<PAGE>
PHOENIX INVESTMENT PARTNERS
JUNE 30, 1999
ABERDEEN
ANNUAL REPORT
Phoenix-Aberdeen
Worldwide
Opportunities
Fund
[LOGO]
<PAGE>
PRESIDENT'S MESSAGE
DEAR SHAREHOLDER:
[PHOTO]
PHILIP MCLOUGHLIN
We are pleased to provide this annual report for the Phoenix-Aberdeen
Worldwide Opportunities Fund for the 12 months ended June 30, 1999. This year
has been a particularly volatile period for markets around the world, and we
realize that these dramatic up and down movements may have caused you some
concern. Perhaps the best way to deal with market fluctuations is to keep in
mind a few "basics of investing."
REMAIN FOCUSED ON YOUR LONG-TERM INVESTMENT STRATEGY. Redeeming an investment
when the market drops or a fund's share price falls can work against you over
time. You could miss out on opportunities for your investment to grow when the
market or the fund's share price begins to move up. And in the long run, that
could make a big difference in how successful you are in achieving your
financial goals.
DIVERSIFY YOUR PORTFOLIO. Spreading your investments among different asset
classes and investment styles helps reduce risk. If one type of investment
doesn't perform well over a certain time period, it may be offset by the good
results of another investment.
TAKE ADVANTAGE OF DOLLAR-COST AVERAGING. You can make market fluctuations work
to your advantage by investing a set amount of money at regular intervals. This
is called dollar-cost averaging, and it means that when prices are low you will
be buying more units and when prices are high, you'll buy fewer. Remember,
periodic investment plans do not assure a profit or protect against a loss in
declining markets. This type of plan involves continuous investments in
securities regardless of fluctuating price levels. Investors should consider
their financial ability to continue purchases through periods of low price
levels.
Our mission is to help you achieve your long-term financial goals. We believe
that by remaining true to our investment discipline, we will continue to add
value for our shareholders over the long term. Of course, past performance is
not a guarantee of future results.
If you have any questions, please contact your financial advisor or call us at
1-800-243-1574 (option 0), between 8:00 a.m. and 6:00 p.m. Eastern Time, Monday
through Friday.
Sincerely,
/s/ Philip R. McLoughlin
Philip R. McLoughlin
JULY 16, 1999
Mutual Funds are not insured by the FDIC; are not
deposits or other obligations of a bank and are not
guaranteed by a bank; and are subject to investment
risks, including possible loss of the principal
invested.
1
<PAGE>
PHOENIX-ABERDEEN WORLDWIDE OPPORTUNITIES FUND
A DISCUSSION WITH THE FUND'S PORTFOLIO MANAGEMENT TEAM
Q: WHAT IS THE FUND'S INVESTMENT OBJECTIVE?
A: The Fund is appropriate for investors seeking long-term capital appreciation
by investing primarily in a diversified portfolio of equity securities
throughout the world. The Fund essentially focuses on quality companies with
strong management, solid growth prospects and attractive relative valuations.
Investors should note that foreign investments pose added risks, such as
currency fluctuation, less public disclosure, as well as economic and political
risks.
Q: HOW DID THE FUND PERFORM DURING THIS VOLATILE MARKET ENVIRONMENT?
A: For the 12 months ended June 30, 1999, Class A shares returned 8.90% and
Class B shares returned 7.99% compared with a return of 15.67% for the Fund's
benchmark index, the MSCI World Index(1) (net of foreign dividends). All
performance figures assume reinvestment of distributions and exclude the effect
of sales charges.
Q: WHAT FACTORS MOST AFFECTED PERFORMANCE?
A: The Fund underperformed the benchmark because early in the year, the
portfolio was underweighted in the two regions that performed best, the United
States and Japan, and overweighted in the UK and Europe, which did not perform
as well. The strength of the Japanese yen helped the performance of our Japanese
holdings, while European performance was damaged by the significant weakness of
the euro against the dollar since the euro's inception in January 1999. In the
second half of last year, we reduced our very large overweighting in European
equities. This area had resulted in substantial outperformance, but we were
concerned that valuations had advanced too quickly in many instances. We decided
that it would be opportune to take profits in Europe and reinvest the proceeds
in the United States where we had been heavily underweighted and Japan where we
had previously no holdings. This strategy proved successful; however, the
changes that we made still resulted in an underweighted position in those
regions, albeit not as drastic as the previous situation.
Q: IS THE ASIAN CRISIS OVER?
A: We believe the Asian economies have now bottomed out, with many governments
raising their growth forecasts for the year. Inflation should not be a concern
in the major economies and the central banks should continue to keep interest
rates low in order to ignite domestic demand. Restructuring efforts are
continuing, although at a slower than desired pace. While we have seen a strong
resurgence in Asian stock markets, there are still some considerable risks
remaining: a possible Chinese currency devaluation; a deterioration of the
Japanese economy; any backtracking on economic reform. However, we continue to
believe that any pullback is a good buying opportunity as improving macro
fundamentals, restructuring, and corporate earnings will provide support for the
regional stock markets.
(1) THE MORGAN STANLEY CAPITAL INTERNATIONAL (MSCI) WORLD INDEX (NET OF FOREIGN
DIVIDENDS) IS AN UNMANAGED, COMMONLY USED MEASURE OF TOTAL RETURN GLOBAL
MARKET PERFORMANCE.
THE INDEX IS NOT AVAILABLE FOR DIRECT INVESTMENT.
2
<PAGE>
PHOENIX-ABERDEEN WORLDWIDE OPPORTUNITIES FUND (CONTINUED)
Q: WHAT IS YOUR OUTLOOK FOR THE FINANCIAL MARKETS?
A: The major surprise for financial markets over the first half of the year was
the much stronger-than-anticipated performance of the global economy. Although
global growth prospects have improved considerably, risks have not entirely
disappeared. Asia's two largest economies, Japan and China, remain beset with
severe structural problems, while U.S. financial imbalances continue to grow.
With U.S. domestic demand booming, the Asian demand cycle shaping up as a
classic `V' and virtually the rest of the world experiencing upgrades to growth
forecasts, the global economy is generally expected to expand by around 2 1/2% -
3% both this year and next. The main reason why 2000 will not show that much of
an improvement over the current year can be ascribed to Y2K spending borrowing
from next year's growth.
Unsurprisingly, with the much improved economic background, market concerns
have shifted, with risks of inflation replacing the worries of deflation. While
a cyclical upturn in prices is expected through next year, certainly as PPI
inflation reasserts itself, core inflation pressures will remain subdued.
Financial markets have reacted typically to the "growth surprises" with bond
yields rising sharply and industrial/cyclical economies and stocks recovering
strongly from their battering since the Asian crisis erupted in mid-1997. In the
immediate future there is little reason to expect any major changes to these
general trends. The Fed's message accompanying the recent 25 basis point hike in
the Fed Funds rate to 5.00% was interpreted by financial markets as inferring
that there would be no aggressive tightening of policy. If correct, bond markets
are unlikely to rally any further from their current 5.99% and pressure on bonds
is likely to build without evidence of slowing domestic demand. Even so,
enthusiasm on Wall Street could be extended with hopes of good profit growth,
further merger and acquisition activity and a Fed chairman seemingly well
disposed toward equity investors and expected to deliver only a modest
tightening of monetary policy. In much of the rest of the world, the need for a
more restrictive stance is some way off and indeed, monetary policy is either
loose or still loosening. Overall, such monetary conditions (allied to
recovering economies) present a propitious background for most equity markets
and for further outperformance by economically sensitive stocks, but a testing
time for bonds.
With the U.S. equity and bond markets initially both reacting favorably to
the Fed's latest move, there is now a greater rather than lesser chance of a
series of rate increases being required. The risk must be that the financial
markets underestimate the extent to which the Fed needs to raise rates, causing
further bond weakness at a time of already very extended U.S. valuations. Thus,
the risks to the U.S. markets are growing, and given the close correlation of
most leading equity markets, all world markets would be vulnerable to a U.S.
setback of any substance.
