Janus | Equity Funds
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2000 SEMIANNUAL REPORT
Janus Fund Janus Olympus Fund
Janus Balanced Fund Janus Overseas Fund
Janus Enterprise Fund Janus Special Situations Fund
Janus Equity Income Fund Janus Strategic Value Fund
Janus Global Life Sciences Fund Janus Twenty Fund
Janus Global Technology Fund Janus Venture Fund
Janus Growth and Income Fund Janus Worldwide Fund
Janus Mercury Fund
[LOGO] JANUS
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<PAGE>
Janus | Equity Funds
Table of Contents
To Our Shareholders ......................................... 1
Portfolio Managers' Commentaries and Schedules of Investments
Janus Fund ............................................. 2
Janus Balanced Fund .................................... 6
Janus Enterprise Fund .................................. 11
Janus Equity Income Fund ............................... 14
Janus Global Life Sciences Fund ........................ 18
Janus Global Technology Fund ........................... 21
Janus Growth and Income Fund ........................... 26
Janus Mercury Fund ..................................... 31
Janus Olympus Fund ..................................... 35
Janus Overseas Fund .................................... 39
Janus Special Situations Fund .......................... 44
Janus Strategic Value Fund ............................. 47
Janus Twenty Fund ...................................... 50
Janus Venture Fund ..................................... 53
Janus Worldwide Fund ................................... 57
Statements of Operations .................................... 62
Statements of Assets and Liabilities ........................ 64
Statements of Changes in Net Assets ......................... 66
Financial Highlights ........................................ 70
Notes to Schedules of Investments ........................... 78
Notes to Financial Statements ............................... 80
Explanations of Charts and Tables ........................... 83
[LOGO] JANUS
<PAGE>
To Our | Shareholders
[PHOTO]
James Craig
chief investment officer
Gravity is one of the immutable laws of nature. In April, investors who had
forgotten this most basic of scientific principles were reminded, quite
painfully, that the rule stating "what goes up must come down" applies to
technology stocks as well as apples.
Those who lost sight of the fundamentals and invested without any regard for
valuation can perhaps be partially forgiven for their indiscretion. After all,
there was more than enough optimism to go around in November when the tech-heavy
Nasdaq Composite Index closed above 3,000 for the first time. Scarcely more than
a month later, after surging past 4,000, pundits heralded the arrival of the
"new economy" while predicting the demise of all things traditional. In March,
when the Nasdaq hit 5,000, the euphoria reached a fever pitch.
However, history shows that rallies like the one that lifted the Nasdaq to
dizzying heights are often followed by a correction - sometimes a dramatic one -
that has a way of sorting out true, long-term investors from pure momentum
players. This time, the reckoning came in April.
In the 17 years I've been in the business, I've never seen a more volatile
month. Investors pushed stocks to record losses one day only to buy back in with
almost equal enthusiasm the next. While such extremes can be unsettling, I am
very pleased with our results during this turbulent period. We have always
believed our job as stock-pickers is to find great companies that can perform
well against any economic backdrop - in the words of Janus Enterprise Portfolio
Manager Jim Goff, "to sort out the tennis balls from the eggs." While some of
our favorite stocks gave ground during April, it's safe to say that we expect
they will recover.
That said, I'd like to take this opportunity to describe our latest efforts to
position Janus for continued success. In January, we closed Janus Global
Technology Fund to new investors, a move that was followed in May by the
closings of Janus Worldwide Fund, Janus Olympus Fund and Janus Global Life
Sciences Fund. These decisions were based on our desire to protect the interests
of our existing shareholders by preserving each fund's flexibility. At the same
time, in an effort to extend our stock-picking expertise into new areas, we
announced the opening of Janus Strategic Value Fund in February. As I've said
many times before, our every action is motivated by doing what we believe is
best for our shareholders. These changes are no exception.
In closing, I'd like to thank you for your continued confidence in Janus.
/s/ Jim Craig
James Craig
Past performance does not guarantee future results.
Janus Equity Funds / April 30, 2000 1
<PAGE>
Janus | Fund
[PHOTO]
Blaine Rollins
portfolio manager
In my first letter to you as portfolio manager of Janus Fund, I'm pleased to
report that for the six months ended April 30, 2000, the Fund gained 21.12%
versus a gain of only 7.18% for the S&P 500 Index.(1) This performance earned
the Fund a top-quartile ranking for the 12 months ended April 30, 2000, placing
it 104th out of 457 large-cap growth funds tracked by Lipper, Inc., a leading
mutual fund rating company.(2)
The Fund's performance over the past six months was gratifying, particularly
when one considers the market's volatility in March and April. The credit for
the Fund's success goes directly to our team of analysts, who continue to work
tirelessly, spending countless hours trotting the globe in search of and getting
to know the dominant franchises of tomorrow.
One company we believe will emerge as a future leader was created in January by
the merger of Internet bellwether America Online and media colossus Time Warner.
We believe the union will marry the best content with the best Internet
distribution, creating exciting synergies and cross-selling opportunities.
TimeWarner/AOL remains Janus Fund's largest position.
Cellular handset manufacturer Nokia was another of our best performers. The
company continued to post earnings stronger than most Wall Street analysts
expected, and the stock responded favorably. Even more significant than
excellent results, however, are global cellular penetration rates, which are
accelerating from 1999's already impressive levels. Meanwhile, the introduction
of wireless data has emerged as an additional catalyst for Nokia as existing
cellular subscribers upgrade to Web-enabled phones. In Japan, uptake for the
service has been spectacular. More than four million users signed on by the end
of 1999 - far more than previously projected. We look for wireless data to enjoy
similar success in the U.S. and U.K. in the second half of 2000.
The continuing boom in cell phone usage has also placed a strong wind at the
backs of companies supplying components to the manufacturers of wireless
communications hardware. Microchip maker Texas Instruments, whose digital
signal-processing chips powered roughly two-thirds of all cellular handsets sold
worldwide in 1999, is an excellent example.
Other strong performers included our position in Enron, which is regarded by
many investors as a natural gas company. However, this description is
incomplete. In actuality, Enron has many diverse operations including a
burgeoning telecommunications division, a retail energy services arm and a
trading operation, which has created a market for bandwidth and weather futures.
Memory storage device maker EMC also contributed positively. Demand for EMC's
products is strongly correlated with the overall growth of the Internet.
Consider that each time an e-tailer adds a new product to its Web site or
whenever someone sends another e-mail, more data is created. This data needs to
be stored somewhere, and EMC's products offer the best solution.
The market's volatility also gave us the chance to buy or add to our positions
in some great companies at discounted prices. For example, when shares of
fast-food giant McDonald's declined, we backed up the truck and bought more than
10 million more shares. An evolving menu and new technology -
Portfolio Profile April 30, 2000 October 31, 1999
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Equities 95.3% 94.5%
Foreign 10.9% 8.7%
European 7.8% 4.8%
Top 10 Equities (% of Assets) 40.6% 40.9%
Number of Stocks 84 62
Cash, Cash Equivalents &
Fixed-Income Securities 4.7% 5.5%
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Top 5 Industries April 30, 2000 October 31, 1999
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Multimedia 10.7% 7.2%
Circuits 6.6% 5.7%
Cable Television 5.5% 8.2%
Pipelines 4.3% 2.9%
Electronic Components
- Semiconductors 4.1% 3.4%
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Top 10 Equity Holdings April 30, 2000 October 31, 1999
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Time Warner, Inc. 8.3% 5.8%
Comcast Corp. - Special Class A 4.1% 5.7%
Cisco Systems, Inc. 3.9% 4.2%
Texas Instruments, Inc. 3.7% 3.3%
Enron Corp. 3.7% 2.9%
Nokia Oyj 3.7% 2.7%
General Electric Co. 3.5% 3.5%
Linear Technology Corp. 3.5% 3.0%
Maxim Integrated Products, Inc. 3.1% 2.7%
McDonald's Corp. 3.1% 0.6%
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(1) All returns include reinvested dividends.
(2) Lipper, Inc. defines a large-cap growth fund as one that "invests at least
75% of their equity assets in companies with market capitalizations (on a
three-year weighted basis) of greater than 300% of the dollar-weighted
median market capitalization of the S&P Mid-Cap 400 Index. Large-cap growth
funds normally invest in companies with long-term earnings expected to grow
significantly faster than the earnings of the stocks represented in a major
unmanaged stock index. These funds will normally have an above-average
price-to-earnings ratio, price-to-book ratio, and three-year earnings
growth figure, compared to the U.S. diversified large-cap funds universe
average." As of April 30, 2000, Janus Fund ranked 41/194 of large-cap
growth funds for the 5-year period and 15/67 for the 10-year period. The
ranking is based on total return, including reinvestment of dividends and
capital gains for the stated period.
Past performance does not guarantee future results.
2 Janus Equity Funds / April 30, 2000
<PAGE>
specifically the company's "Made For You" sandwich assembly machines - should
keep revenues strong and push costs lower, a combination we believe will result
in resurgent profit growth for the Golden Arches.
Although we were pleased with the Fund's overall showing, there were a few
disappointments. For example, we sold our position in automotive insurer
Progressive after several of the company's largest competitors aggressively cut
prices in an effort to capture market share. These cuts created a
hyper-competitive environment that we were unwilling to endure despite
Progressive's obvious advantages over many of its peers.
Our positions in Royal Caribbean and Carnival Cruises also surrendered gains
after investors became concerned that slower bookings during the first six
months of 2000 would hinder earnings growth. Despite the stock's decline, we
believe cruising continues to take share of the leisure dollar from other forms
of vacation. Consequently, we remain optimistic about the companies' long-term
growth prospects and have held onto the positions.
Looking ahead, with the interest rate climate appearing unfriendly, volatility
will likely intensify. However, we'll stay focused on what we do best: finding
the best companies in the world. We firmly believe that by getting to know our
companies better than anyone we can eliminate surprises, giving us the potential
to deliver solid long-term results.
Thank you for your investment in Janus Fund.
Performance Overview
[GRAPHIC OMITTED]
A graphic comparison of the change in value of a hypothetical $10,000 investment
in Janus Fund and the S&P 500 Index. Janus Fund is represented by a shaded area
of green. The S&P 500 Index is represented by a solid black line. The "y" axis
reflects the value of the investment. The "x" axis reflects the computation
periods from inception, February 5, 1970, through April 30, 2000. The upper and
lower right quadrants reflect the ending value of the hypothetical investment in
Janus Fund ($1,670,320) as compared to the S&P 500 Index ($502,543).
Average Annual Total Return
for the periods ended April 30, 2000
One Year, 36.64%
Five Year, 30.18%
Ten Year, 21.70%
Since 2/5/70*, 18.45%
Janus Fund - $1,670,320
S&P 500 Index - $502,543
*The Fund's inception date.
Source - Lipper, Inc. 2000.
Past performance does not guarantee future results. Investment return and
principal value will fluctuate so that shares, when redeemed, may be worth more
or less than their original cost. All returns reflect reinvested dividends. The
Fund's portfolio may differ significantly from the securities in the Index. The
Index is unmanaged and therefore does not reflect the cost of portfolio
management or trading.
This Fund's returns may have been positively impacted by buying technology
companies in a period favorable for these stocks.
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Common Stock - 95.2%
Aerospace and Defense - 0.2%
3,613,710 Lockheed Martin Corp. .................... $ 89,891,036
Agricultural Biotechnology - 0.3%
3,117,490 Pharmacia Corp. .......................... 155,679,657
Broadcast Services and Programming - 3.2%
17,074,520 AT&T Corp./Liberty Media Group - Class A* 852,658,843
9,296,538 Clear Channel Communications, Inc.* ...... 669,350,736
1,522,009,579
Cable Television - 5.5%
3,574,015 Adelphia Communications Corp. - Class A* . 177,137,118
6,156,585 Charter Communications, Inc. - Class A* .. 90,424,842
47,508,680 Comcast Corp. - Special Class A* ......... 1,903,316,493
67,395,688 Telewest Communications PLC* ............. 411,560,665
2,582,439,118
Casino Hotels - 0.4%
15,019,560 Park Place Entertainment Corp.* .......... 192,438,113
Cellular Telecommunications - 3.2%
5,607,580 Nextel Communications, Inc. - Class A* ... 613,679,536
15,101 NTT DoCoMo, Inc.** ....................... 504,430,605
3,395,275 Sprint Corp./PCS Group* .................. 186,740,125
1,671,010 VoiceStream Wireless Corp.* .............. 165,429,990
459,906 Winstar Communications, Inc.* ............ 18,338,752
1,488,619,008
Circuits - 6.6%
28,723,210 Linear Technology Corp.# ................. $ 1,640,813,371
22,536,340 Maxim Integrated Products, Inc.*,# ....... 1,460,636,536
3,101,449,907
Commercial Banks - 0.4%
245,580 M&T Bank Corp. ........................... 107,871,015
458,810 U.S. Trust Corp. ......................... 70,599,389
178,470,404
Commercial Services - 0.7%
6,410,530 Paychex, Inc. ............................ 337,354,141
Computer Data Security - 0.2%
747,540 VeriSign, Inc.* .......................... 104,188,387
Computers - Memory Devices - 2.0%
5,647,385 EMC Corp.* ............................... 784,633,553
1,374,690 VERITAS Software Corp.* .................. 147,456,982
932,090,535
Computers - Micro - 2.9%
2,154,565 Apple Computer, Inc.* .................... 267,300,720
12,019,960 Sun Microsystems, Inc.* .................. 1,105,085,073
1,372,385,793
Cosmetics and Toiletries - 0.9%
7,699,040 Colgate-Palmolive Co. .................... 439,807,660
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 3
<PAGE>
Janus | Fund
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Cruise Lines - 0.8%
6,883,665 Carnival Corp. ........................... $ 171,231,167
9,130,200 Royal Caribbean Cruises, Ltd.# ........... 190,022,288
361,253,455
Data Processing and Management - 1.0%
8,299,660 Automatic Data Processing, Inc. .......... 446,625,454
Distribution and Wholesale - 1.4%
12,012,314 Costco Wholesale Corp.* .................. 649,415,726
Diversified Financial Services - 0.2%
2,086,660 Household International, Inc. ............ 87,118,055
Diversified Operations - 3.5%
10,561,585 General Electric Co. ..................... 1,660,809,241
E-Commerce - 0.6%
2,326,380 Amazon.com, Inc.* ........................ 128,387,096
949,760 eBay, Inc.* .............................. 151,189,920
279,577,016
Electronic Components - 0.9%
1,066,000 Murata Manufacturing Company, Ltd.** ..... 207,140,499
7,293,000 NEC Corp.** .............................. 198,400,181
405,540,680
Electronic Components - Semiconductors - 4.1%
2,719,688 Conexant Systems, Inc.* .................. 162,841,319
10,800,205 Texas Instruments, Inc. .................. 1,759,083,389
1,921,924,708
Enterprise Software and Services - 1.7%
1,027,390 Aspect Development, Inc.* ................ 71,018,334
8,689,215 BEA Systems, Inc.* ....................... 419,254,624
2,484,200 i2 Technologies, Inc.* ................... 321,082,850
811,355,808
Fiber Optics - 0.4%
833,280 E-Tek Dynamics, Inc.* .................... 170,614,080
Finance - Credit Card - 1.9%
6,010,585 American Express Co. ..................... 901,963,412
Finance - Investment Bankers/Brokers - 4.0%
23,876,720 Charles Schwab Corp. ..................... 1,062,514,040
8,153,945 Merrill Lynch & Company, Inc. ............ 831,192,768
1,893,706,808
Identification Systems and Devices - 0.9%
7,311,627 Symbol Technologies, Inc.# ............... 407,623,205
Internet Content - 1.9%
4,183,025 Network Solutions, Inc.* ................. 619,087,700
1,012,500 Softbank Corp.** ......................... 249,834,427
868,922,127
Internet Software - 2.6%
9,392,025 America Online, Inc.* .................... 561,760,495
2,744,867 Exodus Communications, Inc.* ............. 242,749,175
1,430,785 Inktomi Corp.* ........................... 220,251,466
2,043,260 TIBCO Software, Inc.* .................... 181,977,844
1,206,738,980
Leisure and Recreation Products - 0.7%
35,999,428 EMI Group PLC ............................ 346,441,215
Life and Health Insurance - 1.4%
7,729,930 John Hancock Financial Services, Inc.* ... 141,071,223
34,564,706 Prudential PLC ........................... 535,135,908
676,207,131
Medical - Biomedical and Genetic - 0.7%
2,980,290 Genentech, Inc.* ......................... $ 348,693,930
Medical - Drugs - 0.4%
4,198,914 AstraZeneca Group PLC .................... 176,679,686
Medical Instruments - 0.3%
2,294,985 Medtronic, Inc. .......................... 119,195,783
Medical Products - 0.4%
2,483,820 Johnson & Johnson ........................ 204,915,150
Money Center Banks - 2.6%
29,636,100 Bank of New York Company, Inc. ........... 1,216,932,356
Multimedia - 10.7%
43,238,572 Time Warner, Inc. ........................ 3,888,769,069
20,954,865 Viacom, Inc. - Class B* .................. 1,139,420,784
5,028,189,853
Networking Products - 3.9%
26,609,570 Cisco Systems, Inc.* ..................... 1,844,791,595
Oil Companies - Integrated - 0.2%
1,635,110 Coastal Corp.* ........................... 82,062,083
Optical Supplies - 0.7%
5,606,035 Allergan, Inc. ........................... 330,055,311
Pipelines - 4.3%
6,874,890 El Paso Energy Corp. ..................... 292,182,825
25,084,450 Enron Corp. .............................. 1,748,072,609
2,040,255,434
Publishing - Newspapers - 0.3%
3,542,355 New York Times Co. - Class A ............. 145,900,747
Radio - 1.1%
15,382,325 Infinity Broadcasting Corp. - Class A*,# 522,037,655
Retail - Building Products - 1.0%
8,056,430 Home Depot, Inc. ......................... 451,663,607
Retail - Office Supplies - 0.8%
20,219,815 Staples, Inc.* ........................... 385,440,223
Retail - Restaurants - 3.1%
37,989,955 McDonald's Corp. ......................... 1,448,367,034
Savings/Loan/Thrifts - 0.3%
4,517,775 Washington Mutual, Inc. .................. 115,485,623
Super-Regional Banks - 0.6%
4,601,505 Northern Trust Corp. ..................... 295,071,508
Telecommunication Equipment - 3.7%
7,542,420 Nokia Oyj ................................ 433,688,683
22,595,459 Nokia Oyj (ADR) .......................... 1,285,116,731
1,718,805,414
Telecommunication Services - 2.3%
16,144,883 Cox Communications, Inc. - Class A* ...... 691,202,803
2,341,560 Level 3 Communications, Inc.* ............ 208,398,840
2,452,230 NTL, Inc.* ............................... 187,595,595
1,087,197,238
Telephone - Integrated - 1.6%
22,262,161 Telefonica S.A.* ......................... 496,611,475
4,585,360 Telefonos de Mexico S.A (ADR) ............ 269,676,485
766,287,960
Television - 1.3%
5,521,654 Univision Communications, Inc. - Class A* 603,240,700
See Notes to Schedules of Investments.
4 Janus Equity Funds / April 30, 2000
<PAGE>
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Wireless Equipment - 0.4%
1,141,470 Aether Systems, Inc.* .................... $ 190,036,920
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Total Common Stock (cost $27,831,549,530) .................. 44,713,966,249
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Corporate Bonds - 0.8%
Broadcast Services and Programming - 0.1%
$ 19,150,000 AT&T Corp./Liberty Media Group, 4.00%
convertible mortgage backed bonds
due 11/15/29 ........................... 24,966,813
E-Commerce - 0.3%
173,246,000 Amazon.com, Inc., 4.75%
convertible subordinated debentures
due 2/1/09+ ............................ 145,959,756
Telecommunication Services - 0.5%
178,190,000 Cox Communications, Inc., 3.00%
convertible subordinated debentures
due 3/14/30 ............................ 167,721,338
50,000,000 NTL, Inc., 5.75%
convertible subordinated notes
due 12/15/09+ .......................... 43,937,500
211,658,838
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Total Corporate Bonds (cost $451,220,703) .................. 382,585,407
--------------------------------------------------------------------------------
Foreign Bond - 0.1%
E-Commerce - 0.1%
EUR 88,937,000 Amazon.com, Inc., 6.875%
convertible subordinated notes
due 2/16/10 (cost $79,453,548) ......... 66,050,803
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Preferred Stock - 0.1%
Cellular Telecommunications - 0.1%
Winstar Communications, Inc.:
308,172 Series D, convertible, 7.00% ........... 20,069,702
27,740 Series F, convertible, 7.25% ........... 31,346,200
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Total Preferred Stock (cost $53,537,521) ................... 51,415,902
--------------------------------------------------------------------------------
Short-Term Corporate Note - 0.1%
Deutsche Bank A.G.
$ 50,000,000 6.03%, 5/17/00
(amortized cost $49,866,000) ........... 49,866,000
--------------------------------------------------------------------------------
Time Deposit - 0.7%
Societe Generale, New York
305,500,000 5.93%, 5/1/00 (cost $305,500,000) ...... 305,500,000
--------------------------------------------------------------------------------
U.S. Government Agencies - 3.6%
Fannie Mae:
$ 75,000,000 5.91%, 8/17/00 ......................... $ 73,593,750
200,000,000 6.06%, 8/21/00 ......................... 196,110,000
Federal Home Loan Bank System:
200,000,000 5.89%-5.94%, 6/30/00 ................... 197,980,000
100,000,000 5.95%, 7/10/00 ......................... 98,802,000
100,000,000 5.93%, 7/24/00 ......................... 98,562,000
200,000,000 5.97%, 7/25/00 ......................... 197,090,000
100,000,000 5.94%, 8/1/00 .......................... 98,402,000
100,000,000 5.97%, 8/7/00 .......................... 98,298,000
50,000,000 5.91%, 8/23/00 ......................... 49,010,000
75,000,000 6.01%, 9/1/00 .......................... 73,395,750
50,000,000 5.97%, 9/7/00 .......................... 48,878,000
100,000,000 5.90%, 9/25/00 ......................... 97,443,000
100,000,000 6.05%, 10/16/00 ........................ 97,069,000
50,000,000 6.03%, 10/25/00 ........................ 48,456,000
75,000,000 5.99%, 11/27/00 ........................ 72,273,750
25,000,000 5.97%, 12/4/00 ......................... 24,047,500
Freddie Mac:
50,000,000 6.05%, 10/6/00 ......................... 48,621,500
50,000,000 6.09%, 10/12/00 ........................ 48,562,500
--------------------------------------------------------------------------------
Total U.S. Government Agencies (cost $1,667,929,583) ....... 1,666,594,750
--------------------------------------------------------------------------------
Total Investments (total cost $30,439,056,885) - 100.6% .... 47,235,979,111
--------------------------------------------------------------------------------
Liabilities, net of Cash, Receivables and Other Assets - (0.6%) (289,241,396)
--------------------------------------------------------------------------------
Net Assets - 100% .......................................... $ 46,946,737,715
--------------------------------------------------------------------------------
Summary of Investments by Country, April 30, 2000
Country % of Investment Securities Market Value
--------------------------------------------------------------------------------
Finland 3.6% $ 1,718,805,414
Japan 2.4% 1,159,805,712
Mexico 0.6% 269,676,485
Spain 1.1% 496,611,475
United Kingdom 3.1% 1,469,817,474
United States++ 89.2% 42,121,262,551
--------------------------------------------------------------------------------
Total 100.0% $ 47,235,979,111
++Includes Short-Term Securities (84.9% excluding Short-Term Securities)
Forward Currency Contracts, Open at April 30, 2000
Currency Sold and Currency Currency Unrealized
Settlement Date Units Sold Value in $ U.S. Gain/(Loss)
--------------------------------------------------------------------------------
Japanese Yen 9/1/00 10,000,000,000 $ 94,647,495 $ (201,754)
Japanese Yen 9/8/00 67,000,000,000 634,982,613 15,188,760
Japanese Yen 9/14/00 35,560,000,000 337,399,971 (815,321)
--------------------------------------------------------------------------------
Total $1,067,030,079 $ 14,171,685
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 5
<PAGE>
Janus | Balanced Fund
[PHOTO]
Karen L. Reidy
portfolio manager
For the six-month period ended April 30, 2000, Janus Balanced Fund gained
10.08%, while the S&P 500 Index returned 7.18% and the Lehman Brothers
Government/Corporate Bond Index rose 1.51%.(1) As the new portfolio manager of
the Fund, I'm pleased to report that these results helped the Fund achieve
top-quartile performance for the 12 months ended April 30, 2000, placing it 61st
out of 461 balanced funds ranked by Lipper, Inc., a leading mutual fund rating
company.(2)
Given the extreme volatility that rocked the financial markets, I'd like to
briefly discuss the challenges we faced and the steps we took to weather the ups
and downs. As is often the case, the volatility was triggered by fears of higher
interest rates. This, in turn, prompted a sell-off in many stocks, especially
toward the end of the period. In the bond markets, investors flocked to
long-term Treasury securities after the U.S. Treasury Department launched a $30
billion debt buyback plan, causing the spread between longer-maturity Treasuries
and corporate bonds to widen. Corporate debt suffered as a result.
Amid this uncertainty, we stayed focused on uncovering companies led by
outstanding management teams committed to growing their top lines and improving
returns on capital. Additionally, we slightly increased our cash position to
take advantage of several compelling opportunities. Finally, because the
Treasury buyback created an atypical environment for bonds, we repositioned the
fixed-income component of the Fund to reflect a more even mix of Treasuries and
corporate debt securities.
Although the market downturn inflicted heavy damage on technology stocks, many
of our holdings in this area, including Texas Instruments and EMC Corp., were
among our top performers. Texas Instruments continued to gain share in the
analog semiconductor market as it solidified its position as the leading maker
of digital signal processors, or DSPs, which power wireless phones. Moreover,
Texas Instruments has unveiled two new DSPs that will supply the speed and power
needed for personal wireless multimedia Internet devices currently in
development. EMC is the preeminent maker of memory storage and retrieval systems
for large mainframe computers. The company recently introduced a host of new
products to attack the middle market and support network-attached storage, which
enables servers to have their own, rather than a shared, storage unit, allowing
users to access data more quickly and efficiently. As EMC and Texas Instruments
continue to pioneer new leading-edge technology, we remain extremely optimistic
about their prospects going forward.
Enron Corporation was another standout performer. The world's largest energy
trader, Enron is well positioned to leverage the ongoing deregulation of power
markets in the U.S. and overseas. But it's Enron's focus on another fast-growing
area - broadband telecommunications - that we are particularly enthusiastic
about. The company is building a global broadband network using its existing
interstate gas pipeline as a platform for carrying data from one point to
another at very high speeds. We think the potential for these services is
enormous, and, as a
Portfolio Profile April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Equities 39.8% 36.9%
Fixed-Income Securities
U.S. Government Obligations 15.6% 11.3%
Investment-Grade
Corporate Bonds 21.7% 17.7%
High-Yield/High-Risk
Corporate Bonds 6.9% 19.5%
Preferred Stock 5.7% 12.4%
Top 10 Equities/Preferred
(% of Assets) 18.5% 23.4%
Number of Stocks 60 53
Cash & Cash Equivalents 10.3% 2.2%
--------------------------------------------------------------------------------
Top 5 Industries April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Diversified Financial Services 5.1% --
Cable Television 4.8% 13.7%
Telecommunication Services 4.7% 5.0%
Cellular Telecommunications 4.0% 1.0%
Diversified Operations 3.5% 3.4%
--------------------------------------------------------------------------------
Top 10 Equity/Preferred Holdings April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
General Electric Co. 3.2% 0.5%
Reliant Energy, Inc., convertible, 7.00%
(Time Warner, Inc.) 3.1% 6.9%
EMC Corp. 2.2% --
Nokia Oyj 2.0% 0.8%
Automatic Data Processing, Inc. 1.4% 1.0%
Texas Instruments, Inc. 1.4% 0.7%
AT&T Corp./Liberty Media Group - Class A 1.4% 0.5%
Comcast Corp., convertible, 2.00%
(Sprint Corp./PCS Group) 1.3% --
Comcast Corp. - Special Class A 1.3% 1.6%
Telefonica S.A 1.2% --
--------------------------------------------------------------------------------
(1) All returns include reinvested dividends.
(2) Lipper, Inc. defines a balanced fund as "a fund whose primary objective is
to conserve principal by maintaining at all times a balanced fund of both
stocks and bonds. Typically the stock/bond ratio ranges around 60%/40%." As
of April 30, 2000, Janus Balanced Fund ranked 3/235 for the 5-year period.
The ranking is based on total return, including reinvestment of dividends
and capital gains for the stated period.
Past performance does not guarantee future results.
6 Janus Equity Funds / April 30, 2000
<PAGE>
result, believe the value of Enron's broadband assets could ultimately exceed
that of its market-making operations in natural gas and electricity. Therefore,
we expect the company to reward us with exceptional results well into the
future.
While we were pleased with the Fund's overall performance, working against us
was radio company Infinity Broadcasting Corporation, which declined on investor
perceptions that the radio industry could not sustain its rapid rate of growth.
Additionally, a pullback in advertising spending by the so-called "dot-com"
companies, while amounting to a small percentage of revenues, disproportionately
affected results. Cable operator Comcast Corporation was also a disappointment.
Despite company fundamentals that have never been better, Comcast declined as
cable stocks across the board fell out of favor. Nevertheless, our rigorous
research has led us to conclude that these downturns are temporary, and we
therefore elected to hold both positions.
Looking forward, we expect the recent market volatility to persist as long as
the economy shows few signs of slowing. Of course, under these circumstances
many investors are inclined to stay close to their computer screens in order to
monitor daily market fluctuations. We, on the other hand, believe this is the
perfect time to get out there and beat the bushes - paying a research visit to
our companies, attending a user's conference or an industry forum - to bolster
our confidence in our holdings and reaffirm our reasons for investing.
Thank you for your investment in Janus Balanced Fund.
Performance Overview
[GRAPHIC OMITTED]
A graphic comparison of the change in value of a hypothetical $10,000 investment
in Janus Balanced Fund, the S&P 500 Index and the Lehman Brothers
Government/Corporate Bond Index. Janus Balanced Fund is represented by a shaded
area of green. The S&P 500 Index is represented by a solid black line. The
Lehman Brothers Government/Corporate Bond Index is represented by a solid gray
line. The "y" axis reflects the value of the investment. The "x" axis reflects
the computation periods from inception, September 1, 1992, through April 30,
2000 . The upper and lower right quadrants reflect the ending value of the
hypothetical investment in Janus Balanced Fund, ($36,202) as compared to the S&P
500 Index ($41,255) and the Lehman Brothers Government/Corporate Bond Index
($16,023).
Average Annual Total Return
for the periods ended April 30, 2000
One Year, 12.89%
Five Year, 22.05%
Since 9/1/92*, 18.29%
Janus Balanced Fund - $36,202
S&P 500 Index - $41,255
Lehman Brothers
Government/Corporate
Bond Index - $16,023
*The Fund's inception date.
Source - Lipper, Inc. 2000.
Past performance does not guarantee future results. Investment return and
principal value will fluctuate so that shares, when redeemed, may be worth more
or less than their original cost. All returns reflect reinvested dividends. The
Fund's portfolio may differ significantly from the securities in the Index. The
Index is unmanaged and therefore does not reflect the cost of portfolio
management or trading.
This Fund's returns may have been positively impacted by buying technology
companies in a period favorable for these stocks.
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Common Stock - 39.8%
Agricultural Biotechnology - 0.6%
538,825 Pharmacia Corp. .......................... $ 26,907,573
Audio and Video Products - 0.2%
150,240 Gemstar International Group, Ltd.* ....... 6,948,600
Brewery - 0.1%
85,750 Anheuser-Busch Companies, Inc. ........... 6,050,734
Broadcast Services and Programming - 1.4%
1,141,785 AT&T Corp./Liberty Media Group - Class A* 57,017,888
Cable Television - 1.3%
1,328,287 Comcast Corp. - Special Class A* ......... 53,214,498
Cellular Telecommunications - 1.3%
99,700 Nextel Communications, Inc. - Class A* ... 10,910,919
665,660 Sprint Corp./PCS Group* .................. 36,611,300
152,980 Vodafone AirTouch PLC (ADR)** ............ 7,190,060
54,712,279
Chemicals - Diversified - 1.0%
2,206,660 Lyondell Chemical Co. .................... 40,547,377
Chemicals - Specialty - 0.2%
206,415 Praxair, Inc. ............................ 9,172,566
Circuits - 1.3%
433,100 Linear Technology Corp. .................. 24,740,837
430,980 Maxim Integrated Products, Inc.* ......... 27,932,891
52,673,728
Commercial Services - 0.5%
408,497 Paychex, Inc. ............................ $ 21,497,155
Computer Data Security - 0.7%
211,670 VeriSign, Inc.* .......................... 29,501,506
Computers - Memory Devices - 2.6%
655,715 EMC Corp.* ............................... 91,103,403
179,520 VERITAS Software Corp.* .................. 19,256,325
110,359,728
Computers - Micro - 0.9%
409,000 Sun Microsystems, Inc.* .................. 37,602,438
Cruise Lines - 0.4%
758,741 Royal Caribbean Cruises, Ltd. ............ 15,791,297
Data Processing and Management - 1.4%
1,086,550 Automatic Data Processing, Inc. .......... 58,469,972
Distribution and Wholesale - 0.4%
320,770 Costco Wholesale Corp.* .................. 17,341,628
Diversified Financial Services - 1.2%
905,095 Associates First Capital Corp. - Class A . 20,081,795
531,200 Citigroup, Inc. .......................... 31,573,200
51,654,995
Diversified Operations - 3.2%
851,540 General Electric Co. ..................... 133,904,665
Electronic Components - Semiconductors - 1.4%
350,465 Texas Instruments, Inc. .................. 57,081,987
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 7
<PAGE>
Janus | Balanced Fund
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Enterprise Software and Services - 1.0%
512,305 Oracle Corp.* ............................ $ 40,952,381
Fiber Optics - 0.6%
130,705 Corning, Inc. ............................ 25,814,238
Finance - Credit Card - 1.0%
283,480 American Express Co. ..................... 42,539,718
Finance - Investment Bankers/Brokers - 0.8%
766,905 Charles Schwab Corp. ..................... 34,127,273
Identification Systems and Devices - 0.7%
554,377 Symbol Technologies, Inc. ................ 30,906,517
Internet Content - 0.4%
140,970 DoubleClick, Inc.* ....................... 10,696,099
44,170 Network Solutions, Inc.* ................. 6,537,160
17,233,259
Internet Software - 0.6%
401,965 America Online, Inc.* .................... 24,042,532
Life and Health Insurance - 0.9%
2,406,830 Prudential PLC** ......................... 37,262,899
Medical - Biomedical and Genetic - 0.6%
229,920 Genentech, Inc.* ......................... 26,900,640
Medical - Drugs - 0.9%
296,970 King Pharmaceuticals, Inc.* .............. 14,662,894
511,550 Pfizer, Inc. ............................. 21,549,044
36,211,938
Money Center Banks - 0.3%
394,725 Bank of New York Company, Inc. ........... 16,208,395
Multi-Line Insurance - 0.3%
106,940 American International Group, Inc. ....... 11,729,981
Multimedia - 1.1%
868,730 Viacom, Inc. - Class B* .................. 47,237,194
Networking Products - 1.2%
702,925 Cisco Systems, Inc.* ..................... 48,732,472
Optical Supplies - 0.2%
176,035 Allergan, Inc. ........................... 10,364,061
Pipelines - 0.6%
354,030 Enron Corp. .............................. 24,671,466
Radio - 1.6%
330,385 Hispanic Broadcasting Corp.* ............. 33,389,534
934,725 Infinity Broadcasting Corp. - Class A* ... 31,722,230
65,111,764
Retail - Building Products - 0.8%
601,641 Home Depot, Inc. ......................... 33,729,499
Retail - Discount - 1.0%
724,870 Wal-Mart Stores, Inc. .................... 40,139,676
Retail - Office Supplies - 0.5%
1,139,190 Staples, Inc.* ................. 21,715,809
Telecommunication Equipment - 2.0%
143,312 Nokia Oyj ................................ 8,240,431
1,296,204 Nokia Oyj (ADR) .......................... 73,721,603
81,962,034
Telecommunication Services - 0.6%
198,895 Cox Communications, Inc. - Class A* ...... 8,515,192
715,185 McLeodUSA, Inc. - Class A* ............... 17,879,625
26,394,817
Telephone - Integrated - 1.2%
2,188,369 Telefonica S.A.* ......................... $ 48,816,876
31,270 Telefonica S.A. (ADR)* ................... 2,071,638
50,888,514
Television - 0.8%
317,242 Univision Communications, Inc. - Class A* 34,658,689
--------------------------------------------------------------------------------
Total Common Stock (cost $1,310,834,534) ................... 1,669,986,380
--------------------------------------------------------------------------------
Corporate Bonds - 27.6%
Beverages - Non-Alcoholic - 0.6%
Coca-Cola Enterprises, Inc.:
$ 3,550,000 6.625%, notes, due 8/1/04 .............. 3,430,187
24,000,000 7.125%, notes, due 9/30/09 ............. 23,160,000
26,590,187
Brewery - 0.1%
Anheuser-Busch Companies, Inc.:
4,000,000 6.90%, notes, due 10/1/02 .............. 3,950,000
1,000,000 5.75%, notes, due 4/1/10 ............... 867,500
4,817,500
Broadcast Services and Programming - 0.9%
39,200,000 AT&T Corp./Liberty Media Group, 7.875%
bonds, due 7/15/09 ..................... 37,485,000
Cable Television - 1.4%
11,980,000 Adelphia Communications Corp., 10.50%
senior notes, due 7/15/04 .............. 12,054,875
1,500,000 Century Communications Corp., 8.875%
senior notes, due 1/15/07 .............. 1,387,500
CSC Holdings, Inc.:
8,000,000 8.125%, senior notes, due 7/15/09 ...... 7,580,000
11,200,000 8.125%, debentures, due 8/15/09 ........ 10,584,000
6,000,000 FrontierVision Holdings L.P., 11.00%
senior subordinated notes, due 10/15/06 6,120,000
11,905,000 Jones Intercable, Inc., 7.625%
senior notes, due 4/15/08 .............. 11,473,444
9,062,000 Telewest Communications PLC, 9.875%
senior notes, due 2/1/10**,+ ........... 8,880,760
58,080,579
Cellular Telecommunications - 2.7%
Nextel Communications, Inc.:
13,850,000 4.75%, convertible senior notes
due 7/1/07 ............................. 33,638,187
46,529,000 9.375%, senior notes, due 11/15/09 ..... 44,435,195
3,300,000 Orange PLC, 9.00%
senior notes, due 6/1/09** ............. 3,382,500
33,000,000 VoiceStream Wireless Corp., 10.375%
senior notes, due 11/15/09+ ............ 33,495,000
114,950,882
Chemicals - Diversified - 1.8%
E.I. du Pont de Nemours and Co.:
550,000 6.50%, notes, due 9/1/02 ............... 539,000
40,000,000 6.75%, notes, due 10/15/04 ............. 39,100,000
15,850,000 6.875%, notes, due 10/15/09 ............ 15,216,000
21,786,000 Lyondell Chemical Co., 9.625%
secured notes, due 5/1/07 .............. 21,486,442
76,341,442
Computers - Memory Devices - 0.6%
13,960,000 EMC Corp., 6.00%
convertible subordinated notes
due 5/15/04 ............................ 23,034,000
See Notes to Schedules of Investments.
8 Janus Equity Funds / April 30, 2000
<PAGE>
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Computers - Micro - 1.0%
IBM Corp.:
$ 4,000,000 6.375%, notes, due 6/15/00 ............. $ 4,000,000
2,000,000 5.375%, notes, due 2/1/09 .............. 1,740,000
Sun Microsystems, Inc.:
7,500,000 7.00%, senior notes, due 8/15/02 ....... 7,406,250
29,100,000 7.65%, senior notes, due 8/15/09 ....... 28,772,625
41,918,875
Diversified Financial Services - 3.9%
General Electric Capital Corp.:
38,850,000 7.00%, notes, due 3/1/02 ............... 38,607,188
38,850,000 7.00%, notes, due 2/3/03 ............... 38,461,500
22,200,000 7.25%, notes, due 5/3/04 ............... 22,061,250
24,700,000 7.25%, notes, due 2/1/05 ............... 24,607,375
20,000,000 7.375%, notes, due 1/19/10 ............. 20,025,000
20,400,000 IBM Credit Corp., 7.00%
notes, due 1/28/02 ..................... 20,272,500
164,034,813
Diversified Operations - 0.3%
14,450,000 Tyco International Group S.A., 6.875%
notes, due 9/5/02+ ..................... 14,179,063
Enterprise Software and Services - 0.6%
8,232,000 BEA Systems, Inc., 4.00%
convertible subordinated notes
due 12/15/06+ .......................... 12,677,280
6,267,000 i2 Technologies, Inc., 5.25%
convertible subordinated notes
due 12/15/06+ .......................... 11,656,620
24,333,900
Fiber Optics - 0.2%
8,000,000 Metromedia Fiber Network, Inc., 10.00%
senior notes, due 12/15/09 ............. 7,620,000
Finance - Auto Loans - 1.7%
Ford Motor Credit Corp.:
45,000,000 7.25%, notes, due 1/15/03 .............. 44,606,250
27,550,000 7.75%, notes, due 2/15/07 .............. 27,722,188
72,328,438
Finance - Credit Card - 0.5%
18,800,000 American Express Co., 6.75%
senior unsubordinated notes, due 6/23/04 18,283,000
Finance - Investment Bankers/Brokers - 0.3%
14,200,000 Charles Schwab Corp., 8.05%
senior notes, due 3/1/10 ............... 14,217,750
Food - Retail - 0.3%
10,000,000 Fred Meyer, Inc., 7.45%
company guaranteed notes, due 3/1/08 ... 9,375,000
5,500,000 Safeway, Inc., 6.50%
notes, due 11/15/08 .................... 4,950,000
14,325,000
Internet Software - 0.5%
3,634,000 Exodus Communications, Inc., 11.25%
senior notes, due 7/1/08 ............... 3,679,425
18,200,000 PSINet, Inc., 11.00%
senior notes, due 8/1/09 ............... 16,016,000
19,695,425
Life and Health Insurance - 0.1%
4,500,000 SunAmerica, Inc., 6.75%
notes, due 10/1/07 ..................... 4,308,750
Medical - Drugs - 0.1%
$ 4,000,000 Warner-Lambert Co., 6.00%
notes, due 1/15/08 ..................... $ 3,690,000
Multimedia - 1.4%
17,550,000 Paramount Communications, Inc., 7.50%
debentures, due 7/15/23 ................ 15,707,250
12,500,000 Time Warner, Inc., 8.11%
notes, due 8/15/06 ..................... 12,609,375
25,650,000 Viacom, Inc., 7.75%
senior notes, due 6/1/05 ............... 25,425,563
3,400,000 Walt Disney Co., 6.375%
senior notes, due 3/30/01 .............. 3,370,250
57,112,438
Pipelines - 0.3%
13,400,000 Enron Corp., 6.58%
floating quarterly notes, due 9/10/01+ . 13,377,220
Radio - 0.6%
17,966,000 Clear Channel Communications, Inc.
2.625%, convertible senior notes
due 4/1/03 ............................. 22,906,650
Retail - Building Products - 0.8%
36,700,000 Home Depot, Inc., 6.50%
senior notes, due 9/15/04 .............. 35,415,500
Retail - Discount - 1.6%
Wal-Mart Stores, Inc.:
26,500,000 6.15%, senior notes, due 8/10/01 ....... 26,168,750
15,000,000 6.55%, senior notes, due 8/10/04 ....... 14,587,500
28,700,000 6.875%, senior notes, due 8/10/09 ...... 27,659,625
68,415,875
Super-Regional Banks - 0.7%
22,000,000 Firstar Bank N.A., 7.125%
subordinated notes, due 12/1/09 ........ 20,790,000
8,800,000 Northern Trust Corp., 7.10%
subordinated notes, due 8/1/09 ......... 8,371,000
29,161,000
Telecommunication Equipment - 0.5%
21,800,000 Lucent Technologies, Inc., 5.50%
notes, due 11/15/08 .................... 19,347,500
Telecommunication Services - 3.1%
Cox Communications, Inc.:
21,700,000 7.00%, notes, due 8/15/01 .............. 21,428,750
29,200,000 7.50%, notes, due 8/15/04 .............. 28,652,500
13,000,000 7.75%, notes, due 8/15/06 .............. 12,772,500
14,500,000 7.875%, notes, due 8/15/09 ............. 14,010,625
9,319,000 Galaxy Telecom L.P., 12.375%
senior subordinated notes, due 10/1/05 ... 8,853,050
NTL, Inc.:
12,046,000 7.00%, convertible subordinated notes
due 12/15/08 ........................... 24,363,035
22,000,000 9.75%, senior notes, due 4/15/09 ....... 19,450,464
129,530,924
Telephone - Long Distance - 1.0%
45,900,000 AT&T Corp., 6.00%
notes, due 3/15/09 ..................... 40,908,375
--------------------------------------------------------------------------------
Total Corporate Bonds (cost $1,154,978,507) ................ 1,156,410,086
--------------------------------------------------------------------------------
Foreign Bonds - 1.0%
Cable Television - 0.4%
GBP 7,794,000 Telewest Communications PLC, 5.25%
convertible bonds, due 2/19/07**,+ ..... 15,976,827
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 9
<PAGE>
Janus | Balanced Fund
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Finance - Other Services - 0.2%
EUR 6,900,000 Ono Finance PLC, 13.00%
company guaranteed notes, due 5/1/09+ .. $ 6,319,070
Telecommunication Services - 0.4%
EUR 9,126,000 COLT Telecom Group PLC, 2.00%
convertible bonds, due 3/29/06+ ........ 18,399,319
--------------------------------------------------------------------------------
Total Foreign Bonds (cost $29,490,732) ..................... 40,695,216
--------------------------------------------------------------------------------
Preferred Stock - 5.7%
Cable Television - 1.7%
541,505 Comcast Corp., convertible, 2.00%
(Sprint Corp./PCS Group) ............... 56,316,520
157,025 MediaOne Group, Inc., convertible, 6.25% . 15,712,314
72,028,834
Electric - Integrated - 3.1%
877,814 Reliant Energy, Inc., convertible, 7.00%
(Time Warner, Inc.) .................... 129,971,335
Internet Software - 0.3%
322,275 PSINet, Inc., convertible, 7.00%+ ........ 10,111,378
Telecommunication Services - 0.6%
437,500 Cox Communications, Inc.
convertible, 7.00% ..................... 25,265,625
--------------------------------------------------------------------------------
Total Preferred Stock (cost $210,912,504) .................. 237,377,172
--------------------------------------------------------------------------------
Warrants - 0%
Finance - Other Services - 0%
6,900 Ono Finance PLC - expires 5/31/09*,+
(cost $0) .............................. 880,268
--------------------------------------------------------------------------------
U.S. Government Obligations - 15.6%
U.S. Government Agencies - 2.0%
Fannie Mae:
$ 40,700,000 6.25%, due 11/15/02 .................... 39,803,786
16,150,000 5.75%, due 4/15/03 ..................... 15,517,243
Federal Home Loan Bank System
18,300,000 6.75%, due 2/1/02 ...................... 18,185,625
Freddie Mac
12,700,000 7.00%, notes, due 3/15/10 .............. 12,425,934
85,932,588
U.S. Treasury Notes - 13.6%
144,900,000 5.875%, due 11/30/01 ................... 143,123,526
220,765,000 5.875%, due 11/15/04 ................... 214,848,498
216,950,000 6.00%, due 8/15/09 ..................... 212,114,185
570,086,209
--------------------------------------------------------------------------------
Total U.S. Government Obligations (cost $668,507,056) ...... 656,018,797
--------------------------------------------------------------------------------
Repurchase Agreement - 1.5%
$ 64,100,000 ABN AMRO Securities, Inc., 5.90% dated
4/28/00, maturing 5/1/00, to be
repurchased at $64,131,516
collateralized by $29,553,354 in Fannie
Mae, 6.00%- 7.1562%, 12/25/08-2/25/30;
$6,466,456 in Federal Home Loan Bank
System, 6.74%, 7/6/09; $24,891,197 in
Freddie Mac, 6.00%-7.7775%,
12/15/07-12/15/28; $14,866,382 in Ginnie
Mae, 6.40%-7.50%, 4/20/22-2/16/30; with
respective values of $24,665,680,
$6,254,585, $21,538,876 and $12,922,860
(cost $64,100,000) ..................... $ 64,100,000
--------------------------------------------------------------------------------
Short-Term Corporate Note - 3.6%
UBS Financial Corp.
