<PAGE>
LIQUID ASSET PORTFOLIO
NEUBERGER&BERMAN
ADVISERS MANAGEMENT TRUST
ANNUAL REPORT
DECEMBER 31, 1996
NBAMT0181296
<PAGE>
PORTFOLIO MANAGERS' COMMENTARY
Neuberger&Berman Advisers Management Trust
- --------------------------------------------------------------------------------
Liquid Asset Portfolio
The positive tone in the fixed income markets during the second half of the
year was reflected in the 90-Day Treasury Bill's high yield of 5.36% on
September 5th to the low yield of 4.92% on December 13th.
In the broader view, yields in the money markets (overnight to 13-month
maturities) dropped by 2 to 24 basis points along the short curve, slightly less
than the reduction in yield along the balance of the yield curve. We took
advantage of this positive movement in the market and extended the weighted
average maturity of the Portfolio to a high of 73 days during the last quarter
of 1996.
When possible, we selected issues from among those with six-month maturities
to lock in higher rates, and whose credit quality continued to be exclusively
first tier. There had not been any significant change in the spreads between
Treasury and Agency issues versus commercial paper and bank issues. Therefore,
we continue to maintain the highest concentration in the commercial paper and
bank issue sector of the short-term debt market at a spread of approximately 25
to 30 basis points over comparable Treasuries.
Josephine Mahaney Ted Giuliano
Shares of the separate Portfolios of Neuberger&Berman Advisers Management Trust
are sold only through the currently effective prospectus and are not available
to the general public. Shares of the Government Income, Growth, Limited Maturity
Bond, Liquid Asset and Partners Portfolios may be purchased only by life
insurance companies to be used with their separate accounts which fund variable
annuity and variable life insurance policies. The views of the portfolio
managers expressed in this report are as of the date written above. The
managers' views are subject to change at any time based on market and other
conditions.
2
<PAGE>
STATEMENT OF ASSETS AND LIABILITIES
Neuberger&Berman Advisers Management Trust
- --------------------------------------------------------------------------------
Liquid Asset Portfolio
<TABLE>
<CAPTION>
December 31,
1996
--------------
<S> <C>
ASSETS
Investment in Series, at value (Note A) $ 13,552,061
Receivable for Trust shares sold 810
Receivable from administrator -- net (Note
B) 683
--------------
13,553,554
--------------
LIABILITIES
Dividends payable 51,266
Accrued expenses 23,072
Payable for Trust shares redeemed 15,002
--------------
89,340
--------------
NET ASSETS at value $ 13,464,214
--------------
NET ASSETS consist of:
Par value $ 13,465
Paid-in capital in excess of par value 13,451,761
Accumulated net realized losses on
investment (1,012)
--------------
NET ASSETS at value $ 13,464,214
--------------
SHARES OUTSTANDING
($.001 par value; unlimited shares
authorized) 13,465,226
--------------
NET ASSET VALUE, offering and redemption price per
share $1.00
--------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
3
<PAGE>
STATEMENT OF OPERATIONS
Neuberger&Berman Advisers Management Trust
- --------------------------------------------------------------------------------
Liquid Asset Portfolio
<TABLE>
<CAPTION>
For the
Year Ended
December 31,
1996
------------
<S> <C>
INVESTMENT INCOME
Investment income from Series (Note A) $ 826,610
------------
Expenses:
Administration fee (Note B) 60,779
Shareholder reports 23,775
Custodian fees 10,000
Registration and filing fees 2,462
Legal fees 1,697
Trustees' fees and expenses 642
Auditing fees 122
Miscellaneous 895
Expenses from Series (Notes A & B) 82,839
------------
Total expenses 183,211
Deduct -- expenses reimbursed by
administrator (Note B) (30,558)
------------
Total net expenses 152,653
------------
Net investment income 673,957
------------
REALIZED GAIN ON INVESTMENTS FROM SERIES (NOTE A)
Net realized gain on investment securities 200
------------
Net increase in net assets resulting from
operations $ 674,157
------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
4
<PAGE>
STATEMENT OF CHANGES IN NET ASSETS
Neuberger&Berman Advisers Management Trust
- --------------------------------------------------------------------------------
Liquid Asset Portfolio
<TABLE>
<CAPTION>
Year Ended
December 31,
1996 1995
