THERMO OPPORTUNITY FUND
Thermo Opportunity Fund, inc.
Semi-Annual Report
May 31, 1997
(Unaudited)
<PAGE>
<PAGE>
THERMO OPPORTUNITY FUND, INC.
312 Walnut Street, 21st Floor
Cincinnati, Ohio 45202
Nationwide: (Toll Free) 800-543-8721
Cincinnati: 629-2000
BOARD OF DIRECTORS
Francis S. Branin, Jr.
Blair M. Brewster
Henson L. Jones, Jr.
Hollis S. McLoughlin
Gregory E. Ratte
INVESTMENT ADVISER
Brundage, Story and Rose, LLC
One Broadway
New York, New York 10004
TRANSFER AGENT
Fifth Third Bank
38 Fountain Square Plaza
Cincinnati, Ohio 45263
SHAREHOLDER SERVICES
Nationwide: (Toll Free) 800-320-2212
Cincinnati: 629-2070
<PAGE>
The Thermo Opportunity Fund, Inc.
Thermo Opportunity Fund is a non-diversified, closed-end management
investment company that invests primarily in securities issued by subsidiaries
of Thermo Electron Corporation (Thermo Electron or TMO). The Fund's investment
objective is to seek long-term capital appreciation.
Stock
ASE Symbol TMF
Market Price
as of 5/31/97 $11.875
Net Asset Value
as of 5/31/97 $12.40
Shares Outstanding 1,760,417
Pie Chart:
Portfolio Sectors
Common Stocks:
TMO Subsidiaries 83.6%
Common Stocks:
Non-TMO Subsidiaries 4.2%
Private Placements 8.6%
Cash 2.3%
Convertible Bonds 1.3%
<PAGE>
LETTER TO SHAREHOLDERS JULY 22, 1997
Dear Fellow Shareholders:
For the six months ended May 31, 1997, there was substantial progress in the
underlying fundamentals in a number of the companies held in your Fund. This has
not yet been reflected in the stock market performance for these investments.
Accordingly, your Fund has lagged the overall market, despite being up 27.5%
from the low experienced in the market selloff in stocks in April.
Looking back, the market's continued preference for large capitalization stocks
and the capital heavy financial structure of a number of the subsidiaries of
Thermo Electron (the Subsidiaries) have overshadowed good fundamental results.
In addition, a number of very important developments for these companies,
including the potential approval from the FDA for the Thermo Cardiosystems'
fully-implantable electrical heart assist device and Trex Medical's filing for a
digital X-ray technology, are still pending.
Ironically, it is the very strength of the Thermo Electron spin-out strategy
which is contributing to poor stock market performance in the near term, with
the large number of spin-outs over the last year creating both market confusion
and cash-heavy balance sheets. As the pace of new spin-outs continues to slow,
and as existing public and private Subsidiaries have the opportunity to invest
their cash in both acquisitions and internal opportunities, the underlying
strength of these companies, especially in the instruments area, and the promise
of some of the new technologies should reassert themselves.
In terms of the structure of your Fund, in an effort to manage through this
volatile period while positioning the Fund for maximum long-term growth, we have
maintained our two-pronged strategy of balancing your portfolio between
companies with excellent near-term fundamentals and the Subsidiaries with the
most long-term promise. We have also increased exposure to private placements,
which at the end of May 1997 represented just under 9% of your portfolio, and to
non-Thermo Electron companies which are either pursuing similar strategies or
have joint agreements with Thermo Electron subsidiaries to develop new
technologies. As indicated in our annual report, we have been more active in
exploiting periodic market inefficiencies in the valuations of a number of the
Subsidiaries' outstanding Eurodollar convertible bonds relative to the
underlying common stocks.
Looking forward, we expect that as the strongest Thermo Electron Subsidiaries
continue to report excellent operating results and as the stock market advance
broadens to include smaller and mid-sized growth companies, the shares of these
companies will begin to reflect their underlying strengths. We also look forward
in the second half of this year to an FDA ruling on Thermo Cardiosystems'
revolutionary device, and to realizing the potential value in the Fund's various
private placement holdings.
