<PAGE>
BALANCED PORTFOLIO
NEUBERGER BERMAN
ADVISERS MANAGEMENT TRUST
SEMI-ANNUAL REPORT
JUNE 30, 2000
A0077 08/00
<PAGE>
PORTFOLIO MANAGERS' COMMENTARY
Neuberger Berman Advisers Management Trust June 30, 2000
--------------------------------------------------------------------------------
Balanced Portfolio
JENNIFER SILVER & BROOKE COBB, TED GIULIANO & CATHERINE WATERWORTH, PORTFOLIO
CO-MANAGERS
The Portfolio provided a 10.31% total return during the first six months of
2000, while its benchmarks, the Russell Midcap-TM- Growth Index and the Merrill
Lynch 1-3 Year Treasury Index, provided a 12.15% and a 2.99% total return,
respectively.(1)
The U.S. fixed-income market was wracked by volatility in the first half of
the year, due in large part to three short-term interest rate increases,
totaling 100 basis points, by the Federal Reserve Board. These were part of the
Fed's continued attempt to forestall a re-acceleration of inflation in a
fast-growing economy. It has raised rates a total of 175 basis points since June
1999. U.S. Treasury securities performed best in this environment, while
corporate securities and other higher yield/higher risk market sectors generally
lagged.
In addition to the Fed's tightening, a series of factors depressed valuations
of corporate bonds, agency bonds and other non-Treasury securities. These
factors included the U.S. Treasury Department's announcement of plans for large
debt buybacks, and proposed legislation in Congress to remove the implied credit
guarantee backing U.S. government agency debt. Given that U.S. Treasury bonds
were the best performing sector during the period, diversified bond portfolio
strategies were hurt. But, after five months of increasing spreads, the
corporate sector finally began to perform well in June, as did other
non-Treasury sectors such as mortgage-backed and agency securities.
We are cautiously optimistic about the limited-term bond markets' future
prospects. Toward the end of the first half, we began to see signs of a
potential economic slow-down -- which may indicate that the Fed's tightening
policies are beginning to work. If interest-rate hikes ultimately slow the
economy without triggering a recession, the Fed may soon refrain from raising
interest rates further, and bond yields should begin to trend downward,
benefiting all fixed-income sectors.
On the equity side of the portfolio, technology stock volatility was the big
story in the first half of 2000. For the first two months of the year, investors
seemingly couldn't get enough of technology. Beginning in the middle of March,
they couldn't get rid of it fast enough. The sharp correction was largely
indiscriminate. Almost everything with a technology label sold off, regardless
of earnings dynamics. Tech stocks began rebounding in late May and rallied
through June. The advance was much more selective. Technology stocks that
delivered on their earnings promise excelled and those that didn't were left
stranded.
With more than half of its equity assets devoted to technology stocks (54.6%
of total equity market value as of June 30, 2000), the portfolio followed this
performance pattern. Prior to the tech stock correction, the entire portfolio
was up approximately 27%. Near the tech sector's bottom, it was down about 7%.
The earnings driven tech stock rally helped the portfolio close the reporting
period with a solid gain. It is worth noting that the Nasdaq Composite Index,
the most widely followed tech stock benchmark, finished the first half of 2000
with a -2.54% loss.
Our focus has been on what we call "new technology" companies, most notably
those providing the materials and tools to build out high speed communications
systems and the Internet infrastructure. These companies are earning good money
and we believe can continue to consistently grow earnings at attractive rates
that meet or beat consensus earnings projections. We avoided the profitless
"dot-coms," and more cyclical "old technology" companies, which we believed were
vulnerable to earnings disappointments. While this strategy wasn't as helpful as
we had hoped during the indiscriminate technology stock correction, it certainly
benefited the portfolio in the earnings-driven rally at the end of this
reporting period.
A-1
<PAGE>
Our health care investments (12.6% of total equity market value) also
prospered. Similar to our approach to the technology sector, we focused on
companies providing new products and services, particularly biotechnology and
genomic companies. This group was also volatile, but once again companies that
delivered superior earnings performed exceptionally well, while those that
proved more sizzle than substance faded. Although the portfolio had modest
weightings in energy (4.3% of total equity market value) and utilities (3.7% of
total equity market value), our investments in these sectors delivered excellent
returns.
Our consumer cyclicals and consumer staples holdings (4.1% and 8.1% of total
equity market value, respectively) disappointed. Several portfolio companies
reported earnings shortfalls and, true to our discipline, we eliminated them
from the portfolio. The vast majority of our selections met or surpassed
earnings projections, but still declined as investors abandoned the group in
fear that higher interest rates would restrain profitability.
Looking ahead, we believe technology will remain the economy's strongest
growth engine. In 1998-99, a lot of tech spending went to making systems Y2K
ready. Over the next several years, we believe it will go to building high-
speed communications systems and further developing Internet capabilities. We
believe the portfolio is well positioned in front of this wave of spending.
Sincerely,
<TABLE>
<S> <C> <C> <C>
/s/ /s/ /s/ /s/
Ted Giuliano Catherine Waterworth Jennifer Silver Brooke Cobb
PORTFOLIO CO-MANAGER PORTFOLIO CO-MANAGER PORTFOLIO CO-MANAGER PORTFOLIO CO-MANAGER
</TABLE>
(1)44.20%, 17.64%, and 13.33% were the average annual total returns for the 1-,
5-, and 10-year for periods ended June 30, 2000. Neuberger Berman Management
Inc. ("NBMI") has agreed to absorb certain expenses of the AMT Portfolios.
Without this arrangement, which is subject to change, the total returns of
the Portfolios would be less. Total return includes reinvestment of dividends
and capital gains distributions. Performance data quoted represents past
performance and the investment return principal value of an investment will
fluctuate so that the shares, when redeemed, may be worth more or less than
their original cost. The performance information does not reflect fees and
expenses charged under the variable insurance contracts.
