Table of Contents
USAA Family of Funds 1
Message from the President 2
Investment Review 4
Message from the Managers 5
Shareholder Voting Results 9
Financial Information
Portfolio of Investments 10
Notes to Portfolio of Investments 19
Statement of Assets and Liabilities 20
Statement of Operations 21
Statements of Changes in Net Assets 22
Notes to Financial Statements 23
Important Information
Through our ongoing efforts to reduce expenses and respond to shareholder
requests, your annual and semiannual report mailings are streamlined. One copy
of each report is sent to each address, rather than to every registered owner.
For many shareholders and their families, this eliminates duplicate copies,
saving paper and postage costs to the Fund.
If you are the primary shareholder on at least one account, prefer not to
participate in streamlining, and would like to continue receiving one report per
registered account owner, you may request this in writing to:
USAA Investment Management Company
Attn: Report Mail
9800 Fredericksburg Road
San Antonio, TX 78284-8916
or phone a mutual fund representative at 1-800-531-8448 during business hours.
This report is for the information of the shareholders and others who have
received a copy of the currently effective prospectus of the USAA Aggressive
Growth Fund, managed by USAA Investment Management Company (IMCO). It may be
used as sales literature only when preceded or accompanied by a current
prospectus, which gives further details about the Fund.
USAA with the eagle is registered in the U.S. Patent & Trademark
Office.(Copyright)2000, USAA. All rights reserved.
USAA Family of Funds Summary
Fund Minimum
Type/Name Volatility Investment
--------- ---------- ----------
CAPITAL APPRECIATION
===============================================================================
Aggressive Growth Very high $3,000
Emerging Markets Very high $3,000
First Start Growth(Registered
Trademark) Moderate to high $3,000
Gold Very high $3,000
Growth Moderate to high $3,000
Growth & Income Moderate $3,000
International Moderate to high $3,000
S&P 500 (Registered Trademark)
Index Moderate $3,000
Science & Technology Very high $3,000
Small Cap Stock Very high $3,000
World Growth Moderate to high $3,000
ASSET ALLOCATION
===============================================================================
Balanced Strategy Moderate $3,000
Cornerstone Strategy Moderate $3,000
Growth and Tax
Strategy Moderate $3,000
Growth Strategy Moderate to high $3,000
Income Strategy Low to moderate $3,000
INCOME - TAXABLE
===============================================================================
GNMA(Registered Trademark) Trust Low to moderate $3,000
High-Yield
Opportunities High $3,000
Income Moderate $3,000
Income Stock Moderate $3,000
Intermediate-Term
Bond Low to moderate $3,000
Short-Term Bond Low $3,000
INCOME - TAX EXEMPT
===============================================================================
Long-Term Moderate $3,000
Intermediate-Term Low to moderate $3,000
Short-Term Low $3,000
State Bond Income Moderate $3,000
MONEY MARKET
===============================================================================
Money Market Very low $3,000
Tax Exempt
Money Market Very low $3,000
Treasury Money
Market Trust (Registered
Trademark) Very low $3,000
State Money Market Very low $3,000
- -------------------------------------------------------------------------------
Foreign investing is subject to additional risks, which are discussed in the
funds' prospectuses.
S&P 500(Registered Trademark)is a trademark of The McGraw-Hill Companies, Inc.
and has been licensed for use. The product is not sponsored, sold, or promoted
by Standard & Poor's, and Standard & Poor's makes no representation regarding
the advisability of investing in the product.
Some income may be subject to state or local taxes or the federal alternative
minimum tax.
An investment in a money market fund is not insured or guaranteed by the FDIC or
any other government agency. Although the fund seeks to preserve the value of
your investment at $1 per share, it is possible to lose money by investing in
the fund.
The Science & Technology Fund may be more volatile than a fund that diversifies
across many industries.
The InveStart(Registered Trademark) program is available for investors without
the $3,000 initial investment required to open an IMCO mutual fund account. A
mutual fund account can be opened with no initial investment if you elect to
have monthly automatic investments of at least $50 from a bank account.
InveStart is not available on tax-exempt funds or the S&P 500 Index Fund. The
minimum initial investment for IRAs is $250, except for the $2,000 minimum
required for the S&P 500 Index Fund. IRAs are not available for tax-exempt
funds. The Growth and Tax Strategy Fund is not available as an investment for
your IRA because the majority of its income is tax exempt.
California, Florida, New York, Texas, and Virginia funds available to residents
only.
Nondeposit investment products are not insured by the FDIC, are not deposits or
other obligations of, or guaranteed by, USAA Federal Savings Bank, are subject
to investment risks, and may lose value.
For more complete information about the mutual funds managed and distributed by
USAA Investment Management Company, including charges and operating expenses,
please call 1-800-531-8181 for a prospectus. Read it carefully before you
invest.
Message from the President
[PHOTOGRAPH OF PRESIDENT AND VICE CHAIRMAN OF THE BOARD: MICHAEL J.C. ROTH, CFA,
APPEARS HERE.]
What an exciting time this is!
The way we do business, the way we communicate with each other, the way we live
our lives is all changing with breathtaking speed. It is fascinating and
sometimes scary. And it creates new investment ideas every day.
As we begin 2000, a challenging investment picture is out there. In the last
half of 1999, especially, investors in growth or technology stocks had wonderful
returns. These came on the heels of four previous years of returns that were
well above average. Those returns in 1999 were the product of the actions of
investors who think on the leading edge: technology, Internet, electronics. For
investors who included bonds or value-based stocks in their portfolios, 1999 was
disappointing. The returns there were largely driven by the Federal Reserve,
which is much more concerned with inflation than with leading-edge thinking. I
do not mean that as a put-down; that's just how it is.
And one last piece of the puzzle: the returns for growth and technology stocks
are coupled with price/earnings ratios that are so far above any common standard
that people are only guessing at what they mean.
So, in a nutshell, 1999 was huge returns on growth and tech stocks coupled with
valuations that were stratospheric and paltry returns on everything else. And,
oh yes, the economy continues to grow in a way that has some economists talking
about eliminating the national debt in just over a decade.
Great opportunities coupled with very interesting risks is a picture that for
many of you will continue to argue for the approach we have counseled. Create a
portfolio that pursues your goals within a level of risk which you can tolerate.
That portfolio can be much more exciting than it was a few years ago. We'd love
to help you create it.