-----------------------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income $ 673,957 $ 575,710
Net realized gain on investments
from Series (Note A) 200 133
-----------------------------
Net increase in net assets resulting
from operations 674,157 575,843
-----------------------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
Net investment income (673,957) (575,710)
-----------------------------
FROM TRUST SHARE TRANSACTIONS:
Proceeds from shares sold 2,327,316 32,993,481
Proceeds from reinvestment of
dividends 752,967 468,404
Payments for shares redeemed (21,495,723) (6,866,682)
-----------------------------
Net increase (decrease) from Trust
share transactions (18,415,440) 26,595,203
-----------------------------
NET INCREASE (DECREASE) IN NET ASSETS (18,415,240) 26,595,336
NET ASSETS:
Beginning of year 31,879,454 5,284,118
-----------------------------
End of year $ 13,464,214 $ 31,879,454
-----------------------------
NUMBER OF TRUST SHARES:
Sold 2,327,316 32,993,481
Issued on reinvestment of dividends 752,967 468,404
Redeemed (21,495,723) (6,866,682)
-----------------------------
Net increase (decrease) in shares
outstanding (18,415,440) 26,595,203
-----------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
5
<PAGE>
NOTES TO FINANCIAL STATEMENTS
Neuberger&Berman Advisers Management Trust December 31, 1996
- --------------------------------------------------------------------------------
Liquid Asset Portfolio
NOTE A -- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:
1) GENERAL: Liquid Asset Portfolio (the "Fund") is a separate operating series
of Neuberger&Berman Advisers Management Trust (the "Trust"), a Delaware
business trust organized pursuant to a Trust Instrument dated May 23, 1994.
The Trust is currently comprised of six separate operating series (the
"Funds"). The Trust is registered as a diversified, open-end management
investment company under the Investment Company Act of 1940, as amended, and
its shares are registered under the Securities Act of 1933, as amended. The
predecessors of the Funds were converted into the Funds after the close of
business on April 28, 1995 (the "conversion"); these conversions were
approved by the shareholders of the predecessors of the Funds in August 1994.
The trustees of the Trust may establish additional series or classes of
shares without the approval of shareholders.
The assets of each fund belong only to that fund, and the liabilities of
each fund are borne solely by that fund and no other.
The Fund seeks to achieve its investment objective by investing all of its
net investable assets in AMT Liquid Asset Investments, a series of Advisers
Managers Trust (the "Series") having the same investment objective and
policies as the Fund. The value of the Fund's investment in the Series
reflects the Fund's proportionate interest in the net assets of the Series
(100% at December 31, 1996). The performance of the Fund is directly affected
by the performance of the Series. The financial statements of the Series,
including the Schedule of Investments, are included elsewhere in this report
and should be read in conjunction with the Fund's financial statements.
It is the policy of the Fund to maintain a continuous net asset value per
share of $1.00; the Fund has adopted certain investment, valuation, and
dividend and distribution policies, which conform to general industry
practice, to enable it to do so. However, there is no assurance the Fund will
be able to maintain a stable net asset value per share.
2) PORTFOLIO VALUATION: The Fund records its investment in the Series at value.
Investment securities held by the Series are valued by Advisers Managers
Trust as indicated in the notes following the Series' Schedule of
Investments.
3) FEDERAL INCOME TAXES: The Fund and the other series of the Trust are treated
as separate entities for Federal income tax purposes. It is the policy of the
Fund to continue to qualify as a regulated investment company by complying
with the provisions available to certain investment companies, as defined in
applicable sections of the Internal Revenue Code, and to make distributions
of investment company taxable income and net capital gains (after reduction
for any amounts available for Federal income tax purposes as capital loss
carryforwards) sufficient to relieve it from all, or substantially all,
Federal income taxes. Accordingly, the Fund paid no Federal income taxes and
no provision for Federal income taxes was required.
4) DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS: The Fund earns income, net of
Series expenses, daily on its investment in the Series. It is the policy of
the Fund to declare dividends from net investment income on each business
day; such dividends are paid and reinvested monthly. Distributions from net
realized capital gains, if any, are normally distributed in February. To the
extent the Fund's net realized capital gains, if any, can be offset by
capital loss carryforwards ($1,012 expiring in 2002, determined as of
December 31, 1996), it is the policy of the Fund not to distribute such
gains.
6
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Cont'd)
Neuberger&Berman Advisers Management Trust December 31, 1996
- --------------------------------------------------------------------------------
Liquid Asset Portfolio
The Fund distinguishes between dividends on a tax basis and a financial
reporting basis and only distributions in excess of tax basis earnings and
profits are reported in the financial statements as a return of capital.
Differences in the recognition or classification of income between the
financial statements and tax earnings and profits which result in temporary
over-distributions for financial statement purposes are classified as
distributions in excess of net investment income or accumulated net realized
gains.
5) EXPENSE ALLOCATION: Expenses directly attributable to a fund are charged to
that fund. Expenses not directly attributed to a fund are allocated, on the
basis of relative net assets, to each of the funds of the Trust.
6) OTHER: All net investment income and realized capital gains and losses of the
Series are allocated pro rata among the Fund and any other investors in the
Series.
NOTE B -- ADMINISTRATION FEES, DISTRIBUTION ARRANGEMENTS, AND OTHER TRANSACTIONS
WITH AFFILIATES:
Fund shares are issued and redeemed in connection with investments in and
payments under certain variable annuity contracts and variable life insurance
policies issued through separate accounts of life insurance companies.
The Fund retains Neuberger&Berman Management Incorporated ("Management") as
its administrator under an Administration Agreement ("Agreement") dated as of
May 1, 1995. Pursuant to this Agreement the Fund pays Management an
administration fee at the annual rate of .40% of the Fund's average daily net
assets and indirectly pays for investment management services through its
investment in the Series (see Note B of Notes to Financial Statements of the
Series). Prior to conversion, the predecessor of the Fund paid Management for
investment advisory and administrative services a fee at the annual rate of .50%
of its average daily net assets.
On April 16, 1993, the shareholders of the Trust adopted a distribution plan
("Plan") which provided that the predecessor to the Trust, on behalf of any of
its series, could reimburse Management after each calendar quarter for certain
distribution expenses in an amount not to exceed .25%, on an annual basis, of
that series' average daily net assets as of the close of such calendar quarter.
The Plan became effective on May 1, 1993, was implemented on November 1, 1993,
and was terminated on April 30, 1995. Effective May 1, 1995, the trustees of the
Trust adopted a non-fee distribution plan for each series of the Trust.
Management has voluntarily undertaken to limit the Fund's expenses by
reimbursing the Fund for its operating expenses and its pro rata share of its
Series' operating expenses (including the fees payable to Management, but
excluding interest, taxes, brokerage commissions, extraordinary expenses, and
transaction costs) which exceed, in the aggregate, 1% per annum of the Fund's
average daily net assets. This undertaking is subject to termination by
Management upon at least 60 days' prior written notice to the Fund, as it was
for its predecessor prior to the conversion. For the year ended December 31,
1996, such excess expenses amounted to $30,558.
All of the capital stock of Management is owned by individuals who are also
principals of Neuberger& Berman, LLC ("Neuberger"), a member firm of The New
York Stock Exchange and sub-adviser to the Series. Several individuals who are
officers and/or trustees of the Trust are also principals of Neuberger and/or
officers and/ or directors of Management.
The Series has an expense offset arrangement in connection with its custodian
contract. The impact of this arrangement, reflected in the Statement of
Operations under the caption Expenses from Series, is less than .01% of the
Fund's average daily net assets.
