<PAGE>
WORLDWIDE HEALTH SCIENCES PORTFOLIO AS OF AUGUST 31, 2000
PORTFOLIO OF INVESTMENTS
(EXPRESSED IN UNITED STATES DOLLARS)
COMMON STOCKS AND WARRANTS -- 92.85%
<TABLE>
<CAPTION>
PERCENTAGE OF
SECURITY SHARES VALUE NET ASSETS
<S> <C> <C> <C>
---------------------------------------------------------------------------------
Major Capitalization - Europe -- 15.38%
---------------------------------------------------------------------------------
Altana 250,000 $ 23,969,250 2.49%
Novartis AG 30,000 45,348,637 4.71%
Roche Holding AG 1,800 16,114,778 1.67%
Sanofi-Synthelabo(1) 750,000 36,553,106 3.80%
Serono 22,261 26,112,760 2.71%
---------------------------------------------------------------------------------
$148,098,531 15.38%
---------------------------------------------------------------------------------
Major Capitalization - Far East -- 9.07%
---------------------------------------------------------------------------------
Banyu Pharmaceutical Co. 900,000 $ 18,439,683 1.92%
Chugai Pharmaceuticals, Co., Ltd. 900,000 16,034,507 1.67%
Eisai Co., Ltd. 600,000 18,116,180 1.88%
Fujisawa Pharmaceutical 500,000 17,019,082 1.77%
Shionogi & Co., Ltd. 1,000,000 17,628,581 1.83%
---------------------------------------------------------------------------------
$ 87,238,033 9.07%
---------------------------------------------------------------------------------
Major Capitalization - North America -- 30.18%
---------------------------------------------------------------------------------
Abgenix, Inc. 400,000 $ 30,068,760 3.12%
Alza Corp.(1) 400,000 30,250,000 3.14%
American Home Products Corp. 550,000 29,803,125 3.10%
Chiron Corp.(1) 700,000 37,843,750 3.93%
Forest Laboratories, Inc.(1) 140,000 13,702,500 1.42%
Genzyme Corp., Class A(1) 345,000 25,896,562 2.69%
Gilead Sciences, Inc.(1) 200,000 21,600,000 2.24%
Lilly (Eli) & Co. 500,000 36,500,000 3.79%
Pfizer, Inc. 825,000 35,681,250 3.71%
Pharmacia Corp. 500,000 29,281,250 3.04%
---------------------------------------------------------------------------------
$290,627,197 30.18%
---------------------------------------------------------------------------------
Specialty Capitalization - Europe -- 1.04%
---------------------------------------------------------------------------------
Compugen Ltd.(1) 245,000 $ 3,858,750 0.40%
Givaudan-Reg.(1) 1,800 481,377 0.05%
Swiss Serum Institute 328 5,703,529 0.59%
---------------------------------------------------------------------------------
$ 10,043,656 1.04%
---------------------------------------------------------------------------------
<CAPTION>
PERCENTAGE OF
SECURITY SHARES VALUE NET ASSETS
<S> <C> <C> <C>
---------------------------------------------------------------------------------
Specialty Capitalization - North America -- 37.18%
---------------------------------------------------------------------------------
Alexion Pharmaceuticals, Inc.(1) 210,000 $ 22,050,000 2.29%
Arena Pharmaceuticals (1)(2)(3) 832,018 38,480,832 4.00%
Argonaut Technologies, Inc. 80,000 1,390,000 0.15%
Aviron(1) 250,000 11,250,000 1.17%
