[cover]
June 30, 1997
PHOENIX
FUNDS
ANNUAL REPORT
Phoenix Worldwide
Opportunities Fund
[logo] PHOENIX
DUFF & PHELPS
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[THIS PAGE INTENTIONALLY LEFT BLANK]
<PAGE>
PHOENIX WORLDWIDE OPPORTUNITIES FUND
INVESTOR PROFILE
Phoenix Worldwide Opportunities Fund is designed for investors seeking
long-term capital appreciation and broad equity global diversification.
Investors should note that foreign investments pose added risks, such as
currency fluctuation, less public information and political and economic
uncertainty.
INVESTMENT ADVISER'S REPORT
For the 12 months ended June 30, 1997, Class A shares returned 13.40% and
Class B shares earned 12.46% compared with an average return of 19.22% for a
peer universe of 175 global equity funds, according to Lipper Analytical
Services, Inc. The MSCI World Index was up 22.27%. All performance figures are
stated in U.S. dollars, assume reinvestment of dividends and exclude the effect
of sales charges. MSCI total return figures are net of foreign withholding
taxes.
Europe, which was up 29.99% as measured by the MSCI Europe Index, has
continued to be supported by low and falling interest rates. A higher rate of
economic growth within Europe would be helpful for corporate profits by giving
some support to the earnings outlook from external demand.
Moderate economic growth, very low inflation and strong corporate earnings
have provided considerable support for a strong U.S. market. Over the last 12
months, the S&P 500 is up 34.75%, primarily led by large-capitalization stocks.
The Dow Jones Industrial Average has risen 38.54%, while the smaller
capitalization NASDAQ Composite Index has risen 20.81%. The stock market has
incurred two meaningful market breaks of nearly 10%--the first in the third
quarter of 1996 and the second in the second quarter of 1997. Nonetheless, the
market has shown tremendous resilience, with all major market averages achieving
new highs in June 1997.
Latin America rose 46.38%, with every country participating in the rally.
Venezuela (+112.53%) led the way, followed by Brazil (+71.03%), Colombia
(+46.32%) and Mexico (+34.10%), as measured by the MSCI Emerging Markets (Free)
Index. The region is experiencing the benefits of accelerating growth, declining
inflation and positive investor sentiment.
Asia posted more uneven performance. The two largest markets had very
contrasting returns for the period. Hong Kong gained 29.63%, but Japan lost
8.87%. Results for the emerging countries were widely dispersed, from an
impressive 30.04% in Taiwan, to negative 57.81% for Thailand.
OUTLOOK
We expect foreign markets to continue to perform reasonably well in 1997
due to low interest rates, improving economic growth, and corporate
restructuring efforts. A relatively smooth progress towards a single currency in
Europe is essential as disintegration of the process would dramatically increase
the volatility of markets that have been more or less performing in concert with
one another.
While U.S. market price/earnings valuation measures are at the high end of
historical ranges, such levels may be justified by better-than-expected earnings
and low interest rates. At present we are overweighting large-capitalization
growth stocks in the technology and financial services sectors.
1
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Phoenix Worldwide Opportunities Fund
- --------------------------------------------------------------------------------
[Tabular representation of line chart]
<TABLE>
<CAPTION>
Phoenix Worldwide
Standard & Poor's 500 MSCI World (Net) Opportunities
Stock Index** Index* Fund--Class A
--------------------- ---------------- ------------------
<S> <C> <C> <C>
6/30/87 $10,000 $10,000 $9,525
6/30/88 9,289 9,895 8,903
6/30/89 11,184 11,130 8,492
6/30/90 13,009 11,919 8,678
6/30/91 13,972 11,336 8,220
6/30/92 15,852 11,815 8,667
6/30/93 18,009 13,794 9,657
6/30/94 18,250 15,206 12,308
6/30/95 23,015 16,829 13,112
6/30/96 29,026 19,932 15,916
6/30/97 39,113 24,371 18,049
</TABLE>
<TABLE>
<CAPTION>
Average Annual Total Returns for the Periods Ending 6/30/97
From Inception
7/15/94 to
1 Year 5 Years 10 Years 6/30/97
- ------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Class A with 4.75% sales charge 8.05% 14.68% 6.08% --
- ------------------------------------------------------------------------------------------
Class A at net asset value 13.40% 15.80% 6.60% --
- ------------------------------------------------------------------------------------------
Class B with CDSC 8.46% -- -- 11.30%
- ------------------------------------------------------------------------------------------
Class B at net asset value 12.46% -- -- 12.13%
- ------------------------------------------------------------------------------------------
The Morgan Stanley Capital
International World (Net) Index* 22.27% 15.58% 9.32% 16.80%***
- ------------------------------------------------------------------------------------------
S&P 500 Stock Index** 34.75% 19.80% 14.61% 28.42%
- ------------------------------------------------------------------------------------------
</TABLE>
This chart assumes an initial investment of $10,000 made on 6/30/87 for Class A
shares. The total return for Class A shares reflects the maximum sales charge of
4.75% on the initial investment and assumes reinvestment of dividends and
capital gains. Class B share performance will be greater or less than that shown
based on differences in inception date, fees and sales charges. The total return
(since inception 7/15/94) for Class B shares reflects the 5% contingent deferred
sales charge (CDSC), which is applicable on all shares redeemed during the 1st
year after purchase and 4% for all shares redeemed during the 2nd year after
purchase (scaled down to 3%-3rd year, 2%-4th and 5th year and 0% thereafter).
Returns indicate past performance, which is not predictive of future
performance. Investment return and net asset value will fluctuate so that your
shares, when redeemed, may be worth more or less than the original cost.
*The Morgan Stanley Capital International World (Net) Index is an unmanaged,
arithmetical average weighted by the market value of companies listed on
stock exchanges which includes approximately 1600 companies listed on the
stock exchanges of the USA, Europe, Canada, Australia, New Zealand and the
Far East. The index's performance does not reflect sales charges. The returns
are after withholding taxes for foreign investors.
