7,575
Pepsico Inc 17,485 596,676 42,414 1,447,378
Seagrams Co Ltd 4,520 239,843 9,699 514,653
Whitman Corp 2,284 38,114 5,357 89,395
---------- -----------
TOTAL BEVERAGES
- VALUE $6,786,677 $15,543,596
- COST $5,450,010 $13,127,236
BIOTECHNOLOGY ---------- -----------
Percent of Net Assets 0.12% 0.18%
Beckman Coulter Inc 519 24,588 1,384 65,567
Biogen Inc + 2,160 165,780 6,972 535,101
Chiron Corp + 1,843 59,206 4,274 137,302
Genentech Inc + 0 -- 100 16,425
Genzyme Corp - General Division + 564 31,831 1,201 67,781
Genzyme Corp - Tissue Repair + 146 283 148 287
Genzyme Corp Molecular Oncology + 171 770 252 1,134
Medimmune Inc + 100 10,319 200 20,625
Quest Diagnostics Inc + 347 9,174 829 21,917
---------- -----------
TOTAL BIOTECHNOLOGY
- VALUE $ 301,951 $ 866,139
- COST $ 169,671 $ 469,278
BROADCASTING
Percent of Net Assets 1.05% 1.21%
Adelphia Communications Class A + 100 6,200 100 6,200
American Tower Corp + 1,675 38,106 600 13,650
Amfm Inc + 1,854 91,309 6,106 300,720
AT & T Liberty Media Group + 19,050 609,600 45,094 1,443,008
</TABLE>
6
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
------------------------- ------------------------- -------------------------
Shares Value Shares Value Shares Value
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
British Sky Broadcasting ADR (UK) 547 30,905 1,985 112,152 4,877 275,550
Cablevision Systems Corp + 0 -- 780 54,600 1,490 104,300
Clear Channel Communications Inc + 243 17,025 1,471 103,062 4,164 291,740
Fox Entertainment Group Inc + 100 2,306 100 2,306 600 13,837
Hearst-Argyle Television + 300 7,594 704 17,820 1,327 33,590
Hispanic Broadcasting Corp + 100 7,475 252 18,837 514 38,421
Infinity Broadasting Corp + 0 -- 0 -- 100 2,706
Jones Intercable Inc Class A + 0 -- 0 -- 100 4,387
Kingworld Productions + 94 3,584 455 17,347 1,073 40,908
MediaOne Group Inc + 680 44,710 3,685 242,289 9,884 649,873
TCI Satellite Entertainment Class A + 107 381 477 1,699 1,008 3,591
Tribune Co 121 11,291 722 67,372 2,054 191,664
Unitedglobalcom Inc Class A + 0 -- 0 -- 100 7,325
Univision Communications Inc + 0 -- 64 4,720 338 24,927
USA Networks Inc + 522 23,425 629 28,226 1,239 55,600
Viacom Inc Class B + 774 32,556 4,310 181,289 11,554 485,990
-------- ---------- ------------
TOTAL BROADCASTING
- VALUE $400,472 $1,324,561 $ 3,051,018
- COST $219,909 $ 758,252 $ 1,857,775
BUILDING MATERIALS & SERVICES
Percent of Net Assets 0.16% 0.20% 0.31%
AMBAC Inc 300 15,844 516 27,251 852 44,996
American Standard Co Inc + 100 4,100 616 25,256 1,327 54,407
Cooper Industries Inc 123 6,381 734 38,076 1,993 103,387
Corning Inc 185 12,302 988 65,702 3,358 223,307
Cytec Industries Inc + 100 2,331 240 5,595 777 18,114
Dal Tile International Inc + 0 -- 0 -- 0 --
Danaher Corp 500 29,375 477 28,024 1,263 74,201
Diebold Inc 266 7,082 911 24,255 1,335 35,544
Fastenal Co 200 10,025 152 7,619 501 25,113
Georgia-Pacific (Timber Group) 337 8,109 1,126 27,094 2,557 61,528
Kennametal Inc 300 7,950 264 6,996 360 9,540
Lafarge Corp 300 8,250 240 6,600 589 16,197
Lawson Products Inc 0 -- 0 -- 173 3,979
Martin Marietta Inc 0 -- 88 4,015 275 12,547
Owens Corning Fiberglass Corp 18 506 191 5,372 812 22,838
Owens Illinois Inc + 136 3,366 898 22,225 2,641 65,365
PPG Industries Inc 185 11,112 1,089 65,408 2,938 176,464
Snap-On Inc 38 1,285 347 11,733 741 25,055
Southdown Inc 275 13,887 240 12,120 560 28,280
Stanley Works 92 2,426 431 11,368 1,344 35,448
USG Corp 100 4,900 240 11,760 777 38,073
Valspar Corp 100 3,631 328 11,910 864 31,374
Vulcan Materials Co 400 17,050 856 36,487 1,278 54,475
-------- ---------- ------------
TOTAL BUILDING MATERIALS & SERVICES
- VALUE $169,912 $ 454,866 $ 1,160,232
- COST $110,630 $ 411,250 $ 1,072,460
BUSINESS SERVICES
Percent of Net Assets 0.16% 0.28% 0.42%
APAC Teleservices Inc + 100 237 176 418 451 1,071
Apollo Group Inc + 0 -- 472 10,355 864 18,954
Cendant Corp + 852 15,283 5,272 94,566 14,012 251,340
Concord EFS Inc + 250 9,281 944 35,046 2,248 83,457
Convergys Corp + 100 2,062 100 2,062 700 14,437
Delta & Pine Land Co 0 -- 240 6,795 100 2,831
Dun & Bradstreet Corp 75 1,964 610 15,974 2,556 66,935
Ecolab Inc 84 3,155 546 20,509 1,988 74,674
Fulton Financial Corp 100 1,919 677 12,990 300 5,719
<CAPTION>
LifePath 2000 LifePath 2010
------------------------- -------------------------
Shares Value Shares Value
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
British Sky Broadcasting ADR (UK) 4,258 240,577 9,413 531,834
Cablevision Systems Corp + 1,786 125,020 300 21,000
Clear Channel Communications Inc + 3,412 239,053 7,327 513,348
Fox Entertainment Group Inc + 300 6,919 600 13,837
Hearst-Argyle Television + 1,250 31,641 2,773 70,192
Hispanic Broadcasting Corp + 725 54,194 1,137 84,991
Infinity Broadasting Corp + 100 2,706 100 2,706
Jones Intercable Inc Class A + 100 4,387 100 4,387
Kingworld Productions + 958 36,524 1,904 72,590
MediaOne Group Inc + 8,382 551,116 17,635 1,159,501
TCI Satellite Entertainment Class A + 788 2,807 1,649 5,875
Tribune Co 1,880 175,428 3,524 328,833
Unitedglobalcom Inc Class A + 100 7,325 100 7,325
Univision Communications Inc + 246 18,142 483 35,621
USA Networks Inc + 1,011 45,369 5,145 230,882
Viacom Inc Class B + 9,788 411,708 20,900 879,106
---------- ----------
TOTAL BROADCASTING
- VALUE $2,698,131 $5,725,606
- COST $1,515,055 $3,318,829
BUILDING MATERIALS & SERVICES
Percent of Net Assets 0.38% 0.54%
AMBAC Inc 871 46,000 3,280 173,225
American Standard Co Inc + 961 39,401 2,373 97,293
Cooper Industries Inc 1,630 84,556 3,347 173,626
Corning Inc 2,863 190,389 6,756 449,274
Cytec Industries Inc + 604 14,081 1,666 38,839
Dal Tile International Inc + 0 -- 177 1,571
Danaher Corp 965 56,694 4,381 257,384
Diebold Inc 1,778 47,339 3,682 98,033
Fastenal Co 514 25,764 1,313 65,814
Georgia-Pacific (Timber Group) 1,539 37,032 4,778 114,971
Kennametal Inc 268 7,102 630 16,695
Lafarge Corp 514 14,135 1,490 40,975
Lawson Products Inc 0 -- 0 --
Martin Marietta Inc 179 8,167 200 9,125
Owens Corning Fiberglass Corp 551 15,497 1,605 45,141
Owens Illinois Inc + 2,031 50,267 4,480 110,880
PPG Industries Inc 2,371 142,408 5,161 309,983
Snap-On Inc 782 26,441 1,573 53,187
Southdown Inc 762 38,481 2,031 102,565
Stanley Works 892 23,527 2,365 62,377
USG Corp 604 29,596 1,466 71,834
Valspar Corp 782 28,396 1,931 70,119
Vulcan Materials Co 1,308 55,753 4,170 177,746
---------- ----------
TOTAL BUILDING MATERIALS & SERVICES
- VALUE $ 981,026 $2,540,657
- COST $ 913,666 $2,407,234
BUSINESS SERVICES
Percent of Net Assets 0.51% 0.63%
APAC Teleservices Inc + 457 1,085 630 1,496
Apollo Group Inc + 827 18,142 1,731 37,974
Cendant Corp + 11,882 213,133 25,198 451,989
Concord EFS Inc + 1,898 70,463 4,216 156,519
Convergys Corp + 300 6,187 700 14,437
Delta & Pine Land Co 100 2,831 188 5,323
Dun & Bradstreet Corp 2,113 55,334 4,841 126,774
Ecolab Inc 1,383 51,949 4,038 151,677
Fulton Financial Corp 200 3,837 300 5,719
</TABLE>
7
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
------------------------- ------------------------- -------------------------
Shares Value Shares Value Shares Value
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
IT Group Inc + 0 -- 0 -- 120 1,432
Kelly Services Inc Class A 106 2,981 194 5,456 341 9,591
Manpower Inc 200 5,400 1,056 28,512 2,216 59,832
Modis Professional Services + 400 6,325 1,120 17,710 2,654 41,966
Navigant Consulting Inc + 0 -- 0 -- 200 8,775
Neilsen Media Research + 60 2,201 391 14,345 897 32,909
Nielson (A C) Corp + 73 1,825 299 7,475 705 17,625
Nova Corp/Georgia + 100 2,600 100 2,600 300 7,800
Ogden Corp 101 2,298 538 12,239 1,213 27,596
Olsten Corp 291 2,983 462 4,735 1,079 11,060
Paychex Inc 848 24,963 1,122 33,029 3,439 101,236
Quintiles Transnational Corp + 200 7,162 604 21,631 1,315 47,093
Reuters Group PLC ADR (UK) 484 42,683 1,913 168,703 4,704 414,834
Robert Half International Inc + 200 5,250 924 24,255 1,953 51,266
Rollins Inc 388 6,087 185 2,902 565 8,863
Security Dynamics Technology Inc + 200 4,725 528 12,474 1,064 25,137
Teletech Holdings Inc + 0 -- 88 979 0 --
United Rentals Inc + 0 -- 0 -- 200 4,887
US Oncology Inc + 0 -- 176 1,804 0 --
Waste Management Inc 812 17,712 2,734 59,635 8,500 185,406
-------- -------- ----------
TOTAL BUSINESS SERVICES
- VALUE $169,096 $617,199 $1,576,726
- COST $162,905 $679,241 $1,698,967
CHEMICALS
Percent of Net Assets 0.50% 0.83% 1.29%
Air Products & Chemicals Inc 80 2,720 1,401 47,634 3,750 127,500
Airgas Inc + 400 5,250 704 9,240 1,502 19,714
Albemarle Corp 113 1,956 29 502 336 5,817
Arch Chemicals Inc 135 2,658 334 6,576 604 11,891
Autoliv Inc 444 15,401 943 32,710 1,901 65,941
Cabot Corp 210 4,843 827 19,073 1,916 44,188
ChemFirst Inc 35 892 74 1,887 275 7,012
Clorox Co 466 21,086 1,110 50,227 3,684 166,701
Crompton & Knowles Corp 250 4,375 1,003 17,552 1,928 33,740
Dow Chemical Co 301 34,201 1,394 158,393 3,681 418,254
Du Pont (E I) De Nemours 1,500 95,062 5,608 355,407 15,771 999,487
Eastman Chemical Co 114 5,294 511 23,730 1,185 55,028
Ethyl Corp 1,031 5,477 889 4,723 1,878 9,977
Ferro Corp 457 10,968 330 7,920 573 13,752
FMC Corp + 2 116 223 12,990 618 35,998
Fuller (H B) Co 0 -- 0 -- 197 11,869
Geon Co 0 -- 0 -- 0 --
Georgia Gulf Corp 237 4,310 317 5,765 653 11,876
Goodrich (B F) Co 82 3,029 735 27,149 1,824 67,374
Grace (W R) Co + 42 803 551 10,538 1,016 19,431
Great Lakes Chemical Corp 67 2,760 418 17,216 780 32,126
Hanna (M A) Co 280 3,832 572 7,829 1,211 16,576
Hercules Inc 82 2,670 538 17,519 1,391 45,294
IMC Global Inc 436 6,949 1,143 18,217 2,694 42,936
Imperial Chemical Industries PLC ADR
(UK) 849 38,842 3,141 143,701 7,533 344,635
International Flavor & Fragrances 156 6,357 503 20,497 1,564 63,733
Johns Manville Corp 100 1,437 240 3,450 789 11,342
Lubrizol Corp 329 8,348 857 21,746 1,617 41,031
Lyondell Petrochemical 76 1,107 698 10,165 1,267 18,451
Millennium Chemicals Inc 310 7,130 999 22,977 2,039 46,897
Mississippi Chemical Corp 11 83 24 182 92 696
Monsanto Co 820 33,671 3,041 124,871 8,629 354,328
Montedison SpA ADR 1,679 25,605 5,831 88,923 16,507 251,732
<CAPTION>
LifePath 2000 LifePath 2010
------------------------- -------------------------
Shares Value Shares Value
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
IT Group Inc + 0 -- 0 --
Kelly Services Inc Class A 374 10,519 882 24,806
Manpower Inc 1,964 53,028 3,963 107,001
Modis Professional Services + 2,200 34,787 4,946 78,209
Navigant Consulting Inc + 100 4,387 100 4,387
Neilsen Media Research + 793 29,093 2,072 76,017
Nielson (A C) Corp + 431 10,775 1,240 31,000
Nova Corp/Georgia + 200 5,200 300 7,800
Ogden Corp 966 21,976 2,324 52,871
Olsten Corp 982 10,065 2,157 22,109
Paychex Inc 2,920 85,958 7,097 208,918
Quintiles Transnational Corp + 1,239 44,372 2,538 90,892
Reuters Group PLC ADR (UK) 4,156 366,507 9,081 800,831
Robert Half International Inc + 1,741 45,701 3,521 92,426
Rollins Inc 357 5,600 696 10,918
Security Dynamics Technology Inc + 893 21,097 2,055 48,549
Teletech Holdings Inc + 0 -- 265 2,948
United Rentals Inc + 100 2,444 200 4,887
US Oncology Inc + 179 1,835 353 3,618
Waste Management Inc 6,778 147,845 16,554 361,084
---------- ----------
TOTAL BUSINESS SERVICES
- VALUE $1,324,150 $2,981,179
- COST $1,537,039 $3,495,565
CHEMICALS
Percent of Net Assets 1.56% 1.94%
Air Products & Chemicals Inc 3,032 103,088 6,531 222,054
Airgas Inc + 1,350 17,719 3,126 41,029
Albemarle Corp 186 3,220 771 13,348
Arch Chemicals Inc 606 11,931 1,319 25,968
Autoliv Inc 1,415 49,083 5,397 187,208
Cabot Corp 1,714 39,529 3,801 87,661
ChemFirst Inc 200 5,100 307 7,828
Clorox Co 2,472 111,858 6,832 309,148
Crompton & Knowles Corp 1,848 32,340 3,836 67,130
Dow Chemical Co 2,953 335,535 6,482 736,517
Du Pont (E I) De Nemours 12,653 801,884 30,475 1,931,353
Eastman Chemical Co 1,065 49,456 1,970 91,482
Ethyl Corp 1,268 6,736 2,435 12,936
Ferro Corp 443 10,632 1,179 28,296
FMC Corp + 576 33,552 733 42,697
Fuller (H B) Co 0 -- 0 --
Geon Co 0 -- 265 7,917
Georgia Gulf Corp 415 7,548 665 12,095
Goodrich (B F) Co 1,439 53,153 3,349 123,704
Grace (W R) Co + 876 16,754 1,978 37,829
Great Lakes Chemical Corp 740 30,479 1,577 64,953
Hanna (M A) Co 1,261 17,260 2,551 34,917
Hercules Inc 1,251 40,736 2,533 82,481
IMC Global Inc 2,194 34,967 5,132 81,791
Imperial Chemical Industries PLC ADR
(UK) 6,773 309,865 15,047 688,400
International Flavor & Fragrances 1,098 44,743 2,904 118,338
Johns Manville Corp 604 8,682 1,678 24,121
Lubrizol Corp 1,566 39,737 3,403 86,351
Lyondell Petrochemical 975 14,198 2,460 35,824
Millennium Chemicals Inc 1,916 44,068 3,827 88,021
Mississippi Chemical Corp 66 499 103 779
Monsanto Co 7,014 288,012 16,370 672,193
Montedison SpA ADR 13,247 202,017 29,877 455,624
</TABLE>
8
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
------------------------- ------------------------ ------------------------
Shares Value Shares Value Shares Value
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Nalco Chemical Co 64 3,288 409 21,012 868 44,593
Octel Corp + 19 216 118 1,342 263 2,992
OEA Inc 0 -- 0 -- 270 1,890
Olin Corp 270 3,831 669 9,491 1,308 18,557
Praxair Inc 198 9,306 921 43,287 2,640 124,080
Premark International Inc 361 12,003 333 11,072 1,431 47,581
Rhone Poulenc Rorer Class A 1,714 83,236 6,355 308,615 15,106 733,585
Rohm & Haas Co 190 7,101 1,463 54,680 3,685 137,727
RPM Inc 272 3,621 1,083 14,417 2,552 33,974
Schulman (A) Inc 403 7,229 369 6,619 601 10,780
Sigma-Aldrich Corp 118 3,805 558 17,995 1,714 55,276
Solutia Inc 543 10,860 1,072 21,440 2,101 42,020
Terra Industries Inc 500 1,125 352 792 714 1,606
Union Carbide Corp 125 7,109 716 40,723 2,109 119,949
USEC Inc 400 4,325 1,208 13,061 2,542 27,485
Valhi Inc 100 1,131 0 -- 100 1,131
Wellman Inc 363 6,103 246 4,136 434 7,297
------------- ------------- ------------
TOTAL CHEMICALS
- VALUE $ 521,521 $ 1,857,991 $ 4,805,850
- COST $ 497,338 $ 1,711,319 $ 4,397,579
COMMERCIAL SERVICES
Percent of Net Assets 0.02% 0.02% 0.03%
ServiceMaster Co 700 11,550 2,088 34,452 5,045 83,242
Stewart Enterprises Inc Class A 300 1,622 592 3,201 1,315 7,109
Valassis Communications Inc + 150 6,562 246 10,762 739 32,331
------------- ------------ ------------
TOTAL COMMERCIAL SERVICES
- VALUE $ 19,734 $ 48,415 $ 122,682
- COST $ 22,145 $ 65,005 $ 150,855
COMPUTER SOFTWARE
Percent of Net Assets 1.56% 2.70% 4.33%
3Com Corp + 390 9,677 2,225 55,208 5,917 146,816
Acxiom Corp + 100 1,756 100 1,756 300 5,250
Adobe Systems Inc 112 11,158 538 53,598 903 89,961
Affiliated Computer Services + 0 -- 0 -- 200 8,550
Altera Corp + 640 26,960 2,024 85,261 3,970 167,236
America Online Inc + 5,160 471,173 9,065 827,748 17,558 1,603,265
American Management Systems Inc + 0 -- 0 -- 200 5,725
Anixter International Inc + 500 10,531 440 9,268 438 9,225
At Home Corp Series A + 100 4,012 228 9,148 952 38,199
Autodesk Inc 76 1,748 296 6,808 461 10,603
Automatic Data Processing 358 14,074 2,916 114,635 8,818 346,658
BEA Systems Inc + 0 -- 88 2,123 263 6,345
BMC Software Inc + 949 51,068 915 49,238 3,099 166,765
Cadence Design Systems Inc + 964 13,134 1,809 24,648 3,825 52,116
Cambridge Technology Partners + 100 1,369 252 3,449 514 7,035
Ceridian Corp + 92 2,576 604 16,912 2,332 65,296
Checkfree Holdings Corp + 0 -- 0 -- 100 2,925
Choicepoint Inc + 141 9,280 123 8,095 319 20,994
CIBER Inc + 0 -- 240 4,395 789 14,449
Citrix Systems Inc + 200 11,400 692 39,444 1,490 84,930
CNet Inc + 0 -- 0 -- 100 3,756
Computer Associates International Inc 324 18,306 2,517 142,210 8,216 464,204
Computer Sciences Corp + 242 16,743 727 50,299 2,292 158,578
Compuware Corp + 1,800 54,337 2,730 82,412 5,230 157,881
CSG Systems International Inc + 0 -- 0 -- 100 2,256
CSK Corp ADR (Japan) 1,416 38,674 5,920 161,690 14,920 407,502
DST Systems Inc + 200 13,300 152 10,108 689 45,818
Electronic Arts Inc + 300 20,587 516 35,410 1,402 96,212
<CAPTION>
LifePath 2030 LifePath 2040
--------------------------- ---------------------------
Shares Value Shares Value
- -------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Nalco Chemical Co 847 43,515 1,769 90,882
Octel Corp + 233 2,650 522 5,938
OEA Inc 299 2,093 0 --
Olin Corp 1,312 18,614 2,738 38,845
Praxair Inc 2,172 102,084 4,670 219,490
Premark International Inc 1,225 40,731 2,859 95,062
Rhone Poulenc Rorer Class A 13,342 647,921 29,545 1,434,779
Rohm & Haas Co 3,068 114,667 6,426 240,172
RPM Inc 2,117 28,183 5,121 68,173
Schulman (A) Inc 550 9,866 1,147 20,574
Sigma-Aldrich Corp 1,309 42,215 2,679 86,398
Solutia Inc 2,575 51,500 6,140 122,800
Terra Industries Inc 546 1,228 1,072 2,412
Union Carbide Corp 1,859 105,731 3,994 227,159
USEC Inc 2,289 24,750 5,299 57,295
Valhi Inc 0 -- 165 1,867
Wellman Inc 326 5,481 846 14,223
-------------- ---------------
TOTAL CHEMICALS
- VALUE $ 4,005,610 $ 9,146,062
- COST $ 3,706,071 $ 8,840,349
COMMERCIAL SERVICES
Percent of Net Assets 0.04% 0.05%
ServiceMaster Co 4,228 69,762 9,690 159,885
Stewart Enterprises Inc Class A 950 5,136 4,593 24,831
Valassis Communications Inc + 554 24,237 1,322 57,837
-------------- ---------------
TOTAL COMMERCIAL SERVICES
- VALUE $ 99,135 $ 242,553
- COST $ 124,240 $ 334,079
COMPUTER SOFTWARE
Percent of Net Assets 5.20% 6.55%
3Com Corp + 5,038 125,005 10,361 257,082
Acxiom Corp + 100 1,756 300 5,250
Adobe Systems Inc 842 83,884 1,974 196,660
Affiliated Computer Services + 100 4,275 200 8,550
Altera Corp + 4,258 179,368 9,050 381,231
America Online Inc + 15,388 1,405,117 35,427 3,234,928
American Management Systems Inc + 100 2,862 200 5,725
Anixter International Inc + 625 13,164 1,160 24,432
At Home Corp Series A + 772 30,976 1,796 72,064
Autodesk Inc 459 10,557 1,267 29,141
Automatic Data Processing 7,203 283,168 17,506 688,205
BEA Systems Inc + 179 4,318 353 8,516
BMC Software Inc + 2,389 128,558 5,890 316,956
Cadence Design Systems Inc + 3,252 44,308 10,284 140,119
Cambridge Technology Partners + 425 5,817 1,125 15,398
Ceridian Corp + 1,668 46,704 4,256 119,168
Checkfree Holdings Corp + 100 2,925 100 2,925
Choicepoint Inc + 238 15,663 427 28,102
CIBER Inc + 514 9,413 1,390 25,454
Citrix Systems Inc + 1,874 106,818 3,962 225,834
CNet Inc + 100 3,756 100 3,756
Computer Associates International Inc 6,578 371,657 15,540 878,010
Computer Sciences Corp + 1,811 125,299 4,412 305,255
Compuware Corp + 4,466 134,817 10,852 327,595
CSG Systems International Inc + 100 2,256 100 2,256
CSK Corp ADR (Japan) 12,111 330,782 25,952 708,814
DST Systems Inc + 514 34,181 1,401 93,166
Electronic Arts Inc + 1,229 84,340 2,815 193,179
</TABLE>
9
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
------------------------- ------------------------ ------------------------
Shares Value Shares Value Shares Value
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Electronic Data Systems Corp 568 31,879 2,875 161,359 8,026 450,459
Extreme Networks Inc + 0 -- 0 -- 100 6,394
First Data Corp 353 15,532 2,715 119,460 7,193 316,492
Fiserv Inc + 487 15,006 1,064 32,785 2,182 67,233
Gartner Group Inc Class A 0 -- 516 10,804 1,240 25,962
Healtheon Corp + 0 -- 0 -- 100 3,381
I2 Technologies Inc + 0 -- 76 2,413 163 5,175
IMS Health Inc 0 -- 1,564 43,205 4,955 136,882
Information Resources Inc + 0 -- 0 -- 353 3,839
Informix Corp + 1,190 8,665 761 5,541 2,633 19,172
Infoseek Corp + 0 -- 0 -- 100 3,044
Inktomi Corp + 0 -- 0 -- 100 11,337
Intuit Inc + 200 17,913 328 29,376 789 70,665
Ivillage Inc + 0 -- 0 -- 100 3,631
J.D. Edwards & Co + 100 1,825 252 4,630 614 11,282
Keane Inc + 100 2,162 692 14,964 1,427 30,859
Legato Systems Inc + 0 -- 480 20,670 1,478 63,646
LHS Group Inc + 0 -- 76 2,522 251 8,330
Lycos Inc + 0 -- 100 4,062 200 8,125
Mentor Graphics Corp + 600 5,381 616 5,525 847 7,597
Microsoft Corp + 3,626 335,632 24,394 2,257,970 73,970 6,846,848
Mindspring Enterprises Inc + 0 -- 0 -- 200 5,812
MobileMedia Corp + 300 15 200 10 400 20
Momentum Business Applications Inc + 17 131 31 238 72 554
National Data Corp 200 7,650 240 9,180 677 25,895
NEC Corp ADR (Japan) 883 71,081 3,613 290,846 9,110 733,355
Network Associates Inc + 525 8,859 1,274 21,499 2,367 39,943
New Era of Networks Inc + 0 -- 0 -- 100 1,675
Northpoint Communications + 0 -- 0 -- 100 2,644
Novell Inc + 425 10,067 2,196 52,018 5,780 136,914
Objective Systems Integrator Corp + 0 -- 88 242 0 --
