<PAGE>
[LOGO]
[PHOTO]
Semi-annual report
The Strong
GROWTH
Funds
The Strong Common Stock Fund
The Strong Discovery Fund
The Strong Mid Cap Disciplined Fund
The Strong Mid Cap Growth Fund
The Strong Strategic Growth Fund
The Strong Growth Fund
The Strong Opportunity Fund
Semi-Annual Report . June 30, 2000
<PAGE>
Letter from the Chairman
Dear Strong Investor,
The United States' economic miracle continues to set records for longevity.
Today, we enjoy a near-perfect economy. How in the world did we get here?
In the days of our grandparents and great-grandparents, the railroad helped
drive the Industrial Revolution. Nearly every aspect of the Industrial
Revolution directly impacted and improved people's lives. Today, the
technological revolution is similarly impacting our lives. We feel its presence
every time we dial a cell phone, pull out a PalmPilot, boot up a computer, and
punch "play" on the CD player in the dashboard of our computer-programmed cars.
Technology is our constant companion.
Aside from those tangible ways in which we employ technology each and every
day, ongoing technological developments affect us in another, less obvious way.
The technology revolution is enhancing worker productivity, enabling the economy
to grow faster than ever before without the drag of inflation. This allows real
wages to rise faster than in previous periods of expansion, raising nearly
everyone's standard of living.
The phenomenal economic growth and wealth creation that we have experienced has
powered the financial markets to ever-higher levels in recent years. As long as
this favorable economic environment prevails -- and assuming that there isn't a
negative policy change or an economic "accident" to derail it -- our economy
should continue to expand. Hopefully, the financial markets will continue to
reflect that.
Despite the good times, we should never forget that the financial markets are in
control and that they are a discounting mechanism, continually peering into the
future. In fact, many experienced investors believe that certain sectors of the
financial markets are currently priced to perfection and any little hiccup could
cause a significant correction.
The U.S. Federal Reserve Board has increased interest rates six times during the
last 18 months in an attempt to slow the economy. Many central banks around the
world have been making a concerted effort to slow their economies. If one or
more of these economies should slow, it may be reflected in the tone of our
economy and financial markets as well. If that happens, 2000 could be the first
time in many years that investors earn a negative return on their stock
investments. It will be a new -- and unpleasant -- experience for investors
who know only the unbridled bull markets of the 1990s.
Financial markets are cyclical. A market correction, though painful, is as
natural as breathing. Financial volatility can significantly derail an
investment program, especially if that program is not carefully planned. At
Strong, we pride ourselves on helping our investors invest wisely and with
purpose. We advise you to establish a clear set of goals, a plan to reach them,
and a program of constant monitoring to make certain you are heading in the
right direction.
/s/ Dick
<PAGE>
The Strong
Growth Funds
_______________
SEMI-ANNUAL REPORT. JUNE 30, 2000
Table of Contents
<TABLE>
<S> <C>
Investment Reviews
The Strong Common Stock Fund........................................ 2
The Strong Discovery Fund........................................... 4
The Strong Mid Cap Disciplined Fund................................. 6
The Strong Mid Cap Growth Fund...................................... 8
The Strong Strategic Growth Fund.................................... 10
The Strong Growth Fund.............................................. 12
The Strong Opportunity Fund......................................... 14
Financial Information
Schedules of Investments in Securities
The Strong Common Stock Fund..................................... 16
The Strong Discovery Fund........................................ 17
The Strong Mid Cap Disciplined Fund.............................. 20
The Strong Mid Cap Growth Fund................................... 21
The Strong Strategic Growth Fund................................. 23
The Strong Growth Fund........................................... 24
The Strong Opportunity Fund...................................... 26
Statements of Assets and Liabilities................................ 29
Statements of Operations............................................ 32
Statements of Changes in Net Assets................................. 35
Notes to Financial Statements....................................... 38
Financial Highlights................................................... 45
</TABLE>
<PAGE>
THE STRONG COMMON STOCK FUND
----------------------------
Fund highlights
. For the six months ended June 30, 2000, the Fund posted a return of 0.44%,
while the Russell 2000(R) Index returned 3.04%./1/,*
. The Fund's performance was most influenced during this period by our
positions in energy, cyclical, and technology stocks.
. Technology stocks were particularly volatile over the period. We are still
being selective in this sector, as many valuations remain high and could be
subject to a future correction.
--------------------------------------------------------------------------------
AVERAGE ANNUAL
TOTAL RETURNS/1/
As of 6-30-00
1-year 17.74%
3-year 17.48%
5-year 20.46%
10-year 20.64%
Since Inception 20.52%
(on 12-29-89)
Equity funds are volatile investments and should only be considered for long-
term goals.
--------------------------------------------------------------------------------
FIVE LARGEST
STOCK HOLDINGS
As of 6-30-00
Security % of Net Assets
Nabors Industries, Inc. 1.9%
Smith International, Inc. 1.7%
EOG Resources, Inc. 1.7%
Anadarko Petroleum Corporation 1.7%
Apache Corporation 1.7%
Please see the Schedule of Investments in Securities for a complete listing of
the Fund's portfolio.
Perspectives from the Manager
/s/ Richard Trent Weiss
Richard Trent Weiss
Portfolio Manager
--------------------------------------------------------------------------------
Over the first six months of the year, the Fund's positions in energy, cyclical,
and technology stocks had the most impact on performance. Energy stocks such as
EOG Resources sustained their solid performance as OPEC was able to limit the
supply of oil in the international market. The price of natural gas also rose to
record levels as production failed to grow to expected levels. We have begun to
reduce our overweight position in the energy sector as both valuations and
fundamentals appear to be reaching a peak.
Technology and cyclical stocks were volatile over the period. Despite the
turmoil, select names helped drive the Fund's performance. Stocks such as I2
Technologies continued to benefit as companies upgraded their electronic
infrastructure. Many tech stocks remain overvalued, however, so we are still
being especially careful about our selections in this area. It appears that some
technology names may be due for further correction.
In another area, industrial names like Hussman International benefited from
consolidation and a continued strong economic backdrop. We slightly sold off
some of our positions within this area.
Two sectors that lagged during the first half of the year were retail and
media/telecom. Retail stocks suffered from growing concern regarding the impact
of continued rate increases by the Federal Reserve Board on consumers. It
appears to many that an economic slowdown
------------------------------
We believe the
next six months will
continue to show
a strengthening
in smaller-cap
stocks relative to
larger-cap stocks.
------------------------------
--------------------------------------------------------------------------------
/1/ Average annual total return and total return measure change in the value of
an investment in the Fund, assuming reinvestment of all dividends and
capital gains. Average annual total return reflects annualized change, while
total return reflects aggregate change and is not annualized.
2
<PAGE>
is imminent, but we do not believe that the economy is headed for a recession.
To us, the retail sector has therefore become more appealing, as negative market
sentiment has driven valuations down to attractive levels. We added slightly to
this sector. In the media/telecom sector, a slowdown in merger and acquisition
activity, combined with investor skittishness about a possible deceleration in
growth, kept the stocks under pressure. We remain optimistic that convergence
and consolidation will continue in the sector, however, and have taken the
weakness in the sector as an opportunity to add to positions.
We believe the next six months will continue to show a strengthening in smaller-
cap stocks relative to larger-cap stocks. Continued high valuations in large-cap
growth stocks present the market with limited opportunities to fuel continued
strong performance. Smaller stocks, as well as those in such forgotten sectors
as industrials, present the most compelling investment opportunities.
Additionally, a probable end to the Federal Reserve's rate hikes could rekindle
interest in economically sensitive stocks. Thus, we have been adding names in
the industrial and consumer cyclical sectors.
We thank you for investing in the Strong Common Stock Fund and look forward to
continuing to help you achieve your financial goals.
GROWTH OF AN ASSUMED $10,000 INVESTMENT
From 12-29-89 to 6-30-00
[GRAPH]
<TABLE>
<CAPTION>
The Strong
Common Stock Fund Russell 2000 Index* Lipper Mid-Cap Value Funds Index*
<S> <C> <C> <C>
Dec 89 $10,000 $10,000 $10,000
Dec 91 $15,864 $11,759 $11,997
Dec 93 $23,987 $16,553 $15,430
Dec 95 $31,609 $20,875 $18,834
Dec 97 $47,223 $29,757 $27,703
Dec 99 $70,653 $35,164 $30,476
Jun 00 $70,961 $36,232 $31,073
</TABLE>
This graph, provided in accordance with SEC regulations, compares a $10,000
investment in the Fund, made at its inception, with the performance of the
Russell 2000(R) Index and the Lipper Mid-Cap Value Funds Index. Results include
the reinvestment of all dividends and capital gains distributions. Performance
is historical and does not represent future results. Investment returns and
principal value vary, and you may have a gain or loss when you sell shares.
Your Fund's
approach
The Strong Common Stock Fund seeks capital growth. It invests at least 65% of
its assets in stocks of small- and medium-capitalization companies that the
Fund's manager believes are underpriced, yet have attractive growth prospects.
The manager bases his analysis on a company's "private market value" -- the
price an investor would be willing to pay for the entire company given its
management, financial health, and growth potential. He determines a company's
private market value based on a fundamental analysis of a company's cash flows,
asset valuations, competitive situation, and franchise value.
--------------------------------------------------------------------------------
Market
highlights
. In addition to technology stocks, cyclicals were also volatile, as investors
feared these issues could feel a negative impact if the Federal Reserve
succeeds in slowing the rate of economic growth.
. Two sectors that lagged during the first half were retail and media/telecom.
Retail stocks were also affected by concerns over the impact of a possibly
slowing economy.
. Although the market reflects worry than an economic slowdown is imminent, we
do not believe that the economy is headed for a recession.
--------------------------------------------------------------------------------
* The Russell 2000(R) Index is an unmanaged index generally representative of
the U.S. market for small-capitalization stocks. The Lipper Mid-Cap Value
Funds Index is an equally weighted performance index of the largest
qualifying funds in this Lipper category. Source of the Russell and S&P 500
index data is Standard & Poor's Micropal. Source of the Lipper index data is
Lipper Inc.
3
<PAGE>
THE STRONG DISCOVERY FUND
-------------------------
Fund highlights
. The Strong Discovery Fund returned 11.43% for the six months ended June 30,
2000. The Fund's benchmark, the Russell 2000(R) Index, had a return of
3.04%./1/,*
. As of June 30, 2000, the projected long-term earnings growth rate for the
companies in the Fund's portfolio was 24%./2/
. Since its inception, the Fund has generally invested in small- and medium-
sized stocks. The Fund's weighted median market cap stood at $4.90 billion on
June 30, 2000; $1.93 billion on June 30, 1999; and $1.63 billion on June 30,
1998.
--------------------------------------------------------------------------------
AVERAGE ANNUAL
TOTAL RETURNS/1/
As of 6-30-00
1-year 23.48%
3-year 10.20%
5-year 10.30%
10-year 13.19%
Since Inception 14.82%
(on 12-31-87)
Equity funds are volatile investments and should only be considered for long-
term goals.
--------------------------------------------------------------------------------
FIVE LARGEST
STOCK HOLDINGS
As of 6-30-00
Security % of Net Assets
Sybron International Corporation 2.2%
Coinmach Laundry Corporation 2.2%
Vignette Corporation 2.1%
Getty Images, Inc. 2.1%
Pinnacle Holdings, Inc. 2.0%
Please see the Schedule of Investments in Securities for a complete listing of
the Fund's portfolio.
Perspective from the Managers
/s/ Richard S. Strong /s/ Chip Paquelet
Richard S. Strong Chip Paquelet
Portfolio Co-Manager Portfolio Co-Manager
--------------------------------------------------------------------------------
The Fund's excellent start in 2000 versus the Russell 2000(R) Index was
primarily due to two factors:
. Solid stock selection. We had a number of strong performing stocks,
including Pinnacle Holdings. Additionally, during this same period there
were very few problem stocks.
. Controlled exposure to technology stocks. While we made adjustments last
year to boost the Fund's technology holdings, we were careful to limit our
overall exposure to technology and to keep the Fund well diversified. This
discipline helped to protect the portfolio during the severe correction in
technology stocks that took place in March through May, while still
allowing us to tap some of America's leading growth companies.
In summary, we are pleased by our recent investment performance. Over the last
12 months, the Fund is up 23.48% versus 14.32% for our benchmark. Through
careful analysis and stock selection, we feel the Fund is on the right track and
poised to deliver above-benchmark returns.
Effective August 31, 2000, Charles "Chip" Paquelet will assume sole portfolio
management responsibility for the Fund.
--------------------------------------------------------------------------------
------------------------------
...we were careful
to limit our overall
exposure to technology
and to keep the Fund
well diversified.
------------------------------
--------------------------------------------------------------------------------
/1/ Average annual total return and total return measure change in the value of
an investment in the Fund, assuming reinvestment of all dividends and
capital gains. Average annual total return reflects annualized change, while
total return reflects aggregate change and is not annualized.
/2/ Earnings growth has been estimated on an annual basis for a projected five-
year period. The Discovery Fund's earnings growth estimate has been
generated from our own analysis of the portfolio's individual securities as
of June 30, 2000.
4
<PAGE>
Mr. Paquelet has been a portfolio co-manager of the Fund since August 1996 and
has been a member of Strong's Investment Department since May 1988.
GROWTH OF AN ASSUMED $10,000 INVESTMENT
From 12-31-87 to 6-30-00
[GRAPH]
The Strong Lipper Multi-Cap
Discovery Fund Russell 2000 Index* Growth Funds Index*
Dec 87 $10,000 $10,000 $10,000
Dec 89 $15,427 $14,534 $14,884
Dec 91 $25,150 $17,092 $20,166
Dec 93 $31,332 $24,060 $24,875
Dec 95 $39,844 $30,342 $32,324
Dec 97 $44,825 $43,252 $46,837
Dec 99 $50,516 $51,110 $85,546
Jun 00 $56,288 $52,662 $91,872
This graph, prepared in accordance with SEC regulations, compares a $10,000
investment in the Fund, made at its inception, with the performance of the
Russell 2000(R) Index and the Lipper Multi-Cap Growth Funds Index. Results
include the reinvestment of all dividends and capital gains distributions.
Performance is historical and does not represent future results. Investment
returns and principal value vary, and you may have a gain or loss when you sell
shares.
YOUR FUND'S APPROACH
The Strong Discovery Fund seeks capital growth. It invests in securities that
its managers believe offer attractive opportunities for growth. The Fund usually
invests in a diversified portfolio of common stocks from small-, medium-, and
large-capitalization companies. These are chosen through a combination of in-
depth fundamental analysis of a company's financial reports and direct, on-site
research during company visits. When the managers believe market conditions
favor fixed-income investments, they have the flexibility to invest a
significant portion of the Fund's assets in bonds. The Fund would primarily
invest in intermediate - and long-term investment-grade bonds.
--------------------------------------------------------------------------------
MARKET HIGHLIGHTS
. The American economy continues its miraculous economic growth. Over time, the
U.S. stock market should continue to reflect these favorable economic
conditions should they continue.
. The Russell 2000(R) Index is the major market index that tracks the
performance of stocks most similar to the companies favored by the Fund.
Internally, we have always used this index as a performance guide, but we
formally replaced the S&P 500 Index with the Russell 2000(R) Index in our
shareholder reports at the end of 1998.*
--------------------------------------------------------------------------------
* The Russell 2000(R) Index is an unmanaged index generally representative of
the U.S. market for small-capitalization stocks. The Lipper Multi-Cap Growth
Funds Index is an equally weighted performance index of the largest qualifying
funds in this Lipper category. The S&P 500 Stock Index is an unmanaged index
generally representative of the U.S. stock market. Source of the Russell and
S&P 500 index data is Standard & Poor's Micropal. Source of the Lipper index
data is Lipper Inc.
5
<PAGE>
THE STRONG MID CAP DISCIPLINED FUND
-----------------------------------
Fund highlights
. For the six months ended June 30, 2000, the Strong Mid Cap Disciplined Fund
returned 10.36%. For the same period, the S&P MidCap 400 Stock Index
returned 8.97%./1/,*
. The Fund benefited from good timing in the technology sector. We reduced
the Fund's exposure to the sector in mid-March, avoiding a good portion of
the sector's slide.
. The Fund also benefited from good stock selection in financials as well as
the energy sector. Energy stocks performed very well amid the oil-price
climb.
--------------------------------------------------------------------------------
AVERAGE ANNUAL
TOTAL RETURNS/1/
As of 6-30-00
1-year 15.84%
Since Inception 30.57%
(on 12-31-98)
Equity funds are volatile investments and should only be considered for long-
term goals.
--------------------------------------------------------------------------------
FIVE LARGEST
STOCK HOLDINGS
As of 6-30-00
Security % of Net Assets
ITC/DeltaCom, Inc. 2.2%
Republic Services, Inc. 2.2%
Triad Hospitals, Inc. 2.1%
Valassis Communications, Inc. 2.0%
Precision Drilling Corporation 2.0%
Please see the Schedule of Investments in Securities for a complete listing of
the Fund's portfolio.
Perspectives from the Manager
/s/ Dean DuMonthier
Dean DuMonthier
Portfolio Manager
--------------------------------------------------------------------------------
The Fund posted a solid first half of the year, beating its indexes. We made a
wise move in mid-March, when we reduced the Fund's exposure to the technology
sector because many of those securities had reached valuations that approached
their intrinsic value--that is, the price we believe a purchaser would be
willing to pay to buy the entire company. The fund also benefited from its
holdings in natural resource producers and the oil industry service providers,
as the prices of oil and natural gas rose substantially.
The period can best be described in one word--"volatile." Since January 1, the
Nasdaq Composite Index, a good proxy for the technology sector, rose by 25%
through early March, declined 36% from that point through late May, and
subsequently recovered 23% through June 30. This extreme volatility surprised
even the most experienced investors. The increasing importance of the individual
investor in setting marginal prices, the collapse in the average holding period
of technology stocks, and the melding of the new economy and the old economy are
all relatively permanent factors increasing the technology sector's volatility
as well as that of the overall market.
With more than $1 trillion invested in online and discount brokerage accounts,
the behavior of the individual investor is becoming more instrumental in setting
stock prices than ever before. A recent study suggests that over the past 10
years, the amount of time it takes for the total outstanding shares of a
technology
------------------------------
With more than
$1 trillion invested in
online and discount
brokerage accounts,
the behavior of the
individual investor
is becoming more
instrumental in
setting stock prices
than ever before.
------------------------------
--------------------------------------------------------------------------------
/1/ Average annual total return and total return measure change in the value of
an investment in the Fund, assuming reinvestment of all dividends and
capital gains. Average annual total return reflects annualized change, while
total return reflects aggregate change and is not annualized.
6
<PAGE>
company to change hands has fallen from more than one year to just four
months. In addition, as the Internet pervades many aspects of our lives and
supplants many successful businesses of today while enhancing the success of
others, the market will struggle to determine the winners and losers and reward
their stock prices accordingly--changing its mind many times in the interim.
Focusing on the relatively stable calculation of intrinsic value based on
economic cash flows (as opposed to accounting earnings), our strategy is to take
advantage of the market volatility and invest in those companies improving their
returns on invested capital when their stock prices are sufficiently lower than
their intrinsic value. While volatility can be disconcerting at times, it also
presents opportunities. We are attempting to take advantage of the increased
volatility by shortening our holding periods slightly and using our intrinsic-
value framework to highlight current market mispricings.
As always, we thank you for your investment and offer our best wishes to you and
your family.
GROWTH OF AN ASSUMED $10,000 INVESTMENT
From 12-31-98 to 6-30-00
[GRAPH]
<TABLE>
<CAPTION>
The Strong Mid Cap Disciplined Fund S&P MidCap 400 Stock Index* Lipper Mid-Cap Value Funds Index*
<S> <C> <C> <C>
Dec 98 10,000 10,000 10,000
Mar 99 11,740 9,361 9,603
Jun 99 12,880 10,687 10,835
Sep 99 11,420 9,789 10,040
Dec 99 13,520 11,472 11,193
Mar 00 15,580 12,927 11,653
Jun 00 14,920 12,501 11,413
</TABLE>
This graph, prepared in accordance with SEC regulations, compares a $10,000
investment in the Fund, made at its inception, with the performance of the
Standard & Poor's MidCap 400 Stock Index ("S&P MidCap 400") and the Lipper Mid-
Cap Value Funds Index. Results include the reinvestment of all dividends and
capital gains distributions. Performance is historical and does not represent
future results. Investment returns and principal value vary, and you may have a
gain or loss when you sell shares.
Your Fund's
approach
The Strong Mid Cap Disciplined Fund seeks capital growth. It invests at least
65% of its assets in stocks of medium-capitalization companies that the Fund's
manager believes present attractive opportunities, but have not been widely
recognized by investment analysts or the financial press. The Fund defines
"medium-capitalization companies" as companies with a market capitalization
substantially similar to that of companies in the S&P MidCap 400 Index at the
time of investment. To identify these companies, the manager engages in in-
depth, first-hand research. On-site visits with members of a company's
management team are often an integral part of this process. The goal of the
manager's research is to identify companies that are undervalued or have growth
potential that is not currently reflected in the companies' stock prices.
Market
highlights
. Mid-cap stocks performed very well over the period, topping both the large-
and small-capitalization sectors. On the margin, investors seem to be moving
away from the large-cap growth favorites of the past few years into the mid-
cap arena.
. While the Federal Reserve continues to address concerns regarding possible
inflationary pressures from low unemploymentrates, the economy has shown
signs of moderation, causing the Board to pause and observe.
. The technology sector performed extraordinarily well early in the period,
corrected significantly, and then partially recovered, exhibiting the
increased volatility that has characterized the market recently.
--------------------------------------------------------------------------------
* The S&P MidCap 400 is an unmanaged index generally representative of the U.S.
market for medium-capitalization stocks. The Lipper Mid-Cap Value Funds Index
is an equally weighted performance index of he largest qualifying funds in
this Lipper category. Source of the S&P index data is Standard & Poor's
Micropal. Source of the Lipper index data is Lipper Inc.
