<PAGE>
BERGER/BIAM INTERNATIONAL PORTFOLIO
SEMI-ANNUAL REPORT
JULY 31, 1997
TABLE OF CONTENTS
Schedule of Investments
Statement of Assets and Liabilities
Statement of Operations
Statement of Changes in Net Assets
Notes to Financial Statements
1
<PAGE>
BERGER/BIAM INTERNATIONAL PORTFOLIO
Schedule of Investments (Unaudited)
July 31, 1997
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------------------------
Country/Shares Company Industry Market Value
- ----------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
COMMON STOCK - 89.9%
AUSTRALIA - 6.7 %
106,970 Broken Hill Proprietary Resources $ 1,455,643
208,600 National Australia Bank Financials 3,041,452
327,530 News Corporation Media 1,493,370
135,150 Western Mining Resources 785,052
-----------
6,775,517
-----------
FINLAND - .5%
19,800 Upm Kymmene Paper, Packaging & Printing 480,435
-----------
FRANCE - 2.1%
3,230 Elf Aquitaine Utilities 367,527
15,400 Michelin Auto Goods 955,955
8,180 Total Co. Francaise Petrole 'B' Utilities 818,862
-----------
2,142,344
-----------
GERMANY -6.4%
33,645 Hoechst Healthcare 1,576,838
4,477 Mannesmann Electrical/Engineering 2,086,083
15,490 Siemens Electrical/Engineering 1,076,973
29,740 Veba Utilities 1,725,532
-----------
6,465,426
-----------
GREAT BRITAIN - 29.8%
290,340 BAT Industries Tobacco/Financial Services 2,452,660
122,950 Barclays Bank Financials 2,591,522
323,500 BTR Conglomerates 1,005,557
103,000 Cable & Wireless Telecommunications 1,037,358
105,750 Cadbury Schweppes Food Manufacturing 1,022,557
61,400 EMI Group - Class B Leisure & Entertainment 110,786
93,420 EMI Group Leisure & Entertainment 856,594
203,350 General Electric Co. Electrical/Engineering 1,174,114
83,300 Glaxo Wellcome Healthcare 1,763,983
126,200 Granada Group Leisure & Entertainment 1,738,849
112,700 Grand Metropolitan Retailer/Consumer Goods 1,106,398
66,400 Kingfisher Retailer/Consumer Goods 784,195
158,900 Ladbroke Group Leisure & Entertainment 643,790
213,100 Lloyds TSB Group Financials 2,355,953
41,800 Premier Farnell Distributor of Components 351,736
146,080 Prudential Insurance 1,399,352
178,050 Safeway Retailer/Consumer Goods 1,125,874
126,400 Scottish Power Utilities 893,609
250,350 Shell Transport & Trading Company Utilities 1,852,027
87,841 Siebe Electrical/Engineering 1,584,941
130,900 TI Group Electrical/Engineering 1,168,051
200,500 Vodafone Group Telecommunications 1,012,951
58,575 Zeneca Group Healthcare 1,945,632
-----------
29,978,489
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HONG KONG - 1.6%
45,000 HSBC Holdings Financials $ 1,569,463
-----------
INDONESIA - 2.6%
256,000 Gudang Garam Tobacco 966,730
304,000 HM Sampoerna Tobacco 1,063,709
409,000 Telekomunikasi Telecommunications 625,621
-----------
2,656,060
-----------
IRELAND - 1.2%
47,230 Allied Irish Banks Financials 436,610
257,100 Smurfit (Jefferson) Group Paper, Packaging & Printing 778,515
-----------
1,215,125
-----------
ITALY - 1.4%
42,206 ENI SPA ITL Utilities 246,215
189,380 Telecom Italia Telecommunications 1,201,188
-----------
1,447,403
-----------
JAPAN - 6.9%
94,000 Canon Retailer/Consumer Goods 2,998,354
33,000 Honda Motor Engineering/Vehicles 1,102,738
37,000 Kao Corporation Household Goods 555,757
4,000 Murata Manufacturing Electronic & Electrical Equipment 188,009
4,000 Rohm Company Electronic & Electrical Equipment 523,185
20,000 Shiseido Retailers General 332,475
7,000 Sony Corporation Electronic & Electrical Equipment 697,017
20,000 Takeda Chemical Pharmaceuticals 605,882
-----------
7,003,417
-----------
MALAYSIA - 2.7%
103,000 Hume Industries Infrastructure/Property 390,818
203,000 RHB Capital Financials 550,730
304,400 Sime Darby Conglomerates 958,649
118,000 United Engineers Infrastructure/Property 823,828
-----------
2,724,025
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MEXICO - .6%
203,670 Grupo Financiero Banamex - Class B Financials 626,857
-----------
NETHERLANDS - 9.0%
87,430 ABN Amro Holdings Financials 2,051,280
86,600 Elsevier Media 1,522,811
47,852 ING Groep Financials 2,323,785
28,005 KON PTT Nederland Telecommunications 1,146,806
