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<PAGE> PAGE 3
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<PAGE> PAGE 12
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<PAGE> PAGE 16
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<PAGE> PAGE 18
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<PAGE> PAGE 21
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008 A000501 AETNA LIFE INSURANCE & ANNUITY COMPANY
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008 D020501 CT
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<PAGE> PAGE 22
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<PAGE> PAGE 23
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<PAGE> PAGE 24
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<PAGE> PAGE 25
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SIGNATURE JEFF GABOURY
TITLE ASSISTANT TREASURER
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
This schedule contains summary financial
information extracted from Portfolio Partners, Inc.
financial statements at December 31, 1999
and is qualified in its entirety by reference
to such financial statements.
</LEGEND>
<SERIES>
<NUMBER> 1
<NAME> MFS Emerging Equities Portfolio
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-END> DEC-31-1999
<INVESTMENTS-AT-COST> 817,664,008
<INVESTMENTS-AT-VALUE> 1,534,166,964
<RECEIVABLES> 446,096
<ASSETS-OTHER> 645,528
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 1,535,258,588
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 3,256,671
<TOTAL-LIABILITIES> 3,256,671
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 800,120,804
<SHARES-COMMON-STOCK> 18,495,276
<SHARES-COMMON-PRIOR> 19,282,157
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 15,378,212
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 716,502,901
<NET-ASSETS> 1,532,001,917
<DIVIDEND-INCOME> 983,166
<INTEREST-INCOME> 175,434
<OTHER-INCOME> 0
<EXPENSES-NET> (9,116,981)
<NET-INVESTMENT-INCOME> (7,958,381)
<REALIZED-GAINS-CURRENT> 22,008,452
<APPREC-INCREASE-CURRENT> 503,775,451
<NET-CHANGE-FROM-OPS> 517,825,522
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> (11,777,873)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 3,549,758
<NUMBER-OF-SHARES-REDEEMED> (4,518,790)
<SHARES-REINVESTED> 182,151
<NET-CHANGE-IN-ASSETS> 462,961,616
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 11,762,947
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> (7,639,150)
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> (9,116,981)
<AVERAGE-NET-ASSETS> 1,147,276,389
<PER-SHARE-NAV-BEGIN> 55.44
<PER-SHARE-NII> (0.43)
<PER-SHARE-GAIN-APPREC> 28.46
<PER-SHARE-DIVIDEND> 0.00
<PER-SHARE-DISTRIBUTIONS> (0.64)
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 82.83
<EXPENSE-RATIO> 0.80
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
This schedule contains summary financial
information extracted from Portfolio Partners, Inc.
financial statements at December 31, 1999
and is qualified in its entirety by reference
to such financial statements.
</LEGEND>
<SERIES>
<NUMBER> 2
<NAME> MFS Research Growth Portfolio
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-END> DEC-31-1999
<INVESTMENTS-AT-COST> 394,688,099
<INVESTMENTS-AT-VALUE> 545,858,756
<RECEIVABLES> 1,666,002
<ASSETS-OTHER> 9,435,419
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 556,960,177
<PAYABLE-FOR-SECURITIES> 2,458,465
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 1,087,380
<TOTAL-LIABILITIES> 3,545,845
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 360,230,684
<SHARES-COMMON-STOCK> 37,444,138
<SHARES-COMMON-PRIOR> 41,184,587
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 42,014,998
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 151,168,650
<NET-ASSETS> 553,414,332
<DIVIDEND-INCOME> 3,822,914
<INTEREST-INCOME> 256,036
<OTHER-INCOME> 0
<EXPENSES-NET> (4,207,968)
<NET-INVESTMENT-INCOME> (129,018)
<REALIZED-GAINS-CURRENT> 56,628,197
<APPREC-INCREASE-CURRENT> 54,020,010
<NET-CHANGE-FROM-OPS> 110,519,189
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (989,272)
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 2,414,242
<NUMBER-OF-SHARES-REDEEMED> (6,232,711)
<SHARES-REINVESTED> 78,020
<NET-CHANGE-IN-ASSETS> 61,877,055
<ACCUMULATED-NII-PRIOR> 982,830
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> (14,742,092)
<GROSS-ADVISORY-FEES> (3,464,967)
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> (4,207,968)
<AVERAGE-NET-ASSETS> 493,800,814
<PER-SHARE-NAV-BEGIN> 11.93
<PER-SHARE-NII> 0.00
<PER-SHARE-GAIN-APPREC> 2.88
<PER-SHARE-DIVIDEND> (0.03)
<PER-SHARE-DISTRIBUTIONS> 0.00
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 14.78
<EXPENSE-RATIO> 0.85
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
This schedule contains summary financial
information extracted from Portfolio Partners, Inc.
financial statements at December 31, 1999
and is qualified in its entirety by reference
to such financial statements.