Bio-Technology General Corp.(1) 1,200,000 16,725,000 1.74%
Caliper Technologies Corp.(2)(3) 500,000 31,062,500 3.23%
Celera Genomics Group 200,000 21,687,500 2.25%
Curis, Inc. 42,140 855,969 0.09%
Enzon, Inc. 300,000 18,262,500 1.90%
GelTex Pharmaceuticals, Inc.(1) 568,000 23,012,861 2.39%
Genaissance Pharmaceuticals 159,900 3,567,769 0.37%
IntraBiotics Pharmaceuticals(2)(3) 166,667 3,500,007 0.36%
Molecular Devices Corp.(1) 103,470 8,568,609 0.89%
Orapharma, Inc. 600,000 6,825,000 0.71%
Orchid BioSciences Warrants(1)(2)(3) 100,000 4,368,750 0.45%
Orchid BioSciences, Inc.(1)(2)(3) 807,749 36,298,221 3.77%
PathoGenesis Corp.(1) 521,300 19,939,725 2.07%
Pharmacopeia, Inc.(1) 405,000 16,984,688 1.77%
Praecis Pharmaceuticals 350,900 15,373,806 1.60%
SangStat Medical Corp.(1) 609,500 12,342,375 1.28%
Telik, Inc. 174,000 1,772,625 0.18%
TransGenomic, Inc.(1) 64,000 1,344,000 0.14%
Tularik, Inc. 525,000 17,521,875 1.82%
Watson Pharmaceuticals, Inc.(1) 400,000 24,675,000 2.56%
---------------------------------------------------------------------------------
$357,859,612 37.18%
---------------------------------------------------------------------------------
Total Common Stocks and Warrants
(identified cost $559,859,675) $893,867,029
---------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
15
<PAGE>
WORLDWIDE HEALTH SCIENCES PORTFOLIO AS OF AUGUST 31, 2000
PORTFOLIO OF INVESTMENTS CONT'D
(EXPRESSED IN UNITED STATES DOLLARS)
PREFERRED STOCKS -- 1.14%
<TABLE>
<CAPTION>
PERCENTAGE OF
SECURITY SHARES VALUE NET ASSETS
<S> <C> <C> <C>
---------------------------------------------------------------------------------
Specialty Capitalization - North America -- 1.14%
---------------------------------------------------------------------------------
Acadia Pharmaceuticals, Inc.(2)(3) 400,000 $ 3,000,000 0.31%
Adolor, Inc., Series G(2)(3) 500,000 765,000 0.08%
Adolor, Inc., Series H(2)(3) 1,094,772 1,675,001 0.17%
Memory Pharmaceutical, Series C(2)(3) 400,000 1,000,000 0.10%
NetGenics, Inc. Convertible, Series D,
Preferred R(1)(2)(3) 250,000 575,000 0.06%
NetGenics, Inc., Series E(1)(2)(3) 652,173 1,499,998 0.16%
Physiome Sciences, Inc., Series E(2)(3) 521,920 2,499,997 0.26%
---------------------------------------------------------------------------------
$ 11,014,996 1.14%
---------------------------------------------------------------------------------
Total Preferred Stocks
(identified cost $10,674,999) $ 11,014,996
---------------------------------------------------------------------------------
Total Investments
(identified cost $570,534,674) $904,882,025 93.99%
---------------------------------------------------------------------------------
Other Assets, Less Liabilities $ 57,829,744 6.01%
---------------------------------------------------------------------------------
Net Assets $962,711,769 100.00%
---------------------------------------------------------------------------------
</TABLE>
(1) Non-income producing security.
(2) Restricted security.
(3) Security valued at fair value using methods determined in good faith by
or at the direction of the Trustees.
