March 31, 1998
SEMI-ANNUAL
REPORT
CALVERT SOCIAL
INVESTMENT FUND
<PAGE>
CALVERT SOCIAL
INVESTMENT FUND
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Calvert Group
c/o NFDS, 6th Floor
1004 Baltimore
Kansas City, MO 64105-1807
Calvert Group Web-Site
Address: http://www.calvertgroup.com
Principal Underwriter
Calvert Distributors, Inc.
4550 Montgomery Avenue
Suite 1000 North
Bethesda, Maryland 20814
This report is intended to provide fund information to shareholders. It is not
authorized for distribution to prospective shareholders unless preceded or
accompanied by a prospectus.
CALVERT GROUP'S FAMILY OF FUNDS
Tax-Exempt Money Market Funds
CTFR Money Market Portfolio
CTFR California Money Market Portfolio
Taxable Money Market Funds
First Government Money Market Fund
CSIF Money Market Portfolio
Balanced Fund
CSIF Managed Growth Portfolio
Municipal Funds
CTFR Limited-Term Portfolio
CTFR Long-Term Portfolio
CTFR Vermont Municipal Portfolio
National Muni. Intermediate Portfolio
California Muni. Intermediate Portfolio
Maryland Muni. Intermediate Portfolio
Virginia Muni. Intermediate Portfolio
Taxable Bond Funds
CSIF Bond Portfolio
Income Fund
Equity Funds
NEW! CSIF Managed Index Portfolio
CSIF Equity Portfolio
Capital Accumulation Fund
CWVF International Equity Fund
New Vision Small Cap Fund
New Africa Fund
Table of Contents
President's Letter 1
A Note from the Chairman 2
Portfolio Manager Remarks 4
Statement of Net Assets 12
Statement of Operations 28
Statements of Changes in Net Assets 30
Notes to Financial Statements 34
Financial Highlights 39
Dear Shareholders:
At the end of 1997, a financial crisis in the developing nations of Southeast
Asia emerged as a threat to this historic bull market. Market pundits sounded
the warning bell, and fund managers cautioned investors to check their
expectations and confirm their objectives. However, as has been the case of
late, each new precipice turns out to be a launching pad for a new flight
upward.
Virtually every sector of the US equity market turned in double-digit returns
for the first quarter of 1998. Looking beyond the US, most international
markets also posted strong gains, notably the troubled Pacific Rim countries,
which snapped back sharply, and the Western European markets of Germany,
France and Great Britain. We're pleased to note that almost every Calvert
Group fund also reported strong absolute and relative returns.
The strength of the global stock market is due in large part to the
fundamental strength of major economies around the world. Favorable investment
conditions of low inflation and an expanding economy have so far helped the
market work through concerns for the consequences of Southeast Asia's
financial troubles and worries that companies' earnings growth may not be as
robust.
This protracted bull market has shown us time and again that its strength
should not be underestimated. For investors, its ability
to defy prediction reinforces the soundness of a long-term
approach that focuses on investors' goals rather than short-term market
trends.
Thank you for choosing Calvert Group. We appreciate your business and your
confidence in our investment programs.
Sincerely,
Barbara J. Krumsiek
President and CEO
April 24, 1998
<PAGE>
Dear Investors:
Announcing Calvert Social Investment Fund Managed Index Portfolio
Strong financial returns have continued these past six months. Indeed, market
index funds have outperformed most money managers these past few years.
Generally, professional managers are concerned with risk control as well as
upside performance and may do better than the indices in flat or down markets.
For those who are interested in more risk and who want the benefits of a
socially-screened portfolio, we are pleased to announce the Calvert Social
Investment Fund Managed Index Portfolio, the first socially-screened index
fund designed to track a recognized stock market index.
The financial market's continued exuberance has confounded many including me.
The low commodity prices and low wage increases have allowed profits to grow,
a situation that may not last long. Stay diversified.
Umbono Investment
Your Fund was the first mutual fund to choose not to invest in South Africa
during the apartheid era and one of the first to make a sizable investment
after sanctions were lifted enhancing the black empowerment movement. Umbono
(which means "vision" in Zulu) invests in a diversified series of companies
with a mission to promote the "New South Africa." As a shareholder, we helped
select the current management which pairs the first black South African Rhodes
scholar with a successful white South African. This partnership between the
two has been wonderful and bodes well for what is possible. Also, our
investment has been a top performer for the past six months.
SEC Wars
One of the Fund's main activities is monitoring our companies for financial
and social performance. We have leverage with these companies because of our
ability to file shareholder resolutions on matters like employment or
environmental practices which can foster debate among stakeholders. The SEC
proposed limiting our right to use this tool. Together with other social
investors we were able to mount a campaign to keep our shareholder right to
open dialogue. Our website (www.calvertgroup.com) has a new section explaining
the shareholder resolution and proxy voting process.
Worklinks
On March 19th, Calvert Group created the first ever Worklinks job fair,
attended by over 1,200 job seekers in the Washington, D.C. area. Worklinks'
goal was to link the economically disadvantaged with employers. Many of the
businesses present have already begun interviewing prospective workers. In
addition, the State of Maryland has recognized Calvert Group for its
leadership in moving Maryland families from welfare to work.
Please take pride in our accomplishments as well as in our special equities
and high social impact investment programs. Mutual funds are rarely considered
vehicles for social innovation and these activities could never have happened
without your support.
Sincerely,
D. Wayne Silby
Chairman, Board of Trustees
April 29, 1998
<PAGE>
Calvert Adds Investor Education Section to Website
Calvert Group has launched a new segment on its website designed to help
shareholders and the public better understand the shareholder resolution process
and explain how they can participate. The site provides in-depth coverage of two
key social issues being debated this proxy season - climate change and labor and
human rights standards. We have posted the shareholder resolutions for a few
companies, along with their responses. In addition, we have included a "Speak
Out" section where visitors can voice their opinions about these two issues. We
encourage you to visit this new addition to our site at:
http://www.calvertgroup.com/sr/ proxy/proxy.htm. We hope you will use this
information to join the debate on these issues in corporate boardrooms across
America.
Special Equities
We continue to see exciting social and financial results from our early stage
investment program. Highlights in the past six months include the successful
public offering of Quadrant Healthcare, a young British company developing
novel ways to stabilize and deliver vaccines and other life saving drugs.
Quadrant expects their technology will eventually enable components of whole
blood to be stored without refrigeration, a major advance for health and
welfare in the developing world. The Fund recently invested in Seventh
Generation, a market leader in environmentally friendly household products.
High Social Impact Investments
Finally, the Fund takes pride in the one percent of assets that we invest
at less-than-market returns in community initiatives. The Managed Growth
Portfolio has been successfully making high social impact investments since 1990
and we have now expanded that program to the Equity and Bond Portfolios. One
such investment is the Washington, D.C.-based Housing Assistance Council (HAC).
Through an innovative program in Anthony, Texas, HAC is able to trade hours for
dollars and help families like the Davillas afford home ownership. Instead of
requesting money, HAC required the Davillas to labor for 300 hours a month for
five months alongside professional builders on the construction of their own
home. Today, the Davillas are living in the home they helped build.
For more complete information on the Calvert Social Investment Fund Managed
Index Portfolio, call your financial advisor or Calvert Group for a prospectus
or visit our website. Read it carefully before you invest.
<PAGE>
Money Market Portfolio Statistics
March 31, 1998
Annualized Total Returns
6 Months ended
3/31/98 9/30/97
Money
Market Portfolio 5.05% 4.98%
Lipper Money
Market Funds Average 4.95% 4.96%
Maturity Schedule
Weighted Average
3/31/98 9/30/97
50 days 23 days
Portfolio Quality Structure
First Tier 100%
All securities in Calvert Group money market funds are eligible securities
under rule 2a-7 of the Investment Company Act of 1940. First Tier securities
are eligible securities rated in the highest rating category for short-term
debt obligations by at least two of the Nationally Recognized Statistical Rating
Organizations. Second Tier Securities are eligible securities not in the First
Tier.
<PAGE>
<PAGE>
BETH BUNNELL HUNTER
OF CALVERT ASSET MANAGEMENT COMPANY
What were the broader economic trends that set the stage for credit market
performance during this period@
The Federal Reserve maintained a neutral monetary policy, neither raising nor
lowering interest rates. The domestic economy continued to expand and market
observers remained focused on efforts to predict any dampening effect the
Asian financial crisis may have on the economy's second and third quarter
output. The relative impact of these two factors on inflation will determine
the Fed's next move.
How did these events affect the money markets@
The strong domestic economy created some difficulties for money market
managers. First, stock market investors' gains have boosted tax payments and
allowed the Treasury to pay down government debt on a rolling basis. This has
meant fewer new Treasury securities have been issued. Level demand in the face
of decreasing supply has caused prices to rise and yields to decline. (Bond
yields and prices move in opposite directions.)
While this Portfolio does not invest in Treasury securities, Treasury
securities are the foundation from which yields on other securities are
determined. Thus, the downward pressure on Treasury yields has carried over to
yields on commercial paper, government agency issues and the other short-term
securities that form the bulk of our investment universe.
Second, low long-term financing rates have added even more pressure to short
rates. In the current environment, corporate borrowers have been able to
lock-in very low rates by issuing long-term debt securities. Just as consumers
have been taking advantage of the low rates by refinancing their mortgages,
corporations are issuing longer term bonds at near record lows. This has
allowed them to cut back on their issuance of short-term debt, and, again, the
lack of supply has driven yields on short-term securities lower.
How has the Money Market Portfolio performed in this environment@
With inflation at 30-year lows, real short-term interest rates are currently
very attractive compared to yields on longer maturity investments. We are
pleased with the Portfolio's above-average performance in this environment.
What steps did you take to enhance yields@
We continued to invest heavily in variable rate demand notes because the
returns are greater than those provided by other types of money market eligible
securities. These high-quality issues are generally made up of an underlying
corporate bond, a bank's credit enhancement and a put feature, which allows the
buyer (in this case, the Portfolio) to demand payment from the bond remarketer
with seven days notice. We get more yield without taking on significantly more
credit risk.
What's your near-term outlook for interest rates@
Over the course of the second and third quarters, a more clear consensus on
the direction of the economy is likely to emerge and the bond market will
begin to price in expectations of the Fed's next move. However, over the
near-term we still anticipate that trends such as the continuing Treasury
pay-down are likely to affect money market rates relative to the federal funds
rate, regardless of whether that rate goes up or down in the months ahead.
April 24, 1998
<PAGE>
Portfolio Quality Structure
Money Market Portfolio Statistics
March 31, 1998
Average Annual Total Returns
as of 3/31/98
One year 5.01%
Five year 4.36%
Ten year 5.31%
Since inception 6.24%
(10/21/82)
Long-Term Performance
Change in value of $10,000 investment.
Total return assumes reinvestment of dividends.
Past performance is no guarantee of future results.
<PAGE>
GREG HABEEB
OF CALVERT ASSET MANAGEMENT COMPANY
How would you characterize the economy and trends in interest rates during
this period@
The US economy continued to expand at a robust rate, driven by strong consumer
spending and a vigorous housing market. First quarter GDP was expected to be
in the 2% annualized range, then revised upwards to about 31/2% annualized.
Tight labor markets caused wages to rise, but there was no measurable buildup
of pricing pressures at the consumer level. This was likely due to imported
deflation in the form of lower prices for energy, information technology
products and other consumer goods as a result of excess capacity and the sharp
devaluation of currencies in Asia.
The Federal Reserve maintained its neutral stance by not intervening to push
rates either higher or lower. Yields on long-term taxable securities trended
lower through 1997 and into 1998, largely owing to the Asian financial crisis.
The possibility that Asia's woes could act to slow the domestic
economy caused investors to adjust their expectations for the next Fed move
from tightening to no action.
Was the Portfolio well positioned to benefit from the decline in yields@
Yes. We had lengthened maturity based on our outlook for continued low
inflation and thus benefited more from the decline in rates than our more
conservative peers. Our six- and 12-month returns were above the average
returns for a universe of similar funds.
The Portfolio's high standards for social responsibility disallow investment
in US Treasury securities. Was this positive or negative for performance@
The Asian currency crisis brought about a "flight to quality," pushing yields
on Treasuries severely below those for comparable maturity corporate bonds.
Bond yields and prices move in opposite direction, thus prices for the
Portfolio's corporate holdings did not appreciate as fully.
The spread between Treasury and corporate yields was greatest during the
fourth quarter of 1997. At that point, investors' appetite for non-Treasuries
was so poor that corporations postponed issuance. Pent-up supply came to the
market in the first quarter of 1998 when treasury rates hit a three-year low.