**The S&P 500 Stock Index is an unmanaged but commonly used measure of stock
total return performance. The S&P 500 performance does not reflect sales
charges.
***From 7/31/94 to 6/30/97.
2
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Phoenix Worldwide Opportunities Fund
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INVESTMENTS AT JUNE 30, 1997
SHARES VALUE
--------- ------------
COMMON STOCKS--92.1%
Australia--0.6%
Westpac Bank Corp. Ltd. (Diversified
Financial Services) ........................ 153,000 913,553
------------
Belgium--0.9%
Credit Communal Holding/Dexia (Banks).......... 13,000 1,397,636
------------
Brazil--1.9%
Telebras Sponsored ADR
(Utility--Telephone) ..................... 14,600 2,215,550
Uniao de Bancos Brasileiros SA GDR
(Banks) .................................... 24,000 891,000
------------
3,106,550
------------
Chile--0.8%
Santa Isabel SA Sponsored ADR
(Retail--Food) ........................... 42,000 1,354,500
------------
Finland--2.5%
Nokia Corp. Sponsored ADR
(Telecommunications Equipment) ............ 27,000 1,991,250
Raision Tehtaat Oy (Food) ..................... 13,300 914,116
Rauma Group (The) (Machinery) ............... 48,000 1,099,688
------------
4,005,054
------------
France--4.9%
AXA - UAP (Insurance) ........................ 22,700 1,413,216
Elf Aquitaine SA (Oil) ........................ 11,200 1,209,491
Louis Dreyfus Citrus (Food) (b) ............... 28,000 1,046,858
Promodes (Retail) ........................... 4,000 1,559,556
Total SA B Shares (Oil) ..................... 12,300 1,244,477
Usinor Sacilor (Steel) ........................ 76,000 1,372,192
------------
7,845,790
------------
Germany--3.7%
Adidas AG (Textile & Apparel) ............... 11,950 1,323,587
BHW Holding AG (Banks) (b) .................. 73,000 1,235,868
Rhoen-Klinikum AG (Hospital
Management & Services) ..................... 9,310 1,191,466
Schmalbach Lubeca AG (Containers) ............ 5,300 1,189,268
VEBA AG (Utility--Electric) .................. 18,200 1,023,587
------------
5,963,776
------------
Hong Kong--0.0%
Henderson China Holding Ltd. (Real
Estate) .................................... 768 1,294
------------
Hungary--0.4%
Gedeon Richter 144A GDS (Health
Care--Drugs) (d) ........................... 6,600 608,142
------------
Indonesia--0.1%
Wicaksana Overseas International
(Conglomerates) ........................... 167,000 204,329
------------
Italy--3.5%
Gucci Group NV-NY (Textile & Apparel) ......... 29,800 1,918,375
Istituto Bancario San Paolo di Torino
(Banks) .................................... 120,120 874,691
Stet-Societa' Finanziaria Telefonica SPA
(Utility--Telephone) ..................... 488,000 2,839,377
------------
5,632,443
------------
Japan--7.8%
Canon, Inc. (Office & Business
Equipment) ................................. 38,000 1,036,092
Circle K Japan Company Ltd.
(Retail--Food) ........................... 16,800 966,040
Credit Saison Company Ltd. (Diversified
Financial Services) ........................ 59,800 1,463,253
DDI Corp. (Utility--Telephone) ............... 115 850,214
Matsushita Communication Industrial
(Telecommunications Equipment) ............ 22,000 744,036
Meitec (Computer Software & Services) ......... 29,000 864,196
Namco (Entertainment, Leisure &
Gaming) .................................... 20,000 772,525
Nintendo Company Ltd. (Entertainment,
Leisure & Gaming) ........................ 11,000 922,835
Nippon Broadcasting System (Publishing,
Broadcasting, Printing & Cable) ............ 12,000 1,331,819
Paris Miki, Inc. (Retail) ..................... 31,000 912,960
TDK Corp. (Electronics) ..................... 9,000 661,452
Taisho Pharmaceutical Co. (Health
Care--Drugs) .............................. 35,000 945,119
Taiyo Yuden Co. Ltd. (Electrical
Equipment) ................................. 66,000 1,090,099
------------
12,560,640
------------
Mexico--0.9%
Coca-Cola Femsa SA Sponsored ADR
(Beverages) .............................. 30,000 1,548,750
------------
Netherlands--2.6%
DSM NV (Chemical) ........................... 11,500 1,146,302
ING Groep NV (Diversified Financial
Services) ................................. 25,500 1,177,844
Philips Electronics NV (Electronics) ......... 27,000 1,937,529
------------
4,261,675
------------
New Zealand--0.2%
Restaurant Brands New Zealand Ltd.
(Entertainment, Leisure & Gaming) (b) ...... 149,000 258,516
------------
Norway--1.3%
Schibsted ASA (Publishing, Broadcasting,
Printing & Cable) ........................ 64,000 1,267,638
Smedvig ASA A Shares (Oil) .................. 36,300 907,413
------------
2,175,051
------------
3
See Notes to Financial Statements
<PAGE>
Phoenix Worldwide Opportunities Fund
- --------------------------------------------------------------------------------
SHARES VALUE
----------- -------------
Peru--1.0%
Telefonica del Peru SA
(Utility--Telephone) .................. 617,014 $ 1,621,334
------------
Philippines--2.8%
Ayala Land, Inc. Class B (Real Estate) ..... 1,669,000 1,534,473
Manila Electric Co. (Utility--Electric) .... 136,000 670,306
Metropolitan Bank & Trust Co.