Sincerely,
Michael J.C. Roth, CFA
President and
Vice Chairman of the Board
Past performance is no guarantee of future results.
Investment Review
USAA AGGRESSIVE GROWTH FUND
OBJECTIVE: Capital appreciation
TYPES OF INVESTMENTS: Invests principally in equity securities of companies
with the prospect of rapidly growing earnings.
- --------------------------------------------------------------------------------
7/31/99 1/31/00
================================================================================
Net Assets $1,029.3 Million $1,759.2 Million
Net Asset Value Per Share $38.23 $56.63
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
Average Annual Total Returns as of 1/31/00
================================================================================
7/31/99 to 1/31/00 1 Year 5 Years 10 Years
57.51%(+) 76.96% 36.06% 22.14%
- --------------------------------------------------------------------------------
(+) Total returns for periods of less than one year are not annualized. This
six-month return is cumulative.
Total return equals income yield plus share price change and assumes
reinvestment of all dividends and capital gains distributions. No adjustment has
been made for taxes payable by shareholders on their reinvested income dividends
and capital gains distributions. The performance data quoted represent past
performance and are not an indication of future results. Investment return and
principal value of an investment will fluctuate, and an investor's shares, when
redeemed, may be worth more or less than their original cost.
CUMULATIVE PERFORMANCE COMPARISON
A chart in the form of a line graph appears here, illustrating the comparison of
a $10,000 hypothetical investment in the USAA Aggressive Growth Fund, the
Russell 2000 (Registered Trademark) Index, the S&P 500 Index, and the Lipper
Small Cap Funds Average for the period of 01/31/90 through 01/31/2000. The data
points from the graph are as follows:
USAA
Aggressive Russell S&P 500 Lipper Small Cap
Growth Fund 2000 Index Index Funds Average
----------- ---------- ------- ----------------
01/31/90 $10,000 $10,000 $10,000 $10,000
07/31/90 10,900 10,629 11,014 11,057
01/31/91 10,929 9,621 10,837 10,667
07/31/91 13,138 11,660 12,416 12,826
01/31/92 16,002 13,930 13,291 15,578
07/31/92 13,478 13,352 14,001 14,391
01/31/93 15,285 15,774 14,695 17,091
07/31/93 14,612 16,483 15,221 17,609
01/31/94 16,756 18,707 16,584 20,058
07/31/94 14,458 17,243 16,005 18,310
01/31/95 15,840 17,583 16,671 19,344
07/31/95 21,684 21,550 20,177 24,152
01/31/96 24,378 22,850 23,109 25,566
07/31/96 26,272 23,039 23,517 26,810
01/31/97 29,817 27,180 29,193 31,378
07/31/97 31,527 30,732 35,773 35,410
01/31/98 30,935 32,092 37,046 36,251
07/31/98 32,758 31,443 42,679 36,302
01/31/99 41,740 32,198 49,090 36,841
07/31/99 46,892 33,773 51,301 39,325
01/31/00 73,862 37,911 54,166 48,173
Data from 1/31/90 through 1/31/00
The graph illustrates the comparison of a $10,000 hypothetical investment in the
USAA Aggressive Growth Fund to the S&P 500 Index, the broad-based Russell
2000(Registered Trademark) Index, and the Lipper Small Cap Funds Average. The
S&P 500 Index is an unmanaged index representing the weighted average
performance of a group of 500 widely held, publicly traded stocks. It is not
possible to invest in the S&P 500 Index. The Russell 2000 is a widely recognized
unmanaged small-cap index consisting of the 2,000 smallest companies within the
Russell 3000(Registered Trademark) Index. The Lipper Small Cap Funds Average is
an average of all the small-cap funds, as reported by Lipper Analytical
Services, Inc., an independent organization that monitors the performance of
mutual funds.
Message from the Managers
[PHOTOGRAPH OF PORTFOLIO MANAGERS: LEFT TO RIGHT: ERIC M. EFRON, CFA, AND JOHN
K. CABELL, JR., CFA, APPEARS HERE.]
MARKET CONDITIONS
The environment was favorable for U.S. equity investments during the six months
ended January 31, 2000. Aided by increased productivity and low inflation, the
domestic economy continued to grow at a healthy pace. Overseas economies,
boosted by early signs of recovery from a severe downturn in Asia, advanced in
the aggregate as well. Earnings, for the most part, advanced sharply both in the
United States and abroad. On a less positive note, interest rates increased
slightly amidst concerns that inflation would heat up, but in the end, this was
not enough to offset the good news on the earnings front.
Under these conditions, all major U.S. stock market indices advanced, although
it should be pointed out that this progress tailed off in the face of
intensified volatility in January 2000. Against this backdrop, several trends
were prominent during the July 31, 1999, through January 31, 2000, time period:
- The multiyear performance edge of large-cap stocks versus small-cap stocks
narrowed. Investors finally appear to have become more willing to forego
some of the liquidity of large-cap equities in order to take advantage of
the attractive valuations and growth prospects of smaller ones. Thus, the
Russell 2000 Index, a leading benchmark of small-cap stock performance rose
11.6% surpassing that of the S&P 500, a major large-cap indicator, which
was up by 5.6%.
- Technology equities reigned supreme. Helped by an extremely strong initial
public offering (IPO) cycle, the tech-heavy NASDAQ Composite Index soared
49.3%, outperforming all the other major stock indices by a wide margin.
- Largely influenced by the technology boom, growth stocks continued to enjoy
very strong performance, while value stocks languished. An analysis of the
growth and value sectors of the Russell 2000 Index makes this readily
apparent. Russell 2000 Growth was up by 29.7% for the six months, whereas
Russell 2000 Value declined 6.6%.
PERFORMANCE
The USAA Aggressive Growth Fund was well positioned to take advantage of the
conditions listed earlier. Helped by its emphasis on growth over value, by its
sizeable investments in technology as well as in other well-performing areas
such as communication services and biotech, and by its active participation in
the IPO market, the Fund had a very strong six months. It generated a total
return of 57.51%, versus 11.6% for the Russell 2000 Index.
PORTFOLIO STRATEGY
There have been no major adjustments to our strategy over the past six months.
We believe that change is central to existence and is inevitable. Whether it be
life forms, civilizations, governments, social institutions, economic systems,
or businesses, entities that embrace change are likely to succeed and thrive.