This record issuance was well received, and the wider corporate yield spreads
that had persisted through the previous quarter narrowed somewhat. Once
stability and liquidity returned to the market, we were able to pursue our
strategy of relative value trading, where we look to identify and exploit
potentially profitable swap opportunities among sectors and industries.
Successes here helped to offset the negative effects of wider yield spreads.
What's your near-term outlook for the bond market@
The Fed seems determined to wait until there is clear evidence that the
economy is overheating before making any move to push rates higher. Bonds will
likely trade in a range until the Fed makes a move. Our longer term view is
positive and based on expectations for continued low inflation, which
decreases likelihood that the Fed will need to take dramatic steps to reign in
the economy, and the government's continued ability to finance debt with
current revenues, which leads to reduced Treasury issuance and tighter supply
of fixed-income securities.
April 24, 1998
<PAGE>
Bond
Portfolio Statistics
March 31, 1998
Investment Performance
6 Months 12 Months
ended ended
3/31/98 3/31/98
Bond Portfolio 4.26% 12.09%
Lehman Aggregate
Bond Index TR 4.55% 11.99%
Lipper Corporate
Debt Funds
A Rated Average 4.15% 11.63%
Maturity Schedule
Weighted Average
3/31/98 9/30/97
12 years 14 years
SEC Yields
30 days ended
3/31/98 9/30/97
4.67% 4.77%
Portfolio Quality Structure
A 56%
AAA 4%
AA 8%
NR 4%
BBB 25%
BB 3%
Investment performance is for Class A shares and does not reflect the deduction
of any front-end sales charge.
TR represents total return.
Source: Lipper Analytical Services, Inc.
<PAGE>
BOND
PORTFOLIO STATISTICS
March 31, 1998
Average Annual Total Returns
as of 3/31/98
One year 7.89%
Five year 5.33%
Ten year 7.94%
Since inception 8.26%
(8/24/87)
Performance Comparison
Comparison of change in value of $10,000 investment.
Line graph here showing comparison of funds from 4/1/88 to 3/31/98
CSIF Bond Portfolio $21,470
Lehman Aggregate Bond Index TR $23,550
Lipper Corp. Debt Funds A Rated Index $23,090
Total returns assume reinvestment of dividends and reflect the deduction of the
Fund's maximum front-end sales charge of 4.75%. No sales charge has been
applied to the index used for comparison. Past performance is no guarantee of
future results.
<PAGE>
CAMCO
VICE PRESIDENT
OF EQUITIES, JOHN NICHOLS
How did the Portfolio perform relative to its peer group@
The seemingly unstoppable bull market in stocks and continued low interest
rates allowed the Portfolio to report strong returns for the six- and 12-month
periods ending March 31, 1998. The Portfolio's returns for both periods were
well ahead of returns posted for the average balanced fund.
What were the key factors determining performance for the Portfolio's equity
and fixed-income investments@
The economy continued to expand without appearing to trigger higher inflation
at the consumer level. This kept the Federal Reserve from taking steps to
raise interest rates. Events in Asia also played a role. Most Southeast Asian
currencies were severely devalued. This jolted the US stock market as it
jeopardized profits for US companies doing business abroad and raised fears
that these countries would attempt to export their way out of the financial
crisis and flood markets with low-priced goods. The market settled down in the
first quarter of 1998, as companies reported that gains in Europe and the US
were working to offset losses due to weakness in Asia.
Which stock and bond market sectors turned in the biggest gains@
Declining interest rates pushed bond prices higher. Treasuries outperformed
corporates in a "flight to quality" rally. Large-cap stocks continued to
outperform small- and medium-sized companies. Industry groups leading the
market's advance in the last quarter of 1997 were utilities, communication
services, consumer staples, healthcare and financials. Strong returns were
more narrowly concentrated in the first quarter of 1998, with the technology,
communication services, consumer cyclicals and healthcare sectors pulling
ahead.
What approach did the Portfolio's equity managers take@
Brown Capital Management continued to focus on stocks in the health care,
financial services and technology industries. NCM Capital Management has
maintained healthy exposure to the financials, technology and consumer staples
groups. With many stocks in these sectors appearing overvalued, NCM is looking
to slightly reduce their sector bets and make strong stock selection their
primary focus. The Portfolio's best performers included the software companies,
Parametric Technology, Microsoft and HBO & Company; wireless phone specialist,
Ericsson; grocery store chain, Kroger; paper goods manufacturer, Fort James and
the phone companies, Century Telephone and Ameritech.
What should investors expect from the stock and bond markets in the months
ahead@
I think investors have reason to be optimistic, but cautiously so. The
underpinnings for stock and bond markets are solid. We point to low interest
rates, low inflation and strong cash flows. However, stocks can't move up
forever. At some point, we expect to see a return to more historically typical
gains - in the range of 10% a year. The fallout from problems in Asia, a rise in
interest rates or companies' inability to meet earnings expectations could be
the catalyst for such an event. Given the strength of this bull market and the
protracted rise in stock prices, the ability to find attractively priced issues
will become even more difficult in the months ahead. The Portfolio's active
management style should help us identify promising opportunities and steer clear
of overpriced sectors and securities.
April 24, 1998
<PAGE>
MANAGED GROWTH PORTFOLIO STATISTICS
March 31, 1998
Average Annual Total Returns
Class A Shares
as of 3/31/98
One year 26.01%
Five year 10.74%
Ten year 10.36%
Since inception 11.87%
(10/21/82)
Class C Shares
as of 3/31/98
One year 30.87%
Since inception 12.35%
(3/01/94)
Performance Comparison
Comparison of change in value of $10,000 investment.
Line graph here showing comparison of funds from 4/1/88 to 3/31/98
CSIF Bond Portfolio $26,780
Lehman Aggregate Bond Index TR $23,550
S&P 500 Index Monthly Reinvested $56,549
Lipper Balanced Funds Index $34,814
Total returns assume reinvestment of dividends and reflect the deduction of the
Fund's maximum front-end sales charge of 4.75%. No sales charge has been
applied to the index used for comparison. Past performance is no guarantee of
future results. The value of an investment in Class A shares is plotted in the
line graph. The value of an investment in Class C shares would be different.
<PAGE>
Managed Growth Portfolio Statistics
March 31, 1998
Investment Performance
6 Months 12 Months
ended ended
3/31/98 3/31/98
Managed
Growth Portfolio 10.48% 32.29%
Lehman Aggregate
Bond Index TR 4.55% 11.99%
S&P 500 Index
Mthly. Reinvested 17.21% 47.96%
Lipper Balanced
Funds Average 8.92% 28.13%
Ten Largest Holdings
% of Net Assets
Repurchase Agreement 2.22%
Umbono Investment Corp .2.09%
Cardinal Health, Inc. 1.59%
Home Depot 1.36%
BMC Software, Inc. 1.34%
Microsoft Corp. 1.29%
American International
Group, Inc. 1.27%
Xerox Capital Trust I,
8.00%, 2/1/27 1.26%
Oracle Systems Corp. 1.22%
BNP US Funding LLC
7.738%, 12/31/49 1.16%
Total 14.80%
Investment performance is for Class A shares and does not reflect the deduction
of any front-end sales charge.
TR represents total return.
Source: Lipper Analytical Services, Inc.
New subadvisors assumed management of the equity portion of the Portfolio
effective July, 1995.
<PAGE>
PHIL SCHETTEWI
OF LOOMIS, SAYLES & COMPANY
Can you give us the details behind the market's recent advance@
We look at the stock market's performance during the six months covered by
this report as two distinct time periods: the final three months of 1997 and
the first three months of 1998. Economic turmoil in Asia dominated investors'
attention in the latter part of 1997. As currencies and financial markets in
Far East Asia collapsed, many investors indiscriminately sold the stocks of
companies seen as most exposed to this region for fear that earnings would be
depressed by weakened demand and increased competition. Consequently, sectors
such as technology, basic materials, capital goods and energy declined sharply.
However, many stocks from these same sectors rebounded sharply in the first
quarter of 1998 as it became evident that most of the bad news was already
discounted in the share prices and Asia began to demonstrate signs
of stabilization.
How did events in Asia affect the Equity Portfolio@
The Portfolio's performance was severely impacted by the Asian financial
crisis. Our returns lagged those of the Standard & Poor's 500 Stock Index
because we were more heavily exposed to a number of the sectors that declined
sharply in the final quarter of 1997 as a result of the Asian weakness. We
analyzed the effect weakness in Asia would have on the profits of our holdings
under different scenarios and determined that many of these stocks were oversold
even assuming the worst case. We decided to maintain our positions on the belief
that prices would quickly move back to levels which better represented the
stocks' true fundamental values. This is exactly what has happened so far in
1998, as investors realized many of these companies will be able to produce
solid earnings growth despite weakness in Asia. Consequently, the Fund was able
to achieve a return of 11.73% in just the past three months.
What other factors helped to determine the Portfolio's performance relative to
its benchmark@
Another condition affecting our relative return was the fact that the S&P
500's fifty largest stocks continued to outperform the overall market. This
severe stratification of market returns was partly due to events in Asia,
which caused investors to seek shelter in the biggest and best known companies.
What is your outlook for the remainder of 1998@
We remain bullish on the equity market. The recent signs of stabilization in
Asia, strong earnings growth, low inflation and solid demand for equities are
all encouraging. Economic strength in the US and Europe will likely offset the
weakness in Asia, allowing earnings to continue to grow. Inflation should
remain in check given the decline in oil prices and lower prices on goods
exported from Asia. This makes it less likely the Federal Reserve would raise
interest rates in the near future, which is positive for stocks. However,
given the gains of the market over the past several years and current
valuations, stock selection remains critical.
April 24, 1998
<PAGE>
EQUITY
PORTFOLIO STATISTICS
March 31, 1998
Average Annual Total Returns
Class A Shares
as of 3/31/98
One year 27.80%
Five year 10.51%
Ten year 10.87%
Since inception 9.57%
(8/24/87)
Class C Shares
as of 3/31/98
One year 32.83%
Since inception 12.26%
(3/01/94)
Performance Comparison
Comparison of change in value of $10,000 investment.
Line graph here showing comparison of funds from 4/1/88 to 3/31/98
CSIF Equity Portfolio $28,063
S&P 500 Index Monthly Reinvested $56,549
Lipper Growth Funds Index $46,621
Total returns assume reinvestment of dividends and reflect the deduction of the
Fund's maximum front-end sales charge of 4.75%. No sales charge has been
applied to the index used for comparison. Past performance is no guarantee of
future results. The value of an investment in Class A shares is plotted in the
line graph. The value of an investment in Class C shares would be different.
<PAGE>
Equity
Portfolio Statistics
March 31, 1998
Investment Performance
6 Months 12 Months
ended ended
3/31/98 3/31/98
Equity Portfolio 7.69% 34.17%
S&P 500 Index
Mthly. Reinvested 17.21% 47.96%
Lipper Growth
Funds Average 11.55% 42.90%
Ten Largest Stock Holdings
% of Net Assets
Gateway 2000, Inc. 3.75%
Kroger Co. 3.70%
Black & Decker Corp. 3.57%
Praxair, Inc. 3.53%
EMC Corp. 3.35%
Masco Corp. 3.18%
Applied Materials, Inc. 3.03%
Healthsouth Corp. 2.97%
Federated Dept. Stores, Inc. 2.97%
FDX Corp. 2.85%
Total 32.90%
Investment performance is for Class A shares and does not reflect the deduction
of any front-end sales charge.
TR represents total return.
Source: Lipper Analytical Services, Inc.
New subadvisors assumed management of the equity portion of the Portfolio
effective February, 1994.