(Banks) ................................. 20,000 424,628
Philippine Commercial International
Bank (Banks) ........................... 61,000 589,741
SM Prime Holdings, Inc. (Real Estate) ...... 2,488,000 735,760
San Miguel Corp. Class B (Beverages) ....... 241,000 635,028
------------
4,589,936
------------
Poland--0.1%
Bank Handlowy W. Warszawie
(Banks) (b) ........................... 7,500 86,498
------------
Portugal--2.1%
Electricidade de Portugal SA
(Utility--Electric) ..................... 29,960 550,491
Portugal Telecom SA
(Utility--Telephone) .................. 32,400 1,308,607
Telecel-Comunicacoes Pessoais SA
(Telecommunications Equipment) (b) ...... 18,500 1,536,492
------------
3,395,590
------------
South Korea--9.3%
Daewoo Securities Co. (Broker-
Dealers) (b) ........................... 131,800 2,389,616
Daewoo Telecom Co.
(Telecommunications Equipment) ......... 79,000 768,648
Dongsuh Securities Co. (Broker-
Dealers) (b) ........................... 106,000 972,860
Hyundai Electronics Industries Co.
(Electronics) ........................... 9,800 502,139
Hyundai Marine & Fire Insurance Co.
(Insurance) (b) ........................ 28,600 1,156,238
Hyundai Securities Co. (Diversified
Financial Services) (b) ............... 85,200 1,295,269
L.G. Electronics (Electronics) ............ 71,200 1,322,972
L.G. Information & Communication
Ltd. (Telecommunications
Equipment) .............................. 19,600 2,427,926
L.G. Securities (Diversified Financial
Services) (b) ........................... 113,600 1,381,621
Oriental Fire & Marine Insurance
(Insurance) ........................... 42,600 1,074,594
Samsung Electronics Co.
(Electronics) ........................... 7,600 856,797
Samsung Fire & Marine Insurance
(Insurance) ........................... 490 185,736
Sungmi Telecom Electronics Co.
(Telecommunications Equipment) ......... 5,150 682,607
------------
15,017,023
------------
Spain--0.5%
Telefonica de Espana
(Utility--Telephone) .................. 30,500 883,457
------------
Sweden--1.5%
Astra AB A Shares (Health
Care--Drugs) ........................... 80,000 $ 1,489,854
Biora AB (Medical Products &
Supplies) (b) ........................... 33,300 310,076
Biora AB Sponsored ADR (Medical
Products & Supplies) (b) ............... 12,000 214,500
Hemkopskedjan AB B Shares
(Retail--Food) ........................ 33,000 339,291
------------
2,353,721
------------
Switzerland--3.9%
Ares-Serono Group Bearer Shares
(Health Care--Drugs) .................. 1,080 1,566,882
Novartis AG Registered Shares (Health
Care--Drugs) ........................... 1,100 1,761,147
SIG Schweizerische Industrie
Gesellschaft Holding AG Bearer
Shares (Machinery) ..................... 370 1,123,096
SIG Schweizerische Industrie
Gesellschaft Holding AG Registered
Shares (Machinery) ..................... 120 178,625
Zurich Versicherungs Registered
Shares (Insurance) ..................... 4,000 1,594,183
------------
6,223,933
------------
United Kingdom--15.7%
Avis Europe PLC (Leasing/Rental) (b) ....... 620,000 1,408,622
British Aerospace PLC (Aerospace &
Defense) .............................. 109,700 2,440,314
Carlton Communications PLC
(Publishing, Broadcasting, Printing
& Cable) .............................. 196,000 1,655,626
Celltech PLC (Health Care--Drugs) (b) ...... 152,000 679,294
Compass Group PLC (Lodging &
Restaurants) ........................... 147,000 1,649,101
Cordiant PLC (Professional Services) ...... 1,038,000 2,133,705
Corporate Services Group PLC
(Professional Services) ............... 387,000 1,214,206
GKN PLC (Miscellaneous) .................. 75,000 1,291,403
Granada Group PLC (Entertainment,
Leisure & Gaming) ..................... 87,000 1,143,975
Lloyds TSB Group PLC (Diversified
Financial Services) ..................... 172,000 1,763,515
Next PLC (Retail) ........................ 148,000 1,671,405
Norwich Union PLC 144A (Insurance)
(b) (d) .............................. 120,000 638,149
Rentokil Initial PLC (Professional
Services) .............................. 330,000 1,158,955
Rolls-Royce PLC (Aerospace &
Defense) .............................. 290,000 1,107,773
Siebe PLC (Electrical Equipment) ......... 108,000 1,828,162
WPP Group PLC (Advertising) ............... 658,000 2,699,684
Williams PLC (Professional Services) ...... 160,000 860,186
------------
25,344,075
------------
United States--23.1%
Aetna, Inc. (Insurance) .................. 19,800 2,027,025
Ascend Communications, Inc.
(Telecommunications Equipment) ......... 40,000 1,575,000
4
See Notes to Financial Statements
<PAGE>
Phoenix Worldwide Opportunities Fund
- --------------------------------------------------------------------------------
SHARES VALUE
-------- ---------------
United States--continued
Centura Software Corp. (Computer
Software & Services) (b) ............... 3,436 $ 7,731
Chase Manhattan Corp. (Banks) ............ 17,000 1,650,062
Citicorp (Banks) ........................... 12,000 1,446,750
Ensco International, Inc. (Oil Service
& Equipment) (b) ........................ 37,000 1,951,750
First American Corp. (Banks) ............... 57,000 2,187,375
General Electric Co. (Electrical
Equipment) .............................. 40,000 2,615,000
Hertz Corp. Class A (Autos & Trucks) ....... 50,000 1,800,000
International Business Machines Corp.
(Office & Business Equipment) ......... 23,000 2,074,313
Nautica Enterprises, Inc. (Textile &
Apparel) .............................. 90,000 2,379,375
Philip Morris Companies, Inc.
(Tobacco) .............................. 55,000 2,440,625
Quaker Oats Co. (Food) ..................... 40,000 1,795,000
RJR Nabisco Holdings Corp.