SEE NOTES TO FINANCIAL STATEMENTS
16
<PAGE>
WORLDWIDE HEALTH SCIENCES PORTFOLIO AS OF AUGUST 31, 2000
FINANCIAL STATEMENTS
STATEMENT OF ASSETS AND LIABILITIES
<TABLE>
<CAPTION>
AS OF AUGUST 31, 2000
(EXPRESSED IN UNITED STATES DOLLARS)
<S> <C>
Assets
------------------------------------------------------
Investments, at value
(identified cost, $570,534,674) $904,882,025
Cash 73,459,136
Foreign currency, at value
(identified cost, $7,741,401) 7,563,028
Receivable for investments sold 2,156,715
Dividends receivable 291,750
Deferred organization expenses 3,414
------------------------------------------------------
TOTAL ASSETS $988,356,068
------------------------------------------------------
Liabilities
------------------------------------------------------
Payable for investments purchased $ 25,614,106
Accrued expenses 30,193
------------------------------------------------------
TOTAL LIABILITIES $ 25,644,299
------------------------------------------------------
NET ASSETS APPLICABLE TO INVESTORS'
INTEREST IN PORTFOLIO $962,711,769
------------------------------------------------------
Sources of Net Assets
------------------------------------------------------
Net proceeds from capital contributions
and withdrawals $628,351,614
Net unrealized appreciation (computed on
the basis of identified cost) 334,360,155
------------------------------------------------------
TOTAL $962,711,769
------------------------------------------------------
</TABLE>
STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
FOR THE YEAR ENDED
AUGUST 31, 2000
(EXPRESSED IN UNITED STATES DOLLARS)
<S> <C>
Investment Income
------------------------------------------------------
Dividends (net of foreign taxes,
$332,202) $ 1,693,331
Interest 36,409
------------------------------------------------------
TOTAL INVESTMENT INCOME $ 1,729,740
------------------------------------------------------
Expenses
------------------------------------------------------
Investment adviser fee $ 3,291,038
Administration fee 1,038,960
Trustees' fees and expenses 20,449
Legal and accounting services 44,949
Custodian fee 156,811
Amortization of organization expenses 2,408
Miscellaneous 18,586
------------------------------------------------------
TOTAL EXPENSES $ 4,573,201
------------------------------------------------------
Deduct --
Reduction of custodian fee $ 153,585
------------------------------------------------------
TOTAL EXPENSE REDUCTIONS $ 153,585
------------------------------------------------------
NET EXPENSES $ 4,419,616
------------------------------------------------------
NET INVESTMENT LOSS $ (2,689,876)
------------------------------------------------------
Realized and Unrealized Gain (Loss)
------------------------------------------------------
Net realized gain (loss) --
Investment transactions (identified
cost basis) $ 54,983,332
Foreign currency transactions (333,710)
------------------------------------------------------
NET REALIZED GAIN $ 54,649,622
------------------------------------------------------
Change in unrealized appreciation
(depreciation) --
Investments (identified cost basis) $292,052,009
Foreign currency 11,603
------------------------------------------------------
NET CHANGE IN UNREALIZED
APPRECIATION (DEPRECIATION) $292,063,612
------------------------------------------------------
NET REALIZED AND UNREALIZED GAIN $346,713,234
------------------------------------------------------
NET INCREASE IN NET ASSETS FROM
OPERATIONS $344,023,358
------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
17
<PAGE>
WORLDWIDE HEALTH SCIENCES PORTFOLIO AS OF AUGUST 31, 2000
FINANCIAL STATEMENTS CONT'D
STATEMENTS OF CHANGES IN NET ASSETS
(EXPRESSED IN UNITED STATES DOLLARS)
<TABLE>
<CAPTION>
INCREASE (DECREASE) YEAR ENDED YEAR ENDED
IN NET ASSETS AUGUST 31, 2000 AUGUST 31, 1999
<S> <C> <C>
--------------------------------------------------------------------------
From operations --
Net investment loss $ (2,689,876) $ (784,314)
Net realized gain 54,649,622 19,258,866
Net change in unrealized
appreciation (depreciation) 292,063,612 57,606,206
--------------------------------------------------------------------------
NET INCREASE IN NET ASSETS FROM
OPERATIONS $ 344,023,358 $ 76,080,758
--------------------------------------------------------------------------
Capital transactions --
Contributions $ 536,036,150 $ 58,763,929
Withdrawals (122,428,380) (74,426,211)
--------------------------------------------------------------------------
NET INCREASE (DECREASE) IN NET ASSETS
FROM CAPITAL TRANSACTIONS $ 413,607,770 $ (15,662,282)
--------------------------------------------------------------------------
NET INCREASE IN NET ASSETS $ 757,631,128 $ 60,418,476