6,250 Nutricia Ver Bedrijven Food Manufacturing 1,059,883
16,800 Royal Dutch Petroleum Utilities 939,673
-----------
9,044,238
-----------
PHILIPPINES - .4%
208,370 San Miguel - Class B Food & Drinks 444,554
-----------
SINGAPORE - 5.2%
165,000 City Development Infrastructure/Property 1,402,584
148,412 Development Bank of Singapore Financials 1,927,691
94,600 Fraser and Neave Food & Drinks 643,319
68,100 Singapore Press Holdings Media 1,292,071
-----------
5,265,665
-----------
SPAIN - .9%
32,380 Banco De Santander Financials 902,506
-----------
SWITZERLAND - 11.2%
1,404 Alusuisse Lonza Holdings Conglomerates 1,273,417
1,272 Nestle Food Manufacturing 1,610,137
2,941 Novartis Healthcare 4,709,601
161 Roche Holdings Healthcare 1,553,183
1,507 Schw Ruckverischer Insurance 2,185,945
-----------
11,332,283
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THAILAND - .7%
97,100 Bangkok Bank Financials $ 747,851
-----------
TOTAL COMMON STOCK (Cost $82,021,134) 90,821,658
-----------
U.S. GOVERNMENT OBLIGATIONS - 4.9%
$5,000,000 U.S. Treasury Bills due 8/21/97 (Amortized cost $4,986,444) 4,986,444
-----------
REPURCHASE AGREEMENT - 3.2%
Repurchase agreement with State Street Bank, 4.25%, dated
July 31, 1997, to be purchased at $3,252,384 on August 1, 1997,
collateralized by U.S. Treasury Notes, 6.125% - March 31, 1998,
with a value of $3,332,069 (Amortized cost $3,252,000) 3,252,000
-----------
Total Investments (Cost $90,259,578*) - 98.0% 99,060,102
Other Assets, Less Liabilities - 2.0% 1,980,340
-----------
Net Assets - 100% $ 101,040,442
-----------
-----------
*Also represents cost for Federal income tax purposes.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
4
<PAGE>
BERGER/BIAM INTERNATIONAL PORTFOLIO
Statement of Assets and Liabilities (Unaudited)
July 31, 1997
<TABLE>
- ----------------------------------------------------------------------------------
<S> <C>
ASSETS
Investments at value (cost $90,259,578) $ 99,060,102
Cash 668
Foreign currency at value (cost $1,725,044) 1,717,907
Net unrealized appreciation on open forward currency contracts 694,343
Receivables:
Beneficial interests sold 527
Interest and dividends 254,070
Investment securities sold 2,330,182
- ----------------------------------------------------------------------------------
Total Assets 104,057,799
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LIABILITIES
Payables:
Investment securities purchased 3,017,357
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Total Liabilities 3,017,357
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NET ASSETS APPLICABLE TO INVESTORS' BENEFICIAL INTERESTS $ 101,040,442
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</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
5
<PAGE>
BERGER/BIAM INTERNATIONAL PORTFOLIO
Statement of Operations (Unaudited)
For the Period From October 11, 1996 (commencement
of investment operations) to July 31, 1997
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------
<S> <C>
INVESTMENT INCOME:
Dividend income (net of $120,766 foreign withholding taxes) $ 975,005
Interest 106,243
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Total Investment Income 1,081,248
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EXPENSES:
Investment advisory fee (Note 2) 396,476
Accounting services 49,136
Trustees' fees and expenses (Note 2) 36,109
Custody fees 8,752
Legal fees 2,490
Postage, printing and reports 5,470
Insurance and bonds 3,750
Miscellaneous 516
- ----------------------------------------------------------------------------------
Total Expenses 502,699
Less earnings credits (57,888)
Less expenses reimbursed by Advisor (Note 2) (62,850)
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Expenses - Net 381,961
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Net Investment Income (Loss) 699,287
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NET REALIZED GAIN (LOSS) ON
Investment transactions 306,369
Foreign currency transactions 622,104
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Net Realized Gain (Loss) 928,473
NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) OF
Investments 8,233,848
Foreign currency contracts and translations 711,630
- ----------------------------------------------------------------------------------
Net Change in Unrealized Appreciation (Depreciation) 8,945,478
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS $ 10,573,238
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</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
6
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BERGER/BIAM INTERNATIONAL PORTFOLIO
Statement of Changes in Net Assets (Unaudited)
For the Period From October 11, 1996 (commencement
of investment operations) to July 31, 1997
<TABLE>
- ---------------------------------------------------------------------------------------------
<S> <C>
FROM OPERATIONS:
Net investment income (loss) $ 699,287
Net realized gain (loss) on investments and foreign currency transactions 928,473
Net change in unrealized appreciation (depreciation) of investments
and foreign currency transactions 8,945,478
- ---------------------------------------------------------------------------------------------
Net Increase (Decrease) in Net Assets from Operations 10,573,238
- ---------------------------------------------------------------------------------------------
FROM DIVIDENDS AND DISTRIBUTIONS TO INVESTORS':
Net investment income 0
Net realized gain 0
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Net Decrease in Net Assets from Distributions to Investors' 0
- ---------------------------------------------------------------------------------------------
FROM TRANSACTIONS IN INVESTORS' BENEFICIAL INTEREST:
Contributions 102,382,686
Withdrawals (11,915,482)
- ---------------------------------------------------------------------------------------------
Net Increase (Decrease) in Net Assets from Investors' Transactions 90,467,204
- ---------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS 101,040,442
Net Assets:
Beginning of period 0
- ---------------------------------------------------------------------------------------------
End of period $ 101,040,442
- ---------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTARY DATA (UNAUDITED)
For the period from October 11, 1996 (commencement of investment
operations) to July 31, 1997
Ratios to Average Net Assets**:
Gross Expenses* 1.14%
Net Expenses* 0.87%
Net Investment Income 1.59%
Portfolio Turnover*** 18%
Average Commission Rate $.0235
</TABLE>
* NET EXPENSES REFLECT THE PORTFOLIO'S GROSS (TOTAL) EXPENSES, REDUCED BY
FEES OFFSET BY EARNINGS CREDITS, FEE WAIVERS AND EXPENSE REIMBURSEMENTS.
** ANNUALIZED.
*** BASED ON OPERATIONS FOR THE PERIOD SHOWN AND, ACCORDINGLY, IS NOT
REPRESENTATIVE OF A FULL YEAR.
SEE NOTES TO FINANCIAL STATEMENTS.
7
<PAGE>
BERGER/BIAM INTERNATIONAL PORTFOLIO
Notes to Financial Statements (Unaudited)
July 31, 1997
1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES
ORGANIZATION
The Berger/BIAM International Portfolio (the "Portfolio") is registered
under the Investment Company Act of 1940, as amended, as an open-end management
investment company. The Portfolio is a series of the Berger/BIAM Worldwide
Portfolios Trust (the "Trust") , which was organized as a Delaware business
trust on May 31, 1996. All costs in organizing the Trust were paid by BBOI
Worldwide LLC, the investment advisor of the Portfolio ("BBOI"). The Portfolio
commenced investment operations on October 11, 1996 ("Commencement of Investment
Operations") with the sale of 448,161 shares of beneficial interest to the
International Equity Fund, formerly known as the Berger/BIAM International
Institutional Fund, in exchange for portfolio assets with an aggregate value of
$4,481,609 which were transferred from the Pooled Trust of Citizens Bank of New
Hampshire ("Citizens NH") to the International Equity Fund and, in turn,
transferred to the Portfolio. Such transaction was a tax-free exchange.
Citizens NH is an affiliate of Bank of Ireland Asset Management (U.S.) Limited
("BIAM"), which was the investment sub-advisor to the Pooled Trust and is the
investment sub-advisor to the Portfolio.