Those that resist it are doomed to failure, at worst, and to extremely limited
prospects, at best. With this in mind, we try to identify long-term social and
economic trends that are in their early stages and are potentially powerful and
pervasive. We then aggregate these trends into six overriding themes -- the
telecommunications revolution, new computing, new products and services, the
drive for efficiency, changing lifestyles, and consolidation -- and look to
invest in companies that are in a good position to benefit from the changes that
lie ahead.
In addition, we focus our investments on companies that are either growing
rapidly or have the potential to do so. We believe that rapid growth is one of
the best ways to build value over the long term. We are willing to pay premium
valuations for the companies in which we invest because we are confident that
the premiums will be paid off handsomely over time. We are firm believers of the
old adage that you get what you pay for.
Our investments tend to focus on small- to mid-cap companies because this is
where most of the rapid growth and innovation that we desire are to be found.
Nevertheless, we will also invest in larger companies -- Microsoft, Intel,
Cisco, Dell Computers, Clear Channel Communications, Infinity Broadcasting, and
Home Depot, for example -- that possess the attributes we are looking for. We
wish to stress that aggressive growth is not synonymous with small-cap; instead,
it transcends market capitalization categories.
We have overweighted our investments in the technology and communications areas.
The Internet (Network Solutions) is rapidly transforming how we communicate, do
business, and live. At the same time, old telecommunications monopolies
worldwide are crumbling in the face of deregulation and competition, as new
companies (Global Telesytems, Global Crossing, Level 3 Communications) arise to
provide the Internet and other new services that customers demand. Almost as
rapidly as these new companies are being established, companies within the
industry are acquiring one another (Metromedia Fiber Networks/AboveNet
Communications, VoiceStream Wireless/Omnipoint) in order to position themselves
for dominance in the new telecommunications age. All of this is stimulating huge
demand for the networking and data communications equipment (Cisco Systems,
Ciena Corp., Harmonic Inc.) that goes into the telecommunications
infrastructure. And, this creates a demand for the semiconductors (Vitesse
Semiconductor, Applied Micro Circuits, Triquint Semiconductor, MMC Networks) and
other components (JDS Fitel) that go into the equipment.
All the companies mentioned here are holdings or recent sales in the Fund and
fit within the six major themes mentioned above. Taken together with our other
positions in the technology and communications areas, they contributed
significantly to our strong relative performance during the six months ended
January 31, 2000. We are also taking advantage of opportunities in other
promising industries such as retailing (Abercrombie & Fitch, 99 Cents Only
Stores, William Sonoma), biotechnology (IDEC Pharmaceuticals, Immunex Corp.),
health care (Express Scripts), and financial services (Knight Trimark).
OUTLOOK
The Fund enjoyed very strong performance during the six months ended January 31,
2000. The positive conditions that contributed so strongly to performance during
the past half year remain in place. Most signs point to moderation in terms of
economic growth, corporate earnings, inflation, and interest rates. This makes
us optimistic about future equity investment prospects.
Nevertheless, we would be remiss not to point out that past performance is not a
guarantee of future results. As good as the fundamental outlooks of our
individual holdings might be, stocks in general, and technology issues in
particular, are selling at valuations that defy conventional investment wisdom.
This could leave them exposed to any possible negative news including political
and social disruptions, earnings disappointments, residual Y2K issues, and
rising inflation and interest rates. Volatility has always been a central
characteristic of aggressive growth investing, and in our opinion, this will
continue to be the case.
In the event of a stock market correction, this Fund may be more vulnerable than
many others due to its large concentration of high valuation and low market
capitalization holdings. Should this occur, we urge aggressive growth investors
to maintain their long-term perspective. No matter how painful stock market
corrections and bear markets may be, they have proved to be nothing more than
temporary disruptions to an immutable trend of increasing values for
well-managed and correctly positioned growth companies. We believe that
companies such as the ones comprising our portfolio meet these standards and, in
the long run, have excellent potential.
Past performance is no guarantee of future results.
Respectfully submitted on February 4, 2000.
Top 10 Equity Holdings Top 10 Industries
(% of Net Assets) (% of Net Assets)
- ------------------------------------ -------------------------------------
Metromedia Fiber Biotechnology 14.6
Network, Inc. "A" 3.5 Internet Services 10.7
Network Solutions, Inc. 2.9 Telephones 10.6
Harmonic, Inc. 2.7 Communication Equipment 9.5
Applied Micro Circuits Corp. 2.5 Electronics - Semiconductors 8.2
Med Immune, Inc. 2.5 Computer Software & Service 4.7
JDS Uniphase Corp. 2.4 Drugs 3.1
IDEC Pharmaceuticals Corp. 2.2 Broadcasting - TV & Radio 2.5
Sandisk Corp. 2.0 Computer - Hardware 2.4
Human Genome Sciences, Inc. 1.6 Telecommunications -
Genetech, Inc. 1.6 Cellular/Wireless 2.4
- ------------------------------------ -------------------------------------
See page 10 for a complete listing of the portfolio of investments.
Shareholder Voting Results
On October 15, 1999, a special meeting of shareholders was held to vote on the
following proposals. All proposals were approved by the shareholders. All
shareholders of record on August 19, 1999, were entitled to vote on each
proposal. The number of votes shown below are for the entire series of the USAA
Mutual Fund, Inc. (the Company) for proposals 1 and 2.
1 Proposal to elect Directors as follows:
DIRECTORS VOTES FOR VOTES WITHHELD
Robert G. Davis 1,769,441,834 27,742,867
Michael J.C. Roth 1,769,442,078 27,742,623
Barbara B. Dreeben 1,769,442,172 27,742,529
Robert L. Mason 1,769,442,172 27,742,529
David G. Peebles 1,769,442,078 27,742,623
Michael F. Reimherr 1,769,441,328 27,743,373
Richard A. Zucker 1,769,444,074 27,740,627
John W. Saunders, Jr. and Howard L. Freeman, Jr. did not stand for re-election
to the Board. Their term of office terminated on December 31, 1999.
2 Proposal to ratify the selection by the Board of Directors of KPMG LLP as
auditors for the Company.