The Russell Midcap Growth Index measures the performance of those Russell
Midcap-TM- Index companies with higher price-to-book ratios and higher
forecasted growth values. The Russell Midcap Index measures the performance
of the 800 smallest companies in the Russell 1000-Registered Trademark-
Index, which represents approximately 26% of the total market capitalization
of the Russell 1000 Index (which, in turn, consists of the 1,000 largest U.S.
companies, based on market capitalization). The Merrill Lynch 1-3 Year
Treasury Index is an unmanaged total return market value index consisting of
all coupon-bearing U.S. Treasury publicly placed debt securities with
maturities between 1 to 3 years.
Please note that indices do not take into account any fees and expenses of
investing in the individual securities that they track, and that individuals
cannot invest in any index. Data about the performance of these indices are
prepared or obtained by NBMI and include reinvestment of all dividends and
capital gain distributions. The Portfolio may invest in many securities not
included in the above-described indices.
The investments for the Portfolio are managed by the same portfolio
manager(s) who manage one or more other mutual funds that have similar names,
investment objectives and investment styles as the Portfolio. You should be
aware that the Portfolio is likely to differ from the other mutual funds in
size, cash flow pattern and tax matters. Accordingly, the holdings and
performance of the Portfolio can be expected to vary from those of the other
mutual funds.
The composition, industries and holdings of the Portfolio are subject to
change.
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 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 and are also
available as an underlying investment fund for certain qualified retirement
plans.
A-2
<PAGE>
SCHEDULE OF INVESTMENTS
Neuberger Berman Advisers Management Trust June 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
Balanced Portfolio
<TABLE>
<CAPTION>
Number Market
of Shares Value(1)
--------------------- ------------
<C> <S> <C>
COMMON STOCKS (65.6%)
BUSINESS SERVICES (2.4%)
54,900 Concord EFS $ 1,427,400
17,900 CSG Systems International 1,003,519
23,700 Fiserv, Inc. 1,025,025
9,700 Tektronix, Inc. 717,800
------------
4,173,744
------------
CAPITAL GOODS (0.9%)
13,100 Waters Corp. 1,635,044
------------
COMMUNICATIONS (5.7%)
21,000 Comverse Technology 1,953,000
6,300 E-Tek Dynamics 1,662,019
18,100 Efficient Networks 1,331,481
11,200 JDS Uniphase 1,342,600
7,200 Next Level Communications 617,400
22,825 NTL Inc. 1,366,647
8,800 Redback Networks 1,566,400
------------
9,839,547
------------
CONSUMER CYCLICALS (5.6%)
38,600 Emmis Communications 1,597,075
21,600 Entercom Communications 1,053,000
30,400 Gemstar International Group 1,868,175
24,000 Harley-Davidson 924,000
17,700 Univision Communications 1,831,950
28,700 USA Networks 620,638
50,100 Westwood One 1,709,662
------------
9,604,500
------------
CONSUMER STAPLES (0.5%)
18,700 Estee Lauder 924,481
------------
ELECTRICAL EQUIPMENT (10.3%)
7,400 Altera Corp. 754,338
10,000 Analog Devices 760,000
19,300 Applied Micro Circuits 1,905,875
</TABLE>
<TABLE>
<CAPTION>
Number Market
of Shares Value(1)
--------------------- ------------
<C> <S> <C>
40,800 Atmel Corp. $ 1,504,500
5,100 Broadcom Corp. 1,116,581
3,900 Brocade Communications Systems 715,589
37,400 Conexant Systems 1,818,575
11,200 GlobeSpan, Inc. 1,367,275
14,500 Integrated Device Technology 868,188
21,700 Intersil Holding 1,173,156
18,700 Jabil Circuit 927,988
25,500 KLA-Tencor 1,493,344
15,100 Millipore Corp. 1,138,162
13,300 National Semiconductor 754,775
5,100 PMC-Sierra 906,206
3,600 Rambus Inc. 370,800
5,900 Vishay Intertechnology 223,831
------------
17,799,183
------------
ENERGY (5.3%)
41,600 Calpine Corporation 2,735,200
16,500 Coastal Corp. 1,004,438
20,400 Cooper Cameron 1,346,400
7,500 Dynegy Inc. 512,344
55,300 Rowan Companies 1,679,737
48,800 Union Pacific Resources Group 1,073,600
19,600 Weatherford International 780,325
------------
9,132,044
------------
FINANCIAL SERVICES (1.8%)
18,300 Capital One Financial 816,638
11,500 eSPEED, Inc. 499,531
8,400 Lehman Brothers Holdings 794,325
11,800 Providian Financial 1,062,000
------------
3,172,494
------------
HARDWARE (3.2%)
20,700 Flextronics International 1,421,831