The Portfolio is advised by BBOI, which has delegated daily portfolio
management of the Portfolio to BIAM. Berger Associates, Inc. ("Berger") and BIAM
each own 50% of BBOI.
SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of significant accounting policies consistently
followed by the Portfolio in the preparation of its financial statements. The
policies are in conformity with generally accepted accounting principles.
INVESTMENT VALUATION
The Portfolio's securities and other assets are valued at the close of the
regular trading session of the New York Stock Exchange (the "Exchange")
(normally 4:00 p.m. New York time) each day the Exchange is open. The
Portfolio's securities and other assets are valued as follows: securities
listed or traded primarily on foreign exchanges, national exchanges and the
Nasdaq Stock market are valued at the last sale price on such markets, or, if
such a price is lacking for the trading period immediately preceding the time of
determination, such securities are valued at the mean of their current bid and
asked prices. Securities that are traded in the over-the-counter market are
valued at the mean between their current bid and asked prices. The market value
of individual securities held by the Portfolio will be determined by using
pricing services which provide market prices to other mutual funds or, as
needed, by obtaining market quotations from independent broker/dealers.
Short-term money market securities maturing within 60 days are valued on the
amortized cost basis, which approximates market value. All assets and
liabilities initially expressed in terms of non-U.S. dollar currencies are
translated into U.S. dollars at the prevailing market rates as quoted by one or
more banks or dealers shortly before the close of the Exchange. Securities and
assets for which quotations are not readily available are valued at fair values
determined in good faith pursuant to consistently applied procedures established
by the trustees.
Generally, trading in foreign securities markets is substantially completed
each day at various times prior to the close of the Exchange. The values of
foreign securities used in computing the net asset value of the shares in the
portfolio are determined as of the earlier of such market close or the closing
time of the Exchange. Occasionally, events affecting the value of such
securities may occur between the times at which they are determined and the
close of the Exchange, or when the foreign market on which such securities trade
is closed but the Exchange is open, which will not be reflected in the
computation of net asset value. If during such periods, events occur which
materially affect the value of such securities, the securities will be valued at
their fair market value as determined in good faith pursuant to consistently
applied procedures established by the trustees.
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<PAGE>
FEDERAL INCOME TAXES
The Portfolio intends to be treated as a partnership for Federal income tax
purposes. As such, each investor in the Portfolio will be taxed on its share of
the Portfolio's ordinary income and capital gains. It is intended that the
Portfolio's assets will be managed in such a way that an investor in the
Portfolio will be able to satisfy the requirements of Sub-Chapter M of the
Internal Revenue Code.
SECURITY GAINS AND LOSSES
Gains and losses are computed on the identified cost basis for both
financial statement and Federal income tax purposes for all securities. Assets
and liabilities initially expressed in terms of foreign currencies are
translated into U.S. dollars at the prevailing market rates as quoted by one or
more banks or dealers on the date of valuation. The cost of securities is
translated into U.S. dollars at the rates of exchange prevailing when such
securities were acquired. Income and expenses are translated into U.S. dollars
at rates of exchange prevailing when accrued.
INVESTMENT TRANSACTIONS AND INVESTMENT INCOME
Investment transactions are accounted for on the date investments are
purchased or sold. Dividend income and distributions to shareholders are
recorded on the ex-dividend date. Interest income is recorded on the accrual
basis and includes amortization of discounts.
USE OF ESTIMATES
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 increases and decreases in net assets
from operations during the reporting period. Actual results could differ from
those estimates.
FORWARD CURRENCY CONTRACTS
The Portfolio may enter into forward foreign currency exchange contracts
for the purpose of hedging the Portfolio against exposure to market value
fluctuations in foreign currencies. The use of such instruments may involve
risks such as the possibility of illiquid markets or imperfect correlation
between the value of the contracts and the underlying securities, or that the
counterparty will fail to perform its obligations. Forward currency contracts
and foreign denominated assets may involve more risks than domestic
transactions, including currency risk, political and economic risk, regulatory
risk, and market risk. Risks may arise from the potential inability of a
counterparty to meet the terms of a contract and from unanticipated movements in
the value of foreign currencies relative to the U.S. dollar.