NUMBER OF SHARES VOTING
- --------------------------------------------------------------------------------
FOR AGAINST ABSTAIN
1,664,427,712 19,027,937 27,873,822
USAA AGGRESSIVE GROWTH FUND
PORTFOLIO OF INVESTMENTS
January 31, 2000
(Unaudited)
Market
Number Value
of Shares Security (000)
- --------------------------------------------------------------------------------
COMMON STOCKS (97.1%)
Aerospace/Defense (0.9%)
425,000 AAR Corp. $ 7,517
178,400 Aviation Sales Co. * 1,528
100,000 HEICO Corp. "A" 1,713
200,000 Triumph Group, Inc. * 4,587
- --------------------------------------------------------------------------------
15,345
- --------------------------------------------------------------------------------
Air Freight (0.8%)
275,000 Eagle USA Airfreight, Inc. * 9,006
100,000 United Parcel Service "B" 5,950
- --------------------------------------------------------------------------------
14,956
- --------------------------------------------------------------------------------
Airlines (0.3%)
100,000 Atlantic Coast Airlines, Inc. * 1,806
155,000 Midwest Express Holdings, Inc. * 3,439
- --------------------------------------------------------------------------------
5,245
- --------------------------------------------------------------------------------
Auto Parts (0.4%)
400,000 Copart, Inc. * 6,800
- --------------------------------------------------------------------------------
Banks - Major Regional (0.2%)
26,200 Columbia Banking Systems, Inc. * 337
150,000 Hamilton Bancorp, Inc. * 2,419
- --------------------------------------------------------------------------------
2,756
- --------------------------------------------------------------------------------
Beverages - Alcoholic (0.5%)
130,000 Beringer Wine Estates Holdings, Inc. "B" * 5,720
100,000 Robert Mondavi Corp. "A" * 3,688
- --------------------------------------------------------------------------------
9,408
- --------------------------------------------------------------------------------
Biotechnology (14.6%)
100,000 Affymetrix, Inc. * 23,150
200,000 Genetech, Inc. * 28,100
120,000 Genzyme Corp. * 6,240
290,000 Human Genome Sciences, Inc. * 28,420
300,000 IDEC Pharmaceuticals Corp. * 37,856
210,000 Immunex Corp. * 27,457
121,000 Inhale Therapeutic Systems, Inc. * 7,071
100,000 Maxygen, Inc. * 7,463
300,000 Med Immune, Inc. * 43,800
125,000 Millennium Pharmaceuticals, Inc. * 23,430
350,000 Techne Corp. * 21,831
80,000 Transkaryotic Therapies, Inc. * 2,605
- --------------------------------------------------------------------------------
257,423
- --------------------------------------------------------------------------------
Broadcasting - Radio & TV (2.5%)
210,000 Clear Channel Communications, Inc. * 18,139
66,900 Entercom Communications Corp. * 3,554
118,100 Infinity Broadcasting Corp. * 3,838
50,000 Radio Unica Communications * 1,200
200,000 Regent Communications, Inc. * 2,350
190,000 Salem Communications Corp. "A" * 3,278
45,500 Spanish Broadcasting Systems, Inc. "A" * 1,558
85,800 Univision Communications, Inc. "A" * 9,191
27,000 Wink Communications, Inc. * 1,573
- --------------------------------------------------------------------------------
44,681
- --------------------------------------------------------------------------------
Chemicals (0.4%)
125,000 Symyx Technologies * 6,438
- --------------------------------------------------------------------------------
Communication Equipment (9.5%)
166,700 Advanced Fibre Communications, Inc. * 6,137
81,000 Airnet Communications Corp. * 2,673
226,400 Altigen Communications, Inc. * 3,085
97,700 Ancor Communications, Inc. * 3,676
90,000 CIENA Corp. * 5,906
161,805 Digital Microwave Corp. * 5,178
81,400 Ditech Communications Corp. * 9,575
32,500 Efficient Networks, Inc. * 2,484
34,300 Gadzoox Networks, Inc. * 1,303
485,800 Harmonic, Inc. * 46,789
38,200 Inet Technologies, Inc. * 1,558
46,700 interWAVE Communications International, Ltd. * 1,705
207,688 JDS Uniphase Corp. * 42,355
77,500 MCK Communications, Inc. * 2,083
112,700 Netro Corp. * 4,846
41,600 Next Level Communications, Inc. * 3,354
228,200 Pairgain Technologies, Inc. * 2,639
63,500 Paradyne Networks, Inc. * 1,714
36,600 Sonicwall, Inc. * 2,132
186,900 Spectrian Corp. * 3,831
10,600 Sycamore Networks, Inc. * 3,381
108,300 Terayon Communication Systems, Inc. * 11,588
- --------------------------------------------------------------------------------
167,992
- --------------------------------------------------------------------------------
Computer - Hardware (2.4%)
200,600 Dell Computer Corp. * 7,711
263,600 Sandisk Corp. * 35,289
- --------------------------------------------------------------------------------
43,000
- --------------------------------------------------------------------------------
Computer - Networking (1.9%)
21,500 Alteon Websystems, Inc. * 2,115
220,200 Cisco Systems, Inc. * 24,112
8,500 Cobalt Networks, Inc. * 667
18,200 Crossroads Systems, Inc. * 1,324
18,300 Finisar Corp. * 1,108
17,800 Foundry Networks, Inc. * 2,398
18,700 JNI Corp. * 1,110
- --------------------------------------------------------------------------------
32,834
- --------------------------------------------------------------------------------
Computer Software & Service (4.7%)
50,300 ASD Systems, Inc. * 421
97,700 Bluestone Software, Inc. * 8,610
133,200 Daleen Technologies, Inc. * 2,548
101,800 Digex, Inc. * 8,640
45,500 Digimarc Corp. * 2,454
128,300 Digital Island, Inc. * 10,841
196,500 Diversinet Corp. * 3,132
9,200 Extensity, Inc. * 533
90,700 HNC Software, Inc. * 8,180
29,800 InterTrust Technologies Corp. * 4,302
108,800 Liberate Technologies, Inc. * 8,575
23,300 Metasolv Software, Inc. * 2,487
84,700 Microsoft Corp. * 8,290
13,700 Ondisplay, Inc. * 1,105
28,100 OpenTV Corp. "A" * 2,798
15,700 Phone.com, Inc. * 1,727
37,100 Primus Knowledge Solutions, Inc. * 2,780
131,200 Scientific Learning Corp. * 3,296
132,200 Telemate.Net Software, Inc. * 1,900
- --------------------------------------------------------------------------------
82,619
- --------------------------------------------------------------------------------
Drugs (3.1%)
115,000 Alpharma, Inc. "A" 3,910
250,000 Biovail Corp. International * 12,469
170,000 Elan Corp. plc ADR * 5,111
195,000 Jones Pharma, Inc. 11,322
150,000 Sepracor, Inc. * 21,000
- --------------------------------------------------------------------------------