17,200 Network Appliance 1,384,600
</TABLE>
B-1
<PAGE>
SCHEDULE OF INVESTMENTS (Cont'd)
Neuberger Berman Advisers Management Trust June 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
Balanced Portfolio
<TABLE>
<CAPTION>
Number Market
of Shares Value(1)
--------------------- ------------
<C> <S> <C>
4,900 QLogic Corp. $ 323,706
27,600 Sanmina Corp. 2,359,800
------------
5,489,937
------------
HEALTH CARE (8.3%)
5,600 ALZA Corp. 331,100
15,500 Forest Laboratories 1,565,500
53,700 Health Management Associates 701,456
5,900 Human Genome Sciences 786,913
7,700 IDEC Pharmaceuticals 903,306
15,100 Immunex Corp. 746,506
13,950 King Pharmaceuticals 612,056
26,700 MedImmune, Inc. 1,975,800
9,800 Millennium Pharmaceuticals 1,096,375
12,700 MiniMed Inc. 1,498,600
22,000 PE Corp.-PE Biosystems Group 1,449,250
13,600 QLT PhotoTherapeutics 1,051,450
12,800 Sepracor Inc. 1,544,000
------------
14,262,312
------------
INTERNET (8.1%)
14,200 Art Technology Group 1,433,312
14,700 BroadVision, Inc. 746,944
9,300 Clarent Corp. 664,950
12,800 Digex, Inc. 869,600
37,700 Intuit Inc. 1,559,837
16,500 Phone.com 1,074,563
47,400 Portal Software 3,027,675
11,200 PurchasePro.com 459,200
26,700 Safeguard Scientifics 856,069
8,400 VeriSign, Inc. 1,482,600
34,000 Vignette Corp. 1,768,531
------------
13,943,281
------------
</TABLE>
<TABLE>
<CAPTION>
Number Market
of Shares Value(1)
--------------------- ------------
<C> <S> <C>
RETAIL (3.0%)
24,100 Best Buy $ 1,524,325
44,600 Limited, Inc. 964,475
4,500 Quaker Oats 338,062
28,000 Starbucks Corp. 1,069,250
17,900 Tiffany & Co. 1,208,250
------------
5,104,362
------------
SOFTWARE (6.3%)
8,900 Adobe Systems 1,157,000
37,800 Bea Systems 1,868,737
8,000 Mercury Interactive 774,000
7,900 Micromuse Inc. 1,307,327
49,800 Peregrine Systems 1,727,438
20,300 Rational Software 1,886,631
13,100 RealNetworks, Inc. 662,369
14,100 VERITAS Software 1,593,520
------------
10,977,022
------------
TELECOMMUNICATIONS (4.2%)
20,100 Amdocs Limited 1,542,675
25,800 Intermedia Communications 767,550
40,900 McLeodUSA Inc. 846,119
30,600 Metromedia Fiber Network 1,214,437
2,900 SDL, Inc. 827,044
7,900 VoiceStream Wireless 918,745
33,300 WinStar Communications 1,128,038
------------
7,244,608
------------
TOTAL COMMON STOCKS
(COST $81,280,840) 113,302,559
------------
</TABLE>
B-2
<PAGE>
SCHEDULE OF INVESTMENTS (Cont'd)
Neuberger Berman Advisers Management Trust June 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
Balanced Portfolio
<TABLE>
<CAPTION>
Principal Rating Market
Amount Moody's S&P Value(1)
--------------------- -------- -------- ------------
<C> <S> <C> <C> <C>
U.S. TREASURY SECURITIES
(7.3%)
$ 3,250,000 U.S. Treasury Notes, 6.375%,
due 9/30/01 TSY TSY $ 3,243,906
610,000 U.S. Treasury Notes, 5.875%,
due 10/31/01 TSY TSY 605,044
1,485,000 U.S. Treasury Notes, 6.50%,
due 3/31/02 TSY TSY 1,485,465
3,130,000 U.S. Treasury Notes, 5.50%,
due 5/31/03 TSY TSY 3,059,575
3,675,000 U.S. Treasury Notes, 5.75%,
due 8/15/03 TSY TSY 3,611,838
594,253 U.S. Treasury
Inflation-Indexed Notes,
3.375%, due 1/15/07 TSY TSY 570,297
------------
TOTAL U.S. TREASURY SECURITIES
(COST $12,530,688) 12,576,125
------------
U.S. GOVERNMENT AGENCY
SECURITIES (5.9%)
1,500,000 Fannie Mae, Discount Notes,
6.42%, due 8/24/00 AGY AGY 1,485,555
8,580,000 Fannie Mae, Notes, 4.625%,
due 10/15/01 AGY AGY 8,343,913
495,000 Freddie Mac, Notes, 5.75%,
due 7/15/03 AGY AGY 478,151
------------
TOTAL U.S. GOVERNMENT AGENCY
SECURITIES (COST $10,261,840) 10,307,619
------------
MORTGAGE-BACKED SECURITIES
(3.8%)
276,873 GE Capital Mortgage Services,
Inc., REMIC Pass-Through
Certificates, Ser. 1998-25,
Class B3, 6.25%, due 12/25/28 BB(2) 193,422(3)
361,097 PNC Mortgage Securities Corp.,
Pass-Through Certificates,
Ser. 1999-1, Class 1B4,
6.25%, due 2/25/29 BB(2) 240,637(3)
494,378 GE Capital Mortgage Services,
Inc., REMIC Pass-Through
Certificates, Ser. 1999-11,
Class B3, 6.50%, due 7/25/29 BB(2) 345,060(3)
195,000 Morgan Stanley Capital I Inc.,
Commercial Mortgage
Pass-Through Certificates,
Ser. 1998-HF2, 6.01%,
due 11/15/30 BB(2) 133,423(3)
FANNIE MAE
869,281 Pass-Through Certificates,
7.00%, due 6/1/11 AGY AGY 863,047
876,218 Pass-Through Certificates,
6.50%, due 5/1/13 AGY AGY 849,865
GOVERNMENT NATIONAL MORTGAGE ASSOCIATION
3,439,543 Pass-Through Certificates,
6.50%, due 2/15/29 - 8/15/29 AGY AGY 3,268,494