--------------------------------------------------------------------------
Net Assets
--------------------------------------------------------------------------
At beginning of year $ 205,080,641 $ 144,662,165
--------------------------------------------------------------------------
AT END OF YEAR $ 962,711,769 $ 205,080,641
--------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
18
<PAGE>
WORLDWIDE HEALTH SCIENCES PORTFOLIO AS OF AUGUST 31, 2000
FINANCIAL STATEMENTS CONT'D
SUPPLEMENTARY DATA
<TABLE>
<CAPTION>
YEAR ENDED AUGUST 31,
------------------------------------------------
2000 1999 1998 1997
<S> <C> <C> <C> <C>
----------------------------------------------------------------------------------
Ratios/Supplemental Data
----------------------------------------------------------------------------------
Ratios (As a percentage of
average daily net assets):
Operating expenses 1.09% 0.95% 1.06% 1.25%
Interest expense -- 0.01% -- --
Expenses after custodian
fee reduction 1.05% 0.90% 0.92% 1.18%
Net investment loss (0.64)% (0.42)% (0.49)% (0.81)%
Portfolio Turnover 31% 41% 34% 14%
----------------------------------------------------------------------------------
NET ASSETS, END OF YEAR (000'S
OMITTED) $962,712 $205,081 $144,662 $152,717
----------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
19
<PAGE>
WORLDWIDE HEALTH SCIENCES PORTFOLIO AS OF AUGUST 31, 2000
NOTES TO FINANCIAL STATEMENTS
(EXPRESSED IN UNITED STATES DOLLARS)
1 Significant Accounting Policies
-------------------------------------------
Worldwide Health Sciences Portfolio (the Portfolio) is registered under the
Investment Company Act of 1940 as a diversified, open-end management
investment company which was organized as a trust under the laws of the State
of New York on March 26, 1996. The Portfolio seeks long-term capital growth
by investing in a global and diversified portfolio of securities of health
sciences companies. The Declaration of Trust permits the Trustees to issue
interests in the Portfolio. Investment operations began on September 1, 1996,
with the acquisition of securities with a value of $51,528,696, including
unrealized appreciation of $9,053,201, in exchange for interest in the
Portfolio by one of the Portfolio's investors. The following is a summary of
the significant accounting policies of the Portfolio. The policies are in
conformity with accounting principles generally accepted in the United States
of America.
A Investment Valuations -- Securities listed on a recognized stock exchange,
whether U.S. or foreign, are valued at the last reported sale price on that
exchange prior to the time when assets are valued or prior to the close of
trading on the New York Stock Exchange. In the event that there are no sales,
the last available sale price will be used. If a security is traded on more
than one exchange, the security is valued at the last sale price on the
exchange where the stock is primarily traded. Securities for which market
quotations are not readily available and other assets are valued on a
consistent basis at fair value as determined in good faith by or under the
supervision of the Portfolio's officers in a manner specifically authorized
by the Board of Trustees.
B Income -- Interest income is determined on the basis of interest accrued,
adjusted for amortization of premium or accretion of discount when required
for federal income tax purposes. Dividend income is recorded on the ex-
dividend date for dividends received in cash and/or securities. However, if
the ex-dividend date has passed, certain dividends from foreign securities
are recorded as the Portfolio is informed of the ex-dividend date.
C Income Taxes -- The Portfolio has elected to be treated as a partnership for
United States federal tax purposes. No provision is made by the Portfolio for
federal or state taxes on any taxable income of the Portfolio because each
investor in the Portfolio is ultimately responsible for the payment of any
taxes. Since one of the Portfolio's investors is a regulated investment
company that invests all or substantially all of its assets in the Portfolio,
the Portfolio normally must satisfy the applicable source of income and
diversification requirements (under the Internal Revenue Code) in order for
its investors to satisfy them. The Portfolio will allocate at least annually
among its investors each investor's distributive share of the Portfolio's net
investment income, net realized capital gains, and any other items of income,
gain, loss, deduction or credit. Withholding taxes on foreign dividends and
capital gains have been provided for in accordance with the Portfolio's
understanding of the applicable countries' tax rules and rates.