Oracle Systems Corp + 1,041 37,996 7,197 262,691 21,748 793,802
Parametric Technology Corp + 20 280 1,236 17,304 4,223 59,122
Peoplesoft Inc + 575 8,122 1,145 16,173 3,430 48,449
Per-SE Technologies Inc + 800 2,850 792 2,822 1,064 3,791
Perot Systems Corp Class A + 0 -- 0 -- 200 4,150
PSINET Inc + 0 -- 0 -- 200 9,575
Realnetworks Inc + 0 -- 0 -- 100 8,175
Renaissance Worldwide Inc + 200 975 440 2,145 889 4,334
Reynolds & Reynolds Co Class A 146 3,194 810 17,719 1,688 36,925
Siebel Systems Inc + 200 13,737 606 41,625 1,134 77,892
Sterling Commerce Inc + 277 5,298 989 18,915 2,076 39,703
Sterling Software Inc + 200 4,025 780 15,697 1,865 37,533
Storage Technology Corp + 518 10,878 918 19,278 1,813 38,073
Structural Dynamics Research + 303 4,886 0 -- 380 6,128
Sun Microsystems Inc + 944 75,048 4,570 363,315 12,798 1,017,441
SunGard Data Systems Inc + 400 10,000 856 21,400 1,765 44,125
Symantec Corp + 278 8,340 892 26,760 1,722 51,660
Synopsys Inc + 200 11,188 692 38,709 1,390 77,753
The Bisys Group Inc + 0 -- 0 -- 100 4,750
Total System Services Inc 250 3,875 284 4,402 864 13,392
US Internetworking Inc + 0 -- 0 -- 0 --
US Web Corp + 100 1,950 100 1,950 300 5,850
Verisign Inc + 0 -- 0 -- 200 21,662
Veritas Software Corp + 700 41,475 756 44,793 2,004 118,737
<CAPTION>
LifePath 2030 LifePath 2040
--------------------------- ---------------------------
Shares Value Shares Value
- -------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Electronic Data Systems Corp 6,626 371,884 14,175 795,572
Extreme Networks Inc + 0 -- 100 6,394
First Data Corp 6,059 266,596 12,874 566,456
Fiserv Inc + 1,883 58,020 5,984 184,382
Gartner Group Inc Class A 961 20,121 2,285 47,842
Healtheon Corp + 100 3,381 100 3,381
I2 Technologies Inc + 168 5,334 518 16,446
IMS Health Inc 3,820 105,527 9,265 255,946
Information Resources Inc + 0 -- 0 --
Informix Corp + 1,509 10,987 4,275 31,128
Infoseek Corp + 100 3,044 100 3,044
Inktomi Corp + 0 -- 100 11,337
Intuit Inc + 604 54,096 2,361 211,457
Ivillage Inc + 0 -- 100 3,631
J.D. Edwards & Co + 425 7,809 1,313 24,126
Keane Inc + 1,596 34,513 3,533 76,401
Legato Systems Inc + 1,208 52,019 400 17,225
LHS Group Inc + 157 5,210 507 16,826
Lycos Inc + 100 4,062 300 12,187
Mentor Graphics Corp + 993 8,906 1,513 13,570
Microsoft Corp + 59,786 5,533,942 144,132 13,341,218
Mindspring Enterprises Inc + 100 2,919 200 5,812
MobileMedia Corp + 300 15 700 35
Momentum Business Applications Inc + 66 507 48 369
National Data Corp 693 26,507 1,666 63,724
NEC Corp ADR (Japan) 7,314 588,777 15,849 1,275,844
Network Associates Inc + 2,132 35,977 6,779 114,396
New Era of Networks Inc + 100 1,675 100 1,675
Northpoint Communications + 100 2,644 100 2,644
Novell Inc + 4,872 115,406 9,808 232,327
Objective Systems Integrator Corp + 0 -- 277 762
Oracle Systems Corp + 17,449 636,889 42,300 1,543,950
Parametric Technology Corp + 3,419 47,866 8,253 115,542
Peoplesoft Inc + 2,695 38,067 6,670 94,214
Per-SE Technologies Inc + 1,171 4,172 1,967 7,007
Perot Systems Corp Class A + 100 2,075 200 4,150
PSINET Inc + 100 4,787 100 4,787
Realnetworks Inc + 0 -- 100 8,175
Renaissance Worldwide Inc + 903 4,402 1,702 8,297
Reynolds & Reynolds Co Class A 1,475 32,266 3,268 71,487
Siebel Systems Inc + 966 66,352 2,476 170,070
Sterling Commerce Inc + 1,961 37,504 3,852 73,669
Sterling Software Inc + 1,607 32,341 3,256 65,527
Storage Technology Corp + 1,516 31,836 5,609 117,789
Structural Dynamics Research + 285 4,596 0 --
Sun Microsystems Inc + 10,594 842,223 23,334 1,855,053
SunGard Data Systems Inc + 2,021 50,525 4,769 119,225
Symantec Corp + 1,494 44,820 3,403 102,090
Synopsys Inc + 1,318 73,726 3,003 167,980
The Bisys Group Inc + 100 4,750 100 4,750
Total System Services Inc 693 10,741 2,043 31,666
US Internetworking Inc + 0 -- 100 1,500
US Web Corp + 100 1,950 200 3,900
Verisign Inc + 100 10,831 200 21,662
Veritas Software Corp + 1,854 109,849 4,340 257,145
</TABLE>
10
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
------------------------- ------------------------ ------------------------
Shares Value Shares Value Shares Value
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Whittman-Hart Inc + 0 -- 0 -- 200 5,262
Yahoo! Inc + 400 58,950 1,684 248,390 2,854 420,965
Ziff-Davis Inc-ZDNET + 0 -- 0 -- 100 1,512
-------------- ------------ ------------
TOTAL COMPUTER SOFTWARE
- VALUE $ 1,636,728 $ 6,047,270 $ 16,186,476
- COST $ 774,605 $ 3,198,260 $ 8,987,287
COMPUTER SYSTEMS
Percent of Net Assets 0.74% 2.01% 3.52%
Adaptec Inc + 500 19,500 1,384 53,976 2,980 116,220
Apple Computer Inc + 125 8,156 785 51,221 2,252 146,943
Aztec Technology Partners Inc + 0 -- 161 247 436 668
Cabletron Systems Inc + 177 2,976 964 16,207 2,689 45,209
Cisco Systems Inc + 2,182 147,967 15,402 1,044,448 47,048 3,190,443
CMGI Inc + 0 -- 100 8,394 300 25,162
Cognex Corp + 0 -- 264 7,969 614 18,535
Compaq Computer Corp 1,777 41,204 10,227 237,139 27,047 627,152
Comverse Technology Inc + 350 27,300 560 43,680 1,083 84,474
Data General Corp + 4 74 424 7,818 781 14,400
Dell Computer Corp + 1,932 94,306 12,374 604,006 37,816 1,845,893
Earthlink Network Inc + 0 -- 0 -- 0 --
EMC Corp + 646 38,760 4,810 288,600 15,096 905,760
Exabyte Corp + 0 -- 0 -- 398 1,492
Gartner Group Inc Class B + 13 266 223 4,571 771 15,805
Gateway Inc + 145 14,056 535 51,862 2,215 214,717
Harris Corp 104 2,730 607 15,934 1,220 32,025
Hewlett-Packard Co 1,134 119,495 6,363 670,501 16,975 1,788,741
Intergraph Corp + 54 300 322 1,791 855 4,756
International Business Machine Corp 1,480 184,352 9,264 1,153,947 27,620 3,440,416
Iomega Corp + 700 2,362 2,869 9,683 6,467 21,826
Komag Inc + 400 1,275 528 1,683 1,064 3,391
NCR Corp + 471 20,606 1,008 44,100 1,924 84,175
Prodigy Communications Corp + 0 -- 0 -- 0 --
Quantum Corp-DLT & Storage + 500 9,156 1,460 26,736 3,413 62,501
Quantum Hard Disk Drive + 300 2,137 680 4,845 1,506 10,730
Rational Software Corp + 100 2,706 692 18,727 1,678 45,411
Rythms Netconnections Inc + 0 -- 100 3,825 300 11,475
Sapient Corp + 0 -- 0 -- 0 --
Seagate Technology Inc + 117 3,883 1,474 48,918 3,983 132,186
Sequent Computer Systems + 340 5,992 0 -- 413 7,279
Shared Medical System Corp 42 2,360 150 8,428 456 25,622
Silicon Graphics Inc + 204 2,333 1,064 12,170 3,119 35,674
Sybase Inc + 700 8,750 616 7,700 1,327 16,587
Unisys Corp + 140 6,020 1,092 46,956 3,441 147,963
Unova Inc + 34 512 382 5,754 1,027 15,469
Vignette Corp + 0 -- 0 -- 0 --
Wallace Computer Services Inc 90 1,924 176 3,762 263 5,622
Western Digital Corp + 700 4,287 1,232 7,546 2,467 15,110
-------------- ------------ ------------
TOTAL COMPUTER SYSTEMS
- VALUE $ 775,745 $ 4,513,144 $ 13,159,832
- COST $ 379,842 $ 2,072,220 $ 6,041,873
CONTAINER & PACKAGING
Percent of Net Assets 0.06% 0.14% 0.21%
Ball Corp 44 1,977 281 12,627 532 23,907
Crown Cork & Seal Co 65 1,727 714 18,966 2,039 54,161
International Paper Co 328 15,437 2,456 115,585 6,588 310,048
Jefferson Smurfit Group ADR (Ireland) 605 18,074 2,160 64,530 5,140 153,557
Smurfit-Stone Container Corp + 486 10,297 704 14,916 3,337 70,703
Sonoco Products 426 10,117 912 21,660 1,823 43,296
<CAPTION>
LifePath 2030 LifePath 2040
-------------------------- ---------------------------
Shares Value Shares Value
- -------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Whittman-Hart Inc + 100 2,631 200 5,262
Yahoo! Inc + 2,522 371,995 2,596 382,910
Ziff-Davis Inc-ZDNET + 100 1,512 100 1,512
-------------- ---------------
TOTAL COMPUTER SOFTWARE
- VALUE $ 13,380,328 $ 30,873,247
- COST $ 7,132,679 $ 16,315,883
COMPUTER SYSTEMS
Percent of Net Assets 4.17% 5.31%
Adaptec Inc + 2,646 103,194 6,194 241,566
Apple Computer Inc + 1,908 124,497 3,789 247,232
Aztec Technology Partners Inc + 388 594 744 1,140
Cabletron Systems Inc + 2,082 35,004 4,051 68,107
Cisco Systems Inc + 37,380 2,534,831 91,232 6,186,670
CMGI Inc + 100 8,394 300 25,162
Cognex Corp + 536 16,180 1,248 37,674
Compaq Computer Corp 22,709 526,565 48,356 1,121,255
Comverse Technology Inc + 1,406 109,668 3,444 268,632
Data General Corp + 572 10,546 1,177 21,701
Dell Computer Corp + 30,528 1,490,148 74,062 3,615,151
Earthlink Network Inc + 0 -- 100 4,900
EMC Corp + 12,088 725,280 29,002 1,740,120
Exabyte Corp + 0 -- 0 --
Gartner Group Inc Class B + 616 12,628 1,471 30,156
Gateway Inc + 1,925 186,605 2,315 224,410
Harris Corp 1,063 27,904 1,912 50,190
Hewlett-Packard Co 14,231 1,499,592 30,059 3,167,467
Intergraph Corp + 623 3,465 976 5,429
International Business Machine Corp 22,426 2,793,439 54,206 6,752,035
Iomega Corp + 5,567 18,789 12,443 41,995
Komag Inc + 814 2,595 1,072 3,417
NCR Corp + 1,843 80,631 5,321 232,794
Prodigy Communications Corp + 0 -- 100 1,856
Quantum Corp-DLT & Storage + 3,077 56,348 6,801 124,543
Quantum Hard Disk Drive + 1,438 10,246 3,150 22,444
Rational Software Corp + 1,329 35,966 2,526 68,360
Rythms Netconnections Inc + 100 3,825 200 7,650
Sapient Corp + 0 -- 100 7,300
Seagate Technology Inc + 3,213 106,631 6,876 228,197
Sequent Computer Systems + 304 5,358 0 --
Shared Medical System Corp 374 21,014 634 35,623
Silicon Graphics Inc + 2,548 29,143 5,411 61,888
Sybase Inc + 1,171 14,637 2,408 30,100
Unisys Corp + 2,910 125,130 7,021 301,903
Unova Inc + 730 10,996 1,567 23,603
Vignette Corp + 0 -- 100 6,781
Wallace Computer Services Inc 277 5,921 718 15,347
Western Digital Corp + 2,243 13,738 4,993 30,582
-------------- ---------------
TOTAL COMPUTER SYSTEMS
- VALUE $ 10,749,502 $ 25,053,380
- COST $ 4,615,425 $ 11,036,149
CONTAINER & PACKAGING
Percent of Net Assets 0.26% 0.31%
Ball Corp 528 23,727 539 24,221
Crown Cork & Seal Co 1,740 46,219 3,567 94,748
International Paper Co 5,695 268,021 11,824 556,467
Jefferson Smurfit Group ADR (Ireland) 4,051 121,024 10,394 310,521
Smurfit-Stone Container Corp + 2,612 55,342 5,914 125,303
Sonoco Products 1,918 45,552 5,317 126,279
</TABLE>
11
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
------------------------- ------------------------- -----------------------
Shares Value Shares Value Shares Value
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Temple-Inland Inc 49 3,038 455 28,210 716 44,392
Tenneco Inc 8 161 1,065 21,433 2,853 57,417
Tupperware Corp 63 1,421 380 8,574 1,026 23,149
-------------- ------------ -----------
TOTAL CONTAINER & PACKAGING
- VALUE $ 62,249 $ 306,501 $ 780,630
- COST $ 59,751 $ 329,476 $ 843,886
ELECTRICAL EQUIPMENT
Percent of Net Assets 0.50% 1.17% 2.00%
Alliance Semiconductor Corp + 0 -- 0 -- 0 --
Arrow Electronics Inc + 286 5,684 937 18,623 2,190 43,526
Avnet Inc 230 10,177 284 12,567 689 30,488
General Electric Co 3,103 348,506 16,122 1,810,702 48,614 5,459,960
Grainger (W W) Inc 72 3,136 554 24,134 1,672 72,837
Handleman Co + 59 782 116 1,537 409 5,419
Hitachi Ltd ADR (Japan) 532 53,932 2,424 245,733 5,958 603,992
Hubbell Inc Class B 232 9,004 574 22,278 1,409 54,687
Masco Corp 322 9,117 2,033 57,559 5,568 157,644
Motorola Inc 776 71,586 4,016 370,476 10,242 944,824
National Service Industries Inc 39 1,248 332 10,624 656 20,992
Symbol Technologies Inc 277 9,643 868 30,217 1,792 62,384
Thomas & Betts Corp 58 2,610 434 19,530 695 31,275
-------------- ------------ -----------
TOTAL ELECTRICAL EQUIPMENT
- VALUE $ 525,425 $ 2,623,980 $ 7,488,028
- COST $ 331,467 $ 1,581,986 $ 4,594,313
ELECTRONICS
Percent of Net Assets 1.30% 2.26% 3.50%
Advanced Micro Devices + 130 2,689 826 17,088 2,482 51,346
American Power Conversion + 600 10,537 1,624 28,521 3,270 57,429
Analog Devices Inc + 701 36,101 1,483 76,374 3,026 155,839
Applied Materials Inc + 315 22,385 2,186 155,343 5,537 393,473
Atmel Corp + 562 22,094 1,173 46,114 2,600 102,212
C-Cube Microsystems Inc + 100 2,781 264 7,342 263 7,315
Canon Inc ADR (Japan) 990 29,576 4,630 138,321 11,845 353,869
CBS Corp + 760 35,720 4,272 200,784 11,579 544,213
Cirrus Logic Inc + 634 7,093 686 7,675 1,411 15,786
Commscope Inc + 50 1,722 304 10,469 694 23,900
Conexant Systems Inc + 210 15,094 690 49,558 1,882 135,269
Cypress Semiconductor Corp + 800 18,500 739 17,089 1,296 29,970
EG&G Inc 25 795 333 10,594 752 23,923
Electronics for Imaging Inc + 300 17,587 240 14,070 777 45,552
Emerson Electric Co 565 35,383 2,293 143,599 6,150 385,144
Etec Systems Inc + 0 -- 176 7,744 351 15,444
Fuji Photo Film Co Ltd ADR (Japan) 675 24,637 3,060 111,690 7,624 278,276
General Instrument Corp + 0 -- 585 28,775 2,535 124,690
General Motors Class H + 500 25,750 1,132 58,298 2,028 104,442
General Semiconductor Inc + 37 363 229 2,247 521 5,112
Gentex Corp + 100 1,912 100 1,912 300 5,719
Honeywell Inc 164 18,614 784 88,984 2,099 238,236
Imation Corp + 276 7,780 454 12,797 615 17,335
Input/Output Inc + 500 3,687 440 3,245 976 7,198
Integrated Device Technology Inc + 700 13,650 704 13,728 1,590 31,005
Intel Corp 2,532 208,099 16,352 1,343,930 49,372 4,057,761
International Rectifier Corp + 500 8,062 440 7,095 877 14,142
Jabil Circuit + 100 4,481 152 6,811 602 26,977
Johnson Controls Inc 86 5,880 465 31,794 1,256 85,879
KLA Instruments Corp + 94 5,904 501 31,469 1,359 85,362
Kyocera Corp ADR (Japan) 660 44,014 2,558 170,587 6,152 410,262
Lam Research Corp + 300 16,931 264 14,900 438 24,720
<CAPTION>
LifePath 2030 LifePath 2040
------------------------- ---------------------------
Shares Value Shares Value
- -------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Temple-Inland Inc 749 46,438 1,495 92,690
Tenneco Inc 2,232 44,919 4,772 96,037
Tupperware Corp 814 18,366 1,967 44,380
------------- ---------------
TOTAL CONTAINER & PACKAGING
- VALUE $ 669,608 $ 1,470,646
- COST $ 730,954 $ 1,657,056
ELECTRICAL EQUIPMENT
Percent of Net Assets 2.38% 3.01%
Alliance Semiconductor Corp + 0 -- 221 2,472
Arrow Electronics Inc + 1,861 36,987 4,272 84,906
Avnet Inc 746 33,010 1,956 86,553
General Electric Co 39,308 4,414,780 94,712 10,637,341
Grainger (W W) Inc 1,355 59,027 2,586 112,653
Handleman Co + 274 3,630 560 7,420
Hitachi Ltd ADR (Japan) 4,864 493,088 10,276 1,041,729
Hubbell Inc Class B 1,259 48,865 2,816 109,296
Masco Corp 4,594 130,068 9,757 276,245
Motorola Inc 8,488 783,018 17,239 1,590,298
National Service Industries Inc 569 18,208 964 30,848
Symbol Technologies Inc 1,818 63,289 3,775 131,417
Thomas & Betts Corp 863 38,835 1,414 63,630
-------------- ---------------
TOTAL ELECTRICAL EQUIPMENT
- VALUE $ 6,122,805 $ 14,174,808
- COST $ 3,758,047 $ 8,817,525
ELECTRONICS
Percent of Net Assets 4.32% 5.40%
Advanced Micro Devices + 1,907 39,451 3,889 80,454
American Power Conversion + 2,674 46,962 8,232 144,574
Analog Devices Inc + 2,622 135,033 8,240 424,360
Applied Materials Inc + 4,979 353,820 10,765 764,988
Atmel Corp + 2,300 90,419 5,411 212,720
C-Cube Microsystems Inc + 357 9,929 718 19,969
Canon Inc ADR (Japan) 9,605 286,949 20,620 616,022
CBS Corp + 9,832 462,104 20,761 975,767
Cirrus Logic Inc + 1,052 11,769 1,434 16,043
Commscope Inc + 546 18,803 1,471 50,658
Conexant Systems Inc + 1,824 131,100 3,575 256,953
Cypress Semiconductor Corp + 1,271 29,392 3,000 69,375
EG&G Inc 618 19,660 1,117 35,535
Electronics for Imaging Inc + 693 40,627 1,466 85,944
Emerson Electric Co 4,986 312,248 11,948 748,244
Etec Systems Inc + 268 11,792 718 31,592
Fuji Photo Film Co Ltd ADR (Japan) 6,236 227,614 13,350 487,275
General Instrument Corp + 2,030 99,851 200 9,837
General Motors Class H + 1,775 91,412 5,476 282,014
General Semiconductor Inc + 410 4,023 1,128 11,069
Gentex Corp + 100 1,912 300 5,719
Honeywell Inc 1,842 209,067 3,607 409,394
Imation Corp + 653 18,407 1,528 43,071
Input/Output Inc + 725 5,347 1,072 7,906
Integrated Device Technology Inc + 714 13,923 2,055 40,072
Intel Corp 39,950 3,283,391 96,514 7,932,244
International Rectifier Corp + 625 10,078 1,072 17,286
Jabil Circuit + 514 23,034 1,214 54,402
Johnson Controls Inc 1,130 77,264 2,140 146,323
KLA Instruments Corp + 1,155 72,548 2,323 145,913
Kyocera Corp ADR (Japan) 4,960 330,770 10,654 710,489
Lam Research Corp + 446 25,171 1,160 65,467
</TABLE>
12
<PAGE>
MASTER INVESTMENT PORTFOLIO--MASTER INVESTMENT PORTFOLIO
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
------------------------- ------------------------ ------------------------
Shares Value Shares Value Shares Value
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Lattice Semiconductor + 100 6,169 352 21,692 614 37,838
Lexmark International Group Class A + 500 39,375 1,284 101,115 2,180 171,675
Linear Technology Corp 872 54,881 1,496 94,154 2,704 170,183
Litton Industries Inc + 201 12,864 143 9,152 521 33,344
LSI Logic Corp + 118 6,696 799 45,343 2,342 132,908
Macromedia Inc + 400 15,850 352 13,948 614 24,330
Matsushita Electric Industries Co 257 51,673 933 187,591 2,061 414,390
Maxim Integrated Products Inc + 600 40,387 1,120 75,390 2,291 154,213
MEMC Electronic Materials Inc + 300 5,963 264 5,247 351 6,976
Microchip Technology Inc + 300 16,425 504 27,594 1,315 71,996
Micron Electronics Inc + 0 -- 176 1,705 351 3,400
Micron Technology Inc + 145 10,812 1,232 91,861 3,321 247,622
Molex Inc 216 6,925 324 10,388 987 31,646
Molex Inc Class A 112 3,150 949 26,691 1,805 50,766
National Semiconductor + 86 2,424 942 26,553 2,784 78,474
Novellus System Inc + 200 10,788 240 12,945 777 41,909
Pitney Bowes Inc 166 9,794 1,371 80,889 4,223 249,157
Pixar Inc + 0 -- 88 2,997 63 2,146
Pmc-Sierra Inc + 0 -- 100 9,300 300 27,900
Policy Management Systems Corp + 396 12,103 99 3,026 431 13,172
Premier Farnell PLC ADR (UK) 1,999 17,491 7,319 64,041 17,299 151,366
Rambus Inc + 0 -- 88 8,536 163 15,811
Raytheon Co Class B 284 19,347 2,028 138,158 5,535 377,072
Read-Rite Corp + 400 2,250 440 2,475 626 3,521
Rf Micro Devices Inc + 0 -- 0 -- 200 8,787
Sanmina Corp + 100 7,475 240 18,000 601 45,075
SCI Systems Inc + 300 14,944 604 30,087 1,302 64,856
Sensormatic Electronics + 535 6,253 765 8,941 1,610 18,817
Solectron Corp + 1,200 93,900 1,778 139,128 3,566 279,039
SONY Corp ADR (Japan) 368 46,851 1,482 188,677 3,550 451,959
Tektronix Inc 3 100 356 11,837 804 26,733
Teradyne Inc + 276 18,785 798 54,314 1,581 107,607
Texas Instruments Inc 700 57,444 4,564 374,533 11,702 960,295
Thermo Instrument Systems Inc + 50 556 25 278 294 3,271
Varian Inc + 177 2,788 431 6,842 820 13,017
Varian Semiconductor Equipment + 177 4,016 431 9,805 820 18,655
Vishay Intertechnology Inc + 578 12,391 515 11,040 1,115 23,903
Vitesse Semiconductor Corp + 200 13,562 692 47,056 1,578 107,304
Xerox Corp 730 34,857 3,212 153,373 8,600 410,650
Xilinx Inc + 794 55,530 1,284 89,800 2,634 184,215
Zenith Electronics Corp + 44 7 89 14 279 45
--------------- ------------- --------------
TOTAL ELECTRONICS
- VALUE $ 1,362,647 $ 5,063,463 $ 13,093,843
- COST $ 829,255 $ 2,829,925 $ 7,575,636
ENERGY & RELATED
Percent of Net Assets 1.45% 3.04% 4.57%
AGL Resources Inc 538 9,718 387 6,990 699 12,626
Amerada Hess Corp 122 7,572 505 31,342 1,594 98,928
Anadarko Petroleum Corp 162 5,508 705 23,970 1,932 65,688
Apache Corp 96 4,368 618 28,119 1,606 73,073
Ashland Inc 99 3,818 481 18,549 1,085 41,840
Atlantic Richfield Corp 233 20,489 1,935 170,159 5,337 469,322
BP Amoco PLC ADR (Great Britain) 1,754 196,667 8,350 936,244 19,294 2,163,340
Burlington Resources Inc 204 8,530 1,051 43,945 2,913 121,800
Chesapeake Energy Corp + 0 -- 352 1,144 976 3,172
Chevron Corp 770 71,032 3,980 367,155 10,663 983,662
Coastal Corp 144 6,237 1,218 52,755 3,527 152,763
Columbia Gas System Inc 142 8,357 542 31,982 1,274 75,246
<CAPTION>
LifePath 2030 LifePath 2040
-------------------------- ---------------------------
Shares Value Shares Value
- ----------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Lattice Semiconductor + 625 38,516 1,337 82,393
Lexmark International Group Class A + 2,022 159,232 6,006 472,972
Linear Technology Corp 2,496 157,092 8,038 505,892
Litton Industries Inc + 696 44,544 1,536 98,304
LSI Logic Corp + 2,026 114,976 4,010 227,567
Macromedia Inc + 446 17,673 895 35,464
Matsushita Electric Industries Co 1,721 346,029 3,566 716,989
Maxim Integrated Products Inc + 1,854 124,797 6,259 421,309
MEMC Electronic Materials Inc + 357 7,095 807 16,039
Microchip Technology Inc + 1,095 59,951 2,638 144,430
Micron Electronics Inc + 268 2,596 542 5,251
Micron Technology Inc + 2,820 210,266 5,792 431,866
Molex Inc 798 25,586 2,093 67,107
Molex Inc Class A 1,686 47,419 3,612 101,588