<PAGE>
MONEY MARKET PORTFOLIO
Statement of Net Assets
March 31, 1998
U.S. Government Agencies Principal
and Instrumentalities - 12.1% Amount Value
Federal Home Loan Bank, 5.56%, 6/5/98 $5,000,000 $4,949,806
Federal National Mortgage Assn., 5.40%, 5/11/98 5,000,000 4,970,000
Student Loan Marketing Assn.:
5.564%, 6/18/98 3,000,000 2,999,781
5.79%, 9/16/98 5,000,000 5,001,088
5.72%, 11/20/98 3,000,000 2,998,886
Total U.S. Government Agencies and Instrumentalities
(Cost $20,919,561) 20,919,561
Certificates of Deposit - 3.6%
Bank of Cherokee County, 5.50%, 4/22/98 ^ 100,000 100,000
Broadway Federal Savings & Loan, 5.20%, 8/20/98^ 100,000 100,000
Community Bank of the Bay, 5.45%, 10/7/98 ^ 100,000 100,000
Community Capital Bank, 4.95%, 1/20/99 ^ 100,000 100,000
Elk Horn Bank & Trust, 5.43%, 12/18/98 ^ 100,000 100,000
Family Savings Bank, 5.40%, 8/20/98 ^ 100,000 100,000
First Community Bank, 5.10%, 4/22/98 ^ 100,000 100,000
Founders National Bank, 5.30%, 8/28/98 ^ 100,000 100,000
Seaway National Bank Chicago, IL, 5.20%, 1/27/99^ 100,000 100,000
Self Help Credit Union, 5.60%, 7/16/98 ^ 100,000 100,000
Shore Bank &Trust, 5.35%, 12/18/98 ^ 100,000 100,000
Societe Generale, 5.70%, 3/23/99 5,000,000 4,997,664
South Shore Bank of Chicago, 5.60%, 10/30/98 ^ 100,000 100,000
Total Certificates of Deposit (Cost $6,197,664) 6,197,664
Commercial Paper - 12.3%
Harnischfeger Industries, 5.90%, 4/30/98 8,000,000 7,961,978
National Australia Funding, 5.36%, 6/12/98,
GA: National Australia Bank 2,000,000 1,978,560
Princeton University, 5.43%, 5/6/98 4,500,000 4,476,244
Northwestern University:
5.405%, 5/4/98 2,000,000 1,990,091
5.490%, 6/18/98 5,000,000 4,940,525
Total Commercial Paper (Cost $21,347,398) 21,347,398
Corporate Taxable Note - 2.9%
First National Bank of Chicago, IL, 5.52%, 2/16/99 5,000,000 4,993,227
Total Corporate Taxable Note (Cost $4,993,227) 4,993,227
<PAGE>
Principal
Taxable Variable Rate Demand Notes - 51.9%Amount Value
ABAG Financing Authority for Nonprofit
Corporations
CA COPs VRDN, 6.20%, 10/1/27,
LOC: Banque National de Paris $6,155,000 $6,155,000
Aspen Institute Inc. VRDN, 5.7875%, 12/1/04,
LOC: First National Bank of Maryland 1,160,000 1,160,000
Barton Healthcare LLC VRDN, 5.75%, 2/15/25,
LOC: American National Bank & Trust 1,300,000 1,300,000
Berks County PA Industrial Development
Authority Revenue
VRDN, 5.80%, 6/1/15, LOC: Corestates 2,250,000 2,250,000
Betters Group LP VRDN, 5.75%, 2/1/12,
LOC: Century National Bank & Trust
, Confirming
LOC: Mellon Bank 1,890,000 1,890,000
California Statewide Community Development
Revenue VRDN,
6.00%, 7/1/27, LOC: Sanwa Bank 345,000 345,000
Colorado Health Facilities Authority VRDN,
5.85, 11/1/26,
LOC: Kredietbank 5,000,000 4,998,767
Colorado Health Facilities Authority VRDN,
5.75, 2/1/25,
LOC: Kredietbank 3,000,000 3,000,000
Episcopal Health Services, Inc. VRDN,
5.70%, 3/1/28,
LOC: Banque Paribas 4,750,000 4,750,000
Gardena COPs VRDN, 6.20%, 7/1/25,
LOC: Sumitomo Trust & Banking,
Confirming LOC: Dai-Ichi Kangyo Bank 8,500,000 8,500,000
IPC Industries, Inc. VRDN, 5.75%, 10/1/11,
LOC: National Bank of Canada 4,315,000 4,315,000
La Miranda CA Industrial Development
Authority VRDN,
5.75%, 12/1/26, LOC: First National
Bank of Chicago 6,000,000 6,000,000
Liliha Partners Revenue VRDN, 5.80%, 8/1/24,
LOC: First Hawaiian Bank 8,000,000 8,000,000
Memphis Center Finance Corp. MFH Revenue
VRDN,
6.10%, 11/1/30, LOC: National Bank
of Commerce TN 285,000 285,000
Mississippi Business Financial Corporation
Industrial Development Revenue VRDN,
5.95%, 5/1/12, LOC: Mercantile Bank 3,400,000 3,400,000
Montgomery County KY Industrial Building
Revenue VRDN,
5.75%, 8/1/06, LOC: Fleet Bank 1,981,000 1,981,000
Montgomery County PA Industrial Development
Authority
Revenue VRDN, 5.80%, 3/1/10, LOC:
Corestates 520,000 520,000
Mt Vernon Industrial Economic Development
Revenue VRDN,
6.05%, 7/1/07, LOC: Citizens National
Bank of Evansville,
Confirming LOC: Suntrust Bank 1,135,000 1,135,000
Mt Vernon Industrial Solid Waste Disposal
Revenue VRDN,
6.05%,7/1/07, LOC: Citizens Nationa
Bank of Evansville,
Confirming LOC: Suntrust Bank 1,000,000 1,000,000
New Jersey Economic Development Authority,
5.65%, 8/1/14,
LOC: Fleet Bank 1,360,000 1,360,000
Physicians Plus Medical Group VRDN,
5.75%, 8/1/16,
LOC: Marshall & Ilsley Bank 7,669,000 7,669,000
Pleasant Hill CA Redevelopment Agenecy
VRDN,
5.75%, 8/1/26, LOC: Heller Financial,
Confirming LOC: Commerze Bank, AG 300,000 300,000
<PAGE>
Taxable Variable Rate Demand Notes Principal
(Cont'd) Amount Value
Sault Sainte Marie Tribe Building Authority
Revenue VRDN,
6.31%, 6/1/03, LOC: First America
Bank of Michigan $6,090,000 $6,090,000
St Josephs County MFH VRDN, Corby
Apartments,
5.79%, 6/1/27, LOC: Federal Home
Loan Bank 345,000 345,000
St Josephs County MFH VRDN, Pin Oak
Apartments,
5.79%, 6/1/27, LOC: Federal Home
Loan Bank 940,000 940,000
St Josephs County MFH VRDN, West Manor
Apartments,
5.79%, 6/1/27, LOC: Federal Home
Loan Bank 720,000 720,000
St. Paul MN Port Authority Industrial Revenue
VRDN,
6.00%, 6/1/11, LOC: US Bank N.A. 815,000 815,000
Texas St., Texas Veterans Land, 5.72%, 12/1/27,
TOA: Citibank 8,000,000 8,000,000
W.L. Petrey Wholesaling, Inc. VRDN,
5.75%, 3/1/08,
LOC: Southtrust Bank of Alabama 2,670,000 2,670,000
Total Taxable Variable Rate Demand
Notes (Cost $89,893,767) 89,893,767
Repurchase Agreements - 15.8%
Donaldson Lufkin Jenrette, 6.00%, dated 3/31/98,
due 4/1/98
(Collateral: $28,117,789 Sallie Mae MTN,
5.57%, 3/17/00) 27,500,000 27,500,000
Total Repurchase Agreements
(Cost $27,500,000) 27,500,000
TOTAL INVESTMENTS
(Cost $170,851,617) 98.6%
170,851,617
Other assets in excess of liabilities - 1.4% 2,446,572
Net Assets - 100%
$173,298,189
Net Assets Consist of:
Paid-in-capital applicable to 173,338,179 shares
of beneficial
interest; unlimited number of no par value
shares authorized $173,316,093
Undistributed net investment income 11,890
Accumulated net realized gain (loss) on investments (29,794)
Net Assets $173,298,189
Net Asset Value Per Share $1.00
See notes to financial statements.
<PAGE>
MANAGED GROWTH PORTFOLIO
STATEMENT OF NET ASSETS
March 31, 1998
Principal
Certificates of Deposit - 0.1% Amount Value
Blackfeet National Bank, 5.75%, 11/13/98 ^ $92,000 $91,622
D. Edward Wells Federal Credit Union, 5.00%,
11/20/98 ^ 50,000 47,795
First American Credit Union, 5.75%,
12/23/98 ^ 92,000 91,559
Mission Area Federal Credit Union, 4.95%,
11/18/98 ^ 50,000 49,796
New Alternative Federal, 5.25%, 11/18/98 ^ 50,000 48,596
Northeast Community Federal Credit Union,
5.00%, 11/18/98 ^ 50,000 49,815
South Shore Bank of Chicago:
5.55%, 12/6/98 ^ 100,000 99,554
5.30%, 2/9/99 350,000 348,439
Total Certificates of Deposit
(Cost $834,000) 827,176
Convertible Debenture Bonds - 0.0%
Evergreen Solar, 8.00%, 12/23/98 * 150,000 149,700
WorldWater, Inc., 9.00%, 9/28/97 * @ 150,000 45,000
Total Convertible Debenture Bonds
(Cost $300,000) 194,700
Community Loan Notes - 0.7%
Accion International Corp., 4.00%, 1/13/00 250,000 238,490
Accion US Bridge Fund, 4.00%, 1/12/01 100,000 95,396
Boston Community Loan Fund, 4.50%, 1/12/01 500,000 478,730
Cascadia Revolving Fund, 4.00%, 4/7/98 75,000 74,889
Chicago Community Loan Fund, 4.50%, 6/30/98 75,000 73,884
Coastal Enterprises, Inc., 4.50%, 6/30/99 100,000 98,589
Community Reinvestment Fund:
4.00%, 4/5/00 100,000 94,145
6.35%, 6/1/15 100,000 89,718
Co-op Fund of New England, Inc., 4.00%, 1/13/00 105,000 100,166
Delaware Valley Community Reinvestment Fund,
4.00%, 6/30/99 75,000 73,862
Eastside Community Investment, 4.00%, 4/5/00 @ 100,000 50,000
Ecumenical Development Corp., 5.00%, 12/31/01 100,000 96,097
Enterprise Loan Fund, 3.50%, 6/30/98 50,000 49,142
Environmental Enterprises, Inc., 4.50%, 6/28/99 125,000 123,236
First State Community Loan Fund, 4.00%, 1/15/99 25,000 23,849
Foundation for International Community Asst.,
3.50%, 4/30/01 50,000 49,698
Housing Assistance Council, 4.50%, 6/30/02 75,000 73,942
Institute for Community Economics:
4.50%, 10/1/01 250,000 243,118
4.50%, 1/13/00 150,000 143,619
Interfaith Housing Delaware, 4.50%, 12/31/98 @ 50,000 40,000
<PAGE>
Principal
Community Loan Notes (Cont'd) Amount Value
Low Income Housing Fund:
4.00%, 1/13/99 $50,000 $47,698
3.50%, 9/30/99 100,000 96,807
Manna, Inc., 4.50%, 9/30/02 250,000 243,118
Michigan Housing Trust, 4.50%, 6/28/99 100,000 98,589
Micro Industry Credit Rural Corp., 4.50%, 1/13/99 100,000 95,746
Minnesota Non Profit Assistance Fund, 3.50%,
4/7/00 200,000 187,380
National Fed of Community Development
Credit Union,
3.00%, 4/7/98 300,000 299,496
New Hampshire Community Loan Fund, 4.00%,
7/15/99 250,000 245,055
New Mexico Community Loan Fund, 4.50%,
6/30/98 25,000 24,628
Nonprofit Facilities Fund, 4.50%, 6/30/99 100,000 98,589
North Country Co-op Development Fund, 4.50%,
1/12/01 100,000 95,746
Northeast Entrepreneur Fund, 3.50%, 6/30/98 50,000 49,143
Northeast South Dakota Energy Conservation Corp.,
4.50%, 1/13/99 25,000 23,936
Opportunity International, 3.50%, 9/30/99 100,000 96,807
Saint Ambrose Housing Center, 4.50%, 3/31/99 25,000 23,654
Vermont Community Loan Fund, 4.00%, 4/30/01 200,000 198,868
Washington Area Community Investment Fund,
4.50%, 12/31/01 317,000 303,515
Western Massachusetts Enterprise Fund,
4.50%, 9/30/98 50,000 48,581
Women's Self-Employment Loan Fund,
4.50%, 9/30/98 50,000 48,581
Total Community Loan Notes *
(Cost $4,847,000) 4,636,507
Corporate Bonds - 32.9%
Advanta Corp., 7.05%, 7/30/99 3,000,000 2,884,650
AGL Capital Trust, 8.17%, 6/1/37 7,000,000 7,277,200
Alco Capital Resources, Inc., 6.94%, 3/27/01 3,000,000 3,067,260
American General Finance Corp., 6.875%, 1/15/00 3,540,000 3,591,542
American Re Corp., 7.45%, 12/15/26 3,000,000 3,227,460
Aristar, Inc., 6.30%, 10/1/02 3,000,000 2,997,090
Atlantic Mutual Insurance Co., 8.15%, 2/15/28 4,000,000 4,003,828
Bank of Scotland (Governor & Co. of), 7.00%,
12/1/49 5,500,000 5,506,980
Bankboston Capital Trust III, 6.4375%, 6/15/27 3,130,000 3,068,621
Bankers Trust New York, 7.25%, 10/15/11 2,000,000 2,071,920
BNP US Funding LLC, 7.738%, 12/31/49 8,500,000 8,486,026
Cigna Corp., 6.375%, 1/15/06 5,000,000 4,935,350
Clean Air Cab, 6.00%, 12/31/98 * @ 250,000 10,000
Conseco Finance Trust II, 8.70%, 11/15/26 680,000 756,173
Conseco Finance Trust III, 8.796%, 4/1/27 2,500,000 2,818,575
Conseco, Inc., 6.40%, 2/10/03 2,000,000 1,989,700
Credit Suisse First Boston, 7.90%, 4/29/49 5,000,000 5,240,040
Crescent Real Estate Equities, 6.625%, 9/15/02 5,000,000 4,896,700
First Chicago Corp., 6.70%, 3/15/02 3,000,000 3,050,250
First Data Corp., 6.625%, 4/1/03 4,000,000 4,074,440
First Union Corp., 6.40%, 4/1/08 4,000,000 3,988,920
Fuji Bank, Ltd., 9.87%, 12/31/49 4,000,000 3,975,000
Goldman Sachs Group LP:
6.20%, 12/15/00 2,000,000 2,002,200
7.875%, 1/15/03 6,000,000 6,353,292
6.625%, 12/1/04 5,000,000 5,045,100
<PAGE>