(Tobacco) .............................. 69,000 2,277,000
Schlumberger Ltd. (Oil Service &
Equipment) .............................. 17,200 2,150,000
Teradyne, Inc. (Electronics) ............... 40,000 1,570,000
U.S. Airways Group, Inc. (Airlines) (b) .... 50,000 1,750,000
United Healthcare Corp. (Hospital
Management & Services) .................. 35,500 1,846,000
United Waste Systems, Inc. (Pollution
Control) .............................. 50,000 2,050,000
Watson Pharmaceuticals, Inc. (Health
Care--Drugs) (b) ........................ 40,000 1,690,000
---------------
37,283,006
---------------
TOTAL COMMON STOCKS
(Identified cost $129,316,466) ..................... 148,636,272
---------------
PREFERRED STOCKS--1.6%
Germany--0.9%
Volkswagen AG Pfd. (Autos & Trucks) ........ 2,700 1,518,508
---------------
United Kingdom--0.7%
Egypt Investment Co. (Multi-
Industry) (b) ........................... 73,000 1,076,750
---------------
TOTAL PREFERRED STOCKS
(Identified cost $1,693,195) .................. 2,595,258
---------------
WARRANTS--1.3%
United States--1.3%
Intel Corp. Warrants 3/14/98
(Electronics) (b) ..................... 20,000 $ 2,030,000
---------------
TOTAL WARRANTS
(Identified cost $2,125,000) ............... 2,030,000
---------------
TOTAL LONG-TERM INVESTMENTS--95.0%
(Identified cost $133,134,661) ............ 153,260,530
---------------
STANDARD
& POOR'S PAR
RATING VALUE
(Unaudited) (000)
------------- --------
SHORT-TERM OBLIGATIONS--3.0%
Commercial Paper--3.0%
Anheuser-Busch
5.43%, 7-1-97 ...... A-1+ $ 930 930,000
Preferred Receivables
Funding Corp.
5.60%, 7-2-97 (c) A-1 1,425 1,424,778
International Lease
Finance Corp.
5.51%, 7-7-97 ...... A-1 790 789,275
CXC, Inc. 5.52%,
7-8-97 ............ A-1+ 1,715 1,713,159
-----------------
4,857,212
-----------------
TOTAL SHORT-TERM OBLIGATIONS
(Identified cost $4,857,212) ............... 4,857,212
-----------------
TOTAL INVESTMENTS--98.0%
(Identified cost $137,991,873) ............ 158,118,742(a)
Cash and receivables, less liabilities--2.0% 3,298,474
-----------------
NET ASSETS--100.0% ........................... $ 161,417,216
=================
(a) Federal Income Tax Information: Net unrealized appreciation of investment
securities is comprised of gross appreciation of $22,663,829 and gross
depreciation of $3,310,365 for federal income tax purposes. At June 30,
1997, the aggregate cost of securities for federal income tax purposes was
$138,765,278.
(b) Non-income producing.
(c) Segregated as collateral for forward currency contracts.
(d) Security exempt from registration under Rule 144A of the Securities Act of
1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers. At June 30, 1997,
these securities amounted to a value of $1,246,291 or 0.8% of net assets.
See Notes to Financial Statements
5
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Phoenix Worldwide Opportunities Fund
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INDUSTRY DIVERSIFICATION
As a percentage of Total Value of Total Long-Term Investments
(Unaudited)
Advertising ................................. 1.8%
Aerospace & Defense ........................ 2.3
Airlines .................................... 1.1
Autos & Trucks .............................. 2.2
Banks ....................................... 7.0
Beverages ................................. 1.4
Broker-Dealers .............................. 2.2
Chemical .................................... 0.7
Computer Software & Services ............... 0.6
Conglomerates .............................. 0.1
Containers ................................. 0.8
Diversified Financial Services ............ 5.2
Electrical Equipment ........................ 3.6
Electronics ................................. 5.8
Entertainment, Leisure & Gaming ............ 2.0
Food ....................................... 2.5
Health Care--Drugs ........................ 5.7
Hospital Management & Services ............ 2.0
Insurance ................................. 5.3
Leasing/Rental .............................. 0.9
Lodging & Restaurants ..................... 1.1
Machinery ................................. 1.6
Medical Products & Supplies ............... 0.3
Miscellaneous .............................. 0.8
Multi-Industry .............................. 0.7
Office & Business Equipment ............... 2.0
Oil ....................................... 2.2
Oil Service & Equipment ..................... 2.7
Pollution Control ........................... 1.3
Professional Services ..................... 3.5
Publishing, Broadcasting, Printing & Cable 2.8
Real Estate ................................. 1.5
Retail .................................... 2.7
Retail--Food .............................. 1.7
Steel ....................................... 0.9
Telecommunications Equipment ............... 6.4
Textile & Apparel ........................... 3.7
Tobacco .................................... 3.1
Utility--Electric ........................... 1.5
Utility--Telephone ........................ 6.3
------
100.0%
======
See Notes to Financial Statements
6
<PAGE>
Phoenix Worldwide Opportunities Fund
- --------------------------------------------------------------------------------
STATEMENT OF ASSETS AND LIABILITIES
JUNE 30, 1997
Assets
Investment securities at value
(Identified cost $137,991,873) $158,118,742
Cash 17,286
Receivables
Investment securities sold 6,063,395
Fund shares sold 73,080
Dividends and interest 281,584
Tax reclaim 67,270
Net unrealized appreciation on
forward currency contracts 85,923
-------------
Total assets 164,707,280
-------------
Liabilities
Payables
Investment securities purchased 2,067,015
Fund shares repurchased 109,441
Closed foreign currency contracts 675,644
Transfer agent fee 99,525
Investment advisory fee 99,186
Distribution fee 38,200
Financial agent fee 7,098
Trustees' fee 2,809
Accrued expenses 191,146
-------------
Total liabilities 3,290,064
-------------
Net Assets $161,417,216
=============
Net Assets Consist of:
Capital paid in on shares of beneficial interest $126,953,154
Undistributed net investment income 1,360,579
Accumulated net realized gain 12,892,630
Net unrealized appreciation 20,210,853
-------------
Net Assets $161,417,216
=============
Class A
Shares of beneficial interest outstanding, $1 par value,
unlimited authorization (Net Assets $153,005,453) 14,234,784
Net asset value per share $10.75
Offering price per share
$10.75/(1-4.75%) $11.29
Class B
Shares of beneficial interest outstanding, $1 par value,
unlimited authorization (Net Assets $8,411,763) 798,733
Net asset value and offering price per share $10.53