We would like to thank you for your ongoing support and look forward to updating
you on the progress of your Fund at the end of our fiscal year.
By order of the Board of Directors,
Gregory E. Ratte,
Chairman of the Board
<PAGE>
Pie Chart:
Thermo Opportunity Fund Industry Groups
May 31, 1997
Instruments 30.4%
Alternative Energy Systems 16.3%
Process Equipment 7.2%
Biomedical Products 22.6%
Cash 2.3%
Advanced Technologies 12.6%
Private Placements 8.6%
<PAGE>
<TABLE>
THE THERMO OPPORTUNITY FUND, INC.
STATEMENT OF ASSETS AND LIABILITIES
MAY 31, 1997 (UNAUDITED)
<CAPTION>
<S> <C>
ASSETS
Investments in securities:
At amortized cost (original cost $23,527,398) ............ $23,527,398
===========
At market value (Note 1) ................................. $21,326,132
Investments in repurchase agreements (Note 1) ..................... 277,000
Cash .............................................................. 4,841
Interest receivable ............................................... 39
Organization expenses, net (Note 1) ............................... 152,744
Receivable for securities sold .................................... 106,996
Other assets ...................................................... 7,467
-----------
TOTAL ASSETS ............................................. 21,875,219
-----------
LIABILITIES
Payable for securities purchased .................................. 30,438
Payable to affiliates (Note 3) .................................... 18,645
Other accrued expenses and liabilities ............................ 5,683
-----------
TOTAL LIABILITIES ........................................ 54,766
-----------
NET ASSETS ........................................................ $21,820,453
===========
Net assets consist of:
Common stock - par value $0.001 per share
Authorized 16,000,000 shares, Outstanding 1,760,417 shares....... $ 1,760
Additional paid-in capital ........................................ 24,661,271
Undistributed net investment loss ................................. (104,993)
Accumulated net realized losses from security transactions ........ (536,319)
Net unrealized depreciation on investments ........................ (2,201,266)
-----------
Net assets ........................................................ $21,820,453
===========
Net asset value per share (Note 1) ................................ $ 12.40
===========
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
THE THERMO OPPORTUNITY FUND, INC.
STATEMENT OF OPERATIONS
FOR THE PERIOD ENDED MAY 31, 1997 (UNAUDITED)
<CAPTION>
<S> <C>
INVESTMENT INCOME
Interest ........................................................ $ 58,255
-----------
TOTAL INVESTMENT INCOME ................................ 58,255
-----------
EXPENSES
Investment advisory fees (Note 3) ............................... 87,114
Administrative services fees (Note 3) ........................... 23,587
Amortization of organization expenses (Note 1) .................. 18,150
Transfer agent fees ............................................. 14,140
Trustees' fees and expenses ..................................... 13,944
Professional fees ............................................... 11,434
Insurance expense ............................................... 8,839
Reports to shareholders ......................................... 7,856
Exchange listing fees ........................................... 2,673
Custodian fees .................................................. 1,627
Other expenses .................................................. 1,920
-----------
TOTAL EXPENSES ........................................ 191,284
Fees waived by the Adviser (Note 3) ............................ (13,593)
-----------
NET EXPENSES .......................................... 177,691
-----------
NET INVESTMENT LOSS ................................................. (119,436)
-----------
REALIZED AND UNREALIZED LOSSES ON INVESTMENTS
Net realized losses from security transactions ................. (528,819)
Net change in unrealized appreciation/depreciation on
investments................................................... (1,473,966)
-----------
NET REALIZED AND UNREALIZED LOSSES ON INVESTMENTS ................... (2,002,785)
-----------
NET DECREASE IN NET ASSETS FROM OPERATIONS .......................... $(2,122,221)
===========
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
THE THERMO OPPORTUNITY FUND, INC.