7
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Cont'd)
Neuberger&Berman Advisers Management Trust December 31, 1996
- --------------------------------------------------------------------------------
Liquid Asset Portfolio
NOTE C -- INVESTMENT TRANSACTIONS:
During the year ended December 31, 1996, additions and reductions in the
Fund's investment in its Series amounted to $2,011,699 and $21,419,993,
respectively.
8
<PAGE>
FINANCIAL HIGHLIGHTS
Neuberger&Berman Advisers Management Trust
- --------------------------------------------------------------------------------
Liquid Asset Portfolio
The following table includes selected data for a share outstanding throughout
each year and other performance information derived from the Financial
Statements. It should be read in conjunction with its Series' Financial
Statements and notes thereto.
<TABLE>
<CAPTION>
Year Ended December 31,
1996(1) 1995(1) 1994 1993 1992 1991 1990 1989 1988 1987
-------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Year $1.0000 $ .9997 $1.0009 $1.0002 $1.0001 $ .9999 $ .9998 $ .9998 $1.0000 $1.0002
-------------------------------------------------------------------------------------------
Income From Investment Operations
Net Investment Income .0443 .0493 .0328 .0233 .0320 .0547 .0730 .0826 .0648 .0550
Net Gains or Losses on
Securities (.0001)(2) .0003 -- .0014 .0002 .0002 .0001 -- (.0002) .0001
-------------------------------------------------------------------------------------------
Total From Investment
Operations .0442 .0496 .0328 .0247 .0322 .0549 .0731 .0826 .0646 .0551
-------------------------------------------------------------------------------------------
Less Distributions
Dividends (from net investment
income) (.0443) (.0493) (.0328) (.0233) (.0320) (.0547) (.0730) (.0826) (.0648) (.0550)
Distributions (from capital
gains) -- -- (.0012) (.0007) (.0001) -- -- -- -- (.0003)
-------------------------------------------------------------------------------------------
Total Distributions (.0443) (.0493) (.0340) (.0240) (.0321) (.0547) (.0730) (.0826) (.0648) (.0553)
-------------------------------------------------------------------------------------------
Net Asset Value, End of Year $ .9999 $1.0000 $ .9997 $1.0009 $1.0002 $1.0001 $ .9999 $ .9998 $ .9998 $1.0000
-------------------------------------------------------------------------------------------
Total Return(3) +4.52% +5.04% +3.46% +2.43% +3.25% +5.61% +7.55% +8.58% +6.68% +5.67%
-------------------------------------------------------------------------------------------
Ratios/Supplemental Data
Net Assets, End of Year (in
millions) $ 13.5 $ 31.9 $ 5.3 $ 6.8 $ 25.4 $ 21.5 $ 21.5 $ 11.5 $ 9.3 $ 8.1
-------------------------------------------------------------------------------------------
Ratio of Expenses to Average
Net Assets(4) 1.00% 1.01% 1.02% .88% .72% .74% .88% 1.00% 1.00% 1.00%
-------------------------------------------------------------------------------------------
Ratio of Net Investment Income
to Average Net Assets(4) 4.44% 4.90% 3.28% 2.34% 3.19% 5.47% 7.30% 8.28% 6.52% 5.69%
-------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL HIGHLIGHTS
9
<PAGE>
NOTES TO FINANCIAL HIGHLIGHTS
Neuberger&Berman Advisers Management Trust December 31, 1996
- --------------------------------------------------------------------------------
Liquid Asset Portfolio
1)The per share amounts and ratios which are shown reflect income and expenses,
including the Fund's proportionate share of the Series' income and expenses.
2)The amounts shown at this caption for a share outstanding throughout the
period may not accord with the change in aggregate gains and losses in
securities for the period because of the timing of sales and repurchases of
Fund shares.
3)Total return based on per share net asset value reflects the effects of
changes in net asset value on the performance of the Fund during each year and
assumes dividends and capital gain distributions, if any, were reinvested.
Results represent past performance and do not guarantee future results.
