<PAGE> 1
NATIONWIDE(R) FAMILY OF FUNDS
NATIONWIDE(R) GROWTH FUND
NATIONWIDE(R) FUND
[LOGO] NATIONWIDE(R) BOND FUND
NATIONWIDE(R) TAX-FREE INCOME FUND
NATIONWIDE(R) U.S. GOVERNMENT INCOME FUND
NATIONWIDE(R) MONEY MARKET FUND
SEMI-ANNUAL
REPORT
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APRIL 1995
<PAGE> 2
MESSAGE TO SHAREHOLDERS
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The stock and bond markets have been in strong uptrends during the six-months
since our last report. Patient investors were rewarded following a
disappointing 1994. Bonds staged a dramatic turnaround, while the Dow Jones
Industrial Average broke through the 4,000 mark. The first quarter of 1995 saw
the Dow climb 8.5%, the sixth-best quarter for the Dow in the last ten years.
The first quarter gross domestic product (GDP) report confirmed the market's
belief that the current economic expansion would slow with moderate inflation.
Business investments expanded dramatically at 20.8%, which will provide the
base for further rising employment and income gains, as well as a steady
expansion of economic activity and profits. This should translate into
financial markets that are beneficial to investors.
Despite the uncertainty of short-term performance, investors continue to select
mutual funds as one of their primary vehicles to accumulate long-term savings.
Industry assets total $2.3 trillion, which establishes the industry as the
second largest financial intermediary behind banks. Total net assets in the
Nationwide Investing Foundation funds stand at $2.2 billion, as investors
seeking long-term growth, or current income, have contributed to the growth in
assets.
For the year ending April 30, 1995, the Nationwide Fund gained 9.7%, and the
Growth Fund was up 14.9%. Investors in these two funds have learned that in the
short-term, markets fluctuate dramatically in response to the latest headlines,
but in the long-term investors have been rewarded.
Rising interest rates in '94 lowered bond values, but dividends remained fairly
steady, and during the first few months of 1995, bond fund share prices have
bounced back. During the first three months of 1995 the Tax-Free Fund had a
total return of 8.0%. Investors who sold their shares last year with falling
bond values missed out on an enormous recovery. The Bond Fund and U.S.
Government Income Fund showed similar improvement.
The high current yields of the Nationwide Money Market Fund continue to attract
individuals with short-term needs. For the 12 months ending April 30, 1995,
the 30-day effective yield has nearly doubled, from 3.0% to 5.7%. Over the
same period, the average rate paid on FDIC insured bank Money Market Deposit
Accounts has increased from 2.4% to just 2.8%.
For more information on the recent performance of our funds, please review
pages 3-5 and page 23.
Whether you are a long-term investor or a short-term saver, our six funds can
form the building blocks of a well-diversified savings program.
The Nationwide Family is also committed to providing you with high-quality
service. One of the most frequent service requests our shareholders make is
the Transfer on Death registration. This allows shareholders to transfer fund
assets directly to a beneficiary, bypassing the probate process. You're welcome
to call us at 1-800-848-0920 to learn about all our funds and services. Or if
you prefer, just complete and mail the card attached to the center of this
report. Thank you for the opportunity to meet your investment needs.
Peter F. Frenzer, Chairman
June 1995
CONTENTS
3-5 -- FUND HIGHLIGHTS -- 3-5
6-7 -- MANAGEMENT DISCUSSION OF FUND PERFORMANCE -- 6-7
8 -- GROWTH FUND (STATEMENT OF INVESTMENTS) -- 8
9 -- NATIONWIDE FUND (STATEMENT OF INVESTMENTS) -- 9
10 -- BOND FUND (STATEMENT OF INVESTMENTS) -- 10
11-12 -- TAX-FREE INCOME FUND (STATEMENT OF INVESTMENTS) -- 11-12
13 -- U.S. GOVERNMENT INCOME FUND (STATEMENT OF INVESTMENTS) -- 13
14-15 -- MONEY MARKET FUND (STATEMENT OF INVESTMENTS) -- 14-15
16-19 -- FINANCIAL STATEMENTS -- 16-19
20-21 -- FINANCIAL HIGHLIGHTS -- 20-21
22 -- NOTES TO FINANCIAL STATEMENTS -- 22
23 -- NOTES TO MUTUAL FUND PERFORMANCE -- 23
This report is for the information of shareholders of the
Nationwide Family of Funds. It may be used as sales
literature only when preceded or accompanied by a
current prospectus which gives further details
about the funds.
Nationwide(R) and [LOGO] are registered Federal Service marks of
Nationwide Mutual Insurance Company.
2
<PAGE> 3
STOCK FUND HIGHLIGHTS
Graph showing the growth of
a $12,500 initial investment in
the Growth Fund plus
reinvested capital gains from
5/1/86 to 4/30/95
NATIONWIDE GROWTH FUND
AVERAGE ANNUAL (COMPOUND) TOTAL RETURN
<TABLE>
<CAPTION>
YEARS *$1,000 *$100 **$1,000
LUMP SUM MONTHLY LUMP SUM
INVESTMENT INVESTMENT INVESTMENT
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
1 14.9% 23.0% 8.3%
- -------------------------------------------------------------------------------
5 12.9% 12.7% 10.7%
- -------------------------------------------------------------------------------
10 13.3% 11.6% 12.2%
- -------------------------------------------------------------------------------
15 16.1% 14.1% 15.5%
- -------------------------------------------------------------------------------
</TABLE>
- - The value of a long-term investment in the Nationwide(R) Growth Fund can be
illustrated with a hypothetical $12,500 lump-sum investment. Over the 10-year
period through April '95, this investment would have earned an average annual
(compound) total return of 12.7%, even with the sales charge deducted. The
chart above illustrates the growth of the initial investment to over $41,000.
Over a longer, 15-year period, the same investment would have earned a 15.7%
average annual return and grown to over $112,000.
- - The last six months have seen a surge in the stock market. The first quarter
was the sixth best quarter for the Dow Jones Industrial Average since 1985. To
put into perspective the impact of this performance, consider the one-year
total return of the Growth Fund at the end of December '94. It was 1.5%. At the
end of April '95, the one-year total return stood at 14.9%. This demonstrates
how quickly a market can take off. In just four months, investors experienced
significant growth by sticking with their investment.
- - Also, this sudden jump in market performance underscores the importance of
remaining fully invested for the long term. Had any investors been disappointed
with the low return at the end of '94 and sold their shares, they would have
missed out on this enormous opportunity for growth. Time, not timing, is the
secret to successful investing. A "buy-and-hold" strategy which focuses on
growth over time means investors will not miss out on the unpredictable spurts
of growth in the market.
- - Morningstar (5/95), one of the leading publications of the mutual fund
industry, states that for the 10-year period ending 4/30/95, the Growth Fund's
total return of 13.3% outperformed the 10-year average of 210 similar growth
funds (which averaged 12.9%).
Graph showing the growth of $200
monthly investment in the Nationwide
Fund plus reinvested capital gains from
5/1/86 to 4/30/95
NATIONWIDE FUND
AVERAGE ANNUAL (COMPOUND) TOTAL RETURN
<TABLE>
<CAPTION>
YEARS *$1,000 *$100 **$1,000
LUMP SUM MONTHLY LUMP SUM
INVESTMENT INVESTMENT INVESTMENT
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
1 9.7% 12.6% 5.3%
- -------------------------------------------------------------------------------
5 10.2% 8.4% 8.8%
- -------------------------------------------------------------------------------
10 13.7% 10.9% 13.1%
- -------------------------------------------------------------------------------
15 14.2% 13.1% 14.1%
- -------------------------------------------------------------------------------
</TABLE>
- - An individual investing $200 per month in the Nationwide(R) Fund over the past
10 years (ended April '95) would have earned an average annual (compound) total
return of 10.0%, even with sales charges deducted. The chart above illustrates
the growth of this monthly investment to more than $40,000. Over a 15-year
period, the same investment would have earned a 12.5% average annual return and
grown to over $99,000.
- - At the end of December `94, the Dow Jones Industrial averge was 3844. By the
end of April `95, the Dow had jumped to 4321. That's an increase of nearly 500
points over four months! The Nationwide Fund's 12-month total return at the end
of April `95 was 9.7%. Most of this growth occured during the last four months.
Such a dramatic change in performance highlights the importance of commiting
oneself to a strategy of long-term investing. No one can predict what the market
will do. Trying to time the market can result in lost opportunities. It's not
when you invest that's most important, but where and for how long you invest
that counts.
- - Stock fund investing in The Nationwide(R) Fund has its advantages when there
is a long-term time horizon to reach your financial goals. After 62 years in
existence, it has an established track record with above average results. A
shareholder who invested $10,000 at the Fund's inception and then had the
resolve to hold for long-term results, by the end of April `95, would have
accumulated over $3.5 million (see graph on page 17).
- - According to Ibbotson Associates (1995 Stocks, Bonds, Bills, and Inflation),
over the past 60 years stocks have outperformed all other investments.
- - Morningstar (5/95), indicates that the 10-year total return of 13.7% for the
Nationwide(R) Fund exceeded its peer group average of 12.1% (174 funds).
* For Periods Ended 4/30/95. These returns do not reflect the effects of sales
charges.
** For Periods Ended 3/31/95. Assumes a 4.5% sales charge was paid on purchases
of the Growth and Nationwide Funds which has the most dramatic effect on the
1-year performance figures.
See other important mutual fund performance notes on page 23.
3
<PAGE> 4
INCOME FUND HIGHLIGHTS
Graph showing the value of a
$10,000 initial investment in the
Bond Fund plus reinvested
dividends and reinvested capital
gains from 5/1/86 to 4/30/95.
NATIONWIDE BOND FUND
AVERAGE ANNUAL (COMPOUND) TOTAL RETURN
<TABLE>
<CAPTION>
YEARS *$1,000 *$100 **$1,000
LUMP SUM MONTHLY LUMP SUM
INVESTMENT INVESTMENT INVESTMENT
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
1 5.2% 11.9% (2.6%)
- -------------------------------------------------------------------------------
5 8.4% 6.2% 6.9%
- -------------------------------------------------------------------------------
10 8.8% 7.6% 8.3%
- -------------------------------------------------------------------------------
15 9.1% 9.2% 8.8%
- -------------------------------------------------------------------------------
</TABLE>
- - The Nationwide(R) Bond Fund has consistently provided income for its
shareholders, paying a dividend in every period since its inception. The total
dividends paid per share each year for the 10-year period ended April 30, 1995,
ranged from a high of $1.00 to a low of $.65. The graph above shows how
appreciation was achieved in the Bond Fund through the reinvestment of
dividends, over a 10-year period on a hypothetical $10,000 account. Shareholders
would have watched thier account grow to more than $22,000 for an average annual
(compound) total return of 8.3%.
- - Bonds snapped back after a disapppointing 1994. Last year was the worst year
for bonds since 1927. The Federal Reserve boosted interest rates six times, and
a seventh time in January 1995. Last year was the first time in 20 years that
the value of both stocks and bonds declined. Yet in just a matter of months, the
bond market turned the corner with significantly improved performance. The Wall
Street Journal (4/5/95) reported that bond funds rallied for the first time in
more than a year, turning in a first quarter positive return of 3.9%. Investors
in the Bond Fund who followed a "buy and hold" strategy during last year's
market turbulence saw the Bond Fund climb 5.5% for the first quarter ending
March 31, 1995.
- - The Bond Fund provides shareholders with a relatively steady stream of income
that generally fluctuates little from month to month. No matter what happens to
the stock market, interest rates, or bond values, shareholders can depend on
dividends that are relatively more predictable than stock values.
- - The Bond Fund selects high-quality corporate bonds for its portfolio, which
consists primarily of broadly diversified, high-quality securities rated "A" or
above by Moody's and Standard & Poor's. Included in the portfolio are corporate
bonds from large, well-known companies such as IBM, Wal-Mart, and General Foods.
Graph showing the value of a
$10,000 initial investment in the
Bond Fund plus reinvested
dividends and reinvested capital
gains from 3/17/86 to 4/30/95.
NATIONWIDE TAX-FREE INCOME FUND
AVERAGE ANNUAL (COMPOUND) TOTAL RETURN
<TABLE>
<CAPTION>
YEARS *$1,000 *$100 ***$1,000
LUMP SUM MONTHLY LUMP SUM
INVESTMENT INVESTMENT INVESTMENT
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
1 6.4% 11.7% .8%
- -------------------------------------------------------------------------------
5 7.7% 6.2% 7.3%
- -------------------------------------------------------------------------------
Life 6.3% 5.1% 6.3%
- -------------------------------------------------------------------------------
</TABLE>
(9 years, 2 months)
- - The Nationwide(R) Tax-Free Income Fund has paid monthly tax-free dividends
since its inception. The total dividends paid per share each year for the life
of the fund with the period ended April 30, 1995, ranged from a high of $.63 to
a low of $.51. Share prices ranged from $10.95 to $9.00. The graph above shows
how a hypothetical $10,000 account grew over an eight-year period through the
reinvestment of dividends. Shareholders would have watched their account grow to
over $17,000 for an average annual (compound) total return of 6.3%.
- - The Tax-Free Fund bounced back dramatically from its depressed share prices in
1994. The total return for first two months of `95 alone was 7.2%, making up
much of the ground which was lost in `94. Patient investors who held onto their
investment not only benefited from this dramatic turnaround, but also continued
to receive monthly income free from Federal income tax.+
- - Municipal bonds are the means by which public institutions and government
agencies can raise money for public works projects. To reward the public for
lending their support to public projects, the interest they earn is not taxed by
the federal government.+ Taxable securities of comparable quality and maturity
may provide higher yields, but investors may be farther ahead with the Tax-Free
Income Fund. For example, an investor could earn $7,500 annually from a fully
taxable investment, assuming a 7.5% rate of return, or $5,500 in a tax-free
investment, assuming a 5.5% rate of return. Who comes out ahead? After taxes, an
investor in the 36% tax bracket would keep just $4,800. But an investor in the
tax-free investment would keep all of the $5,500 federally tax-exempt income.
* For Periods Ended 4/30/95. These returns do not reflect the effects of sales
charges.
** For Periods Ended 3/31/95. Assumes a 4.5% sales charge was paid on purchases
of the Bond Fund which has the most dramatic effect on the one-year
performance figures. There are no sales charges in the Nationwide Money
Market Fund.
*** For Periods Ended 3/31/95. Assumes the applicable contingent deferred sales
charge (CDSC) on withdrawals from the Tax-Free Income and U.S. Government
Income Funds, which has the most dramatic effect on the one-year performance
figures. The CDSC declines from 5% in the first year to 0% after 5 years.
+ Certain shareholders may be subject to state and local taxes.
See other important mutual fund performance notes on page 23.
4
<PAGE> 5
INCOME FUND HIGHLIGHTS
Graph showing the value of a
$10,000 initial investment in the
Bond Fund plus reinvested
dividends and reinvested capital
gains from 4/30/92 to 4/30/95.
NATIONWIDE U.S. GOV'T INCOME FUND
AVERAGE ANNUAL (COMPOUND) TOTAL RETURN
<TABLE>
<CAPTION>
YEARS *$1,000 *$100 ***$1,000
LUMP SUM MONTHLY LUMP SUM
INVESTMENT INVESTMENT INVESTMENT
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
1 6.8% 11.8% (1.0%)
- -------------------------------------------------------------------------------
Life 5.8% (0.1%) 4.8%
- -------------------------------------------------------------------------------
</TABLE>
(3 years, 2 months)
- - The Nationwide(R) U.S. Government Income Fund pays monthly dividends from a
portfolio of high-quality U.S. government (and its agencies) securities. These
securities are generally considered among the safest, though they are not
specifically rated by the credit rating agencies. The graph above shows the
ending investment value on a hypothetical $10,000 account with dividends
reinvested for the life of the fund. And as the graph shows, even with the
decline in bond prices during 1994, the ending account value is higher than the
original investment. The month-end share prices fluctuated between a low of
$9.15 to a high of $10.22. For the life of the Fund, monthly dividends paid per
share ranged from $.039 to $.059.
- - Share prices fluctuate, that's a fact of life when it comes to investing. But
remember that when share price levels are down, reinvested fund dividends will
buy more shares than when share prices are at higher levels. This increases your
potential for additional future dividend income and growth of principal.
- - The U.S. Government Income Fund seeks to limit share price fluctuation by
maintaining an average portfolio maturity of 10 years or less. All bond prices
(U.S. government, municipal, and corporate) are affected by interest rates.
Generally, as interest rates rise the value of existing bonds falls and vice
versa. While many other factors contribute to a change in value, the maturity of
a bond is the major contributing factor -- generally, shorter maturities are
less subject to price fluctuation while longer maturities are subject to a
greater price fluctuation.
- - In selecting securities for the Fund, the Investment Manager utilizes interest
rate expectations, yield curve analysis, economic forecasting, market sector
analysis, and other security selection techniques. The Fund's investments will
be concentrated in the areas of the bond market (based on sector, coupon, or
maturity) the Investment Manager believes are relatively undervalued.
Graph comparing the yield of the Money Market
Fund with the average yield of a bank Money Market
Deposit Account from 5/1/94 to 4/30/95.
NATIONWIDE MONEY MARKET FUND
AVERAGE ANNUAL (COMPOUND) TOTAL RETURN
<TABLE>
<CAPTION>
YEARS *$1,000 *$100 **$1,000
LUMP SUM MONTHLY LUMP SUM
INVESTMENT INVESTMENT INVESTMENT
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
1 4.7% 6.0% 4.5%
- -------------------------------------------------------------------------------
5 4.4% 3.9% 4.5%
- -------------------------------------------------------------------------------
10 5.8% 5.2% 5.9%
- -------------------------------------------------------------------------------
15 7.8% 6.3% 7.8%
- -------------------------------------------------------------------------------
</TABLE>
- - Short-term money market instruments have seen their yields double since last
year. The Nationwide(R) Money Market Fund reflects current market rates, and
with the seven interest rate hikes since last year, increasing rates have meant
rising dividends for investors. Over the past 10 years, annual dividends per
share (as of the end of April) ranged from $.025 to $.082.
- - The graph above shows how far Money Market yields have climbed during the past
year. Compare this to the average federally insured bank Money Market Deposit
Account (MMDA) rates over the same 12-month period, which increased slowly. As
of April 30, 1995, the 30-day effective yield of the Money Market Fund was
5.71%, twice that of the average bank MMDA rate, which was 2.84%
(Source: Barrons).
- - While providing investors with yields at current market interest rates, the
Nationwide(R) Money Market Fund also seeks to provide the stability of a fixed
share price unaffected by market swings. During the Fund's life, its share price
has always been $1.00.
- - Benefits of the Money Market Fund include competitive current market rates,
liquidity without penalty, daily compounding, security of principal, and free
checkwriting privileges.
- - Conservative investors seeking greater growth or income may benefit from the
Money Market Plus Growth(SM) and Money Market Plus Income(SM) strategies. The
principal remains in the Money Market Fund and dividends are automatically
reinvested into any other Nationwide Mutual Fund.
- - AN INVESTMENT IN THE MONEY MARKET FUND IS NEITHER INSURED NOR GUARANTEED BY
THE U.S. GOVERNMENT AND THERE CAN BE NO ASSURANCE THAT IT WILL BE ABLE TO
MAINTAIN A STABLE NET ASSET VALUE OF $1.00 PER SHARE.
