HIGH NET WORTH INVESTORS--CAPITAL APPRECIATION
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Alliance Select Investor Series
Technology Portfolio
Annual Report
October 31, 2000
[LOGO OMITTED]
Investment Products Offered
o Are Not FDIC Insured
o May Lose Value
o Are Not Bank Guaranteed
This shareholder report must be preceded or accompanied by the Fund's
prospectus for individuals who are not current shareholders of the Fund.
LETTER TO SHAREHOLDERS
December 27, 2000
Dear Shareholder:
This report provides performance and investment information for Alliance Select
Investor Series Technology Portfolio (the "Portfolio") for the annual reporting
period ended October 31, 2000.
Investment Objective and Policies
This open-end fund seeks to provide superior long-term growth of capital. The
Portfolio invests at least 65% of its total assets, and normally substantially
more, in the equity securities of companies that are involved with the
development and utilization of innovative technologies. The Portfolio may also
invest up to 15% of its total assets in illiquid securities, including
securities of privately owned technology companies, (otherwise known as venture
capital companies) that plan to conduct an initial public offering within a
period of several months to three years.
To take advantage of investment opportunities in both rising and declining
markets, the Portfolio may engage in substantial short selling and may use
certain other investment practices, including options, futures, and forward
contracts, and other forms of investment leverage.
Investment Results
The following table provides performance data for the Portfolio and its
benchmark, the NASDAQ Composite Index, for the six-month and since-inception
periods ended October 31, 2000. (The Portfolio's inception date is March 30,
2000.)
INVESTMENT RESULTS
Periods Ended October 31, 2000*
Total Returns
Six Since
Months Inception**
------- -----------
Alliance Select Investor Series
Technology Portfolio
Class A -15.38% -21.90%
Class B -15.73% -22.30%
Class C -15.93% -22.40%
NASDAQ Composite
Index -12.72% -26.31%
* The Portfolio's investment results are total returns for the periods shown
and are based on the net asset value (NAV) of each class of shares as of
October 31, 2000. All fees and expenses related to the operation of the
Portfolio have been deducted, but no adjustment has been made for sales charges
that may apply when shares are purchased or redeemed. Returns for the Portfolio
include the reinvestment of any distributions paid during each period. Past
performance is no guarantee of future results.
The NASDAQ Composite Index measures all NASDAQ domestic and non-U.S. based
common stocks listed on the NASDAQ Stock Market. The Index is market-value
weighted and includes over 5,000 companies. An investor cannot invest directly
in an index, and its results are not indicative of any specific investment,
including Alliance Select Investor SeriesTechnology Portfolio.
** Inception date for all share classes is 3/30/00.
Additional investment results appear on pages 4-5.
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ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO o 1
While retaining some positive performance relative to the benchmark, the
Portfolio lost ground as two investment themes did not pan out. First, our
positions in PC and PC-related companies were disappointing. Fundamental
indications early in the year suggested that the second half of the year would
be unusually strong for the personal computer makers and their component
suppliers; our strategy was to take positions early in the summer in
anticipation of strong seasonal demand by September. Instead, PC demand,
particularly in Europe, was more moderate than expected and our holdings in
this sector underperformed.
Secondly, our presumption that Internet investors would begin to differentiate
among Internet-related stocks was wrong. Instead, concerns over on-line
advertising spending adversely impacted all Internet stocks. Still, the
companies in which we have invested came through with solid fundamental results
and are well-positioned to be the long-term winners in the sector. On the
positive side, our investment themes in e-commerce software, contract
manufacturing and communication semiconductors worked, as our stock holdings in
those sectors continued to perform well. In addition, our selected short
positions contributed positively to performance.
Market Review
The headline story in regard to technology investing continues to be
volatility. As the summer and fall progressed, the fluctuation in technology
stocks accelerated to the downside. While the Portfolio did not escape the
broad sell-off in the technology market, we are encouraged that we were able to
hold positive relative performance through the downdraft. Further, we believe
that this current technology valuation adjustment provides a constructive base
for future growth in technology stocks on a longer-term investment horizon.
Growing investor concern surrounding technology end demand and growth prospects
has marked the last seven months. A mixed bag of third-quarter earnings results
compounded the problem, as high profile companies including Intel, Lucent, and
Nortel Networks had disappointing returns. As a result, the stock price
valuation adjustment that began with an appropriate deflation of the "Internet
bubble" last spring has spread to price declines in all technology sectors and
for nearly every technology stock. In particular, anxieties over wireless
cellular phone inventory excesses, PC demand, and telecommunications carrier
equipment spending plans have led investors to question growth prospects across
the board.
Outlook
Despite today's concerns over demand trends and signs of slowing growth rates,
we continue to expect many technology companies to demonstrate superior growth
fundamentals and technology stocks to continue to outperform the broader market
over the long term. Further, technology investing appears to be moving from a
"stocks" market over the long term, where buying anything in the momentum
sectors worked, to a "stock" market, where individual stock analysis and
selection becomes more important to portfolio returns and where valuation
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2 o ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO
consideration matters. Given Alliance's technology research expertise and
capability, we believe we are well positioned for such a market.
In the Portfolio, we are focused on sectors with stellar growth prospects.
These include software companies, particularly those involved in enterprise
e-business and data plays, data communication infrastructure equipment and
components, and electronic contract manufacturers.
We have de-emphasized the PC food chain, broadline semiconductor companies,
legacy-based voice communications equipment suppliers, and computer services
providers.
We will continue to manage with an investment time frame that extends beyond
the moment, to seek sector diversity, to short selected stocks and sectors
where we see an opportunity to enhance performance, and to take advantage of
attractive private equity opportunities. Most importantly, our strategy remains
to identify the best-positioned companies in fundamentally attractive sectors
regardless of size. The result is a portfolio blend of large technology
leadership companies with medium "best-of-breed" stocks and smaller emerging
leaders built upon a fundamental stock selection strategy that we believe will
serve investors in the long term.
Sincerely,
John D. Carifa
Chairman and President
Janet A. Walsh
Vice President
[picture omitted]
John D. Carifa
[picture omitted]
Janet A. Walsh
Portfolio Manager, Janet A. Walsh, has over five years of investment experience.