Investment returns and principal may fluctuate and shares when redeemed may be
worth more or less than original cost. Total return figures would have been
lower if Management had not reimbursed certain expenses. The total return
information shown does not reflect expenses that apply to the separate account
or the related insurance policies, and the inclusion of these charges would
reduce the total return figures for all years shown.
4)After reimbursement of expenses by Management as described in Note B of Notes
to Financial Statements. Had Management not undertaken such action the
annualized ratios to average daily net assets would have been:
<TABLE>
<CAPTION>
Year Ended December 31,
<S> <C> <C> <C> <C> <C> <C>
1996 1995 1994 1989 1988 1987
Expenses 1.21% 1.25% 1.03% 1.03% 1.25% 1.52%
Net Investment Income 4.23% 4.66% 3.27% 8.25% 6.27% 5.17%
</TABLE>
There was no reduction of expenses for the years ended December 31, 1990,
through and including 1993.
10
<PAGE>
REPORT OF INDEPENDENT AUDITORS
To the Board of Trustees of
Neuberger&Berman Advisers Management Trust and
Shareholders of Liquid Asset Portfolio
We have audited the accompanying Statement of Assets and Liabilities of
Liquid Asset Portfolio, one of the series comprising Neuberger&Berman Advisers
Management Trust (the "Trust"), as of December 31, 1996, and the related
Statement of Operations for the year then ended, the Statement of Changes in Net
Assets for each of the two years in the period then ended, and the Financial
Highlights for each of the periods indicated therein. These financial statements
and financial highlights are the responsibility of the Trust's management. Our
responsibility is to express an opinion on these financial statements and
financial highlights based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements and financial
highlights are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements and financial highlights. An audit also includes assessing the
accounting principles used and significant estimates made by management, as well
as evaluating the overall financial statement presentation. We believe that our
audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of Liquid
Asset Portfolio of Neuberger&Berman Advisers Management Trust at December 31,
1996, the results of its operations for the year then ended, the changes in its
net assets for each of the two years in the period then ended, and the financial
highlights for each of the periods indicated therein, in conformity with
generally accepted accounting principles.
[SIGNATURE]
/s/ ERNST & YOUNG LLP
Boston, Massachusetts
January 27, 1997
11
<PAGE>
SCHEDULE OF INVESTMENTS
Advisers Managers Trust December 31, 1996
- --------------------------------------------------------------------------------
AMT Liquid Asset Investments
<TABLE>
<CAPTION>
Principal Rating(1)
Amount Moody's S&P Value(2)
- --------- ----------- --------- -----------
<C> <S> <C> <C> <C>
U.S. GOVERNMENT AGENCY
SECURITIES (12.2%)
$ 259,000 Federal Home Loan Mortgage
Corp., Discount Notes, 5.45%,
due 1/6/97 AGY AGY $ 258,804
208,000 Federal Home Loan Mortgage
Corp., Discount Notes, 5.32%,
due 2/7/97 AGY AGY 206,863
590,000 Federal National Mortgage