5
<PAGE> 6
MANAGEMENT DISCUSSION OF FUND
NATIONWIDE(R)
GROWTH FUND
The Nationwide(R) Growth Fund grew by 14.9% for the 12-month period ending
April 30, 1995, assuming all distributions were reinvested. Average annual
(compound) total return for the 10-year and 15-year period was 13.3% and 16.1%,
respectively.
The strategy for the Nationwide Growth Fund remains the same. Buys are
being made only in companies with clearly defined and clearly visible business
opportunities, at valuation levels that allow for future improvement. Sales are
being made when the fundamental outlook becomes less clear than is satisfactory,
or when valuation levels become uncomfortably high. During the last six months,
although sales have been made for both of these reasons, enough buying
opportunities have also surfaced to not only offset the sales, but to reduce
cash holdings from the former level, around 15%, to a current level of
approximately 11%.
Performance in the past six months has primarily been affected by strength
in the technology sector. Intel is the Fund's largest holding, and has made the
largest individual contribution, with Hewlett-Packard also doing well. Financial
stocks have generally recovered from weakness that had developed six months ago,
and energy stocks have continued to show strength. Telecommunication stocks have
remained weak over this period, but I continue to like this area long-term, and
have added further to the Fund's holdings.
John M. Schaffner, MBA, CFA
Portfolio Manager
NATIONWIDE(R)
FUND
The Nationwide(R) Fund climbed 9.7% for the 12-month period ended April 30,
1995, assuming all distributions were reinvested. The Funds's 10-year and
15-year average annual (compound) total returns were 13.7% and 14.2%,
respectively.
The Nationwide Fund lagged the market in the most recent reporting period
due to the poor performance of the auto sector and the lack of investment in
various technology industries. However, the strategy of the Fund remains to
purchase companies possessing a superior business franchise and
shareholder-oriented management at an attractive valuation.
Chrysler Corporation is one of the Nationwide Fund's largest holdings.
Recently the company has been involved in considerable controversy as its
largest shareholder has attempted to buy the entire company. It is unlikely any
transaction will take place due to the opposition of management and the
difficulty of financing such a large transaction. However, these events have
highlighted the undervaluation of Chrysler's shares in the marketplace. I have
been baffled by the low valuation accorded Chrysler's shares. The vastly
improved balance sheet and strong competitive position as one of the world's
low-cost producers of automobiles should lead to higher valuation of the shares.
Chrysler's management has taken several steps to reward shareholders by
repurchasing shares and raising the dividend. Hopefully, long-term shareholders
will benefit more by continued investment in Chrysler's shares than is possible
through the short-term opportunity provided by a buy-out.
Warner-Lambert is currently the largest holding in the Fund. Warner-Lambert
is a very successful consumer products company with a pharmaceutical division
which has been struggling the past few years due to an important patent
expiration. However, the company has several new pharmaceutical products which
may be available in the next two to three years. For long-term shareholders the
current low valuation is an attractive opportunity to own an improving
diversified consumer products and health care company.
Charles Bath, MBA, CFA, CPA
Portfolio Manager
NATIONWIDE(R)
BOND FUND
After experiencing the worst year in its 15 year history (the fiscal year
ending October 31, 1994), the Nationwide Bond Fund has rebounded and produced a
total return of 8.4% for the six-month period ended April 30, 1995. The 12-month
total return for this period was 5.2%, and the fund's 10-year average annual
(compound) total return was 8.8%. The Bond Fund's 30-day annualized yield on
April 30, 1995, was 7.05% based on the offering price of $9.26
During the six-month period beginning November 1, 1994, the long-term bond
markets rallied to produce higher bond prices and lower yields. The yield on the
30-year Treasury went from 8.06% to 7.38% or an 8.4% decline in yield. The yield
on the 10-year Treasury went from 7.99% to 7.07% or an 11.5% decline in yield.
This move in interest rates produced a somewhat steeper yield curve.
Concurrently, the spreads between high-quality corporates and U.S. Treasuries
were narrowing. The result was that an investor who was already in the market
would have experienced a greater appreciation in value of his holdings if he
owned corporates in the intermediate maturity range.
The strategy pursued under these market conditions was to continue to
shorten maturities without giving up yield. Since at several different times the
yield curve was nearly flat from 10 years to 30 years, opportunities existed for
shortening the portfolio. Some restructuring of the portfolio was done to
counter the deterioration in the financial strength of some corporate credits.
Overall, the fund continued to function as a diversified portfolio of high
quality corporate bonds, collaterized mortgage obligations and U.S. Treasuries.
Michael D. Groseclose, MBA, CFA
Portfolio Manager
6
<PAGE> 7
PERFORMANCE
NATIONWIDE(R)
TAX-FREE
INCOME FUND
The Nationwide(R) Tax-Free Income Fund's total return was 6.4% for the
12-month period ended April 30, 1995, assuming all distributions were
reinvested. The Fund's five-year average annual (compound) total return was
7.7%. The Fund's 30-day annualized yield on April 30, 1995 was 5.1% based on the
offering price of $9.94.
The predominant factor affecting the municipal bond market and the Tax-Free
Income Fund's performance for the period was the decline in interest rates. The
rate increases initiated by the Federal Reserve during 1994 have slowed the
economy and kept inflation from increasing to unmanageable levels. Concerns that
the Federal Reserve would continue to raise rates have been greatly reduced. As
a result, investor confidence returned to the market and rates declined. The
Bond Buyer 11-Bond Index of General Obligation Bonds declined from 6.72% on
November 3, 1994, to 5.96% on April 27, 1995. A 76 basis point decline, this
decline helped support the rebound in municipal bond prices for the period and
the fund's net asset value.
Issuance of municipal debt for the first four months of 1995 was down 41%
as compared to like periods in 1994, the lowest start in five years. This
reduced supply, coupled with increased demand, supported mostly by increased
buying from property/casualty insurers, also pushed prices higher. The supply of
outstanding debt is expected to remain low due to summer redemptions.
Concerns about Congressional discussions of a tax system overhaul have
surfaced and should be monitored as to their impact on the market. Any actual
changes to the system are far off in the future and are not expected to
materialize until 1997 at the earliest.
The factors discussed have caused the yield curve to flatten and quality
spreads to narrow. An investor isn't being compensated enough to invest in low
quality long-term securities. Therefore, the strategy of the fund has been to
maintain high quality securities, continue to reduce the average maturity of the
fund, and invest new funds as well as proceeds from any sales in securities that
produce higher tax-free income for the shareholder.
Alpha L. Benson, MBA
Portfolio Manager
NATIONWIDE(R)
U.S. GOVERNMENT
INCOME FUND
The Nationwide(R) U.S. Government Income Fund's total return for the
12-month period ended April 30, 1995 was 6.8%, assuming all distributions were
reinvested. The Fund's 30-day annualized yield on April 30, 1995 was 6.4% based
on the offering price of $9.62
In our Annual Report six months ago, we discussed the unusual fundamental
value available in the bond market due to what had been twelve months of falling
bond prices. During the past six months, bond market investors have been
rewarded for their patience after what had been a very difficult prior year.
Despite two additional short-term rate increases by the Federal Reserve, long
term rates have fallen dramatically allowing for a recovery in bond prices. The
Fund has performed very well during this period due to its continued exposure to
the intermediate area of the yield curve, and in particular its exposure to the
mortgage market.
Last year's higher interest rates were generally blamed on fear of higher
future inflation. Actual reported numbers however have continued to show few
signs of increased inflation at the finished goods stage of production. Limited
wage increases and continued gains in productivity get the credit for continued
modest increases in inflation gauges such as the Consumer Price Index (CPI) and
the Producer Price Index (PPI). Inflation and expectations for future inflation
always drive the bond market in the long run. The current relatively benign
outlook for inflation could allow for further decreases in interest rates and
higher bond prices, although the underlying value in the market seems less
compelling than it did six months ago due to the rally we have already seen.
The portfolio strategy for the Fund will remain the same. The portfolio
manager will attempt to identify value within the government, agency, and
mortgage-backed markets while maintaining an average portfolio maturity between
three and ten years. Investments will be moved from relatively overvalued issues
to those seen as relatively undervalued as opportunities become available.
Nearly 80 percent of portfolio assets continue to be invested in the
Collateralized Mortgage Obligation market. The additional yield on these
conservatively-structured investments continues to make them attractive
portfolio holdings. The portfolio will continue to avoid the risks inherent in
the more risky "derivative" structures that have recently received so much
negative press coverage.
Wayne T. Frisbee, CFA
Portfolio Manager
NATIONWIDE(R)
MONEY MARKET FUND
The Nationwide(R) Money Market Fund had a 4.7% 12-month total return for
the period ended April 30, 1995, assuming all distributions were reinvested. On
April 30th, the Fund's seven-day current yield was 5.6%, while its seven-day
effective yield was 5.7%.
The past six months have been characterized by the continued trend of
rising short-term interest rates and falling long-term rates. The Federal
Reserve increased the discount rate twice during the period, for a total of 125
basis points to 5.25%. The Fed is committed to heading off inflation as the U.S.
economy continues its expansion. In response to the discount rate hikes, banks
increased the prime rate to 9.00% from 7.75%.
Other short-term rates rose as well, helping to drive up the yield on the
Nationwide Money Market Fund, which held a relatively short average maturity
during the period (approximately 35 days). 90-day commercial paper yields jumped
to 6.15% from 5.65% in November, 1994, and 3-month U.S. Treasury bills climbed
to 5.65% from 5.10%. Conversely, longer Treasury securities experienced sharp
yield declines, with the 30-year Treasury bond falling from 8.1% to 7.35% in
April, 1995, producing a greatly flattened yield curve.
The management of the Nationwide Money Market Fund is a daily process, with
a continuous focus on investing in the highest quality instruments that are
consistent with achieving the stated objectives of the Fund.
William M. Burtch, MBA
Portfolio Manager
NATIONWIDE GROWTH FUND
7
<PAGE> 8
NATIONWIDE GROWTH FUND
Statement of Investments - April 30, 1995 (Unaudited)
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------------
SHARES SECURITY VALUE (NOTE 1)
- ----------------------------------------------------------------------------------------
<S> <C> <C>
COMMON STOCKS (89.8%)
AIRLINES (0.7%)
199,000 Skywest Inc. ............................................. $ 3,532,250
------------
BUSINESS SERVICES (2.0%)
296,600 Olsten Corp. (The)........................................ 10,121,475
------------
CHEMICALS (4.2%)
75,000 Du Pont (E.I.) De Nemours & Co. .......................... 4,940,625
100,000 FMC Corporation *......................................... 6,137,500
90,000 Loctite Corp. ............................................ 4,477,500
122,000 Sigma-Aldrich Corp. ...................................... 5,398,500
------------
20,954,125
------------
COMPUTER EQUIPMENT (3.7%)
300,000 American Power Conversion Corp. *......................... 5,100,000
200,000 Hewlett-Packard Company................................... 13,225,000
------------
18,325,000
------------
COMPUTER SOFTWARE & SERVICES (2.8%)
150,000 Automatic Data Processing, Inc............................ 9,637,500
150,000 National Data Corporation................................. 2,793,750
145,000 SCS/COMPUTE, Inc. t*...................................... 353,438
25,000 Sunguard Data System Inc.*................................ 1,165,625
------------
13,950,313
------------
CONGLOMERATE (4.7%)
100,000 Corning Inc............................................... 3,337,500
750,000 Hanson Plc ADR............................................ 14,250,000
160,000 Honeywell Inc............................................. 6,180,000
------------
23,767,500
------------
CONSUMER GOODS (1.8%)
300,000 Newell Co................................................. 7,087,500
168,000 Perrigo Co. *............................................. 1,869,000
72,700 Smith-Corona Corporation.................................. 154,488
------------
9,110,988
------------
CONTRACT MANUFACTURING (0.6%)
100,000 Dovatron International, Inc. *............................ 2,200,000
125,000 Electronic Fab Tech Corp. *............................... 656,250
41,000 Triple S Plastics, Inc. *................................. 317,750
------------
3,174,000
------------
DENTAL (0.7%)
51,500 Dentsply International Inc................................ 1,815,375
120,000 National Dentex Corp...................................... 1,620,000
------------
3,435,375
------------
DISTRIBUTION (1.6%)
328,125 Bergen Brunswig Corp., Class A............................ 7,792,969
------------
DRUGS (2.3%)
200,000 Allergan Inc.............................................. 5,425,000
80,000 Schering-Plough Corp...................................... 6,030,000
------------
11,455,000
------------
EDUCATION (0.9%)
118,700 DeVry Inc................................................. 4,540,275
------------
ELECTRONICS (11.2%)
127,300 AMP, Inc.................................................. 5,442,075
370,000 Intel Corp................................................ 37,878,750
93,750 Molex Inc................................................. 3,539,062
152,687 Molex Inc., Class A....................................... 5,496,732
155,000 Richardson Electronics Ltd................................ 1,220,625
126,000 Woodhead Industries, Inc.................................. 2,567,250
------------
56,144,494
------------
ENGINEERING & CONSTRUCTION (1.0%)
100,000 Fluor Corporation......................................... 5,150,000
------------
FINANCIAL SERVICES (10.7%)
25,000 American International Group, Inc......................... 2,668,750
551,250 Bear Stearns Companies, Inc............................... 11,369,531
463,050 Gainsco, Inc.............................................. 4,919,906
120,700 Mercury Finance Co........................................ 1,825,588
350,000 Merrill Lynch & Co., Inc.................................. 15,925,000
50,000 Morgan Stanley Group Inc.................................. 3,475,000
200,000 National City Corp........................................ 5,475,000
95,400 Price, T Rowe & Assoc., Inc............................... 3,505,950
200,000 Silicon Valley Bancshares *............................... 3,100,000
100,000 Standard Financial Inc.*.................................. 1,237,500
------------
53,502,225
------------
FOOD & BEVERAGES (3.8%)
3,000,000 Grand Metropolitan, Plc.................................... 19,287,300
------------
FOOD-GRAIN & AGRICULTURE (3.4%)
933,580 Archer Daniels Midland Co................................. 17,037,835
------------
HEALTHCARE SERVICES (3.3%)
400,000 Columbia/HCA Healthcare Corp.............................. 16,800,000
------------
MACHINERY & CAPITAL GOODS (5.3%)
80,000 Cooper Industries, Inc. .................................. 3,120,000
139,650 Duriron Company, Inc. .................................... 3,019,931
60,000 Emerson Electric Co. ..................................... 4,035,000
50,000 Ingersoll-Rand Company.................................... 1,787,500
100,000 Lindsay Manufacturing Co.* ............................... 3,243,750
60,000 Nordson Corp.............................................. 3,330,000
176,000 Zebra Technologies Corp. *................................ 8,074,000
------------
26,610,181
------------
MANUFACTURED HOUSING (0.4%)
133,750 Clayton Homes, Inc. ...................................... 2,257,031
------------
MEDICAL PRODUCTS (0.7%)
200,000 Biomet, Inc. *............................................ 3,500,000
------------
OIL & GAS (6.2%)
150,000 Amoco Corp................................................ 9,843,750
150,000 Enterra Corp. *........................................... 2,737,500
80,000 Mobil Corp................................................ 7,590,000
60,000 Royal Dutch Petroleum Co.................................. $ 7,440,000
50,000 Texaco Inc................................................ 3,418,750
------------
31,030,000
------------
PAPER & FOREST PRODUCTS (0.3%)
80,000 Glatfelter (P.H.) Company................................. 1,440,000
------------
POLLUTION CONTROL (0.8%)
150,000 WMX Technologies, Inc..................................... 4,087,500
------------
PRINTING & PUBLISHING (4.4%)
150,000 Dun & Bradstreet Corp..................................... 7,818,750
100,000 Merrill Corporation....................................... 1,625,000
160,000 Reader's Digest Assoc., Inc., Class B..................... 6,040,000
200,000 Wallace Computer Services, Inc............................ 6,675,000
------------
22,158,750
------------
RESTAURANTS (1.6%)
100,000 Bob Evans Farms, Inc...................................... 2,050,000
185,000 Pancho's Mexican Buffet, Inc.............................. 878,750
300,000 Wendy's International, Inc................................ 5,100,000
------------
8,028,750
------------
RETAIL (0.9%)
145,000 Smart & Final Inc......................................... 2,446,875
100,000 Toys "R" Us Inc. *........................................ 2,525,000
------------
4,971,875
------------
TELECOMMUNICATIONS (9.8%)
300,000 AT & T Corp............................................... 15,225,000
400,000 Hong Kong Telecommunications Ltd. ADR..................... 7,800,000
744,000 MCI Communications Corp................................... 16,182,000
300,000 Sprint Corporation........................................ 9,900,000
------------
49,107,000
------------
Total common stocks
(cost $331,114,342)................................ 451,272,211
------------
- ---------
PRINCIPAL
- ---------
REPURCHASE AGREEMENT (0.2%)
$ 889,000 Merrill Lynch & Co., Inc.
5.65%, due 05/01/95, Collateralized by
$ 98,876 FNMA #295135 8.00%, due 9/1/17 and
$ 826,120 FNMA 7.00%, due 4/1/10
market value - $ 907,402
(cost $ 889,000)....................................... 889,000
------------
U.S. GOVERNMENT OBLIGATIONS (9.6%)
U.S. Treasury Bills
6.36% through 5.03%, due 05/04/95 through 10/19/95
(cost $47,985,826)..................................... 47,985,826
------------
Total investments
(cost $379,989,168)................................ $500,147,037
============
</TABLE>
* Denotes a non-income producing security.
t Affiliate as defined in Section 2(a)(3) of the Investment Company Act
since the Fund owns more than 5% of the outstanding shares.
Cost also represents cost for Federal income tax purposes.
Portfolio holding percentages represent market value as a percentage of net
assets.
See accompanying notes to financial statements.