150,000,000 6.04%, 5/1/00
(amortized cost $150,000,000) .......... 150,000,000
--------------------------------------------------------------------------------
U.S. Government Agencies - 4.7%
Federal Home Loan Bank System:
50,000,000 5.65%, 5/15/00 ......................... 49,890,139
50,000,000 5.68%, 5/31/00 ......................... 49,758,750
50,000,000 5.64%, 6/15/00 ......................... 49,647,500
50,000,000 5.80%, 7/11/00 ......................... 49,392,500
--------------------------------------------------------------------------------
Total U.S. Government Agencies (cost $198,724,444) ......... 198,688,889
--------------------------------------------------------------------------------
Total Investments - (total cost $3,787,547,777) - 99.5% .... 4,174,156,808
--------------------------------------------------------------------------------
Cash, Receivables and Other Assets, net of Liabilities - 0.5% 22,368,604
--------------------------------------------------------------------------------
Net Assets - 100% .......................................... $ 4,196,525,412
--------------------------------------------------------------------------------
Summary of Investments by Country, April 30, 2000
Country % of Investment Securities Market Value
--------------------------------------------------------------------------------
Bermuda 0.3% $ 14,179,063
Finland 2.0% 81,962,034
Spain 1.2% 50,888,514
United Kingdom 2.4% 98,291,703
United States++ 94.1% 3,928,835,494
--------------------------------------------------------------------------------
Total 100.0% $ 4,174,156,808
++Includes Short-Term Securities (84.2% excluding Short-Term Securities)
Forward Currency Contracts, Open at April 30, 2000
Currency Sold and Currency Currency Unrealized
Settlement Date Units Sold Value in $ U.S. Gain/(Loss)
--------------------------------------------------------------------------------
British Pound 9/22/00 12,100,000 $ 18,825,180 $ 450,423
British Pound 10/5/00 7,200,000 11,204,640 190,080
--------------------------------------------------------------------------------
Total $ 30,029,820 $ 640,503
See Notes to Schedules of Investments.
10 Janus Equity Funds / April 30, 2000
<PAGE>
Janus | Enterprise Fund
[PHOTO]
James Goff
portfolio manager
Our strong performance in fiscal 1999 carried into 2000, allowing Janus
Enterprise Fund to return 33.56% for the six-month period ended April 30, 2000,
while our benchmark, the S&P MidCap 400 Index, gained 21.26%.(1) This
performance placed Janus Enterprise Fund in the top quartile of its peer group
for the 12 months ended April 30, 2000, ranking 69th of 372 multi-cap growth
funds tracked by Lipper, Inc., a leading mutual fund rating company.(2)
I've often said that we perform best when earnings growth is scarce, and that
was certainly the case in the waning months of 1999 as investors continued to
reward a select core of fast-growing companies in some of the market's most
dynamic segments. By the end of the period, however, the tide had turned, and
economically sensitive or cyclical stocks - an area we generally try to avoid -
surged as investor confidence in the "new economy" wavered. The relative
outperformance of cyclical stocks in March and early April partially masked an
extremely difficult market by supporting the "old economy" components of widely
reported benchmarks such as the MidCap 400, while other stocks dropped
dramatically. At the same time, intense volatility returned as markets grappled
with the uncertain interest rate environment and profit-taking in several
high-profile segments. In fact, from the March high to the April low, the median
Nasdaq stock corrected by 50%.
Throughout this challenging period, our company-by-company approach continued to
identify investments capable of performing well regardless of the market's
overall tone. One example was Network Solutions, which plays a vital role in the
infrastructure of the Internet by acting as a wholesaler for Internet addresses.
The company was purchased by Internet security leader and fellow Fund holding
VeriSign at a substantial premium during the period. We were encouraged by the
deal but not surprised. Network Solutions could be described as one of the
Internet sector's value companies and, unlike many of its Web-related peers, has
been earnings- and cash flow-positive for quite awhile. It was only a matter of
time before a suitor swept up the company on favorable terms. At the same time,
the deal is also a positive development for VeriSign. By combining the world
leader in Internet security solutions with the company that provides virtually
all Internet domain names, the merger promises to create an Internet
verification and e-payment juggernaut that will play a central role in nearly
all future e-commerce initiatives.
We've also sought to take advantage of growth in the wireless business. The
number of cellular subscribers worldwide grew more than 50% in 1999, and we look
for penetration rates to accelerate as wireless data gains momentum. We are
participating through our positions in cellular service companies, such as
PowerTel, VoiceStream and Western Wireless, and tower operators American Tower
and Crown Castle. These companies reported outstanding growth during the
quarter, and investors responded by bidding the shares higher.
Unfortunately, not all of our positions contributed to performance. Our media
holdings slipped on concerns
(continued on next page)
Portfolio Profile April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Equities 97.5% 95.0%
Foreign 5.2% 4.2%
Top 10 Equities (% of Assets) 31.8% 37.7%
Number of Stocks 76 55
Cash, Cash Equivalents &
Fixed-Income Securities 2.5% 5.0%
--------------------------------------------------------------------------------
Top 5 Industries April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Telecommunication Services 10.9% 9.1%
Internet Content 8.4% 2.6%
Electronic Components -
Semiconductors 7.5% 6.6%
Cellular Telecommunications 7.5% 11.6%
Radio 7.4% 9.8%
--------------------------------------------------------------------------------
Top 10 Equity Holdings April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Paychex, Inc. 4.5% 5.0%
AMFM, Inc. 4.1% 2.2%
Inktomi Corp. 3.8% --
Metromedia Fiber Network, Inc. - Class A 3.8% 3.0%
McLeodUSA, Inc. - Class A 3.2% 3.5%
Sepracor, Inc. 2.9% 1.6%
Network Solutions, Inc. 2.6% --
SDL, Inc. 2.6% 4.8%
Vitesse Semiconductor Corp. 2.2% 3.8%
Priceline.com, Inc. 2.1% --
--------------------------------------------------------------------------------
(1) Both returns include reinvested dividends.
(2) Lipper, Inc. defines a multi-cap growth fund as one that "invests in a
variety of market capitalization ranges, without concentrating 75% of their
equity assets in any one market capitalization range over an extended
period of time. Multi-cap funds will generally have between 25% to 75% of
their assets invested in companies with market capitalizations (on a
three-year weighted basis) above 300% of the dollar-weighted median market
capitalization of the S&P Mid-Cap 400 Index. Multi-cap growth funds
normally invest in companies with long-term earnings expected to grow
significantly faster than the earnings of the stocks represented in a major
unmanaged stock index. These funds will normally have an above-average
price-to-earnings ratio, price-to-book ratio, and three-year earnings
growth figure, compared to the U.S. diversified multi-cap equity funds
universe average." As of April 30, 2000, Janus Enterprise Fund ranked
15/160 for the 5-year period. The ranking is based on total return,
including reinvestment of dividends and capital gains for the stated
period.
Past performance does not guarantee future results.
Janus Equity Funds / April 30, 2000 11
<PAGE>
that the Federal Reserve's efforts to cool the economy would result in reduced
advertising expenditures. Furthermore, questions surrounding the sustainability
of recent increases in "dot-com" ad spending also pressured our holdings.
However, excluding revenues stemming from Internet company advertising, our
holdings' revenue growth increased by 18% on average, and their cash flow
increased an impressive 40% on average, making us extremely optimistic about our
holdings' prospects.
Looking forward, the market's recent volatility may indeed continue. The key to
surviving such periods of uncertainty, however, is staying focused on the
fundamentals - finding ways to sort out the tennis balls from the eggs.
Ultimately, investors will be attracted to companies with rapid earnings growth
and superior profitability regardless of an occasional and sometimes violent
rotation between the stocks of the so-called "old" and "new" economies. We will
remain steadfast in our strategy of investing only in companies capable of
providing 20%-plus earnings growth over a three- to five-year horizon, no matter
which direction the market turns in the short term. We will look for that growth
across the entire market, always looking beyond labels assigned by the
investment community and popular media. Meanwhile, we will continue to meet the
people who run our companies face-to-face, always leveraging the in-depth
information that has allowed us to invest with confidence for so many years.
Thank you for your investment in Janus Enterprise Fund.
Performance Overview
[GRAPHIC OMITTED]
A graphic comparison of the change in value of a hypothetical $10,000 investment
in Janus Enterprise Fund and the S&P MidCap 400 Index. Janus Enterprise Fund is
represented by a shaded area of green. The S&P MidCap 400 Index is represented
by a solid black line. The "y" axis reflects the value of the investment. The
"x" axis reflects the computation periods from inception, September 1, 1992,
through April 30, 2000. The upper and lower right quadrants reflect the ending
value of the hypothetical investment in Janus Enterprise Fund ($74,398) as
compared to the S&P MidCap 400 Index ($38,192).
Average Annual Total Return
for the periods ended April 30, 2000
One Year, 73.00%
Five Year, 35.75%
Since 9/1/92*, 29.95%
Janus Enterprise Fund - $74,398
S&P MidCap 400 Index - $38,192
*The Fund's inception date.
Source - Lipper, Inc. 2000.
Past performance does not guarantee future results. Investment return and
principal value will fluctuate so that shares, when redeemed, may be worth more
or less than their original cost. All returns reflect reinvested dividends. The
Fund's portfolio may differ significantly from the securities in the Index. The
Index is unmanaged and therefore does not reflect the cost of portfolio
management or trading.
This Fund's returns may have been positively impacted by buying technology
companies in a period favorable for these stocks.
The performance figures above reflect the exceptional performance of the stock
market in 1999. Investors should maintain realistic expectations for future
performance and, most importantly, should note that the recent market volatility
is not reflected in these figures.
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Common Stock - 97.5%
Advertising Sales - 1.4%
2,484,600 Lamar Advertising Co.* ................... $ 109,477,688
Advertising Services - 1.8%
2,175,765 TMP Worldwide, Inc.* ..................... 142,240,637
Applications Software - 0.1%
316,590 TenFold Corp.* ........................... 8,092,832
Cable Television - 0.2%
1,196,660 Mediacom Communications Corp.* ........... 14,808,668
Cellular Telecommunications - 7.5%
3,608,705 Crown Castle International Corp.* ........ 138,484,054
600,190 Millicom International Cellular S.A.* .... 32,110,165
1,211,305 Powertel, Inc.* .......................... 81,460,261
1,054,473 Telesystem International Wireless, Inc.* . 34,872,516
1,300,256 VoiceStream Wireless Corp.* .............. 128,725,344
3,199,550 Western Wireless Corp. - Class A* ........ 158,977,641
574,629,981
Circuit Boards - 0.4%
1,897,550 Viasystems Group, Inc.* .................. 30,242,203
Circuits - 2.2%
2,458,355 Vitesse Semiconductor Corp.* ............. 167,321,787
Commercial Services - 4.5%
6,628,554 Paychex, Inc. ............................ 348,827,654
Computer Data Security - 1.5%
850,995 VeriSign, Inc.* .......................... $ 118,607,428
Computer Software - 1.0%
1,609,726 Portal Software, Inc.* ................... 73,846,180
Computers - Integrated Systems - 1.2%
744,445 Brocade Communications Systems, Inc.* .... 92,311,180
Drug Delivery Systems - 1.7%
497,295 Alkermes, Inc.* .......................... 26,480,959
2,056,920 Andrx Corp.* ............................. 105,288,593
131,769,552
E-Commerce - 3.4%
642,165 eBay, Inc.* .............................. 102,224,641
2,571,480 Priceline.com, Inc.* ..................... 162,646,110
264,870,751
Electronic Components - Semiconductors - 7.5%
1,148,990 Applied Micro Circuits Corp.* ............ 148,076,086
353,700 Cree, Inc.* .............................. 51,463,350
1,981,125 Intersil Holding Corp.* .................. 69,339,375
1,511,120 TriQuint Semiconductor, Inc.* ............ 155,362,025
2,057,670 Xilinx, Inc.* ............................ 150,724,328
574,965,164
Fiber Optics - 7.1%
9,408,600 Metromedia Fiber Network, Inc. - Class A* 290,490,525
824,005 MRV Communications, Inc.* ................ 56,804,845
1,007,550 SDL, Inc.* ............................... 196,472,250
543,767,620
See Notes to Schedules of Investments.
12 Janus Equity Funds / April 30, 2000
<PAGE>
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Finance - Investment Bankers/Brokers - 0.2%
595,175 E*TRADE Group, Inc.* ..................... $ 12,796,262
Internet Content - 8.4%
1,905,200 DoubleClick, Inc.* ....................... 144,557,050
1,895,530 Inktomi Corp.* ........................... 291,793,149
1,352,580 Network Solutions, Inc.* ................. 200,181,840
636,532,039
Internet Software - 4.7%
269,470 Digex, Inc.* ............................. 21,018,660
1,563,010 Exodus Communications, Inc.* ............. 138,228,697
1,493,715 Liberate Technologies, Inc.* ............. 58,441,599
6,253,350 PSINet, Inc.* ............................ 144,999,553
362,688,509
Medical - Biomedical and Genetic - 4.8%
877,140 CuraGen Corp.* ........................... 23,353,852
799,960 Human Genome Sciences, Inc.* ............. 61,246,938
329,870 Incyte Pharmaceuticals, Inc.* ............ 25,399,990
95,860 Incyte Pharmaceuticals, Inc.*,ss.,+ ...... 6,919,894
763,970 Maxygen, Inc.* ........................... 31,943,496
1,486,625 Millennium Pharmaceuticals, Inc.* ........ 118,000,859
1,250,945 PE Corp./Celera Genomics Group* .......... 103,202,962
370,067,991
Medical - Drugs - 5.3%
1,682,560 King Pharmaceuticals, Inc.*,# ............ 83,076,400
646,128 MedImmune, Inc.* ......................... 103,340,097
2,446,410 Sepracor, Inc.* .......................... 225,069,720
411,486,217
Medical Products - 0.9%
561,405 MiniMed, Inc.* ........................... 69,017,727
Music/Clubs - 1.0%
1,894,055 SFX Entertainment, Inc.* ................. 78,840,039
Oil - Field Services - 0.2%
224,200 Hanover Compressor Co.* .................. 13,059,650
Radio - 7.4%
4,692,300 AMFM, Inc.* .............................. 311,451,413
1,115,620 Citadel Communications Corp.* ............ 43,578,906
531,440 Cox Radio, Inc. - Class A*,# ............. 38,529,400
1,175,655 Entercom Communications Corp.* ........... 49,965,338
1,243,870 Hispanic Broadcasting Corp.* ............. 125,708,612
19,235 Radio One, Inc.* ......................... 1,115,630
570,349,299
Real Estate Investment Trusts - 0.7%
936,840 Pinnacle Holdings, Inc.* ................. 52,638,698
Resorts and Theme Parks - 1.1%
4,068,140 Premier Parks, Inc.* ..................... 87,719,269
Retail - Drug Store - 0.5%
972,330 CVS Corp. ................................ 42,296,355
Satellite Telecommunications - 0.3%
752,410 Adaptive Broadband Corp.* ................ 24,453,325
Schools - 1.3%
3,402,341 Apollo Group, Inc. - Class A* ............ 98,667,889
Telecommunication Equipment - 0.6%
729,295 Efficient Networks, Inc.* ................ 47,951,146
Telecommunication Services - 10.9%
3,771,935 AT&T Canada, Inc.* ....................... $ 160,778,729
2,631,165 Clearnet Communications, Inc. - Class A* . 112,811,199
796,745 Level 3 Communications, Inc.* ............ 70,910,305
9,941,640 McLeodUSA, Inc. - Class A* ............... 248,541,000
824,360 MGC Communications, Inc.* ................ 40,393,640
1,813,467 Microcell Telecommunications, Inc.* ...... 63,244,662
760,810 Net2Phone, Inc.* ......................... 33,570,741
1,321,642 NTL, Inc.* ............................... 101,105,613
831,355,889
Telephone - Integrated - 0.9%
847,895 NEXTLINK Communications, Inc. - Class A* . 71,488,147
Television - 0.7%
526,405 Univision Communications, Inc. - Class A* 57,509,746
Therapeutics - 2.9%
1,590,750 Abgenix, Inc.* ........................... 142,471,547
1,449,535 Medarex, Inc.* ........................... 76,825,355
219,296,902
Wireless Equipment - 3.2%
2,996,380 American Tower Corp.* .................... 139,331,670
1,180,260 Netro Corp.* ............................. 50,898,713
530,070 RF Micro Devices, Inc.* .................. 55,160,409
245,390,792
--------------------------------------------------------------------------------
Total Common Stock (cost $6,690,271,239) ................... 7,499,385,216
--------------------------------------------------------------------------------
Corporate Bonds - 0.8%
Drug Delivery Systems - 0.2%
$ 25,000,000 Alkermes, Inc., 3.75%
convertible subordinated notes
due 2/15/07+ ........................... 14,031,250
Finance - Investment Bankers/Brokers - 0.6%
44,243,000 E*TRADE Group, Inc., 6.00%
convertible subordinated notes
due 2/1/07+ ............................ 48,224,870
--------------------------------------------------------------------------------
Total Corporate Bonds (cost $69,515,766) ................... 62,256,120
--------------------------------------------------------------------------------
Short-Term Corporate Note - 1.1%
Household Finance Corp.
87,500,000 6.00%, 5/1/00
(amortized cost $87,500,000) ........... 87,500,000
--------------------------------------------------------------------------------
U.S. Government Agency - 0.4%
Federal Home Loan Bank System
30,000,000 5.87%, 9/7/00 (cost $29,368,975) ....... 29,326,800
--------------------------------------------------------------------------------
Total Investments (total cost $6,876,655,980) - 99.8% ...... 7,678,468,136
--------------------------------------------------------------------------------
Cash, Receivables and Other Assets, net of Liabilities - 0.2% 13,517,096
--------------------------------------------------------------------------------
Net Assets - 100% ............................................ $ 7,691,985,232
--------------------------------------------------------------------------------
Summary of Investments by Country, April 30, 2000
Country % of Investment Securities Market Value
--------------------------------------------------------------------------------
Canada 4.8% $ 371,707,106
Luxembourg 0.4% 32,110,165
United States++ 94.8% 7,274,650,865
--------------------------------------------------------------------------------
Total 100.0% $ 7,678,468,136
++Includes Short-Term Securities (93.2% excluding Short-Term Securities)
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 13
<PAGE>
Janus | Equity Income Fund
[PHOTO]
Karen L. Reidy
portfolio manager
In my first letter to you as portfolio manager of Janus Equity Income Fund, I'm
pleased to report that for the six months ended April 30, 2000, the Fund gained
14.66%, outpacing the S&P 500 Index, which returned 7.18%.(1)
To put our performance into context, I'd like to discuss the sharp market swings
that characterized the period and how our hands-on stock-picking approach helped
us successfully navigate the extreme volatility. Not surprisingly, the almost
daily fluctuations were fueled in large part by fears that interest rates were
headed higher. As a result, stock prices across the board declined. In the midst
of such turbulence, the natural reaction of many investors is to stay close to
their computer screens in order to buy and sell quickly. But we know this is the
best time to hit the road to meet with our companies, attend a business
conference or participate in an industry forum. The information we glean from
these trips reassures us that our companies are still compelling investments.
That description certainly fits EMC Corp., the leading maker of memory storage
and retrieval systems for large mainframe computers. Over the past decade, EMC
has carved out a dominant position in the market for enterprise storage systems,
which allow network-connected customers to manage, protect and share information
quickly and reliably. Additionally, the advent of the World Wide Web, which
every day produces more information that must be properly stored, has opened up
exciting new opportunities for EMC. For example, the company recently introduced
a host of innovative products to attack the midsize market and support
Internet-based storage networks. Consequently, as the Internet has continued to
expand, so have EMC's earnings growth and cash flow. For these reasons, we
remain extremely optimistic about EMC's prospects going forward.
Another company with a reputation for pushing the innovation envelope is Texas
Instruments, one of the Fund's top performers. Texas Instruments is the leading
manufacturer of digital signal processors, or DSPs, that serve as the engines
for wireless phones. That said, the company has not only benefited tremendously
from the explosive growth in cellular phone usage but is also poised to take
advantage of new applications for DSPs. For instance, Texas Instruments recently
introduced two DSPs that will provide the speed and power needed for personal
wireless multimedia Internet appliances. As Texas Instruments continues to
pioneer new leading-edge technology, we expect the company to reward us with
exceptional results.
Amid the volatility, our convertible preferred stock position in Reliant Energy,
which converts to Time Warner stock, allowed us to participate in the company's
upside and, at the same time, provided a degree of downside protection. The
impending merger of Time Warner and America Online will supply Time Warner,
owner of a vast media library of television programs, movies and publications,
with a ready-made audience of America Online's more than 20 million subscribers.
In addition, AOL will be able to tap Time Warner's highly prized broadband cable
lines. Given these positive factors, we are confident
Portfolio Profile April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Equities 69.3% 57.0%
Fixed-Income Securities
Investment-Grade
Corporate Bonds 2.1% 1.8%
High-Yield/High-Risk
Corporate Bonds 6.6% 14.3%
Preferred Stock 7.8% 21.8%
Top 10 Equities/Preferred
(% of Assets) 31.1% 35.3%
Number of Stocks 58 51
Cash & Cash Equivalents 14.2% 5.1%
--------------------------------------------------------------------------------
Top 5 Industries April 30, 2000 October 31,1999
--------------------------------------------------------------------------------
Computers - Memory Devices 5.7% --
Cable Television 5.1% 12.1%
Pipelines 4.9% 2.3%
Diversified Operations 4.9% 2.0%
Telecommunication Equipment 4.5% 2.7%
--------------------------------------------------------------------------------
Top 10 Equity/Preferred Holdings April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
General Electric Co. 4.9% 0.9%
Nokia Oyj 4.5% 1.5%
EMC Corp. 3.5% --
Enron Corp. 3.4% 2.3%
Reliant Energy, Inc., convertible, 7.00%
(Time Warner, Inc.) 3.3% 9.4%
AT&T Corp./Liberty Media Group - Class A 2.4% 1.2%
Univision Communications, Inc. - Class A 2.4% 2.9%
Cisco Systems, Inc. 2.3% 1.9%
American Express Co. 2.2% 2.7%
Texas Instruments, Inc. 2.2% 0.7%
--------------------------------------------------------------------------------
(1) Both returns include reinvested dividends.
Past performance does not guarantee future results.
14 Janus Equity Funds / April 30, 2000
<PAGE>
the marriage of these two powerful brand-name franchises will create new and
rapidly growing revenue streams. As such, our position in Reliant Energy stands
to benefit.
Among our disappointments was cable operator Comcast Corporation, which fell
victim to a far-reaching downturn in cable stocks. However, fundamentals at
Comcast have never been better, and we believe cash flow growth will accelerate
in 2001, drawing investors back to the name. American Express was another weak
performer. Although one of a handful of financial stocks that showed healthy
appreciation last year, the company declined on the perception it was
unreasonably valued compared to its peers. Nevertheless, American Express has
been accelerating revenue growth by expanding its travel-related services and
rapidly growing its population of charge-account holders. Accordingly, we viewed
the short-term dip as a buying opportunity.
Going forward, we will remain unwaveringly focused on finding companies with
top-notch managements, superior top line and earnings growth, and accelerating
cash flow as experience has shown that businesses with these qualities are able
to perform in any market environment.
Thank you for your investment in Janus Equity Income Fund.
Performance Overview
[GRAPHIC OMITTED]
A graphic comparison of the change in value of a hypothetical $10,000 investment
in Janus Equity Income Fund and the S&P 500 Index. Janus Equity Income Fund is
represented by a shaded area of green. The S&P 500 Index is represented by a
solid black line. The "y" axis reflects the value of the investment. The "x"
axis reflects the computation periods from inception, June 28, 1996, through
April 30, 2000. The upper right quadrant reflects the ending value of the
hypothetical investment in Janus Equity Income Fund ($29,481) as compared to the
S&P 500 Index ($22,997).
Average Annual Total Return
for the periods ended April 30, 2000
One Year, 19.26%
Since 6/28/96*, 32.54%
Janus Equity Income Fund - $29,481
S&P 500 Index - $22,997
*The Fund's inception date.
Source - Lipper, Inc. 2000.
Past performance does not guarantee future results. Investment return and
principal value will fluctuate so that shares, when redeemed, may be worth more
or less than their original cost. All returns reflect reinvested dividends. The
Fund's portfolio may differ significantly from the securities in the Index. The
Index is unmanaged and therefore does not reflect the cost of portfolio
management or trading.
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Common Stock - 69.3%
Agricultural Biotechnology - 0.6%
136,830 Pharmacia Corp. .......................... $ 6,832,948
Brewery - 0.9%
134,610 Anheuser-Busch Companies, Inc. ........... 9,498,418
Broadcast Services and Programming - 2.4%
530,965 AT&T Corp./Liberty Media Group - Class A* 26,515,065
Cable Television - 1.8%
496,788 Comcast Corp. - Special Class A* ......... 19,902,569
Cellular Telecommunications - 0.9%
49,835 Nextel Communications, Inc. - Class A* ... 5,453,818
99,445 Vodafone AirTouch PLC (ADR)** ............ 4,673,915
10,127,733
Chemicals - Diversified - 0.9%
518,605 Lyondell Chemical Co. .................... 9,529,367
Chemicals - Specialty - 0.7%
179,400 Praxair, Inc. ............................ 7,972,087
Circuits - 3.0%
310,670 Linear Technology Corp. .................. 17,747,024
223,250 Maxim Integrated Products, Inc.* ......... 14,469,391
32,216,415
Commercial Services - 0.8%
170,165 Paychex, Inc. ............................ 8,954,933
Computer Data Security - 0.6%
44,955 VeriSign, Inc.* .......................... $ 6,265,603
Computers - Memory Devices - 4.4%
271,700 EMC Corp.* ............................... 37,749,319
95,340 VERITAS Software Corp.* .................. 10,226,705
47,976,024
Cruise Lines - 0.5%
244,034 Royal Caribbean Cruises, Ltd. ............ 5,078,958
Data Processing and Management - 2.2%
443,030 Automatic Data Processing, Inc. .......... 23,840,552
Distribution and Wholesale - 1.0%
204,425 Costco Wholesale Corp.* .................. 11,051,727
Diversified Financial Services - 2.0%
435,845 Associates First Capital Corp. - Class A . 9,670,311
204,675 Citigroup, Inc. .......................... 12,165,370
21,835,681
Diversified Operations - 4.9%
336,260 General Electric Co. ..................... 52,876,885
Electronic Components - Semiconductors - 2.2%
146,455 Texas Instruments, Inc. .................. 23,853,858
Enterprise Software and Services - 1.0%
137,455 Oracle Corp.* ............................ 10,987,809
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 15
<PAGE>
Janus | Equity Income Fund
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Fiber Optics - 0.9%
48,355 Corning, Inc. ............................ $ 9,550,112
Finance - Credit Card - 2.2%
162,340 American Express Co. ..................... 24,361,146
Finance - Investment Bankers/Brokers - 1.0%
233,514 Charles Schwab Corp. ..................... 10,391,373
Identification Systems and Devices - 1.2%
235,057 Symbol Technologies, Inc. ................ 13,104,428
Internet Content - 0.9%
82,410 DoubleClick, Inc.* ....................... 6,252,859
21,620 Network Solutions, Inc.* ................. 3,199,760
9,452,619
Internet Software - 0.6%
116,245 America Online, Inc.* .................... 6,952,904
Life and Health Insurance - 1.7%
1,225,877 Prudential PLC** ......................... 18,979,210
Medical - Biomedical and Genetic - 0.6%
58,110 Genentech, Inc.* ......................... 6,798,870
Medical - Drugs - 0.5%
126,905 Pfizer, Inc. ............................. 5,345,873
Money Center Banks - 0.6%
170,460 Bank of New York Company, Inc. ........... 6,999,514
Multi-Line Insurance - 0.7%
68,215 American International Group, Inc. ....... 7,482,333
Multimedia - 1.5%
297,675 Viacom, Inc. - Class B* .................. 16,186,078
Networking Products - 2.3%
355,628 Cisco Systems, Inc.* ..................... 24,655,022
Optical Supplies - 0.9%
157,210 Allergan, Inc. ........................... 9,255,739
Pipelines - 4.9%
388,655 El Paso Energy Corp. ..................... 16,517,837
529,430 Enron Corp. .............................. 36,894,653
53,412,490
Printing - Commercial - 0.4%
112,030 Valassis Communications, Inc.* ........... 3,816,022
Radio - 3.0%
172,585 Hispanic Broadcasting Corp.* ............. 17,441,872
433,935 Infinity Broadcasting Corp. - Class A* ... 14,726,669
32,168,541
Retail - Building Products - 2.0%
379,990 Home Depot, Inc. ......................... 21,303,189
Retail - Discount - 1.9%
369,480 Wal-Mart Stores, Inc. .................... 20,459,955
Retail - Office Supplies - 0.5%
274,220 Staples, Inc.* ........................... 5,227,319
Telecommunication Equipment - 4.5%
111,520 Nokia Oyj ................................ 6,412,393
735,368 Nokia Oyj (ADR) .......................... 41,824,055
48,236,448
Telecommunication Services - 1.8%
118,900 Cox Communications, Inc. - Class A* ...... 5,090,406
558,810 McLeodUSA, Inc. - Class A* ............... 13,970,250
19,060,656
Telephone - Integrated - 1.5%
705,981 Telefonica S.A.* ......................... $ 15,748,618
9,865 Telefonica S.A. (ADR)* ................... 653,556
16,402,174
Television - 2.4%
232,928 Univision Communications, Inc. - Class A* 25,447,384
--------------------------------------------------------------------------------
Total Common Stock (cost $577,348,246) ..................... 750,366,031
--------------------------------------------------------------------------------
Corporate Bonds - 7.8%
Advertising Agencies - 0.1%
$ 293,000 Omnicom Group, Inc., 4.25%
convertible subordinated debentures
due 1/3/07 ............................. 847,136
Cellular Telecommunications - 2.9%
Nextel Communications, Inc.:
2,445,000 4.75%, convertible senior notes, due 7/1/07 5,938,294
9,514,000 9.375%, senior notes, due 11/15/09 ..... 9,085,870
9,789,000 5.25%, convertible senior notes
due 1/15/10+ ........................... 9,544,275
6,277,000 VoiceStream Wireless Corp., 10.375%
senior notes, due 11/15/09+ ............ 6,371,155
30,939,594
Computers - Memory Devices - 1.3%
8,704,000 EMC Corp., 6.00%
convertible subordinated notes
due 5/15/04 ............................ 14,361,600
Enterprise Software and Services - 1.1%
2,468,000 BEA Systems, Inc., 4.00%
convertible subordinated notes
due 12/15/06+ .......................... 3,800,720
4,476,000 i2 Technologies, Inc., 5.25%
convertible subordinated notes
due 12/15/06+ .......................... 8,325,360
12,126,080
Fiber Optics - 0.2%
2,371,000 Metromedia Fiber Network, Inc., 10.00%
senior notes, due 12/15/09 ............. 2,258,377
Internet Software - 0.5%
6,065,000 PSINet, Inc., 11.00%
senior notes, due 8/1/09 ............... 5,337,200
Radio - 0.7%
6,211,000 Clear Channel Communications, Inc., 2.625%
convertible senior notes, due 4/1/03 ... 7,919,025
Telecommunication Services - 1.0%
5,177,000 NTL, Inc., 7.00%
convertible subordinated notes
due 12/15/08 ........................... 10,470,482
--------------------------------------------------------------------------------
Total Corporate Bonds (cost $79,869,363) .................. 84,259,494
--------------------------------------------------------------------------------
Foreign Bond - 0.9%
Cable Television - 0.9%
GBP 4,652,000 Telewest Communications PLC, 5.25%
convertible bonds, due 2/19/07**,+
(cost $7,283,495) ...................... 9,536,079
--------------------------------------------------------------------------------
Preferred Stock - 7.8%
Automotive - Cars and Light Trucks - 0.7%
3,235 Porsche A.G .............................. 8,047,759
See Notes to Schedules of Investments.
16 Janus Equity Funds / April 30, 2000
<PAGE>
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Cable Television - 2.4%
210,490 Comcast Corp.
convertible, 2.00%
(Sprint Corp./PCS Group) ............... $ 21,890,960
41,335 MediaOne Group, Inc.
convertible, 6.25% ..................... 4,136,083
26,027,043
Electric - Integrated - 3.3%
241,950 Reliant Energy, Inc.
convertible, 7.00% (Time Warner, Inc.) . 35,823,722
Internet Software - 0.2%
56,170 PSINet, Inc.
convertible, 7.00%+ .................... 1,762,334
Telecommunication Services - 1.2%
221,000 Cox Communications, Inc.
convertible, 7.00% ..................... 12,762,750
--------------------------------------------------------------------------------
Total Preferred Stock (cost $75,635,045) ................... 84,423,608
--------------------------------------------------------------------------------
Repurchase Agreement - 1.5%
$ 16,500,000 ABN AMRO Securities, Inc., 5.90% dated
4/28/00, maturing 5/1/00, to be
repurchased at $16,508,113
collateralized by $7,607,338 in Fannie
Mae, 6.00%- 7.1562%, 12/25/08-2/25/30;
$1,664,532 in Federal Home Loan Bank
System, 6.74%, 7/6/09; $6,407,250 in
Freddie Mac, 6.00%-7.7775%,
12/15/07-12/15/28; $3,826,760 in Ginnie
Mae, 6.40%-7.50%, 4/20/22-2/16/30; with
respective values of $6,349,200,
$1,609,994, $5,544,328 and $3,326,478
(cost $16,500,000) ..................... 16,500,000
--------------------------------------------------------------------------------
Short-Term Corporate Note - 4.6%
Household Finance Corp.
50,000,000 6.00%, 5/1/00
(amortized cost $50,000,000) ........... 50,000,000
--------------------------------------------------------------------------------
U.S. Government Agencies - 7.3%
Federal Home Loan Bank System
20,000,000 5.89%, 6/30/00 ......................... 19,798,000
Freddie Mac
60,000,000 6.02%, 7/6/00 .......................... 59,322,000
--------------------------------------------------------------------------------
Total U.S. Government Agencies (cost $79,141,466) .......... 79,120,000
--------------------------------------------------------------------------------
Total Investments (total cost $885,777,615) - 99.2% ........ 1,074,205,212
--------------------------------------------------------------------------------
Cash, Receivables and Other Assets, net of Liabilities - 0.8% 8,052,484
--------------------------------------------------------------------------------
Net Assets - 100% .......................................... $ 1,082,257,696
--------------------------------------------------------------------------------
Summary of Investments by Country, April 30, 2000
Country % of Investment Securities Market Value
--------------------------------------------------------------------------------
Finland 4.5% $ 48,236,448
Germany 0.8% 8,047,759
Spain 1.5% 16,402,174
United Kingdom 3.1% 33,189,204
United States++ 90.1% 968,329,627
--------------------------------------------------------------------------------
Total 100.0% $ 1,074,205,212
++Includes Short-Term Securities (76.6% excluding Short-Term Securities)
Forward Currency Contracts, Open at April 30, 2000
Currency Sold and Currency Currency Unrealized
Settlement Date Units Sold Value in $ U.S. Gain/(Loss)
--------------------------------------------------------------------------------
British Pound 9/22/00 5,700,000 $ 8,868,060 $ 212,183
British Pound 10/5/00 600,000 933,720 15,840
--------------------------------------------------------------------------------
Total $ 9,801,780 $ 228,023
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 17
<PAGE>
Janus | Global Life Sciences Fund (closed to new investors)
[PHOTO]
Thomas Malley
portfolio manager
I'm pleased to report that Janus Global Life Sciences Fund gained 43.86% during
the six months ended April 30, 2000, easily outpacing the 7.18% gain of its
benchmark, the S&P 500 Index.(1)
The Fund weathered a dramatic increase in volatility to finish the period
higher. Biotechnology stocks, which as a group are notorious for their sometimes
erratic price movements, have never faced a more volatile period. The overnight
popularity of many previously obscure biotech companies caused a profound shift
in the biotechnology investor base away from sophisticated and scientifically
savvy investors toward momentum players in search of quick profits. A biotech
rally that began in November continued until early March, when President Clinton
suggested the results of mapping the human genome should not be patented
gene-by-gene but should instead be made public. Within weeks, the Nasdaq
Biotechnology Index had lost more than 40% of its value as noncore investors
fled the sector. While our holdings in companies such as Incyte Pharmaceuticals
and Protein Design Labs were caught in the downdraft, our focus on only the
highest-quality opportunities provided us with a measure of protection against
the sector's extreme volatility. Indeed, many of our companies have since
recovered much of the ground they lost during March and April's retreat, and we
continue to have confidence in their long-term prospects.
While the volatility has been challenging, we believe much of the value created
in the life sciences arena in the next five years will be generated by
biotechnology companies. For that reason, biotech will remain an area of focus
for the Fund. Like all fast-growing and technology-intense businesses, investing
in biotech requires a detailed understanding of the science behind the
headlines. Developing first-hand knowledge of each individual holding is
absolutely critical. We will continue to invest in biotech as long as our
in-depth research continues to find compelling individual opportunities in the
sector.
On the opposite end of the spectrum lie large-cap pharmaceutical companies such
as Pfizer and Pharmacia, both of which gained during the period. These companies
have become something of a "safe haven" from the industry's wild swings and
followed an opposite path from biotechnology, falling during the early months of
the period as a result of regulatory uncertainty and a perceived slowdown in
research pipelines before rebounding strongly in March. We are encouraged by the
heightened attention investors are paying to this area and have increased our
exposure to select large-cap pharmaceutical companies we feel have outstanding
growth prospects.
Meanwhile, generic drug maker Andrx, one of the Fund's largest positions, gained
substantially following tentative FDA approval for its generic version of
Astra-Zeneca's anti-ulcer treatment Prilosec - currently the world's
best-selling prescription drug. Andrx continued to perform extremely well on a
fundamental basis as well. The company's first-quarter results showed a
dramatic, 130%-plus increase in net income and significant margin expansion,
which underscored our confidence.
Our position in medical transcription specialist MedQuist was yet another
standout. The company, which converts medical dictation and other records
Portfolio Profile April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Equities 70.8% 82.6%
Foreign 11.7% 11.0%
Top 10 Equities (% of Assets) 24.9% 47.0%
Number of Stocks 68 39
Cash & Cash Equivalents 29.2% 17.4%
--------------------------------------------------------------------------------
Top 5 Industries April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Medical - Drugs 25.6% 13.3%
Therapeutics 13.0% 19.9%
Medical - Biomedical and Genetic 10.7% 26.5%
Drug Delivery Systems 3.6% --
Agricultural Biotechnology 2.6% --
--------------------------------------------------------------------------------
Top 10 Equity Holdings April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Andrx Corp. 3.1% --
Pfizer, Inc. 3.0% 1.0%
Sepracor, Inc. 2.8% --
Pharmacia Corp. 2.6% --
Allergan, Inc. 2.6% 5.1%
ImClone Systems, Inc. 2.4% --
American Home Products Corp. 2.3% --
Biovail Corp. - New York Shares 2.1% --
QLT PhotoTherapeutics, Inc.
- New York Shares 2.0% 9.8%
Invitrogen Corp. 2.0% 1.4%
--------------------------------------------------------------------------------
(1) Both returns include reinvested dividends.
Past performance does not guarantee future results.
18 Janus Equity Funds / April 30, 2000
<PAGE>
into a digital format that vastly improves medical back-office efficiency,
gained nicely after reporting 50%-plus growth in operating earnings in its most
recently completed quarter. Because MedQuist enjoys a dominant market share,
steady growth and stable cash flows, we are enthusiastic about its prospects -
particularly as the outsourcing of medical office administration continues to
gain momentum.
While we were pleased with our performance in such an uncertain market, there
were disappointments. In addition to the biotech sector's extreme volatility, a
general decline in sentiment surrounding healthcare-related information
technology companies worked against several of our holdings. Eclipsys, a leading
provider of software and IT solutions for hospitals, declined sharply after
announcing plans to merge with Internet healthcare company Neopharma in a deal
that some Eclipsys investors believed placed the interests of Neopharma's
shareholders above their own. While we still believe in Eclipsys' long-term
growth potential, we have chosen to focus our investment elsewhere and traded
out of the position at a loss.
Looking forward, interest rate uncertainty and profit-taking in select segments
of the market will likely keep equity markets weak in coming months. However, we
will continue to focus on companies with solid long-term growth potential
regardless of what the market has in store for the remainder of the year. And,
as always, we will continue to look for that growth in companies that are
actively developing the products and procedures that cure disease and improve
human health.
Thank you for your confidence and investment in Janus Global Life Sciences Fund.
Performance Overview
[GRAPHIC OMITTED]
A graphic comparison of the change in value of a hypothetical $10,000 investment
in Janus Global Life Sciences Fund and the S&P 500 Index. Janus Global Life
Sciences Fund is represented by a shaded area of green. The S&P 500 Index is
represented by a solid black line. The "y" axis reflects the value of the
investment. The "x" axis reflects the computation periods from inception,
December 31, 1998, through April 30, 2000. The lower right quadrant reflects the
ending value of the hypothetical investment in Janus Global Life Sciences Fund
($17,220) as compared to the S&P 500 Index ($12,008).
Average Annual Total Return
for the periods ended April 30, 2000
One Year, 67.35%
Since 12/31/98*, 50.53%
Janus Global Life Sciences Fund - $17,220
S&P 500 Index - $12,008
*The Fund's inception date
Source - Lipper, Inc. 2000.
Past performance does not guarantee future results. Investment return and
principal value will fluctuate so that shares, when redeemed, may be worth more
or less than their original cost. All returns reflect reinvested dividends. The
Fund's portfolio may differ significantly from the securities in the Index. The
Index is unmanaged and therefore does not reflect the cost of portfolio
management or trading.
This Fund's returns may have been positively impacted by buying technology
companies in a period favorable for these stocks.
The performance figures above reflect the exceptional performance of the stock
market in 1999. Investors should maintain realistic expectations for future
performance and, most importantly, should note that the recent market volatility
is not reflected in these figures.
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Common Stock - 70.8%
Agricultural Biotechnology - 2.6%
1,725,025 Pharmacia Corp. .......................... $ 86,143,436
Chemicals - Specialty - 0.7%
684,120 Symyx Technologies, Inc.* ................ 22,704,232
Commercial Services - 0.1%
180,000 eBenX, Inc.* ............................. 2,955,938
Cosmetics and Toiletries - 1.6%
884,775 Colgate-Palmolive Co. .................... 50,542,772
Diagnostic Equipment - 0.4%
269,560 Cytyc Corp.* ............................. 12,062,810
Drug Delivery Systems - 3.6%
1,957,700 Andrx Corp.* ............................. 100,209,769
386,515 Emisphere Technologies, Inc.* ............ 15,865,233
116,075,002
Health Care Cost Containment - 1.9%
1,791,170 MedQuist, Inc.* .......................... 63,474,587
Instruments - Scientific - 1.5%
793,830 PE Corp./PE Biosystems Group ............. $ 47,629,800
Internet Software - 0.4%
2,000,000 e-MedSoft.com*,ss.,+ ..................... 14,410,000
Medical - Biomedical and Genetic - 10.7%
846,770 Alexion Pharmaceuticals, Inc.*,# ......... 37,787,111
1,282,840 ArQule, Inc.*,# .......................... 15,153,548
720,000 Cellegy Pharmaceuticals, Inc.*,ss.,+,# ... 4,843,800
220,745 Genentech, Inc.* ......................... 25,827,165
1,277,010 Immunomedics, Inc.* ...................... 18,516,645
749,375 Immunomedics, Inc.*,ss.,+ ................ 9,670,684
411,415 Incyte Pharmaceuticals, Inc.* ............ 31,678,955
1,051,915 Invitrogen Corp.*,# ...................... 65,613,198
538,700 Maxim Pharmaceuticals, Inc.* ............. 20,874,625
742,995 Oxford GlycoSciences PLC*,** ............. 18,747,547
482,500 Protein Design Labs, Inc.* ............... 48,973,750
100,210 QIAGEN N.V ............................... 14,542,976
1,514,130 Ribozyme Pharmaceuticals, Inc.*,# ........ 37,096,185
349,326,189
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 19
<PAGE>
Janus | Global Life Sciences Fund
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Medical - Drugs - 25.6%
884,925 Abbott Laboratories ...................... $ 34,014,305
1,314,710 American Home Products Corp. ............. 73,870,268
317,934 Angiotech Pharmaceuticals, Inc.* ......... 9,763,378
4,784 Ares-Serono Group - Class B** ............ 14,723,422
766,765 AstraZeneca Group PLC (ADR)** ............ 32,299,976
1,462,390 Biovail Corp. - New York Shares* ......... 69,737,723
1,050,160 Celgene Corp.* ........................... 49,423,155
726,200 CIMA Labs, Inc.*,# ....................... 10,166,800
1,068,895 DUSA Pharmaceuticals, Inc. ...............
- New York Shares*,# ................... 17,636,767
496,145 Eli Lilly and Co. ........................ 38,358,210
412,345 Forest Laboratories, Inc.* ............... 34,662,752
545,810 Glaxo Wellcome PLC (ADR)** ............... 34,283,691
412,100 IntraBiotics Pharmaceuticals, Inc.* ...... 4,790,662
232,065 MedImmune, Inc.* ......................... 37,115,896
491,180 Merck & Co., Inc. ........................ 34,137,010
928,460 OSI Pharmaceuticals, Inc.* ............... 12,708,296
1,000,000 OSI Pharmaceuticals, Inc.*,ss.,+ ......... 12,318,750
2,347,915 Pfizer, Inc. ............................. 98,905,919
430,335 Priority Healthcare Corp.* ............... 23,829,801
983,735 Sepracor, Inc.* .......................... 90,503,620
2,747,066 Shire Pharmaceuticals Group PLC*,** ...... 39,160,327
21,315,712 SkyePharma PLC*,** ....................... 33,354,826
447,000 Takeda Chemical Industries, Ltd.** ....... 29,408,010
835,173,564
Medical Information Systems - 1.3%
683,550 Allscripts, Inc.* ........................ 21,190,050
1,000,000 Healtheon/WebMD Corp.*,ss.,+ ............. 19,693,440
40,883,490
Medical Instruments - 1.0%
636,560 Medtronic, Inc. .......................... 33,061,335
Medical Products - 2.5%
900,000 HemaSure, Inc.*,ss.,+,# .................. 5,146,875
445,385 Johnson & Johnson ........................ 36,744,263
315,360 MiniMed, Inc.* ........................... 38,769,570
80,660,708
Optical Supplies - 2.6%
1,459,880 Allergan, Inc. ........................... 85,950,435
Research and Development - 1.0%
899,050 Aurora Biosciences Corp.*,ss.,+,# ........ 31,612,846
Therapeutics - 13.0%
267,740 Abgenix, Inc.* ........................... 23,979,464
519,555 CV Therapeutics, Inc.* ................... 20,717,256
1,768,045 ILEX Oncology, Inc.*,# ................... 42,433,080
853,080 ImClone Systems, Inc.* ................... 77,630,280
742,000 NaPro BioTherapeutics, Inc.* ............. 4,359,250
874,385 Neurogen Corp.*,# ........................ 25,575,761
850,000 NPS Pharmaceuticals, Inc.*,ss.,+,# ....... 10,718,500
496,820 Pharmacyclics, Inc. ...................... 22,543,207
815,330 Progenics Pharmaceuticals, Inc.*,# ....... 37,505,180
1,190,410 QLT PhotoTherapeutics, Inc. ..............
- New York Shares* ..................... 66,142,156
767,340 Trimeris, Inc.*,# ........................ 26,425,271
400,000 Trimeris, Inc.*,ss.,+ .................... 13,499,500
950,360 United Therapeutics Corp.* ............... 53,695,340
425,224,245
Wireless Equipment - 0.3%
754,565 Data Critical Corp.* ..................... 8,771,818
--------------------------------------------------------------------------------
Total Common Stock (cost $2,399,254,377) ................... 2,306,663,207
--------------------------------------------------------------------------------
U.S. Government Agencies - 26.7%
Fannie Mae:
$ 50,000,000 5.92%, 8/17/00 ......................... $ 49,062,500
50,000,000 6.13%, 9/28/00 ......................... 48,683,350
Federal Home Loan Bank System:
156,600,000 5.88%, 5/1/00 .......................... 156,600,000
50,000,000 5.64%, 6/15/00 ......................... 49,647,500
100,000,000 5.90%, 6/16/00 ......................... 99,246,111
50,000,000 5.75%, 6/19/00 ......................... 49,608,681
50,000,000 5.94%, 6/29/00 ......................... 49,503,000
100,000,000 5.89%, 6/30/00 ......................... 98,990,000
100,000,000 5.95%, 7/24/00 ......................... 98,562,000
50,000,000 5.87%, 9/8/00 .......................... 48,869,500
50,000,000 6.02%, 9/22/00 ......................... 48,748,000
25,000,000 6.05%, 10/16/00 ........................ 24,267,250
Freddie Mac
50,000,000 5.87%, 6/1/00 .......................... 49,747,264
--------------------------------------------------------------------------------
Total U.S. Government Agencies (cost $871,860,361) ......... 871,535,156
--------------------------------------------------------------------------------
Total Investments (total cost $3,271,114,738) - 97.5% ...... 3,178,198,363
--------------------------------------------------------------------------------
Cash, Receivables and Other Assets, net of Liabilities - 2.5% 80,252,068
--------------------------------------------------------------------------------
Net Assets - 100% .......................................... $ 3,258,450,431
--------------------------------------------------------------------------------
Summary of Investments by Country, April 30, 2000
Country % of Investment Securities Market Value
--------------------------------------------------------------------------------
Canada 5.1% $ 163,280,024
Japan 0.9% 29,408,010
Netherlands 0.5% 14,542,976
Switzerland 0.5% 14,723,422
United Kingdom 5.0% 157,846,367
United States++ 88.0% 2,798,397,564
--------------------------------------------------------------------------------
Total 100.0% $ 3,178,198,363
++Includes Short-Term Securities (60.6% excluding Short-Term Securities)
Forward Currency Contracts, Open at April 30, 2000
Currency Sold and Currency Currency Unrealized
Settlement Date Units Sold Value in $ U.S. Gain/(Loss)
--------------------------------------------------------------------------------
British Pound 6/9/00 7,700,000 $ 11,961,950 $ 223,466
British Pound 9/8/00 12,800,000 19,910,400 299,760
British Pound 9/22/00 1,800,000 2,800,440 67,005
Japanese Yen 9/8/00 1,705,000,000 16,158,886 483,969
Swiss Franc 10/5/00 14,000,000 8,251,798 342,432
--------------------------------------------------------------------------------
Total $ 59,083,474 $ 1,416,632
See Notes to Schedules of Investments.