National Semiconductor + 2,229 62,830 4,476 126,167
Novellus System Inc + 604 32,578 1,578 85,113
Pitney Bowes Inc 3,259 192,281 7,919 467,221
Pixar Inc + 268 9,129 330 11,241
Pmc-Sierra Inc + 100 9,300 200 18,600
Policy Management Systems Corp + 261 7,977 866 26,467
Premier Farnell PLC ADR (UK) 14,076 123,165 34,009 297,579
Rambus Inc + 179 17,363 242 23,474
Raytheon Co Class B 4,583 312,217 9,661 658,156
Read-Rite Corp + 814 4,579 1,702 9,574
Rf Micro Devices Inc + 200 8,787 200 8,787
Sanmina Corp + 514 38,550 1,290 96,750
SCI Systems Inc + 1,229 61,220 2,815 140,222
Sensormatic Electronics + 1,036 12,108 1,865 21,797
Solectron Corp + 3,120 244,140 7,416 580,302
SONY Corp ADR (Japan) 2,933 373,408 6,266 797,740
Tektronix Inc 708 23,541 1,324 44,023
Teradyne Inc + 2,054 139,800 4,184 284,773
Texas Instruments Inc 10,590 869,042 22,744 1,866,430
Thermo Instrument Systems Inc + 257 2,859 714 7,943
Varian Inc + 795 12,621 1,659 26,337
Varian Semiconductor Equipment + 795 18,086 1,659 37,742
Vishay Intertechnology Inc + 902 19,337 2,111 45,255
Vitesse Semiconductor Corp + 1,418 96,424 3,080 209,440
Xerox Corp 7,444 355,451 17,970 858,067
Xilinx Inc + 3,146 220,023 6,924 484,247
Zenith Electronics Corp + 230 37 367 59
-------------- ---------------
TOTAL ELECTRONICS
- VALUE $ 11,116,495 $ 25,462,356
- COST $ 6,176,762 $ 14,890,434
ENERGY & RELATED
Percent of Net Assets 5.58% 6.04%
AGL Resources Inc 498 8,995 459 8,291
Amerada Hess Corp 1,231 76,399 2,373 147,274
Anadarko Petroleum Corp 1,663 56,542 3,442 117,028
Apache Corp 1,238 56,329 2,579 117,344
Ashland Inc 985 37,984 1,984 76,508
Atlantic Richfield Corp 4,317 379,626 9,215 810,344
BP Amoco PLC ADR (Great Britain) 17,054 1,912,180 15,781 1,769,445
Burlington Resources Inc 2,284 95,500 4,922 205,801
Chesapeake Energy Corp + 546 1,774 984 3,198
Chevron Corp 8,931 823,885 18,989 1,751,735
Coastal Corp 2,790 120,842 6,065 262,690
Columbia Gas System Inc 1,075 63,492 2,126 125,567
</TABLE>
13
<PAGE>
MASTER INVESTMENT PORTFOLIO -- LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
-------------------------- ------------------------- ---------------------
Shares Value Shares Value Shares Value
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Conoco Inc 0 -- 200 5,350 900 24,075
Conoco Inc Class B 0 -- 100 2,687 0 --
Consol Energy Inc 100 1,344 0 -- 200 2,687
Consolidated Natural Gas Co 122 7,770 511 32,544 1,685 107,313
Cooper Cameron Corp + 200 8,325 416 17,316 1,040 43,290
Devon Energy Corp + 14 541 358 13,828 832 32,136
Diamond Offshore Drilling Inc 100 3,825 880 33,660 1,665 63,686
Dynegy Inc 0 -- 0 -- 1,502 35,297
Eastern Enterprises 39 1,753 180 8,089 421 18,919
EEX Corp + 45 214 355 1,686 664 3,154
ELF Aquitaine ADR (France) 1,256 110,606 4,412 388,532 10,329 909,598
Enron Corp 476 19,932 3,976 166,495 10,650 445,969
Enron Oil & Gas Co 100 2,388 880 21,010 1,765 42,139
Exxon Corp 2,957 233,233 16,278 1,283,927 42,176 3,326,632
Global Marine Inc + 600 10,650 1,789 31,755 4,007 71,124
Halliburton Co 575 26,666 2,445 113,387 6,164 285,856
Helmerich & Payne Inc 30 827 400 11,025 805 22,188
Indiana Energy Inc 0 -- 0 -- 411 8,715
Kerr-McGee Corp 97 5,432 418 23,408 1,354 75,824
McMoRan Exploration Co + 46 929 41 828 79 1,595
MCN Corp 0 -- 0 -- 815 14,568
Mobil Corp 869 88,964 4,690 480,139 12,616 1,291,563
Murphy Oil Corp 293 14,870 310 15,732 832 42,224
Nabors Industries Inc + 400 10,875 1,032 28,057 2,266 61,607
National Fuel Gas Co 0 -- 0 -- 510 24,002
NICOR Inc 44 1,702 330 12,767 789 30,524
Noble Affiliates Inc 38 1,178 642 19,902 1,391 43,121
Noble Drilling Corp + 600 14,775 1,560 38,415 3,256 80,179
Occidental Petroleum Corp 400 8,675 2,205 47,821 5,762 124,963
Ocean Energy Inc + 891 9,021 1,961 19,855 3,582 36,268
ONEOK Inc 49 1,522 225 6,989 493 15,314
Parker Drilling Co + 0 -- 0 -- 840 4,200
Pennzoil-Quaker State Co 32 444 408 5,661 1,283 17,802
Peoples Energy Corp 53 1,931 245 8,927 559 20,369
Phillips Petroleum Co 169 8,619 1,829 93,279 4,461 227,511
Pioneer Natural Resources Co + 476 5,414 1,329 15,117 2,509 28,540
Pogo Producing Co 300 6,263 264 5,511 526 10,980
Pride International Inc + 0 -- 352 5,236 701 10,427
Questar Corp 254 4,794 838 15,817 1,958 36,957
Reading & Bates Falcon Corp + 172 2,215 1,131 14,562 2,644 34,041
Repsol SA 2,101 43,858 7,700 160,737 16,625 347,047
Rowan Co Inc + 66 1,229 469 8,735 1,389 25,870
Royal Dutch Petroleum Corp 3,076 190,328 10,868 672,457 25,712 1,590,930
Santa Fe Snyder Corp + 83 809 712 6,942 1,743 16,994
Schlumberger Ltd 881 58,807 2,855 190,571 7,791 520,049
Services (B J) Co + 300 10,275 1,068 36,579 2,041 69,904
Sonat Offshore Drilling Co 122 4,407 686 24,782 1,820 65,748
Sunoco Inc 105 3,419 518 16,867 1,583 51,546
Texaco Inc 612 38,862 3,271 207,709 8,897 564,959
Tosco Corp 571 14,561 1,595 40,672 3,490 88,995
Total Compagnie Francaise des Petroles SA ADR 1,628 105,922 5,675 369,230 13,714 892,267
(France)
Transocean Offshore Inc 300 10,200 1,044 35,496 1,904 64,736
TransTexas Gas Corp + 0 -- 0 -- 0 --
Ultramar Diamond Shamrock Corp 410 10,711 816 21,318 1,715 44,804
Union Pacific Resources Group 242 4,341 1,553 27,857 4,108 73,687
Unocal Corp 104 4,355 1,486 62,226 3,950 165,406
USX - Marathon Group 265 8,248 1,980 61,628 5,089 158,395
Utilicorp United Inc 0 -- 0 -- 888 20,591
<CAPTION>
LifePath 2030 LifePath 2040
-------------------------- ---------------------------
Shares Value Shares Value
- -----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Conoco Inc 400 10,700 900 24,075
Conoco Inc Class B 100 2,687 0 --
Consol Energy Inc 100 1,344 200 2,687
Consolidated Natural Gas Co 1,326 84,450 2,513 160,047
Cooper Cameron Corp + 961 40,002 2,185 90,951
Devon Energy Corp + 700 27,038 1,559 60,216
Diamond Offshore Drilling Inc 1,407 53,818 3,456 132,192
Dynegy Inc 0 -- 0 --
Eastern Enterprises 382 17,166 511 22,963
EEX Corp + 797 3,786 1,633 7,757
ELF Aquitaine ADR (France) 8,965 789,480 19,750 1,739,234
Enron Corp 9,102 381,146 18,680 782,225
Enron Oil & Gas Co 1,518 36,242 3,545 84,637
Exxon Corp 34,411 2,714,168 70,642 5,571,888
Global Marine Inc + 3,364 59,711 8,023 142,408
Halliburton Co 4,961 230,066 12,139 562,946
Helmerich & Payne Inc 640 17,640 1,275 35,142
Indiana Energy Inc 0 -- 0 --
Kerr-McGee Corp 1,156 64,736 2,391 133,896
McMoRan Exploration Co + 41 828 79 1,595
MCN Corp 0 -- 0 --
Mobil Corp 10,583 1,083,435 22,600 2,313,675
Murphy Oil Corp 779 39,534 2,193 111,295
Nabors Industries Inc + 1,958 53,233 4,593 124,872
National Fuel Gas Co 0 -- 0 --
NICOR Inc 701 27,120 1,159 44,839
Noble Affiliates Inc 1,012 31,372 2,479 76,849
Noble Drilling Corp + 2,925 72,028 6,448 158,782
Occidental Petroleum Corp 4,744 102,885 10,405 225,658
Ocean Energy Inc + 3,388 34,304 7,194 72,839
ONEOK Inc 497 15,438 555 17,240
Parker Drilling Co + 652 3,260 0 --
Pennzoil-Quaker State Co 986 13,681 1,484 20,590
Peoples Energy Corp 577 21,024 781 28,458
Phillips Petroleum Co 3,675 187,425 7,324 373,524
Pioneer Natural Resources Co + 2,319 26,379 5,148 58,558
Pogo Producing Co 446 9,310 1,072 22,378
Pride International Inc + 714 10,621 1,602 23,830
Questar Corp 1,557 29,388 3,763 71,027
Reading & Bates Falcon Corp + 2,187 28,158 5,137 66,139
Repsol SA 15,850 330,869 33,139 691,777
Rowan Co Inc + 1,017 18,942 2,219 41,329
Royal Dutch Petroleum Corp 22,430 1,387,856 50,272 3,110,580
Santa Fe Snyder Corp + 1,206 11,758 2,696 26,286
Schlumberger Ltd 6,133 409,378 14,813 988,768
Services (B J) Co + 1,796 61,513 4,110 140,767
Sonat Offshore Drilling Co 1,454 52,526 3,146 113,649
Sunoco Inc 1,211 39,433 2,487 80,983
Texaco Inc 7,268 461,518 15,623 992,060
Tosco Corp 3,172 80,886 6,920 176,460
Total Compagnie Francaise des Petroles SA ADR 11,867 772,097 26,865 1,747,904
(France)
Transocean Offshore Inc 1,754 59,636 4,040 137,360
TransTexas Gas Corp + 0 -- 265 149
Ultramar Diamond Shamrock Corp 2,164 56,535 4,627 120,880
Union Pacific Resources Group 3,487 62,548 6,913 124,002
Unocal Corp 3,241 135,717 6,854 287,011
USX - Marathon Group 3,986 124,064 8,237 256,377
Utilicorp United Inc 0 -- 0 --
</TABLE>
14
<PAGE>
MASTER INVESTMENT PORTFOLIO -- LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
---------------------------- ------------------------- --------------------
Shares Value Shares Value Shares Value
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Valero Energy Corp 180 3,825 778 16,532 1,483 31,514
Vastar Resources Inc 200 13,325 264 17,589 338 22,519
Washington Gas & Light 464 12,383 317 8,460 547 14,598
Williams Co Inc 560 23,100 2,908 119,955 7,224 297,990
Witco Corp 216 3,497 874 14,148 1,648 26,677
--------------- ------------- -----------
TOTAL ENERGY & RELATED
- VALUE $ 1,524,455 $ 6,822,158 $17,092,043
- COST $ 1,160,978 $ 4,871,208 $12,283,500
ENGINEERING & CONSTRUCTION
Percent of Net Assets 0.03% 0.05% 0.06%
Armstrong World Industries Inc 92 4,468 284 13,792 623 30,254
Centex Corp 104 2,925 468 13,162 770 21,656
Clayton Homes Inc 557 5,292 1,321 12,550 2,888 27,436
Fleetwood Enterprises Inc 32 652 313 6,377 508 10,351
Fluor Corp 113 4,675 514 21,267 1,109 45,885
Foster Wheeler Corp 142 1,837 316 4,088 617 7,982
Granite Construction Inc 0 -- 0 -- 355 8,875
Kaufman & Broad Home Corp 49 1,001 298 6,090 624 12,753
Pulte Corp 90 2,081 354 8,186 676 15,633
Rouse Co 200 4,550 880 20,020 1,678 38,174
-------------- ------------ -----------
TOTAL ENGINEERING & CONSTRUCTION
- VALUE $ 27,481 $ 105,532 $ 218,999
- COST $ 28,136 $ 129,670 $ 264,205
ENTERTAINMENT & LEISURE
Percent of Net Assets 0.22% 0.47% 0.70%
AMF Bowling Inc + 0 -- 176 704 451 1,804
Ascent Entertainment Group + 249 3,393 258 3,515 351 4,782
Bally Total Fitness Holding Corp + 26 834 67 2,148 162 5,194
Boyd Gaming Corp + 0 -- 176 946 0 --
Brunswick Corp 126 3,221 595 15,210 1,722 44,019
Callaway Golf Co 296 2,942 950 9,441 1,816 18,047
Coleman Co Inc + 0 -- 176 1,617 0 --
Disney (Walt) Co 2,179 60,467 12,561 348,568 33,323 924,713
Gaylord Entertainment Co Class A 105 3,203 92 2,806 123 3,751
Harrah's Entertainment Inc + 48 1,080 512 11,520 1,662 37,395
Hasbro Inc 167 4,081 1,225 29,936 3,192 78,005
International Game Technology Inc 497 8,698 944 16,520 1,904 33,320
Lakes Gaming Inc + 100 1,131 88 995 153 1,731
Mandalay Resort Group + 429 8,795 1,070 21,935 2,411 49,425
Mattel Inc 613 13,065 2,201 46,909 4,336 92,411
Metro-Goldwyn-Mayer Inc + 100 2,000 403 8,060 903 18,060
MGM Grand Inc + 140 6,878 122 5,993 51 2,505
Mirage Resorts Inc + 217 2,835 1,001 13,076 2,965 38,730
Navigant International Inc + 0 -- 81 638 168 1,323
Polaroid Corp 34 922 327 8,870 696 18,879
Premier Parks Inc + 0 -- 100 3,275 300 9,825
SFX Entertainment Inc Class A + 0 -- 0 -- 100 4,119
Tiffany & Co 452 23,900 780 41,242 1,442 76,246
Time Warner Inc 1,274 75,564 7,731 458,545 19,373 1,149,061
Topp Inc + 512 4,544 0 -- 633 5,618
-------------- ------------ -----------
TOTAL ENTERTAINMENT & LEISURE
- VALUE $ 227,553 $ 1,052,469 $ 2,618,963
- COST $ 195,279 $ 819,259 $ 2,057,665
<CAPTION>
LifePath 2030 LifePath 2040
-------------------------- ---------------------------
Shares Value Shares Value
- -----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Valero Energy Corp 1,236 26,265 3,003 63,814
Vastar Resources Inc 446 29,715 783 52,167
Washington Gas & Light 405 10,808 389 10,381
Williams Co Inc 5,994 247,253 12,252 505,395
Witco Corp 1,459 23,618 3,310 53,581
------------- --------------
TOTAL ENERGY & RELATED
- VALUE $ 14,360,086 $ 28,482,317
- COST $ 10,283,151 $ 22,703,817
ENGINEERING & CONSTRUCTION
Percent of Net Assets 0.07% 0.08%
Armstrong World Industries Inc 684 33,217 948 46,037
Centex Corp 699 19,659 1,577 44,353
Clayton Homes Inc 2,512 23,864 5,838 55,461
Fleetwood Enterprises Inc 465 9,474 800 16,300
Fluor Corp 976 40,382 2,108 87,219
Foster Wheeler Corp 478 6,184 899 11,631
Granite Construction Inc 0 -- 0 --
Kaufman & Broad Home Corp 447 9,136 839 17,147
Pulte Corp 537 12,418 1,011 23,379
Rouse Co 1,418 32,259 3,280 74,620
------------- --------------
TOTAL ENGINEERING & CONSTRUCTION
- VALUE $ 186,593 $ 376,147
- COST $ 240,209 $ 502,809
ENTERTAINMENT & LEISURE
Percent of Net Assets 0.88% 1.01%
AMF Bowling Inc + 368 1,472 807 3,228
Ascent Entertainment Group + 354 4,823 700 9,538
Bally Total Fitness Holding Corp + 104 3,334 197 6,316
Boyd Gaming Corp + 368 1,978 719 3,865
Brunswick Corp 1,245 31,825 2,545 65,057
Callaway Golf Co 1,846 18,345 3,935 39,104
Coleman Co Inc + 0 -- 177 1,626
Disney (Walt) Co 27,874 773,503 59,323 1,646,213
Gaylord Entertainment Co Class A 153 4,666 221 6,740
Harrah's Entertainment Inc + 1,252 28,170 2,653 59,693
Hasbro Inc 2,653 64,833 5,601 136,875
International Game Technology Inc 2,483 43,452 5,981 104,667
Lakes Gaming Inc + 112 1,267 199 2,251
Mandalay Resort Group + 2,098 43,009 4,512 92,496
Mattel Inc 3,146 67,049 8,073 172,064
Metro-Goldwyn-Mayer Inc + 413 8,260 1,317 26,340
MGM Grand Inc + 249 12,232 376 18,471
Mirage Resorts Inc + 2,309 30,161 4,814 62,883
Navigant International Inc + 144 1,134 422 3,323
Polaroid Corp 642 17,414 1,047 28,400
Premier Parks Inc + 100 3,275 300 9,825
SFX Entertainment Inc Class A + 100 4,119 200 8,237
Tiffany & Co 1,736 91,791 2,980 157,567
Time Warner Inc 16,794 996,094 34,952 2,073,091
Topp Inc + 470 4,171 0 --
------------- --------------
TOTAL ENTERTAINMENT & LEISURE
- VALUE $ 2,256,377 $ 4,737,870
- COST $ 1,661,324 $ 3,775,523
</TABLE>
15
<PAGE>
MASTER INVESTMENT PORTFOLIO -- LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
--------------------------- ------------------------ ---------------------
Shares Value Shares Value Shares Value
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
ENVIRONMENTAL CONTROL
Percent of Net Assets 0.01% 0.01% 0.01%
Allied Waste Industries Inc + 300 3,825 1,070 13,642 2,542 32,410
Republic Services Inc Class A + 100 1,088 100 1,087 300 3,262
Safety-Kleen Corp + 87 1,109 379 4,832 965 12,304
------------- ------------ ----------
TOTAL ENVIRONMENTAL CONTROL
- VALUE $ 6,022 $ 19,561 $ 47,976
- COST $ 9,475 $ 31,757 $ 78,958
FOOD & RELATED
Percent of Net Assets 0.76% 1.36% 2.20%
Albertson's Inc 295 14,142 2,548 122,145 6,923 331,871
Archer-Daniels-Midland Co 740 9,623 3,888 50,550 10,213 132,774
Aurora Foods Inc + 100 1,688 100 1,687 300 5,062
Bestfoods 221 10,857 1,389 68,235 4,505 221,308
Bob Evans Farms Inc 468 9,536 317 6,459 659 13,427
Boston Chicken Inc + 600 210 500 175 700 245
Brinker International Inc + 856 20,544 871 20,904 1,740 41,760
Brown-Forman Corp Class B 64 3,760 418 24,558 930 54,637
Campbell Soup Co 280 12,373 2,184 96,506 6,477 286,202
CBRL Group Inc 149 1,956 801 10,513 1,600 21,000
CKE Restaurants Inc 120 968 384 3,096 1,068 8,611
ConAgra Inc 858 21,021 2,372 58,114 7,027 172,161
Corn Product International Inc 60 1,954 260 8,466 610 19,863
Darden Restaurants Inc 90 1,406 674 10,531 2,279 35,609
Dave & Buster's Inc + 0 -- 0 -- 90 1,058
Dean Foods Co 124 4,991 275 11,069 958 38,559
Dole Food Inc 146 3,677 425 10,705 1,234 31,081
Earthgrains Co 56 1,351 257 6,200 586 14,137
Fleming Co Inc 2 24 256 3,088 702 8,468
Flowers Industries Inc 309 4,886 962 15,212 2,219 35,088
Food Lion Inc Class A 600 4,744 1,800 14,231 4,320 34,155
Food Lion Inc Class B 1,200 9,675 2,264 18,253 4,958 39,974
General Mills Inc 155 12,981 667 55,861 2,240 187,600
Great Atlantic & Pacific Tea Co 59 2,072 278 9,765 617 21,672
Hannaford Brothers Co 236 16,933 205 14,709 628 45,059
Heinz (H J) Co 115 5,369 1,938 90,480 5,260 245,576
Hershey Foods Corp 159 8,516 590 31,602 2,068 110,767
Hormel Foods Corp 200 8,050 416 16,744 1,040 41,860
IBP Inc 332 7,615 886 20,323 1,636 37,526
Imperial Sugar Co 0 -- 0 -- 117 717
International Home Foods Inc + 0 -- 152 3,040 701 14,020
International Multifoods Corp 0 -- 0 -- 240 5,445
Interstate Bakeries Corp 0 -- 328 7,851 952 22,788
Keebler Foods Co + 200 5,963 88 2,623 175 5,217
Kellogg Co 246 8,748 1,874 66,644 5,946 211,455
Koninklijke Ahold NV ADR (Netherlands) 2,362 84,442 8,403 300,407 19,860 709,995
Kroger Co + 362 8,371 4,342 100,409 13,020 301,087
Lancaster Colony Corp 107 3,518 231 7,594 681 22,388
Lance Inc 0 -- 0 -- 419 5,447
Lone Star Steakhouse & Saloon + 300 2,288 352 2,684 714 5,444
Luby's Cafeteria Inc 45 602 193 2,581 421 5,631
McCormick & Co Inc 188 6,016 792 25,344 1,451 46,432
McDonald's Corp 1,358 56,187 8,400 347,550 22,112 914,884
Michael Foods Inc 0 -- 0 -- 201 5,565
Morrison Management Specialist 128 3,008 58 1,363 188 4,418
Nabisco Group Holdings Corp 370 6,568 1,903 33,778 5,245 93,099
Nabisco Holdings Corp Class A 100 3,931 76 2,988 363 14,270
NPC International Inc + 0 -- 0 -- 328 3,710
<CAPTION>
LifePath 2030 LifePath 2040
-------------------------- ---------------------------
Shares Value Shares Value
- -----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
ENVIRONMENTAL CONTROL
Percent of Net Assets 0.01% 0.02%
Allied Waste Industries Inc + 2,150 27,412 4,923 62,768
Republic Services Inc Class A + 100 1,087 300 3,262
Safety-Kleen Corp + 773 9,856 1,413 18,016
------------- --------------
TOTAL ENVIRONMENTAL CONTROL
- VALUE $ 38,355 $ 84,046
- COST $ 66,120 $ 143,754
FOOD & RELATED
Percent of Net Assets 2.66% 3.35%
Albertson's Inc 5,796 277,846 12,453 596,966
Archer-Daniels-Midland Co 8,685 112,906 18,325 238,230
Aurora Foods Inc + 200 3,375 300 5,062
Bestfoods 3,456 169,776 8,219 403,758
Bob Evans Farms Inc 421 8,578 1,204 24,532
Boston Chicken Inc + 700 245 1,100 385
Brinker International Inc + 845 20,280 1,970 47,280
Brown-Forman Corp Class B 840 49,350 1,870 109,863
Campbell Soup Co 5,291 233,796 13,029 575,719
CBRL Group Inc 1,392 18,270 3,213 42,171
CKE Restaurants Inc 686 5,531 1,549 12,489
ConAgra Inc 5,473 134,088 13,446 329,427
Corn Product International Inc 508 16,542 1,308 42,592
Darden Restaurants Inc 1,851 28,922 4,203 65,672
Dave & Buster's Inc + 0 -- 0 --
Dean Foods Co 815 32,804 2,024 81,466
Dole Food Inc 932 23,475 2,307 58,108
Earthgrains Co 479 11,556 1,369 33,027
Fleming Co Inc 526 6,345 1,165 14,053
Flowers Industries Inc 1,875 29,648 4,241 67,061
Food Lion Inc Class A 3,418 27,024 8,391 66,342
Food Lion Inc Class B 4,453 35,902 9,874 79,609
General Mills Inc 1,722 144,217 4,527 379,136
Great Atlantic & Pacific Tea Co 607 21,321 817 28,697
Hannaford Brothers Co 572 41,041 1,437 103,105
Heinz (H J) Co 4,212 196,648 10,491 489,799
Hershey Foods Corp 1,639 87,789 4,283 229,408
Hormel Foods Corp 961 38,680 2,285 91,971
IBP Inc 2,270 52,068 4,593 105,352
Imperial Sugar Co 184 1,127 0 --
International Home Foods Inc + 514 10,280 1,413 28,260
International Multifoods Corp 0 -- 0 --
Interstate Bakeries Corp 871 20,850 2,120 50,748
Keebler Foods Co + 793 23,641 1,666 49,668
Kellogg Co 4,820 171,411 11,918 423,834
Koninklijke Ahold NV ADR (Netherlands) 17,404 622,193 38,407 1,373,050
Kroger Co + 10,068 232,822 23,918 553,104
Lancaster Colony Corp 657 21,599 1,659 54,540
Lance Inc 0 -- 0 --
Lone Star Steakhouse & Saloon + 546 4,163 895 6,824
Luby's Cafeteria Inc 329 4,400 649 8,680
McCormick & Co Inc 1,233 39,456 2,963 94,816
McDonald's Corp 18,664 772,223 39,838 1,648,297
Michael Foods Inc 0 -- 0 --
Morrison Management Specialist 118 2,773 228 5,358
Nabisco Group Holdings Corp 4,416 78,384 13,613 241,631
Nabisco Holdings Corp Class A 168 6,604 230 9,042
NPC International Inc + 253 2,862 0 --
</TABLE>
16
<PAGE>
MASTER INVESTMENT PORTFOLIO -- LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
-------------------------- ------------------------ --------------------
Shares Value Shares Value Shares Value
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Outback Steakhouse Inc + 100 2,963 692 20,500 1,215 35,994
Pioneer Hi Bred International Inc 245 9,586 1,142 44,681 3,220 125,983
Planet Hollywood International + 0 -- 176 44 438 109
Quaker Oats Co 102 6,815 513 34,275 1,920 128,280
Ralston-Purina Group 95 2,613 1,598 43,945 5,011 137,802
Richfood Holdings Inc 0 -- 440 8,057 0 --
Ruby Tuesday Inc 384 6,960 176 3,190 563 10,204
Ryans Family Steak House + 119 1,153 454 4,398 987 9,562
Safeway Inc + 1,598 74,407 3,243 151,002 7,060 328,731
Sara Lee Corp 551 12,225 4,446 98,646 13,659 303,059
Sbarro Inc + 0 -- 0 -- 280 7,700
Shoney's Inc + 97 206 325 691 758 1,611
Sizzler International Inc + 254 635 0 -- 480 1,200