Pie graph showing types of securities in Fund:
10.0% U.S. Government Obligations and other
assets less liabilities. 89.8% Common Stocks,
0.2% Repurchase Agreement
<TABLE>
<CAPTION>
TOTAL VALUE OF PORTFOLIO $500,147,037
===============================================================================
LARGEST SECURITIES HOLDINGS ASSETS HELD % OF
PORTFOLIO
===============================================================================
<S> <C> <C>
U.S. Treasury Bills $47,985,826 9.6%
- -------------------------------------------------------------------------------
Intel Corp. 37,878,750 7.6%
- -------------------------------------------------------------------------------
Grand Metropolitan, Plc 19,287,300 3.9%
- -------------------------------------------------------------------------------
Archer Daniels Midland Co. 17,037,835 3.4%
- -------------------------------------------------------------------------------
Columbia/HCA Healthcare Corp. 16,800,000 3.4%
- -------------------------------------------------------------------------------
MCI Communications Corp. 16,182,000 3.2%
- -------------------------------------------------------------------------------
Merrill Lynch & Co., Inc. 15,925,000 3.2%
- -------------------------------------------------------------------------------
AT&T Corp. 15,225,000 3.0%
- -------------------------------------------------------------------------------
Hanson Plc ADR 14,250,000 2.8%
- -------------------------------------------------------------------------------
Hewlett-Packard Company 13,225,000 2.6%
- -------------------------------------------------------------------------------
</TABLE>
8
<PAGE> 9
NATIONWIDE FUND
Statement of Investments - April 30, 1995 (Unaudited)
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------------
SHARES SECURITY VALUE (NOTE 1)
- ----------------------------------------------------------------------------------------
<S> <C> <C>
COMMON STOCKS (95.3%)
AUTO & AUTO PARTS (6.9%)
600,200 Chrysler Corporation..................................... $ 25,883,625
869,400 Ford Motor Company....................................... 23,473,800
------------
49,357,425
------------
BROADCASTING (5.1%)
241,825 CBS, Inc................................................. 15,507,028
254,000 Capital Cities/ABC, Inc.................................. 21,463,000
------------
36,970,028
------------
BUILDING (6.1%)
337,500 Masco Corporation........................................ 8,606,250
257,600 National Gypsum Company*................................. 12,686,800
198,300 USG Corporation*......................................... 4,684,837
302,200 Vulcan Materials Co...................................... 17,527,600
------------
43,505,487
------------
CHEMICALS (11.3%)
496,700 Georgia Gulf Corporation................................. 16,204,837
349,700 IMC Global Inc........................................... 17,179,012
593,700 Morton International Inc................................. 18,404,700
223,600 OM Group, Inc............................................ 5,338,450
673,275 Raychem Corporation...................................... 23,985,422
------------
81,112,421
------------
DRUGS (7.9%)
265,300 Schering-Plough Corp..................................... 19,996,987
457,300 Warner-Lambert Co........................................ 36,469,675
------------
56,466,662
------------
FINANCIAL (9.4%)
296,900 Barnett Banks, Inc....................................... 13,880,075
332,400 Chubb Corporation........................................ 26,592,000
466,000 CoreStates Financial Corp................................ 15,203,250
63,958 Fund American Enterprises*............................... 4,613,015
364,700 Horace Mann Educators Corp............................... 7,521,937
------------
67,810,277
------------
FOOD & BEVERAGE (13.4%)
297,400 Anheuser-Busch Companies Inc............................. 17,286,375
524,000 PepsiCo, Inc............................................. 21,811,500
223,600 Philip Morris Companies, Inc............................. 15,148,900
467,700 Quaker Oats Company...................................... 16,778,738
340,833 Ralcorp Holdings Inc.*................................... 7,881,763
364,200 Ralston Purina Group..................................... 17,299,500
------------
96,206,776
------------
FOREST PRODUCTS (0.9%)
79,600 Georgia-Pacific Corporation............................... 6,318,250
------------
HOUSEHOLD PRODUCTS (7.1%)
347,000 Avon Products, Inc....................................... 21,947,750
439,900 Dial Corp. (The)......................................... 10,612,588
103,600 Gillette Company (The)................................... 8,495,200
124,000 Maybelline, Inc.......................................... 2,728,000
100,000 Procter & Gamble Co...................................... 6,987,500
------------
50,771,038
------------
LEISURE PRODUCTS (1.7%)
586,100 Brunswick Corp........................................... 12,527,888
------------
MACHINERY & CAPITAL GOODS (3.5%)
60,100 Cummins Engine Co., Inc.................................. 2,689,475
342,400 Johnstown America Industries, Inc.*...................... 4,365,600
71,360 PACCAR, Inc.............................................. 3,282,560
375,000 Trinity Industries, Inc.................................. 14,484,375
------------
24,822,010
------------
NONFERROUS METALS (0.9%)
225,900 Alumax, Inc.*............................................ 6,381,675
------------
OIL & GAS (8.9%)
161,900 Mobil Corporation........................................ 15,360,262
476,700 Texaco Inc............................................... 32,594,363
547,300 Unocal Corporation....................................... 15,734,875
------------
63,689,500
------------
PRINTING & PUBLISHING (8.9%)
760,000 American Greetings Corp., Class A........................ 20,710,000
229,300 Dun & Bradstreet Corp.................................... 11,952,263
229,600 Gannett Co., Inc......................................... 12,082,700
297,200 Gibson Greetings, Inc.*.................................. 2,972,000
109,600 Knight-Ridder, Inc....................................... 5,945,800
40,900 Washington Post Company (The), Class B................... 10,541,975
------------
64,204,738
------------
TELECOMMUNICATIONS (0.2%)
60,000 MCI Communications Corporation........................... 1,305,000
------------
TOYS (3.1%)
927,312 Mattel, Inc.............................................. 22,023,660
------------
Total common stocks
(cost $497,182,289)................................ 683,472,835
------------
</TABLE>
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------------
PRINCIPAL SECURITY VALUE (NOTE 1)
- ----------------------------------------------------------------------------------------
<S> <C> <C>
CONVERTIBLE BONDS (0.6%)
$11,356,000 Consorcio G. Grupo Dina, 8.00%, 2004..................... $ 4,570,790
------------
(cost $10,406,711)
REPURCHASE AGREEMENT (0.3%)
2,198,000 Merrill Lynch & Co., Inc.
5.65%, due 05/01/95, Collateralized by
$1,582,799 FNMA CMO 6.00%, due 5/25/05 and
$660,699 FNMA 6.526%, due 11/01/23
market value - $2,243,499
(cost $2,198,000).................................. 2,198,000
------------
SHORT-TERM SECURITIES (3.8%)
A.I. Credit Corporation
1,000,000 6.00% due 05/23/95..................................... 996,333
Bemis Company, Inc.
4,925,000 5.97%, due 05/25/95.................................... 4,905,399
CPC International Inc.
3,000,000 6.00%, due 06/06/95.................................... 2,982,000
Donnelley (RR) & Sons Co.
392,000 6.00%, due 05/01/95.................................... 392,000
2,530,000 5.95%, due 06/20/95.................................... 2,509,092
Fleet Funding, Inc.
1,872,000 6.00% due 05/15/95..................................... 1,867,632
Goldman Sachs Group
1,035,000 6.01% due 05/22/95 .................................... 1,031,372
Merrill Lynch & Co., Inc.
1,270,000 6.00%, due 05/12/95.................................... 1,267,672
5,000,000 5.98%, due 05/19/95.................................... 4,985,050
1,050,000 5.98%, due 06/08/95.................................... 1,043,372
857,000 6.02%, due 06/16/95.................................... 850,408
Old Republic Capital Corp.
177,000 6.07% due 07/06/95 .................................... 175,030
Transamerica Finance Group, Inc.
2,785,000 5.99%, due 05/03/95.................................... 2,784,073
1,825,000 6.00%, due 06/12/95.................................... 1,812,225
------------
Total short-term securities
(cost $27,601,658)................................ 27,601,658
------------
Total investments
(cost $537,388,658)............................... $717,843,283
============
</TABLE>
* Denotes a non-income producing security.
Cost also represents cost for Federal income tax purposes.
Portfolio holding percentages represent market value as a percentage
of net assets.
See accompanying notes to financial statements.
Pie graph showing types of securities in fund:
Short-term securities and other assets less
liabilities 3.8%, Repurchase Agreement
0.3%, Convertible Bond 0.6%, Common
Stocks 95.3%
<TABLE>
<CAPTION>
TOTAL VALUE OF PORTFOLIO $717,843,283
===============================================================================
LARGEST SECURITIES HOLDINGS ASSETS HELD % OF
PORTFOLIO
===============================================================================
<S> <C> <C>
Warner-Lambert Co. $36,469,675 5.1%
- -------------------------------------------------------------------------------
Texaco Inc. 32,594,363 4.5%
- -------------------------------------------------------------------------------
Chubb Corporation 26,592,000 3.7%
- -------------------------------------------------------------------------------
Chrysler Corporation 25,883,625 3.6%
- -------------------------------------------------------------------------------
Raychem Corporation 22,402,103 3.3%
- -------------------------------------------------------------------------------
Ford Motor Company 23,473,800 3.3%
- -------------------------------------------------------------------------------
Mattel, Inc. 22,023,660 3.1%
- -------------------------------------------------------------------------------
Avon Products, Inc. 21,947,750 3.1%
- -------------------------------------------------------------------------------
PepsiCo, Inc. 21,811,500 3.0%
- -------------------------------------------------------------------------------
Capital Cities/ABC, Inc. 21,463,000 3.0%
- -------------------------------------------------------------------------------
</TABLE>
9
<PAGE> 10
NATIONWIDE BOND FUND
Statement of Investments - April 30, 1995 (Unaudited)
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------------
PRINCIPAL SECURITY VALUE (NOTE 1)
- ----------------------------------------------------------------------------------------
<S> <C> <C>
CANADIAN GOVERNMENT BONDS (7.8%)
$1,000,000 Hydro-Quebec, 11.75%, 2012................................. $ 1,311,849
4,000,000 Hydro-Quebec, 8.05%, 2024.................................. 4,074,796
2,000,000 Manitoba (Province of), 9.625%, 2018....................... 2,339,118
2,000,000 Ontario (Province of), 8.00%, 2001......................... 2,051,838
------------
Total Canadian government bond
(cost $9,751,937)....................................... 9,777,601
------------
CORPORATE BONDS (74.1%)
BANKS (10.4%)
3,000,000 Banc One Corp., 9.875%, 2009............................... 3,429,912
2,000,000 Banc One Corp., 10.00%, 2010............................... 2,327,832
2,000,000 Bankers Trust of New York Corp., 7.25%, 2003............... 1,893,578
4,000,000 Chase Manhattan Corp., 6.50%, 2009......................... 3,470,000
2,000,000 Toronto-Dominion Bank, NY., 7.875% 2004.................... 1,980,398
------------
13,101,720
------------
BROKER/DEALER (5.3%)
1,000,000 Bear Stearns Companies, Inc., 9.375%, 2001................. 1,065,720
1,000,000 Lehman Brothers Holdings Inc., 11.625%, 2005............... 1,191,190
1,000,000 Morgan Stanley Group Inc., 8.10%, 2002..................... 1,015,611
3,000,000 Morgan Stanley Group Inc., 10.00%, 2008.................... 3,391,698
------------
6,664,219
------------
DRUGS (1.7%)
2,000,000 Lilly (Eli) & Company, 8.375%, 2006........................ 2,128,216
------------
CHEMICALS (1.6%)
2,000,000 ICI Wilmington Inc., 7.50%, 2002........................... 2,005,272
------------
COMPUTERS & HARDWARE (3.8%)
5,000,000 IBM Corp., 7.50%, 2013..................................... 4,787,915
------------
FINANCE (11.8%)
1,500,000 Bass America Inc., 8.125%, 2002............................ 1,550,895
2,000,000 Ford Capital BV Notes, 10.125%, 2000....................... 2,238,914
3,000,000 Ford Capital BV Notes, 9.50%, 2010......................... 3,377,631
1,000,000 General Electric Capital Corp., 8.75%, 2000................ 1,050,842
1,235,000 General Electric Capital Corp., 8.50%, 2008................ 1,341,550
3,515,000 Loew's Corp., 8.875%, 2011................................. 3,661,034
1,500,000 National Cooperative Service Corp., 11.50%, 2009........... 1,600,683
------------
14,821,549
------------
FOOD (1.4%)
2,000,000 General Foods Corp., 7.00%, 2011........................... 1,768,368
------------
INSURANCE (14.6%)
4,500,000 Aetna Life & Casualty Co., 6.75%, 2013..................... 3,702,420
3,000,000 Allstate Corp., 7.50%, 2013................................ 2,748,603
3,000,000 AMBAC Inc., 9.375%, 2011................................... 3,375,264
1,000,000 AMBAC Inc., 7.50%, 2023.................................... 922,999
1,000,000 AON Inc., 6.70%, 2003...................................... 937,568
4,000,000 Berkley (W.R.) Corp., 9.875%, 2008......................... 4,522,304
2,000,000 Equitable of Iowa Companies, 8.50%, 2005................... 2,068,164
------------
18,277,322
------------
OIL & GAS (1.7%)
2,000,000 Atlantic Richfield Company, 8.50%, 2012.................... 2,060,718
------------
PAPER & FOREST PRODUCTS (1.7%)
2,000,000 Temple-Inland Inc., 9.00%, 2001............................ 2,144,122
------------
RETAIL TRADE (6.0%)
2,000,000 Lowe's Companies Inc., 8.19%, 2022......................... 1,986,858
3,000,000 May Department Stores Company, 10.625%, 2010............... 3,694,008
2,000,000 Wal-Mart Stores Inc., 7.25%, 2013.......................... 1,866,772
------------
7,547,638
------------
UTILITIES: GAS & ELECTRIC (1.1%)
1,250,000 Pacific Gas & Electric Company, 8.75%, 2001................ 1,315,462
------------
OTHER (13.0%)
4,000,000 Armstrong World Industries Inc., 9.75%, 2008............... 4,482,044
4,000,000 English China Clays Delaware Inc., 7.375%, 2002............ 3,938,516
2,000,000 Kaiser Foundation, 9.55%, 2005............................. 2,287,796
2,000,000 Waste Management Inc., 7.65%, 2011......................... 1,930,320
3,500,000 Waste Management Inc., 8.75%, 2018......................... 3,685,644
------------
16,324,320
------------
Total corporate bonds
(cost $96,455,958).................................. 92,946,841
------------
MORTGAGE BACKED SECURITIES (9.1%)
1,000,000 FHLMC (REMIC) Class 1204-H, 7.50%, 2007.................... 983,969
2,000,000 FHLMC (REMIC) Class 1297-G, 7.50%, 2017.................... 1,988,138
2,413,483 FHLMC (REMIC) Class 189-C, 8.00%, 2021..................... 2,437,181
902,351 FHLMC-GNMA (REMIC) Class 29-Z, 6.75%, 2024................. 842,389
2,000,000 FNMA (REMIC) 1991 Class 25H, 7.00%, 2020................... 1,961,798
$1,000,000 FNMA (REMIC) 1991 Class 53H, 7.00%, 2020................... $ 982,479
239,653 FNMA (REMIC) 1993 Class X-225CA, 5.85%, 2023............... 215,218
1,000,000 FNMA (REMIC) 1994 Class 4L, 6.50%, 2007.................... 896,989
1,100,000 FNMA (REMIC) 1994 Class 95-VB, 7.00%, 2004................. 1,062,423
------------
Total mortgage backed securities
(cost $11,135,646).................................. 11,370,584
------------
U.S. GOVERNMENT
LONG-TERM OBLIGATION (5.1%)
6,000,000 U.S. Treasury Note, 8.75%, 2000
(cost $6,407,333).......................................... 6,487,500
------------
REPURCHASE AGREEMENT (0.1%)
Merrill Lynch & Co.,Inc.,
5.65%, due 05/01/95, Collateralized by
$23,393 FHLMC 10.074%, due 11/1/18
39,000 $16,414 GNMA 7.00%, due 12/15/23
market value - $39,807
(cost $39,000).......................................... 39,000
------------
SHORT-TERM SECURITIES (2.1%)
Dean Witter Discover & Co.
800,000 6.00%, due 05/11/95..................................... 798,667
Donnelley (RR) & Sons Co.
605,000 5.96%, due 06/20/95..................................... 599,992
PHH Corp.
1,317,000 5.97%, due 05/17/95..................................... 1,313,505
------------
Total short-term securities
(cost $2,712,164)................................... 2,712,164
------------
Total investments
(cost $126,502,038)................................. $123,333,690
============
</TABLE>
Cost also represents cost for Federal income tax purposes.
Portfolio holding percentages represent market value as a percentage of net
assets.
See accompanying notes to financial statements.
