<PAGE>
OPPENHEIMER FUND
ANNUAL REPORT JUNE 30, 1995
"We have some important goals, so our money needs to grow
solidly over time."
[PHOTO]
[LOGO]
<PAGE>
This Fund is for people who want the potential for solid growth over time.
NEWS
"THE FUND IS A SOLID CHOICE FOR INVESTORS IN SEARCH OF COMPREHENSIVE
EQUITY EXPOSURE."
--MORNINGSTAR MUTUAL FUNDS
5/26/95
- --------------------------------------------------------------------------------
HOW YOUR FUND IS MANAGED
- --------------------------------------------------------------------------------
Oppenheimer Fund seeks capital appreciation and income consistent with growth in
capital. It uses a combination of five distinct investment styles, which can
also help manage risk.
The Fund's managers invest in stocks of established U.S. and international
companies that they believe have excellent potential for growth. They use a
"value" approach, which emphasizes undervalued companies; a "contrarian"
approach, which seizes opportunities in out-of-favor industries they believe to
be poised for rebound; and a "growth" approach, which seeks companies that the
managers believe have above-average growth rates.
International and high yield stocks serve as risk-reduction sectors.
International stocks help cushion the portfolio against fluctuations in the U.S.
stock market and high yield stocks provide steady income.
This strategic approach clearly provided shareholders with the returns they
seek. According to MORNINGSTAR MUTUAL FUNDS, the Fund's investment style has
"put the Fund on a consistent path of above-average returns when compared with
the growth-fund group. "(1)
- --------------------------------------------------------------------------------
PERFORMANCE
- --------------------------------------------------------------------------------
Total return at net asset value for the 12 months ended 6/30/95 was 19.60% for
Class A shares and 18.57% for Class C shares.(2)
Your Fund's average annual total returns at maximum offering price for
Class A shares for the 1-, 5- and 10-year periods ended 6/30/95 were 12.72%,
10.92% and 9.61%, respectively. For Class C shares, average annual total returns
for the 1-year period ended 6/30/95 and since inception of the Class on 12/1/93
were 17.57% and 10.51%, respectively.(3)
- --------------------------------------------------------------------------------
OUTLOOK
- --------------------------------------------------------------------------------
"We are confident that stocks are an attractive place to be. In our view, they
should continue to provide returns approaching their historical averages, and
provide very appealing returns versus cash or bonds for the long term."
Richard Rubinstein, Portfolio Manager
June 30, 1995
All figures assume reinvestment of dividends and capital gains distributions.
Past performance is not indicative of future results. Investment and principal
value on an investment in the Fund will fluctuate so that an investor's shares,
when redeemed, may be worth more or less than the original cost.
1. Source: MORNINGSTAR MUTUAL FUNDS, 5/26/95.
2. Based on the change in net asset value per share for the period shown,
without deducting any sales charges. Such performance would have been lower if
sales charges were taken into account.
3. Class A returns show results of hypothetical investments on 6/30/94, 6/30/90
and 6/30/85, after deducting the current maximum initial sales charge of 5.75%.
Class A shares were first publicly offered on 4/30/59. Class C returns show
results of hypothetical investments on 6/30/94 and 12/1/93 (inception of class),
with the 1% contingent deferred sales charge deducted for the 1-year result. The
Fund's maximum sales charge rate for Class A shares was higher during a portion
of some of the periods shown, and actual investment results will be different as
a result of the change. An explanation of the different performance calculations
is in the Fund's prospectus.
2 Oppenheimer Fund
<PAGE>
[PHOTO]
Donald W. Spiro
President
Oppenheimer Fund
[PHOTO]
Jon S. Fossel
Chairman and CEO
Oppenheimer Management Corporation
Dear Oppenheimer Funds Shareholder,
In the first six months of 1995, the stock and bond markets have improved
significantly. The Federal Reserve's seven interest rate hikes between February
1994 and February 1995 appear to have achieved their intended effect, as the
rate of economic growth has slowed throughout the year. This economic outlook of
sustainable, healthy growth with low inflation, falling interest rates, and talk
of deficit reduction inspired investors' confidence in the stock market. As a
result, the Dow Jones Industrial Average hit record highs repeatedly in the
first half of the year.
The stock market has been strong for other reasons as well. Overall,
corporate America has done an excellent job of restructuring, and has become
more productive and profitable. Combined with continued investment in technology
and increased competitiveness abroad as a result of a weaker dollar, these
events resulted in spectacular first quarter earnings reports.
While the market's rise this year has been dramatic, it has caused our
equity investment team to become slightly more cautious. Because the market has
already registered significant gains this year, the stock market is starting to
see signs of short-term volatility, and your Fund's managers want to protect the
gains the Fund has made.
Still, the market's expansion has been fueled by underlying fundamental
strengths. So, while we are cautious, we believe it has room to continue.
Congress's continuing emphasis on deficit reduction, plus Washington's
commitment to correcting our trade imbalance, should benefit the market--in
addition to attracting foreign investments to U.S. stocks, creating even greater
demand and possibly pushing their prices up further.
Should the economy slow more than anticipated, however, we would expect to
see earnings slow eventually, which could cause the market to hesitate. In this
event, smaller companies and international stocks could begin to outperform the
large, globally-oriented companies that have led the market so far this year.
However, until your Fund's managers see signs of either increased inflation or
recession on the horizon, they remain constructive on the market in general and
will view any volatility in the near term as a time to search for buying
opportunities.
At OppenheimerFunds, our approach to the stock market is to invest with a
long-term view, to participate in upswings while remaining prudent, and,
finally, to know when to become more defensive to protect the gains we have
made.
Your portfolio manager discusses the outlook for your Fund on the following
pages. Thank you for your confidence in OppenheimerFunds, and we look forward to
helping you continue to reach your investment goals in the future.
/s/ Donald Spiro /s/ Jon S. Fossel
Donald W. Spiro Jon S. Fossel
July 24, 1995
3 Oppenheimer Fund
<PAGE>
Q & A
Q. What has contributed to the Fund's performance?
A. We believe diversification allows us to provide a consistent return over
time.
[PHOTO Portfolio Manager, Richard Rubinstein]
[PHOTO of the equity trading desk]
An Interview with your Fund's manager.
YOU EMPLOY A VARIETY OF INVESTMENT STRATEGIES IN MANAGING OPPENHEIMER FUND. WHY
DO YOU BELIEVE THAT THIS APPROACH OFFERS THE MOST CONSISTENT LONG-TERM REWARDS?
Historical evidence shows that there is a lack of correlation between areas of
the equity market. This means that different investment strategies will perform
better than others at times.
[PHOTO Mark Binning, Securities Coordinator, consults with Lawrence Apollto, VP
Equity Trading]
In Oppenheimer Fund, we spread our investments across five strategic investment
styles in an effort to capture the return potential available from each while
seeking to reduce volatility. Because each style works well under varying market
environments, our diversification has allowed us to provide consistent equity
returns over time.
WHAT TYPES OF STOCKS DO YOU BUY?
We buy stocks that fit into value, growth and contrarian classifications for
their capital appreciation potential, and further diversify into high yield and
international stocks to reduce overall risk. Over the last 12 months, there has
been little change in the percentage of the portfolio's exposure in these
various styles.(1)
Some of the industry sectors we've been involved with as a byproduct of our
style strategies have added to performance. We've been overweighted in basic
industries, technology and healthcare for the past two years.
WITHIN INVESTMENT STYLES, WHAT MOVES HAVE YOU MADE?
In the international arena, we've taken some profits--in companies that have
done well, like SAP and Nestle--because of the favorable currency situation.
Some of our large contrarian investments have been Nintendo--which has
cheap valuations for a Japanese stock, and should turn around with the new
product cycle
(1)The Fund's portfolio is subject to change.
4 Oppenheimer Fund
<PAGE>
[PHOTO: Robert Doll, Executive VP, Director of Equity Investments]
[PHOTO: Richard Rubinstein]
later this year--and Cone Mills, which is one of the largest manufacturers of
denim and assorted fabrics in the U.S.
As far as growth stocks are concerned, we've been adding stocks that we
believe are undervalued. In particular, we like HMO stocks such as US Healthcare
and Value Health. Both sell at relatively low price-to-earnings ratios for
growth companies and have superior fundamentals.
Among value stocks, we've found banks to be the most attractive. Chemical
Bank and Nationsbank are among our top holdings. Their stocks are reasonably
priced, and their loan portfolios are healthy. In addition, they've shown growth
in earnings and dividends.
And finally, in the high yield stock sector, our bias has been toward
out-of-favor industrial companies that we believe have excellent future
prospects. In this area, we like Philip Morris and Bristol-Myers, to name a few.
WHAT DO YOU EXPECT TO SEE FROM THE STOCK MARKET AND THE FUND GOING FORWARD?
Corporate earnings have been so good for so long--at least 21/2 years--that an
eventual slowdown is only natural.
So, for the market to continue to move higher, in our view, one of two
things will have to happen. First, interest rates would have to continue to come
down. And although they are already low, we believe this is a possibility. We
expect that along with a slowing economy, inflation will remain subdued--leaving
the Federal Reserve room to cut rates to stimulate the economy if necessary.
The second potential catalyst is the U.S. Congressional action to reduce
the deficit. Even if budgetary programs passed by Congress are modest, the
market will likely view it as favorable.
We are confident that stocks are an attractive place
to be. In our view, they should continue to provide returns approaching their
historical averages, and provide very appealing returns versus cash or bonds for
the long term.