D Expense Reduction -- Investors Bank & Trust Company (IBT) serves as custodian
of the Portfolio. Pursuant to the custodian agreement, IBT receives a fee
reduced by credits which are determined based on the average daily cash
balance the Portfolio maintains with IBT. All significant credit balances
used to reduce the Portfolios custodian fees are reflected as a reduction of
total operating expenses on the Statement of Operations.
E Deferred Organization Expenses -- Costs incurred by the Portfolio in
connection with its organization are being amortized on the straight-line
basis over five years.
F Use of Estimates -- The preparation of financial statements in conformity
with accounting principles generally accepted in the United States of America
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 revenue and expense during the
reporting period. Actual results could differ from those estimates.
G Foreign Currency Translation -- Investment valuations, other assets, and
liabilities initially expressed in foreign currencies are converted each
business day into U.S. dollars based upon current exchange rates. Purchases
and sales of foreign investment securities and income and expenses are
converted into U.S. dollars based upon currency exchange rates prevailing on
the respective dates of such transactions. Recognized gains or losses on
investment transactions attributable to changes in foreign currency exchange
rates are recorded for financial statement purposes as net realized gains and
losses on investments. That portion of unrealized gains and losses on
investments that results from fluctuations in foreign currency exchange rates
is not separately disclosed.
H Forward Foreign Currency Exchange Contracts -- The Portfolio may enter into
forward foreign currency exchange contracts for the purchase or sale of a
specific foreign currency at a fixed price on a future date. Risks may arise
upon entering these contracts from the potential inability of counterparties
to meet the terms of their contracts and from movements in the value of a
foreign currency relative to the U.S. dollar. The Portfolio will enter into
forward contracts for hedging purposes as well as nonhedging purposes. The
forward
20
<PAGE>
WORLDWIDE HEALTH SCIENCES PORTFOLIO AS OF AUGUST 31, 2000
NOTES TO FINANCIAL STATEMENTS CONT'D
(EXPRESSED IN UNITED STATES DOLLARS)
foreign currency exchange contracts are adjusted by the daily exchange rate
of the underlying currency and any gains and losses are recorded for
financial statement purposes as unrealized until such time as the contracts
have been closed.
I Other -- Investment transactions are accounted for on a trade date basis.
Realized gains and losses are computed based on the specific identification
of the securities sold.
2 Investment Advisory Fees, Administrator's Fees and Other Transactions with
Affiliates
-------------------------------------------
Pursuant to the Advisory Agreement, OrbiMed Advisors, Inc. (OrbiMed) serves
as the Investment Adviser of the Portfolio. Under this agreement, OrbiMed
receives a monthly fee at the annual rate of 1% of the Portfolio's first $30
million in average net assets, 0.90% of the next $20 million in average net
assets, 0.75% of the next $450 million in average net assets, and 0.70% of
the next $500 million in average net assets. The fee rate declines for net
assets of $1 billion and greater. In addition, effective September 1, 1997,
OrbiMed's fee is subject to an upward or downward performance fee adjustment
of up to 0.25% of the average daily net assets of the Portfolio based upon
the investment performance of the Portfolio compared to the Standard & Poor's
Index of 500 Common Stocks over specified periods. For the year ended August
31, 2000, the fee was equivalent to 0.78% of the Portfolio's average daily
net assets and amounted to $3,291,038.
Under an Administration Agreement between the Portfolio and its
Administrator, Eaton Vance Management (EVM), EVM manages and administers the
affairs of the Portfolio. EVM earns a monthly fee at the annual rate of 0.25%
of the first $500 million in average daily net assets of the Portfolio, 0.23%
of the next $500 million of average net assets and at reduced rates as daily
net assets exceed $1 billion. For the year ended August 31, 2000, the
administration fee was 0.25% of average net assets and amounted to
$1,038,960.
Except for Trustees of the Portfolio who are not members of the Adviser or
EVM's organization, officers and Trustees receive remuneration for their
services to the Portfolio out of such investment adviser and administrative
fees. Certain officers and Trustees of the Portfolio are officers of the
above organizations. Trustees of the Portfolio that are not affiliated with
the Investment Adviser may elect to defer receipt of all or a portion of
their annual fees in accordance with the terms of the Trustee Deferred
Compensation Plan. For the year ended August 31, 2000, no significant amounts
have been deferred.