Pie graph showing types of securities in fund:
Corporate Bonds 74.1%, Mortgage-Backed
Securities 9.1%, Canadian Government
Bonds 7.8%, U.S. Government Long-term
Obligations 5.1%, Short-term securities and
other assets less liabilities 3.9%
<TABLE>
<CAPTION>
TOTAL VALUE OF PORTFOLIO $123,333,690
===============================================================================
LARGEST SECURITIES HOLDINGS ASSETS HELD % OF
PORTFOLIO
===============================================================================
<S> <C> <C>
U.S. Treasury Note, 2000 $6,487,500 5.3%
- -------------------------------------------------------------------------------
Banc One Corp. 5,757,744 4.7%
- -------------------------------------------------------------------------------
Ford Capital BV Notes 5,616,545 4.6%
- -------------------------------------------------------------------------------
Waste Management Inc. 5,615,964 4.6%
- -------------------------------------------------------------------------------
Hydro-Quebec 5,386,645 4.4%
- -------------------------------------------------------------------------------
IBM Corp. 4,787,915 3.9%
- -------------------------------------------------------------------------------
Berkley (W.R.) Corp. 4,522,304 3.7%
- -------------------------------------------------------------------------------
Armstrong World Industries, Inc. 4,482,044 3.6%
- -------------------------------------------------------------------------------
Morgan Stanley Group, Inc. 4,407,309 3.6%
- -------------------------------------------------------------------------------
AMBAC Inc. 4,298,263 3.5%
- -------------------------------------------------------------------------------
</TABLE>
10
<PAGE> 11
NATIONWIDE TAX-FREE INCOME FUND
Statement of Investments - April 30, 1995 (Unaudited)
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------
PRINCIPAL SECURITY VALUE (NOTE 1)
- ------------------------------------------------------------------------------------------
<S> <C> <C>
LONG-TERM MUNICIPAL SECURITIES - (98.2%)
ALABAMA (3.4%)
Birmingham, Alabama General Obligation Refunding
$2,500,000 Revenue, Series 1992 B, 6.25%, 2016...................... $ 2,504,922
Birmingham, Alabama Water Works & Sewer Board Refunding
2,480,000 Revenue, Series 1992, 6.125%, 2012....................... 2,496,311
Huntsville, Alabama General Obligation Limited Tax
3,500,000 Warrants, Series 1992 A, 6.00%, 2012..................... 3,507,508
-----------
8,508,741
-----------
ARIZONA (3.0%)
Salt River Project, Agricultural Improvement & Power
District, Arizona Electric System Revenue Bonds,
5,100,000 Series 1992 C, 6.00%, 2016............................... 5,028,228
Salt River Project, Agricultural Improvement & Power
District, Arizona Electric System Revenue Bonds,
2,500,000 Series 1992 C, 6.20%, 2012............................... 2,536,545
-----------
7,564,773
-----------
COLORADO (0.4%)
Colorado Housing Finance Authority Single-Family
Housing Revenue Refunding Bonds,
1,000,000 Series 1991-A, 7.15%, 2014............................... 1,055,990
-----------
CONNECTICUT (2.1%)
Connecticut Housing Finance Authority
Housing Mortgage Finance Program Bonds,
5,000,000 Series 1992-B, 6.70%, 2012............................... 5,192,490
-----------
DELAWARE (0.4%)
Delaware General Obligation Refunding Revenue Bonds,
1,075,000 Series 1994 B, 6.00%, 2009 .............................. 1,104,904
-----------
FLORIDA (2.9%)
Florida State Full Faith and Credit Capital Outlay
1,550,000 Bonds, Series 1991 A, 6.75%, 2012........................ 1,642,820
Florida State Full Faith and Credit Capital Outlay
1,000,000 Bonds, Series 1991 B, 6.50%, 2009........................ 1,057,404
Florida Municipal Power Agency, Stanton II Project Revenue
1,880,000 Bonds, Series 1992, 6.50%, 2020.......................... 2,054,541
Jacksonville, Florida Electric Authority Bulk Power
Revenue Bonds, (Scherer 4 Project, Issue One,
2,400,000 Series1991 A), 7.00%, 2012............................... 2,641,008
-----------
7,395,773
-----------
GEORGIA (6.3%)
Atlanta, Georgia General Obligation School Improvement
1,805,000 Bonds, Series 1993, 5.60%, 2018.......................... 1,701,375
Dekalb County, Georgia General Obligation Refunding
2,710,000 Bonds, 6.00%, 2012....................................... 2,753,040
Georgia Municipal Electric Authority Power Revenue
1,600,000 Bonds, Series T, 6.50%, 2025............................. 1,606,533
Georgia Municipal Electric Authority Power Revenue
2,750,000 Bonds, Series 1991-V, 6.60%, 2018........................ 2,875,793
Georgia Municipal Electric Authority Power Revenue
2,050,000 Bonds, Series T, 7.25%, 2009............................. 2,237,095
Georgia Residential Financial Authority Revenue Bonds,
1,005,000 Series A, 7.50%, 2017.................................... 1,053,444
Georgia General Obligation Refunding Revenue Bonds,
2,500,000 Series 1993 D, 6.50%, 2008............................... 2,725,478
Gwinnett County, Georgia School District
1,000,000 General Obligation School Bonds,
Series 1991, 6.25%, 2011................................. 1,022,143
-----------
15,974,901
-----------
ILLINOIS (6.3%)
Chicago, Illinois General Airport Revenue Refunding Bonds,
Series 1993-A (Chicago-O'Hare International Airport),
3,000,000 5.00%, 2016.............................................. 2,521,887
Illinois Educational Facility Authority Revenue, Series
2,185,000 1991-A, Loyola University, 7.125%, 2021.................. 2,323,647
Illinois State Build Illinois Bonds Sales Tax Revenue,
7,500,000 Series O, 6.00%, 2018.................................... 7,271,580
Illinois State Build Illinois Bonds Sales Tax Revenue,
2,500,000 Series V, 6.375%, 2017................................... 2,527,127
Palatine, Illinois Corporate Purpose General Obligation
1,000,000 Bonds, Series 1985, 9.90%, 2016.......................... 1,213,096
-----------
15,857,337
-----------
INDIANA (2.8%)
Indiana State Toll Road Commission East-West Toll Road
5,335,000 Revenue Bonds, Series 1980, 9.00%, 2015.................. 7,137,990
-----------
MAINE (0.4%)
Maine Municipal Bond Bank General Obligation,
1,000,000 Series 1988 A, 7.70%, 2008............................... 1,112,451
-----------
MARYLAND (4.6%)
Baltimore County, Maryland General Obligation
Pension Funding Bonds, Refunding
6,700,000 Series 1991, 6.70%, 2016................................. 7,033,405
Baltimore County, Maryland General Obligation
Pension Funding Bonds, Refunding
1,500,000 Series 1991, 6.70%, 2011................................. 1,578,681
Howard County, Maryland Public Improvement
General Obligation Unlimited Tax,
1,000,000 Series 1994 A, 6.00%, 2014............................... 1,004,390
Montgomery County, Maryland Consolidated Public
1,700,000 Improvement Bonds, Series 1984, 9.75%, 2001.............. 2,119,426
-----------
11,735,902
-----------
MASSACHUSETTS (3.4%)
Massachusetts Bay Transportation Authority, General
Transportation System Bonds, Series 1991 A,
2,600,000 7.00%, 2011.............................................. 2,878,403
Massachusetts State General Obligation Bonds Consolidated
3,775,000 Loan, Series 1992-B, 6.50%, 2013......................... 3,886,872
Massachusetts State General Obligation Bonds Consolidated
2,250,000 Loan, Series 1993-B, 4.875%, 2013........................ 1,941,680
-----------
8,706,955
-----------
MICHIGAN (1.4%)
Michigan State General Obligation Bonds, Environmental
3,500,000 Protection Program, Series 1992, 6.25%, 2012............. 3,620,950
-----------
MINNESOTA (1.6%)
Minnesota State Housing Finance Agency Single Family
Mortgage Revenue Bonds,
4,000,000 Series 1994 K, 6.40%, 2015............................... 3,955,000
-----------
MISSOURI (1.2%)
Kansas City, Missouri Water Works & Sewer Board
1,000,000 Refunding Revenue, Series 1994-D, 6.55%, 2012............ 1,050,761
Missouri State Environmental Improvement & Energy
Resources Authority Water Pollution Control Revenue
2,000,000 Bonds, 6.55%, 2014....................................... 2,080,000
-----------
3,130,761
-----------
NEBRASKA (2.0%)
Nebraska Public Power District Power Supply System
5,000,000 Revenue Bonds, Series 1993, 6.125%, 2015................. 4,943,165
-----------
NORTH CAROLINA (2.5%)
North Carolina Housing Finance Agency Single Family
2,210,000 Revenue Bonds, Series J, 7.40%, 2022..................... 2,297,467
North Carolina Housing Finance Agency Single Family
1,910,000 Revenue Bonds, Series N, 7.40%, 2028..................... 1,982,036
North Carolina Medical Care Commission Hospital Revenue
Refunding Bonds, Series 1992 A (North Carolina Baptist
2,000,000 Hospitals Project), 6.375%, 2014............................ 2,051,984
-----------
6,331,487
-----------
OHIO (0.9%)
Columbus, Ohio Water Works & Sewer Board Refunding
1,000,000 Revenue, Series 1991, 6.375%, 2010....................... 1,036,490
Ohio State Full Faith & Credit General Obligation
Infrastructure Improvement & Refunding Bonds,
1,395,000 Series 1994, 4.80%, 2013................................. 1,200,960
-----------
2,237,450
-----------
PENNSYLVANIA (3.2%)
Pennsylvania Housing Finance Agency Rental
Housing Refunding Revenue Bonds,
3,055,000 Issue 1992, 6.40%, 2012.................................. 3,118,336
Pennsylvania Housing Finance Agency Rental
Housing Refunding Revenue Bonds,
1,500,000 Issue 1992, 6.25%, 2007.................................. 1,538,769
Pennsylvania State Turnpike Commission Oil
2,000,000 Franchise Tax Revenue, Series A, 6.00%, 2014............. 2,008,154
Pennsylvania State General Obligation Bonds,
1,350,000 Third Series A of 1991, 6.50%, 2011...................... 1,412,493
-----------
8,077,752
-----------
SOUTH CAROLINA (4.7%)
Charleston, South Carolina Waterworks & Sewer System
Refunding & Capital Improvement Revenue Bonds,
6,980,000 Series 1991, 6.00%, 2018................................. 6,835,437
South Carolina State Housing Finance & Development
2,075,000 Authority Homeownership Mortgage Purchase Bonds,
1994 Series A, 6.375%, 2016.............................. 2,095,750
South Carolina State Housing Finance & Development
Authority Multi-Family Development Revenue Refunding,
1,500,000 Series 1992-A, 6.875%, 2023.............................. 1,548,750
Spartanburg, South Carolina Water System
Improvement & Refunding Revenue Bonds,
1,500,000 Series 1992, 6.25%, 2017................................. 1,502,981
-----------
11,982,918
-----------
TENNESSEE (1.0%)
Nashville & Davidson County, Tennessee Health &
Educational Facilities Revenue Bonds, Series 1979,
1,500,000 7.875%, 2004............................................. 1,639,340
Shelby County, Tennessee General Obligation
1,000,000 School Bonds, Series 1994 B, 6.00%, 2014................. 1,004,396
-----------
2,643,736
-----------
</TABLE>
(continued)
11
<PAGE> 12
NATIONWIDE TAX-FREE INCOME FUND
Statement of Investments - April 30, 1995 (Unaudited) continued
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------
PRINCIPAL SECURITY VALUE (NOTE 1)
- ------------------------------------------------------------------------------------------
<S> <C> <C>
TEXAS (21.9%)
Bexar County, Texas Combination Tax and Revenue
$5,000,000 Certificates, Series 1992, 6.20%, 2012.................... $ 5,080,040
Grand Prairie Independent School District, Texas
Unlimited Tax School Building Bonds,
1,075,000 Series 1992, 6.50%, 2011.................................. 1,117,268
Harris County, Texas Detention Facility Certificates,
1,000,000 Series 1992, 6.00%, 2010.................................. 1,010,841
Harris County, Texas General Obligation Tax and Revenue
3,500,000 Certificates, Series 1994, 6.10%, 2013.................... 3,484,474
Harris County, Texas Toll Road Revenue, Series 1992 A,
1,835,000 6.50%, 2011............................................... 1,923,419
Houston, Texas General Obligation Public Improvement
5,435,000 Unrefunded, Series C, 6.25%, 2012......................... 5,537,222
Houston, Texas Water and Sewer System Prior Lien Revenue
1,000,000 Refunding Bonds, Series 1991 B, 6.375%, 2010.............. 1,032,613
Houston, Texas Water & Sewer Junior Lien Revenue
7,720,000 Refunding, Series 1991-C, 6.375%, 2017.................... 7,872,733
Irving, Texas Independent School District Unlimited Tax
School Building Bonds, Series 1991-C-Permanent School
1,215,000 Fund, 5.25%, 2009......................................... 1,145,302
Lower Colorado River Authority Texas Junior Lien Refunding
3,390,000 Revenue Bonds, Series 1992, 6.00%, 2017................... 3,397,034
San Antonio, Texas General Improvement Refunding Bonds,
5,000,000 Series 1992, 5.75%, 2013.................................. 4,932,805
San Antonio, Texas Electric & Gas Systems
Revenue Refunding Bonds,
2,700,000 New Series 1989-B, 6.50%, 2012............................ 2,787,971
Texas State Water Development Bonds,
3,175,000 Series 1994, 6.90%, 2017.................................. 3,393,945
Texas Water Resources Finance Authority Revenue Bonds,
1,490,000 Series 1989, 7.625%, 2008................................. 1,598,666
Board of Regents of The University of Texas System,
Permanent University Fund Revenue Bonds,
2,000,000 Series 1992 B, 6.25%, 2013................................ 2,029,758
University of Texas Revenue Financing System,
2,750,000 Series 1991-B, 6.75%, 2013................................ 2,921,682
University of Texas Revenue Financing System,
2,000,000 Series 1991, 6.50%, 2011.................................. 2,078,044
Weatherford, Texas Independent School District Unlimited
Tax School Building and Refunding Bonds,
3,000,000 Series 1994, 6.50%, 2015.................................. 3,138,969
Weatherford, Texas Independent School District Unlimited
Tax School Building and Refunding Bonds,
1,090,000 Series 1994, 6.40%, 2012.................................. 1,136,583
------------
55,619,369
------------
UTAH (2.0%)
Intermountain Power Agency, Utah Power Supply Revenue
5,580,000 Refunding Bonds, Series 1993-A, 5.50%, 2020............... 5,118,060
------------
VIRGINIA (11.4%)
Fairfax County, Virginia Water Authority Water Refunding
2,500,000 Revenue Series 1992, 6.00%, 2022.......................... 2,463,747
Henrico County, Virginia Water and Sewer System Refunding
4,250,000 Revenue Bonds, Series 1994, 5.875%, 2014.................. 4,140,856
Newport News, Virginia General Improvement Bonds,
1,985,000 Series 1993 E, 5.20%, 2013................................. 1,827,453
Richmond, Virginia General Obligation Public
Improvement Refunding Bonds, Series 1991-B,
$7,000,000 6.25%, 2018............................................... $ 7,045,934
Virginia Housing Development Authority Commonwealth
2,150,000 Mortgage Bonds, Series 1993 H, 5.25%, 2023................ 1,775,868
Virginia Housing Development Authority Commonwealth
Mortgage Bonds, Series 1992 C Subseries C-7,
2,000,000 6.30%, 2015............................................... 1,988,628
Virginia Housing Development Authority
Commonwealth Mortgage Bonds, 1995 Series B,
1,000,000 Subseries B-3, 6.35%, 2015................................ 1,000,748
Virginia Housing Development Authority Commonwealth
5,500,000 Mortgage Bonds, Series 1992 A, 7.10%, 2022................ 5,645,876
Virginia Public School Authority School Financing Bonds
2,000,000 (1991 Resolution), Series 1994 A, 6.20%, 2013............. 2,038,732
Virginia Housing Development Authority Commonwealth
Mortgage Bonds, Series B Subseries B-2,
1,000,000 6.50%, 2010............................................... 1,036,634
------------
28,964,476
------------
WASHINGTON (5.9%)
Seattle, Washington Municipal Light and Power Refunding
1,500,000 Revenue Bonds, Series 1992 B, 5.75%, 2010................. 1,466,269
Seattle, Washington Metropolitan General Obligation Bonds,
2,950,000 Series 1991, 6.875%, 2020................................. 3,051,545
Washington State General Obligation, Series 1992 A and
8,635,000 AT-6, 5.75%, 2017......................................... 8,193,043
Washington State General Obligation Unlimited Tax,
2,155,000 Series DD-14 and B, 6.00%, 2015........................... 2,112,659
------------
14,823,516
------------
WISCONSIN (2.5%)
Wisconsin State General Obligation, Series 1992-A,
2,000,000 6.30%, 2011............................................... 2,127,824
Wisconsin State General Obligation Bonds, Series 1994 A,
2,000,000 5.00%, 2014............................................... 1,764,676
Wisconsin State Transportation Revenue Bonds, Series A,
2,500,000 5.50%, 2022............................................... 2,333,915
------------
6,226,415
------------
Total municipal securities
(cost $243,828,885)................................... $249,023,262
============
</TABLE>
Cost also represents cost for Federal income tax purposes.
Portfolio holding percentages represent market value
as a percentage of net assets.
See accompaning notes to financial statements.
Pie graphs showing securities by Moody's
Rating A-rated 24.5%, Aa-rated 49.6%,
Aaa-rated 25.9%
<TABLE>
<CAPTION>
TOTAL VALUE OF PORTFOLIO $249,023,262
===============================================================================
LARGEST SECURITIES HOLDINGS BY STATE ASSETS HELD % OF
PORTFOLIO
===============================================================================
<S> <C> <C>
Texas $55,619,369 22.3%
- -------------------------------------------------------------------------------
Virginia 28,964,476 11.6%
- -------------------------------------------------------------------------------
Georgia 15,974,901 6.4%
- -------------------------------------------------------------------------------
Illinois 15,857,337 6.4%
- -------------------------------------------------------------------------------
Washington 14,823,516 6.0%
- -------------------------------------------------------------------------------
South Carolina 11,982,918 4.8%
- -------------------------------------------------------------------------------
Maryland 11,735,902 4.7%
- -------------------------------------------------------------------------------
Massachusetts 8,706,955 3.5%
- -------------------------------------------------------------------------------
Alabama 8,508,741 3.4%
- -------------------------------------------------------------------------------
Pennsylvania 8,077,752 3.2%
- -------------------------------------------------------------------------------
</TABLE>
KEY TO MOODY'S MUNICIPAL BOND RATINGS
=============================================
Aaa BEST QUALITY
Aa HIGH QUALITY
A MANY FAVORABLE INVESTMENT ATTRIBUTES
Baa MEDIUM GRADE
Ba HAVE SPECULATIVE ELEMENTS
B LACK CHARACTERISTICS OF A
DESIRABLE INVESTMENT
Caa POOR STANDING
Ca HIGHLY SPECULATIVE
C EXTREMELY POOR PROSPECTS
12
<PAGE> 13
NATIONWIDE U.S. GOV'T INCOME FUND
Statement of Investments -April 30, 1995 (Unaudited)
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------
PRINCIPAL SECURITY VALUE (NOTE 1)
- ----------------------------------------------------------------------------------
<S> <C> <C>
MORTGAGE BACKED SECURITIES (78.3%)
FHLMC REMIC Series 1462, Class PT,
$5,000,000 7.50%, 2003....................................... $ 5,006,195
FHLMC REMIC Series 1313, Class G,
3,000,000 7.25%, 2007...................................... 2,920,887
FHLMC REMIC Series 1344, Class D,
4,000,000 6.00%, 2007...................................... 3,500,796
FHLMC REMIC Series 31, Class E,
3,437,883 7.55%, 2020...................................... 3,288,676
FHLMC REMIC Series 193, Class D,
1,543,132 9.00%, 2021...................................... 1,578,268
FNMA REMIC Series 92-126, Class VB,
1,500,000 8.00%, 2002...................................... 1,531,018
FNMA REMIC Series 1992-151, Class H,
4,000,000 6.00%, 2007...................................... 3,512,516
FNMA REMIC Series 1988-25, Class B,
607,220 9.25%, 2018...................................... 627,039
FNMA REMIC Series 1990-7, Class B,
3,000,000 8.50%, 2020...................................... 3,078,867
FNMA REMIC Series 1993-203, Class PJ,
5,000,000 6.50%, 2023...................................... 4,606,845
-----------
Total mortgage backed securities
(cost $30,777,816)........................... 29,651,107
-----------
U.S. GOVERNMENT AND AGENCY
LONG-TERM OBLIGATIONS (18.4%)
Federal Home Loan Banks
4,000,000 6.36%, 2001...................................... 3,848,020
Resolution Funding STRIPS,
2,000,000 0.00%, 2013...................................... 497,738
U.S. Treasury Bonds
1,000,000 11.75%, 2001..................................... 1,229,375
1,000,000 11.25%, 2015..................................... 1,393,750
-----------
Total U.S. government and agency
long-term obligations
(cost $6,985,805)............................ 6,968,883
-----------
REPURCHASE AGREEMENT (2.9%)
Merrill Lynch & Co., Inc.,
5.85%, due 5/1/95, Collateralized by
$795,000 U.S. Treasury Bond 11.25%, due 2/15/15
market value - $1,197,820
1,100,000 (cost $1,100,000)................................ 1,100,000
-----------
Total investments
(cost $38,863,621)........................... $37,719,990
===========
</TABLE>
Cost also represents cost for Federal income tax purposes. Portfolio holding
percentages represent market value as a percentage of net assets.
See accompanying notes to financial statements.
PIE GRAPH SHOWING TYPES OF SECURITIES IN FUND: MORTGAGE BACKED SECURITIES 78.3%,
U.S. GOVERNMENT LONG-TERM AND AGENCY OBLIGATIONS 18.4%, REPURCHASE AGREEMENT AND
OTHER ASSETS LESS LIABILITIES 3.3%
TOTAL VALUE OF PORTFOLIO $37,719,990
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------
LARGEST SECURITIES HOLDINGS ASSETS HELD % OF
PORTFOLIO
- --------------------------------------------------------------------------
<S> <C> <C>
FHLMC (REMIC) Series 1462-PT $5,006,195 13.3%
- --------------------------------------------------------------------------
FNMA (REMIC) Series 1993-203-PJ 4,606,845 12.2%
- --------------------------------------------------------------------------
Federal Home Loan Banks, 2001 3,848,020 10.2%
- --------------------------------------------------------------------------
FNMA (REMIC) Series 1992-151-H 3,512,516 9.3%
- --------------------------------------------------------------------------
FHLMC (REMIC) Series 1344-D 3,500,796 9.3%
- --------------------------------------------------------------------------
FHLMC (REMIC) Series 31-E 3,288,676 8.7%
- --------------------------------------------------------------------------
FNMA (REMIC) Series 1990-7-B 3,078,867 8.2%
- --------------------------------------------------------------------------
FHLMC (REMIC) Series 1313-G 2,920,887 7.7%
- --------------------------------------------------------------------------
U.S. Treasury Bonds 2,623,125 7.0%
- --------------------------------------------------------------------------
FHLMC (REMIC) Series 193-D 1,578,268 4.2%
- --------------------------------------------------------------------------
</TABLE>
13
<PAGE> 14
NATIONWIDE MONEY MARKET FUND
Statement of Investments - April 30, 1995 (Unaudited)
<TABLE>
<CAPTION>
- --------------------------------------------------------------------
PRINCIPAL SECURITY VALUE (NOTE 1)
- --------------------------------------------------------------------
<S> <C> <C>
BANKERS ACCEPTANCES (0.7%)
Republic Bank of NY
$2,000,000 6.05%, due 07/26/95 ............... $1,971,094
2,200,000 6.10%, due 08/28/95................ 2,155,640
----------
Total bankers acceptances
(cost $4,126,734).................. 4,126,734
----------
CANADIAN GOVERNMENT OBLIGATIONS (1.3%)
Export Development Corp.