Principal
Corporate Bonds (Cont'd) Amount Value
Greenpoint Capital Trust, 9.10%, 6/1/27 $4,960,000 $5,426,339
Greentree Financial Corp., 6.50%, 9/26/02 2,000,000 1,890,600
Harcourt General, Inc., 7.20%, 8/1/27 5,500,000 5,471,290
Homeside Lending, Inc., 6.86%, 7/2/01 7,055,000 7,177,122
Hospitality Properties Trust, 7.00%, 3/1/08 1,400,000 1,376,550
Household Finance Corp., 8.375%, 11/15/01 1,500,000 1,603,530
HSB Capital I, 6.50%, 7/15/27 2,000,000 1,981,860
Ikon Capital Resources, Inc.:
6.27%, 7/19/99 5,000,000 5,019,200
5.90%, 1/12/00 4,000,000 3,983,880
International Lease Finance Corp., 5.75%, 1/15/03 3,000,000 2,940,720
Interpool, Inc., 6.625%, 3/1/03 7,000,000 6,938,960
ITT Hartford Group, Inc., 7.30%, 11/1/15 4,000,000 4,102,800
Localiza Rent A Car, 10.25%, 10/1/05 500,000 430,000
Long Island Savings Bank, 7.00%, 6/13/02 2,500,000 2,551,025
Mark IV Industries, Inc., 7.50%, 9/1/07 6,000,000 6,000,000
Mckesson Corp., 6.55%, 11/1/02 4,000,000 4,031,520
Medpartners, Inc., 6.875%, 9/1/00 7,000,000 6,612,200
Mellon Financial Co., 6.00%, 3/1/04 2,000,000 1,970,140
Merita Bank, Ltd., 7.15%, 12/29/49 500,000 506,007
Meyer Fred, Inc., 7.375%, 3/1/05 2,000,000 1,995,000
National Association of People with AIDS,
10.00%, 1/31/98 * @ 250,000 25,000
National Australia Bank Ltd., 6.40%, 12/10/07 2,500,000 2,514,375
Nationsbank Corp., 5.375%, 4/15/00 1,600,000 1,581,872
NCB Affordable Housing/Market Rate Cooperative
First
Mortgage Certificates Series 1993-3 B, 7.50%,
1/1/992,592,435 2,644,284
Nomura Asset Securities Corp., 6.25%, 3/15/30 3,000,000 3,015,937
Pacific Bell, 8.70%, 6/15/01 3,000,000 3,231,540
Penney (J.C.), Inc.:
6.95%, 4/1/00 3,500,000 3,559,430
7.25%, 4/1/02 4,250,000 4,411,160
Picturetalk, Inc., 8.00%, 3/13/99 * 500,000 471,550
Poland Partners, 5.875%, 4/13/04 * 515,295 352,483
Prime Property Funding II, 6.80%, 8/15/02 4,000,000 4,033,600
Puget Sound Energy, 6.23%, 7/11/02 4,603,014 4,613,094
Riggs Capital II, 8.875%, 3/15/27 2,300,000 2,480,849
Sage Bruno, 6.00%, 12/31/99 * 125,000 125,000
Security Benefit Life Co., 8.75%, 5/15/16 3,000,000 3,371,052
Seventh Generation, 10.85%, 6/30/02 * 100,000 100,000
Socgen Real Estate Co., 7.64%, 12/29/49 7,500,000 7,435,290
Sun Life Canada Capital Trust I, 8.526%, 5/29/49 1,000,000 1,077,790
Swedbank Sparbank Svenge, 7.50%, 9/27/49 4,000,000 4,013,704
Time Warner Pass Thru Asset Trust, 4.90%, 7/29/99 2,740,000 2,691,140
12th Street Historic Rehabilitation Associates
Mortgage,
10.75%, 4/15/99 * @ 358,721 89,680
Venturecor, Inc. VRDN, 6.70%, 5/15/35 7,700,000 7,700,000
Xerox Capital Trust I, 8.00%, 2/1/27 8,775,0009, 211,205
Zurich Capital Trust, 8.376%, 6/1/37 3,500,000 3,799,075
Total Corporate Bonds (Cost $239,778,365) 239,876,170
<PAGE>
Principal
Municipal Obligations - 2.3% Amount Value
Chickasaw Nation COPs, 10.00%, 8/1/03 @ $5,855,000 $3,513,000
Maryland State Economic Development Corp.
Revenue Bonds:
8.00%, 10/1/05 4,000,000 4,123,320
8.625%, 10/1/19 3,750,000 4,424,737
San Mateo Redevelopment Agency Tax Allocation
Refunding Bonds, 7.125%, 8/1/08 1,415,000 1,439,522
Virginia Development Authority Revenue Bonds:
7.40%, 7/1/06 1,000,000 1,034,100
7.45%, 7/1/07 2,270,000 2,353,990
Total Municipal Obligations
(Cost $18,352,207)
16,888,669
Repurchase Agreements - 2.2%
Donaldson Lufkin Jenrette, 6.00%, dated
3/31/98, due 4/1/98
(Collateral: $16,590,741 FNMA MTN,
5.95%, 3/9/01 16,200,000 16,200,000
Total Repurchase Agreements (Cost $16,200,000) 16,200,000
Limited Partnership Interest - 0.5%
Environment Allies Investment Trust 50,000 26,433
Environment Private Equity Fund 200,000 200,474
Global Environment Emerging Markets Fund 2 1,489,000
GEEMF Partners # 255,500 511,000
Hambrecht & Quist Environmental Technology
Fund 500,000 328,019
HFG Expansion Fund I 125,000 60,578
Liberty Environmental Partners 350,000 295,116
Poland Partners 264,000 600,536
Ukraine Fund 70,000 61,204
Utah Ventures 175,000 175,000
Total Limited Partnership Interest *
(Cost $2,583,909) 3,747,360
Equity Securities - 61.9% Shares
Basic Industries - 0.3%
Sigma Aldrich 63,700 2,372,825
2,372,825
Capital Goods - 4.7%
Avery Dennison Corp. 116,530 6,219,789
Belden, Inc. 107,800 4,514,125
Dover Corp. 59,800 2,272,400
Illinois Tool Works, Inc. 76,700 4,966,325
Lear Corp. # 48,500 2,734,188
Miller Herman, Inc. 200 6,706
Sealed Air Corp. # 49,425 3,237,337
Solectron Corp. # 115,200 4,867,200
Tyco International, Ltd. 98,600 5,386,025
34,204,095
<PAGE>
Equity Securities (Cont'd) Shares Value
Communication Services - 2.2%
Ameritech Corp. 30 $1,483
Century Telephone Enterprises 93,975 5,744,222
SBC Communications, Inc. 142,040 6,196,495
Worldcom, Inc. # 100,800 4,340,700
16,282,900
Consumer Cyclicals - 7.8%
Acxiom Corp. # 168,500 4,317,813
Autozone, Inc. # 163,100 5,525,012
Barnes & Noble, Inc. # 60 2,340
Block H & R, Inc. 63,600 3,024,975
Caseys General Stores, Inc. 136,600 2,185,600
Cendant Corp. # 68,325 2,707,378
Consolidated Stores Corp. # 80,710 3,465,485
Dollar General Corp. 67,952 2,628,912
Fastenal Co. 91,800 3,981,825
Harley Davidson, Inc. 58,400 1,927,200
Home Depot, Inc. 146,720 9,894,430
Jones Apparel Group, Inc. # 55,000 3,028,437
New York Times Co. 37,700 2,639,000
Office Max, Inc. # 163,800 2,927,925
Omnicom Group 85,800 4,037,962
Penny (J.C.), Inc. 20 1,514
Real Goods Trading Corp. # 125,000 630,859
Rouse Co. 126,800 3,994,200
Viking Office Products, Inc. # 75 1,744
56,922,611
Consumer Staples - 8.4%
Bestfoods 31,300 3,658,188
Cardinal Health, Inc. 131,050 11,556,972
Colgate Palmolive Co. 32,300 2,797,988
CVS Corp. 39,300 2,967,150
Dial Corp. 128,500 3,075,968
Fort James Corp. 91,575 4,195,280
Gillette Co. 54,800 6,504,075
Heinz H J Co. 93,300 5,446,388
Hershey Foods Corp. 56,000 4,011,000
Interstate Bakeries Corp. 40 1,293
Kroger Co. # 117,400 5,422,412
Newell Company 86,700 4,199,531
Robert Half International, Inc. # 77,900 3,739,200
Sysco Corp. 129,600 3,321,000
60,896,445
Energy - 1.4%
Baker Hughes, Inc. 154,600 6,222,650
Cinergy Corp. 108,900 4,029,300
10,251,950
<PAGE>
Equity Securities (Cont'd) Shares Value
Financial Services - 13.6%
Aflac, Inc. 52,800 $3,339,600
American International Group, Inc. 73,268 9,227,189
Bank of Boston Corp. 38,650 4,261,162
Bank One Corp. 95,260 6,025,195
BankAmerica Corp. 55,700 4,602,212
Chase Manhattan Corp. 39,400 5,314,075
Conseco, Inc. 100,600 5,696,475
Countrywide Credit Industries, Inc. 59,400 3,159,338
Federal National Mortgage Assn. 111,620 7,059,965
Franklin Resources, Inc. 17,100 906,300
Greentree Financial Corp. 168,500 4,791,719
Hartford Life, Inc. 93,800 4,367,563
MGIC Investment Corp. 62,000 4,072,625
Nationsbank Corp. 36,800 2,684,100
PMI Group, Inc. 52,500 4,239,375
Price (T. Rowe) Associates, Inc. 81,900 5,763,712
State Street Boston Corp. 38,600 2,627,212
Sunamerica, Inc. 117,750 5,637,281
Umbono Investment Corp. # v 28,464,190 15,262,300
99,037,398
Media & Publishing - 0.0%
UOL Publishing, Inc. # 25,080 250,800
250,800
Pharmaceutical & Health Care - 7.1%
Aviron # 37,074 857,338
Boston Scientific Corp. # 72,400 4,887,000
Calypte Biomed # 100,000 518,750
Guidant Corp. 54,400 3,991,600
Hayes Medical Services # * 303,030 545,454
Health Management Association # 99,750 2,855,343
Healthsouth Corp. # 180,800 5,073,700
Johnson & Johnson 87,400 6,407,512
Medtronic, Inc. 50,200 2,604,125
Merck & Co., Inc. 55,612 7,139,190
Quadrant Healthcare Plc. # 305,263 684,753
R.P. Scherer Corp. # 82,000 5,535,000
Schering Plough Corp. 85,800 7,008,787
Watson Pharmaceuticals # 94,600 3,405,600
51,514,152
Real Estate Investment Trust - 0.4%
Highwood Properties, Inc. 2,500 2,611,175
2,611,175
Technology - 13.4%
Automatic Data Processing, Inc. 92,500 6,295,781
Bay Networks, Inc. # 66,900 1,814,663
BMC Software, Inc. # 116,610 9,773,375
Cisco Systems, Inc. # 84,150 5,753,756
Compaq Computer Corp. 118,400 3,063,600
<PAGE>
Equity Securities (Cont'd) Shares Value
Technology (Cont'd)
Computer Associates International, Inc .69,487 $4,012,874
Compuware Corp. # 18,200 898,625
EMC Corp. # 133,970 5,065,740
Fiserv, Inc. # 27,200 1,723,800
HBO & Co. 47,500 2,867,812
Hewlett Packard Co. 48,920 3,100,305
Intel Corp. 33,800 2,638,512
International Business Machines Corp. 50,000 5,193,750
L.M. Ericsson (ADR) 32,665 1,553,629
Microsoft Corp. # 104,940 9,392,130
Oracle Systems Corp. # 280,663 8,858,425
Parametric Technology # 195,600 6,515,925
Paychex, Inc. 82,600 4,764,987
Sterling Commerce, Inc. # 138,000 6,399,750
Sterling Software, Inc. # 94,500 5,339,250
Symantec Corp. # 96,100 2,588,693
97,615,382
Transportation - 0.5%
CNF Transportation, Inc. 108,200 3,888,438
3,888,438
Utilities - 1.5%
California Energy, Inc. # 84,700 2,392,775
MCN Corp. 225,800 8,439,293
10,832,068
Venture Capital - 0.6%
Agraquest, Inc., Series B Preferred # * 190,477 200,000
Agraquest, Inc., Series C Convertible Preferred # * 117,647 200,000
All Media Solutions, Inc. # * 307,692 132,000
Clean Air Cab # * 80 0
Coastal Venture Partners * 80,000 78,758
Community Bank of the Bay # * 4,000 100,000
Community Growth Fund * 1,237,857 532,147
Eco Timber International, Inc. # * 12,4689 9,993
Energia Global, Inc., Series A, Convertible
Preferred # * 80,129 560,903
Energia Global, Inc., Series B, Convertible
Preferred # * 28,571 199,997
Envirolutions, Inc. # * 814 26,185
Evergreen Solar # * 100,000 150,000
Evergreen Solar (warrants) # * 30,000 300
Fountainhead Technologies, Inc.,
Preferred # * 3,295 25,000
IEPF Equity Fund III # * 300,000 300,000
Knowaste LLC # * 814 81,400
Living Technologies, Inc. # * 25,000 100,000
Neighborhood Bancorp # * 10,000 100,000
Paradigm Biosciences # * 125,000 275,000
Paradigm, Inc. # * 121,591 250,000
Picturetalk (warrants) # * 22,222 0
Pro Fund International # * 4,553 4,553
Pro Fund International, Preferred # * 450,723 450,723
<PAGE>
Equity Securities (Cont'd) Shares Value
Venture Capital (Cont'd)
Take the Lead # * 23,630 $50,945
Ultrafem, Inc. # * 25,000 21,094
Ultrafem, Inc. (warrants) # * 175,000 0
Wild Planet Toys, Inc., Series B,
Preferred # * 476,190 357,142
Wind Harvest Co., Inc., Series A, Preferred # * 8,696 50,000
4,346,140
Total Equity Securities (Cost $314,648,802) 451,026,379
TOTAL INVESTMENTS
Cost $597,544,283) 100.6% 733,396,961
Other assets and liabilities, net (0.6%) (4,417,404)
Net Assets - 100% $728,979,557
Net Assets Consist of:
Paid-in-capital applicable to the following shares
of beneficial
interest; unlimited number of no par shares authorized
Class A: 20,886,690 shares outstanding $558,114,462
Class C: 329,540 shares outstanding 10,031,172
Undistributed net investment income 639,598
Accumulated net realized gain (loss) 24,341,647
Net unrealized appreciation (depreciation) on investments 135,852,678
Net Assets $728,979,557
Net Asset Value Per Share
Class A (based on net assets of $717,788,343) $34.37
Class C (based on net assets of $11,191,214) $33.96
See notes to financial statements.