Association, Discount Notes,
5.48%, due 3/24/97 AGY AGY 582,636
600,000 Federal National Mortgage
Association, Variable Rate
Medium-Term Notes, Ser. B,
5.42766%, due 9/12/97 AGY AGY 599,736
-----------
TOTAL U.S. GOVERNMENT AGENCY
SECURITIES 1,648,039
-----------
ASSET-BACKED COMMERCIAL PAPER
(4.4%)
600,000 Corporate Receivables Corp.,
5.42%, due 1/9/97 P-1 A-1 599,277
-----------
CORPORATE COMMERCIAL PAPER
(75.9%)
545,000 Procter & Gamble Co., 5.40%,
due 1/7/97 P-1 A-1+ 544,510
545,000 Raytheon Co., 5.33%, due
1/9/97 P-1 A-1 544,354
335,000 Interstate Power Co., 5.40%,
due 1/15/97 P-1 A-1 334,296
500,000 Glaxo Wellcome PLC, 5.32%, due
1/21/97 P-1 A-1+ 498,522
600,000 Australian Wheat Board, 5.27%,
due 1/22/97 P-1 A-1+ 598,155
600,000 Fluor Corp., 5.34%, due
1/29/97 P-1 A-1 597,508
500,000 Hitachi America, Ltd., 5.40%,
due 2/7/97 P-1 A-1+ 497,225
600,000 A/S Eksportfinans, 5.40%, due
2/10/97 P-1 A-1+ 596,400
464,000 National Australia Funding
Delaware Inc., 5.35%, due
2/12/97 P-1 A-1+ 461,104
220,000 Kingdom of Sweden, 5.45%, due
2/14/97 P-1 A-1+ 218,535
223,000 MetLife Funding, Inc., 5.30%,
due 2/14/97 P-1 A-1+ 221,555
500,000 AON Corp., 5.28%, due 2/24/97 P-1 A-1+ 496,040
600,000 Province of British Columbia,
Canada, 5.32%, due 4/2/97 P-1 A-1+ 591,931
500,000 Ameritech Corp., 5.31%, due
4/21/97 P-1 A-1+ 491,887
500,000 Swedish Export Credit Corp.,
5.315%, due 4/22/97 P-1 A-1+ 491,806
250,000 Air Products & Chemicals,
Inc., 5.30%, due 4/25/97 P-1 A-1 245,804
500,000 Pitney Bowes Credit Corp.,
5.28%, due 5/2/97 P-1 A-1+ 491,127
500,000 American Express Credit Corp.,
5.28%, due 5/5/97 P-1 A-1 490,907
600,000 General Electric Capital
Corp., 5.27%, due 5/13/97 P-1 A-1+ 588,406
300,000 Caisse d'Amortissement de la
Dette Sociale, 5.32%, due
5/20/97 P-1 A-1+ 293,838
515,000 Prudential Funding Corp.,
5.26%, due 5/20/97 P-1 A-1+ 504,541
500,000 AT&T Capital Corp., 5.25%, due
6/2/97 P-1 A-1+ 488,917
-----------
TOTAL CORPORATE COMMERCIAL
PAPER 10,287,368
-----------
</TABLE>
12
<PAGE>
SCHEDULE OF INVESTMENTS (Cont'd)
Advisers Managers Trust December 31, 1996
- --------------------------------------------------------------------------------
AMT Liquid Asset Investments
<TABLE>
<CAPTION>
Principal Rating(1)
Amount Moody's S&P Value(2)
- --------- ----------- --------- -----------
<C> <S> <C> <C> <C>
CORPORATE DEBT SECURITIES
(7.4%)
$ 500,000 Morgan Stanley Group Inc.,
Variable Rate Senior
Medium-Term Notes, Ser. C,
5.51125%, due 7/10/97 P-1 A-1+ $ 500,000
500,000 First Union National Bank of
North Carolina, Bank Notes,
4.91%, due 12/19/97 P-1 A-1 500,000
-----------
TOTAL CORPORATE DEBT
SECURITIES 1,000,000
-----------
TOTAL INVESTMENTS (99.9%) 13,534,684
Cash, receivables and other
assets, less liabilities
(0.1%) 17,378
-----------
TOTAL NET ASSETS (100.0%) $13,552,062
-----------
</TABLE>
SEE NOTES TO SCHEDULE OF INVESTMENTS
13
<PAGE>
NOTES TO SCHEDULE OF INVESTMENTS
Advisers Managers Trust December 31, 1996
- --------------------------------------------------------------------------------
AMT Liquid Asset Investments
1)Credit ratings are unaudited.
2)Investment securities of the Series are valued at amortized cost, which
approximates Federal income tax cost.