STATEMENTS OF CHANGES IN NET ASSETS
FOR THE PERIODS ENDED MAY 31, 1997 AND NOVEMBER 30, 1996
<CAPTION>
Six Months Period
Ended Ended
May 31, 1997 November 30,
(Unaudited) 1996 (A)
<S> <C> <C>
FROM OPERATIONS:
Net investment income (loss) .................................... $ (119,436) $ 120,068
Net realized losses from security transactions .................. (528,819) (7,500)
Net change in unrealized appreciation/depreciation on investments (1,473,966) (727,300)
----------- -----------
Net decrease in net assets from operations ............................... (2,122,221) (614,732)
----------- -----------
DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income ...................................... (105,625) --
From net realized gains from security transactions .............. -- --
----------- -----------
Decrease in net assets from distributions to shareholders ................ (105,625) --
----------- -----------
INCREASE IN NET ASSETS FROM NET PROCEEDS OF
Common stock issued ............................................. -- 24,827,875
----------- -----------
DECREASE IN NET ASSETS RELATED TO OFFERING COSTS (Note 1) ................ -- (164,844)
----------- -----------
NET INCREASE (DECREASE) IN NET ASSETS .................................... (2,227,846) 24,048,299
NET ASSETS:
Beginning of period ............................................. 24,048,299 --
----------- -----------
End of period ................................................... $21,820,453 $24,048,299
=========== ===========
UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ............................... $ (104,993) $ 120,068
=========== ===========
<FN>
(A) Represents the period from the initial public offering of shares
(August 6, 1996) through November 30, 1996.
</FN>
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
THE THERMO OPPORTUNITY FUND, INC.
FINANCIAL HIGHLIGHTS
Per Share Data for a Share Outstanding Throughout each Period
<CAPTION>
Six Months Period
Ended Ended
May 31, 1997 November 30,
(Unaudited) 1996(A)
<S> <C> <C>
Net asset value at beginning of period ........................................ $ 13.66 $ 14.10
-------- --------
Income from investment operations:
Net investment income (loss) ......................................... (0.07) 0.07
Net realized and unrealized losses on investments .................... (1.13) (0.42)
-------- --------
Total from investment operations .............................................. (1.20) (0.35)
-------- --------
Less distributions:
Dividends from net investment income ................................. (0.06) --
Distributions from net realized gains ................................ -- --
-------- --------
Total distributions ........................................................... (0.06) --
-------- --------
Effect of initial public offering costs ....................................... -- (0.09)
-------- --------
Net asset value at end of period .............................................. $ 12.40 $ 13.66
======== ========
Market value at end of period ................................................. $ 11.875 $ 13.75
======== ========
Total investment return based on net asset value .............................. (8.79%) (3.12%)
======== ========
Total investment return based on market value ................................. (13.20%) (2.48%)
======== ========
Net assets at end of period (000's) ........................................... $ 21,820 $ 24,048
======== ========
Ratio of expenses to average net assets(B) .................................... 1.63%(C) 1.53%(C)
Ratio of net investment income (loss) to average net assets ................... (1.10%)(C) 1.62%(C)
Portfolio turnover rate ....................................................... 42%(C) 12%(C)
Average commission rate on investment transactions ............................ $ .0501 .0509
<FN>
(A) Represents the period from the initial public offering of shares
(August 6, 1996) through November 30, 1996. No income was earned or expenses
incurred from the commencement of operations through the date of initial public
offering.
(B) Absent fee waivers by the Adviser, the ratio of expenses to average net
assets would have been 1.76%(C) and 1.56%(C) for the periods ended May 31, 1997
and November 30, 1996, respectively (Note 3).
(C) Annualized.
</FN>
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
THE THERMO OPPORTUNITY FUND, INC.