5 Oppenheimer Fund
<PAGE>
Financials
Contents
Statement of Investments 7
Statement of Assets & Liabilities 15
Statement of Operations 16
Statements of Changes in Net Assets 17
Financial Highlights 18
Notes to Financial Statements 20
Independent Auditors' Report 24
Federal Income Tax Information 25
6 Oppenheimer Fund
<PAGE>
STATEMENT OF INVESTMENTS JUNE 30, 1995
<TABLE>
<CAPTION>
FACE MARKET VALUE
AMOUNT SEE NOTE 1
<S> <C> <C> <C>
- -----------------------------------------------------------------------------------------------------------------------------------
FOREIGN GOVERNMENT OBLIGATIONS--0.9%
- -----------------------------------------------------------------------------------------------------------------------------------
Argentina (Republic of) Past Due Interest Bonds, 7.313%,
3/31/05(1)
(Cost $2,091,629) $ 4,000,000 $ 2,467,500
- -----------------------------------------------------------------------------------------------------------------------------------
CONVERTIBLE CORPORATE BONDS AND NOTES--0.6%
- -----------------------------------------------------------------------------------------------------------------------------------
MEDIQ, Inc., 7.50% Exchangeable Sub. Debs., 7/15/03
(Cost $1,734,001) 1,850,000 1,572,500
SHARES
- -----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCKS--85.7%
- -----------------------------------------------------------------------------------------------------------------------------------
BASIC MATERIALS--7.7%
- -----------------------------------------------------------------------------------------------------------------------------------
CHEMICALS--4.0% ARCO Chemical Co. 42,900 1,946,588
--------------------------------------------------------------------------------------
Bayer AG, Sponsored ADR 170,000 4,225,061
--------------------------------------------------------------------------------------
Georgia Gulf Corp. 26,000 848,250
--------------------------------------------------------------------------------------
Goldschmidt (T.H.) AG 1,553 863,946
--------------------------------------------------------------------------------------
IMC Global, Inc.(5) 24,800 1,342,300
--------------------------------------------------------------------------------------
Praxair, Inc. 68,800 1,720,000
-----------
10,946,145
- -----------------------------------------------------------------------------------------------------------------------------------
GOLD--0.4% Santa Fe Pacific Gold Corp.(5) 92,800 1,125,200
- -----------------------------------------------------------------------------------------------------------------------------------
METALS--2.0% Brush Wellman, Inc. 151,400 3,236,175
--------------------------------------------------------------------------------------
Inland Steel Industries, Inc.(5) 75,600 2,305,800
-----------
5,541,975
- -----------------------------------------------------------------------------------------------------------------------------------
PAPER--1.3% Georgia-Pacific Corp. 15,200 1,318,600
--------------------------------------------------------------------------------------
Louisiana-Pacific Corp. 38,000 997,500
--------------------------------------------------------------------------------------
MacMillan Bloedel Ltd. 89,700 1,267,013
-----------
3,583,113
- -----------------------------------------------------------------------------------------------------------------------------------
CONSUMER CYCLICALS--11.6%
- -----------------------------------------------------------------------------------------------------------------------------------
AUTOS & HOUSING--1.3% Chromcraft Revington, Inc.(2) 50,000 1,062,500
--------------------------------------------------------------------------------------
Fiat SpA(2) 350,000 1,233,659
--------------------------------------------------------------------------------------
General Motors Corp. 24,000 1,125,000
-----------
3,421,159
- -----------------------------------------------------------------------------------------------------------------------------------
LEISURE & ENTERTAINMENT--4.7% AMR Corp.(2)(5) 18,200 1,358,175
--------------------------------------------------------------------------------------
Brunswick Corp. 50,000 850,000
--------------------------------------------------------------------------------------
Circus Circus Enterprises, Inc.(2)(5) 25,300 891,825
--------------------------------------------------------------------------------------
Cracker Barrel Old Country Store, Inc. 65,800 1,357,125
--------------------------------------------------------------------------------------
Eastman Kodak Co.(5) 25,500 1,545,938
--------------------------------------------------------------------------------------
International Game Technology 44,800 688,800
--------------------------------------------------------------------------------------
King World Productions, Inc.(2)(5) 56,500 2,288,250
--------------------------------------------------------------------------------------
Mattel, Inc.(5) 136,875 3,558,750
--------------------------------------------------------------------------------------
Shaw Brothers (Hong Kong) Ltd. 320,000 299,837
-----------
12,838,700
</TABLE>
7 Oppenheimer Fund
<PAGE>
STATEMENT OF INVESTMENTS (CONTINUED)
<TABLE>
<CAPTION>
MARKET VALUE
SHARES SEE NOTE 1
<S> <C> <C> <C>
- -----------------------------------------------------------------------------------------------------------------------------------
MEDIA--2.2% Bowne & Co., Inc. 40,000 $ 685,000
--------------------------------------------------------------------------------------
Comcast Corp., Cl. A Special(5) 130,000 2,413,125
--------------------------------------------------------------------------------------
Tele-Communications, Inc., Cl. A(2) 44,400 1,040,625
--------------------------------------------------------------------------------------
Time Warner, Inc.(5) 45,100 1,854,735
-----------
5,993,485
- -----------------------------------------------------------------------------------------------------------------------------------
RETAIL: GENERAL--1.6% Authentic Fitness Corp.(2) 81,000 1,356,750
--------------------------------------------------------------------------------------
Cone Mills Corp.(2) 144,300 1,857,863
--------------------------------------------------------------------------------------
Price/Costco, Inc.(2)(5) 78,800 1,280,500
-----------
4,495,113
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RETAIL: SPECIALTY--1.8% Best Buy Co., Inc.(2) 26,000 692,250
--------------------------------------------------------------------------------------
CML Group, Inc. 87,800 691,425
--------------------------------------------------------------------------------------
Justin Industries, Inc. 70,000 770,000
--------------------------------------------------------------------------------------
Toys 'R' Us, Inc.(2) 51,000 1,491,750
--------------------------------------------------------------------------------------
Venture Stores, Inc. 138,000 1,362,750
-----------
5,008,175
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CONSUMER NON-CYCLICALS--16.7%
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BEVERAGES--1.3% Guinness PLC 182,000 1,369,542
--------------------------------------------------------------------------------------
Whitman Corp. 104,300 2,020,813
-----------
3,390,355
- -----------------------------------------------------------------------------------------------------------------------------------
FOOD--1.8% Chiquita Brands International, Inc. 2,223 31,122
--------------------------------------------------------------------------------------
Dairy Farm International Holdings Ltd. 370,000 318,200
--------------------------------------------------------------------------------------
McCormick & Co., Inc., Non-Vtg. 36,000 774,000
--------------------------------------------------------------------------------------
Nestle SA, Sponsored ADR 40,000 2,081,388
--------------------------------------------------------------------------------------
Sara Lee Corp. 61,700 1,758,450
-----------
4,963,160
- -----------------------------------------------------------------------------------------------------------------------------------
HEALTHCARE/DRUGS--6.1% Abbott Laboratories(5) 6,000 243,000
--------------------------------------------------------------------------------------
Amgen, Inc.(2)(5) 20,400 1,640,925
--------------------------------------------------------------------------------------
Astra AB Free, Series A 37,250 1,148,460
--------------------------------------------------------------------------------------
Biosys, Inc.(2) 101,200 189,750
--------------------------------------------------------------------------------------
Bristol-Myers Squibb Co.(5) 48,000 3,270,000
--------------------------------------------------------------------------------------
Chiron Corp.(2)(5) 5,273 342,745
--------------------------------------------------------------------------------------
Ciba-Geigy AG 2,425 1,776,472
--------------------------------------------------------------------------------------
Genzyme Corp.(2)(5) 38,001 1,520,007
--------------------------------------------------------------------------------------
Lilly (Eli) & Co.(5) 6,000 471,000
--------------------------------------------------------------------------------------
Medeva PLC 342,944 1,363,974
--------------------------------------------------------------------------------------
Mylan Laboratories, Inc.(5) 42,400 1,303,800
--------------------------------------------------------------------------------------
NBTY, Inc.(2) 195,000 1,267,500
--------------------------------------------------------------------------------------
Schering AG 20,500 1,432,205
--------------------------------------------------------------------------------------
Smithkline Beecham PLC, ADR Equity Units (one ADR
represents five Equity Units; each Unit consists of one
Class B Ordinary Share and one share of Cumulative
Participating Preferred Stock)(3) 17,000 769,250
-----------
16,739,088
</TABLE>
8 Oppenheimer Fund
<PAGE>
<TABLE>
<CAPTION>
MARKET VALUE
SHARES SEE NOTE 1
<S> <C> <C> <C>
- -----------------------------------------------------------------------------------------------------------------------------------
HEALTHCARE/SUPPLIES &
SERVICES--5.3% Manor Care, Inc.(5) 50,770 $ 1,478,674
--------------------------------------------------------------------------------------
Medtronic, Inc.(5) 22,400 1,727,600
--------------------------------------------------------------------------------------
Nellcor, Inc.(2)(5) 38,000 1,710,000
--------------------------------------------------------------------------------------
NovaCare, Inc.(2) 108,000 877,500
--------------------------------------------------------------------------------------
Pyxis Corp.(2)(5) 57,600 1,303,200
--------------------------------------------------------------------------------------
U.S. Healthcare, Inc. 165,000 5,053,125
--------------------------------------------------------------------------------------
Value Health, Inc.(2) 27,600 890,100