SEE NOTES TO FINANCIAL STATEMENTS
14
<PAGE>
STATEMENT OF ASSETS AND LIABILITIES
Advisers Managers Trust
- --------------------------------------------------------------------------------
AMT Liquid Asset Investments
<TABLE>
<CAPTION>
December 31,
1996
--------------
<S> <C>
ASSETS
Investments in securities, at value* (Note
A) -- see Schedule of Investments $ 13,534,684
Cash 1,764
Deferred organization costs (Note A) 14,873
Interest receivable 9,061
Prepaid expenses and other assets 426
--------------
13,560,808
--------------
LIABILITIES
Accrued expenses 5,884
Payable to investment manager (Note B) 2,862
--------------
8,746
--------------
NET ASSETS Applicable to Investors' Beneficial
Interests $ 13,552,062
--------------
NET ASSETS consist of:
Paid-in capital $ 13,552,062
--------------
NET ASSETS $ 13,552,062
--------------
*Cost of investments $ 13,534,684
--------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
15
<PAGE>
STATEMENT OF OPERATIONS
Advisers Managers Trust
- --------------------------------------------------------------------------------
AMT Liquid Asset Investments
<TABLE>
<CAPTION>
For the
Year Ended
December 31,
1996
------------
<S> <C>
INVESTMENT INCOME
Interest income $ 826,610
------------
Expenses:
Investment management fee (Note B) 38,108
Custodian fees (Note B) 27,503
Accounting fees 10,000
Amortization of deferred organization and
initial offering expenses (Note A) 4,477
Legal fees 1,181
Trustees' fees and expenses 691
Auditing fees 652
Insurance expense 200
Miscellaneous 27
------------
Total expenses 82,839
------------
Net investment income 743,771
------------
REALIZED GAIN ON INVESTMENTS
Net realized gain on investment securities
sold 200
------------
Net increase in net assets resulting from
operations $ 743,971
------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
16
<PAGE>
STATEMENT OF CHANGES IN NET ASSETS
Advisers Managers Trust
- --------------------------------------------------------------------------------
AMT Liquid Asset Investments
<TABLE>
<CAPTION>
Period from
May 1, 1995
(Commencement
of
Operations)
Year Ended to
December 31, December 31,
1996 1995
-----------------------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income $ 743,771 $ 535,817
Net realized gain (loss) on
investments 200 (1)
-----------------------------
Net increase in net assets resulting
from operations 743,971 535,816
-----------------------------
TRANSACTIONS IN INVESTORS' BENEFICIAL
INTERESTS:
Additions 2,011,699 30,158,896
Reductions (21,419,993) (4,521,069)
-----------------------------
Net increase (decrease) in net
assets resulting from transactions
in investors' beneficial interests (19,408,294) 25,637,827
-----------------------------
NET INCREASE (DECREASE) IN NET ASSETS (18,664,323) 26,173,643
NET ASSETS:
Beginning of year 32,216,385 6,042,742
-----------------------------
End of year $ 13,552,062 $ 32,216,385
-----------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
17
<PAGE>
NOTES TO FINANCIAL STATEMENTS
Advisers Managers Trust December 31, 1996
- --------------------------------------------------------------------------------
AMT Liquid Asset Investments
NOTE A -- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:
1) GENERAL: AMT Liquid Asset Investments (the "Series") is a separate operating
series of Advisers Managers Trust ("Managers Trust"), a New York common law
trust organized as of May 24, 1994. Managers Trust is currently comprised of
six separate operating series. Managers Trust is registered as a diversified,
open-end management investment company under the Investment Company Act of
1940, as amended. After the close of business on April 28, 1995, each series
of Neuberger&Berman Advisers Management Trust invested all of its net
investable assets (cash, securities, and receivables relating to securities)
in a corresponding series of Managers Trust, receiving a beneficial interest
in that series.
The assets of each series belong only to that series, and the liabilities
of each series are borne solely by that series and no other.
2) PORTFOLIO VALUATION: Investment securities are valued as indicated in the
notes following the Series' Schedule of Investments.
3) SECURITIES TRANSACTIONS AND INVESTMENT INCOME: Securities transactions are
recorded on a trade date basis. Interest income, including accretion of
discount and amortization of premium, where applicable, is recorded on a
constant basis to maturity. Realized gains and losses from securities
transactions are recorded on the basis of identified cost.