7
<PAGE>
THE STRONG MID CAP GROWTH FUND
------------------------------
Fund Highlights
. The Strong Mid Cap Growth Fund returned 10.02% for the six months ended
June 30, 2000, while the S&P MidCap 400 Stock Index returned 8.97%./1/,*
. Semiconductor, networking, energy service, and biotechnology holdings
provided strong relative performance for the Fund. We added to our position
in the semiconductor area but trimmed our networking holdings.
. The Fund's exposure to interest-rate-sensitive and consumer cyclical
issues contributed negatively to the Fund's performance.
--------------------------------------------------------------------------------
AVERAGE ANNUAL
TOTAL RETURNS/1/
As of 6-30-00
1-year 66.13%
3-year 39.68%
Since Inception 33.57%
(on 12-31-96)
Please keep in mind that high double-digit returns were primarily achieved
during favorable market conditions, especially within the technology sector, and
cannot be sustained. Equity funds are volatile investments and should only be
considered for long-term goals.
--------------------------------------------------------------------------------
FIVE LARGEST
STOCK HOLDINGS
As of 6-30-00
Security % of Net Assets
GlobeSpan, Inc. 3.0%
E-Tek Dynamics, Inc. 2.6%
Applied Micro Circuits
Corporation 2.3%
Tiffany & Company 2.0%
ENSCO International, Inc. 2.0%
Please see the Schedule of Investments in Securities for a complete listing of
the Fund's portfolio.
Perspectives from the Managers
/s/ Ronald C. Ognar /s/ Derek Felske
Ronald C. Ognar Derek Felske
Portfolio Co-Manager Portfolio Co-Manager
--------------------------------------------------------------------------------
Technology remains the Fund's largest single sector, consuming roughly half the
Fund's assets. We continue to focus our investments on the direct beneficiaries
of the networked economy. Within the mid-cap universe, the fastest growth rates
continue to be produced by leading technology companies enjoying the positive
benefits of new product cycles. This growth is also buttressed by the need of
corporations to enhance productivity to compete in a global economy. With
relative valuations of technology companies at extreme levels, we have reduced
our weighting in the sector relative to prior periods.
Although we believe the Fed has now moved to a neutral bias, signs of continued
strong growth in the coming months may trigger further tightening action. With
valuations in the technology area at high historical levels and the market's
overall technology weighting at record highs, we expect volatility to remain
high. It is our assessment that careful stock picking and more diversified
sector weightings will be rewarded.
Healthcare is an area of renewed emphasis for us. Although the race to map the
human genome is now over, the hard work is really just beginning. We
particularly like the companies that provide the "picks and shovels" of genomic
discovery. We have also invested in several drug distribution companies, as we
believe a possible government prescription program could drive incremental unit
growth in the sector.
------------------------------
Although we believe
the Fed has now
moved to a neutral
bias, signs of
continued strong
growth in the
coming months may
trigger further
tightening action.
------------------------------
--------------------------------------------------------------------------------
/1/ Average annual total return and total return measure change in the value of
an investment in the Fund, assuming reinvestment of all dividends and
capital gains. Average annual total return reflects annualized change, while
total return reflects aggregate change and is not annualized.
8
<PAGE>
We believe the Federal Reserve's tightening cycle is near an end. Therefore,
consumer cyclicals are becoming increasingly attractive. We continue to
overweight category-killer retailers (Best Buy), unit growth stories (Kohl's),
and well-established consumer franchises (Tiffany). Another area we like, and to
which we added in the portfolio, is energy. Oil prices are high, OPEC members
are more than 90% compliant with production quotas, and economic conditions in
Asia appear to have stabilized. Finally, our careful selection of new issues
available in the market over the past six months also helped the performance of
the Fund.
As we assess the next six months, we expect the U.S. economy to grow at a more
moderate rate. Well-positioned growth companies able to generate unit growth, as
overall corporate profit growth begins to decelerate, will become increasingly
scarce. Fortunately, mid-cap stocks are often pure plays on dynamic niche
markets, new products, or innovative new services. Their fortunes are not as
closely tied to general economic factors as are those of larger companies. As
growth investors, our investment team is constantly on the lookout for companies
exhibiting sustainable fundamental improvement.
We thank you for your interest in the Strong Mid Cap Growth Fund and look
forward to continuing to help you address your financial goals.
GROWTH OF AN ASSUMED $10,000 INVESTMENT
From 12-31-96 to 6-30-00
[GRAPH]
<TABLE>
<CAPTION>
The Strong Mid Cap Growth Fund S&P MidCap 400 Stock Index* Lipper Multi-Cap Growth Funds Index*
<S> <C> <C> <C>
Dec 96 10,000 10,000 10,000
Jun 97 10,104 11,299 11,223
Dec 97 11,384 13,225 12,295
Jun 98 13,195 14,367 14,353
Dec 98 13,035 15,752 15,343
Jun 99 16,576 16,835 17,536
Dec 99 25,030 18,072 22,456
Jun 00 27,539 19,693 24,117
</TABLE>
This graph, provided in accordance with SEC regulations, compares a $10,000
investment in the Fund, made at its inception, with the performance of the
Standard & Poor's MidCap 400 Stock Index ("S&P MidCap 400") and the Lipper
Multi-Cap Growth Funds Index. Results include the reinvestment of all dividends
and capital gains distributions. Performance is historical and does not
represent future results. Investment returns and principal value vary, and you
may have a gain or loss when you sell shares.
Your Fund's
approach
The Strong Mid Cap Growth Fund seeks capital growth. It invests at least 65% of
its assets in stocks of medium-capitalization companies that the Fund's managers
believe have favorable prospects for accelerating growth of earnings but are
selling at reasonable valuations based on earnings, cash flow, or asset value.
The Fund defines "medium-capitalization companies" as companies with a market
capitalization substantially similar to that of companies in the S&P MidCap 400
Index at the time of investment. The Fund writes put and call options.
Market
Highlights
. After several years of unusually strong performance for technology-related
issues, the difference between the returns of technology stocks and those of
other growth stocks began to close.
. The Federal Reserve's interest-rate hikes in the face of a strong domestic
economy, heightening inflationary pressures, and signs of economic strength
overseas has helped to spur market volatility. Signs of continued strong
growth in the coming months may trigger further tightening action.
. High levels of corporate profitability continued to indirectly support the
technology sector. Despite their recent correction, the relative valuations
of new economy companies remain extremely rich.
--------------------------------------------------------------------------------
* The S&P MidCap 400 is an unmanaged index generally representative of the U.S.
stock market for medium-capitalization stocks. The Lipper Multi-Cap Growth
Funds Index is an equally weighted performance index of the largest qualifying
funds in this Lipper category. Source of the S&P index data is Standard &
Poor's Micropal. Source of the Lipper index data is Lipper Inc.
9
<PAGE>
THE STRONG STRATEGIC GROWTH FUND
--------------------------------
Fund highlights
. The Strong Strategic Growth Fund returned -5.27% for the six months ended
June 30, 2000, compared with the S&P 500 Stock Index's return of -0.42%./1/,*
. The Fund's increased emphasis on aggressive technology stocks in early spring
hurt performance, as tech stocks declined shortly thereafter.
. We subsequently adjusted our technology holdings, which allowed the Fund to
gain ground later in the spring.
. Non-technology holdings had relatively good performance, led by consumer,
energy, and health-services stocks.
--------------------------------------------------------------------------------
AVERAGE ANNUAL
TOTAL RETURNS/1/
As of 6-30-00
1-year 8.13%
Since Inception 17.42%
(on 6-30-98)
Equity funds are volatile investments and should only be considered for long-
term goals.
--------------------------------------------------------------------------------
FIVE LARGEST
STOCK HOLDINGS
As of 6-30-00
Security % of Net Assets
WorldCom, Inc. 3.6%
Cisco Systems, Inc. 3.3%
Microsoft Corporation 3.2%
Intel Corporation 3.2%
General Electric Company 2.9%
Please see the Schedule of Investments in Securities for a complete listing of
the Fund's portfolio.
Perspectives from the Manager
/s/ Scott Sindelar
Scott Sindelar
Portfolio Manager
--------------------------------------------------------------------------------
Early in the year, we pared back the Fund's technology holdings, after their
strong performance in 1999 had allowed them to take up a larger percentage of
the portfolio than we desired. Among the positions we sold off were
Oracle, Telcomm Semiconductor, and CITRIX Systems; other tech holdings were
reduced.
As the first quarter progressed, however, tech stocks performed well and it
became apparent that the first-quarter results for tech companies would
generally be better than expected. In response to these favorable developments,
we added once again to our tech weighting--only to have the sector sell off
shortly thereafter.
As earnings were reported, technology's strength was evident, as most companies
reported strong results and managements often spoke of strong business trends.
However, for tech companies, we thought that trends may be a short-term
phenomenon if tech stocks continued to decline. In an effort to moderate the
Fund's volatility, we then reduced the tech weighting, though we retained some
holdings, such as Audiocodes, Netopia, and TUT Systems to continue participating
in high-growth areas. We reallocated assets to consumer, healthcare, and
financial stocks, which helped the Fund gain ground in June.
The Fund's consumer, finance, health services, and energy sectors provided good
relative returns for the first six months. The Fund's
--------------------------------------------------------------------------------
------------------------------
To contend with
this environment,
the portfolio is currently
well-diversified,
populated by companies
that appear to have both
good long-term outlooks
and solid cash-flow
characteristics.
------------------------------
--------------------------------------------------------------------------------
/1/ Average annual total return and total return measure change in the value of
an investment in the Fund, assuming reinvestment of all dividends and
capital gains. Average annual total return reflects annualized change, while
total return reflects aggregate change and is not annualized.
10
<PAGE>
increased exposure to the energy sector via Royal Dutch Shell proved
beneficial. Several industry leaders, including Safeway, American International
Group, and General Electric were also solid performers. Smaller companies
contributing to the Fund's performance included C.H. Robinson, Medquist, and
Concord EFS.
The economy remains strong but appears to be slowing, albeit from historically
high levels. The Federal Reserve may raise interest rates again, but probably
not to the point of significantly impairing the economy. The equity markets are
likely to continue to be volatile. To contend with this environment, the
portfolio is currently well-diversified, populated by companies that appear to
have both good long-term outlooks and solid cash-flow characteristics.
Thank you for your faith in the Strong Strategic Growth Fund. We hope to provide
you with solid long-term results.
GROWTH OF AN ASSUMED $10,000 INVESTMENT
From 6-30-98 to 6-30-00
[GRAPH]
<TABLE>
<CAPTION>
The Strong
Strategic Growth Fund S&P 500 Lipper Large-Cap Core Funds Index*
Stock Index*
<S> <C> <C> <C>
Jun-98 $10,000 $10,000 $10,000
Sep 98 $ 9,020 $ 9,005 $ 8,853
Dec 98 $11,250 $10,923 $10,753
Mar 99 $11,100 $11,467 $11,219
Jun 99 $12,750 $12,275 $11,840
Sep 99 $12,170 $11,509 $11,067
Dec 99 $14,553 $13,221 $12,834
Mar 00 $14,469 $13,525 $13,382
Jun 00 $13,786 $13,165 $13,077
</TABLE>
This graph, provided in accordance with SEC regulations, compares a $10,000
investment in the Fund, made at its inception, with the performance of the
Standard & Poor's 500 Stock Index ("S&P 500") and the Lipper Large-Cap Core
Funds Index. Results include the reinvestment of all dividends and capital gains
distributions. Performance is historical and does not represent future results.
Investment returns and principal value vary, and you may have a gain or loss
when you sell shares.
Your Fund's
approach
The Strong Strategic Growth Fund seeks capital growth. It invests primarily in
the stocks of medium- and large-capitalization companies, looking for those that
may have long-term growth potential. Based on fundamental analysis, the Fund's
manager seeks stocks of well-managed companies that produce needed or proven
products (products for which there is a significant or growing demand in the
marketplace) and that are market leaders in growing industries. In looking for
well-managed companies, the manager examines many factors such as consistency of
a business plan, foresight of the competitive market conditions, business
knowledge, and management's attention to detail. The portfolio generally holds
50 or fewer stocks.
Market
highlights
. Technology stocks had a roller-coaster ride during the first six months,
climbing over 20% during the first half of the period, then falling by more
than 33%. They subsequently recovered, ending the period down slightly from
where they started.
. Volatility was present in all equity markets as a tug-of-war continued
between further strong corporate profitability and concerns over both
valuations and fears of a slowing economy.
. The Federal Reserve continued its watch on the inflation front, raising
interest rates further during the first half of the year.
--------------------------------------------------------------------------------
* The S&P 500 is an unmanaged index generally representative of the U.S. stock
market. The Lipper Large-Cap Core Funds Index is an equally weighted
performance index of the largest qualifying funds in this Lipper category.
Source of the S&P index data is Standard & Poor's Micropal. Source of the
Lipper index data is Lipper Inc.
11
<PAGE>
THE STRONG GROWTH FUND
----------------------
Fund highlights
. Core holdings in the technology, healthcare, and retail sectors contributed
most to the Fund's outperformance in the first half of the year.
--------------------------------------------------------------------------------
AVERAGE ANNUAL
TOTAL RETURNS/3/
As of 6-30-00
INVESTOR CLASS
--------------
1-year 63.77%
3-year 37.80%
5-year 32.30%
Since Inception 30.60%
(on 12-31-93)
ADVISOR CLASS/1/
----------------
1-year 63.52%
3-year 37.50%
5-year 32.00%
Since Inception 30.29%
(on 12-31-93)
INSTITUTIONAL CLASS/2/
----------------------
1-year 64.03%
3-year 37.87%
5-year 32.34%
Since Inception 30.63%
(on 12-31-93)
Please keep in mind that high double-digit returns were primarily achieved
during favorable market conditions, especially within the technology sector, and
cannot be sustained. Equity funds are volatile investments and should only be
considered for long-term goals.
--------------------------------------------------------------------------------
FIVE LARGEST
STOCK HOLDINGS
As of 6-30-00
Security % of Net Assets
Cisco Systems, Inc. 4.9%
Juniper Networks, Inc. 4.9%
SDL, Inc. 3.7%
Kohl's Corporation 3.7%
Pfizer, Inc. 3.5%
Please see the Schedule of Investments in Securities for a complete listing of
the Fund's portfolio.
Perspectives from the Manager
/s/ Ronald C. Ognar
Ronald C. Ognar
Portfolio Manager
--------------------------------------------------------------------------------
The Strong Growth Fund continued to outperform the S&P 500 Index for the first
half of the year 2000 (8.41% versus-0.42%)./3,/* Our investment process remains
focused on investments in high-quality, well-managed growth companies within the
most dynamic industries regardless of market capitalization.
Despite the volatility in the overall market this year, we continue to believe
that the leaders of the new economy provide the best opportunities for long-term
growth. These companies are delivering revolutionary products and services to
garner market share, or in some cases, create whole new markets and industries.
We expect these firms to generate superior shareholder returns by sustaining
superior earnings growth and returns on invested capital. While most of these
companies are in the technology, telecommunications, or biotech industries, we
are still finding many attractive growth opportunities in more mundane areas of
the economy, including retail, media, energy, and financial services.
Two of our long-time holdings, JDS Uniphase and Kohl's Department Stores, were
big winners for the Fund over the past six months. They are prime examples of
the types of companies in which we like to invest. JDS Uniphase is the world
leader in producing optical networking technologies for the telecommunications
industry. Its products are essential components to the growth of the Internet
and bandwidth expansion. Through unique innovations and
________________
Our market outlook for the remainder of the year is
optimistic, given the apparent slowdown of the
U.S. economy from its red-hot pace.
________________
--------------------------------------------------------------------------------
/1/ The performance of the Advisor Class shares prior to 2-24-00 is based on the
Fund's Investor Class shares' performance, restated for the higher expense
ratio of the Advisor Class shares. Please consult a prospectus for
information about all share classes.
/2/ The performance of the Institutional Class shares prior to 2-24-00 is based
on the Fund's Investor Class shares' performance. Please consult a
prospectus for information about all share classes.
/3/ Average annual total return and total return measure change in the value of
an investment in the Fund, assuming reinvestment of all dividends and
capital gains. Average annual total return reflects annualized change, while
total return reflects aggregate change and is not annualized.
12
<PAGE>
timely acquisitions, JDS Uniphase has positioned itself as the premier arms
maker to those who battle for dominance in the Internet and telecommunications
fields.
In contrast, Kohl's Department Stores, based in Menomonee Falls, Wisconsin, is
in the low-tech business of providing brand-name goods in a more convenient and
inexpensive format. Kohl's is stealing significant market share from its older
department store competitors as it rolls out new stores across the United
States.
What these two otherwise disparate companies have in common is that their
managements have both consistently executed well-defined business plans. We
expect them to continue to do so.
Our market outlook for the remainder of the year is optimistic, given the
apparent slowdown of the U.S. economy from its red-hot pace. Although it appears
the Federal Reserve is close to ending its course of raising interest rates, we
expect the Fed to be aggressive should any real evidence of inflation appear on
the horizon.
We thank you for investing in the Strong Growth Fund as we do our best to help
you achieve your financial goals.
GROWTH OF AN ASSUMED $10,000 INVESTMENT
From 12-31-93 to 6-30-00
[GRAPH]
Lipper Multi-Cap
The Strong Growth Fund S&P 500 Stock Index* Growth Funds Index*
Dec 93 $10,000 $10,000 $10,000
Dec 94 $11,726 $10,132 $ 9,717
Dec 95 $16,535 $13,939 $12,994
Dec 96 $19,763 $17,140 $15,313
Dec 97 $23,528 $22,858 $18,828
Dec 98 $29,876 $29,390 $23,497
Dec 99 $52,301 $35,575 $34,389
Jun 00 $56,701 $34,260 $35,744
This graph, prepared in accordance with SEC regulations, compares a $10,000
investment in the Fund, made at its inception, with the performance of the
Standard & Poor's 500 Stock Index ("S&P 500") and the Lipper Multi-Cap Growth
Funds Index. Results include the reinvestment of all dividends and capital gains
distributions. Performance is historical and does not represent future results.
Investment returns and principal value vary, and you may have a gain or loss
when you sell shares. This graph is based on Investor Class shares only;
performance for other classes will vary due to differences in fee structures.
Your Fund's
approach
The Strong Growth Fund seeks capital growth. It focuses on stocks of companies
that its manager believes have favorable prospects for accelerating growth of
earnings but are selling at reasonable valuations based on earnings, cash flows,
or asset value. The portfolio can include stocks of any size. The Fund writes
put and call options.
-------------------------------------------------------------------------------
Market
highlights
. After several years of unusually strong performance for technology-related
issues, the gap between the returns of technology companies and those of
other growth companies began to close during the first six months of 2000,
particularly in the second quarter.
. By raising short-term interest rates in the face of a strong domestic
economy, heightening inflationary pressures, and signs of economic strength
overseas, the Federal Reserve helped to spark market volatility in the
first half of the year.
. Signs of continued strong growth in coming months may trigger further
tightening action, and we expect volatility to continue.
. High levels of corporate profitability continue to indirectly support the
technology sector.
--------------------------------------------------------------------------------
* The S&P 500 is an unmanaged index generally representative of the U.S.
stock market. The Lipper Multi-Cap Growth Funds Index is an equally
weighted performance index of the largest qualifying funds in this Lipper
category. Source of the S&P index data is Standard & Poor's Micropal.
Source of the Lipper index data is Lipper Inc.
13
<PAGE>
THE STRONG OPPORTUNITY FUND
---------------------------
Fund highlights
. The Fund's performance was driven primarily by its holdings in technology,
energy, and healthcare.
. As investors turned wary of technology stocks in April and May, more
defensive growth companies came to the fore. Our holdings in this arena,
particularly Corning and American Power Conversion, were strong performers
for the Fund. We were able to hold these securities during this period and
reap the benefits.
-------------------------------------------------------------------------------
AVERAGE ANNUAL
TOTAL RETURNS
As of 6-30-00
INVESTOR CLASS
--------------
1-year 17.98%
3-year 22.20%
5-year 21.32%
10-year 17.89%
Since Inception 19.18%
(on 12-31-85)
ADVISOR CLASS/1/
-------------
1-year 17.68%
3-year 21.89%
5-year 21.01%
10-year 17.58%
Since Inception 18.86%
(on 12-31-85)
Equity funds are volatile investments and should only be considered for long-
term goals.
-------------------------------------------------------------------------------
FIVE LARGEST
STOCK HOLDINGS
As of 6-30-00
Security % of Net Assets
Corning, Inc. 2.7%
Micron Technology, Inc. 2.1%
American Power Conversion Corporation 1.7%
Apache Corporation 1.6%
American International Group, Inc. 1.5%
Please see the Schedule of Investments in Securities for a complete listing of
the Fund's portfolio.
Perspectives from the Manager
/s/ Richard Trent Weiss
Richard Trent Weiss
Portfolio Manager
-------------------------------------------------------------------------------
From January through June of this year, holdings in the technology, energy, and
healthcare sectors drove the Fund's performance. The Nasdaq's precipitous drop
in April and May drove many investors to other areas of the market, allowing old
economy stocks to enjoy a period of healthier performance. Nonetheless, many
technology stocks continue to have high valuations--particularly after the
sector's partial recovery in June. As a result, we are still being very careful
about our selections in this area.
In the energy sector, supply constraints pushed crude oil and natural gas prices
to very high levels; the prices of energy-related stocks, such as fund holding
Weatherford International, followed suit. It's our assessment that many oil
stocks are at or near their peaks, so we have begun to trim our positions in
this area.
Healthcare generally performed well over the period, as investors looked for
more defensive alternatives in the face of the high volatility of technology
stocks. In this environment, we chose to add some health stocks to the
portfolio, including Watson Pharmaceuticals. We still find the growth prospects
of the sector appealing, but the recovery in the sector during the spring pushed
some stocks toward their valuation targets.
Concerns about possible economic slowing that could result from the Federal
Reserve's interest-rate hikes have driven the prices of many industrial and
consumer cyclical stocks down, making them increasingly attractive as buying
________________
From January
through June of
this year, holdings
in the technology,
energy, and
healthcare sectors
drove the Fund's
performance
________________
--------------------------------------------------------------------------------
/1/ The performance of the Advisor Class shares prior to 2-24-00 is based on the
Fund's Investor Class shares' performance, restated for the higher expense
ratio of the Advisor Class shares. Please consult a prospectus for
information about all share classes.