--------------------------------------------------------------------------------------
Wellpoint Health Networks, Inc., Cl. A(2)(5) 46,900 1,324,925
-----------
14,365,124
- -----------------------------------------------------------------------------------------------------------------------------------
HOUSEHOLD GOODS--0.3% Procter & Gamble Co. 12,000 862,500
- -----------------------------------------------------------------------------------------------------------------------------------
TOBACCO--1.9% Philip Morris Cos., Inc.(5) 55,100 4,098,063
--------------------------------------------------------------------------------------
RJR Nabisco Holdings Corp. 35,000 975,625
-----------
5,073,688
- -----------------------------------------------------------------------------------------------------------------------------------
ENERGY--4.4%
- -----------------------------------------------------------------------------------------------------------------------------------
ENERGY SERVICES &
PRODUCERS--0.7% Landmark Graphics Corp.(2)(5) 41,600 1,060,800
--------------------------------------------------------------------------------------
Western Atlas, Inc.(2)(5) 20,000 887,500
-----------
1,948,300
- -----------------------------------------------------------------------------------------------------------------------------------
OIL-INTEGRATED--3.7% Ashland Coal, Inc. 41,200 1,102,100
--------------------------------------------------------------------------------------
Ashland, Inc. 30,000 1,053,750
--------------------------------------------------------------------------------------
Atlantic Richfield Co. 12,100 1,327,975
--------------------------------------------------------------------------------------
Royal Dutch Petroleum Co. 10,000 1,218,750
--------------------------------------------------------------------------------------
Saga Petroleum AS, Cl. B 82,000 1,084,023
--------------------------------------------------------------------------------------
Total SA, Sponsored ADR 46,180 1,396,945
--------------------------------------------------------------------------------------
Unocal Corp. 88,000 2,431,000
--------------------------------------------------------------------------------------
Yukong Ltd., GDR(4) 1,438 11,948
--------------------------------------------------------------------------------------
Yukong Ltd., GDR(4) 3,294 27,369
--------------------------------------------------------------------------------------
Yukong Ltd., GDR(2)(4) 39,500 424,625
-----------
10,078,485
- -----------------------------------------------------------------------------------------------------------------------------------
FINANCIAL--8.4%
- -----------------------------------------------------------------------------------------------------------------------------------
BANKS--3.9% Banco Frances del Rio de la Plata SA 126,000 762,539
--------------------------------------------------------------------------------------
Bankers Trust New York Corp.(5) 22,500 1,395,000
--------------------------------------------------------------------------------------
Chemical Banking Corp.(5) 49,600 2,343,600
--------------------------------------------------------------------------------------
Deutsche Bank, Sponsored ADR 60,000 2,913,036
--------------------------------------------------------------------------------------
NationsBank Corp. 58,700 3,147,788
-----------
10,561,963
- -----------------------------------------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIAL--2.2% American Express Co. 42,000 1,475,250
--------------------------------------------------------------------------------------
CMAC Investment Corp. 31,900 1,383,663
--------------------------------------------------------------------------------------
H & R Block, Inc. 27,600 1,135,050
--------------------------------------------------------------------------------------
Merrill Lynch & Co., Inc.(5) 38,200 2,005,500
-----------
5,999,463
</TABLE>
9 Oppenheimer Fund
<PAGE>
STATEMENT OF INVESTMENTS (CONTINUED)
<TABLE>
<CAPTION>
MARKET VALUE
SHARES SEE NOTE 1
<S> <C> <C> <C>
- -----------------------------------------------------------------------------------------------------------------------------------
INSURANCE--2.3% Aetna Life & Casualty Co.(5) 21,600 $ 1,358,100
--------------------------------------------------------------------------------------
American International Group, Inc.(5) 13,000 1,482,000
--------------------------------------------------------------------------------------
American Re Corp. 42,000 1,564,500
--------------------------------------------------------------------------------------
Bankers Life Holding Corp. 53,300 1,012,700
--------------------------------------------------------------------------------------
UNUM Corp. 16,900 792,188
-----------
6,209,488
- -----------------------------------------------------------------------------------------------------------------------------------
INDUSTRIAL--11.8%
- -----------------------------------------------------------------------------------------------------------------------------------
ELECTRICAL EQUIPMENT--0.9% General Electric Co. 44,000 2,480,500
- -----------------------------------------------------------------------------------------------------------------------------------
INDUSTRIAL MATERIALS--2.4% Corning, Inc. 36,500 1,195,375
--------------------------------------------------------------------------------------
Interpool, Inc.(2) 56,800 773,900
--------------------------------------------------------------------------------------
Masco Corp. 35,000 945,000
--------------------------------------------------------------------------------------
Owens-Corning Fiberglass Corp.(2) 77,000 2,839,375
--------------------------------------------------------------------------------------
U.S. Can Corp.(2) 53,500 835,938
-----------
6,589,588
- -----------------------------------------------------------------------------------------------------------------------------------
INDUSTRIAL SERVICES--0.9% Ecolab, Inc. 35,400 867,300
--------------------------------------------------------------------------------------
Huarte SA 98,650 888,005
--------------------------------------------------------------------------------------
Waste Management International PLC, Sponsored ADR(2)(5) 64,000 608,000
-----------
2,363,305
- -----------------------------------------------------------------------------------------------------------------------------------
MANUFACTURING--3.6% Citic Pacific Ltd. 214,000 537,938
--------------------------------------------------------------------------------------
Harnischfeger Industries, Inc.(5) 36,000 1,246,500
--------------------------------------------------------------------------------------
Hutchison Whampoa Ltd. 132,000 638,035
--------------------------------------------------------------------------------------
Jardine Matheson Holdings Ltd. 100,936 741,880
--------------------------------------------------------------------------------------
Mannesmann AG 9,775 2,983,796
--------------------------------------------------------------------------------------
Pacific Dunlop Ltd. 326,000 683,993
--------------------------------------------------------------------------------------
Tenneco, Inc. 65,000 2,990,000
-----------
9,822,142
- -----------------------------------------------------------------------------------------------------------------------------------
TRANSPORTATION--4.0% Airborne Freight Corp.(5) 49,000 992,250
--------------------------------------------------------------------------------------
Burlington Northern, Inc.(5) 70,400 4,461,600
--------------------------------------------------------------------------------------
Consolidated Freightways, Inc. 71,500 1,581,938
--------------------------------------------------------------------------------------
Stolt-Nielsen SA 134,700 3,872,625
-----------
10,908,413
- -----------------------------------------------------------------------------------------------------------------------------------
TECHNOLOGY--21.8%
- -----------------------------------------------------------------------------------------------------------------------------------
AEROSPACE/DEFENSE--1.7% General Dynamics Corp.(5) 34,500 1,530,938
--------------------------------------------------------------------------------------
McDonnell Douglas Corp.(5) 24,000 1,842,000
--------------------------------------------------------------------------------------
Rockwell International Corp. 27,300 1,248,975
-----------
4,621,913
</TABLE>
10 Oppenheimer Fund
<PAGE>
<TABLE>
<CAPTION>
MARKET VALUE
SHARES SEE NOTE 1
<S> <C> <C> <C>
- -----------------------------------------------------------------------------------------------------------------------------------
COMPUTER HARDWARE--3.8% Bay Networks, Inc.(2) 32,847 $1,359,045
--------------------------------------------------------------------------------------
Cabletron Systems, Inc.(2)(5) 5,000 266,250
--------------------------------------------------------------------------------------
Moore Corp. Ltd. 37,400 827,475
--------------------------------------------------------------------------------------
Proxima Corp.(2) 30,000 716,250
--------------------------------------------------------------------------------------
Sun Microsystems, Inc.(2)(5) 19,500 945,750
--------------------------------------------------------------------------------------
Tandem Computers, Inc.(2)(5) 114,000 1,838,250
--------------------------------------------------------------------------------------
Xerox Corp.(5) 37,000 4,338,250
-----------
10,291,270
- -----------------------------------------------------------------------------------------------------------------------------------
COMPUTER SOFTWARE--6.8% BMC Software, Inc.(2)(5) 22,800 1,761,300
--------------------------------------------------------------------------------------
Computer Associates International, Inc. 29,400 1,991,850
--------------------------------------------------------------------------------------
Delrina Corp.(2) 94,000 1,292,500
--------------------------------------------------------------------------------------
Electronic Arts, Inc.(2)(5) 55,400 1,502,725
--------------------------------------------------------------------------------------
Informix Corp.(2)(5) 60,000 1,522,500
--------------------------------------------------------------------------------------
Marcam Corp.(2) 80,600 1,098,175
--------------------------------------------------------------------------------------
Microsoft Corp.(2)(5) 21,000 1,897,875
--------------------------------------------------------------------------------------
Nintendo Co. Ltd. 45,000 2,581,272
--------------------------------------------------------------------------------------
Novell, Inc.(2) 140,100 2,793,244
--------------------------------------------------------------------------------------
Symantec Corp.(2)(5) 70,000 2,021,250
-----------
18,462,691
- -----------------------------------------------------------------------------------------------------------------------------------
ELECTRONICS--6.5% Advanced Micro Devices, Inc.(5) 35,373 1,286,693