PORTFOLIO OF INVESTMENTS
MAY 31, 1997 (UNAUDITED)
<CAPTION>
Shares/ Market
Par Value COMMON STOCKS (95.3%), Value
CONVERTIBLE BONDS (1.3%)
AND RIGHTS (1.1%)
<S> <C> <C>
INSTRUMENTS -- 30.4%
42,000 Thermo Bioanalysis Corp.* .......... $ 619,500
211,100 Thermo Optek Corp.* ................ 2,638,750
176,750 Thermo Voltek Corp.* ............... 1,524,469
53,700 ThermoQuest Corp.* ................. 778,650
74,300 ThermoSpectra Corp.* ............... 1,068,063
----------
$6,629,432
----------
BIOMEDICAL PRODUCTS -- 22.6%
52,200 Theremedics, Inc.* ................. $ 874,350
90,000 Thermo Cardiosystems, Inc.* ........ 2,418,750
114,600 Trex Medical Corp.* ................ 1,633,050
----------
$4,926,150
----------
ALTERNATIVE ENERGY SYSTEMS-- 16.3%
203,100 KFX, Inc.* ......................... $ 787,013
90,050 Thermo Ecotek Corp.* ............... 1,440,800
$ 250,000 Thermo Ecotek Corp., 0.00%, 3/15/01* 293,750
174,500 Thermo Power Corp.* ................ 1,047,000
----------
$3,568,563
----------
ADVANCED TECHNOLOGIES -- 12.6%
5,000 Safeguard Scientifics, Inc.* ....... $ 135,000
50,000 Thermedics Detection, Inc.* ........ 643,750
52,015 ThermoLase Corp.* .................. 770,472
41,900 ThermoTrex Corp.* .................. 1,209,862
----------
$2,759,084
----------
PRIVATE PLACEMENTS -- 8.6%
133,333 Metrika Systems Corp.* ............. $ 999,997
100,000 Thermo Eurotech N.V.* .............. 425,000
50,000 Thermo Information Solutions* ...... 450,000
----------
$1,874,997
----------
PROCESS EQUIPMENT -- 7.2%
88,000 Thermo Fibergen, Inc.* ............. $ 841,500
86,000 Thermo Fibergen, Inc. Rights* ...... 241,875
44,300 Thermo Fibertek, Inc.* ............. 484,531
----------
$1,567,906
----------
TOTAL COMMON STOCK, CONVERTIBLE
BONDS AND RIGHTS (Cost $23,527,398) $21,326,132
-----------
<PAGE>
<CAPTION>
THE THERMO OPPORTUNITY FUND, INC. (CONTINUED)
Face Market
Amount REPURCHASE AGREEMENTS(1) -- 1.3% Value
<S> <C> <C>
$ 277,000 Fifth Third Bank, 5.07%, dated 5/30/97,
due 6/02/97, repurchase proceeds
$277,117......................... $ 277,000
----------
$ 277,000 TOTAL REPURCHASE AGREEMENTS......... $ 277,000
========== ----------
TOTAL INVESTMENTS AND REPURCHASE
AGREEMENTS AT VALUE--99.0%........ $21,603,132
OTHER ASSETS IN EXCESS OF
LIABILITIES--1.0%................. 217,321
----------
NET ASSETS-- 100.0% $21,820,453
===========
<FN>
* Non-income producing securities.
(1) Repurchase agreements are fully collateralized by U.S.
Government obligations.
</FN>
See accompanying notes to financial statements.
</TABLE>
<PAGE>
THE THERMO OPPORTUNITY FUND, INC.
NOTES TO FINANCIAL STATEMENTS
MAY 31, 1997 (UNAUDITED)
1. Significant Accounting Policies
The Thermo Opportunity Fund, Inc. (the "Fund") was organized under Maryland law
on May 16, 1996 as a non-diversified, closed-end investment company. The Fund
commenced operations on June 19, 1996, when Brundage, Story and Rose, LLC (the
Adviser), purchased 6,667 shares at $15.00 per share to provide the Fund with
its initial $100,000 of capital. The Fund commenced the public offering of
shares on August 6, 1996. The Fund is listed on the American Stock Exchange with
a symbol of "TMF."
The Fund's investment objective is to seek long-term capital appreciation.
The Fund seeks to achieve its investment objective by investing primarily in
securities issued by direct and indirect subsidiaries of Thermo Electron
Corporation ("Thermo Electron"). The Fund may also invest in securities issued
by companies not affiliated with Thermo Electron which either (i) engage in the
same or related industries as Thermo Electron or one or more of its subsidiaries
or (ii) practice a spin-out strategy similar to that practiced by Thermo
Electron.