Q: WHAT ABOUT SPECIFIC AREAS OVERSEAS?
A: In Europe, a German recovery is now under way, which should be the catalyst
for improved relative performance from regional stock markets and the currency.
While UK valuations are no longer cheap, the technical position remains highly
supportive and investment bankers' powers of persuasion have shown few signs of
waning in UK boardrooms.
3
<PAGE>
PHOENIX-ABERDEEN WORLDWIDE OPPORTUNITIES FUND (CONTINUED)
In the Far East, Japan's longer-term prospects will benefit from the growing
acceptance of the new business model based on profitability, but near-term
economic worries remain. Asia Pacific (e.g. Hong Kong) is much less vulnerable
to U.S. developments with the freeing of most local currencies, and, while Latin
America is more exposed, debt spreads are already pricing in considerable risk.
With the U.S. tightening monetary policy, prospects outside the U.S. appear
more favorable. Liquidity should continue to drive Far Eastern and emerging
markets forward, while Europe remains our favored area.
JULY 14, 1999
4
<PAGE>
Phoenix-Aberdeen Worldwide Opportunities Fund
AVERAGE ANNUAL TOTAL RETURNS(1) PERIOD ENDING 6/30/99
<TABLE>
<CAPTION>
INCEPTION INCEPTION
1 YEAR 5 YEARS 10 YEARS TO 6/30/99 DATE
------ ------- -------- ----------- ----------
<S> <C> <C> <C> <C> <C>
Class A Shares at NAV(2) 8.90% 15.99% 11.77% 9.58% --
Class A Shares at POP(3) 3.73 14.86 11.23 9.45 --
Class B Shares at NAV(2) 7.99 -- -- 14.75 7/15/94
Class B Shares with CDSC(4) 4.66 -- -- 14.52 7/15/94
Class C Shares at NAV(2) -- -- -- 11.68 12/16/98
Class C Shares with CDSC(4) -- -- -- 10.79 12/16/98
MSCI World Index(8) 15.67 16.75 11.48 Note 5 Note 5
S&P 500 Stock Index(9) 22.71 27.93 18.78 Note 6 Note 6
</TABLE>
(1) Total returns are historical and include changes in share price and the
reinvestment of both dividends and capital gains distributions.
(2) NAV (Net Asset Value) total returns do not include the effect of any sales
charge.
(3) POP (Public Offering Price) total returns include the effect of the maximum
front-end 4.75% sales charge.
(4) CDSC (contingent deferred sales charge) is applied to redemptions of
certain classes of shares that do not have a sales charge applied at the
time of purchase. CDSC charges for B shares decline from 5% to 0% over a
five year period. CDSC charges for C shares are 1% in the first year and 0%
thereafter.
(5) Index performance is 16.61% for Class B (since 7/31/94) and 8.51% for Class
C (since 12/31/98).
(6) Index performance is 27.57% for Class B (since 7/15/94) and 18.77% for
Class C (since 12/16/98).
(7) This chart illustrates POP returns on Class A Shares for ten years. Returns
on Class B Shares will vary due to differing sales charges.
(8) The Morgan Stanley Capital International (MSCI) World Index (net of foreign
dividends) is an unmanaged, commonly used measure of total return global
market performance. The Index's performance does not reflect sales charges.
(9) The S&P 500 Index is an unmanaged commonly used measure of stock market
total return performance. The Index's performance does not reflect sales
charges.
All returns represent past performance which may not be indicative of
future performance. The investment return and principal value of an
investment will fluctuate so that an investor's shares, when redeemed, may
be worth more or less than their original cost.
GROWTH OF $10,000 PERIODS ENDING 6/30
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<CAPTION>
DATE PHOENIX-ABERDEEN WORLDWIDE OPPORTUNITIES CLASS A(7) MSCI WORLD INDEX(8) S&P 500 STOCK INDEX(9)
<S> <C> <C> <C>
06/30/89 9,525 10,000 10,000
06/30/90 9,733 10,709 11,632
06/30/91 9,220 10,185 12,493
06/30/92 9,721 10,615 14,174
06/30/93 10,831 12,393 16,103
06/30/94 13,805 13,663 16,319
06/30/95 14,707 15,120 20,579
06/30/96 17,852 17,908 25,954
06/30/97 20,244 21,897 34,974
06/30/98 26,611 25,626 45,571
06/30/99 28,979 29,641 55,919
</TABLE>
This Growth of $10,000 chart assumes an initial investment of $10,000 made on
6/30/89 in Class A shares and reflects the maximum sales charge of 4.75% on the
initial investment. Performance assumes dividends and capital gains are
reinvested. The performance of other share classes will be greater or less than
that shown based on differences in inception dates, fees and sales charges.
COUNTRY WEIGHTINGS 6/30/99
As a percentage of equity holdings
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<CAPTION>
<S> <C>
United States 34%
United Kingdom 14%
France 9%
Japan 6%
Germany 6%
Netherlands 4%
Sweden 4%
Other 23%
</TABLE>
5
<PAGE>
Phoenix-Aberdeen Worldwide Opportunities Fund
TEN LARGEST HOLDINGS AT JUNE 30, 1999 (AS A PERCENTAGE OF TOTAL NET ASSETS)
<TABLE>
<C> <S> <C>
1. Honeywell, Inc. 1.5%
SUPPLIES PRODUCTS, SYSTEMS AND SERVICES TO CONSERVE ENERGY AND
PROTECT THE ENVIRONMENT
2. AT&T Corp. 1.3%
PROVIDES VOICE, DATA AND VIDEO TELECOMMUNICATIONS SERVICES
3. United Overseas Bank Ltd. 1.2%
PROVIDES A FULL RANGE OF COMMERCIAL BANKING AND FINANCIAL SERVICES
WITHIN SINGAPORE
4. Citigroup, Inc. 1.1%
DIVERSIFIED FINANCIAL SERVICES HOLDING COMPANY
5. SLM Holding Corp. 1.1%
PROVIDES FUNDING AND SERVICING SUPPORT FOR HIGHER EDUCATION LOANS
6. Goodrich (B.F.) Co. (The) 1.1%
SUPPLIES SYSTEMS AND COMPONENTS PARTS FOR THE AEROSPACE INDUSTRY
7. Bank of America Corp. 1.1%
PROVIDES BANKING AND NON-BANKING FINANCIAL SERVICES
8. Diamonds Trust, Series I 1.1%
LONG TERM INVESTMENT TRUST
9. Waste Management, Inc. 1.0%
PROVIDES COLLECTION, TRANSFER, RECYCLING AND RESOURCE RECOVERY
SERVICES
10. Morgan (J.P.) & Co., Inc. 1.0%
GLOBAL FINANCIAL SERVICES FIRM
</TABLE>
INVESTMENTS AT JUNE 30, 1999
<TABLE>
<CAPTION>
SHARES VALUE
------------ -------------
<S> <C> <C> <C>
COMMON STOCKS -- 30.5%
UNITED STATES -- 30.5%
3Com Corp. (Computers
(Networking))(b)........................ 25,000 $ 667,187
AT&T Corp. (Telecommunications (Long
Distance)).............................. 49,000 2,734,813
Aetna, Inc. (Health Care (Managed
Care)).................................. 7,000 626,062
American International Group, Inc.
(Insurance (Multi-Line))................ 16,000 1,873,000
Atlantic Richfield Co. (Oil (Domestic
Integrated))............................ 9,400 785,488
Bank of America Corp. (Banks (Money
Center))................................ 30,000 2,199,375
Bank One Corp. (Banks (Major
Regional)).............................. 20,000 1,191,250
BellSouth Corp. (Telephone)............. 14,000 656,250
CIGNA Corp. (Insurance (Multi-Line)).... 12,000 1,068,000
Caterpillar, Inc. (Machinery
(Diversified)).......................... 25,000 1,500,000
Chase Manhattan Corp. (The) (Banks
(Money Center))......................... 18,000 1,559,250
Chubb Corp. (The) (Insurance (Property-
Casualty)).............................. 15,000 1,042,500
Ciena Corp. (Communications
Equipment)(b)........................... 55,000 1,660,312
Citigroup, Inc. (Financial
(Diversified)).......................... 49,000 2,327,500
Claire's Stores, Inc. (Retail
(Specialty))............................ 50,000 1,281,250
Corning, Inc. (Manufacturing
(Diversified)).......................... 5,000 350,625
Delphi Automotive Systems Corp. (Auto
Parts & Equipment)...................... 100,000 1,856,250
Diebold, Inc. (Manufacturing
(Specialized)).......................... 40,000 1,150,000
Eastman Kodak Co.