53,812
- --------------------------------------------------------------------------------
Electronics - Semiconductors (8.2%)
298,400 Applied Micro Circuits Corp. * 44,089
100,000 Intel Corp. 9,894
17,900 Maker Communications, Inc. * 965
140,000 Metalink Ltd. * 3,089
216,000 MMC Networks, Inc. * 6,048
146,200 Netsilicon, Inc. * 3,289
159,900 Quicklogic Corp. * 2,398
81,400 Rambus, Inc. * 6,135
13,400 Silicon Image, Inc. * 995
438,975 TranSwitch Corp. * 21,812
177,900 Triquint Semiconductor, Inc. * 27,180
45,700 Virata Corp. * 2,571
358,000 Vitesse Semiconductor Corp. * 15,573
- --------------------------------------------------------------------------------
144,038
- --------------------------------------------------------------------------------
Engineering & Construction (0.1%)
60,000 Quanta Services, Inc. * 1,965
- --------------------------------------------------------------------------------
Equipment - Semiconductors (1.3%)
181,100 Cymer, Inc. * 9,983
113,700 PRI Automation, Inc. * 7,973
321,179 SpeedFam-IPEC, Inc. * 4,838
- --------------------------------------------------------------------------------
22,794
- --------------------------------------------------------------------------------
Finance - Consumer (0.6%)
100,000 Metris Companies, Inc. 3,662
300,000 NCO Group, Inc. * 6,919
- --------------------------------------------------------------------------------
10,581
- --------------------------------------------------------------------------------
Finance - Diversified (0.3%)
120,000 Heller Financial, Inc. "A" 2,498
91,200 Official Payments Corp. * 3,106
- --------------------------------------------------------------------------------
5,604
- --------------------------------------------------------------------------------
Foods (0.7%)
150,000 American Italian Pasta Co. "A" * 4,106
200,000 Suiza Foods Corp. * 8,225
- --------------------------------------------------------------------------------
12,331
- --------------------------------------------------------------------------------
Health Care - Diversified (0.6%)
135,000 Accredo Health, Inc. * 4,185
120,000 ICON plc ADR * 2,055
152,200 Professional Detailing, Inc. * 4,109
- --------------------------------------------------------------------------------
10,349
- --------------------------------------------------------------------------------
Health Care - HMOs (1.1%)
375,000 Express Scripts, Inc. "A" * 19,383
- --------------------------------------------------------------------------------
Health Care - Specialized Services (1.3%)
200,000 Advance Paradigm, Inc. * 3,762
60,000 Ebenx, Inc. * 3,315
235,000 Omnicare, Inc. 2,482
330,000 Orthodontic Centers of America, Inc. * 5,053
100,000 Priority Healthcare Corp. "B" * 2,894
225,000 Renal Care Group, Inc. * 5,527
- --------------------------------------------------------------------------------
23,033
- --------------------------------------------------------------------------------
Home Furnishings & Appliances (0.5%)
350,000 Ethan Allen Interiors, Inc. 8,750
- --------------------------------------------------------------------------------
Hospitals (0.2%)
130,000 Province Healthcare Co. * 3,445
- --------------------------------------------------------------------------------
Housewares (0.1%)
100,000 Yankee Candle Co., Inc. * 1,669
- --------------------------------------------------------------------------------
Internet Services (10.7%)
84,600 24/7 Media, Inc. * 5,192
8,400 Akamai Technologies, Inc. * 2,093
110,000 barnesandnoble.com, Inc. * 1,279
27,400 Be Free, Inc. * 2,740
176,800 CAIS Internet, Inc. * 6,188
14,700 Calico Commerce, Inc. * 470
65,000 CareInsite, Inc. * 4,747
54,600 Data Return Corp. * 3,174
25,800 Digital Impact, Inc. * 1,238
100,000 drkoop.com, Inc. * 1,362
144,000 Entrust Technologies, Inc. * 6,822
12,000 Expedia, Inc. "A" * 327
10,700 Freemarkets, Inc. * 2,450
89,800 Freeshop.com, Inc. * 2,705
9,100 Getthere.com, Inc. * 268
91,300 Gric Communications, Inc. * 4,183
188,300 High Speed Access Corp. * 3,425
80,500 Homestore.com, Inc. * 7,854
113,800 Interliant, Inc. * 4,310
44,000 Internap Network Services Corp. * 2,755
146,209 Internet Pictures Corp. * 4,679
64,000 L90, Inc. * 1,440
44,800 Media Metrix, Inc. * 1,498
22,800 Mediaplex, Inc. * 2,326
19,100 MedicaLogic, Inc. * 561
177,600 Medscape, Inc. * 1,965
67,500 Mypoints.com, Inc. * 2,873
66,000 N2H2, Inc. * 1,056
41,100 National Information Consortium, Inc. * 1,803
18,300 Navisite, Inc. * 1,883
204,100 Netcentives, Inc. * 13,930
26,600 Netratings, Inc. * 984
237,800 Network Solutions, Inc. "A" * 51,573
223,000 Promotions.com, Inc. * 4,976
104,100 Purchasepro.com, Inc. * 8,627
18,900 Radware Ltd. * 869
32,000 Retek, Inc. * 1,700
177,900 Tumbleweed Communications Corp. * 8,934
205,100 Viador, Inc. * 7,384
80,100 Webvan Group, Inc. * 1,207
106,600 Yesmail.com, Inc. * 2,958
107,400 ZipLink, Inc. * 1,933
- --------------------------------------------------------------------------------
188,741
- --------------------------------------------------------------------------------
Investment Banks/Brokerage (0.5%)
100,000 DLJdirect, Inc. * 1,094
220,000 Knight/Trimark Group, Inc. * 6,957
- --------------------------------------------------------------------------------
8,051
- --------------------------------------------------------------------------------
Lodging/Hotel (0.6%)
200,000 Four Seasons Hotels, Inc. 9,800
- --------------------------------------------------------------------------------
Manufacturing - Specialized (0.1%)
56,200 Creo Products, Inc. * 2,139
- --------------------------------------------------------------------------------
Medical Products & Supplies (1.8%)
109,700 Caliper Technologies Corp. * 15,187
130,000 Henry Schein, Inc. * 1,714
49,200 Neoforma.com, Inc. * 2,475
100,000 Sciquest.com, Inc. * 5,662
250,000 Sybron Corp. * 5,766
- --------------------------------------------------------------------------------
30,804
- --------------------------------------------------------------------------------
Oil & Gas - Drilling/Equipment (0.9%)
100,000 Carbo Ceramics, Inc. 2,163
83,500 Cooper Cameron Corp. * 4,133
89,000 Smith International, Inc. * 4,567
170,000 Varco International, Inc. * 1,721
100,000 Weatherford International, Inc. * 3,756