7,000,000 6.03%, due 05/05/95
(cost $6,995,310).................. 6,995,310
----------
COMMERCIAL PAPER (92.8%)
AGRICULTURE/FINANCE (0.7%)
John Deere Capital Corp.
3,530,000 6.00%, due 05/03/95................ 3,528,823
----------
AUTO/FINANCE (3.8%)
Ford Motor Credit Co.
6,025,000 6.01%, due 05/15/95................ 6,010,918
5,000,000 6.00%, due 05/24/95................ 4,980,833
2,000,000 6.00%, due 05/25/95................ 1,992,000
5,000,000 5.97%, due 06/12/95................ 4,965,175
3,000,000 6.08%, due 06/29/95................ 2,970,107
----------
20,919,033
----------
BANKS (8.4%)
Banc One Corp.
5,000,000 6.10%, due 05/10/95................ 4,992,375
5,000,000 6.00%, due 05/15/95................ 4,988,333
5,000,000 6.00%, due 06/15/95................ 4,962,500
5,000,000 5.98%, due 06/26/95................ 4,953,489
935,000 6.03%, due 06/29/95................ 925,760
CoreStates Capital Corp.
8,000,000 6.00%, due 06/07/95................ 7,950,667
JP Morgan & Co., Inc.
5,000,000 6.03%, due 05/30/95................ 4,975,712
National City Credit Corp.
5,000,000 6.01%, due 06/27/95................ 4,952,421
Norwest Corp.
7,938,000 6.01%, due 06/05/95................ 7,891,618
----------
46,592,875
----------
BROKER-DEALERS (15.9%)
Bear Stearns Companies, Inc.
6,000,000 6.10%, due 05/08/95................ 5,992,883
2,350,000 6.00%, due 05/22/95................ 2,341,775
5,000,000 6.00%, due 06/09/95................ 4,967,500
5,000,000 6.05%, due 06/12/95................ 4,964,708
Dean Witter Discover & Co.
9,000,000 6.00%, due 05/12/95................ 8,983,500
3,500,000 6.05%, due 05/22/95................ 3,487,648
7,000,000 5.97%, due 05/31/95................ 6,965,175
Goldman Sachs Group
4,000,000 6.05%, due 05/01/95................ 4,000,000
5,020,000 6.00%, due 05/02/95................ 5,019,163
1,967,000 6.03%, due 05/03/95................ 1,966,341
7,000,000 6.01%, due 05/23/95................ 6,974,291
Merrill Lynch & Co., Inc.
4,000,000 6.00%, due 05/09/95................ 3,994,667
2,695,000 6.02%, due 05/10/95................ 2,690,944
1,240,000 5.97%, due 05/25/95................ 1,235,065
6,200,000 6.02%, due 06/05/95................ 6,163,713
3,000,000 6.00%, due 06/20/95................ 2,975,000
5,000,000 6.01%, due 06/20/95................ 4,958,264
Morgan Stanley Group Inc.
4,000,000 6.06%, due 06/22/95................ 3,964,987
Smith Barney, Inc.
2,250,000 5.98%, due 05/01/95................ 2,250,000
4,010,000 5.98%, due 06/26/95................ 3,972,698
----------
87,868,322
----------
CHEMICALS (0.9%)
Monsanto Co.
5,000,000 6.05%, due 05/17/95................ 4,986,556
----------
CONSUMER SALES FINANCE (13.6%)
American Express Credit Corp.
1,890,000 6.00%, due 05/01/95................ 1,890,000
4,460,000 6.05%, due 05/09/95................ 4,454,004
5,365,000 6.00%, due 05/18/95................ 5,349,799
3,765,000 6.00%, due 06/13/95................ 3,738,017
American General Finance Corp.
6,630,000 5.99%, due 06/22/95................ 6,572,636
Associates Corp. of North America
5,000,000 6.05%, due 05/08/95................ 4,994,117
6,840,000 6.03%, due 05/26/95................ 6,811,357
$5,145,000 6.00%, due 06/01/95................ $5,118,418
Avco Financial Services, Inc.
5,000,000 6.00%, due 05/02/95................ 4,999,167
6,000,000 5.97%, due 06/26/95................ 5,944,280
2,360,000 5.98%, due 06/27/95................ 2,337,655
Commercial Credit Co.
9,740,000 6.00%, due 05/16/95................ 9,715,650
Norwest Financial, Inc.
5,750,000 6.04%, due 05/09/95................ 5,742,282
2,829,000 6.00%, due 05/25/95................ 2,817,684
4,615,000 6.01%, due 07/19/95................ 4,554,135
----------
75,039,201
----------
COMMERCIAL FINANCE (0.9%)
Nestle Capital Corp.
5,000,000 6.15%, due 10/11/95................ 4,860,771
----------
CORPORATE CREDIT UNIONS (2.1%)
U.S. Central Credit Union
7,680,000 5.97%, due 05/16/95................ 7,660,896
4,000,000 6.04%, due 06/15/95................ 3,969,800
----------
11,630,696
----------
DIVERSIFIED FINANCE (3.4%)
General Electric Capital Corp.
5,000,000 6.60%, due 07/05/95................ 4,940,417
Transamerica Finance Group, Inc.
3,780,000 6.06%, due 05/17/95................ 3,769,819
7,000,000 5.99%, due 05/30/95................ 6,966,223
3,000,000 6.02%, due 09/18/95................ 2,929,767
----------
18,606,226
----------
ELECTRIC UTILITY (1.0%)
National Rural Utilities Cooperative
1,305,000 5.98%, due 05/02/95................ 1,304,783
4,315,000 5.96%, due 05/26/95................ 4,297,141
----------
5,601,924
----------
FOOD & BEVERAGES (8.4%)
California Almond\Blue Diamond Growers
3,000,000 6.00%, due 05/02/95................ 2,999,500
CPC International Inc.
8,000,000 6.00%, due 06/06/95................ 7,952,000
7,000,000 6.00%, due 07/17/95................ 6,910,167
2,000,000 6.00%, due 07/17/95................ 1,974,333
Campbell Soup Co.
5,000,000 6.10%, due 08/24/95................ 4,902,569
Coca-Cola Financial Corp.
3,800,000 5.97%, due 06/22/95................ 3,767,231
Sysco Corp.
3,000,000 6.02%, due 05/01/95................ 3,000,000
5,000,000 6.03%, due 05/08/95................ 4,994,138
5,000,000 5.96%, due 05/23/95................ 4,981,789
5,000,000 6.00%, due 07/18/95................ 4,935,000
----------
46,416,727
----------
INSURANCE (9.7%)
AIG Funding, Inc.
1,125,000 6.00%, due 05/22/95................ 1,121,062
5,000,000 5.97%, due 05/31/95................ 4,975,125
American General Corp.
2,485,000 5.96%, due 05/24/95................ 2,475,538
7,000,000 6.00%, due 05/24/95................ 6,973,167
3,125,000 5.97%, due 05/26/95................ 3,112,044
1,450,000 5.97%, due 05/30/95................ 1,443,027
MetLife Funding, Inc.
1,708,000 6.05%, due 05/04/95................ 1,707,139
2,625,000 5.98%, due 05/04/95................ 2,623,692
6,000,000 5.97%, due 06/21/95................ 5,949,255
Old Republic Capital Corp.
5,000,000 6.25%, due 05/11/95................ 4,991,320
9,000,000 6.05%, due 05/11/95................ 8,984,875
5,000,000 6.15%, due 07/06/95................ 4,943,625
4,000,000 6.05%, due 08/16/95................ 3,928,072
----------
53,227,941
----------
LEASE FINANCING (7.2%)
Fleet Funding, Inc.
5,000,000 6.02%, due 05/02/95................ 4,999,164
1,375,000 6.00%, due 05/18/95................ 1,371,104
7,665,000 6.00%, due 05/18/95................ 7,643,282
4,000,000 6.00%, due 05/22/95................ 3,986,000
PHH Corp.
3,000,000 5.97%, due 05/01/95................ 3,000,000
7,000,000 5.97%, due 05/17/95................ 6,981,427
4,000,000 5.96%, due 05/19/95................ 3,988,080
8,000,000 5.98%, due 05/19/95................ 7,976,080
----------
39,945,137
----------
PACKAGING/CONTAINERS (2.1%)
Bemis Co., Inc.
5,000,000 6.02%, due 05/22/95................ 4,982,442
</TABLE>
14 (continued)
<PAGE> 15
NATIONWIDE MONEY MARKET FUND
Statement of Investments - April 30, 1995 (Unaudited) continued
<TABLE>
<CAPTION>
- -------------------------------------------------------------------
PRINCIPAL SECURITY VALUE (NOTE 1)
- -------------------------------------------------------------------
<S> <C> <C>
$6,700,000 6.00%, due 05/25/95................ $ 6,673,200
------------
11,655,642
------------
PAPER AND FOREST PRODUCTS (2.6%)
Sonoco Products Co.
4,000,000 6.02%, due 05/19/95................ 3,987,960
6,065,000 5.97%, due 06/23/95................ 6,011,694
4,500,000 5.98%, due 06/28/95................ 4,456,645
------------
14,456,299
------------
PHARMACEUTICALS/PERSONAL CARE (3.5%)
Abbott Laboratories
5,000,000 6.00%, due 10/19/95................ 4,857,500
Schering Corp.
5,000,000 6.08%, due 07/10/95................ 4,940,888
2,300,000 6.08%, due 07/10/95................ 2,272,809
7,400,000 6.05%, due 09/14/95................ 7,230,869
------------
19,302,066
------------
PREMIUM FINANCE (0.4%)
A.I. Credit Corp.
2,425,000 6.00%, due 05/23/95................ 2,416,108
------------
PRINTING & PUBLISHING (3.4%)
Donnelley (RR) & Sons Co.
6,490,000 6.01%, due 05/04/95................ 6,486,750
2,500,000 5.96%, due 06/16/95................ 2,480,961
5,000,000 5.96%, due 06/20/95................ 4,958,611
McGraw-Hill Inc.
5,000,000 6.02%, due 07/11/95................ 4,940,636
------------
18,866,958
------------
TELECOMMUNICATIONS (3.9%)
AT & T Corp.
1,225,000 6.00%, due 05/08/95................ 1,223,571
6,000,000 6.03%, due 05/11/95................ 5,989,950
5,000,000 6.20%, due 07/06/95................ 4,943,167
4,680,000 6.02%, due 08/04/95................ 4,605,653
5,000,000 6.00%, due 08/07/95................ 4,918,333
------------
21,680,674
------------
UTILITIES (0.9%)
Citizens Utilities Co.
5,000,000 6.07%, due 06/06/95................ 4,969,650
------------
Total commercial paper
(cost $512,571,629)............ 512,571,629
------------
U.S. GOVERNMENT OBLIGATIONS AND
AGENCY OBLIGATIONS (5.1%)
Federal National Mortgage Association
5,000,000 6.32%, due 06/09/95................ 4,965,767
4,000,000 5.16%, due 06/16/95................ 3,973,626
6,015,000 6.37%, due 06/19/95................ 5,962,848
U.S. Treasury Bills
5,000,000 6.31%, due 11/16/95................ 4,825,599
3,430,000 6.26%, due 06/29/95................ 3,394,782
5,000,000 6.31%, due 07/27/95................ 4,923,754
------------
Total U.S. government and
agency obligations
(cost $28,046,376)............. 28,046,376
------------
Total investments
(cost $551,740,049)............ $551,740,049
============
</TABLE>
Cost also represents cost for Federal income tax purposes. Portfolio holding
percentages represent market value as a percentage of net assets.
See accompanyining notes to financial statements.
PIE GRAPH SHOWING TYPES OF SECURITIES IN FUND: COMERCIAL PAPER 92.8%, U.S.
GOVERNMENT AND AGENCY OBLIGATIONS AND OTHER ASSETS LESS LIABILITIES 5.2%,
CANADIAN GOVERNMENT OBLIGATIONS 1.3%, BANKER'S ACCEPTANCES 0.7%
TOTAL VALUE OF PORTFOLIO $551,740,049
<TABLE>
<CAPTION>
- ---------------------------------------------------------------
LARGEST SECURITIES HOLDINGS BY ISSUER ASSETS HELD % OF
PORTFOLIO
- ---------------------------------------------------------------
<S> <C> <C>
Old Republic Capital Corp. $22,847,892 4.1%
- ----------------------------------------------------------------
Merrill Lynch & Co., Inc. 22,017,652 4.0%
- ----------------------------------------------------------------
PHH Corp. 21,945,587 4.0%
- ----------------------------------------------------------------
AT & T Corp. 21,680,674 3.9%
- ----------------------------------------------------------------
Ford Motor Credit Co. 20,919,033 3.8%
- ----------------------------------------------------------------
Banc One Corp 20,822,457 3.8%
- ----------------------------------------------------------------
American General Corp. 20,576,411 3.7%
- ----------------------------------------------------------------
Dean Witter Discover & Co. 19,436,323 3.5%
- ----------------------------------------------------------------
Bear Stearns Companies, Inc. 18,266,867 3.3%
- ----------------------------------------------------------------
Fleet Funding, Inc. 17,999,550 3.3%
- ----------------------------------------------------------------
</TABLE>
15
<PAGE> 16
STATEMENTS OF ASSETS AND LIABILITIES
Statements of Assets and Liabilities - April 30, 1995 (Unaudited)
<TABLE>
<CAPTION>
NATIONWIDE(R) NATIONWIDE(R) NATIONWIDE(R)
GROWTH NATIONWIDE(R) BOND TAX-FREE
FUND FUND FUND INCOME FUND
- -----------------------------------------------------------------------------------------------------------
ASSETS
- ----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Investments in securities, at value (cost $500,147,037 717,843,283 123,333,690 249,023,262
$379,989,168, $537,388,658, $126,502,038,
$243,828,885, $38,863,621, and $551,740,049,
respectively)
- ----------------------------------------------------------------------------------------------------------
Cash -- -- 57,399 210,239
- ----------------------------------------------------------------------------------------------------------
Accrued interest and dividends receivable 305,679 898,039 2,651,065 5,114,562
- ----------------------------------------------------------------------------------------------------------
Receivable for Fund shares sold 64,495 130,166 8,026 107,216
- ----------------------------------------------------------------------------------------------------------
Receivable for investment securities sold 4,166,109 1,309,578 102 --
- ----------------------------------------------------------------------------------------------------------
Total assets 504,683,320 720,181,066 126,050,282 254,455,279
- ----------------------------------------------------------------------------------------------------------
LIABILITIES
- ----------------------------------------------------------------------------------------------------------
Payable for investment securities purchased 856,923 -- -- --
- ----------------------------------------------------------------------------------------------------------
Net payable for Fund shares redeemed 1,122,902 1,480,792 343,682 305,176
- ----------------------------------------------------------------------------------------------------------
Accrued management fees (note 2) 196,692 304,076 51,377 135,923
- ----------------------------------------------------------------------------------------------------------
Accrued transfer agent fees (note 2) 46,757 52,433 13,075 12,909
- ----------------------------------------------------------------------------------------------------------
Accrued distribution fees (note 2) -- -- -- 41,883
- ----------------------------------------------------------------------------------------------------------
Distribution payable 31 1,999 124,267 319,511
- ----------------------------------------------------------------------------------------------------------
Other accrued expenses 137,401 176,975 36,733 64,209
- ----------------------------------------------------------------------------------------------------------
Total liabilities 2,360,706 2,016,275 569,134 879,611
- ----------------------------------------------------------------------------------------------------------
NET ASSETS $502,322,614 718,164,791 125,481,148 253,575,668
==========================================================================================================
REPRESENTED BY:
Capital Shares, $1 par value outstanding 41,973,172 46,684,936 14,199,185 25,503,954
- ----------------------------------------------------------------------------------------------------------
Capital paid in excess of par value 319,926,129 472,896,473 125,253,121 228,245,653
- ----------------------------------------------------------------------------------------------------------
Net unrealized appreciation (depreciation) 120,157,869 180,454,625 (3,168,348) 5,194,377
- ----------------------------------------------------------------------------------------------------------
Accumulated undistributed net realized
gain (loss) 20,527,803 17,518,409 (10,801,717) (5,667,875)
- ----------------------------------------------------------------------------------------------------------
Accumulated undistributed (distributions in
excess of) net investment income (262,359) 610,348 (1,093) 299,559
- ----------------------------------------------------------------------------------------------------------
NET ASSETS $502,322,614 718,164,791 125,481,148 253,575,668
==========================================================================================================
Shares outstanding (unlimited number of shares
authorized) 41,973,172 46,684,936 14,199,185 25,503,954
- ----------------------------------------------------------------------------------------------------------
Net assets per share $11.97 15.38 8.84 9.94
- ----------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
NATIONWIDE(R) NATIONWIDE(R)
U.S. GOV'T MONEY MARKET
INCOME FUND FUND
- ----------------------------------------------------------------------------
ASSETS
- ----------------------------------------------------------------------------
<S> <C> <C>
Investments in securities, at value (cost 37,719,990 551,740,049
$379,989,168, $537,388,658, $126,502,038,
$243,828,885, $38,863,621, and $551,740,049,
respectively)
- ---------------------------------------------------------------------------
Cash -- --
- ---------------------------------------------------------------------------
Accrued interest and dividends receivable 262,245 --
- ---------------------------------------------------------------------------
Receivable for Fund shares sold 20,948 1,248,038
- ---------------------------------------------------------------------------
Receivable for investment securities sold 1,200,000 10,000,000
- ---------------------------------------------------------------------------
Total assets 39,203,183 562,988,087
- ---------------------------------------------------------------------------
LIABILITIES
- ---------------------------------------------------------------------------
Payable for investment securities purchased 1,100,000 4,999,789
- ---------------------------------------------------------------------------
Net payable for Fund shares redeemed 120,073 5,412,179
- ---------------------------------------------------------------------------
Accrued management fees (note 2) 19,542 204,174
- ---------------------------------------------------------------------------
Accrued transfer agent fees (note 2) 3,188 --
- ---------------------------------------------------------------------------
Accrued distribution fees (note 2) 6,013 --
- ---------------------------------------------------------------------------
Distribution payable 53,068 94,181
- ---------------------------------------------------------------------------
Other accrued expenses 23,763 49,455
- ---------------------------------------------------------------------------
Total liabilities 1,325,647 10,759,778
- ---------------------------------------------------------------------------
NET ASSETS 37,877,536 552,228,309
===========================================================================
REPRESENTED BY:
Capital Shares, $1 par value outstanding 3,937,583 552,230,744
- ---------------------------------------------------------------------------
Capital paid in excess of par value 35,604,958 --
- ---------------------------------------------------------------------------
Net unrealized appreciation (depreciation) (1,143,631) --
- ---------------------------------------------------------------------------
Accumulated undistributed net realized
gain (loss) (498,170) 2,889
- ---------------------------------------------------------------------------
Accumulated undistributed (distributions in
excess of) net investment income (23,204) (5,324)
- ---------------------------------------------------------------------------
NET ASSETS 37,877,536 552,228,309
===========================================================================
Shares outstanding (unlimited number of shares
authorized) 3,937,583 552,230,744
- ---------------------------------------------------------------------------
Net assets per share 9.62 1.00
- ---------------------------------------------------------------------------
</TABLE>
See accompanying notes to financial statements.