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ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO o 3
PORTFOLIO SUMMARY
October 31, 2000
INCEPTION DATES PORTFOLIO STATISTICS
Class A Shares Net Assets ($ mil): $747.5
3/30/00
Class B Shares
3/30/00
Class C Shares
3/30/00
SECTOR BREAKDOWN
Technology
21.19% Computer Software [PIE CHART OMITTED]
20.81% Semiconductor Components
9.04% Networking Software
8.82% Internet
5.70% Communication Equipment
5.03% Contract Manufacturing
2.98% Computer Services
2.36% Computer Hardware
0.97% Computer Peripherals
Consumer Services
8.62% Telecommunications
7.68% Broadcasting & Cable
0.86% Miscellaneous
5.94% Short-Term
COUNTRY BREAKDOWN
88.28% United States [PIE CHART OMITTED]
2.19% Finland
1.92% Singapore
1.67% Canada
5.94% Short-Term
All data as of October 31, 2000. The Portfolio's sector and country breakdowns
may vary over time. These breakdowns are expressed as a percentage of total
investments.
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4 o ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO
INVESTMENT RESULTS
AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2000
Class A Shares
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Without Sales Charge With Sales Charge
Since Inception* -21.90% -25.19%
Class B Shares
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Without Sales Charge With Sales Charge
Since Inception* -22.30% -25.41%
Class C Shares
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Without Sales Charge With Sales Charge
Since Inception* -22.40% -23.18%
SEC AVERAGE ANNUAL TOTAL RETURNS (WITH SALES CHARGES)
AS OF THE MOST RECENT QUARTER-END (SEPTEMBER 30, 2000)
Class A Class B Class C
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Since Inception* -18.01% -18.21% -15.75%
The Fund's investment results represent average annual total returns. The
returns reflect reinvestment of dividends and/or capital gains distributions in
additional shares without and with the effect of the 4.25% maximum front-end
sales charge for Class A or applicable contingent deferred sales charge for
Class B (4% year 1, 3% year 2, 2% year 3, 1% year 4); and for Class C shares
(1% year 1). Returns for Class A shares do not reflect the imposition of the 1
year 1% contingent deferred sales charge for accounts over $1,000,000.
The Portfolio is "non-diversified" and is subject to special risks, which are
described in the Portfolio's prospectus. This Portfolio invests in companies of
any size. An investment in smaller-cap stocks is more volatile and riskier than
an investment in many other types of stocks. The stock market performance of
these new technology companies can be dramatic(in both directions). To take
advantage of the investment opportunities in rising and falling markets, the
Portfolio may make substantial use of leverage, short selling and other
investment practices such as options, futures and forwards. These techniques
are riskier than many investment strategies, and are appropriate only for
particularly sophisticated investors who understand and are willing to assume
these risks. The Portfolio can invest in securities denominated in currencies
other than the U.S. dollar which may magnify these fluctuations due to changes
in international exchange rates and the possibility of substantial volatility
due to various factors including political and economic uncertainties
throughout the world. The Portfolio may also invest in other investments which
are illiquid. Investment in illiquid securities may involve the risk that
securities will not be able to be sold at the time desired by the Portfolio or
at prices approximating the value at which the Portfolio is carrying the
securities on its books.
Past performance does not guarantee future results. Investment return and
principal value will fluctuate so that an investor's shares, when redeemed, may
be worth more or less than their original cost.
* Inception date for all share classes: 3/30/00.
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ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO o 5
TEN LARGEST HOLDINGS
October 31, 2000
Percent of
Company Value Net Assets
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Cisco Systems, Inc. $ 57,592,375 7.7%
Microsoft Corp. 37,454,225 5.0
Oracle Corp. 35,042,700 4.7
VERITAS Software Corp. 33,138,672 4.4
Applied Micro Circuits Corp. 29,725,150 4.0
Altera Corp. 29,147,500 3.9
Intel Corp. 28,035,000 3.7
Time Warner Telecom, Inc. Cl. A 27,290,363 3.7
Sanmina Corp. 25,457,394 3.4
Comcast Corp. Special Cl. A 24,939,000 3.3
$327,822,379 43.8%
MAJOR PORTFOLIO CHANGES
Six Months Ended October 31, 2000
Shares(+)
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Holdings
Purchases Bought 10/31/00
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Pluris (Private Placement) 733,584 733,584
AT&T Corp. - Liberty Media Group Cl. A 510,000 910,000
Time Warner Telecom, Inc. Cl. A 457,700 457,700
ServiceWare Technologies, Inc. 400,000 400,000
Nortel Networks Corp. (Canada) 300,000 300,000
Yahoo! Inc. 273,700 273,700
Intersil Holding Corp. 258,000 258,000
Micron Technology, Inc. 222,200 596,400
Altera Corp. 214,100 712,000
Xilinx, Inc. 199,000 199,000
Holdings
Sales Sold 10/31/00
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Palm, Inc. 457,000 -0-
Lucent Technologies, Inc. 416,500 -0-
724 Solutions, Inc. 375,000 -0-
RADVision Ltd. 339,800 -0-
Network Plus Corp. 200,000 -0-
Portal Software, Inc. 200,000 -0-
Teradyne, Inc. 181,800 -0-
Aspect Development, Inc. 156,809 -0-
Foundry Networks, Inc. 150,300 149,000
VeriSign, Inc. 135,000 123,900
+ Adjusted for stock splits.