(Photography/Imaging)................... 23,000 1,558,250
<CAPTION>
SHARES VALUE
------------ -------------
<S> <C> <C> <C>
UNITED STATES--CONTINUED
Eaton Corp. (Manufacturing
(Diversified)).......................... 9,000 $ 828,000
First Data Corp. (Services (Data
Processing))............................ 25,000 1,223,438
GTE Corp. (Telephone)................... 13,000 984,750
General Electric Co. (Electrical
Equipment).............................. 14,000 1,582,000
Goodrich (B.F.) Co. (The)
(Aerospace/Defense)..................... 53,000 2,252,500
Hartford Financial Services Group, Inc.
(The) (Insurance (Multi-Line)).......... 20,000 1,166,250
Hershey Foods Corp. (Foods)............. 30,000 1,781,250
Honeywell, Inc. (Electrical
Equipment).............................. 27,000 3,128,625
Illinois Tool Works, Inc. (Manufacturing
(Diversified)).......................... 9,000 738,000
Intel Corp. (Electronics
(Semiconductors))....................... 30,000 1,785,000
International Paper Co. (Paper & Forest
Products)............................... 11,000 555,500
Mattel, Inc. (Leisure Time
(Products))............................. 49,000 1,295,437
MediaOne Group, Inc. (Broadcasting
(Television, Radio & Cable))(b)......... 15,000 1,115,625
Mellon Bank Corp. (Banks (Major
Regional)).............................. 16,400 596,550
Microsoft Corp. (Computers (Software &
Services))(b)........................... 6,000 541,125
Minnesota Mining & Manufacturing Co.
(Manufacturing (Diversified))........... 13,000 1,130,188
Monsanto Co. (Chemicals
(Diversified)).......................... 35,000 1,380,312
Morgan (J.P.) & Co., Inc. (Banks (Money
Center))................................ 14,000 1,967,000
</TABLE>
6 See Notes to Financial Statements
<PAGE>
Phoenix-Aberdeen Worldwide Opportunities Fund
<TABLE>
<CAPTION>
SHARES VALUE
------------ -------------
<S> <C> <C> <C>
UNITED STATES--CONTINUED
Mylan Laboratories, Inc. (Health Care
(Generic and Other)).................... 50,000 $ 1,325,000
PepsiCo, Inc. (Beverages
(Non-Alcoholic))........................ 10,000 386,875
Praxair, Inc. (Chemicals)............... 12,000 587,250
Procter & Gamble Co. (The) (Household
Products (Non-Durable))................. 10,000 892,500
Royal Caribbean Cruises Ltd.
(Shipping).............................. 32,000 1,400,000
SBC Communications, Inc. (Telephone).... 22,000 1,276,000
SLM Holding Corp. (Financial
(Diversified)).......................... 50,000 2,290,625
UST, Inc. (Tobacco)..................... 20,000 585,000
Waste Management, Inc. (Waste
Management)............................. 40,000 2,150,000
Wells Fargo Co. (Banks (Major
Regional)).............................. 40,000 1,710,000
- ---------------------------------------------------------------------------------
TOTAL COMMON STOCKS
(IDENTIFIED COST $57,674,360) 62,742,162
- ---------------------------------------------------------------------------------
FOREIGN COMMON STOCKS -- 59.1%
ARGENTINA -- 0.2%
Perez Companc SA Sponsored ADR (Oil &
Gas (Exploration & Production))......... 22,000 255,233
Telecom Argentina SA Sponsored ADR
(Telecommunications (Long Distance)).... 6,400 171,200
-------------
426,433
-------------
AUSTRALIA -- 1.0%
Australian Gas Light Co., Ltd. (Natural
Gas).................................... 150,000 912,461
QBE Insurance Group Ltd. (Insurance
(Property-Casualty)).................... 293,000 1,115,175
-------------
2,027,636
-------------
BRAZIL -- 1.4%
Embratel Participacoes SA ADR
(Telephone)............................. 25,000 346,875
Tele Centro Sul Participacoes SA ADR
(Telephone)............................. 6,500 360,750
Tele Norte Leste Participacoes SA ADR
(Telephone)............................. 34,000 631,125
Tele Sudeste Celular Participacoes SA
ADR (Telecommunications
(Cellular/Wireless)).................... 17,000 493,000
Telesp Celular Participacoes SA ADR
(Telecommunications
(Cellular/Wireless)).................... 20,000 535,000
<CAPTION>
SHARES VALUE
------------ -------------
<S> <C> <C> <C>
BRAZIL--CONTINUED
Telesp Participacoes SA ADR
(Telephone)............................. 21,000 $ 480,375
-------------
2,847,125
-------------
CANADA -- 0.4%
Newbridge Networks Corp. (Canada)
(Communications Equipment)(b)........... 29,000 833,750
DENMARK -- 0.9%
Danisco A/S (Foods)..................... 13,800 623,629
Tele Danmark A/S (Telephone)............ 25,202 1,240,515
-------------
1,864,144
-------------
FINLAND -- 1.3%
Nokia Oyj Class A (Communications
Equipment).............................. 19,430 1,703,191
Stora Enso Oyj (Paper & Forest
Products)............................... 48,295 517,973
UPM-Kymmene Oyj (Paper & Forest
Products)............................... 15,980 458,135
-------------
2,679,299
-------------
FRANCE -- 7.8%
Air Liquide (Chemicals (Specialty))..... 3,630 570,884
Alcatel SA ADR (Communications
Equipment).............................. 55,000 1,560,625
Alstom (Engineering & Construction)..... 49,085 1,543,904
Axa (Insurance (Multi-Line))............ 6,632 809,097
Canal Plus (Broadcasting (Television,
Radio & Cable))......................... 1,000 280,608
Carrefour SA (Retail (Food Chains))..... 5,112 751,238
Castorama Dubois (Retail (Building
Supplies)).............................. 3,411 809,061
Coflexip SA (Metal Fabricators)......... 8,255 708,717
Compagnie de Saint Gobain (Manufacturing
(Diversified)).......................... 1,800 286,796
Dexia France (Banks (Major Regional))... 3,379 452,308
Elf Aquitaine SA (Oil (International
Integrated))............................ 6,812 999,657
Groupe Danone (Foods)................... 1,988 512,540
Lafarge SA (Construction (Cement &
Aggregates))............................ 9,101 865,350
Pechiney SA Class A (Containers &
Packaging (Paper))...................... 20,548 883,220
Renault SA (Automobiles)................ 19,966 868,911
Rhodia SA (Chemicals (Specialty))....... 33,737 640,171
Schneider SA (Electrical Equipment)..... 5,000 280,763
Societe Generale Class A (Banks (Major
Regional)).............................. 5,069 893,379
</TABLE>
See Notes to Financial Statements 7
<PAGE>
Phoenix-Aberdeen Worldwide Opportunities Fund
<TABLE>
<CAPTION>
SHARES VALUE
------------ -------------
<S> <C> <C> <C>
FRANCE--CONTINUED
Total Fina SA Class B (Oil & Gas
(Refining & Marketing))................. 6,958 $ 897,663
Valeo SA (Auto Parts & Equipment)....... 8,900 734,263
Vivendi (Manufacturing (Diversified))... 9,500 769,558
-------------
16,118,713
-------------
GERMANY -- 5.2%
Allianz AG Vinkulierte Registered Shares
(Insurance (Multi-Line))................ 3,000 832,233
BASF AG (Chemicals (Diversified))....... 14,973 661,654
Bayer AG (Chemicals (Diversified))...... 14,300 595,784
Bayerische Motoren Werke AG
(Automobiles)........................... 1,181 812,358
Bayerische Vereinsbank AG (Banks (Major
Regional)).............................. 11,975 778,014
Bewag AG (Electric Companies)........... 19,591 302,043
DaimlerChrysler AG (Automobiles)........ 12,658 1,096,518
Deutsche Bank AG (Banks (Major
Regional)).............................. 11,300 689,294
Deutsche Lufthansa AG (Airlines)........ 44,273 802,656
Mannesmann AG (Manufacturing
(Diversified)).......................... 7,032 1,049,347
Metro AG (Retail (Specialty))........... 11,997 744,802
Muenchener Rueckversicherungs New Shares
(Insurance (Multi-Line))(b)............. 2,637 481,343
Muenchener
Rueckversicherungs-Gesellschaft AG
(Insurance (Multi-Line))................ 2,637 488,142
RWE AG (Manufacturing (Diversified)).... 12,162 563,023
SAP AG Sponsored ADR (Germany)
(Computers (Software & Services))....... 23,000 796,375
-------------
10,693,586
-------------
GREECE -- 0.4%
Alpha Credit Bank (Banks (Major
Regional)).............................. 5,886 379,428
Hellenic Telecommunications Organization
SA (Telephone).......................... 18,700 400,829
-------------
780,257
-------------
HONG KONG -- 1.2%
Hongkong Electric Holdings Ltd.