<PAGE>
BOND PORTFOLIO
STATEMENT OF NET ASSETS
March 31, 1998
Principal
Corporate Bonds - 94.0% Amount Value
AGL Capital Trust, 8.17%, 6/1/37 $1,000,000 $1,039,600
Advanta Corp., 7.05%, 7/30/99 2,000,000 1,923,100
American Re Corp., 7.45%, 12/15/26 1,000,000 1,075,820
BNP US Funding LLC, 7.738%, 12/31/49 1,500,000 1,497,534
Bank of Scotland (Governor & Co. of), 7.00%,
12/1/49 1,500,000 1,501,904
Bankamerica Corp., 6.625%, 5/30/01 2,390,000 2,424,249
Bankboston Capital Trust III, 6.4375%, 6/15/27 1,000,000 980,390
Bankers Trust New York Corp., 9.00%, 8/1/01 1,850,000 2,005,715
BellSouth Savings & Employee ESOP, 9.125%,
7/1/03 167,036 181,042
Block Financial Corp., 6.75%, 11/1/04 1,500,000 1,522,080
Cable & Wireless Communication, 6.625%, 3/6/05 1,000,000 1,005,370
Citizens Utilities Co., 8.45%, 9/1/01 1,000,000 1,072,590
Conseco Financial Trust III, 8.796%, 4/01/27 2,500,000 2,818,575
Discover Card, 5.80%, 9/16/03 1,000,000 997,900
First Interstate Bancorp, 9.90%, 11/15/01 1,000,000 1,121,160
Fuji Bank, Ltd., 9.87%, 12/31/49 1,000,000 993,750
Goldman Sachs Group LP, 6.20%, 12/15/00 2,500,000 2,502,750
Greenpoint Capital Trust I, 9.10%, 6/1/27 2,000,000 2,188,040
HSB Capital I, 6.503%, 7/15/27 1,000,000 990,930
Harcourt General, Inc., 7.20%, 8/1/27 500,000 497,390
Ikon Capital Resources, Inc., 5.90%, 1/12/00 3,000,000 2,987,910
ITT Hartford Group, Inc., 7.30%, 11/1/15 1,500,000 1,538,550
International Lease Finance Corp., 5.75%, 1/15/03 2,000,000 1,960,480
Interpool, Inc., 6.625%, 3/1/03 1,000,000 991,280
K N Energy, Inc., 6.45%, 3/1/03 1,000,000 1,001,040
Mark IV Industries, Inc., 7.50%, 9/1/07 1,000,000 1,000,000
Medpartners, Inc., 6.875%, 9/1/00 1,000,000 944,600
Merita Bank, Ltd., 7.15%, 12/29/49 1,500,000 1,518,021
National Australia Bank, Ltd., 6.40%, 12/10/07 3,000,000 3,017,250
National Cooperative Bank, 7.50%, 7/1/12 777,731 794,141
Prime Property Funding II, 6.80%, 8/15/02 2,000,000 2,016,800
Riggs Capital Trust II, 8.875%, 3/15/27 2,000,000 2,157,260
Socgen Real Estate Co. LLC, 7.64%, 12/29/49 1,910,000 1,893,521
Swedbank Sparbank Svenge, 7.50%, 9/27/49 1,000,000 1,003,426
Time Warner, 4.90%, 7/29/99 1,000,000 982,168
Venturecor, Inc., 6.70%, 5/15/35 500,000 500,000
Wells Fargo & Co., 6.875%, 4/1/06 1,223,000 1,257,525
Xerox Capital Trust I, 8.00%, 2/01/27 2,000,000 2,099,420
Zurich Capital Trust, 8.376%, 6/1/37 2,500,000 2,713,625
Total Corporate Bonds (Cost $58,228,078) 58,716,906
<PAGE>
Principal
Municipal Obligations - 2.4% Amount Value
Missouri Higher Education Student Loan Revenue
Bonds,
6.80%, 2/15/01 $1,000,000 $1,017,570
Somerville, Massachusetts, U.S. Government
Guaranteed Notes,
7.12%, 8/1/01 475,000 491,962
Total Municipal Obligations (Cost $1,473,575) 1,509,532
Commercial Loan Notes - 0.2%
DC Habitat for Humanity, 4.50%, 2/17/01 * 150,000 142,740
Total Commercial Loan Notes (Cost $150,000) 142,740
Repurchase Agreements - 1.6%
Donaldson Lufkin Jenrette, 6.00%, dated 3/31/98,
due 4/1/98
(Collateral: $1,033,102 FNMA MTN,
7.84%, 8/3/06) 1,000,000 1,000,000
Total Repurchase Agreements
(Cost $1,000,000) 1,000,000
Equity Securities - 2.2% Shares
Northern Borders Partners, LP 41,000 1,386,312
Total Equity Securities (Cost $817,950) 1,386,312
TOTAL INVESTMENTS (Cost $61,669,603) 100.4% $62,755,490
Other assets and liabilities, net (0.4%) (261,942)
Net Assets 100% $62,493,548
Net Assets Consist of:
Paid-in-capital applicable to the following
3,744,916 Class A shares
of beneficial interest, unlimited number
of no par value
shares authorized $60,657,959
Undistributed net investment income 82,022
Accumulated net realized gain (loss) 667,680
Net unrealized appreciation (depreciation) on investments 1,085,887
Net Assets $62,493,548
Net Asset Value Per Share $16.69
See notes to financial statements.
<PAGE>
EQUITY PORTFOLIO
STATEMENT OF NET ASSETS
March 31, 1998
Equity Securities - 95.7% Shares Value
Basic Industries - 9.7%
Morton International, Inc. 111,000 $3,642,187
Nalco Chemical Co. 105,600 4,283,400
Praxair, Inc. 120,000 6,172,500
UCAR International, Inc. # 90,000 2,823,750
16,921,837
Capital Goods - 8.9%
Danka Business Systems, Plc. 227,400 4,178,475
Deere & Co. 37,400 2,316,462
Dover Corp. 36,000 1,368,000
Ocean Energy, Inc. # 171,600 4,043,325
Sensormatic Electronics Co. 225,500 3,692,563
15,598,825
Communication Services - 3.9%
Ameritech Corp. 90,000 4,449,375
SBC Communications, Inc. 53,864 2,349,817
6,799,192
Consumer Cyclicals - 17.5%
American Greetings Corp. 100 4,600
Black & Decker Corp. 117,400 6,229,538
Federated Department Stores, Inc. # 100,000 5,181,250
General Nutrition Companies, Inc. # 74,800 2,973,300
Liz Claiborne, Inc. 73,500 3,665,813
Masco Corp. 93,400 5,557,300
Office Depot, Inc. # 100 3,113
Office Max, Inc. # 100 1,788
Reebok International, Ltd. # 82,100 2,504,050
Viad Corp. 184,200 4,466,850
30,587,602
Consumer Staples - 11.3%
Albertsons, Inc. 100 5,263
Colgate Palmolive Co. 46,000 3,984,750
Kroger Co. # 140,000 6,466,250
Manpower, Inc. 115,800 4,675,425
Rubbermaid, Inc. 160,000 4,560,000
19,691,688
Energy - 1.9%
Enron Corp. 144,000 3,303,000
3,303,000
<PAGE>
Equity Securities (Cont'd) Shares Value
Financial Services - 5.1%
BankAmerica Corp. 56,000 $4,627,000
Chubb Corp. 54,000 4,232,250
USF&G Corp. 100 2,494
8,861,744
Pharmaceutical & Health Care - 5.2%
Healthsouth Corp. # 185,000 5,191,563
Merck & Co., Inc. 30,000 3,851,250
9,042,813
Technology - 24.5%
Applied Materials, Inc. # 150,000 5,296,875
Cabletron Systems, Inc. # 120,000 1,747,500
Compaq Computer Corp. 150,000 3,881,250
EMC Corp. # 155,000 5,860,937
Gateway 2000, Inc. # 139,500 6,547,781
Ikon Office Solutions, Inc. 118,500 4,095,656
Intel Corp. 50,000 3,903,125
Quantum Corp. # 200,000 4,262,500
Sun Microsystems, Inc. # 100,000 4,171,875
3Com Corp. # 85,000 3,054,687
42,822,186
Transportation - 7.7%
CNF Transportation, Inc. 114,900 4,129,218
FDX Corp. # 70,000 4,978,750
Ryder System, Inc. 115,000 4,370,000
US Freightways Corp. 100 3,600
13,481,568
Total Equity Securities (Cost $140,622,100) 167,110,455
Principal
Commercial Loan Notes - 0.1% Amount Value
Primary Care Development Corp., 4.50%, 2/17/01 * $200,000 190,370
Total Commercial Loan Notes (Cost $200,000) 190,370
Repurchase Agreements - 4.7%
Donaldson Lufkin Jenrette, 6.00%, dated 3/31/98,
due 4/1/98
(Collateral: $8,404,693 Sallie Mae MTN,
5.73%, 3/3/00) 8,200,000 8,200,000
Total Repurchase Agreements (Cost $8,200,000) 8,200,000
TOTAL INVESTMENTS
(Cost $149,022,100) 100.5% 175,500,825
Other assets and liabilities, net (0.5%) (790,849)
Net Assets 100% $174,709,976
<PAGE>
Net Assets Consist of: Value
Paid-in-capital applicable to the following shares
of beneficial
interest; unlimited number of no par shares
authorized
Class A: 6,409,882 shares outstanding $130,296,247
Class C: 326,946 shares outstanding 7,094,610
Undistributed net investment income (191,201)
Accumulated net realized gain (loss) 11,031,595
Net unrealized appreciation (depreciation) on investments 26,478,725
Net Assets $174,709,976
Net Asset Value Per Share
Class A (based on net assets of $166,740,567) $26.01
Class C (based on net assets of $7,969,409) $24.38
see notes to financial statements.