--------------------------------------------------------------------------------------
General Motors Corp., Cl. H 28,700 1,133,650
--------------------------------------------------------------------------------------
Hewlett-Packard Co.(5) 34,000 2,533,000
--------------------------------------------------------------------------------------
Intel Corp.(5) 149,400 9,458,888
--------------------------------------------------------------------------------------
Kyocera Corp. 12,000 986,573
--------------------------------------------------------------------------------------
Philips Electronics NV 19,000 803,867
--------------------------------------------------------------------------------------
Samsung Electronics Co. 9,104 1,467,206
-----------
17,669,877
- -----------------------------------------------------------------------------------------------------------------------------------
TELECOMMUNICATIONS-
TECHNOLOGY--3.0% Airtouch Communications, Inc.(2)(5) 45,500 1,296,750
--------------------------------------------------------------------------------------
AT&T Corp. 24,000 1,275,000
--------------------------------------------------------------------------------------
ECI Telecommunications Ltd. 57,500 787,031
--------------------------------------------------------------------------------------
Kinnevik Investments AB Free, Series B 31,500 960,366
--------------------------------------------------------------------------------------
MCI Communications Corp. 108,000 2,376,000
--------------------------------------------------------------------------------------
Rogers Cantel Mobile Communications, Inc., Sub. Cl. B(2) 62,000 1,472,500
--------------------------------------------------------------------------------------
Technology Resources Industries Berhad(2) 42,000 120,591
-----------
8,288,238
</TABLE>
11 Oppenheimer Fund
<PAGE>
STATEMENT OF INVESTMENTS (CONTINUED)
<TABLE>
<CAPTION>
MARKET VALUE
SHARES SEE NOTE 1
<S> <C> <C> <C>
- -----------------------------------------------------------------------------------------------------------------------------------
UTILITIES--3.3%
- -----------------------------------------------------------------------------------------------------------------------------------
ELECTRIC UTILITIES--1.1% Central Puerto SA, ADR(4) 5,000 $ 95,030
--------------------------------------------------------------------------------------
Korea Electric Power Co.(2) 30,000 1,123,640
--------------------------------------------------------------------------------------
Verbund Oest Electriz 25,200 1,848,499
-----------
3,067,169
- -----------------------------------------------------------------------------------------------------------------------------------
GAS UTILITIES--0.5% Hong Kong & China Gas 743,040 1,185,982
- -----------------------------------------------------------------------------------------------------------------------------------
TELEPHONE UTILITIES--1.7% BCE, Inc. 34,000 1,092,250
--------------------------------------------------------------------------------------
US West, Inc. 86,800 3,613,050
-----------
4,705,300
-----------
Total Common Stocks (Cost $171,838,828) 233,601,067
- -----------------------------------------------------------------------------------------------------------------------------------
PREFERRED STOCKS--1.8%
- -----------------------------------------------------------------------------------------------------------------------------------
Alumax, Inc., $4.00 Cv., Series A 7,333 985,372
--------------------------------------------------------------------------------------
Chiquita Brands International, Inc., $1.32 Depositary
Shares 45,000 630,000
--------------------------------------------------------------------------------------
Cyprus Amax Minerals Co., $4.00 Cv., Series A 20,666 1,291,625
--------------------------------------------------------------------------------------
Delta Airlines, Inc., $3.50 Cv. Depositary Shares, Series C 36,300 2,123,550
-----------
Total Preferred Stocks (Cost $4,007,871) 5,030,547
FACE
AMOUNT
- -----------------------------------------------------------------------------------------------------------------------------------
REPURCHASE AGREEMENTS--11.9% Repurchase agreement with First Chicago Capital Markets,
6.125%, dated 6/30/95, to be repurchased at $32,400,529 on
7/3/95, collateralized by U.S. Treasury Bonds, 11.25%,
2/15/15, with a value of $3,303,730, U.S. Treasury Nts.,
4.75%--7.875%, 3/31/96--8/15/01, with a value of
$21,610,380, and U.S. Treasury Bills maturing 9/28/95--
12/14/95, with a value of $8,149,932 (Cost $32,384,000) $32,384,000 32,384,000
- -----------------------------------------------------------------------------------------------------------------------------------
TOTAL INVESTMENTS, AT VALUE
(COST $212,056,329) 100.9% 275,055,614
- -----------------------------------------------------------------------------------------------------------------------------------
LIABILITIES IN EXCESS OF OTHER ASSETS (0.9) (2,520,139)
----------- ------------
NET ASSETS 100.0% $272,535,475
----------- ------------
----------- ------------
<FN>
1. Represents the current interest
rate for a variable rate security.
2. Non-income producing security.
3. Units may be comprised of several
components, such as debt and equity
and/or warrants to purchase equity
at some point in the future.
4. Represents a security sold under
Rule 144A, which is exempt from
registration under the Securities
Act of 1933, as amended. This
security has been determined to be
liquid under guidelines established
by the Board of Trustees.
These securities amount to $558,972
or .21% of the Fund's net assets,
at June 30, 1995.
</TABLE>
12 Oppenheimer Fund
<PAGE>
- --------------------------------------------------------------------------------
5. A sufficient amount of liquid assets
has been designated to cover outstanding
call options, as follows:
<TABLE>
<CAPTION>
SHARES
SUBJECT EXPIRATION EXERCISE PREMIUM MARKET VALUE
TO CALL DATE PRICE RECEIVED SEE NOTE 1
<S> <C> <C> <C> <C> <C>
- -----------------------------------------------------------------------------------------------------------------------------------
AMR Corp. 2,800 1/96 $ 80 $ 13,300 $ 11,550
---------------------------------------------------------------------------------------------
AMR Corp. 3,600 8/95 65 12,492 37,800
---------------------------------------------------------------------------------------------
Abbott Laboratories 6,000 8/95 35 15,944 38,250
---------------------------------------------------------------------------------------------
Advanced Micro Devices, Inc. 7,000 1/96 45 14,665 14,000
---------------------------------------------------------------------------------------------
Aetna Life & Casualty Co. 4,200 7/95 55 8,274 33,075
---------------------------------------------------------------------------------------------
Airborne Freight Corp. 4,900 8/95 23 11,490 2,144
---------------------------------------------------------------------------------------------
Airtouch Communications, Inc. 9,000 7/95 30 12,105 2,813
---------------------------------------------------------------------------------------------
American International Group, Inc. 2,600 2/96 120 20,071 16,250
---------------------------------------------------------------------------------------------
Amgen, Inc. 8,400 7/95 65 24,947 128,100
---------------------------------------------------------------------------------------------
Amgen, Inc. 12,000 7/95 80 26,639 25,500
---------------------------------------------------------------------------------------------
BMC Software, Inc. 6,400 8/95 65 42,207 85,600
---------------------------------------------------------------------------------------------
Bankers Trust New York Corp. 4,400 1/96 70 11,968 8,250
---------------------------------------------------------------------------------------------
Bankers Trust New York Corp. 5,600 7/95 65 9,282 3,850
---------------------------------------------------------------------------------------------
Bankers Trust New York Corp. 5,600 7/95 70 5,432 2,800
---------------------------------------------------------------------------------------------
Bristol-Myers Squibb Co. 9,600 9/95 65 9,312 39,600
---------------------------------------------------------------------------------------------
Burlington Northern, Inc. 14,000 7/95 55 31,079 119,000
---------------------------------------------------------------------------------------------
Cabletron Systems, Inc. 2,000 7/95 50 6,502 8,250
---------------------------------------------------------------------------------------------
Cabletron Systems, Inc. 2,000 7/95 55 3,846 2,625
---------------------------------------------------------------------------------------------
Chemical Banking Corp. 10,000 12/95 50 25,769 20,625
---------------------------------------------------------------------------------------------
Chiron Corp. 3,200 7/95 70 14,304 2,000
---------------------------------------------------------------------------------------------
Circus Circus Enterprises, Inc. 5,000 12/95 40 5,162 8,125
---------------------------------------------------------------------------------------------
Comcast Corp., Cl. A Special 23,400 7/95 18 22,697 33,638
---------------------------------------------------------------------------------------------
Eastman Kodak Co. 5,000 7/95 55 4,850 29,375
---------------------------------------------------------------------------------------------
Electronic Arts, Inc. 12,600 9/95 25 37,421 48,825
---------------------------------------------------------------------------------------------
General Dynamics Corp. 5,000 8/95 45 17,974 6,875
---------------------------------------------------------------------------------------------
Genzyme Corp. 5,100 10/95 45 17,059 9,881
---------------------------------------------------------------------------------------------
Harnischfeger Industries, Inc. 7,200 2/96 40 10,317 8,550
---------------------------------------------------------------------------------------------
Hewlett-Packard Co. 6,000 11/95 80 26,819 20,250
---------------------------------------------------------------------------------------------
IMC Global, Inc. 6,200 7/95 50 24,613 25,575
---------------------------------------------------------------------------------------------
Informix Corp. 12,000 2/96 28 38,069 36,000
---------------------------------------------------------------------------------------------
Informix Corp. 12,000 8/95 20 24,044 69,000
---------------------------------------------------------------------------------------------
Inland Steel Industries, Inc. 14,400 9/95 35 17,567 6,300
---------------------------------------------------------------------------------------------
Intel Corp. 29,600 7/95 43 43,955 636,400
---------------------------------------------------------------------------------------------
King World Productions, Inc. 11,200 8/95 40 19,263 35,000
---------------------------------------------------------------------------------------------
King World Productions, Inc. 11,200 11/95 45 33,263 23,800