3 Investments
-------------------------------------------
Purchases and sales of investments, other than U.S. Government securities and
short-term obligations, aggregated $482,354,898 and $127,241,445,
respectively, for the year ended August 31, 2000.
4 Federal Income Tax Basis of Investments
-------------------------------------------
The cost and unrealized appreciation (depreciation) in value of the
investments owned at August 31, 2000, as computed on a federal income tax
basis, were as follows:
<TABLE>
<S> <C>
AGGREGATE COST $570,779,850
------------------------------------------------------
Gross unrealized appreciation $346,471,377
Gross unrealized depreciation (12,369,202)
------------------------------------------------------
NET UNREALIZED APPRECIATION $334,102,175
------------------------------------------------------
</TABLE>
5 Risks Associated with Foreign Investments
-------------------------------------------
Investing in securities issued by companies whose principal business
activities are outside the United States may involve significant risks not
present in domestic investments. For example, there is generally less
publicly available information about foreign companies, particularly those
not subject to the disclosure and reporting requirements of the U.S.
securities laws. Foreign issuers are generally not bound by uniform
accounting, auditing, and financial reporting requirements and standards of
practice comparable to those applicable to domestic issuers. Investments in
foreign securities also involve the risk of possible adverse changes in
investment or exchange control regulations, expropriation or confiscatory
taxation, limitation on the removal of funds or other assets of the
Portfolio, political or financial instability or diplomatic and other
developments which could affect such investments. Foreign stock markets,
while growing in volume and sophistication, are generally not as developed as
those in the United States, and securities of some foreign issuers
(particularly those in developing countries) may be less liquid and more
volatile than securities of comparable U.S. companies. In general, there is
less overall governmental supervision and regulation of foreign securities
markets, broker-dealers, and issuers than in the United States.
6 Line of Credit
-------------------------------------------
The Portfolio participates with other portfolios and funds managed by EVM and
its affiliates in a $150 million unsecured line of credit agreement with a
group of banks. Borrowings will be made by the Portfolio solely to facilitate
the handling of unusual and/or unanticipated short-term cash requirements.
Interest is charged to each portfolio or fund based on its borrowings at an
amount above the
21
<PAGE>
WORLDWIDE HEALTH SCIENCES PORTFOLIO AS OF AUGUST 31, 2000
NOTES TO FINANCIAL STATEMENTS CONT'D
(EXPRESSED IN UNITED STATES DOLLARS)
Eurodollar rate or federal funds rate. In addition, a fee computed at an
annual rate of 0.10% on the daily unused portion of the line of credit is
allocated among the participating portfolios and funds at the end of each
quarter. The Portfolio did not have any significant borrowings or allocated
fees during the year ended August 31, 2000.
7 Restricted Securities
-------------------------------------------
At August 31, 2000, the Portfolio owned the following securities
(representing 11.02% of net assets) which were restricted as to public resale
and not registered under the Securities Act of 1933. The Fund has various
registration rights (exercisable under a variety of circumstances) with
respect to these securities. The fair value of these securities is determined
based on valuations provided by brokers when available, or if not available,
they are valued at fair value using methods determined in good faith by or at
the direction of the Trustees. This valuation may differ from the value that
would be realized if the securities were sold and the difference could be
material to the financial statements.