^ These certificates of deposit are fully insured by agencies of the
federal government.
# Non-income producing
* Restricted securities representing 2.0% of net assets of the Managed Growth,
.2% of Bond, and .1% of Equity.
v See Note B.
@ This security is in default.
Explanation of Guarantees:
BPA: Bond-Purchase Agreement LOC: Letter of Credit
GA: Guarantee Agreement TOA: Tender Option Agreement
Abbreviations:
VRDN: Variable Rate Demand Notes
MFH: Multi-family Housing
COP's: Certificates of Participation
<PAGE>
STATEMENTS OF OPERATIONS
SIX MONTHS ENDED MARCH 31, 1998
Money Managed
Market Growth
Net Investment Income Portfolio Portfolio
Investment Income
Interest income $4,894,028 $9,718,838
Dividend income (net of foreign taxes
Withheld of $2,166 for Managed Growth) 1,518,901
Total investment income 4,894,028 11,237,739
Expenses
Investment advisory fee 418,608 2,047,903
Transfer agency fees and expenses 244,788 434,401
Distribution Plan expenses:
Class A- 800,044
Class C- 48,214
Trustees' fees and expenses 23,041 103,429
Custodian fees 12,392 65,175
Registration fees 15,888 26,685
Reports to shareholders 45,062 106,081
Professional fees 6,507 133,596
Miscellaneous 43,521 133,382
Reimbursement from Advisor (64,852) (34,542)
Total expenses 744,955 3,864,368
Fees paid indirectly (12,392) (65,175)
Net expenses 732,563 3,799,193
Net Investment Income 4,161,465 7,438,546
Realized and Unrealized
Gain (Loss) on Investments
Net realized gain (loss) on:
Securities 80 31,615,942
Futures - (16,238)
80 31,599,704
Change in unrealized appreciation or depreciation 30,393,371
Net Realized and Unrealized
Gain (Loss) on Investments 80 61,993,075
Increase (Decrease) in Net Assets
Resulting From Operations $4,161,545 $69,431,621
See notes to financial statements.
<PAGE>
STATEMENTS OF OPERATIONS
SIX MONTHS ENDED MARCH 31, 1998
Bond Equity
Net Investment Income Portfolio Portfolio
Investment Income
Interest income $2,086,566 $39,908
Dividend income - 714,811
Total investment income 2,086,566 754,719
Expenses
Investment advisory fee 167,888 439,174
Transfer agency fees and expenses 58,303 174,074
Distribution Plan expenses:
Class A 61,050 172,122
Class C - 33,587
Trustees' fees and expenses 8,510 26,987
Custodian fees 10,648 10,351
Registration fees 8,397 18,137
Reports to shareholders 12,543 41,350
Professional fees 2,469 4,942
Miscellaneous 14,081 35,547
Total expenses 343,889 956,271
Fees paid indirectly (10,648) (10,351)
Net expenses 333,241 945,920
Net Investment Income 1,753,325 (191,201)
Realized and Unrealized
Gain (Loss) on Investments
Net realized gain (loss) 324,318 14,887,499
Change in unrealized appreciation or depreciation (139,368) (2,280,526)
Net Realized and Unrealized
Gain (Loss) on Investments 184,950 12,606,973
Increase (Decrease) in Net Assets
Resulting From Operations $1,938,275 $12,415,772
See notes to financial statements.
<PAGE>
MONEY MARKET PORTFOLIO
Statements of Changes in Net Assets
Six Months Year
Ended Ended
March 31, September 30,
Increase (Decrease) in Net Assets 1998 1997
Operations
Net investment income $4,161,465 $7,946,799
Net realized gain (loss) 80 1,226
Increase (Decrease) in Net Assets
Resulting From Operations 4,161,545 7,948,025
Distributions to shareholders from
Net investment income (4,149,592) (7,947,645)
Capital share transactions:
Shares sold 79,365,208 169,708,929
Reinvestment of distributions 3,910,434 7,481,634
Shares redeemed (76,099,967) (177,596,704)
7,175,675 (406,141)
See notes to financial statements.
<PAGE>
Total Increase (Decrease)
in Net Assets 7,187,628 (405,761)
Net Assets
Beginning of period 166,110,561 166,516,322
End of period (including undistributed
net investment
income of $11,890 and $17, respectively) $173,298,189 $166,110,561
Capital Share Activity
Shares sold 79,365,208 169,708,929
Reinvestment of distributions 3,910,434 7,481,634
Shares redeemed (76,099,967) (177,596,704)
Total capital share activity 7,175,675 (406,141)
MANAGED GROWTH PORTFOLIO
Statements of Changes in Net Assets
Six Months Year
Ended Ended
March 31, September 30,
Increase (Decrease) in Net Assets 1998 1997
Operations
Net investment income $7,438,546 $16,012,323
Net realized gain (loss) 31,599,704 78,959,819
Change in net unrealized appreciation
or depreciation 30,393,371 31,223,397
Increase (Decrease) in Net Assets
Resulting From Operations 69,431,621 126,195,539
Distributions to shareholders from
Net investment income:
Class A Shares (7,407,729) (15,615,127)
Class C Shares (59,457) (108,855)
Net realized gain:
Class A Shares (64,690,995) (39,194,997)
Class C Shares (945,605) (483,529)
Total distributions (73,103,786) (55,402,508)
Capital share transactions:
Shares sold:
Class A Shares 34,270,812 91,060,464
Class C Shares 2,075,863 3,006,364
Reinvestment of distributions:
Class A Shares 66,808,731 50,874,854
Class C Shares 986,627 576,655
Shares redeemed:
Class A Shares
(54,956,164)(131,005,332)
Class C Shares (738,142) (2,299,384)
Total capital share transactions 48,447,727 12,213,621
Total Increase (Decrease)
in Net Assets 44,775,562 83,006,652
Net Assets
Beginning of period 684,203,995 601,197,343
End of period (including undistributed
net investment
income of $639,598 and $668,238,
respectively) $728,979,557 $684,203,995
Capital Share Activity
Shares sold:
Class A Shares 1,031,230 2,817,950
Class C Shares 62,109 94,710
Reinvestment of distributions:
Class A Shares 2,159,063 1,649,098
Class C Shares 32,308 18,971
Shares redeemed:
Class A Shares (1,665,292) (4,069,195)
Class C Shares (22,608) (72,209)
Total capital share activity 1,596,810 439,325
See notes to financial statements.
<PAGE>
BOND PORTFOLIO
Statements of Changes in Net Assets
Six Months Year
Ended Ended
March 31, September 30,
Increase (Decrease) in Net Assets 1998 1997
Operations
Net investment income $1,753,325 $3,581,523
Net realized gain (loss) 324,318 1,243,910
Change in net unrealized appreciation
or depreciation (139,368) 941,907
Increase (Decrease) in Net Assets
Resulting From Operations 1,938,275 5,767,340
Distributions to shareholders from
Net investment income:
Class A Shares (1,776,880) (3,580,791)
Class C Shares - (4,713)
Total distributions (1,776,880) (3,585,504)
Capital share transactions:
Shares sold:
Class A Shares 6,719,830 10,499,743
Class C Shares - 86,938
Reinvestment of distributions:
Class A Shares 1,872,420 2,785,981
Class C Shares - 4,537
Shares redeemed:
Class A Shares (5,916,194) (18,062,343)
Class C Shares - (1,540,798)
Total capital share transactions 2,676,056 (6,225,942)
Total Increase (Decrease)
In Net Assets 2,837,451 (4,044,106)
Net Assets
Beginning of period 59,656,097 63,700,203
End of period (including undistributed net investment
income of $82,022 and $105,577,
respectively) $62,493,548 $59,656,097
Capital Share Activity
Shares sold:
Class A Shares 400,717 645,000
Class C Shares - 4,676
Reinvestment of distributions:
Class A Shares 112,062 171,179
Class C Shares - 283
Shares redeemed:
Class A Shares (352,810) (1,107,488)
Class C Shares - (95,628)
Total capital share activity 159,969 (381,978)
See notes to financial statements.
<PAGE>
EQUITY PORTFOLIO
Statements of Changes in Net Assets
Six Months Year
Ended Ended
March 31, September 30,
Increase (Decrease) in Net Assets 1998 1997
Operations
Net investment income (loss) $(191,201) $(14,475)
Net realized gain (loss) 14,887,499 16,858,163
Change in net unrealized appreciation
or depreciation (2,280,526) 17,734,994
Increase (Decrease) in Net Assets
Resulting From Operations 12,415,772 34,578,682
Distributions to shareholders from
Net investment income:
Class A Shares - (35,431)
Class C Shares - (1,209)
Net realized gain:
Class A Shares (18,420,845) (6,816,291)
Class C Shares (881,468) (231,649)
Total distributions (19,302,313) (7,084,580)
Capital share transactions:
Shares sold:
Class A Shares 19,470,665 35,065,087
Class C Shares 1,983,693 2,841,400
Reinvestment of distributions:
Class A Shares 16,509,346 6,224,717
Class C Shares 847,820 221,462
Shares redeemed:
Class A Shares (9,700,643) (22,155,024)
Class C Shares (765,268) (780,271)
Total capital share transactions 28,345,613 21,417,371
Total Increase (Decrease)
in Net Assets 21,459,072 48,911,473
Net Assets
Beginning of period 153,250,904 104,339,431
End of period (including undistributed
net investment
income of $(191,201) and $0, respectively) $174,709,976 $153,250,904
Capital Share Activity
Shares sold:
Class A Shares 761,912 1,437,044
Class C Shares 80,837 122,108
Reinvestment of distributions:
Class A Shares 735,052 273,375
Class C Shares 40,162 10,163
Shares redeemed:
Class A Shares (381,342) (911,939)
Class C Shares (31,031) (33,306)
Total capital share activity 1,205,590 897,445
See notes to financial statements.
<PAGE>
NOTES TO FINANCIAL STATEMENTS
Note A - Significant Accounting Policies
General: The Calvert Social Investment Fund (the "Fund") is registered under
the Investment Company Act of 1940 as a diversified, open-end management
investment company. The Fund operates as a series fund with four separate
portfolios: Money Market, Managed Growth, Bond and Equity. Each Portfolio
offers shares of beneficial interest. Money Market shares are sold without a
sales charge. Managed Growth and Equity offer both Class A and Class C shares.
Class A shares are sold with a maximum front-end sales charge of 4.75% (3.75%
for Bond). Class C shares, which have no transaction-based sales charge, have
a higher annual expense rate than Class A. Each class has different: (a)
dividend rates, due to differences in Distribution Plan expenses and other
class specific expenses, (b) exchange privileges and (c) class specific voting
rights. On October 29, 1996, all outstanding Class C shares in the Bond
Portfolio were converted into an equivalent value of Class A shares. This
transaction was a non-taxable exchange and no sales charge was applied to the
Class A shares issued.
Security Valuation: Securities listed or traded on a national securities
exchange are valued at the last reported sale price. Unlisted securities and
listed securities for which the last sale price is not available are valued at
the most recent bid price or based on a yield equivalent obtained from the
securities' market maker. Municipal securities are valued utilizing the
average of bid prices or at bid prices based on a matrix system (which
considers such factors as security prices, yields, maturities and ratings)
furnished by dealers through an independent pricing service. Foreign security
prices, furnished by quotation services in the security's local currency, are
translated using the current U.S. dollar exchange rate. All securities held by
Money Market are valued at amortized cost which approximates market. The Fund
may invest in securities whose resale is subject to restrictions. Restricted
securities and other securities and assets for which market quotations are not
available or deemed inappropriate are valued in good faith under the direction
of the Board of Trustees.