(Electric Companies).................... 350,000 1,127,779
Swire Pacific Ltd. Class B
(Manufacturing (Diversified))........... 1,760,000 1,315,700
-------------
2,443,479
-------------
<CAPTION>
SHARES VALUE
------------ -------------
<S> <C> <C> <C>
HUNGARY -- 0.4%
Magyar Tavkozlesi Rt Sponsored ADR
(Telecommunications (Long Distance)).... 17,900 $ 492,250
Mol Magyar Olaj-Es Gazipari Rt. (Oil
(Domestic Integrated)).................. 16,500 397,710
-------------
889,960
-------------
INDIA -- 0.5%
Mahanagar Telephone Nigam Ltd. GDR
(Telecommunications (Long Distance)).... 107,000 1,086,050
INDONESIA -- 0.3%
PT Indosat (Telecommunications (Long
Distance)).............................. 135,000 258,832
PT Indosat ADR (Telecommunications (Long
Distance)).............................. 22,000 429,000
-------------
687,832
-------------
ISRAEL -- 0.4%
Bank Hapoalim Ltd. (Banks (Major
Regional)).............................. 121,000 310,427
Koor Industries Ltd. (Manufacturing
(Diversified)).......................... 4,748 547,451
-------------
857,878
-------------
ITALY -- 1.5%
Assicurazioni Generali (Insurance
(Life/Health)).......................... 15,000 519,759
Banca Intesa SPA (Banks (Major
Regional)).............................. 307,458 688,045
San Paolo-IMI SPA (Banks (Major
Regional)).............................. 43,969 598,538
Telecom Italia Mobile SPA
(Telecommunications
(Cellular/Wireless)).................... 98,673 589,181
Telecom Italia SPA (Telephone).......... 66,958 696,041
-------------
3,091,564
-------------
JAPAN -- 5.6%
77 Bank Ltd. (The) (Banks (Major
Regional)).............................. 55,000 481,674
Canon, Inc. (Office Equipment &
Supplies)............................... 15,000 431,276
Dai Nippon Printing Co., Ltd. (Specialty
Printing)............................... 35,000 559,544
Fuji Photo Film Co.
(Photography/Imaging)................... 13,000 491,919
Hitachi Credit Corp. (Consumer
Finance)................................ 30,000 593,624
Ito-Yokado Co., Ltd. (Retail (Food
Chains))................................ 10,000 669,222
Kao Corp. (Household Products
(Non-Durable)).......................... 20,000 561,816
Kawasumi Laboratories, Inc. (Health Care
(Medical Products & Supplies)).......... 30,000 448,626
Kirin Beverage Corp. (Beverages
(Alcoholic))............................ 32,000 573,713
Mabuchi Motor Co., Ltd. (Electrical
Equipment).............................. 8,000 743,579
Nippon COMSYS Corp. (Engineering &
Construction)........................... 35,000 568,219
</TABLE>
8 See Notes to Financial Statements
<PAGE>
Phoenix-Aberdeen Worldwide Opportunities Fund
<TABLE>
<CAPTION>
SHARES VALUE
------------ -------------
<S> <C> <C> <C>
JAPAN--CONTINUED
Nippon Telegraph & Telephone Corp.
(Telephone)............................. 50 $ 582,471
Rinnai Corp. (Household Furnishings &
Appliances)............................. 35,000 803,892
Rohm Co., Ltd (Electronics
(Semiconductors))....................... 5,000 782,824
Sanwa Bank Ltd. (The) (Banks (Major
Regional)).............................. 68,000 669,122
Secom Co., Ltd. (Services (Commercial &
Consumer)).............................. 6,000 624,607
Shin-Etsu Chemical Co., Ltd. (Chemicals
(Specialty))............................ 18,000 602,299
Suzuki Motor Corp. (Automobiles)........ 40,000 636,174
Takeda Chemical Industries (Health Care
(Drugs-Major Pharmaceuticals)).......... 14,000 648,897
-------------
11,473,498
-------------
MALAYSIA -- 0.2%
Carlsberg Brewery Malaysia Berhad
(Beverages (Alcoholic))(c).............. 100,000 255,924
Malaysian Oxygen Berhad (Chemicals
(Specialty))(c)......................... 61,000 130,095
-------------
386,019
-------------
MEXICO -- 1.2%
Cemex SA de CV Class B Sponsored ADR
(Construction (Cement & Aggregates)).... 55,000 543,730
Coca-Cola Femsa SA Sponsored ADR
(Beverages (Non-Alcoholic))(b).......... 43,000 833,125
Grupo Televisa SA Sponsored GDR
(Broadcasting (Television, Radio &
Cable))(b).............................. 14,500 649,781
Telefonos de Mexico SA Sponsored ADR
Class L (Telecommunications (Long
Distance)).............................. 5,000 404,063
-------------
2,430,699
-------------
NETHERLANDS -- 3.9%
ASM Lithography Holding NV (Equipment
(Semiconductor))(b)..................... 10,473 605,906
Benckiser NV B (Household Products (Non-
Durable))............................... 18,447 984,482
Elsevier NV (Publishing)................ 33,311 386,466
Equant NV (Services (Data
Processing))(b)......................... 8,618 794,540
<CAPTION>
SHARES VALUE
------------ -------------
<S> <C> <C> <C>
NETHERLANDS--CONTINUED
Fortis (NL) NV (Financial
(Diversified)).......................... 22,750 $ 702,667
Getronics NV (Services (Data
Processing))............................ 13,824 531,758
IHC Caland NV (Oil & Gas (Drilling &
Equipment))............................. 10,480 410,692
ING Groep NV (Banks (Money Center))..... 15,000 812,124
KPN NV (Telephone)...................... 9,386 440,416
Koninklijke (Royal) Philips Electronics
NV (Electronics (Component
Distributors)).......................... 4,100 404,427
Royal Dutch Petroleum Co. (Oil (Domestic
Integrated))............................ 23,734 1,390,243
VNU NV (Publishing)..................... 12,949 517,463
-------------
7,981,184
-------------
NEW ZEALAND -- 0.2%
Telecom Corporation of New Zealand Ltd.
(Telephone)............................. 75,000 321,926
PHILIPPINES -- 0.5%
Ayala Land, Inc. (Financial
(Diversified)).......................... 1,000,000 315,384
Philippine Long Distance Telephone Co.