IT'S NEVER A BAD TIME
TO MAKE A GOOD INVESTMENT...
Graph showing growth of $200 monthly investment of Growth Fund from 2/14/61 to
4/30/95.
NATIONWIDE(R) Growth Fund--OVER THE LIFE OF THE FUND, A $200 MONTHLY INVESTMENT
GREW TO OVER $600,000.
Since the Growth Fund's inception in 1961, the stock market has undergone six
bear markets, including October 19, 1987--the greatest single-day point decline
of the Dow Jones Average in history. Despite these market declines, the Fund has
allowed investors to realize substantial capital appreciation.
The illustration below shows a $200 monthly sum invested in the Nationwide
Growth Fund beginning on 2/14/61, the inception date of the Fund, growing into
$636,442 on 4/30/95 (34.2 years). This illustration assumes reinvestment of all
distributions and applicable sales charges.
Below are the average annual (compound) total returns for a $1,000 lump-sum
investment in the Fund with and without the maximum 4.5% sales charge for the
periods ending 3/31/95:
<TABLE>
<CAPTION>
1 Yr 5 Yr 10 Yr 15 Yr
- ----------------------------------------
<S> <C> <C> <C> <C>
with s/c 8.3% 10.7% 12.2% 15.5%
- ----------------------------------------
without s/c 13.4% 11.7% 12.7% 15.9%
- ----------------------------------------
</TABLE>
See Notes To Mutual Fund Performance Charts on page 23.
16
<PAGE> 17
STATEMENTS OF OPERATIONS
Statements of Operations - Six months ended April 30, 1995 (Unaudited)
<TABLE>
<CAPTION>
NATIONWIDE(R) NATIONWIDE(R) NATIONWIDE(R)
GROWTH NATIONWIDE(R) BOND TAX-FREE
FUND FUND FUND INCOME FUND
- -------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME:
- ----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Income:
- ----------------------------------------------------------------------------------------------------------
Dividends $3,876,455 7,870,329 -- --
- ----------------------------------------------------------------------------------------------------------
Interest 1,593,344 1,148,139 4,962,100 7,782,327
- ----------------------------------------------------------------------------------------------------------
Total income 5,469,799 9,018,468 4,962,100 7,782,327
- ----------------------------------------------------------------------------------------------------------
Expenses (note 2):
- ----------------------------------------------------------------------------------------------------------
Investment management fees 1,153,071 1,739,746 305,162 787,361
- ----------------------------------------------------------------------------------------------------------
Distribution fees -- -- -- 424,151
- ----------------------------------------------------------------------------------------------------------
Transfer agent fees 296,409 333,018 83,660 81,847
- ----------------------------------------------------------------------------------------------------------
Shareholders' reports 61,221 77,457 31,384 33,188
- ----------------------------------------------------------------------------------------------------------
Share registration fees -- -- -- 13,039
- ----------------------------------------------------------------------------------------------------------
Professional services 14,505 22,259 4,000 16,380
- ----------------------------------------------------------------------------------------------------------
Custodian fees 8,939 12,537 6,362 17,719
- ----------------------------------------------------------------------------------------------------------
Trustees' fees and expenses 4,792 7,716 1,336 1,421
- ----------------------------------------------------------------------------------------------------------
Other 11,098 23,452 3,988 6,511
- ----------------------------------------------------------------------------------------------------------
Total expenses before waived expenses 1,550,035 2,216,185 435,892 1,381,617
- ----------------------------------------------------------------------------------------------------------
Total waived expenses -- -- -- 181,779
- ----------------------------------------------------------------------------------------------------------
Net expenses 1,550,035 2,216,185 435,892 1,199,838
- ----------------------------------------------------------------------------------------------------------
Net investment income 3,919,764 6,802,283 4,526,208 6,582,489
- ----------------------------------------------------------------------------------------------------------
NET REALIZED AND UNREALIZED GAIN (LOSS)
ON INVESTMENTS:
Net realized gain (loss) on
investments (note 3) 20,527,803 17,518,409 (4,142,888) (4,311,972)
- ----------------------------------------------------------------------------------------------------------
Net change in unrealized appreciation
(depreciation) 15,731,497 8,040,134 9,472,584 18,012,775
- ----------------------------------------------------------------------------------------------------------
Net realized and unrealized gain (loss)
on investments 36,259,300 25,558,543 5,329,696 13,700,803
- ----------------------------------------------------------------------------------------------------------
Net increase in net assets resulting
from operations $40,179,064 32,360,826 9,855,904 20,283,292
==========================================================================================================
</TABLE>
<TABLE>
<CAPTION>
NATIONWIDE(R) NATIONWIDE(R)
U.S. GOV'T MONEY MARKET
INCOME FUND FUND
- ------------------------------------------------------------------------------
<S> <C> <C>
INVESTMENT INCOME:
- ----------------------------------------------------------------------------
Income:
- ----------------------------------------------------------------------------
Dividends -- --
- ----------------------------------------------------------------------------
Interest 1,363,401 15,322,385
- ----------------------------------------------------------------------------
Total income 1,363,401 15,322,385
- ----------------------------------------------------------------------------
Expenses (note 2):
- ----------------------------------------------------------------------------
Investment management fees 120,506 1,288,469
- ----------------------------------------------------------------------------
Distribution fees 65,110 --
- ----------------------------------------------------------------------------
Transfer agent fees 20,515 232,283
- ----------------------------------------------------------------------------
Shareholders' reports 8,626 97,582
- ----------------------------------------------------------------------------
Share registration fees 9,024 --
- ----------------------------------------------------------------------------
Professional services 2,596 15,629
- ----------------------------------------------------------------------------
Custodian fees 3,443 14,881
- ----------------------------------------------------------------------------
Trustees' fees and expenses 219 5,287
- ----------------------------------------------------------------------------
Other 1,183 11,557
- ----------------------------------------------------------------------------
Total expenses before waived expenses 231,222 1,665,688
- ----------------------------------------------------------------------------
Total waived expenses 28,031 128,847
- ----------------------------------------------------------------------------
Net expenses 203,191 1,536,841
- ----------------------------------------------------------------------------
Net investment income 1,160,210 13,785,544
- ----------------------------------------------------------------------------
NET REALIZED AND UNREALIZED GAIN (LOSS)
ON INVESTMENTS:
Net realized gain (loss) on
investments (note 3) 8,640 2,889
- ----------------------------------------------------------------------------
Net change in unrealized appreciation
(depreciation) 1,564,185 --
- ----------------------------------------------------------------------------
Net realized and unrealized gain (loss)
on investments 1,572,825 2,889
- ----------------------------------------------------------------------------
Net increase in net assets resulting
from operations 2,733,035 13,788,433
============================================================================
</TABLE>
See accompanying notes to financial statements.
IT'S NEVER A BAD TIME TO MAKE A GOOD INVESTMENT...
Graph showing growth of $10,000 lump sum investment of the Natonwide Fund from
5/11/33 to 4/30/95.
NATIONWIDE(R) Fund--OVER THE LIFE OF THE FUND, A $10,000 INVESTMENT GREW TO OVER
$3 MILLION.
Over time, the value of a relatively small initial investment, such as the
$10,000 investment depicted below, can grow into a very substantial sum. The
value of long-term investing and the power of compounding with dividend and
capital gain reinvestment is greatly enhanced over a long time period.
An initial $10,000 investment made in the Nationwide Fund at its inception in
May '33 and held through April '95 (62 years) grew to $3,519,448, despite the
many disturbing news events which occurred over the years. This illustration
assumes reinvestment of all distributions and a 4.5% initial sales charge.
Below are the average annual (compound) total returns for a $1,000 lump-sum
investment in the Fund with and without the maximum 4.5% sales charge for the
periods ending 3/31/95:
<TABLE>
<CAPTION>
1 Yr 5 Yr 10 Yr 15 Yr
- ----------------------------------------
<S> <C> <C> <C> <C>
with s/c 5.3% 8.8% 13.1% 14.1%
- ---------------------------------------
without s/c 10.2% 9.8% 13.7% 14.4%
- ---------------------------------------
</TABLE>
See Notes To Mutual Fund Performance Charts on page 23.
17
<PAGE> 18
STATEMENTS OF CHANGES IN NET ASSETS
Statements of Changes in Net Assets
<TABLE>
<CAPTION>
NATIONWIDE(R)
GROWTH FUND NATIONWIDE(R) FUND
-------------------------------- -------------------------------
Six months ended Year ended Six months ended Year ended
April 30, 1995 October 31, April 30, 1995 October 31,
(Unaudited) 1994 (Unaudited) 1994
- --------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
- ------------------------------------------------------------------------------------------------------------------
Operations:
- ------------------------------------------------------------------------------------------------------------------
Net investment income $3,919,764 7,441,245 6,802,283 16,124,477
- ------------------------------------------------------------------------------------------------------------------
Net realized gain (loss) on investments 20,527,803 9,636,714 17,518,409 54,955,514
- ------------------------------------------------------------------------------------------------------------------
Net change in unrealized appreciation
or depreciation of investments 15,731,497 8,096,074 8,040,134 (36,714,534)
- ------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets
resulting from operations 40,179,064 25,174,033 32,360,826 34,365,457
- ------------------------------------------------------------------------------------------------------------------
Distributions to shareholders from:
Net investment income (3,919,764) (7,447,174) (7,113,365) (15,780,374)
- ------------------------------------------------------------------------------------------------------------------
In excess of net investment income (36,311) -- -- --
- ------------------------------------------------------------------------------------------------------------------
Net realized gain from
investment transactions (9,636,714) (8,401,371) (54,955,514) (36,595,335)
- ------------------------------------------------------------------------------------------------------------------
Decrease in net assets from
distributions to shareholders (13,592,789) (15,848,545) (62,068,879) (52,375,709)
- ------------------------------------------------------------------------------------------------------------------
Capital share transactions:
Net proceeds from sale of shares 29,877,775 82,610,533 24,983,845 50,856,698
- ------------------------------------------------------------------------------------------------------------------
Net asset value of shares issued to
shareholders from reinvestment of
dividends and distributions 13,393,996 15,601,534 53,972,578 45,212,587
- ------------------------------------------------------------------------------------------------------------------
Cost of shares redeemed (32,250,861) (54,675,212) (37,757,458) (124,624,457)
- ------------------------------------------------------------------------------------------------------------------
Increase (decrease) in net assets
derived from capital
share transactions 11,020,910 43,536,855 41,198,965 (28,555,172)
- ------------------------------------------------------------------------------------------------------------------
NET INCREASE (DECREASE) IN NET ASSETS 37,607,185 52,862,343 11,490,912 (46,565,424)
- ------------------------------------------------------------------------------------------------------------------
NET ASSETS--BEGINNING OF PERIOD 464,715,429 411,853,086 706,673,879 753,239,303
- ------------------------------------------------------------------------------------------------------------------
NET ASSETS--END OF PERIOD $502,322,614 464,715,429 718,164,791 706,673,879
==================================================================================================================
Undistributed net realized gain (loss) on
investments included in net assets at
end of period (note 1) $ 20,527,803 9,636,714 17,518,409 54,955,514
==================================================================================================================
Undistributed (distributions in excess of)
net investment income included in net
assets at end of period (note 1) $ (262,359) (226,048) 610,348 921,430
==================================================================================================================
Shares sold 2,673,664 7,522,642 1,642,444 3,166,276
- ------------------------------------------------------------------------------------------------------------------
Shares issued to shareholders from reinvest-
ment of dividends and distributions 1,236,035 1,431,216 3,702,673 2,839,676
- ------------------------------------------------------------------------------------------------------------------
Shares redeemed (2,884,754) (4,985,965) (2,493,553) (7,673,580)
- ------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in number
of shares 1,024,945 3,967,893 2,851,564 (1,667,628)
==================================================================================================================
</TABLE>
<TABLE>
<CAPTION>
NATIONWIDE(R)
BOND FUND
------------------------------
Six months ended Year ended
April 30, 1995 October 31,
(Unaudited) 1994
- --------------------------------------------------------------------------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
- --------------------------------------------------------------------------------
Operations:
- --------------------------------------------------------------------------------
Net investment income 4,526,208 10,039,591
- --------------------------------------------------------------------------------
Net realized gain (loss) on investments (4,142,888) (3,275,139)
- --------------------------------------------------------------------------------
Net change in unrealized appreciation
or depreciation of investments 9,472,584 (21,529,309)
- --------------------------------------------------------------------------------
Net increase (decrease) in net assets
resulting from operations 9,855,904 (14,764,857)
- --------------------------------------------------------------------------------
Distributions to shareholders from:
Net investment income (4,548,197) (9,959,079)
- --------------------------------------------------------------------------------
In excess of net investment income (1,093) --
- --------------------------------------------------------------------------------
Net realized gain from
investment transactions -- --
- --------------------------------------------------------------------------------
Decrease in net assets from
distributions to shareholders (4,549,290) (9,959,079)
- --------------------------------------------------------------------------------
Capital share transactions:
Net proceeds from sale of shares 6,423,617 28,154,927
- --------------------------------------------------------------------------------
Net asset value of shares issued to
shareholders from reinvestment of
dividends and distributions 4,346,491 7,721,021
- --------------------------------------------------------------------------------
Cost of shares redeemed (15,050,751) (37,787,286)
- --------------------------------------------------------------------------------
Increase (decrease) in net assets
derived from capital
share transactions (4,280,643) (1,911,338)
- --------------------------------------------------------------------------------
NET INCREASE (DECREASE) IN NET ASSETS 1,025,971 (26,635,274)
- --------------------------------------------------------------------------------
NET ASSETS--BEGINNING OF PERIOD 124,455,177 151,090,451
- --------------------------------------------------------------------------------
NET ASSETS--END OF PERIOD 125,481,148 124,455,177
================================================================================
Undistributed net realized gain (loss) on
investments included in net assets at
end of period (note 1) (10,801,717) (6,658,829)
=================================================================================
Undistributed (distributions in excess of)
net investment income included in net
assets at end of period (note 1) (1,093) 21,989
================================================================================
Shares sold 750,182 2,978,894
- --------------------------------------------------------------------------------
Shares issued to shareholders from reinvest-
ment of dividends and distributions 506,088 837,630
- --------------------------------------------------------------------------------
Shares redeemed (1,764,601) (4,114,452)
- --------------------------------------------------------------------------------
Net increase (decrease) in number
of shares (508,331) (297,928)
================================================================================
</TABLE>
See accompanying notes to financial statements.
WHERE SHAREHOLDERS INVEST THEIR MONEY
<TABLE>
<CAPTION>
FUND NET ASSETS
AT APRIL 30, 1990
- ----------------------------------------
<S> <C>
Growth Fund............. $ 240,246,056
Nationwide Fund......... 471,202,752
Bond Fund............... 34,680,775
Tax-Free Income Fund.... 80,404,274
U.S. Gov't Income Fund.. NA
Money Market Fund ... 563,777,542
- ----------------------------------------
TOTAL NET ASSETS $1,390,311,399
========================================
</TABLE>
Pie graph showing where fund net assets were invested on April 30, 1990
<TABLE>
<CAPTION>
FUND NET ASSETS
AT APRIL 30, 1991
- ----------------------------------------
<S> <C>
Growth Fund.............. $250,055,040
Nationwide Fund.......... 563,633,918
Bond Fund................ 42,393,143
Tax-Free Income Fund..... 103,620,717
U.S. Gov't Income Fund... NA
Money Market Fund........ 612,086,579
- ----------------------------------------
TOTAL NET ASSETS......... $1,571,789,397
========================================
</TABLE>
Pie graph showing where fund net assets were invested on April 30, 1991
<TABLE>
<CAPTION>
FUND NET ASSETS
AT APRIL 30, 1992
- ------------------------------------------
<S> <C>
Growth Fund............... $316,751,334
Nationwide Fund........... 676,101,453
Bond Fund................. 70,129,004
Tax-Free Income Fund...... 142,543,520
U.S. Gov't Income Fund.... 7,231,575
Money Market Fund......... 540,323,544
- ------------------------------------------
TOTAL NET ASSETS.......... $1,753,080,430
==========================================
</TABLE>
Pie graph showing where fund net assets were invested on April 30, 1992
18
<PAGE> 19
STATEMENTS OF CHANGES IN NET ASSETS
Statements of Changes in Net Assets
<TABLE>
<CAPTION>
NATIONWIDE(R) NATIONWIDE(R)
TAX-FREE INCOME FUND U.S. GOV'T INCOME FUND
-------------------------------- -------------------------------
Six months ended Year ended Six months ended Year ended
April 30, 1995 October 31, April 30, 1995 October 31,
(Unaudited) 1994 (Unaudited) 1994
- -------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
- ------------------------------------------------------------------------------------------------------------------
Operations:
- ------------------------------------------------------------------------------------------------------------------
Net investment income $6,582,489 12,693,760 1,160,210 2,181,294
- ------------------------------------------------------------------------------------------------------------------
Net realized gain (loss) on investments (4,311,972) (1,355,903) 8,640 (506,810)
- ------------------------------------------------------------------------------------------------------------------
Net change in unrealized appreciation
or depreciation of investments 18,012,775 (34,497,354) 1,564,185 (3,400,389)
- ------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets
resulting from operations 20,283,292 (23,159,497) 2,733,035 (1,725,905)
- ------------------------------------------------------------------------------------------------------------------
Distributions to shareholders from:
Net investment income (6,635,331) (12,754,708) (1,148,229) (2,213,397)
- ------------------------------------------------------------------------------------------------------------------
In excess of net investment income -- -- -- --
- ------------------------------------------------------------------------------------------------------------------
Net realized gain from investment transactions -- (2,730,484) -- (290,611)
- ------------------------------------------------------------------------------------------------------------------
Decrease in net assets from distributions
to shareholders (6,635,331) (15,485,192) (1,148,229) (2,504,008)
- ------------------------------------------------------------------------------------------------------------------
Capital share transactions:
Net proceeds from sale of shares 8,720,973 43,480,776 1,420,450 8,821,355
- ------------------------------------------------------------------------------------------------------------------
Net asset value of shares issued to
shareholders from reinvestment of
dividends and distributions 5,547,140 10,818,456 993,700 1,705,923
- ------------------------------------------------------------------------------------------------------------------
Cost of shares redeemed (15,437,059) (27,599,621) (3,870,078) (7,000,815)
- ------------------------------------------------------------------------------------------------------------------
Increase (decrease) in net assets derived
from capital share transactions (1,168,946) 26,699,611 (1,455,928) 3,526,463
- ------------------------------------------------------------------------------------------------------------------
NET INCREASE (DECREASE) IN NET ASSETS 12,479,015 (11,945,078) 128,878 (703,450)
- ------------------------------------------------------------------------------------------------------------------
NET ASSETS--BEGINNING OF PERIOD 241,096,653 253,041,731 37,748,658 38,452,108
- ------------------------------------------------------------------------------------------------------------------
NET ASSETS--END OF PERIOD $253,575,668 241,096,653 37,877,536 37,748,658
==================================================================================================================
Undistributed net realized gain (loss) on
investments included in net assets at end
of period (note 1) $(5,667,875) (1,355,903) (498,170) (506,810)
==================================================================================================================
Undistributed (distributions in excess of) net
investment income included in net assets at
end of period (note 1) $299,559 352,401 (23,204) (35,185)
==================================================================================================================
Shares sold 911,834 4,201,850 152,142 893,369
- ------------------------------------------------------------------------------------------------------------------
Shares issued to shareholders from reinvest-
ment of dividends and distributions 578,260 1,052,029 106,148 174,751
- ------------------------------------------------------------------------------------------------------------------
Shares redeemed (1,623,439) (2,727,527) (415,694) (720,169)
- ------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in number of shares (133,345) 2,526,352 (157,404) 347,951
==================================================================================================================
</TABLE>
<TABLE>
<CAPTION>
NATIONWIDE(R)
MONEY MARKET FUND
-------------------------------
Six months ended Year ended
April 30, 1995 October 31,
(Unaudited) 1994
- ---------------------------------------------------------------------------------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
- --------------------------------------------------------------------------------------
Operations:
- --------------------------------------------------------------------------------------
Net investment income 13,785,544 14,842,124
- --------------------------------------------------------------------------------------
Net realized gain (loss) on investments 2,889 1,310
- --------------------------------------------------------------------------------------
Net change in unrealized appreciation
or depreciation of investments -- --
- --------------------------------------------------------------------------------------
Net increase (decrease) in net assets
resulting from operations 13,788,433 14,843,434
- --------------------------------------------------------------------------------------
Distributions to shareholders from:
Net investment income (13,785,969) (14,841,684)
- --------------------------------------------------------------------------------------
In excess of net investment income (5,324) --
- --------------------------------------------------------------------------------------
Net realized gain from investment transactions -- (1,282)
- --------------------------------------------------------------------------------------
Decrease in net assets from distributions
to shareholders (13,791,293) (14,842,966)
- --------------------------------------------------------------------------------------
Capital share transactions:
Net proceeds from sale of shares 292,022,249 548,491,123
- --------------------------------------------------------------------------------------
Net asset value of shares issued to
shareholders from reinvestment of
dividends and distributions 15,142,945 12,268,547
- --------------------------------------------------------------------------------------
Cost of shares redeemed (246,670,930) (487,638,311)
- --------------------------------------------------------------------------------------
Increase (decrease) in net assets derived
from capital share transactions 60,494,264 73,121,359
- --------------------------------------------------------------------------------------
NET INCREASE (DECREASE) IN NET ASSETS 60,491,404 73,121,827
- --------------------------------------------------------------------------------------
NET ASSETS--BEGINNING OF PERIOD 491,736,905 418,615,078
- --------------------------------------------------------------------------------------
NET ASSETS--END OF PERIOD 552,228,309 491,736,905
======================================================================================
Undistributed net realized gain (loss) on
investments included in net assets at end
of period (note 1) 2,889 --
======================================================================================
Undistributed (distributions in excess of) net
investment income included in net assets at
end of period (note 1) (5,324) 425
======================================================================================
Shares sold 292,022,249 548,491,123
- --------------------------------------------------------------------------------------
Shares issued to shareholders from reinvest-
ment of dividends and distributions 15,142,945 12,268,547
- --------------------------------------------------------------------------------------
Shares redeemed (246,670,930) (487,638,311)
- --------------------------------------------------------------------------------------
Net increase (decrease) in number of shares 60,494,264 73,121,359
======================================================================================
</TABLE>
See accompanying notes to financial statements.