- --------------------------------------------------------------------------------
16,340
- --------------------------------------------------------------------------------
Personal Care (0.6%)
200,000 Estee Lauder Companies, Inc. "A" 10,225
- --------------------------------------------------------------------------------
Restaurants (0.6%)
125,000 P. F. Chang's China Bistro, Inc. * 3,188
280,000 Papa John's International, Inc. * 6,965
- --------------------------------------------------------------------------------
10,153
- --------------------------------------------------------------------------------
Retail - Building Supplies (1.3%)
140,000 Fastenal Co. 6,125
300,000 Home Depot, Inc. 16,987
- --------------------------------------------------------------------------------
23,112
- --------------------------------------------------------------------------------
Retail - Discounters (1.0%)
400,000 Dollar Tree Stores, Inc. * 17,625
- --------------------------------------------------------------------------------
Retail - Food (0.2%)
225,000 Wild Oats Markets, Inc. * 3,713
- --------------------------------------------------------------------------------
Retail - General Merchandising (0.6%)
200,000 Costco Wholesale Corp. * 9,788
- --------------------------------------------------------------------------------
Retail - Specialty (1.4%)
300,000 99 Cents Only Stores * 10,500
330,000 Cost Plus, Inc. * 5,527
100,000 Tuesday Morning Corp. * 1,488
250,000 Williams-Sonoma, Inc. * 7,922
- --------------------------------------------------------------------------------
25,437
- --------------------------------------------------------------------------------
Retail - Specialty Apparel (0.5%)
300,000 Abercrombie & Fitch Co. "A" * 6,413
200,000 Chico's Fas, Inc. * 2,950
- --------------------------------------------------------------------------------
9,363
- --------------------------------------------------------------------------------
Services - Commercial & Consumer (0.5%)
100,000 Barra, Inc. * 3,575
300,000 MSC Industrial Direct Co. "A" * 4,650
- --------------------------------------------------------------------------------
8,225
- --------------------------------------------------------------------------------
Services - Computer Systems (1.3%)
11,200 724 Solutions, Inc. * 760
293,200 Flextronics International Ltd. * 14,568
75,537 Sanmina Corp. * 8,026
- --------------------------------------------------------------------------------
23,354
- --------------------------------------------------------------------------------
Services - Data Processing (1.2%)
126,100 Checkfree Holdings Corp. * 7,440
120,800 Infonet Services Corp. * 3,412
230,000 MedQuist, Inc. * 4,586
271,300 Resourcephoenix.com, Inc. * 5,290
- --------------------------------------------------------------------------------
20,728
- --------------------------------------------------------------------------------
Telecommunications - Cellular/Wireless (2.4%)
22,700 Aether Systems, Inc. * 2,792
233,500 Microcell Telecommunications, Inc. "B" * 8,961
92,300 Powertel, Inc. * 8,169
20,100 Telecorp PCS, Inc. * 866
57,000 Tritel, Inc. * 1,510
9,100 Triton PCS Holdings, Inc. "A" * 372
114,000 VoiceStream Wireless Corp. * 13,381
114,000 Western Wireless Corp. "A" * 6,213
- --------------------------------------------------------------------------------
42,264
- --------------------------------------------------------------------------------
Telecommunications - Long-Distance (2.2%)
110,400 CapRock Communications Corp. * 5,023
146,900 Global Crossing Ltd. * 7,455
32,000 Ibasis, Inc. * 2,388
114,500 IDT Corp. * 2,390
249,200 ITC DeltaCom, Inc. * 7,227
53,000 Level 3 Communications, Inc. * 6,251
105,800 Startec Global Communications Corp. * 2,354
144,000 Williams Communications Group * 5,418
13,700 Z-Tel Technologies, Inc. * 495
- --------------------------------------------------------------------------------
39,001
- --------------------------------------------------------------------------------
Telephones (10.6%)
151,500 Adelphia Business Solutions * 7,764
209,000 Allied Riser Communications Corp. * 4,755
54,300 Covad Communications Group, Inc. * 3,842
122,900 DSL.net, Inc. * 2,573
90,600 Focal Communications Corp. * 3,635
239,000 Global TeleSystems Group, Inc. * 5,960
97,000 Intermedia Communications, Inc. * 4,171
190,200 Ixnet, Inc. * 6,942
92,200 McLeod, Inc. * 6,339
916,000 Metromedia Fiber Network, Inc. "A" * 62,002
135,600 Network Access Solutions Corp. * 3,729
135,600 Network Plus Corp. * 3,577
175,400 NEXTLINK Communications, Inc. "A" * 14,799
281,900 Northeast Optic Network, Inc. * 27,626
84,500 NorthPoint Communications Group, Inc. * 2,646
115,700 Pac-West Telecomm, Inc. * 2,907
128,200 Rhythms NetConnections, Inc. * 4,367
96,600 Teligent, Inc. "A" * 6,478
48,500 Time Warner Telecom, Inc. "A" * 2,946
135,000 Winstar Communications, Inc. * 9,560
- --------------------------------------------------------------------------------
186,618
- --------------------------------------------------------------------------------
Textiles - Apparel (0.3%)
110,000 Columbia Sportswear Co. * 1,980
97,600 Cutter & Buck, Inc. * 1,080
240,000 Tommy Hilfiger Corp. * 2,895
- --------------------------------------------------------------------------------
5,955
- --------------------------------------------------------------------------------
Truckers (0.5%)
300,000 Forward Air Corp. * 8,081
- --------------------------------------------------------------------------------
Waste Management (0.1%)
100,000 Waste Connections, Inc. * 1,225
- --------------------------------------------------------------------------------
Total common stocks (cost: $727,906) 1,707,993
- --------------------------------------------------------------------------------
Principal
Amount
(000)
- ---------
SHORT-TERM (2.9%)
Commercial Paper
$ 51,002 General Electric Capital Corp., 5.81%, 2/01/2000
(cost: $51,002) 51,002
- --------------------------------------------------------------------------------
Total investments (cost: $778,908) $1,758,995
================================================================================
USAA AGGRESSIVE GROWTH FUND
NOTES TO PORTFOLIO OF INVESTMENTS
January 31, 2000
(Unaudited)
GENERAL NOTES
Market values of securities are determined by procedures and practices discussed
in note 1 to the financial statements.