Smucker (J M) Co Class A 305 7,015 0 -- 382 8,786
Starbucks Corp + 800 18,300 1,736 39,711 3,156 72,193
Suiza Foods Corp + 200 6,375 152 4,845 501 15,969
Super Value Inc 86 1,935 641 14,422 1,998 44,955
Sysco Corp 50 1,631 1,679 54,777 5,095 166,224
Tootsie Roll Industries 449 15,350 215 7,350 490 16,752
Tricon Global Restaurants + 71 2,884 510 20,719 2,085 84,703
Tyson Food Inc Class A 391 6,280 583 9,364 1,337 21,476
U.S. Foodservice + 100 2,081 0 -- 400 8,325
Unilever NV 2,645 182,174 9,250 637,094 23,607 1,625,932
Universal Corp 181 5,136 528 14,982 911 25,850
Universal Foods Corp 358 7,563 463 9,781 717 15,147
UST Inc 72 2,282 698 22,118 2,873 91,038
Vlasic Foods International Inc + 80 590 318 2,345 829 6,114
Weis Markets Inc 200 7,088 176 6,237 63 2,233
Wendy's International Inc 141 3,948 715 20,020 2,044 57,232
Whole Foods Market Inc + 200 7,188 352 12,650 701 25,192
Winn-Dixie Stores Inc 146 4,964 849 28,866 2,563 87,142
Wrigley (W M) Jr Co 134 10,494 529 41,427 1,784 139,710
-------------- ------------- -----------
TOTAL FOOD & RELATED
- VALUE $ 801,405 $ 3,061,174 $ 8,234,330
- COST $ 662,252 $ 2,523,729 $ 6,804,294
FURNITURE & APPLIANCES
Percent of Net Assets 0.08% 0.16% 0.24%
Bassett Furniture Industries 25 509 44 897 175 3,566
Champion Enterprises Inc + 0 -- 0 -- 100 850
Ethan Allen Interiors Inc 300 8,756 278 8,114 1,001 29,217
Furniture Brands International + 0 -- 100 2,006 300 6,019
HON Industries Inc 6 141 651 15,339 1,399 32,964
Hussmann International Inc 32 544 385 6,545 898 15,266
Knoll Inc + 0 -- 176 4,708 263 7,035
Leggett & Platt Inc 816 18,054 1,900 42,037 3,348 74,075
Maytag Corp 96 6,012 434 27,179 1,189 74,461
Miller (Herman) Inc 376 8,860 979 23,068 2,476 58,341
National Presto Industries Inc 0 -- 0 -- 102 3,991
Newell Rubbermaid Inc 205 8,405 1,387 56,867 4,507 184,787
Pioneer Corp ADR 1,592 28,258 6,817 121,002 17,194 305,194
Skyline Corp 20 555 39 1,082 195 5,411
Sunbeam Oster Co Inc + 300 1,856 1,056 6,534 2,028 12,548
Whirlpool Corp 73 5,160 480 33,930 1,130 79,877
-------------- ------------ -------------
TOTAL FURNITURE & APPLIANCES
- VALUE $ 87,110 $ 349,308 $ 893,602
- COST $ 76,081 $ 329,851 $ 844,767
<CAPTION>
LifePath 2030 LifePath 2040
-------------------------- ---------------------------
Shares Value Shares Value
- -----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Outback Steakhouse Inc + 1,139 33,743 2,782 82,417
Pioneer Hi Bred International Inc 2,714 106,185 6,773 264,994
Planet Hollywood International + 357 89 530 133
Quaker Oats Co 1,510 100,887 4,084 272,862
Ralston-Purina Group 3,570 98,175 9,139 251,323
Richfood Holdings Inc 536 9,815 883 16,170
Ruby Tuesday Inc 355 6,434 784 14,210
Ryans Family Steak House + 706 6,839 1,018 9,862
Safeway Inc + 5,953 277,187 11,589 539,613
Sara Lee Corp 10,826 240,202 26,534 588,723
Sbarro Inc + 196 5,390 0 --
Shoney's Inc + 632 1,343 1,252 2,661
Sizzler International Inc + 384 960 0 --
Smucker (J M) Co Class A 295 6,785 0 --
Starbucks Corp + 2,736 62,586 9,108 208,346
Suiza Foods Corp + 514 16,384 1,402 44,689
Super Value Inc 1,773 39,892 3,466 77,985
Sysco Corp 3,893 127,009 9,744 317,898
Tootsie Roll Industries 301 10,290 904 30,906
Tricon Global Restaurants + 1,712 69,550 4,472 181,675
Tyson Food Inc Class A 926 14,874 4,709 75,638
U.S. Foodservice + 200 4,162 400 8,325
Unilever NV 20,283 1,396,992 44,884 3,091,386
Universal Corp 887 25,169 2,112 59,928
Universal Foods Corp 673 14,217 1,249 26,385
UST Inc 2,315 73,357 5,401 171,144
Vlasic Foods International Inc + 749 5,524 1,792 13,216
Weis Markets Inc 268 9,497 318 11,269
Wendy's International Inc 1,753 49,084 3,786 106,008
Whole Foods Market Inc + 625 22,461 1,425 51,211
Winn-Dixie Stores Inc 2,090 71,060 4,326 147,084
Wrigley (W M) Jr Co 1,179 92,330 3,524 275,973
-------------- ---------------
TOTAL FOOD & RELATED
- VALUE $ 6,841,283 $ 15,811,166
- COST $ 5,738,446 $ 14,221,014
FURNITURE & APPLIANCES
Percent of Net Assets 0.29% 0.36%
Bassett Furniture Industries 107 2,180 182 3,708
Champion Enterprises Inc + 0 -- 188 1,598
Ethan Allen Interiors Inc 1,071 31,260 2,119 61,848
Furniture Brands International + 100 2,006 200 4,013
HON Industries Inc 968 22,808 2,435 57,375
Hussmann International Inc 712 12,104 1,453 24,701
Knoll Inc + 268 7,169 630 16,853
Leggett & Platt Inc 3,054 67,570 9,339 206,625
Maytag Corp 1,044 65,381 2,459 153,995
Miller (Herman) Inc 2,146 50,565 4,640 109,330
National Presto Industries Inc 72 2,817 0 --
Newell Rubbermaid Inc 3,626 148,666 8,164 334,724
Pioneer Corp ADR 14,037 249,157 29,956 531,719
Skyline Corp 70 1,943 117 3,247
Sunbeam Oster Co Inc + 1,975 12,220 4,375 27,070
Whirlpool Corp 988 69,839 1,929 136,356
-------------- ---------------
TOTAL FURNITURE & APPLIANCES
- VALUE $ 745,685 $ 1,673,162
- COST $ 700,312 $ 1,661,969
</TABLE>
17
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investment
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
--------------------- ------------------ ------------------
Shares Value Shares Value Shares Value
- ---------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
HEALTHCARE
Percent of Net Assets 0.16% 0.19% 0.28%
Apria Healthcare Group Inc + 500 8,438 528 8,910 701 11,829
Beverly Enterprises Inc + 575 2,875 1,360 6,800 2,642 13,210
Cardinal Health Inc 721 45,964 1,932 123,165 4,873 310,654
First Health Group Corp + 468 10,091 962 20,743 1,806 38,942
HCR Manor Care Inc + 101 1,976 651 12,735 1,834 35,878
Healthsouth Corp + 500 4,094 2,510 20,551 6,837 55,978
Idexx Laboratories Inc + 400 6,800 440 7,480 701 11,917
Lifepoint Hospital Inc + 34 235 141 969 582 4,001
Lincare Holdings Inc + 0 -- 340 8,967 601 15,851
McKesson HBOC Inc 655 20,387 2,062 64,180 4,257 132,499
Mid Atlantic Medical Services + 400 3,375 440 3,712 714 6,024
Novacare Inc + 0 -- 0 -- 954 1,073
Oakley Inc + 600 3,675 528 3,234 1,152 7,056
Oxford Health Plans Inc + 400 6,200 780 12,090 1,665 25,808
PacifiCare Health Systems Inc Class A + 286 17,160 222 13,320 1,051 63,060
St Jude Medical Inc + 132 4,785 461 16,711 1,410 51,113
Total Renal Care Holdings Inc + 0 -- 980 7,901 100 806
Triad Hospitals Inc + 34 380 241 2,696 582 6,511
United Healthcare Corp 267 16,237 1,254 76,259 3,309 201,229
Universal Health Services Inc + 200 6,675 152 5,073 501 16,721
Varian Medical Systems Inc 177 3,828 431 9,320 820 17,733
Vencor Inc + 500 40 616 49 1,315 105
Ventas Inc 500 1,906 792 3,020 1,590 6,062
---------- ---------- ------------
TOTAL HEALTHCARE
- VALUE $ 165,121 $ 427,885 $ 1,034,060
- COST $ 210,258 $ 558,572 $ 1,176,956
HOSPITAL & MEDICAL SUPPLIES
Percent of Net Assets 0.27% 0.77% 1.25%
Amerisource Health Corp Class A + 0 -- 100 2,581 300 7,744
Arrow International Inc 0 -- 88 2,552 0 --
Bard (C R) Inc 43 2,005 435 20,282 793 36,974
Bausch & Lomb Inc 46 3,039 461 30,455 725 47,895
Baxter International Inc 205 13,748 1,422 95,363 4,350 291,722
Becton Dickinson & Co 78 2,194 1,524 42,862 3,972 111,713
Biomet Inc 112 4,004 576 20,592 1,631 58,308
Boston Scientific Corp + 212 7,195 1,811 61,461 5,747 195,039
Columbia/HCA Healthcare Corp 650 16,006 4,084 100,569 10,471 257,848
Dentsply International Inc 200 4,963 516 12,803 952 23,622
Genzyme Surgical Products + 22 144 124 806 59 384
Guidant Corp 157 9,214 1,538 90,261 4,674 274,305
Health Management Associates Inc Class A+ 962 7,696 1,995 15,960 4,264 34,112
Hillenbrand Industries Inc 200 5,700 328 9,348 689 19,637
Johnson & Johnson 903 92,332 6,715 686,609 19,966 2,041,524
Mallinckrodt Group Inc 77 2,469 459 14,717 1,018 32,640
Medpartners Inc + 710 4,970 1,662 11,634 3,636 25,452
Medtronic Inc 861 67,373 3,999 312,922 9,089 711,214
PE Corp-Celera Genomics Group + 9 259 193 5,549 397 11,414
PE Corp-PE Biosystems Group 38 2,615 472 32,480 1,288 88,631
Phycor Inc + 300 1,219 704 2,860 1,546 6,281
Quorum Health Group Inc + 50 441 584 5,147 1,164 10,258
Safeskin Corp + 100 794 516 4,096 1,252 9,938
STERIS Corp + 200 2,513 780 9,799 1,678 21,080
Stryker Corp 348 20,054 710 40,914 1,387 79,926
Sybron International Corp + 400 10,300 944 24,308 1,841 47,406
Tenet Healthcare Corp + 334 5,824 1,952 34,038 5,033 87,763
Thermo Cardiosystems Inc + 150 1,256 220 1,842 263 2,203
<CAPTION>
LifePath 2030 LifePath 2040
-------------------------------------------------
Shares Value Shares Value
- ------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
HEALTHCARE
Percent of Net Assets 0.33% 0.43%
Apria Healthcare Group Inc 714 12,049 1,248 21,060
Beverly Enterprises Inc 2,459 12,295 5,535 27,675
Cardinal Health Inc 3,834 244,418 10,677 680,659
First Health Group Corp 1,700 36,656 3,694 79,652
HCR Manor Care Inc 1,517 29,676 4,512 88,266
Healthsouth Corp 5,824 47,684 11,705 95,835
Idexx Laboratories Inc 536 9,112 983 16,711
Lifepoint Hospital Inc 436 2,998 1,107 7,611
Lincare Holdings Inc 514 13,557 1,400 36,925
McKesson HBOC Inc 3,803 118,368 9,179 285,696
Mid Atlantic Medical Services 446 3,763 1,248 10,530
Novacare Inc 734 826 0 --
Oakley Inc 814 4,986 1,160 7,105
Oxford Health Plans Inc 1,596 24,738 3,268 50,654
PacifiCare Health Systems Inc Class A 667 40,020 1,369 82,140
St Jude Medical Inc 1,024 37,120 2,125 77,031
Total Renal Care Holdings Inc 0 -- 188 1,516
Triad Hospitals Inc 536 5,997 1,107 12,385
United Healthcare Corp 2,517 153,065 5,812 353,442
Universal Health Services Inc 514 17,155 1,313 43,821
Varian Medical Systems Inc 795 17,192 1,659 35,876
Vencor Inc 1,053 84 2,185 175
Ventas Inc 1,511 5,761 3,280 12,505
------------ -----------
TOTAL HEALTHCARE
- VALUE $ 837,520 $ 2,027,270
- COST $ 1,008,492 $ 2,414,007
HOSPITAL & MEDICAL SUPPLIES
Percent of Net Assets 1.50% 1.95%
Amerisource Health Corp Class A 100 2,581 200 5,163
Arrow International Inc 0 -- 177 5,133
Bard (C R) Inc 887 41,356 1,551 72,315
Bausch & Lomb Inc 765 50,538 1,415 93,478
Baxter International Inc 3,316 222,379 8,243 552,796
Becton Dickinson & Co 3,040 85,500 8,035 225,984
Biomet Inc 1,347 48,155 3,280 117,260
Boston Scientific Corp 4,739 160,830 11,448 388,517
Columbia/HCA Healthcare Corp 8,797 216,626 18,944 466,496
Dentsply International Inc 871 21,612 2,196 54,488
Genzyme Surgical Products 165 1,072 243 1,580
Guidant Corp 3,434 201,533 8,751 513,574
Health Management Associates Inc Class A 3,476 27,808 11,590 92,720
Hillenbrand Industries Inc 604 17,214 2,273 64,781
Johnson & Johnson 16,149 1,651,235 38,900 3,977,525
Mallinckrodt Group Inc 890 28,536 1,867 59,861
Medpartners Inc 3,628 25,396 7,544 52,808
Medtronic Inc 8,417 658,630 20,154 1,577,051
PE Corp-Celera Genomics Group 374 10,753 843 24,236
PE Corp-PE Biosystems Group 1,096 75,419 2,774 190,886
Phycor Inc 1,573 6,390 3,436 13,959
Quorum Health Group Inc 948 8,354 2,243 19,766
Safeskin Corp 971 7,707 2,308 18,320
STERIS Corp 1,607 20,188 3,368 42,311
Stryker Corp 1,039 59,872 3,986 229,693
Sybron International Corp 2,289 58,942 5,299 136,449
Tenet Healthcare Corp 4,024 70,169 9,000 156,938
Thermo Cardiosystems Inc 268 2,245 498 4,171
</TABLE>
18
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
------------------------- ------------------------- --------------------------
Shares Value Shares Value Shares Value
- --------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Visx Inc + 0 -- 100 9,050 300 27,131
Waters Corp + 0 -- 504 33,232 1,502 99,038
----------- ------------- -------------
TOTAL HOSPITAL & MEDICAL SUPPLIES
- VALUE $ 288,327 $ 1,735,092 $ 4,661,202
- COST $ 225,935 $ 1,282,958 $ 3,351,519
HOUSEHOLD PRODUCTS
Percent of Net Assets 0.21% 0.58% 1.06%
Alberto-Culver Co Class B 92 2,340 455 11,574 695 17,679
Avon Products Inc 80 3,510 1,409 61,820 3,911 171,595
Blyth Industries Inc + 0 -- 0 -- 100 2,831
Colgate-Palmolive Co 668 35,738 3,016 161,356 9,138 488,883
Dial Corp 436 12,099 926 25,697 1,877 52,087
Estee Lauder Co Class A 300 13,781 152 6,983 502 23,061
Gillette Co 837 39,025 5,502 256,531 16,358 762,692
International Specialty Products Inc + 0 -- 276 2,605 363 3,426
Kimberly-Clark Corp 346 19,700 2,614 148,835 8,168 465,066
NCH Corp 0 -- 0 -- 109 4,851
Procter & Gamble Co 988 98,059 6,404 635,597 19,693 1,954,530
----------- ------------ -------------
TOTAL HOUSEHOLD PRODUCTS
- VALUE $ 224,252 $ 1,310,998 $ 3,946,701
- COST $ 166,188 $ 908,446 $ 2,747,395
INSURANCE
Percent of Net Assets 0.90% 1.82% 2.76%
20th Century Industries 0 -- 1,044 19,575 2,016 37,800
Aegon NV ADR (Netherlands) 116 10,070 785 68,148 2,766 240,123
Aetna Inc 154 11,974 835 64,921 2,268 176,337
AFLAC Corp 1,392 62,553 2,877 129,285 4,738 212,914
Alleghany Corp + 2 362 104 18,798 106 19,160
Allied Zurich PLC ADR 2,120 52,668 8,258 205,158 17,502 434,813
Allmerica Financial Corp 24 1,356 630 35,595 1,384 78,196
Allstate Corp 924 30,319 5,012 164,456 13,421 440,377
American Financial Group Inc 304 8,968 143 4,219 688 20,296
American General Corp 226 16,046 1,618 114,878 4,132 293,372
American International Group Inc 1,515 140,422 8,337 772,736 24,707 2,290,030
American National Insurance Co 100 7,000 88 6,160 163 11,410
Aon Corp 254 8,477 1,543 51,481 3,979 132,782
Argonaut Group Inc 0 -- 88 2,222 0 --
Axa-UAP ADR (France) 1,875 117,422 5,908 369,989 14,497 907,875
Berkshire Hathaway Inc Class A + 0 -- 2 128,400 4 256,800
Berkshire Hathaway Inc Class B + 9 18,027 3 6,009 21 42,063
Chubb Corp 195 11,152 954 54,557 2,763 158,009
CIGNA Corp 217 19,489 1,263 113,433 3,481 312,637
Cincinnati Financial Corp 120 4,755 968 38,357 2,830 112,139
CNA Financial Corp + 200 7,275 76 2,765 151 5,493
Conseco Inc 302 7,248 1,872 44,928 5,011 120,264
Equitable Co Inc 300 18,525 1,056 65,208 1,865 115,164
Everest Reinsurance Holdings Inc 100 2,775 416 11,544 1,040 28,860
First American Financial Corp 100 1,488 516 7,676 1,240 18,445
Foundation Health Systems + 391 4,985 1,443 18,398 2,702 34,451
Fremont General Corporation 300 2,981 704 6,996 1,327 13,187
Hartford Financial Services Group 192 8,724 1,457 66,202 3,800 172,663
Hartford Life Class A 0 -- 0 -- 100 4,344
Highlands Insurance Group + 37 315 67 570 151 1,284
Horace Mann Educators Corp 300 9,038 616 18,557 1,240 37,355
HSB Group Inc 345 12,830 170 6,322 556 20,676
Humana Inc + 177 1,604 1,000 9,063 2,672 24,215
Jefferson-Pilot Corp 140 9,345 618 41,252 1,695 113,141
Leucadia National Corp 0 -- 328 6,950 952 20,171
<CAPTION>
LifePath 2030 LifePath 2040
----------------------------- -----------------------------
Shares Value Shares Value
- -------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Visx Inc + 100 9,050 200 18,088
Waters Corp + 1,250 82,422 200 13,188
-------------- ---------------
TOTAL HOSPITAL & MEDICAL SUPPLIES
- VALUE $ 3,872,512 $ 9,189,535
- COST $ 2,806,417 $ 6,792,960
HOUSEHOLD PRODUCTS
Percent of Net Assets 1.25% 1.64%
Alberto-Culver Co Class B 772 19,638 1,429 36,350
Avon Products Inc 3,130 137,329 7,569 332,090
Blyth Industries Inc + 100 2,831 100 2,831
Colgate-Palmolive Co 6,882 368,187 16,816 899,656
Dial Corp 2,314 64,213 5,306 147,242
Estee Lauder Co Class A 950 43,641 2,074 95,274
Gillette Co 13,123 611,860 32,147 1,498,854
International Specialty Products Inc + 268 2,529 818 7,720
Kimberly-Clark Corp 6,652 378,748 15,826 901,093
NCH Corp 79 3,515 0 --
Procter & Gamble Co 16,022 1,590,183 38,476 3,818,743
-------------- ---------------
TOTAL HOUSEHOLD PRODUCTS
- VALUE $ 3,222,674 $ 7,739,853
- COST $ 2,330,647 $ 5,747,403
INSURANCE
Percent of Net Assets 3.37% 4.03%
20th Century Industries 1,864 34,950 188 3,525
Aegon NV ADR (Netherlands) 1,733 150,446 3,397 294,902
Aetna Inc 2,001 155,578 4,309 335,025
AFLAC Corp 4,348 195,388 9,581 430,546
Alleghany Corp + 106 19,159 10 1,808
Allied Zurich PLC ADR 16,798 417,323 30,471 757,009
Allmerica Financial Corp 1,114 62,941 951 53,732
Allstate Corp 11,171 366,548 24,089 790,420
American Financial Group Inc 700 20,650 1,737 51,242
American General Corp 3,466 246,086 7,268 516,028
American International Group Inc 19,687 1,824,739 49,262 4,565,972
American National Insurance Co 368 25,760 330 23,100
Aon Corp 3,458 115,394 7,221 241,001
Argonaut Group Inc 179 4,520 265 6,691
Axa-UAP ADR (France) 12,278 768,910 27,460 1,719,683
Berkshire Hathaway Inc Class A + 4 256,800 8 513,600
Berkshire Hathaway Inc Class B + 4 8,012 19 38,057
Chubb Corp 2,320 132,675 4,842 276,902
CIGNA Corp 2,936 263,690 6,150 552,347
Cincinnati Financial Corp 2,205 87,373 4,815 190,794
CNA Financial Corp + 514 18,697 1,402 50,998
Conseco Inc 4,155 99,720 8,925 214,200
Equitable Co Inc 1,964 121,277 3,963 244,715
Everest Reinsurance Holdings Inc 871 24,170 2,196 60,939
First American Financial Corp 961 14,295 200 2,975
Foundation Health Systems + 2,522 32,155 5,571 71,030
Fremont General Corporation 1,150 11,428 2,473 24,575
Hartford Financial Services Group 3,156 143,401 6,700 304,431
Hartford Life Class A 100 4,344 100 4,344
Highlands Insurance Group + 121 1,028 191 1,624
Horace Mann Educators Corp 1,161 34,975 2,685 80,886
HSB Group Inc 546 20,304 1,428 53,104
Humana Inc + 2,207 20,001 4,345 39,377
Jefferson-Pilot Corp 1,492 99,591 2,984 199,182
Leucadia National Corp 871 18,454 2,108 44,663
</TABLE>
19
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
-------------------------- ----------------------- ----------------------------
Shares Value Shares Value Shares Value
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Lincoln National Corp 248 11,625 1,242 58,219 3,288 154,125
Loews Corp 135 10,598 733 57,541 1,847 144,990
Marsh & McLennan Companies Inc 220 16,019 1,477 107,544 4,230 307,997
MBIA Inc 94 4,876 624 32,370 1,732 89,848
Mercury General Corp 200 6,050 152 4,598 501 15,155
Mony Group Inc 0 -- 0 -- 200 5,600
Ohio Casualty Corp 500 7,688 404 6,212 1,102 16,943
Old Republic International Corp 525 8,138 1,406 21,793 3,124 48,422
PMI Group Inc 150 6,375 228 9,690 621 26,393
Progressive Corp Ohio 75 7,650 425 43,350 1,044 106,488
Protection One Inc + 0 -- 100 350 200 700
Protective Life Corp 100 2,975 692 20,587 1,302 38,735
Providian Financial Corp 177 13,740 567 44,013 2,018 156,647
Radian Group Inc 100 4,631 264 12,227 526 24,360
Reinsurance Group Of America 0 -- 528 16,896 0 --
Reliance Group Holdings 100 475 792 3,762 1,778 8,446
Reliastar Financial Corp 400 18,025 1,056 47,586 1,865 84,042
SAFECO Corp 156 5,558 843 30,032 2,207 78,624
St Paul Co 164 5,258 1,470 47,132 3,868 124,018
Tokio Marine & Fire Insurance Co ADR 2,818 166,262 11,360 670,240 28,386 1,674,774
(Japan)
Torchmark Corp 142 4,047 832 23,712 2,306 65,721
Transatlantic Holdings Inc 126 9,088 220 15,868 366 26,398
Travelers Property Casualty 0 -- 188 6,674 300 10,650
Trigon Healthcare Inc + 0 -- 328 11,911 200 7,263
UICI + 200 5,225 528 13,893 877 23,076
Unitrin Inc 300 10,781 604 21,706 1,302 46,791
Unumprovident Corp 279 10,061 1,654 59,647 3,819 137,723
Wellpoint Health Networks + 0 -- 340 24,778 51 3,717
------------- ------------- --------------
TOTAL INSURANCE
- VALUE $ 943,338 $ 4,087,139 $ 10,334,492
- COST $ 746,743 $ 3,260,074 $ 7,940,246
LODGING
Percent of Net Assets 0.03% 0.06% 0.09%
Choice Hotels International Inc + 59 959 444 7,215 1,069 17,371
Extended Stay America Inc + 400 3,600 880 7,920 1,765 15,885
Hilton Hotels Corp 164 2,009 1,211 14,835 3,592 44,002
Homestead Village Property Inc + 75 183 76 185 188 458
Interstate Hotels Corp + 25 91 63 228 214 776
Marriott International 306 10,481 1,312 44,936 3,535 121,074
Park Place Entertainment Corp + 464 5,249 1,813 20,510 4,986 56,404
Promus Hotel Corp + 341 9,910 984 28,598 1,765 51,295
Sodexho Marriott Services Inc + 44 622 21 297 315 4,449
Sunburst Hospitality Corp + 19 115 147 891 422 2,558
Wyndham International Class A + 751 2,675 1,911 6,808 3,624 12,911
------------ ------------ -------------
TOTAL LODGING
- VALUE $ 35,894 $ 132,423 $ 327,183
- COST $ 44,065 $ 165,304 $ 368,560
MACHINERY
Percent of Net Assets 0.23% 0.40% 0.61%
AGCO Corp 300 3,094 792 8,168 1,590 16,397
AVX Corp 200 5,988 164 4,910 426 12,753
Black & Decker Corp 116 6,105 516 27,155 1,422 74,833
Case Corp 43 2,123 479 23,651 1,068 52,733
Caterpillar Inc 320 18,120 2,209 125,085 6,030 341,449
Cummins Engine Co Inc 25 1,481 288 17,064 631 37,387
Deere & Co 189 7,347 1,694 65,854 4,245 165,024
Federal Mogul Corp 296 13,505 516 23,543 811 37,002
Flowserve Corp 200 3,163 528 8,349 1,152 18,216