<TABLE>
<CAPTION>
FUND NET ASSETS
AT APRIL 30, 1993
- ----------------------------------------
<S> <C>
Growth Fund............. $ 370,422,059
Nationwide Fund......... 738,935,933
Bond Fund............... 119,508,877
Tax-Free Income Fund.... 213,709,764
U.S. Gov't Income Fund.. 30,700,847
Money Market Fund ... 425,763,852
- ----------------------------------------
TOTAL NET ASSETS $1,899,041,332
========================================
</TABLE>
Pie graph showing where fund net assets were invested on April 30, 1993
<TABLE>
<CAPTION>
FUND NET ASSETS
AT APRIL 30, 1994
- -----------------------------------------
<S> <C>
Growth Fund............. $ 434,770,199
Nationwide Fund......... 693,795,075
Bond Fund............... 139,350,950
Tax-Free Income Fund.... 247,793,835
U.S. Gov't Income Fund.. 39,239,900
Money Market Fund....... 440,008,034
- -----------------------------------------
TOTAL NET ASSETS $1,994,957,993
=========================================
</TABLE>
Pie graph showing where fund net assets were invested on April 30, 1994
<TABLE>
<CAPTION>
FUND NET ASSETS
AT APRIL 30, 1995
- -----------------------------------------
<S> <C>
Growth Fund.............. $ 502,322,614
Nationwide Fund.......... 718,164,791
Bond Fund................ 125,481,148
Tax-Free Income Fund..... 253,575,668
U.S. Gov't Income Fund... 37,877,536
Money Market Fund........ 552,228,309
- -----------------------------------------
TOTAL NET ASSETS $2,189,650,066
=========================================
</TABLE>
Pie graph showing where fund net assets were invested on April 30, 1995
19
<PAGE> 20
FINANCIAL HIGHLIGHTS
Financial Highlights Selected data for each share of capital stock outstanding
throughout each period.
<TABLE>
<CAPTION>
NATIONWIDE(R) GROWTH FUND
---------------------------------------------------------------------
Six Months Ended Years ended October 31
April 30, 1995 --------------------------------------------------
(Unaudited) 1994 1993 1992 1991 1990
- ----------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE--
BEGINNING OF PERIOD $11.35 11.14 9.94 9.57 7.34 9.18
- ----------------------------------------------------------------------------------------------------------------------
Net investment income .10 .09 .17 .20 .22 .33
- ----------------------------------------------------------------------------------------------------------------------
Net realized gain (loss) and
unrealized appreciation (depreciation) .86 .53 1.41 .46 2.77 (1.53)
- ----------------------------------------------------------------------------------------------------------------------
Total from investment operations .96 .62 1.58 .66 2.99 (1.20)
- ----------------------------------------------------------------------------------------------------------------------
Dividends from net investment income (.10) (.19) (.17) (.20) (.25) (.31)
- ----------------------------------------------------------------------------------------------------------------------
Distributions from net realized gain
from investment transactions (.24) (.22) (.21) (.09) (.51) (.33)
- ----------------------------------------------------------------------------------------------------------------------
Total distributions (.34) (.41) (.38) (.29) (.76) (.64)
- ----------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value .62 .21 1.20 .37 2.23 (1.84)
- ----------------------------------------------------------------------------------------------------------------------
NET ASSET VALUE--
END OF PERIOD $11.97 11.35 11.14 9.94 9.57 7.34
- ----------------------------------------------------------------------------------------------------------------------
Total Return 8.7% 5.7% 16.2% 6.9% 43.4% (14.1%)
- ----------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average net assets* .67% .68% .68% .65% .68% .68%
- ----------------------------------------------------------------------------------------------------------------------
Ratio of net investment income
to average net assets* 1.70% 1.71% 1.63% 1.97% 2.54% 3.86%
- ----------------------------------------------------------------------------------------------------------------------
Portfolio turnover 14.6% 14.5% 10.2% 13.1% 12.4% 36.2%
- ----------------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (000) $502,323 464,715 411,853 330,950 277,019 198,691
- ----------------------------------------------------------------------------------------------------------------------
<CAPTION>
NATIONWIDE(R) FUND
--------------------------------------------------------------------------
Six Months Ended Years ended October 31
April 30, 1995 -------------------------------------------------------
(Unaudited) 1994 1993 1992 1991 1990
- ------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE--
BEGINNING OF PERIOD 16.12 16.55 16.31 15.77 12.32 14.88
- ------------------------------------------------------------------------------------------------------------------------------
Net investment income .14 .37 .31 .37 .38 .37
- ------------------------------------------------------------------------------------------------------------------------------
Net realized gain (loss) and
unrealized appreciation (depreciation) .53 .41 .67 .98 3.97 (1.23)
- ------------------------------------------------------------------------------------------------------------------------------
Total from investment operations .67 .78 .98 1.35 4.35 (.86)
- ------------------------------------------------------------------------------------------------------------------------------
Dividends from net investment income (.15) (.36) (.33) (.36) (.40) (.39)
- ------------------------------------------------------------------------------------------------------------------------------
Distributions from net realized gain
from investment transactions (1.26) (.85) (.41) (.45) (.50) (1.31)
- ------------------------------------------------------------------------------------------------------------------------------
Total distributions (1.41) (1.21) (.74) (.81) (.90) (1.70)
- ------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value (.74) (.43) .24 .54 3.45 (2.56)
- ------------------------------------------------------------------------------------------------------------------------------
NET ASSET VALUE--
END OF PERIOD 15.38 16.12 16.55 16.31 15.77 12.32
- ------------------------------------------------------------------------------------------------------------------------------
Total Return 4.7% 4.9% 6.2% 8.7% 36.5% (7.0%)
- ------------------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average net assets* .64% .63% .62% .61% .61% .63%
- ------------------------------------------------------------------------------------------------------------------------------
Ratio of net investment income
to average net assets* 1.97% 2.26% 1.96% 2.32% 2.56% 2.69%
- ------------------------------------------------------------------------------------------------------------------------------
Portfolio turnover 6.1% 15.4% 25.8% 12.8% 13.6% 13.4%
- ------------------------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (000) 718,165 706,674 753,239 726,012 620,113 441,188
- ------------------------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
NATIONWIDE(R) BOND FUND
-------------------------------------------------------------------------
Six Months Ended Years ended October 31
April 30, 1995 ------------------------------------------------------
(Unaudited) 1994 1993 1992 1991 1990
- ------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE--
BEGINNING OF PERIOD $8.46 10.07 9.58 9.46 8.99 9.37
- ------------------------------------------------------------------------------------------------------------------------------
Net investment income .32 .27 .74 .76 .85 .88
- ------------------------------------------------------------------------------------------------------------------------------
Net realized gain (loss) and
unrealized appreciation (depreciation) .38 (1.56) .52 .23 .45 (.36)
- ------------------------------------------------------------------------------------------------------------------------------
Total from investment operations .70 (.96) 1.26 .99 1.30 .52
- ------------------------------------------------------------------------------------------------------------------------------
Dividends from net investment income (.32) (.65) (.77) (.85) (.83) (.90)
- ------------------------------------------------------------------------------------------------------------------------------
Distribution from paid in capital -- -- -- (.02) -- --
- ------------------------------------------------------------------------------------------------------------------------------
Total distributions (.32) (.65) (.77) (.87) (.83) (.90)
- ------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value .38 (1.61) .49 .12 .47 (.38)
- ------------------------------------------------------------------------------------------------------------------------------
NET ASSET VALUE--
END OF PERIOD $8.84 8.46 10.07 9.58 9.46 8.99
- ------------------------------------------------------------------------------------------------------------------------------
Total Return 8.4% (9.8%) 13.6% 10.9% 15.1% 5.9%
- ------------------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average net assets* .71% .71% .68% .65% .67% .68%
- ------------------------------------------------------------------------------------------------------------------------------
Ratio of net investment income
to average net assets* 7.47% 7.11% 7.63% 8.63% 9.13% 9.62%
- ------------------------------------------------------------------------------------------------------------------------------
Portfolio turnover 32.3% 58.0% 68.5% 100.8% 93.6% 82.1%
- ------------------------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (000) $125,481 124,455 151,090 90,187 54,187 36,378
- ------------------------------------------------------------------------------------------------------------------------------
</TABLE>
THE GRAPH ON THIS PAGE SHOWS THE GROWTH OF A HYPOTHETICAL $10,000 LUMP-SUM
INVESTMENT STARTED ON MAY 1, 1989 AND HELD THROUGH APRIL 30, 1995 (5 YEARS).
THESE RESULTS ASSUME THE APPLICABLE SALES CHARGES WERE PAID, ALL DISTRIBUTIONS
WERE REINVESTED, AND NO REDEMPTIONS WERE MADE ON THE ACCOUNTS.
Graph showing the growth of $10,000 Lump-Sum Investment For 5 Years for the
Growth Fund, Fund, Bond Fund Tax-Free Income Fund, and Money Market Fund
20
<PAGE> 21
FINANCIAL HIGHLIGHTS
Financial Highlights Selected data for each share of capital stock outstanding
throughout each period.
<TABLE>
<CAPTION>
NATIONWIDE(R) TAX-FREE INCOME FUND
------------------------------------------------------------------
SIX MONTHS
ENDED APRIL Years ended October 31
30TH, 1995 --------------------------------------------------
(UNAUDITED) 1994 1993 1992 1991 1990
- ------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE--
BEGINNING OF PERIOD $ 9.40 10.95 9.94 9.81 9.31 9.44
- ------------------------------------------------------------------------------------------------------------------
Net investment income .26 .53 .54 .56 .58 .61
- ------------------------------------------------------------------------------------------------------------------
Net realized gain (loss) and
unrealized appreciation (depreciation) .54 (1.45) 1.10 .13 .50 (.13)
- ------------------------------------------------------------------------------------------------------------------
Total from investment operations .80 (.92) 1.64 .69 1.08 .48
- ------------------------------------------------------------------------------------------------------------------
Dividends from net investment income (.26) (.51) (.54) (.56) (.58) (.61)
- ------------------------------------------------------------------------------------------------------------------
Distributions from net realized gain
from investment transactions -- (.12) (.09) -- -- --
- ------------------------------------------------------------------------------------------------------------------
Total distributions (.26) (.63) (.63) (.56) (.58) (.61)
- ------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value .54 (1.55) 1.01 .13 .50 (.13)
- ------------------------------------------------------------------------------------------------------------------
NET ASSET VALUE--
END OF PERIOD $ 9.94 9.40 10.95 9.94 9.81 9.31
- ------------------------------------------------------------------------------------------------------------------
Total Return 8.6% (8.7%) 17.0% 7.2% 11.9% 5.3%
- ------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average net assets* .99% .99% .98% .98% 1.01% .90%
- ------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average net assets ** 1.14% 1.14% 1.13% 1.13% 1.16% 1.16%
- ------------------------------------------------------------------------------------------------------------------
Ratio of net investment income
to average net assets* 5.43% 5.02% 5.07% 5.62% 6.05% 6.51%
- ------------------------------------------------------------------------------------------------------------------
Ratio of net investment income
to average net assets ** 5.28% 4.87% 4.92% 5.47% 5.90% 6.25%
- ------------------------------------------------------------------------------------------------------------------
Portfolio turnover 25.6% 59.2% 28.4% 69.8% 45.5% 68.9%
- ------------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (000) $253,576 241,097 253,042 170,650 122,005 89,374
- ------------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
NATIONWIDE(R) U.S. GOV'T INCOME FUND
---------------------------------------------------------
SIX MONTHS YEARS ENDED PERIOD FROM 2/10/92
ENDED APRIL OCTOBER 31 (COMMENCMENT OF
30TH, 1995 ----------------- OPERATIONS) TROUGH
(UNAUDITED) 1994 1993 10/31/92
- ------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
NET ASSET VALUE--
BEGINNING OF PERIOD 9.22 10.26 9.97 10.00
- ------------------------------------------------------------------------------------------------------------
Net investment income .28 .54 .53 .46
- ------------------------------------------------------------------------------------------------------------
Net realized gain (loss) and
unrealized appreciation (depreciation) .41 (.96) .45 (.03)
- ------------------------------------------------------------------------------------------------------------
Total from investment operations .69 (.42) .98 .43
- ------------------------------------------------------------------------------------------------------------
Dividends from net investment income (.29) (.55) (.53) (.46)
- ------------------------------------------------------------------------------------------------------------
Distributions from net realized gain
from investment transactions -- (.07) (.16) --
- ------------------------------------------------------------------------------------------------------------
Total distributions (.29) (.62) (.69) (.46)
- ------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value .40 (1.04) .29 (.03)
- ------------------------------------------------------------------------------------------------------------
NET ASSET VALUE--
END OF PERIOD 9.62 9.22 10.26 9.97
- ------------------------------------------------------------------------------------------------------------
Total Return 7.6% (4.2%) 10.2% 5.1%
- ------------------------------------------------------------------------------------------------------------
Ratio of expenses to average net assets* 1.10 1.09% 1.10% 1.00%
- ------------------------------------------------------------------------------------------------------------
Ratio of expenses to average net assets ** 1.25% 1.24% 1.25% 1.17%
- ------------------------------------------------------------------------------------------------------------
Ratio of net investment income
to average net assets* 6.26% 5.62% 5.12% 6.38%
- ------------------------------------------------------------------------------------------------------------
Ratio of net investment income
to average net assets ** 6.11% 5.47% 4.97% 6.21%
- ------------------------------------------------------------------------------------------------------------
Portfolio turnover 12.2% 67.5% 99.0% 157.4%
- ------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (000) 37,878 37,749 38,452 18,211
- ------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
NATIONWIDE(R) MONEY MARKET FUND
------------------------------------------------------------------
SIX MONTHS
ENDED APRIL Years ended October 31
30TH, 1995 ----------------------------------------------------
(UNAUDITED) 1994 1993 1992 1991 1990
- --------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE--
BEGINNING OF PERIOD $ 1.00 1.00 1.00 1.00 1.00 1.00
- --------------------------------------------------------------------------------------------------------------------
Net investment income .03 .03 .03 .03 .06 .08
- --------------------------------------------------------------------------------------------------------------------
Dividends from net investment income (.03) (.03) (.03) (.03) (.06) (.08)
- --------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net asset value -- -- -- -- -- --
- --------------------------------------------------------------------------------------------------------------------
NET ASSET VALUE--
END OF PERIOD $ 1.00 1.00 1.00 1.00 1.00 1.00
- --------------------------------------------------------------------------------------------------------------------
Total Return 2.7% 3.3% 2.6% 3.5% 6.1% 8.0%
- --------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average net assets* .60% .65% .70% .71% .71% .73%
- --------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average net assets** .65% .70% .73% .71% .71% .73%
- --------------------------------------------------------------------------------------------------------------------
Ratio of net investment income
to average net assets* 5.35% 3.33% 2.57% 3.50% 5.97% 7.67%
- --------------------------------------------------------------------------------------------------------------------
Ratio of net investment income
to average net assets ** 5.30% 3.28% 2.54% 3.50% 5.97% 7.67%
- --------------------------------------------------------------------------------------------------------------------
Net Assets, End of Period (000) $552,228 491,737 418,615 488,998 594,987 600,324
- --------------------------------------------------------------------------------------------------------------------
</TABLE>
Graph showing the average industry expense ratios are around 100% higher than
the Nationwide(R) stock funds*
* Ratios are annualized for periods of less than one year.