624,609 Pass-Through Certificates,
8.00%, due 5/15/30 AGY AGY 631,245
------------
TOTAL MORTGAGE-BACKED
SECURITIES (COST $6,559,885) 6,525,193
------------
ASSET-BACKED SECURITIES (2.9%)
310,000 Honda Auto Lease Trust,
Ser. 1999-A, Class A4, 6.45%,
due 9/16/02 Aaa AAA 307,886
1,420,000 Chase Credit Card Master
Trust, Ser. 1997-2, Class A,
6.30%, due 4/15/03 Aaa AAA 1,418,963
97,032 Navistar Financial Owner
Trust, Ser. 1996-B,
Class A-3, 6.33%, due 4/21/03 Aaa AAA 97,016
</TABLE>
B-3
<PAGE>
SCHEDULE OF INVESTMENTS (Cont'd)
Neuberger Berman Advisers Management Trust June 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
Balanced Portfolio
<TABLE>
<CAPTION>
Principal Rating Market
Amount Moody's S&P Value(1)
--------------------- -------- -------- ------------
<C> <S> <C> <C> <C>
$ 154,489 Chevy Chase Auto Receivables
Trust, Ser. 1996-2, Class A,
5.90%, due 7/15/03 Aaa AAA $ 153,595
570,000 Capital Auto Receivables Asset
Trust, Ser. 2000-1, Class A3,
6.96%, due 11/17/03 Aaa AAA 568,495
140,000 DaimlerChrysler Auto Trust,
Auto Loan Certificates,
Ser. 2000-A, Class A3, 7.09%,
due 12/6/03 Aaa AAA 140,024
1,350,000 Ford Credit Auto Owner Trust,
Ser. 2000-C, Class A4, 7.24%,
due 2/15/04 Aaa AAA 1,352,531
970,000 Nissan Auto Receivables Owner
Trust, Ser. 2000-B, Class A3,
7.25%, due 4/15/04 Aaa AAA 973,715
------------
TOTAL ASSET-BACKED SECURITIES
(COST $5,008,152) 5,012,225
------------
BANKS & FINANCIAL INSTITUTIONS
(4.4%)
725,000 Countrywide Home Loans, Inc.,
Notes, 5.62%, due 10/16/00 A3 A 722,131
485,000 Dime Bancorp, Inc., Senior
Notes, 6.375%, due 1/30/01 Ba1 BBB- 481,172
1,420,000 Capital One Bank, Bank Notes,
5.95%, due 2/15/01 Baa2 BBB- 1,409,667
970,000 Morgan Stanley, Dean Witter, &
Co., Global Medium-Term Notes,
Ser. C, 6.09%, due 3/9/01 Aa3 AA- 959,476
690,000 Household Finance Corp.,
Senior Medium-Term Notes,
6.06%, due 5/14/01 A2 A 682,543
285,000 Dime Bancorp, Inc., Senior
Notes, 7.00%, due 7/25/01 Ba1 BBB- 282,274
200,000 Reliant Energy Finance Co.,
Notes, 7.40%, due 11/15/02 Baa1 BBB 197,020(3)
400,000 Heller Financial Inc., Notes,
7.875%, due 5/15/03 A3 A- 398,789
680,000 Lehman Brothers Holdings,
Inc., Medium-Term Notes,
Ser. E, 7.00%, due 5/15/03 A3 A 663,743
580,000 Household Finance Corp.,
Notes, 7.00%, due 8/1/03 A2 A 568,452
500,000 Paine Webber Group, Inc.,
Notes, 6.45%, due 12/1/03 Baa1 BBB+ 477,364
335,000 Caterpillar Financial Services
Corp., Notes, 6.875%,
due 8/1/04 A2 A+ 329,391
235,000 Morgan Stanley, Dean Witter, &
Co ., Notes, 7.75%,
due 6/15/05 Aa3 AA- 236,225
190,000 Bank United Corp., Medium-Term
Notes, Ser. A, 8.00%,
due 3/15/09 Ba2 BBB- 168,890
------------
TOTAL BANKS & FINANCIAL
INSTITUTIONS (COST $7,638,591) 7,577,137
------------
CORPORATE DEBT SECURITIES
(7.6%)
520,000 Chesapeake Corp., Notes,
10.375%, due 10/1/00 Ba2 BB+ 522,335
514,000 Safeway Inc., Notes, 5.75%,
due 11/15/00 Baa2 BBB 511,456
625,000 AT&T Capital Corp., Notes,
6.875%, due 1/16/01 A1 A+ 624,217
275,000 Tyco International Group S.A.,
Notes, 6.125%, due 6/15/01 Baa1 A- 271,542
325,000 CMS Energy Corp., Senior
Notes, 8.00%, due 7/1/01 Ba3 BB 320,033
</TABLE>
B-4
<PAGE>
SCHEDULE OF INVESTMENTS (Cont'd)
Neuberger Berman Advisers Management Trust June 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
Balanced Portfolio
<TABLE>
<CAPTION>
Principal Rating Market
Amount Moody's S&P Value(1)
--------------------- -------- -------- ------------
<C> <S> <C> <C> <C>
$ 100,000 Telecom Argentina Stet-France
S.A., Medium-Term Notes,
9.75%, due 7/12/01 B1 BBB- $ 100,000(3)
520,000 Colonial Realty Limited
Partnership, Senior Notes,
7.50%, due 7/15/01 Baa3 BBB- 515,166
230,000 USA Waste Services, Inc.,
Senior Notes, 6.125%,
due 7/15/01 Ba1 BBB 222,708
400,000 Cox Communications, Inc.,
Notes, 7.00%, due 8/15/01 Baa2 BBB+ 397,902
655,000 Texas Utilities Co., Notes,
5.94%, due 10/15/01 Baa3 BBB 642,634
500,000 Tyco International Ltd.,
Notes, 6.50%, due 11/1/01 A3 A- 497,136
401,000 Marlin Water Trust, Senior
Secured Notes, 7.09%,
due 12/15/01 Baa1 BBB 396,791(3)
755,000 ICI Wilmington, Inc.,
Guaranteed Notes, 7.50%,
due 1/15/02 Baa1 BBB+ 749,955
185,000 Century Communications Corp.,
Senior Notes, 9.75%,
due 2/15/02 B1 BB- 185,000
595,000 Sprint Capital Corp.,
Medium-Term Notes, 7.625%,
due 6/10/02 Baa1 BBB+ 597,210
890,000 General Motors Acceptance
Corp., Medium-Term Notes,
6.30%, due 7/8/02 A2 A 872,283