20 Janus Equity Funds / April 30, 2000
<PAGE>
Janus | Global Technology Fund (closed to new investors)
[PHOTO]
Mike Lu
portfolio manager
For the six months ended April 30, 2000, Janus Global Technology Fund gained
55.76% versus the S&P 500 Index's 7.18% gain.(1) This performance earned the
Fund a top-quartile ranking for the year ended April 30, 2000, placing it 23rd
out of 107 science and technology funds tracked by Lipper, Inc., a leading
mutual fund rating company.(2)
The last six months proved challenging in that emotion ruled the day, with the
first three months driven by euphoria and the second three months by fear.
Throughout this challenging period, we remained steadfast in our strategy of
investing in technology enablers - comprised principally of leading or emerging
franchises in the Internet enablement, networking and telecommunications areas.
In fact, little has changed in the Fund's top holdings as our fundamental
research continues to indicate strengthening segment dynamics and business
models.
While we added to nearly all of our top positions during the period, we
significantly increased our holdings in Teradyne and Applied Materials, two
leading producers of machinery needed for semiconductor chip production. Applied
specializes in front-end production equipment, while Teradyne focuses on
back-end equipment. Both are examples of "enabling enablers." In other words,
their products enable chip manufacturers to produce greater quantities of
higher-performance semiconductor components at lower cost, which, in turn, allow
system vendors to improve their time-to-market schedules and to enhance product
offerings. Our ongoing research checks into industry capital expenditure plans,
and the continuing demand-supply disequilibrium gave us the confidence to
increase our stakes in the semiconductor capital equipment sector, a decision
that rewarded the Fund handsomely.
The period's dramatic price swings gave us the opportunity to buy some promising
Asian companies at attractive prices. For example, we initiated a position in
South Korea's Samsung Electronics. Most investors recognize Samsung as a dynamic
random-access memory producer, but that business actually comprises less than a
third of overall revenues. While we believe the demand for volatile and
nonvolatile memory will remain robust, we also like the prospects facing its
burgeoning, yet underappreciated, wireless telecommunications business.
We also initiated a position in Japan's Furukawa Electric, which designs and
produces optical components that increase the capacity of fiber-optic networks.
Through our extensive research into JDS Uniphase, a leading manufacturer of
products for the fiber-optic communications market and one of the Fund's
longtime winners, as well as through our ongoing dialogues with the telecom
carriers, we remain convinced that demand for optical components continues to be
robust. That said, we believe Furukawa will benefit from continued bandwidth
buildouts as carriers struggle to keep up with the data demands created by
booming global Internet use.
Elsewhere, Internet solutions consultant Sapient declined after the company
reported fourth-quarter earnings that disappointed investors who held overly
aggressive expectations. We believe the company's fundamentals are firmly on
track, as evidenced by its strong first-quarter results. The IT consulting space
(continued on next page)
Portfolio Profile April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Equities 88.6% 83.0%
Foreign 31.3% 21.9%
European 11.0% 10.8%
Top 10 Equities (% of Assets) 30.3% 28.9%
Number of Stocks 120 90
Cash, Cash Equivalents &
Fixed-Income Securities 11.4% 17.0%
--------------------------------------------------------------------------------
Top 5 Industries April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Electronic Components -
Semiconductors 13.7% 7.8%
Telecommunication Equipment 8.6% 8.1%
Fiber Optics 8.4% 6.0%
Internet Software 7.5% 5.9%
Telecommunication Services 5.9% 4.8%
--------------------------------------------------------------------------------
Top 10 Equity Holdings April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Nokia Oyj 4.7% 4.3%
JDS Uniphase Corp. 4.0% 4.3%
Teradyne, Inc. 3.2% 1.9%
Texas Instruments, Inc. 3.2% 2.6%
Sun Microsystems, Inc. 3.1% 3.5%
Applied Materials, Inc. 2.6% 2.0%
Cisco Systems, Inc. 2.5% 2.2%
VERITAS Software Corp. 2.5% 3.2%
i2 Technologies, Inc. 2.5% 2.0%
China Telecom, Ltd. (ADR) 2.0% 2.2%
--------------------------------------------------------------------------------
(1) Both returns include reinvested dividends.
(2) Lipper, Inc. defines a science and technology fund as one that "invests 65%
of its equity portfolio in science and technology stocks." The ranking is
based on total return, including reinvestment of dividends and capital
gains for the stated period.
Past performance does not guarantee future results.
Janus Equity Funds / April 30, 2000 21
<PAGE>
is only as scalable as the talent of its consultants, and Sapient remains at the
head of the pack in terms of employee retention. Furthermore, we believe demand
for Sapient's consulting services will persist as the "brick and mortar" firms
worldwide increasingly leverage the Internet and intranets to enhance
productivity and to pursue new revenue opportunities.
In closing, I'd like to thank you for your continued confidence in Janus Global
Technology Fund. The past few months, in particular, have been difficult. But
you should know that through it all we've remained focused on doing what's right
for our shareholders. Whether that means closing the Fund to new investors, as
we did in January, or spending half of our waking hours on the road to uncover
compelling information, your interests govern our actions.
So while market volatility will likely persist for the foreseeable future due to
interest rate concerns, we will not deviate from our long-term-oriented,
diversified approach toward technology investing. We will stay focused on
finding tomorrow's dominant franchises. Sometimes that means uncovering small
emerging companies, but just as often it means singling out the market leaders
that are capable of defending their position. Either way, it means rolling up
our sleeves and getting to know our companies better than anyone. Fortunately,
that's what we love to do.
Thank you again for your investment in Janus Global Technology Fund.
Performance Overview
[GRAPHIC OMITTED]
A graphic comparison of the change in value of a hypothetical $10,000 investment
in Janus Global Technology Fund and the S&P 500 Index. Janus Global Technology
Fund is represented by a shaded area of green. The S&P 500 Index is represented
by a solid black line. The "y" axis reflects the value of the investment. The
"x" axis reflects the computation periods from inception, December 31, 1998,
through April 30, 2000. The upper and lower right quadrants reflect the ending
value of the hypothetical investment in Janus Global Technology Fund ($32,616)
as compared to the S&P 500 Index ($12,008).
Average Annual Total Return
for the periods ended April 30, 2000
One Year, 136.86%
Since 12/31/98*, 143.44%
Janus Global Technology Fund - $32,616
S&P 500 Index - $12,008
*The Fund's inception date
Source - Lipper, Inc. 2000.
Past performance does not guarantee future results. Investment return and
principal value will fluctuate so that shares, when redeemed, may be worth more
or less than their original cost. All returns reflect reinvested dividends. The
Fund's portfolio may differ significantly from the securities in the Index. The
Index is unmanaged and therefore does not reflect the cost of portfolio
management or trading.
This Fund's returns may have been positively impacted by buying technology
companies in a period favorable for these stocks.
The performance figures above reflect the exceptional performance of the stock
market in 1999. Investors should maintain realistic expectations for future
performance and, most importantly, should note that the recent market volatility
is not reflected in these figures.
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Common Stocks - 87.9%
Applications Software - 0.6%
160,000 Adobe Systems, Inc. ...................... $ 19,350,000
524,640 Microsoft Corp.* ......................... 36,593,640
55,943,640
Cable Television - 0.2%
688,494 Le Groupe Videotron ltee ................. 16,542,529
Cellular Telecommunications - 5.4%
1,343,030 China Telecom, Ltd. (ADR)*,** ............ 197,005,713
2,596 NTT DoCoMo, Inc.** ....................... 86,716,234
1,680,000 Sprint Corp./PCS Group* .................. 92,400,000
14,847,721 Vodafone AirTouch PLC .................... 68,300,288
754,665 Vodafone AirTouch PLC (ADR) .............. 35,469,255
473,700 VoiceStream Wireless Corp.* .............. 46,896,300
526,787,790
Circuit Boards - 0.2%
1,387,310 Viasystems Group, Inc.* .................. 22,110,253
Circuits - 0.6%
271,300 Maxim Integrated Products, Inc.* ......... 17,583,631
602,970 Vitesse Semiconductor Corp.* ............. 41,039,646
58,623,277
Commercial Services - 0.5%
2,133,806 MarchFirst, Inc* ......................... 45,476,740
Communications Software - 0.3%
815,380 Puma Technology, Inc.* ................... $ 24,971,012
Computer Data Security - 2.3%
248,302 Baltimore Technologies PLC* .............. 25,111,532
451,540 Check Point Software Technologies, Ltd.* . 78,116,420
869,500 VeriSign, Inc.* .......................... 121,186,562
224,414,514
Computer Services - 1.8%
413,200 Fujitsu Support and Service, Inc.** ...... 61,174,273
1,501,840 Sapient Corp.* ........................... 118,926,955
180,101,228
Computers - Integrated Systems - 1.9%
2,055,000 ASM Lithography Holding N.V.* ............ 82,200,000
500,980 Brocade Communications Systems, Inc.* .... 62,121,520
1,487,000 Fujitsu, Ltd.** .......................... 42,103,763
186,425,283
Computers - Memory Devices - 2.9%
302,530 EMC Corp.* ............................... 42,032,762
2,261,295 VERITAS Software Corp.* .................. 242,559,221
284,591,983
Computers - Micro - 4.3%
280,460 IBM Corp. ................................ 31,306,348
72,550,000 Legend Holdings, Ltd.** .................. 84,295,665
3,270,070 Sun Microsystems, Inc.* .................. 300,642,061
416,244,074
See Notes to Schedules of Investments.
22 Janus Equity Funds / April 30, 2000
<PAGE>
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Distribution and Wholesale - 0.1%
8,816,000 Global Tech Holdings, Ltd.** ............. $ 10,073,510
Diversified Operations - 0.5%
11,466,000 Citic Pacific, Ltd.** .................... 52,553,228
E-Commerce - 0.5%
436,880 Amazon.com, Inc.* ........................ 24,110,315
803,770 PurchasePro.com, Inc.* ................... 24,113,100
48,223,415
Electric Products - 1.5%
538,720 Samsung Electronics ...................... 145,637,446
Electronic Components - 4.4%
130,870 Caliper Technologies Corp.* .............. 4,907,625
1,407,740 Celestica, Inc. - New York Shares* ....... 76,809,814
442,000 Murata Manufacturing Company, Ltd.** ..... 85,887,524
5,020,000 NEC Corp.** .............................. 136,565,050
2,303,210 SCI Systems, Inc.* ....................... 122,645,933
426,815,946
Electronic Components - Semiconductors - 13.7%
400,000 Analog Devices, Inc.* .................... 30,725,000
2,469,000 Applied Materials, Inc.* ................. 251,375,063
699,500 Atmel Corp.* ............................. 34,231,781
211,740 Bookham Technology PLC* .................. 10,062,515
613,350 Chartered Semiconductor
Manufacturing, Ltd. (ADR)* ............. 53,591,456
860,890 Conexant Systems, Inc.* .................. 51,545,789
5,692,123 Hyundai Electronics Industries Co.* ...... 90,276,694
371,700 QLogic Corp.* ............................ 37,286,156
1,389,450 Taiwan Semiconductor Manufacturing
Company, Ltd. (ADR)* ................... 72,685,603
2,854,875 Teradyne, Inc.* .......................... 314,036,250
1,919,945 Texas Instruments, Inc. .................. 312,711,042
1,065,000 Xilinx, Inc.* ............................ 78,011,250
1,336,538,599
Enterprise Software and Services - 4.0%
200,000 BEA Systems, Inc.* ....................... 9,650,000
1,865,980 i2 Technologies, Inc.* ................... 241,177,915
1,011,315 Novell, Inc.* ............................ 19,847,057
1,486,520 Oracle Corp.* ............................ 118,828,692
389,503,664
Entertainment Software - 0.4%
638,860 Electronic Arts, Inc.* ................... 38,651,030
Fiber Optics - 8.2%
504,000 CIENA Corp.* ............................. 62,307,000
431,880 Corning, Inc. ............................ 85,296,300
220,000 E-Tek Dynamics, Inc.* .................... 45,045,000
3,816,500 JDS Uniphase Corp.* ...................... 395,723,344
375,306 Lucent Technologies, Inc. ................ 23,339,342
2,542,740 Metromedia Fiber Network, Inc. - Class A* 78,507,097
602,000 SDL, Inc.* ............................... 117,390,000
807,608,083
Instruments - Scientific - 0.3%
480,000 PE Corp./PE Biosystems Group ............. 28,800,000
Internet Content - 2.9%
567,018 DoubleClick, Inc.* ....................... 43,022,491
1,040,250 Network Solutions, Inc.* ................. 153,957,000
359,400 Softbank Corp.** ......................... 88,681,968
285,661,459
Internet Software - 6.2%
309,260 America Online, Inc.* .................... $ 18,497,614
1,520,640 Exodus Communications, Inc.* ............. 134,481,600
900,120 Icon Medialab International A.B.* ........ 13,673,661
595,000 Inktomi Corp.* ........................... 91,592,812
710,000 Macromedia, Inc.* ........................ 61,770,000
25,754,000 Pacific Century CyberWorks, Ltd.*,** ..... 47,943,743
1,556,500 Portal Software, Inc.* ................... 71,404,437
1,564,950 PSINet, Inc.* ............................ 36,287,278
600,000 TIBCO Software, Inc.* .................... 53,437,500
840,980 Verio, Inc.* ............................. 31,589,311
989,990 Vignette Corp.* .......................... 47,705,143
608,383,099
Life and Health Insurance - 0.3%
2,079,158 Prudential PLC ........................... 32,189,833
Machinery - Electrical - 0.6%
754,100 Nidec Corp.** ............................ 53,380,040
Medical - Biomedical and Genetic - 0.4%
275,000 Affymetrix, Inc.* ........................ 37,142,188
Medical Information Systems - 0.2%
307,510 Healtheon/WebMD Corp.* ................... 6,476,929
600,000 Healtheon/WebMD Corp.*,ss.,+ ............. 11,816,064
18,292,993
Network Software - 0.7%
689,090 Micromuse, Inc.* ......................... 67,616,956
Networking Products - 3.7%
530,620 3Com Corp.* .............................. 20,926,326
3,564,340 Cisco Systems, Inc.* ..................... 247,109,009
337,100 Foundry Networks, Inc.* .................. 30,676,100
850,820 Network Appliance, Inc.* ................. 62,907,504
361,618,939
Petrochemicals - 0.1%
395,396 Reliance Industries, Ltd.+ ............... 10,141,907
Pipelines - 1.0%
1,430,190 Enron Corp. .............................. 99,666,366
Satellite Telecommunications - 0.8%
1,820,000 Adaptive Broadband Corp.*,# .............. 59,150,000
362,820 EchoStar Communications Corp.* ........... 23,107,099
82,257,099
Telecommunication Equipment - 8.6%
360,000 Comverse Technology, Inc.* ............... 32,107,500
145,000 Digital Lightwave, Inc.* ................. 9,932,500
500,540 LG Information & Communication, Ltd. ..... 38,565,024
744,000 Matsushita Communication Industrial
Company, Ltd.** ........................ 116,620,490
158,540 Next Level Communications, Inc.* ......... 12,623,747
360,000 Nokia Oyj ................................ 20,699,978
7,725,500 Nokia Oyj (ADR) .......................... 439,387,812
922,295 Nortel Networks Corp. - New York Shares .. 104,449,909
650,000 QUALCOMM, Inc.* .......................... 70,484,375
844,871,335
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 23
<PAGE>
Janus | Global Technology Fund
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Telecommunication Services - 4.2%
99,990 Amdocs, Ltd.* ............................ $ 6,768,073
135,000 COLT Telecom Group PLC*,+ ................ 5,764,958
169,500 COLT Telecom Group PLC (ADR)* ............ 28,942,125
131,390 Dacom Corp.* ............................. 19,062,370
827,900 Korea Thrunet Company, Ltd. - Class A* ... 21,421,913
604,240 Level 3 Communications, Inc.* ............ 53,777,360
3,225,588 McLeodUSA, Inc. - Class A* ............... 80,639,700
495,000 Net2Phone, Inc.* ......................... 21,841,875
489,062 NTL, Inc.* ............................... 37,413,243
1,321,070 SK Telecom Company, Ltd. (ADR) ........... 42,356,807
1,363,718 Sonera Oyj ............................... 75,182,708
281,870 Time Warner Telecom, Inc. - Class A* ..... 15,432,383
408,603,515
Telephone - Integrated - 2.5%
607 Japan Telecom Company, Ltd.** ............ 30,891,564
671,000 NEXTLINK Communications, Inc. - Class A* . 56,573,688
1,245,000 SBC Communications, Inc. ................. 54,546,563
2,600,773 Telefonica S.A.* ......................... 58,016,547
705,000 Telefonica S.A. (ADR)* ................... 46,706,250
246,734,612
Wire and Cable Products - 1.1%
7,956,000 Furukawa Electric Company, Ltd.** ........ 110,353,199
--------------------------------------------------------------------------------
Total Common Stocks (cost $5,474,346,564) .................. 8,593,550,784
--------------------------------------------------------------------------------
Corporate Bonds - 5.5%
Applications Software - 0%
$ 3,000,000 Citrix Systems, Inc., zero coupon
convertible subordinated debentures
due 3/22/19+ ........................... 2,565,000
Cable Television - 1.4%
45,000,000 Telewest Communications PLC, 9.875%
senior notes, due 2/1/10+ .............. 44,100,000
United Pan-Europe Communications N.V.:
63,000,000 11.25%, senior notes, due 2/1/10+ ...... 58,590,000
37,000,000 11.50%, senior notes, due 2/1/10+ ...... 34,040,000
136,730,000
Computers - Memory Devices - 0.3%
8,000,000 Veritas Software Corp., 1.856%
convertible discount notes, due 8/13/06 24,460,000
Enterprise Software and Services - 0.7%
21,000,000 BEA Systems, Inc., 4.00%
convertible subordinated notes
due 12/15/06+ .......................... 32,340,000
17,500,000 i2 Technologies, Inc., 5.25%
convertible subordinated notes
due 12/15/06+ .......................... 32,550,000
64,890,000
Fiber Optics - 0.1%
10,000,000 Metromedia Fiber Network, Inc., 10.00%
senior notes, due 12/15/09 ............. 9,525,000
Internet Content - 0.1%
$ 4,000,000 DoubleClick, Inc., 4.75%
convertible subordinated notes
due 3/15/06+ ........................... $ 7,735,000
Internet Software - 0.8%
Exodus Communications, Inc.:
10,000,000 11.25%, senior notes, due 7/1/08 ....... 10,125,000
15,000,000 4.75%, convertible subordinated notes
due 7/15/08+ ........................... 20,812,500
40,000,000 Globix Corp., 12.50%
senior notes, due 2/1/10+ .............. 35,200,000
20,000,000 PSINet, Inc., 11.00%
senior notes, due 8/1/09 ............... 17,550,000
83,687,500
Networking Products - 0.2%
25,700,000 Candescent Technologies Corp., 7.00%
convertible senior subordinated
debentures, due 5/1/03+ ................ 20,560,000
Telecommunication Services - 1.5%
9,000,000 Global Crossing Holdings, Ltd., 9.50%
senior notes, due 11/15/09+ ............ 8,775,000
Level 3 Communications, Inc.:
50,000,000 11.00%, senior notes, due 3/15/08+ ..... 48,375,000
15,000,000 6.00%, convertible subordinated
debentures, due 3/15/10 ................ 13,443,750
NTL, Inc.:
52,000,000 11.50%, senior notes, due 2/1/06 ....... 47,840,000
40,000,000 5.75%, convertible subordinated notes
due 12/15/09+ .......................... 35,150,000
153,583,750
Wireless Equipment - 0.4%
40,000,000 Nextel Communications, Inc., 9.375%
senior notes, due 11/15/09 ............. 38,200,000
--------------------------------------------------------------------------------
Total Corporate Bonds (cost $512,654,871) .................. 541,936,250
--------------------------------------------------------------------------------
Foreign Bond - 0.1%
Fiber Optics - 0.1%
EUR 9,000,000 Metromedia Fiber Network, Inc., 10.00%
senior notes, due 12/15/09
(cost $9,212,774) ...................... 8,078,240
--------------------------------------------------------------------------------
Preferred Stocks - 0.7%
Internet Software - 0.5%
1,360,000 PSINet, Inc., convertible, 7.00%+ ........ 42,670,000
160,000 Verio, Inc., convertible, 6.75%+ ......... 8,120,000
50,790,000
Telecommunication Services - 0.2%
28,000 McLeodUSA, Inc. - Series A
convertible, 6.75% ..................... 17,500,000
--------------------------------------------------------------------------------
Total Preferred Stocks (cost $83,000,000) .................. 68,290,000
--------------------------------------------------------------------------------
Short-Term Corporate Note - 3.1%
CIT Holding Corp.
$ 305,100,000 6.00%, 5/1/00
(amortized cost $305,100,000) .......... 305,100,000
--------------------------------------------------------------------------------
See Notes to Schedules of Investments.
24 Janus Equity Funds / April 30, 2000
<PAGE>
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
U.S. Government Agencies - 2.0%
Fannie Mae
$ 25,000,000 6.17%, 10/19/00 ........................ $ 24,254,250
Federal Home Loan Bank System:
50,000,000 5.94%, 6/29/00 ......................... 49,503,000
20,000,000 5.94%, 7/21/00 ......................... 19,722,800
50,000,000 5.97%, 7/25/00 ......................... 49,272,500
50,000,000 5.75%, 7/28/00 ......................... 49,247,000
--------------------------------------------------------------------------------
Total U.S. Government Agencies (cost $192,103,919) ......... 191,999,550
--------------------------------------------------------------------------------
Total Investments (total cost $6,576,418,128) - 99.3% ..... 9,708,954,824
--------------------------------------------------------------------------------
Cash, Receivables and Other Assets, net of Liabilities - 0.7% 71,334,662
--------------------------------------------------------------------------------
Net Assets - 100% .......................................... $ 9,780,289,486
--------------------------------------------------------------------------------
Summary of Investments by Country, April 30, 2000
Country % of Investment Securities Market Value
--------------------------------------------------------------------------------
Bermuda 0.1% $ 8,775,000
Canada 2.0% 197,802,251
Finland 5.5% 535,270,498
Hong Kong 4.0% 391,871,859
India 0.1% 10,141,907
Israel 0.8% 78,116,420
Japan 8.4% 812,374,105
Netherlands 1.8% 174,830,000
Singapore 0.6% 53,591,456
South Korea 3.7% 357,320,254
Spain 1.1% 104,722,797
Sweden 0.1% 13,673,661
Taiwan 0.7% 72,685,603
United Kingdom 2.6% 249,940,506
United States++ 68.5% 6,647,838,507
--------------------------------------------------------------------------------
Total 100.0% $ 9,708,954,824
++Includes Short-Term Securities (63.4% excluding Short-Term Securities)
Forward Currency Contracts, Open at April 30, 2000
Currency Sold and Currency Currency Unrealized
Settlement Date Units Sold Value in $ U.S. Gain/(Loss)
--------------------------------------------------------------------------------
Hong Kong Dollar 3/16/01 1,045,000,000 $ 134,060,295 $ 65,219
Hong Kong Dollar 5/7/01 845,000,000 108,395,870 (616,504)
Hong Kong Dollar 5/10/01 849,000,000 108,908,987 (183,181)
Japanese Yen 5/18/00 1,850,000,000 17,167,812 106,087
Japanese Yen 9/1/00 9,000,000,000 85,182,745 (181,579)
Japanese Yen 9/8/00 14,984,700,000 142,015,283 2,896,228
Japanese Yen 9/14/00 14,150,000,000 134,257,862 4,107,300
--------------------------------------------------------------------------------
Total $ 729,988,854 $ 6,193,570
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 25
<PAGE>
Janus | Growth and Income Fund
[PHOTO]
David Corkins
portfolio manager
I'm pleased to report that for the six months ended April 30, 2000, your fund
gained 21.71%, topping its benchmark, the S&P 500 Index, which returned
7.18%.(1) As always, one of our primary goals is to consistently outperform the
S&P 500 over a longer three- to five-year time period.
Turning to a detailed discussion of the Fund, telecommunications continues to be
an area where we are uncovering exciting potential. Competitive local-exchange
carrier McLeodUSA, for instance, supported our performance. McLeod is making
inroads into territory once dominated by the regional Bell companies by
supplying integrated telecommunications services to small business and
residential customers in many Midwestern states. Led by an exceptional
management team, the company has also benefited from several acquisitions that
will allow McLeod to expand its data service offerings.
Despite a strong headwind, several other holdings posted substantial gains
during the period, including Texas Instruments, Nokia and Enron. Long an
innovator in the chip industry, Texas Instruments is the leading maker of
digital signal processors, or DSPs, that serve as the engine for two-thirds of
the world's wireless phones. Additionally, the company recently introduced two
more powerful DSPs that will enable high-speed broadband Internet connections
and allow users to surf the Web and utilize e-mail via wireless
"third-generation" handsets. Nokia, the world's largest cell phone manufacturer,
is poised to benefit from these innovations by adding new features to its
handsets. With the number of wireless phone users projected to reach nearly one
billion by 2001, we continue to be optimistic about the growth prospects of the
industry.
Our position in Enron is a play on two different areas of the market. Although
its core energy-trading business is thriving, the company's foray into broadband
technology is what we find especially exciting. Enron is in the process of
building a fiber-optic system that utilizes the company's existing interstate
gas pipeline network, potentially revolutionizing the telecommunications
industry. What's more, Enron plans to develop an exchange to trade bandwidth
capacity, a business that we believe holds considerable promise.
While we were pleased with the Fund's overall performance, a few holdings failed
to meet expectations. Comcast, a large cable operator, fell as increased
expenses related to acquisitions and the rollout of new services sapped results.
In addition, Midwest bank Firstar declined as rising interest rates put downward
pressure on financial shares. However, because neither company has experienced
any fundamental changes that would shake our confidence, we have decided to hold
both positions.
Before wrapping up, I'd like to touch on the persistent volatility the market
endured, particularly at the end of the period. Extreme market fluctuations
became a daily occurrence due to the extended strength of the equity markets as
well as recent increases in interest rates. Not surprisingly, the
fastest-growing companies, typically in the technology area, were among the most
volatile. While
Portfolio Profile April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Equities 78.4% 85.2%
Foreign 11.8% 8.4%
European 9.0% 5.5%
Fixed-Income Securities
Investment-Grade
Corporate Bonds 0.9% --
High-Yield/High-Risk
Corporate Bonds 3.9% 2.5%
Preferred Stock 3.1% 4.6%
Top 10 Equities (% of Assets) 32.5% 31.2%
Number of Stocks 77 76
Cash & Cash Equivalents 13.7% 7.7%
--------------------------------------------------------------------------------
Top 5 Industries April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Telecommunication Equipment 7.4% 5.4%
Cellular Telecommunications 5.2% 4.1%
Telecommunication Services 4.8% 2.3%
Multimedia 4.2% 4.8%
Networking Products 4.1% 3.6%
--------------------------------------------------------------------------------
Top 10 Equity Holdings April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Nokia Oyj (ADR) 4.6% 3.8%
Cisco Systems, Inc. 4.1% 3.6%
AT&T Corp./Liberty Media
Group - Class A 3.4% 3.0%
Enron Corp. 3.2% 2.4%
Texas Instruments, Inc. 3.1% 2.5%
General Electric Co. 3.1% 3.1%
Sun Microsystems, Inc. 3.1% 3.5%
Time Warner, Inc. 2.9% 3.0%
EMC Corp. 2.7% 2.4%
Comcast Corp. - Special Class A 2.3% 3.1%
--------------------------------------------------------------------------------
(1) Both returns include reinvested dividends.
Past performance does not guarantee future results.
26 Janus Equity Funds / April 30, 2000
<PAGE>
we are willing to hold on to individual stocks that are volatile, we try to
mitigate risk by avoiding dramatic bets on specific sectors of the market.
Furthermore, we maintain positions in income-producing investments such as
dividend-paying stocks, convertible securities and bonds to balance out the
Fund's growth holdings. Most important, we focus on the best-managed companies
across various industries.
Lastly, I believe that stock valuations do matter. As Jerry Seinfeld said when
talking about cosmetics, "Where lipstick is concerned, the important thing is
not the color, but to accept God's final word on where your lips end." Likewise,
we own a broad and eclectic mix of stocks - a "colorful palette" of companies,
if you will - that we are confident will be able to perform under a variety of
market conditions. At the same time, we don't hesitate to sell when valuations
become extreme.
A final word from Plato, who once said, "Wise people talk because they have
something to say; fools because they have to say something." I hope that the
comments in this letter have given you a better understanding of your fund, its
goals and our investment approach. The strategy that has worked best for me in
these volatile times is to know the companies I invest in well. I believe the
same holds true for our investors.
Thank you for your continued investment in Janus Growth and Income Fund.
Performance Overview
[GRAPHIC OMITTED]
A graphic comparison of the change in value of a hypothetical $10,000 investment
in Janus Growth and Income Fund and the S&P 500 Index. Janus Growth and Income
Fund is represented by a shaded area of green. The S&P 500 Index is represented
by a solid black line. The "y" axis reflects the value of the investment. The
"x" axis reflects the computation periods from inception, May 15, 1991, through
April 30, 2000. The upper right quadrant reflects the ending value of the
hypothetical investment in Janus Growth and Income Fund ($70,639) as compared to
the S&P 500 Index ($48,228).
Average Annual Total Return
for the periods ended April 30, 2000
One Year, 35.66%
Five Year, 34.55%
Since 5/15/91*, 24.38%
Janus Growth and Income Fund - $70,639
S&P 500 Index - $48,228
*The Fund's inception date.
Source - Lipper, Inc. 2000.
Past performance does not guarantee future results. Investment return and
principal value will fluctuate so that shares, when redeemed, may be worth more
or less than their original cost. All returns reflect reinvested dividends. The
Fund's portfolio may differ significantly from the securities in the Index. The
Index is unmanaged and therefore does not reflect the cost of portfolio
management or trading.
This Fund's returns may have been positively impacted by buying technology
companies in a period favorable for these stocks.
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Common Stock - 78.4%
Advertising Agencies - 0.3%
300,000 Omnicom Group, Inc. ...................... $ 27,318,750
Audio and Video Products - 0.8%
618,600 Sony Corp.** ............................. 71,292,225
Automotive - Cars and Light Trucks - 0.5%
800,000 Ford Motor Co. ........................... 43,750,000
Brewery - 0.8%
1,100,000 Anheuser-Busch Companies, Inc. ........... 77,618,750
Broadcast Services and Programming - 3.9%
6,248,387 AT&T Corp./Liberty Media Group - Class A* 312,028,826
600,000 Clear Channel Communications, Inc.* ...... 43,200,000
355,228,826
Cable Television - 2.3%
5,275,000 Comcast Corp. - Special Class A* ......... 211,329,688
Casino Hotels - 0.5%
3,717,515 Park Place Entertainment Corp.* .......... 47,630,661
Cellular Telecommunications - 5.1%
1,025,000 Nextel Communications, Inc. - Class A* ... 112,173,438
2,225,000 Sprint Corp./PCS Group* .................. 122,375,000
20,553,604 Vodafone AirTouch PLC** .................. 94,547,646
1,400,000 VoiceStream Wireless Corp.* .............. 138,600,000
467,696,084
Circuits - 0.7%
1,000,000 Maxim Integrated Products, Inc.* ......... $ 64,812,500
Commercial Services - 0.8%
1,430,705 Paychex, Inc. ............................ 75,290,851
Computer Data Security - 1.5%
1,000,000 VeriSign, Inc.* .......................... 139,375,000
Computers - Memory Devices - 3.0%
1,750,000 EMC Corp.* ............................... 243,140,625
232,500 VERITAS Software Corp.* .................. 24,939,258
268,079,883
Computers - Micro - 3.1%
3,009,890 Sun Microsystems, Inc.* .................. 276,721,762
Cruise Lines - 0.5%
2,092,039 Royal Caribbean Cruises, Ltd. ............ 43,540,562
Distribution and Wholesale - 1.0%
300,000 Brightpoint, Inc.* ....................... 3,543,750
1,600,000 Costco Wholesale Corp.* .................. 86,500,000
90,043,750
Diversified Financial Services - 2.0%
2,380,045 Associates First Capital Corp. - Class A . 52,807,248
2,175,000 Citigroup, Inc. .......................... 129,276,563
182,083,811
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 27
<PAGE>
Janus | Growth and Income Fund
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Diversified Operations - 3.1%
1,766,565 General Electric Co. ..................... $ 277,792,346
E-Commerce - 0.2%
110,000 eBay, Inc.* .............................. 17,510,625
Electronic Components - Semiconductors - 3.8%
500,000 Intel Corp. .............................. 63,406,250
1,750,000 Texas Instruments, Inc. .................. 285,031,250
348,437,500
Enterprise Software and Services - 0.7%
787,380 Oracle Corp.* ............................ 62,941,189
Entertainment Software - 0.3%
375,000 Electronic Arts, Inc.* ................... 22,687,500
Fiber Optics - 1.3%
375,000 Corning, Inc. ............................ 74,062,500
100,000 E-Tek Dynamics, Inc.* .................... 20,475,000
125,000 SDL, Inc.* ............................... 24,375,000
118,912,500
Finance - Credit Card - 1.3%
800,000 American Express Co. ..................... 120,050,000
Finance - Investment Bankers/Brokers - 0.8%
1,600,000 Charles Schwab Corp. ..................... 71,200,000
Instruments - Scientific - 0.2%
250,000 PE Corp./PE Biosystems Group ............. 15,000,000
Internet Content - 1.3%
1,200,000 DoubleClick, Inc.* ....................... 91,050,000
150,000 Network Solutions, Inc.* ................. 22,200,000
113,250,000
Internet Software - 3.0%
1,431,935 America Online, Inc.* .................... 85,647,612
430,000 Inktomi Corp.* ........................... 66,193,125
425,000 Macromedia, Inc.* ........................ 36,975,000
514,895 Phone.com, Inc.* ......................... 43,251,180
1,600,000 PSINet, Inc.* ............................ 37,100,000
269,166,917
Life and Health Insurance - 0.6%
3,200,000 John Hancock Financial Services, Inc.* ... 58,400,000
Medical - Drugs - 1.0%
2,200,000 Pfizer, Inc. ............................. 92,675,000
Medical Instruments - 1.3%
2,300,000 Medtronic, Inc. .......................... 119,456,250
Multi-Line Insurance - 0.9%
700,000 American International Group, Inc. ....... 76,781,250
Multimedia - 4.2%
2,900,000 Time Warner, Inc. ........................ 260,818,750
2,188,880 Viacom, Inc. - Class B* .................. 119,020,350
379,839,100
Music/Clubs - 0.3%
700,000 SFX Entertainment, Inc.* ................. 29,137,500
Networking Products - 4.1%
5,400,000 Cisco Systems, Inc.* ..................... 374,371,875
Oil Companies - Integrated - 0.3%
600,000 Coastal Corp. ............................ 30,112,500
Optical Supplies - 0.7%
1,100,000 Allergan, Inc. ........................... 64,762,500
Pipelines - 3.2%
4,200,000 Enron Corp. .............................. $ 292,687,500
Printing - Commercial - 0.4%
969,755 Valassis Communications, Inc.* ........... 33,032,280
Radio - 1.8%
450,000 AMFM, Inc.* .............................. 29,868,750
425,000 Hispanic Broadcasting Corp.* ............. 42,951,562
2,600,000 Infinity Broadcasting Corp. - Class A* ... 88,237,500
161,057,812
Retail - Building Products - 1.0%
1,700,000 Home Depot, Inc. ......................... 95,306,250
Retail - Office Supplies - 0.7%
3,250,000 Staples, Inc.* ........................... 61,953,125
Super-Regional Banks - 1.2%
4,475,000 Firstar Corp. ............................ 111,315,625
Telecommunication Equipment - 7.4%
7,400,000 Nokia Oyj (ADR)** ........................ 420,875,000
925,000 Nortel Networks Corp. - New York Shares .. 104,756,250
485,000 QUALCOMM, Inc.* .......................... 52,592,187
1,025,000 Telefonaktiebolaget L.M. Ericsson A.B. (ADR) 90,648,438
668,871,875
Telecommunication Services - 3.8%
675,000 Allegiance Telecom, Inc.* ................ 47,756,250
2,600,000 Cox Communications, Inc. - Class A* ...... 111,312,500
7,425,000 McLeodUSA, Inc. - Class A* ............... 185,625,000
344,693,750
Telephone - Integrated - 2.6%
1,200,000 CenturyTel, Inc. ......................... 29,400,000
6,217,630 Telefonica S.A.*,** ...................... 138,699,312
1,126,250 Telefonos de Mexico S.A. (ADR) ........... 66,237,578
234,336,890
Toys - 0.1%
1,100,000 Mattel, Inc. ............................. 13,475,000
--------------------------------------------------------------------------------
Total Common Stock (cost $4,374,684,261) ................... 7,121,027,762
--------------------------------------------------------------------------------
Corporate Bonds - 4.8%
Broadcast Services and Programming - 0.2%
$ 20,000,000 Clear Channel Communications, Inc., 1.50%
senior notes, due 12/1/02 .............. 19,075,000
Cable Television - 0.1%
3,000,000 Adelphia Communications Corp., 7.75%
senior notes, due 1/15/09 .............. 2,557,500
10,280,000 Telewest Communications PLC, 9.875%
senior notes, due 2/1/10**,+ ........... 10,074,400
12,631,900
Cellular Telecommunications - 0.1%
5,000,000 VoiceStream Wireless Corp., 10.375%
senior notes, due 11/15/09+ ............ 5,075,000
Computers - Micro - 0.1%
10,000,000 Sun Microsystems, Inc., 7.50%
senior notes, due 8/15/06 .............. 9,887,500
Diversified Financial Services - 0.4%
General Electric Capital Corp:
15,000,000 7.00%, notes, due 3/1/02 ............... 14,906,250
4,000,000 6.52%, notes, due 10/8/02 .............. 3,930,000
7,500,000 7.00%, notes, due 2/3/03 ............... 7,425,000
9,450,000 6.81%, notes, due 11/3/03 .............. 9,320,062
35,581,312
See Notes to Schedules of Investments.
28 Janus Equity Funds / April 30, 2000
<PAGE>
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
E-Commerce - 0.5%
$ 46,395,000 Amazon.com, Inc., 4.75%
convertible subordinated debentures
due 2/1/09+ ............................ $ 39,087,787
Enterprise Software and Services - 1.6%
61,360,000 BEA Systems, Inc., 4.00%
convertible subordinated notes
due 12/15/06+ .......................... 94,494,400
28,843,000 i2 Technologies, Inc., 5.25%
convertible subordinated notes
due 12/15/06+ .......................... 53,647,980
148,142,380
Fiber Optics - 0%
3,000,000 Metromedia Fiber Network, Inc., 10.00%
senior notes, due 12/15/09 ............. 2,857,500
Hotels and Motels - 0.1%
4,000,000 Host Marriott Travel Plaza, 9.50%
senior notes, due 5/15/05 .............. 4,130,000
Internet Software - 0%
2,785,000 Exodus Communications, Inc.,11.25%
senior notes, due 7/1/08 ............... 2,819,812
Radio - 0%
3,000,000 Chancellor Media Corp., 8.125%
senior subordinated notes, due 12/15/07 2,988,750
Super-Regional Banks - 0.2%
15,000,000 Firstar Bank N.A., 7.125%
subordinated notes, due 12/1/09 ........ 14,175,000
Telecommunication Services - 1.0%
825,000 Allegiance Telecom, Inc., 12.875%
senior notes, due 5/15/08 .............. 899,250
8,000,000 Global Crossing Holding, Ltd., 9.625%
company guaranteed notes, due 5/15/08 .. 7,840,000
10,000,000 Level 3 Communications, Inc., 9.125%
senior notes, due 5/1/08 ............... 8,700,000
NTL, Inc.:
20,332,000 7.00%, convertible subordinated notes
due 12/15/08 ........................... 41,121,470
35,000,000 5.75%, convertible subordinated notes
due 12/15/09+ .......................... 30,756,250
89,316,970
Wireless Equipment - 0.5%
40,450,000 American Tower Corp., 5.00%
convertible notes, due 2/15/10+ ........ 41,764,625
5,000,000 Nextel Communications, Inc., 9.375%
senior notes, due 11/15/09 ............. 4,775,000
46,539,625
--------------------------------------------------------------------------------
Total Corporate Bonds (cost $395,532,359) .................. 432,308,536
--------------------------------------------------------------------------------
Preferred Stock - 3.1%
Automotive - Cars and Light Trucks - 0.7%
27,275 Porsche A.G.** ........................... 67,852,433
Cable Television - 1.0%
200,000 Comcast Corp., convertible, 2.00%
(Sprint Corp./PCS Group) ............... 20,800,000
675,000 MediaOne Group, Inc., convertible, 6.25% . 67,542,187
88,342,187
Electric - Integrated - 0.7%
400,000 Reliant Energy, Inc., convertible, 7.00%
(Time Warner, Inc.) .................... 59,225,000
Finance - Other Services - 0.4%
137,000 TCI Pacific Communications, Inc. - Series A
convertible, 5.00% ..................... $ 39,661,500
Internet Software - 0.3%
950,000 PSINet, Inc., convertible, 7.00%+ ........ 29,806,250
--------------------------------------------------------------------------------
Total Preferred Stock (cost $238,647,248) .................. 284,887,370
--------------------------------------------------------------------------------
Repurchase Agreement - 0.9%
$ 79,500,000 ABN AMRO Securities, Inc., 5.90% dated
4/28/00, maturing 5/1/00, to be
repurchased at $79,539,088
collateralized by $36,653,536 in Fannie
Mae, 6.00%- 7.1562%, 12/25/08-2/25/30;
$8,020,019 in Federal Home Loan Bank
System, 6.74%, 7/6/09; $30,871,297 in
Freddie Mac, 6.00%-7.7775%,
12/15/07-12/15/28; $18,438,025 in Ginnie
Mae, 6.40%- 7.50%, 4/20/22-2/16/30; with
respective values of $30,591,600,
$7,757,246, $26,713,582 and $16,027,572
(cost $79,500,000) ..................... 79,500,000
--------------------------------------------------------------------------------
Short-Term Corporate Notes - 5.7%
Deutche Bank A.G.
100,000,000 6.00%, 5/18/00 ......................... 99,716,667
UBS Financial, Inc.
420,000,000 6.04%, 5/1/00 .......................... 420,000,000
--------------------------------------------------------------------------------
Total Short-Term Corporate Notes
(amortized cost $519,716,667) ........................... 519,716,667
--------------------------------------------------------------------------------
U.S. Government Agencies - 6.8%
Federal Home Loan Bank System:
50,000,000 5.69%, 5/12/00 ......................... 49,913,069
50,000,000 5.71%, 5/22/00 ......................... 49,833,458
50,000,000 5.78%, 5/31/00 ......................... 49,759,167
25,000,000 5.70%, 6/6/00 .......................... 24,857,500
100,000,000 5.84%, 8/14/00 ......................... 98,177,000
50,000,000 5.98%, 8/30/00 ......................... 48,949,500
50,000,000 5.87%, 9/7/00 .......................... 48,878,000
100,000,000 6.02%, 9/22/00 ......................... 97,496,000
50,000,000 6.03%, 10/4/00 ......................... 48,639,000
Freddie Mac:
50,000,000 5.75%, 7/6/00 .......................... 49,435,000
50,000,000 6.05%, 10/18/00 ........................ 48,517,000
--------------------------------------------------------------------------------
Total U.S. Government Agencies (cost $614,933,125) ......... 614,454,694
--------------------------------------------------------------------------------
Total Investments (total cost $6,223,013,660) - 99.7% ...... 9,051,895,029
--------------------------------------------------------------------------------
Cash, Receivables and Other Assets, net of Liabilities - 0.3% 31,327,899
--------------------------------------------------------------------------------
Net Assets - 100% .......................................... $ 9,083,222,928
--------------------------------------------------------------------------------
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 29
<PAGE>
Janus | Growth and Income Fund
Summary of Investments by Country, April 30, 2000
Country % of Investment Securities Market Value
--------------------------------------------------------------------------------
Bermuda 0.1% $ 7,840,000
Canada 1.2% 104,756,250
Finland 4.6% 420,875,000
Germany 0.7% 67,852,433
Japan 0.8% 71,292,225
Mexico 0.7% 66,237,578
Spain 1.5% 138,699,312
Sweden 1.0% 90,648,438
United Kingdom 1.2% 104,622,046
United States++ 88.2% 7,979,071,747
--------------------------------------------------------------------------------
Total 100.0% $ 9,051,895,029
++Includes Short-Term Securities (74.7% excluding Short-Term Securities)
Forward Currency Contracts, Open at April 30, 2000
Currency Sold and Currency Currency Unrealized
Settlement Date Units Sold Value in $ U.S. Gain/(Loss)
--------------------------------------------------------------------------------
British Pound 6/9/00 57,500,000 $ 89,326,250 $ 1,654,135
Euro 5/18/00 3,100,000 2,822,240 425,010
Euro 6/9/00 46,100,000 42,038,590 3,314,276
Euro 9/8/00 50,400,000 46,242,000 2,440,632
Euro 9/22/00 22,000,000 20,204,800 1,025,420
Euro 9/29/00 55,400,000 50,901,520 2,745,070
Euro 10/5/00 38,000,000 34,929,600 1,588,400
Japanese Yen 9/1/00 600,000,000 5,678,850 (12,105)
Japanese Yen 9/8/00 1,640,000,000 15,542,858 561,865
Japanese Yen 10/5/00 5,410,000,000 51,537,258 1,921,240
--------------------------------------------------------------------------------
Total $ 359,223,966 $ 15,663,943
See Notes to Schedules of Investments.
30 Janus Equity Funds / April 30, 2000
<PAGE>
Janus | Mercury Fund
[PHOTO]
Warren Lammert
portfolio manager
For the six months ended April 30, 2000, Janus Mercury Fund returned 36.59%,
easily surpassing the 7.18% return of its benchmark, the S&P 500 Index.(1) These
results placed us in the top quartile of our peer group for the 12-month period
ended April 30, 2000, with a ranking of 34th out of 457 large-cap growth funds
tracked by Lipper, Inc., a leading mutual fund rating company.(2)
The last six months saw a continuation of many of the same trends that made last
year such a successful one. Corporations around the globe have continued to
invest heavily in computer- and Internet-related technology, a strategy that has
paid tangible dividends to the economy as a whole by boosting productivity. For
their part, consumers have embraced new technologies with the same enthusiasm.
Devices such as Web-enabled cell phones and personal digital assistants -
products that not long ago were unimaginable to all but the most visionary of
minds - are quickly becoming part of our everyday lives.
Two examples of our approach are Nokia and Texas Instruments. Both companies are
benefiting from the explosion in cellular phone usage worldwide - Nokia through
its dominance of the cellular handset market and Texas Instruments by virtue of
its position as the world's leading supplier of telecommunications-related
digital signal-processing chips. While both companies are already well known to
our shareholders, their continued outperformance makes them once again worthy of
mention.
Another important trend has been the rapid transformation of the Internet into a
viable tool of commerce. Internet "pure plays," as well as infrastructure
companies such as Cisco Systems and EMC Corp., are examples of our strategy. But
while we remain excited by the open-ended growth potential enjoyed by these and
other Web-related companies, another aspect of the Internet phenomenon,
business-to-business e-commerce, has become an area of increasing focus.
An entire range of traditional "smokestack" industries, ranging from automobile
manufacturers to chemical and energy companies, are quickly coming to realize
the immense cost savings that can be wrung out of the Internet. This has led to
the rapid formation of a number of business-to-business (B2B) e-commerce
alliances with enormous purchasing power. With so much money at stake, companies
like B2B infrastructure specialist i2 Technologies, a clear leader in the
industry and one of our most compelling additions during the period, are poised
for dramatic growth. Although the company suffered somewhat in April's extremely
volatile market, i2 remained one of our best performers.