<CAPTION>
LifePath 2030 LifePath 2040
------------------------------- -----------------------------
Shares Value Shares Value
- -------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Lincoln National Corp 2,670 125,156 5,722 268,219
Loews Corp 1,597 125,364 3,333 261,641
Marsh & McLennan Companies Inc 3,453 251,422 7,300 531,531
MBIA Inc 1,400 72,625 2,610 135,394
Mercury General Corp 514 15,548 1,225 37,056
Mony Group Inc 100 2,800 200 5,600
Ohio Casualty Corp 928 14,268 2,704 41,574
Old Republic International Corp 2,724 42,222 6,138 95,139
PMI Group Inc 504 21,420 1,522 64,685
Progressive Corp Ohio 938 95,676 2,041 208,182
Protection One Inc + 0 -- 200 700
Protective Life Corp 1,139 33,885 2,826 84,074
Providian Financial Corp 1,519 117,912 4,230 328,354
Radian Group Inc 536 24,823 1,248 57,798
Reinsurance Group Of America 0 -- 100 3,200
Reliance Group Holdings 1,518 7,210 3,456 16,416
Reliastar Financial Corp 1,696 76,426 4,681 210,938
SAFECO Corp 1,978 70,466 4,168 148,485
St Paul Co 3,130 100,356 6,818 218,602
Tokio Marine & Fire Insurance Co ADR 22,969 1,355,171 49,308 2,909,172
(Japan)
Torchmark Corp 2,003 57,086 4,094 116,679
Transatlantic Holdings Inc 437 31,519 836 60,297
Travelers Property Casualty 168 5,964 300 10,650
Trigon Healthcare Inc + 100 3,631 200 7,263
UICI + 804 21,155 2,143 56,388
Unitrin Inc 1,228 44,131 2,726 97,966
Unumprovident Corp 3,345 120,629 6,883 248,218
Wellpoint Health Networks + 157 11,441 395 28,786
-------------- ---------------
TOTAL INSURANCE
- VALUE $ 8,669,088 $ 19,012,434
- COST $ 6,663,921 $ 15,568,747
LODGING
Percent of Net Assets 0.11% 0.14%
Choice Hotels International Inc + 720 11,700 1,175 19,094
Extended Stay America Inc + 1,618 14,562 3,745 33,705
Hilton Hotels Corp 2,713 33,234 7,203 88,237
Homestead Village Property Inc + 201 490 266 648
Interstate Hotels Corp + 206 747 331 1,200
Marriott International 2,866 98,160 6,922 237,079
Park Place Entertainment Corp + 3,659 41,392 9,168 103,713
Promus Hotel Corp + 2,222 64,577 4,556 132,409
Sodexho Marriott Services Inc + 241 3,404 1,081 15,269
Sunburst Hospitality Corp + 340 2,061 458 2,777
Wyndham International Class A + 3,287 11,710 7,531 26,829
------------- --------------
TOTAL LODGING
- VALUE $ 282,037 $ 660,960
- COST $ 345,014 $ 816,050
MACHINERY
Percent of Net Assets 0.74% 0.86%
AGCO Corp 1,528 15,758 3,480 35,888
AVX Corp 336 10,059 1,048 31,375
Black & Decker Corp 1,244 65,466 2,629 138,351
Case Corp 1,001 49,424 1,888 93,220
Caterpillar Inc 5,168 292,638 10,594 599,885
Cummins Engine Co Inc 519 30,751 901 53,384
Deere & Co 3,472 134,974 6,910 268,626
Federal Mogul Corp 1,137 51,876 2,720 124,100
Flowserve Corp 982 15,528 2,231 35,278
</TABLE>
20
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
------------------------ ---------------------- -------------------------
Shares Value Shares Value Shares Value
- ----------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Harsco Corp 238 6,590 434 12,016 982 27,189
Ingersoll-Rand Co 172 10,944 1,080 68,715 2,962 188,457
Jacobs Engineering Group + 0 -- 0 -- 327 10,791
Kubota Corp ADR (Japan) 1,034 64,754 4,543 284,505 11,376 712,422
MagneTek Inc + 0 -- 0 -- 322 2,979
Makita Corp ADR (Japan) 1,020 12,368 4,293 52,053 10,709 129,847
McDermott International Inc 46 1,038 436 9,837 773 17,441
Milacron Inc 51 918 337 6,066 587 10,566
Nordson Corp 214 10,519 141 6,931 257 12,633
Pall Corp 13 258 642 12,760 2,160 42,930
Parker Hannifin Corp 138 6,038 637 27,869 1,778 77,788
Pentair Co 200 9,100 240 10,920 756 34,398
Presstek Inc + 200 1,225 352 2,156 451 2,762
SPX Corp + 33 2,797 43 3,644 255 21,611
Tecumseh Products Co Class A 241 13,737 167 9,519 302 17,214
Teleflex Inc 350 16,275 240 11,160 596 27,714
Thermo Electron Corp + 169 2,683 966 15,335 2,761 43,831
UCAR International Inc + 200 4,875 528 12,870 964 23,498
Weatherford International 380 13,538 1,022 36,409 2,120 75,525
York International Corp 202 8,307 258 10,610 1,004 41,290
------------ ----------- -------------
TOTAL MACHINERY
- VALUE $ 246,890 $ 897,154 $ 2,276,680
- COST $ 253,996 $ 840,156 $ 2,197,551
MANUFACTURING
Percent of Net Assets 0.08% 0.21% 0.35%
Carlisle Corp 200 8,000 152 6,080 501 20,040
Tyco International Ltd 737 74,689 4,477 453,576 12,663 1,282,920
West Teleservices + 0 -- 0 -- 0 --
------------ ----------- -------------
TOTAL MANUFACTURING
- VALUE $ 82,689 $ 459,656 $ 1,302,960
- COST $ 40,683 $ 241,234 $ 709,079
METAL FABRICATORS
Percent of Net Assets 0.15% 0.32% 0.49%
Alcan Aluminum Ltd 178 5,835 1,540 50,628 3,930 129,199
Allegheny Teledyne Inc 183 3,420 1,158 21,640 3,283 61,351
Armco Inc + 111 763 853 5,864 1,843 12,671
Barrick Gold Corp 423 8,196 2,288 44,330 5,937 115,029
Battle Mountain Gold Co + 147 257 1,307 2,287 3,736 6,538
Bethlehem Steel Corp + 117 899 593 4,559 2,256 17,343
British Steel PLC ADR (UK) 518 13,436 1,572 40,774 4,042 104,839
Crane Co 120 2,888 507 12,200 1,017 24,472
Engelhard Corp 0 -- 756 15,073 2,406 47,970
Freeport McMoRan Inc 16 257 647 10,392 2,748 44,140
Howmet International Inc + 0 -- 76 1,359 251 4,487
Kaydon Corp 0 -- 0 -- 438 13,441
Laboratory Corp of America Holdings + 660 1,898 367 1,055 1,014 2,915
Mitsui & Co Ltd ADR (Japan) 460 64,515 1,875 262,969 4,822 676,286
Nucor Corp 121 5,634 499 23,235 1,446 67,329
Oregon Steel Mills Inc 0 -- 0 -- 262 2,866
Phelps Dodge Corp 66 3,692 420 23,494 770 43,072
Placer Dome Inc 321 3,330 2,072 21,497 4,616 47,891
Precision Castparts Corp 100 3,550 264 9,372 526 18,673
Reynolds Metals Co 49 3,102 476 30,137 974 61,666
Ryerson Tull Inc 207 3,920 381 7,215 1,298 24,581
SKF AB ADR (Sweden) 521 11,820 1,931 43,810 4,677 106,109
Steel Dynamics Inc + 0 -- 264 4,752 526 9,468
Timken Co 142 2,494 370 6,498 820 14,401
<CAPTION>
LifePath 2030 LifePath 2040
---------------------------------- -------------------------------
Shares Value Shares Value
- ------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Harsco Corp 1,012 28,020 2,391 66,201
Ingersoll-Rand Co 2,327 148,055 4,692 298,529
Jacobs Engineering Group + 0 -- 0 --
Kubota Corp ADR (Japan) 9,285 581,473 19,660 1,231,208
MagneTek Inc + 0 -- 0 --
Makita Corp ADR (Japan) 8,797 106,664 18,833 228,350
McDermott International Inc 942 21,254 1,558 35,152
Milacron Inc 462 8,316 855 15,390
Nordson Corp 186 9,143 340 16,713
Pall Corp 1,713 34,046 3,478 69,125
Parker Hannifin Corp 1,428 62,475 3,024 132,300
Pentair Co 609 27,710 1,666 75,803
Presstek Inc + 457 2,799 630 3,859
SPX Corp + 217 18,391 440 37,290
Tecumseh Products Co Class A 222 12,654 381 21,717
Teleflex Inc 593 27,575 1,578 73,377
Thermo Electron Corp + 2,126 33,750 4,891 77,645
UCAR International Inc + 893 21,767 2,143 52,236
Weatherford International 2,013 71,713 3,967 141,324
York International Corp 884 36,355 2,183 89,776
---------------- --------------
TOTAL MACHINERY
- VALUE $ 1,918,634 $ 4,046,102
- COST $ 1,890,405 $ 3,997,863
MANUFACTURING
Percent of Net Assets 0.41% 0.53%
Carlisle Corp 514 20,560 1,313 52,520
Tyco International Ltd 10,318 1,045,342 24,166 2,448,321
West Teleservices + 0 -- 177 1,881
---------------- --------------
TOTAL MANUFACTURING
- VALUE $ 1,065,902 $ 2,502,722
- COST $ 566,188 $ 1,308,354
METAL FABRICATORS
Percent of Net Assets 0.59% 0.70%
Alcan Aluminum Ltd 3,194 105,003 6,302 207,178
Allegheny Teledyne Inc 2,673 49,952 5,658 105,734
Armco Inc + 1,547 10,636 3,646 25,066
Barrick Gold Corp 5,037 97,592 10,524 203,903
Battle Mountain Gold Co + 3,080 5,390 6,616 11,578
Bethlehem Steel Corp + 1,742 13,392 3,579 27,514
British Steel PLC ADR (UK) 3,220 83,519 8,073 209,393
Crane Co 816 19,635 1,922 46,248
Engelhard Corp 1,957 39,018 4,031 80,368
Freeport McMoRan Inc 2,317 37,217 5,171 83,059
Howmet International Inc + 68 1,216 695 12,423
Kaydon Corp 0 -- 0 --
Laboratory Corp of America Holdings + 710 2,041 1,281 3,683
Mitsui & Co Ltd ADR (Japan) 3,934 551,744 8,395 1,177,399
Nucor Corp 1,155 53,780 2,232 103,928
Oregon Steel Mills Inc 178 1,947 0 --
Phelps Dodge Corp 828 46,316 1,572 87,934
Placer Dome Inc 4,385 45,494 8,491 88,094
Precision Castparts Corp 547 19,419 1,160 41,180
Reynolds Metals Co 891 56,411 2,024 128,145
Ryerson Tull Inc 1,132 21,437 2,371 44,901
SKF AB ADR (Sweden) 3,964 89,933 9,561 216,915
Steel Dynamics Inc + 357 6,426 983 17,694
Timken Co 673 11,820 1,649 28,961
</TABLE>
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
------------------ ------------------- ---------------------
Shares Value Shares Value Shares Value
- -------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
USX - U.S. Steel Group 126 3,402 455 12,285 1,529 41,283
WMC Ltd ADR (Japan) 830 14,733 2,937 52,132 7,149 126,895
Worthington Industries Inc 177 2,655 452 6,780 1,645 24,675
---------- ---------- -----------
TOTAL METAL FABRICATORS
- VALUE $ 160,696 $ 714,337 $ 1,849,590
- COST $ 175,391 $ 784,109 $ 2,046,248
OFFICE EQUIPMENT & SUPPLIES
Percent of Net Assets 0.05% 0.09% 0.13%
Ingram Micro Inc Class A + 100 2,525 176 4,444 351 8,863
Ricoh Co Ltd ADR (Japan) 477 42,461 2,099 186,847 5,259 468,142
Standard Register Co 301 8,146 0 -- 379 10,257
---------- ---------- -----------
TOTAL OFFICE EQUIPMENT & SUPPLIES
- VALUE $ 53,132 $ 191,291 $ 487,262
- COST $ 43,326 $ 139,488 $ 347,899
PHARMACEUTICALS
Percent of Net Assets 1.27% 2.88% 4.76%
Abbott Laboratories 1,103 47,843 7,354 318,980 22,416 972,294
Allergan Inc 55 5,493 379 37,853 869 86,791
ALZA Corp + 87 4,383 464 23,374 1,418 71,432
American Home Products Corp 905 37,558 6,353 263,650 19,568 812,072
Amgen Inc + 274 22,793 2,258 187,837 7,590 631,393
Astrazeneca PLC ADR 3,573 140,687 12,905 508,134 27,536 1,084,230
Bergen Brunswig Corp Class A 559 8,630 1,192 18,402 2,234 34,487
Bristol-Myers Squibb Co 1,378 96,977 9,738 685,312 29,334 2,064,380
Centocor Inc + 246 14,729 639 38,260 1,111 66,521
Covance Inc + 190 3,052 411 6,602 902 14,488
Dura Pharmaceuticals Inc + 0 -- 440 5,858 977 13,006
Forest Labs Inc Class A + 264 12,788 639 30,952 1,255 60,789
Glaxo Holdings PLC ADR (UK) 2,860 151,401 9,892 523,658 23,531 1,245,672
ICN Pharmaceuticals Inc 300 6,225 973 20,190 1,907 39,570
Immunex Corp + 400 26,900 656 44,157 1,452 97,738
Interneuron Pharmaceuticals Co + 0 -- 352 528 0 --
IVAX Corp + 1,130 18,645 891 14,702 2,036 33,594
Lilly (Eli) & Co 804 59,999 5,441 406,035 16,348 1,219,970
Marshall & Ilsley Corp 458 26,822 1,079 63,189 2,031 118,940
Merck & Co Inc 1,666 111,934 11,492 772,119 35,190 2,364,328
Millipore Corp 42 1,586 151 5,700 688 25,972
Mylan Laboratories 603 11,947 1,182 23,418 2,348 46,520
Novo Nordisk A/S ADR (Denmark) 1,992 116,034 6,961 405,478 16,436 957,397
Omnicare Inc 300 2,888 944 9,086 1,765 16,988
Perrigo Co + 812 6,445 484 3,842 1,197 9,501
Pfizer Inc 3,205 120,989 18,582 701,471 57,315 2,163,641
Pharmacia and Upjohn Inc 517 27,013 3,010 157,273 8,319 434,668
Rexall Sundown Inc + 100 1,244 628 7,850 1,164 14,550
Schering-Plough Corp 1,081 56,820 7,318 384,652 21,756 1,143,550
Schweitzer-Mauduit International Inc 20 271 81 1,099 188 2,550
Sepracor Inc + 0 -- 352 26,356 100 7,488
SmithKline Beecham PLC ADR (UK) 1,645 104,869 6,095 388,556 14,571 928,901
SouthTrust Corp 906 31,993 1,972 69,636 3,297 116,425
ThermoLase Corp + 0 -- 88 171 0 --
Warner Lambert Co 557 36,901 4,132 273,745 12,556 831,835
Watson Pharmaceutical Inc + 500 17,938 980 35,158 1,890 67,804
Xoma Ltd + 188 858 0 -- 269 1,227
---------- ---------- -----------
TOTAL PHARMACEUTICALS
- VALUE $1,334,655 $6,463,283 $17,800,712
- COST $ 927,308 $4,369,141 $11,812,805
<CAPTION>
LifePath 2030 LifePath 2040
----------------------- ---------------------------
Shares Value Shares Value
--------------------------------------------------------------------------------------------------------
COMMON STOCKS (Continued)
USX - U.S. Steel Group 1,089 29,403 2,087 56,349
WMC Ltd ADR (Japan) 6,295 111,736 14,218 252,370
Worthington Industries Inc 1,224 18,360 2,692 40,380
----------- -----------
TOTAL METAL FABRICATORS
- VALUE $ 1,528,837 $ 3,300,397
- COST $ 1,720,899 $ 3,633,457
OFFICE EQUIPMENT & SUPPLIES
Percent of Net Assets 0.15% 0.18%
Ingram Micro Inc Class A + 357 9,014 718 18,130
Ricoh Co Ltd ADR (Japan) 4,125 367,196 9,083 808,544
Standard Register Co 279 7,550 0 --
----------- -----------
TOTAL OFFICE EQUIPMENT & SUPPLIES
- VALUE $ 383,760 $ 826,674
- COST $ 264,520 $ 541,765
PHARMACEUTICALS
Percent of Net Assets 5.78% 7.47%
Abbott Laboratories 18,169 788,080 44,037 1,910,105
Allergan Inc 793 79,201 1,878 187,565
ALZA Corp + 951 47,907 2,661 134,048
American Home Products Corp 15,980 663,170 38,231 1,586,587
Amgen Inc + 6,012 500,123 14,616 1,215,869
Astrazeneca PLC ADR 25,856 1,018,080 54,799 2,157,711
Bergen Brunswig Corp Class A 2,628 40,570 5,486 84,690
Bristol-Myers Squibb Co 23,860 1,679,148 57,532 4,048,815
Centocor Inc + 1,020 61,073 3,651 218,604
Covance Inc + 583 9,364 1,354 21,749
Dura Pharmaceuticals Inc + 714 9,505 1,602 21,327
Forest Labs Inc Class A + 1,125 54,492 3,804 184,256
Glaxo Holdings PLC ADR (UK) 20,636 1,092,418 46,092 2,439,995
ICN Pharmaceuticals Inc 1,839 38,159 3,763 78,082
Immunex Corp + 1,384 93,161 3,432 231,017
Interneuron Pharmaceuticals Co + 636 954 895 1,343
IVAX Corp + 1,653 27,275 3,429 56,579
Lilly (Eli) & Co 13,042 973,259 31,820 2,374,568
Marshall & Ilsley Corp 1,760 103,070 5,582 326,896
Merck & Co Inc 28,500 1,914,844 69,072 4,640,775
Millipore Corp 486 18,347 1,318 49,754
Mylan Laboratories 2,056 40,735 6,229 123,412
Novo Nordisk A/S ADR (Denmark) 14,464 842,528 32,207 1,876,058
Omnicare Inc 2,043 19,664 4,228 40,695
Perrigo Co + 852 6,763 1,684 13,367
Pfizer Inc 46,909 1,770,815 112,730 4,255,558
Pharmacia and Upjohn Inc 6,899 360,473 14,653 765,619
Rexall Sundown Inc + 893 11,163 2,143 26,788
Schering-Plough Corp 17,563 923,155 42,606 2,239,478
Schweitzer-Mauduit International Inc 157 2,129 310 4,204
Sepracor Inc + 636 47,621 100 7,488
SmithKline Beecham PLC ADR (UK) 12,818 817,148 28,617 1,824,334
SouthTrust Corp 3,039 107,315 8,074 285,113
ThermoLase Corp + 0 -- 365 707
Warner Lambert Co 10,209 676,346 24,412 1,617,295
Watson Pharmaceutical Inc + 1,429 51,265 4,275 153,366
Xoma Ltd + 272 1,241 0 --
----------- -----------
TOTAL PHARMACEUTICALS
- VALUE $14,890,561 $35,203,817
- COST $10,068,126 $24,500,835
</TABLE>
22
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
--------------------- ------------------------- -------------------------
Shares Value Shares Value Shares Value
------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
PUBLISHING
Percent of Net Assets 0.29% 0.46% 0.68%
American Greetings Corp Class A 123 3,406 480 13,290 1,011 27,992
Belo (A H) Corp 312 5,909 750 14,203 1,778 33,671
Central Newspapers Class A 200 8,463 76 3,216 151 6,389
Chris-Craft Industries Inc + 123 6,202 243 12,302 457 23,136
Comcast Corp Class A 580 18,923 4,068 132,719 11,540 376,493
Donnelley (R R) & Sons Co 139 4,361 745 23,374 2,223 69,747
Dow Jones & Co Inc 94 4,724 548 27,537 1,400 70,350
E.W. Scripps Co 200 9,600 264 12,672 514 24,672
Elsevier NV ADR (Netherlands) 2,927 68,419 10,761 251,538 25,206 589,190
Ennis Business Forms Inc 0 -- 0 -- 216 1,917
Gannett Co Inc 408 27,719 1,430 97,151 4,071 276,574
Gibson Greetings Inc + 0 -- 0 -- 314 1,236
Golden Books Family Entertainment Inc + 234 47 0 -- 274 55
Harland (John H) Co 55 1,093 218 4,333 543 10,792
Harte-Hanks Communications Inc 100 2,244 328 7,360 952 21,361
Houghton Mifflin Co 304 14,516 211 10,075 403 19,243
Interpublic Group Co Inc 66 2,615 1,398 55,396 3,870 153,349
Knight-Ridder Inc 124 6,688 562 30,313 1,094 59,008
Lee Enterprises Inc 498 14,286 0 -- 621 17,815
Marvel Entertainment Group Inc + 0 -- 200 30 1,400 210
McGraw-Hill Inc 312 16,127 1,250 64,609 3,160 163,333
Media General Inc Class A 280 13,720 194 9,506 359 17,591
Meredith Corp 82 2,844 404 14,014 721 25,010
Moore Corp Ltd 44 410 438 4,079 1,538 14,323
New York Times Co Class A 162 6,328 1,113 43,477 3,127 122,148
News Corporation Ltd 674 19,757 2,480 72,695 6,004 175,992
Primedia Inc + 0 -- 76 1,050 251 3,467
Readers Digest Association Class A 300 9,375 1,056 33,000 2,028 63,375
Readers Digest Association Class B 200 5,663 264 7,475 263 7,446
Scholastic Inc + 200 7,925 176 6,974 175 6,934
Times Mirror Co Class A 117 6,757 324 18,711 1,084 62,601
Washington Post Co Class B 27 14,553 88 47,432 158 85,162
Workflow Management Inc + 0 -- 107 1,418 223 2,955
Ziff Davis Inc + 0 -- 152 2,347 514 7,935
-------- ---------- ----------
TOTAL PUBLISHING
- VALUE $302,674 $1,022,296 $2,541,472
- COST $264,229 $ 874,102 $2,157,172
REAL ESTATE
Percent of Net Assets 0.17% 0.24% 0.29%
AMB Property Corp REIT 100 2,150 880 18,920 363 7,805
Apartment Investment & Management Co
Class A REIT 0 -- 516 21,156 952 39,032
Archstone Communities Trust REIT 500 10,688 856 18,297 1,753 37,470
Arden Realty Group Inc REIT 100 2,331 792 18,464 1,502 35,015
Boston Properties Inc REIT 0 -- 428 14,258 852 28,382
Camden Property Trust REIT 0 -- 328 9,102 200 5,550
CarrAmercia Realty Corp REIT 100 2,300 240 5,520 1,302 29,946
Castle & Cooke Inc + 215 3,064 120 1,710 294 4,190
Catellus Development Corp + 200 2,738 768 10,512 1,941 26,567
Chicago Title Corp 106 4,803 181 8,202 361 16,358
Cornerstone Properties Inc REIT 300 4,781 1,320 21,038 2,654 42,298
Crestline Capital Corp REIT + 100 1,894 185 3,503 298 5,643
Echelon International Corp + 68 1,420 47 981 84 1,754
Equity Office Properties Trust REIT 90 23,006 2,371 60,609 4,715 120,527
Equity Residential Properties Trust REIT 40 17,600 1,032 45,408 2,391 105,204
Federal Realty Investment Trust 0 -- 0 -- 0 --
Fel Cor Lodging Trust Inc REIT 200 3,588 792 14,207 1,690 30,314
<CAPTION>
LifePath 2030 LifePath 2040
-------------------------- ---------------------------
Shares Value Shares Value
-----------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
PUBLISHING
Percent of Net Assets 0.84% 1.03%
American Greetings Corp Class A 877 24,282 1,955 54,129
Belo (A H) Corp 1,475 27,933 3,592 68,024
Central Newspapers Class A 693 29,323 1,943 82,213
Chris-Craft Industries Inc + 316 15,998 211 10,682
Comcast Corp Class A 9,194 299,954 23,780 775,823
Donnelley (R R) & Sons Co 1,913 60,020 4,150 130,206
Dow Jones & Co Inc 1,289 64,772 2,515 126,379
E.W. Scripps Co 725 34,800 1,137 54,576
Elsevier NV ADR (Netherlands) 22,121 517,078 49,406 1,154,865
Ennis Business Forms Inc 0 -- 0 --
Gannett Co Inc 3,146 213,731 7,569 514,219
Gibson Greetings Inc + 0 -- 0 --
Golden Books Family Entertainment Inc + 208 42 0 --
Harland (John H) Co 550 10,931 997 19,815
Harte-Hanks Communications Inc 782 17,546 2,320 52,055
Houghton Mifflin Co 277 13,227 886 42,307
Interpublic Group Co Inc 3,106 123,075 8,180 324,133
Knight-Ridder Inc 1,071 57,767 1,888 101,834
Lee Enterprises Inc 455 13,053 0 --
Marvel Entertainment Group Inc + 200 30 600 90
McGraw-Hill Inc 2,604 134,594 5,890 304,439
Media General Inc Class A 259 12,691 503 24,647
Meredith Corp 708 24,559 1,301 45,128
Moore Corp Ltd 1,181 10,998 2,819 26,252
New York Times Co Class A 2,524 98,594 5,411 211,367
News Corporation Ltd 5,125 150,227 11,975 351,017
Primedia Inc + 168 2,321 695 9,600
Readers Digest Association Class A 1,875 58,594 3,798 118,688
Readers Digest Association Class B 268 7,588 630 17,837
Scholastic Inc + 179 7,093 353 13,988
Times Mirror Co Class A 849 49,030 2,281 131,728
Washington Post Co Class B 119 64,141 87 46,893
Workflow Management Inc + 192 2,544 429 5,684
Ziff Davis Inc + 425 6,561 1,313 20,269
-------------- ---------------
TOTAL PUBLISHING
- VALUE $ 2,153,097 $ 4,838,887
- COST $ 1,816,955 $ 4,120,499
REAL ESTATE
Percent of Net Assets 0.40% 0.48%
AMB Property Corp REIT 268 5,762 407 8,751
Apartment Investment & Management Co
Class A REIT 871 35,711 200 8,200
Archstone Communities Trust REIT 2,468 52,754 5,841 124,851
Arden Realty Group Inc REIT 1,139 26,553 2,826 65,881
Boston Properties Inc REIT 871 29,015 2,120 70,623
Camden Property Trust REIT 100 2,775 200 5,550
CarrAmercia Realty Corp REIT 1,139 26,197 2,626 60,398
Castle & Cooke Inc + 198 2,822 301 4,289
Catellus Development Corp + 1,575 21,558 3,798 51,985
Chicago Title Corp 725 32,852 817 37,020
Cornerstone Properties Inc REIT 2,400 38,250 5,323 84,835