195,000 Comdisco, Senior Notes, 7.25%,
due 9/1/02 Baa1 BBB+ 188,855
600,000 Fort James Corp., Senior
Notes, 6.50%, due 9/15/02 Baa2 BBB 585,564
455,000 Commercial Credit Co., Notes,
6.375%, due 9/15/02 Aa3 AA- 446,318
490,000 Conseco, Inc., Notes, 8.50%,
due 10/15/02 Ba3 BB- 352,800
300,000 Valero Energy, Notes, 6.75%,
due 12/15/02 Baa3 BBB- 289,889(3)
275,000 American Standard, Inc.,
Senior Notes, 7.125%,
due 2/15/03 Ba3 BB- 261,938
245,000 Cox Radio Inc., Notes, 6.25%,
due 5/15/03 Baa2 BBB+ 235,314
400,000 Core-Mark International, Inc.,
Senior Subordinated Notes,
11.375%, due 9/15/03 B3 B 372,000
160,000 Loomis Fargo & Co., Senior
Subordinated Notes, 10.00%,
due 1/15/04 B3 B 153,600
309,540 PDVSA Finance Ltd., Notes,
8.75%, due 2/15/04 Baa1 305,737(3)
170,000 EOP Operating Limited
Partnership, Notes, 6.625%,
due 2/15/05 Baa1 BBB+ 161,334
450,000 Heritage Media Corp., Senior
Subordinated Notes, 8.75%,
due 2/15/06 Ba3 BB+ 441,000
100,000 Calpine Corp., Senior Notes,
7.625%, due 4/15/06 Ba1 BB+ 94,000
300,000 Gulf Canada Resources Ltd.,
Senior Notes, 8.35%,
due 8/1/06 Ba1 BBB- 297,000
110,000 Printpack, Inc., Senior
Subordinated Notes, Ser. B,
10.625%, due 8/15/06 Caa1 B 102,300
500,000 Time Warner Inc., Notes,
8.11%, due 8/15/06 Baa3 BBB 509,491
45,000 Newport News Shipbuilding
Inc., Senior Subordinated
Notes, 9.25%, due 12/1/06 Ba3 B+ 45,000
225,000 HydroChem Industrial Services,
Inc., Senior Subordinated
Notes, Ser. B, 10.375%,
due 8/1/07 Caa1 B- 172,125
160,000 Thiokol Corp., Senior Notes,
6.625%, due 3/1/08 A3 A+ 145,845
</TABLE>
B-5
<PAGE>
SCHEDULE OF INVESTMENTS (Cont'd)
Neuberger Berman Advisers Management Trust June 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
Balanced Portfolio
<TABLE>
<CAPTION>
Principal Rating Market
Amount Moody's S&P Value(1)
--------------------- -------- -------- ------------
<C> <S> <C> <C> <C>
$ 65,000 IMPAC Group, Inc., Senior
Subordinated Notes, 10.125%,
due 3/15/08 B3 B- $ 70,525
430,000 Fort James Corp., Notes,
6.234%, due 3/15/11 Baa2 BBB 425,743
------------
TOTAL CORPORATE DEBT
SECURITIES (COST $13,544,845) 13,082,746
------------
FOREIGN GOVERNMENT SECURITIES
(0.3%)
600,000 Republic of Argentina,
Floating Rate Notes, 7.375%,
due 3/31/05 (COST $543,977) B1 BB 546,780
------------
FOREIGN SECURITIES(4) (1.0%)
CAD 945,000 Canadian Treasury Bills,
Yielding 5.95%, due 3/29/01 Aa1 AAA 611,377
DKK 9,100,000 Kingdom of Denmark, 4.00%,
due 3/15/02 Aaa 1,129,975
------------
TOTAL FOREIGN SECURITIES
(COST $1,746,881) 1,741,352
------------
REPURCHASE AGREEMENT (1.0%)
1,751,000 State Street Bank and Trust
Co. Repurchase Agreement,
6.65%, due 7/3/00, dated
6/30/00, Maturity Value
$1,751,970, Collateralized by
$1,790,000 Fannie Mae,
Medium-Term Notes, 6.40%,
due 9/27/01 (Collateral Value
$1,810,138) (COST $1,751,000) 1,751,000(5)
------------
SHORT-TERM INVESTMENTS (4.5%)
7,799,045 N&B Securities Lending Quality
Fund, LLC (COST $7,799,045) 7,799,045(5)
------------
TOTAL INVESTMENTS (104.3%)
(COST $148,665,744) 180,221,781(6)
Liabilities, less cash,
receivables and other assets
[(4.3%)] (7,475,682)
------------
TOTAL NET ASSETS (100.0%) $172,746,099
------------
</TABLE>
SEE NOTES TO SCHEDULE OF INVESTMENTS
B-6
<PAGE>
NOTES TO SCHEDULE OF INVESTMENTS
Neuberger Berman Advisers Management Trust June 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
Balanced Portfolio
1) Investments in equity securities are valued at the latest sales price;
securities for which no sales were reported, unless otherwise noted, are
valued at the mean between the closing bid and asked prices. Investments in
debt securities are valued daily by obtaining bid price quotations from
independent pricing services on selected securities available in each
service's data base. For all other securities requiring daily quotations, bid
prices are obtained from principal market makers in those securities or, if
quotations are not available, by a method the trustees of the Trust believe
accurately reflects fair value. Foreign security prices are furnished by
independent quotation services expressed in local currency values. Foreign
security prices are translated from the local currency into U.S. dollars
using current exchange rates. Short-term debt securities with less than 60
days until maturity may be valued at cost which, when combined with interest
earned, approximates market value.