In determining fair value, the Board considers all relevant qualitative and
quantitative information available. These factors are subject to change over
time and are reviewed periodically. The values assigned to fair value
investments are based on available information and do not necessarily
represent amounts that might ultimately be realized, since such amounts depend
on future developments inherent in long-term investments. However, because of
the inherent uncertainty of valuation, those estimated values may differ
significantly from the values that would have been used had a ready market of
the investments existed, and the differences could be material.
At March 31, 1998, $20,801,158 or 2.9% of net assets, for Managed Growth,
$142,740 or .2% for Bond, and $190,370 or .1% for Equity were valued by the
Board of Trustees.
Repurchase Agreements: The Fund may enter into repurchase agreements with
recognized financial institutions or registered broker/dealers and, in all
instances, holds underlying securities with a value exceeding the total
repurchase price, including accrued interest. Although risk is mitigated by
the collateral, the Fund could experience a delay in recovering its value and
a possible loss of income or value if the counterparty fails to perform in
accordance with the terms of the agreement.
Options: The Fund may write or purchase option securities. The option premium
is the basis for recognition of unrealized or realized gain or loss on the
option. The cost of securities acquired or the proceeds from securities sold
through the exercise of the option is adjusted by the amount of the premium.
Risks from writing or purchasing option securities arise from possible
illiquidity of the options market and the movement in the value of the
investment or in interest rates. The risk associated with purchasing options
is limited to the premium originally paid.
Futures Contracts: The Fund may enter into futures contracts agreeing to
buy or sell a financial instrument for a set price at a future date. The Fund
maintains securities with a value equal to its obligation under each contract.
Initial margin deposits of either cash or securities are made upon entering into
futures contracts; thereafter, variation margin payments are made or received
daily reflecting the change in market value. Unrealized or realized gains and
losses are recognized based on the change in market value. Risks of futures
contracts arise from the possible illiquidity of the futures markets and the
movement in the value of the investment or in interest rates. Security
Transactions and Investment Income: Security transactions are accounted for on
trade date. Realized gains and losses are recorded on an identified cost basis.
Dividend income is recorded on the ex-dividend date or, in the case of dividends
on certain foreign securities, as soon as the Fund is informed of the
ex-dividend date. Interest income, accretion of discount and amortization of
premium are recorded on an accrual basis. Investment income, expenses and
realized and unrealized gains and losses are allocated to separate classes of
shares based upon the relative net assets of each class. Foreign Currency
Transactions: The Fund's accounting records are maintained in U.S. dollars. For
valuation of assets and liabilities on each date of net asset value
determination, foreign denominations are translated into U.S. dollars using the
current exchange rate. Security transactions, income and expenses are converted
at the prevailing rate of exchange on the date of the event. The effect of
changes in foreign exchange rates on securities is included in the net realized
and unrealized gain or loss on securities. Distributions to Shareholders:
Distributions to shareholders are recorded by the Fund on ex-dividend date.
Dividends from net investment income are paid monthly by Money Market (accrued
daily) and Bond, quarterly by Managed Growth and annually by Equity.
Distributions from net realized capital gains, if any, are paid at least
annually. Distributions are determined in accordance with income tax regulations
which may differ from generally accepted accounting principles; accordingly,
periodic reclassifications are made within the Fund's capital accounts to
reflect income and gains available for distribution under income tax
regulations.
Estimates: The preparation of the financial statements in conformity with
generally accepted accounting principles requires management to make estimates
and assumptions that affect the reported amount of assets and liabilities and
disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of income and expenses during the reported
period. Actual results could differ from those estimates.
Expense Offset Arrangement: The Fund has an arrangement with its custodian
bank whereby the custodian's fees are paid indirectly by credits earned on
each Portfolio's cash on deposit with the bank. Such deposit arrangement is an
alternative to overnight investments.
Federal Income Taxes: No provision for federal income or excise tax is
required since the Fund intends to continue to qualify as a regulated
investment company under the Internal Revenue Code and to distribute
substantially all of its earnings.
Note B - Related Party Transactions
Calvert Asset Management Company, Inc. (the "Advisor") is wholly-owned by
Calvert Group, Ltd. ("Calvert"), which is indirectly wholly-owned by Acacia
Mutual Life Insurance Company. The Advisor provides investment advisory
services and pays the salaries and fees of officers and affiliated Trustees of
the Fund. For its services, the Advisor receives monthly fees based on the
following annual rates of average daily net assets: .50% for Money Market,
.65% for Bond and .70% for Equity. Effective March 1997 the Advisor agreed to
reduce its fee to .55% for Bond until March 2000. Under the terms of the
agreement, $86,786, $453,119, $36,939 and $103,212 were payable at period end
for Money Market, Managed Growth, Bond and Equity, respectively. Effective
June 1995, Equity began paying a monthly performance fee of plus or minus
.20%, on an annual basis, of average daily net assets of the performance
period depending on the Portfolio's performance compared to the Standard &
Poor's 500 Index Total Return. For Managed Growth, the Advisor receives a
monthly fee based on the following annual rates of average daily net assets:
.70% on the first $500 million, .675% on the next $500 million and .65% on the
excess of $1 billion. Effective January, 1997, Managed Growth began paying a
monthly performance fee of plus or minus .15%, on an annual basis, of average
daily net assets of the performance period depending on the portfolio's
performance compared to the Lipper Balanced Funds Index. For the six months
ended March 31, 1998, the performance fee adjustment increased (or decreased)
management fees by $(108,186) and $(308,063) for Equity and Managed Growth,
respectively.
The Advisor reimburses the Portfolios for their respective operating expenses
(excluding brokerage fees, taxes, interest, Distribution Plan expenses and
extraordinary items) exceeding the following annual rates of average daily net
assets: 1.5% on the first $30 million and 1.0% on the excess of $30 million
for Money Market, Managed Growth and Bond.
Calvert Distributors, Inc., an affiliate of the Advisor, is the distributor
and principal underwriter for the Fund. Distribution Plans, adopted by each
class of shares, allow the Portfolios to pay the distributor for expenses and
services associated with distribution of shares. The expenses paid may not
exceed .35% and 1.0% annually of average daily net assets of each Class A and
Class C for Managed Growth, Bond and Equity, respectively. The expenses of
Money Market are limited to .25% annually of average daily net assets. Under
the terms of the agreement, $152,319, $21,228, and $38,341 were payable at
period end for Managed Growth, Bond and Equity, respectively.
The Distributor received the following as its portion of the commissions
charged on sales of each Portfolio's shares: $167,206 for Managed Growth,
$27,812 for Bond and $117,405 for Equity.
Calvert Shareholder Services, Inc., an affiliate of the Advisor, acts as
transfer, dividend disbursing and shareholder servicing agent for the Fund.
Under the terms of the agreement, $21,466, $21,969, $3,093 and $10,908 were
payable at period end for Money Market, Managed Growth, Bond and Equity,
respectively. Each Trustee who is not affiliated with the Advisor receives an
annual fee of $15,430 plus $600 for each Board and Committee meeting attended.
Additional fees of up to $10,000 annually may be paid to the Chairperson of
special committees of the Board. Trustee's fees are allocated to each of the
funds served.
Umbono Investment Corp., which is an affiliate because Managed Growth owns
over 55% of the voting securities, was purchased at a cost of $7,861,821 for
28,464,190 shares.
Note C - Investment Activity
During the period, purchases and sales of investments, other than short-term
securities, were:
Managed
Growth Bond Equity
Purchases :$556,397,446 $134,689,370 $88,186,747
Sales: 563,442,266 124,961,700 82,285,527
Money Market held only short-term investments.
The cost of investments owned at March 31, 1998 was substantially the same
for federal income tax and financial reporting purposes for each Portfolio. The
following table presents the components of net unrealized appreciation
(depreciation) as of March 31, 1998 and the net realized capital loss
carryforwards as of March 31, 1998 with expiration dates:
Money Managed
Market Growth Bond Equity
Unrealized appreciation - $144,363,291 $1,320,034 $32,945,104
Unrealized (depreciation) - 8,510,613 234,147 6,466,379
Capital loss carryforward 29,874 - -
Expiration dates 1998-2004 - -
Capital losses may be utilized to offset current and future capital gains
until expiration.
As a cash management practice, Portfolios may sell or purchase short-term
variable rate demand notes from other Portfolios managed by the Advisor. All
transactions are executed at independently derived prices.
Note D - Line of Credit
Effective July 1, 1997, a financing agreement is in place with all Calvert
Group Funds and State Street Bank and Trust Company ("the Bank"). Under the
agreement, the Bank is providing an unsecured line of credit facility, in the
aggregate amount of $50 million ($25 million committed and $25 million
uncommitted), to be accessed by the Funds for temporary or emergency purposes
only. Borrowings under this facility bear interest at the overnight Federal
Funds Rate plus .50% per annum. A commitment fee of .10% per annum will be
incurred on the unused portion of the committed facility which will be allocated
to all participating funds. This fee is paid quarterly in arrears. The Fund had
no loans outstanding pursuant to this line of credit at March 31, 1998.
Note E - Subsequent Events
Effective April 1, 1998, the Fund will begin to offer Class B shares of
beneficial interest for Managed Growth, Bond and Equity. Class B shares are
sold without a front-end sales charge. With certain exceptions, the Portfolios
will impose a deferred sales charge at the time of redemption, depending on
how long you have owned the shares. Class B shares have a higher level of
expenses than Class A shares, including higher Distribution Plan expenses.
Effective June 1, 1998, the Fund will begin to offer Class C shares of
beneficial interest for Bond and convert the existing Class C shares to new
Class C shares of Managed Growth and Equity. Class C shares will be sold
without a front-end sales charge. With certain exceptions, the Portfolios may
impose a deferred sales charge on shares sold within one year. Class C shares
will have a higher level of expenses than Class A shares, including higher
Distribution Plan expenses.
On April 15, 1998, the Fund will offer a new series, the Calvert Social
Investment Fund Managed Index Portfolio. The Portfolio offers four classes of
shares, Class A, Class B, Class C and Class I. The Classes have different
sales charges and other expenses which will result in different performance.
They also have different shareholder servicing, conversion and exchange
privileges. Classes A, B and I will become effective April 15, 1998. Class C
is to become effective June 1, 1998.