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6 o ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO
PORTFOLIO OF INVESTMENTS
October 31, 2000
Company Shares Value
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COMMON STOCKS-102.1%
Technology-84.3%
Communication Equipment-6.2%
JDS Uniphase Corp.(a) 177,310 $ 14,439,683
Nokia Corp. ADR (Finland) 420,000 17,955,000
Nortel Networks Corp. (Canada) 300,000 13,650,000
Oplink Communications, Inc.(a) 23,700 577,688
------------
46,622,371
Computer Hardware-2.6%
Dell Computer Corp.(a) 655,000 19,322,500
Computer Peripherals-1.1%
StorageNetworks, Inc.(a) 125,000 7,929,688
Computer Services-3.3%
Sapient Corp.(a)(b) 621,000 22,084,312
ServiceWare Technologies, Inc.(a) 400,000 2,350,000
------------
24,434,312
Computer Software-23.2%
Art Technology Group, Inc.(a) 136,000 8,534,000
BEA Systems, Inc.(a)(b) 248,600 17,837,050
i2 Technologies, Inc.(a) 86,444 14,695,480
Mercury Interactive Corp.(a) 116,800 12,964,800
Microsoft Corp.(a)(b) 543,800 37,454,225
Oracle Corp.(a)(b) 1,061,900 35,042,700
Rational Software Corp.(a) 128,600 7,675,812
TIBCO Software, Inc.(a) 97,000 6,111,000
VERITAS Software Corp.(a)(b) 235,000 33,138,672
------------
173,453,739
Contract Manufacturing-5.5%
Flextronics International Ltd.
(Singapore)(a) 414,000 15,732,000
Sanmina Corp.(a) 222,700 25,457,394
------------
41,189,394
Internet Content-9.7%
Aether Systems, Inc.(a) 75,400 6,079,125
America Online, Inc.(a) 380,000 19,163,400
eBay, Inc.(a) 187,600 9,661,400
PSINet, Inc.(a) 734,000 4,885,687
VeriSign, Inc.(a) 123,900 16,354,800
Yahoo! Inc.(a) 273,700 16,045,663
------------
72,190,075
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ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO o 7
Company Shares Value
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Networking Software-9.9%
Cisco Systems, Inc.(a)(b) 1,069,000 $ 57,592,375
Foundry Networks, Inc.(a) 149,000 9,899,187
Micromuse, Inc.(a) 38,400 6,516,000
------------
74,007,562
Semiconductor Components-22.8%
Altera Corp.(a)(b) 712,000 29,147,500
Applied Materials, Inc.(a) 201,600 10,710,000
Applied Micro Circuits Corp.(a)(b) 389,200 29,725,150
Intel Corp.(b) 623,000 28,035,000
Intersil Holding Corp.(a) 258,000 12,367,875
Micron Technology, Inc. 596,400 20,724,900
PMC-Sierra, Inc.(a) 129,700 21,984,150
Varian Semiconductor Equipment
Associates, Inc.(a) 140,000 3,220,000
Xilinx, Inc.(a) 199,000 14,415,062
------------
170,329,637
------------
629,479,278
Consumer Services-17.8%
Broadcasting & Cable-8.4%
AT&T Corp. 324,400 7,522,025
AT&T Corp. - Liberty Media Group Cl. A(a) 910,000 16,380,000
Comcast Corp. Special Cl. A(a) 612,000 24,939,000
Macrovision Corp.(a) 192,000 13,992,000
------------
62,833,025
Telecommunications-9.4%
Amdocs Ltd.(a) 249,800 16,190,163
Dobson Communications Corp. Cl. A(a) 389,000 5,057,000
Time Warner Telecom, Inc. Cl. A(a) 457,700 27,290,363
Western Wireless Corp. Cl. A(a) 463,600 22,021,000
------------
70,558,526
------------
133,391,551
Total Common Stocks
(cost $908,381,394) 762,870,829
PREFERRED STOCK-0.9%
Miscellaneous-0.9%
Pluris (Private Placement)(a)(c)
(cost $7,000,005) 733,584 7,000,005
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8 o ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO
Shares or
Principal
Amount
Company (000) Value
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SHORT-TERM INVESTMENT-6.5%
Time Deposit-6.5%
Bank of New York Corp.
6.00%, 11/01/00
(amortized cost $48,600,000) $ 48,600 $ 48,600,000
Total Investments-109.5%
(cost $963,981,399) 818,470,834
SECURITIES SOLD SHORT-(8.3%)
B2B Internet HOLDRs Trust (218,000) (8,665,500)
Global Crossing Ltd. (Bermuda)(a) (330,000) (7,796,250)
Hewlett-Packard Co. (170,000) (7,894,375)
InfoSpace, Inc.(a) (1,511) (30,401)
Internet HOLDRs Trust(a) (83,000) (6,079,750)
Liberty Digital, Inc. Cl. A(a) (24,000) (279,000)
News Corp. Ltd. ADR (Australia) (10,000) (430,000)
Semiconductor HOLDRs Trust (200,500) (13,192,900)
Software HOLDRs Trust(a) (182,000) (16,766,750)
Sprint Corp. (PCS Group)(a) (28,000) (1,067,500)
Total Securities Sold Short
(proceeds $68,859,439) (62,202,426)
Total Investments, Net of
Securities Sold Short-101.2%
(cost $895,121,960) 756,268,408
Other assets less liabilities-(1.2%) (8,793,863)
Net Assets-100% $747,474,545
(a) Non-income producing security.
(b) Security, or a portion thereof, has been segregated to collateralize short
sales. This collateral has a total market value of approximately $205,365,625.
(c) Restricted and illiquid security, valued at fair value (See Note A and F).
Glossary:
ADR - American Depositary Receipt.
See notes to financial statements.
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ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO o 9
STATEMENT OF ASSETS & LIABILITIES
October 31, 2000
Assets
Investments in securities, at value (cost $963,981,399) $818,470,834
Receivable for capital stock sold 5,835,002
Deferred offering costs 64,905
Interest and dividends receivable 51,331
Restricted cash* 4,921,875
Other assets 47,224
Total assets 829,391,171
Liabilities
Securities sold short, at value (proceeds $68,859,439) 62,202,426
Due to custodian 3,490,181
Advisory fee payable 6,806,118
Payable for investment securities purchased 3,046,875
Payable for capital stock redeemed 2,636,039
Variation margin payable on futures contracts 2,406,250
Distribution fee payable 484,440
Accrued expenses 844,297
Total liabilities 81,916,626
Net Assets $747,475,545
Composition of Net Assets
Capital stock, at par $ 96,052
Additional paid-in capital 954,094,096
Accumulated net realized loss on investments,
short sales, written options, futures and
foreign currency transactions (72,641,576)
Net unrealized depreciation of investments,
short sales and futures (134,074,027)
$747,474,545
Calculation of Maximum Offering Price
Class A Shares
Net asset value and redemption price per share
($258,879,490/33,144,916 shares of capital stock
issued and outstanding) $7.81
Sales charge--4.25% of public offering price .35
Maximum offering price $8.16
Class B Shares
Net asset value and offering price per share
($300,813,522/38,717,930 shares of capital stock
issued and outstanding) $7.77
Class C Shares
Net asset value and offering price per share
($187,781,533/24,188,657 shares of capital stock
issued and outstanding) $7.76
* Cash restricted with brokers as initial margin deposit.