Another company in the Fund that is taking advantage of rapid changes in the
economy is Enron. The company's efforts to transform the electric and gas
utility industry into a lean and profit-driven business after decades of tight
government regulation has supported outstanding growth at its core businesses.
While we are encouraged by Enron's performance, we are even more enthusiastic
about its efforts to become the dominant player in rapidly emerging
(continued on next page)
Portfolio Profile April 30, 2000 October 31,1999
--------------------------------------------------------------------------------
Equities 87.9% 95.0%
Foreign 22.4% 15.8%
European 17.9% 13.6%
Top 10 Equities (% of Assets) 38.4% 40.6%
Number of Stocks 75 57
Cash & Cash Equivalents 12.1% 5.0%
--------------------------------------------------------------------------------
Top 5 Industries April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Telecommunication Equipment 15.5% 8.8%
Cellular Telecommunications 7.4% 3.9%
Pipelines 5.2% 3.8%
Broadcast Services
and Programming 4.9% 7.1%
Internet Software 4.8% 3.4%
--------------------------------------------------------------------------------
Top 10 Equity Holdings April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Nokia Oyj 11.5% 8.8%
Enron Corp. 5.2% 3.8%
AT&T Corp./Liberty Media Group - Class A 4.1% 5.7%
Time Warner, Inc. 3.8% 4.1%
i2 Technologies, Inc. 2.7% --
Amazon.com, Inc. 2.4% 4.7%
Telefonaktiebolaget L.M. Ericsson A.B 2.3% --
EMC Corp. 2.2% 2.6%
Cisco Systems, Inc. 2.1% 3.1%
Vodafone AirTouch PLC 2.1% 1.5%
--------------------------------------------------------------------------------
(1) Both returns include reinvested dividends.
(2) Lipper, Inc. defines a large-cap growth fund as one that "invests at least
75% of their equity assets in companies with market capitalizations (on a
three-year weighted basis) of greater than 300% of the dollar-weighted
median market capitalization of the S&P Mid-Cap 400 Index. Large-cap growth
funds normally invest in companies with long-term earnings expected to grow
significantly faster than the earnings of the stocks represented in a major
unmanaged stock index. These funds will normally have an above-average
price-to-earnings ratio, price-to-book ratio, and three-year earnings
growth figure, compared to the U.S. diversified large-cap funds universe
average." As of April 30, 2000, Janus Mercury Fund ranked 5/194 for the
5-year period. The ranking is based on total return, including reinvestment
of dividends and capital gains for the stated period.
Past performance does not guarantee future results.
Janus Equity Funds / April 30, 2000 31
<PAGE>
markets such as energy outsourcing and broadband. By investing heavily in these
areas, Enron has tapped into some of the most powerful forces in the economy,
and we believe its efforts will drive growth well into the future.
Unfortunately, not all of our investments contributed to our performance. Video
game maker Electronic Arts, which dominates the market for sports game software
used in PCs and home consoles such as Sony PlayStation, fell after analysts
suggested sales for existing home video game consoles will slow during the first
half of 2000 as consumers wait for Sony's new PlayStation 2 to launch in major
markets outside Japan. However, PlayStation 2 promises to ignite a major upgrade
cycle as gamers loyal to Electronic Arts' products replace their existing
software to take advantage of the radical improvements that the new console
represents. At the same time, we are excited by the company's efforts to
position itself as a major force in online gaming. With these two independent
developments acting as visible drivers of the stock, we are excited about the
company's potential and have used the decline to take our position higher.
Looking ahead, although the recent pullback in many technology and "new economy"
names is disappointing, it represents normal stock market behavior. Rest
assured, we are staying the course wherever our research gives us real
conviction in the underlying fundamentals.
Thank you for your continued confidence and investment in Janus Mercury Fund.
Performance Overview
[GRAPHIC OMITTED]
A graphic comparison of the change in value of a hypothetical $10,000 investment
in Janus Mercury Fund and the S&P 500 Index. Janus Mercury Fund is represented
by a shaded area of green. The S&P 500 Index is represented by a solid black
line. The "y" axis reflects the value of the investment. The "x" axis reflects
the computation periods from inception, May 3, 1993, through April 30, 2000. The
upper and lower right quadrants reflect the ending value of the hypothetical
investment in Janus Mercury Fund ($77,732) as compared to the S&P 500 Index
($37,920).
Average Annual Total Return
for the periods ended April 30, 2000
One Year, 54.99%
Five Year, 38.70%
Since 5/3/93*, 34.08%
Janus Mercury Fund - $77,732
S&P 500 Index - $37,920
*The Fund's inception date.
Source - Lipper, Inc. 2000.
Past performance does not guarantee future results. Investment return and
principal value will fluctuate so that shares, when redeemed, may be worth more
or less than their original cost. All returns reflect reinvested dividends. The
Fund's portfolio may differ significantly from the securities in the Index. The
Index is unmanaged and therefore does not reflect the cost of portfolio
management or trading.
This Fund's returns may have been positively impacted by buying technology
companies in a period favorable for these stocks.
The performance figures above reflect the exceptional performance of the stock
market in 1999. Investors should maintain realistic expectations for future
performance and, most importantly, should note that the recent market volatility
is not reflected in these figures.
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Common Stock - 87.9%
Advertising Sales - 0.2%
839,626 Lamar Advertising Co.* ................... $ 36,996,021
Advertising Services - 0.9%
2,315,440 TMP Worldwide, Inc.* ..................... 151,371,890
Applications Software - 0.7%
1,837,310 Microsoft Corp.* ......................... 128,152,372
Audio and Video Products - 1.1%
1,625,200 Sony Corp** .............................. 187,300,556
Broadcast Services and Programming - 4.9%
14,516,264 AT&T Corp./Liberty Media Group - Class A* 724,905,933
462,240 Liberty Digital, Inc. - Class A* ......... 14,791,680
2,259,840 UnitedGlobalCom, Inc. - Class A* ......... 120,054,000
859,751,613
Cable Television - 2.8%
2,299,400 Cablevision Systems Corp. - Class A* ..... 155,640,637
6,015,155 Charter Communications, Inc. - Class A* .. 88,347,589
6,134,880 Comcast Corp. - Special Class A* ......... 245,778,630
489,766,856
Cellular Telecommunications - 7.4%
28,402,000 China Telecom, Ltd.* ..................... $ 205,111,823
922,085 Nextel Communications, Inc. - Class A* ... 100,910,677
4,733 NTT DoCoMo, Inc.** ....................... 158,100,129
4,094,095 Sprint Corp./PCS Group* .................. 225,175,225
74,964,048 Vodafone AirTouch PLC .................... 344,838,515
508,595 Vodafone AirTouch PLC (ADR) .............. 23,903,965
1,508,195 VoiceStream Wireless Corp.* .............. 149,311,305
2,232,262 Winstar Communications, Inc.* ............ 89,011,447
1,296,363,086
Circuits - 0.4%
1,087,455 Maxim Integrated Products, Inc.* ......... 70,480,677
Commercial Banks - 1.1%
3,154,845 Fifth Third Bancorp ...................... 199,149,591
Computer Data Security - 1.0%
1,231,760 VeriSign, Inc.* .......................... 171,676,550
Computer Services - 1.6%
1,917,580 iGATE Capital Corp.* ..................... 57,527,400
2,995,467 MarchFirst, Inc* ......................... 63,840,890
1,900,230 Sapient Corp.* ........................... 150,474,463
271,842,753
See Notes to Schedules of Investments.
32 Janus Equity Funds / April 30, 2000
<PAGE>
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Computers - Integrated Systems - 1.1%
4,821,705 ASM Lithography Holding N.V.*,** ......... $ 192,868,200
Computers - Memory Devices - 3.0%
2,786,965 EMC Corp.* ............................... 387,213,950
1,255,497 VERITAS Software Corp.* .................. 134,671,670
521,885,620
E-Commerce - 4.4%
7,681,140 Amazon.com, Inc.* ........................ 423,902,914
1,082,710 eBay, Inc.* .............................. 172,353,898
2,674,740 Priceline.com, Inc.* ..................... 169,177,305
653,600 Ticketmaster Online-CitySearch, Inc. .....
- Class B* ............................. 13,072,000
778,506,117
Electronic Components - Semiconductors - 4.2%
2,302,890 Analog Devices, Inc.* .................... 176,890,738
2,852,000 Applied Materials, Inc.* ................. 290,369,250
1,697,340 Texas Instruments, Inc. .................. 276,454,253
743,714,241
Enterprise Software and Services - 2.7%
3,713,340 i2 Technologies, Inc.* ................... 479,949,195
Entertainment Software - 1.5%
4,330,085 Electronic Arts, Inc.*,# ................. 261,970,142
Fiber Optics - 0.8%
282,765 E-Tek Dynamics, Inc.* .................... 57,896,134
784,900 JDS Uniphase Corp.* ...................... 81,384,319
139,280,453
Finance - Credit Card - 1.0%
1,217,275 American Express Co. ..................... 182,667,330
Finance - Investment Bankers/Brokers - 0.8%
6,619,400 E*TRADE Group, Inc.* ..................... 142,317,100
Instruments - Scientific - 0.9%
2,677,530 PE Corp./PE Biosystems Group ............. 160,651,800
Internet Content - 2.5%
2,941,680 DoubleClick, Inc.* ....................... 223,199,970
812,685 GoTo.com, Inc.* .......................... 27,732,876
1,407,270 InfoSpace, Inc.* ......................... 101,059,577
225,835 Internet Capital Group, Inc.* ............ 9,569,758
1,614,965 Lycos, Inc.* ............................. 75,095,872
436,658,053
Internet Software - 4.8%
1,635,905 Exodus Communications, Inc.* ............. 144,675,348
667,785 Inktomi Corp.* ........................... 102,797,153
898,650 NetZero, Inc.* ........................... 10,839,966
1,904,170 Phone.com, Inc.* ......................... 159,950,280
134,510 RealNetworks, Inc.* ...................... 6,406,039
2,132,905 Software.com, Inc.* ...................... 172,498,692
2,053,040 Verio, Inc.* ............................. 77,117,315
3,348,675 Vignette Corp.* .......................... 161,364,277
835,649,070
Medical - Biomedical and Genetic - 0.2%
400,000 Incyte Pharmaceuticals, Inc.*,ss.,+ ...... 28,875,000
Medical Information Systems - 0.3%
2,400,000 Healtheon/WebMD Corp.*,ss.,+ ............. 47,264,256
Medical Instruments - 2.1%
7,059,440 Medtronic, Inc. .......................... 366,649,665
Medical Products - 0.6%
877,265 MiniMed, Inc.* ........................... 107,848,766
Multimedia - 3.8%
7,480,660 Time Warner, Inc. ........................ $ 672,791,859
Networking Products - 2.7%
2,636,135 3Com Corp.* .............................. 103,962,574
5,406,662 Cisco Systems, Inc.* ..................... 374,833,739
478,796,313
Pipelines - 5.2%
13,151,420 Enron Corp. .............................. 916,489,581
Radio - 0.7%
3,566,801 Infinity Broadcasting Corp. - Class A* ... 121,048,309
Retail - Building Products - 1.0%
3,014,225 Home Depot, Inc. ......................... 168,984,989
Super-Regional Banks - 0.7%
4,714,353 Firstar Corp. ............................ 117,269,531
Telecommunication Equipment - 15.5%
2,902,644 Nokia Oyj** .............................. 166,901,850
32,373,380 Nokia Oyj (ADR)** ........................ 1,841,235,988
2,760,395 QUALCOMM, Inc.* .......................... 299,330,333
3,460,260 Telefonaktiebolaget L.M. Ericsson A.B. (ADR) 306,016,744
1,170,530 Telefonaktiebolaget L.M. Ericsson A.B
- Class B .............................. 104,204,471
2,717,689,386
Telecommunication Services - 3.0%
2,708,675 Cox Communications, Inc. - Class A* ...... 115,965,148
3,216,200 Level 3 Communications, Inc.* ............ 286,241,800
1,502,382 NTL, Inc.* ............................... 114,932,223
517,139,171
Telephone - Integrated - 2.3%
6,885,497 Telefonica S.A.*,** ...................... 153,597,704
4,190,810 Telefonos de Mexico S.A. (ADR) ........... 246,472,013
400,069,717
--------------------------------------------------------------------------------
Total Common Stock (cost $11,860,488,530) .................. 15,399,885,829
--------------------------------------------------------------------------------
Money Market - 0.1%
Janus Government Money Market Fund
$ 21,800,000 6.00% (cost $21,800,000) ............... 21,800,000
--------------------------------------------------------------------------------
Repurchase Agreement - 1.4%
238,500,000 ABN AMRO Securities, Inc., 5.90% dated
4/28/00, maturing 5/1/00, to be
repurchased at $238,617,263
collateralized by $109,960,608 in Fannie
Mae, 6.00%- 7.1562%, 12/25/08-2/25/30;
$24,060,058 in Federal Home Loan Bank
System, 6.74%, 7/6/09; $92,613,891 in
Freddie Mac, 6.00%-7.7775%,
12/15/07-12/15/28; $55,314,074 in Ginnie
Mae, 6.40%-7.50%, 4/20/22-2/16/30; with
respective values of $91,774,799,
$23,271,738, $80,140,747 and $48,082,716
(cost $238,500,000) .................... 238,500,000
--------------------------------------------------------------------------------
Short-Term Corporate Notes - 1.4%
Deutsche Bank A.G.:
50,000,000 6.03%, 5/11/00 ......................... 49,916,250
100,000,000 5.91%, 5/15/00 ......................... 99,770,167
100,000,000 6.00%, 5/18/00 ......................... 99,716,667
--------------------------------------------------------------------------------
Total Short-Term Corporate Notes
(amoritized cost $249,403,084) ........................... 249,403,084
--------------------------------------------------------------------------------
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 33
<PAGE>
Janus | Mercury Fund
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
U.S. Government Agencies - 8.7%
Fannie Mae:
$ 50,000,000 5.79%, 5/18/00 ......................... $ 49,863,292
50,000,000 5.80%, 6/1/00 .......................... 49,750,278
100,000,000 5.99%, 7/18/00 ......................... 98,665,000
Federal Home Loan Bank System:
100,000,000 5.65%, 5/3/00 .......................... 99,968,611
50,000,000 5.83%, 5/11/00 ......................... 49,919,028
50,000,000 5.69%, 5/12/00 ......................... 49,913,069
50,000,000 5.81%, 7/3/00 .......................... 49,461,000
50,000,000 5.93%, 7/14/00 ......................... 49,366,500
50,000,000 5.90%, 7/24/00 ......................... 49,281,000
50,000,000 5.87%, 8/18/00 ......................... 49,053,500
50,000,000 5.94%, 9/8/00 .......................... 48,869,500
50,000,000 5.94%, 9/13/00 ......................... 48,826,000
75,000,000 5.96%, 9/18/00 ......................... 73,173,750
50,000,000 6.00%, 9/20/00 ......................... 48,765,000
50,000,000 5.92%, 9/27/00 ......................... 48,704,500
100,000,000 6.03%, 9/29/00 ......................... 97,375,000
100,000,000 5.94%, 10/4/00 ......................... 97,278,000
20,000,000 6.24%, 4/26/01 ......................... 18,735,800
Freddie Mac:
100,000,000 5.94%, 6/22/00 ......................... 99,142,000
100,000,000 6.01%, 8/17/00 ......................... 98,125,000
150,000,000 5.90%, 9/27/00 ......................... 146,113,500
50,000,000 6.09%, 10/12/00 ........................ 48,562,500
50,000,000 6.05%, 10/18/00 ........................ 48,517,000
--------------------------------------------------------------------------------
Total U.S. Government Agencies (cost $1,518,597,778) ....... 1,517,428,828
--------------------------------------------------------------------------------
Total Investments (total cost $13,888,789,392) - 99.5% ..... 17,427,017,741
--------------------------------------------------------------------------------
Cash, Receivables and Other Assets, net of Liabilities - 0.5% 91,791,584
--------------------------------------------------------------------------------
Net Assets - 100% ........................................... $ 17,518,809,325
--------------------------------------------------------------------------------
Summary of Investments by Country, April 30, 2000
Country % of Investment Securities Market Value
--------------------------------------------------------------------------------
Finland 11.5% $ 2,008,137,838
Hong Kong 1.2% 205,111,823
Japan 2.0% 345,400,685
Mexico 1.4% 246,472,013
Netherlands 1.1% 192,868,200
Spain 0.9% 153,597,704
Sweden 2.4% 410,221,215
United Kingdom 2.1% 368,742,480
United States++ 77.4% 13,496,465,783
--------------------------------------------------------------------------------
Total 100.0% $ 17,427,017,741
++Includes Short-Term Securities (65.8% excluding Short-Term Securities)
Forward Currency Contracts, Open at April 30, 2000
Currency Sold and Currency Currency Unrealized
Settlement Date Units Sold Value in $ U.S. Gain/(Loss)
--------------------------------------------------------------------------------
Euro 6/9/00 194,800,000 $ 177,638,120 $ 17,230,286
Euro 9/8/00 510,800,000 468,659,000 23,705,514
Euro 9/22/00 359,000,000 329,705,600 16,732,990
Euro 10/5/00 54,000,000 49,636,800 2,257,200
Japanese Yen 9/8/00 8,800,000,000 83,400,702 2,690,309
Japanese Yen 9/14/00 2,600,000,000 24,669,289 602,650
Japanese Yen 9/22/00 1,900,000,000 18,055,070 543,571
Japanese Yen 10/5/00 5,100,000,000 48,584,106 1,811,150
--------------------------------------------------------------------------------
Total $1,200,348,687 $ 65,573,670
See Notes to Schedules of Investments.
34 Janus Equity Funds / April 30, 2000
<PAGE>
Janus | Olympus Fund (closed to new investors)
[PHOTO]
Claire Young
portfolio manager
Janus Olympus Fund gained 36.90% for the six-month period ended April 30, 2000,
outpacing the S&P 500, which returned 7.18%.(1) As a result, the Fund achieved a
top-decile ranking, placing 15th of 457 large-cap growth funds for the 12 months
ended April 30, 2000, as tracked by Lipper, Inc., a leading mutual fund rating
company.(2)
I am pleased to report that most of our holdings' fundamentals strengthened
during the period. Our market-leading growth companies were aided by several
significant business trends, including a renewed emphasis on Internet
connectivity.
Following the uneventful passing of Y2K, large corporations focused their
information technology resources on new projects to take advantage of the
Internet. "Old economy" companies embraced the Web, as evidenced by the Big
Three auto manufacturers and brick-and-mortar retailers announcing
business-to-business electronic marketplaces to streamline buying and selling.
These marketplaces will also pull smaller and mid-sized suppliers online to
compete for e-commerce contracts.
Our holding in Sun Microsystems was one beneficiary of this trend as the company
is closely identified with "dot-com" businesses through its server, software and
service products. Sun also continued its eSun initiative to implement Web-based
services internally, leading to tremendous productivity and cost enhancements.
VeriSign benefited as well as it experienced strong demand for its Web site
solutions, which enable businesses to conduct secure online communications and
commerce. Additionally, our position in Network Solutions, the leading registry
for dot-com, dot-net and dot-org domain names, substantially boosted its revenue
growth by helping customers manage their identity and develop their Web commerce
capabilities. Furthermore, Network Solutions and VeriSign announced their merger
during the period, and, as a result, should become a preferred provider of
corporate e-commerce services.
Another trend that worked to our advantage was the increased dependence on
accessing information anytime, anywhere. A proliferation of handheld devices,
such as wireless handsets and personal digital assistants, has driven demand for
even smaller, more power-efficient components.
As the leading global mobile phone and network supplier, top holding Nokia
continued to play a dominant role in the coming "Mobile Information Society."
The company has improved its core handset functionality while designing new
devices to "put the Internet in your pocket." Texas Instruments, a leading
semiconductor manufacturer, and Xilinx, a major programmable logic device
company, also rewarded us as they enhanced their core technologies to address
new areas such as cellular handsets, set-top boxes and MP3 players. Furthermore,
portfolio holding Applied Materials saw tremendous demand for its semiconductor
wafer-fabrication systems that enable companies like Texas Instruments and Intel
to increase the densities and reduce the unit costs of their chips.
Also supporting performance was the trend toward the intermeshing of business
systems and increased consumer use of the Internet, as well as the advent of new
industries such as application service providers. Both have put tremendous
capacity demands on telecommunications infrastructure as traffic doubles every
four months. Cable and telephony companies continued to upgrade their facilities
to meet existing needs and to prepare for future requirements of data, audio and
video transmission. They are challenged
(continued on next page)
Portfolio Profile April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Equities 74.7% 89.5%
Foreign 18.3% 17.4%
European 14.3% 14.8%
Top 10 Equities (% of Assets) 29.6% 32.8%
Number of Stocks 69 64
Cash, Cash Equivalents &
Fixed-Income Securities 25.3% 10.5%
--------------------------------------------------------------------------------
Top 5 Industries April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Telecommunication Equipment 7.1% 6.8%
Electronic Components -
Semiconductors 6.0% 4.7%
Cellular Telecommunications 4.6% 6.2%
Networking Products 4.4% 4.9%
Telecommunication Services 4.0% 3.2%
--------------------------------------------------------------------------------
Top 10 Equity Holdings April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Nokia Oyj (ADR) 6.2% 5.4%
VERITAS Software Corp. 3.7% 3.6%
Cisco Systems, Inc. 3.4% 3.3%
Sun Microsystems, Inc. 3.2% 4.5%
Vodafone AirTouch PLC 2.7% 2.5%
JDS Uniphase Corp. 2.7% 3.1%
Network Solutions, Inc. 2.2% --
VeriSign, Inc. 2.1% 1.7%
Applied Materials, Inc. 1.9% 1.6%
Texas Instruments, Inc. 1.5% 1.6%
--------------------------------------------------------------------------------
(1) Both returns include reinvested dividends.
(2) Lipper, Inc. defines a large-cap growth fund as one that "invests at least
75% of their equity assets in companies with market capitalizations (on a
three-year weighted basis) of greater than 300% of the dollar-weighted
median market capitalization of the S&P Mid-Cap 400 Index. Large-cap growth
funds normally invest in companies with long-term earnings expected to grow
significantly faster than the earnings of the stocks represented in a major
unmanaged stock index. These funds will normally have an above-average
price-to-earnings ratio, price-to-book ratio, and three-year earnings
growth figure, compared to the U.S. diversified large-cap funds universe
average." The ranking is based on total return, including reinvestment of
dividends and capital gains for the stated period.
Past performance does not guarantee future results.
Janus Equity Funds / April 30, 2000 35
<PAGE>
by utilizing existing equipment while migrating to Internet Protocol (IP) for
future data transfer needs.
Long-time holding Cisco Systems, the worldwide leader in networking for the
Internet, capitalized on its core enterprise routing capabilities with new
products that integrate voice, video and data. Juniper Networks, a
market-leading high-performance IP system provider, benefited as well from
strong demand for its backbone routers by large telecommunications service
providers. The company also introduced products for peering, hosting and
high-speed traffic aggregation. Meanwhile, our position in JDS Uniphase, the
largest photonic component manufacturer, continued to face capacity constraints
as demand for fiber-optic systems exceeded expectations.
While we were pleased with the Fund's overall results, we took profits in
Tiffany as it approached our target price and as rising interest rates dimmed
prospects for future growth. Additionally, Lucent Technologies was liquidated
after it missed first-quarter earnings because of unmet demand for new optical
networking products. Finally, Biogen was sold when trials for its
immunosuppressant drug Antova were halted due to adverse events.
Looking ahead, given the recent volatility and signs of accelerating inflation,
we are closely monitoring market conditions. As long as the Federal Reserve
persists in raising interest rates, the market will be sensitive to every sign
of inflation. Therefore, we will continue to focus on the long-term potential of
our investments, whose fundamentals should ultimately be recognized and
rewarded.
Thank you for your investment in Janus Olympus Fund.
Performance Overview
[GRAPHIC OMITTED]
A graphic comparison of the change in value of a hypothetical $10,000 investment
in Janus Olympus Fund and the S&P 500 Index. Janus Olympus Fund is represented
by a shaded area of green. The S&P 500 Index is represented by a solid black
line. The "y" axis reflects the value of the investment. The "x" axis reflects
the computation periods from inception, December 29, 1995, through April 30,
2000. The upper and lower right quadrants reflect the ending value of the
hypothetical investment in Janus Olympus Fund ($49,125) as compared to the S&P
500 Index ($25,318).
Average Annual Total Return
for the periods ended April 30, 2000
One Year, 63.12%
Since 12/29/95*, 44.34%
Janus Olympus Fund - $49,125
S&P 500 Index - $25,318
*The Fund's inception date.
Source - Lipper, Inc. 2000.
Past performance does not guarantee future results. Investment return and
principal value will fluctuate so that shares, when redeemed, may be worth more
or less than their original cost. All returns reflect reinvested dividends. The
Fund's portfolio may differ significantly from the securities in the Index. The
Index is unmanaged and therefore does not reflect the cost of portfolio
management or trading.
This Fund's returns may have been positively impacted by buying technology
companies in a period favorable for these stocks.
The performance figures above reflect the exceptional performance of the stock
market in 1999. Investors should maintain realistic expectations for future
performance and, most importantly, should note that the recent market volatility
is not reflected in these figures.
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Common Stocks - 74.7%
Athletic Footwear - 0.6%
1,146,615 Nike, Inc. - Class B ..................... $ 49,806,089
Broadcast Services and Programming - 1.9%
1,000,000 Clear Channel Communications, Inc.* ...... 72,000,000
1,448,625 Grupo Televisa S.A. (GDR)* ............... 91,897,148
163,897,148
Cable Television - 0.8%
1,650,000 Comcast Corp. - Special Class A* ......... 66,103,125
Cellular Telecommunications - 4.6%
750,000 Nextel Communications, Inc. - Class A* ... 82,078,125
2,307 NTT DoCoMo, Inc. ......................... 77,062,539
25,575,113 Vodafone AirTouch PLC** .................. 117,646,848
2,455,560 Vodafone AirTouch PLC (ADR)** ............ 115,411,320
392,198,832
Communications Software - 0.4%
432,435 Aspect Development, Inc.* ................ 29,892,069
Computer Data Security - 2.9%
399,625 Check Point Software Technologies, Ltd.* . 69,135,125
1,257,280 VeriSign, Inc.* .......................... 175,233,400
244,368,525
Computer Software - 0.4%
433,030 Macromedia, Inc.* ........................ 37,673,610
Computers - Integrated Systems - 3.1%
2,063,760 ASM Lithography Holding N.V.*,** ......... $ 82,550,400
800,000 Brocade Communications Systems, Inc.* .... 99,200,000
1,428,452 Psion PLC** .............................. 85,766,224
267,516,624
Computers - Memory Devices - 3.7%
2,900,000 VERITAS Software Corp.* .................. 311,070,313
Computers - Micro - 3.2%
3,000,000 Sun Microsystems, Inc.* .................. 275,812,500
Cosmetics and Toiletries - 1.3%
1,963,000 Colgate-Palmolive Co. .................... 112,136,375
Distribution and Wholesale - 0.6%
901,970 Costco Wholesale Corp.* .................. 48,762,753
E-Commerce - 1.0%
1,350,000 Priceline.com, Inc.* ..................... 85,387,500
Electronic Components - 0.7%
694,705 Vishay Intertechnology, Inc.* ............ 58,268,382
Electronic Components - Semiconductors - 6.0%
1,600,000 Applied Materials, Inc.* ................. 162,900,000
900,000 Conexant Systems, Inc.* .................. 53,887,500
900,000 Taiwan Semiconductor Manufacturing
Company, Ltd. (ADR)* ................... 47,081,250
800,000 Texas Instruments, Inc. .................. 130,300,000
1,600,000 Xilinx, Inc.* ............................ 117,200,000
511,368,750
See Notes to Schedules of Investments.
36 Janus Equity Funds / April 30, 2000
<PAGE>
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Enterprise Software and Services - 2.3%
700,000 i2 Technologies, Inc.* ................... $ 90,475,000
1,300,000 Oracle Corp.* ............................ 103,918,750
194,393,750
Entertainment Software - 0.4%
550,000 Electronic Arts, Inc.* ................... 33,275,000
Fiber Optics - 2.7%
2,200,000 JDS Uniphase Corp.* ...................... 228,112,500
Finance - Investment Bankers/Brokers - 1.0%
1,153,645 Charles Schwab Corp. ..................... 51,337,202
1,635,495 E*TRADE Group, Inc.* ..................... 35,163,143
86,500,345
Finance - Mortgage Loan Banker - 0.7%
973,250 Fannie Mae ............................... 58,699,141
Food - Retail - 0.6%
3,000,000 Kroger Co.* .............................. 55,687,500
Identification Systems and Devices - 0.8%
1,200,000 Symbol Technologies, Inc. ................ 66,900,000
Instruments - Scientific - 0.9%
1,302,000 PE Corp./PE Biosystems Group ............. 78,120,000
Internet Content - 3.4%
1,000,000 DoubleClick, Inc.* ....................... 75,875,000
1,245,890 Network Solutions, Inc.* ................. 184,391,720
221,900 Yahoo!, Inc.* ............................ 28,902,475
289,169,195
Internet Software - 3.6%
1,300,175 America Online, Inc.* .................... 77,766,717
1,456,260 Art Technology Group, Inc.* .............. 88,467,795
1,043,660 RealNetworks, Inc.* ...................... 49,704,308
1,016,870 TIBCO Software, Inc.* .................... 90,564,984
306,503,804
Medical - Biomedical and Genetic - 0.6%
100,000 Incyte Pharmaceuticals, Inc.*,ss.,+ ...... 7,218,750
505,945 PE Corp./Celera Genomics Group* .......... 41,740,462
48,959,212
Medical - Drugs - 1.6%
700,000 Genentech, Inc.* ......................... 81,900,000
1,300,000 Pfizer, Inc. ............................. 54,762,500
136,662,500
Medical Instruments - 1.0%
1,500,000 Guidant Corp.* ........................... 86,062,500
Motorcycle and Motor Scooter Manufacturing - 0.2%
485,785 Harley-Davidson, Inc. .................... 19,340,315
Multimedia - 1.3%
1,200,000 Time Warner, Inc. ........................ 107,925,000
Networking Products - 4.4%
4,200,000 Cisco Systems, Inc.* ..................... 291,178,125
400,000 Juniper Networks, Inc.* .................. 85,075,000
376,253,125
Publishing - Newspapers - 0.5%
1,119,250 New York Times Co. - Class A ............. 46,099,109
Retail - Apparel and Shoe - 0.7%
1,600,000 Gap, Inc. ................................ $ 58,800,000
Retail - Building Products - 0.7%
1,000,000 Home Depot, Inc. ......................... 56,062,500
Retail - Drug Store - 0.9%
2,700,000 Walgreen Co. ............................. 75,937,500
Retail - Restaurants - 0.6%
2,500,000 Wendy's International, Inc. .............. 55,937,500
Satellite Telecommunications - 1.3%
1,800,000 EchoStar Communications Corp.* ........... 114,637,500
Super-Regional Banks - 0.8%
2,575,375 Firstar Corp. ............................ 64,062,453
Telecommunication Equipment - 7.1%
900,000 Comverse Technology, Inc.* ............... 80,268,750
9,200,000 Nokia Oyj (ADR)*,** ...................... 523,250,000
603,518,750
Telecommunication Services - 3.2%
1,648,396 COLT Telecom Group PLC*,** ............... 70,392,101
300,000 COLT Telecom Group PLC (ADR)*,** ......... 51,225,000
1,405,065 Cox Communications, Inc. - Class A* ...... 60,154,345
330,570 Level 3 Communications, Inc.* ............ 29,420,730
1,800,000 SK Telecom Company, Ltd. (ADR) ........... 57,712,500
268,904,676
Telephone - Integrated - 1.0%
1,250,000 Telefonica S.A. (ADR)*,** ................ 82,812,500
Therapeutics - 0.4%
379,740 Abgenix, Inc.* ........................... 34,010,464
Wireless Equipment - 0.8%
422,760 Aether Systems, Inc.* .................... 70,382,934
--------------------------------------------------------------------------------
Total Common Stocks (cost $4,016,499,178) .................. 6,357,992,368
--------------------------------------------------------------------------------
Corporate Bonds - 2.6%
Cable Television - 1.0%
United Pan-Europe Communications N.V.:
$ 59,774,000 11.25%, senior notes, due 2/1/10**,+ ... 55,589,820
35,106,000 11.50%, senior notes, due 2/1/10**,+ ... 32,297,520
87,887,340
Finance - Investment Bankers/Brokers - 0.6%
44,917,000 E*TRADE Group, Inc., 6.00%
convertible subordinated notes
due 2/1/07+ ............................ 48,959,530
Internet Content - 0.2%
27,500,000 Critical Path, Inc., 5.75%
convertible bonds, due 4/1/05+ ......... 20,796,875
Telecommunication Services - 0.8%
72,000,000 Level 3 Communications, Inc., 6.00%
convertible subordinated debentures
due 3/15/10 ............................ 64,530,000
--------------------------------------------------------------------------------
Total Corporate Bonds (cost $226,968,981) .................. 222,173,745
--------------------------------------------------------------------------------
Money Market - 0.7%
Janus Government Money Market Fund
60,000,000 6.00% (cost $60,000,000) ............... 60,000,000
--------------------------------------------------------------------------------
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 37
<PAGE>
Janus | Olympus Fund
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Short-Term Corporate Notes - 7.1%
Associates Corp N.A.
$ 404,100,000 5.99%, 5/1/00 .......................... $ 404,100,000
Deutsche Bank A.G.
100,000,000 6.00%, 5/18/00 ......................... 99,716,667
JP Morgan Securities
100,000,000 5.90%, 5/8/00 .......................... 99,885,278
--------------------------------------------------------------------------------
Total Short-Term Corporate Notes
(amortized cost $603,701,945) ........................... 603,701,945
--------------------------------------------------------------------------------
U.S. Government Agencies - 14.5%
Fannie Mae:
50,000,000 5.79%, 5/18/00 ......................... 49,863,292
50,000,000 5.80%, 6/1/00 .......................... 49,750,278
50,000,000 6.07%, 9/11/00 ......................... 48,843,500
Federal Home Loan Bank System:
100,000,000 5.65%, 5/9/00 .......................... 99,874,444
50,000,000 5.83%, 5/11/00 ......................... 49,919,028
50,000,000 5.65%, 5/15/00 ......................... 49,890,139
50,000,000 5.69%, 5/22/00 ......................... 49,834,042
50,000,000 5.78%, 5/31/00 ......................... 49,759,167
50,000,000 5.89%, 6/30/00 ......................... 49,495,000
50,000,000 5.80%, 7/14/00 ......................... 49,366,500
100,000,000 5.95%, 7/24/00 ......................... 98,562,000
50,000,000 5.97%, 7/28/00 ......................... 49,247,000
50,000,000 5.98%, 8/3/00 .......................... 49,184,000
50,000,000 5.92%, 8/18/00 ......................... 49,053,500
50,000,000 5.98%, 8/30/00 ......................... 48,949,500
100,000,000 6.02%, 9/22/00 ......................... 97,496,000
50,000,000 6.05%, 10/16/00 ........................ 48,534,500
50,000,000 5.98%, 12/08/00 ........................ 48,060,000
Freddie Mac:
50,000,000 6.06%, 6/20/00 ......................... 49,579,167
50,000,000 6.05%, 10/18/00 ........................ 48,517,000
100,000,000 6.02%, 12/15/00 ........................ 95,997,000
--------------------------------------------------------------------------------
Total U.S. Government Agencies (cost $1,230,565,097) ....... 1,229,775,057
--------------------------------------------------------------------------------
Total Investments (total cost $6,137,735,201) - 99.6% ...... 8,473,643,115
--------------------------------------------------------------------------------
Cash, Receivables and Other Assets, net of Liabilities - 0.4% 33,859,037
--------------------------------------------------------------------------------
Net Assets - 100% .......................................... $ 8,507,502,152
--------------------------------------------------------------------------------
Summary of Investments by Country, April 30, 2000
Country % of Investment Securities Market Value
--------------------------------------------------------------------------------
Finland 6.2% $ 523,250,000
Israel 0.8% 69,135,125
Japan 0.9% 77,062,539
Mexico 1.1% 91,897,148
Netherlands 2.0% 170,437,740
South Korea 0.7% 57,712,500
Spain 1.0% 82,812,500
Taiwan 0.5% 47,081,250
United Kingdom 5.2% 440,441,493
United States++ 81.6% 6,913,812,820
--------------------------------------------------------------------------------
Total 100.0% $ 8,473,643,115
++Includes Short-Term Securities (59.2% excluding Short-Term Securities)
Forward Currency Contracts, Open at April 30, 2000
Currency Sold and Currency Currency Unrealized
Settlement Date Units Sold Value in $ U.S. Gain/(Loss)
--------------------------------------------------------------------------------
British Pound 5/18/00 8,233,000 $ 12,787,496 $ 293,918
British Pound 6/9/00 88,000,000 136,708,000 5,054,370
British Pound 9/8/00 15,000,000 23,332,500 505,395
British Pound 10/5/00 45,000,000 70,029,000 1,188,000
Euro 6/9/00 58,100,000 52,981,390 1,464,731
Euro 9/8/00 91,600,000 84,043,000 4,176,918
Euro 9/22/00 103,000,000 94,595,200 4,800,830
Euro 9/29/00 3,400,000 3,123,920 168,470
Euro 10/5/00 54,400,000 50,004,480 2,273,920
--------------------------------------------------------------------------------
Total $ 527,604,986 $ 19,926,552
See Notes to Schedules of Investments.
38 Janus Equity Funds / April 30, 2000
<PAGE>
Janus | Overseas Fund (closed to new investors)
[PHOTO]
Helen Young Hayes
portfolio manager
[PHOTO]
Laurence Chang
portfolio manager
Janus Overseas Fund returned 52.18% for the six-month period ended April 30,
2000, outperforming its benchmark, the Morgan Stanley Capital International EAFE
Index, which gained 6.72%.(1) As a result, the Fund achieved a top-decile
ranking for the 12-month period ended April 30, 2000, placing it 8th out of 648
international funds tracked by Lipper, Inc., a leading mutual fund rating
company.(2)
Our performance notwithstanding, the environment for international equities
proved increasingly challenging. Throughout the period, European markets
struggled with uneven economic growth and weakness in the euro currency, which
fueled inflation fears. In an attempt to contain inflation below the European
Union's self-imposed 2% limit, the European Central Bank initiated a series of
interest rate hikes. Meanwhile, Asia and Latin America fared better, bolstered
by improving economic fundamentals. In Japan, a growing budget deficit and
lackluster economy held back most equities with the exception of certain
individual stocks, primarily in the technology arena.
Volatility, which has come to characterize the market's demeanor, intensified
throughout the period. While a number of market indices rose to all-time highs,
the breadth of the advance was markedly narrow. Since March, however, the very
same stocks that fueled the bull market, namely technology and other "new
economy" issues, ignited several broad sell-offs as investors acknowledged that
valuations might in fact be stretched. Attention was then redirected to
undervalued "old economy" companies, which seemed to signal a shift in market
leadership. For the most part, though, the markets appeared to settle into a
trading range, moving abruptly in either direction from one day to the next.
In this type of market environment, we feel it is particularly important to
identify individual opportunities able to transcend short-term fluctuations.
While we acknowledge the impact of economic and market events, our focus
continues to be on companies that combine dominant franchises, outstanding
products and forward-thinking management. Wireless communications has proven to
be a fertile area for us, and in this group, Japan's NTT DoCoMo stands out. The
company's new i-Mode wireless data service is shaping up to be a significant
growth engine, building upon the already phenomenal success of its voice-only
offerings. Recent service disruptions, the product of an overtaxed
infrastructure, are of some concern. However, we remain in close contact with
DoCoMo and are satisfied with their efforts to increase network capacity.
Accelerating demand in the telecommunications and electronics markets, combined
with a continuing trend toward the increased outsourcing of production among
electronics manufacturers, has fueled the strong performance in Canadian-based
Celestica, a relatively recent addition to the Fund. As a leading electronics
manufacturing services company, Celestica enables its customers - top-tier
manufacturers of networking, computing and telecommunications equipment such as
IBM, Cisco Systems and EMC - to focus on designing equipment and software, while
Celestica provides the logistical, manufacturing and assembly expertise needed
to build the final product. The pressure on technology stocks toward the end of
the period forced Celestica to give up some of its gains, but we remain
optimistic about the long-term trends in the industry and for the company.
As businesses continue to embrace the power of the Internet, the need for
products that safeguard communications and e-commerce transactions becomes more
and more critical. The call for enhanced security
(continued on next page)
Portfolio Profile April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Equities 86.1% 94.3%
Foreign 81.2% 87.3%
Top 10 Equities (% of Assets) 31.9% 34.4%
Number of Stocks 143 110
Cash, Cash Equivalents &
Fixed-Income Securities 13.9% 5.7%
--------------------------------------------------------------------------------
Top 5 Industries April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Cellular Telecommunications 15.0% 14.9%
Telecommunication Equipment 11.3% 9.9%
Telecommunication Services 7.4% 10.9%
Telephone - Integrated 5.6% 4.3%
Electronic Components 3.9% 3.2%
--------------------------------------------------------------------------------
Top 5 Countries April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
United Kingdom 14.2% 11.6%
Japan 13.5% 19.2%
Canada 7.3% 7.7%
Finland 7.1% 6.8%
Hong Kong 6.8% 3.4%
--------------------------------------------------------------------------------
Top 10 Equity Holdings April 30, 2000 October 31,1999
--------------------------------------------------------------------------------
Nokia Oyj 6.3% 5.7%
Vodafone AirTouch PLC 4.8% 2.0%
NTT DoCoMo, Inc. 4.5% 7.9%
China Telecom, Ltd. 4.4% 3.0%
Telefonaktiebolaget L.M. Ericsson A.B 2.2% 1.5%
Check Point Software Technologies, Ltd. 2.1% 0.1%
COLT Telecom Group PLC 2.0% 2.9%
Telefonos de Mexico S.A 1.9% 1.4%
Koninklijke (Royal) Philips Electronics N.V 1.9% 2.3%
Sony Corp. 1.8% 1.4%
--------------------------------------------------------------------------------
(1) Both returns include reinvested dividends. Net dividends reinvested are the
dividends that remain to be reinvested after foreign tax obligations have
been met. Such obligations vary from country to country.
(2) Lipper, Inc. defines an international fund as one that "invests its assets
in securities with primary trading markets outside of the United States."
As of April 30, 2000, Janus Overseas Fund ranked 1/253 for the 5-year
period. This ranking is based on total return, including reinvestment of
dividends and capital gains for the stated period.
Past performance does not guarantee future results.
Janus Equity Funds / April 30, 2000 39
<PAGE>
measures accelerated in February after several "hacker attacks" were launched on
major Web sites. These increased concerns over network security benefited our
holdings in Israel's Check Point Software, which dominates firewall software,
and Ireland's Baltimore Technologies, which specializes in digital certificates.
Another positive contributor was Legend Holdings, a new position for the Fund.
The Internet is driving tremendous demand for PCs in every corner of the globe,
and China is no exception. Legend, a Chinese manufacturer and distributor of
PCs, is creating a "first-mover" advantage in the largest consumer market in the
world, and has doubled its market share in China over the last two years to over
25%.
Despite these successes, several of our holdings fell short of expectations. One
in particular, consumer electronics giant Sony, retreated following reports of
technical glitches in its new PlayStation2 video-game console. Sony's dominance
in the game console business, however, remains a competitive advantage.
Consequently, we have maintained our position.
Looking ahead, we remain generally optimistic regarding the long-term future of
international markets. Prospects for Asia and emerging markets continue to grow
increasingly brighter. Near term, however, lingering economic uncertainty,
particularly in Europe, will likely lead to further volatility. In anticipation,
we have built up our cash position in order to increase our flexibility as
compelling investment opportunities arise. Still, we remain focused on the
fundamentals of individual companies, carefully watching valuation levels and
investing in businesses we believe can generate strong results in any economic
environment.
In closing, we would like to thank you for your investment and confidence in
Janus Overseas Fund.
Performance Overview
[GRAPHIC OMITTED]
A graphic comparison of the change in value of a hypothetical $10,000 investment
in Janus Overseas Fund and the Morgan Stanley Capital International EAFE Index.
Janus Overseas Fund is represented by a shaded area of green. The Morgan Stanley
Capital International EAFE Index is represented by a solid black line. The "y"
axis reflects the value of the investment. The "x" axis reflects the computation
periods from inception, May 2, 1994, through April 30, 2000. The upper and lower
right quadrants reflect the ending value of the hypothetical investment in Janus
Overseas Fund ($41,625) as compared to the Morgan Stanley Capital International
EAFE Index ($17,289).
Average Annual Total Return
for the periods ended April 30, 2000
One Year, 80.21%
Five Year, 32.47%
Since 5/2/94*, 26.85%
Janus Overseas Fund - $41,625
Morgan Stanley
Capital International
EAFE Index - $17,289
*The Fund's inception date.
Source - Lipper, Inc. 2000.
Past performance does not guarantee future results. Investment return and
principal value will fluctuate so that shares, when redeemed, may be worth more
or less than their original cost. All returns reflect reinvested dividends. The
Fund's portfolio may differ significantly from the securities in the Index. The
Index is unmanaged and therefore does not reflect the cost of portfolio
management or trading.
This Fund's returns may have been positively impacted by buying technology
companies in a period favorable for these stocks.
The performance figures above reflect the exceptional performance of the stock
market in 1999. Investors should maintain realistic expectations for future
performance and, most importantly, should note that the recent market volatility
is not reflected in these figures.
Foreign investing involves special risks such as currency fluctuations and
political uncertainty.
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Common Stock - 83.3%
Advertising Sales - 0.1%
30,973 Havas Advertising S.A.** ................. $ 15,495,073
Agricultural Biotechnology - 0.5%
1,030,943 Pharmacia Corp. .......................... 51,482,716
Apparel Manufacturers - 0.1%
93,925 Gucci Group N.V. - New York Shares** ..... 8,230,178
Applications Software - 0.2%
1,899,250 Sage Group PLC** ......................... 21,054,133
Audio and Video Products - 1.8%
1,553,800 Sony Corp.** ............................. 179,071,870
45,140 Sony Corp. (ADR)** ....................... 10,184,713
189,256,583
Broadcast Services and Programming - 1.4%
438,846 EM.TV & Merchandising A.G.** ............. 34,791,201
1,518,425 Grupo Televisa S.A. (GDR)* ............... 96,325,086
250,600 UnitedGlobalCom, Inc. - Class A* ......... 13,313,125
144,429,412
Cable Television - 2.9%
489,305 Globo Cabo S.A. (ADR) .................... $ 8,257,022
5,261,292 Le Groupe Videotron ltee.**,# ............ 126,413,699
4,483,610 Rogers Communications, Inc. - Class B*,** 116,655,159
257,835 Rogers Communications, Inc. - Class B
New York Shares*,** .................... 6,703,710
8,676,477 Telewest Communications PLC*,** .......... 52,984,162
311,013,752
Cellular Telecommunications - 15.0%
9,516,000 China Telecom, Ltd.*,** .................. 68,722,066
2,704,870 China Telecom, Ltd. (ADR)*,** ............ 396,770,618
1,006,526 Egyptian Mobile Service Co.* ............. 38,372,772
14,498 NTT DoCoMo, Inc.** ....................... 484,288,121
2,982,190 Partner Communications
Company, Ltd. (ADR)* ................... 31,872,156
2,577,249 Telecom Italia Mobile S.p.A.** ........... 24,671,210
1,233,260 Telesp Celular Participacoes S.A. (ADR) .. 54,417,598
99,669,831 Vodafone AirTouch PLC** .................. 458,486,400
1,080,800 Vodafone AirTouch PLC (ADR)** ............ 50,797,600
1,608,398,541
Commercial Banks - 0.4%
510,089 Bipop - Carire S.p.A.** .................. 46,467,967
See Notes to Schedules of Investments.