2) Not rated by Moody's; the rating shown is from Fitch Investors Services, Inc.
3) Security exempt from registration under the Securities Act of 1933. These
securities may be resold in transactions exempt from registration, normally
to qualified institutional buyers under Rule 144A. At June 30, 2000, these
securities amounted to $2,201,979 or 1.3% of net assets.
4) Principal amount is stated in the currency in which the security is
denominated.
CAD-Canadian Dollar
DKK-Danish Kroner
5) At cost, which approximates market value.
6) At June 30, 2000, the cost of investments for U.S. Federal income tax
purposes was $148,770,249. Gross unrealized appreciation of investments was
$34,671,164 and gross unrealized depreciation of investments was $3,219,632,
resulting in net unrealized appreciation of $31,451,532, based on cost for
U.S. Federal income tax purposes.
SEE NOTES TO FINANCIAL STATEMENTS
B-7
<PAGE>
STATEMENT OF ASSETS AND LIABILITIES
Neuberger Berman Advisers Management Trust
--------------------------------------------------------------------------------
Balanced Portfolio
<TABLE>
<CAPTION>
June 30,
2000
(UNAUDITED)
<S> <C>
-------------
ASSETS
Investments in securities, at market value
(Cost $148,665,744) (Note A)--see Schedule
of Investments $180,221,781
Cash 3,117
Receivable for securities sold 1,120,872
Dividends and interest receivable 1,047,586
Receivable for Fund shares sold 299,891
Prepaid expenses and other assets 10,066
-------------
182,703,313
-------------
LIABILITIES
Payable for collateral on securities loaned
(Note A) 7,799,045
Payable for securities purchased 1,565,477
Accrued expenses and other payables 344,551
Payable for Fund shares redeemed 130,956
Payable to investment manager (Note B) 75,826
Payable to administrator (Note B) 41,359
-------------
9,957,214
-------------
NET ASSETS at value $172,746,099
-------------
NET ASSETS consist of:
Par value $ 8,649
Paid-in capital in excess of par value 105,535,436
Accumulated undistributed net investment
income 1,135,842
Accumulated net realized gain on investments 34,510,070
Net unrealized appreciation in value of
investment securities and translation of
assets and liabilities in foreign
currencies 31,556,102
-------------
NET ASSETS at value $172,746,099
-------------
SHARES OUTSTANDING
($.001 par value; unlimited shares
authorized) 8,648,715
-------------
NET ASSET VALUE, offering and redemption price per
share $19.97
-------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
B-8
<PAGE>
STATEMENT OF OPERATIONS
Neuberger Berman Advisers Management Trust
--------------------------------------------------------------------------------
Balanced Portfolio
<TABLE>
<CAPTION>
For the
Six Months
Ended
June 30,
2000
(UNAUDITED)
<S> <C>
------------
INVESTMENT INCOME
Income:
Interest income $ 1,971,048
Dividend income 27,061
------------
Total income 1,998,109
------------
Expenses:
Investment management fee (Note B) 454,568
Administration fee (Note B) 247,861
Custodian fees (Note B) 64,271
Shareholder reports 33,902
Registration and filing fees 12,770
Shareholder servicing agent fees 7,899
Trustees' fees and expenses 7,888
Legal fees 4,728
Auditing fees 4,002
Amortization of deferred organization and
initial offering expenses (Note A) 3,439
Miscellaneous 4,082
------------
Total expenses 845,410
Expenses reduced by custodian fee expense
offset arrangement (Note B) (1,058)
------------
Total net expenses 844,352
------------
Net investment income 1,153,757
------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain on investment securities
sold 35,132,725
Net realized loss on foreign currency
transactions (Note A) (93,008)
Change in net unrealized appreciation of
investment securities, translation of assets
and liabilities in foreign currencies, and
foreign currency contracts (Note A) (22,049,672)
------------
Net gain on investments 12,990,045
------------
Net increase in net assets resulting from
operations $ 14,143,802
------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
B-9
<PAGE>
STATEMENT OF CHANGES IN NET ASSETS
Neuberger Berman Advisers Management Trust
--------------------------------------------------------------------------------
Balanced Portfolio
<TABLE>
<CAPTION>
Six Months
Ended Year
June 30, Ended
2000 December 31,
(UNAUDITED) 1999
<S> <C> <C>
---------------------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income $ 1,153,757 $ 2,689,294
Net realized gain on investments 35,039,717 21,114,440
Change in net unrealized
appreciation (depreciation) of
investments (22,049,672) 26,777,486
---------------------------
Net increase in net assets resulting
from operations 14,143,802 50,581,220
---------------------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
Net investment income (2,681,793) (2,903,804)
Net realized gain on investments (21,236,907) (4,301,933)
---------------------------
Total distributions to shareholders (23,918,700) (7,205,737)
---------------------------
FROM FUND SHARE TRANSACTIONS:
Proceeds from shares sold 28,439,109 12,086,315
Proceeds from reinvestment of
dividends and distributions 23,918,700 7,205,737
Payments for shares redeemed (35,155,485) (74,931,759)
---------------------------
Net increase (decrease) from Fund
share transactions 17,202,324 (55,639,707)
---------------------------
NET INCREASE (DECREASE) IN NET ASSETS 7,427,426 (12,264,224)
NET ASSETS:
Beginning of period 165,318,673 177,582,897
---------------------------
End of period $172,746,099 $165,318,673
---------------------------
Accumulated undistributed net
investment income at end of period $ 1,135,842 $ 2,663,878
---------------------------
NUMBER OF FUND SHARES:
Sold 1,367,831 748,782
Issued on reinvestment of dividends
and distributions 1,115,610 481,024
Redeemed (1,747,156) (4,186,097)
---------------------------
Net increase (decrease) in shares
outstanding 736,285 (2,956,291)
---------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
B-10
<PAGE>
NOTES TO FINANCIAL STATEMENTS
Neuberger Berman Advisers Management Trust June 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
Balanced Portfolio
NOTE A -- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:
1) GENERAL: Balanced 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 eight 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
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.