The cost of securities for federal income tax purposes is approximately the same
as that reported in the financial statements.
The percentages shown represent the percentage of the investments to net assets.
Investments in foreign securities were 4.4% of net assets at January 31, 2000.
ADR - American Depositary Receipts are foreign shares held by a U.S. bank which
issues a receipt evidencing ownership. Dividends are paid in U.S. dollars.
SPECIFIC NOTES
* Non-income producing.
See accompanying notes to financial statements.
<TABLE>
USAA AGGRESSIVE GROWTH FUND
STATEMENT OF ASSETS AND LIABILITIES
(IN THOUSANDS)
January 31, 2000
(Unaudited)
<S> <C>
ASSETS
Investments in securities, at market value (identified cost of $778,908) $1,758,995
Cash 1,635
Receivables:
Capital shares sold 6,633
Dividends 56
Securities sold 7,761
----------
Total assets 1,775,080
----------
LIABILITIES
Securities purchased 11,894
Capital shares redeemed 3,261
USAA Investment Management Company 505
USAA Transfer Agency Company 232
Accounts payable and accrued expenses 3
----------
Total liabilities 15,895
----------
Net assets applicable to capital shares outstanding $1,759,185
==========
REPRESENTED BY:
Paid-in capital $ 738,386
Accumulated net investment loss (2,795)
Accumulated net realized gain on investments 43,507
Net unrealized appreciation of investments 980,087
----------
Net assets applicable to capital shares outstanding $1,759,185
==========
Capital shares outstanding 31,062
==========
Authorized shares of $.01 par value 55,000
==========
Net asset value, redemption price, and offering price per share $ 56.63
==========
See accompanying notes to financial statements.
</TABLE>
USAA AGGRESSIVE GROWTH FUND
STATEMENT OF OPERATIONS
(IN THOUSANDS)
Six-month period ended January 31, 2000
(Unaudited)
Net investment loss:
Income:
Dividends (net of foreign taxes withheld of $1) $ 280
Interest 1,018
--------
Total income 1,298
--------
Expenses:
Management fees 2,310
Transfer agent's fees 1,243
Custodian's fees 134
Postage 194
Shareholder reporting fees 26
Directors' fees 3
Registration fees 129
Professional fees 38
Other 16
--------
Total expenses 4,093
--------
Net investment loss (2,795)
--------
Net realized and unrealized gain on investments:
Net realized gain 45,433
Change in net unrealized appreciation/depreciation 569,674
--------
Net realized and unrealized gain 615,107
--------
Increase in net assets resulting from operations $612,312
========
See accompanying notes to financial statements.
USAA AGGRESSIVE GROWTH FUND
STATEMENTS OF CHANGES IN NET ASSETS
(IN THOUSANDS)
Six-month period ended January 31, 2000,
and year ended July 31, 1999
(Unaudited)
1/31/00 7/31/99
------------------------
From operations:
Net investment loss $ (2,795) $ (4,500)
Net realized gain on investments 45,433 65,690
Change in net unrealized appreciation/depreciation
of investments 569,674 248,390
------------------------
Increase in net assets resulting from operations 612,312 309,580
------------------------
Distributions to shareholders from:
Net realized gains (63,031) (91,693)
------------------------
From capital share transactions:
Proceeds from shares sold 274,784 321,840
Shares issued for dividends reinvested 62,320 90,620
Cost of shares redeemed (156,482) (337,515)
------------------------
Increase in net assets from capital share
transactions 180,622 74,945
------------------------
Net increase in net assets 729,903 292,832
Net assets:
Beginning of period 1,029,282 736,450
------------------------
End of period $1,759,185 $1,029,282
========================
Undistributed net investment loss included in net
assets:
End of period $ (2,795) $ -
========================
Change in shares outstanding:
Shares sold 5,894 10,648
Shares issued for dividends reinvested 1,708 4,176
Shares redeemed (3,461) (11,190)
------------------------
Increase in shares outstanding 4,141 3,634
========================
See accompanying notes to financial statements.
USAA AGGRESSIVE GROWTH FUND
NOTES TO FINANCIAL STATEMENTS
January 31, 2000
(Unaudited)
(1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
USAA MUTUAL FUND, INC. (the Company), registered under the Investment Company
Act of 1940, as amended, is a diversified, open-end management investment
company incorporated under the laws of Maryland consisting of 13 separate funds.
The information presented in this semiannual report pertains only to the USAA
Aggressive Growth Fund (the Fund). The Fund's investment objective is capital
appreciation. USAA Investment Management Company (the Manager) seeks to achieve
this objective by investing the Fund's assets principally in equity securities
of companies with the prospect of rapidly growing earnings.
A. Security valuation - The value of each security is determined (as of the
close of trading on the New York Stock Exchange on each business day the
Exchange is open) as set forth below:
1. Portfolio securities, except as otherwise noted, traded primarily on a
domestic securities exchange are valued at the last sales price on that
exchange. Portfolio securities traded primarily on foreign securities exchanges
are generally valued at the closing values of such securities on the exchange
where primarily traded. If no sale is reported, the average of the bid and asked
prices is generally used depending upon local custom or regulation.
2. Over-the-counter securities are priced at the last sales price or, if not
available, at the average of the bid and asked prices.
3. Securities purchased with maturities of 60 days or less are stated at
amortized cost, which approximates market value.
4. Securities that cannot be valued by the methods set forth above, and all
other assets, are valued in good faith at fair value, using methods determined
by the Manager under the general supervision of the Board of Directors.
B. Federal taxes - The Fund's policy is to comply with the requirements of the
Internal Revenue Code applicable to regulated investment companies and to
distribute substantially all of its income to its shareholders. Therefore, no
federal income or excise tax provision is required.
C. Investments in securities - Security transactions are accounted for on the
date the securities are purchased or sold (trade date). Gain or loss from sales
of investment securities is computed on the identified cost basis. Dividend
income is recorded on the ex-dividend date. If the ex-dividend date has passed,
certain dividends from foreign securities are recorded upon notification.