---------------------------------------------------------------------------------------------
Landmark Graphics Corp. 8,200 10/95 25 17,178 20,500
---------------------------------------------------------------------------------------------
Lilly (Eli) & Co. 6,000 7/95 70 20,819 53,250
</TABLE>
13 Oppenheimer Fund
<PAGE>
STATEMENT OF INVESTMENTS (CONTINUED)
- --------------------------------------------------------------------------------
Footnote 5. (Continued)
<TABLE>
<CAPTION>
SHARES
SUBJECT EXPIRATION EXERCISE PREMIUM MARKET VALUE
TO CALL DATE PRICE RECEIVED SEE NOTE 1
<S> <C> <C> <C> <C> <C>
-------------------------------------------------------------------------------
Manor Care, Inc. 10,000 1/96 $ 35 $ 11,050 $ 8,750
-------------------------------------------------------------------------------
Manor Care, Inc. 10,000 7/95 30 16,574 5,000
-------------------------------------------------------------------------------
Mattel, Inc. 27,000 10/95 25 29,564 64,125
-------------------------------------------------------------------------------
McDonnell Douglas Corp. 2,000 8/95 45 20,189 64,000
-------------------------------------------------------------------------------
McDonnell Douglas Corp. 6,600 11/95 65 21,251 91,575
-------------------------------------------------------------------------------
Medtronic, Inc. 4,400 8/95 60 13,618 75,900
-------------------------------------------------------------------------------
Merrill Lynch & Co., Inc. 8,000 1/96 55 29,759 30,000
-------------------------------------------------------------------------------
Merrill Lynch & Co., Inc. 8,000 7/95 35 31,134 141,000
-------------------------------------------------------------------------------
Merrill Lynch & Co., Inc. 8,000 7/95 40 13,791 102,000
-------------------------------------------------------------------------------
Merrill Lynch & Co., Inc. 8,000 7/95 45 6,800 61,000
-------------------------------------------------------------------------------
Microsoft Corp. 3,200 7/95 70 6,704 64,400
-------------------------------------------------------------------------------
Microsoft Corp. 4,600 10/95 80 26,311 64,400
-------------------------------------------------------------------------------
Mylan Laboratories, Inc. 10,400 7/95 35 10,738 650
-------------------------------------------------------------------------------
Nellcor, Inc. 7,600 7/95 35 18,087 73,150
-------------------------------------------------------------------------------
Nellcor, Inc. 7,600 7/95 40 9,747 38,000
-------------------------------------------------------------------------------
Nellcor, Inc. 7,600 10/95 45 21,621 24,700
-------------------------------------------------------------------------------
Philip Morris Cos., Inc. 11,000 9/95 65 24,419 116,875
-------------------------------------------------------------------------------
Price/Costco, Inc. 13,000 7/95 15 14,235 17,875
-------------------------------------------------------------------------------
Pyxis Corp. 11,400 7/95 25 24,595 713
-------------------------------------------------------------------------------
Santa Fe Pacific Gold
Corp. 18,000 12/95 15 17,459 12,375
-------------------------------------------------------------------------------
Sun Microsystems, Inc. 7,600 7/95 40 16,684 65,550
-------------------------------------------------------------------------------
Sun Microsystems, Inc. 3,800 10/95 45 8,198 24,700
-------------------------------------------------------------------------------
Sun Microsystems, Inc. 3,800 10/95 55 11,286 9,500
-------------------------------------------------------------------------------
Symantec Corp. 14,000 1/96 35 25,829 26,250
-------------------------------------------------------------------------------
Symantec Corp. 14,000 7/95 20 40,305 120,750
-------------------------------------------------------------------------------
Tandem Computers, Inc. 23,000 7/95 20 19,547 1,915
--------------------------------------------------------------------------------
Time Warner, Inc. 9,000 12/95 45 16,604 12,375
-------------------------------------------------------------------------------
Waste Management Inter-
national PLC, Sponsored
ADR 15,400 9/95 13 13,090 3,850
-------------------------------------------------------------------------------
Wellpoint Health Networks,
Inc., Cl. A 7,400 7/95 35 20,590 616
-------------------------------------------------------------------------------
Western Atlas, Inc. 4,000 12/95 50 7,880 3,500
-------------------------------------------------------------------------------
Xerox Corp. 7,400 7/95 110 18,277 55,500
----------- -----------
$ 1,266,634 $ 3,054,420
----------- -----------
----------- -----------
</TABLE>
See accompanying Notes to Financial Statements
14 Oppenheimer Fund
<PAGE>
STATEMENT OF ASSETS AND LIABILITIES JUNE 30, 1995
<TABLE>
<CAPTION>
<S> <C> <C>
- -----------------------------------------------------------------------------------------------------------------------------------
ASSETS Investments, at value (including repurchase agreements of $32,384,000)
(cost $212,056,329)--see accompanying statement $275,055,614
---------------------------------------------------------------------------------------------
Cash 48,820
---------------------------------------------------------------------------------------------
Receivables:
Investments sold and margin on options written 2,318,235
Interest and dividends 580,982
Shares of beneficial interest sold 109,089
---------------------------------------------------------------------------------------------
Other 28,704
------------
Total assets 278,141,444
- -----------------------------------------------------------------------------------------------------------------------------------
LIABILITIES Unrealized depreciation on forward foreign currency exchange contracts--Note 6 113
---------------------------------------------------------------------------------------------
Options written, at value (premiums received $1,266,634)--
see accompanying statement--Note 4 3,054,420
---------------------------------------------------------------------------------------------
Payables and other liabilities:
Investments purchased 1,363,348
Shares of beneficial interest redeemed 817,990
Distribution and service plan fees--Note 5 93,355
Transfer and shareholder servicing agent fees 8,399
Trustees' fees 71,816
Other 196,528
------------
Total liabilities 5,605,969
- -----------------------------------------------------------------------------------------------------------------------------------
NET ASSETS $272,535,475
------------
------------
- -----------------------------------------------------------------------------------------------------------------------------------
COMPOSITION OF
NET ASSETS Paid-in capital $193,111,156
---------------------------------------------------------------------------------------------
Undistributed net investment income 3,477,408
---------------------------------------------------------------------------------------------
Accumulated net realized gain from investments, written options and
foreign currency transactions 14,735,357
---------------------------------------------------------------------------------------------
Net unrealized appreciation on investments, written options and translation
of assets and liabilities denominated in foreign currencies 61,211,554
------------
Net assets $272,535,475
------------
------------
- -----------------------------------------------------------------------------------------------------------------------------------
NET ASSET VALUE
PER SHARE Class A Shares:
Net asset value and redemption price per share (based on net assets of
$270,381,085 and 23,837,013 shares of beneficial interest outstanding) $11.34
Maximum offering price per share (net asset value plus sales charge of 5.75%
of offering price) $12.03
---------------------------------------------------------------------------------------------
Class C Shares:
Net asset value, redemption price and offering price per share (based on net
assets of $2,154,390 and 192,527 shares of beneficial interest outstanding) $11.19
</TABLE>
See accompanying Notes to Financial Statements.
15 Oppenheimer Fund
<PAGE>
STATEMENT OF OPERATIONS FOR THE YEAR ENDED JUNE 30, 1995
<TABLE>
<CAPTION>
<S> <C> <C>
- -----------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME Interest $ 1,884,046
---------------------------------------------------------------------------------------------
Dividends (net of foreign withholding taxes of $90,716) 4,230,903
-----------
Total income 6,114,949
- -----------------------------------------------------------------------------------------------------------------------------------
EXPENSES Management fees--Note 5 1,896,121
---------------------------------------------------------------------------------------------
Distribution and service plan fees:
Class A--Note 5 351,088
Class C--Note 5 10,956
---------------------------------------------------------------------------------------------
Transfer and shareholder servicing agent fees--Note 5 480,800
---------------------------------------------------------------------------------------------
Shareholder reports 270,809
---------------------------------------------------------------------------------------------
Custodian fees and expenses 59,056
---------------------------------------------------------------------------------------------
Legal and auditing fees 44,273
---------------------------------------------------------------------------------------------
Trustees' fees and expenses 30,730
---------------------------------------------------------------------------------------------
Registration and filing fees:
Class A 1,242
Class C 572
---------------------------------------------------------------------------------------------
Other 162,449
-----------
Total expenses 3,308,096
- -----------------------------------------------------------------------------------------------------------------------------------
NET INVESTMENT INCOME 2,806,853
- -----------------------------------------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED Net realized gain on:
GAIN ON INVESTMENTS, Investments 17,841,154
OPTIONS WRITTEN AND Closing and expiration of option contracts written--Note 4 1,185,394
FOREIGN CURRENCY Foreign currency transactions 717,080
-----------
TRANSACTIONS Net realized gain 19,743,628
---------------------------------------------------------------------------------------------
Net change in unrealized appreciation or depreciation on:
Investments 22,179,415
Translation of assets and liabilities denominated in foreign currencies 1,260,855
-----------
Net change 23,440,270
-----------
Net realized and unrealized gain on investments, options written and
foreign currency transactions 43,183,898
- -----------------------------------------------------------------------------------------------------------------------------------
NET INCREASE IN NET ASSETS RESULTING
FROM OPERATIONS $45,990,751
-----------
-----------
</TABLE>
See accompanying Notes to Financial Statements.