14
<PAGE>
opportunities. We have added high-quality names with strong franchises such as
Masco Corporation and Raytheon to the portfolio.
Reduced merger and acquisition activity, along with economic concerns, kept
media and telecom stocks under pressure. We remain optimistic, however, that
convergence and consolidation will continue in this sector and have, therefore,
chosen to take the current weakness in the sector as an opportunity to add to
positions.
The high valuations of large-cap growth stocks present the market with limited
opportunities to fuel continued strong performance. This creates an environment
that should be favorable to our investment approach, as it appears that smaller
stocks and stocks that focus on forgotten sectors now present the most
interesting investment opportunities. Areas in which we are adding to our
holdings include industrials and consumer cyclicals, as the impending end of the
Fed's interest-rate hikes could benefit these sectors.
We thank you for investing in the Strong Opportunity Fund and look forward to
continuing to help you pursue your financial goals.
GROWTH OF AN ASSUMED $10,000 INVESTMENT
From 12-31-85 to 6-30-00
[GRAPH]
<TABLE>
<CAPTION>
The Strong Opportunity Fund S&P MidCap 400 Index* Lipper Multi-Cap Value Funds Index*
<S> <C> <C> <C>
Dec 85 $10,000 $10,000 $10,000
Dec 87 $17,893 $11,383 $12,267
Dec 89 $24,694 $18,649 $17,565
Dec 91 $28,845 $26,556 $20,789
Dec 93 $41,022 $33,866 $26,307
Dec 95 $53,868 $42,757 $34,503
Dec 97 $78,557 $67,406 $52,979
Dec 99 $121,016 $92,110 $59,788
Jun 00 $127,272 $100,375 $59,330
</TABLE>
This graph, provided in accordance with SEC regulations, compares a $10,000
investment in the Fund, made at its inception, with the performance of the
Standard & Poor's MidCap 400 Stock Index ("S&P MidCap 400") and the Lipper
Multi-Cap Value Funds Index. Results include the reinvestment of all dividends
and capital gains distributions. Performance is historical and does not
represent future results. Investment returns and principal value vary, and you
may have a gain or loss when you sell shares. This graph is based on Investor
Class shares only; performance for other classes will vary due to differences in
fee structures.
Your Fund's
approach
The Strong Opportunity Fund seeks capital growth. It invests primarily in stocks
of medium-capitalization companies that the Fund's manager believes are
underpriced, yet have attractive growth prospects. He bases his analysis on a
company's "private marketvalue"--the price an investor would be willing to pay
for the entire company given its management, financial health, and growth
potential. The manager determines a company's private market value based on a
fundamental analysis of a company's cash flows, asset valuations, competitive
situation, and franchise value.
Market
highlights
. S&P MidCap 400 Stock Index, the Fund's benchmark, returned 8.97% for the
first six months of 2000.
. Technology proved to be a precarious sector, with the Nasdaq Composite
Index dropping by more than 13% in the second quarter of the year.
. Cyclicals, along with media and telecommunications stocks, suffered in the
first half of the year. This was the result of worries about a possible
slowdown in the economy.
--------------------------------------------------------------------------------
*The S&P MidCap 400 is an unmanaged index generally representative of the U.S.
market for medium-capitalization stocks. The Lipper Multi-Cap Value Funds Index
is an equally weighted performance index of the largest qualifying funds in
this Lipper category. Source of the S&P index data is Standard & Poor's
Micropal. Source of the Lipper index data is Lipper Inc.
15
<PAGE>
SCHEDULES OF INVESTMENTS IN SECURITIES June 30, 2000 (Unaudited)
-------------------------------------------------------------------------------
STRONG COMMON STOCK FUND
Shares or
Principal Value
Amount (Note 2)
------------------------------------------------------------------------------
Common Stocks 91.5%
Banks - Foreign 0.1%
Bank of Tokyo - Mitsubishi (b) 121,000 $ 1,462,688
Banks - Midwest 1.1%
Old Kent Financial Corporation 717,150 19,183,763
Banks - Super Regional 2.4%
FleetBoston Financial Corporation 690,000 23,460,000
SunTrust Banks, Inc. 405,000 18,503,437
--------------
41,963,437
Banks - West/Southwest 1.2%
City National Corporation 600,000 20,850,000
Building - Hand Tools 1.3%
The Black & Decker Corporation 580,000 22,801,250
Building - Heavy Construction 1.3%
Jacobs Engineering Group, Inc. (b) 702,500 22,962,969
Chemicals - Fertilizers 1.0%
IMC Global, Inc. 1,378,000 17,914,000
Chemicals - Specialty 2.5%
Crompton Corporation 2,026,900 24,829,525
Cytec Industries, Inc. (b) 715,000 17,651,562
--------------
42,481,087
Commercial - Leasing Companies 0.7%
Rollins Truck Leasing Corporation 1,860,000 12,903,750
Commercial Services - Advertising 1.3%
TMP Worldwide, Inc. (b) 300,000 22,143,750
Commercial Services - Security/Safety 1.1%
Pittston Company Brinks Group 1,340,000 18,341,250
Computer - Graphics 1.3%
Autodesk, Inc. 645,000 22,373,437
Computer - Memory Devices 1.4%
Microchip Technology, Inc. (b) 430,000 25,054,219
Computer - Optical Recognition 1.3%
Symbol Technologies, Inc. 425,000 22,950,000
Computer - Services 1.3%
IMS Health, Inc. 1,245,000 22,410,000
Computer Software - Education/Entertainment 1.4%
Electronic Arts, Inc. (b) 340,000 24,798,750
Computer Software - Enterprise 6.1%
Computer Associates International, Inc. 437,300 22,384,294
J.D. Edwards & Company (b) 1,270,000 19,129,375
I2 Technologies, Inc. (b) 90,000 9,383,906
Informix Corporation (b) 2,111,400 15,703,538
Sybase, Inc. (b) 1,000,000 23,000,000
Synopsys, Inc. (b) 480,000 16,590,000
--------------
106,191,113
Diversified Operations 1.7%
Carlisle Companies, Inc. 605,000 27,225,000
Itochu Corporation (b) 470,000 2,372,841
--------------
29,597,841
Electrical - Equipment 0.2%
Hitachi, Ltd. 230,000 3,320,751
Electronics - Military Systems 1.1%
General Motors Corporation Class H (b) 223,000 19,568,250
Electronics - Miscellaneous Components 0.9%
Commscope, Inc. (b) 383,400 15,719,400
Electronics - Scientific Instruments 1.4%
Thermo Electron Corporation (b) 1,150,000 24,221,875
Electronics - Semiconductor Manufacturing 4.0%
Dallas Semiconductor Corporation 635,000 25,876,250
Fairchild Semiconductor Corporation
Class A (b) 550,000 22,275,000
Xilinx, Inc. (b) 260,000 21,466,250
--------------
69,617,500
Finance - Equity REIT 1.3%
Apartment Investment & Management
Company Class A 500,000 21,625,000
Funeral Services & Related 1.1%
Hillenbrand Industries, Inc 601,900 18,846,994
Insurance - Life 1.3%
Protective Life Corporation 855,000 22,764,375
Insurance - Property/Casualty/Title 1.5%
XL Capital, Ltd. Class A 490,000 26,521,250
Internet - E*Commerce 1.5%
DoubleClick, Inc. (b) 390,000 14,868,750
eToys, Inc. (b) 1,765,000 11,196,719
--------------
26,065,469
Internet - InternetService Provider/Content 0.8%
go.com (b) 1,190,000 14,205,625
Internet - Network Security/Solutions 1.1%
MarchFirst, Inc. (b) 1,040,000 18,980,000
Media - Cable TV 5.4%
AT&T Corporation - Liberty Media Group
Class A (b) 1,140,000 27,645,000
Cox Communications, Inc. Class A (b) 510,000 23,236,875
NTL, Inc. (b) 305,000 18,261,875
Telewest Communications PLC 2,400,000 8,298,288
UnitedGlobalCom, Inc. Class A (b) 340,000 15,895,000
--------------
93,337,038
Media - Newspapers 1.1%
News Corporation, Ltd. Sponsored ADR 350,000 19,075,000
Media - Periodicals 1.4%
Readers Digest Association, Inc. Class A 595,000 23,651,250
Medical - Health Maintenance Organizations 2.8%
CIGNA Corporation 292,500 27,348,750
WellPoint Health Networks, Inc. (b) 297,500 21,550,156
--------------
48,898,906
Medical - Instruments 1.5%
Beckman Coulter, Inc. 450,000 26,268,750
Medical/Dental - Services 1.0%
Omnicare, Inc. 1,985,000 17,989,063
16
<PAGE>
----------------------------------------------------------------------------
STRONG COMMON STOCK FUND (continued)
Shares or
Principal Value
Amount (Note 2)
----------------------------------------------------------------------------
Office - Equipment & Automation 0.2%
Canon, Inc. 71,000 $ 3,537,605
Oil & Gas - Drilling 2.9%
Diamond Offshore Drilling, Inc. 495,000 17,386,875
Nabors Industries, Inc. (b) 775,000 32,210,937
--------------
49,597,812
Oil & Gas - Machinery/Equipment 1.7%
Smith International, Inc. (b) 415,000 30,217,188
Oil & Gas - Refining/Marketing 1.3%
Tosco Corporation 790,000 22,366,875
Oil & Gas - United States Exploration &
Production 6.9%
Anadarko Petroleum Corporation 605,000 29,834,062
Apache Corporation 505,000 29,700,312
Devon Energy Corporation 522,000 29,329,875
EOG Resources, Inc. 895,000 29,982,500
Harken Energy Corporation (b) 2,609,500 1,630,938
--------------
120,477,687
Pollution Control - Services 1.6%
Republic Services, Inc. (b) 1,775,000 28,400,000
Real Estate Operations 1.2%
Security Capital Group, Inc. Class B (b) 1,210,000 20,570,000
Retail - Apparel/Shoe 2.1%
Abercrombie & Fitch Company Class A (b) 1,540,000 18,768,750
The TJX Companies, Inc. 980,000 18,375,000
--------------
37,143,750
Retail - Consumer Electronics 0.6%
Circuit City Stores, Inc. 335,000 11,117,813
Retail - Miscellaneous/Diversified 1.4%
Barnes & Noble, Inc. (b) 1,100,000 24,475,000
Retail/Wholesale - Food 1.3%
SUPERVALU, Inc. 1,150,000 21,921,875
Telecommunications - Cellular 3.5%
United States Cellular Corporation (b) 345,000 21,735,000
Vodafone AirTouch PLC Sponsored ADR 410,000 16,989,375
VoiceStream Wireless Corporation (b) 185,850 21,613,774
--------------
60,338,149
Telecommunications - Services 3.9%
Broadwing, Inc. (b) 815,000 21,139,062
Covad Communications Group, Inc. (b) 1,150,000 18,543,750
MediaOne Group, Inc. (b) 350,000 23,209,900
Nippon Telegraph & Telephone Corporation 345 4,590,450
--------------
67,483,162
Textile - Mill/Household 1.4%
Unifi, Inc. (b) 1,925,000 23,821,875
Transportation - Airline 1.1%
Continental Airlines, Inc. Class B (b) 415,000 19,505,000
Transportation - Equipment
Manufacturing 0.9%
Trinity Industries, Inc. 820,000 15,170,000
Utility - Telephone 1.3%
ALLTEL Corporation 360,000 22,297,500
Other 0.3%
Other Common Stocks 70,700 $ 4,737,013
-------------------------------------------------------------------------------
Total Common Stocks (Cost $1,281,179,833) 1,590,238,104
-------------------------------------------------------------------------------
Corporate Bonds 0.6%
Omnipoint Corporation Senior Notes,
11.625%, Due 8/15/06 $ 8,500,000 9,222,500
Omnipoint Corporation Senior Notes,
Series A, 11.625%, Due 8/15/06 1,500,000 1,627,500
-------------------------------------------------------------------------------
Total Corporate Bonds (Cost $6,440,874) 10,850,000
-------------------------------------------------------------------------------
Short-Term Investments (a) 7.7%
Commercial Paper 0.3%
Interest Bearing, Due Upon Demand
Sara Lee Corporation, 6.27% 2,385,020 2,385,020
Wisconsin Electric Power Company, 6.31% 1,802,250 1,802,250
-----------
4,187,270
Money Market Funds 0.9%
Strong Heritage Money Market Fund (f) 15,000,000 15,000,000
Repurchase Agreements 6.3%
ABN-AMRO Inc. (Dated 6/30/00), 6.60%,
Due 7/03/00 (Repurchase proceeds
$109,760,335); Collateralized by:
U.S. Government & Agency Issues (e) 109,700,000 109,700,000
United States Government Issues 0.2%
United States Treasury Bills,
Due 8/03/00 (c) 4,150,000 4,130,308
------------------------------------------------------------------------------
Total Short-Term Investments
(Cost $133,016,686) 133,017,578
------------------------------------------------------------------------------
------------------------------------------------------------------------------
Total Investments In Securities
(Cost $1,420,637,393) 99.8% 1,734,105,682
Other Assets and Liabilities, Net 0.2% 3,189,282
------------------------------------------------------------------------------
Net Assets 100.0% $ 1,737,294,964
==============================================================================
FUTURES
----------------------------------------------------------------------------
Underlying Face Unrealized
Expiration Date Amount at Value Appreciation
----------------------------------------------------------------------------
Sold:
74 S&P 500 9/00 $27,159,850 $ 503,200
----------------------------------------------------------------------------
STRONG DISCOVERY FUND
Shares or
Principal Value
Amount (Note 2)
----------------------------------------------------------------------------
Common Stocks 84.5%
Banks - Money Center 0.6%
Citigroup, Inc. 19,150 $ 1,153,788
Building - Maintenance & Services 2.2%
Coinmach Laundry Corporation (b) 279,100 3,977,175
Commercial Services - Advertising 1.8%
Lamar Advertising Company (b) (c) 77,800 3,369,713
Commercial Services - Schools 1.1%
ITT Educational Services, Inc. (b) 111,400 1,956,462
Commercial Services - Staffing 0.2%
Modis Professional Services, Inc. (b) 36,900 327,488
17
<PAGE>
SCHEDULES OF INVESTMENTS IN SECURITIES (continued) June 30, 2000 (Unaudited)
------------------------------------------------------------------------------
STRONG DISCOVERY FUND (continued)
Shares or
Principal Value
Amount (Note 2)
-----------------------------------------------------------------------
Computer - Integrated Systems 0.2%
Psion PLC 38,292 $ 371,066
Computer - Local Networks 0.5%
Brocade Communications Systems, Inc. (b) 1,000 183,484
Cisco Systems, Inc. (b) 10,500 667,406
Foundry Networks, Inc. (b) 1,400 154,700
-------------
1,005,590
Computer - Manufacturers 1.3%
Hewlett-Packard Company 11,100 1,386,113
International Business Machines Corporation 9,300 1,018,931
-------------
2,405,044
Computer - Memory Devices 1.9%
Microchip Technology, Inc. (b) 12,150 707,927
SanDisk Corporation (b) 45,900 2,808,506
-------------
3,516,433
Computer - Peripheral Equipment 0.7%
Lexmark International Group, Inc. Class A (b) 17,800 1,197,050
Computer - Services 1.0%
Sungard Data Systems, Inc. (b) 58,700 1,819,700
Computer Software - Desktop 0.8%
Microsoft Corporation (b) (c) 19,200 1,536,000
Computer Software - Enterprise 1.5%
Adobe Systems, Inc. 3,500 455,000
Mercury Interactive Corporation (b) 7,800 754,650
Oracle Systems Corporation (b) 11,700 983,531
Rational Software Corporation (b) 3,900 362,456
Veritas Software Corporation (b) 1,100 124,317
-------------
2,679,954
Consumer Products - Miscellaneous 0.4%
Rayovac Corporation (b) 34,400 769,700
Diversified Operations 0.4%
Agilent Technologies, Inc. (b) 10,298 759,478
Electrical - Connectors 1.5%
Methode Electronics, Inc. Class A 70,300 2,715,338
Electronics - Miscellaneous Components 1.6%
RF Micro Devices, Inc. (b) 2,400 210,300
Sawtek, Inc. (b) 34,500 1,985,906
Viasystems Group, Inc. (b) 38,100 616,744
Vishay Intertechnology, Inc. (b) 4,550 172,616
-------------
2,985,566
Electronics - Parts Distributors 0.2%
Kent Electronics Corporation (b) 11,350 338,372
Electronics - Semiconductor Manufacturing 8.2%
Applied Micro Circuits Corporation (b) 3,700 365,375
Atmel Corporation (b) 83,600 3,082,750
Burr-Brown Corporation (b) 30,300 2,626,631
Cypress Semiconductor, Inc. (b) 64,700 2,733,575
Intel Corporation (c) 14,000 1,871,625
LSI Logic Corporation (b) 58,700 3,177,137
Micron Technology, Inc. (b) 5,000 440,312
National Semiconductor Corporation (b) 5,200 295,100
SDL, Inc. (b) 1,000 285,187
-------------
14,877,692
Electronics Products - Miscellaneous 1.3%
Samsung Electronics GDR 12,300 2,416,950
Energy - Other 0.3%
Calpine Corporation (b) 9,000 591,750
Finance - Consumer/Commercial Loans 0.6%
Associates First Capital Corporation 46,300 1,033,069
Finance - Equity REIT 2.0%
Pinnacle Holdings, Inc. (b) 68,300 3,688,200
Finance - Investment Brokers 1.8%
The Charles Schwab Corporation 96,500 3,244,812
Finance - Investment Management 0.6%
Kansas City Southern Industries, Inc. (b) 12,900 1,144,069
Finance - Savings & Loan 1.6%
TCF Financial Corporation 116,500 2,992,594
Financial Services - Miscellaneous 0.3%
Concord EFS, Inc. (b) 23,600 613,600
Insurance - Brokers 0.3%
Arthur J. Gallagher & Company 13,200 554,400
Insurance - Property/Casualty/Title 0.3%
ACE, Ltd. 12,300 344,400
CNA Financial Corporation (b) 9,600 326,400
-------------
670,800
Internet - E*Commerce 2.3%
DoubleClick, Inc. (b) 9,750 371,719
Getty Images, Inc. (b) 102,300 3,791,494
-------------
4,163,213
Internet - Internet Service
Provider/Content 0.4%
America Online, Inc. (b) 14,085 742,984
Internet - Network Security/Solutions 2.0%
Juniper Networks, Inc. (b) 3,400 494,913
Network Associates, Inc. (b) 143,000 2,913,625
Sapient Corporation (b) 2,700 288,731
-------------
3,697,269
Internet - Software 2.1%
Vignette Corporation (b) 74,800 3,890,769
Leisure - Gaming 0.2%
Park Place Entertainment Corporation (b) 31,300 381,469
Leisure - Photo Equipment/Related 1.7%
Eastman Kodak Company 53,600 3,189,200
Leisure - Products 0.5%
Harley-Davidson, Inc. 20,100 773,850
SCP Pool Corporation (b) 5,850 137,475
-------------
911,325
Leisure - Services 0.6%
Bally Total Fitness Holding Corporation (b) 41,700 1,058,137
Leisure - Toys/Games/Hobby 1.6%
Action Performance Companies, Inc. (b) 396,850 2,877,162
Machine - Tools & Related Products 0.9%
Applied Power, Inc. (c) 50,500 1,691,750
Media - Cable TV 0.3%
Insight Communications Company, Inc. (b) 35,400 553,125
18
<PAGE>
--------------------------------------------------------------------------------
STRONG DISCOVERY FUND (continued)
<TABLE>
<CAPTION>
Shares or
Principal Value
Amount (Note 2)
-----------------------------------------------------------------------------------------
<S> <C> <C>
Media - Radio/TV 3.2%
AMFM, Inc. (b) 23,100 $ 1,593,900
Infinity Broadcasting Corporation Class A (b) 94,950 3,459,741
Viacom, Inc. Class B (b) 8,300 565,956
Westwood One, Inc. (b) 4,300 146,738
------------
5,766,335
Medical - Drug/Diversified 0.0%
Halsey Drug Company, Inc. (Acquired
7/01/99 - 4/03/00; Cost $34,439) (b) (d) (f) 18,460 21,930
Medical - Ethical Drugs 1.7%
American Home Products Corporation 12,500 734,375
Forest Laboratories, Inc. (b) 2,500 252,500
Jones Medical Industries, Inc. 2,500 99,844
Pfizer, Inc. (c) 42,375 2,034,000
------------
3,120,719
Medical - Generic Drugs 0.5%
Watson Pharmaceuticals, Inc. (b) 15,200 817,000
Medical - Health Maintenance Organizations 0.2%
CIGNA Corporation 3,900 364,650
Medical - Instruments 0.2%
Medtronic, Inc. 6,650 331,253
Medical/Dental - Supplies 2.9%
Patterson Dental Company (b) 23,000 1,173,000
Sybron International Corporation (b) 204,000 4,041,750
------------
5,214,750
Oil & Gas - Drilling 4.3%
Diamond Offshore Drilling, Inc. 71,100 2,497,387
Marine Drilling Companies, Inc. (b) 43,650 1,222,200
Nabors Industries, Inc. (b) 79,500 3,304,219
Noble Drilling Corporation (b) 18,400 757,850
------------
7,781,656
Oil & Gas - Field Services 0.2%
BJ Services Company (b) 5,400 337,500
Oil & Gas - International Integrated 0.2%
Texaco, Inc. 6,100 324,825
Oil & Gas - United States Exploration & Production 5.4%
Devon Energy Corporation 60,000 3,371, 250
Ocean Energy, Inc. (b) 207,200 2,939,650
Union Pacific Resources Group, Inc. (c) 160,325 3,527,150
------------
9,838,050
Pollution Control - Services 1.1%
Waste Management, Inc. 105,300 2,000,700
Retail - Consumer Electronics 0.3%
Best Buy Company, Inc. (b) 8,700 550,275
Retail - Home Furnishings 0.7%
Rent-A-Center, Inc. (b) 52,800 1,188,000
Retail - Mail Order & Direct 0.2%
Damark International, Inc. Class A (b) 14,800 318,200
Retail - Miscellaneous/Diversified 0.3%
Blockbuster, Inc. Class A 41,000 397,187
Regis Corporation 9,400 117,500
------------
514,687
Retail/Wholesale - Building Products 0.6%
Central Garden & Pet Company (b) 121,650 1,091,048
Telecommunications - Cellular 3.4%
Microcell Telecommunications, Inc. (b) 20,100 726,113
Millicom International Cellular SA (b) 28,000 980,000
NTT DoCoMo, Inc. 11 297,915
Powertel, Inc. (b) 23,225 1,647,523
Vodafone AirTouch PLC Sponsored ADR (c) 43,100 1,785,956
VoiceStream Wireless Corporation (b) 7,000 814,078
------------
6,251,585
Telecommunications - Equipment 6.2%
American Tower Corporation Class A (b) 76,800 3,201,600
Corning, Inc. 4,500 1,214,438
Crown Castle International Corporation (b) 25,100 916,150
E-Tek Dynamics, Inc. (b) 6,800 1,793,925
Harris Corporation 31,900 1,044,725
JDS Uniphase Corporation (b) 8,900 1,066,888
Metricom, Inc. (b) 10,215 284,743
Nokia Corporation Sponsored ADR 8,000 399,500
SBA Communications Corporation (b) 28,400 1,475,025
------------
11,396,994
Telecommunications - Services 3.2%
AT&T Corporation 92,575 2,927,684
Broadwing, Inc. (b) 16,500 427,969
MediaOne Group, Inc. (b) (c) 24,100 1,598,167
Montana Power Company 14,400 508,500
WinStar Communications, Inc. (b) 9,400 318,425
------------
5,780,745
Transportation - Rail 0.7%
Burlington Northern Santa Fe Corporation 18,100 415,169
Wisconsin Central Transportation
Corporation (b) 68,400 889,200
------------
1,304,369
Utility - Telephone 1.2%
ALLTEL Corporation 11,700 724,669
Citizens Communications Company (b) (c) 84,000 1,449,000
------------
2,173,669
-----------------------------------------------------------------------------------------
Total Common Stocks (Cost $141,903,851) 154,357,196
-----------------------------------------------------------------------------------------
Warrants 0.0%
Halsey Drug Company, Inc. Expire 12/26/01
(Acquired 7/21/97; Cost $0) (b) (d) (f) 21,429 5,721
-----------------------------------------------------------------------------------------
Total Warrants (Cost $0) 5,721
-----------------------------------------------------------------------------------------
Convertible Bonds 0.1%
Halsey Drug Company, Inc.Subordinated
Debentures, 10.00%, Due 8/06/01
(Acquired 8/05/96; Cost $587,550) (d) (f) $ 600,000 164,424
-----------------------------------------------------------------------------------------
Total Convertible Bonds (Amortized Cost $596,701) 164,424
-----------------------------------------------------------------------------------------
Short-Term Investments (a) 39.6%
Commercial Paper 1.1%
Interest Bearing, Due Upon Demand
Sara Lee Corporation, 6.27% 799,800 799,800
Wisconsin Electric Power Company, 6.31% 1,288,800 1,288,800
------------
2,088,600
Repurchase Agreements 35.4%
Barclays Capital, Inc. (Dated 6/30/00), 6.50%,
Due 7/03/00 (Repurchase Proceeds $64,634,992);
Collateralized by: United States
Treasury Bonds (e) 64,600,000 64,600,000
</TABLE>
19
<PAGE>
SCHEDULES OF INVESTMENTS IN SECURITIES (continued) June 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
STRONG DISCOVERY FUND (continued)
<TABLE>
<CAPTION>
Shares or
Principal Value
Amount (Note 2)
-----------------------------------------------------------------------------------------
<S> <C> <C>
United States Government Issues 3.1%
United States Treasury Bills,
Due 7/13/00 thru 9/07/00 (c) $5,620,000 $ 5,573,565
-----------------------------------------------------------------------------------------
Total Short-Term Investments (Cost $72,261,223) 72,262,165
-----------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------
Total Investments in Securities (Cost $214,761,775) 124.2% 226,789,506
Other Assets and Liabilities, Net (24.2%) (44,172,921)
-----------------------------------------------------------------------------------------
Net Assets 100.0% $182,616,585
=========================================================================================
<CAPTION>
FUTURES
-----------------------------------------------------------------------------------------
Underlying Face Unrealized
Expiration Date Amount at Value Depreciation
-----------------------------------------------------------------------------------------
<S> <C> <C> <C>
Sold:
24 NASDAQ 100 Index 9/00 $9,160,800 $244,992
<CAPTION>
WRITTEN OPTIONS ACTIVITY
-----------------------------------------------------------------------------------------
Contracts Premiums
-----------------------------------------------------------------------------------------
<S> <C> <C>
Options outstanding at beginning of period -- $ --
Options written during the period 890 64,968
Options closed (890) (64,968)
Options expired -- --
Options exercised -- --
------ ---------
Options outstanding at end of period -- $ --
====== =========
</TABLE>
Closed options resulted in a capital loss of $4,452.