<TABLE>
<CAPTION>
DATE OF
DESCRIPTION ACQUISITION SHARES COST FAIR VALUE
<S> <C> <C> <C> <C>
--------------------------------------------------------------------------------------------
COMMON STOCKS AND WARRANTS
--------------------------------------------------------------------------------------------
Arena Pharmaceuticals 1/28/99 832,018 $ 3,894,066 $38,480,832
Caliper Technologies Corp. 8/28/00 200,000 9,600,000 12,425,000
IntraBiotics Pharmaceuticals 3/28/00 166,667 1,000,002 3,500,007
Orchid BioSciences Warrants 5/24/99 100,000 0 4,368,750
Orchid BioSciences, Inc. 12/20/99 807,749 4,057,411 36,298,221
--------------------------------------------------------------------------------------------
$18,551,479 $95,072,810
--------------------------------------------------------------------------------------------
PREFERRED STOCKS
--------------------------------------------------------------------------------------------
Acadia Pharmaceuticals, Inc. 5/05/00 400,000 $ 3,000,000 $ 3,000,000
Adolor, Inc., Series G 1/10/00 500,000 500,000 765,000
Adolor, Inc., Series H 7/10/00 1,094,772 1,675,001 1,675,001
Memory Pharmaceutical, Series C 6/21/00 400,000 1,000,000 1,000,000
NetGenics, Inc. Convertible, Series D,
Preferred R 3/20/98 250,000 500,000 575,000
NetGenics, Inc., Series E 12/21/99 652,173 1,499,998 1,499,998
Physiome Sciences, Inc., Series E 5/16/00 521,920 2,500,000 2,499,997
--------------------------------------------------------------------------------------------
$10,674,999 $11,014,996
--------------------------------------------------------------------------------------------
</TABLE>
8 Financial Instruments
-------------------------------------------
The Portfolio regularly trades in financial instruments with off-balance
sheet risk in the normal course of its investing activities to assist in
managing exposure to various market risks. These financial instruments
include forward foreign currency exchange contracts and futures contracts and
may involve, to a varying degree, elements of risk in excess of the amounts
recognized for financial statement purposes. The notional or contractual
amounts of these instruments represent the investment the Portfolio has in
particular classes of financial instruments and does not necessarily
represent the amounts potentially subject to risk. The measurement of the
risks associated with these instruments is meaningful only when all related
and offsetting transactions are considered. At August 31, 2000 there were no
outstanding obligations under these financial instruments.
22
<PAGE>
WORLDWIDE HEALTH SCIENCES PORTFOLIO AS OF AUGUST 31, 2000
INDEPENDENT ACCOUNTANTS' REPORT
TO THE TRUSTEES AND INVESTORS
OF WORLDWIDE HEALTH SCIENCES PORTFOLIO:
---------------------------------------------
In our opinion, the accompanying statement of assets and liabilities, including
the portfolio of investments, and the related statements of operations and of
changes in net assets and supplementary data present fairly, in all material
respects, the financial position of Worldwide Health Sciences Portfolio (the
"Portfolio") at August 31, 2000, and the results of its operations, the changes
in its net assets, and supplementary data for the periods indicated, in
conformity with accounting principles generally accepted in the United States of
America. These financial statements and supplementary data (hereafter referred
to as "financial statements") are the responsibility of the Portfolio's
management; our responsibility is to express an opinion on these financial
statements based on our audits. We conducted our audits of these financial
statements in accordance with auditing standards generally accepted in the
United States of America, which require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements, assessing
the accounting principles used and significant estimates made by management, and
evaluating the overall financial statement presentation. We believe that our
audits, which included confirmation of securities at August 31, 2000 by
correspondence with the custodian, provide a reasonable basis for our opinion.
PricewaterhouseCoopers LLP
Boston, Massachusetts
October 27, 2000
23
<PAGE>
EATON VANCE WORLDWIDE HEALTH SCIENCES FUND AS OF AUGUST 31, 2000
INVESTMENT MANAGEMENT
WORLDWIDE HEALTH SCIENCES PORTFOLIO
Officers
James B. Hawkes
President and Trustee
Samuel D. Isaly
Vice President and
Portfolio Manager
James L. O'Connor
Treasurer
Alan R. Dynner
Secretary
Trustees
Jessica M. Bibliowicz
President and Chief Executive Officer,
National Financial Partners
Donald R. Dwight
President, Dwight Partners, Inc.
Samuel L. Hayes, III
Jacob H. Schiff Professor of Investment
Banking Emeritus, Harvard University
Graduate School of Business Administration
Norton H. Reamer
President, Unicorn
Lynn A. Stout
Professor of Law,
Georgetown University Law Center
Jack L. Treynor
Investment Adviser and Consultant
24