Sponsored ADR (Telecommunications (Long
Distance)).............................. 22,000 662,750
-------------
978,134
-------------
POLAND -- 0.3%
Elektrim Spolka Akcyjna SA (Distributors
(Food & Health))........................ 39,800 563,012
SINGAPORE -- 1.2%
United Overseas Bank Ltd. (Banks (Major
Regional)).............................. 360,000 2,516,344
SOUTH AFRICA -- 0.7%
Anglo American PLC (Metals Mining)(b)... 8,360 390,685
BOE Ltd. (Financial (Diversified))...... 178,930 177,912
Liberty International PLC (Financial
(Diversified)).......................... 15,280 106,858
Liberty Life Association of Africa
(Insurance (Life/ Health)).............. 32,530 416,711
Metro Cash and Carry Ltd. (Retail
(Specialty))............................ 535,000 443,298
-------------
1,535,464
-------------
SOUTH KOREA -- 0.6%
Kookmin Bank (Banks (Major Regional))... 18,000 365,454
</TABLE>
See Notes to Financial Statements 9
<PAGE>
Phoenix-Aberdeen Worldwide Opportunities Fund
<TABLE>
<CAPTION>
SHARES VALUE
------------ -------------
<S> <C> <C> <C>
SOUTH KOREA--CONTINUED
Pohang Iron & Steel Co. Ltd. (Iron &
Steel).................................. 8,000 $ 961,102
-------------
1,326,556
-------------
SPAIN -- 2.0%
Argentaria, Caja Postal y Banco
Hipotecario de Espana SA (Banks (Major
Regional)).............................. 23,626 538,217
Banco Popular Espanol SA (Banks (Major
Regional)).............................. 13,593 977,757
Banco Santander Central Hispano SA
(Banks (Major Regional))................ 68,236 710,733
Iberdrola SA (Electric Companies)....... 30,099 458,463
Repsol SA (Oil & Gas (Refining &
Marketing))............................. 30,000 612,573
Telefonica SA (Telephone)(b)............ 16,606 799,920
-------------
4,097,663
-------------
SWEDEN -- 3.8%
AstraZeneca Group PLC (Health Care
(Drugs-Major Pharmaceuticals)).......... 28,355 1,103,951
Electrolux AB (Household Furnishings &
Appliances)............................. 42,288 885,379
Mandamus AB (Real Estate Development)... 1,083 5,732
SSAB Svenskt Stal AB Series A (Iron &
Steel).................................. 24,500 306,908
Sandvik AB Class B (Machinery
(Diversified)).......................... 13,600 300,738
Skandia Forsakrings AB (Insurance
(Life/Health)).......................... 75,732 1,416,344
Skandinaviska Enskilda Banken Class A
(Banks (Major Regional))................ 73,358 854,230
Telefonaktiebolaget LM Ericsson Class B
(Communications Equipment).............. 38,345 1,229,044
Telefonaktiebolaget LM Ericsson
Sponsored ADR (Communications
Equipment).............................. 55,000 1,811,563
-------------
7,913,889
-------------
SWITZERLAND -- 3.4%
Credit Suisse Group (Banks (Major
Regional)).............................. 3,900 674,840
Nestle SA (Foods)....................... 689 1,241,414
Novartis AG Registered Shares (Health
Care (Drugs-Major Pharmaceuticals))..... 1,124 1,641,256
Roche Holding AG (Health Care
(Drugs-Major Pharmaceuticals)).......... 129 1,326,022
<CAPTION>
SHARES VALUE
------------ -------------
<S> <C> <C> <C>
SWITZERLAND--CONTINUED
UBS AG (Banks (Major Regional))......... 4,784 $ 1,427,885
Zurich Allied AG (Financial
(Diversified)).......................... 1,082 615,267
-------------
6,926,684
-------------
TAIWAN -- 0.2%
Standard Foods Taiwan Ltd. GDR
(Foods)(b).............................. 39,913 313,317
TURKEY -- 0.3%
Yapi ve Kredi Bankasi AS (Banks (Major
Regional)).............................. 20,600,000 297,768
Yapi ve Kredi Bankasi AS (Banks (Major
Regional))(d)........................... 17,600,000 233,551
-------------
531,319
-------------
UNITED KINGDOM -- 12.1%
3i Group PLC (Investment
Banking/Brokerage)...................... 57,501 653,956
BG PLC (Natural Gas).................... 70,472 430,452
BOC Group PLC (Chemicals (Specialty))... 16,347 319,519
Bank of Scotland (Banks (Major
Regional)).............................. 50,239 665,207
Barclays PLC (Banks (Major Regional))... 27,546 801,543
Bass PLC (Beverages (Alcoholic))........ 21,410 310,654
Berkeley Group PLC (The)
(Homebuilding).......................... 35,000 419,846
British Aerospace PLC
(Aerospace/Defense)..................... 72,113 468,041
British American Tobacco PLC
(Tobacco)............................... 30,993 291,414
British Petroleum Co. PLC (Oil (Domestic
Integrated))............................ 98,083 1,757,887
British Telecommunications PLC
(Telephone)............................. 71,277 1,194,317
Cable & Wireless PLC (Telephone)........ 40,554 516,833
Compass Group PLC (Services (Commercial
& Consumer))............................ 42,604 422,414
Debenhams PLC (Retail (Department
Stores))................................ 34,336 230,566
FirstGroup PLC (Services (Commercial &
Consumer)).............................. 57,000 311,326
GKN PLC (Auto Parts & Equipment)........ 25,243 430,930
Glaxo Wellcome PLC (Health Care
(Drugs-Major Pharmaceuticals)).......... 42,927 1,192,943
Granada Group PLC (Broadcasting
(Television, Radio & Cable))............ 17,208 319,259
HSBC Holdings PLC (Financial
(Diversified)).......................... 25,229 893,593
Hilton Group PLC (Gaming, Lottery &
Pari-mutuel Companies).................. 77,832 308,555
</TABLE>
10 See Notes to Financial Statements
<PAGE>
Phoenix-Aberdeen Worldwide Opportunities Fund
<TABLE>
<CAPTION>
SHARES VALUE
------------ -------------
<S> <C> <C> <C>
UNITED KINGDOM--CONTINUED
Kingfisher PLC (Retail (Specialty))..... 49,231 $ 566,498
Legal & General Group PLC (Insurance
(Multi-Line))........................... 218,538 556,335
Lloyds TSB Group PLC (Financial
(Diversified)).......................... 85,500 1,159,048
Logica PLC (Services (Data
Processing))............................ 36,500 382,606
National Westminster Bank PLC (Banks
(Major Regional))....................... 39,912 846,180
Norwich Union PLC (Insurance
(Life/Health)).......................... 60,342 409,239
PowerGen PLC (Electric Companies)....... 34,120 367,876
RMC Group PLC (Construction (Cement &
Aggregates))............................ 27,183 436,625
Reuters Holdings Group PLC
(Publishing)............................ 49,434 650,263
Rio Tinto PLC (Metals Mining)........... 25,481 427,160
Royal & Sun Alliance Insurance Group PLC
(Insurance (Multi-Line))................ 62,000 556,084
Schroders PLC (Investment
Banking/Brokerage)...................... 16,476 336,584
Serco Group PLC (Services (Commercial &
Consumer)).............................. 9,253 208,572
Shell Transport & Trading Co. PLC (Oil
(Domestic Integrated)).................. 97,741 732,980
Invensys Siebe PLC (Machinery
(Diversified)).......................... 93,675 443,347
SmithKline Beecham PLC (Health Care
(Drugs-Major Pharmaceuticals)).......... 64,136 833,546
Tesco PLC (Retail (Food Chains))........ 202,070 519,986
Thames Water PLC (Water Utilities)...... 22,007 348,976
Unilever PLC (Foods).................... 37,757 335,968
Vodafone Group PLC (Telecommunications
(Cellular/Wireless)).................... 75,203 1,481,774
Woolwich PLC (Consumer Finance)......... 50,194 293,735
AstraZeneca Group PLC (Health Care
(Drugs-Major Pharmaceuticals)).......... 29,358 1,135,633
-------------
24,968,270
-------------
- ---------------------------------------------------------------------------------
TOTAL FOREIGN COMMON STOCKS
(IDENTIFIED COST $108,893,050) 121,591,684
- ---------------------------------------------------------------------------------
<CAPTION>
SHARES VALUE
------------ -------------
<S> <C> <C> <C>
WARRANTS -- 0.0%
GERMANY -- 0.0%
Muenchener
Rueckversicherungs-Gesellschaft AG
Warrants (Insurance (Multi-Line))(b).... 94 $ 2,811
- ---------------------------------------------------------------------------------
TOTAL WARRANTS
(IDENTIFIED COST $0) 2,811
- ---------------------------------------------------------------------------------
UNIT INVESTMENT TRUSTS -- 3.0%
Diamonds Trust, Series I................ 20,000 2,187,500
NASDAQ - 100 Shares..................... 5,000 575,312
S&P 400 Mid-Cap Depository Receipts..... 22,000 1,724,250
S&P 500 Depository Receipts............. 13,000 1,780,391
- ---------------------------------------------------------------------------------
TOTAL UNIT INVESTMENT TRUSTS
(IDENTIFIED COST $6,194,336) 6,267,453
- ---------------------------------------------------------------------------------
TOTAL LONG-TERM INVESTMENTS --92.6%
(IDENTIFIED COST $172,761,746) 190,604,110
- ---------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
STANDARD
& POOR'S PAR
RATING VALUE
(unaudited) (000)
--------- ---------
<S> <C> <C> <C>
SHORT-TERM OBLIGATIONS -- 6.9%
COMMERCIAL PAPER -- 6.9%
Corporate Asset Funding Co., Inc.