STATEMENT OF OPERATIONS
YEAR ENDED JUNE 30, 1997
Investment Income
Dividends $ 1,837,274
Interest 1,118,172
Foreign taxes withheld (120,967)
-----------
Total investment income 2,834,479
-----------
Expenses
Investment advisory fee 1,137,290
Distribution fee--Class A 362,581
Distribution fee--Class B 66,061
Financial agent fee 64,066
Transfer agent 359,882
Custodian 180,497
Printing 62,128
Professional 50,440
Registration 31,306
Trustees 22,470
Miscellaneous 31,778
-----------
Total expenses 2,368,499
-----------
Net investment income 465,980
-----------
Net Realized and Unrealized Gain (Loss) on Investments
Net realized gain on securities 14,387,429
Net realized gain on foreign currency transactions 1,397,324
Net change in unrealized appreciation (depreciation)
on investments 3,616,111
Net change in unrealized appreciation (depreciation)
on foreign currency and foreign currency (405,680)
-----------
transactions
Net gain on investments 18,995,184
-----------
Net increase in net assets resulting from
operations $19,461,164
===========
See Notes to Financial Statements
7
<PAGE>
Phoenix Worldwide Opportunities Fund
- --------------------------------------------------------------------------------
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
Year Ended Year Ended
June 30, 1997 June 30, 1996
--------------- ---------------
<S> <C> <C>
From Operations
Net investment income (loss) $ 465,980 $ (291,385)
Net realized gain 15,784,753 22,536,010
Net change in unrealized appreciation (depreciation) 3,210,431 4,669,762
------------- -------------
Increase in net assets resulting from operations 19,461,164 26,914,387
------------- -------------
From Distributions to Shareholders
Net investment income--Class A (547,706) --
Net investment income--Class B (3,491) --
Net realized gains--Class A (10,600,864) (7,904,822)
Net realized gains--Class B (464,200) (220,021)
In excess of net investment income--Class A (36,512) --
In excess of net investment income--Class B (233) --
------------- -------------
Decrease in net assets from distributions to shareholders (11,653,006) (8,124,843)
------------- -------------
From Share Transactions
Class A
Proceeds from sales of shares (7,287,155 and 9,725,785 shares, respectively) 73,684,613 94,334,086
Net asset value of shares issued from reinvestment of distributions (1,017,922 and
764,481 shares, respectively) 9,812,762 6,849,750
Cost of shares repurchased (8,259,993 and 10,285,880 shares, respectively) (83,959,118) (99,875,851)
------------- -------------
Total (461,743) 1,307,985
------------- -------------
Class B
Proceeds from sales of shares (294,976 and 318,603 shares, respectively) 2,922,714 3,048,479
Net asset value of shares issued from reinvestment of distributions (40,165 and 20,140
shares, respectively) 381,165 178,437
Cost of shares repurchased (99,485 and 92,969 shares, respectively) (994,110) (893,724)
------------- -------------
Total 2,309,769 2,333,192
------------- -------------
Increase in net assets from share transactions 1,848,026 3,641,177
------------- -------------
Net increase in net assets 9,656,184 22,430,721
Net Assets
Beginning of period 151,761,032 129,330,311
------------- -------------
End of period (including undistributed net investment income of $1,360,579
and $85,217, respectively) $161,417,216 $151,761,032
============= =============
</TABLE>
See Notes to Financial Statements
8
<PAGE>
Phoenix Worldwide Opportunities Fund
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
(Selected data for a share outstanding throughout the indicated period)
<TABLE>
<CAPTION>
Class A
---------------------------------------------------------------------------------------
Year Ended June 30,
1997 1996 1995 1994 1993
----------------------- ------------------- ------------------ ------------ -----------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period $ 10.29 $ 9.04 $ 10.17 $ 8.00 $ 7.18
Income from investment operations(6)
Net investment income (loss) 0.03(1) (0.02)(1) 0.01(1) 0.01 0.03
Net realized and unrealized gain 1.25 1.87 0.56 2.19 0.79
---------- ----------- ---------- -------- --------
Total from investment operations 1.28 1.85 0.57 2.20 0.82
---------- ----------- ---------- -------- --------
Less distributions:
Dividends from net investment income (0.04) -- -- (0.03) --
Dividends from net realized gains (0.78) (0.60) (1.37) -- --
In excess of net realized gains -- -- (0.33) -- --
---------- ----------- ---------- -------- --------
Total distributions (0.82) (0.60) (1.70) (0.03) --
---------- ----------- ---------- -------- --------
Change in net asset value 0.46 1.25 (1.13) 2.17 0.82
---------- ----------- ---------- -------- --------
Net asset value, end of period $ 10.75 $ 10.29 $ 9.04 $ 10.17 $ 8.00
========== =========== ========== ======== ========
Total return(2) 13.40% 21.39% 6.53% 27.46% 11.42%
Ratios/supplemental data:
Net assets, end of period (thousands) $ 153,005 $ 146,052 $ 126,481 $118,707 $ 88,870
Ratio to average net assets of:
Operating expenses 1.53% 1.60% 1.80% 1.50% 1.88%
Net investment income (loss) 0.34% (0.19)% 0.16% 0.09% 0.61%
Portfolio turnover 234% 245% 277% 259% 95%
Average commission rate paid(5) $ 0.0180 N/A N/A N/A N/A
</TABLE>
<TABLE>
<CAPTION>
Class B
----------------------------------------------------------
From
Inception
Year Ended June 30, 7/15/94 to
1997 1996 6/30/95
---------- ----------- ----------
<S> <C> <C> <C>
Net asset value, beginning of period $ 10.14 $ 8.98 $ 10.40
Income from investment operations(6)
Net investment income (loss) (0.03)(1) (0.08)(1) (0.02)(1)
Net realized and unrealized gain 1.21 1.84 0.30
---------- ----------- ----------
Total from investment operations 1.18 1.76 0.28
---------- ----------- ----------
Less distributions:
Dividends from net investment income (0.01) -- --
Dividends from net realized gains (0.78) (0.60) (1.37)
In excess of net realized gains -- -- (0.33)
---------- ----------- ----------
Total distributions (0.79) (0.60) (1.70)
---------- ----------- ----------
Change in net asset value 0.39 1.16 (1.42)
---------- ----------- ----------
Net asset value, end of period $ 10.53 $ 10.14 $ 8.98
========== =========== ==========
Total return(2) 12.46% 20.50% 3.54%(3)
Ratios/supplemental data:
Net assets, end of period (thousands) $ 8,412 $ 5,709 $ 2,849
Ratio to average net assets of:
Operating expenses 2.29% 2.34% 2.61% (4)
Net investment income (loss) (0.35)% (0.86)% (0.33)%(4)
Portfolio turnover 234% 245% 277%
Average commission rate paid(5) $ 0.0180 N/A N/A
</TABLE>
(1) Computed using average shares outstanding.