4) FEDERAL INCOME TAXES: Managers Trust intends to comply with the requirements
of the Internal Revenue Code of 1986, as amended. Each Series of Managers
Trust also intends to conduct its operations so that each of its investors
will be able to qualify as a regulated investment company. Each Series will
be treated as a partnership for Federal income tax purposes and is therefore
not subject to Federal income tax.
5) ORGANIZATION EXPENSES: Expenses incurred by the Series in connection with its
organization are being amortized by the Series on a straight-line basis over
a five-year period. At December 31, 1996, the unamortized balance of such
expenses amounted to $14,873.
6) EXPENSE ALLOCATION: Expenses directly attributable to a series are charged to
that series. Expenses not directly attributed to a series are allocated, on
the basis of relative net assets, to each of the series of Managers Trust.
NOTE B -- MANAGEMENT FEES AND OTHER TRANSACTIONS WITH AFFILIATES:
The Series retains Neuberger&Berman Management Incorporated ("Management") as
its investment manager under a Management Agreement dated as of May 1, 1995. For
such investment management services, the Series pays Management a fee at the
annual rate of .25% of the first $500 million of the Series' average daily net
assets, .225% of the next $500 million, .20% of the next $500 million, .175% of
the next $500 million, and .15% of average daily net assets in excess of $2
billion.
All of the capital stock of Management is owned by individuals who are also
principals of Neuberger& Berman, LLC ("Neuberger"), a member firm of The New
York Stock Exchange and sub-adviser to the Series. Neuberger is retained by
Management to furnish it with investment recommendations and research
information without cost to the Series. Several individuals who are officers
and/or trustees of Managers Trust are also principals of Neuberger and/or
officers and/or directors of Management.
The Series has an expense offset arrangement in connection with its custodian
contract. The impact of this arrangement, reflected in the Statement of
Operations, is less than .01% of the Series' average daily net assets.
18
<PAGE>
FINANCIAL HIGHLIGHTS
Advisers Managers Trust
- --------------------------------------------------------------------------------
AMT Liquid Asset Investments
<TABLE>
<CAPTION>
Period from
May 1, 1995
(Commencement
of
Operations)
Year Ended to
December 31, December 31,
1996 1995
-----------------------------
<S> <C> <C>
RATIOS TO AVERAGE NET ASSETS:
Expenses .54% .55%(1)
-----------------------------
Net Investment Income 4.88% 5.31%(1)
-----------------------------
Net Assets, End of Year (in millions) $13.6 $32.2
-----------------------------
</TABLE>
1) Annualized.
19
<PAGE>
REPORT OF INDEPENDENT AUDITORS
To the Board of Trustees of
Advisers Managers Trust and
Owners of Beneficial Interest of AMT Liquid Asset Investments
We have audited the accompanying Statement of Assets and Liabilities,
including the Schedule of Investments, of AMT Liquid Asset Investments, one of
the series comprising Advisers Managers Trust (the "Trust"), as of December 31,
1996, and the related Statement of Operations for the year then ended, and the
Statement of Changes in Net Assets and the Financial Highlights for the year
then ended and for the period from May 1, 1995 (Commencement of Operations), to
December 31, 1995. These financial statements and financial highlights are the
responsibility of the Trust's management. Our responsibility is to express an
opinion on these financial statements and financial highlights based on our
audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements and financial
highlights are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements and financial highlights. Our procedures included confirmation of
securities owned as of December 31, 1996, by correspondence with the custodian
and brokers or other appropriate auditing procedures where replies from brokers
were not received. An audit also includes assessing the accounting principles
used and significant estimates made by management, as well as evaluating the
overall financial statement presentation. We believe that our audits provide a
reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of AMT
Liquid Asset Investments of Advisers Managers Trust at December 31, 1996, the
results of its operations for the year then ended, and the changes in its net
assets and the financial highlights for the year then ended and for the period
from May 1, 1995 (Commencement of Operations), to December 31, 1995, in
conformity with generally accepted accounting principles.
[SIGNATURE]
/s/ ERNST & YOUNG LLP
Boston, Massachusetts
January 27, 1997
20