The following is a summary of the Fund's significant accounting policies:
Securities valuation -- The Fund's portfolio securities are valued weekly
(each Friday) and on the last business day of each month as of the close of the
regular session of trading on the New York Stock Exchange (currently 4:00 p.m.,
Eastern time). Portfolio securities listed on stock exchanges and securities
traded in the over-the-counter market are valued at the last sale price as of
the close of business on the day the securities are being valued. Securities not
traded on a particular day, or for which the last sale price is not readily
available, are valued at the closing bid price quoted by brokers that make
markets in the securities. Corporate bonds are valued at their most recent bid
price as obtained from one or more of the major market makers for such
securities or are valued at an estimated fair value obtained from an independent
pricing service based upon such factors as maturity, coupon, issuer and type of
security. If market quotations are not readily available, securities will be
valued at fair value as determined in good faith by the Adviser consistent with
procedures approved by the Board of Trustees.
Repurchase agreements -- Repurchase agreements, which are collateralized by
U.S. Government obligations, are valued at cost which, together with accrued
interest, approximates market. Collateral for repurchase agreements is held in
safekeeping in the customer-only account of the Fund's custodian at the Federal
Reserve Bank. At the time the Fund enters into a repurchase agreement, the
seller agrees that the value of the underlying securities, including accrued
interest, will be equal to or exceed the face amount of the repurchase
agreement. The Fund enters into repurchase agreements only with institutions
deemed to be creditworthy by the Adviser, including the Fund's custodian, banks
having assets in excess of $10 billion and primary U.S. Government securities
dealers.
Share valuation -- The net asset value of the Fund is calculated weekly
(each Friday) and on the last business day of each month by dividing the total
value of the Fund's assets, less liabilities, by the number of shares
outstanding.
Investment income -- Interest income is accrued as earned. Dividend income
is recorded on the ex-dividend date. Discounts and premiums on securities
purchased are accreted/amortized in accordance with income tax regulations which
approximate generally accepted accounting principles.
<PAGE>
Distributions to shareholders -- Dividends arising from net investment income
are declared and paid annually. Net realized short-term capital gains, if any,
may be distributed throughout the year and net realized long-term capital gains,
if any, are distributed at least once each year. Income distributions and
capital gain distributions are determined in accordance with income tax
regulations.
Security transactions -- Security transactions are accounted for on the trade
date. Securities sold are valued on a specific identification basis.
Organization expenses and offering costs -- Expenses of organization, net of
certain expenses paid by the Adviser, have been capitalized and are being
amortized on a straight-line basis over five years. Expenses related to the
offering of shares have been charged against capital.
Estimates -- The preparation of financial statements in conformity with
generally accepted accounting principles requires management to make estimates
and assumptions that affect the reported amount of assets and liabilities at the
date of the financial statements and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ from those
estimates.
Federal income tax -- It is the Fund's policy to comply with the special
provisions of the Internal Revenue Code available to regulated investment
companies. As provided therein, in any fiscal year in which a Fund so qualifies
and distributes at least 90% of its taxable net income, the Fund (but not the
shareholders) will be relieved of federal income tax on the income distributed.
Accordingly, no provision for income taxes has been made.
In order to avoid imposition of the excise tax applicable to regulated
investment companies, it is also the Fund's intention to declare as dividends in
each calendar year at least 98% of its net investment income (earned during the
calendar year) and 98% of its net realized capital gains (earned during the
fiscal year ended November 30) plus undistributed amounts from prior years.
The following information is based upon federal income tax cost of
portfolio investments (excluding repurchase agreements) as of May 31, 1997:
<TABLE>
<CAPTION>
<S> <C>
Gross unrealized appreciation ......... $ 818,829
Gross unrealized depreciation ......... (3,020,095)
Net unrealized depreciation ........... $(2,201,266)
Federal income tax cost ............... $23,527,398
</TABLE>
As of November 30, 1996, the Fund had a capital loss carryforward of $3,000 for
federal income tax purposes, which expires on November 30, 2004. This capital
loss carryforward may be utilized in the current and future years to offset net
realized capital gains prior to distributing such gains to shareholders.
2. Investment Transactions
Purchases and proceeds from sales and maturities of investment securities,
other than short-term investments, amounted to $8,441,246 and $4,322,116,
respectively, during the six months ended May 31, 1997.