--------------------------------------------------------------------------------
STRONG MID CAP DISCIPLINED FUNDS
<TABLE>
<CAPTION>
Shares or
Principal Value
Amount (Note 2)
-----------------------------------------------------------------------------------------
<S> <C> <C>
Common Stocks 87.1%
Agricultural Operations 1.0%
Fresh Del Monte Produce, Inc. (b) 12,400 $ 85,250
Banks - Super Regional 1.6%
BB&T Corporation 5,700 136,087
Beverages - Alcoholic 1.0%
Adolph Coors Company Class B 1,500 90,750
Beverages - SoftDrinks 3.2%
Coca-Cola Enterprises, Inc. 9,500 154,969
The Pepsi Bottling Group, Inc. 4,300 125,506
------------
280,475
Chemicals - Basic 1.6%
Cambrex Corporation 3,100 139,500
Commercial - Leasing Companies 0.8%
Comdisco, Inc. 3,200 71,400
Commercial Services - Advertising 1.7%
True North Communications, Inc. 3,400 149,600
Commercial Services - Miscellaneous 0.8%
Young & Rubicam, Inc. 1,300 74,343
Commercial Services - Printing 2.0%
Valassis Communications, Inc. (b) 4,700 179,188
Commercial Services - Security/Safety 1.7%
Diebold, Inc. 5,300 147,737
Computer - Memory Devices 1.5%
Advanced Digital Information Corporation (b) 8,100 129,094
Computer - Services 4.2%
Acxiom Corporation (b) 4,000 109,000
Sungard Data Systems, Inc. (b) 4,200 130,200
Systems & Computer Technology Corporation (b) 6,600 132,000
------------
371,200
Computer Software - Enterprise 0.9%
Informix Corporation (b) 10,300 76,606
Diversified Operations 1.4%
Textron, Inc. 2,200 119,488
Electronics - Semiconductor Equipment 1.2%
Brooks Automation, Inc. (b) 1,600 102,300
Electronics - Semiconductor Manufacturing 1.7%
Integrated Device Technology, Inc. (b) 2,500 149,688
Energy - Other 1.5%
NRG Energy, Inc. (b) 7,000 127,750
Finance - Savings & Loan 1.7%
Charter One Financial,Inc. 6,400 147,200
Financial Services - Miscellaneous 3.6%
CompuCredit Corporation (b) 5,200 156,000
Providian Financial Corporation 1,800 162,000
------------
318,000
Insurance - Brokers 1.5%
Aon Corporation 4,200 130,463
Insurance - Property/Casualty/Title 5.2%
ACE, Ltd. 6,000 168,000
MGIC Investment Corporation 2,600 118,300
XL Capital, Ltd. Class A 3,100 167,788
------------
454,088
Leisure - Services 1.3%
Carnival Corporation 5,700 111,150
Media - Newspapers 1.0%
Harte-Hanks, Inc. 3,700 92,500
Media - Periodicals 1.5%
Ziff-Davis,Inc. (b) 14,800 133,200
Medical - Hospitals 2.1%
Triad Hospitals, Inc. (b) 7,600 183,825
Medical - Outpatient/Home Care 1.7%
HEALTHSOUTH Corporation (b) 20,900 150,219
Oil & Gas - Drilling 3.8%
Nabors Industries, Inc. (b) 3,800 157,938
Precision Drilling Corporation (b) 4,600 177,675
------------
335,613
Oil & Gas - Field Services 1.2%
Varco International, Inc. (b) 4,600 106,950
Oil & Gas - Production/Pipeline 1.3%
El Paso Energy Corporation 2,300 117,156
</TABLE>
20
<PAGE>
--------------------------------------------------------------------------------
STRONG MID CAP DISCIPLINED FUND (continued)
Shares or
Principal Value
Amount (Note 2)
--------------------------------------------------------------------------------
Oil & Gas - United States Exploration & Production 3.4%
Santa Fe Snyder Corporation (b) 13,300 $ 151,287
Union Pacific Resources Group, Inc. 6,800 149,600
---------
300,887
Oil & Gas - United States Integrated 1.6%
Unocal Corporation 4,200 139,125
Paper & Paper Products 1.1%
Bowater, Inc. 2,200 97,075
Pollution Control - Services 2.2%
Republic Services, Inc. (b) 12,000 192,000
Retail - Apparel/Shoe 1.3%
Nordstrom, Inc. 4,600 110,975
Retail - Department Stores 2.9%
Ames Department Stores, Inc. (b) 12,500 96,875
Family Dollar Stores, Inc. 8,100 158,456
---------
255,331
Retail - Major Discount Chains 1.2%
Dollar General Corporation 5,400 105,300
Retail - Restaurants 3.0%
Outback Steakhouse, Inc. (b) 5,300 155,025
Wendy's International, Inc. 6,100 108,656
---------
263,681
Retail/Wholesale - Building Products 1.2%
Lowe's Companies, Inc. 2,600 106,762
Retail/Wholesale - Computer/Cellular 1.8%
Ingram Micro, Inc. Class A (b) 8,800 153,450
Retail/Wholesale - Food 1.7%
SUPERVALU, Inc. 7,700 146,781
Telecommunications - Cellular 1.6%
Western Wireless Corporation Class A (b) 2,600 141,700
Telecommunications - Equipment 2.9%
Harris Corporation 3,800 124,450
Tellabs, Inc. (b) 1,900 130,031
---------
254,481
Telecommunications - Services 3.8%
CenturyTel, Inc. 4,900 140,875
ITC/DeltaCom, Inc. (b) 8,700 194,119
---------
334,994
Transportation - Air Freight 1.3%
EGL, Inc. (b) 3,700 113,775
Transportation - Truck 1.4%
CNF Transportation, Inc. 5,500 125,125
Utility - Electric Power 1.0%
Independent Energy Holdings PLC ADR (b) 10,300 85,619
-------------------------------------------------------------------------------
Total Common Stocks (Cost $7,352,978) 7,637,881
-------------------------------------------------------------------------------
Short-Term Investments (a) 12.3%
Commercial Paper 5.5%
Interest Bearing, Due Upon Demand
Sara Lee Corporation, 6.27% $ 203,200 203,200
Wisconsin Electric Power Company, 6.31% 275,300 275,300
---------
478,500
Repurchase Agreements 6.8%
ABN-AMRO Inc. (Dated 6/30/00), 6.60%,
Due 7/03/00 (Repurchase proceeds $600,330);
Collateralized by: U.S. Government
& Agency Issues (e) $ 600,000 $ 600,000
--------------------------------------------------------------------------------
Total Short-Term Investments (Cost $1,078,500) 1,078,500
--------------------------------------------------------------------------------
Total Investments in Securities (Cost $8,431,478) 99.4% $8,716,381
Other Assets and Liabilities, Net 0.6% 54,357
--------------------------------------------------------------------------------
Net Assets 100.0% $8,770,738
================================================================================
--------------------------------------------------------------------------------
STRONG MID CAP GROWTH FUND
Shares or
Principal Value
Amount (Note 2)
--------------------------------------------------------------------------------
Common Stocks 99.2%
Banks - Money Center 0.3%
The Bank of New York Company, Inc. 11,000 $ 511,500
Banks - Super Regional 2.7%
Comerica, Inc. 24,000 1,077,000
Northern Trust Company 21,500 1,398,844
State Street Corporation 15,000 1,590,938
---------
4,066,782
Computer - Memory Devices 1.0%
Network Appliance, Inc. (b) 8,400 676,200
SanDisk Corporation (b) 12,500 764,844
---------
1,441,044
Computer - Services 0.6%
Sungard Data Systems, Inc. (b) 31,000 961,000
Computer Software - Desktop 2.6%
Gemstar International Group, Ltd. (b) 47,000 2,888,297
Verity, Inc. (b) 27,500 1,045,000
---------
3,933,297
Computer Software - Enterprise 4.7%
Business Objects SA Sponsored ADR (b) 13,500 1,189,687
I2 Technologies, Inc.(b) 9,700 1,011,377
Mercury Interactive Corporation (b) 8,000 774,000
TIBCO Software, Inc. (b) 21,000 2,251,922
Veritas Software Corporation (b) 16,500 1,864,758
---------
7,091,744
Computer Software - Financial 0.5%
Intuit, Inc. (b) 17,500 724,063
Computer Software - Medical 0.5%
Cerner Corporation (b) 27,000 735,750
Computer Software - Security 0.7%
Check Point Software Technologies, Ltd. (b) 5,000 1,058,750
Electronics - Laser Systems/Components 0.9%
VISX, Inc. (b) 48,500 1,361,031
Electronics - Measuring Instruments 0.5%
Tektronix, Inc. (b) 10,500 777,000
Electronics - Scientific Instruments 1.8%
PE Corporation-PE Biosystems Group 40,300 2,654,763
21
<PAGE>
SCHEDULES OF INVESTMENTS IN SECURITIES (continued) June 30, 2000 (Unaudited)
-------------------------------------------------------------------------------
STRONG MID CAP GROWTH FUND (continued)
Shares or
Principal Value
Amount (Note 2)
--------------------------------------------------------------------------------
Electronics - Semiconductor Equipment 3.1%
Credence Systems Corporation (b) 28,000 $ 1,545,250
KLA-Tencor Corporation (b) 34,500 2,020,406
Teradyne, Inc. (b) 15,000 1,102,500
----------
4,668,156
Electronics - Semiconductor Manufacturing 13.8%
Analog Devices, Inc. (b) 25,500 1,938,000
Applied Micro Circuits Corporation (b) 35,000 3,456,250
Conexant Systems, Inc. (b) 13,500 656,438
GlobeSpan, Inc. (b) 37,000 4,516,891
Integrated Device Technology, Inc.(b) 27,000 1,616,625
LSI Logic Corporation (b) 18,000 974,250
Micron Technology, Inc. (b) 29,000 2,553,813
National Semiconductor Corporation (b) 24,000 1,362,000
PMC-Sierra, Inc. (b) 5,500 977,281
Triquint Semiconductor, Inc. (b) 21,000 2,009,437
Vitesse Semiconductor Corporation (b) 12,000 882,750
----------
20,943,735
Electronics Products - Miscellaneous 1.6%
Celestica, Inc. (b) 27,000 1,339,875
Flextronics International, Ltd. (b) 15,500 1,064,656
----------
2,404,531
Finance - Investment Brokers 7.7%
A.G. Edwards, Inc. 27,000 1,053,000
Donaldson, Lufkin & Jenrette, Inc. 15,500 657,781
The Goldman Sachs Group, Inc. 24,000 2,277,000
Legg Mason, Inc. 39,000 1,950,000
Lehman Brothers Holdings, Inc. 22,500 2,127,656
Paine Webber Group, Inc. 24,000 1,092,000
The Charles Schwab Corporation 78,000 2,622,750
----------
11,780,187
Finance - Investment Management 1.0%
Kansas City Southern Industries, Inc. (b) 18,000 1,596,375
Finance - Mortgage & Related Services 0.7%
Countrywide Credit Industries, Inc. 36,000 1,091,250
Finance - Savings & Loan 1.1%
Washington Mutual, Inc. 55,500 1,602,562
Financial Services - Miscellaneous 2.4%
Capital One Financial Corporation 47,000 2,097,375
First Data Corporation 31,000 1,538,375
----------
3,635,750
Insurance - Property/Casualty/Title 0.8%
ACE, Ltd. 45,000 1,260,000
Internet - E*Commerce 1.6%
Critical Path, Inc. (b) 21,200 1,236,225
Internet Capital Group, Inc. (b) 32,000 1,184,500
----------
2,420,725
Internet - Internet Service Provider/Content 1.8%
InfoSpace, Inc. (b) 27,000 1,491,750
USinternetworking, Inc. (b) 63,000 1,287,563
----------
2,779,313
Internet - Network Security/Solutions 4.2%
Exodus Communications, Inc. (b) 42,500 1,957,656
RSA Security, Inc. (b) 24,000 1,662,000
VeriSign, Inc. (b) 15,400 2,718,100
----------
6,337,756
Internet - Software 4.2%
Ariba, Inc. (b) 7,000 686,328
BEA Systems, Inc. (b) 37,000 1,829,188
BroadVision, Inc. (b) 20,000 1,016,250
Phone.com, Inc. (b) 10,000 651,250
Portal Software, Inc. (b) 12,000 766,500
Vignette Corporation (b) 28,100 1,461,639
---------
6,411,155
Media - Radio/TV 0.8%
Univision Communications, Inc. (b) 12,000 1,242,000
Medical - Biomedical/Genetics 1.5%
Chiron Corporation (b) 16,000 760,000
Genentech, Inc. (b) 9,200 1,582,400
---------
2,342,400
Medical - Ethical Drugs 1.0%
Elan Corporation PLC Sponsored ADR (b) 31,500 1,525,781
Medical - Health Maintenance Organizations 1.0%
UnitedHealth Group, Inc. 18,500 1,586,375
Medical - Hospitals 0.6%
Health Management Associates, Inc. Class A (b) 69,000 901,313
Medical - Outpatient/Home Care 0.6%
HEALTHSOUTH Corporation (b) 130,000 934,375
Medical - Products 1.0%
Sepracor, Inc. (b) 12,500 1,507,812
Medical - Wholesale Drugs/Sundries 1.8%
AmeriSource Health Corporation Class A (b) 34,500 1,069,500
Express Scripts, Inc. Class A (b) 14,500 900,813
McKesson HBOC, Inc. 35,000 732,812
---------
2,703,125
Oil & Gas - Drilling 5.1%
Diamond Offshore Drilling, Inc. 50,000 1,756,250
ENSCO International, Inc. 85,000 3,044,062
Noble Drilling Corporation (b) 70,000 2,883,125
---------
7,683,437
Oil & Gas - Field Services 2.3%
BJ Services Company (b) 29,900 1,868,750
Petroleum Geo-Services ASA Sponsored ADR (b) 95,000 1,620,938
---------
3,489,688
Oil & Gas - Machinery/Equipment 2.6%
Cooper Cameron Corporation (b) 25,500 1,683,000
Smith International, Inc. (b) 32,000 2,330,000
---------
4,013,000
Retail - Consumer Electronics 1.4%
Best Buy Company, Inc. (b) 34,000 2,150,500
Retail - Department Stores 0.7%
Kohl's Corporation (b) 19,000 1,056,875
Retail - Miscellaneous/Diversified 0.6%
Pier 1 Imports, Inc. 97,000 945,750
Retail/Wholesale - Computer/Cellular 1.0%
RadioShack Corporation 30,500 1,444,937
Retail/Wholesale - Jewelry 2.0%
Tiffany & Company 45,500 3,071,250
22
<PAGE>
--------------------------------------------------------------------------------
STRONG MID CAP GROWTH FUND (continued)
Shares or
Principal Value
Amount (Note 2)
----------------------------------------------------------------------------
Telecommunications - Cellular 1.9%
United States Cellular Corporation (b) 22,000 $ 1,386,000
VoiceStream Wireless Corporation (b) 13,000 1,511,859
------------
2,897,859
Telecommunications - Equipment 11.7%
American Tower Corporation Class A (b) 42,000 1,750,874
Andrew Corporation (b) 50,500 1,694,906
Comverse Technology, Inc. (b) 30,500 2,836,500
Copper Mountain Networks, Inc. (b) 16,100 1,418,813
E-Tek Dynamics, Inc. (b) 15,000 3,957,187
Netro Corporation (b) 17,000 975,375
Scientific-Atlanta, Inc. 23,000 1,713,500
Sycamore Networks, Inc. (b) 8,000 883,000
Tekelec (b) 29,000 1,397,438
Terayon Communication Systems, Inc. (b) 19,000 1,220,453
------------
17,848,046
Telecommunications - Services 0.8%
NEXTLINK Communications, Inc. Class A (b) 34,000 1,289,875
-------------------------------------------------------------------------
Total Common Stocks (Cost $127,685,798) 150,882,617
-------------------------------------------------------------------------
Short-Term Investments (a) 2.6%
Commercial Paper 1.0%
Interest Bearing, Due Upon Demand
Sara Lee Corporation, 6.27% $ 1,276,700 1,276,700
Wisconsin Electric Power Company, 6.31% 313,700 313,700
------------
1,590,400
Repurchase Agreements 0.5%
ABN-AMRO Inc. (Dated 6/30/00), 6.60%,
Due 7/03/00 (Repurchase proceeds $700,385);
Collateralized by: U.S. Government
& Agency Issues (e) 700,000 700,000
United States Government Issues 1.1%
United States Treasury Bills,
Due 7/20/00 thru 9/14/00 1,720,000 1,707,016
-------------------------------------------------------------------------
Total Short-Term Investments (Cost $3,997,139) 3,997,416
-------------------------------------------------------------------------
-------------------------------------------------------------------------
Total Investments in Securities (Cost $131,682,937) 101.8% 154,880,033
Other Assets and Liabilities, Net (1.8%) (2,782,408)
-------------------------------------------------------------------------
Net Assets 100.0% $152,097,625
=========================================================================
WRITTEN OPTIONS ACTIVITY
---------------------------------------------------------------------------
Contracts Premiums
---------------------------------------------------------------------------
Options outstanding at beginning of period 838 $ 2,418,821
Options written during the period 2,041 4,402,021
Options closed (2,839) (6,692,966)
Options expired (40) (127,876)
Options exercised -- --
----------- ------------
Options outstanding at end of period -- $ --
=========== ============
Closed and expired options resulted in a capital loss of $1,288,838.