Interest income is recorded on the accrual basis. Discounts and premiums on
short-term securities are amortized over the life of the respective securities.
D. Use of estimates - The preparation of financial statements in conformity
with generally accepted accounting principles requires management to make
estimates and assumptions that may affect the reported amounts in the financial
statements.
(2) LINES OF CREDIT
The Fund participates with other USAA funds in three joint short-term revolving
loan agreements totaling $850 million, two with USAA Capital Corporation
(CAPCO), an affiliate of the Manager ($250 million committed and $500 million
uncommitted), and one with Bank of America ($100 million committed). The purpose
of the agreements is to meet temporary or emergency cash needs, including
redemption requests that might otherwise require the untimely disposition of
securities.
Subject to availability under both agreements with CAPCO, the Fund may borrow
from CAPCO an amount up to 5% of the Fund's total assets at CAPCO's borrowing
rate with no markup. Subject to availability under its agreement with Bank of
America, the Fund may borrow from Bank of America, at Bank of America's
borrowing rate plus a markup, an amount which, when added to outstanding
borrowings under the CAPCO agreements, does not exceed 25% of the Fund's total
assets. Each committed line of credit is also subject to a facility fee. CAPCO
charges an annual facility fee of up to .08% of the committed facility, and Bank
of America charges an annual facility fee of .09% of the committed facility. The
Fund had no borrowings under any of these agreements during the six-month period
ended January 31, 2000.
(3) DISTRIBUTIONS
Distributions of net investment income and realized gains from security
transactions not offset by capital losses are made in the succeeding fiscal year
or as otherwise required to avoid the payment of federal taxes.
(4) INVESTMENT TRANSACTIONS
Cost of purchases and proceeds from sales of securities, excluding short-term
securities, for the six months ending January 31, 2000, were $363.8 million and
$271.3 million, respectively.
Gross unrealized appreciation and depreciation of investments as of January 31,
2000, was $1,022.5 million and $42.4 million, respectively.
(5) TRANSACTIONS WITH MANAGER
A. Management fees - USAA Investment Management Company carries out the Fund's
investment policies and manages the Fund's portfolio. The Fund's management fees
are computed as a percentage of its annual average net assets, which on an
annual basis is equal to .50% of the first $200 million, .40% of that portion
over $200 million but not over $300 million, and .33% of the portion over $300
million.
B. Transfer agent's fees - USAA Transfer Agency Company, d/b/a USAA Shareholder
Account Services, an affiliate of the Manager, provides transfer agent services
to the Fund based on an annual charge of $26 per shareholder account plus
out-of-pocket expenses.
C. Underwriting services - The Manager provides exclusive underwriting and
distribution of the Fund's shares on a continuing, best-efforts basis. The
Manager receives no commissions or fees for this service.
D. Brokerage services - USAA Brokerage Services, a discount brokerage service
of the Manager, may execute portfolio transactions for the Fund. The Fund did
not utilize these services during the six-month period ended January 31, 2000.
(6) TRANSACTIONS WITH AFFILIATES
Certain directors and officers of the Fund are also directors, officers, and/or
employees of the Manager. None of the affiliated directors or Fund officers
received any compensation from the Fund.
<TABLE>
(7) FINANCIAL HIGHLIGHTS
Per share operating performance for a share outstanding throughout each period
is as follows:
<CAPTION>
Six-month
Period Ended
January 31, Year Ended July 31,
--------------------------------------------------------------------
2000 1999 1998 1997 1996
--------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Net asset value at
beginning of period $ 38.23 $ 31.62 $ 32.82 $ 27.88 $ 24.49
Net investment loss (.10)(a) (.17)(a) (.12)(a) (.14)(a) (.12)(a)
Net realized and
unrealized gain 20.81 10.77 1.26 5.65 5.12
Distributions from net
investment income - - - - -
Distributions of realized
capital gains (2.31) (3.99) (2.34) (0.57) (1.61)
--------------------------------------------------------------------
Net asset value at
end of period $ 56.63 $ 38.23 $ 31.62 $ 32.82 $ 27.88
====================================================================
Total return (%) * 57.51 43.14 3.91 20.00 21.16
Net assets at
end of period (000) $1,759,185 $1,029,282 $736,450 $753,984 $607,437
Ratio of expenses to
average net assets (%) .64(b) .72 .71 .74 .74
Ratio of net investment
loss to average
net assets (%) (.44)(b) (.55) (.38) (.47) (.42)
Portfolio turnover (%) 21.76 35.18 83.32 57.15 43.75
* Assumes reinvestment of all dividend income and capital gains distributions
during the period.
(a) Calculated using weighted average shares.
(b) Annualized. The ratio is not necessarily indicative of 12 months of
operations.
</TABLE>
Directors
Robert G. Davis, Chairman of the Board
Michael J.C. Roth, Vice Chairman of the Board
Barbara B. Dreeben
Robert L. Mason
David G. Peebles
Michael F. Reimherr
Richard A. Zucker
Investment Adviser, Underwriter, and Distributor
USAA Investment Management Company
9800 Fredericksburg Road
San Antonio, Texas 78288
Transfer Agent Legal Counsel
USAA Shareholder Account Services Goodwin, Procter & Hoar LLP
9800 Fredericksburg Road Exchange Place
San Antonio, Texas 78288 Boston, Massachusetts 02109
Custodian Independent Auditors
State Street Bank and Trust Company KPMG LLP
P.O. Box 1713 112 East Pecan, Suite 2400
Boston, Massachusetts 02105 San Antonio, Texas 78205
Telephone Assistance Hours Internet Access
Call toll free - Central Time usaa.com(Service Mark)
Monday - Friday 7:00 a.m. to 9:00 p.m.
Saturdays 8:30 a.m. to 5:00 p.m.
Sundays 11:30 a.m. to 8:00 p.m.
For Additional Information on Mutual Funds
1-800-531-8181, (in San Antonio) 456-7211
For account servicing, exchanges, or redemptions
1-800-531-8448, (in San Antonio) 456-7202
Recorded Mutual Fund Price Quotes
24-hour service (from any phone)
1-800-531-8066, (in San Antonio) 498-8066
Mutual Fund USAA TouchLine(Registered Trademark)
(from touch-tone phones only)
For account balance, last transaction, fund prices,
or to exchange or redeem fund shares
1-800-531-8777, (in San Antonio) 498-8777