16 Oppenheimer Fund
<PAGE>
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
YEAR ENDED JUNE 30,
1995 1994
<S> <C> <C> <C>
- -----------------------------------------------------------------------------------------------------------------------------------
OPERATIONS Net investment income $ 2,806,853 $ 1,591,019
---------------------------------------------------------------------------------------------
Net realized gain on investments, options written and
foreign currency transactions 19,743,628 18,028,894
---------------------------------------------------------------------------------------------
Net change in unrealized appreciation or depreciation on
investments and translation of assets and liabilities
denominated in foreign currencies 23,440,270 (7,734,744)
------------ ------------
Net increase in net assets resulting from operations 45,990,751 11,885,169
- -----------------------------------------------------------------------------------------------------------------------------------
DIVIDENDS AND Dividends from net investment income:
DISTRIBUTIONS TO Class A ($.0214 and $.033 per share, respectively) (498,859) (665,882)
SHAREHOLDERS Class C ($.02 per share) -- (2)
---------------------------------------------------------------------------------------------
Distributions from net realized gain on investments,
options written and foreign currency transactions:
Class A ($1.0829 and $.4495 per share, respectively) (24,601,920) (9,068,819)
Class C ($1.0829 and $.4495 per share, respectively) (100,620) (41)
- -----------------------------------------------------------------------------------------------------------------------------------
BENEFICIAL INTEREST Net increase in net assets resulting from Class A
TRANSACTIONS beneficial interest transactions--Note 2 12,428,700 18,939,597
---------------------------------------------------------------------------------------------
Net increase in net assets resulting from Class C
beneficial interest transactions--Note 2 1,742,306 304,968
- -----------------------------------------------------------------------------------------------------------------------------------
NET ASSETS Total increase 34,960,358 21,394,990
---------------------------------------------------------------------------------------------
Beginning of period 237,575,117 216,180,127
------------ ------------
End of period (including undistributed net investment income
of $3,477,408 and $1,028,422, respectively) $272,535,475 $237,575,117
------------ ------------
------------ ------------
</TABLE>
See accompanying Notes to Financial Statements.
17 Oppenheimer Fund
<PAGE>
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
CLASS A
--------------------------------------------------------------------
YEAR ENDED JUNE 30,
1995 1994 1993 1992 1991 1990
<S> <C> <C> <C> <C> <C> <C>
- --------------------------------------------------------------------------------------------------------------------
Per Share Operating Data:
Net asset value, beginning of period $ 10.55 $ 10.41 $ 9.72 $ 9.31 $ 9.06 $ 9.17
- --------------------------------------------------------------------------------------------------------------------
Income (loss) from investment operations:
Net investment income .31 .07 .11 .16 .26 .32
Net realized and unrealized gain (loss) on
investments, options written and foreign
currency transactions 1.58 .55 1.15 .84 .69 .23
------- ------- ------- ------- ------- -------
Total income (loss) from investment
operations 1.89 .62 1.26 1.00 .95 .55
- --------------------------------------------------------------------------------------------------------------------
Dividends and distributions to shareholders:
Dividends from net investment income (.02) (.03) (.10) (.32) (.22) (.25)
Distributions from net realized gain
on investments, options written
and foreign currency transactions (1.08) (.45) (.47) (.27) (.48) (.41)
------- ------- ------- ------- ------- -------
Total dividends and distributions
to shareholders (1.10) (.48) (.57) (.59) (.70) (.66)
- --------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $11.34 $10.55 $10.41 $9.72 $9.31 $9.06
------- ------- ------- ------- ------- -------
------- ------- ------- ------- ------- -------
- --------------------------------------------------------------------------------------------------------------------
Total Return, at Net Asset Value(2) 19.60% 5.84% 13.33% 11.22% 11.65% 6.04%
- --------------------------------------------------------------------------------------------------------------------
Ratios/Supplemental Data:
Net assets, end of period (in thousands) $270,381 $237,281 $216,180 $209,495 $202,509 $196,076
- --------------------------------------------------------------------------------------------------------------------
Average net assets (in thousands) $254,011 $229,976 $212,660 $221,369 $189,994 $206,259
- --------------------------------------------------------------------------------------------------------------------
Number of shares outstanding at
end of period (in thousands) 23,837 22,485 20,769 21,555 21,748 21,639
- --------------------------------------------------------------------------------------------------------------------
Ratios to average net assets:
Net investment income 1.10% .69% 1.05% 1.71% 2.91% 3.36%
Expenses 1.29% 1.16% 1.10% 1.09% 1.07% 1.04%
- --------------------------------------------------------------------------------------------------------------------
Portfolio turnover rate(4) 34.1% 41.6% 35.6% 58.2% 105.8% 79.5%
</TABLE>
<TABLE>
<CAPTION>
CLASS C
------------------------------------------------------------------------
YEAR ENDED JUNE 30,
1989 1988 1987 1986 1995 1994(1)
- ------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Per Share Operating Data:
Net asset value, beginning of period $ 8.36 $ 12.16 $ 12.48 $ 9.69 $ 10.49 $ 11.08
- ------------------------------------------------------------------------------------------------------------------------
Income (loss) from investment operations:
Net investment income .21 .13 .06 .11 .03 .02
Net realized and unrealized gain (loss) on
investments, options written and foreign
currency transactions .82 (1.40) .79 2.88 1.75 (.14)
------- ------- ------- ------- ------- -------
Total income (loss) from investment
operations 1.03 (1.27) .85 2.99 1.78 (.12)
- ------------------------------------------------------------------------------------------------------------------------
Dividends and distributions to shareholders:
Dividends from net investment income (.17) (.17) (.02) (.20) -- (.02)
Distributions from net realized gain
on investments, options written
and foreign currency transactions (.05) (2.36) (1.15) -- (1.08) (.45)
------- ------- ------- ------- ------- -------
Total dividends and distributions
to shareholders (.22) (2.53) (1.17) (.20) (1.08) (.47)
- ------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $ 9.17 $ 8.36 $ 12.16 $ 12.48 $ 11.19 $ 10.49
------- ------- ------- ------- ------- -------
------- ------- ------- ------- ------- -------
- ------------------------------------------------------------------------------------------------------------------------
Total Return, at Net Asset Value(2) 12.60% (12.30)% 8.44% 31.24% 18.57% (1.24)%
- ------------------------------------------------------------------------------------------------------------------------
Ratios/Supplemental Data:
Net assets, end of period (in thousands) $208,166 $213,301 $273,756 $284,604 $2,154 $294
- ------------------------------------------------------------------------------------------------------------------------
Average net assets (in thousands) $201,556 $224,367 $261,686 $268,929 $1,100 $108
- ------------------------------------------------------------------------------------------------------------------------
Number of shares outstanding at
end of period (in thousands) 22,705 25,514 22,518 22,802 193 28
- ------------------------------------------------------------------------------------------------------------------------
Ratios to average net assets:
Net investment income 2.49% 1.51% .52% .89% .48% .05%(3)
Expenses 1.07% 1.04% .99% 1.01% 2.20% 2.44%(3)
- ------------------------------------------------------------------------------------------------------------------------
Portfolio turnover rate(4) 96.6% 118.8% 59.1% 43.8% 34.1% 41.6%
<FN>
1. For the period from December 1, 1993 (inception of offering) to June 30,
1994.
2. Assumes a hypothetical initial investment on the business day before the
first day of the fiscal period, with all dividends and distributions reinvested
in additional shares on the reinvestment date, and redemption at the net asset
value calculated on the last business day of the fiscal period. Sales charges
are not reflected in the total returns. Total returns are not annualized for
periods of less than one full year.
3. Annualized.
4. The lesser of purchases or sales of portfolio securities for a period,
divided by the monthly average of the market value of portfolio securities owned
during the period. Securities with a maturity or expiration date at the time of
acquisition of one year or less are excluded from the calculation. Purchases and
sales of investment securities (excluding short-term securities) for the period
ended June 30, 1995 were $78,020,991 and $90,967,856, respectively.
</TABLE>
See accompanying Notes to Financial Statements.
18 Oppenheimer Fund
<PAGE>
19 Oppenheimer Fund
<PAGE>
NOTES TO FINANCIAL STATEMENTS
- --------------------------------------------------------------------------------
1. SIGNIFICANT Oppenheimer Fund (the Fund) is registered under
ACCOUNTING POLICIES the Investment Company Act of 1940, as amended, as
a diversified, open-end management investment
company. The Fund's investment advisor is
Oppenheimer Management Corporation (the Manager).
The Fund offers both Class A and Class C shares.
Class A shares are sold with a front-end sales
charge. Class C shares may be subject to a
contingent deferred sales charge. Both classes of
shares have identical rights to earnings, assets
and voting privileges, except that each class has
its own distribution and/or service plan, expenses
directly attributable to a particular class and
exclusive voting rights with respect to matters
affecting a single class. The following is a
summary of significant accounting policies
consistently followed by the Fund.
--------------------------------------------------
INVESTMENT VALUATION. Portfolio securities are
valued at the close of the New York Stock Exchange
on each trading day. Listed and unlisted
securities for which such information is regularly
reported are valued at the last sale price of the
day or, in the absence of sales, at values based
on the closing bid or asked price or the last sale
price on the prior trading day. Long-term and
short-term "non-money market" debt securities are
valued by a portfolio pricing service approved by
the Board of Trustees. Such securities which
cannot be valued by the approved portfolio pricing
service are valued using dealer-supplied
valuations provided the Manager is satisfied that
the firm rendering the quotes is reliable and that
the quotes reflect current market value, or under
consistently applied procedures established by the
Board of Trustees to determine fair value in good
faith. Short-term "money market type" debt
securities having a remaining maturity of 60 days
or less are valued at cost (or last determined
market value) adjusted for amortization to
maturity of any premium or discount. Forward
contracts are valued based on the closing prices
of the forward currency contract rates in the
London foreign exchange markets on a daily basis
as provided by a reliable bank or dealer. Options
are valued based upon the last sale price on the
principal exchange on which the option is traded
or, in the absence of any transactions that day,
the value is based upon the last sale price on the
prior trading date if it is within the spread
between the closing bid and asked prices. If the
last sale price is outside the spread, the closing
bid or asked price closest to the last reported
sale price is used.