---------------------------------------------------------------------------
STRONG STRATEGIC GROWTH FUND
Shares or
Principal Value
Amount (Note 2)
-----------------------------------------------------------------------
Common Stocks 90.4%
Aerospace - Defense 1.7%
United Technologies Corporation 1,700 $100,087
Bank - Money Center 4.8%
The Bank of New York Company, Inc. 2,700 125,550
Citigroup, Inc. 2,500 150,625
--------
276,175
Beverages - Alcoholic 2.1%
Anheuser-Busch Companies, Inc. 1,600 119,500
Commercial Services - Miscellaneous 1.9%
MedQuist, Inc. (b) 2,100 107,100
Computer - Local Networks 3.3%
Cisco Systems, Inc. (b) 3,000 190,687
Computer - Manufacturers 3.4%
International Business Machines Corporation 1,100 120,519
Sun Microsystems, Inc. (b) 800 72,750
--------
193,269
Computer - Peripheral Equipment 1.5%
Lexmark International Group, Inc. Class A (b) 450 30,262
Zebra Technologies Corporation (b) 1,300 57,606
--------
87,868
Computer - Services 2.0%
Automatic Data Processing, Inc. 2,200 117,837
Computer Software - Desktop 3.9%
Microsoft Corporation (b) 2,300 184,000
Symantec Corporation (b) 800 43,150
--------
227,150
Computer Software - Enterprise 1.9%
SERENA Software, Inc. (b) 2,400 108,975
Electrical - Equipment 4.9%
Emerson Electric Company 1,900 114,713
General Electric Company 3,150 166,950
--------
281,663
Electronics - Semiconductor Manufacturing 6.6%
Integrated Device Technology, Inc. (b) 1,200 71,850
Intel Corporation 1,375 183,820
Linear Technology Corporation 900 57,544
Texas Instruments, Inc. 1,000 68,688
--------
381,902
Financial Services - Miscellaneous 2.9%
American Express Company 1,800 93,825
Concord EFS, Inc. (b) 2,700 70,200
--------
164,025
Insurance - Diversified 0.8%
AXA Financial, Inc. 1,400 47,600
Insurance - Property/Casualty/Title 2.2%
American International Group, Inc. 1,075 126,313
Internet- Network Security/Solutions 0.6%
Netopia, Inc. (b) 800 32,200
Media - Cable TV 1.3%
Time Warner, Inc. 1,000 76,000
Medical - Drug/Diversified 1.4%
Johnson & Johnson 800 81,500
23
<PAGE>
SCHEDULES OF INVESTMENTS IN SECURITIES (continued) June 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
STRONG STRATEGIC GROWTH FUND (continued)
Shares or
Principal Value
Amount (Note 2)
-----------------------------------------------------------------------------
Medical - Ethical Drugs 5.7%
Elan Corporation PLC Sponsored ADR (b) 1,400 $ 67,812
Merck & Company, Inc. 1,300 99,613
Pfizer, Inc. 3,300 158,400
-----------
325,825
Medical - Products 2.1%
Baxter International, Inc. 1,725 121,289
Medical - Wholesale Drugs/Sundries 2.2%
Cardinal Health, Inc. 1,700 125,800
Metal Ores - Non Ferrous 1.0%
Alcoa, Inc. 2,000 58,000
Oil & Gas - International Integrated 5.6%
Exxon Mobil Corporation 2,075 162,887
Royal Dutch Petroleum Company 2,600 160,063
-----------
322,950
Paper & Paper Products 1.2%
International Paper Company 2,400 71,550
Retail - Drug Stores 2.2%
CVS Corporation 3,100 124,000
Retail - Major Discount Chains 3.0%
Target Corporation 1,300 75,400
Wal-Mart Stores, Inc. 1,700 97,963
-----------
173,363
Retail - Super/Mini Markets 2.6%
Safeway, Inc. (b) 3,300 148,913
Retail/Wholesale - Building Products 1.5%
The Home Depot, Inc. 1,450 72,409
Lowe's Companies, Inc. 300 12,319
-----------
84,728
Telecommunications - Equipment 6.8%
AudioCodes, Ltd. (b) 350 42,000
Ericsson (LM) Telephone Company ADR Class B 4,400 88,000
Nortel Networks Corporation 1,900 129,675
Redback Networks, Inc. (b) 500 89,000
Tut Systems, Inc. (b) 750 43,031
-----------
391,706
Telecommunications - Services 8.4%
AT&T Corporation 1,900 60,087
Bell Atlantic Corporation (b) 2,300 116,869
MediaOne Group, Inc. (b) 1,500 99,471
WorldCom, Inc. (b) 4,450 204,144
-----------
480,571
Transportation Services 0.9%
C.H. Robinson Worldwide, Inc. 1,000 49,500
--------------------------------------------------------------------------
Total Common Stocks (Cost $4,572,276) 5,198,046
--------------------------------------------------------------------------
Short-Term Investments (a) 10.4%
Commercial Paper
Interest Bearing, Due Upon Demand
Sara Lee Corporation, 6.27% $ 229,080 229,080
Wisconsin Electric Power Company, 6.31% 366,300 366,300
--------------------------------------------------------------------------
Total Short-Term Investments (Cost $595,380) 595,380
--------------------------------------------------------------------------
--------------------------------------------------------------------------
Total Investments in Securities (Cost $5,167,656) 100.8% 5,793,426
Other Assets and Liabilities, Net (0.8%) (46,155)
--------------------------------------------------------------------------
Net Assets 100.0% $ 5,747,271
==========================================================================
-------------------------------------------------------------------------------
STRONG GROWTH FUND
Shares or
Principal Value
Amount (Note 2)
-------------------------------------------------------------------------------
Common Stocks 93.1%
Banks - Money Center 1.4%
Citigroup, Inc. 900,000 $ 54,225,000
Banks - Super Regional 1.0%
Northern Trust Company 400,000 26,025,000
State Street Corporation 100,000 10,606,250
------------
36,631,250
Beverages - Soft Drinks 0.3%
The Pepsi Bottling Group, Inc. 410,000 11,966,875
Commercial Services - Miscellaneous 1.1%
Paychex, Inc. 1,025,000 43,050,000
Commercial Services - Schools 0.4%
Apollo Group, Inc. Class A (b) 500,000 14,000,000
Commercial Services - Staffing 1.2%
Robert Half International, Inc. (b) 1,600,000 45,600,000
Computer - Local Networks 5.9%
Brocade Communications Systems, Inc. (b) 200,000 36,696,875
Cisco Systems, Inc. (b) 3,000,000 190,687,500
------------
227,384,375
Computer - Manufacturers 0.7%
Sun Microsystems, Inc. (b) 300,000 27,281,250
Computer - Services 1.0%
Fiserv, Inc. (b) 900,700 38,955,275
Computer Software - Desktop 0.4%
Macromedia, Inc. (b) 150,000 14,503,125
Computer Software - Enterprise 5.8%
Oracle Systems Corporation (b) 800,000 67,250,000
Siebel Systems, Inc. (b) 317,400 51,914,737
TIBCO Software, Inc. (b) 253,900 27,226,808
Veritas Software Corporation (b) 675,000 76,285,547
------------
222,677,092
Computer Software - Security 1.1%
Check Point Software Technologies, Ltd. (b) 200,000 42,350,000
Electronics - Scientific Instruments 0.9%
PE Corporation-PE Biosystems Group 500,000 32,937,500
Electronics - Semiconductor Equipment 0.4%
Applied Materials, Inc. (b) 150,000 13,593,750
Electronics - Semiconductor Manufacturing 10.7%
Altera Corporation (b) 275,000 28,032,812
Applied Micro Circuits Corporation (b) 550,000 54,312,500
Integrated Device Technology, Inc. (b) 450,000 26,943,750
Micron Technology, Inc. (b) 200,000 17,612,500
National Semiconductor Corporation (b) 300,000 17,025,000
PMC-Sierra, Inc. (b) 400,000 71,075,000
SDL, Inc. (b) 500,000 142,593,750
Vitesse Semiconductor Corporation (b) 175,000 12,873,438
Xilinx, Inc. (b) 500,000 41,281,250
------------
411,750,000
Electronics Products - Miscellaneous 0.6%
Celestica, Inc. (b) 250,000 12,406,250
Flextronics International, Ltd. (b) 150,000 10,303,125
------------
22,709,375
24
<PAGE>
--------------------------------------------------------------------------------
STRONG GROWTH FUND (continued)
Shares or
Principal Value
Amount (Note 2)
--------------------------------------------------------------------------------
Finance - Investment Brokers 1.4%
Legg Mason, Inc. 250,000 $ 12,500,000
Morgan Stanley, Dean Witter & Company 275,000 22,893,750
Paine Webber Group, Inc. 400,000 18,200,000
---------------
53,593,750
Finance - Investment Management 0.4%
Federated Investors, Inc. Class B 200,000 7,012,500
Waddell & Reed Financial, Inc. Class A 250,000 8,203,125
---------------
15,215,625
Finance - Savings & Loan 0.3%
Golden West Financial Corporation 250,000 10,203,125
Financial Services - Miscellaneous 0.3%
Concord EFS, Inc. (b) 500,000 13,000,000
Internet - Network Security/Solutions 6.3%
Exodus Communications, Inc. (b) 200,000 9,212,500
Juniper Networks, Inc. (b) 1,300,000 189,231,250
VeriSign, Inc. (b) 255,000 45,007,500
---------------
243,451,250
Internet - Software 1.6%
BroadVision, Inc. (b) 600,000 30,487,500
Portal Software, Inc. (b) 225,000 14,371,875
Vignette Corporation (b) 350,000 18,205,469
---------------
63,064,844
Leisure - Hotels & Motels 0.6%
Starwood Hotels & Resorts Worldwide, Inc. 739,000 24,063,688
Media - Radio/TV 0.9%
Univision Communications, Inc. (b) 350,000 36,225,000
Medical - Biomedical/Genetics 4.5%
Amgen, Inc. (b) 500,000 35,125,000
Celgene Corporation (b) 200,000 11,775,000
Genentech, Inc. (b) 140,000 24,080,000
Human Genome Sciences, Inc. (b) 284,800 37,985,200
Immunex Corporation (b) 100,000 4,943,750
Medimmune, Inc. (b) 275,000 20,350,000
Millennium Pharmaceuticals, Inc. (b) 350,000 39,156,250
---------------
173,415,200
Medical - Ethical Drugs 5.3%
Alza Corporation (b) 600,000 35,475,000
Forest Laboratories, Inc. (b) 350,000 35,350,000
Pfizer, Inc. 2,775,000 133,200,000
---------------
204,025,000
Medical - Generic Drugs 1.6%
Ivax Corporation (b) 300,000 12,450,000
Teva Pharmaceutical Industries, Ltd. ADR 350,000 19,403,125
Watson Pharmaceuticals, Inc. (b) 550,000 29,562,500
---------------
61,415,625
Medical - Health Maintenance Organizations 0.9%
UnitedHealth Group, Inc. 400,000 34,300,000
Medical - Instruments 0.8%
Stryker Corporation 750,000 32,812,500
Medical - Products 1.5%
Allergan, Inc. 375,000 27,937,500
Sepracor, Inc. (b) 250,000 30,156,250
---------------
58,093,750
Medical - Wholesale Drugs/Sundries 1.2%
Cardinal Health, Inc. 600,000 44,400,000
Medical/Dental - Supplies 0.1%
Advanced Neuromodulation Systems, Inc. (b) 300,000 5,025,000
Oil & Gas - Drilling 2.1%
ENSCO International, Inc. 1,000,000 35,812,500
Nabors Industries, Inc. (b) 400,000 16,625,000
Noble Drilling Corporation (b) 250,000 10,296,875
R&B Falcon Corporation (b) 850,000 20,028,125
---------------
82,762,500
Oil & Gas - Field Services 1.6%
BJ Services Company (b) 450,000 28,125,000
Tidewater, Inc. 900,000 32,400,000
---------------
60,525,000
Oil & Gas - Machinery/Equipment 0.4%
Smith International, Inc. (b) 200,000 14,562,500
Oil & Gas - Production/Pipeline 2.7%
Coastal Corporation 750,000 45,656,250
Dynegy, Inc. 400,000 27,325,000
Enron Corporation 500,000 32,250,000
---------------
105,231,250
Oil & Gas - United States Exploration &
Production 2.7%
Anadarko Petroleum Corporation 750,000 36,984,375
Apache Corporation 650,000 38,228,125
Devon Energy Corporation 200,000 11,237,500
Noble Affiliates, Inc. 450,000 16,762,500
---------------
103,212,500
Oil & Gas - United States Integrated 0.1%
Phillips Petroleum Company 100,000 5,068,750
Retail - Consumer Electronics 0.3%
Best Buy Company, Inc. (b) 200,000 12,650,000
Retail - Department Stores 3.7%
Kohl's Corporation (b) 2,550,000 141,843,750
Retail - Discount & Variety 0.6%
Dollar Tree Stores, Inc. (b) 600,000 23,737,500
Retail - Drug Stores 0.8%
Walgreen Company 920,000 29,612,500
Retail/Wholesale - Building Products 1.0%
The Home Depot, Inc. 800,000 39,950,000
Retail/Wholesale - Computer/Cellular 0.4%
CDW Computer Centers, Inc. (b) 250,000 15,625,000
Telecommunications - Cellular 1.4%
Sprint Corporation - PCS Group (b) 600,000 35,700,000
VoiceStream Wireless Corporation (b) 150,000 17,444,531
---------------
53,144,531
Telecommunications - Equipment 14.7%
ADC Telecommunications, Inc. (b) 600,000 50,325,000
Andrew Corporation (b) 500,000 16,781,250
Comverse Technology, Inc. (b) 387,900 36,074,700
Corning, Inc. 300,000 80,962,500
Digital Microwave Corporation (b) 209,000 7,968,125
E-Tek Dynamics, Inc. (b) 350,000 92,334,375
JDS Uniphase Corporation (b) 1,025,000 122,871,875
Nokia Corporation Sponsored ADR 1,000,000 49,937,500
Nortel Networks Corporation 500,000 34,125,000
Redback Networks, Inc. (b) 350,000 62,300,000
Scientific-Atlanta, Inc. 200,000 14,900,000
-------------
568,580,325
--------------------------------------------------------------------------------
Total Common Stocks (Cost $2,227,889,812) 3,588,425,330
--------------------------------------------------------------------------------
25
<PAGE>
SCHEDULES OF INVESTMENTS IN SECURITIES (continued) June 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
STRONG GROWTH FUND (continued)
Shares or
Principal Value
Amount (Note 2)
-------------------------------------------------------------------------------
Short-Term Investments (a) 5.4%
Commercial Paper 0.1%
Interest Bearing, Due Upon Demand
Sara Lee Corporation, 6.27% $ 3,194,100 $ 3,194,100
Wisconsin Electric Power Company, 6.31% 332,100 332,100
--------------
3,526,200
Money Market Funds 0.9%
Strong Heritage Money Market Fund (f) 35,000,000 35,000,000
Repurchase Agreements 4.2%
ABN-AMRO Inc. (Dated 6/30/00), 6.60%,
Due 7/03/00 (Repurchase proceeds $164,090,200);
Collateralized by: U.S. Government
& Agency Issues (e) 164,000,000 164,000,000
United States Government Issues 0.2%
United States Treasury Bills, Due 8/17/00 700,000 695,108
United States Treasury Bills, Due 8/24/00 6,300,000 6,249,770
--------------
6,944,878
-------------------------------------------------------------------------------
Total Short-Term Investments (Cost $209,469,356) 209,471,078
-------------------------------------------------------------------------------
-------------------------------------------------------------------------------
Total Investments in Securities (Cost $2,437,359,168) 98.5% 3,797,896,408
Other Assets and Liabilities, Net 1.5% 57,609,984
-------------------------------------------------------------------------------
Net Assets 100.0% $3,855,506,392
===============================================================================
WRITTEN OPTIONS ACTIVITY
-------------------------------------------------------------------------------
Contracts Premiums
-------------------------------------------------------------------------------
Options outstanding at beginning of period -- $ --
Options written during the period 36,485 63,963,113
Options closed (34,235) (60,094,693)
Options expired (700) (1,247,621)
Options exercised -- --
------------ --------------
Options outstanding at end of period 1,550 $ 2,620,799
============ ==============
Closed and expired options resulted in a capital loss of $22,440,549.
WRITTEN OPTIONS DETAIL
-------------------------------------------------------------------------------
Contracts
(100 shares Value
per contract) (Note 2)
-------------------------------------------------------------------------------
Applied Micro Circuits Corporation
Calls: (Strike Price is $90. Expiration date is 7/21/00.
Premium received is $1,634,445.) 1000 ($ 1,510,081)
Calls: (Strike Price is $90. Expiration date is 8/18/00.
Premium received is $986,354.) 550 (830,544)
------------ --------------
1,550 ($ 2,340,625)
============ ==============
--------------------------------------------------------------------------------
STRONG OPPORTUNITY FUND
Shares or
Principal Value
Amount (Note 2)
-------------------------------------------------------------------------------
Common Stocks 85.3%
Aerospace - Defense 0.8%
Raytheon Company Class B 1,260,000 $ 24,255,000
Banks - Foreign 0.1%
The Bank of Tokyo - Mitsubishi 185,000 2,236,341
Banks - Money Center 1.0%
Bank of America Corporation 700,000 30,100,000
Banks - Super Regional 2.2%
Mellon Financial Corporation 850,000 30,971,875
Wells Fargo Company 880,000 34,100,000
------------
65,071,875
Beverages - Alcoholic 0.8%
Diageo PLC 2,610,764 23,478,196
Beverages - Soft Drinks 2.3%
The Pepsi Bottling Group, Inc. 1,225,000 35,754,688
Whitman Corporation 2,600,000 32,175,000
------------
67,929,688
Building - Construction Products/Miscellaneous 1.1%
Masco Corporation 1,830,000 33,054,375
Building Products - Wood 0.9%
Weyerhaeuser Company 610,000 26,230,000
Chemicals - Specialty 2.7%
Air Products & Chemicals, Inc. 1,030,000 31,736,875
Praxair, Inc. 670,000 25,083,125
Solutia, Inc. 1,710,000 23,512,500
------------
80,332,500
Computer - Manufacturers 2.3%
Compaq Computer Corporation 1,325,000 33,870,312
NCR Corporation (b) 880,000 34,265,000
------------
68,135,312
Computer - Memory Devices 1.1%
Seagate Technology, Inc. (b) 566,000 31,130,000
Computer - Peripheral Equipment 1.7%
American Power Conversion Corporation (b) 1,228,000 50,117,750
Computer Software - Enterprise 2.5%
Keane, Inc. (b) 1,415,000 30,599,375
Oracle Systems Corporation (b) 515,000 43,292,187
------------
73,891,562
Diversified Operations 0.4%
Invensys PLC 2,259,000 8,495,918
Itochu Corporation (b) 720,000 3,634,991
------------
12,130,909
Electrical - Control Instruments 0.4%
Parker-Hannifin Corporation 357,000 12,227,250
Electrical - Equipment 1.0%
W.W. Grainger, Inc. 790,000 24,341,875
Hitachi, Ltd. 360,000 5,197,697
------------
29,539,572
Electronics - Military Systems 1.1%
General Motors Corporation Class H (b) 366,000 32,116,500
Electronics - Parts Distributors 1.1%
Avnet, Inc. 560,000 33,180,000
Electronics - Semiconductor Manufacturing 3.3%
Micron Technology, Inc. (b) 700,000 61,643,750
National Semiconductor Corporation (b) 46,000 2,610,500
Texas Instruments, Inc. 500,000 34,343,750
------------
98,598,000
Electronics Products - Miscellaneous 1.0%
AVX Corporation 1,243,600 28,525,075
26
<PAGE>
--------------------------------------------------------------------------------
STRONG OPPORTUNITY FUND (continued)
<TABLE>
<CAPTION>
Shares or
Principal Value
Amount (Note 2)
--------------------------------------------------------------------------------------------------------------
<S> <C> <C>
Finance - Equity REIT 1.1%
ProLogis Trust 1,500,000 $ 31,968,750
Financial Services - Miscellaneous 1.5%
John Hancock Financial Services, Inc. (b) 1,860,000 44,058,750
Household - Housewares 1.2%
Newell Rubbermaid, Inc. 1,390,000 35,792,500
Household - Office Furniture 0.7%
Leggett & Platt, Inc. 1,303,900 21,514,350
Insurance - Property/Casualty/Title 3.8%
ACE, Ltd. 1,305,000 36,540,000
The Allstate Corporation 1,430,000 31,817,500
American International Group, Inc. 381,250 44,796,875
------------
113,154,375
Internet- Internet Service Provider/Content 1.9%
CNET Networks, Inc. (b) 800,000 19,650,000
go.com (b) 1,900,000 22,681,250
Lycos, Inc. (b) 250,000 13,500,000
------------
55,831,250
Internet- Network Security/Solutions 1.0%
Network Associates, Inc. (b) 1,505,000 30,664,375
Internet- Software 0.9%
Genuity,Inc. (b) 2,895,000 26,507,344
Leisure - Services 1.1%
The Walt Disney Company 534,100 20,729,756
Gaylord Entertainment Company (b) 576,200 12,388,300
------------
33,118,056
Media - Cable TV 3.9%
AT&T Corporation - Liberty Media
Group Class A (b) 1,540,000 37,345,000
Comcast Corporation Class A (b) 1,060,000 42,930,000
Cox Communications, Inc. Class A (b) 747,100 34,039,744
------------
114,314,744
Media - Newspapers 1.2%
The E.W. Scripps Company Class A 750,000 36,937,500
Medical - Ethical Drugs 1.2%
Alza Corporation (b) 615,000 36,361,875
Medical - Generic Drugs 1.2%
Watson Pharmaceuticals, Inc. (b) 680,000 36,550,000
Medical - Health Maintenance Organizations 2.7%
CIGNA Corporation 462,500 43,243,750
UnitedHealth Group, Inc 440,000 37,730,000
------------
80,973,750
Medical - Hospitals 1.2%
HCA-The Healthcare Company 1,170,000 35,538,750
Medical - Outpatient/Home Care 0.9%
HEALTHSOUTH Corporation (b) 3,875,000 27,851,562
Medical/Dental - Supplies 1.0%
Sybron International Corporation (b) 1,505,000 29,817,813
Metal Products - Fasteners 1.3%
Illinois Tool Works, Inc. 650,000 37,050,000
Office - Equipment & Automation 0.2%
Canon, Inc. 106,000 5,281,495
Oil & Gas - Field Services 1.4%
Halliburton Company 890,000 41,996,875
Oil & Gas - Machinery/Equipment 2.7%
Cooper Cameron Corporation (b) 620,000 40,920,000
Weatherford International, Inc. (b) 985,000 39,215,313
-----------
80,135,313
Oil & Gas - Production/Pipeline 1.4%
Enron Corporation 645,000 41,602,500
Oil & Gas - United States Exploration & Production 3.9%
Apache Corporation 800,000 47,050,000
Barrett Resources Corporation (b) 820,000 24,958,750
Devon Energy Corporation 773,000 43,432,937
-----------
115,441,687
Oil & Gas - United States Integrated 1.3%
Unocal Corporation 1,165,000 38,590,625
Paper & Paper Products 0.9%
The Mead Corporation 1,075,000 27,143,750
Retail - Apparel/Shoe 1.3%
Nordstrom, Inc. 1,654,900 39,924,462
Retail - Department Stores 1.2%
Federated Department Stores, Inc. (b) 1,045,000 35,268,750
Retail - Major Discount Chains 2.7%
Costco Wholesale Corporation (b) 1,100,000 36,300,000
Kmart Corporation (b) 2,250,000 15,328,125
Toys `R' Us, Inc. (b) 1,950,000 28,396,875
-----------
80,025,000
Retail - Super/Mini Markets 1.4%
Albertson's, Inc. 1,240,000 41,230,000
Retail/Wholesale - Building Products 1.0%
Lowe's Companies, Inc. 730,000 29,975,625
Telecommunications - Cellular 3.3%
United States Cellular Corporation (b) 530,200 33,402,600
Vodafone AirTouch PLC Sponsored ADR 655,000 27,141,563
VoiceStream Wireless Corporation (b) 327,700 38,110,486
-----------
98,654,649
Telecommunications - Equipment 3.7%
Corning, Inc. 292,500 78,938,438
Tellabs, Inc. (b) 435,000 29,770,312
-----------
108,708,750
Telecommunications - Services 2.1%
AT&T Corporation 225,000 7,115,625
Global TeleSystems, Inc. (b) 1,695,000 20,445,938
Infonet Services Corporation (b) 63,800 761,612
MediaOne Group, Inc. (b) 490,000 32,493,860
-----------
60,817,035
Transportation - Airline 0.1%
Air New Zealand, Ltd. Class B 3,180,000 3,236,381
Utility - Electric Power 1.1%
NiSource, Inc. 1,720,000 32,035,000
-----------------------------------------------------------------------------------------------------------
Total Common Stocks (Cost $1,880,306,038) 2,530,353,546
-----------------------------------------------------------------------------------------------------------
</TABLE>
27
<PAGE>
SCHEDULES OF INVESTMENTS IN SECURITIES (continued) June 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
STRONG OPPORTUNITY FUND (continued)
<TABLE>
<CAPTION>
Shares or
Principal Value
Amount (Note 2)
-----------------------------------------------------------------------------------------------------------
<S> <C> <C>
Short-Term Investments (a) 14.4%
Commercial Paper 0.2%
Interest Bearing, Due Upon Demand
Sara Lee Corporation, 6.27% $ 2,527,400 $ 2,527,400
Wisconsin Electric Power Company, 6.31% 2,898,650 2,898,650
---------------
5,426,050
Money Market Funds 1.0%
Strong Heritage Money Market Fund (f) 30,000,000 30,000,000
Repurchase Agreements 13.2%
ABN-AMRO Inc. (Dated 6/30/00), 6.60%,
Due 7/03/00 (Repurchase proceeds $390,514,665);
Collateralized by: U.S. Government
& Agency Issues (e) 390,300,000 390,300,000
-----------------------------------------------------------------------------------------------------------
Total Short-Term Investments (Cost $425,726,050) 425,726,050
-----------------------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------------------------
Total Investments in Securities (Cost $2,306,032,088) 99.7% 2,956,079,596
Other Assets and Liabilities, Net 0.3% 9,418,403
-----------------------------------------------------------------------------------------------------------
Net Assets 100.0% $2,965,497,999
===========================================================================================================
<CAPTION>
WRITTEN OPTIONS ACTIVITY
-----------------------------------------------------------------------------------------------------------
Contracts Premiums
-----------------------------------------------------------------------------------------------------------
<S> <C> <C>
Options outstanding at beginning of period 380 $528,293
Options written during the period -- --
Options closed -- --
Options expired (380) (528,293)
Options exercised -- --
---- --------
Options outstanding at end of period -- $ --
==== ========
</TABLE>
Expired options resulted in a capital gain of $528,293.