<PAGE>
3. Transactions with Affiliates
Certain Trustees and officers of the Fund are principals at Brundage, Story
and Rose, LLC (the Adviser). Certain officers of the Fund are officers of
Countrywide Fund Services, Inc. (CFS), the administrative services agent for the
Fund.
ADVISORY AGREEMENT
The Fund's investments are managed by the Adviser pursuant to the terms of
an Advisory Agreement. Under the Advisory Agreement, the Fund pays the Adviser a
fee, computed and accrued daily and paid monthly, at an annual rate of 0.80% of
its average daily net assets.
In order to reduce the operating expenses of the Fund, the Adviser
voluntarily waived $13,593 of its investment advisory fees during the six months
ended May 31, 1997.
ADMINISTRATIVE SERVICES AGREEMENT
Under the terms of the Administrative Services Agreement between the Fund and
CFS, CFS supplies non-investment related statistical and research data, internal
regulatory compliance services and executive and administrative services for the
Fund. CFS calculates the weekly and month end net asset value per share and
maintains the financial books and records of the Fund, supervises the
preparation of tax returns, reports to shareholders of the Fund, reports to and
filings with the Securities and Exchange Commission, and materials for meetings
of the Board of Directors. For the performance of these administrative services,
CFS receives a monthly fee based on the Fund's average daily net assets, subject
to a monthly minimum.
4. Results of Annual Meeting of Stockholders
On May 2, 1997, the Annual Meeting of Stockholders of the Fund was held to
elect two Directors and to ratify or reject the selection of Arthur Andersen LLP
as the Fund's independent auditors for the current fiscal year. The total number
of shares of the Fund present by proxy represented 94.1% of the shares entitled
to vote at the meeting. Each of the matters submitted to stockholders was
approved.
The results of the voting for the election of two Directors was as follows:
(1) incumbent nominee Gregory E. Ratte -- 1,626,598.13 shares for election and
29,553.00 shares withholding authority and (2) incumbent nominee Francis S.
Branin, Jr. -- 1,626,397.13 shares for election and 29,754.00 shares withholding
authority. The results of the voting for or against the ratification of Arthur
Andersen LLP as independent auditors was as follows: 1,636,321.13 shares for
ratification, 10,797.00 shares against ratification and 9,033.00 shares
abstained.
<TABLE> <S> <C>
<ARTICLE> 6
<CIK> 0001014743
<NAME> THE THERMO OPPORTUNITY FUND, INC.
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> NOV-30-1997
<PERIOD-END> MAY-31-1997
<INVESTMENTS-AT-COST> 23,804,398
<INVESTMENTS-AT-VALUE> 21,603,132
<RECEIVABLES> 107,035
<ASSETS-OTHER> 160,211
<OTHER-ITEMS-ASSETS> 4,841
<TOTAL-ASSETS> 21,875,219
<PAYABLE-FOR-SECURITIES> 30,438
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 24,328
<TOTAL-LIABILITIES> 54,766
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 24,663,031
<SHARES-COMMON-STOCK> 1,760,417
<SHARES-COMMON-PRIOR> 1,760,417
<ACCUMULATED-NII-CURRENT> (104,993)
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> (536,319)
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> (2,201,266)
<NET-ASSETS> 21,820,453
<DIVIDEND-INCOME> 0
<INTEREST-INCOME> 58,255
<OTHER-INCOME> 0
<EXPENSES-NET> 177,691
<NET-INVESTMENT-INCOME> (119,436)
<REALIZED-GAINS-CURRENT> (528,819)
<APPREC-INCREASE-CURRENT> (1,473,966)
<NET-CHANGE-FROM-OPS> (2,122,221)
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 105,625
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 0
<NUMBER-OF-SHARES-REDEEMED> 0
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> (2,227,846)
<ACCUMULATED-NII-PRIOR> 120,068
<ACCUMULATED-GAINS-PRIOR> (7,500)
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 87,114
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 191,284
<AVERAGE-NET-ASSETS> 21,835,803
<PER-SHARE-NAV-BEGIN> 13.66
<PER-SHARE-NII> (0.07)
<PER-SHARE-GAIN-APPREC> (1.13)
<PER-SHARE-DIVIDEND> 0.06
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 12.40
<EXPENSE-RATIO> 1.63
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