40 Janus Equity Funds / April 30, 2000
<PAGE>
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Computer Data Security - 2.7%
627,047 Baltimore Technologies PLC*,** ........... $ 63,415,159
1,324,375 Check Point Software Technologies, Ltd.* . 229,116,875
292,532,034
Computer Services - 1.8%
187,330 Atos S.A.*,** ............................ 20,296,783
200,704 Cap Gemini S.A.** ........................ 39,504,612
48,941 CMG PLC** ................................ 3,184,316
515,037 Connecta A.B.* ........................... 16,395,655
991,611 Getronics N.V.** ......................... 59,276,587
1,918,479 Logica PLC** ............................. 58,089,395
196,747,348
Computer Software - 0.9%
408,017 Software A.G.** .......................... 47,219,349
978,236 Tietoenator Oyj** ........................ 47,245,182
94,464,531
Computers - Integrated Systems - 1.6%
535,722 ASM Lithography Holding N.V. *,** ........ 20,991,620
212,358 ASM Lithography Holding N.V. (ADR)*,** ... 8,494,320
6,686,000 Dimension Data Holdings, Ltd. ............ 43,887,770
1,158,400 Fujitsu, Ltd.** .......................... 32,799,596
693,592 Psion PLC** .............................. 41,644,218
1,501,417 SEMA Group PLC** ......................... 24,245,987
172,063,511
Computers - Micro - 1.8%
161,816,000 Legend Holdings, Ltd.** .................. 188,013,608
Data Processing and Management - 0.1%
67,454 Autonomy Corp. PLC*,** ................... 8,971,382
Distribution and Wholesale - 0%
4,480,000 Global Tech Holdings, Ltd.** ............. 5,119,025
Diversified Operations - 1.1%
1,852,772 Bombardier, Inc.** ....................... 49,768,756
11,615,000 Citic Pacific, Ltd.** .................... 53,236,154
2,792,939 Hays PLC** ............................... 19,284,350
122,289,260
E-Commerce - 0.4%
12,029,226 QXL.com, Ltd.*,** ........................ 38,779,943
Electric Products - 1.1%
1,570,880 Pace Micro Technology PLC** .............. 18,435,848
197,840 Samsung Electronics ...................... 53,484,022
575,910 Samsung Electronics (GDR)+ ............... 46,159,187
118,079,057
Electronic Components - 3.9%
61,624 Celestica, Inc.*,** ...................... 3,323,138
1,249,025 Celestica, Inc. - New York Shares*,** .... 68,149,927
2,788,824 Koninklijke (Royal) Philips Electronics
N.V.** ................................. 124,702,507
1,641,271 Koninklijke (Royal) Philips Electronics
N.V. - New York Shares** ............... 73,241,718
387,000 Murata Manufacturing Company, Ltd.** ..... 75,200,162
2,792,000 NEC Corp.** .............................. 75,954,107
420,571,559
Electronic Components - Semiconductors - 1.9%
491,855 Chartered Semiconductor Manufacturing,
Ltd. (ADR)*,** ......................... $ 42,975,831
47,900 Rohm Company, Ltd.** ..................... 16,044,737
60,175 St Assembly Test Services, Ltd. (ADR)*,** 2,508,545
383,945 STMicroelectronics N.V.** ................ 73,437,769
64,005 STMicroelectronics N.V. - New York Shares** 12,140,948
989,979 Taiwan Semiconductor Manufacturing
Company, Ltd. (ADR)* ................... 51,788,276
198,896,106
Electronic Security Devices - 0.1%
1,801,167 Williams PLC** ........................... 10,255,719
Fiber Optics - 1.5%
63,620 E-Tek Dynamics, Inc.* .................... 13,026,195
1,422,814 JDS Uniphase Corp.* ...................... 147,528,027
118,190 Lumenon Innovative Lightwave
Technology, Inc. - New York Shares*,** . 2,245,610
162,799,832
Food - Catering - 0.4%
2,648,369 Compass Group PLC** ...................... 37,753,369
Human Resources - 0.6%
2,496,195 Capita Group PLC** ....................... 64,332,577
Internet Content - 1.7%
1,790,546 Melbourne IT, Ltd.* ...................... 8,584,089
695,100 Softbank Corp.** ......................... 171,515,961
19,322 Terra Networks S.A.*,** .................. 1,198,169
319,051 World Online International N.V.*,** ...... 4,302,886
185,601,105
Internet Software - 1.1%
291,740 Commtouch Software, Ltd.* ................ 6,163,008
1,031,600 Framtidsfabriken A.B.* ................... 16,938,469
635,066 GEO Interactive Media Group PLC*,**,+ .... 11,925,015
3,114,828 Information Highway A.B.*,# .............. 32,008,652
106,647 Intershop Communications A.G.*,** ........ 47,473,498
114,508,642
Life and Health Insurance - 0.8%
5,314,129 Prudential PLC** ......................... 82,274,134
Machinery - Electrical - 0%
21,313 Schneider Electric S.A.** ................ 1,398,347
Medical - Biomedical and Genetic - 0.9%
1,763,122 Cambridge Antibody Technology
Group PLC*,**,# ........................ 67,938,733
1,151,357 Oxford GlycoSciences PLC*,** ............. 29,051,500
8,600 QIAGEN N.V.*,** .......................... 1,248,075
98,238,308
Medical - Drugs - 2.4%
18,065 Ares-Serono Group - Class B** ............ 55,597,538
1,232,212 AstraZeneca Group PLC** .................. 51,848,366
38,334 AstraZeneca Group PLC (ADR)** ............ 1,613,863
1,917,000 Takeda Chemical Industries, Ltd.** ....... 126,118,917
389,000 Yamanouchi Pharmaceutical Company, Ltd.** 20,552,953
255,731,637
Medical Products - 0.3%
64,654 Synthes-Stratec, Inc.*,**,+ .............. 27,477,950
Metal Processors and Fabricators - 1.1%
5,838,514 Assa Abloy A.B. - Class B ................ 118,691,385
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 41
<PAGE>
Janus | Overseas Fund
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Money Center Banks - 1.4%
5,472,293 Banco Bilbao Vizcaya Argentaria S.A.** ... $ 74,799,487
2,450,441 DBS Group Holdings, Ltd.** ............... 33,726,162
4,484,000 Fuji Bank, Ltd.** ........................ 37,341,919
145,867,568
Multimedia - 1.3%
1,128,382 Corus Entertainment, Inc. - Class B*,** .. 30,462,664
200,955 News Corporation, Ltd. (ADR) ............. 10,336,623
4,256,162 Shaw Communications, Inc. - Class B** .... 99,534,382
140,333,669
Networking Products - 0.2%
616,170 Newbridge Networks Corp. .................
- New York Shares*,** .................. 22,066,588
Oil Companies - Integrated - 1.9%
2,614,000 Petroleo Brasileiro S.A. (ADR) ........... 61,929,303
952,166 Total Fina Elf S.A.** .................... 144,812,824
206,742,127
Petrochemicals - 0.9%
3,564,879 Reliance Industries, Ltd. ................ 28,327,219
2,766,396 Reliance Industries, Ltd. (GDR)+ ......... 70,958,057
99,285,276
Property and Casualty Insurance - 0.2%
2,007,000 Tokio Marine & Fire Insurance
Company, Ltd.** ........................ 19,573,861
Publishing - Newspapers - 0.3%
1,894,000 Singapore Press Holdings, Ltd.** ......... 37,049,406
Recycling - 0.6%
3,091,892 Tomra Systems A.S.A. ..................... 63,933,719
Retail - Diversified - 0.3%
404,000 Ito-Yokado Company, Ltd.** ............... 29,494,897
Security Services - 0.9%
3,861,994 Securitas A.B. - Class B ................. 100,079,485
Telecommmunication Equipment - 11.3%
8,881 ADVA A.G. Optical Networking** ........... 4,888,063
174,216 Alcatel S.A.** ........................... 40,482,399
463,195 Comverse Technology, Inc.* ............... 41,311,204
4,954,000 Datacraft Asia, Ltd.** ................... 37,155,000
6,935,957 Nokia Oyj** .............................. 398,817,098
4,837,315 Nokia Oyj (ADR)** ........................ 275,122,291
1,472,120 Nortel Networks Corp. - New York Shares** 166,717,590
1,525,472 Telefonaktiebolaget L.M. Ericsson A.B. (ADR) 134,908,930
1,176,312 Telefonaktiebolaget L.M. Ericsson A.B
- Class B .............................. 104,719,204
1,204,121,779
Telecommunication Services - 7.4%
2,271,035 Amdocs, Ltd.* ............................ 153,720,682
303,595 BCE, Inc.** .............................. 35,140,705
4,999,712 COLT Telecom Group PLC*,** ............... 213,504,661
243,400 Dacom Corp. .............................. 35,313,044
1,379,941 Energis PLC*,** .......................... 68,429,221
1,002,055 FirstCom Corp.* .......................... 20,792,641
1,100,465 GT Group Telecom, Inc. - Class B
New York Shares*,**,# .................. 14,237,266
467,010 Hanaro Telecom, Inc. (ADR)* .............. 3,677,704
399,825 Infonet Services Corp. - Class B* ........ 6,747,047
705,316 NTL, Inc.* ............................... 53,956,674
1,423 NTT Data Corp.** ......................... 18,960,767
4,374,145 SK Telecom Company, Ltd. (ADR) ........... 140,246,024
418,449 Sonera Oyj** ............................. 23,069,380
787,795,816
Telephone - Integrated - 4.7%
1,857 Nippon Telegraph & Telephone Corp.** ..... $ 23,025,296
6,131,503 Telefonica S.A.*,** ...................... 136,778,040
152,327 Telefonica S.A. (ADR)*,** ................ 10,091,664
3,526,810 Telefonos de Mexico S.A. (ADR) ........... 207,420,513
2,111,463 Versatel Telecom International N.V.*,** .. 84,851,609
998,710 Viatel, Inc.* ............................ 38,200,658
500,367,780
Telephone - Local - 0%
93,223 Tele Norte Leste Participacoes S.A. (ADR) 1,660,535
Television - 0.2%
128,414 Canal Plus S.A.** ........................ 24,807,686
Therapeutics - 0.2%
402,565 QLT PhotoTherapeutics, Inc.
- New York Shares*,** .................. 22,367,518
Tobacco - 0.3%
3,714 Japan Tobacco, Inc.** .................... 27,321,060
Wire and Cable Products - 0.6%
4,678,000 Furukawa Electric Company, Ltd.** ........ 64,885,905
--------------------------------------------------------------------------------
Total Common Stock (cost $5,306,078,738) ................... 8,909,173,399
--------------------------------------------------------------------------------
Foreign Bonds - 0.1%
Cable Television - 0.1%
EUR United Pan-Europe Communications N.V:
9,800,000 11.25%, senior notes, due 2/1/10**,+ ... 9,114,000
5,406,000 11.50%, senior notes, due 2/1/10**,+ ... 4,973,520
--------------------------------------------------------------------------------
Total Foreign Bonds (cost $15,094,664) ..................... 14,087,520
--------------------------------------------------------------------------------
Preferred Stock - 2.8%
Automotive - Cars and Light Trucks - 0.7%
31,565 Porsche A.G.** ........................... 78,524,731
Enterprise Software and Services - 0.2%
36,329 SAP A.G.** ............................... 21,418,830
Investment Management/Advisor Services - 0.8%
172,092 Marschollek, Lautenschlaeger und
Partner A.G.** ........................ 91,268,662
Multimedia - 0.2%
376,960 News Corporation, Ltd. (ADR) ............. 16,586,240
Telephone - Integrated - 0.9%
796,145 Telecomunicacoes Brasileiras S.A. (ADR) .. 94,094,387
--------------------------------------------------------------------------------
Total Preferred Stock (cost $198,747,290) .................. 301,892,850
--------------------------------------------------------------------------------
Short-Term Corporate Note - 0.9%
Deutsche Bank A.G.
$ 100,000,000 5.89%, 5/8/00
(amortized cost $99,885,472) ........... 99,885,472
--------------------------------------------------------------------------------
Time Deposit - 3.9%
Societe Generale, New York
422,300,000 5.9375%, 5/1/00 (cost $422,300,000) .... 422,300,000
--------------------------------------------------------------------------------
See Notes to Schedules of Investments.
42 Janus Equity Funds / April 30, 2000
<PAGE>
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
U.S. Government Agencies - 6.5%
Fannie Mae:
$ 50,000,000 5.79%, 5/18/00 ......................... $ 49,750,277
50,000,000 5.87%, 6/1/00 .......................... 49,863,292
Federal Home Loan Bank System:
50,000,000 5.68%, 5/31/00 ......................... 49,759,167
100,000,000 5.94%, 6/29/00 ......................... 99,006,000
50,000,000 5.81%, 7/3/00 .......................... 49,461,000
50,000,000 5.81%, 7/14/00 ......................... 49,366,500
100,000,000 5.90%, 7/24/00 ......................... 98,562,000
50,000,000 5.84%, 8/14/00 ......................... 49,088,500
50,000,000 5.87%, 9/7/00 .......................... 48,878,000
50,000,000 6.03%, 10/4/00 ......................... 48,639,000
Freddie Mac
100,000,000 6.02%, 12/15/00 ........................ 95,997,000
--------------------------------------------------------------------------------
Total U.S. Government Agencies (cost $688,892,042) ......... 688,370,736
--------------------------------------------------------------------------------
Total Investments (total cost $6,730,998,206) - 97.5% ...... 10,435,709,977
--------------------------------------------------------------------------------
Cash, Receivables and Other Assets, net of Liabilities - 2.5% 265,614,811
--------------------------------------------------------------------------------
Net Assets - 100% .......................................... $ 10,701,324,788
--------------------------------------------------------------------------------
Summary of Investments by Country, April 30, 2000
Country % of Investment Securities Market Value
--------------------------------------------------------------------------------
Australia 0.3% $ 35,506,952
Brazil 2.1% 220,358,845
Canada 7.3% 763,786,712
Egypt 0.4% 38,372,772
Finland 7.1% 744,253,951
France 3.6% 372,376,441
Germany 3.1% 325,584,334
Hong Kong 6.8% 711,861,471
India 1.0% 99,285,276
Israel 2.7% 279,077,054
Italy 0.7% 71,139,177
Japan 13.5% 1,412,334,842
Mexico 2.9% 303,745,599
Netherlands 3.8% 399,427,020
Norway 0.6% 63,933,719
Singapore 1.5% 153,414,944
South Africa 0.4% 43,887,770
South Korea 2.7% 278,879,981
Spain 2.2% 222,867,360
Sweden 5.0% 523,741,780
Switzerland 0.8% 83,075,488
Taiwan 0.5% 51,788,276
United Kingdom 14.2% 1,486,375,036
United States++ 16.8% 1,750,635,177
--------------------------------------------------------------------------------
Total 100.0% $ 10,435,709,977
++Includes Short-Term Securities (5.2% excluding Short-Term Securities)
Forward Currency Contracts, Open at April 30, 2000
Currency Sold and Currency Currency Unrealized
Settlement Date Units Sold Value in $ U.S. Gain/(Loss)
--------------------------------------------------------------------------------
British Pound 6/9/00 119,600,000 $ 185,798,600 $ 5,413,832
British Pound 9/8/00 78,400,000 121,951,200 2,042,925
British Pound 9/22/00 66,000,000 102,682,800 2,456,850
British Pound 9/29/00 121,000,000 188,276,000 3,823,600
British Pound 10/5/00 27,100,000 42,173,020 715,440
Canadian Dollar 5/18/00 84,300,000 56,955,611 1,430,112
Canadian Dollar 9/22/00 123,700,000 83,853,037 1,379,717
Euro 5/18/00 218,000,000 198,467,200 21,230,366
Euro 6/2/00 121,400,000 110,643,960 16,583,241
Euro 9/8/00 180,700,000 165,792,250 6,016,624
Euro 9/22/00 75,000,000 68,880,000 3,495,750
Euro 9/29/00 81,400,000 74,790,320 4,033,370
Euro 10/5/00 381,600,000 350,766,720 15,950,880
Hong Kong Dollar 3/16/01 1,180,000,000 151,379,089 39,895
Hong Kong Dollar 5/7/01 1,893,000,000 242,832,403 (1,799,979)
Hong Kong Dollar 5/10/01 1,952,000,000 250,400,873 (833,752)
Japanese Yen 5/18/00 13,630,000,000 126,485,016 4,540,997
Japanese Yen 6/2/00 5,800,000,000 53,976,183 2,498,987
Japanese Yen 9/1/00 22,000,000,000 208,224,489 (443,860)
Japanese Yen 9/8/00 18,220,000,000 172,677,362 3,619,076
Japanese Yen 9/29/00 4,000,000,000 38,061,490 886,903
Singapore Dollar 7/16/01 28,000,000 17,195,848 123,846
Swiss Franc 9/8/00 17,500,000 10,288,066 557,921
Swiss Franc 10/5/00 55,400,000 32,653,542 1,355,052
--------------------------------------------------------------------------------
Total $3,055,205,079 $ 95,117,793
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 43
<PAGE>
Janus | Special Situations Fund
[PHOTO]
David Decker
portfolio manager
For the six-month period ended April 30, 2000, Janus Special Situations Fund
returned 26.29% versus the 7.18% gain registered by its benchmark, the S&P 500
Index.(1) These results earned the Fund a top-quartile ranking for the 12 months
ended April 30, 2000, placing it 22nd among the 356 multi-cap core funds tracked
by Lipper, Inc., a leading mutual fund rating company.(2)
This has certainly been a volatile period for the financial markets, with the
technology-dominated Nasdaq Composite Index jumping 70.24% from November 1
through March 10, followed by a correction of 24% through the end of April.
While I typically don't comment on the market as a whole, one observation I
would make is that these dramatic swings demonstrated that it is important to
focus on valuation in order to mitigate risk. There have been arguments that the
"new economy" has rendered old valuation methods obsolete, because they cannot
capture the future value these companies will create. Instead, some have argued
that using proxies such as sales are a sufficient means of estimating valuation.
However, because the value of any company is a function of its future cash
flows, disregarding this "traditional" method of valuation can lead to accepting
excessive risk.
While measuring risk and reward may cause Janus Special Situations Fund to miss
certain periods of strong returns, it also insulates performance in turbulent
markets. Given that valuations of companies underappreciated by Wall Street did
not reflect the lofty expectations that characterized the market during the
period, the Fund behaved differently than the general market. By dodging much of
the turmoil unleashed in March and April, we stayed within our objective of
providing consistent, long-term, risk-adjusted returns.
There were a number of companies that contributed positively to our performance.
China Telecom (HK), Apple Computer and Station Casino all posted strong returns
as investors continued to gain appreciation for the value these companies are
creating. China Telecom (HK) benefited from the acceleration of its wireless
subscriber growth in China. Given that wireless penetration still remains low at
5%, we believe there is tremendous upside. Meanwhile, Apple showed fantastic
sales growth, only a year after it was written off for dead, and Station Casino
continues to generate industry-leading incremental returns on investment by
dominating the "locals" segment of the Las Vegas casino market. All three of
these companies represent significant holdings in the Fund.
On the negative side, auto parts manufacturer Federal Mogul continues to suffer
from value destruction as a result of overpaying for its most recent
acquisition. While I am disappointed in the stock's performance and the
resulting impact on our overall returns, I believe there is significant
intrinsic value in Federal Mogul and that Wall Street has been overly severe in
its dismissal of the firm's prospects.
Portfolio Profile April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Equities 97.8% 98.9%
Foreign 23.0% 17.9%
Top 10 Equities (% of Assets) 49.6% 54.4%
Number of Stocks 49 41
Cash & Cash Equivalents 2.2% 1.1%
--------------------------------------------------------------------------------
Top 5 Industries April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Multimedia 10.6% 14.9%
Cellular Telecommunications 10.6% 6.6%
Computers - Micro 7.7% 8.5%
Cable Television 5.7% 13.1%
Casino Hotels 5.0% 7.7%
--------------------------------------------------------------------------------
Top 10 Equity Holdings April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Apple Computer, Inc. 7.7% 8.5%
China Telecom, Ltd. (ADR) 7.7% 5.2%
Time Warner, Inc. 6.2% 7.4%
Enron Corp. 4.6% 3.0%
Reliance Industries, Ltd. 4.6% 1.9%
Viacom, Inc. - Class B 4.3% 7.4%
Coastal Corp. 4.1% --
SBS Broadcasting S.A 4.0% 4.1%
Comcast Corp. - Special Class A 3.3% 6.1%
Staples, Inc. 3.1% 3.6%
--------------------------------------------------------------------------------
(1) All returns include reinvested dividends.
(2) Lipper, Inc. defines a multi-cap core fund as one that "invests in a
variety of market capitalization ranges, without concentrating 75% of their
equity assets in any one market capitalization range over an extended
period of time. Mulit-cap funds will generally have between 25% to 75% of
their assets invested in companies with market capitalizations (on a
three-year weighted basis) above 300% of the dollar-weighted median market
capitalization of the S&P Mid-Cap 400 Index. Multi-cap core funds have wide
latitude in the companies in which they invest. These funds will normally
have an average price-to-earnings, price-to-book ratio, and three-year
earnings growth figure, compared to the U.S. diversified multi-cap equity
funds universe average." The ranking is based on total return, including
reinvestment of dividends and capital gains for the stated period.
Past performance does not guarantee future results. Investing in special
situation companies may entail greater risks.
44 Janus Equity Funds / April 30, 2000
<PAGE>
Another area of disappointment came from the Fund's cable position, specifically
Comcast. After posting impressive gains in 1999, the stock retreated during the
first four months of 2000. I continue to believe in this franchise and the value
it is creating by upgrading its system to allow for new, high-margin services
such as digital video and high-speed data access. Nonetheless, concern about the
pace of the rollout, as well as competitive pressures from products such as DSL,
wireless, and satellite, has caused a decline in the price investors are willing
to pay for Comcast. I agree with the logic behind this price compression, after
all, uncertainty creates risk. However, it is my opinion that cable will emerge
as a powerful player in the future of residential broadband services and the
valuations being accorded it will soon expand. As such, I have maintained a
position in Comcast.
As I conclude this letter I am en route to Asia in search of new ideas for the
Fund. I believe the turbulence in the market of late has produced exciting
opportunities both domestically and abroad. The key is to get out and find them
by visiting companies and asking tough questions of management - something our
investment team does every day.
I greatly appreciate your continued confidence and investment in Janus Special
Situations Fund.
Performance Overview
[GRAPHIC OMITTED]
A graphic comparison of the change in value of a hypothetical $10,000 investment
in Janus Special Situations Fund and the S&P 500 Index. Janus Special Situations
Fund is represented by a shaded area of green. The S&P 500 Index is represented
by a solid black line. The "y" axis reflects the value of the investment. The
"x" axis reflects the computation periods from inception, December 31, 1996,
through April 30, 2000. The upper and lower right quadrants reflect the ending
value of the hypothetical investment in Janus Special Situations Fund ($30,202)
as compared to the S&P 500 Index ($20,593).
Average Annual Total Return
for the periods ended April 30, 2000
One Year, 40.01%
Since 12/31/96*, 39.38%
Janus Special Situations Fund - $30,202
S&P 500 Index - $20,593
*The Fund's inception date.
Source - Lipper, Inc. 2000.
Past performance does not guarantee future results. Investment return and
principal value will fluctuate so that shares, when redeemed, may be worth more
or less than their original cost. All returns reflect reinvested dividends. The
Fund's portfolio may differ significantly from the securities in the Index. The
Index is unmanaged and therefore does not reflect the cost of portfolio
management or trading.
This Fund's returns may have been positively impacted by buying technology
companies in a period favorable for these stocks.
Janus Special Situations Fund buys stock in overlooked or underappreciated
companies of any size, in any sector. Overlooked and underappreciated stocks
present special risks.
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Common Stock - 97.0%
Automotive - Truck Parts and Equipment - 2.4%
2,037,235 Exide Corp.# ............................. $ 19,608,387
1,288,020 Federal-Mogul Corp. ...................... 17,468,771
200,000 Lear Corp.* .............................. 5,987,500
43,064,658
Broadcast Services and Programming - 3.3%
1,008,110 AT&T Corp./Liberty Media Group - Class A* 50,342,493
163,785 Grupo Televisa S.A. (GDR)* ............... 10,390,111
60,732,604
Cable Television - 5.7%
1,527,720 Comcast Corp. - Special Class A* ......... 61,204,282
1,665,480 Rogers Communications, Inc. - Class B
New York Shares* ....................... 43,302,480
104,506,762
Casino Hotels - 5.0%
3,617,200 Park Place Entertainment Corp.* .......... 46,345,375
1,592,500 Station Casinos, Inc.* ................... 45,386,250
91,731,625
Cellular Telecommunications - 10.6%
957,920 China Telecom, Ltd. (ADR)*,** ............ 140,514,890
1,332,500 Winstar Communications, Inc.* ............ 53,133,438
193,648,328
Chemicals - Diversified - 1.3%
750,000 Lyondell Chemical Co. .................... $ 13,781,250
750,000 Solutia, Inc. ............................ 10,218,750
24,000,000
Chemicals - Specialty - 1.8%
1,113,010 Cytec Industries, Inc.* .................. 33,529,426
Circuits - 2.3%
200,000 Linear Technology Corp. .................. 11,425,000
480,000 Maxim Integrated Products, Inc.* ......... 31,110,000
42,535,000
Commercial Services - 0.8%
441,965 Iron Mountain, Inc.* ..................... 15,468,775
Computers - Micro - 7.7%
1,139,405 Apple Computer, Inc.* .................... 141,357,433
Diversified Manufacturing Operations - 2.2%
872,566 Tyco International, Ltd. ................. 40,083,501
Diversified Operations - 1.3%
150,830 General Electric Co. ..................... 23,718,017
Electronic Components - Semiconductors - 2.4%
500,000 Advanced Micro Devices, Inc.* ............ 43,875,000
Internet Content - 0.1%
55,230 GoTo.com, Inc.* .......................... 1,884,724
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 45
<PAGE>
Janus | Special Situations Fund
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Internet Software - 0.5%
111,600 Exodus Communications, Inc. .............. $ 9,869,625
Money Center Banks - 1.5%
1,994,000 DBS Group Holdings, Ltd. ................. 27,444,026
Multimedia - 10.6%
55,000 Corus Entertainment, Inc. - Class B* ..... 1,484,822
1,274,730 Time Warner, Inc. ........................ 114,646,029
1,449,770 Viacom, Inc. - Class B* .................. 78,831,244
194,962,095
Networking Products - 1.3%
600,000 3Com Corp.* .............................. 23,662,500
Office Automation and Equipment - 1.0%
462,210 Pitney Bowes, Inc. ....................... 18,892,834
Oil Companies - Exploration and Production- 0.4%
1,653,075 Magnum Hunter Resources, Inc.*,# ......... 6,612,300
Oil Companies - Integrated - 4.1%
1,500,140 Coastal Corp. ............................ 75,288,276
Petrochemicals - 4.6%
3,259,052 Reliance Industries, Ltd.+ ............... 83,594,684
Pipelines - 4.6%
1,204,080 Enron Corp. .............................. 83,909,325
Printing - Commercial - 2.0%
1,050,000 Valassis Communications, Inc.* ........... 35,765,625
Publishing - Newspapers - 1.0%
450,000 New York Times Co. - Class A ............. 18,534,375
Publishing - Periodicals - 0.8%
916,900 Playboy Enterprises, Inc. - Class B* ..... 14,785,013
Recreational Centers - 2.5%
2,022,600 Bally Total Fitness Holding Corp.*,# ..... 45,255,675
Retail - Computer Equipment - 0.5%
225,000 Insight Enterprises, Inc.* ............... 9,407,813
Retail - Discount - 0.9%
900,000 TJX Companies, Inc. ...................... 17,268,750
Retail - Office Supplies - 3.1%
2,957,670 Staples, Inc.* ........................... 56,380,584
Retail - Restaurants - 1.5%
1,150,000 Jack in the Box, Inc.* ................... 28,175,000
Telecommunication Equipment - 0.2%
26,500 IPC Communications, Inc.* ................ 4,425,500
Telecommunication Services - 3.0%
800,248 Cox Communications, Inc. - Class A* ...... 34,260,618
795,840 McLeodUSA, Inc. - Class A* ............... 19,896,000
54,156,618
Telephone - Integrated - 1.7%
700,000 SBC Communications, Inc. ................. 30,668,750
Television - 4.0%
1,347,500 SBS Broadcasting S.A.*,# ................. 74,112,500
Transportation - Truck - 0.3%
176,680 CNF Transportation, Inc. ................. 4,935,997
--------------------------------------------------------------------------------
Total Common Stock (cost $1,247,388,565) ................... 1,778,243,718
--------------------------------------------------------------------------------
Preferred Stock - 0.8%
Electric - Integrated - 0.8%
97,000 Reliant Energy, Inc., convertible, 7.00%
(Time Warner, Inc.)
(cost $7,474,820) ...................... $ 14,362,062
--------------------------------------------------------------------------------
Warrants - 0%
Oil Companies - Exploration and Production - 0%
551,025 Magnum Hunter Resources, Inc. ............
- expires 7/1/02* (cost $0) ............ 172,471
--------------------------------------------------------------------------------
U.S. Government Agency - 2.2%
Federal Home Loan Bank System
$ 40,600,000 5.60%, 5/1/00
(amortized cost $40,600,000) ........... 40,600,000
--------------------------------------------------------------------------------
Total Investments (total cost $1,295,463,385) - 100% ....... 1,833,378,251
--------------------------------------------------------------------------------
Cash, Receivables and Other Assets, net of Liabilities - 0% 367,295
--------------------------------------------------------------------------------
Net Assets - 100% .......................................... $ 1,833,745,546
--------------------------------------------------------------------------------
Summary of Investments by Country, April 30, 2000
Country % of Investment Securities Market Value
--------------------------------------------------------------------------------
Bermuda 2.2% $ 40,083,501
Canada 2.4% 44,787,302
Hong Kong 7.7% 140,514,890
India 4.6% 83,594,684
Luxembourg 4.0% 74,112,500
Mexico 0.6% 10,390,111
Singapore 1.5% 27,444,026
United States++ 77.0% 1,412,451,237
--------------------------------------------------------------------------------
Total 100.0% $ 1,833,378,251
++Includes Short-Term Securities (74.8% excluding Short-Term Securities)
Forward Currency Contracts, Open at April 30, 2000
Currency Sold and Currency Currency Unrealized
Settlement Date Units Sold Value in $ U.S. Gain/(Loss)
--------------------------------------------------------------------------------
Hong Kong Dollar 5/7/01 535,000,000 $ 68,629,338 $ (547,416)
Hong Kong Dollar 5/10/01 290,000,000 37,200,949 (42,019)
--------------------------------------------------------------------------------
Total $ 105,830,287 $ (589,435)
See Notes to Schedules of Investments.
46 Janus Equity Funds / April 30, 2000
<PAGE>
Janus | Strategic Value Fund
[PHOTO]
David Decker
portfolio manager
Since its inception on February 29, 2000, Janus Strategic Value Fund gained
11.20%. In comparison, our benchmark, the S&P 500 Index, returned 6.48% for the
same period ended April 30, 2000.(1)
Given that this is my first letter to Janus Strategic Value Fund shareholders, I
would like to take a brief moment to explain the philosophy of the fund and our
approach to value investing. First and foremost, the Fund seeks to protect the
downside, while looking for unique opportunities to provide solid long-term
capital appreciation through patient investing. In other words, it will try to
hit more singles and doubles than home runs. In addition to protecting the
downside, the Fund's objectives include investing in companies that are
attractively valued relative to the free cash flow they will generate, and
investing in companies with improving returns on invested capital.
I'll begin by discussing our first objective - downside protection with a
catalyst. In my opinion, the premise of a value fund should be to minimize
downside risk by investing in attractively valued companies, while still
providing long-term capital appreciation. It is not enough simply to find
"cheap" stocks because cheap stocks can stay that way for a very long time. The
key is to identify a catalyst through in-depth research that will trigger an
upward revaluation of the stock. Advanced Micro Devices (AMD), a developer of
microprocessors and one of the largest positions in the Fund, is an example of
this. A distant No. 2 to Intel, AMD struggled to keep up with Intel's high-speed
processors, and was therefore relegated to competing at the much more price
competitive low end of its product offerings. Its valuation reflected this
quandary. However, AMD's recent launch of faster, more competitive products
should fundamentally improve its business model, and has already resulted in an
upward revaluation of the firm. In fact, despite being a "tech" stock, AMD's
shares were up 68% between March 10 and April 30, while the technology-dominated
Nasdaq Composite Index was down 24%. While AMD was attractively valued to begin
with, without this catalyst for revaluation, the stock would likely have
remained "cheap" for a long time.
That brings me to the Fund's second objective, which is to use free cash flow as
a tool for measuring valuation. The process of value investing is often
described in rather simplistic terms. For example, many refer to it as investing
in companies with a low price-to-earnings ratio (P/E). However, P/E alone is
often misleading. Valuation is a process of accurately forecasting future cash
flows generated by a company over time. Because earnings do not necessarily
represent cash flow, we tend not to focus on P/E as a primary tool for
valuation. We therefore prefer to look at price to free cash flow, which helps
us take into account the capital intensity of the company.
We also look for companies with improving returns on invested capital (ROIC).
When you entrust your money to Janus, you expect us to invest it in the
highest-returning opportunities we can find. We expect the same of the companies
in which we invest.
(continued on next page)
Portfolio Profile April 30, 2000
--------------------------------------------------------------------------------
Equities 97.1%
Foreign 13.9%
European 3.3%
Top 10 Equities (% of Assets) 40.9%
Number of Stocks 58
Cash & Cash Equivalents 2.9%
--------------------------------------------------------------------------------
Top 5 Industries April 30, 2000
--------------------------------------------------------------------------------
Diversified Manufacturing Operations 6.7%
Oil Companies - Integrated 6.6%
Medical Products 5.4%
Telephone - Integrated 5.1%
Aerospace and Defense 4.2%
--------------------------------------------------------------------------------
Top 10 Equity Holdings April 30, 2000
--------------------------------------------------------------------------------
Coastal Corp. 6.6%
Johnson & Johnson 5.4%
Tyco International, Ltd. 4.8%
Pitney Bowes, Inc. 4.1%
Advanced Micro Devices, Inc. 4.1%
SBC Communications, Inc. 3.9%
Apple Computer, Inc. 3.0%
Comcast Corp. - Special Class A 3.0%
TJX Companies, Inc. 3.0%
Park Place Entertainment Corp. 3.0%
--------------------------------------------------------------------------------
(1) Both returns include reinvested dividends.
Past performance does not guarantee future results.
Janus Equity Funds / April 30, 2000 47
<PAGE>
After a company generates its free cash flow, we believe the most important
predictor of the long-term value it creates is how it invests that cash. Does it
pay out dividends, make acquisitions, reinvest in the firm, pay down debt, or
buy back stock? We look for companies focusing on improving the intrinsic value
of their business by investing that cash in high-rate-of-return opportunities.
There have been discussions recently about the shift away from growth stocks and
into value stocks. I believe this is too simplistic an explanation. From my
perspective, what has taken place is a recognition that one must pay for risk.
In other words, valuation does matter and always has, irrespective of the label
"growth" or "value." Our job is to find great companies that are attractively
valued, no matter how they are classified.
Finding value is of course not always easy. It requires digging deep into a
company and thinking about value from many different perspectives - not just as
a function of P/E or other simplistic proxies. In fact, the less obvious a
company's value is, the greater the reward. These are the types of opportunities
we're constantly in search of.
Thank you for your investment in Janus Strategic Value Fund.
Performance Overview
[GRAPHIC OMITTED]
A graphic comparison of the change in value of a hypothetical $10,000 investment
in Janus Strategic Value Fund and the S&P 500 Index. Janus Strategic Value Fund
is represented by a shaded area of green. The S&P 500 Index is represented by a
solid black line. The "y" axis reflects the value of the investment. The "x"
axis reflects the computation periods from inception, February 29, 2000, through
April 30, 2000. The lower right quadrant reflects the ending value of the
hypothetical investment in Janus Strategic Value Fund ($11,120) as compared to
the S&P 500 Index ($10,648).
Cumulative Total Return
for the period ended April 30, 2000
Since 2/29/00*, 11.20%
Janus Strategic Value Fund - $11,120
S&P 500 Index - $10,648
*The Fund's inception date.
Source - Lipper, Inc. 2000.
Past performance does not guarantee future results. Investment return and
principal value will fluctuate so that shares, when redeemed, may be worth more
or less than their original cost. All returns reflect reinvested dividends. The
Fund's portfolio may differ significantly from the securities in the Index. The
Index is unmanaged and therefore does not reflect the cost of portfolio
management or trading.
Janus Strategic Value Fund buys stock in overlooked or underappreciated
companies of any size, in any sector. Overlooked and underappreciated stocks
present special risks.
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Common Stocks - 97.1%
Aerospace and Defense - 4.2%
1,000,000 B.F. Goodrich Co. ........................ $ 31,875,000
482,880 Northrop Grumman Corp. ................... 34,224,120
900,000 United Technologies Corp. ................ 55,968,750
122,067,870
Automotive - Truck Parts and Equipment - 3.9%
300,000 Arvin Industries, Inc. ................... 6,525,000
1,905,000 Delphi Automotive Systems Corp. .......... 36,433,125
1,200,000 Federal-Mogul Corp. ...................... 16,275,000
1,526,975 Lear Corp.* .............................. 45,713,814
500,000 Tower Automotive, Inc.* .................. 7,812,500
112,759,439
Broadcast Services and Programming - 0.5%
300,000 AT&T Corp./Liberty Media Group - Class A* 14,981,250
Building Products - Cement and Aggregate - 1.6%
2,165,425 Cemex S.A. (ADR)* ........................ 47,368,672
Cable Television - 4.0%
1,100,000 Charter Communications, Inc. - Class A* .. 16,156,250
2,164,305 Comcast Corp. - Special Class A .......... 86,707,469
500,000 Le Groupe Videotron ltee ................. 12,013,560
114,877,279
Casino Hotels - 4.0%
6,709,405 Park Place Entertainment Corp.* .......... $ 85,964,251
1,000,000 Station Casinos, Inc.* ................... 28,500,000
114,464,251
Chemicals - Diversified - 2.1%
2,750,000 Lyondell Chemical Co. .................... 50,531,250
800,000 Solutia, Inc. ............................ 10,900,000
61,431,250
Chemicals - Specialty - 1.3%
1,000,000 Cytec Industries, Inc.* .................. 30,125,000
400,000 Millennium Chemicals, Inc. ............... 7,975,000
38,100,000
Commercial Services - 0.8%
700,000 Iron Mountain, Inc.* ..................... 24,500,000
Computers - Micro - 3.0%
700,000 Apple Computer, Inc.* .................... 86,843,750
Containers - Paper and Plastic - 1.0%
2,485,800 Packaging Corp. of America* .............. 29,518,875
Cosmetics and Toiletries - 2.6%
1,300,000 Colgate-Palmolive Co. .................... 74,262,500
Diversified Financial Services - 0.6%
300,000 Citigroup, Inc. .......................... 17,831,250
See Notes to Schedules of Investments.
48 Janus Equity Funds / April 30, 2000
<PAGE>
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Diversified Manufacturing Opertions - 6.7%
950,000 Danaher Corp. ............................ $ 54,268,750
3,050,000 Tyco International, Ltd. ................. 140,109,375
194,378,125
Electric - Integrated - 1.2%
800,000 Montana Power Co. ........................ 35,250,000
Electronic Components - Semiconductors - 4.1%
1,350,000 Advanced Micro Devices, Inc.* ............ 118,462,500
Electronic Safety Devices - 0.7%
3,613,950 Williams PLC ............................. 20,577,579
Finance - Credit Card - 1.9%
362,570 American Express Co. ..................... 54,408,161
Finance - Investment Bankers/Brokers - 2.3%
650,000 Merrill Lynch & Company, Inc. ............ 66,259,375
Internet Software - 1.0%
1,200,000 PSINet, Inc.* ............................ 27,825,000
Life and Health Insurance - 1.3%
2,000,000 John Hancock Financial Services, Inc.* ... 36,500,000
Machinery - Construction and Mining - 0.8%
1,420,000 Terex Corp.* ............................. 22,187,500
Medical - Outpatient and Home Medical Care - 0.7%
1,500,000 Apria Healthcare Group, Inc.* ............ 20,906,250
Medical Products - 5.4%
1,900,000 Johnson & Johnson ........................ 156,750,000
Money Center Banks - 3.2%
1,200,000 Bank of New York Company, Inc. ........... 49,275,000
3,192,000 DBS Group Holdings, Ltd. ................. 43,932,463
93,207,463
Multimedia - 0.6%
326,590 Viacom, Inc. - Class B* .................. 17,758,331
Networking Products - 1.7%
1,250,000 3Com Corp.* .............................. 49,296,875
Office Automation and Equipment - 4.1%
2,930,585 Pitney Bowes, Inc. ....................... 119,787,662
Oil Companies - Integrated - 6.6%
3,800,000 Coastal Corp. ............................ 190,712,500
Petrochemicals - 1.0%
1,176,262 Reliance Industries, Ltd.+ ............... 30,171,120
Pipelines - 1.6%
650,000 Enron Corp. .............................. 45,296,875
Printing - Commercial - 2.0%
1,738,625 Valassis Communications, Inc.* ........... 59,221,914
Publishing - Newspapers - 2.5%
1,776,500 New York Times Co. - Class A ............. 73,169,594
Recreational Centers - 0.2%
300,000 Bally Total Fitness Holding Corp.* ....... 6,712,500
Resorts and Theme Parks - 0.4%
500,000 Premier Parks, Inc.* ..................... 10,781,250
Retail - Apparel and Shoe - 1.1%
1,500,000 Ross Stores, Inc. ........................ 31,125,000
Retail - Discount - 3.3%
550,000 Ames Department Stores, Inc.* ............ 9,865,625
4,500,000 TJX Companies, Inc. ...................... 86,343,750
96,209,375
Retail - Office Supplies - 2.3%
3,562,876 Staples, Inc.* ........................... $ 67,917,324
Retail - Restaurants - 0.7%
800,000 Jack in the Box, Inc.* ................... 19,600,000
Telecommunication Services - 0.7%
500,000 Cox Communications, Inc. - Class A* ...... 21,406,250
Telephone - Integrated - 5.1%
2,600,000 SBC Communications, Inc. ................. 113,912,500
579,875 Telefonos de Mexico S.A. (ADR) ........... 34,103,898
148,016,398
Television - 2.6%
1,376,420 SBS Broadcasting S.A.* ................... 75,703,100
Transportation - Truck - 1.7%
1,760,515 CNF Transportation, Inc. ................. 49,184,388
--------------------------------------------------------------------------------
Total Common Stocks (cost $2,593,861,060) .................. 2,817,788,795
--------------------------------------------------------------------------------
Short-Term Corporate Note - 2.3%
Household Finance Corp.
$ 66,200,000 6.00%, 5/1/00
(amortized cost $66,200,000) ........... 66,200,000
--------------------------------------------------------------------------------
U.S. Government Agency - 1.7%
Federal Home Loan Bank System
50,000,000 6.00%, 9/20/00 (cost $48,804,833) ...... 48,765,000
--------------------------------------------------------------------------------
Total Investments (total cost $2,708,865,893) - 101.1% ..... 2,932,753,795
--------------------------------------------------------------------------------
Liabilities, net of Cash, Receivables and Other Assets - (1.1%) (31,031,197)
--------------------------------------------------------------------------------
Net Assets - 100% .......................................... $ 2,901,722,598
--------------------------------------------------------------------------------
Summary of Investments by Country, April 30, 2000
Country % of Investment Securities Market Value
--------------------------------------------------------------------------------
Bermuda 4.8% $ 140,109,375
Canada 0.4% 12,013,560
India 1.0% 30,171,120
Luxembourg 2.6% 75,703,100
Mexico 2.8% 81,472,570
Singapore 1.5% 43,932,463
United Kingdom 0.7% 20,577,579
United States++ 86.2% 2,528,774,028
--------------------------------------------------------------------------------
Total 100.0% $ 2,932,753,795
++Includes Short-Term Securities (83.2% excluding Short-Term Securities)
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 49
<PAGE>
Janus | Twenty Fund (closed to new investors)
[PHOTO]
Scott Schoelzel
portfolio manager
For the six-month period ended April 30, 2000, Janus Twenty Fund returned 21.04%
compared to a 7.18% return for the S&P 500 Index.(1) Although we did in fact
outperform the popular averages, the Fund's intra-period volatility,
particularly in March and April, was extreme, to say the least. I know the
volatility can be unnerving and I appreciate your continued confidence and
support.
The past six months can be segmented into two distinct periods. The first three
months were quite bullish. The markets raced ahead when it became clear the
transition into the year 2000 would be much smoother than many pundits had
predicted and as some of the early promise of the Internet continued to resonate
throughout the world. Meanwhile, despite the economy's high rate of growth,
inflation remained in check as productivity gains more than offset any pressures
on wages and basic commodities. As such, Fed policy continued to be very
accommodating leading up to the end of the year.
The next three months couldn't have presented a more stark contrast. Once a
successful transition to the new millennium was well in hand, the Federal
Reserve turned stingy, and rates firmed. We began to see some seedlings of
inflation in the form of higher employment costs and some upward movement in
basic commodity prices as the pace of economic growth quickened around the
world. All of this contributed to what I (and others) refer to as "the end of
the beginning." By this I mean that the long-term prospects for the profound
influence some of the new technologies and sciences will have on the way we
work, learn and live remains as vibrant as ever. However, the valuations of this
first wave of companies are being reexamined as a confluence of factors comes
into focus. Higher interest rates, increased competition and too much capital
chasing too few original ideas have led to a precipitous drop in stock prices.
This will continue until investors find some equilibrium that reflects the
changing macro environment, witness further maturation of the so-called "new
economy" and realize the tremendous promise that lies ahead for the true,
long-term winners. My best guess is that the markets will remain negatively
biased until the latter part of this year, and I would encourage you to proceed
with more caution as we navigate "the end of the beginning."
Turning to the Fund, many of the same stocks that led the Fund higher throughout
1999 remain top holdings. Nokia, Cisco Systems, Sun Microsystems, General
Electric, America Online and Time Warner all continue to dominate their
respective industries, and while their valuations may be stretched by historical
standards, I expect that with time and patience these companies will grow into
their valuations just as they have in the past. Most importantly, we continue to
monitor the fundamental progress made by each of our holdings. It is this
progress that determines when it's time to make a change in the Fund.
This year, most of the setbacks we've experienced have been a by-product of
letting the Fund get a little out of "balance" with regard to the types of
Portfolio Profile April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Equities 94.1% 83.4%
Foreign 24.3% 14.7%
Top 20 Equities (% of Assets) 80.2% 72.7%
Top 10 Equities (% of Assets) 61.1% 52.0%
Number of Stocks 42 37
Cash, Cash Equivalents &
Fixed-Income Securities 5.9% 16.6%
--------------------------------------------------------------------------------
Top 5 Industries April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Telecommunication Equipment 14.6% 8.7%
Cellular Telecommunications 11.3% 7.4%
Computers - Micro 10.5% 9.7%
Networking Products 10.3% 6.2%
Internet Software 7.3% 8.7%
--------------------------------------------------------------------------------
Top 10 Equity Holdings April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Nokia Oyj (ADR) 12.4% 7.7%
Cisco Systems, Inc. 9.5% 6.2%
Sun Microsystems, Inc. 8.8% 6.2%
America Online, Inc. 6.2% 8.0%
Time Warner, Inc. 5.4% 4.3%
EMC Corp. 4.8% 3.1%
Sprint Corp./PCS Group 4.5% 3.5%
General Electric Co. 3.8% 4.0%
Vodafone Airtouch PLC 3.5% 2.9%
Home Depot, Inc. 2.2% 2.4%
--------------------------------------------------------------------------------
(1) Both returns include reinvested dividends.
Past performance does not guarantee future results.
50 Janus Equity Funds / April 30, 2000
<PAGE>
opportunities we invested in. I have always espoused a balanced approach to
managing the Fund, and while a large portion of assets are, and will continue to
be, dedicated to technology, science and related areas of the economy, I have
also invested heavily in financial services, retailers and the occasional
special situation. In retrospect, I may have skewed the Fund a little more
toward emerging growth opportunities during the period. While we still own
meaningful positions in General Electric, AIG, Home Depot and American Express,
I sold or reduced positions in some of the Fund's long-time stalwarts such as
Fannie Mae, Wal-Mart, and Costco in order to build starter positions in some
more aggressive holdings. These include Network Solutions, Aether Systems and
Healtheon/WebMD. While the financial impact of any one of these decisions has
not materially hurt our performance, the resultant skew has made the Fund a
little more volatile, for now.
Finally, I know the past few months have been a little rough, but it's a
necessary part of the investment process. There is an old saying in poker, which
I think is appropriate. "In order to run good, you've gotta run bad." I am
anxious to see the next hand!
Again, I would like to thank you for your continued confidence and support.
Performance Overview
[GRAPHIC OMITTED]
A graphic comparison of the change in value of a hypothetical $10,000 investment
in Janus Twenty Fund and the S&P 500 Index. Janus Twenty Fund is represented by
a shaded area of green. The S&P 500 Index is represented by a solid black line.
The "y" axis reflects the value of the investment. The "x" axis reflects the
computation periods from inception, April 30, 1985, through April 30, 2000. The
upper right quadrant reflects the ending value of the hypothetical investment in
Janus Twenty Fund ($211,916) as compared to the S&P 500 Index ($122,152).
Average Annual Total Return
for the periods ended April 30, 2000
One Year, 31.49%
Five Year, 40.97%
Ten Year, 26.73%
Since 4/30/85*, 22.58%
Janus Twenty Fund - $211,916
S&P 500 Index - $122,152
*The Fund's inception date.
Source - Lipper, Inc. 2000.
Past performance does not guarantee future results. Investment return and
principal value will fluctuate so that shares, when redeemed, may be worth more
or less than their original cost. All returns reflect reinvested dividends. The
Fund's portfolio may differ significantly from the securities in the Index. The
Index is unmanaged and therefore does not reflect the cost of portfolio
management or trading.