(2) Maximum sales load is not reflected in the total return calculation.
(3) Not annualized
(4) Annualized
(5) For fiscal years beginning on or after September 1, 1995, a fund is
required to disclose its average commission rate per share for securities
trades on which commissions are charged. This rate generally does not
reflect mark-ups, mark-downs, or spreads on shares traded on a principal
basis.
(6) Distributions are made in accordance with the prospectus; however, class
level per share income from investment operations may vary from anticipated
results depending on the timing of share purchases and redemptions.
See Notes to Financial Statements
9
<PAGE>
PHOENIX WORLDWIDE OPPORTUNITIES FUND
NOTES TO FINANCIAL STATEMENTS
June 30, 1997
1. SIGNIFICANT ACCOUNTING POLICIES
Phoenix Worldwide Opportunities Fund ("the Fund") is organized as a
Massachusetts business trust and is registered under the Investment Company Act
of 1940, as amended, as a diversified, open-end management investment company.
The Fund's investment objective is capital appreciation by investing in equity
securities of domestic and non-U.S. issuers. The Fund offers both Class A and
Class B shares. Class A shares are sold with a front-end sales charge of up to
4.75%. Class B shares are sold with a contingent deferred sales charge which
declines from 5% to zero depending on the period of time the shares are held.
Both classes of shares have identical voting, dividend, liquidation and other
rights and the same terms and conditions, except that each class bears different
distribution expenses and has exclusive voting rights with respect to its
distribution plan. Income and expenses of the Fund are borne pro rata by the
holders of both classes of shares, except that each class bears distribution
expenses unique to that class.
The following is a summary of significant accounting policies consistently
followed by the Fund in the preparation of its financial statements. The
preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts of assets, liabilities, revenues and expenses.
Actual results could differ from those estimates.
A. Security valuation:
Equity securities are valued at the last sale price, or if there had been
no sale of the security on that day, at the last bid price. Short-term
investments having a remaining maturity of 60 days or less are valued at
amortized cost which approximates market. All other securities and assets are
valued at their fair value as determined in good faith by or under the direction
of the Trustees.
B. Security transactions and related income:
Security transactions are recorded on the trade date. Dividend income is
recorded on the ex-dividend date, or in the case of certain foreign securities,
as soon as the Fund is notified. Realized gains and losses from investment
transactions are reported on the identified cost basis.
C. Income taxes:
It is the policy of the Fund to comply with the requirements of the
Internal Revenue Code (the "Code"), applicable to regulated investment
companies, and to distribute substantially all of its taxable income to its
shareholders. In addition, the Fund intends to distribute an amount sufficient
to avoid imposition of any excise tax under Section 4982 of the Code. Therefore,
no provision for federal income taxes or excise taxes has been made.
D. Distributions to shareholders:
Distributions to shareholders are recorded on the ex-dividend date. Income and
capital gain distributions are determined in accordance with income tax
regulations which may differ from generally accepted accounting principles.
These differences include the treatment of non-taxable dividends, expiring
capital loss carryforwards, foreign currency gain/loss, partnerships, and losses
deferred due to wash sales and excise tax regulations. Permanent book and tax
basis differences relating to shareholder distributions will result in
reclassifications to paid in capital.
E. Foreign currency translation:
Foreign securities and other assets and liabilities are valued using the
foreign currency exchange rate effective at the end of the reporting period.
Cost of investments is translated at the currency exchange rate effective at the
trade date. The gain or loss resulting from a change in currency exchange rates
between the trade and settlement dates of a portfolio transaction is treated as
a gain or loss on foreign currency. Likewise, the gain or loss resulting from a
change in currency exchange rates between the date income is accrued and paid is
treated as a gain or loss on foreign currency. The Fund does not separate that
portion of the results of operations arising from changes in exchange rates and
that portion arising from changes in the market prices of securities.
F. Forward currency contracts:
The Fund may enter into forward currency contracts in conjunction with the
planned purchase or sale of foreign denominated securities in order to hedge the
U.S. dollar cost or proceeds and to manage the Fund's currency exposure. Forward
currency contracts involve, to varying degrees, elements of market risk in
excess of the amount recognized in the statement of assets and liabilities.