See notes to financial statements.
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10 o ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO
STATEMENT OF OPERATIONS
March 30, 2000* to October 31, 2000
Investment Income
Dividends $ 183,738
Interest 2,770,662 $ 2,954,400
Expenses
Advisory fee 9,100,762
Distribution fee - Class A 551,479
Distribution fee - Class B 2,067,849
Distribution fee - Class C 1,321,067
Transfer agency 589,342
Registration 331,123
Printing 147,062
Amortization of offering expenses 93,095
Custodian 83,596
Administrative fee 82,000
Audit and legal 67,266
Dividends on securities sold short 27,200
Repayment to advisor (See note B) 12,000
Directors' fees 7,500
Miscellaneous 9,230
Total expenses before interest 14,490,571
Interest expense on short sales 197,158
Total expenses 14,687,729
Net investment loss (11,733,329)
Realized and Unrealized Gain (Loss)
on Investments, Short Sales, Written
Options, Futures and Foreign Currency
Transactions
Net realized loss on investment
transactions (48,413,350)
Net realized gain on short sale
transactions 14,234,449
Net realized gain on written option
transactions 4,091,461
Net realized loss on futures transactions (42,554,136)
Net realized gain on foreign currency
transactions 3,488
Net change in unrealized
appreciation/depreciation of
investments, short sales and futures (134,074,027)
Net loss on investments (206,712,115)
Net Decrease in Net Assets from
Operations $(218,445,444)
(*) Commencement of operations.
See notes to financial statements.
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ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO o 11
STATEMENT OF CHANGES IN NET ASSETS
March 30, 2000*
to
October 31, 2000
----------------
Increase (Decrease) in Net Assets from Operations
Net investment loss $(11,733,329)
Net realized loss on investment, short sales, written
options, futures and foreign currency transactions (72,638,088)
Net change in unrealized appreciation/depreciation of
investments, short sales and futures (134,074,027)
Net decrease in net assets from operations (218,445,444)
Capital Stock Transactions
Net increase 965,919,989
Total increase 747,474,545
Net Assets
Beginning of period -0-
End of period $747,474,545
(*) Commencement of operations.
See notes to financial statements.
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12 o ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO
NOTES TO FINANCIAL STATEMENTS
October 31, 2000
NOTE A
Significant Accounting Policies
Alliance Select Investor Series, Inc. (the "Company") is registered under the
Investment Company Act of 1940 as a non-diversified, open-end management
investment company. The Company, which is a Maryland corporation, operates as a
series company currently comprised of three portfolios, the Premier Portfolio,
the Technology Portfolio and the Bio-Techology Portfolio. Each series is
considered to be a separate entity for financial reporting and tax purposes.
This report relates only to the Technology Portfolio. The Technology Portfolio
(the "Fund") commenced operations on March 30, 2000. The Fund offers Class A,
Class B and Class C shares. Class A shares are sold with a front-end sales
charge of up to 4.25% for purchases not exceeding $1,000,000. With respect to
purchases of $1,000,000 or more, Class A shares redeemed within one year of
purchase may be subject to a contingent deferred sales charge of 1%. Class B
shares are currently sold with a contingent deferred sales charge which
declines from 4% to zero depending on the period of time the shares are held.
Class B shares will automatically convert to Class A shares eight years after
the end of the calendar month of purchase. Class C shares are subject to a
contingent deferred sales charge of 1% on redemptions made within the first
year after purchase. All three classes of shares have identical voting,
dividend, liquidation and other rights, except that each class bears different
distribution expenses and has exclusive voting rights with respect to its
distribution plan. The financial statements have been prepared in conformity
with accounting principles generally accepted in the United States, which
require management to make certain estimates and assumptions that affect the
reported amounts of assets and liabilities in the financial statements and
amounts of income and expenses during the reporting period. Actual results
could differ from those estimates. The following is a summary of significant
accounting policies followed by the Fund.
1. Security Valuation
Portfolio securities traded on a national securities exchange or on a foreign
securities exchange (other than foreign securities exchanges whose operations
are similar to those of the United States over-the-counter market) or on The
Nasdaq Stock Market, Inc. are generally valued at the last reported sales price
or, if no sale occurred, at the mean of the closing bid and asked prices on
that day. Readily marketable securities traded in the over-the-counter market,
securities listed on a foreign securities exchange whose operations are similar
to the U.S. over-the-counter market, and securities listed on a national
securities exchange whose primary market is believed to be over-the-counter
(but excluding securities traded on The Nasdaq Stock Market, Inc.), are valued
at the mean of the current bid and asked prices. U.S. government and fixed
income securities which mature in 60 days or less are valued at amortized cost,
unless this method does not represent fair value. Securities for which current
market quotations are not readily available are valued at their fair value as
determined in good faith by, or in accordance with procedures adopted by, the
Board of Directors. Fixed income securities may be valued on the
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ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO o 13
basis of prices obtained from a pricing service when such prices are believed
to reflect the fair market value of such securities. Listed put or call options
purchased by the Fund are valued at the last sale price. If there has been no
sale on that day, such securities will be valued at the closing bid prices on
that day.
2. Currency Translation
Assets and liabilities denominated in foreign currencies and commitments under
forward exchange currency contracts are translated into U.S. dollars at the
mean of the quoted bid and asked price of such currencies against the U.S.
dollar. Purchases and sales of portfolio securities are translated at the rates
of exchange prevailing when such securities were acquired or sold. Income and
expenses are translated at rates of exchange prevailing when accrued.