This Fund's returns may have been positively impacted by buying technology
companies in a period favorable for these stocks.
Concentration may lead to a greater price volatility.
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Common Stock - 94.1%
Applications Software - 2.0%
9,910,260 Microsoft Corp.* ......................... $ 691,240,635
Audio and Video Products - 2.0%
6,217,400 Sony Corp. ............................... 716,541,024
Broadcast Services and Programming - 0.4%
2,700,000 AT&T Corp./Liberty Media Group - Class A* 134,831,250
Cellular Telecommunications - 11.3%
5,376,035 Nextel Communications, Inc. - Class A* ... 588,339,830
17,440 NTT DoCoMo, Inc. ......................... 582,562,066
28,890,630 Sprint Corp./PCS Group* .................. 1,588,984,650
75,385,705 Vodafone AirTouch PLC .................... 346,778,159
18,912,520 Vodafone AirTouch PLC (ADR) .............. 888,888,440
3,995,553,145
Computers - Memory Devices - 4.8%
12,323,660 EMC Corp.* ............................... 1,712,218,511
Computers - Micro - 10.5%
11,883,260 Dell Computer Corp.* ..................... 595,648,408
33,945,030 Sun Microsystems, Inc.* .................. 3,120,821,196
3,716,469,604
Diversified Operations - 3.8%
8,557,325 General Electric Co. ..................... 1,345,639,356
E-Commerce - 1.3%
5,915,360 Amazon.com, Inc.* ........................ 326,453,930
1,915,535 Priceline.com, Inc.* ..................... 121,157,589
47,611,519
Electronic Components - Semiconductors - 2.0%
4,287,125 Texas Instruments, Inc. .................. $ 698,265,484
Finance - Credit Card - 1.3%
2,982,000 American Express Co. ..................... 447,486,375
Internet Content - 2.9%
1,165,695 Critical Path, Inc.* ..................... 67,756,022
1,830,825 Network Solutions, Inc.* ................. 270,962,100
5,371,005 Yahoo!, Inc.* ............................ 699,573,401
1,038,291,523
Internet Software - 7.3%
36,672,892 America Online, Inc.* .................... 2,193,497,353
2,842,390 Exodus Communications, Inc.* ............. 251,373,866
3,247,960 Internap Network Services Corp.* ......... 125,046,460
2,569,917,679
Medical - Biomedical and Genetic - 1.6%
5,027,400 Amgen, Inc.* ............................. 281,534,400
2,091,270 Genentech, Inc.* ......................... 244,678,590
600,000 Incyte Pharmaceuticals, Inc.*,ss.,+ ...... 43,312,500
569,525,490
Medical - Drugs - 1.7%
14,023,060 Pfizer, Inc. ............................. 590,721,402
Medical Information Systems - 0.7%
1,978,350 Healtheon/WebMD Corp.* ................... 41,668,997
11,000,000 Healtheon/WebMD Corp.*,ss.,+,# ........... 216,627,840
258,296,837
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 51
<PAGE>
Janus | Twenty Fund (closed to new investors)
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Multi-Line Insurance - 1.8%
5,792,405 American International Group, Inc. ....... $ 635,354,423
Multimedia - 5.4%
21,367,698 Time Warner, Inc. ........................ 1,921,757,339
Networking Products - 10.3%
6,500,000 3Com Corp.* .............................. 256,343,750
48,612,320 Cisco Systems, Inc.* ..................... 3,370,200,998
3,626,544,748
Retail - Building Products - 2.2%
13,793,610 Home Depot, Inc. ......................... 773,304,261
Satellite Telecommunications - 0.2%
716,495 General Motors Corp. - Class H ........... 69,007,425
Telecommunication Equipment - 14.6%
77,030,480 Nokia Oyj (ADR) .......................... 4,381,108,550
5,096,810 Nortel Networks Corp. - New York Shares .. 577,213,732
1,957,035 QUALCOMM, Inc.* .......................... 212,215,983
5,170,538,265
Telecommunication Services - 2.1%
8,386,335 Level 3 Communications, Inc.* ............ 746,383,815
Telephone - Integrated - 3.1%
16,027,999 Telefonica S.A.* ......................... 357,543,377
24,920 Telefonica S.A. (ADR)* ................... 1,650,950
12,750,410 Telefonos de Mexico S.A. (ADR) ........... 749,883,488
1,109,077,815
Wireless Equipment - 0.8%
1,700,000 Aether Systems, Inc.* .................... 283,023,438
--------------------------------------------------------------------------------
Total Common Stock (cost $17,488,962,505) .................. 33,267,601,363
--------------------------------------------------------------------------------
Corporate Bonds - 1.1%
Cable Television - 0.5%
$ 191,000,000 Charter Communications Holdings L.L.C ....
8.625%, senior notes, due 4/1/09 ....... 166,886,250
Food - Retail - 0.2%
Fred Meyer, Inc.:
40,000,000 7.375%, company guaranteed notes
due 3/1/05 ............................. 38,300,000
25,000,000 7.45%, company guaranteed notes
due 3/1/08 ............................. 23,437,500
61,737,500
Telecommunication Services - 0.4%
190,000,000 Level 3 Communications, Inc., 9.125%
senior notes, due 5/1/08 ............... 165,300,000
--------------------------------------------------------------------------------
Total Corporate Bonds (cost $444,701,118) .................. 393,923,750
--------------------------------------------------------------------------------
Money Market - 0.2%
Janus Government Money Market Fund
56,200,000 6.00% (cost $56,200,000) ............... 56,200,000
--------------------------------------------------------------------------------
Short-Term Corporate Notes - 1.1%
Comerica Bank, Detroit
$ 85,000,000 6.06%, 7/3/00 .......................... $ 84,098,575
Deutsche Bank A.G.
100,000,000 5.89%, 5/8/00 .......................... 99,885,472
Wells Fargo & Co.:
100,000,000 6.02%, 5/12/00 ......................... 99,816,056
50,000,000 6.05%, 6/21/00 ......................... 49,571,458
50,000,000 6.08%, 6/21/00 ......................... 49,569,333
--------------------------------------------------------------------------------
Total Short-Term Corporate Notes
(amortized cost $382,940,894) ........................... 382,940,894
--------------------------------------------------------------------------------
Time Deposit - 2.0%
SouthTrust Bank EDT
716,000,000 6.00%, 5/1/00
(cost $716,000,000) .................... 716,000,000
--------------------------------------------------------------------------------
U.S. Government Agencies - 1.5%
Fannie Mae:
75,000,000 5.23%, 5/11/00 ......................... 74,891,042
100,000,000 5.75%, 7/6/00 .......................... 98,870,000
100,000,000 5.94%, 8/24/00 ......................... 98,003,000
Federal Home Loan Bank System:
50,000,000 5.68%, 5/31/00 ......................... 49,763,333
50,000,000 5.79%, 6/30/00 ......................... 49,495,000
75,000,000 6.06%, 10/11/00 ........................ 72,843,750
40,000,000 6.06%, 10/23/00 ........................ 38,778,800
50,000,000 5.98%, 12/8/00 ......................... 48,060,000
--------------------------------------------------------------------------------
Total U.S. Government Agencies (cost $531,088,056) ......... 530,704,925
--------------------------------------------------------------------------------
Total Investments (total cost $19,619,892,573) - 100% ...... 35,347,370,932
--------------------------------------------------------------------------------
Cash, Receivables and Other Assets, net of Liabilities - 0% 17,602,374
--------------------------------------------------------------------------------
Net Assets - 100% .......................................... $ 35,364,973,306
--------------------------------------------------------------------------------
Summary of Investments by Country, April 30, 2000
Country % of Investment Securities Market Value
--------------------------------------------------------------------------------
Canada 1.6% $ 577,213,732
Finland 12.4% 4,381,108,550
Japan 3.7% 1,299,103,090
Mexico 2.1% 749,883,488
Spain 1.0% 359,194,327
United Kingdom 3.5% 1,235,666,599
United States++ 75.7% 26,745,201,146
--------------------------------------------------------------------------------
Total 100.0% $ 35,347,370,932
++Includes Short-Term Securities (70.9% excluding Short-Term Securities)
See Notes to Schedules of Investments.
52 Janus Equity Funds / April 30, 2000
<PAGE>
Janus | Venture Fund (closed to new investors)
[PHOTO]
William Bales
portfolio manager
[PHOTO]
Jonathan Coleman
portfolio manager
For the six months ended April 30, 2000, Janus Venture Fund gained 17.41%,
trailing the 18.72% gain of its benchmark, the Russell 2000 Index.(1)
Although the Fund's relative performance disappointed us, we were pleased to
post gains during the period, especially in light of the uptick in interest
rates, which contributed to a technology correction in the spring. While rapid
declines can be unsettling, they can also be healthy for the market over the
long term by allowing stock valuations to realign with prevailing fundamentals.
Volatility also offers informed investors the opportunity to buy compelling
businesses at attractive prices.
Such was the case with Insight Enterprises, a company that markets computer
products directly to small- and medium-sized businesses. Our research revealed
the company had increased the effectiveness of its operations, as reflected by
smaller inventories and shorter collection times for its receivables. These
heightened efficiencies have allowed Insight to generate more free cash and
improve its return on invested capital. This understanding gave us the
confidence to increase our position when the stock dipped into the thirties. By
period-end, this decision rewarded us as the stock rose to the mid-forties.
We also added to our position in Valassis Communications when its stock
declined. Valassis is one of two media companies that publish coupons commonly
found in the Sunday paper. We believe investors unfairly sold the company's
stock after it reported seemingly weak first-quarter sales. In actuality, the
company's revenues were hurt by the Easter holiday, which fell in April this
year versus March last year.
This shift pushed Easter-related revenues to the second quarter, creating
difficult year-over-year revenue comparisons, which investors misinterpreted as
a sign of slower growth. We believe Valassis' business is very predictable, and
the company continues to improve cash flow and uses it to buy back stock.
Furthermore, we believe the company's Internet endeavor has largely gone
unnoticed by other investors. Valassis is in an exceptional position to leverage
its relationship with consumer products companies to create coupons consumers
can print off the Web. Consequently, we remain very optimistic about the
company's potential.
The period also saw several of our holdings significantly outperform the market.
One example was our position in Avista, a utility that until recently has been
widely misunderstood by other investors. While our investment in a utility might
seem unusual given our focus on rapidly growing emerging franchises, Avista is
not your typical utility. It's actually a diverse collection of robust
businesses, including an attractive fuel cell venture and a telecommunications
division. The stock moved sharply higher after Microsoft's Bill Gates revealed
his venture capital group had invested in the company. Although Avista has
enjoyed a nice run, we believe other investors have yet to fully appreciate the
company's Internet billing service, which not only aggregates and pays bills
electronically for large corporations, but also analyzes the client's
expenditures to uncover potential problems. For example, Avista might identify a
particular Starbucks location using 40% more electricity than its peers; this
information can help the coffee chain
(continued on next page)
Portfolio Profile April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Equities 86.7% 99.7%
Foreign 6.8% 6.3%
European 2.6% 1.4%
Top 10 Equities (% of Assets) 23.3% 26.1%
Number of Stocks 138 132
Cash, Cash Equivalents &
Fixed-Income Securities 13.3% 0.3%
--------------------------------------------------------------------------------
Top 5 Industries April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Internet Software 10.6% 21.7%
Electronic Components
- Semiconductors 7.5% 8.7%
Medical - Biomedical
and Genetic 5.3% 4.6%
Internet Content 5.2% 4.5%
Radio 5.0% 7.6%
--------------------------------------------------------------------------------
Top 10 Equity Holdings April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
SDL, Inc. 3.8% 4.0%
Globix Corp. 3.2% 1.5%
Alpha Industries, Inc. 2.9% 1.8%
Enzon, Inc. 2.6% 3.1%
VerticalNet, Inc. 2.2% 2.3%
TMP Worldwide, Inc. 2.0% 1.1%
Verio, Inc. 1.8% 2.3%
SFX Entertainment, Inc. 1.7% 1.5%
Radio One, Inc. 1.6% 0.8%
QLT PhotoTherapeutics, Inc.
- New York Shares 1.5% 2.5%
--------------------------------------------------------------------------------
(1) Both returns include reinvested dividends.
Past performance does not guarantee future results.
Janus Equity Funds / April 30, 2000 53
<PAGE>
eliminate inefficiencies in its cost structure. We believe this value-added
service, along with its other businesses, will translate into enduring profit
growth for the company.
Elsewhere, the Fund's top position, SDL, also posted strong gains. SDL designs
semiconductors that increase the capacity of fiber-optic networks. The explosion
in Internet usage has resulted in congested telecommunications networks around
the world. Consequently, telecommunications companies are scrambling to add
capacity. Photonic lasers, such as those enabled by SDL's chips, offer a
cost-effective way to increase throughput. Our research revealed that demand for
these systems currently outstrips supply by a wide margin, suggesting the
potential for continued strong revenue and earnings growth.
In the coming months, we expect the threat of higher interest rates to keep
markets volatile. Although we will keep an eye on the Federal Reserve, our
primary focus remains on finding the best companies in which to invest. We'd
also like to remind you that we evaluate potential investments based on where
they might be within the next three to five years, because over the long term,
the market rewards great businesses. With this in mind, we are extremely
enthusiastic about the companies held in the Fund as every holding possesses a
competitive edge - be it a proprietary product or innovative business model -
that we believe will result in success for years to come.
Thank you for your continued investment and confidence in Janus Venture Fund.
Performance Overview
[GRAPHIC OMITTED]
A graphic comparison of the change in value of a hypothetical $10,000 investment
in Janus Venture Fund and the Russell 2000 Index. Janus Venture Fund is
represented by a shaded area of green. The Russell 2000 Index is represented by
a solid black line. The "y" axis reflects the value of the investment. The "x"
axis reflects the computation periods from inception, April 30, 1985, through
April 30, 2000. The upper and lower right quadrants reflect the ending value of
the hypothetical investment in Janus Venture Fund ($155,673) as compared to the
Russell 2000 Index ($57,751).
Average Annual Total Return
for the periods ended April 30, 2000
One Year, 55.84%
Five Year, 27.23%
Ten Year, 20.57%
Since 4/30/85*, 20.08%
Janus Venture Fund - $155,673
Russell 2000 Index - $57,751
*The Fund's inception date.
Source - Lipper, Inc. 2000.
Past performance does not guarantee future results. Investment return and
principal value will fluctuate so that shares, when redeemed, may be worth more
or less than their original cost. All returns reflect reinvested dividends. The
Fund's portfolio may differ significantly from the securities in the Index. The
Index is unmanaged and therefore does not reflect the cost of portfolio
management or trading.
This Fund's returns may have been positively impacted by buying technology
companies in a period favorable for these stocks.
The performance figures above reflect the exceptional performance of the stock
market in 1999. Investors should maintain realistic expectations for future
performance and, most importantly, should note that the recent market volatility
is not reflected in these figures.
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Common Stocks - 86.7%
Advertising Sales - 1.3%
346,475 Interep National Radio Sales, Inc. -
Class A*,# ............................. $ 1,992,231
600,000 Lamar Advertising Co.* ................... 26,437,500
28,429,731
Advertising Services - 2.9%
269,010 Avenue A, Inc.* .......................... 8,541,067
355,815 Getty Images, Inc.* ...................... 10,807,881
678,580 TMP Worldwide, Inc.* ..................... 44,362,167
63,711,115
Applications Software - 1.4%
433,150 Intertrust Technologies Corp.* ........... 9,962,450
368,390 Quest Software, Inc.* .................... 13,883,698
196,060 SilverStream Software, Inc.* ............. 7,744,370
31,590,518
Batteries and Battery Systems - 0.2%
233,170 Rayovac Corp.* ........................... 4,867,424
Broadcast Services and Programming - 0.7%
801,520 ACTV, Inc.* .............................. 14,527,550
Cable Television - 1.5%
368,590 Classic Communications, Inc. - Class A*,# 4,469,154
652,081 Cogeco Cable, Inc.** ..................... 16,283,772
760,044 Moffat Communications, Ltd.** ............ 13,080,690
33,833,616
Casino Hotels - 1.7%
1,141,730 Park Place Entertainment Corp.* .......... $ 14,628,416
792,855 Station Casinos, Inc.* ................... 22,596,367
37,224,783
Cellular Telecommunications - 1.4%
245,705 Alamosa PCS Holdings, Inc.* .............. 7,002,592
175,200 Price Communications Corp.* .............. 3,547,800
499,762 Winstar Communications, Inc.* ............ 19,928,010
30,478,402
Chemicals - Diversified - 0.7%
856,655 Lyondell Chemical Co. .................... 15,741,036
Collectibles - 0.1%
328,270 Action Performance Companies, Inc.* ...... 3,036,498
Commercial Banks - 1.3%
338,795 Investors Financial Services Corp. ....... 27,654,142
Commercial Services - 0.3%
169,615 Iron Mountain, Inc.* ..................... 5,936,525
Communications Software - 0.8%
57,565 Delano Technology Corp.*,** .............. 629,617
869,060 Razorfish, Inc.* ......................... 16,457,824
17,087,441
Computer Graphics - 0.4%
191,370 Numerical Technologies, Inc.* ............ 7,989,697
See Notes to Schedules of Investments.
54 Janus Equity Funds / April 30, 2000
<PAGE>
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Computer Services - 1.1%
360,930 AnswerThink Consulting Group, Inc.* ...... $ 6,947,902
391,900 CIBER, Inc.* ............................. 7,078,694
274,650 eLoyalty Corp.* .......................... 4,514,559
158,150 Jacada, Ltd.* ............................ 1,492,541
274,220 Tanning Technology Corp.* ................ 5,038,792
25,072,488
Computer Software - 1.6%
542,375 Informatica Corp.* ....................... 22,745,852
360,190 NetIQ Corp.* ............................. 13,236,982
35,982,834
Computers - Integrated Systems - 0.2%
491,895 eSoft, Inc.* ............................. 4,488,542
Computers - Peripheral Equipment - 0.6%
534,755 Media 100, Inc.*,# ....................... 12,934,387
Consulting Services - 0.5%
375,495 Professional Detailing, Inc.* ............ 10,138,365
Distribution and Wholesale - 0.4%
728,505 Brightpoint, Inc.* ....................... 8,605,465
E-Commerce - 0.4%
264,130 PurchasePro.com, Inc.* ................... 7,923,900
Electric - Integrated - 0.9%
648,195 Avista Corp. ............................. 19,162,265
Electronic Components - Semiconductors - 7.5%
1,235,000 Alpha Industries, Inc.* .................. 64,220,000
675,000 ATMI, Inc.* .............................. 25,987,500
291,105 Mattson Technology, Inc.* ................ 14,300,533
49,850 Quantum Effect Devices, Inc.* ............ 2,903,763
197,810 QuickLogic Corp.* ........................ 5,810,669
100,405 Silicon Image, Inc.* ..................... 4,028,751
285,110 TriQuint Semiconductor, Inc.* ............ 29,312,872
160,230 Virata Corp.* ............................ 20,068,807
166,632,895
Electronic Measuring Instruments - 0.1%
178,495 Robotic Vision Systems, Inc.* ............ 2,666,269
Electronics - Military - 0.2%
145,600 Aeroflex, Inc.* .......................... 5,423,600
Enterprise Software and Services - 0.4%
375,445 Brio Technology, Inc.* ................... 9,292,264
Fiber Optics - 4.0%
24,620 Avanex Corp.* ............................ 3,000,563
434,430 SDL, Inc.* ............................... 84,713,850
87,714,413
Food - Retail - 0.7%
384,090 Whole Foods Market, Inc.* ................ 16,347,831
Industrial Automation and Robotics - 0.8%
188,800 Brooks Automation, Inc.* ................. 16,933,000
Instruments - Controls - 0.6%
379,325 Mettler-Toledo International, Inc.* ...... 13,086,713
Instruments - Scientific - 1.3%
593,260 Dionex Corp.* ............................ 21,579,833
84,400 Meade Instruments Corp.* ................. 6,171,750
27,751,583
Internet Content - 5.2%
291,990 24/7 Media, Inc.* ........................ $ 5,730,304
74,605 FairMarket, Inc.* ........................ 512,909
290,760 internet.com Corp.* ...................... 5,524,440
238,645 L90, Inc.* ............................... 2,386,450
160,535 Lante Corp.* ............................. 3,331,101
165,340 Launch Media, Inc.* ...................... 1,725,736
654,570 NaviSite, Inc.* .......................... 30,396,594
413,875 net.Genesis Corp.* ....................... 5,328,641
428,490 Rare Medium Group, Inc.* ................. 8,810,826
77,715 SkillSoft Corp.* ......................... 1,034,581
900,650 VerticalNet, Inc.* ....................... 48,635,100
250,195 Vicinity Corp.* .......................... 2,971,066
116,387,748
Internet Software - 10.6%
290,105 724 Solutions, Inc. - New York Shares*,** 14,650,302
16,305 Accrue Software, Inc.* ................... 388,263
702,940 AppNet, Inc.* ............................ 16,870,560
163,510 Bluestone Software, Inc.* ................ 3,443,929
331,745 Digital Impact, Inc.* .................... 4,063,876
157,185 Eprise Corp.* ............................ 1,562,026
3,098,740 Globix Corp.*,# .......................... 69,721,650
159,730 Keynote Systems, Inc.* ................... 7,167,884
700,000 Liberate Technologies, Inc.* ............. 27,387,500
354,285 NDS Group PLC - (ADR)* ................... 20,017,102
299,045 pcOrder.com, Inc.*,# ..................... 4,822,101
37,755 RADVision, Ltd.* ......................... 1,444,129
221,380 Register.com, Inc.* ...................... 11,290,380
142,405 Retek, Inc.* ............................. 3,061,707
177,575 Selectica, Inc.* ......................... 6,747,850
42,375 Software.com, Inc.* ...................... 3,427,078
1,073,850 Verio, Inc.* ............................. 40,336,491
236,402,828
Life and Health Insurance - 0.5%
348,435 StanCorp Financial Group, Inc. ........... 10,148,169
Medical - Biomedical and Genetic - 5.3%
1,559,280 Enzon, Inc.*,# ........................... 58,083,180
222,360 Invitrogen Corp.* ........................ 13,869,705
203,030 PE Corp./Celera Genomics Group* .......... 16,749,975
200,000 QIAGEN N.V.* ............................. 29,025,000
117,727,860
Medical - Drugs - 1.7%
330,945 Celgene Corp.* ........................... 15,575,099
295,320 Cubist Pharmaceuticals, Inc.* ............ 9,487,155
238,375 Priority Healthcare Corp.* ............... 13,200,016
38,262,270
Medical - Outpatient and Home Medical Care - 0.6%
901,270 Apria Healthcare Group, Inc.* ............ 12,561,451
Motorcycle and Motor Scooter Manufacturing - 0.1%
794,517 Ducati Motor Holding S.p.A.* ............. 2,099,613
Multimedia - 0.1%
85,655 Ackerley Group, Inc. ..................... 1,113,515
Music/Clubs - 2.1%
2,604,200 Corporacion Interamericana de
Entretenimiento S.A. - Class B* ........ 10,678,829
886,410 SFX Entertainment, Inc.* ................. 36,896,816
47,575,645
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 55
<PAGE>
Janus | Venture Fund (closed to new investors)
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Network Software - 0.3%
317,220 OTG Software, Inc.* ...................... $ 6,978,840
Networking Products - 0.3%
112,320 Emulex Corp.* ............................ 5,096,520
45,815 JNI Corp.* ............................... 1,829,737
6,926,257
Oil - Field Services - 0.3%
233,805 Core Laboratories N.V.* .................. 6,634,217
Pharmacy Services - 0.7%
519,685 Accredo Health, Inc.* .................... 14,616,141
Printing - Commercial - 1.4%
896,007 Valassis Communications, Inc.* ........... 30,520,238
Professional Sports - 0.5%
503,535 Championship Auto Racing Teams, Inc.* .... 10,196,584
Publishing - Periodicals - 0.5%
715,475 Playboy Enterprises, Inc. - Class B* ..... 11,537,034
Radio - 5.0%
750,355 Citadel Communications Corp.* ............ 29,310,742
711,875 Cumulus Media, Inc. - Class A* ........... 9,343,359
344,105 Entercom Communications Corp.* ........... 14,624,463
601,665 Radio One, Inc.* ......................... 34,896,570
564,800 Radio Unica Corp.* ....................... 5,436,200
912,720 Spanish Broadcasting System, Inc. - Class A* 17,056,455
110,667,789
Rental Auto/Equipment - 0.4%
354,733 Rent-Way, Inc.* .......................... 9,200,887
Research and Development - 0.6%
380,950 Aurora Biosciences Corp.*,ss.,+ .......... 13,395,154
Resorts and Theme Parks - 0.7%
700,000 Premier Parks, Inc.* ..................... 15,093,750
Retail - Computer Equipment - 1.5%
781,907 Insight Enterprises, Inc.* ............... 32,693,486
Retail - Discount - 0.6%
754,755 Ames Department Stores, Inc.* ............ 13,538,418
Retail - Office Supplies - 0.8%
958,820 School Specialty, Inc.*,# ................ 17,858,023
Retail - Restaurants - 0.3%
194,730 P.F. Chang's China Bistro, Inc.* ......... 6,815,550
Satellite Telecommunications - 0.5%
351,310 Adaptive Broadband Corp.* ................ 11,417,575
Schools - 0.4%
242,365 Career Education Corp.* .................. 9,164,427
Software Tools - 0.4%
528,405 Broadbase Software, Inc.* ................ 8,355,404
Telecommunication Equipment - 1.0%
326,325 Natural MicroSystems Corp.* .............. 21,251,916
Telecommunication Services - 3.7%
704,065 Adelphia Business Solutions, Inc.* ....... 24,642,275
434,145 CapRock Communications Corp.* ............ 14,543,857
496,402 CTC Communications Group, Inc.* .......... 16,753,567
307,965 IDT Corp.* ............................... 9,739,393
28,445 Metricom, Inc.* .......................... 798,238
321,150 Net2000 Communications, Inc.* ............ 4,736,962
530,280 Pac-West Telecomm, Inc.* ................. 11,334,735
82,549,027
Telephone - Integrated - 1.2%
700,000 Viatel, Inc.* ............................ 26,775,000
Television - 0.4%
401,610 Acme Communications, Inc.* ............... 9,237,030
Therapeutics - 2.3%
189,340 Abgenix, Inc.* ........................... $ 16,957,764
591,855 QLT PhotoTherapeutics, Inc.
- New York Shares*,** .................. 32,884,943
49,842,707
Travel Services - 0.3%
387,052 Pegasus Systems, Inc.* ................... 6,870,173
Wireless Telecommunications - 0.4%
199,370 i3 Mobile, Inc.* ......................... 3,738,187
144,775 InterWAVE Communications
International, Ltd.* .................. 1,927,317
78,915 Netro Corp.* ............................. 3,403,209
9,068,713
--------------------------------------------------------------------------------
Total Common Stocks (cost $1,327,604,801) .................. 1,915,748,731
--------------------------------------------------------------------------------
Corporate Bonds - 0.3%
Computer Services - 0.3%
$ 1,929,000 Globix Corp., 12.50%
senior notes, due 2/1/10+ .............. 1,697,520
4,186,000 Splitrock Services, Inc., 11.75%
company guaranteed notes, due 7/15/08 .. 4,437,015
--------------------------------------------------------------------------------
Total Corporate Bonds (cost $6,217,509) .................... 6,134,535
--------------------------------------------------------------------------------
Short-Term Corporate Notes - 7.9%
Household Finance Corp.
75,500,000 6.00%, 5/1/00 .......................... 75,500,000
UBS Financial, Inc.
100,000,000 6.04%, 5/1/00 .......................... 100,000,000
--------------------------------------------------------------------------------
Total Short-Term Corporate Notes
(amortized cost $175,500,000) ............................ 175,500,000
--------------------------------------------------------------------------------
U.S. Government Agencies - 4.0%
Federal Home Loan Bank System:
70,000,000 5.89%, 6/30/00 ......................... 69,293,000
20,000,000 5.97%, 7/28/00 ......................... 19,698,800
--------------------------------------------------------------------------------
Total U.S. Government Agencies (cost $89,020,967) .......... 88,991,800
--------------------------------------------------------------------------------
Total Investments (total cost $1,598,343,277) - 98.9% ...... 2,186,375,066
--------------------------------------------------------------------------------
Cash, Receivables and Other Assets, net of Liabilities - 1.1% 23,613,504
--------------------------------------------------------------------------------
Net Assets - 100% .......................................... $ 2,209,988,570
--------------------------------------------------------------------------------
Summary of Investments by Country, April 30, 2000
Country % of Investment Securities Market Value
--------------------------------------------------------------------------------
Bermuda 0.1% $ 1,927,317
Canada 3.6% 77,529,324
Israel 0.1% 2,936,670
Italy 0.1% 2,099,613
Mexico 0.5% 10,678,829
Netherlands 1.6% 35,659,217
United Kingdom 0.9% 20,017,102
United States++ 93.1% 2,035,526,994
--------------------------------------------------------------------------------
Total 100.0% $ 2,186,375,066
++Includes Short-Term Securities (81.0% excluding Short-Term Securities)
Forward Currency Contracts, Open at April 30, 2000
Currency Sold and Currency Currency Unrealized
Settlement Date Units Sold Value in $ U.S. Gain/(Loss)
--------------------------------------------------------------------------------
Canadian Dollar 9/22/00 23,000,000 $ 15,591,106 $ 256,536
--------------------------------------------------------------------------------
Total $ 15,591,106 $ 256,536
See Notes to Schedules of Investments.
56 Janus Equity Funds / April 30, 2000
<PAGE>
Janus | Worldwide Fund (closed to new investors)
[PHOTO]
Helen Young Hayes
portfolio manager
[PHOTO]
Laurence Chang
portfolio manager
Janus Worldwide Fund delivered impressive performance for the six-month period
ended April 30, 2000, returning 37.08% while its benchmark, the Morgan Stanley
Capital International World Index, rose 7.49%.(1) These results earned the Fund
a top-quartile ranking for the 12-month period ended April 30, 2000, placing it
14th out of 260 global funds tracked by Lipper, Inc., a leading mutual fund
rating company.(2)
Despite our substantial gains, the environment for equities proved increasingly
difficult. In the U.S., growing inflation concerns prompted the Federal Reserve
to raise short-term interest rates by a quarter-point on three separate
occasions. At the same time, European markets struggled with uneven economic
growth and weakness in the euro currency, also fueling inflation fears. This
spurred a series of interest rate hikes by the European Central Bank, attempting
to contain inflation below the European Union's self-imposed 2% limit.
Meanwhile, the emerging markets of Asia and Latin America fared better,
bolstered by improving economic fundamentals. Japanese equity gains, however,
belied a growing budget deficit and a continued lackluster economy.
Against this backdrop, what was a volatile market to begin with intensified
dramatically. For much of the period, demand for a narrow group of technology,
telecommunications and other "new economy" stocks drove a number of market
indices to all-time highs. Beginning in March, a broad market sell-off took
hold, brought on largely by profit-taking in valuation-stretched technology
issues. Investors then redirected their attention to undervalued so-called "old
economy" companies, at times signaling a shift in market leadership. In reality,
though, the markets seemed to have no clear direction, experiencing abrupt
swings on a daily basis.
Macroeconomic and market events aside, we stood by our strategy of identifying
individual companies that combine strong franchises, compelling products and
visionary management. In particular, we continued to pursue opportunities that
can transcend short-term fluctuations, such as wireless communications. In this
arena, Japan's NTT DoCoMo remained one of our favorites. Rapid subscriber growth
played a major role in the company's gains, which were heightened by the success
of its i-Mode wireless data service. Even so, recent service disruptions caused
by an overtaxed infrastructure caught our attention, and we are monitoring the
situation closely. Nonetheless, we are confident DoCoMo is taking appropriate
steps to alleviate the problem, and we continue to view the company favorably.
The boom in the Internet has also created opportunities for companies providing
the basic networking infrastructure. Canada's JDS Uniphase and Nortel Networks,
both leaders in photonics technology, are employing dense wave division
multiplexing to increase the carrying capacity of existing fiber-optic lines.
And as the demand for bandwidth increases exponentially, related in part to the
growth of e-commerce, the need for secure transactions rises in tandem. Our
position in Israel's Check Point Software Technologies, a dominant force in
e-security solutions and firewall software, benefited from these developments.
Another strong performer was U.S. media conglomerate Time Warner, which advanced
on news of its
(continued on next page)
Portfolio Profile April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Equities 86.1% 92.0%
Foreign 58.3% 61.4%
European 30.9% 35.0%
Top 10 Equities (% of Assets) 34.0% 35.2%
Number of Stocks 141 112
Cash, Cash Equivalents &
Fixed-Income Securities 13.9% 8.0%
--------------------------------------------------------------------------------
Top 5 Industries April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Cellular Telecommunications 13.3% 13.0%
Telecommunication Equipment 10.9% 9.3%
Networking Products 5.1% 5.1%
Telephone - Integrated 4.5% 3.5%
Telecommunication Services 4.5% 3.5%
--------------------------------------------------------------------------------
Top 5 Countries April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
United States 28.2% 30.5%
Japan 12.2% 15.7%
United Kingdom 9.2% 7.5%
Finland 6.9% 5.9%
Hong Kong 4.6% 2.4%
--------------------------------------------------------------------------------
Top 10 Equity Holdings April 30, 2000 October 31, 1999
--------------------------------------------------------------------------------
Nokia Oyj 6.6% 5.4%
Cisco Systems, Inc. 4.6% 5.1%
NTT DoCoMo, Inc. 4.4% 6.7%
Vodafone AirTouch PLC 4.4% 2.0%
China Telecom, Ltd. 4.1% 2.4%
Time Warner, Inc. 2.4% 2.6%
Koninklijke (Royal) Philips Electronics N.V 2.1% 2.2%
Telefonaktiebolaget L.M. Ericsson A.B 2.0% 1.6%
Telefonos de Mexico S.A. (ADR) 1.7% 1.1%
Sony Corp. 1.7% 1.0%
--------------------------------------------------------------------------------
(1) Both returns include reinvested dividends. Net dividends reinvested are the
dividends that remain to be reinvested after foreign tax obligations have
been met. Such obligations vary from country to country.
(2) Lipper, Inc. defines a global fund as one that "invests at least 25% of its
portfolio in securities traded outside the United States and may own U.S.
securities as well." As of April 30, 2000, Janus Worldwide Fund ranked
2/102 for the 5-year period. The ranking is based on total return,
including reinvested dividends and capital gains for the stated period.
Past performance does not guarantee future results.
Janus Equity Funds / April 30, 2000 57
<PAGE>
anticipated merger with top Internet services provider and Fund holding America
Online (AOL). While the announcement saw AOL decline modestly, we believe the
union will create the model media company, combining Time Warner's vast content
library with AOL's sizable subscriber base.
Although we were pleased with the Fund's performance as a whole, a few of our
holdings fell short of expectations. Consumer electronics giant Sony retreated
following reports of technical glitches in its new PlayStation2 video-game
console. Sony's dominance in the game console business, however, remains a
competitive advantage. Consequently, we have maintained our position.
Another stock that faltered was Comcast, the U.S.-based cable operator.
Investors have yet to see whether new value-added services, such as high-speed
Internet access and video-on-demand, will drive future earnings and cash flow
growth. We believe they will, and, as a result, continue to hold this
fundamentally sound company.
Going forward, we remain generally optimistic regarding the future of the global
economy. Prospects for Asia and emerging markets appear increasingly brighter.
In the near term, however, lingering economic uncertainty, particularly with
regard to nascent inflationary pressures and the interest rate environment
globally, will likely lead to further volatility. The same goes for the U.S.,
currently under the threat of additional interest rate hikes. In anticipation of
this bumpy period, we have let our cash position build slightly, allowing us to
revisit companies that provide compelling buying opportunities. Still, we remain
focused on the fundamentals of individual companies, carefully watching
valuation levels and investing in businesses we believe can generate strong
results in any economic environment.
In closing, we would like to thank you for your investment and confidence in
Janus Worldwide Fund.
Performance Overview
[GRAPHIC OMITTED]
A graphic comparison of the change in value of a hypothetical $10,000 investment
in Janus Worldwide Fund and the Morgan Stanley Capital International World
Index. Janus Worldwide Fund is represented by a shaded area of green. The Morgan
Stanley Capital International World Index is represented by a solid black line.
The "y" axis reflects the value of the investment. The "x" axis reflects the
computation periods from inception, May 15, 1991, through April 30, 2000. The
upper and lower right quadrants reflect the ending value of the hypothetical
investment in Janus Worldwide Fund ($71,615) as compared to the Morgan Stanley
Capital International World Index ($31,144).
Average Annual Total Return
for the periods ended April 30, 2000
One Year, 57.12%
Five Year, 31.26%
Since 5/15/91*, 24.56%
Janus Worldwide Fund - $71,615
Morgan Stanley Capital
International World Index - $31,144
*The Fund's inception date.
Source - Lipper, Inc. 2000.
Past performance does not guarantee future results. Investment return and
principal value will fluctuate so that shares, when redeemed, may be worth more
or less than their original cost. All returns reflect reinvested dividends. The
Fund's portfolio may differ significantly from the securities in the Index. The
Index is unmanaged and therefore does not reflect the cost of portfolio
management or trading.
This Fund's returns may have been positively impacted by buying technology
companies in a period favorable for these stocks.
The performance figures above reflect the exceptional performance of the stock
market in 1999. Investors should maintain realistic expectations for future
performance and, most importantly, should note that the recent market volatility
is not reflected in these figures.
Foreign investing involves special risks such as currency fluctuations and
political uncertainty.
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Common Stock - 84.7%
Agricultural Biotechnology - 0.5%
4,093,060 Pharmacia Corp. .......................... $ 204,397,184
Apparel Manufacturers - 0.1%
386,695 Gucci Group N.V. - New York Shares** ..... 33,884,149
Applications Software - 0.4%
1,079,090 Microsoft Corp.* ......................... 75,266,528
6,963,902 Sage Group PLC** ......................... 77,198,326
152,464,854
Audio and Video Products - 1.7%
6,344,800 Sony Corp.** ............................. 731,223,580
Broadcast Services and Programming - 2.9%
9,928,540 AT&T Corp./Liberty Media Group - Class A* 495,806,466
2,636,600 Clear Channel Communications, Inc.* ...... 189,835,200
1,724,297 EM.TV & Merchandising A.G.** ............. 136,700,261
6,331,540 Grupo Televisa S.A. (GDR)* ............... 401,657,069
1,223,998,996
Cable Television - 2.0%
8,307,790 Comcast Corp. - Special Class A .......... $ 332,830,837
3,807,495 Globo Cabo S.A. (ADR) .................... 64,251,478
641,241 Le Groupe Videotron ltee.** .............. 15,407,175
5,046,697 Rogers Communications, Inc. - Class B*,** 131,305,631
1,123,870 Rogers Communications, Inc. - Class B
New York Shares*,** .................... 29,220,620
36,232,392 Telewest Communications PLC*,** .......... 221,257,880
1,684,540 United Pan-Europe Communications N.V.
- Class A*,** .......................... 61,447,602
855,721,223
Cellular Telecommunications - 13.3%
27,910,000 China Telecom, Ltd.*,** .................. 201,558,727
10,268,955 China Telecom, Ltd. (ADR)*,** ............ 1,506,327,337
932,733 Egyptian Mobile Service Co.* ............. 35,559,489
680,850 Nextel Communications, Inc. - Class A* ... 74,510,522
55,786 NTT DoCoMo, Inc.** ....................... 1,863,463,728
11,185,818 Telecom Italia Mobile S.p.A.** ........... 107,078,388
332,886,294 Vodafone AirTouch PLC** .................. 1,531,294,246
6,709,695 Vodafone AirTouch PLC (ADR)** ............ 315,355,665
5,635,148,102
See Notes to Schedules of Investments.
58 Janus Equity Funds / April 30, 2000
<PAGE>
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Commercial Banks - 0.5%
2,211,149 Bipop - Carire S.p.A.** .................. $ 201,430,726
Commercial Services - 0.3%
2,158,492 Paychex, Inc. ............................ 113,590,641
Computer Data Security - 1.3%
2,730,225 Check Point Software Technologies, Ltd.* . 472,328,925
552,420 VeriSign, Inc.* .......................... 76,993,538
549,322,463
Computer Services - 1.7%
781,340 Atos S.A.*,** ............................ 84,656,426
821,706 Cap Gemini S.A.** ........................ 161,736,569
4,128,400 Getronics N.V.**,# ....................... 246,787,766
6,900,638 Logica PLC** ............................. 208,943,590
210,785 MarchFirst, Inc* ......................... 4,492,355
706,616,706
Computers - Integrated Systems - 1.1%
1,557,605 ASM Lithography Holding N.V.*,** ......... 61,032,872
972,795 ASM Lithography Holding N.V. (ADR)*,** ... 38,911,800
23,469,000 Dimension Data Holdings, Ltd. ............ 154,053,557
4,830,800 Fujitsu, Ltd.** .......................... 136,782,017
5,764,623 SEMA Group PLC** ......................... 93,091,375
483,871,621
Computers - Memory Devices - 1.4%
3,420,330 EMC Corp.* ............................... 475,212,099
907,177 VERITAS Software Corp.* .................. 97,308,908
572,521,007
Computers - Micro - 1.1%
35,080,000 Legend Holdings, Ltd.** .................. 40,759,365
4,479,470 Sun Microsystems, Inc.* .................. 411,831,273
452,590,638
Data Processing and Management - 0.1%
235,117 Autonomy Corp. PLC*,** ................... 31,270,561
Diversified Operations - 1.7%
42,720,000 Citic Pacific, Ltd.** .................... 195,802,713
2,776,470 General Electric Co. ..................... 436,599,908
13,110,934 Hays PLC** ............................... 90,526,804
722,929,425
E-Commerce - 0.3%
2,589,135 Amazon.com, Inc.* ........................ 142,887,888
Electric Products - 0.5%
743,010 Samsung Electronics** .................... 200,865,160
Electronic Components - 4.1%
260,302 Celestica, Inc.*,** ...................... 14,037,056
4,393,100 Celestica, Inc. - New York Shares*,** .... 239,698,519
12,102,652 Koninklijke (Royal) Philips Electronics
N.V.** ................................. 541,171,132
7,295,583 Koninklijke (Royal) Philips Electronics
N.V. - New York Shares** ............... 325,565,391
1,528,000 Murata Manufacturing Company, Ltd.** ..... 296,914,337
11,325,000 NEC Corp.** .............................. 308,087,487
1,725,473,922
Electronic Components - Semiconductors - 2.0%
989,490 Applied Materials, Inc.* ................. 100,742,451
208,800 Rohm Company, Ltd.** ..................... 69,940,315
1,705,329 STMicroelectronics N.V.** ................ 326,180,981
48,750 STMicroelectronics N.V. - New York Shares** 9,247,266
2,159,490 Texas Instruments, Inc. .................. 351,726,934
857,837,947
Enterprise Software and Services - 0.6%
3,129,680 BEA Systems, Inc.* ....................... $ 151,007,060
821,470 i2 Technologies, Inc.* ................... 106,174,997
257,182,057
Fiber Optics - 1.9%
1,748,875 Corning, Inc. ............................ 345,402,812
244,330 E-Tek Dynamics, Inc.* .................... 50,026,567
3,766,790 JDS Uniphase Corp.* ...................... 390,569,038
785,998,417
Finance - Credit Card - 0.7%
1,900,940 American Express Co. ..................... 285,259,809
Food - Catering - 0.4%
13,011,095 Compass Group PLC** ...................... 185,477,427
Human Resources - 0.3%
5,357,670 Capita Group PLC** ....................... 138,079,243
Instruments - Scientific - 0.2%
1,506,090 PE Corp./PE Biosystems Group ............. 90,365,400
Internet Content - 1.1%
1,764,000 Softbank Corp.** ......................... 435,267,091
1,182,406 World Online International N.V.*,** ...... 15,946,536
451,213,627
Internet Software - 1.1%
3,916,515 America Online, Inc.* .................... 234,256,553
239,333 Intershop Communications A.G.*,** ........ 106,538,155
1,324,285 Phone.com, Inc.* ......................... 111,239,940
452,034,648
Life and Health Insurance - 0.8%
21,737,558 Prudential PLC** ......................... 336,544,099
Machinery - Electrical - 0%
83,893 Schneider Electric S.A.** ................ 6,040,296
Medical - Biomedical and Genetic - 0.5%
910,325 Genentech, Inc.* ......................... 106,508,025
126,680 Incyte Pharmaceuticals, Inc.* ............ 9,754,360
498,785 Incyte Pharmaceuticals, Inc.*,ss.,+ ...... 36,006,042
610,905 PE Corp./Celera Genomics Group ........... 50,399,663
202,668,090
Medical - Drugs - 3.6%
4,863,139 AstraZeneca Group PLC** .................. 204,628,595
68,710 AstraZeneca Group PLC (ADR)** ............ 2,894,409
9,336,945 Pfizer, Inc. ............................. 393,318,808
2,106,285 Schering-Plough Corp. .................... 84,909,614
1,749,800 Sepracor, Inc.* .......................... 160,981,600
5,896,000 Takeda Chemical Industries, Ltd.** ....... 387,896,262
1,740,314 Warner-Lambert Co. ....................... 198,069,487
1,678,000 Yamanouchi Pharmaceutical Company, Ltd.** 88,657,725
1,521,356,500
Medical Instruments - 0.7%
5,797,115 Medtronic, Inc. .......................... 301,087,660
Medical Products - 0.8%
4,292,565 Johnson & Johnson ........................ 354,136,612
Metal Processors and Fabricators - 1.0%
20,944,224 Assa Abloy A.B. - Class B# ............... 425,775,968
Money Center Banks - 1.1%
20,544,460 Banco Bilbao Vizcaya Argentaria S.A.** ... 280,817,396
19,458,000 Fuji Bank, Ltd.** ........................ 162,042,609
442,860,005
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 59
<PAGE>
Janus | Worldwide Fund
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Multimedia - 3.0%
780,170 News Corporation, Ltd. (ADR) ............. $ 40,129,994
11,287,920 Time Warner, Inc. ........................ 1,015,207,305
4,168,870 Viacom, Inc. - Class B* .................. 226,682,306
1,282,019,605
Networking Products - 5.1%
3,686,155 3Com Corp.* .............................. 145,372,738
27,860,627 Cisco Systems, Inc.* ..................... 1,931,525,031
2,244,510 Newbridge Networks Corp. .................
- New York Shares*,** ................... 80,381,514
2,157,279,283
Oil Companies - Integrated - 2.0%
10,311,215 Petroleo Brasileiro S.A. (ADR) ........... 244,287,119
3,836,230 Total Fina Elf S.A.** .................... 583,443,750
827,730,869
Petrochemicals - 0.6%
26,444,682 Reliance Industries, Ltd. ................ 210,134,565
1,941,773 Reliance Industries, Ltd. (GDR)+ ......... 49,806,477
259,941,042
Pipelines - 0.5%
2,941,290 Enron Corp. .............................. 204,971,147
Property and Casualty Insurance - 0.2%
8,437,000 Tokio Marine & Fire Insurance
Company, Ltd.** ........................ 82,284,338
Radio - 0.2%
1,015,290 AMFM, Inc.* .............................. 67,389,874
760,400 Infinity Broadcasting Corp. - Class A* ... 25,806,075
93,195,949
Retail - Diversified - 0.2%
968,000 Ito-Yokado Company, Ltd.** ............... 70,670,942
Retail - Office Supplies - 0.2%
3,466,890 Staples, Inc.* ........................... 66,087,591
Security Services - 1.0%
16,195,965 Securitas A.B. - Class B ................. 419,701,284
Telecommunication Equipment - 10.9%
639,264 Alcatel S.A.** ........................... 148,545,140
1,773,930 Comverse Technology, Inc.* ............... 158,212,382
26,906,110 Nokia Oyj** .............................. 1,547,099,659
21,640,364 Nokia Oyj (ADR)** ........................ 1,230,795,702
5,198,660 Nortel Networks Corp. - New York Shares** 588,748,245
678,725 QUALCOMM, Inc.* .......................... 73,599,242
3,882,194 Telefonaktiebolaget L.M. Ericsson A.B. (ADR) 343,331,532
5,699,986 Telefonaktiebolaget L.M. Ericsson A.B ....