</LEGEND>
<SERIES>
<NUMBER> 3
<NAME> MFS Value Equity Portfolio
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-END> DEC-31-1999
<INVESTMENTS-AT-COST> 245,614,389
<INVESTMENTS-AT-VALUE> 319,142,093
<RECEIVABLES> 7,343,587
<ASSETS-OTHER> 234,118
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 326,719,798
<PAYABLE-FOR-SECURITIES> 3,106,238
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 554,203
<TOTAL-LIABILITIES> 3,660,441
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 188,612,731
<SHARES-COMMON-STOCK> 5,898,203
<SHARES-COMMON-PRIOR> 5,148,169
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> (2,993)
<ACCUMULATED-NET-GAINS> 60,920,638
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 73,528,981
<NET-ASSETS> 323,059,357
<DIVIDEND-INCOME> 1,468,680
<INTEREST-INCOME> 181,763
<OTHER-INCOME> 0
<EXPENSES-NET> (2,108,220)
<NET-INVESTMENT-INCOME> (457,777)
<REALIZED-GAINS-CURRENT> 61,048,043
<APPREC-INCREASE-CURRENT> 41,061,588
<NET-CHANGE-FROM-OPS> 101,651,854
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (279,096)
<DISTRIBUTIONS-OF-GAINS> (6,519,684)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 1,023,579
<NUMBER-OF-SHARES-REDEEMED> (429,302)
<SHARES-REINVESTED> 155,757
<NET-CHANGE-IN-ASSETS> 128,133,050
<ACCUMULATED-NII-PRIOR> 279,417
<ACCUMULATED-GAINS-PRIOR> 6,846,742
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> (1,522,602)
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> (2,108,220)
<AVERAGE-NET-ASSETS> 234,131,024
<PER-SHARE-NAV-BEGIN> 37.86
<PER-SHARE-NII> (0.08)
<PER-SHARE-GAIN-APPREC> 18.22
<PER-SHARE-DIVIDEND> (0.05)
<PER-SHARE-DISTRIBUTIONS> (1.18)
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 54.77
<EXPENSE-RATIO> 0.90
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
This schedule contains summary financial
information extracted from Portfolio Partners, Inc.
financial statements at December 31, 1999
and is qualified in its entirety by reference
to such financial statements.
</LEGEND>
<SERIES>
<NUMBER> 4
<NAME> Scudder International Growth Portfolio
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-END> DEC-31-1999
<INVESTMENTS-AT-COST> 432,693,797
<INVESTMENTS-AT-VALUE> 688,273,166
<RECEIVABLES> 5,274,111
<ASSETS-OTHER> 15,477,422
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 709,024,699
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 4,025,865
<TOTAL-LIABILITIES> 4,025,865
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 387,490,474
<SHARES-COMMON-STOCK> 27,661,881
<SHARES-COMMON-PRIOR> 25,816,698
<ACCUMULATED-NII-CURRENT> 3,156,561
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 58,789,323
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 255,562,477
<NET-ASSETS> 704,998,835
<DIVIDEND-INCOME> 7,983,260
<INTEREST-INCOME> 533,580
<OTHER-INCOME> 0
<EXPENSES-NET> (5,019,253)
<NET-INVESTMENT-INCOME> 3,497,587
<REALIZED-GAINS-CURRENT> 56,433,246
<APPREC-INCREASE-CURRENT> 201,414,207
<NET-CHANGE-FROM-OPS> 261,345,040
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (613,395)
<DISTRIBUTIONS-OF-GAINS> (20,847,850)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 31,850,222
<NUMBER-OF-SHARES-REDEEMED> (31,077,566)
<SHARES-REINVESTED> 1,072,527
<NET-CHANGE-IN-ASSETS> 272,347,398
<ACCUMULATED-NII-PRIOR> 2,628,450
<ACCUMULATED-GAINS-PRIOR> 20,847,846
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> (4,015,403)
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> (5,019,253)
<AVERAGE-NET-ASSETS> 500,027,255
<PER-SHARE-NAV-BEGIN> 16.76
<PER-SHARE-NII> 0.12
<PER-SHARE-GAIN-APPREC> 9.44
<PER-SHARE-DIVIDEND> (0.02)
<PER-SHARE-DISTRIBUTIONS> (0.81)
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 25.49
<EXPENSE-RATIO> 1.00
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
This schedule contains summary financial
information extracted from Portfolio Partners, Inc.
financial statements at December 31, 1999
and is qualified in its entirety by reference
to such financial statements.