Net realized foreign exchange gains or losses represent foreign exchange gains
and losses from sales of investments and forward currency exchange contracts,
holding of foreign currencies, currency gains or losses realized between the
trade and settlement dates on foreign security transactions, and the difference
between the amounts of dividends, interest and foreign tax reclaims receivable
recorded on the Fund's books and the U.S. dollar equivalent amounts actually
received or paid. Net currency gains and losses from valuing foreign currency
denominated assets and liabilities at period end exchange rates would be
reflected as a component of net unrealized appreciation (depreciation) of
investments and foreign currency denominated assets and liabilities.
3. Taxes
It is the Fund's policy to meet the requirements of the Internal Revenue Code
applicable to regulated investment companies and to distribute all of its
investment company taxable income and net realized gains, if any, to
shareholders. Therefore, no provision for federal income or excise taxes is
required.
4. Organization and Offering Expenses
Organization expenses of $12,000 were charged to the Fund as incurred prior to
commencement of operations. Offering expenses of $158,000 have been deferred
and are being amortized on a straight-line basis over a one year period.
5. Investment Income and Investment Transactions
Dividend income (or expense on securities sold short) is recorded on the
ex-dividend date. Interest income is accrued daily. Investment transactions are
accounted for on the date securities are purchased or sold. Investment gains
and losses are determined on the identified cost basis. The Fund accretes
discounts as adjustments to interest income.
6. Income and Expenses
All income earned and expenses incurred by the Fund are borne on a pro-rata
basis by each outstanding class of shares, based on the proportionate interest
in the Fund represented by the shares of such class, except that the Fund's
Class B and Class C shares bear higher distribution and transfer agent fees
than Class A shares.
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14 o ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO
7. Dividends and Distributions
Dividends and distributions to shareholders are recorded on the ex-dividend
date. Income and capital gains distributions are determined in accordance with
federal tax regulations and may differ from those determined in accordance with
accounting principles generally accepted in the United States. To the extent
these differences are permanent, such amounts are reclassified with the capital
accounts based on their federal tax basis treatment; temporary differences do
not require such reclassification.
During the current period ended October 31, 2000, permanent differences,
primarily due to a net investment loss, resulted in net decrease in accumulated
net investment loss, an increase in accumulated net realized loss on
investments, short sales, written options, futures and foreign currency
transactions and a corresponding decrease to additional paid-in capital. This
reclassification had no effect on net assets.
NOTE B
Advisory Fee and Other Transactions With Affiliates
Under the terms of an Investment Advisory Agreement, the Fund pays Alliance
Capital Management L.P. (the "Adviser") a monthly fee at an annualized rate of
1.50% of the Fund's average daily net assets (the "Basic Fee") and an
adjustment to the Basic Fee based upon the investment performance of the Class
A shares of the Fund in relation to the investment record of the NASDAQ
Composite Index. For the period from April 1, 2000 through March 31, 2001, the
Adviser will receive a minimum fee, payable monthly, equal to .50% annualized
of the average daily net assets of the Fund for each day included in such
annual period. The fee paid to the Adviser for this period may be increased to
2.50%, based on the investment performance of the Class A shares of the Fund in
relation to the investment record of the NASDAQ Composite Index. The fee will
equal 1.50% annualized if the performance of Class A shares equals the
performance of the Index. The performance period for each such month will be
from April 1, 2000 through the current calendar month, until the Advisory
Agreement has been in effect for 36 full calendar months, when it will become a
rolling 36-month period ending with the current calendar month. During the
period ended October 31, 2000, the effective advisory fee was at the annualized
rate of 1.74% of the Fund's average daily net assets.
The Fund and the Adviser have entered into an Expense Limitation Agreement (the
"Agreement"), under which the Adviser has agreed to waive its fees and, if
necessary, reimburse expenses for the period from March 30, 2000 (commencement
of operations of the Fund) to March 31, 2001, to the extent necessary to
prevent total Fund operating expenses from exceeding the annual rate of 3.25%
of average daily net assets for Class A shares and 3.95% of average daily net
assets for Class B shares and Class C shares, respectively. Under the
Agreement, any waivers or reimbursements made by the Adviser during this period
are subject to repayment by the Fund in subsequent periods, but no later than
March 31, 2003, provided that repayment does not result in the Fund's aggregate
expenses in those
-------------------------------------------------------------------------------
ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO o 15
subsequent periods exceeding the foregoing expense limitations. Further, the
aggregate repayment to the Adviser will not exceed the sum of the Fund's
organization costs and initial offering expenses. During the year ended October
31, 2000 the Technology portfolio repaid $12,000 of organization expenses to
the Adviser. At October 31, 2000, there were no expenses waived and reimbursed
by the Adviser that are subject to repayment.
Pursuant to the advisory agreement, the Adviser provides certain legal and
accounting services for the Fund. For the period ended October 31, 2000, such
fees amounted to $82,000.
The Fund compensates Alliance Fund Services, Inc. (a wholly-owned subsidiary of
the Adviser) under a Transfer Agency Agreement for providing personnel and
facilities to perform transfer agency services for the Fund. Such compensation
amounted to $520,665 for the period ended October 31, 2000.
For the period ended October 31, 2000, the Fund's expenses were reduced by
$24,878 under an expense offset arrangement with Alliance Fund Services, Inc.
Alliance Fund Distributors, Inc. (the "Distributor") a wholly-owned subsidiary
of the Adviser, serves as the Distributor of the Fund's shares. The Distributor
has advised the Fund that it has received front-end sales charge of $76,954
from the sale of Class A shares and $81,081, $763,473 and $205,225 in
contingent deferred sales charges imposed upon redemptions by shareholders of
Class A, Class B and Class C shares, respectively, for the period ended October
31, 2000.
Brokerage commissions paid on investment transactions for the period ended
October 31, 2000, amounted to $377,995, none of which was paid to brokers
utilizing the services of the Pershing Division of Donaldson, Lufkin & Jenrette
Securities Corp. ("DLJ"), an affiliate of the Adviser, nor to DLJ directly.