5.55%, 7/1/99....................... A-1+ $ 1,835 1,835,000
Corporate Asset Funding Co., Inc.
5.87%, 7/1/99....................... A-1+ 1,600 1,600,000
Exxon Imperial Funding U.S., Inc.
5.20%, 7/1/99....................... A-1+ 4,675 4,675,000
Koch Industries, Inc. 5.80%,
7/1/99.............................. A-1+ 1,500 1,500,000
</TABLE>
See Notes to Financial Statements 11
<PAGE>
Phoenix-Aberdeen Worldwide Opportunities Fund
<TABLE>
<CAPTION>
STANDARD
& POOR'S PAR
RATING VALUE
(unaudited) (000) VALUE
--------- --------- --------------
<S> <C> <C> <C>
COMMERCIAL PAPER--CONTINUED
Ford Motor Credit Co. 5.41%,
7/2/99.............................. A-1 $ 4,640 $ 4,639,303
- ----------------------------------------------------------------------------
TOTAL SHORT-TERM OBLIGATIONS
(IDENTIFIED COST $14,249,303) 14,249,303
- ----------------------------------------------------------------------------
TOTAL INVESTMENTS --99.5%
(IDENTIFIED COST $187,011,049) 204,853,413(a)
Cash and receivables, less liabilities--0.5% 954,919
--------------
NET ASSETS--100.0% $ 205,808,332
--------------
--------------
</TABLE>
(a) Federal Income Tax Information: Net unrealized appreciation of investment
securities is comprised of gross appreciation of $22,594,021 and gross
depreciation of $5,333,246 for federal income tax purposes. At June 30,
1999, the aggregate cost of securities for federal income tax purposes was
$187,592,638.
(b) Non-income producing.
(c) Security valued at fair value as determined in good faith by or under the
direction of the Trustees.
(d) Non-tradable bonus shares.
12
See Notes to Financial Statements
<PAGE>
Phoenix-Aberdeen Worldwide Opportunities Fund
INDUSTRY DIVERSIFICATION
AS A PERCENTAGE OF TOTAL VALUE OF
TOTAL LONG-TERM INVESTMENTS
(UNAUDITED)
<TABLE>
<S> <C>
Aerospace/Defense....................... 1.5
Airlines................................ 0.4
Auto Parts & Equipment.................. 1.6
Automobiles............................. 1.9
Banks (Major Regional).................. 11.0
Banks (Money Center).................... 3.5
Beverages (Alcoholic)................... 0.6
Beverages (Non-Alcoholic)............... 0.7
Broadcasting (Television, Radio &
Cable).................................. 1.3
Chemicals............................... 0.3
Chemicals (Diversified)................. 1.4
Chemicals (Specialty)................... 1.2
Communications Equipment................ 4.9
Computers (Networking).................. 0.4
Computers (Software & Services)......... 0.7
Construction (Cement & Aggregates)...... 1.0
Consumer Finance........................ 0.5
Containers & Packaging (Paper).......... 0.5
Distributors (Food & Health)............ 0.3
Electric Companies...................... 1.2
Electrical Equipment.................... 3.1
Electronics (Component Distributors).... 0.2
Electronics (Semiconductors)............ 1.4
Engineering & Construction.............. 1.2
Equipment (Semiconductor)............... 0.3
Financial (Diversified)................. 4.7
Foods................................... 2.6
Gaming, Lottery & Pari-Mutuel
Companies............................... 0.2
Health Care (Drugs-Major
Pharmaceuticals)........................ 4.3
Health Care (Generic And Other)......... 0.7
Health Care (Managed Care).............. 0.3
Health Care (Medical Products &
Supplies)............................... 0.2
Homebuilding............................ 0.2
Household Furnishings & Appliances...... 0.9
Household Products (Non-Durable)........ 1.3
Insurance (Life/Health)................. 1.5
Insurance (Multi-Line).................. 4.2
Insurance (Property-Casualty)........... 1.2
Investment Banking/Brokerage............ 0.5
Iron & Steel............................ 0.7
Leisure Time (Products)................. 0.7
Machinery (Diversified)................. 1.2
Manufacturing (Diversified)............. 4.1
Manufacturing (Specialized)............. 0.6
Metal Fabricators....................... 0.4
Metals Mining........................... 0.4
Natural Gas............................. 0.7
Office Equipment & Supplies............. 0.2
Oil & Gas (Drilling & Equipment)........ 0.2
Oil & Gas (Exploration & Production).... 0.1
Oil & Gas (Refining & Marketing)........ 0.8
Oil (Domestic Integrated)............... 2.8
Oil (International Integrated).......... 0.5
Paper & Forest Products................. 0.8
Photography/Imaging..................... 1.1
Publishing.............................. 0.8
Real Estate Development................. 0.0
Retail (Building Supplies).............. 0.4
Retail (Department Stores).............. 0.1
Retail (Food Chains).................... 1.1
Retail (Specialty)...................... 1.7
Services (Commercial & Consumer)........ 0.9
Services (Data Processing).............. 1.7
Shipping................................ 0.8
Specialty Printing...................... 0.3
Telecommunications
(Cellular/Wireless)..................... 1.7
Telecommunications (Long Distance)...... 3.5
Telephone............................... 5.9
Tobacco................................. 0.5
Waste Management........................ 1.2
Water Utilities......................... 0.2
------
100.0%
------
------
</TABLE>
See Notes to Financial Statements 13
<PAGE>
Phoenix-Aberdeen Worldwide Opportunities Fund
STATEMENT OF ASSETS AND LIABILITIES
JUNE 30, 1999
<TABLE>
<S> <C>
ASSETS
Investment securities at value
(Identified cost $187,011,049) $ 204,853,413
Cash 9,758
Receivables
Investment securities sold 10,093,076
Fund shares sold 999,653
Dividends 270,727
Tax reclaim 118,266
Prepaid expenses 4,045
--------------
Total assets 216,348,938
--------------
LIABILITIES
Payables
Foreign currency at value (Identified cost $583) 588
Investment securities purchased 9,949,287
Fund shares repurchased 217,881
Investment advisory fee 124,087
Transfer agent fee 85,238
Distribution fee 49,390
Financial agent fee 16,457
Trustees' fee 4,944
Accrued expenses 92,734
--------------
Total liabilities 10,540,606
--------------
NET ASSETS $ 205,808,332
--------------
--------------
NET ASSETS CONSIST OF:
Capital paid in on shares of beneficial interest 163,478,220
Distributions in excess of net investment income (223,516)
Accumulated net realized gain 24,717,758
Net unrealized appreciation 17,835,870
--------------
NET ASSETS $ 205,808,332
--------------
--------------
CLASS A
Shares of beneficial interest outstanding, $1 par value,
unlimited authorization (Net Assets $192,618,858) 17,622,211
Net asset value per share $10.93
Offering price per share $10.93/(1-4.75%) $11.48
CLASS B
Shares of beneficial interest outstanding, $1 par value,
unlimited authorization (Net Assets $12,351,382) 1,183,048
Net asset value and offering price per share $10.44
CLASS C
Shares of beneficial interest outstanding, $1 par value,
unlimited authorization (Net Assets $838,092) 80,403
Net asset value and offering price per share $10.42
</TABLE>
STATEMENT OF OPERATIONS
YEAR ENDED JUNE 30, 1999
<TABLE>
<S> <C>
INVESTMENT INCOME
Dividends $ 2,625,083
Interest 464,408
Foreign taxes withheld (160,672)
-------------
Total investment income 2,928,819
-------------
EXPENSES
Investment advisory fee 1,435,159
Distribution fee, Class A 450,501
Distribution fee, Class B 109,645
Distribution fee, Class C 1,850
Financial agent fee 182,694
Transfer agent 335,686
Custodian 165,396