** Ratios calculated as if no expenses were waived.
Total return is not annualized.
See accompanying notes to financial statements.
THE AVERAGE EXPENSE RATIOS OF THE INDUSTRY ARE ALMOST 100% HIGHER THAN THE
EXPENSE RATIOS OF THE NATIONWIDE STOCK FUNDS. IF TWO FUNDS HAVE EQUAL
PERFORMANCE, THEN THE ONE WITH THE LOWER EXPENSES CAN PROVIDE INVESTORS WITH A
GREATER RETURN. AND OVER MANY YEARS, THE LOW EXPENSES OF THE NATIONWIDE STOCK
FUNDS MAY GIVE YOU A BIG ADVANTAGE.
21
<PAGE> 22
NOTES TO FINANCIAL STATEMENTS
APRIL 30, 1995 (UNAUDITED)
SUMMARY OF SIGNIFICANT
ACCOUNTING POLICIES
1 Nationwide Investing Foundation (NIF) and Nationwide Investing Foundation II
(NIF-II) are diversified, open-end investment companies. NIF was created under
the laws of Michigan by an Indenture of Trust, dated May 5, 1933. NIF-II was
created under the laws of Massachusetts as a Massachusetts Business Trust on
October 5, 1985. The Trusts, which are registered under the Investment Company
Act of 1940, as amended, offer shares in six separate mutual funds .
SECURITY VALUATION
(a) Growth, Nationwide, Bond, Tax-Free Income, and U.S. Government Income Funds
Securities traded on a national securities exchange are valued at closing
prices. Listed securities for which no sale was reported on the valuation date
are valued at quoted bid prices or fair market, procedures authorized by the
Boards of Trustees. Short-term securities are valued at amortized cost, which
approximates market.
(b) Money Market Fund
Securities are valued at amortized cost, which approximates market value, in
accordance with Rule 2a-7 of the Investment Company Act of 1940 as amended.
FEDERAL INCOME TAXES
NIF and NIF-II qualify as regulated investment companies under the Internal
Revenue Code during the periods covered by the accompanying statements. No
provision has been made for Federal income taxes as it is the intention to
continue such qualification and to distribute all taxable income to
shareholders. To the extent net realized gains are offset through the
application of a capital loss carryover, they will not be distributed to
shareholders but will be retained by the Trusts. Each series of the Trusts is
treated as a separate entity.
SECURITY TRANSACTIONS AND INVESTMENT INCOME
Security transactions are recorded on the trade date. Dividend income is
recorded on the ex-dividend date; interest income is recorded on an accrual
basis and includes, where applicable, the pro rata amortization of premium or
discount.
DIVIDENDS TO SHAREHOLDERS
(a) Growth and Nationwide Funds
Dividends are recorded on the ex-dividend date.
(b) Bond, Tax-Free Income, U.S. Government Income, and Money Market Funds
Dividends are declared daily and paid monthly from the sum of net investment
income.
Dividends and distributions are determined in accordance with Federal income tax
regulations which may differ from generally accepted accounting principles.
These "book/tax" differences are considered either permanent or temporary in
nature. To the extent these differences are permanent, such amounts are
reclassified within the capital accounts based on their nature for Federal
income tax purposes. Dividends and distributions that exceed net investment
income and net realized gains for financial reporting purposes but not for tax
purposes are reported as dividends in excess of net investment income and net
realized gains. To the extent distributions exceed current and accumulated
earnings and profits for Federal income tax purposes, they are reported as
distributions of paid-in capital.
TRANSACTION WITH AFFILIATES
2(a) Growth, Nationwide, Bond, and Money Market Funds
As investment manager for the NIF Funds, Nationwide Financial Services, Inc.
(NFS), an affiliated company, is allowed an annual fee of .5% based on the
average daily net assets; this fee would not be payable in full if the effect of
such payment would increase total expense (excluding taxes other than payroll
taxes and brokerage commissions on portfolio transactions) to an amount
exceeding 1% of average daily net assets for any fiscal year. Such limitations
on total expenses did not affect management fees during the periods covered by
the financial statements.
The investment manager waived annual fees totaling .05% of average daily net
assets in the Money Market Fund from November 1, 1994 through April 30, 1995, or
$128,847 representing $.0002 per average share outstanding.
NFS also receives fees for services as principal underwriter. Such fees are
deducted from and are not included in proceeds from sales of capital shares.
From such fees, NFS pays sales commissions, salaries, and other expenses. Such
fees aggregated $280,487 on Growth Fund shares, $275,368 on Nationwide Fund
shares, and $66,739 on Bond Fund shares for the six months ended April 30, 1995.
(b) Tax-Free Income, and U.S. Government Income Funds
As investment manager for each NIF-II Fund, NFS is allowed an annual fee based
on average daily net assets of each Fund at the rate of .65% on the first $250
million, .60% on the next $250 million, .55% on the next $250 million, and .50%
on the average daily net assets in excess of $750 million. Total annual expenses
will not exceed the limits prescribed by any state in which the Fund shares are
offered for sale. Such limitation did not affect the management fees for the six
months ended April 30, 1995.
NFS may also receive fees on the NIF-II Funds for distribution pursuant to a
Rule 12b-1 Distribution Plan approved by the Board of Trustees. These fees,
which were waived prior to March 1, 1990, are based on average daily net assets
of each Fund at an annual rate of .35%. During the six months ended April 30,
1995, each Fund paid distribution fees at the annual rate of .20% of average
daily net assets, with the distributor waiving the remaining .15%. During the
six months ended April 30, 1995, NFS waived $181,779 and $28,031 for both the
Tax-Free Income and U.S. Government Income Funds, representing $.007 and $.007
per average share outstanding, respectively.
NFS also receives fees for services as principal underwriter. Such fees are
contingent deferred sales charges for the NIF-II Funds ranging from 5% to 1%
imposed on redemptions which cause the current value of an account to fall below
the total purchase payments made during the past five years. Contingent deferred
sales charges aggregated $151,216 on the Tax-Free Income Fund shares and $52,345
on the U.S. Government Income Fund shares for the six months ended April 30,
1995.
TRANSFER & DIVIDEND DISBURSING AGENT
A subsidiary of NFS (Nationwide Investors Services, Inc.) acts as Transfer and
Dividend Disbursing Agent for the Funds.
INVESTMENT TRANSACTIONS
3 Purchases and sales of securities (excluding U.S. Government and short-term
securities), and purchases and sales of U.S. Government Obligations for the six
months ended April 30, 1995 are summarized as follows:
<TABLE>
<CAPTION>
Purchases Sales
<S> <C> <C>
Growth.............. $76,396,480 59,686,386
NW Fund............. 31,824,085 66,608,424
Bond................ 38,640,506 43,845,685
Tax-Free Income..... 61,789,309 65,952,665
U.S. Gov't Income... -- --
Money Market........ -- --
</TABLE>
U.S. Government Obligations
<TABLE>
<CAPTION>
Purchases Sales
<S> <C> <C>
Growth.............. $66,438,771 50,246,503
NW Fund............. 9,710,938 10,012,500
Bond................ -- --
Tax-Free Income..... -- --
U.S. Gov't Income... 4,486,914 5,725,898
Money Market........ 51,952,621 3,933,671
</TABLE>
Realized gains and losses have been computed on the first-in, first-out basis.
Included in net unrealized appreciation (depreciation) at April 30, 1995 are the
following components:
<TABLE>
<CAPTION>
Net unrealized
Unrealized Unrealized appreciation
gains losses (depreciation)
<S> <C> <C> <C>
Growth.............. $128,641,022 (8,483,153) 120,157,869
NW Fund............. 197,273,977 (16,819,352) 180,454,625
Bond................ 1,172,945 (4,341,293) (3,168,348)
Tax-Free Income..... 6,914,955 (1,720,578) 5,194,377
U.S. Gov't Income... 167,080 (1,310,711) (1,143,631)
</TABLE>
22
<PAGE> 23
NOTES TO MUTUAL FUND PERFORMANCE
You may find it helpful to refer to these notes when reviewing the Funds'
performance.
Average Annual (Compound) Total Return represents the return required each year
for an initial investment to equal the redeemable value at the end of the
specified period. These results include reinvestment of all dividends and
capital gains distributions.
Examples below reflect performance for a $1,000 investment for the period ending
3/31/95. Results assume a 4.5% sales charge was paid in the Growth, Nationwide
and Bond Funds; or the applicable contingent deferred sales charge on
withdrawals from the Tax-Free Income and U.S. Government Income Funds (declines
from 5% in the first year to 0% after 5 years). This has the most dramatic
effect on the 1-year returns. The Money Market Fund has no sales charges.
<TABLE>
<CAPTION>
10-year
1-year 5-year or life+
- ------------------------------------------------------
<S> <C> <C> <C>
Growth Fund 8.3% 10.7% 15.5%
- ------------------------------------------------------
Nationwide(R) Fund 5.3% 8.8% 13.1%
- ------------------------------------------------------
Bond Fund (2.6%) 6.9% 8.3%
- ------------------------------------------------------
Tax-Free Income Fund .8% 7.3% +6.3%
- ------------------------------------------------------
U.S. Gov't Income Fund (1.0%) NA +4.8%
- ------------------------------------------------------
Money Market Fund 4.5% 4.5% 5.9%
- ------------------------------------------------------
</TABLE>
+- Life of the Tax-Free Income Fund-- 9.2 years; U.S. Government Income Fund--
3.2 years
Sales charge percentages on Growth, Nationwide, and Bond Fund investments
decrease to 0.0% as investment amounts increase or the shareholder qualifies for
certain discount privileges (see page 21 of the prospectus); therefore, the
larger the initial or additional investment, the lower the sales charge.
No adjustments have been made for income taxes payable on reinvested
distributions since those vary with each shareholder.
These figures update the prospectus dated February 28, 1994, and represent past
performance. The investment return and principal value of an investment will
fluctuate, and an investor's shares, when redeemed, may be worth less or more
than their original cost.
The Money Market Fund's current yield will be more reflective of what you might
have expected to earn at the date of this report. Current yields are available
by calling toll-free 1-800-848-0520 (all states).
Bank passbook savings and CD principals are Federally insured and yields are
fixed. Fund yields and principals are not insured and may fluctuate.
The studies of funds mentioned in this report may not take into consideration
sales charges which vary from fund to fund and which may affect the resulting
rankings.
All performance information including studies, charts, and graphs reflects the
past and is not a projection or guarantee of future performance. Shares that are
redeemed may be worth more or less than the original investment.
For certain investors, income from the Tax-Free Income Fund may be subject to
state and/or local taxes, and if applicable, the Alternative Minimum Tax.
An investment in the Money Market Fund is neither insured nor guaranteed by the
U.S. Government and there can be no assurance that it will be able to maintain a
stable net asset value of $1.00 per share.
Automatic Asset Accumulation(SM) is a periodic investment plan. These types of
plans do not assure a profit and do not protect against loss in a declining
market. They involve continuous investment in securities regardless of
fluctuating price levels. Investors should consider their financial ability to
continue purchases through periods of low price levels.
NATIONWIDE(R) GROWTH FUND
For investors seeking to maximize capital growth by investing in the common
stock of companies in industries where economic trends and new technologies
indicate greater than average growth potential.
<TABLE>
<CAPTION>
April 30, October 31,
1995 1994
<S> <C> <C>
Total Net Assets $502,322,614 $464,715,429
- --------------------------------------------------------------------------------
Net Assets Per Share $11.97 $11.35
- --------------------------------------------------------------------------------
Dividends Per Share $.095 $0.0975*
- --------------------------------------------------------------------------------
Capital Gains Per Share $0.235 $0.22
- --------------------------------------------------------------------------------
Shares Outstanding 41,973,172 40,948,227
- --------------------------------------------------------------------------------
Number of Shareholders 37,264 36,520
- --------------------------------------------------------------------------------
</TABLE>
NATIONWIDE(R) FUND
For investors seeking to maximize returns through a flexible combination of
income and long-term capital appreciation, generally from common stocks of
well-known larger companies.
<TABLE>
<CAPTION>
April 30, October 31,
1995 1994
<S> <C> <C>
Total Net Assets $718,164,791 $706,673,879
- --------------------------------------------------------------------------------
Net Assets Per Share $15.38 $16.12
- --------------------------------------------------------------------------------
Dividends Per Share $.1525 $0.14*
- --------------------------------------------------------------------------------
Capital Gains Per Share $1.255 $0.8475
- --------------------------------------------------------------------------------
Shares Outstanding 46,684,936 43,833,372
- --------------------------------------------------------------------------------
Number of Shareholders 41,277 41,322
- --------------------------------------------------------------------------------
</TABLE>
NATIONWIDE(R) BOND FUND
For investors seeking high monthly income with the degree of safety that can be
provided through high-quality bonds and other fixed income securities.
<TABLE>
<CAPTION>
April 30, October 31,
1995 1994
<S> <C> <C>
Total Net Assets $125,481,148 $124,455,177
- --------------------------------------------------------------------------------
Net Assets Per Share $8.84 $8.46
- --------------------------------------------------------------------------------
Dividends Per Share $0.3171 $0.3286*
- --------------------------------------------------------------------------------
Shares Outstanding 14,199,185 14,707,516
- --------------------------------------------------------------------------------
Number of Shareholders 9,074 9,490
- --------------------------------------------------------------------------------
</TABLE>
NATIONWIDE(R) TAX-FREE INCOME FUND
For investors seeking high monthly income free from Federal taxes with the
degree of safety that can be provided through high-quality municipal bonds.
<TABLE>
<CAPTION>
April 30, October 31,
1995 1994
<S> <C> <C>
Total Net Assets $253,575,668 $241,096,653
- --------------------------------------------------------------------------------
Net Assets Per Share $9.94 $9.40
- --------------------------------------------------------------------------------
Dividends Per Share $0.2602 $0.2528*
- --------------------------------------------------------------------------------
Capital Gains Per Share -- $0.115
- --------------------------------------------------------------------------------
Shares Outstanding 25,503,954 25,637,299
- --------------------------------------------------------------------------------
Number of Shareholders 8,924 9,227
- --------------------------------------------------------------------------------
</TABLE>
NATIONWIDE(R) U.S. GOVERNMENT INCOME FUND
For investors seeking high monthly income, reduced share price fluctuations and
relative safety of principal through securities backed by the U.S. Government
and its agencies.
<TABLE>
<CAPTION>
April 30, October 31,
1995 1994
<S> <C> <C>
Total Net Assets $37,748,658 $37,748,658
- --------------------------------------------------------------------------------
Net Assets Per Share $9.62 $9.22
- --------------------------------------------------------------------------------
Dividends Per Share $0.2874 $0.2920*
- --------------------------------------------------------------------------------
Capital Gains Per Share -- $0.75
- --------------------------------------------------------------------------------
Shares Outstanding 3,937,583 4,094,987
- --------------------------------------------------------------------------------
Number of Shareholders 2,201 2,307
- --------------------------------------------------------------------------------
</TABLE>
NATIONWIDE(R) MONEY MARKET FUND
For investors seeking monthly income at current rates of return with maximum
share price stability (principal is not intended to fluctuate).
<TABLE>
<CAPTION>
April 30, October 31,
1995 1994
<S> <C> <C>
Total Net Assets $552,228,309 $491,736,905
- --------------------------------------------------------------------------------
Net Assets Per Share $1.00 $1.00
- --------------------------------------------------------------------------------
Dividends Per Share $0.0265 $0.0196*
- --------------------------------------------------------------------------------
Shares Outstanding 552,230,744 491,736,480
- --------------------------------------------------------------------------------
Number of Shareholders 24,586 24,584
- --------------------------------------------------------------------------------
</TABLE>
* Six months ended October 31, 1994.
23
<PAGE> 24
N A T I O N W I D E (R) F A M I L Y O F F U N D S
TRUSTEES
PETER F. FRENZER - Nationwide Investing
Foundation (NIF) & Nationwide Investing
Foundation II (NIF II)
Chairman
Columbus, Ohio
DR. JOHN C. BRYANT - NIF & NIF II
Wilmington, Ohio
DR. C. BRENT DEVORE - NIF
Westerville, Ohio
SUE A. DOODY - NIF
Columbus, Ohio
ROBERT M. DUNCAN - NIF & NIF II
Columbus, Ohio
CHARLES L. FUELLGRAF, JR. - NIF
Butler, Pennsylvania
DR. THOMAS J. KERR, IV - NIF & NIF II
Evanston, Illinois
JOHN W. KESSLER - NIF
New Albany, Ohio
D. RICHARD MCFERSON - NIF & NIF II
Columbus, Ohio
ROBERT RICKEL - NIF
Bayview, Idaho
NANCY C. THOMAS - NIF
Louisville, Ohio
HAROLD W. WEIHL - NIF
Bowling Green, Ohio
DAVID C. WETMORE - NIF
Herndon, Virginia
OFFICERS
JAMES F. LAIRD, JR.
Treasurer
RAE I. MERCER
Secretary
KATHERINE L. COOK
Assistant Treasurer
WILLIAM M. WRIGHT
Assistant Treasurer
PETER NECKERMANN
Assistant Treasurer
HARRY A. SCHERMER
Assistant Treasurer
CRAIG A. CARVER
Assistant Treasurer
TRANSFER AGENT
NATIONWIDE INVESTORS SERVICES, INC.
BOX 1492
COLUMBUS OHIO 43216-1492
CUSTODIAN
THE FIFTH THIRD BANK
38 FOUNTAIN SQUARE PLAZA
CINCINNATI OHIO 45263-0001
LEGAL COUNSEL
DRUEN, RATH & DIETRICH
ONE NATIONWIDE PLAZA
COLUMBUS OHIO 43215-2220
AUDITORS
KPMG PEAT MARWICK LLP
TWO NATIONWIDE PLAZA
COLUMBUS OHIO 43215-2537
DISTRIBUTOR
NATIONWIDE FINANCIAL SERVICES, INC.
ONE NATIONWIDE PLAZA
COLUMBUS OHIO 43215-2220
TOLL-FREE TELEPHONE ASSISTANCE
GENERAL ACCOUNT SERVICE AND EXCHANGES:
1-800-848-0920.
24-HOUR PRERECORDED INFORMATION:
1-800-848-0520.
OUR SHAREHOLDER FAMILY...
AS SHOWN ON THE COVER
Greg and Rachel
Strittmatter-- Nicholas, Seamus,
Growth Fund and Connor Walsh--
Growth Fund
PHOTO
PHOTO
PHOTO PHOTO
Michelle, Steven, Jenna and Cheryl Elaine Maxcy--
Saraniti with two friends-- Nationwide Fund
Money Market Fund, Growth Fund
PHOTO
PHOTO PHOTO
Lesli Ann Phillips--
Growth Fund
Michael and Patricia Dupree--
Bernadette Melnic -- Tax-Free Income Fund,
Nationwide Fund Growth Fund, and Money
Market Fund
Nationwide(R) and [NATIONWIDE LOGO] are registered Federal Service marks of the
Nationwide Mutual Insurance Company.
NATIONWIDE FAMILY OF FUNDS BULK RATE
ONE NATIONWIDE PLAZA U.S. POSTAGE
COLUMBUS OHIO 43215-2220 PAID
COLUMBUS, OHIO
April 1995 PERMIT NO. 492
SEMI-ANNUAL REPORT
24