Prior to May 1, 2000, the Fund was part of a master/feeder structure,
investing all of its net investable assets in AMT Balanced Investments, a
series of Advisers Managers Trust. Effective May 1, 2000, the Fund converted
to a conventional fund structure. The Fund redeemed its investment in AMT
Balanced Investments in return for delivery of the portfolio securities, at
current net asset value, subject to the liabilities of AMT Balanced
Investments.
2) PORTFOLIO VALUATION: Investment securities are valued as indicated in the
notes following the Schedule of Investments.
3) FOREIGN CURRENCY TRANSLATION: The accounting records of the Fund are
maintained in U.S. dollars. Foreign currency amounts are translated into
U.S. dollars at the current rate of exchange of such currency against the
U.S. dollar to determine the value of investments, other assets and
liabilities. Purchase and sale prices of securities, and income and expenses
are translated into U.S. dollars at the prevailing rate of exchange on the
respective dates of such transactions.
4) SECURITIES TRANSACTIONS AND INVESTMENT INCOME: Securities transactions are
recorded on a trade date basis. Dividend income is recorded on the
ex-dividend date or, for certain foreign dividends, as soon as the Fund
becomes aware of the dividends. Non-cash dividends included in dividend
income, if any, are recorded at the fair market value of the securities
received. Interest income, including accretion of original issue discount,
where applicable, and accretion of discount on short-term investments, is
recorded on the accrual basis. Realized gains and losses from securities
transactions and foreign currency transactions are recorded on the basis of
identified cost.
5) FORWARD FOREIGN CURRENCY CONTRACTS: The Fund may enter into forward foreign
currency contracts ("contracts") in connection with planned purchases or
sales of securities to hedge the U.S. dollar value of portfolio securities
denominated in a foreign currency. The gain or loss arising from the
difference between the original contract price and the closing price of such
contract is included in net realized gains or losses on foreign currency
transactions. Fluctuations in the value of forward foreign currency
contracts are recorded for financial reporting purposes as unrealized gains
or losses by the Fund. The Fund has no specific limitation on the percentage
of assets which may be committed to these types of contracts. The Fund could
be exposed to risks if a counterparty to a
B-11
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Cont'd)
Neuberger Berman Advisers Management Trust June 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
Balanced Portfolio
contract were unable to meet the terms of its contract or if the value of the
foreign currency changes unfavorably. The U.S. dollar value of foreign
currency underlying all contractual commitments held by the Fund is
determined using forward foreign currency exchange rates supplied by an
independent pricing service.
6) TAXES: The Funds are treated as separate entities for U.S. 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 U.S. Federal income tax purposes as capital loss
carryforwards) sufficient to relieve it from all, or substantially all, U.S.
Federal income taxes. Accordingly, the Fund paid no U.S. Federal income
taxes and no provision for U.S. Federal income taxes was required.
7) DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS: Income dividends and
distributions from net realized capital gains, if any, are normally
distributed in February. Income dividends and capital gain distributions to
shareholders are recorded on the ex-dividend date. To the extent the Fund's
net realized capital gains, if any, can be offset by capital loss
carryforwards, it is the policy of the Fund not to distribute such gains.
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.
8) FOREIGN TAXES: Foreign taxes withheld represent amounts withheld by foreign
tax authorities, net of refunds recoverable.
9) ORGANIZATION EXPENSES: Organization expenses incurred by the Fund were fully
amortized as of June 30, 2000.
10) 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.
11) SECURITY LENDING: Securities loans involve certain risks in the event a
borrower should fail financially, including delays or inability to recover
the lent securities or foreclose against the collateral. The investment
manager, under the general supervision of the Trust's Board of Trustees,
monitors the creditworthiness of the parties to whom the Fund makes security
loans. The Fund will not lend securities on which covered call options have
been written, or lend securities on terms which would prevent investors from
qualifying as a regulated investment company. The Fund entered into a
Securities Lending Agreement with Morgan Stanley & Co. Incorporated
("Morgan"). The Fund receives cash collateral equal to at least 100% of the
current market value of the loaned securities. The Fund invests the cash
collateral in the N&B Securities Lending Quality Fund, LLC ("investment
vehicle"), which is managed by State Street Bank and Trust Company pursuant
to guidelines approved by the Trust's investment manager. Income earned on
the investment vehicle is paid to Morgan monthly. The Fund receives a fee,
payable monthly, negotiated by the Fund and Morgan, based on the number and
duration of the lending transactions. At June 30, 2000, the value of the
securities loaned and the value of the collateral were $7,646,111 and
$7,799,045, respectively.
B-12
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Cont'd)
Neuberger Berman Advisers Management Trust June 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
Balanced Portfolio
12) REPURCHASE AGREEMENTS: The Fund may enter into repurchase agreements with
institutions that the Fund's investment manager has determined are
creditworthy. Each repurchase agreement is recorded at cost. The Fund
requires that the securities purchased in a repurchase transaction be
transferred to the custodian in a manner sufficient to enable the Fund to
obtain those securities in the event of a default under the repurchase
agreement. The Fund monitors, on a daily basis, the value of the securities
transferred to ensure that their value, including accrued interest, is
greater than amounts owed to the Fund under each such repurchase agreement.
NOTE B -- MANAGEMENT FEES, 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 and are
also offered directly to qualified pension and retirement plans.
The Fund retains Neuberger Berman Management Inc. ("Management") as its
investment manager under a Management Agreement. For such investment management
services, the Fund pays Management a fee at the annual rate of 0.55% of the
first $250 million of the Fund's average daily net assets, 0.525% of the next
$250 million, 0.50% of the next $250 million, 0.475% of the next $250 million,
0.45% of the next $500 million, and 0.425% of average daily net assets in excess
of $1.5 billion.