NOTE C
Distribution Services Agreement
The Funds have adopted a Distribution Services Agreement (the "Agreement")
pursuant to Rule 12b-1 under the Investment Company Act of 1940. Under the
Agreement, the Fund pays a distribution and servicing fees to the Distributor
at an annual rate of up to .30 of 1% of the Fund's average daily net assets
attributable to Class A shares and 1% of the average daily net assets
attributable to both Class B and Class C shares. The fees are accrued daily and
paid monthly. The Agreement provides that the Distributor will use such
payments in their entirety for distribution assistance and promotional
activities. The Distributor has advised the Fund that it has incurred expenses
in excess of the distribution costs reimbursed by the Fund in the amount of
$15,496,873 and $1,645,644 for Class B and Class C shares, respectively. Such
costs may be recovered from the Fund in future periods so long as the Agreement
is in effect. In accordance with the Agreement there is no provision for
recovery of unreimbursed distribution costs incurred by the Distributor beyond
the current fiscal year for Class A shares. The Agreement also provides that
the
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16 o ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO
Adviser may use its own resources to finance the distribution of the Fund's
shares.
NOTE D
Investment Transactions
Purchases and sales of investment securities (excluding short-term investments
and U.S. government securities) aggregated $1,337,755,335 and $457,056,001,
respectively, for the period ended October 31, 2000. There were no purchases or
sales of U.S. government or government agency obligations for the period ended
October 31, 2000.
At October 31, 2000, the cost of investments for federal income tax purposes
was $965,197,890. Accordingly, gross unrealized appreciation of investments was
$57,703,631 and gross unrealized depreciation of investments was $204,430,687
resulting in net unrealized depreciation of $146,727,056 excluding short sales.
At October 31, 2000, the Fund had a net capital loss carryover of $66,645,560
which expires October 31, 2008. To the extent that any net capital loss
carryover is used to offset future gains, it is probable that these gains will
not be distributed to shareholders.
1. Financial Futures Contracts
The Fund may buy or sell financial futures contracts for the purpose of hedging
its portfolio against adverse affects of anticipated movements in the market.
The Fund bears the market risk that arises from changes in the value of these
financial instruments.
At the time the Fund enters into a futures contract, the Fund deposits and
maintains as collateral an initial margin as required by the exchange on which
the transaction is effected. Pursuant to the contract, the Fund agrees to
receive from or pay to the broker an amount of cash equal to the daily
fluctuation in the value of the contract. Such receipts or payments are known
as variation margin and are recorded by the Fund as unrealized gains or losses.
When the contract is closed, the Fund records a realized gain or loss equal to
the difference between the value of the contract at the time it was opened and
the time it was closed. At October 31, 2000, the Fund had outstanding futures
contracts as follows:
<TABLE>
<CAPTION>
Value at
Number of Expiration Original October 31, Unrealized
Type Contracts Position Month Value 2000 Appreciation
---------- --------- -------- ---------- ----------- ----------- ------------
<S> <C> <C> <C> <C> <C> <C>
NASDAQ 100 125 Short December $46,029,525 $41,250,000 $4,779,525
2000
</TABLE>
2. Options Transactions
The Fund purchases and writes (sells) options on market indices and covered put
and call options on U.S. securities that are traded on U.S. securities
exchanges and over-the-counter markets.
The risk associated with purchasing an option is that the Fund pays a premium
whether or not the option is exercised. Additionally, the Fund bears the risk
of loss of the premium and any change in market value should the counterparty
not perform under the contract. Put and call options purchased are accounted
for in the same manner as portfolio securities. The cost of securities acquired
through the exercise of call
-------------------------------------------------------------------------------
ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO o 17
options is increased by premiums paid. The proceeds from securities sold
through the exercise of put options are decreased by the premiums paid.
When the Fund writes an option, the premium received by the Fund is recorded as
a liability and is subsequently adjusted to the current market value of the
option written.
Premiums received from writing options which expire unexercised are recorded by
the Funds on the expiration date as realized gains from option transactions.
The difference between the premium and the amount paid on effecting a closing
purchase transaction, including brokerage commissions, is also treated as a
realized gain, or if the premium is less than the amount paid for the closing
purchase transaction, as a realized loss. If a written call option is
exercised, the premium is added to the proceeds from the sale of the underlying
security in determining whether the Fund has realized a gain or loss. If a
written put option is exercised, the premium reduces the costs basis of the
security purchased by the Fund. In writing covered options, the Fund bears the
market risk of an unfavorable change in the price of the security underlying
the written option. Exercise of an option written by the Fund could result in
the Fund selling or buying a security at a price different from the current
market value.
Transactions in options written for the period ended October 31, 2000 were as
follows:
Number of
Contracts Premiums
--------- ------------
Options outstanding at beginning
of period -0- $ -0-
Options written 9,270 4,091,461
Options expired (9,270) (4,091,461)
Options outstanding at
October 31, 2000 -0- $ -0-
3. Securities Sold Short
The Fund may sell securities short. A short sale is a transaction in which the
Fund sells securities it does not own, but has borrowed, in anticipation of a
decline in the market price of the securities. The Fund is obligated to replace
the borrowed securities at their market price at the time of replacement. The
Fund's obligation to replace the securities borrowed in connection with a short
sale will be fully secured by collateral deposited with the broker. In
addition, the Fund will consider the short sale to be a borrowing by the Fund
that is subject to the asset coverage requirements of the 1940 Act. Short sales
by the Fund involve certain risks and special considerations. Possible losses
from short sales differ from losses that could be incurred from a purchase of a
security because losses from short sales may be unlimited, whereas losses from
purchases can not exceed the total amount invested.