LEGEND
--------------------------------------------------------------------------------
(a) Short-term investments include any security which has a maturity of less
than one year.
(b) Non-income producing security.
(c) All or a portion of security pledged to cover margin requirements for
futures contracts.
(d) Restricted security.
(e) See Note 2(I) of Notes to Financial Statements.
(f) Affiliated issuer. (See Note 8 of Notes to Financial Statements.)
Percentages are stated as a percent of net assets.
28 See Notes to Financial Statements.
<PAGE>
STATEMENTS OF ASSETS AND LIABILITIES
--------------------------------------------------------------------------------
June 30, 2000 (Unaudited)
<TABLE>
<CAPTION>
(In Thousands,Except Per Share Amounts)
Strong Common Strong Discovery Strong Mid Cap Strong Mid Cap Strong Strategic
Stock Fund Fund Disciplined Fund Growth Fund Growth Fund
------------- ---------------- ---------------- -------------- ----------------
<S> <C> <C> <C> <C> <C>
Assets:
Investments in Securities, at Value
(Including Repurchase Agreements of
$109,700, $64,600, $600, $700 and $0,
respectively)
Unaffiliated Issuers (Cost of $1,405,637,
$213,057, $8,431, $131,683 and $5,168,
respectively) $1,719,106 $ 225,507 $ 8,716 $ 154,880 $ 5,793
Affiliated Issuers (Cost of $15,000, $1,705,
$0, $0 and $0, respectively) 15,000 1,283 -- -- --
Receivable for Securities Sold 6,852 5,277 284 5,759 --
Receivable for Fund Shares Sold 476 22 3 164 --
Dividends and Interest Receivable 1,135 111 7 57 4
Other Assets 19 -- 10 24 22
--------- --------- -------- ---------- --------
Total Assets 1,742,588 232,200 9,020 160,884 5,819
Liabilities:
Payable for Securities Purchased 4,989 49,298 242 8,709 70
Payable for Fund Shares Redeemed 106 21 -- 15 --
Accrued Operating Expenses and
Other Liabilities 198 264 7 62 2
---------- --------- -------- ---------- --------
Total Liabilities 5,293 49,583 249 8,786 72
---------- --------- -------- ---------- --------
Net Assets $1,737,295 $ 182,617 $ 8,771 $ 152,098 $ 5,747
========== ========= ======== ========= ========
Net Assets Consist of:
Capital Stock (par value and paid-in capital) $1,195,541 $ 146,491 $ 7,271 $ 124,069 $ 4,909
Accumulated Net Investment Income (Loss) 687 128 (21) (514) (22)
Undistributed Net Realized Gain 227,094 24,215 1,236 5,346 234
Net Unrealized Appreciation 313,973 11,783 285 23,197 626
---------- --------- -------- ---------- --------
Net Assets $1,737,295 $ 182,617 $ 8,771 $ 152,098 $ 5,747
========== ========= ======== ========= ========
Capital Shares Outstanding
(Unlimited Number Authorized) 68,605 8,791 588 5,947 438
Net Asset Value Per Share $ 25.32 $ 20.77 $ 14.92 $ 25.58 $ 13.12
========== ========= ======== ========= ========
</TABLE>
See Notes to Financial Statements. 29
<PAGE>
STATEMENTS OF ASSETS AND LIABILITIES (continued)
--------------------------------------------------------------------------------
June 30, 2000 (Unaudited)
<TABLE>
<CAPTION>
(In Thousands, Except As Noted)
Strong
Growth Fund
-----------
<S> <C>
Assets:
Investments in Securities, at Value
Unaffiliated Issuers (Cost of $2,402,359) $ 3,762,896
Affiliated Issuers (Cost of $35,000) 35,000
Receivable for Securities Sold 102,510
Receivable for Fund Shares Sold 1,127
Dividends and Interest Receivable 283
Other Assets 125
---------------
Total Assets 3,901,941
Liabilities:
Payable for Securities Purchased 42,242
Written Options, at Value (Premiums Received of $2,621) 2,341
Payable for Fund Shares Redeemed 1,331
Accrued Operating Expenses and Other Liabilities 521
---------------
Total Liabilities 46,435
---------------
Net Assets $ 3,855,506
===============
Net Assets Consist of:
Capital Stock (par value and paid-in capital) $ 1,952,836
Accumulated Net Investment Loss (10,977)
Undistributed Net Realized Gain 552,830
Net Unrealized Appreciation 1,360,817
---------------
Net Assets $ 3,855,506
===============
Investor Class ($ and shares in full)
Net Assets $ 3,852,573,095
Capital Shares Outstanding (Unlimited Number Authorized) 99,643,253
Net Asset Value Per Share $ 38.66
===============
Institutional Class ($ and shares in full)
Net Assets $ 2,895,971
Capital Shares Outstanding (Unlimited Number Authorized) 74,792
Net Asset Value Per Share $ 38.72
===============
Advisor Class ($ and shares in full)
Net Assets $ 37,326
Capital Shares Outstanding (Unlimited Number Authorized) 966
Net Asset Value Per Share $ 38.63
===============
</TABLE>
30 See Notes to Financial Statements.
<PAGE>
STATEMENTS OF ASSETS AND LIABILITIES (continued)
--------------------------------------------------------------------------------
June 30, 2000 (Unaudited)
(In Thousands, Except As Noted)
Strong
Opportunity
Fund
------------
Assets:
Investments in Securities, at Value
(Including Repurchase Agreements of $390,300)
Unaffiliated Issuers (Cost of $2,276,032) $ 2,926,080
Affiliated Issuers (Cost of $30,000) 30,000
Receivable for Securities Sold 19,290
Receivable for Fund Shares Sold 7,065
Dividends and Interest Receivable 1,574
--------------
Total Assets 2,984,009
Liabilities:
Payable for Securities Purchased 17,426
Payable for Fund Shares Redeemed 603
Accrued Operating Expenses and Other Liabilities 482
--------------
Total Liabilities 18,511
--------------
Net Assets $ 2,965,498
==============
Net Assets Consist of:
Capital Stock (par value and paid-in capital) $ 2,029,423
Undistributed Net Investment Income 2,430
Undistributed Net Realized Gain 283,595
Net Unrealized Appreciation 650,050
--------------
Net Assets $ 2,965,498
==============
Investor Class ($ and shares in full)
Net Assets $2,965,408,294
Capital Shares Outstanding (Unlimited
Number Authorized) 63,093,348
Net Asset Value Per Share $ 47.00
==============
Advisor Class ($ and shares in full)
Net Assets $ 89,705
Capital Shares Outstanding (Unlimited
Number Authorized) 1,911
Net Asset Value Per Share $ 46.95
==============
See Notes to Financial Statements. 31
<PAGE>
STATEMENTS OF OPERATIONS
--------------------------------------------------------------------------------
For the Six Months Ended June 30, 2000 (Unaudited)
<TABLE>
<CAPTION>
(In Thousands)
Strong Strong Strong Strong
Common Strong Mid Cap Mid Cap Strategic
Stock Discovery Disciplined Growth Growth
Fund Fund Fund Fund Fund
------ --------- ----------- ------- --------
<S> <C> <C> <C> <C> <C>
Income:
Dividends (net of foreign withholding taxes
of $46, $2, $0, $0 and $1, respectively) $ 6,256 $ 151 $ 28 $ 92 $ 17
Interest - Unaffiliated Issuers 4,604 1,468 22 190 12
Interest - Affiliated Issuers 15 -- -- -- --
--------- ---------- ------ -------- -------
Total Income 10,875 1,619 50 282 29
Expenses:
Investment Advisory Fees 7,158 737 29 464 21
Administrative Fees 1,562 160 7 116 5
Custodian Fees 52 48 7 14 1
Shareholder Servicing Costs 1,108 266 10 125 12
Reports to Shareholders 253 68 4 31 2
Federal and State Registration Fees 15 12 10 32 13
Other 62 26 4 14 3
--------- ---------- ------ -------- -------
Total Expenses before Waivers, Absorptions
and Fees Paid Indirectly by Advisor 10,210 1,317 71 796 57
Involuntary Expense Waivers and
Absorptions by Advisor -- -- -- -- (6)
Fees Paid Indirectly by Advisor (22) (8) -- -- --
--------- ---------- ------ -------- -------
Expenses, Net 10,188 1,309 71 796 51
--------- ---------- ------ -------- -------
Net Investment Income (Loss) 687 310 (21) (514) (22)
Realized and Unrealized Gain (Loss):
Net Realized Gain (Loss) on:
Investments 150,954 45,845 877 4,679 170
Futures Contracts and Options (4,161) 8,164 -- (554) --
Foreign Currencies (5) -- -- -- --
--------- ---------- ------ -------- -------
Net Realized Gain 146,788 54,009 877 4,125 170
Net Change in Unrealized Appreciation/Depreciation on:
Investments (139,599) (34,755) (301) (458) (406)
Futures Contracts and Options 670 (245) -- 157 --
--------- ---------- ------ -------- -------
Net Change in Unrealized Appreciation/Depreciation (138,929) (35,000) (301) (301) (406)
--------- ---------- ------ -------- -------
Net Gain (Loss) on Investments 7,859 19,009 576 3,824 (236)
--------- ---------- ------ -------- -------
Net Increase (Decrease) in Net Assets
Resulting from Operations $ 8,546 $ 19,319 $ 555 $ 3,310 ($ 258)
========= ========== ====== ======== =======
</TABLE>
32 See Notes to Financial Statements.
<PAGE>
STATEMENTS OF OPERATIONS (continued)
--------------------------------------------------------------------------------
For the Six Months Ended June 30, 2000 (Unaudited)
(In Thousands)
Strong
Growth
Fund
----------
Income:
Dividends (net of foreign withholding taxes of $26) $ 2,113
Interest - Unaffiliated Issuers 8,509
Interest - Affiliated Issuers 74
---------
Total Income 10,696
Expenses:
Investment Advisory Fees 14,951
Administrative Fees - Investor Class 3,348
Custodian Fees 74
Shareholder Servicing Costs - Investor Class 2,469
Reports to Shareholders - Investor Class 565
Other 294
---------
Total Expenses before Fees Paid Indirectly by Advisor 21,701
Fees Paid Indirectly by Advisor - Investor Class (28)
---------
Expenses, Net 21,673
---------
Net Investment Loss (10,977)
Realized and Unrealized Gain (Loss):
Net Realized Gain (Loss) on:
Investments 446,475
Futures Contracts and Options (10,072)
---------
Net Realized Gain 436,403
Net Change in Unrealized Appreciation/Depreciation on:
Investments (187,924)
Futures Contracts and Options 190
---------
Net Change in Unrealized Appreciation/Depreciation (187,734)
---------
Net Gain on Investments 248,669
---------
Net Increase in Net Assets
Resulting from Operations $ 237,692
=========
See Notes to Financial Statements. 33
<PAGE>
STATEMENTS OF OPERATIONS (continued)
--------------------------------------------------------------------------------
For the Six Months Ended June 30, 2000 (Unaudited)
(In Thousands)
Strong
Opportunity
Fund
--------
Income:
Dividends (net of foreign withholding taxes of $21) $ 10,460
Interest - Unaffiliated Issuers 7,880
Interest - Affiliated Issuers 29
----------
Total Income 18,369
Expenses:
Investment Advisory Fees 11,059
Administrative Fees - Investor Class 2,477
Custodian Fees 72
Shareholder Servicing Costs - Investor Class 1,881
Reports to Shareholders - Investor Class 404
Other 221
----------
Total Expenses before Fees Paid Indirectly by Advisor 16,114
Fees Paid Indirectly by Advisor - Investor Class (20)
----------
Expenses, Net 16,094
----------
Net Investment Income 2,275
Realized and Unrealized Gain (Loss):
Net Realized Gain (Loss) on:
Investments 214,353
Futures Contracts and Options 528
Foreign Currencies (6)
----------
Net Realized Gain 214,875
Net Change in Unrealized Appreciation/Depreciation on:
Investments (86,524)
Futures Contracts and Options (286)
Foreign Currencies (1)
----------
Net Change in Unrealized Appreciation/Depreciation (86,811)
----------
Net Gain on Investments 128,064
----------
Net Increase in Net Assets
Resulting from Operations $ 130,339
==========
34 See Notes to Financial Statements.
<PAGE>
STATEMENTS OF CHANGES IN NET ASSETS
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
(In Thousands)
Strong Common Stock Fund Strong Discovery Fund
------------------------------- -------------------------------
Six Months Ended Year Ended Six Months Ended Year Ended
June 30, 2000 Dec. 31, 1999 June 30, 2000 Dec. 31, 1999
--------------- --------------- ---------------- -------------
(Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
Operations:
Net Investment Income (Loss) $ 687 ($ 784) $ 310 ($ 1,646)
Net Realized Gain (Loss) 146,788 285,536 54,009 (18,910)
Net Change in Unrealized Appreciation/Depreciation (138,929) 223,141 (35,000) 16,568
------------ ----------- ----------- -----------
Net Increase (Decrease) in Net Assets Resulting
from Operations 8,546 507,893 19,319 (3,988)
Distributions From Net Realized Gains -- (246,480) -- (3,366)
Capital Share Transactions (Note 4):
Net Increase (Decrease) in Net Assets from
Capital Share Transactions (4,332) 31,767 (24,148) (127,195)
------------ ----------- ----------- ----------
Total Increase (Decrease) in Net Assets 4,214 293,180 (4,829) (134,549)
Net Assets:
Beginning of Period 1,733,081 1,439,901 187,446 321,995
------------ ----------- ----------- ----------
End of Period $ 1,737,295 $ 1,733,081 $ 182,617 $ 187,446
============ =========== =========== ==========
</TABLE>
<TABLE>
<CAPTION>
Strong Mid Cap Disciplined Fund Strong Mid Cap Growth Fund
----------------------------------- ---------------------------------
Six Months Ended Year Ended Six Months Ended Year Ended
June 30, 2000 Dec. 31, 1999 June 30, 2000 Dec. 31, 1999
----------------- ---------------- ---------------- --------------
(Unaudited) (Note 1) (Unaudited)
<S> <C> <C> <C> <C>
Operations:
Net Investment Loss ($ 21) ($ 44) ($ 514) ($ 344)
Net Realized Gain 877 403 4,125 6,501
Net Change in Unrealized Appreciation/Depreciation (301) 586 (301) 19,361
----------- ------------ ----------- ----------
Net Increase in Net Assets Resulting from Operations 555 945 3,310 25,518
Distributions From Net Realized Gains -- -- -- (4,464)
Capital Share Transactions (Note 4):
Net Increase in Net Assets from
Capital Share Transactions 2,271 5,000 83,358 25,079
----------- ------------ ----------- ----------
Total Increase in Net Assets 2,826 5,945 86,668 46,133
Net Assets:
Beginning of Period 5,945 -- 65,430 19,297
----------- ------------ ----------- ----------
End of Period $ 8,771 $ 5,945 $ 152,098 $ 65,430
=========== ============ =========== ==========
</TABLE>
See Notes to Financial Statements. 35
<PAGE>
STATEMENTS OF CHANGES IN NET ASSETS (continued)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
(In Thousands)
Strong Strategic Growth Fund
------------------------------------
Six Months Ended Year Ended
June 30, 2000 Dec. 31, 1999
----------------- -----------------
(Unaudited)
<S> <C> <C>
Operations:
Net Investment Loss ($ 22) ($ 40)
Net Realized Gain 170 428
Net Change in Unrealized Appreciation/Depreciation (406) 633
----------------- -----------------
Net Increase (Decrease) in Net Assets Resulting from Operations (258) 1,021
Distributions From Net Realized Gains -- (232)
Capital Share Transactions (Note 4):
Net Increase in Net Assets from Capital Share Transactions 1,153 597
----------------- -----------------
Total Increase In Net Assets 895 1,386
Net Assets:
Beginning of Period 4,852 3,466
----------------- -----------------
End of Period $ 5,747 $ 4,852
================= =================
</TABLE>
<TABLE>
<CAPTION>
Strong Growth Fund
------------------------------------
Six Months Ended Year Ended
June 30, 2000 Dec. 31, 1999
----------------- -----------------
(Unaudited)
<S> <C> <C>
Operations:
Net Investment Loss ($ 10,977) ($ 16,632)
Net Realized Gain 436,403 487,408
Net Change in Unrealized Appreciation/Depreciation (187,734) 953,345
----------------- -----------------
Net Increase in Net Assets Resulting from Operations 237,692 1,424,121
Distributions From Net Realized Gains-Investor Class -- (378,323)
Capital Share Transactions (Note 4):
Net Increase in Net Assets from Capital Share Transactions 264,132 473,209
----------------- -----------------
Total Increase In Net Assets 501,824 1,519,007
Net Assets:
Beginning of Period 3,353,682 1,834,675
----------------- -----------------
End of Period $ 3,855,506 $ 3,353,682
================= =================
</TABLE>
36 See Notes to Financial Statements.
<PAGE>
STATEMENTS OF CHANGES IN NET ASSETS (continued)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
(In Thousands)
Strong Opportunity Fund
------------------------------------
Six Months Ended Year Ended
June 30, 2000 Dec. 31, 1999
----------------- -----------------
(Unaudited)
<S> <C> <C>
Operations:
Net Investment Income $ 2,275 $ 4,329
Net Realized Gain 214,875 341,558
Net Change in Unrealized Appreciation/Depreciation (86,811) 293,543
----------------- -----------------
Net Increase in Net Assets Resulting from Operations 130,339 639,430
Distributions:
From Net Investment Income - Investor Class -- (4,180)
From Net Realized Gains - Investor Class -- (322,446)
----------------- -----------------
Total Distributions -- (326,626)
Capital Share Transactions (Note 4):
Net Increase in Net Assets from Capital Share Transactions 298,008 186,420
----------------- -----------------
Total Increase in Net Assets 428,347 499,224
Net Assets:
Beginning of Period 2,537,151 2,037,927
----------------- -----------------
End of Period $ 2,965,498 $ 2,537,151
================= =================
</TABLE>
See Notes to Financial Statements. 37
<PAGE>
NOTES TO FINANCIAL STATEMENTS
--------------------------------------------------------------------------------
June 30, 2000 (Unaudited)
1. Organization
The accompanying financial statements represent the Strong Growth Funds (the
"Funds"), which include the following funds, each with its own investment
objectives and policies:
- Strong Common Stock Fund, Inc./(1)/
- Strong Discovery Fund, Inc./(1)/
- Strong Mid Cap Disciplined Fund (a series of Strong Equity Funds,
Inc./(1)/)
- Strong Mid Cap Growth Fund (a series of Strong Equity Funds, Inc./(1)/)
- Strong Strategic Growth Fund (a series of Strong Equity Funds, Inc./(1)/)
- Strong Growth Fund (a series of Strong Equity Funds, Inc./(1)/)
- Strong Opportunity Fund, Inc./(1)/
/(1)/ A diversified, open-end management investment company registered
under the Investment Company Act of 1940, as amended.