Crestline Capital Corp REIT + 428 8,105 992 18,786
Echelon International Corp + 62 1,294 57 1,190
Equity Office Properties Trust REIT 4,654 118,968 10,735 274,413
Equity Residential Properties Trust REIT 1,932 85,008 4,393 193,292
Federal Realty Investment Trust 0 -- 353 7,722
Fel Cor Lodging Trust Inc REIT 1,329 23,839 3,003 53,866
</TABLE>
23
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
------------------ ----------------------- ------------------------
Shares Value Shares Value Shares Value
-----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Franchise Finance Corp REIT 0 -- 88 1,909 300 6,506
General Growth Properties Inc 0 -- 0 -- 200 6,650
Health Care Property Investors Inc REIT 300 7,800 264 6,864 351 9,126
Hospitalities Properties Trust 0 -- 100 2,688 300 8,063
Host Marriott Corp 887 8,205 1,708 15,799 3,339 30,886
HRPT Properties Trust REIT 500 6,938 1,296 17,982 3,519 48,826
Kimco Realty Corp REIT 200 7,450 284 10,579 545 20,301
Liberty Property Trust REIT 100 2,450 792 19,404 300 7,350
Mack-Cali Realty Corp REIT 100 2,838 692 19,636 1,402 39,782
MAXXAM Inc + 0 -- 0 -- 112 6,398
Meditrust Corp REIT 402 3,593 826 7,382 2,686 24,006
New Plan Excel Realty Trust REIT 300 5,681 592 11,211 1,590 30,111
Post Properties Inc REIT 0 -- 240 9,810 200 8,175
Prison Realty Corp REIT 162 2,116 624 8,151 1,587 20,730
Prologis Trust REIT 100 1,963 100 1,963 300 5,888
Public Storage Inc REIT 300 7,800 792 20,592 1,327 34,502
Simon Property Group Inc REIT 200 5,100 756 19,278 2,028 51,714
United Dominion Realty Trust Inc REIT 400 4,600 1,508 17,342 2,830 32,545
Vornado Operating Inc + 20 128 44 281 90 574
Vornado Realty Trust REIT 200 6,825 780 26,618 1,578 53,849
Weingarten Realty Investors REIT 200 7,938 176 6,985 351 13,930
Westfield America Inc REIT 0 -- 76 1,102 151 2,190
Worldwide Inc REIT 864 20,574 1,682 40,053 3,290 78,343
-------- -------- ----------
TOTAL REAL ESTATE
- VALUE $182,362 $537,516 $1,076,500
- COST $208,929 $610,823 $1,221,162
RETAIL & RELATED
Percent of Net Assets 0.96% 1.98% 3.24%
7-Eleven Inc + 1,800 3,713 1,232 2,541 2,379 4,907
Abercrombie & Fitch Co + 112 3,906 984 34,317 2,478 86,420
Amazon.com Inc + 200 24,863 428 53,233 689 85,694
American Eagle Outfitters + 0 -- 0 -- 100 3,925
Ann Taylor Stores Inc + 247 8,182 172 5,698 308 10,203
AutoZone Inc + 126 3,000 851 20,264 2,621 62,413
Barnes & Noble + 200 4,738 516 12,223 1,227 29,065
Bed Bath & Beyond Inc + 400 11,000 1,120 30,800 2,379 65,423
Benetton SpA ADR (Italy) 1,707 65,933 6,262 241,870 14,832 572,886
Best Buy Co Inc + 700 49,175 1,410 99,053 2,104 147,806
BJ's Wholesale Club Inc + 630 17,798 780 22,035 772 21,809
Borders Group Inc + 200 2,663 780 10,384 1,865 24,828
CDW Computer Centers Inc + 0 -- 76 3,373 150 6,656
Charming Shoppes Inc + 59 328 0 -- 2,105 11,709
Circuit City Stores Inc 254 10,922 1,138 48,934 3,396 146,028
Coles Myer Ltd ADR (Australia) 914 41,016 2,932 131,574 7,165 321,529
CompUSA Inc + 400 2,425 1,332 8,075 2,391 14,495
Consolidated Stores Corp + 158 2,548 678 10,933 1,739 28,041
Corporate Express Inc + 550 4,898 1,200 10,688 2,347 20,903
Costco Wholesale Corp + 285 21,304 1,426 106,594 3,543 264,839
CVS Corp 214 8,921 2,201 91,754 6,083 253,585
Dayton-Hudson Corp 273 15,834 2,448 141,984 6,911 400,838
Department 56 Inc + 200 5,600 176 4,928 263 7,364
Dillards Inc Class A 118 2,773 598 14,053 1,835 43,122
Dollar General Corp 391 10,166 1,026 26,676 3,415 88,790
Dollar Tree Stores Inc + 100 3,294 284 9,372 720 23,760
Eastman Kodak Co 243 17,845 2,132 156,569 5,676 416,831
Ebay Inc + 0 -- 0 -- 100 12,556
Enesco Group Inc 220 3,795 150 2,588 262 4,520
Ensco International Inc 500 10,656 1,648 35,123 3,519 74,999
<CAPTION>
LifePath 2030 LifePath 2040
-------------------------- ---------------------------
Shares Value Shares Value
---------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Franchise Finance Corp REIT 100 2,169 200 4,338
General Growth Properties Inc 100 3,325 288 9,576
Health Care Property Investors Inc REIT 446 11,596 718 18,668
Hospitalities Properties Trust 100 2,688 200 5,375
Host Marriott Corp 4,358 40,312 9,996 92,463
HRPT Properties Trust REIT 3,193 44,303 7,089 98,360
Kimco Realty Corp REIT 1,050 39,113 2,273 84,669
Liberty Property Trust REIT 100 2,450 300 7,350
Mack-Cali Realty Corp REIT 1,229 34,873 2,815 79,876
MAXXAM Inc + 0 -- 0 --
Meditrust Corp REIT 2,129 19,028 5,301 47,378
New Plan Excel Realty Trust REIT 1,329 25,168 2,715 51,415
Post Properties Inc REIT 100 4,088 200 8,175
Prison Realty Corp REIT 1,340 17,504 3,200 41,800
Prologis Trust REIT 200 3,925 300 5,888
Public Storage Inc REIT 1,964 51,064 4,163 108,238
Simon Property Group Inc REIT 1,675 42,713 3,675 93,713
United Dominion Realty Trust Inc REIT 2,689 30,924 5,988 68,862
Vornado Operating Inc + 180 1,148 159 1,014
Vornado Realty Trust REIT 1,407 48,014 3,368 114,933
Weingarten Realty Investors REIT 357 14,168 895 35,520
Westfield America Inc REIT 168 2,436 607 8,802
Worldwide Inc REIT 3,097 73,747 8,993 214,146
---------- ----------
TOTAL REAL ESTATE
- VALUE $1,026,219 $2,272,211
- COST $1,231,247 $2,765,464
RETAIL & RELATED
Percent of Net Assets 3.87% 4.88%
7-Eleven Inc + 1,707 3,521 4,110 8,477
Abercrombie & Fitch Co + 2,134 74,423 400 13,950
Amazon.com Inc + 604 75,123 1,755 218,278
American Eagle Outfitters + 0 -- 100 3,925
Ann Taylor Stores Inc + 226 7,486 209 6,923
AutoZone Inc + 2,113 50,316 4,473 106,513
Barnes & Noble + 961 22,764 2,373 56,210
Bed Bath & Beyond Inc + 2,032 55,880 4,393 120,808
Benetton SpA ADR (Italy) 13,116 506,606 29,076 1,123,061
Best Buy Co Inc + 2,228 156,517 7,426 521,677
BJ's Wholesale Club Inc + 556 15,707 300 8,475
Borders Group Inc + 1,696 22,578 3,445 45,862
CDW Computer Centers Inc + 358 15,886 306 13,579
Charming Shoppes Inc + 1,546 8,600 3,271 18,195
Circuit City Stores Inc 2,776 119,368 5,250 225,750
Coles Myer Ltd ADR (Australia) 6,359 285,360 14,349 643,911
CompUSA Inc + 2,243 13,598 4,916 29,803
Consolidated Stores Corp + 1,465 23,623 3,202 51,632
Corporate Express Inc + 2,109 18,783 4,926 43,872
Costco Wholesale Corp + 2,809 209,973 6,176 461,656
CVS Corp 5,008 208,771 12,720 530,265
Dayton-Hudson Corp 5,541 321,378 14,255 826,790
Department 56 Inc + 179 5,012 630 17,640
Dillards Inc Class A 1,458 34,263 3,395 79,783
Dollar General Corp 2,831 73,606 6,865 178,490
Dollar Tree Stores Inc + 737 24,321 1,643 54,219
Eastman Kodak Co 4,516 331,644 9,226 677,534
Ebay Inc + 0 -- 100 12,556
Enesco Group Inc 191 3,295 186 3,209
Ensco International Inc 3,193 68,051 7,089 151,084
</TABLE>
24
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
----------------------- --------------------- ----------------------
Shares Value Shares Value Shares Value
-----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Family Dollar Stores Inc 460 9,056 1,507 29,669 3,317 65,303
Federated Department Stores Inc + 179 8,234 1,213 55,798 3,536 162,656
Footstar Inc + 46 1,495 216 7,020 457 14,853
Gap Inc 718 28,092 4,148 162,291 12,926 505,730
Hancock Fabrics Inc 0 -- 0 -- 400 2,000
Harcourt General Inc 79 3,461 457 20,022 994 43,550
Heilig Meyers Co 524 2,784 361 1,918 831 4,415
Home Depot Inc 1,086 66,382 7,512 459,171 22,177 1,355,569
Homebase Inc + 365 1,597 0 -- 536 2,345
Intimate Brands Inc 0 -- 0 -- 200 7,713
Ito Yokado Co Ltd ADR (Japan) 1,320 98,340 4,910 365,795 12,310 917,095
Jones Apparel Group Inc + 300 7,781 900 23,344 1,984 51,460
Jostens Inc 77 1,550 65 1,308 690 13,886
K Mart Corp + 584 7,337 2,962 37,210 8,052 101,153
Kohls Corp + 547 38,974 525 37,406 2,323 165,514
Limited Inc 197 7,461 1,414 53,555 3,692 139,835
Linens 'N Things Inc + 0 -- 0 -- 200 6,850
Longs Drug Stores Corp 66 2,075 324 10,186 579 18,202
Lowe's Co Inc 314 14,209 2,140 96,835 5,633 254,893
May Department Stores Co 221 8,633 2,109 82,383 5,647 220,586
Michaels Stores Inc + 0 -- 0 -- 0 --
Micro Warehouse Inc + 300 3,675 264 3,234 526 6,444
Midas Inc 10 236 128 3,024 299 7,064
MP3.com + 0 -- 0 -- 100 3,413
Neiman Marcus Group Inc + 100 2,225 64 1,424 326 7,254
Nordstrom Inc 224 6,342 780 22,084 2,501 70,810
Office Depot Inc + 1,807 18,861 4,075 42,533 6,658 69,493
Officemax Inc + 700 5,294 1,816 13,734 3,543 26,794
Payless ShoeSource Inc + 217 10,823 162 8,080 802 40,000
Penney (J C) Co Inc 166 6,018 1,463 53,034 4,036 146,305
PetSmart Inc + 1,200 5,775 1,144 5,506 2,028 9,760
Pier 1 Imports Inc 550 2,991 1,552 8,439 2,730 14,844
Priceline.com Inc + 0 -- 0 -- 100 6,813
Rite Aid Corp 238 4,403 1,568 29,008 4,297 79,495
Ross Stores Inc 200 8,325 328 13,653 1,215 50,574
Ruddick Corp 0 -- 0 -- 626 11,620
Saks Inc + 464 7,801 1,145 19,250 2,532 42,569
School Specialty Inc + 0 -- 90 1,114 187 2,314
Sears Roebuck & Co 358 13,425 2,580 96,750 6,732 252,450
Service Merchandise Co + 771 217 0 -- 1,428 402
Sherwin Williams Co 81 1,974 1,054 25,691 2,952 71,955
Staples Inc + 1,541 33,517 2,037 44,305 6,086 132,371
Sunglass Hut International Inc + 600 7,575 440 5,555 977 12,335
Systemax Inc + 200 1,863 176 1,639 263 2,449
Talbots Inc 200 6,188 176 5,445 0 --
Tandy Corp 232 10,962 1,060 50,085 2,974 140,522
Tech Data Corp + 300 11,119 616 22,831 1,052 38,990
TJX Companies Inc 76 2,195 1,646 47,528 5,083 146,772
Toys R Us Inc + 281 3,881 1,611 22,252 4,230 58,427
U.S. Office Products Co + 0 -- 203 785 521 2,019
Venator Group Inc + 187 1,332 947 6,747 2,578 18,368
Walgreen Co 610 14,144 4,878 113,109 15,034 348,601
WalMart Stores Inc 3,396 150,485 22,216 984,447 66,960 2,967,165
Williams-Sonoma Inc + 0 -- 0 -- 200 7,800
---------- ---------- -----------
TOTAL RETAIL & RELATED
- VALUE $1,006,403 $4,430,833 $12,105,744
- COST $ 733,240 $3,008,888 $ 8,250,151
<CAPTION>
LifePath 2030 LifePath 2040
-------------------------- ----------------------------
Shares Value Shares Value
-------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
Family Dollar Stores Inc 2,907 57,232 6,333 124,681
Federated Department Stores Inc + 2,802 128,892 6,081 279,726
Footstar Inc + 341 11,083 678 22,035
Gap Inc 10,546 412,612 25,310 990,254
Hancock Fabrics Inc 0 -- 0 --
Harcourt General Inc 896 39,256 1,828 80,089
Heilig Meyers Co 586 3,113 1,248 6,630
Home Depot Inc 17,697 1,081,729 43,301 2,646,774
Homebase Inc + 428 1,873 0 --
Intimate Brands Inc 100 3,856 200 7,713
Ito Yokado Co Ltd ADR (Japan) 10,012 745,894 21,404 1,594,598
Jones Apparel Group Inc + 1,864 48,348 3,963 102,790
Jostens Inc 372 7,487 1,068 21,493
K Mart Corp + 6,677 83,880 14,101 177,144
Kohls Corp + 1,996 142,215 4,531 322,834
Limited Inc 3,047 115,405 6,621 250,770
Linens 'N Things Inc + 100 3,425 200 6,850
Longs Drug Stores Corp 566 17,794 896 28,168
Lowe's Co Inc 4,839 218,965 10,143 458,971
May Department Stores Co 4,731 184,805 10,045 392,383
Michaels Stores Inc + 0 -- 177 5,432
Micro Warehouse Inc + 357 4,373 718 8,795
Midas Inc 237 5,599 450 10,631
MP3.com + 0 -- 100 3,413
Neiman Marcus Group Inc + 336 7,476 960 21,360
Nordstrom Inc 2,011 56,936 4,512 127,746
Office Depot Inc + 6,129 63,971 16,905 176,446
Officemax Inc + 3,270 24,729 7,292 55,146
Payless ShoeSource Inc + 796 39,701 2,035 101,496
Penney (J C) Co Inc 3,327 120,604 7,145 259,006
PetSmart Inc + 1,528 7,354 2,950 14,197
Pier 1 Imports Inc 2,689 14,621 5,899 32,076
Priceline.com Inc + 0 -- 100 6,813
Rite Aid Corp 3,574 66,119 7,331 135,624
Ross Stores Inc 1,050 43,706 2,461 102,439
Ruddick Corp 468 8,687 0 --
Saks Inc + 2,277 38,282 4,977 83,676
School Specialty Inc + 160 1,980 358 4,430
Sears Roebuck & Co 5,576 209,100 11,435 428,813
Service Merchandise Co + 1,091 307 0 --
Sherwin Williams Co 2,293 55,892 4,905 119,559
Staples Inc + 4,840 105,270 12,727 276,812
Sunglass Hut International Inc + 625 7,891 1,248 15,756
Systemax Inc + 179 1,667 453 4,219
Talbots Inc 179 5,538 353 10,921
Tandy Corp 2,764 130,599 5,626 265,829
Tech Data Corp + 1,071 39,694 2,508 92,953
TJX Companies Inc 3,714 107,242 9,427 272,205
Toys R Us Inc + 3,587 49,545 7,843 108,331
U.S. Office Products Co + 460 1,783 906 3,510
Venator Group Inc + 2,211 15,753 4,409 31,414
Walgreen Co 11,912 276,210 28,940 671,046
WalMart Stores Inc 54,110 2,397,749 130,648 5,789,340
Williams-Sonoma Inc + 100 3,900 242 9,438
---------- -----------
TOTAL RETAIL & RELATED
- VALUE $9,976,595 $23,016,902
- COST $6,643,105 $15,545,485
</TABLE>
25
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
--------------------------- ------------------------- --------------------------
Shares Value Shares Value Shares Value
- ------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
SERVICES
Percent of Net Assets 0.03% 0.05% 0.11%
Block (H R) Inc 105 5,841 588 32,708 1,749 97,288
CMS Energy Corp 0 -- 0 -- 1,352 53,489
DeVry Inc + 100 2,088 100 2,088 300 6,263
Public Service Enterprise Group 108 4,428 1,440 59,040 3,809 156,169
Service Corp International 229 3,163 1,508 20,829 4,287 59,214
Sotheby's Holdings Inc 611 17,795 0 -- 743 21,640
Sylvan Learning Systems Inc + 0 -- 0 -- 200 3,975
-------------- ------------ -------------
TOTAL SERVICES
- VALUE $ 33,315 $ 114,665 $ 398,038
- COST $ 23,195 $ 111,082 $ 355,431
SHIPPING
Percent of Net Assets 0.00% 0.00% 0.00%
Halter Marine Group Inc + 273 1,450 261 1,387 440 2,338
-------------- ------------ ------------
TOTAL SHIPPING
- VALUE $ 1,450 $ 1,387 $ 2,338
- COST $ 3,161 $ 3,083 $ 4,534
TELECOMMUNICATIONS
Percent of Net Assets 2.64% 5.33% 8.14%
ADC Telecommunications + 572 21,200 1,261 46,736 2,363 87,579
Adtran Inc + 100 3,813 176 6,710 175 6,672
Advanced Fibre Communication + 300 4,894 616 10,049 1,327 21,647
Alcatel Alsthom Compagnie Generale 2,889 89,378 10,492 324,596 24,784 766,755
d'electricite ADR (France)
Alltel Corp 149 10,076 1,622 109,688 4,799 324,532
Ameritech Corp 899 56,749 5,372 339,108 16,263 1,026,602
Andrew Corp + 90 1,575 517 9,048 1,524 26,670
Aspect Telecommunication Corp + 0 -- 540 5,974 100 1,106
AT & T Corp 3,619 162,855 21,117 950,265 52,403 2,358,135
Bell Atlantic Corp 1,754 107,433 7,785 476,831 20,392 1,249,010
BellSouth Corp 1,800 81,450 11,779 533,000 29,881 1,352,115
British Telecommunications PLC ADR (UK) 1,764 271,877 6,123 943,707 14,723 2,269,182
Cable & Wireless Ltd ADR 9,423 212,613 33,656 759,362 76,696 1,730,454
CenturyTel Inc 0 -- 0 -- 1,833 72,060
Ciena Corp + 100 3,513 428 15,034 1,040 36,530
Comsat Corp 410 14,248 604 20,989 1,531 53,202
Covad Communications Group + 0 -- 0 -- 100 4,613
Cox Communications Inc Class A + 872 32,420 1,430 53,185 2,276 84,635
Crown Castle International Corp + 0 -- 0 -- 0 --
Deutsche Telekom Ag ADR (Germany) 3,726 165,341 13,258 588,324 31,315 1,389,603
DSP Communications Inc + 0 -- 440 10,340 0 --
E-Tek Dynamics Inc + 0 -- 100 5,669 300 17,006
Ericsson L M Telephone ADR (Sweden) 2,032 66,167 7,026 228,784 16,884 549,785
Federal Signal Corp 498 10,427 431 9,024 707 14,803
Frontier Corp 250 10,484 925 38,792 2,357 98,847
Glenayre Technologies Inc + 650 2,031 572 1,788 1,130 3,531
Global TeleSystems Group Inc + 400 12,925 880 28,435 1,854 59,907
GTE Corp 1,156 79,331 4,663 319,998 12,677 869,959
ICG Communications Inc + 200 4,175 528 10,956 1,152 23,904
Intermedia Communications Inc + 0 -- 100 2,600 100 2,600
International Network Services Corp + 0 -- 0 -- 200 10,638
IXC Communications Inc + 0 -- 76 2,670 163 5,725
Jds Uniphase Corp + 0 -- 580 61,516 200 21,213
Koninklijke Philips Electric NV ADR 436 44,826 1,299 133,553 3,185 327,507
Leap Wireless International Inc + 100 1,738 198 3,440 394 6,846
Level 3 Communications + 100 5,975 200 11,950 800 47,750
Loral Space & Communications + 1,042 19,147 2,626 48,253 5,119 94,062
Lucent Technologies Inc 2,313 148,177 14,500 928,906 44,877 2,874,933
<CAPTION>
LifePath 2030 LifePath 2040
------------------------------- -------------------------------
Shares Value Shares Value
-------------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
SERVICES
Percent of Net Assets 0.11% 0.12%
Block (H R) Inc 1,433 79,711 2,800 155,750
CMS Energy Corp 100 3,956 200 7,913
DeVry Inc + 100 2,088 200 4,175
Public Service Enterprise Group 3,086 126,526 6,559 268,919
Service Corp International 3,421 47,253 7,249 100,127
Sotheby's Holdings Inc 556 16,194 0 --
Sylvan Learning Systems Inc + 100 1,988 200 3,975
------------- --------------
TOTAL SERVICES
- VALUE $ 277,716 $ 540,859
- COST $ 261,549 $ 546,700
SHIPPING
Percent of Net Assets 0.00% 0.00%
Halter Marine Group Inc + 407 2,162 684 3,634
------------- --------------
TOTAL SHIPPING
- VALUE $ 2,162 $ 3,634
- COST $ 4,124 $ 7,438
TELECOMMUNICATIONS
Percent of Net Assets 10.12% 12.54%
ADC Telecommunications + 2,136 79,166 6,630 245,724
Adtran Inc + 268 10,218 718 27,374
Advanced Fibre Communication + 1,261 20,570 2,673 43,603
Alcatel Alsthom Compagnie Generale 21,680 670,725 48,653 1,505,202
d'electricite ADR (France)
Alltel Corp 3,705 250,551 7,784 526,393
Ameritech Corp 13,121 828,263 31,919 2,014,887
Andrew Corp + 1,010 17,675 2,363 41,353
Aspect Telecommunication Corp + 0 -- 1,260 13,939
AT & T Corp 45,639 2,053,755 91,013 4,095,585
Bell Atlantic Corp 17,588 1,077,265 42,544 2,605,820
BellSouth Corp 26,755 1,210,664 57,738 2,612,645
British Telecommunications PLC ADR (UK) 12,865 1,982,818 28,597 4,407,513
Cable & Wireless Ltd ADR 70,029 1,580,025 150,091 3,386,428
CenturyTel Inc 100 3,931 200 7,863
Ciena Corp + 671 23,569 2,361 82,930
Comsat Corp 1,252 43,507 2,829 98,308
Covad Communications Group + 0 -- 100 4,613
Cox Communications Inc Class A + 2,305 85,731 6,809 253,204
Crown Castle International Corp + 0 -- 100 1,513
Deutsche Telekom Ag ADR (Germany) 27,280 1,210,550 61,130 2,712,644
DSP Communications Inc + 536 12,596 983 23,101
E-Tek Dynamics Inc + 100 5,669 300 17,006
Ericsson L M Telephone ADR (Sweden) 14,628 476,324 33,171 1,080,131
Federal Signal Corp 716 14,991 1,672 35,007
Frontier Corp 2,009 84,252 4,757 199,497
Glenayre Technologies Inc + 814 2,544 1,459 4,559
Global TeleSystems Group Inc + 1,886 60,941 4,032 130,284
GTE Corp 10,929 750,003 26,307 1,805,318
ICG Communications Inc + 982 20,377 2,231 46,293
Intermedia Communications Inc + 0 -- 188 4,888
International Network Services Corp + 100 5,319 100 5,319
IXC Communications Inc + 168 5,901 330 11,591
Jds Uniphase Corp + 100 10,606 476 50,486
Koninklijke Philips Electric NV ADR 2,873 295,380 6,315 649,261
Leap Wireless International Inc + 379 6,585 873 15,168
Level 3 Communications + 400 23,900 900 53,719
Loral Space & Communications + 4,757 87,410 10,620 195,143
Lucent Technologies Inc 35,863 2,297,473 86,433 5,537,114
</TABLE>
26
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
------------------------- ------------------------ --------------------------
Shares Value Shares Value Shares Value
- ---------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
MCI WorldCom Inc + 2,354 178,316 11,030 835,523 32,408 2,454,906
McLeod Inc Class A + 400 13,350 880 29,370 1,854 61,877
Network Appliance Inc + 0 -- 604 39,675 0 --
NEXTEL Communications Class A + 178 10,291 1,655 95,680 4,443 256,861
Nippon Telegraph & Telegraph ADR 1,424 80,456 5,469 308,999 13,740 776,310
(Japan)
Nokia Corp 1,012 84,376 3,476 289,812 7,632 636,318
Nortel Networks Corp 1,666 68,410 6,994 287,191 20,724 850,979
NTL Inc + 0 -- 528 51,843 964 94,653
Omnipoint Corp + 200 8,100 264 10,692 351 14,216
Paging Network Inc + 500 1,547 616 1,906 1,415 4,378
Pairgain Technologies Inc + 300 3,131 616 6,430 1,239 12,932
Pan Am Sat Corp + 100 3,694 176 6,501 163 6,021
Picturetel Corp + 400 2,213 352 1,947 714 3,949
Qualcom Inc + 500 96,094 1,184 227,550 1,954 375,534
Qwest Communications International Inc + 1,400 40,163 3,192 91,770 5,306 152,548
SBC Communication Inc 1,326 63,648 9,622 461,856 29,077 1,395,696
Scientific-Atlanta Inc 75 3,844 549 28,136 1,129 57,861
SkyTel Communications Inc + 0 -- 352 6,974 0 --
Sprint Corp 970 43,044 5,146 228,354 14,070 624,356
Sprint Corp (PCS Group) + 117 6,991 1,011 60,407 3,170 189,408
Tele Danmark A/S ADR (Denmark) 2,898 81,506 10,056 282,825 21,762 612,056
Telecommunications of New Zealand Corp ADR 859 30,602 3,058 108,941 7,273 259,101
(New Zealand)
Telefonica de Espana SA ADR (Spain) + 1,143 55,078 4,818 232,167 11,597 558,830
Telephone & Data System Inc 0 -- 0 -- 725 50,478
Tellabs Inc + 174 10,364 1,652 98,397 5,664 337,362