NOTE E
Capital Stock
There are 9,000,000,000 shares of $.001 par value capital stock authorized, di-
-------------------------------------------------------------------------------
18 o ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO
vided into three classes, designated Class A, Class B and Class C. Each
consists of 3,000,000,000 authorized shares. Transactions in capital stock were
as follows:
Shares Amount
---------------- ----------------
March 30, 2000(a) March 30, 2000(a)
to to
October 31, 2000 October 31, 2000
---------------- ----------------
Class A
Shares sold 42,397,751 $414,263,216
Shares redeemed (9,252,835) (80,374,808)
Net increase 33,144,916 $333,888,408
Class B
Shares sold 41,816,451 $415,043,313
Shares redeemed (3,098,521) (26,932,448)
Net increase 38,717,930 $388,110,865
Class C
Shares sold 27,359,706 $271,665,620
Shares redeemed (3,171,049) (27,744,904)
Net increase 24,188,657 $243,920,716
NOTE F
Restricted Security
Date Acquired Cost
------------- ----------
Pluris 9/26/00 $7,000,005
The security shown above is restricted and has been valued at fair value in
accordance with the procedures described in Note A. The value of this security
at October 31, 2000 was $7,000,005, representing .94% of net assets.
NOTE G
Bank Borrowing
A number of open-end mutual funds managed by the Adviser, including the Fund,
participate in a $750 million revolving credit facility (the "Facility")
intended to provide short-term financing if necessary, subject to certain
restrictions, in connection with abnormal redemption activity. Commitment fees
related to the Facility are paid by the participating funds and are included in
miscellaneous expenses in the statement of operations. The Fund did not utilize
the Facility during the period ended October 31, 2000.
(a) Commencement of operations.
-------------------------------------------------------------------------------
ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO o 19
FINANCIAL HIGHLIGHTS
Selected Data For A Share Of Capital Stock Outstanding For The Period
<TABLE>
<CAPTION>
Class A Class B Class C
----------- ----------- -----------
March 30, March 30, March 30,
2000(a) to 2000(a) to 2000(a) to
October 31, October 31, October 31,
2000 2000 2000
----------- ----------- -----------
<S> <C> <C> <C>
Net asset value, beginning of period $10.00 $10.00 $10.00
Income From Investment Operations
Net investment loss(b) (.09) (.13) (.13)
Net realized and unrealized loss on
investment and foreign currency
transactions (2.10) (2.10) (2.11)
Net decrease in net asset value from
operations (2.19) (2.23) (2.24)
Net asset value, end of period $7.81 $7.77 $7.76
Total Return
Total investment return based on net
asset value(c) (21.90)% (22.30)% (22.40)%
Ratios/Supplemental Data
Net assets, end of period
(000's omitted) $258,879 $300,814 $187,782
Ratio to average net assets of:
Expenses(d) 2.35% 3.02% 3.03%
Expenses, excluding interest expense
on short sales(d) 2.31% 2.99% 2.99%
Net investment loss(d) (1.79)% (2.47)% (2.47)%
Portfolio turnover rate 55% 55% 55%
</TABLE>
(a) Commencement of operations.
(b) Based on average shares outstanding.
(c) Total investment return is calculated assuming an initial investment made
at the net asset value at the beginning of the period, reinvestment of all
dividends and distributions at net asset value during the period, and
redemption on the last day of the period. Initial sales charge or contingent
deferred sales charge is not reflected in the calculation of total investment
return. Total investment return calculated for a period of less than one year
is not annualized.
(d) Annualized.
-------------------------------------------------------------------------------
20 o ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO
REPORT OF INDEPENDENT ACCOUNTANTS
To the Board of Directors and Shareholders of Alliance
Select Investor Series, Inc. Technology 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 the financial highlights present fairly, in all
material respects, the financial position of Alliance Select Investor Series,
Inc. Technology Portfolio (the "Fund") at October 31, 2000, and the results of
its operations, the changes in its net assets and the financial highlights for
the period March 30, 2000 (commencement of operations) through October 31,
2000, in conformity with accounting principles generally accepted in the United
States of America. These financial statements and financial highlights
(hereafter referred to as "financial statements") are the responsibility of the
Fund's management; our responsibility is to express an opinion on these
financial statements based on our audit. We conducted our audit 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 audit, which included confirmation of securities at October
31, 2000 by correspondence with the custodian and brokers, provides a
reasonable basis for our opinion.
PricewaterhouseCoopers LLP
New York, New York
December 18, 2000
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ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO o 21
GLOSSARY OF INVESTMENT TERMS
benchmark
A standard by which a fund's performance can be measured. A benchmark is
usually an unmanaged index, such as the Standard & Poor's 500 Stock Index or
the Lehman Brothers Aggregate Bond Index.
consumer price index (CPI)
An index that measures the cost of living. The CPI is published by the U.S.
Bureau of Labor Statistics.
equity
Another term for stock.
initial public offering (IPO)
A sale of securities by a previously private company to the general public.
index
A compilation of securities of similar types of companies that is used to
measure the investment performance of securities within that specific market.
An index is often used as a benchmark for a mutual fund. An investor cannot
invest directly in an index.
net asset value (NAV)
The value of a mutual fund's total assets, minus its liabilities, divided by
the number of shares outstanding.
share
A unit which represents ownership in a mutual fund or stock.
-------------------------------------------------------------------------------
22 o ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO
ALLIANCE CAPITAL
The Investment Professional's Choice
Alliance Capital is a leading global investment management firm with over $474
billion in assets under management. In recognition of our far-reaching
investment capabilities, Alliance Capital has been selected by employee benefit
plans for 38 of the FORTUNE 100 companies and public retirement funds in 35
states as well as by hundreds of foundations, endowments and foreign
institutions. By sharing this institutional money management experience with
millions of mutual fund investors as well, Alliance stands out as a "manager of
choice" for thousands of investment professionals around the world.
At Alliance Capital, we place a premium on investment research. We carefully
select securities based on our proprietary research, conducted by over 585
investment professionals in 28 investment offices worldwide. Our commitment to
this process means that our mutual fund shareholders have their portfolios
managed by the same experienced analysts and portfolio managers who manage the
pension funds of some of America's largest institutional investors.
All information on Alliance Capital is as of 10/2/00.
-------------------------------------------------------------------------------
ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO o 23
ALLIANCE CAPITAL AT YOUR SERVICE
At Alliance Capital, shareholder satisfaction is among our top priorities.