- Class B .............................. 507,431,699
4,597,763,601
Telecommunication Services - 4.5%
5,984,930 Amdocs, Ltd.* ............................ 405,104,949
940,498 Carrier 1 International S.A.* ............ 77,561,192
8,467,514 COLT Telecom Group PLC*,**,+ ............. 361,591,569
347,860 Dacom Corp.** ............................ 50,468,346
1,055,500 Energis PLC*,** .......................... 52,340,674
4,299,910 Infonet Services Corp. - Class B* ........ 72,560,981
1,011,645 Korea Telecom Corp. (ADR)*,** ............ 34,901,753
1,540,205 Level 3 Communications, Inc.* ............ 137,078,245
2,746,678 NTL, Inc.* ............................... 210,120,867
7,589 NTT Data Corp.** ......................... 101,119,651
54,500 SK Telecom Company, Ltd.** ............... 14,487,959
8,320,060 SK Telecom Company, Ltd. (ADR)** ......... 266,761,924
1,693,771 Sonera Oyj** ............................. 93,378,756
1,877,476,866
Telephone - Integrated - 3.7%
9,528 Nippon Telegraph & Telephone Corp.** ..... $ 118,139,483
30,673,912 Telefonica S.A.*,** ...................... 684,255,975
670,234 Telefonica S.A. (ADR)*,** ................ 44,403,003
12,484,000 Telefonos de Mexico S.A. (ADR) ........... 734,215,250
1,581,013,711
Telephone - Local - 0%
359,041 Tele Norte Leste Participacoes S.A. (ADR) 6,395,418
Television - 0.2%
504,292 Canal Plus S.A.** ........................ 97,421,757
Wire and Cable Products - 0.6%
16,878,000 Furukawa Electric Company, Ltd.** ........ 234,105,240
--------------------------------------------------------------------------------
Total Common Stock (cost $21,972,849,072) .................. 35,692,185,294
--------------------------------------------------------------------------------
Corporate Bonds - 0.1%
Cable Television - 0.1%
United Pan-Europe Communications N.V.:
$ 37,986,000 11.25%, senior notes, due 2/1/10**,+ ... 35,326,980
20,959,000 11.50%, senior notes, due 2/1/10**,+ ... 19,282,280
--------------------------------------------------------------------------------
Total Corporate Bonds (cost $58,513,412) ................... 54,609,260
--------------------------------------------------------------------------------
Preferred Stock - 1.4%
Automotive - Cars and Light Trucks - 0.2%
37,477 Porsche A.G.** ........................... 93,232,104
Enterprise Software and Services - 0.2%
138,496 SAP A.G.** ............................... 81,654,388
Multimedia - 0.2%
1,463,550 News Corporation, Ltd. (ADR) ............. 64,396,200
Telephone - Integrated - 0.8%
3,066,295 Telecomunicacoes Brasileiras S.A. (ADR) .. 362,397,740
--------------------------------------------------------------------------------
Total Preferred Stock (cost $524,410,546) .................. 601,680,432
--------------------------------------------------------------------------------
Money Market - 0.2%
Janus Government Money Market Fund
$ 85,400,000 6.00% (cost $85,400,000) ............... 85,400,000
--------------------------------------------------------------------------------
Repurchase Agreements - 0.5%
200,000,000 Duetsche Bank Securities, Inc., 6.11% dated
4/28/00, maturing 5/1/00, to be
repurchased at $200,101,833
collateralized by $276,463,364 in Fannie
Mae, 0%- 9.50%, 5/17/00-5/15/29;
$3,448,242 in Federal Farm Credit Bank,
5.75%-6.72%, 10/10/00-10/11/07;
$31,725,213 in Federal Home Loan Bank
System, 0%- 7.715%, 5/12/00-11/18/13;
$200,087,004 in Freddie Mac, 0%-12.693%,
5/4/00- 9/15/29; $59,641,221 in Ginnie
Mae, 1.1825%-9.00%, 1/15/09-4/15/30;
$287,933 in Sallie Mae, 0%-6.55%,
7/20/00-12/2/13; $1,489,307 in Tennesse
Valley Authority, 5.00%, 12/18/03;
$60,801,518 in Vendee Mortgage Trust,
0.4691%-6.75%, 6/15/23; with respective
values of $78,517,637, $3,430,717,
$31,002,895, $51,114,482, $32,757,474,
$282,728, $1,414,091 and $5,480,102
(cost $200,000,000) .................... 200,000,000
--------------------------------------------------------------------------------
See Notes to Schedules of Investments.
60 Janus Equity Funds / April 30, 2000
<PAGE>
SCHEDULE OF INVESTMENTS (unaudited)
Shares or Principal Amount Market Value
================================================================================
Short-Term Corporate Notes - 3.3%
DaimlerChrysler N.A.
$ 100,000,000 6.07%, 6/2/00 .......................... $ 99,460,444
Deutsche Bank A.G.:
100,000,000 5.89%, 5/8/00 .......................... 99,885,472
50,000,000 6.03%, 5/11/00 ......................... 49,916,250
50,000,000 6.03%, 5/17/00 ......................... 49,866,000
200,000,000 6.00%, 5/18/00 ......................... 199,433,333
J.P. Morgan Securities
350,000,000 5.90%, 5/8/00 .......................... 349,598,472
Societe Generale, New York
550,000,000 5.9375%, 5/1/00 ........................ 550,000,000
--------------------------------------------------------------------------------
Total Short-Term Corporate Notes
(amortized cost $1,398,159,971) .......................... 1,398,159,971
--------------------------------------------------------------------------------
U.S. Government Agencies - 8.9%
Fannie Mae:
100,000,000 5.99%, 7/18/00 ......................... 98,665,000
325,000,000 5.88%-5.94%, 8/24/00 ................... 318,509,750
75,000,000 5.95%, 9/7/00 .......................... 73,317,000
50,000,000 6.07%, 9/11/00 ......................... 48,843,500
150,000,000 6.04%, 9/14/00 ......................... 146,452,500
Federal Farm Credit Bank
50,000,000 6.10%, 10/20/00 ........................ 48,499,500
Federal Home Loan Bank System:
50,000,000 5.68%, 5/31/00 ......................... 49,763,333
100,000,000 5.80%, 6/7/00 .......................... 99,403,889
200,000,000 5.90%, 6/20/00 ......................... 198,379,167
150,000,000 5.89%-5.94%, 6/30/00 ................... 148,485,000
100,000,000 5.95%, 7/10/00 ......................... 98,802,000
100,000,000 5.81%, 7/14/00 ......................... 98,733,000
50,000,000 5.93%, 7/17/00 ......................... 49,341,000
250,000,000 5.98%, 7/21/00 ......................... 246,535,000
100,000,000 5.98%, 7/25/00 ......................... 98,545,000
100,000,000 5.85%, 7/28/00 ......................... 98,494,000
100,000,000 5.86%, 7/31/00 ......................... 98,442,000
75,000,000 5.97%, 8/10/00 ......................... 73,684,500
75,000,000 5.87%, 8/11/00 ......................... 73,671,750
50,000,000 5.87%, 8/18/00 ......................... 49,053,500
100,000,000 5.87%, 8/23/00 ......................... 98,020,000
50,000,000 5.98%, 8/30/00 ......................... 48,949,500
100,000,000 6.01%, 9/1/00 .......................... 97,861,000
50,000,000 5.94%, 9/6/00 .......................... 48,887,000
50,000,000 5.97%, 9/7/00 .......................... 48,878,000
75,000,000 5.89%, 9/8/00 .......................... 73,304,250
100,000,000 5.94%, 9/13/00 ......................... 97,652,000
50,000,000 6.06%, 9/20/00 ......................... 48,765,000
150,000,000 6.04%, 10/19/00 ........................ 145,525,500
100,000,000 6.06%, 10/23/00 ........................ 96,947,000
100,000,000 5.99%, 11/24/00 ........................ 96,417,000
25,000,000 5.97%, 12/4/00 ......................... 24,047,500
75,000,000 5.98%, 12/8/00 ......................... 72,090,000
100,000,000 6.00%, 12/12/00 ........................ 96,050,000
Freddie Mac:
100,000,000 5.78%, 5/25/00 ......................... 99,614,667
150,000,000 6.025%, 9/14/00 ........................ 146,452,500
50,000,000 6.05%, 10/6/00 ......................... 48,621,500
100,000,000 6.09%, 10/12/00 ........................ 97,125,000
30,000,000 6.24%, 4/26/01 ......................... 28,103,700
--------------------------------------------------------------------------------
Total U.S. Government Agencies (cost $3,732,053,140) ....... 3,728,931,506
--------------------------------------------------------------------------------
Total Investments (total cost $27,971,386,141) - 99.1% ..... 41,760,966,463
--------------------------------------------------------------------------------
Cash, Receivables and other Assets, net of Liabilities - 0.9% 393,691,884
--------------------------------------------------------------------------------
Net Assets - 100% .......................................... $ 42,154,658,347
--------------------------------------------------------------------------------
Summary of Investments by Country, April 30, 2000
Country % of Investment Securities Market Value
--------------------------------------------------------------------------------
Australia 0.3% $ 104,526,194
Brazil 1.6% 677,331,755
Canada 2.6% 1,098,798,760
Egypt 0.1% 35,559,489
Finland 6.9% 2,871,274,117
France 3.4% 1,417,272,185
Germany 1.0% 418,124,908
Hong Kong 4.6% 1,944,448,142
India 0.6% 259,941,042
Israel 1.1% 472,328,925
Italy 0.7% 308,509,114
Japan 12.2% 5,086,594,805
Mexico 2.7% 1,135,872,319
Netherlands 3.3% 1,379,356,508
South Africa 0.4% 154,053,557
South Korea 1.4% 567,485,142
Spain 2.4% 1,009,476,374
Sweden 4.1% 1,696,240,483
Switzerland 0.2% 77,561,192
United Kingdom 9.2% 3,850,494,463
United States++ 41.2% 17,195,716,989
--------------------------------------------------------------------------------
Total 100.0% $ 41,760,966,463
++Includes Short-Term Securities (28.2% excluding Short-Term Securities)
Forward Currency Contracts, Open at April 30, 2000
Currency Sold and Currency Currency Unrealized
Settlement Date Units Sold Value in $ U.S. Gain/(Loss)
--------------------------------------------------------------------------------
British Pound 6/9/00 426,550,000 $ 662,645,426 $ 18,328,410
British Pound 9/8/00 319,450,000 496,904,475 8,260,815
British Pound 9/22/00 124,400,000 193,541,520 4,630,790
British Pound 9/29/00 191,200,000 297,507,200 6,041,920
British Pound 10/5/00 800,000 1,244,960 21,120
Canadian Dollar 5/18/00 26,700,000 18,039,322 386,776
Canadian Dollar 9/22/00 51,300,000 34,774,946 572,187
Euro 5/18/00 553,000,000 503,451,200 53,855,011
Euro 6/2/00 250,600,000 228,396,840 34,231,960
Euro 6/9/00 7,300,000 6,656,870 498,480
Euro 9/8/00 1,252,000,000 1,148,710,000 52,181,392
Euro 9/22/00 187,000,000 171,740,800 8,716,070
Euro 9/29/00 780,100,000 716,755,880 38,653,952
Euro 10/5/00 603,350,000 554,599,320 25,220,030
Hong Kong Dollar 3/16/01 2,815,500,000 361,193,072 226,390
Hong Kong Dollar 5/7/01 5,982,300,000 767,404,272 (6,192,248)
Hong Kong Dollar 5/10/01 5,133,000,000 658,456,802 (2,196,843)
Japanese Yen 5/18/00 32,490,000,000 301,503,900 8,890,020
Japanese Yen 6/2/00 12,000,000,000 111,674,862 5,170,318
Japanese Yen 9/1/00 78,000,000,000 738,250,460 (1,573,684)
Japanese Yen 9/8/00 102,640,000,000 972,755,455 22,064,841
Japanese Yen 9/22/00 6,700,000,000 63,667,878 1,916,804
Japanese Yen 9/29/00 11,900,000,000 113,232,933 2,638,538
Japanese Yen 10/5/00 21,050,000,000 200,528,519 7,475,434
South Korean Won 7/16/01 15,500,000,000 13,932,584 (994,354)
--------------------------------------------------------------------------------
Total $9,337,569,496 $ 289,024,129
See Notes to Schedules of Investments.
Janus Equity Funds / April 30, 2000 61
<PAGE>
Statements of | Operations
<TABLE>
<CAPTION>
Janus Janus
Janus Janus Equity Global Life
For the six months or period ended April 30, 2000, (unaudited) Janus Balanced Enterprise Income Sciences
(all numbers in thousands) Fund Fund Fund Fund Fund
------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Investment Income:
Interest $ 58,605 $ 60,895 $ 9,571 $ 4,908 $ 12,391
Dividends 71,743 6,035 1,147 2,693 1,334
Foreign tax withheld (1,715) (92) -- (54) (9)
------------------------------------------------------------------------------------------------------------------------------------
128,633 66,838 10,718 7,547 13,716
------------------------------------------------------------------------------------------------------------------------------------
Expenses:
Advisory fees 139,556 11,807 19,148 3,249 7,007
Transfer agent fees and expenses 37,719 3,296 5,464 1,092 2,416
Registration fees 2,234 254 1,837 166 1,313
Postage and mailing expenses 1,241 74 157 57 113
Custodian fees 1,670 167 162 67 96
Printing expenses 1,829 134 312 110 222
Audit fees 25 5 5 5 10
Trustees' fees and expenses 70 8 2 3 3
Other expenses 166 42 16 12 10
------------------------------------------------------------------------------------------------------------------------------------
Total Expenses 184,510 15,787 27,103 4,761 11,190
------------------------------------------------------------------------------------------------------------------------------------
Expense and Fee Offsets (2,594) (260) (706) (88) (403)
------------------------------------------------------------------------------------------------------------------------------------
Net Expenses 181,916 15,527 26,397 4,673 10,787
------------------------------------------------------------------------------------------------------------------------------------
Net Investment Income/(Loss) (53,283) 51,311 (15,679) 2,874 2,929
------------------------------------------------------------------------------------------------------------------------------------
Net Realized and Unrealized Gain/(Loss) on Investments:
Net realized gain/(loss) from securities transactions 4,167,744 225,647 291,791 80,694 (553,666)
Net realized gain/(loss) from foreign currency transactions 16,889 828 (2) 223 894
Change in net unrealized appreciation
or depreciation of investments and foreign currency 3,612,863 22,679 35,066 33,729 (134,031)
------------------------------------------------------------------------------------------------------------------------------------
Net Gain/(Loss) on Investments 7,797,496 249,154 326,855 114,646 (686,803)
------------------------------------------------------------------------------------------------------------------------------------
Net Increase/(Decrease) in Net Assets Resulting from Operations $ 7,744,213 $ 300,465 $ 311,176 $ 117,520 $ (683,874)
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
(1) Period from February 29, 2000 (inception) to April 30, 2000.
See Notes to Financial Statements.
62 Janus Equity Funds / April 30, 2000
<PAGE>
<TABLE>
<CAPTION>
Janus Janus Janus Janus
Global Growth Janus Janus Janus Special Strategic Janus Janus Janus
Technology and Income Mercury Olympus Overseas Situations Value Twenty Venture Worldwide
Fund Fund Fund Fund Fund Fund Fund(1) Fund Fund Fund
------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
$ 39,120 $ 31,712 $ 38,341 $ 35,357 $ 23,546 $ 763 $ 4,273 $ 98,020 $ 5,056 $ 108,852
4,824 13,668 17,734 4,030 18,599 1,264 1,419 39,419 409 66,246
(364) (248) (940) (213) (1,698) -- -- (2,325) (23) (5,360)
------------------------------------------------------------------------------------------------------------------------------------
43,580 45,132 55,135 39,174 40,447 2,027 5,692 135,114 5,442 169,738
------------------------------------------------------------------------------------------------------------------------------------
27,674 25,487 47,548 22,297 30,596 5,052 2,528 113,828 9,079 116,964
8,724 7,774 14,390 7,061 7,894 1,820 903 32,548 2,500 31,772
1,874 812 1,818 1,218 755 177 730 167 129 2,949
526 291 661 308 116 108 141 852 18 645
527 290 635 268 2,453 67 42 1,333 102 6,556
849 552 1,369 627 228 179 163 1,390 292 941
18 9 9 8 12 3 4 12 13 15
11 15 30 14 14 2 2 71 4 53
18 33 32 20 41 16 2 91 19 106
------------------------------------------------------------------------------------------------------------------------------------
40,221 35,263 66,492 31,821 42,109 7,424 4,515 150,292 12,156 160,001
------------------------------------------------------------------------------------------------------------------------------------
(617) (626) (971) (645) (560) (110) (75) (1,241) (86) (2,549)
------------------------------------------------------------------------------------------------------------------------------------
39,604 34,637 65,521 31,176 41,549 7,314 4,440 149,051 12,070 157,452
------------------------------------------------------------------------------------------------------------------------------------
3,976 10,495 (10,386) 7,998 (1,102) (5,287) 1,252 (13,937) (6,628) 12,286
------------------------------------------------------------------------------------------------------------------------------------
114,068 219,819 2,068,368 249,840 988,949 70,372 12,945 1,096,604 581,790 2,925,866
2,008 21,818 112,077 28,532 72,524 (692) -- 4 (52) 226,323
2,153,400 1,046,573 1,248,310 1,050,335 1,878,174 255,584 223,888 5,021,173 (257,452) 5,926,158
------------------------------------------------------------------------------------------------------------------------------------
2,269,476 1,288,210 3,428,755 1,328,707 2,939,647 325,264 236,833 6,117,781 324,286 9,078,347
------------------------------------------------------------------------------------------------------------------------------------
$ 2,273,452 $ 1,298,705 $ 3,418,369 $ 1,336,705 $ 2,938,545 $ 319,977 $ 238,085 $ 6,103,844 $ 317,658 $ 9,090,633
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
Janus Equity Funds / April 30, 2000 63
<PAGE>
Statements of | Assets & Liabilities
<TABLE>
<CAPTION>
Janus Janus
As of April 30, 2000, (unaudited) Janus Janus Equity Global
(all numbers in thousands except Janus Balanced Enterprise Income Life Sciences
net asset value per share) Fund Fund Fund Fund Fund
----------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Assets:
Investments at cost $ 30,439,057 $ 3,787,548 $ 6,876,656 $ 885,778 $ 3,271,115
Investments at value $ 47,235,979 $ 4,174,157 $ 7,678,468 $ 1,074,205 $ 3,178,198
Cash 1,528 -- 1,646 -- 664
Receivables:
Investments sold 303,178 55,356 54,589 19,268 79,960
Fund shares sold 66,262 16,926 45,068 5,393 12,609
Dividends 20,377 1,133 648 527 815
Interest 5,448 35,560 810 1,786 --
Other assets 88 2 3 1 --
Forward currency contracts 14,172 641 -- 228 1,417
----------------------------------------------------------------------------------------------------------------------
Total Assets 47,647,032 4,283,775 7,781,232 1,101,408 3,273,663
----------------------------------------------------------------------------------------------------------------------
Liabilities:
Payables:
Due to custodian -- 1,611 -- 5,933 --
Investments purchased 612,535 76,064 68,012 11,303 741
Fund shares repurchased 52,888 6,402 14,553 943 10,841
Advisory fees 24,453 2,199 4,014 563 1,778
Transfer agent fees and expenses 6,415 570 978 191 664
Accrued expenses 4,003 404 1,690 217 1,189
Forward currency contracts -- -- -- -- --
----------------------------------------------------------------------------------------------------------------------
Total Liabilities 700,294 87,250 89,247 19,150 15,213
----------------------------------------------------------------------------------------------------------------------
Net Assets $ 46,946,738 $ 4,196,525 $ 7,691,985 $ 1,082,258 $ 3,258,450
Shares Outstanding, $0.01 Par Value
(unlimited shares authorized) 1,018,269 179,540 102,956 42,969 189,357
----------------------------------------------------------------------------------------------------------------------
Net Asset Value Per Share $ 46.10 $ 23.37 $ 74.71 $ 25.19 $ 17.21
----------------------------------------------------------------------------------------------------------------------
</TABLE>
See Notes to Financial Statements.
64 Janus Equity Funds / April 30, 2000
<PAGE>
<TABLE>
<CAPTION>
Janus Janus Janus Janus
Global Growth Janus Janus Janus Special Strategic Janus Janus Janus
Technology and Income Mercury Olympus Overseas Situations Value Twenty Venture Worldwide
Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund
--------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
$ 6,576,418 $ 6,223,014 $13,888,789 $ 6,137,735 $ 6,730,998 $ 1,295,463 $ 2,708,866 $19,619,893 $ 1,598,343 $27,971,386
$ 9,708,955 $ 9,051,895 $17,427,018 $ 8,473,643 $10,435,710 $ 1,833,378 $ 2,932,754 $35,347,371 $ 2,186,375 $41,760,966
685 877 1,012 998 -- 2,535 557 2,091 1,604 538
51,824 13,753 45,661 59,777 198,603 3,078 13,601 99,286 46,236 325,640
25,044 28,541 66,568 35,558 95,599 11,086 17,253 45,785 906 154,620
1,757 2,263 746 765 10,664 131 1,280 1,584 57 40,909
12,907 7,071 185 4,888 692 -- -- 11,458 203 2,549
3 8 177 120 5 1 -- 60 18 34
6,194 15,664 65,574 19,927 95,118 -- -- -- 257 289,024
--------------------------------------------------------------------------------------------------------------------------------
9,807,369 9,120,072 17,606,941 8,595,676 10,836,391 1,850,209 2,965,445 35,507,635 2,235,656 42,574,280
--------------------------------------------------------------------------------------------------------------------------------
-- -- -- -- 844 -- -- -- -- --
3,130 24,409 56,468 74,700 83,493 12,874 54,009 97,514 22,805 340,560
14,727 5,179 17,029 6,307 42,330 1,431 7,072 18,965 940 46,517
5,218 4,722 9,109 4,394 5,725 952 1,431 18,806 1,239 22,166
1,659 1,285 2,525 1,279 1,432 321 434 5,283 384 5,972
2,346 1,254 3,001 1,494 1,242 296 776 2,094 299 4,407
-- -- -- -- -- 589 -- -- -- --
--------------------------------------------------------------------------------------------------------------------------------
27,080 36,849 88,132 88,174 135,066 16,463 63,722 142,662 25,667 419,622
--------------------------------------------------------------------------------------------------------------------------------
$ 9,780,289 $ 9,083,223 $17,518,809 $ 8,507,502 $10,701,325 $ 1,833,746 $ 2,901,723 $35,364,973 $ 2,209,989 $42,154,658
302,060 212,212 388,607 157,567 278,842 73,508 260,996 441,577 23,721 532,057
--------------------------------------------------------------------------------------------------------------------------------
$ 32.38 $ 42.80 $ 45.08 $ 53.99 $ 38.38 $ 24.95 $ 11.12 $ 80.09 $ 93.17 $ 79.23
--------------------------------------------------------------------------------------------------------------------------------
</TABLE>
Janus Equity Funds / April 30, 2000 65
<PAGE>
Statements of | Changes in Net Assets
<TABLE>
<CAPTION>
Janus
For the six months ended April 30, 2000, (unaudited) Janus Balanced
and for the fiscal year ended October 31 Fund Fund
(all numbers in thousands) 2000 1999 2000 1999
-----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Operations:
Net investment income/(loss) $ (53,283) $ (41,428) $ 51,311 $ 46,354
Net realized gain/(loss) from investment transactions 4,184,633 4,515,566 226,475 44,197
Change in unrealized net appreciation/(depreciation)
of investments and foreign currency 3,612,863 7,602,574 22,679 282,705
-----------------------------------------------------------------------------------------------------------------------------
Net Increase in Net Assets Resulting from Operations 7,744,213 12,076,712 300,465 373,256
-----------------------------------------------------------------------------------------------------------------------------
Dividends and Distributions to Shareholders:
Net investment income -- -- (42,474) (40,851)
Dividends (in excess of net investment income) -- -- -- --
Net realized gain from investment transactions (4,451,206) (609,005) (44,727) (6,137)
-----------------------------------------------------------------------------------------------------------------------------
Net Decrease from Dividends and Distributions (4,451,206) (609,005) (87,201) (46,988)
-----------------------------------------------------------------------------------------------------------------------------
Capital Share Transactions:
Shares sold 7,493,296 7,220,120 1,770,998 2,469,162
Reinvested dividends and distributions 4,328,707 593,074 84,907 45,775
Shares repurchased (4,003,002) (4,167,433) (802,413) (741,485)
-----------------------------------------------------------------------------------------------------------------------------
Net Increase/(Decrease) from Capital Share Transactions 7,819,001 3,645,761 1,053,492 1,773,452
-----------------------------------------------------------------------------------------------------------------------------
Net Increase/(Decrease) in Net Assets 11,112,008 15,113,468 1,266,756 2,099,720
Net Assets:
Beginning of period 35,834,730 20,721,262 2,929,769 830,049
-----------------------------------------------------------------------------------------------------------------------------
End of period $ 46,946,738 $ 35,834,730 $ 4,196,525 $ 2,929,769
-----------------------------------------------------------------------------------------------------------------------------
Net Assets Consist of:
Capital (par value and paid-in surplus) $ 26,011,468 $ 18,192,467 $ 3,564,877 $ 2,511,385
Undistributed net investment income/(loss) (53,283) -- 18,565 9,728
Undistributed net realized gain/(loss) from investments 4,177,847 4,444,420 225,883 44,135
Unrealized appreciation/(depreciation)
of investments and foreign currency 16,810,706 13,197,843 387,200 364,521
-----------------------------------------------------------------------------------------------------------------------------
$ 46,946,738 $ 35,834,730 $ 4,196,525 $ 2,929,769
-----------------------------------------------------------------------------------------------------------------------------
Transactions in Fund Shares:
Shares sold 166,215 193,574 75,750 119,933
Reinvested distributions 102,771 17,907 3,663 2,232
-----------------------------------------------------------------------------------------------------------------------------
Total 268,986 211,481 79,413 122,165
-----------------------------------------------------------------------------------------------------------------------------
Shares repurchased (88,420) (114,553) (34,351) (35,896)
Net Increase/(Decrease) in Fund Shares 180,566 96,928 45,062 86,269
Shares Outstanding, Beginning of Period 837,703 740,775 134,478 48,209
-----------------------------------------------------------------------------------------------------------------------------
Shares Outstanding, End of Period 1,018,269 837,703 179,540 134,478
-----------------------------------------------------------------------------------------------------------------------------
Purchases and Sales of Investment Securities:
(excluding short-term securities)
Purchases of securities $ 18,807,714 $ 19,647,972 $ 1,839,360 $ 2,551,827
Proceeds from sales of securities 15,225,526 16,875,185 1,535,548 981,564
Purchases of long-term U.S. government obligations -- -- 475,609 417,749
Proceeds from sales of long-term U.S. government obligations -- -- 142,439 204,699
<CAPTION>
Janus Janus Janus Global Janus Global
Enterprise Equity Income Life Sciences Technology
Fund Fund Fund Fund
2000 1999 2000 1999 2000 1999 2000 1999
------------------------------------------------------------------------------------------------------------------------------
<C> <C> <C> <C> <C> <C> <C> <C>
$ (15,679) $ (7,574) $ 2,874 $ 4,612 $ 2,929 $ (775) $ 3,976 $ (1,201)
291,789 164,387 80,917 19,925 (552,772) (7,908) 116,076 32,101
35,066 645,267 33,729 133,653 (134,031) 42,529 2,153,400 985,283
-----------------------------------------------------------------------------------------------------------------------------
311,176 802,080 117,520 158,190 (683,874) 33,846 2,273,452 1,016,183
-----------------------------------------------------------------------------------------------------------------------------
-- -- (3,084) (4,016) -- -- (4,200) --
-- -- -- -- -- -- -- --
(167,625) (76,954) (20,913) (3,238) -- -- (37,536) --
-----------------------------------------------------------------------------------------------------------------------------
(167,625) (76,954) (23,997) (7,254) -- -- (41,736) --
-----------------------------------------------------------------------------------------------------------------------------
7,852,831 2,596,427 604,987 843,424 5,736,840 453,475 7,603,364 3,012,815
163,404 75,297 23,104 7,039 -- -- 40,471 --
(2,797,499) (1,626,151) (420,675) (420,862) (2,138,952) (142,885) (3,429,776) (694,484)
-----------------------------------------------------------------------------------------------------------------------------
5,218,736 1,045,573 207,416 429,601 3,597,888 310,590 4,214,059 2,318,331
-----------------------------------------------------------------------------------------------------------------------------
5,362,287 1,770,699 300,939 580,537 2,914,014 344,436 6,445,775 3,334,514
2,329,698 558,999 781,319 200,782 344,436 -- 3,334,514 --
-----------------------------------------------------------------------------------------------------------------------------
$ 7,691,985 $ 2,329,698 $ 1,082,258 $ 781,319 $ 3,258,450 $ 344,436 $ 9,780,289 $ 3,334,514
-----------------------------------------------------------------------------------------------------------------------------
$ 6,625,605 $ 1,406,869 $ 812,825 $ 605,409 $ 3,907,703 $ 309,815 $ 6,532,390 $ 2,318,332
(15,679) -- 704 916 2,929 -- (225) --
280,247 156,083 80,081 20,076 (560,680) (7,908) 109,440 30,899
801,812 766,746 188,648 154,918 (91,502) 42,529 3,138,684 985,283
-----------------------------------------------------------------------------------------------------------------------------
$ 7,691,985 $ 2,329,698 $ 1,082,258 $ 781,319 $ 3,258,450 $ 344,436 $ 9,780,289 $ 3,334,514
-----------------------------------------------------------------------------------------------------------------------------
96,453 57,208 24,268 41,541 262,212 41,355 248,034 204,154
2,372 2,196 958 358 -- -- 1,468 --
-----------------------------------------------------------------------------------------------------------------------------
98,825 59,404 25,226 41,899 262,212 41,355 249,502 204,154
-----------------------------------------------------------------------------------------------------------------------------
(35,597) (36,967) (16,869) (20,162) (101,636) (12,574) (106,576) (45,020)
63,228 22,437 8,357 21,737 160,576 28,781 142,926 159,134
39,728 17,291 34,612 12,875 28,781 -- 159,134 --
-----------------------------------------------------------------------------------------------------------------------------
102,956 39,728 42,969 34,612 189,357 28,781 302,060 159,134
-----------------------------------------------------------------------------------------------------------------------------
$ 7,634,137 $ 1,962,882 $ 613,671 $ 830,115 $ 4,580,700 $ 675,905 $ 5,540,967 $ 2,115,807
2,605,814 1,098,630 541,245 428,601 1,869,748 426,077 1,403,528 320,204
-- -- -- -- -- -- -- --
-- -- -- -- -- -- -- --
</TABLE>
Janus Janus
Growth and Income Mercury
Fund Fund
2000 1999 2000 1999
-------------------------------------------------------------
$ 10,495 $ 15,978 $ (10,386) $ (20,626)
241,637 302,237 2,180,445 884,290
1,046,573 1,306,446 1,248,310 1,866,065
------------------------------------------------------------
1,298,705 1,624,661 3,418,369 2,729,729
------------------------------------------------------------
(10,325) (15,193) -- --
-- -- -- --
(305,969) (226,033) (897,043) (238,426)
------------------------------------------------------------
(316,294) (241,226) (897,043) (238,426)
------------------------------------------------------------
3,183,912 2,509,768 8,325,922 6,569,208
307,339 235,700 874,956 233,638
(1,227,324) (1,111,097) (3,263,278) (2,602,343)
------------------------------------------------------------
2,263,927 1,634,371 5,937,600 4,200,503
------------------------------------------------------------
3,246,338 3,017,806 8,458,926 6,691,806
5,836,885 2,819,079 9,059,883 2,368,077
------------------------------------------------------------
$ 9,083,223 $ 5,836,885 $ 17,518,809 $ 9,059,883
------------------------------------------------------------
$ 6,001,035 $ 3,737,108 $ 11,782,358 $ 5,844,758
6,389 6,219 (10,386) --
231,260 295,592 2,143,045 859,643
2,844,539 1,797,966 3,603,792 2,355,482
------------------------------------------------------------
$ 9,083,223 $ 5,836,885 $ 17,518,809 $ 9,059,883
------------------------------------------------------------
75,133 78,387 186,018 218,371
7,704 8,139 21,408 9,763
------------------------------------------------------------
82,837 86,526 207,426 228,134
------------------------------------------------------------
(29,052) (34,683) (72,987) (87,968)
53,785 51,843 134,439 140,166
158,427 106,584 254,168 114,002
------------------------------------------------------------
212,212 158,427 388,607 254,168
------------------------------------------------------------
$ 2,577,504 $ 3,132,952 $ 8,541,346 $ 8,242,717
1,377,654 1,708,174 5,035,491 4,442,546
-- -- -- --
-- -- -- --
See Notes to Financial Statements.
Janus Equity Funds / April 30, 2000 66 and 67
<PAGE>
Statements of | Changes in Net Assets (continued)
<TABLE>
<CAPTION> Janus Janus
For the six months ended April 30, 2000, (unaudited) Olympus Overseas
and for the fiscal year ended October 31 Fund Fund
(all numbers in thousands) 2000 1999 2000 1999
-----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Operations:
Net investment income/(loss) $ 7,998 $ 1,437 $ (1,102) $ (1,427)
Net realized gain/(loss) from investment transactions 278,372 188,366 1,061,473 204,238
Change in unrealized net appreciation or depreciation
of investments and foreign currency 1,050,335 1,038,175 1,878,174 1,425,059
-----------------------------------------------------------------------------------------------------------------------------
Net Increase in Net Assets Resulting from Operations 1,336,705 1,227,978 2,938,545 1,627,870
-----------------------------------------------------------------------------------------------------------------------------
Dividends and Distributions to Shareholders:
Net investment income (1,436) -- -- (18,532)
Dividends (in excess of net investment income) -- -- -- (1,446)
Net realized gain from investment transactions (186,983) -- (33,412) --
-----------------------------------------------------------------------------------------------------------------------------
Net Decrease from Dividends and Distributions (188,419) -- (33,412) (19,978)
-----------------------------------------------------------------------------------------------------------------------------
Capital Share Transactions:
Shares sold 5,395,526 2,851,976 4,909,765 3,443,778
Reinvested dividends and distributions 184,388 -- 32,132 19,035
Shares repurchased (2,108,146) (1,140,000) (2,785,685) (3,319,823)
-----------------------------------------------------------------------------------------------------------------------------
Net Increase/(Decrease) from Capital Share Transactions 3,471,768 1,711,976 2,156,212 142,990
-----------------------------------------------------------------------------------------------------------------------------
Net Increase/(Decrease) in Net Assets 4,620,054 2,939,954 5,061,345 1,750,882
Net Assets:
Beginning of period 3,887,448 947,494 5,639,980 3,889,098
-----------------------------------------------------------------------------------------------------------------------------
End of period $ 8,507,502 $ 3,887,448 $ 10,701,325 $ 5,639,980
-----------------------------------------------------------------------------------------------------------------------------
Net Assets Consist of:
Capital (par value and paid-in surplus) $ 5,869,177 $ 2,397,409 $ 5,846,110 $ 3,689,899
Undistributed net investment income/(loss) 7,998 1,437 (1,102) --
Undistributed net realized gain/(loss) from investments 274,495 183,105 1,057,136 29,073
Unrealized appreciation of investments and
foreign currency 2,355,832 1,305,497 3,799,181 1,921,008
-----------------------------------------------------------------------------------------------------------------------------
$ 8,507,502 $ 3,887,448 $ 10,701,325 $ 5,639,980
-----------------------------------------------------------------------------------------------------------------------------
Transactions in Fund Shares:
Shares sold 97,773 86,347 128,153 160,426
Reinvested distributions 3,738 -- 972 954
-----------------------------------------------------------------------------------------------------------------------------
Total 101,511 86,347 129,125 161,380
-----------------------------------------------------------------------------------------------------------------------------
Shares repurchased (39,073) (34,884) (72,800) (155,478)
Net Increase/(Decrease) in Fund Shares 62,438 51,463 56,325 5,902
Shares Outstanding, Beginning of Period 95,129 43,666 222,517 216,615
-----------------------------------------------------------------------------------------------------------------------------
Shares Outstanding, End of Period 157,567 95,129 278,842 222,517
-----------------------------------------------------------------------------------------------------------------------------
Purchases and Sales of Investment Securities
(excluding short-term securities):
Purchases of securities $ 4,666,748 $ 3,323,040 $ 4,000,379 $ 4,367,373
Proceeds from sales of securities 2,850,104 1,821,501 2,855,272 4,003,772
Purchases of long-term U.S. government obligations -- 47,700 -- --
Proceeds from sales of long-term U.S. government obligations -- 49,518 -- --
<CAPTION>
Janus Janus Janus Janus
Special Situations Strategic Value Twenty Venture
Fund Fund Fund Fund
2000 1999 2000(1) 2000 1999 2000 1999
-------------------------------------------------------------------------------------------------------------
<C> <C> <C> <C> <C> <C> <C>
$ (5,287) $ (7,614) $ 1,252 $ (13,937) $ 88,126 $ (6,628) $ (7,414)
69,680 180,631 12,945 1,096,608 1,702,065 581,738 305,718
255,584 239,367 223,888 5,021,173 7,129,143 (257,452) 619,845
-------------------------------------------------------------------------------------------------------------
319,977 412,384 238,085 6,103,844 8,919,334 317,658 918,149
-------------------------------------------------------------------------------------------------------------
-- -- -- (79,074) (40,224) -- --
-- -- -- -- -- -- --
(175,615) (2,186) -- (1,708,104) (86,763) (298,953) (89,623)
-------------------------------------------------------------------------------------------------------------
(175,615) (2,186) -- (1,787,178) (126,987) (298,953) (89,623)
-------------------------------------------------------------------------------------------------------------
773,292 632,584 3,048,487 5,124,058 14,534,172 271,357 166,902
171,270 2,143 -- 1,745,294 124,417 284,956 86,300
(452,156) (634,264) (384,849) (4,614,157) (5,912,694) (225,384) (257,241)
-------------------------------------------------------------------------------------------------------------
492,406 463 2,663,638 2,255,195 8,745,895 330,929 (4,039)
-------------------------------------------------------------------------------------------------------------
636,768 410,661 2,901,723 6,571,861 17,538,242 349,634 824,487
1,196,978 786,317 -- 28,793,112 11,254,870 1,860,355 1,035,868
-------------------------------------------------------------------------------------------------------------
$ 1,833,746 $ 1,196,978 $ 2,901,723 $ 35,364,973 $ 28,793,112 $ 2,209,989 $ 1,860,355
-------------------------------------------------------------------------------------------------------------
$ 1,237,914 $ 745,509 $ 2,663,638 $ 18,561,236 $ 16,306,041 $ 1,047,574 $ 716,645
(5,287) -- 1,252 (13,937) 79,074 (6,628) --
63,793 169,728 12,945 1,090,206 1,701,702 580,755 297,970
537,326 281,741 223,888 15,727,468 10,706,295 588,288 845,740
-------------------------------------------------------------------------------------------------------------
$ 1,833,746 $ 1,196,978 $ 2,901,723 $ 35,364,973 $ 28,793,112 $ 2,209,989 $ 1,860,355
-------------------------------------------------------------------------------------------------------------
31,853 31,126 297,572 63,354 248,644 2,227 2,581
7,853 128 -- 21,871 2,310 2,607 1,550
-------------------------------------------------------------------------------------------------------------
39,706 31,254 297,572 85,225 250,954 4,834 4,131
-------------------------------------------------------------------------------------------------------------
(18,821) (32,603) (36,576) (56,638) (99,838) (1,849) (4,192)
20,885 (1,349) 260,996 28,587 151,116 2,985 (61)
52,623 53,972 -- 412,990 261,874 20,736 20,797
-------------------------------------------------------------------------------------------------------------
73,508 52,623 260,996 441,577 412,990 23,721 20,736
-------------------------------------------------------------------------------------------------------------
$ 562,368 $ 1,036,996 $ 2,684,012 $ 7,061,741 $ 13,075,264 $ 1,196,613 $ 1,329,844
292,970 1,035,768 103,132 3,955,374 6,885,818 1,454,017 1,332,811
-- -- -- -- 337,784 -- --
-- -- -- -- 504,968 -- --
</TABLE>
Janus
Worldwide
Fund
2000 1999
-----------------------------
$ 12,286 $ 13,351
3,152,189 842,489
5,926,158 5,623,223
-----------------------------
9,090,633 6,479,063
-----------------------------
(11,268) (61,988)
-- --
(546,250) --
-----------------------------
(557,518) (61,988)
-----------------------------
15,032,118 11,534,834
542,885 60,059
(6,044,781) (7,852,637)
-----------------------------
9,530,222 3,742,256
-----------------------------
18,063,337 10,159,331
24,091,321 13,931,990
-----------------------------
$ 42,154,658 $ 24,091,321
-----------------------------
$ 24,974,960 $ 15,444,738
12,286 11,268
3,090,792 484,853
14,076,620 8,150,462
-----------------------------
$ 42,154,658 $ 24,091,321
-----------------------------
193,281 226,979
7,675 1,277
-----------------------------
200,956 228,256
-----------------------------
(78,141) (154,582)
122,815 73,674
409,242 335,568
-----------------------------
532,057 409,242
-----------------------------
$ 14,480,717 $ 15,664,200
9,818,773 11,860,384
-- --
-- --
(1) Period from February 29, 2000 (inception) to April 30, 2000.
See Notes to Financial Statements.
Janus Equity Funds / April 30, 2000 68 and 69
<PAGE>
Financial | Highlights
<TABLE>
<CAPTION>
For a share outstanding during the
six months ended April 30, 2000 (unaudited) and Janus Fund
through each fiscal year ended October 31 2000 1999 1998 1997 1996 1995
-----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $ 42.78 $ 27.97 $ 29.36 $ 26.65 $ 23.37 $ 19.62
-----------------------------------------------------------------------------------------------------------------------------------
Income from Investment Operations:
Net investment income/(loss) (.05) -- (.02) .15 .31 .16
Net gains on securities
(both realized and unrealized) 8.59 15.63 3.70 5.69 4.23 3.99
-----------------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 8.54 15.63 3.68 5.84 4.54 4.15
-----------------------------------------------------------------------------------------------------------------------------------
Less Distributions:
Dividends (from net investment income) -- -- (.23) (.21) (.13) (.01)
Distributions (from capital gains) (5.22) (.82) (4.84) (2.92) (1.13) (.39)
-----------------------------------------------------------------------------------------------------------------------------------
Total Distributions (5.22) (.82) (5.07) (3.13) (1.26) (.40)
-----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $ 46.10 $ 42.78 $ 27.97 $ 29.36 $ 26.65 $ 23.37
-----------------------------------------------------------------------------------------------------------------------------------
Total Return* 21.12% 56.75% 15.12% 24.18% 20.31% 21.62%
-----------------------------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (in thousands) $46,946,738 $35,834,730 $20,721,262 $19,029,334 $15,313,180 $11,962,970
Average Net Assets for the Period
(in thousands) $43,161,953 $28,993,305 $20,777,322 $17,515,216 $13,753,157 $10,559,806
Ratio of Gross Expenses to Average
Net Assets**(1) 0.86% 0.85% 0.87% 0.87% 0.86% 0.87%
Ratio of Net Expenses to Average
Net Assets**(1) 0.85% 0.84% 0.86% 0.86% 0.85% 0.86%
Ratio of Net Investment Income/(Loss)
to Average Net Assets** (0.25%) (0.14%) -- 0.85% 0.91% 1.25%
Portfolio Turnover Rate** 74% 63% 70% 132% 104% 118%
<CAPTION>
For a share outstanding during the
six months ended April 30, 2000 (unaudited) and Janus Balanced Fund
through each fiscal year ended October 31 2000 1999 1998 1997 1996 1995
-----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $ 21.79 $ 17.22 $ 16.73 $ 15.20 $ 13.72 $ 12.17
-----------------------------------------------------------------------------------------------------------------------------------
Income from Investment Operations:
Net investment income .31 .42 .33 .36 .33 .61
Net gains on securities
(both realized and unrealized) 1.87 4.69 2.00 2.88 2.22 1.52
-----------------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 2.18 5.11 2.33 3.24 2.55 2.13
-----------------------------------------------------------------------------------------------------------------------------------
Less Distributions:
Dividends (from net investment income) (.28) (.43) (.35) (.36) (.26) (.58)
Distributions (from capital gains) (.32) (.11) (1.49) (1.35) (.81) --
-----------------------------------------------------------------------------------------------------------------------------------
Total Distributions (.60) (.54) (1.84) (1.71) (1.07) (.58)
-----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $ 23.37 $ 21.79 $ 17.22 $ 16.73 $ 15.20 $ 13.72
-----------------------------------------------------------------------------------------------------------------------------------
Total Return* 10.08% 29.89% 15.48% 23.38% 19.39% 18.26%
-----------------------------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (in thousands) $ 4,196,525 $ 2,929,769 $ 830,049 $ 360,159 $ 207,044 $ 124,545
Average Net Assets for the Period
(in thousands) $ 3,622,051 $ 1,953,809 $ 536,524 $ 283,220 $ 158,607 $ 107,259
Ratio of Gross Expenses to Average
Net Assets**(1) 0.88% 0.92% 1.03% 1.12% 1.23% 1.35%
Ratio of Net Expenses to Average
Net Assets**(1) 0.86% 0.91% 1.01% 1.10% 1.21% 1.32%
Ratio of Net Investment Income/(Loss)
to Average Net Assets** 2.85% 2.37% 2.34% 2.63% 2.35% 2.52%
Portfolio Turnover Rate** 101% 64% 73% 139% 151% 185%
</TABLE>
(1) See "Explanation of the Charts and Tables."
* Total return not annualized for periods of less than one full year.
** Annualized for periods of less than one full year.
See Notes to Financial Statements.
70 Janus Equity Funds / April 30, 2000
<PAGE>
<TABLE>
<CAPTION>
For a share outstanding during the
six months ended April 30, 2000 (unaudited) and Janus Enterprise Fund
through each fiscal year ended October 31 2000 1999 1998 1997 1996 1995
-----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $ 58.64 $ 32.33 $ 30.86 $ 31.19 $ 27.14 $ 24.43
-----------------------------------------------------------------------------------------------------------------------------------
Income from Investment Operations:
Net investment income/(loss) (.15) -- -- -- -- .52
Net gains on securities
(both realized and unrealized) 19.55 30.61 3.43 .95 5.85 3.09
-----------------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 19.40 30.61 3.43 .95 5.85 3.61
-----------------------------------------------------------------------------------------------------------------------------------
Less Distributions:
Dividends (from net investment income) -- -- -- -- -- (.52)
Distributions (from capital gains) (3.33) (4.30) (1.96) (1.28) (1.80) (.38)
-----------------------------------------------------------------------------------------------------------------------------------
Total Distributions (3.33) (4.30) (1.96) (1.28) (1.80) (.90)
-----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $ 74.71 $ 58.64 $ 32.33 $ 30.86 $ 31.19 $ 27.14
-----------------------------------------------------------------------------------------------------------------------------------
Total Return* 33.56% 104.09% 11.79% 3.31% 22.43% 15.46%
-----------------------------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (in thousands) $ 7,691,985 $ 2,329,698 $ 558,999 $ 551,828 $ 732,003 $ 459,370
Average Net Assets for the Period
(in thousands) $ 5,893,219 $ 1,126,839 $ 551,467 $ 613,784 $ 596,313 $ 407,791
Ratio of Gross Expenses to Average
Net Assets**(1) 0.92% 0.98% 1.08% 1.07% 1.14% 1.26%
Ratio of Net Expenses to Average
Net Assets**(1) 0.90% 0.95% 1.06% 1.04% 1.12% 1.23%
Ratio of Net Investment Income/(Loss)
to Average Net Assets** (0.54%) (0.67%) (0.67%) (0.61%) (0.78%) 0.02%
Portfolio Turnover Rate** 94% 98% 134% 111% 93% 194%
<CAPTION>
For a share outstanding during the
six months ended April 30, 2000 (unaudited) and Janus Equity Income Fund
through each fiscal year or period ended October 31 2000 1999 1998 1997 1996(2)
-----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $ 22.57 $ 15.59 $ 13.98 $ 11.29 $ 10.00
-----------------------------------------------------------------------------------------------------------------------------------
Income from Investment Operations:
Net investment income .07 .14 .05 .09 .07
Net gains on securities
(both realized and unrealized) 3.21 7.17 2.47 3.11 1.25
-----------------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 3.28 7.31 2.52 3.20 1.32
-----------------------------------------------------------------------------------------------------------------------------------
Less Distributions:
Dividends (from net investment income) (.08) (.15) (.03) (.12) (.03)
Distributions (from capital gains) (.58) (.18) (.88) (.39) --
-----------------------------------------------------------------------------------------------------------------------------------
Total Distributions (.66) (.33) (.91) (.51) (.03)
-----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $ 25.19 $ 22.57 $ 15.59 $ 13.98 $ 11.29
-----------------------------------------------------------------------------------------------------------------------------------
Total Return* 14.66% 47.22% 19.21% 29.46% 13.20%
-----------------------------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (in thousands) $ 1,082,258 $ 781,319 $ 200,782 $ 74,325 $ 30,429
Average Net Assets for the Period
(in thousands) $ 974,516 $ 571,009 $ 133,613 $ 46,054 $ 21,424
Ratio of Gross Expenses to Average
Net Assets**(1) 0.98% 1.02% 1.21% 1.48% 1.79%
Ratio of Net Expenses to Average
Net Assets**(1) 0.96% 1.01% 1.18% 1.45% 1.71%
Ratio of Net Investment Income/(Loss)
to Average Net Assets** 0.59% 0.81% 0.41% 0.62% 3.09%
Portfolio Turnover Rate** 125% 81% 101% 180% 325%
</TABLE>
(1) See "Explanation of the Charts and Tables."