U.S. West Inc 469 24,505 2,963 154,817 7,684 401,489
Vodafone Group PLC ADR (UK) 1,130 226,636 4,744 951,469 11,624 2,331,339
Voicestream Wireless Corp + 0 -- 88 3,630 0 --
Western Wireless Corp Class A + 0 -- 88 3,405 0 --
------------- ------------
TOTAL TELECOMMUNICATIONS
- VALUE $ 2,781,197 $ 11,945,547 $ 30,409,576
- COST $ 1,592,074 $ 6,545,641 $ 17,580,842
TEXTILES
Percent of Net Assets 0.05% 0.04% 0.05%
Burlington Industries Inc + 729 4,146 419 2,383 1,096 6,234
Cintas Corp 320 16,440 780 40,073 1,250 64,219
Collins & Aikman Corp 0 -- 0 -- 0 --
Fruit of the Loom Inc Class A + 197 1,379 380 2,660 1,177 8,239
Mohawk Industries Inc + 0 -- 0 -- 200 4,525
Shaw Industries Inc 1,060 21,200 1,322 26,440 2,818 56,360
Springs Industries Inc Class A 33 1,240 185 6,949 293 11,006
Unifi Inc + 168 2,268 892 12,042 1,674 22,599
West Point Stevens Inc 100 2,400 328 7,872 1,152 27,648
------------- ------------ -------------
TOTAL TEXTILES
- VALUE $ 49,073 $ 98,419 $ 200,830
- COST $ 43,546 $ 108,892 $ 248,192
TOBACCO
Percent of Net Assets 0.16% 0.32% 0.56%
British American Tobacco PLC ADR (UK) 1,021 17,612 4,358 75,176 14,803 255,352
Fortune Brands Inc 180 6,750 1,051 39,413 2,884 108,150
Philip Morris Co Inc 2,771 103,739 13,047 488,447 38,744 1,450,479
RJ Reynolds Tobacco Holdings + 223 6,119 817 22,416 2,248 61,680
Swedish Match AB ADR (Sweden) 852 34,719 2,502 101,957 5,527 225,225
------------- ------------ -------------
TOTAL TOBACCO
- VALUE $ 168,939 $ 727,409 $ 2,100,886
- COST $ 163,594 $ 689,576 $ 1,937,897
<CAPTION>
LifePath 2030 LifePath 2040
----------------------------- ------------------------------
Shares Value Shares Value
---------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
MCI WorldCom Inc + 26,494 2,006,921 63,936 4,843,152
McLeod Inc Class A + 1,708 57,005 3,832 127,893
Network Appliance Inc + 0 -- 0 --
NEXTEL Communications Class A + 3,671 212,230 8,280 478,688
Nippon Telegraph & Telegraph ADR 11,158 630,427 23,774 1,343,231
(Japan)
Nokia Corp 7,222 602,134 15,102 1,259,129
Nortel Networks Corp 16,773 688,733 42,016 1,725,282
NTL Inc + 893 87,681 88 8,641
Omnipoint Corp + 357 14,459 530 21,465
Paging Network Inc + 1,261 3,901 2,861 8,851
Pairgain Technologies Inc + 1,171 12,222 2,761 28,818
Pan Am Sat Corp + 268 9,899 418 15,440
Picturetel Corp + 546 3,020 807 4,464
Qualcom Inc + 2,536 487,388 5,960 1,145,438
Qwest Communications International Inc + 4,743 136,370 14,372 413,195
SBC Communication Inc 23,367 1,121,616 56,575 2,715,600
Scientific-Atlanta Inc 1,055 54,069 2,034 104,243
SkyTel Communications Inc + 0 -- 0 --
Sprint Corp 11,688 518,655 24,682 1,095,264
Sprint Corp (PCS Group) + 2,369 141,548 5,085 303,829
Tele Danmark A/S ADR (Denmark) 20,124 565,988 44,352 1,247,400
Telecommunications of New Zealand Corp ADR 6,371 226,967 14,540 517,988
(New Zealand)
Telefonica de Espana SA ADR (Spain) + 10,341 498,307 22,477 1,083,110
Telephone & Data System Inc 0 -- 0 --
Tellabs Inc + 4,712 280,659 11,256 670,436
U.S. West Inc 6,880 359,480 14,650 765,462
Vodafone Group PLC ADR (UK) 10,101 2,025,882 23,138 4,640,615
Voicestream Wireless Corp + 0 -- 265 10,931
Western Wireless Corp Class A + 0 -- 265 10,252
-------------- ---------------
TOTAL TELECOMMUNICATIONS
- VALUE $ 26,054,815 $ 59,140,243
- COST $ 14,490,049 $ 34,342,667
TEXTILES
Percent of Net Assets 0.07% 0.10%
Burlington Industries Inc + 769 4,374 1,880 10,693
Cintas Corp 1,534 78,809 3,439 176,679
Collins & Aikman Corp 0 -- 453 2,407
Fruit of the Loom Inc Class A + 656 4,592 2,068 14,476
Mohawk Industries Inc + 100 2,263 288 6,516
Shaw Industries Inc 2,472 49,440 6,029 120,580
Springs Industries Inc Class A 324 12,170 570 21,411
Unifi Inc + 1,512 20,412 3,350 45,225
West Point Stevens Inc 871 20,904 2,220 53,280
-------------- ---------------
TOTAL TEXTILES
- VALUE $ 192,964 $ 451,267
- COST $ 216,101 $ 542,922
TOBACCO
Percent of Net Assets 0.66% 0.87%
British American Tobacco PLC ADR (UK) 10,900 188,025 23,674 408,377
Fortune Brands Inc 2,219 83,213 4,827 181,013
Philip Morris Co Inc 31,108 1,164,606 78,347 2,933,116
RJ Reynolds Tobacco Holdings + 1,822 49,991 5,237 143,690
Swedish Match AB ADR (Sweden) 5,155 210,066 11,093 452,040
-------------- ---------------
TOTAL TOBACCO
- VALUE $ 1,695,901 $ 4,118,236
- COST $ 1,595,828 $ 4,015,877
</TABLE>
27
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
------------------------ ----------------------- -------------------------
Shares Value Shares Value Shares Value
- -------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
TRANSPORTATION
Percent of Net Assets 0.22% 0.31% 0.42%
Alexander & Baldwin Inc 204 4,934 607 14,682 1,164 28,154
Burlington Northern Santa Fe 478 13,862 2,839 82,331 7,827 226,983
Canadian National Railway Co 4 254 6 381 12 763
Carnival Corp Class A 1,700 75,969 4,112 183,755 7,610 340,072
CNF Transportation Inc 162 6,308 470 18,301 1,036 40,339
Consolidated Freightways Corp + 31 335 159 1,719 355 3,838
CSX Corp 97 4,238 1,323 57,799 3,523 153,911
Fritz Companies Inc + 200 2,275 176 2,002 263 2,992
Galileo International Inc 200 9,700 240 11,640 777 37,685
Hunt (J B) Transport Services 0 -- 0 -- 522 7,732
Kansas City Southern Industries 643 29,779 1,341 62,105 2,112 97,812
Laidlaw Inc Class B 395 2,469 1,844 11,525 5,328 33,300
Norfolk Southern Corp 492 12,884 2,545 66,647 6,621 173,387
Overseas Shipholding Group 393 5,477 273 3,805 482 6,718
Pittston Brink's Group 323 7,691 546 13,002 1,202 28,623
Pittston Burlington Group 61 545 141 1,260 287 2,565
Roadway Express Inc 46 969 139 2,928 237 4,992
Tidewater Inc 265 8,613 848 27,560 1,624 52,780
Trinity Industries Inc 222 6,965 363 11,389 956 29,995
Union Pacific Corp 278 13,535 1,539 74,930 4,075 198,402
Viad Corp 436 13,053 1,114 33,350 1,801 53,917
Wisconsin Central Transport + 400 6,375 704 11,220 1,415 22,552
Xtra Corp + 200 9,063 176 7,975 263 11,917
Yellow Corp + 49 778 196 3,112 513 8,144
----------- ------------ ------------
TOTAL TRANSPORTATION
- VALUE $ 236,071 $ 703,418 $ 1,567,573
- COST $ 219,483 $ 665,773 $ 1,550,411
UTILITIES
Percent of Net Assets 0.26% 0.65% 1.27%
AES Corp + 0 -- 1,025 62,205 2,891 175,448
Allegheny Energy Inc 0 -- 0 -- 1,686 56,903
Alliant Energy Corp 141 4,080 1,021 29,545 1,829 52,927
Ameren Corp 188 7,532 742 29,726 2,146 85,974
American Electric Power Inc 136 4,939 1,165 42,304 3,096 112,424
American Water Works Co Inc 200 5,825 780 22,718 1,765 51,406
Azurix Corp + 0 -- 0 -- 200 3,713
Carolina Power & Light Co 143 5,202 913 33,210 2,619 95,266
Central & South West Corp 170 3,846 1,308 29,594 3,495 79,074
Cinergy Corp 157 4,769 957 29,069 2,676 81,284
Conectiv Inc 1,067 22,874 752 16,121 1,437 30,806
Consolidated Edison Inc 155 6,820 1,449 63,756 3,803 167,332
Constellation Energy Group 67 1,985 819 24,263 2,573 76,225
Dominion Resources Inc 198 9,158 1,165 53,881 3,189 147,491
DTE Energy Co 218 8,597 870 34,311 2,448 96,543
Duke Power Co 251 14,433 2,240 128,800 5,956 342,470
Edison International 337 8,551 2,183 55,394 5,822 147,733
El Paso Energy Corp 0 -- 0 -- 1,576 57,623
Energy East Corp 0 -- 0 -- 2,006 50,150
Entergy Corp 150 4,472 1,531 45,643 3,945 117,610
FirstEnergy Corp 160 4,570 1,415 40,416 3,920 111,965
Florida Progress Corp 0 -- 0 -- 1,457 68,297
FPL Group Inc 221 11,934 1,153 62,262 2,929 158,166
GPU Inc 122 4,163 718 24,502 2,052 70,025
Hawaiian Electric Industries Inc 192 6,828 187 6,650 609 21,658
Idacorp Inc 0 -- 0 -- 513 16,063
Illinova Corp 0 -- 0 -- 1,011 32,226
<CAPTION>
LifePath 2030 LifePath 2040
------------------------------ ------------------------------
Shares Value Shares Value
-----------------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
TRANSPORTATION
Percent of Net Assets 0.53% 0.62%
Alexander & Baldwin Inc 990 23,946 2,490 60,227
Burlington Northern Santa Fe 6,495 188,355 13,752 398,808
Canadian National Railway Co 11 699 23 1,462
Carnival Corp Class A 6,699 299,362 11,828 528,564
CNF Transportation Inc 1,026 39,950 2,318 90,257
Consolidated Freightways Corp + 255 2,757 603 6,520
CSX Corp 2,858 124,859 6,262 273,571
Fritz Companies Inc + 0 -- 353 4,015
Galileo International Inc 693 33,611 1,655 80,268
Hunt (J B) Transport Services 0 -- 0 --
Kansas City Southern Industries 2,024 93,737 6,323 292,834
Laidlaw Inc Class B 4,507 28,169 9,017 56,356
Norfolk Southern Corp 5,598 146,598 11,812 309,327
Overseas Shipholding Group 362 5,045 331 4,613
Pittston Brink's Group 1,020 24,289 2,512 59,817
Pittston Burlington Group 197 1,761 455 4,067
Roadway Express Inc 217 4,571 317 6,677
Tidewater Inc 1,326 43,095 3,284 106,730
Trinity Industries Inc 903 28,332 2,113 66,295
Union Pacific Corp 3,333 162,275 7,050 343,247
Viad Corp 2,257 67,569 4,512 135,078
Wisconsin Central Transport + 1,350 21,516 2,850 45,422
Xtra Corp + 179 8,111 442 20,028
Yellow Corp + 267 4,239 386 6,128
-------------- ---------------
TOTAL TRANSPORTATION
- VALUE $ 1,352,846 $ 2,900,311
- COST $ 1,324,987 $ 3,071,209
UTILITIES
Percent of Net Assets 1.26% 1.43%
AES Corp + 2,330 141,402 5,045 306,168
Allegheny Energy Inc 0 -- 0 --
Alliant Energy Corp 1,735 50,207 377 10,909
Ameren Corp 1,895 75,918 4,050 162,253
American Electric Power Inc 2,525 91,689 5,475 198,811
American Water Works Co Inc 1,607 46,804 3,456 100,656
Azurix Corp + 100 1,856 200 3,713
Carolina Power & Light Co 2,164 78,716 4,414 160,559
Central & South West Corp 2,747 62,151 5,853 132,424
Cinergy Corp 2,026 61,540 4,484 136,202
Conectiv Inc 973 20,859 1,007 21,588
Consolidated Edison Inc 3,137 138,028 6,653 292,732
Constellation Energy Group 2,079 61,590 4,247 125,817
Dominion Resources Inc 2,624 121,360 5,671 262,284
DTE Energy Co 2,032 80,137 4,176 164,691
Duke Power Co 5,109 293,768 10,436 600,070
Edison International 4,970 126,114 10,207 259,003
El Paso Energy Corp 0 -- 0 --
Energy East Corp 0 -- 0 --
Entergy Corp 3,309 98,650 6,824 203,441
FirstEnergy Corp 3,185 90,972 6,725 192,083
Florida Progress Corp 0 -- 100 4,688
FPL Group Inc 2,310 124,740 5,234 282,636
GPU Inc 1,771 60,435 3,702 126,331
Hawaiian Electric Industries Inc 606 21,551 1,472 52,348
Idacorp Inc 0 -- 0 --
Illinova Corp 0 -- 0 --
</TABLE>
28
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS
AUGUST 31, 1999
Portfolio of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
----------------------- ------------------------- -----------------------
Shares Value Shares Value Shares Value
- -------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
COMMON STOCKS (Continued)
IPALCO Enterprises Inc 0 -- 0 -- 1,646 34,463
Kansas City Power & Light Co 0 -- 0 -- 837 20,140
Keyspan Corp 0 -- 0 -- 630 18,585
LG & E Energy Corp 0 -- 0 -- 870 20,010
Midamerican Energy Holdings Co + 0 -- 0 -- 789 22,585
Minnesota Power & Light Co 698 12,433 476 8,479 842 14,998
Montana Power Co 0 -- 0 -- 1,544 47,768
National Power ADR (UK) 738 21,402 2,500 72,500 6,031 174,899
New Century Energies Inc 0 -- 20 723 1,221 44,109
New England Electric System 0 -- 0 -- 884 46,134
Niagra Mohawk Holdings Inc + 171 2,586 1,022 15,458 3,117 47,145
Nisource Inc 0 -- 0 -- 1,879 44,626
Northeast Utilities + 0 -- 0 -- 1,779 31,244
Northern States Power Co 90 2,121 1,110 26,154 2,744 64,656
OGE Energy Corp 0 -- 0 -- 1,173 27,566
Pacificorp 317 6,479 1,868 38,177 4,955 101,268
PECO Energy Co 242 9,831 1,303 52,934 3,582 145,519
PG & E Corp 446 13,519 2,365 71,689 6,159 186,695
Pinnacle West Capital Corp 0 -- 0 -- 1,269 48,222
Potomac Electric Power Co 0 -- 0 -- 1,683 44,600
PP & L Resources Inc 87 2,436 910 25,480 2,577 72,156
Public Service Company Of New Mexico 0 -- 0 -- 570 10,723
Puget Sound Power & Light Co 0 -- 0 -- 851 20,158
Reliant Energy Inc 344 9,525 1,793 49,644 4,909 135,918
SCANA Corp 0 -- 0 -- 1,367 34,175
Sempra Energy 248 5,534 1,463 32,643 3,923 87,532
Sierra Pacific Resources 444 10,823 317 7,727 571 13,918
Southern Co 765 20,703 4,275 115,692 11,275 305,130
TECO Energy Inc 0 -- 0 -- 1,668 35,028
Texas Utilities Co 161 6,510 1,649 66,681 4,618 186,740
Unicom Corp 128 4,944 1,254 48,436 3,467 133,913
Wisconsin Energy Corp 0 -- 0 -- 1,542 37,683
----------- ------------- --------------
TOTAL UTILITIES
- VALUE $ 269,424 $ 1,466,787 $ 4,765,108
- COST $ 255,205 $ 1,346,241 $ 4,107,093
<CAPTION>
LifePath 2030 LifePath 2040
-------------------------- --------------------------
Shares Value Shares Value
--------------------------------------------------------
<S> <C> <C> <C> <C>
COMMON STOCKS (Continued)
IPALCO Enterprises Inc 0 -- 0 --
Kansas City Power & Light Co 0 -- 0 --
Keyspan Corp 0 -- 0 --
LG & E Energy Corp 0 -- 0 --
Midamerican Energy Holdings Co + 0 -- 0 --
Minnesota Power & Light Co 624 11,115 692 12,326
Montana Power Co 0 -- 0 --
National Power ADR (UK) 5,421 157,209 12,015 348,435
New Century Energies Inc 100 3,613 200 7,225
New England Electric System 0 -- 0 --
Niagra Mohawk Holdings Inc + 2,466 37,298 5,359 81,055
Nisource Inc 0 -- 0 --
Northeast Utilities + 0 -- 0 --
Northern States Power Co 2,196 51,743 4,413 103,981
OGE Energy Corp 0 -- 0 --
Pacificorp 3,981 81,362 8,344 170,531
PECO Energy Co 3,005 122,078 6,377 259,066
PG & E Corp 5,181 157,049 11,132 337,439
Pinnacle West Capital Corp 0 -- 0 --
Potomac Electric Power Co 0 -- 0 --
PP & L Resources Inc 2,013 56,364 4,787 134,036
Public Service Company Of New Mexico 420 7,901 0 --
Puget Sound Power & Light Co 0 -- 0 --
Reliant Energy Inc 3,940 109,089 8,477 234,707
SCANA Corp 0 -- 0 --
Sempra Energy 3,229 72,047 6,820 152,171
Sierra Pacific Resources 421 10,262 397 9,677
Southern Co 9,471 256,309 20,210 546,933
TECO Energy Inc 0 -- 0 --
Texas Utilities Co 3,806 153,905 7,936 320,912
Unicom Corp 2,859 110,429 6,137 237,042
Wisconsin Energy Corp 0 -- 0 --
------------- --------------
TOTAL UTILITIES
- VALUE $ 3,246,260 $ 6,754,943
- COST $ 2,920,882 $ 6,201,118
</TABLE>
29
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS AUGUST 31, 1999
(Unaudited) Portfolio Of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
------------------- --------------- -----------------
Shares Value Shares Value Shares Value
- ----------------------------------------------------------------------------------------------------------------
WARRANTS
<S> <C> <C> <C> <C> <C> <C>
Percent of Net Assets 0.00% 0.00% 0.00%
Edison Brothers Stores (09/26/05) + 0 -- 0 -- 16 --
Golden State Bancorp (01/01/01) + 200 300 500 766 800 1,200
Marvel Enterprises (10/02/01) + 0 -- 14 8 105 57
Morrison Knudsen Corp (03/11/03) + 4 13 17 56 27 89
Total Fina (08/08/03) + 0 -- 81 1,924 81 1,924
------------- ------------ ---------------
TOTAL WARRANTS
- - VALUE $ 313 $ 2,754 $ 3,270
- - COST $ 1,154 $ 2,259 $ 9,201
TOTAL COMMON STOCKS
- - VALUE $ 21,461,786 $ 91,535,859 $ 240,092,251
- - COST $ 15,593,056 $ 64,506,093 $ 169,400,711
<CAPTION>
LifePath 2030 LifePath 2040
------------------- -----------------
Shares Value Shares Value
- ------------------------------------------------------------------------------------------
WARRANTS
<S> <C> <C> <C> <C>
Percent of Net Assets 0.00% 0.00%
Edison Brothers Stores (09/26/05) 0 -- 0 --
Golden State Bancorp (01/01/01) 900 1,378 1,900 2,850
Marvel Enterprises (10/02/01) 14 8 44 24
Morrison Knudsen Corp (03/11/03) 25 83 42 139
Total Fina (08/08/03) 81 1,924 162 3,848
--------------- ---------------
TOTAL WARRANTS
- - VALUE $ 3,393 $ 6,861
- - COST $ 4,847 $ 7,981
TOTAL COMMON STOCKS
- - VALUE $ 200,751,399 $ 451,696,650
- - COST $ 140,264,186 $ 331,265,110
</TABLE>
30
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS AUGUST 31, 1999
(Unaudited) Portfolio Of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
-------------------------------- ----------------------------- ----------------------------
Principal Value Principal Value Principal Value
- ---------------------------------------------------------------------------------------------------------------------------------
U.S. TREASURY SECURITIES
<S> <C> <C> <C> <C> <C> <C>
Percent of Net Assets 60.94% 48.41% 30.47%
U.S. TREASURY BONDS
Percent of Net Assets 9.81% 6.24% 5.46%
U.S. Treasury Bonds, 4.75%-14.00%, 8,950,000 10,316,968 12,000,000 13,997,643 17,650,000 20,398,735
02/15/01-11/15/28
----------------- ----------------- ----------------
TOTAL U.S. TREASURY BONDS
- VALUE $ 10,316,968 $ 13,997,643 $ 20,398,735
- COST $ 10,538,767 $ 14,183,529 $ 21,203,865
U.S. TREASURY NOTES
Percent of Net Assets 51.13% 42.17% 25.01%
U.S. Treasury Notes, 4.00%-8.50%, 53,175,000 53,777,368 93,620,000 94,598,856 92,705,000 93,489,258
09/30/00-11/15/08
----------------- ----------------- ----------------
TOTAL U.S. TREASURY
NOTES
- VALUE $ 53,777,368 $ 94,598,856 $ 93,489,258
- COST $ 54,399,156 $ 96,064,365 $ 94,778,500
TOTAL U.S. TREASURY
SECURITIES
- VALUE $ 64,094,336 $108,596,499 $ 113,887,993
- COST $ 64,937,923 $110,247,894 $ 115,982,365
<CAPTION>
LifePath 2030 LifePath 2040
------------------------------ ---------------------------
Principal Value Principal Value
- ----------------------------------------------------------------------------------------------------
U.S. TREASURY SECURITIES
<S> <C> <C> <C> <C>
Percent of Net Assets 16.61% 3.52%
U.S. TREASURY BONDS
Percent of Net Assets 11.20% 3.15%
U.S. Treasury Bonds, 4.75%-14.00%, 24,890,000 28,842,775 12,700,000 14,847,206
02/15/01-11/15/28
--------------- -------------
TOTAL U.S. TREASURY BONDS
- VALUE $ 28,842,775 $ 14,847,206
- COST $ 29,660,493 $ 15,645,288
U.S. TREASURY NOTES
Percent of Net Assets 5.41% 0.37%
U.S. Treasury Notes, 4.00%-8.50%, 13,750,000 13,919,777 1,700,000 1,732,401
09/30/00-11/15/08
----------------- -------------
TOTAL U.S. TREASURY
NOTES
- VALUE $ 13,919,777 $ 1,732,401
- COST $ 14,260,878 $ 1,743,504
TOTAL U.S. TREASURY
SECURITIES
- VALUE $ 42,762,552 $ 16,579,607
- COST $ 43,921,371 $ 17,388,792
</TABLE>
31
<PAGE>
MASTER INVESTMENT PORTFOLIO--LIFEPATH MASTER PORTFOLIOS AUGUST 31, 1999
(Unaudited) Portfolio Of Investments
<TABLE>
<CAPTION>
LifePath 2000 LifePath 2010 LifePath 2020
---------------------------- ------------------------ --------------------------
Principal Value Principal Value Principal Value
- ---------------------------------------------------------------------------------------------------------------------------------
SHORT TERM INSTRUMENTS
<S> <C> <C> <C> <C> <C> <C>
Percent of Net Assets 19.94% 14.54% 11.50%
CASH EQUIVALENTS
Percent of Net Assets 1.94% 6.62% 7.45%
Dreyfus Institutional Money Market Fund,
0.00%, 01/00/00 ++ 45,280 45,280 953,557 953,557 228,174 228,174
Janus Institutional Money Market Fund,
0.00%, 01/00/00 ++ 0 -- 8,900,000 8,900,000 9,500,000 9,500,000
Merrimac Institutional Money Market Fund,
0.00%, 01/00/00 ++ 2,000,000 2,000,000 5,000,000 5,000,000 18,100,000 18,100,000
-------------- ------------- --------------
TOTAL CASH EQUIVALENTS
- - VALUE $ 2,045,280 $ 14,853,557 $ 27,828,174
- - COST $ 2,045,280 $ 14,853,557 $ 27,828,174
REPURCHASE AGREEMENTS
Percent of Net Assets 18.00% 7.92% 4.05%
Morgan Stanley Tri Party Repurchase
Agreement, dated 8/31/99, due 9/1/99,
with a maturity value of $62,640,800 and
and an effective yield of 5.14%
collateralized by U.S. Government obligations
with a rate of 5.28%, with a maturity
of 9/15/99 and with an aggregate market
value of $63,722,191., 0.00%, 01/00/00 18,930,118 18,930,118 17,760,821 17,760,821 15,132,858 15,132,858
-------------- ------------- --------------
TOTAL REPURCHASE AGREEMENTS
- - VALUE $ 18,930,118 $ 17,760,821 $ 15,132,858
- - COST $ 18,930,118 $ 17,760,821 $ 15,132,858
TOTAL SHORT TERM INSTRUMENTS
- - VALUE $ 20,975,398 $ 32,614,378 $ 42,961,032
- - COST $ 20,975,398 $ 32,614,378 $ 42,961,032
TOTAL INVESTMENTS IN SECURITES
- - VALUE $ 106,531,520 $ 232,746,736 $ 396,941,276
- - COST $ 101,506,377 $ 207,368,365 $ 328,344,108
-------------- ------------- --------------
TOTAL INVESTMENTS IN SECURITES 101.28% $ 106,531,520 103.76% $ 232,746,736 106.21% $ 396,941,276
Other Assets and Liabilities, Net (1.28)% $ (1,346,499) (3.76)% (8,440,441) (6.21)% (23,191,506)
------------------------- ------------------------- ------------------------
TOTAL NET ASSETS 100.00% 105,185,021 100.00% $ 224,306,295 100.00% $ 373,749,770
========================= ========================= ========================
+ Non-income earning securities.