Risks arise from the possible movements in foreign exchange rates or if the
counterparty does not perform under the contract.
A forward currency contract involves an obligation to purchase or sell a
specific currency at a future date, which may be any number of days from the
date of the contract agreed upon by the parties, at a price set at the time of
the contract. These contracts are traded directly between currency traders and
their customers. The contract is marked-to-market daily and the change in market
value is
10
<PAGE>
PHOENIX WORLDWIDE OPPORTUNITIES FUND
NOTES TO FINANCIAL STATEMENTS
June 30, 1997 (Continued)
recorded by the Fund as an unrealized gain (or loss). When the contract is
closed or offset with the same counterparty, the Fund records a realized gain
(or loss) equal to the change in the value of the contract when it was opened
and the value at the time it was closed or offset.
2. INVESTMENT ADVISORY FEES AND RELATED PARTY TRANSACTIONS
As compensation for its services to the Fund, the Investment Adviser,
National Securities and Research Corporation, an indirect, majority-owned
subsidiary of Phoenix Home Life Mutual Insurance Company ("PHL"), is entitled to
a fee at an annual rate of 0.75% of the average daily net assets of the Fund for
the first $1 billion.
As Distributor of the Fund's shares, Phoenix Equity Planning Corp.
("PEPCO"), an indirect majority-owned subsidiary of PHL, has advised the Fund
that it retained net selling commissions of $9,821 for Class A shares and
deferred sales charges of $22,283 for Class B shares for the year ended June 30,
1997. In addition, the Fund pays PEPCO a distribution fee at an annual rate of
0.25% for Class A shares and 1.00% for Class B shares of the average daily net
assets of the Fund. The Distribution Plan for Class A shares provides for fees
to be paid up to a maximum on an annual basis of 0.30%; the Distributor has
voluntarily agreed to limit the fee to 0.25%. The Distributor has advised the
Fund that of the total amount expensed for the year ended June 30, 1997,
approximately $162,567 was retained by the Distributor, $254,382 was paid to
unaffiliated participants and $11,693 was paid to W.S. Griffith, an indirect
subsidiary of PHL.
As Financial Agent of the Fund, PEPCO received a fee for bookkeeping,
administration, and pricing services at an annual rate of 0.03% of the average
daily net assets of the Fund through December 31, 1996, and starting on January
1, 1997, at an annual rate of 0.05% of average daily net assets up to $100
million, 0.04% of average daily net assets of $100 million to $300 million,
0.03% of average daily net assets of $300 million through $500 million, and
0.015% of average daily net assets greater than $500 million; a minimum fee may
apply. PEPCO serves as the Fund's Transfer Agent with State Street Bank and
Trust Company as sub-transfer agent. For the year ended June 30, 1997, transfer
agent fees were $359,882 of which PEPCO retained $137,131 which is net of the
fees paid to State Street.
At June 30, 1997, PHL and affiliates held 171 Class A shares and 1 Class B
share of the Fund with a combined value of $1,853.
3. PURCHASE AND SALE OF SECURITIES
Portfolio purchases and sales of investments, excluding short-term
securities, for the year ended June 30, 1997, aggregated $308,758,822 and
$307,198,933 respectively. There were no purchases or sales of long-term U.S.
Government securities.
4. FORWARD CURRENCY CONTRACTS
As of June 30, 1997, the Fund had entered into the following forward
currency contract which contractually obligates the Fund to deliver currencies
at specified dates:
Net
Contracts In Unrealized
to Exchange Settlement Appreciation
Deliver For Date Value (Depreciation)
- -------------- --------------- ------------ ------------ ---------------
FL 8,630,000 USD 4,488,013 8/1/97 $4,402,090 $85,923
========
FL = Dutch Florin
USD = U.S. Dollar
5. CREDIT RISK
In countries with limited or developing markets, investments may present
greater risks than in more developed markets and the prices of such investments
may be volatile. The consequences of political, social or economic changes in
these markets may have disruptive effects on the market prices of these
investments and the income they generate, as well as a fund's ability to
repatriate such amounts.
6. RECLASS OF CAPITAL ACCOUNTS
The Fund has recorded several reclassifications in the capital accounts.
These reclassifications have no impact on the net asset value of the Fund and
are designed generally to present undistributed income and realized gains on a
tax basis which is considered to be more informative to the shareholder. For the
year ended June 30, 1997, the Fund has increased undistributed net investment
income by $1,397,324 and decreased accumulated net realized gains by $1,397,324.
TAX INFORMATION NOTICE (UNAUDITED)
For the fiscal year ended June 30, 1997, the Fund distributed long-term
capital gains dividends of $2,975,241.
11
<PAGE>
REPORT OF INDEPENDENT ACCOUNTANTS
[LOGO] Price Waterhouse LLP
To the Trustees and Shareholders of
Phoenix Worldwide Opportunities Fund
In our opinion, the accompanying statement of assets and liabilities, including
the schedule of investments (except for bond ratings), and the related
statements of operations and of changes in net assets and the financial
highlights present fairly, in all material respects, the financial position of
Phoenix Worldwide Opportunities Fund (the "Fund") at June 30, 1997, the results
of its operations for the year then ended, the changes in its net assets for
each of the two years in the period then ended and the financial highlights for
each of the periods indicated, in conformity with generally accepted accounting
principles. These financial statements and financial highlights (hereafter
referred to as "financial statements") are the responsibility of the Fund's
management; our responsibility is to express an opinion on these financial
statements based on our audits. We conducted our audits of these financial
statements in accordance with generally accepted auditing standards which
require that we plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements, assessing the accounting principles
used and significant estimates made by management, and evaluating the overall
financial statement presentation. We believe that our audits, which included
confirmation of securities at June 30, 1997 by correspondence with the custodian
and brokers, provide a reasonable basis for the opinion expressed above.