Professional 85,273
Printing 38,249
Registration 35,773
Trustees 14,921
Miscellaneous 12,631
-------------
Total expenses 2,867,778
-------------
NET INVESTMENT INCOME 61,041
-------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain on securities 50,114,718
Net realized gain on foreign currency transactions 30,812
Net change in unrealized appreciation (depreciation) on
investments (33,666,438)
Net change in unrealized appreciation (depreciation) on
foreign currency and foreign currency transactions (4,248)
-------------
NET GAIN ON INVESTMENTS 16,474,844
-------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS $ 16,535,885
-------------
-------------
</TABLE>
14 See Notes to Financial Statements
<PAGE>
Phoenix-Aberdeen Worldwide Opportunities Fund
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
Year Ended Year Ended
6/30/99 6/30/98
-------------- -------------
<S> <C> <C>
FROM OPERATIONS
Net investment income (loss) $ 61,041 $ 281,863
Net realized gain (loss) 50,145,530 15,873,450
Net change in unrealized appreciation
(depreciation) (33,670,686) 31,295,703
-------------- -------------
NET INCREASE (DECREASE) IN NET ASSETS
RESULTING FROM OPERATIONS 16,535,885 47,451,016
-------------- -------------
FROM DISTRIBUTIONS TO SHAREHOLDERS
Net investment income, Class A -- (1,559,972)
Net investment income, Class B -- (82,470)
Net realized gains, Class A (34,904,402) (16,213,603)
Net realized gains, Class B (2,069,960) (923,384)
Net realized gains, Class C (20,465) --
In excess of net investment income,
Class A -- (334,226)
In excess of net investment income,
Class B -- (17,669)
-------------- -------------
DECREASE IN NET ASSETS FROM
DISTRIBUTIONS TO SHAREHOLDERS (36,994,827) (19,131,324)
-------------- -------------
FROM SHARE TRANSACTIONS
CLASS A
Proceeds from sales of shares
(12,453,031 and 1,700,588 shares,
respectively) 136,514,002 19,328,353
Net asset value of shares issued from
reinvestment of distributions
(3,086,328 and 1,716,156 shares,
respectively) 31,171,910 16,423,613
Cost of shares repurchased (12,685,436
and 2,883,240 shares, respectively) (139,064,651) (32,460,031)
-------------- -------------
Total 28,621,261 3,291,935
-------------- -------------
CLASS B
Proceeds from sales of shares (986,822
and 234,656 shares, respectively) 10,356,022 2,624,751
Net asset value of shares issued from
reinvestment of distributions
(177,841 and 100,820 shares,
respectively) 1,723,276 939,638
Cost of shares repurchased (883,524
and 232,300 shares, respectively) (9,320,274) (2,549,881)
-------------- -------------
Total 2,759,024 1,014,508
-------------- -------------
CLASS C
Proceeds from sales of shares (83,139
and 0 shares, respectively) 877,235 --
Net asset value of shares issued from
reinvestment of distributions (2,112
and 0 shares, respectively) 20,465 --
Cost of shares repurchased (4,848 and
0 shares, respectively) (54,062) --
-------------- -------------
Total 843,638 --
-------------- -------------
NET INCREASE (DECREASE) IN NET ASSETS
FROM SHARE TRANSACTIONS 32,223,923 4,306,443
-------------- -------------
NET INCREASE (DECREASE) IN NET ASSETS 11,764,981 32,626,135
-------------- -------------
NET ASSETS
Beginning of period 194,043,351 161,417,216
-------------- -------------
END OF PERIOD [INCLUDING DISTRIBUTIONS
IN EXCESS OF NET INVESTMENT INCOME
OF ($223,516) AND ($420,414),
RESPECTIVELY] $ 205,808,332 $ 194,043,351
-------------- -------------
-------------- -------------
</TABLE>
See Notes to Financial Statements 15
<PAGE>
Phoenix-Aberdeen Worldwide Opportunities Fund
FINANCIAL HIGHLIGHTS
(SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE INDICATED PERIOD)
<TABLE>
<CAPTION>
CLASS A
---------------------------------------------------------------------------------
YEAR ENDED JUNE 30,
---------------------------------------------------------------------------------
1999 1998 1997 1996 1995
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period $12.40 $10.75 $10.29 $9.04 $10.17
INCOME FROM INVESTMENT OPERATIONS(5)
Net investment income (loss) 0.01(1) 0.02 0.03(1) (0.02)(1) 0.01(1)
Net realized and unrealized gain 0.90 2.97 1.25 1.87 0.56
--------- --------- --------- --------- ---------
TOTAL FROM INVESTMENT
OPERATIONS 0.91 2.99 1.28 1.85 0.57
--------- --------- --------- --------- ---------
LESS DISTRIBUTIONS
Dividends from net investment
income -- (0.13) (0.04) -- --
Dividends from net realized gains (2.38) (1.20) (0.78) (0.60) (1.37)
In excess of net investment income -- (0.01) -- -- --
In excess of net realized gains -- -- -- -- (0.33)
--------- --------- --------- --------- ---------
TOTAL DISTRIBUTIONS (2.38) (1.34) (0.82) (0.60) (1.70)
--------- --------- --------- --------- ---------
Change in net asset value (1.47) 1.65 0.46 1.25 (1.13)
--------- --------- --------- --------- ---------
NET ASSET VALUE, END OF PERIOD $10.93 $12.40 $10.75 $10.29 $9.04
--------- --------- --------- --------- ---------
--------- --------- --------- --------- ---------
Total return(2) 8.90% 31.45% 13.40% 21.39% 6.53%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(thousands) $192,619 $183,188 $153,005 $146,052 $126,481
RATIO TO AVERAGE NET ASSETS OF:
Operating expenses 1.45% 1.42% 1.53% 1.60% 1.80%
Net investment income (loss) 0.07% 0.21% 0.34% (0.19%) 0.16%
Portfolio turnover 166% 156% 234% 245% 277%
</TABLE>
<TABLE>
<CAPTION>
CLASS B CLASS C
------------------------------------------------------------------------- ---------
FROM FROM
INCEPTION INCEPTION
YEAR ENDED JUNE 30, 7/15/94 12/16/98
--------------------------------------------------------- TO TO
1999 1998 1997 1996 6/30/95 6/30/99
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period $12.04 $10.53 $10.14 $8.98 $10.40 $11.62
INCOME FROM INVESTMENT OPERATIONS(5)
Net investment income (loss) (.07)(1) (0.06) (0.03)(1) (0.08)(1) (0.02)(1) --(1)
Net realized and unrealized gain 0.85 2.90 1.21 1.84 0.30 1.18
--------- --------- --------- --------- --------- ---------
TOTAL FROM INVESTMENT
OPERATIONS 0.78 2.84 1.18 1.76 0.28 1.18
--------- --------- --------- --------- --------- ---------
LESS DISTRIBUTIONS
Dividends from net investment
income -- (0.11) (0.01) -- -- --
Dividends from net realized gains (2.38) (1.20) (0.78) (0.60) (1.37) (2.38)
In excess of net investment income -- (0.02) -- -- -- --
In excess of net realized gains -- -- -- -- (0.33) --
--------- --------- --------- --------- --------- ---------
TOTAL DISTRIBUTIONS (2.38) (1.33) (0.79) (0.60) (1.70) (2.38)
--------- --------- --------- --------- --------- ---------
Change in net asset value (1.60) 1.51 0.39 1.16 (1.42) (1.20)
--------- --------- --------- --------- --------- ---------
NET ASSET VALUE, END OF PERIOD $10.44 $12.04 $10.53 $10.14 $8.98 $10.42
--------- --------- --------- --------- --------- ---------
--------- --------- --------- --------- --------- ---------
Total return(2) 7.99% 30.61% 12.46% 20.50% 3.54%(3) 11.68%(3)
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(thousands) $ 12,351 $ 10,855 $ 8,412 $ 5,709 $ 2,849 $ 838
RATIO TO AVERAGE NET ASSETS OF:
Operating expenses 2.21% 2.17% 2.29% 2.34% 2.61%(4) 2.28%(4)
Net investment income (loss) (0.65%) (0.54%) (0.35%) (0.86%) (0.33%)(4) 0.04%(4)
Portfolio turnover 166% 156% 234% 245% 277%(3) 166%(3)
</TABLE>
(1) Computed using average shares outstanding.