++ Represents investment of collateral
received from securities lending transactions.
See Note 4 ** Cost for federal income tax
purposes is $101,506,377, $207,368,365, $328,
344,108, $206,828,678, $394,677,438 for Life
path 2000, Lifepath 2010, Lifepath 2020,
lifepath 2030, and life path 2040,
respectively and net unrealized appreciation
consists of :
Gross Unrealized Appreciation $ 7,119,393 $ 30,270,627 $ 77,305,315
Gross Unrealized Depreciation (2,094,250) (4,892,256) (8,708,147)
-------------- ------------- --------------
Net Unrealized Appreciation $ 5,025,143 $ 25,378,371 $ 68,597,168
============== ============= ==============
<CAPTION>
LifePath 2030 LifePath 2040
--------------------------- ----------------------------
Principal Value Principal Value
- --------------------------------------------------------------------------------------------------------------
SHORT TERM INSTRUMENTS
<S> <C> <C> <C> <C>
Percent of Net Assets 8.79% 9.76%
CASH EQUIVALENTS
Percent of Net Assets 6.03% 9.02%
Dreyfus Institutional Money Market Fund,
0.00%, 01/00/00 625,104 625,104 513,468 513,468
Janus Institutional Money Market Fund,
0.00%, 01/00/00 4,900,000 4,900,000 21,000,000 21,000,000
Merrimac Institutional Money Market Fund,
0.00%, 01/00/00 10,000,000 10,000,000 21,000,000 21,000,000
-------------- --------------
TOTAL CASH EQUIVALENTS
- - VALUE $ 15,525,104 $ 42,513,468
- - COST $ 15,525,104 $ 42,513,468
REPURCHASE AGREEMENTS
Percent of Net Assets 2.76% 0.74%
Morgan Stanley Tri Party Repurchase
Agreement, dated 8/31/99, due 9/1/99,
with a maturity value of $62,640,800 and
and an effective yield of 5.14%
collateralized by U.S. Government obligations
with a rate of 5.28%, with a maturity
of 9/15/99 and with an aggregate market
value of $63,722,191., 0.00%, 01/00/00 7,118,017 7,118,017 3,510,068 3,510,068
-------------- --------------
TOTAL REPURCHASE AGREEMENTS
- - VALUE $ 7,118,017 $ 3,510,068
- - COST $ 7,118,017 $ 3,510,068
TOTAL SHORT TERM INSTRUMENTS
- - VALUE $ 22,643,121 $ 46,023,536
- - COST $ 22,643,121 $ 46,023,536
TOTAL INVESTMENTS IN SECURITES
- - VALUE $ 266,157,072 $ 514,299,793
- - COST $ 206,828,678 $ 394,677,438
-------------- --------------
TOTAL INVESTMENTS IN SECURITES 103.36% $ 266,157,072 109.08% $ 514,299,793
Other Assets and Liabilities, Net (3.36)% (8,643,579) (9.08)% (42,822,285)
------------------------- -------------------------
TOTAL NET ASSETS 100.00% $ 257,513,493 100.00% $ 471,477,508
========================= =========================
+ Non-income earning securities.
++ Represents investment of collateral
received from securities lending transactions
See Note 4 ** Cost for federal income tax
purposes is $101,506,377, $207,368,365, $328
344,108, $206,828,678, $394,677,438 for Life
path 2000, Lifepath 2010, Lifepath 2020,
lifepath 2030, and life path 2040,
respectively and net unrealized appreciation
consists of :
Gross Unrealized Appreciation $ 67,175,473 $ 136,346,878
Gross Unrealized Depreciation (7,847,079) (16,724,523)
-------------- --------------
Net Unrealized Appreciation $ 59,328,394 $ 119,622,355
============== ==============
</TABLE>
The accompanying notes are an integral
part of the financial statements
32
<PAGE>
Statement of Assets and Liabilities - August 31, 1999 (Unaudited)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Master Investment Master Investment Master Investment
Portfolio Portfolio Portfolio
LifePath 2000 LifePath 2010 LifePath 2020
Master Portfolio Master Portfolio Master Portfolio
- -----------------------------------------------------------------------------------------------------------------------------
ASSETS
<S> <C> <C> <C>
Investments:
In securities, at market value (see cost below) (Note 1) $ 106,531,520 $ 232,746,736 $ 396,941,276
Cash 0 422 975
Receivables:
Investments sold 88 4,946,733 4,050,461
Dividends and Interest 797,324 1,676,591 1,818,319
Total Assets 107,328,932 239,370,482 402,811,031
LIABILITIES
Payables:
Investment securities purchased 0 0 884,374
Collateral for securities loaned (Note 4) 2,045,280 14,853,557 27,828,174
Due to BGI (Note 2) 98,631 210,630 348,713
Total Liabilities 2,143,911 15,064,187 29,061,261
TOTAL NET ASSETS $ 105,185,021 $ 224,306,295 $ 373,749,770
INVESTMENTS AT COST $ 101,506,377 $ 207,368,365 $ 328,344,108
- -----------------------------------------------------------------------------------------------------------------------------
<CAPTION>
Master Investment Master Investment
Portfolio Portfolio
LifePath 2030 LifePath 2040
Master Portfolio Master Portfolio
- --------------------------------------------------------------------------------------------------------
ASSETS
<S> <C> <C>
Investments:
In securities, at market value (see cost below) (Note 1) $ 266,157,072 $514,299,793
Cash 0 0
Receivables:
Investments sold 6,825,504 6,323,726
Dividends and Interest 893,408 1,021,776
Total Assets 273,875,984 521,645,295
LIABILITIES
Payables:
Investment securities purchased 593,613 7,204,663
Collateral for securities loaned (Note 4) 15,525,104 42,513,468
Due to BGI (Note 2) 243,774 449,656
Total Liabilities 16,362,491 50,167,787
TOTAL NET ASSETS $ 257,513,493 $471,477,508
INVESTMENTS AT COST $ 206,828,678 $394,677,438
- --------------------------------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of these financial statements.
<PAGE>
Statement of Operations - For the Six Months Ended August 31, 1999 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Master Investment Master Investment Master Investment
Portfolio Portfolio Portfolio
LifePath 2000 LifePath 2010 LifePath 2020
Master Portfolio Master Portfolio Master Portfolio
- ---------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME
<S> <C> <C> <C>
Dividends $ 200,251 $ 885,027 $ 2,050,305
Interest 2,425,218 3,769,186 3,601,034
Total Investment Income 2,625,469 4,654,213 5,651,339
EXPENSES (NOTE 2)
Advisory Fees 318,397 676,003 1,057,954
Total Expenses 318,397 676,003 1,057,954
NET INVESTMENT INCOME (LOSS) 2,307,072 3,978,210 4,593,385
REALIZED AND UNREALIZED GAIN
(LOSS) ON INVESTMENTS
Net realized gain (loss) on sale of investments 1,266,502 13,220,474 23,855,929
Net change in unrealized appreciation (depreciation) of investments (1,145,884) (8,153,521) (10,029,585)
Net Gain (Loss) on Investments 120,618 5,066,953 13,826,344
NET INCREASE (DECREASE) IN NET ASSETS RESULTING
FROM OPERATIONS $ 2,427,690 $ 9,045,163 $18,419,729
- ---------------------------------------------------------------------------------------------------------------------------------
Net of foreign withholding tax of: $ 4,136 $ 17,472 $ 41,232
Interest income includes securities lending income of: $ 9,198 $ 25,157 $ 51,104
<CAPTION>
Master Investment Master Investment
Portfolio Portfolio
LifePath 2030 LifePath 2040
Master Portfolio Master Portfolio
- -------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME
<S> <C> <C>
Dividends $ 1,851,342 $ 3,762,173
Interest 1,588,991 664,154
Total Investment Income 3,440,333 4,426,327
EXPENSES (NOTE 2)
Advisory Fees 780,861 1,419,531
Total Expenses 780,861 1,419,531
NET INVESTMENT INCOME (LOSS) 2,659,472 3,006,796
REALIZED AND UNREALIZED GAIN
(LOSS) ON INVESTMENTS
Net realized gain (loss) on sale of investments 26,438,411 38,479,075
Net change in unrealized appreciation (depreciation) of investment (12,474,479) (5,422,748)
Net Gain (Loss) on Investments 13,963,932 33,056,327
NET INCREASE (DECREASE) IN NET ASSETS RESULTING
FROM OPERATIONS $16,623,404 $36,063,123
- -------------------------------------------------------------------------------------------------------------
Net of foreign withholding tax of: $ 37,584 $ 74,477
Interest income includes securities lending income of: $ 40,635 $ 86,710
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Statements of Changes in Net Assets
- -----------------------------------------------------------------------------------------------------------------------------------
Master Investment Portfolio Master Investment
LifePath 2000 Master Portfolio LifePath 2010 Master Portfolio
----------------------------------- -----------------------------------
For the Six For the Six
Months Ended For the Months Ended For the
August 31, 1999 Year Ended August 31, 1999 Year Ended
(Unaudited) February 28, 1999 (Unaudited) February 28, 1999
----------------------------------- -----------------------------------
<S> <C> <C> <C> <C>
INCREASE (DECREASE) IN NET ASSETS
Operations:
Net investment income (loss) $ 2,307,072 $ 4,542,654 $ 3,978,210 $ 7,047,953
Net realized gain (loss) on sale of investments 1,266,502 4,718,618 13,220,474 13,218,840
Net change in unrealized appreciation
(depreciation) of investments (1,145,884) (1,372,957) (8,153,521) 2,322,667
Net increase (decrease) in net assets
resulting from operations 2,427,690 7,888,315 9,045,163 22,589,460
Net increase (decrease) in net assets
resulting from beneficial interest transactions (13,983,079) (7,346,906) (28,299,930) 12,753,903
Increase (Decrease) in Net Assets (11,555,389) 541,409 (19,254,767) 35,343,363
NET ASSETS:
Beginning net assets 116,740,410 116,199,001 243,561,062 208,217,699
Ending net assets $ 105,185,021 $ 116,740,410 $ 224,306,295 $ 243,561,062
<CAPTION>
Master Investment Portfolio Master Investment Portfolio
LifePath 2020 Master Portfolio LifePath 2030 Master Portfolio
----------------------------------- -----------------------------------
For the Six For the Six
Months Ended For the Months Ended For the
August 31, 1999 Year Ended August 31, 1999 Year Ended
(Unaudited) February 28, 1999 (Unaudited) February 28, 1999
----------------------------------- -----------------------------------
<S> <C> <C> <C> <C>
INCREASE (DECREASE) IN NET ASSETS
Operations:
Net investment income (loss) $ 4,593,385 $ 7,913,106 $ 2,659,472 $ 4,472,364
Net realized gain (loss) on sale of investments 23,855,929 24,960,119 26,438,411 17,728,114
Net change in unrealized appreciation
(depreciation) of investments (10,029,585) 7,187,708 (12,474,479) 10,724,507
Net increase (decrease) in net assets
resulting from operations 18,419,729 40,060,933 16,623,404 32,924,985
Net increase (decrease) in net assets
resulting from beneficial interest transactions (10,833,592) (168,062) (35,940,329) 10,295,060
Increase (Decrease) in Net Assets 7,586,137 39,892,871 (19,316,925) 43,220,045
NET ASSETS:
Beginning net assets 366,163,633 326,270,762 276,830,418 233,610,373
Ending net assets $ 373,749,770 $ 366,163,633 $ 257,513,493 $ 276,830,418
<CAPTION>
Master Investment Portfolio
LifePath 2040 Master Portfolio
-----------------------------------
For the Six
Months Ended For the
August 31, 1999 Year Ended
(Unaudited) February 28, 1999
-----------------------------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS
Operations:
Net investment income (loss) $ 3,006,796 $ 5,019,405
Net realized gain (loss) on sale of investments 38,479,075 34,827,042
Net change in unrealized appreciation
(depreciation) of investments (5,422,748) 23,947,962
Net increase (decrease) in net assets
resulting from operations 36,063,123 63,794,409
Net increase (decrease) in net assets
resulting from beneficial interest transactions (57,104,500) 23,995,369
Increase (Decrease) in Net Assets (21,041,377) 87,789,778
NET ASSETS:
Beginning net assets 492,518,885 404,729,107
Ending net assets $ 471,477,508 $ 492,518,885
- --------------------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of these financial statements.
<PAGE>
LifePath Funds Notes to Financial Statements (Unaudited)
- --------------------------------------------------------------------------------
1. Significant Accounting Policies
Organization
Master Investment Portfolio ("MIP") is registered under the Investment
Company Act of 1940, as amended (the "1940 Act"), as an open-end management
investment company. MIP was organized on October 21, 1993, as a Delaware
business trust pursuant to an Agreement and Declaration of Trust dated May 14,
1993, and had no operations prior to May 26, 1994. MIP currently issues the
following separate portfolios (the "Master Portfolios"): the Asset Allocation,
Bond Index, Extended Index, LifePath 2000, LifePath 2010, LifePath 2020,
LifePath 2030, LifePath 2040, Money Market, S&P 500 Index, U.S. Equity Index and
U.S. Treasury Allocation Master Portfolios. These financial statements contain
the LifePath 2000, LifePath 2010, LifePath 2020, LifePath 2030 and LifePath 2040
Master Portfolios.
The following significant accounting policies are consistently followed by
MIP in the preparation of its financial statements, and such policies are in
conformity with generally accepted accounting principles for investment
companies. 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
disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of revenue and expenses during the reporting
period. Actual results could differ from those estimates.
Investment Policy and Security Valuation
Each Master Portfolio covered by this report follows an asset allocation
strategy among three broad investment classes: equity and debt securities of
issuers located throughout the world and cash in the form of money market
instruments. The equity securities of the Master Portfolios are valued at the
last reported sale price on the primary securities exchange or national
securities market on which such securities are traded. Securities not listed on
an exchange or national securities market, or securities in which there was no
last reported sales price, are valued at the most recent bid prices. U.S.
Government obligations are valued at the last reported bid price. Other debt
securities are generally traded in the over-the-counter market and are valued at
a price deemed best to reflect fair value as quoted by dealers who make markets
in those securities or by an independent pricing source. Debt securities
maturing in 60 days or less are valued at amortized cost, which approximates
market value. Any securities, restricted securities or other assets for which
market quotations are not readily available, are valued at fair value as
determined in good faith in accordance with policies approved by MIP's Board of
Trustees.
Security Transactions and Income Recognition
Security transactions are accounted for on the date the securities are
purchased or sold (trade date). Dividend income is recognized on the ex-dividend
date, and interest income is recognized on a daily accrual basis. Realized gains
or losses are reported on the basis of identified cost of securities delivered.
Bond discounts and premiums, except for the Money Market Master Portfolio, are
amortized under provisions of the Internal Revenue Code of 1986, as amended (the
"Code").
Federal Income Taxes
Each Master Portfolio intends to qualify as a partnership for federal
income tax purposes. Each Master Portfolio therefore believes that it will not
be subject to any federal income tax on its income and net realized capital
gains (if any). However, each investor in a Master Portfolio will be taxed on
its allocable share of the partnership's income and capital gains for the
purposes of determining its federal income tax liability. The determination of
such share will be made in accordance with the applicable sections of the Code.
It is intended that each Master Portfolio's assets, income and allocations
will be managed in such a way that a regulated investment company investing in a
Master Portfolio will be able to satisfy the requirements of Subchapter M of the
Code, assuming that the investment company invested all of its assets in the
corresponding Master Portfolio.
<PAGE>
Futures Contracts
The LifePath 2000, LifePath 2010, LifePath 2020, LifePath 2030, and
LifePath 2040 Master Portfolios may purchase futures contracts to gain exposure
to market changes, as this may be more efficient or cost effective that actually
buying the securities. A futures contract is an agreement between two parties to
buy and sell a security at a set price on a future date and is exchange traded.
Upon entering into a futures contract, the LifePath 2000, LifePath2010, LifePath
2020, LifePath 2030, and LifePath 2040 Master Portfolios are required to pledge
to the broker an amount of cash, U.S. Government securities or other high-
quality debt securities equal to the minimum "initial margin" requirements of
the exchange. Pursuant to the contract, the Master Portfolios agree to receive
from or pay to the broker an amount of cash equal to the daily fluctuation in
the value of the contract. Such receipts or payments are known as "variation
margin" and are recorded by the Master Portfolios as unrealized gains or losses.
When the contract is closed, the Master Portfolios record a gain or loss equal
to the difference between the value of the contract at the time it was opened
and the value at the time it was closed. Pursuant to regulations and/or
published positions of the Securities and Exchange Commission, the Master
Portfolios are required to segregate cash, U.S. Government obligations or high
quality, liquid debt instruments in connection with futures transactions in an
amount generally equal to the entire futures contract amount. Risks of entering
into futures contracts include the possibility that there may be an illiquid
market and that a change in the value of the contracts may not correlate with
changes in the value of the underlying securities. As of August 31, 1999, the
Master Portfolios had no open futures contracts outstanding.
Repurchase Agreements
Transactions involving purchases of securities under agreements to resell
such securities at a specified price and time ("repurchase agreements") are
treated as collateralized financing transactions and are recorded at their
contracted resale amounts. These repurchase agreements, if any, are detailed in
each Master Portfolio's Portfolio of Investments. The adviser to the Master
Portfolios may pool each Master Portfolio's cash and invest in repurchase
agreements entered into by the other Master Portfolios. Each Master Portfolio's
prospectus requires that the cash investments be fully collateralized based on
values that are marked to market daily. The collateral is generally held by an
agent bank under a tri-party agreement. It is the advisor's responsibility to
value collateral daily and to obtain additional collateral as necessary to
maintain the value at equal to or greater than 102% of market value. The
repurchase agreements entered into on August 31, 1999, by the Master Portfolios
are collateralized by U.S. Government Securities.
2. Agreements and Other Transactions with Affiliates
Pursuant to an Investment Advisory Contract with each Master Portfolio,
Barclays Global Fund Advisors ("BGFA") provides investment guidance and policy
direction in connection with the management of each Master Portfolio's assets.
BGFA is entitled to receive 0.55% of the average daily net assets of the
LifePath Master Portfolios as compensation for its advisory services to such
Master Portfolios. BGFA is an indirect subsidiary of Barclays Bank PLC.
Investors Bank & Trust Company ("IBT") serves as the custodian to each
Master Portfolio. IBT will not be entitled to receive fees for its custodial
services so long as it is entitled to receive a separate fee from Barclays
Global Investors, N.A. ("BGI") for its services as SubAdministrator of each
Master Portfolio.
Stephens Inc. ("Stephens"), is the co-administrator, sponsor and placement
agent for the Master Portfolios.
Certain officers and directors of MIP are also officers of Stephens. As of
August 31, 1999, these officers of Stephens collectively owned less than 1% of
the Master Portfolios' outstanding beneficial interests.
3. Investment Portfolio Transactions
Purchases and sales of investments, exclusive of short-term securities, for
each Master Portfolio for the six months ended August 31, 1999, were as follows:
<PAGE>
<TABLE>
<CAPTION>
Aggregate Purchases LifePath 2000 LifePath 2010 LifePath 2020 LifePath 2030 LifePath 2040
and Sales of: Master Portfolio Master Portfolio Master Portfolio Master Portfolio Master Portfolio
- ------------------------------------------------------------------------------------------------------------------------------------
U.S. GOVERNMENT OBLIGATIONS:
<S> <C> <C> <C> <C> <C>
Purchases at cost $ 34,255,606 $ 56,553,696 $ 75,360,961 $ 24,377,716 $ 29,067,855
Sales proceeds 32,325,251 50,614,583 54,271,293 19,379,856 19,862,906
OTHER SECURITIES:
Purchases at cost $ 897,460 $ 15,855,485 $ 31,975,454 $ 12,157,655 $ 29,215,184
Sales proceeds 5,069,634 29,910,324 52,325,482 55,399,216 91,565,848
</TABLE>
4. Portfolio Securities Loaned
As of August 31, 1999, certain Master Portfolios had loaned securities
which were collateralized by cash. Each Master Portfolio receives transaction
fees for providing services in connection with the securities lending program.
The risks to the Portfolios of securities lending are that the borrower may not
provide additional collateral when required or return the securities when due.
The value of the securities on loan and the value of the related collateral were
as follows:
Securities Collateral
-----------------------------------------------------------------------------
Lifepath 2000 Master Portfolio $ 2,033,801 $ 2,045,280
Lifepath 2010 Master Portfolio $14,769,946 $14,853,557
Lifepath 2020 Master Portfolio $27,613,330 $27,828,174
Lifepath 2030 Master Portfolio $15,469,354 $15,525,104
Lifepath 2040 Master Portfolio $42,404,595 $42,513,468
5. Financial Highlights
The portfolio turnover rates, excluding short-term securities, for the
Master Portfolios are as follows:
<TABLE>
<CAPTION>
For the
Six Months
Ended For the For the For the For the For the
August 31, Year Ended Year Ended Year Ended Year Ended Year Ended
1999 February 28, February 28, February 28, February 28, February 28,
(Unaudited) 1999 1998 1997 1996 1995
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
LifePath 2000 Master Portfolio 32% 66% 39% 108% 84% 17%
LifePath 2010 Master Portfolio 31% 38% 46% 73% 39% 24%
LifePath 2020 Master Portfolio 29% 36% 41% 61% 49% 28%
LifePath 2030 Master Portfolio 14% 19% 27% 42% 39% 40%
LifePath 2040 Master Portfolio 12% 19% 34% 48% 29% 5%
</TABLE>
|
|