/s/ Price Waterhouse LLP
Boston, Massachusetts
August 6, 1997
12
<PAGE>
PHOENIX WORLDWIDE OPPORTUNITIES FUND
101 Munson Street
Greenfield, Massachusetts 01301
Trustees
C. Duane Blinn
Robert Chesek
E. Virgil Conway
Harry Dalzell-Payne
Francis E. Jeffries
Leroy Keith, Jr.
Philip R. McLoughlin
Everett L. Morris
James M. Oates
Calvin J. Pedersen
Philip R. Reynolds
Herbert Roth, Jr.
Richard E. Segerson
Lowell P. Weicker, Jr.
Officers
Philip R. McLoughlin, President
Michael E. Haylon, Executive Vice President
David R. Pepin, Executive Vice President
William J. Newman, Senior Vice President
Jeanne H. Dorey, Vice President
William E. Keen, III, Vice President
David Lui, Vice President
William R. Moyer, Vice President
Leonard J. Saltiel, Vice President
Nancy G. Curtiss, Treasurer
G. Jeffrey Bohne, Secretary
Investment Adviser
National Securities & Research Corporation
56 Prospect Street
Hartford, Connecticut 06115-0480
Principal Underwriter
Phoenix Equity Planning Corporation
100 Bright Meadow Boulevard
P.O. Box 2200
Enfield, Connecticut 06083-2200
Transfer Agent
Phoenix Equity Planning Corporation
100 Bright Meadow Boulevard
P.O. Box 2200
Enfield, Connecticut 06083-2200
Custodian
Brown Brothers Harriman & Co.
40 Water Street
Boston, Massachusetts 02109
Independent Accountants
Price Waterhouse LLP
160 Federal Street
Boston, Massachusetts 02110
13
<PAGE>
[back cover]
Phoenix Worldwide Opportunities Fund
PO Box 2200
Enfield CT 06083-2200
[logo] PHOENIX
DUFF & PHELPS
PDP 758 (8/97)
<TABLE> <S> <C>
<ARTICLE> 6
<SERIES>
<NUMBER> 001
<NAME> WORLDWIDE OPPORTUNITIES FUND CLASS A
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> JUN-30-1997
<PERIOD-START> JUL-01-1996
<PERIOD-END> JUN-30-1997
<INVESTMENTS-AT-COST> 137992
<INVESTMENTS-AT-VALUE> 158119
<RECEIVABLES> 6485
<ASSETS-OTHER> 103
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 164707
<PAYABLE-FOR-SECURITIES> 2067
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 1223
<TOTAL-LIABILITIES> 3290
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 126953
<SHARES-COMMON-STOCK> 14235
<SHARES-COMMON-PRIOR> 14190
<ACCUMULATED-NII-CURRENT> 1360
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 12893
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 20211
<NET-ASSETS> 161417
<DIVIDEND-INCOME> 1837
<INTEREST-INCOME> 1118
<OTHER-INCOME> (121)
<EXPENSES-NET> (2368)
<NET-INVESTMENT-INCOME> 466
<REALIZED-GAINS-CURRENT> 15785
<APPREC-INCREASE-CURRENT> 3210
<NET-CHANGE-FROM-OPS> 19461
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (588)
<DISTRIBUTIONS-OF-GAINS> (10601)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 7287
<NUMBER-OF-SHARES-REDEEMED> (8260)
<SHARES-REINVESTED> 1018
<NET-CHANGE-IN-ASSETS> 6953
<ACCUMULATED-NII-PRIOR> 85
<ACCUMULATED-GAINS-PRIOR> 9570
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 1137
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 2368
<AVERAGE-NET-ASSETS> 151639
<PER-SHARE-NAV-BEGIN> 10.29
<PER-SHARE-NII> 0.03
<PER-SHARE-GAIN-APPREC> 1.25
<PER-SHARE-DIVIDEND> (0.04)
<PER-SHARE-DISTRIBUTIONS> (0.78)
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 10.75
<EXPENSE-RATIO> 1.53
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<SERIES>
<NUMBER> 002
<NAME> WORLDWIDE OPPORTUNITIES FUND CLASS B
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> JUN-30-1997
<PERIOD-START> JUL-01-1996
<PERIOD-END> JUN-30-1997
<INVESTMENTS-AT-COST> 137992
<INVESTMENTS-AT-VALUE> 158119
<RECEIVABLES> 6485
<ASSETS-OTHER> 103
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 164707
<PAYABLE-FOR-SECURITIES> 2067
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 1223
<TOTAL-LIABILITIES> 3290
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 126953
<SHARES-COMMON-STOCK> 799
<SHARES-COMMON-PRIOR> 563
<ACCUMULATED-NII-CURRENT> 1360
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 12893
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 20211
<NET-ASSETS> 161417
<DIVIDEND-INCOME> 1837
<INTEREST-INCOME> 1118
<OTHER-INCOME> (121)
<EXPENSES-NET> (2368)
<NET-INVESTMENT-INCOME> 466
<REALIZED-GAINS-CURRENT> 15785
<APPREC-INCREASE-CURRENT> 3210
<NET-CHANGE-FROM-OPS> 19461
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (3)
<DISTRIBUTIONS-OF-GAINS> (464)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 295
<NUMBER-OF-SHARES-REDEEMED> (99)
<SHARES-REINVESTED> 40
<NET-CHANGE-IN-ASSETS> 2703
<ACCUMULATED-NII-PRIOR> 85
<ACCUMULATED-GAINS-PRIOR> 9570
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 1137
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 2368
<AVERAGE-NET-ASSETS> 151639
<PER-SHARE-NAV-BEGIN> 10.14
<PER-SHARE-NII> (0.03)
<PER-SHARE-GAIN-APPREC> 1.21
<PER-SHARE-DIVIDEND> (0.01)
<PER-SHARE-DISTRIBUTIONS> (0.78)
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 10.53
<EXPENSE-RATIO> 2.29
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