(2) Maximum sales charges are not reflected in the total return calculation.
(3) Not annualized.
(4) Annualized.
(5) 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.
16
See Notes to Financial Statements
<PAGE>
PHOENIX-ABERDEEN WORLDWIDE OPPORTUNITIES FUND
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 1999
1. SIGNIFICANT ACCOUNTING POLICIES
Phoenix-Aberdeen 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 Class A, Class B
and Class C 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.
Class C shares are sold with a 1% contingent deferred sales charge if redeemed
within one year of purchase. Each class of shares has 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 each class 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 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.
17
<PAGE>
PHOENIX-ABERDEEN WORLDWIDE OPPORTUNITIES FUND
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 1999 (CONTINUED)
2. INVESTMENT ADVISORY FEES AND RELATED PARTY TRANSACTIONS
As compensation for their services to the Fund, the adviser, Phoenix
Investment Counsel, Inc. ("PIC"), 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 up to $1
billion, 0.70% between $1 billion and $2 billion, and 0.65% in excess of $2
billion.
Effective October 27, 1998, Aberdeen Fund Managers, Inc. ("Aberdeen") was
appointed subadviser to the Phoenix-Aberdeen Worldwide Opportunities Fund.
Aberdeen is a subsidiary of Aberdeen Asset Management PLC. For its services,
Aberdeen is paid a fee by the Adviser equal to 0.375% of the average daily net
assets of the Phoenix-Aberdeen Worldwide Opportunities Fund up to $1 billion,
0.35% between $1 billion and $2 billion, and 0.325% in excess of $2 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 $11,464 for Class A shares and deferred
sales charges of $34,007 for Class B shares and $50 for Class C shares for the
year ended June 30, 1999. 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 and Class C
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, 1999, approximately $221,036 was retained by the Distributor,
$324,146 was paid to unaffiliated participants and $16,814 was paid to W.S.
Griffith, an indirect subsidiary of PHL.
As Financial Agent of the Fund, PEPCO receives a financial agent fee equal to
the sum of (1) the documented cost of fund accounting and related services
provided by PFPC, Inc. (subagent to PEPCO), plus (2) the documented cost to
PEPCO to provide financial reporting, tax services and oversight of subagent's
performance. The current fee schedule of PFPC, Inc. ranges from 0.085% to
0.0125% of the average daily net asset values of the Fund. Certain minimum fees
and fee waivers 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, 1999, transfer agent
fees were $335,686 of which PEPCO retained $137,915 which is net of the fees
paid to State Street.
At June 30, 1999, PHL and affiliates held 241 Class A shares, 2 Class B shares
and 10,718 Class C shares of the Fund with a combined value of $114,332.
3. PURCHASE AND SALE OF SECURITIES
Portfolio purchases and sales of investments, excluding short-term securities,
for the year ended June 30, 1999 aggregated $303,475,674 and $321,781,409
respectively. There were no purchases or sales of long-term U.S. Government
securities.
4. 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.
5. RECLASSIFICATION OF CAPITAL ACCOUNTS
In accordance with accounting pronouncements, 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. As of June 30, 1999, the Fund has decreased
capital paid in on shares of beneficial interest by $5,300, decreased
undistributed net investment loss by $135,857 and decreased accumulated net
realized gain by $130,557.
6. OTHER
On February 9, 1999, the Board of Trustees of Phoenix-Engemann Funds
unanimously approved an Agreement and Plan of Reorganization relating to the
proposed combination of the Phoenix-Aberdeen Worldwide Opportunities Fund and
the Phoenix-Engemann Global Growth Fund.
Pursuant to the Agreement, the Global Growth Fund will transfer substantially
all of its assets to the Worldwide Opportunities Fund in exchange for shares of
the Worldwide Opportunities Fund and the assumption by the Worldwide
Opportunities Fund of certain identified liabilities of the Global Growth Fund.
Following the exchange, the Global Growth Fund will distribute the shares of the
Worldwide Opportunities Fund to its shareholders pro rata, in liquidation of the
Global Growth Fund.
TAX INFORMATION NOTICE (UNAUDITED)
LONG-TERM CAPITAL GAINS
The Fund distributed $17,812,920 of long-term capital gain dividends.
This report is not authorized for distribution to prospective investors in the
Phoenix-Aberdeen Worldwide Opportunities Fund unless preceded or accompanied by
and effective prospectus which includes information concerning the sales charge,
the Fund's record and other pertinent information.
18
<PAGE>
REPORT OF INDEPENDENT ACCOUNTANTS
[LOGO]
To the Trustees and Shareholders of
Phoenix-Aberdeen Worldwide Opportunities Fund:
In our opinion, the accompanying statement of assets and liabilities,
including the schedule of investments (excluding Standard & Poor's 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 the Phoenix-Aberdeen Worldwide Opportunities Fund (the "Fund") at
June 30, 1999, 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 presented, 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, 1999 by
correspondence with the custodian and brokers, provide a reasonable basis for
the opinion expressed above.
/s/ PricewaterhouseCoopers LLP
Boston, Massachusetts
August 6, 1999
19
<PAGE>
PHOENIX-ABERDEEN WORLDWIDE OPPORTUNITIES FUND
101 Munson Street
Greenfield, Massachusetts 01301
TRUSTEES
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
Herbert Roth, Jr.
Richard E. Segerson
Lowell P. Weicker, Jr.
OFFICERS
Philip R. McLoughlin, President
Michael E. Haylon, Executive Vice President
John F. Sharry, Executive Vice President
Robert S. Driessen, Vice President
William R. Moyer, Vice President
Leonard J. Saltiel, Vice President
Nancy G. Curtiss, Treasurer
G. Jeffrey Bohne, Secretary
INVESTMENT ADVISER
Phoenix Investment Counsel, Inc.
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
PricewaterhouseCoopers LLP
160 Federal Street
Boston, Massachusetts 02110
HOW TO CONTACT US
The Fund Connection 1-800-243-1574
Customer Service 1-800-243-1574 (option 0)
Investment Strategy Hotline 1-800-243-4361 (option 2)
Marketing Department 1-800-243-4361 (option 3)
Text Telephone 1-800-243-1926
World Wide Web address:
www.phoenixinvestments.com
<PAGE>
PHOENIX EQUITY PLANNING CORPORATION
PO Box 2200
Enfield CT 06083-2200
[LOGO]
PRSRT STD
U.S. Postage
PAID
Springfield, MA
Permit No 444
PXP 758 (8/99)