The Fund retains Management as its administrator under an Administration
Agreement ("Agreement"). Pursuant to this Agreement the Fund pays Management an
administration fee at the annual rate of 0.30% of the Fund's average daily net
assets.
Effective May 1, 1995, the trustees of the Trust adopted a non-fee
distribution plan for each series of the Trust.
Management has contractually undertaken through April 30, 2001 to reimburse
the Fund for its operating expenses (excluding the fees payable to Management,
interest, taxes, brokerage commissions, extraordinary expenses, and transaction
costs) which exceed, in the aggregate, 1.00% per annum of the Fund's average
daily net assets. For the six months ended June 30, 2000, no reimbursement to
the Fund was required.
Management and Neuberger Berman, LLC ("Neuberger"), a member firm of The New
York Stock Exchange and sub-adviser to the Fund, are wholly owned subsidiaries
of Neuberger Berman Inc., a publicly held company. Neuberger is retained by
Management to furnish it with investment recommendations and research
information without added cost to the Fund. Several individuals who are officers
and/or trustees of the Trust are also employees of Neuberger and/or Management.
The Fund 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 Custodian fees, was a reduction of $1,058.
NOTE C -- SECURITIES TRANSACTIONS:
During the six months ended June 30, 2000, there were purchase and sale
transactions (excluding short-term securities, financial futures contracts, and
forward foreign currency contracts) of $108,920,539 and $111,744,171,
respectively.
During the six months ended June 30, 2000, the Fund had entered into various
contracts to deliver currencies at specified future dates. At June 30, 2000,
there were no open contracts.
B-13
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Cont'd)
Neuberger Berman Advisers Management Trust June 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
Balanced Portfolio
During the six months ended June 30, 2000, brokerage commissions on
securities transactions amounted to $46,131, of which Neuberger received
$11,323, and other brokers received $34,808.
NOTE D -- UNAUDITED FINANCIAL INFORMATION:
The financial information included in this interim report is taken from the
records of the Fund without audit by independent auditors. Annual reports
contain audited financial statements.
B-14
<PAGE>
FINANCIAL HIGHLIGHTS
Neuberger Berman Advisers Management Trust
--------------------------------------------------------------------------------
Balanced Portfolio(1)
The following table includes selected data for a share outstanding throughout
each period and other performance information derived from the Financial
Statements.(2)
<TABLE>
<CAPTION>
Six Months Ended
June 30,
2000 Year Ended December 31,
(UNAUDITED) 1999 1998 1997 1996 1995
<S> <C> <C> <C> <C> <C> <C>
---------------------------------------------------------------------------------------------------
Net Asset Value, Beginning
of Period $20.89 $16.34 $17.80 $15.92 $17.52 $14.51
---------------------------------------------------------------------------------------------------
Income From Investment
Operations
Net Investment Income .14 .26 .29 .36 .34 .32
Net Gains or Losses on
Securities (both
realized and
unrealized) 2.24 4.96 1.62 2.59 .75 3.06
---------------------------------------------------------------------------------------------------
Total From Investment
Operations 2.38 5.22 1.91 2.95 1.09 3.38
---------------------------------------------------------------------------------------------------
Less Distributions
Dividends (from net
investment income) (.37) (.27) (.42) (.30) (.41) (.28)
Distributions (from net
capital gains) (2.93) (.40) (2.95) (.77) (2.28) (.09)
---------------------------------------------------------------------------------------------------
Total Distributions (3.30) (.67) (3.37) (1.07) (2.69) (.37)
---------------------------------------------------------------------------------------------------
Net Asset Value, End of
Period $19.97 $20.89 $16.34 $17.80 $15.92 $17.52
---------------------------------------------------------------------------------------------------
Total Return(3) +10.31%(4) +33.56% +12.18% +19.45% +6.89% +23.76%
---------------------------------------------------------------------------------------------------
Ratios/Supplemental Data
Net Assets, End of
Period (in millions) $172.7 $165.3 $177.6 $161.9 $173.2 $144.4
---------------------------------------------------------------------------------------------------
Ratio of Gross Expenses
to Average Net Assets(5) 1.02%(6) 1.02% 1.03% 1.04% 1.09% .99%
---------------------------------------------------------------------------------------------------
Ratio of Net Expenses
to Average Net Assets 1.02%(6) 1.02% 1.03% 1.04% 1.09% .99%
---------------------------------------------------------------------------------------------------
Ratio of Net Investment
Income to Average Net
Assets 1.40%(6) 1.60% 1.84% 2.07% 1.84% 1.99%
---------------------------------------------------------------------------------------------------
Portfolio Turnover Rate 69% 121% 71% 103% 87% 77%
---------------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL HIGHLIGHTS
B-15
<PAGE>
NOTES TO FINANCIAL HIGHLIGHTS
Neuberger Berman Advisers Management Trust June 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
Balanced Portfolio
1) The per share amounts and ratios which are shown reflect income and expenses,
including the Fund's proportionate share of AMT Balanced Investment's income
and expenses under the prior master/feeder fund structure.
2) The per share amounts which are shown have been computed based on the average
number of shares outstanding during each fiscal period.
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 fiscal
period and assumes dividends and other 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. The total return
information shown does not reflect charges and other expenses that apply to
the separate account or the related insurance policies, and the inclusion of
these charges and other expenses would reduce the total return for all fiscal
periods shown. Qualified Plans that are direct shareholders of the Fund are
not affected by insurance charges and related expenses.
4) Not annualized.
5) The Fund is required to calculate an expense ratio without taking into
consideration any expense reductions related to expense offset arrangements.
6) Annualized.
B-16