--------------------------------------------------
FOREIGN CURRENCY TRANSLATION. The accounting
records of the Fund are maintained in U.S.
dollars. Prices of securities denominated in
foreign currencies are translated into U.S.
dollars at the closing rates of exchange. Amounts
related to the purchase and sale of securities and
investment income are translated at the rates of
exchange prevailing on the respective dates of
such transactions.
The effect of changes in foreign
currency exchange rates is separately identified
from the fluctuations arising from changes in
market values of securities held and reported with
all other foreign currency gains and losses in the
Fund's results of operations.
--------------------------------------------------
REPURCHASE AGREEMENTS. The Fund requires the
custodian to take possession, to have legally
segregated in the Federal Reserve Book Entry
System or to have segregated within the
custodian's vault, all securities held as
collateral for repurchase agreements. The market
value of the underlying securities is required to
be at least 102% of the resale price at the time
of purchase. If the seller of the agreement
defaults and the value of the collateral declines,
or if the seller enters an insolvency proceeding,
realization of the value of the collateral by the
Fund may be delayed or limited.
--------------------------------------------------
ALLOCATION OF INCOME, EXPENSES AND GAINS AND
LOSSES. Income, expenses (other than those
attributable to a specific class) and gains and
losses are allocated daily to each class of shares
based upon the relative proportion of net assets
represented by such class. Operating expenses
directly attributable to a specific class are
charged against the operations of that class.
20 Oppenheimer Fund
<PAGE>
- --------------------------------------------------------------------------------
1. SIGNIFICANT FEDERAL TAXES. The Fund intends to continue to
ACCOUNTING POLICIES comply with provisions of the Internal Revenue
(CONTINUED) Code applicable to regulated investment companies
and to distribute all of its taxable income,
including any net realized gain on investments not
offset by loss carryovers, to shareholders.
Therefore, no federal income or excise tax
provision is required.
--------------------------------------------------
TRUSTEES' FEES AND EXPENSES. The Fund has adopted
a nonfunded retirement plan for the Fund's
independent trustees. Benefits are based on years
of service and fees paid to each trustee during
the years of service. During the year ended June
30, 1995, the Fund's projected benefit obligations
were reduced by $5,493, and a payment of $1,182
was made to a retired trustee, resulting in an
accumulated liability of $63,984 at June 30, 1995.
--------------------------------------------------
DISTRIBUTIONS TO SHAREHOLDERS. Dividends and
distributions to shareholders are reported on the
ex-dividend date.
--------------------------------------------------
CLASSIFICATION OF DISTRIBUTIONS TO SHAREHOLDERS.
Net investment income (loss) and net realized gain
(loss) may differ for financial statement and tax
purposes primarily because of the recognition of
certain foreign currency gains (losses) as
ordinary income (loss) for tax purposes. The
character of the distributions made during the
year from net investment income or net realized
gains may differ from their ultimate
characterization for federal income tax purposes.
Also, due to timing of dividend distributions, the
fiscal year in which amounts are distributed may
differ from the year that the income or realized
gain (loss) was recorded by the Fund.
During the year ended June 30, 1995, the
Fund changed the classification of distributions
to shareholders to better disclose the differences
between financial statement amounts and
distributions determined in accordance with income
tax regulations. Accordingly, during the year
ended June 30, 1995, amounts have been
reclassified to reflect an increase in
undistributed net investment income of $140,992,
and a decrease in accumulated net realized gain on
investments of $140,992.
--------------------------------------------------
OTHER. Investment transactions are accounted for
on the date the investments are purchased or sold
(trade date) and dividend income is recorded on
the ex-dividend date. Discount on securities
purchased is amortized over the life of the
respective securities, in accordance with federal
income tax requirements. Realized gains and losses
on investments and unrealized appreciation and
depreciation are determined on an identified cost
basis, which is the same basis used for federal
income tax purposes.
- --------------------------------------------------------------------------------
2. SHARES OF The Fund has authorized an unlimited number of no
BENEFICIAL INTEREST par value shares of beneficial interest.
Transactions in shares of beneficial interest were
as follows:
<TABLE>
<CAPTION>
YEAR ENDED JUNE 30, 1995 YEAR ENDED JUNE 30, 1994(1)
--------------------------- ---------------------------
SHARES AMOUNT SHARES AMOUNT
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Class A:
Sold 6,673,759 $71,435,301 3,600,642 $39,529,238
Dividends and distributions reinvested 2,364,103 23,168,217 816,887 8,879,570
Redeemed (7,685,964) (82,174,818) (2,701,648) (29,469,211)
--------- ---------- --------- ----------
Net increase 1,351,898 $12,428,700 1,715,881 $18,939,597
--------- ---------- --------- ----------
--------- ---------- --------- ----------
- ------------------------------------------------------------------------------------------------------
Class C:
Sold 183,982 $1,948,887 29,766 $323,590
Dividends and distributions reinvested 8,876 86,189 -- --
Redeemed (28,381) (292,770) (1,716) (18,622)
-------- ---------- ------- --------
Net increase 164,477 $1,742,306 28,050 $304,968
------- --------- ------ ---------
------- --------- ------ ---------
<FN>
1. For the year ended June 30, 1994 for Class A shares and for the period from
December 1, 1993 (inception of offering) to June 30, 1994 for Class C shares.
</TABLE>
21 Oppenheimer Fund
<PAGE>
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
-------------------------------------------------
3. UNREALIZED GAINS AND At June 30, 1995, net unrealized appreciation on
LOSSES ON INVESTMENT investments, options written and forward foreign
currency exchange contracts of $61,211,386 was
composed of gross appreciation of $70,427,680, and
gross depreciation of $9,216,294.
--------------------------------------------------
4. OPTION ACTIVITY The Fund may buy and sell put and call options, or
write covered put and call options on portfolio
securities in order to produce incremental
earnings or protect against changes in the value
of portfolio securities. The Fund generally
purchases put options or writes covered call
options to hedge against adverse movements in the
value of portfolio holdings. When an option is
written, the Fund receives a premium and becomes
obligated to sell or purchase the underlying
security at a fixed price, upon exercise of the
option.
Options are valued daily based upon the last
sale price on the principal exchange on which the
option is traded and unrealized appreciation or
depreciation is recorded. The Fund will realize a
gain or loss upon the expiration or closing of the
option transaction. When an option is exercised,
the proceeds on sales for a written call option,
the purchase cost for a written put option, or the
cost of the security for a purchased put or call
option is adjusted by the amount of premium
received or paid.
In this report, securities designated to
cover outstanding call options are noted in the
Statement of Investments. Shares subject to call,
expiration date, exercise price, premium received
and market value are detailed in a footnote to the
Statement of Investments. Options written are
reported as a liability in the Statement of Assets
and Liabilities. Gains and losses are reported in
the Statement of Operations.
The risk in writing a call option is that the
Fund gives up the opportunity for profit if the
market price of the security increases and the
option is exercised. The risk in writing a put
option is that the Fund may incur a loss if the
market price of the security decreases and the
option is exercised. The risk in buying an option
is that the Fund pays a premium whether or not the
option is exercised. The Fund also has the
additional risk of not being able to enter into a
closing transaction if a liquid secondary market
does not exist.
Written option activity for the year ended June
30, 1995 was as follows:
<TABLE>
<CAPTION>
CALL OPTIONS
--------------------------
NUMBER OF AMOUNT OF
OPTIONS PREMIUMS
<S> <C> <C>
- -------------------------------------------------------------------------------------------
Options outstanding at June 30, 1994 2,727 $848,716
- -------------------------------------------------------------------------------------------
Options written 10,843 2,606,274
- -------------------------------------------------------------------------------------------
Options canceled in closing purchase transactions (1,937) (568,132)
- -------------------------------------------------------------------------------------------
Options expired prior to exercise (4,051) (1,043,300)
- -------------------------------------------------------------------------------------------
Options exercised (1,590) (576,924)
------- ----------
Options outstanding at June 30, 1995 5,992 $1,266,634
------- ----------
------- ----------
</TABLE>
- --------------------------------------------------------------------------------
5. MANAGEMENT FEES AND Management fees paid to the Manager were in
OTHER TRANSACTIONS accordance with the investment advisory agreement
WITH AFFILIATES with the Fund which provides for a fee of .75% on
the first $200 million of average annual net
assets with a reduction of .03% on each $200
million thereafter to $800 million, and .60% on
net assets in excess of $800 million. The Manager
has agreed to reimburse the Fund if aggregate
expenses (with specified exceptions) exceed the
most stringent state regulatory limit on Fund
expenses.
For the year ended June 30, 1995, commissions
(sales charges paid by investors) on sales of
Class A shares totaled $1,275,166, of which
$280,415 was retained by Oppenheimer Funds
Distributor, Inc. (OFDI), a subsidiary of the
Manager, as general distributor, and by an
affiliated broker/dealer. Sales charges advanced
to broker/dealers by OFDI on sales of the Fund's
Class C shares totaled $13,900, of which $454 was
paid to an affiliated broker/dealer. During the
period ended June 30, 1995, OFDI received
contingent deferred sales charges of $651 upon
redemption of Class C shares.