Strong Mid Cap Disciplined Fund commenced operations on January 4, 1999.
Effective February 25, 2000, the Strong Opportunity Fund has issued two
classes of shares: Investor Class and Advisor Class. The Strong Growth Fund
has issued three classes of shares: Investor Class, Institutional Class and
Advisor Class. The Advisor Class shares are subject to an annual
distribution fee as described in Note 3. Each class of shares has identical
rights and privileges except with respect to voting rights on matters
pertaining to that class. Income, expenses (other than expenses attributable
to a specific class), and realized and unrealized gains or losses on
investments are allocated to each class of shares based on its relative net
assets.
2. Significant Accounting Policies
The following is a summary of significant accounting policies followed by
the Funds in the preparation of their financial statements.
(A) Security Valuation -- Securities of the Funds are valued at fair value
through valuations obtained by a commercial pricing service or the
mean of the bid and asked prices when no last sales price is
available. Securities for which market quotations are not readily
available are valued at fair value as determined in good faith under
consistently applied procedures established by and under the general
supervision of the Board of Directors. Securities which are purchased
within 60 days of their stated maturity are valued at amortized cost,
which approximates fair value.
The Funds may own certain investment securities which are restricted
as to resale. These securities are valued after giving due
consideration to pertinent factors, including recent private sales,
market conditions and the issuer's financial performance. The Funds
generally bear the costs, if any, associated with the disposition of
restricted securities. Aggregate acquisition cost and fair value of
these restricted securities held at June 30, 2000 were as follows:
Aggregate Aggregate Percent of
Cost Fair Value Net Assets
--------- ---------- ----------
Strong Discovery Fund $621,989 $192,076 0.1%
(B) Federal Income and Excise Taxes and Distributions to Shareholders --
The Funds intend to comply with the requirements of the Internal
Revenue Code applicable to regulated investment companies and to
distribute substantially all of their taxable income to their
shareholders in a manner which results in no tax cost to the
Funds. Therefore, no federal income or excise tax provision is
required.
Net investment income or net realized gains for financial statement
purposes may differ from the characterization for federal income tax
purposes due to differences in the recognition of income and expense
items for financial statement and tax purposes. Where appropriate,
reclassifications between net asset accounts are made for such
differences that are permanent in nature.
Each Fund generally pays dividends from net investment income and
distributes any net capital gains that it realizes annually.
(C) Realized Gains and Losses on Investment Transactions -- Investment
security transactions are recorded as of the trade date. Gains or
losses realized on investment transactions are determined by comparing
the identified cost of the security lot sold with the net sales
proceeds.
(D) Certain Investment Risks -- The Funds may utilize derivative
instruments including options, futures and other instruments with
similar characteristics to the extent that they are consistent with
the Funds' investment objectives and limitations. The Funds intend to
use such derivative instruments primarily to hedge or protect from
adverse movements
38
<PAGE>
in securities prices or interest rates. The use of these instruments
may involve risks such as the possibility of illiquid markets or
imperfect correlation between the value of the instruments and the
underlying securities, or that the counterparty will fail to perform
its obligations.
Investments in foreign denominated assets or forward currency
contracts may involve greater risks than domestic investments due to
currency, political, economic, regulatory and market risks.
(E) Futures -- Upon entering into a futures contract, the Funds pledge to
the broker cash or other investments equal to the minimum "initial
margin" requirements of the exchange. Additional securities held by
the Funds may be designated as collateral on open futures contracts.
The Funds also receive from or pay to the broker an amount of cash
equal to the daily fluctuation in the value of the contract. Such
receipts or payments are known as "variation margin" and are recorded
as unrealized gains or losses. When the futures contract is closed, a
realized gain or loss is recorded equal to the difference between the
value of the contract at the time it was opened and the value at the
time it was closed.
(F) Options -- The Funds may write put or call options. Premiums received
by the Funds upon writing put or call options are recorded as an asset
with a corresponding liability which is subsequently adjusted to the
current market value of the option. Changes between the initial
premiums received and the current market value of the option are
recorded as unrealized gains or losses. When an option expires, is
exercised, or is closed, the Funds realize a gain or loss, and the
liability is eliminated. The Funds continue to bear the risk of
adverse movements in the price of the underlying asset during the
period of the option, although any potential loss during the period
would be reduced by the amount of the option premium received.
Securities held by the Funds may be designated as collateral on
written options.
(H) Foreign Currency Translation -- Investment securities and other assets
and liabilities initially expressed in foreign currencies are
converted daily to U.S. dollars based upon current exchange
rates. Purchases and sales of foreign investment securities and income
are converted to U.S. dollars based upon currency exchange rates
prevailing on the respective dates of such transactions. The effect of
changes in foreign exchange rates on realized and unrealized security
gains or losses is reflected as a component of such gains or losses.
(H) Forward Foreign Currency Exchange Contracts -- Forward foreign
currency exchange contracts are valued at the forward rate and are
marked-to-market daily. The change in market value is recorded as an
unrealized gain or loss. When the contract is closed, the Funds record
an exchange gain or loss equal to the difference between the value of
the contract at the time it was opened and the value at the time it
was closed.
(I) Repurchase Agreements -- The Funds may enter into repurchase
agreements with institutions that the Funds' investment advisor,
Strong Capital Management, Inc. ("the Advisor"), has determined are
creditworthy pursuant to criteria adopted by the Board of Directors.
Each repurchase agreement is recorded at cost. The Funds require that
the collateral, represented by securities (primarily U.S. Government
securities), in a repurchase transaction be maintained in a segregated
account with a custodian bank in a manner sufficient to enable the
Funds to obtain those securities in the event of a default of the
repurchase agreement. On a daily basis, the Advisor monitors the value
of the collateral, including accrued interest, to ensure it is at
least equal to the amounts owed to the Funds under each repurchase
agreement.
(J) Use of Estimates -- The preparation of financial statements in
conformity with generally accepted accounting principles requires
management to make estimates and assumptions that affect the reported
amounts in these financial statements. Actual results could differ
from those estimates.
(K) Other -- Dividend income and distributions to shareholders are
recorded on the ex-dividend date. Interest income is recorded on the
accrual basis and includes amortization of premiums and discounts.
3. Related Party Transactions
The Advisor, with whom certain officers and directors of the Funds are
affiliated, provides investment advisory, administrative, shareholder
recordkeeping and related services to the Funds. Investment advisory and
administrative fees, which are established by terms of the Advisory
Agreements, are based on the following annualized rates of the average daily
net assets of the respective Fund:
39
<PAGE>
NOTES TO FINANCIAL STATEMENTS (continued)
--------------------------------------------------------------------------------
June 30, 2000 (Unaudited)
<TABLE>
<CAPTION>
Administrative Administrative Administrative
Fees- Fees- Fees-
Advisory Fees Advisory Fees Investor Class Institutional Class Advisor Class
Jan. 1-Feb. 24, Feb. 25-June 30, Feb. 25-June 30, Feb. 25-June 30, Feb. 25-June 30,
2000 2000 2000 2000 2000
--------------- ---------------- ---------------- ------------------- -----------------
<S> <C> <C> <C> <C> <C>
Strong Common Stock Fund 1.00% 0.75% 0.25% * *
Strong Discovery Fund 1.00% 0.75% 0.25% * *
Strong Mid Cap Disciplined Fund 1.00% 0.75% 0.25% * *
Strong Mid Cap Growth Fund 1.00% 0.75% 0.25% * *
Strong Strategic Growth Fund 1.00% 0.75% 0.25% * *
Strong Growth Fund 1.00% 0.75% 0.25% 0.02% 0.25%
Strong Opportunity Fund 1.00% 0.75% 0.25% ** 0.25%
</TABLE>
* The Strong Common Stock Fund, Strong Discovery Fund, Strong Mid Cap
Disciplined Fund, Strong Mid Cap Growth Fund and Strong Strategic Growth
Fund do not offer Institutional or Advisor Class Shares.
** The Strong Opportunity Fund does not offer Institutional Class shares.
Based on the terms of the Advisory Agreements, advisory fees, administrative
fees and other expenses will be waived or absorbed by the Advisor if the
Fund's operating expenses exceed 2% of the average daily net assets of the
Fund. In addition, the Fund's Advisor may voluntarily waive or absorb certain
expenses at its discretion. Shareholder recordkeeping and related service
fees are based on contractually established rates for each open and closed
shareholder account. The Advisor also allocates to each Fund certain charges
or credits resulting from transfer agency banking activities based on each
Fund's level of subscription and redemption activity. Charges allocated to
the Funds by the Advisor are included in Other Expenses in the Funds'
Statement of Operations. Credits allocated by the Advisor serve to reduce the
shareholder servicing expenses incurred by the Funds and are reported as Fees
Paid Indirectly by Advisor in the Funds' Statement of Operations. The Advisor
is also compensated for certain other services related to costs incurred for
reports to shareholders.
The Strong Growth Fund and Strong Opportunity Fund have entered into a
distribution agreement with Strong Investments, Inc. (the "Distributor"),
pursuant to Rule 12b-1 under the 1940 Act, on behalf of each of the Fund's
Advisor Class shares. Under the agreement, the Distributor is paid an annual
rate of 0.25% of the average daily net assets of the Advisor Class shares as
compensation for services provided and expenses incurred, including amounts
paid to brokers or dealers, in connection with the sale of each Fund's
shares. During the period February 25, 2000 to June 30, 2000, the Strong
Growth Fund and the Strong Opportunity Fund incurred 12b-1 fees of $17 and
$39, respectively.
The Funds may invest cash in money market funds sponsored and managed by the
Advisor, subject to certain limitations. The terms of such transactions are
identical to those of non-related entities except that, to avoid duplicate
investment advisory fees, advisory fees of each Fund are reduced by an amount
equal to advisory fees paid to the Advisor under its investment advisory
agreement with the money market funds.
Certain information regarding related party transactions, excluding the
effects of waivers and absorptions, if any, for the six months ended June 30,
2000, is as follows:
<TABLE>
<CAPTION>
Payable to Shareholder Servicing Transfer Agency Unaffiliated
Advisor at and Other Expenses Banking Directors'
June 30, 2000 Paid to Advisor Charges/(Credits) Fees
------------- --------------------- ----------------- -------------
<S> <C> <C> <C> <C>
Strong Common Stock Fund $ 162,292 $ 1,111,094 ($22,392) $ 27,795
Strong Discovery Fund 44,925 267,741 (7,712) 3,363
Strong Mid Cap Disciplined Fund 1,459 9,841 834 733
Strong Mid Cap Growth Fund 42,351 125,695 3,645 1,565
Strong Strategic Growth Fund 82 11,694 452 718
Strong Growth Fund 448,628 2,479,437 (28,047) 53,372
Strong Opportunity Fund 371,673 1,887,673 (20,422) 40,505
</TABLE>
The Advisor owns 18% of the outstanding Advisor Class shares of the Strong
Opportunity Fund and 65% of the outstanding Advisor Class shares of the
Strong Growth Fund.
40
<PAGE>
--------------------------------------------------------------------------------
4. Capital Share Transactions
<TABLE>
<CAPTION>
Strong Common Stock Fund Strong Discovery Fund
----------------------------------- -----------------------------------
Six Months Ended Year Ended Six Months Ended Year Ended
June 30, 2000 Dec. 31, 1999 June 30, 2000 Dec. 31, 1999
---------------- ---------------- ---------------- ----------------
(Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
Capital Share Transactions of Each of
the Funds Were as Follows:
Proceeds from Shares Sold $ 156,691,863 $ 160,180,068 $ 19,462,067 $ 71,368,933
Proceeds from Reinvestment of Distributions -- 238,482,641 -- 3,296,889
Payment for Shares Redeemed (160,319,557) (366,895,733) (43,610,753) (201,861,075)
---------------- ---------------- ---------------- ----------------
Net Increase (Decrease) in Net Assets from
Capital Share Transactions ($ 3,627,694) $ 31,766,976 ($ 24,148,686) ($ 127,195,253)
================ ================ ================ ================
Transactions in Shares of Each of
the Funds Were as Follows:
Sold 6,158,009 6,937,655 966,578 4,339,399
Issued in Reinvestment of Distributions -- 9,924,953 -- 212,428
Redeemed (6,301,126) (16,480,451) (2,232,649) (12,436,420)
---------------- ---------------- ---------------- ----------------
Net Increase (Decrease) in Shares of the Fund (143,117) 382,157 (1,266,071) (7,884,593)
================ ================ ================ ================
</TABLE>
<TABLE>
<CAPTION>
Strong Mid Cap Disciplined Fund Strong Mid Cap Growth Fund
----------------------------------- -----------------------------------
Six Months Ended Year Ended Six Months Ended Year Ended
June 30, 2000 Dec. 31, 1999 June 30, 2000 Dec. 31, 1999
---------------- ---------------- ---------------- ----------------
(Unaudited) (Note 1) (Unaudited)
<S> <C> <C> <C> <C>
Capital Share Transactions of Each of
the Funds Were as Follows:
Proceeds from Shares Sold $ 5,380,535 $ 11,962,911 $ 125,729,924 $ 54,320,703
Proceeds from Reinvestment of Distributions -- -- -- 4,338,532
Payment for Shares Redeemed (3,109,335) (6,962,973) (42,372,381) (33,580,747)
---------------- ---------------- ---------------- ----------------
Net Increase in Net Assets from
Capital Share Transactions $ 2,271,200 $ 4,999,938 $ 83,357,543 $ 25,078,488
================ ================ ================ ================
Transactions in Shares of Each of
the Funds Were as Follows:
Sold 366,685 1,014,912 4,833,012 3,157,308
Issued in Reinvestment of Distributions -- -- -- 190,120
Redeemed (218,802) (575,082) (1,700,528) (2,014,828)
---------------- ---------------- ---------------- ----------------
Net Increase in Shares of the Fund 147,883 439,830 3,132,484 1,332,600
================ ================ ================ ================
</TABLE>
<TABLE>
<CAPTION>
Strong Strategic Growth Fund
------------------------------------
Six Months Ended Year Ended
June 30, 2000 Dec. 31, 1999
---------------- ----------------
(Unaudited)
<S> <C> <C>
Capital Share Transactions of Each of
the Funds Were as Follows:
Proceeds from Shares Sold $ 2,343,773 $ 2,606,830
Proceeds from Reinvestment of Distributions -- 219,183
Payment for Shares Redeemed (1,191,083) (2,229,112)
---------------- ----------------
Net Increase in Net Assets from
Capital Share Transactions $ 1,152,690 $ 596,901
================ ================
Transactions in Shares of Each of
the Funds Were as Follows:
Sold 177,868 218,290
Issued in Reinvestment of Distributions -- 15,952
Redeemed (90,241) (191,864)
---------------- ----------------
Net Increase in Shares of the Fund 87,627 42,378
================ ================
</TABLE>
41
<PAGE>
NOTES TO FINANCIAL STATEMENTS (continued)
--------------------------------------------------------------------------------
June 30, 2000 (Unaudited)
<TABLE>
<CAPTION>
Strong Growth Fund
-------------------------------------
Six Months Ended Year Ended
June 30, 2000 Dec. 31, 1999
----------------- -----------------
(Unaudited)
<S> <C> <C>
Capital Share Transactions of Each Class of
Shares of the Fund Were as Follows:
INVESTOR CLASS
Proceeds from Shares Sold $ 906,551,366 $ 596,220,203
Proceeds from Reinvestment of Distributions -- 369,783,406
Payment for Shares Redeemed (645,342,576) (492,793,963)
----------------- -----------------
Net Increase in Net Assets from
Capital Share Transactions 261,208,790 473,209,646
INSTITUTIONAL CLASS
Proceeds from Shares Sold 2,884,110 --
Proceeds from Reinvestment of Distributions -- --
Payment for Shares Redeemed -- --
----------------- -----------------
Net Increase in Net Assets from
Capital Share Transactions 2,884,110 --
ADVISOR CLASS
Proceeds from Shares Sold 39,847 --
Proceeds from Reinvestment of Distributions -- --
Payment for Shares Redeemed (113) --
----------------- -----------------
Net Increase in Net Assets from
Capital Share Transactions 39,734 --
----------------- -----------------
Net Increase in Net Assets from
Capital Share Transactions $ 264,132,634 $ 473,209,646
================= =================
Transactions in Shares of Each Class of
the Fund Were as Follows:
INVESTOR CLASS
Sold 23,028,593 22,686,699
Issued in Reinvestment of Distributions -- 11,310,744
Redeemed (17,435,662) (18,872,635)
----------------- -----------------
Net Increase in Shares 5,592,931 15,124,808
INSTITUTIONAL CLASS
Sold 74,792 --
Issued in Reinvestment of Distributions -- --
Redeemed -- --
----------------- -----------------
Net Increase in Shares 74,792 --
ADVISOR CLASS
Sold 969 --
Issued in Reinvestment of Distributions -- --
Redeemed (3) --
----------------- -----------------
Net Increase in Shares 966 --
----------------- -----------------
Net Increase in Shares of the Fund 5,668,689 15,124,808
================= =================
</TABLE>
42
<PAGE>
<TABLE>
<CAPTION>
Strong Opportunity Fund
---------------------------------------
Six Months Ended Year Ended
June 30, 2000 Dec. 31, 1999
----------------- --------------
(Unaudited)
<S> <C> <C>
Capital Share Transactions of Each Class of
Shares of the Fund Were as Follows:
INVESTOR CLASS
Proceeds from Shares Sold $ 625,341,264 $ 448,587,945
Proceeds from Reinvestment of Distributions -- 317,277,481
Payment for Shares Redeemed (327,421,453) (579,445,070)
-------------- -------------
Net Increase in Net Assets from
Capital Share Transactions 297,919,811 186,420,356
ADVISOR CLASS
Proceeds from Shares Sold 87,653 --
Proceeds from Reinvestment of Distributions -- --
Payment for Shares Redeemed (25) --
-------------- -------------
Net Increase in Net Assets from
Capital Share Transactions 87,628 --
-------------- -------------
Net Increase in Net Assets from Capital Share Transactions $ 298,007,439 $ 186,420,356
============== =============
Transactions in Shares of Each Class of
the Fund Were as Follows:
INVESTOR CLASS
Sold 13,521,083 10,391,925
Issued in Reinvestment of Distributions -- 7,354,169
Redeemed (7,202,910) (13,742,553)
-------------- -------------
Net Increase in Shares 6,318,173 4,003,541
ADVISOR CLASS
Sold 1,912 --
Issued in Reinvestment of Distributions -- --
Redeemed (1) --
-------------- -------------
Net Increase in Shares 1,911 --
-------------- -------------
Net Increase in Shares of the Fund 6,320,084 4,003,541
============== =============
</TABLE>
5. Line of Credit
The Strong Funds have established a line of credit agreement ("LOC") with
certain financial institutions to be used for temporary or emergency
purposes, primarily for financing redemption payments. Combined borrowings
among all participating Strong Funds are subject to a $350 million cap on
the total LOC. For an individual Fund, borrowings under the LOC are limited
to either the lesser of 15% of the market value of the Fund's total assets
or any explicit borrowing limits in the Funds' prospectus. Principal and
interest on each borrowing under the LOC are due not more than 60 days
after the date of the borrowing. Borrowings under the LOC bear interest
based on prevailing market rates as defined in the LOC. A commitment fee of
0.08% per annum is incurred on the unused portion of the LOC and is
allocated to all participating Strong Funds. At June 30, 2000, there were
no borrowings by the Funds outstanding under the LOC.
43
<PAGE>
NOTES TO FINANCIAL STATEMENTS (continued)
--------------------------------------------------------------------------------
June 30, 2000 (Unaudited)
6. Investment Transactions
The aggregate purchases and sales of long-term securities, other than
government securities, for the six months ended June 30, 2000, were as
follows:
Purchases Sales
------------- --------------
Strong Common Stock Fund $ 742,732,134 $1,281,190,820
Strong Discovery Fund 374,985,523 404,380,421
Strong Mid Cap Disciplined Fund 18,152,468 16,883,346
Strong Mid Cap Growth Fund 452,231,989 371,940,125
Strong Strategic Growth Fund 3,632,292 2,669,151
Strong Growth Fund 6,667,235,364 6,511,617,076
Strong Opportunity Fund 1,093,246,325 954,753,163
There were no purchases or sales of long-term government securities for the six
months ended June 30, 2000.