That's why we provide our shareholders with a wide variety of products and
time-saving services to meet their needs.
o Low Minimum Investments
You can begin investing in Alliance Capital funds with as little as $250
(except for Alliance Select Investor Series Premier Portfolio, Alliance Select
Investor Series Technology Portfolio, and Alliance Select Investor Series
Biotechnology Portfolio which generally have a $10,000 minimum initial
investment) and may make subsequent investments of $50 or more.
o Automatic Reinvestment
You may choose to reinvest fund dividend and capital-gains distributions
automatically at no charge.
o Automatic Investment Program
Build your investment account by having money automatically transferred from
your bank account on a regular basis.
o Dividend Direction Plans
You may cross-invest dividends from one fund into the same class of shares in
any other fund without incurring a sales charge. This can be a good way to
diversify your assets.
o The Alliance Advance
A quarterly newsletter discussing investment strategies, economic news and
other matters that could affect your mutual fund investment.
o Auto Exchange
You may choose to automatically exchange money from one Alliance Capital fund
to another on a regular basis. This can be a good way to dollar cost average*,
helping you to invest with discipline.
o Systematic Withdrawals
Regular checks for specified amounts can be sent to you or to your brokerage or
bank account.
o A Choice of Purchase Plans
Most funds are available in A, B, and C Class shares. Many funds are also
available in Advisor Class shares.
o Telephone Transaction
Purchases, transfers and redemptions can be made by calling (800) 221-5672. Our
knowledgeable representatives are available to assist you Monday through Friday
from 8:30 a.m. to 8:00 p.m. Eastern Standard Time.
o Alliance Answer: 24-Hour Information
For your convenience, our computerized audio response system is available to
you 24-hours a day by calling (800) 251-0539. Using any touch tone phone, you
can hear share prices, get account balances, review details of your last
transaction, obtain dividend information, order statements/checkbooks, review
fund objectives, literature and Watchlist information, order additional copies
of statements and request additional year-end tax forms (available from
February 1 to May 31).
o Alliance Capital on the World Wide Web at www.alliancecapital.com. Here, you
can access updated account information, make additional investments, request
more information, exchange between Alliance funds and view fund performance,
press releases and articles.
* Dollar cost averaging does not assure a profit nor protect against loss in
a declining market. Since this strategy involves continuous investments in
securities, regardless of fluctuating prices, investors should consider their
financial ability to invest during periods of low price levels.
-------------------------------------------------------------------------------
24 o ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO
BOARD OF DIRECTORS
John D. Carifa, Chairman and President
Ruth Block(1)
David H. Dievler(1)
John H. Dobkin(1)
William H. Foulk, Jr.(1)
Dr. James M. Hester(1)
Clifford L. Michel(1)
Donald J. Robinson(1)
OFFICERS
Kathleen A. Corbet, Senior Vice President
Christopher M. Toub, Senior Vice President
Peter Anastos, Vice President
Thomas J. Bardong, Vice President
Andrew J. Frank, Vice President
Gerald T. Malone, Vice President
Janet A. Walsh, Vice President
Steven R. Weller, Vice President
Edmund P. Bergan, Jr., Secretary
Mark D. Gersten, Treasurer & Chief Financial Officer
Vincent S. Noto, Controller
Custodian
The Bank of New York
One Wall Street
New York, NY 10286
Principal Underwriter
Alliance Fund Distributors, Inc.
1345 Avenue of the Americas
New York, NY 10105
Legal Counsel
Seward & Kissel LLP
One Battery Park Plaza
New York, NY 10004
Independent Accountants
PricewaterhouseCoopers LLP
1177 Avenue of the Americas
New York, NY 10036-2798
Transfer Agent
Alliance Fund Services, Inc.
P.O. Box 1520
Secaucus, NJ 07096-1520
Toll-free (800) 221-5672
(1) Member of the Audit Committee.
-------------------------------------------------------------------------------
ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO o 25
ALLIANCE CAPITAL FAMILY OF FUNDS
Domestic Equity Funds
Balanced Shares
Conservative Investors Fund
Disciplined Value Fund
Growth & Income Fund
Growth Fund
Growth Investors Fund
Health Care Fund
Premier Growth Fund
Quasar Fund
Real Estate Investment Fund
Technology Fund
The Alliance Fund
Utility Income Fund
Global & International Equity Funds
All-Asia Investment Fund
Global Small Cap Fund
Greater China '97 Fund
International Fund
International Premier Growth Fund
New Europe Fund
Worldwide Privatization Fund
Select Investor Series
Biotechnology Portfolio
Premier Portfolio
Technology Portfolio
Fixed Income Funds
Corporate Bond Portfolio
Global Dollar Government Fund
Global Strategic Income Trust
High Yield Fund
Multi-Market Strategy Trust
North American Government Income Trust
Quality Bond Portfolio
U.S. Government Portfolio
Municipal Income Funds
National
Insured National
Arizona
California
Insured California
Florida
Massachusetts
Michigan
Minnesota
New Jersey
New York
Ohio
Pennsylvania
Virginia
Closed-End Funds
All-Market Advantage Fund
The Austria Fund
ACM Government Income Fund
ACM Government Opportunity Fund
The Korean Investment Fund
ACM Managed Dollar Income Fund
ACM Managed Income Fund
ACM Municipal Securities Income Fund
The Southern Africa Fund
The Spain Fund
World Dollar Government Fund
World Dollar Government Fund II
Alliance also offers AFD Exchange Reserves, which serves as the money market
fund exchange vehicle for the Alliance mutual funds.
To obtain a prospectus for any Alliance Capital fund, call your investment
professional, or call Alliance at (800) 227-4618.
-------------------------------------------------------------------------------
26 o ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO
NOTES
-------------------------------------------------------------------------------
ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO o 27
NOTES
-------------------------------------------------------------------------------
28 o ALLIANCE SELECT INVESTOR SERIES TECHNOLOGY PORTFOLIO
Alliance Select Investor Series
1345 Avenue of the Americas
New York, NY 10105
(800) 221-5672
[LOGO OMITTED]
R These registered service marks used under
license from the owner, Alliance Capital
Management L.P.
SISTPAR1000