</LEGEND>
<SERIES>
<NUMBER> 5
<NAME> T. Rowe Price Growth Equity Portfolio
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-END> DEC-31-1999
<INVESTMENTS-AT-COST> 512,603,614
<INVESTMENTS-AT-VALUE> 683,714,230
<RECEIVABLES> 2,876,219
<ASSETS-OTHER> 19,441,343
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 706,031,792
<PAYABLE-FOR-SECURITIES> 1,125,275
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 1,453,010
<TOTAL-LIABILITIES> 2,578,285
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 473,671,194
<SHARES-COMMON-STOCK> 10,657,664
<SHARES-COMMON-PRIOR> 9,428,088
<ACCUMULATED-NII-CURRENT> 1,822,326
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 56,850,538
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 171,109,449
<NET-ASSETS> 703,453,507
<DIVIDEND-INCOME> 5,419,949
<INTEREST-INCOME> 1,238,797
<OTHER-INCOME> 0
<EXPENSES-NET> (4,766,418)
<NET-INVESTMENT-INCOME> 1,892,328
<REALIZED-GAINS-CURRENT> 58,937,789
<APPREC-INCREASE-CURRENT> 71,672,237
<NET-CHANGE-FROM-OPS> 132,502,354
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (2,833,451)
<DISTRIBUTIONS-OF-GAINS> (12,820,097)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 2,595,078
<NUMBER-OF-SHARES-REDEEMED> (1,636,888)
<SHARES-REINVESTED> 271,386
<NET-CHANGE-IN-ASSETS> 181,969,994
<ACCUMULATED-NII-PRIOR> 1,804,047
<ACCUMULATED-GAINS-PRIOR> 11,962,248
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> (3,812,815)
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> (4,766,418)
<AVERAGE-NET-ASSETS> 614,455,468
<PER-SHARE-NAV-BEGIN> 55.31
<PER-SHARE-NII> 0.15
<PER-SHARE-GAIN-APPREC> 11.99
<PER-SHARE-DIVIDEND> (0.26)
<PER-SHARE-DISTRIBUTIONS> (1.19)
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 66.00
<EXPENSE-RATIO> 0.75
</TABLE>
Page 1
The Board of Directors
Portfolio Partners, Inc.
In planning and performing our audit of the financial statements of Portfolio
Partners, Inc. for the year ended December 31, 1999, we considered its internal
control, including control activities for safeguarding securities, in order to
determine our auditing procedures for the purpose of expressing our opinion on
the financial statements and to comply with the requirements of Form N-SAR, not
to provide assurance on internal control.
The management of Portfolio Partners, Inc. is responsible for establishing and
maintaining internal control. In fulfilling this responsibility, estimates and
judgments by management are required to assess the expected benefits and related
costs of controls. Generally, controls that are relevant to an audit pertain to
the entity's objective of preparing financial statements for external purposes
that are fairly presented in conformity with generally accepted accounting
principles. Those controls include the safeguarding of assets against
unauthorized acquisition, use or disposition.
Because of inherent limitations in internal control, errors or irregularities
may occur and not be detected. Also, projection of any evaluation of internal
control to future periods is subject to the risks that it may become inadequate
because of changes in conditions or that the effectiveness of the design and
operation may deteriorate.
Our consideration of internal control would not necessarily disclose all matters
in internal control that might be material weaknesses under standards
established by the American Institute of Certified Public Accountants. A
material weakness is a condition in which the design or operation of one or more
of the internal control components does not reduce to a relatively low level the
risk that errors or irregularities in amounts that would be material in relation
to the financial statements being audited may occur and not be detected within a
timely period by employees in the normal course of performing their assigned
functions. However, we noted no matters involving internal control and its
operation, including controls for safeguarding securities, that we consider to
be material weaknesses as defined above.
This report is intended solely for the information and use of management,
the Board of Directors of Portfolio Partners, Inc., and the Securities and
Exchange Commission and is not intended to be and should not be used by anyone
other than these specified parties.
Boston, Massachusetts
February 4, 2000