7. Income Tax Information
At June 30, 2000, the investment cost, gross unrealized appreciation and
depreciation on investments and capital loss carryovers (expiring in
varying amounts through 2007) for federal income tax purposes were as
follows:
<TABLE>
<CAPTION>
at December 31,
at June 30, 2000 1999
----------------------------------------------------------------- ---------------
Federal Tax Unrealized Unrealized Net Capital Loss
Cost Appreciation Depreciation Net Appreciation Carryovers
--------------- -------------- ------------ --------------- ---------------
<S> <C> <C> <C> <C> <C>
Strong Common Stock Fund $ 1,426,236,268 $ 464,078,566 $156,209,152 $ 307,869,414 $ --
Strong Discovery Fund 220,889,249 12,875,031 6,974,773 5,900,258 32,893,623
Strong Mid Cap Disciplined Fund 8,613,401 681,246 578,265 102,981 --
Strong Mid Cap Growth Fund 135,999,786 20,965,418 2,085,171 18,880,247 --
Strong Strategic Growth Fund 5,169,107 881,048 256,729 624,319 --
Strong Growth Fund 2,496,120,831 1,331,271,926 29,496,349 1,301,775,577 11,425,098
Strong Opportunity Fund 2,320,625,261 834,958,919 199,504,584 635,454,335 --
</TABLE>
8. Investments in Affiliates
Affiliated issuers, as defined under the Investment Company Act of 1940,
include those in which the Fund's holdings of an issuer represent 5% or
more of the outstanding voting securities of the issuer, and any other
Strong Fund. A summary of transactions in the securities of these issuers
during the six months ended June 30, 2000 is as follows:
<TABLE>
<CAPTION>
Dividend/
Balance of Gross Balance of Interest
Shares or Par Purchases Gross Sales Shares or Par Value Income Realized
Value Held and and Value Held June 30, Jan. 1 - Gain/(Loss)
Jan. 1, 2000 Additions Reductions June 30, 2000 2000 June 30, 2000 on Sale
------------- --------- ----------- ------------- ----------- ------------- ----------
<S> <C> <C> <C> <C> <C> <C> <C>
Strong Common Stock Fund
------------------------
IHOP Corporation 750,000 -- (750,000) -- $ -- $ -- $3,110,647
Strong Heritage Money Fund-
Institutional Class -- 15,000,000 -- 15,000,000 15,000,000 15,172 --
Strong Discovery Fund
---------------------
Central Garden & Pet Company 501,925 -- (380,275) 121,650 1,091,048 -- (518,883)
Halsey Drug Company, Inc.
Common Stock -- 9,230 (9,230) -- -- -- (10,919)
Halsey Drug Company, Inc.
Restricted Common Stock 18,460 -- -- 18,460 21,930 -- --
Halsey Drug Company, Inc.
Convertible Bonds $600,000 -- -- $ 600,000 164,424 -- --
Halsey Drug Company, Inc. Warrants 21,429 -- -- 21,429 5,722 -- --
Strong Growth Fund
------------------
Strong Heritage Money Fund-
Institutional Class -- 35,000,000 -- 35,000,000 35,000,000 73,629 --
Strong Opportunity Fund
-----------------------
Strong Heritage Money Fund-
Institutional Class -- 30,000,000 -- 30,000,000 30,000,000 29,464 --
</TABLE>
44
<PAGE>
FINANCIAL HIGHLIGHTS
--------------------------------------------------------------------------------
STRONG COMMON STOCK FUND
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Period Ended
-----------------------------------------------------------------
June 30, Dec. 31, Dec. 31, Dec. 31, Dec. 31, Dec. 31,
Selected Per-Share Data/(a)/ 2000/(b)/ 1999 1998 1997 1996 1995
------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $25.21 $21.06 $21.02 $20.24 $19.77 $16.74
Income From Investment Operations:
Net Investment Income (Loss) 0.01 (0.01) 0.00/(c)/ 0.01 0.06 0.11
Net Realized and Unrealized Gains on Investments 0.10 8.19 1.36 4.67 3.87 5.25
------------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 0.11 8.18 1.36 4.68 3.93 5.36
Less Distributions:
From Net Investment Income -- -- -- (0.01) (0.06) (0.10)
In Excess of Net Investment Income -- -- -- (0.03) (0.05) (0.02)
From Net Realized Gains -- (4.03) (1.32) (3.86) (3.35) (2.21)
------------------------------------------------------------------------------------------------------------------------------
Total Distributions -- (4.03) (1.32) (3.90) (3.46) (2.33)
------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $25.32 $25.21 $21.06 $21.02 $20.24 $19.77
==============================================================================================================================
Ratios and Supplemental Data
------------------------------------------------------------------------------------------------------------------------------
Total Return +0.4% +40.4% +6.6% +24.0% +20.5% +32.4%
Net Assets, End of Period (In Millions) $1,737 $1,733 $1,440 $1,565 $1,244 $1,061
Ratio of Expenses to Average Net Assets without
Waivers, Absorptions and Fees Paid Indirectly by Advisor 1.2%* 1.2% 1.2% 1.2% 1.2% 1.2%
Ratio of Expenses to Average Net Assets 1.2%* 1.2% 1.2% 1.2% 1.2% 1.2%
Ratio of Net Investment Income (Loss) to Average Net Assets 0.1%* (0.1%) 0.0%/(c)/ 0.0%/(c)/ 0.3% 0.5%
Portfolio Turnover Rate 46.1% 80.1% 102.6% 117.3% 90.9% 91.5%
<CAPTION>
STRONG DISCOVERY FUND
------------------------------------------------------------------------------------------------------------------------------
Period Ended
------------------------------------------------------------------
June 30, Dec. 31, Dec. 31, Dec. 31, Dec. 31, Dec. 31,
Selected Per-Share Data/(a)/ 2000/(b)/ 1999 1998 1997 1996 1995
------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $ 18.64 $ 17.95 $17.00 $17.45 $18.96 $15.67
Income From Investment Operations:
Net Investment Income (Loss) 0.03 (0.17) (0.07) (0.16) (0.15) (0.05)
Net Realized and Unrealized Gains on Investments 2.10 1.08 1.26 2.00 0.35 5.48
------------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 2.13 0.91 1.19 1.84 0.20 5.43
Less Distributions:
In Excess of Net Investment Income -- -- -- -- (1.12) (0.10)
From Net Realized Gains -- (0.22) (0.24) (1.90) (0.59) (2.04)
In Excess of Net Realized Gains -- -- -- (0.39) -- --
------------------------------------------------------------------------------------------------------------------------------
Total Distributions -- (0.22) (0.24) (2.29) (1.71) (2.14)
------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $ 20.77 $ 18.64 $17.95 $17.00 $17.45 $18.96
==============================================================================================================================
Ratios and Supplemental Data
------------------------------------------------------------------------------------------------------------------------------
Total Return +11.4% +5.3% +7.0% +10.9% +1.5% +34.8%
Net Assets, End of Period (In Millions) $ 183 $ 187 $ 322 $ 383 $ 514 $ 599
Ratio of Expenses to Average Net Assets without
Waivers, Absorptions and Fees Paid Indirectly by Advisor 1.5%* 1.4% 1.3% 1.4% 1.4% 1.4%
Ratio of Expenses to Average Net Assets 1.5%* 1.4% 1.3% 1.4% 1.4% 1.4%
Ratio of Net Investment Income (Loss) to Average Net Assets +0.3%* (0.7%) (0.4%) (0.9%) (0.3%) (0.4%)
Portfolio Turnover Rate 279.0% 214.0% 185.9% 169.9% 792.8% 516.0%
</TABLE>
* Calculated on an annualized basis.
(a) Information presented relates to a share of capital stock of the Fund
outstanding for the entire period.
(b) For the six months ended June 30, 2000 (unaudited).
(c) Amount calculated is less than $0.01 or 0.1%.
See Notes to Financial Statements. 45
<PAGE>
FINANCIAL HIGHLIGHTS (continued)
--------------------------------------------------------------------------------
STRONG MID CAP DISCIPLINED FUND
----------------------------------------------------------------------------
Period Ended
--------------------
June 30, Dec. 31,
Selected Per-Share Data/(a)/ 2000/(b)/ 1999
----------------------------------------------------------------------------
Net Asset Value, Beginning of Period $13.52 $10.00
Income From Investment Operations:
Net Investment Loss (0.04) (0.10)
Net Realized and Unrealized Gains on Investments 1.44 3.62
----------------------------------------------------------------------------
Total from Investment Operations 1.40 3.52
Less Distributions:
From Net Investment Income -- --
----------------------------------------------------------------------------
Total Distributions -- --
----------------------------------------------------------------------------
Net Asset Value, End of Period $14.92 $13.52
============================================================================
Ratios and Supplemental Data
----------------------------------------------------------------------------
Total Return +10.4% +35.2%
Net Assets, End of Period (In Millions) $ 9 $ 6
Ratio of Expenses to Average Net Assets 2.0%* 2.0%
Ratio of Net Investment Loss to Average Net Assets (0.6%)* (0.9%)
Portfolio Turnover Rate 263.1% 245.7%
<TABLE>
<CAPTION>
STRONG MID CAP GROWTH FUND
-----------------------------------------------------------------------------------------
Period Ended
-----------------------------------
June 30, Dec. 31, Dec. 31, Dec. 31,
Selected Per-Share Data/(a)/ 2000/(b)/ 1999 1998 1997
-----------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $23.25 $13.03 $11.38 $10.00
Income From Investment Operations:
Net Investment Loss (0.09) (0.12) (0.12) (0.09)
Net Realized and Unrealized Gains on Investments 2.42 12.08 1.77 1.47
-----------------------------------------------------------------------------------------
Total from Investment Operations 2.33 11.96 1.65 1.38
Less Distributions:
From Net Realized Gains -- (1.74) -- --
-----------------------------------------------------------------------------------------
Total Distributions -- (1.74) -- --
-----------------------------------------------------------------------------------------
Net Asset Value, End of Period $25.58 $23.25 $13.03 $11.38
=========================================================================================
Ratios and Supplemental Data
-----------------------------------------------------------------------------------------
Total Return +10.0% +92.0% +14.5% +13.9%
Net Assets, End of Period (In Millions) $ 152 $ 65 $ 19 $ 16
Ratio of Expenses to Average Net Assets 1.4%* 1.6% 1.7% 1.6%
Ratio of Net Investment Loss to Average Net Assets (0.9%)* (1.1%) (0.9%) (0.9%)
Portfolio Turnover Rate 330.0% 681.0% 206.9% 305.2%
</TABLE>
* Calculated on an annualized basis.
(a) Information presented relates to a share of capital stock of the Fund
outstanding for the entire period.
(b) For the six months ended June 30, 2000 (unaudited).
46 See Notes to Financial Statements.
<PAGE>
FINANCIAL HIGHLIGHTS (continued)
--------------------------------------------------------------------------------
STRONG STRATEGIC GROWTH FUND
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Period Ended
--------------------------------
June 30, Dec. 31, Dec. 31,
Selected Per-Share Data/(a)/ 2000/(b)/ 1999 1998/(c)/
------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Net Asset Value, Beginning of Period $13.85 $11.25 $10.00
Income From Investment Operations:
Net Investment Loss (0.05) (0.11) (0.03)
Net Realized and Unrealized Gains (Losses) on Investments (0.68) 3.41 1.28
------------------------------------------------------------------------------------------------
Total from Investment Operations (0.73) 3.30 1.25
Less Distributions:
From Net Realized Gains -- (0.70) --
------------------------------------------------------------------------------------------------
Total Distributions -- (0.70) --
------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $13.12 $13.85 $11.25
================================================================================================
Ratios and Supplemental Data
------------------------------------------------------------------------------------------------
Total Return -5.3% +29.4% +12.5%
Net Assets, End of Period (In Millions) $ 6 $ 5 $ 3
Ratio of Expenses to Average Net Assets without
Waivers and Absorptions 2.0%* 2.0% 2.0%*
Ratio of Expenses to Average Net Assets 2.0%* 2.0% 2.0%*
Ratio of Net Investment Loss to Average Net Assets (0.9%)* (1.1%) (0.5%)*
Portfolio Turnover Rate 56.8% 178.4% 59.7%
</TABLE>
STRONG GROWTH FUND - INVESTOR CLASS
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Period Ended
------------------------------------------------------------------
June 30, Dec. 31, Dec. 31, Dec. 31, Dec. 31, Dec. 31,
Selected Per-Share Data/(a)/ 2000/(b)/ 1999 1998 1997 1996 1995
----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $35.66 $23.25 $18.31 $18.50 $15.88 $11.61
Income From Investment Operations:
Net Investment Loss (0.11) (0.18) (0.13) (0.08) (0.03) (0.04)
Net Realized and Unrealized Gains on Investments 3.11 17.08 5.07 3.41 3.13 4.79
----------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 3.00 16.90 4.94 3.33 3.10 4.75
Less Distributions:
In Excess of Net Investment Income -- -- -- -- (0.02) (0.03)
From Net Realized Gains -- (4.49) (0.00)/(d)/ (2.70) (0.46) (0.16)
In Excess of Net Realized Gains -- -- -- (0.82) -- (0.29)
----------------------------------------------------------------------------------------------------------------------------
Total Distributions -- (4.49) (0.00)/(d)/ (3.52) (0.48) (0.48)
----------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $38.66 $35.66 $23.25 $18.31 $18.50 $15.88
============================================================================================================================
Ratios and Supplemental Data
----------------------------------------------------------------------------------------------------------------------------
Total Return +8.4% +75.1% +27.0% +19.1% +19.5% +41.0%
Net Assets, End of Period (In Millions) $3,853 $3,354 $1,835 $1,597 $1,308 $643
Ratio of Expenses to Average Net Assets 1.2%* 1.2% 1.3% 1.3% 1.3% 1.4%
Ratio of Net Investment Loss to Average Net Assets (0.6%)* (0.8%) (0.7%) (0.5%) (0.2%) (0.5%)
Portfolio Turnover Rate/(e)/ 192.7% 324.0% 248.6% 295.7% 294.9% 321.2%
</TABLE>
* Calculated on an annualized basis.
(a) Information presented relates to a share of capital stock of the Fund
outstanding for the entire period.
(b) For the six months ended June 30, 2000 (unaudited).
(c) For the period from June 30, 1998 (inception) to December 31, 1998.
(d) Amount calculated is less than $0.01.
(e) Calculated on the basis of the Fund as a whole distinguishing between the
classes of shares issued.
See Notes to Financial Statements. 47
<PAGE>
FINANCIAL HIGHLIGHTS (continued)
--------------------------------------------------------------------------------
STRONG GROWTH FUND - INSTITUTIONAL CLASS
--------------------------------------------------------------------------------
Period Ended
------------
June 30,
Selected Per-Share Data/(a)/ 2000/(b)/
------------------------------------------------------------------------
Net Asset Value, Beginning of Period $43.74
Income From Investment Operations:
Net Investment Loss (0.01)
Net Realized and Unrealized Losses on Investments (5.01)
------------------------------------------------------------------------
Total from Investment Operations (5.02)
Less Distributions:
From Net Investment Income --
------------------------------------------------------------------------
Total Distributions --
------------------------------------------------------------------------
Net Asset Value, End of Period $38.72
========================================================================
Ratios and Supplemental Data
------------------------------------------------------------------------
Total Return -11.5%
Net Assets, End of Period (In Millions) $ 3
Ratio of Expenses to Average Net Assets 0.8%*
Ratio of Net Investment Loss to Average Net Assets (0.3%)*
Portfolio Turnover Rate/(d)/ 192.7%
STRONG GROWTH FUND - ADVISOR CLASS
------------------------------------------------------------------------
Period Ended
------------
June 30,
Selected Per-Share Data/(a)/ 2000/(b)/
------------------------------------------------------------------------
Net Asset Value, Beginning of Period $43.74
Income From Investment Operations:
Net Investment Loss (0.06)
Net Realized and Unrealized Losses on Investments (5.05)
------------------------------------------------------------------------
Total from Investment Operations (5.11)
Less Distributions:
From Net Investment Income --
------------------------------------------------------------------------
Total Distributions --
------------------------------------------------------------------------
Net Asset Value, End of Period $38.63
========================================================================
Ratios and Supplemental Data
------------------------------------------------------------------------
Total Return -11.7%
Net Assets, End of Period (In Millions) $ 0/(c)/
Ratio of Expenses to Average Net Assets 1.6%*
Ratio of Net Investment Loss to Average Net Assets (0.9%)*
Portfolio Turnover Rate/(d)/ 192.7%
* Calculated on an annualized basis.
(a) Information presented relates to a share of capital stock of the Fund
outstanding for the entire period.
(b) For the period from February 25, 2000 (Commencement of Class) to June 30,
2000 (unaudited) (Note 1).
(c) Amount is less than $500,000.
(d) Calculated on the basis of the Fund as a whole without distinguishing
between the classes of shares issued.
48 See Notes to Financial Statements.
<PAGE>
FINANCIAL HIGHLIGHTS (continued)
--------------------------------------------------------------------------------
STRONG OPPORTUNITY FUND - INVESTOR CLASS
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Period Ended
---------------------------------------------------------------------
June 30, Dec. 31, Dec. 31, Dec. 31, Dec. 31, Dec. 31,
Selected Per-Share Data/(a)/ 2000/(b)/ 1999 1998 1997 1996 1995
------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $ 44.69 $ 38.62 $ 37.41 $ 35.26 $ 33.35 $ 27.71
Income From Investment Operations:
Net Investment Income 0.04 0.08 0.05 0.10 0.20 0.20
Net Realized and Unrealized Gains on Investments 2.27 12.42 5.68 7.90 5.78 7.28
------------------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 2.31 12.50 5.73 8.00 5.98 7.48
Less Distributions:
From Net Investment Income -- (0.08) (0.05) (0.10) (0.20) (0.20)
In Excess of Net Investment Income -- -- -- -- (0.05) (0.01)
From Net Realized Gains -- (6.35) (4.47) (5.75) (3.82) (1.63)
------------------------------------------------------------------------------------------------------------------------------------
Total Distributions -- (6.43) (4.52) (5.85) (4.07) (1.84)
------------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $ 47.00 $ 44.69 $ 38.62 $ 37.41 $ 35.26 $ 33.35
====================================================================================================================================
Ratios and Supplemental Data
------------------------------------------------------------------------------------------------------------------------------------
Total Return +5.2% +33.4% +15.5% +23.5% +18.1% +27.3%
Net Assets, End of Period (In Millions) $ 2,965 $ 2,537 $ 2,038 $ 1,925 $ 1,770 $ 1,328
Ratio of Expenses to Average Net Assets without
Fees Paid Indirectly by Advisor 1.2%* 1.2% 1.2% 1.2% 1.3% 1.3%
Ratio of Expenses to Average Net Assets 1.2%* 1.2% 1.2% 1.2% 1.3% 1.3%
Ratio of Net Investment Income to Average Net Assets 0.2%* 0.2% 0.2% 0.3% 0.6% 0.7%
Portfolio Turnover Rate/(c)/ 38.5% 80.8% 86.0% 93.7% 103.3% 92.5%
</TABLE>
STRONG OPPORTUNITY FUND - ADVISOR CLASS
--------------------------------------------------------------------------------
Period Ended
------------
June 30,
Selected Per-Share Data/(a)/ 2000/(d)/
--------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $ 43.16
Income From Investment Operations:
Net Investment Loss (0.02)
Net Realized and Unrealized Gains on Investments 3.81
--------------------------------------------------------------------------------
Total from Investment Operations 3.79
Less Distributions:
From Net Investment Income --
--------------------------------------------------------------------------------
Total Distributions --
--------------------------------------------------------------------------------
Net Asset Value, End of Period $ 46.95
================================================================================
Ratios and Supplemental Data
--------------------------------------------------------------------------------
Total Return +8.8%
Net Assets, End of Period (In Millions) $ 0/(e)/
Ratio of Expenses to Average Net Assets 1.6%*
Ratio of Net Investment Loss to Average Net Assets (0.2%)*
Portfolio Turnover Rate/(c)/ 38.5%
* Calculated on an annualized basis.
(a) Information presented relates to a share of capital stock of the Fund
outstanding for the entire period.
(b) For the six months ended June 30, 2000 (unaudited).
(c) Calculated on the basis of the Fund as a whole without distinguishing
between the classes of shares issued.
(d) For the period from February 25, 2000 (Commencement of Class) to June
30, 2000 (unaudited) (Note 1).
(e) Amount is less than $500,000.
See Notes to Financial Statements. 49
<PAGE>
NOTES
--------------------------------------------------------------------------------
50
<PAGE>
NOTES
--------------------------------------------------------------------------------
51
<PAGE>
NOTES
--------------------------------------------------------------------------------
52
<PAGE>
Directors
Richard S. Strong
Willie D. Davis
Stanley Kritzik
Neal Malicky
Marvin E. Nevins
William F. Vogt
Officers
Richard S. Strong, Chairman of the Board
Stephen J. Shenkenberg, Vice President and Secretary
Elizabeth N. Cohernour, Vice President
Cathleen A. Ebacher, Vice President
Dennis A. Wallestad, Vice President
Thomas M. Zoeller, Vice President
John W. Widmer, Treasurer
Rhonda K. Haight, Assistant Treasurer
Investment Advisor
Strong Capital Management, Inc.
P.O.Box 2936, Milwaukee, Wisconsin 53201
Distributor
Strong Investments, Inc.
P.O. Box 2936, Milwaukee, Wisconsin 53201
Custodian
Firstar Bank, N.A.
P.O. Box 701, Milwaukee, Wisconsin 53201
Transfer Agent and Dividend-Disbursing Agent
Strong Capital Management, Inc.
P.O. Box 2936, Milwaukee, Wisconsin 53201
Independent Accountants
PricewaterhouseCoopers LLP
100 East Wisconsin Avenue, Milwaukee, Wisconsin 53202
Legal Counsel
Godfrey & Kahn, S.C.
780 North Water Street, Milwaukee, Wisconsin 53202
<PAGE>
For a prospectus containing more complete information, including
management fees and expenses, please call 1-800-368-1030. Please read
it carefully before investing or sending money. This report does not
constitute an offer for the sale of securities. Strong Funds are
offered for sale by prospectus only. To reduce the volume of mail you
receive, only one copy of financial reports, prospectuses, and other
regulatory materials is mailed to your household. You can call us at
1-800-368-1030, or write to us at the address listed below, to request
(1) additional copies free of charge, or (2) that we discontinue our
practice of householding regulatory materials. Strong Investments,
Inc. RT5825-0800
To order a free prospectus kit, call
1-800-368-1030
To learn more about our funds, discuss an existing
account, or conduct a transaction, call
1-800-368-3863
If you are a Financial Professional, call
1-800-368-1683
Visit our web site at
www.eStrong.com
[LOGO] STRONG INVESTMENTS
P.O. Box 2936
Milwaukee, Wisconsin 53201