2. AGREEMENTS
BBOI renders investment advisory services to the Portfolio pursuant to an
agreement which provides for an investment advisory fee to be paid to BBOI at
the annual rate of .90 of 1% of the Portfolio's average daily net assets. Until
at least April 30, 1998, BBOI has agreed voluntarily to waive its advisory fee
to the extent that the Portfolio's normal operating expenses in any fiscal year
(including the investment advisory fee and custodian fees, but excluding
brokerage commissions, interest, taxes and extraordinary expenses) exceed 1.00%
of the Portfolio's average daily net assets for that fiscal year. BBOI is also
responsible for providing for or arranging for all managerial and administrative
services necessary for the operations of the Portfolio. BBOI has delegated the
daily portfolio management of the Portfolio to BIAM. For such services, BBOI
pays BIAM a sub-advisory fee equal to .45% of the average daily net assets of
the Portfolio. Such sub-advisory fee has been voluntarily waived by BIAM from
the Commencement of Operations through July 31, 1997, except for the amount
payable on the Citizens NH converted assets.
9
<PAGE>
Investors Fiduciary Trust Company ("IFTC") has been appointed to provide
recordkeeping and pricing services to the Portfolio, including calculating the
net asset value of the Portfolio, and to perform certain accounting and
recordkeeping functions required by the Portfolio. In addition, IFTC has been
appointed to serve as the Portfolio's custodian and transfer agent. For
custodian, recordkeeping and pricing services, the Portfolio pays a fee directly
to IFTC based on a percentage of its net assets, subject to certain minimums,
and reimburses IFTC for certain out-of-pocket expenses. IFTC's fees for
custody, recordkeeping and pricing, or transfer agency services are subject to
reduction by credits earned by the Portfolio, based on the cash balances of the
Portfolio held by IFTC as custodian or by credits received from directed
brokerage transactions. For the period from Commencement of Operations through
July 31, 1997, the Fund received $57,888 in earnings and brokerage credits which
offset the fees payable to IFTC for services rendered.
Certain officers and trustees of the Trust are officers and directors of
the Advisor or BIAM. Trustees who are not affiliated with the Advisor or BIAM
are compensated for their services according to a fee schedule, allocated among
the Berger Funds and Berger/BIAM Portfolio, which includes an annual fee
component and a per meeting component. Such fees are allocated directly to the
Portfolio and, therefore, indirectly to each fund. Trustees' fees and expenses
during the period from commencement of operations through July 31, 1997, totaled
$36,109.
3. INVESTMENT TRANSACTIONS
PURCHASES AND SALES
Purchases and sales of investment securities (excluding short-term
securities) during the period from Commencement of Investment Operations to July
31, 1997 were as follows:
Purchase of Sales of
Investment Securities Investment Securities
--------------------- ---------------------
$ 89,505,618 $ 7,790,854
There were no purchases or sales of long-term U.S. Government securities
during the period.
At July 31, 1997, the composition of unrealized appreciation (the excess of
value over tax cost) and unrealized depreciation (the excess of tax cost over
value) for securities held was as follows:
Appreciation Depreciation Net
------------ ------------ -------------
$ 11,187,925 $ 2,387,401 $ 8,800,524
4. CHANGE OF FISCAL YEAR
Effective April 11, 1997, the trustees of the Trust changed the fiscal year
end of the Portfolio from July 31 to September 30.
10
<PAGE>
TRUSTEES OF BERGER/BIAM WORLDWIDE FUNDS TRUST
MICHAEL OWEN, CHAIRMAN * DENNIS E. BALDWIN
WILLIAM M.B. BERGER * LOUIS R. BINDNER, P.E. * KATHERINE A. CATTANACH
LUCY BLACK CREIGHTON * DENIS CURRAN * PAUL R. KNAPP * GERARD M. LAVIN *
HARRY T. LEWIS, JR. * WILLIAM SINCLAIRE
OFFICERS:
GERARD M. LAVIN
President of the Trust
CRAIG D. CLOYED
Vice President of the Trust
KEVIN R. FAY
Vice President, Secretary and Treasurer of the Trust
JANICE M. TEAGUE
Assistant Secretary of the Trust
DAVID J. SCHULTZ
Assistant Treasurer of the Trust
INVESTMENT ADVISOR
BBOI Worldwide LLC
P.O. Box 5005
Denver, Colorado 80217
1-303-329-0200 or 1-800-333-1001
THE BERGER FUNDS
Together we can move mountains...the world over.-TM-
-C-1997 Berger Associates, Inc.
11