(2) Fiscal period June 29, 1996 (inception) to October 31, 1996.
* Total return not annualized for periods of less than one full year.
** Annualized for periods of less than one full year.
See Notes to Financial Statements.
Janus Equity Funds / April 30, 2000 71
<PAGE>
Financial | Highlights (continued)
For a share outstanding during the
six months ended April 30, 2000 (unaudited) Janus Global Life Sciences Fund
and the period ended October 31 2000 1999(2)
--------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $ 11.97 $ 10.00
--------------------------------------------------------------------------------
Income from Investment Operations:
Net investment income .02 --
Net gains on securities
(both realized and unrealized) 5.22 1.97
--------------------------------------------------------------------------------
Total from Investment Operations 5.24 1.97
--------------------------------------------------------------------------------
Less Distributions:
Dividends (from net investment income) -- --
Distributions (from capital gains) -- --
--------------------------------------------------------------------------------
Total Distributions -- --
--------------------------------------------------------------------------------
Net Asset Value, End of Period $ 17.21 $ 11.97
--------------------------------------------------------------------------------
Total Return* 43.86% 19.70%
--------------------------------------------------------------------------------
Net Assets, End of Period (in thousands) $ 3,258,450 $ 344,436
Average Net Assets for the Period
(in thousands) $ 2,139,849 $ 227,552
Ratio of Gross Expenses to Average
Net Assets**(1) 1.05% 1.21%
Ratio of Net Expenses to Average
Net Assets**(1) 1.01% 1.19%
Ratio of Net Investment Income/(Loss)
to Average Net Assets** 0.28% (0.41%)
Portfolio Turnover Rate** 219% 235%
For a share outstanding during the
six months ended April 30, 2000 (unaudited) Janus Global Technology Fund
and the period ended October 31 2000 1999(2)
--------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $ 20.95 $ 10.00
--------------------------------------------------------------------------------
Income from Investment Operations:
Net investment income .02 --
Net gains on securities
(both realized and unrealized) 11.61 10.95
--------------------------------------------------------------------------------
Total from Investment Operations 11.63 10.95
--------------------------------------------------------------------------------
Less Distributions:
Dividends (from net investment income) -- --
Dividends (in excess of net investment income) (.02) --
Distributions (from capital gains) (.18) --
--------------------------------------------------------------------------------
Total Distributions (.20) --
--------------------------------------------------------------------------------
Net Asset Value, End of Period $ 32.38 $ 20.95
--------------------------------------------------------------------------------
Total Return* 55.76% 109.40%
--------------------------------------------------------------------------------
Net Assets, End of Period (in thousands) $ 9,780,289 $ 3,334,514
Average Net Assets for the Period
(in thousands) $ 8,531,238 $ 1,265,552
Ratio of Gross Expenses to Average
Net Assets**(1) 0.95% 1.04%
Ratio of Net Expenses to Average
Net Assets**(1) 0.93% 1.02%
Ratio of Net Investment Income/(Loss)
to Average Net Assets** 0.09% (0.11%)
Portfolio Turnover Rate** 38% 31%
(1) See "Explanation of the Charts and Tables."
(2) Fiscal period from December 31, 1998 (inception) to October 31, 1999.
* Total return not annualized for periods of less than one full year.
** Annualized for periods of less than one full year.
See Notes to Financial Statements.
72 Janus Equity Funds / April 30, 2000
<PAGE>
<TABLE>
<CAPTION>
For a share outstanding during the
six months ended April 30, 2000 (unaudited) and Janus Growth and Income Fund
through each fiscal year ended October 31 2000 1999 1998 1997 1996 1995
-----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $ 36.84 $ 26.45 $ 25.07 $ 20.05 $ 18.13 $ 14.69
-----------------------------------------------------------------------------------------------------------------------------------
Income from Investment Operations:
Net investment income .05 .26 .08 .01 .16 .11
Net gains on securities
(both realized and unrealized) 7.81 12.27 3.72 6.98 4.01 3.43
-----------------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 7.86 12.53 3.80 6.99 4.17 3.54
-----------------------------------------------------------------------------------------------------------------------------------
Less Distributions:
Dividends (from net investment income) (.06) (.27) (.04) (.11) (.08) (.10)
Distributions (from capital gains) (1.84) (1.87) (2.38) (1.86) (2.17) --
-----------------------------------------------------------------------------------------------------------------------------------
Total Distributions (1.90) (2.14) (2.42) (1.97) (2.25) (.10)
-----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $ 42.80 $ 36.84 $ 26.45 $ 25.07 $ 20.05 $ 18.13
-----------------------------------------------------------------------------------------------------------------------------------
Total Return* 21.71% 49.59% 16.73% 37.78% 25.56% 24.20%
-----------------------------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (in thousands) $ 9,083,223 $ 5,836,885 $ 2,819,079 $ 1,888,999 $ 1,033,183 $ 582,963
Average Net Assets for the Period
(in thousands) $ 7,854,506 $ 4,375,277 $ 2,478,899 $ 1,415,563 $ 773,343 $ 498,442
Ratio of Gross Expenses to Average
Net Assets**(1) 0.90% 0.92% 0.96% 0.98% 1.05% 1.19%
Ratio of Net Expenses to Average
Net Assets**(1) 0.89% 0.90% 0.94% 0.96% 1.03% 1.17%
Ratio of Net Investment Income/(Loss)
to Average Net Assets** 0.27% 0.37% 0.33% 0.30% 0.70% 1.11%
Portfolio Turnover Rate** 40% 43% 95% 127% 153% 195%
<CAPTION>
For a share outstanding during the
six months ended April 30, 2000 (unaudited) and Janus Mercury Fund
through each fiscal year ended October 31 2000 1999 1998 1997 1996 1995
-----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $ 35.65 $ 20.77 $ 18.65 $ 18.20 $ 17.38 $ 14.12
-----------------------------------------------------------------------------------------------------------------------------------
Income from Investment Operations:
Net investment income/(loss) (.03) -- (.01) (.01) .14 .16
Net gains on securities
(both realized and unrealized) 12.73 16.89 4.07 2.82 2.74 3.37
-----------------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 12.70 16.89 4.06 2.81 2.88 3.53
-----------------------------------------------------------------------------------------------------------------------------------
Less Distributions:
Dividends (from net investment income) -- -- -- (.08) -- (.16)
Dividends (in excess of net
investment income) -- -- (.04) -- -- --
Distributions (from capital gains) (3.27) (2.01) (1.90) (2.28) (2.06) (.11)
-----------------------------------------------------------------------------------------------------------------------------------
Total Distributions (3.27) (2.01) (1.94) (2.36) (2.06) (.27)
-----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $ 45.08 $ 35.65 $ 20.77 $ 18.65 $ 18.20 $ 17.38
-----------------------------------------------------------------------------------------------------------------------------------
Total Return* 36.59% 86.02% 24.75% 17.07% 18.18% 25.53%
-----------------------------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (in thousands) $17,518,809 $ 9,059,883 $ 2,368,077 $ 1,971,049 $ 2,002,350 $ 1,520,768
Average Net Assets for the Period
(in thousands) $14,688,734 $ 5,258,427 $ 2,103,414 $ 2,045,901 $ 1,838,593 $ 1,116,377
Ratio of Gross Expenses to Average
Net Assets**(1) 0.91% 0.93% 0.97% 0.98% 1.02% 1.14%
Ratio of Net Expenses to Average
Net Assets**(1) 0.90% 0.91% 0.94% 0.96% 1.00% 1.12%
Ratio of Net Investment Income/(Loss)
to Average Net Assets** (0.14%) (0.39%) (0.33%) 0.21% 0.45% 0.50%
Portfolio Turnover Rate** 76% 89% 105% 157% 177% 201%
</TABLE>
(1) See "Explanation of the Charts and Tables."
* Total return not annualized for periods of less than one full year.
** Annualized for periods of less than one full year.
See Notes to Financial Statements.
Janus Equity Funds / April 30, 2000 73
<PAGE>
Financial | Highlights (continued)
<TABLE>
<CAPTION>
For a share outstanding during the
six months ended April 30, 2000 (unaudited) and Janus Olympus Fund
through each fiscal year or period ended October 31 2000 1999 1998 1997 1996(1)
-----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $ 40.87 $ 21.70 $ 18.41 $ 14.86 $ 12.00
-----------------------------------------------------------------------------------------------------------------------------------
Income from Investment Operations:
Net investment income .05 .02 -- .04 .13
Net gains on securities
(both realized and unrealized) 14.86 19.15 4.05 3.64 2.73
-----------------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 14.91 19.17 4.05 3.68 2.86
-----------------------------------------------------------------------------------------------------------------------------------
Less Distributions:
Dividends (from net investment income) (.01) -- -- (.13) --
Dividends (in excess of net
investment income) -- -- (.04) -- --
Distributions (from capital gains) (1.78) -- (.72) -- --
-----------------------------------------------------------------------------------------------------------------------------------
Total Distributions (1.79) -- (.76) (.13) --
-----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $ 53.99 $ 40.87 $ 21.70 $ 18.41 $ 14.86
-----------------------------------------------------------------------------------------------------------------------------------
Total Return* 36.90% 88.34% 23.10% 24.98% 23.83%
-----------------------------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (in thousands) $ 8,507,502 $ 3,887,448 $ 947,494 $ 615,651 $ 432,375
Average Net Assets for the Period
(in thousands) $ 6,874,027 $ 2,268,894 $ 774,434 $ 517,424 $ 276,006
Ratio of Gross Expenses to Average
Net Assets**(2) 0.93% 0.95% 1.01% 1.06% 1.17%
Ratio of Net Expenses to Average
Net Assets**(2) 0.91% 0.93% 0.98% 1.03% 1.15%
Ratio of Net Investment Income/(Loss)
to Average Net Assets** 0.23% 0.06% (0.21%) 0.26% 1.64%
Portfolio Turnover Rate** 132% 91% 123% 244% 303%
<CAPTION>
For a share outstanding during the
six months ended April 30, 2000 (unaudited) and Janus Overseas Fund
through each fiscal year ended October 31 2000 1999 1998 1997 1996 1995
-----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $ 25.35 $ 17.95 $ 17.94 $ 14.81 $ 11.58 $ 10.36
-----------------------------------------------------------------------------------------------------------------------------------
Income from Investment Operations:
Net investment income -- -- .08 .04 .10 .12
Net gains on securities
(both realized and unrealized) 13.17 7.49 .54 3.39 3.34 1.10
-----------------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 13.17 7.49 .62 3.43 3.44 1.22
-----------------------------------------------------------------------------------------------------------------------------------
Less Distributions:
Dividends (from net investment income) -- (.08) (.10) (.04) (.11) --
Dividends (in excess of net
investment income) -- (.01) -- -- -- --
Distributions (from capital gains) (.14) -- (.51) (.26) (.10) --
-----------------------------------------------------------------------------------------------------------------------------------
Total Distributions (.14) (.09) (.61) (.30) (.21) --
-----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $ 38.38 $ 25.35 $ 17.95 $ 17.94 $ 14.81 $ 11.58
-----------------------------------------------------------------------------------------------------------------------------------
Total Return* 52.18% 41.77% 3.55% 23.56% 30.19% 11.78%
-----------------------------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (in thousands) $10,701,325 $ 5,639,980 $ 3,889,098 $ 3,205,197 $ 772,630 $ 110,866
Average Net Assets for the Period
(in thousands) $ 9,435,334 $ 4,577,552 $ 3,948,710 $ 2,093,370 $ 335,098 $ 77,668
Ratio of Gross Expenses to Average
Net Assets**(2) 0.90% 0.92% 0.96% 1.03% 1.26% 1.76%
Ratio of Net Expenses to Average
Net Assets**(2) 0.89% 0.91% 0.94% 1.01% 1.23% 1.73%
Ratio of Net Investment Income/(Loss)
to Average Net Assets** (0.02%) (0.03%) 0.58% 0.81% 0.73% 0.36%
Portfolio Turnover Rate** 68% 92% 105% 72% 71% 188%
</TABLE>
(1) Fiscal period from December 29, 1995 (inception) to October 31, 1996.
(2) See "Explanation of the Charts and Tables."
* Total return not annualized for periods of less than one full year.
** Annualized for periods of less than one full year.
See Notes to Financial Statements.
74 Janus Equity Funds / April 30, 2000
<PAGE>
<TABLE>
<CAPTION>
For a share outstanding during the
six months ended April 30, 2000 (unaudited) and Janus Special Situations Fund
through each fiscal year or period ended October 31 2000 1999 1998 1997(1)
--------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $ 22.75 $ 14.57 $ 14.08 $ 10.00
--------------------------------------------------------------------------------------------------------------------
Income from Investment Operations:
Net investment loss (.07) -- -- --
Net gains on securities
(both realized and unrealized) 5.58 8.22 1.15 4.08
--------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 5.51 8.22 1.15 4.08
--------------------------------------------------------------------------------------------------------------------
Less Distributions:
Dividends (from net investment income) -- -- -- --
Distributions (from capital gains) (3.31) (.04) (.66) --
--------------------------------------------------------------------------------------------------------------------
Total Distributions (3.31) (.04) (.66) --
--------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $ 24.95 $ 22.75 $ 14.57 $ 14.08
--------------------------------------------------------------------------------------------------------------------
Total Return* 26.29% 56.54% 8.49% 40.80%
--------------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (in thousands) $ 1,833,746 $ 1,196,978 $ 786,317 $ 333,777
Average Net Assets for the Period
(in thousands) $ 1,532,183 $ 1,000,549 $ 716,123 $ 168,215
Ratio of Gross Expenses to Average
Net Assets**(2) 0.97% 1.00% 1.08% 1.20%
Ratio of Net Expenses to Average
Net Assets**(2) 0.96% 0.98% 1.05% 1.18%
Ratio of Net Investment Income/(Loss)
to Average Net Assets** (0.69%) (0.76%) (0.49%) (0.08%)
Portfolio Turnover Rate** 39% 104% 117% 146%
</TABLE>
For a share outstanding during the Janus Strategic Value Fund
period ended April 30, 2000 (unaudited) 2000(3)
--------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $ 10.00
--------------------------------------------------------------------------------
Income from Investment Operations:
Net investment income/(loss) --
Net gains on securities
(both realized and unrealized) 1.12
--------------------------------------------------------------------------------
Total from Investment Operations 1.12
--------------------------------------------------------------------------------
Less Distributions:
Dividends (from net investment income) --
Distributions (from capital gains) --
--------------------------------------------------------------------------------
Total Distributions --
--------------------------------------------------------------------------------
Net Asset Value, End of Period $ 11.12
--------------------------------------------------------------------------------
Total Return* 11.20%
--------------------------------------------------------------------------------
Net Assets, End of Period (in thousands) $ 2,901,723
Average Net Assets for the Period
(in thousands) $ 2,296,182
Ratio of Gross Expenses to Average
Net Assets**(2) 1.16%
Ratio of Net Expenses to Average
Net Assets**(2) 1.14%
Ratio of Net Investment Income/(Loss)
to Average Net Assets** 0.32%
Portfolio Turnover Rate** 24%
(1) Fiscal period from December 31, 1996 (inception) to October 31, 1997.
(2) See "Explanation of the Charts and Tables."
(3) Fiscal period from February 29, 2000 (inception) to April 30, 2000.
* Total return not annualized for periods of less than one full year.
** Annualized for periods of less than one full year.
See Notes to Financial Statements.
Janus Equity Funds / April 30, 2000 75
<PAGE>
Financial | Highlights (continued)
<TABLE>
<CAPTION>
For a share outstanding during the
six months ended April 30, 2000 (unaudited) and Janus Twenty Fund
through each fiscal year ended October 31 2000 1999 1998 1997 1996 1995
-----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $ 69.72 $ 42.98 $ 35.16 $ 31.90 $ 30.12 $ 24.24
-----------------------------------------------------------------------------------------------------------------------------------
Income from Investment Operations:
Net investment income/(loss) (.04) .21 .12 (.09) .37 .01
Net gains on securities
(both realized and unrealized) 14.68 26.97 12.26 8.85 6.68 5.94
-----------------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 14.64 27.18 12.38 8.76 7.05 5.95
-----------------------------------------------------------------------------------------------------------------------------------
Less Distributions:
Dividends (from net investment income) (.19) (.14) (.10) (.18) -- (.07)
Distributions (from capital gains) (4.08) (.30) (4.46) (5.32) (5.27) --
-----------------------------------------------------------------------------------------------------------------------------------
Total Distributions (4.27) (.44) (4.56) (5.50) (5.27) (.07)
-----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $ 80.09 $ 69.72 $ 42.98 $ 35.16 $ 31.90 $ 30.12
-----------------------------------------------------------------------------------------------------------------------------------
Total Return* 21.04% 63.51% 40.58% 31.65% 27.59% 24.67%
-----------------------------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (in thousands) $35,364,973 $28,793,112 $11,254,870 $ 5,871,070 $ 3,937,444 $ 2,995,751
Average Net Assets for the Period
(in thousands) $35,242,705 $22,206,982 $ 8,025,121 $ 4,989,616 $ 3,385,561 $ 2,716,278
Ratio of Gross Expenses to Average
Net Assets**(1) 0.86% 0.88% 0.91% 0.93% 0.93% 1.00%
Ratio of Net Expenses to Average
Net Assets**(1) 0.85% 0.87% 0.90% 0.91% 0.92% 0.99%
Ratio of Net Investment Income/(Loss)
to Average Net Assets** (0.08%) 0.40% 0.39% 0.33% 0.67% 0.62%
Portfolio Turnover Rate** 25% 40% 54% 123% 137% 147%
<CAPTION>
For a share outstanding during the
six months ended April 30, 2000 (unaudited) or Janus Venture Fund
through each fiscal year ended October 31 2000 1999 1998 1997 1996 1995
-----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $ 89.71 $ 49.81 $ 58.84 $ 57.16 $ 59.53 $ 52.86
-----------------------------------------------------------------------------------------------------------------------------------
Income from Investment Operations:
Net investment income/(loss) (.28) -- (.09) .16 -- .05
Net gains on securities
(both realized and unrealized) 18.00 44.31 .43 6.80 5.09 9.49
-----------------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 17.72 44.31 .34 6.96 5.09 9.54
-----------------------------------------------------------------------------------------------------------------------------------
Less Distributions:
Dividends (from net investment income) -- -- -- -- (.01) (.03)
Dividends (in excess of net
investment income) -- -- (.07) -- -- --
Distributions (from capital gains) (14.26) (4.41) (9.30) (5.28) (7.45) (2.84)
-----------------------------------------------------------------------------------------------------------------------------------
Total Distributions (14.26) (4.41) (9.37) (5.28) (7.46) (2.87)
-----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $ 93.17 $ 89.71 $ 49.81 $ 58.84 $ 57.16 $ 59.53
-----------------------------------------------------------------------------------------------------------------------------------
Total Return 17.41% 94.42% 1.07% 13.38% 9.28% 19.24%
-----------------------------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (in thousands) $ 2,209,989 $ 1,860,355 $ 1,035,868 $ 1,252,341 $ 1,741,316 $ 1,753,201
Average Net Assets for the Period
(in thousands) $ 2,778,065 $ 1,350,642 $ 1,174,220 $ 1,379,145 $ 1,822,801 $ 1,612,514
Ratio of Gross Expenses to Average
Net Assets**(1) 0.88% 0.93% 0.94% 0.94% 0.89% 0.92%
Ratio of Net Expenses to Average
Net Assets**(1) 0.87% 0.92% 0.93% 0.92% 0.88% 0.91%
Ratio of Net Investment Income/(Loss)
to Average Net Assets** (0.48%) (0.55%) (0.29%) 0.11% (0.33%) 0.29%
Portfolio Turnover Rate** 97% 104% 90% 146% 136% 113%
</TABLE>
(1) See "Explanation of the Charts and Tables."
* Total return not annualized for periods of less than one full year.
** Annualized for periods of less than one full year.
See Notes to Financial Statements.
76 Janus Equity Funds / April 30, 2000
<PAGE>
<TABLE>
<CAPTION>
For a share outstanding during the
six months ended April 30, 2000 (unaudited) and Janus Worldwide Fund
through each fiscal year ended October 31 2000 1999 1998 1997 1996 1995
-----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $ 58.87 $ 41.52 $ 40.05 $ 34.60 $ 27.65 $ 27.00
-----------------------------------------------------------------------------------------------------------------------------------
Income from Investment Operations:
Net investment income/(loss) .02 .02 1.26 (.08) .49 .81
Net gains on securities
(both realized and unrealized) 21.65 17.51 3.01 7.73 7.79 1.39
-----------------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 21.67 17.53 4.27 7.65 8.28 2.20
-----------------------------------------------------------------------------------------------------------------------------------
Less Distributions:
Dividends (from net investment income) (.03) (.18) (1.35) (.15) (.26) (.54)
Distributions (from capital gains) (1.28) -- (1.45) (2.05) (1.07) (1.01)
-----------------------------------------------------------------------------------------------------------------------------------
Total Distributions (1.31) (.18) (2.80) (2.20) (1.33) (1.55)
-----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $ 79.23 $ 58.87 $ 41.52 $ 40.05 $ 34.60 $ 27.65
-----------------------------------------------------------------------------------------------------------------------------------
Total Return* 37.08% 42.33% 11.40% 23.34% 31.00% 8.89%
-----------------------------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (in thousands) $42,154,658 $24,091,321 $13,931,990 $10,358,225 $ 4,467,185 $ 1,804,354
Average Net Assets for the Period
(in thousands) $36,210,665 $18,892,896 $13,078,350 $ 7,783,669 $ 2,953,495 $ 1,622,142
Ratio of Gross Expenses to Average
Net Assets**(1) 0.89% 0.89% 0.92% 0.97% 1.02% 1.24%
Ratio of Net Expenses to Average
Net Assets**(1) 0.87% 0.88% 0.90% 0.95% 1.01% 1.23%
Ratio of Net Investment Income/(Loss)
to Average Net Assets** 0.07% 0.07% 0.47% 0.65% 0.73% 0.99%
Portfolio Turnover Rate** 61% 68% 86% 79% 80% 142%
</TABLE>
(1) See "Explanation of the Charts and Tables."
* Total return not annualized for periods of less than one full year.
** Annualized for periods of less than one full year.
See Notes to Financial Statements.
Janus Equity Funds / April 30, 2000 77
<PAGE>
Notes to | Schedules of Investments
EUR Euro
GBP British Pound
* Non-income-producing security
** A portion of this security has been segregated by the custodian to cover
segregation requirements on forward currency contracts.
+ Securities are registered pursuant to Rule 144A and may be deemed to be
restricted for resale.
ss. Securities are valued at fair value determined in good faith under
procedures established by and under the supervision of the Trustees.
Repurchase Agreements held by a fund are fully collateralized, and such
collateral is in the possession of the fund's custodian. The collateral is
evaluated daily to ensure its market value exceeds the current market value of
the repurchase agreements, including accrued interest. In the event of default
on the obligation to repurchase, the fund has the right to liquidate the
collateral and apply the proceeds in satisfaction of the obligation. In the
event of default or bankruptcy by the other party to the agreement, realization
and/or retention of the collateral or proceeds may be subject to legal
proceedings.
#The Investment Company Act of 1940 defines affiliates as those companies in
which a fund holds 5% or more of the outstanding voting securities. Following is
a summary of the transactions with each such affiliate for the period ended
April 30, 2000:
<TABLE>
<CAPTION>
Purchases Sales Realized Dividend Market Value
Shares Cost Shares Cost Gain/(Loss) Income at 4/30/00
------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
Janus Fund
Infinity Broadcasting Corp. 6,129,530 $205,643,810 -- -- -- -- $ 522,037,655
Linear Technology Corp.(1) -- -- 869,775 $ 33,564,543 $ 54,144,280 $ 1,470,714 1,640,813,371
Maxim Integrated Products, Inc.(2) -- -- 2,427,460 45,628,034 97,075,614 -- 1,460,636,536
Royal Caribbean Cruises, Ltd. 7,856,400 332,047,300 600,000 33,214,335 (17,653,279) 838,451 190,022,288
Symbol Technologies, Inc.(3) 7,222,003 287,277,207 -- -- -- 62,897 407,623,205
------------------------------------------------------------------------------------------------------------------------------------
$824,968,317 $112,406,912 $ 133,566,615 $ 2,372,062 $4,221,133,055
------------------------------------------------------------------------------------------------------------------------------------
Janus Enterprise Fund
Cox Radio, Inc. - Class A 1,468,605 $ 43,394,888 -- -- -- -- $ 38,529,400
King Pharmaceuticals, Inc.(4) 1,682,560 84,367,035 -- -- -- -- 83,076,400
------------------------------------------------------------------------------------------------------------------------------------
$127,761,923 $ 121,605,800
------------------------------------------------------------------------------------------------------------------------------------
Janus Global Life Sciences Fund
Alexion Pharmaceuticals, Inc. 910,265 $ 67,125,652 63,495 $ 6,718,998 $ (3,741,302) -- $ 37,787,111
ArQule, Inc. 1,303,840 38,299,585 21,000 759,956 (340,773) -- 15,153,548
Aurora Biosciences Corp. 919,050 38,600,100 20,000 840,000 (123,774) -- 31,612,846
Cellegy Pharmaceuticals, Inc. 720,000 4,500,000 -- -- -- -- 4,843,800
CIMA Labs, Inc. 909,565 16,055,971 183,365 4,530,958 (977,802) -- 10,166,800
DUSA Pharmaceuticals, Inc.
- New York Shares 1,118,520 32,324,243 39,625 1,404,646 (720,368) -- 17,636,767
HemaSure, Inc. 900,000 6,750,000 -- -- -- -- 5,146,875
ILEX Oncology, Inc. 1,826,035 60,936,667 57,990 2,971,361 (1,095,979) -- 42,433,080
Invitrogen Corp. 1,064,085 78,316,382 193,970 17,286,567 (6,420,922) -- 65,613,198
Neurogen Corp. 879,385 33,643,640 5,000 127,700 (310) -- 25,575,761
NPS Pharmaceuticals, Inc. 850,000 10,200,000 -- -- -- -- 10,718,500
Progencis Pharmaceuticals, Inc. 870,305 47,056,819 44,975 4,182,675 (2,084,615) -- 37,505,180
Ribozyme Pharmaceuticals, Inc. 1,514,130 38,878,851 -- -- -- -- 37,096,185
Trimeris, Inc. 540,880 21,424,984 10,000 655,889 (178,753) -- 26,425,271
ViroPharma, Inc. 633,490 44,606,491 833,490 48,406,491 (31,134,084) -- --
Visible Genetics, Inc. 757,715 44,448,662 757,715 44,448,662 (16,882,763) -- --
------------------------------------------------------------------------------------------------------------------------------------
$583,168,047 $132,333,903 $(63,701,445) $ 367,714,922
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
(1) Adjusted for 2-for-1 stock split 3/28/00.
(2) Adjusted for 2-for-1 stock split 12/22/99.
(3) Adjusted for 3-for-2 stock split 4/6/00.
(4) King Pharmaceuticals, Inc. acquired Medco Research, Inc., effective
2/28/00.
78 Janus Equity Funds / April 30, 2000
<PAGE>
<TABLE>
<CAPTION>
Purchases Sales Realized Dividend Market Value
Shares Cost Shares Cost Gain/(Loss) Income at 4/30/00
------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
Janus Global Technology Fund
Adaptive Broadband Corp.(5) 2,020,000 $ 93,126,465 -- -- -- -- $ 59,150,000
------------------------------------------------------------------------------------------------------------------------------------
Janus Mercury Fund
Electronic Arts, Inc. 3,551,175 $352,295,821 -- -- -- -- $ 261,970,142
------------------------------------------------------------------------------------------------------------------------------------
Janus Overseas Fund
Cambridge Antibody
Technology Group PLC 1,763,122 $ 56,314,659 -- -- -- -- $ 67,938,733
GT Group Telecom, Inc.
- Class B, New York Shares 1,100,465 22,229,324 -- -- -- -- 14,237,266
Information Highway A.B.(6) 3,114,828 42,116,702 -- -- -- -- 32,008,652
Le Groupe Videotron ltee 5,261,292 96,104,185 -- -- -- $ 38,120 126,413,699
------------------------------------------------------------------------------------------------------------------------------------
$216,764,870 $ 38,120 $ 240,598,350
------------------------------------------------------------------------------------------------------------------------------------
Janus Special Situations Fund
Bally Total Fitness Holding Corp. -- -- -- -- -- -- $ 45,255,675
Exide Corp. -- -- 100,000 $ 1,754,170 $ (803,215) $ 85,489 19,608,387
Magnum Hunter Resources, Inc. -- -- -- -- -- -- 6,612,300
SBS Broadcasting S.A -- -- -- -- -- -- 74,112,500
------------------------------------------------------------------------------------------------------------------------------------
100,000 $ 1,754,170 $ (803,215) $ 85,489 $ 145,588,862
------------------------------------------------------------------------------------------------------------------------------------
Janus Twenty Fund
Healtheon/WebMD Corp.(7) 6,611,290 $323,278,480 4,632,940 $203,458,277 $(17,538,805) -- $ 216,627,840
------------------------------------------------------------------------------------------------------------------------------------
Janus Venture Fund
Beasley Broadcast Group, Inc.
- Class A 408,185 $ 6,227,340 408,185 $ 6,227,340 $ (2,145,626) -- --
Classic Communications, Inc.
- Class A 368,590 10,397,506 -- -- -- -- $ 4,469,154
EduTrek International, Inc.
- Class A 591,000 3,841,500 591,000 3,841,500 (3,398,265) -- --
Enzon, Inc. -- -- 393,220 5,113,691 20,194,854 -- 58,083,180
Globix Corp.(8) -- -- -- -- -- -- 69,721,650
Interep National Radio Sales, Inc.
- Class A 346,475 4,502,667 -- -- -- -- 1,992,231
Media 100, Inc. 534,755 16,023,898 -- -- -- -- 12,934,387
pcOrder.com, Inc. 161,530 8,611,568 91,740 4,890,889 (2,709,973) -- 4,822,101
School Specialty, Inc. -- -- -- -- -- -- 17,858,023
------------------------------------------------------------------------------------------------------------------------------------
$ 49,604,479 $ 20,073,420 $ 11,940,990 $ 169,880,726
------------------------------------------------------------------------------------------------------------------------------------
Janus Worldwide Fund
Assa Abloy A.B. - Class B -- -- -- -- -- -- $ 425,775,968
Getronics N.V. -- -- 2,800,717 $125,465,398 $ 36,141,783 $ 955,597 246,787,766
------------------------------------------------------------------------------------------------------------------------------------
$125,465,398 $ 36,141,783 $ 955,597 $ 672,563,734
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
(5) Adjusted for 2-for-1 stock split 3/31/00.
(6) Adjusted for 10-for-1 stock split 1/26/00.
(7) Name change from Healtheon Corp. to Healtheon/WebMD Corp., effective
11/15/99.
(8) Adjusted for 2-for-1 stock split 12/31/99 and 2/1/00.
Janus Equity Funds / April 30, 2000 79
<PAGE>
Notes to | Financial Statements
The following section describes the organization and significant accounting
policies of the Funds and provides more detailed information about the schedules
and tables that appear throughout this report. In addition, the Notes explain
how the Funds operate and the methods used in preparing and presenting this
report.
1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES
Janus Investment Fund (the "Trust") is registered under the Investment
Company Act of 1940 (the "1940 Act") as a no-load, open-end management
investment company. Fifteen series of shares ("Equity Funds" or "Funds")
included in this report invest primarily in equity securities. Each Fund is
diversified as defined in the 1940 Act, with the exception of Janus
Enterprise, Janus Global Life Sciences Fund, Janus Global Technology Fund,
Janus Olympus, Janus Special Situations, Janus Strategic Value and Janus
Twenty Funds, which are nondiversified.
Janus Strategic Value Fund began operations on February 29, 2000.
Organization costs were borne by Janus Capital Corp. (Janus Capital).
The following policies have been consistently followed by the Funds and are
in conformity with accounting principles generally accepted in the
investment company industry.
INVESTMENT VALUATION
Securities are valued at the closing price for securities traded on a
principal exchange (U.S. or foreign) and on the NASDAQ National Market.
Securities traded on over-the-counter markets and listed securities for
which no sales are reported are valued at the latest bid price obtained
from one or more dealers making a market for such securities or by a
pricing service approved by the Funds' Trustees. Short-term securities
maturing within 60 days are valued at amortized cost, which approximates
market value. Foreign securities are converted to U.S. dollars using
exchange rates at the close of the New York Stock Exchange. When market
quotations are not readily available, securities are valued at their fair
value as determined in good faith by the Funds' Trustees.
INVESTMENT TRANSACTIONS AND INVESTMENT INCOME
Investment transactions are accounted for as of the date purchased or sold.
Dividend income is recorded on the ex-dividend date. Certain dividends from
foreign securities will be recorded as soon as the Trust is informed of the
dividend if such information is obtained subsequent to the ex-dividend
date. Interest income is recorded on the accrual basis and includes
amortization of discounts and premiums. Gains and losses are determined on
the identified cost basis, which is the same basis used for federal income
tax purposes.
FORWARD CURRENCY TRANSACTIONS AND FUTURES CONTRACTS
The Funds enter into forward currency contracts in order to reduce their
exposure to changes in foreign currency exchange rates on their foreign
portfolio holdings and to lock in the U.S. dollar cost of firm purchase and
sale commitments for securities denominated in or exposed to foreign
currencies. A forward currency exchange contract is a commitment to
purchase or sell a foreign currency at a future date at a negotiated rate.
The gain or loss arising from the difference between the U.S. dollar cost
of the original contract and the value of the foreign currency in U.S.
dollars upon closing of such contract is included in net realized gain or
loss from foreign currency transactions.
Forward currency contracts held by the Funds are fully collateralized by
other securities, which are denoted in the accompanying Schedule of
Investments. Such collateral is in the possession of the Funds' custodian.
The collateral is evaluated daily to ensure its market value equals or
exceeds the current market value of the corresponding forward currency
contracts.
Currency gain and loss are also calculated on payables and receivables that
are denominated in foreign currencies. The payables and receivables are
generally related to security transactions and income.
Futures contracts are marked to market daily, and the resultant variation
margin is recorded as an unrealized gain or loss. When a contract is
closed, a realized gain or loss is recorded equal to the difference between
the opening and closing value of the contract. Generally, open forward and
futures contracts are marked to market (i.e., treated as realized and
subject to distribution) for federal income tax purposes at fiscal
year-end.
Foreign-denominated assets and forward currency contracts may involve more
risks than domestic transactions, including currency risk, political and
economic risk, regulatory risk and market risk. Risks may arise from the
potential inability of a counterparty to meet the terms of a contract and
from unanticipated movements in the value of foreign currencies relative to
the U.S. dollar.
The Funds may enter into "futures contracts" and "options" on securities,
financial indexes and foreign currencies, forward contracts and interest
rate swaps and swap-related products. The Funds intend to use such
derivative instruments primarily to hedge or protect from adverse movements
in securities prices, currency rates or interest rates. The use of futures
contracts and options may involve risks such as the possibility of illiquid
markets or imperfect correlation between the value of the contracts and the
underlying securities, or that the counterparty will fail to perform its
obligations.
INITIAL PUBLIC OFFERINGS
The Funds may invest in initial public offerings (IPOs). IPOs and other
investment techniques may have a magnified performance impact on a fund
with a small asset base. The Funds may not experience similar performance
as their assets grow.
80 Janus Equity Funds / April 30, 2000
<PAGE>
ESTIMATES
The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amount of assets and liabilities and
disclosure of contingent assets and liabilities at the date of the
financial statements and the reported amounts of income and expenses during
the reporting period. Actual results could differ from those estimates.
DIVIDEND DISTRIBUTIONS AND EXPENSES
Dividends for Janus Balanced, Janus Equity Income and Janus Growth and
Income Funds are declared and distributed quarterly, and capital gains (if
any) are distributed annually. The remaining twelve Equity Funds generally
declare and distribute dividends and capital gains (if any) annually. Each
Fund bears expenses incurred specifically on its behalf as well as a
portion of general expenses.
FEDERAL INCOME TAXES
The Funds intend to distribute to shareholders all taxable investment
income and realized gains and otherwise comply with the Internal Revenue
Code applicable to regulated investment companies.
2. INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES
The advisory agreement with the Funds spells out the fees that the Funds
must pay for the period ended April 30, 2000. For November and December
1999 each of the Funds were subject to the following schedule:
Average Daily Net Annual Rate
Fee Schedule Assets of Fund Percentage (%)
------------------------------------------------------
Equity Funds First $300 Million .75
Next $200 Million .70
Over $500 Million .65
------------------------------------------------------
Effective January 31, 2000, each Fund's management fee has been reduced to
0.65% of average daily net assets.
Janus Service Corporation ("Janus Service"), a wholly owned subsidiary of
Janus Capital, receives an annual fee of 0.16% of average net assets per
Fund, plus $4.00 per shareholder account (excluding Janus, Janus Venture
and Janus Overseas Funds) for transfer agent services plus reimbursement of
certain out-of-pocket expenses (primarily postage and telephone charges).
During December 1999, Janus Capital reimbursed the Overseas Fund $3,128,513
as a result of a valuation error.
Officers and certain trustees of the Funds are also officers and/or
directors of Janus Capital; however, they receive no compensation from the
Funds.
The Funds' expenses may be reduced by voluntary brokerage credits from an
unaffiliated broker. Such credits are included in Expense and Fee Offsets
in the Statement of Operations. Brokerage commissions paid to the
unaffiliated broker reduce transfer agent fees and expenses.
DST Systems, Inc. (DST), an affiliate of Janus Capital through a degree of
common ownership, provides fund accounting and shareholder accounting
systems to the Funds. DST Securities, Inc., a wholly owned subsidiary of
DST, is designated as an introductory broker on certain portfolio
transactions. Brokerage commissions paid to DST Securities, Inc. serve to
reduce transfer agent fees and expenses. Brokerage commissions paid, fees
reduced and the net fees paid to DST for the six months or period ended
April 30, 2000, are noted below.
DST Securities,Inc. Fund
Commissions Expense
Paid* Reduction* DST Fees
--------------------------------------------------------------------------------
Janus Fund $ 689,496 $ 517,122 $1,035,807
Janus Balanced Fund 2,448 1,836 137,136
Janus Enterprise Fund -- -- 278,454
Janus Equity Income Fund 8,119 6,089 91,803
Janus Global Life Sciences Fund 642 481 184,986
Janus Global Technology Fund 2,383 1,788 492,968
Janus Growth and Income Fund 77,670 58,253 441,726
Janus Mercury Fund 90,323 67,743 780,222
Janus Olympus Fund 52,620 39,465 440,067
Janus Overseas Fund 17,828 13,371 193,739
Janus Special Situations Fund 5,500 4,125 186,333
Janus Strategic Value Fund -- -- 113,141
Janus Twenty Fund 49,817 37,363 1,342,183
Janus Venture Fund -- -- 142,738
Janus Worldwide Fund 237,959 178,469 663,647
--------------------------------------------------------------------------------
* The difference between commissions paid to DST Securities, Inc. and
expenses reduced constituted commissions paid to an unaffiliated clearing
broker.
Janus Equity Funds / April 30, 2000 81
<PAGE>
Notes to | Financial Statements (continued)
3. FEDERAL INCOME TAX
The Funds have elected to treat gains and losses on forward currency
contracts as capital gains and losses. Other foreign currency gains and
losses on debt instruments are treated as ordinary income for federal
income tax purposes pursuant to Section 988 of the Internal Revenue Code.
The net capital loss carryover noted below as of October 31, 1999 is
available to offset future realized capital gains and thereby reduce
further taxable gains distributions. This carryover expires October 31,
2007. The aggregate cost of investments and the composition of unrealized
appreciation and depreciation of investment securities for federal income
tax purposes as of April 30, 2000, are as follows:
<TABLE>
<CAPTION>
Net
Net Capital Loss Federal Tax Unrealized Unrealized Appreciation/
Carryovers Cost Appreciation (Depreciation) (Depreciation)
-----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Janus Fund -- $ 30,460,889,994 $ 18,284,036,151 $ (1,508,947,034) $ 16,775,089,117
Janus Balanced Fund -- 3,787,565,231 487,346,200 (100,754,623) 386,591,577
Janus Enterprise Fund -- 7,004,342,339 1,907,922,799 (1,233,797,002) 674,125,797
Janus Equity Income Fund -- 886,602,846 214,830,837 (27,228,471) 187,602,366
Janus Global Life Sciences Fund $ (5,781,052) 3,305,151,091 287,427,085 (414,379,813) (126,952,728)
Janus Global Technology Fund -- 6,589,841,703 3,718,320,611 (599,207,490) 3,119,113,121
Janus Growth and Income Fund -- 6,232,698,430 3,059,004,132 (239,807,533) 2,819,196,599
Janus Mercury Fund -- 13,907,279,683 4,729,296,257 (1,209,558,199) 3,519,738,058
Janus Olympus Fund -- 6,140,862,112 2,667,455,699 (334,674,696) 2,332,781,003
Janus Overseas Fund -- 6,739,549,700 4,122,651,727 (426,491,450) 3,696,160,277
Janus Special Situations Fund -- 1,301,354,915 640,174,454 (108,151,118) 532,023,336
Janus Strategic Value Fund -- 2,711,892,789 301,622,258 (80,761,252) 220,861,006
Janus Twenty Fund -- 19,626,294,225 17,308,485,797 (1,587,409,090) 15,721,076,707
Janus Venture Fund -- 1,610,638,118 831,363,231 (255,626,283) 575,736,948
Janus Worldwide Fund -- 28,000,417,550 15,385,331,379 (1,624,782,466) 13,760,548,913
-----------------------------------------------------------------------------------------------------------------------------
</TABLE>
82 Janus Equity Funds / April 30, 2000
<PAGE>
Explanations of | Charts and Tables
1. PERFORMANCE OVERVIEWS
Performance overview graphs on the previous pages compare the performance
of a $10,000 investment in each Fund (from inception) to one or more widely
used market indexes through April 30, 2000.
When comparing the performance of a Fund with an index, keep in mind that
market indexes do not include brokerage commissions that would be incurred
if you purchased the individual securities in the index. They also do not
include taxes payable on dividends and interest or operating expenses
incurred if you maintained a portfolio invested in the index.
Average annual total returns are also quoted for each Fund. Average annual
total return is calculated by taking the growth or decline in value of an
investment over a period of time, including reinvestment of dividends and
distributions, then calculating the annual compounded percentage rate that
would have produced the same result had the rate of growth been constant
throughout the period.
2. SCHEDULES OF INVESTMENTS
Following the performance overview section is each Fund's Schedule of
Investments. This schedule reports the industry concentrations and types of
securities held in each Fund's portfolio on the last day of the reporting
period. Securities are usually listed by type (common stock, corporate
bonds, U.S. government obligations, etc.) and by industry classification
(banking, communications, insurance, etc.).
The market value of each security is quoted as of the last day of the
reporting period. The value of securities denominated in foreign currencies
is converted into U.S. dollars.
Funds that invest in foreign securities also provide a summary of
investments by country. This summary reports the Fund's exposure to
different countries by providing the percentage of securities invested in
each country.
2A. FORWARD CURRENCY CONTRACTS
A table listing forward currency contracts follows each Fund's Schedule of
Investments (if applicable). Forward currency contracts are agreements to
deliver or receive a preset amount of currency at a future date. Forward
currency contracts are used to hedge against foreign currency risk in the
Fund's long-term holdings.
The table provides the name of the foreign currency, the settlement date of
the contract, the amount of the contract, the value of the currency in U.S.
dollars and the amount of unrealized gain or loss. The amount of unrealized
gain or loss reflects the change in currency exchange rates from the time
the contract was opened to the last day of the reporting period.
3. STATEMENT OF OPERATIONS
This statement details the Funds' income, expenses, gains and losses on
securities and currency transactions, and appreciation or depreciation of
current portfolio holdings.
The first section in this statement, entitled "Investment Income," reports
the dividends earned from stocks and interest earned from interest-bearing
securities in the portfolio.
The next section reports the expenses and expense offsets incurred by the
Funds, including the advisory fee paid to the investment advisor, transfer
agent fees, shareholder servicing expenses, and printing and postage for
mailing statements, financial reports and prospectuses.
The last section lists the increase or decrease in the value of securities
held in the Funds' portfolios. Funds realize a gain (or loss) when they
sell their position in a particular security. An unrealized gain (or loss)
refers to the change in net appreciation or depreciation of the Funds'
portfolios during the period. "Net Gain/(Loss) on Investments" is affected
both by changes in the market value of portfolio holdings and by gains (or
losses) realized during the reporting period.
Janus Equity Funds / April 30, 2000 83
<PAGE>
Explanations of | Charts and Tables (continued)
4. STATEMENT OF ASSETS AND LIABILITIES
This statement is often referred to as the "balance sheet." It lists the
assets and liabilities of the Funds on the last day of the reporting
period.
The Funds' assets are calculated by adding the value of the securities
owned, the receivable for securities sold but not yet settled, the
receivable for dividends declared but not yet received on stocks owned and
the receivable for Fund shares sold to investors but not yet settled. The
Funds' liabilities include payables for securities purchased but not yet
settled, Fund shares redeemed but not yet paid and expenses owed but not
yet paid. Additionally, there may be other assets and liabilities such as
forward currency contracts.
The last line of this statement reports the Funds' net asset value (NAV)
per share on the last day of the reporting period. The NAV is calculated by
dividing the Funds' net assets (assets minus liabilities) by the number of
shares outstanding.
5. STATEMENT OF CHANGES IN NET ASSETS
This statement reports the increase or decrease in the Funds' net assets
during the reporting period. Changes in the Funds' net assets are
attributable to investment operations, dividends, distributions and capital
share transactions. This is important to investors because it shows exactly
what caused the Funds' net asset size to change during the period.
The first section summarizes the information from the Statement of
Operations regarding changes in net assets because of the Funds' investment
performance. The Funds' net assets may also change as a result of dividend
and capital gains distributions to investors. If investors receive their
dividends in cash, money is taken out of the Fund to pay the distribution.
If investors reinvest their dividends, the Funds' net assets will not be
affected. If you compare each Fund's "Net Decrease from Dividends and
Distributions" to the "Reinvested dividends and distributions," you'll
notice that dividend distributions had little effect on each Fund's net
assets. This is because the majority of Janus investors reinvest their
distributions.
The reinvestment of dividends is included under "Capital Share
Transactions." "Capital Shares" refers to the money investors contribute to
the Funds through purchases or withdraw via redemptions. The Fund's net
assets will increase and decrease in value as investors purchase and redeem
shares from the Fund.
The section entitled "Net Assets Consist of" breaks down the components of
the Funds' net assets. Because Funds must distribute substantially all
earnings, you'll notice that a significant portion of net assets is
shareholder capital.
84 Janus Equity Funds / April 30, 2000
<PAGE>
6. FINANCIAL HIGHLIGHTS
This schedule provides a per-share breakdown of the components that affect
the Funds' net asset value (NAV) for current and past reporting periods.
Not only does this table provide you with total return, it also reports
total distributions, asset size, expense ratios and portfolio turnover
rate.
The first line in the table reflects the Funds' NAV per share at the
beginning of the reporting period. The next line reports the Funds' net
investment income per share, which comprises dividends and interest income
earned on securities held by the Funds. Following is the total of gains,
realized and unrealized. Dividends and distributions are then subtracted to
arrive at the NAV per share at the end of the period.
Also included are the Funds' expense ratios, or the percentage of net
assets that was used to cover operating expenses during the period. Expense
ratios vary across the Funds for a number of reasons, including the
differences in management fees, average shareholder account size, the
frequency of dividend payments and the extent of foreign investments, which
entail greater transaction costs.
The Funds' expenses may be reduced through expense-reduction arrangements.
These arrangements include the use of brokerage commissions, uninvested
cash balances earning interest or balance credits. The Statement of
Operations reflects total expenses before any such offset, the amount of
offset and the net expenses. The expense ratios listed in the Financial
Highlights reflect total expenses both prior to any expense offset and
after the offsets.
The ratio of net investment income/(loss) summarizes the income earned
divided by the average net assets of a Fund during the reporting period.
Don't confuse this ratio with a Fund's yield. The net investment income
ratio is not a true measure of a Fund's yield because it doesn't take into
account the dividends distributed to the Fund's investors.
The next ratio is the portfolio turnover rate, which measures the buying
and selling activity in the Funds' portfolios. Portfolio turnover is
affected by market conditions, changes in the size of a Fund, the nature of
the Fund's investments and the investment style of the portfolio manager. A
100% rate implies that an amount equal to the value of the entire portfolio
is turned over in a year; a 50% rate means that an amount equal to the
value of half the portfolio is traded in a year; and a 200% rate means that
an amount equal to the value of the portfolio is sold every six months.
Janus Equity Funds / April 30, 2000 85
<PAGE>
--------------------------------------------------------------------------------
[LOGO] JANUS ------------
BULK RATE
P.O. Box 173375 U.S. POSTAGE
Denver, Colorado 80217-3375 PAID
JANUS
Address Service Requested. ------------
--------------------------------------------------------------------------------