<PAGE>
MONEY MARKET PORTFOLIO
FINANCIAL HIGHLIGHTS
Periods Ended
March 31, Sept.30, Sept. 30,
1998 1997 1996
Net asset value, beginning $1.00 $1.00 $1.00
Income from investment operations
Net investment income .025 .048 .048
Distributions from
Net investment income (.025) (.048) (.048)
Net asset value, ending $1.00 $1.00 $1.00
Total return 2.49% 4.89% 4.88%
Ratios to average net assets:
Net investment income 4.97%(a) 4.79% 4.77%
Total expenses+ .89%(a) .89% .89%
Net expenses .87%(a) .87% .87%
Expenses reimbursed .08%(a) .11% .21%
Net assets, ending (in thousands) $173,298 $166,111 $166,516
Number of shares outstanding,
ending (in thousands) 173,338 166,163 166,569
Years Ended
Sept.30, Sept.30, Sept.30,
1995 1994 1993
Net asset value, beginning $1.00 $1.00 $1.00
Income from investment operations
Net investment income .050 .031 .025
Distributions from
Net investment income (.050) (.031) (.025)
Net asset value, ending $1.00 $1.00 $1.00
Total return 5.13% 3.13% 2.56%
Ratios to average net assets:
Net investment income 5.03% 3.07% 2.54%
Total expenses+ .89% N/A N/A
Net expenses .87% .87% .87%
Expenses reimbursed .18% .18% .20%
Net assets, ending (in thousands) $153,996 $143,779 $144,985
Number of shares outstanding,
ending (in thousands) 154,044 143,826 145,031
<PAGE>
MANAGED GROWTH PORTFOLIO
FINANCIAL HIGHLIGHTS
Periods Ended
March 31, Sept.30, Sept. 30,
Class A Shares 1998 1997 1996
Net asset value, beginning $34.88 $31.35 $32.81
Income from investment operations
Net investment income .37 .83 .78
Net realized and unrealized
gain (loss) 2.85 5.61 2.28
Total from investment operations 3.22 6.44 3.06
Distributions from
Net investment income (.37) (.81) (.77)
Net realized gain (3.36) (2.10) (3.75)
Total distributions (3.73) (2.91) (4.52)
Total increase (decrease) in net
asset value (.51) 3.53 (1.46)
Net asset value, ending $34.37 $34.88 $31.35
Total return* $10.48% 21.94% 10.27%
Ratios to average net assets:
Net investment income 2.20%(a) 2.57% 2.58%
Total expenses+ 1.12%(a) 1.14% 1.28%
Net expenses 1.10%(a) 1.12% 1.26%
Expenses reimbursed .01%(a) - .01%
Portfolio turnover 87% 215% 111%
Average commission rate paid $.0496 $.0508 $.0489
Net assets, ending (in thousands) $717,788 $675,306 $594,482
Number of shares outstanding,
ending (in thousands) 20,887 19,362 18,964
Years Ended
Sept. 30, Sept. 30, Sept. 30,
Class A Shares 1995 1994 1993
Net asset value, beginning $28.77 $30.85 $29.35
Income from investment operations
Net investment income .87 .93 .95
Net realized and unrealized
gain (loss) 4.25 (1.83) 1.91
Total from investment operations 5.12 (.90) 2.86
Distributions from
Net investment income (.87) (.95) (.95)
Net realized gain (.21) (.23) (.41)
Total distributions (1.08) (1.18) (1.36)
Total increase (decrease) in net
asset value 4.04 (2.08) 1.50
Net asset value, ending $32.81 $28.77 $30.85
Total return* 18.21% (2.95%) 9.98%
Ratios to average net assets:
Net investment income 2.89% 3.14% 3.25%
Total expenses+ 1.28% N/A N/A
Net expenses 1.26% 1.24% 1.25%
Expenses reimbursed .02% - -
Portfolio turnover 114% 34% 33%
Average commission rate paid N/A N/A N/A
Net assets, ending (in thousands) $560,981 $512,027 $536,170
Number of shares outstanding,
ending (in thousands) 17,099 17,800 17,378
<PAGE>
MANAGED GROWTH PORTFOLIO
FINANCIAL HIGHLIGHTS
Periods Ended
March 31, Sept. 30, Sept. 30,
Class C Shares 1998 1997 1996
Net asset value, beginning $34.52 $31.05 $32.60
Income from investment operations
Net investment income .20 .47 .46
Net realized and unrealized
gain (loss) 2.80 5.54 2.17
Total from investment operations 3.00 6.01 2.63
Distributions from
Net investment income (.20) (.44) (.43)
Net realized gain (3.36) (2.10) (3.75)
Total distributions (3.56) (2.54) (4.18)
Total increase (decrease) in net
asset value (.56) 3.47 (1.55)
Net asset value, ending $33.96 $34.52 $31.05
Total return* 9.88% 20.56% 8.85%
Ratios to average net assets:
Net investment income 1.10%(a) 1.42% 1.34%
Total expenses+ 2.22%(a) 2.29% 2.52%
Net expenses 2.21%(a) 2.27% 2.50%
Expenses reimbursed - - .14%
Portfolio turnover 87% 215% 111%
Average commission rate paid $.0496 $.0508 $.0489
Net assets, ending (in thousands) $11,191 $8,898 $6,715
Number of shares outstanding,
ending (in thousands) 330 258 216
Years Ended
Sept.30, Sept. 30,
Class C Shares 1995 1994^
Net asset value, beginning $28.65 $30.43
Income from investment operations
Net investment income .54 .51
Net realized and unrealized
gain (loss) 4.20 (1.66)
Total from investment operations 4.74 (1.15)
Distributions from
Net investment income (.58) (.63)
Net realized gain (.21) -
Total distributions (.79) (.63)
Total increase (decrease) in net
asset value 3.95 (1.78)
Net asset value, ending $32.60 $28.65
Total return* 16.85% (3.30%)
Ratios to average net assets:
Net investment income 1.61% 1.83%(a)
Total expenses+ 2.51% N/A
Net expenses 2.50% 2.47%(a)
Expenses reimbursed .42% 1.46%(a)
Portfolio turnover 114% 34%
Average commission rate paid N/A N/A
Net assets, ending (in thousands) $4,065 $1,893
Number of shares outstanding,
ending (in thousands) 125 66
<PAGE>
BOND PORTFOLIO
FINANCIAL HIGHLIGHTS
Periods Ended
March 31, Sept. 30, Sept. 30,
Class A Shares 1998 1997 1996
Net asset value, beginning $16.64 $16.06 $16.34
Income from investment operations
Net investment income .48 .96 .92
Net realized and unrealized
gain (loss) .22 .58 (.29)
Total from investment operations .70 1.54 .63
Distributions from
Net investment income (.49) (.96) (.91)
Net realized gain (.16) - -
Total distributions (.65) (.96) (.91)
Total increase (decrease) in net
asset value .05 .58 (.28)
Net asset value, ending $16.69 $16.64 $16.06
Total return* 4.26% 9.89% 3.96%
Ratios to average net assets:
Net investment income 5.74%(a) 5.85% 5.60%
Total expenses+ 1.13%(a) 1.23% 1.29%
Net expenses 1.09%(a) 1.19% 1.26%
Portfolio turnover 241% 319% 22%
Net assets, ending (in thousands) $62,494 $59,656 $62,259
Number of shares outstanding,
ending (in thousands) 3,745 3,585 3,876
Years Ended
Sept. 30, Sept. 30, Sept.30,
Class A Shares 1995 1994 1993
Net asset value, beginning $15.49 $17.77 $17.05
Income from investment operations
Net investment income .96 .94 1.08
Net realized and unrealized
gain (loss) .91 (1.81) .85
Total from investment operations 1.87 (.87) 1.93
Distributions from
Net investment income (.93) (.94) (1.08)
Net realized gain (.06) (.47) (.13)
Tax return of capital (.03) - -
Total distributions (1.02) (1.41) (1.21)
Total increase (decrease) in net
asset value .85 (2.28) .72
Net asset value, ending $16.34 $15.49 $17.77
Total return* 12.57% (5.18%) 11.89%
Ratios to average net assets:
Net investment income 6.04% 5.64% 6.33%
Total expenses+ 1.24% N/A N/A
Net expenses 1.22% 1.10% .79%
Expenses reimbursed - - .20%
Portfolio turnover 29% 19% 28%
Net assets, ending (in thousands) $62,929 $61,573 $67,134
Number of shares outstanding,
ending (in thousands) 3,850 3,976 3,778
<PAGE>
BOND PORTFOLIO
FINANCIAL HIGHLIGHTS
Periods Ended
October 29, September 30,
Class C Shares 1996 1996
Net asset value, beginning $15.90 $16.20
Income from investment operations
Net investment income .06 .72
Net realized and unrealized
gain (loss) .21 (.31)
Total from investment operations .27 .41
Distributions from
Net investment income (.05) (.71)
Net realized gain - -
Tax return of capital - -
Total distributions (.05) (.71)
Total increase (decrease) in net
asset value .22 (.30)
Net asset value, ending $16.12 $15.90
Total return* 1.73% 2.58%
Ratios to average net assets:
Net investment income 4.84%(a) 4.18%
Total expenses+ 2.56%(a) 2.53%
Net expenses 2.51%(a) 2.50%
Expenses reimbursed .96%(a) .75%
Portfolio turnover 0% 22%
Net assets, ending (in thousands) $1,427 $1,441
Number of shares outstanding,
ending (in thousands) 89 91
Years Ended
September 30, September 30,
Class C Shares 1995 1994^
Net asset value, beginning $15.43 $16.71
Income from investment operations
Net investment income .80 .45
Net realized and unrealized
gain (loss) .87 (1.23)
Total from investment operations 1.67 (.78)
Distributions from
Net investment income (.81) (.50)
Net realized gain (.06) -
Tax return of capital (.03) -
Total distributions (.90) (.50)
Total increase (decrease) in net
asset value .77 (1.28)
Net asset value, ending $16.20 $15.43
Total return* 11.21% (4.13%)
Ratios to average net assets:
Net investment income 4.60% 4.63%(a)
Total expenses+ 2.52% N/A
Net expenses 2.50% 2.41%(a)
Expenses reimbursed 2.14% 9.60%(a)
Portfolio turnover 29% 19%
Net assets, ending (in thousands) $910 $315
Number of shares outstanding,
ending (in thousands) 56 20
<PAGE>
EQUITY PORTFOLIO
FINANCIAL HIGHLIGHTS
Periods Ended
March 31, Sept. 30, Sept. 30,
Class A Shares 1998 1997 1996
Net asset value, beginning $27.77 $22.54 $21.12
Income from investment operations
Net investment income (.03) - .03
Net realized and unrealized
gain (loss) 1.63 6.73 3.26
Total from investment operations 1.60 6.73 3.29
Distributions from
Net investment income - (.01) (.06)
Net realized gain (3.36) (1.49) (1.81)
Total distributions (3.36) (1.50) (1.87)
Total increase (decrease) in net
asset value (1.76) 5.23 1.42
Net asset value, ending $26.01 $27.77 $22.54
Total return* 7.69% 31.34% 16.62%
Ratios to average net assets:
Net investment income (.20%)(a) .03% .15%
Total expenses+ 1.18%(a) 1.21% 1.29%
Net expenses 1.17%(a) 1.20% 1.27%
Portfolio turnover 54% 93% 118%
Average commission rate paid $.0527 $.0574 $.0556
Net assets, ending (in thousands) $166,741 $147,002 $101,344
Number of shares outstanding,
ending (in thousands) 6,410 5,294 4,496
Years Ended
Sept. 30, Sept. 30, Sept. 30,
Class A Shares 1995 1994 1993
Net asset value, beginning $20.13 $21.43 $20.03
Income from investment operations
Net investment income .06 .13 .21
Net realized and unrealized
gain (loss) 2.22 (1.04) 1.36
Total from investment operations 2.28 (.91) 1.57
Distributions from
Net investment income (.04) (.28) (.17)
Net realized gain (1.25) (.11) -
Total distributions (1.29) (.39) (.17)
Total increase (decrease) in net
asset value .99 (1.30) 1.40
Net asset value, ending $21.12 $20.13 $21.43
Total return* 12.43% (4.33%) 7.82%
Ratios to average net assets:
Net investment income .32% .65% 1.06%
Total expenses+ 1.38% N/A N/A
Net expenses 1.36% 1.27% 1.13%
Portfolio turnover 35% 94% 43%
Average commission rate paid N/A N/A N/A
Net assets, ending (in thousands) $90,951 $92,970 $85,042
Number of shares outstanding,
ending (in thousands) 4,307 4,620 3,968
<PAGE>
EQUITY PORTFOLIO
FINANCIAL HIGHLIGHTS
Periods Ended
March 31, Sept.30, Sept. 30,
Class C Shares 1998 1997 1996
Net asset value, beginning $26.37 $21.71 $20.66
Income from investment operations.
Net investment income (loss) (.01) (.05) (.16)
Net realized and unrealized
gain (loss) 1.38 6.21 3.04
Total from investment operations 1.37 6.16 2.88
Distributions from
Net investment income - (.01) (.02)
Net realized gain (3.36) (1.49) (1.81)
Total distributions (3.36) (1.50) (1.83)
Total increase (decrease) in net
asset value (1.99) 4.66 1.05
Net asset value, ending $24.38 $26.37 $21.71
Total return* 7.19% 29.84% 14.85%
Ratios to average net assets:
Net investment income (loss) (1.24%)(a) (1.08%) (1.42%)
Total expenses+ 2.22%(a) 2.31% 2.86%
Net expenses 2.20%(a) 2.30% 2.85%
Expenses reimbursed - - -
Portfolio turnover 54% 93% 118%
Average commission rate paid $.0527 $.0574 $.0556
Net assets, ending (in thousands) $7,969 $6,249 $2,996
Number of shares outstanding,
ending (in thousands) 327 237 138
Years Ended
September 30, September 30,
Class C Shares 1995 1994^
Net asset value, beginning $19.98 $22.12
Income from investment operations.
Net investment income (.03) (.06)
Net realized and unrealized
gain (loss) 2.05 (2.08)
Total from investment operations 2.02 (2.14)
Distributions from
Net investment income (.09) -
Net realized gain (1.25) -
Total distributions (1.34) -
Total increase (decrease) in net
asset value .68 (2.14)
Net asset value, ending $20.66 $19.98
Total return* 11.16% (9.14%)
Ratios to average net assets:
Net investment income (loss) (.84%) (1.06%)(a)
Total expenses+ 2.51% N/A
Net expenses 2.50% 2.75%(a)
Expenses reimbursed 1.07% 4.60%(a)
Portfolio turnover 35% 94%
Average commission rate paid N/A N/A
Net assets, ending (in thousands) $1,802 $670
Number of shares outstanding,
ending (in thousands) 87 34
(a) Annualized
* Total return is not annualized for periods less than one year and does not
reflect deduction of Class A front-end sales charge.
+ Effective September 30, 1995, this ratio reflects total expenses before
reduction for fees paid indirectly; such reductions are included in the ratio
of net expenses.
^ From March 1, 1994 inception
N/A Disclosure not applicable to prior periods.