22 Oppenheimer Fund
<PAGE>
- --------------------------------------------------------------------------------
5. MANAGEMENT FEES AND Oppenheimer Shareholder Services (OSS), a division
OTHER TRANSACTIONS of the Manager, is the transfer and shareholder
WITH AFFILIATES servicing agent for the Fund, and for other
(CONTINUED) registered investment companies. OSS's total costs
of providing such services are allocated ratably
to these companies.
Under separate approved plans, each class may
expend up to .25% of its net assets annually to
reimburse OFDI for costs incurred in connection
with the personal service and maintenance of
accounts that hold shares of the Fund, including
amounts paid to brokers, dealers, banks and other
institutions. In addition, Class C shares are
subject to an asset-based sales charge of .75% of
net assets annually, to reimburse OFDI for sales
commissions paid from its own resources at the
time of sale and associated financing costs. In
the event of termination or discontinuance of the
Class C plan, the Board of Trustees may allow the
Fund to continue payment of the asset-based sales
charge to OFDI for distribution expenses incurred
on Class C shares sold prior to termination or
discontinuance of the plan. During the year ended
June 30, 1995, OFDI paid $4,031 to an affiliated
broker/dealer as reimbursement for Class A
personal service and maintenance expenses, and
retained $9,881 as reimbursement for Class C sales
commissions and service fee advances, as well as
financing costs.
-------------------------------------------------
6. FORWARD CONTRACTS A forward foreign currency exchange contract
(forward contract) is a commitment to purchase or
sell a foreign currency at a future date, at a
negotiated rate.
The Fund uses forward contracts to seek to manage
foreign currency risks. They may also be used to
tactically shift portfolio currency risk. The Fund
generally enters into forward contracts as a hedge
upon the purchase or sale of a security
denominated in a foreign currency. In addition,
the Fund may enter into such contracts as a hedge
against changes in foreign currency exchange rates
on portfolio positions.
Forward contracts are valued based on the closing
prices of the forward currency contract rates in
the London foreign exchange markets on a daily
basis as provided by a reliable bank or dealer.
The Fund will realize a gain or loss upon the
closing or settlement of the forward transaction.
Unrealized gains and losses on outstanding
contracts (unrealized appreciation or depreciation
on forward contracts) are reported in the
Statement of Assets and Liabilities. Realized
gains and losses are reported with all other
foreign currency gains and losses in the Fund's
Statement of Operations.
Risks include the potential inability of the
counterparty to meet the terms of the contract and
unanticipated movements in the value of a foreign
currency relative to the U.S. dollar.
At June 30, 1995, outstanding forward contracts to sell foreign currencies were
as follows:
<TABLE>
<CAPTION>
UNREALIZED
EXCHANGE CONTRACT VALUATION AS OF APPRECIATION
CONTRACTS TO SELL DATE AMOUNT JUNE 30, 1995 (DEPRECIATION)
- -------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
German Deutsche Mark 7/5/95 54,488 $54,601 $(113)
</TABLE>
23 Oppenheimer Fund
<PAGE>
INDEPENDENT AUDITORS' REPORT
- --------------------------------------------------------------------------------
The Board of Directors and Shareholders of Oppenheimer Fund:
We have audited the accompanying statements of investments and assets and
liabilities of Oppenheimer Fund as of June 30, 1995, and the related statement
of operations for the year then ended, the statements of changes in net assets
for each of the years in the two-year period then ended and the financial
highlights for each of the years in the ten-year period then ended. These
financial statements and financial highlights are the responsibility of the
Fund'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. Our procedures included confirmation of securities owned as of June
30, 1995, by correspondence with the custodian and brokers; and where
confirmations were not received from brokers, we performed other auditing
procedures. 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
Oppenheimer Fund as of June 30, 1995, the results of its operations for the year
then ended, the changes in its net assets for each of the years in the two-year
period then ended, and the financial highlights for each of the years in the
ten-year period then ended, in conformity with generally accepted accounting
principles.
KPMG Peat Marwick LLP
Denver, Colorado
July 24, 1995
24 Oppenheimer Fund
<PAGE>
FEDERAL INCOME TAX INFORMATION (UNAUDITED)
- -------------------------------------------------------------------------------
In early 1996, shareholders will receive information regarding all dividends and
distributions paid to them by the Fund during calendar year 1995. Regulations of
the U.S. Treasury Department require the Fund to report this information to the
Internal Revenue Service.
For Class A shares a distribution of $1.2969 per share was paid on December
28, 1994, of which $.9983 was designated as a "capital gain distribution" for
federal income tax purposes. For Class C shares a distribution of $1.0829 was
paid on December 28, 1994, of which $.9983 was designated as "capital gain
distribution" for federal income tax purposes. Whether received in stock or
cash, the capital gain distribution should be treated by shareholders as a gain
from the sale of capital assets held for more than one year (long-term capital
gains).
Dividends paid by the Fund during the fiscal year ended June 30, 1995 which
are not designated as capital gain distributions should be multiplied by 69.60%
to arrive at the net amount eligible for the corporate dividend - received
deduction.
The foregoing information is presented to assist shareholders in reporting
distributions received from the Fund to the Internal Revenue Service. Because of
the complexity of the federal regulations which may affect your individual tax
return and the many variations in state and local tax regulations, we recommend
that you consult your tax advisor for specific guidance.
25 Oppenheimer Fund
<PAGE>
OPPENHEIMER FUND
- --------------------------------------------------------------------------------
OFFICERS AND TRUSTEES Leon Levy, Chairman of the Board of Trustees
Leo Cherne, Trustee
Robert G. Galli, Trustee
Benjamin Lipstein, Trustee
Elizabeth B. Moynihan, Trustee
Kenneth A. Randall, Trustee
Edward V. Regan, Trustee
Russell S. Reynolds, Jr., Trustee
Sidney M. Robbins, Trustee
Donald W. Spiro, Trustee and President
Pauline Trigere, Trustee
Clayton K. Yeutter, Trustee
Richard Rubinstein, Vice President
George C. Bowen, Treasurer
Robert J. Bishop, Assistant Treasurer
Scott Farrar, Assistant Treasurer
Andrew J. Donohue, Secretary
Robert G. Zack, Assistant Secretary
- --------------------------------------------------------------------------------
INVESTMENT ADVISOR Oppenheimer Management Corporation
- --------------------------------------------------------------------------------
DISTRIBUTOR Oppenheimer Funds Distributor, Inc.
- --------------------------------------------------------------------------------
TRANSFER AND SHAREHOLDER
SERVICING AGENT Oppenheimer Shareholder Services
- --------------------------------------------------------------------------------
CUSTODIAN OF
PORTFOLIO SECURITIES The Bank of New York
- --------------------------------------------------------------------------------
INDEPENDENT AUDITORS KPMG Peat Marwick LLP
- --------------------------------------------------------------------------------
LEGAL COUNSEL Gordon Altman Butowsky Weitzen Shalov & Wein
This is a copy of a report to shareholders of
Oppenheimer Fund. This report must be
preceded or accompanied by a Prospectus of
Oppenheimer Fund. For material information
concerning the Fund, see the Prospectus.
Shares of Oppenheimer funds are not deposits
or obligations of any bank, are not
guaranteed by any bank, and are not insured
by the FDIC or any other agency, and involve
investment risks, including possible loss of
the principal amount invested.
26 Oppenheimer Fund
<PAGE>
- --------------------------------------------------------------------------------
OPPENHEIMERFUNDS FAMILY
- --------------------------------------------------------------------------------
OppenheimerFunds offers over 30 funds designed to fit virtually every investment
goal. Whether you're investing for retirement, your children's education or
tax-free income, we have the funds to help you seek your objective.
When you invest with OppenheimerFunds, you can feel comfortable knowing
that you are investing with a respected financial institution with over 30 years
of experience in helping people just like you reach their financial goals. And
you're investing with a leader in global, growth stock and flexible fixed income
investments--with over 2.6 million shareholder accounts and more than $35
billion under Oppenheimer's management and that of our affiliates.
At OppenheimerFunds, we don't charge a fee to exchange shares of eligible
funds of the same class. And you can exchange shares easily by mail or by
telephone.1 For more information on OppenheimerFunds, please contact your
financial advisor or call us at 1-800-525-7048 for a prospectus. You may also
write us at the address shown on the back cover. As always, please read the
prospectus carefully before you invest.
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------------------
<S> <C> <C>
STOCK FUNDS Discovery Fund Global Fund
Global Emerging Growth Fund(2) Oppenheimer Fund
Target Fund Value Stock Fund
Growth Fund(3) Gold & Special Minerals Fund
- --------------------------------------------------------------------------------------------
STOCK & BOND FUNDS Main Street Income & Growth Fund Equity Income Fund
Total Return Fund Asset Allocation Fund
Global Growth & Income Fund
- --------------------------------------------------------------------------------------------
BOND FUNDS High Yield Fund Strategic Short-Term Income Fund
Champion High Yield Fund International Bond Fund
Strategic Income & Growth Fund Bond Fund(4)
Strategic Income Fund U.S. Government Trust
Strategic Investment Grade Bond Fund Limited-Term Government Fund
- --------------------------------------------------------------------------------------------
TAX-EXEMPT FUNDS New York Tax-Exempt Fund(5) New Jersey Tax-Exempt Fund(5)
California Tax-Exempt Fund(5) Tax-Free Bond Fund
Pennsylvania Tax-Exempt Fund(5) Insured Tax-Exempt Bond Fund
Florida Tax-Exempt Fund(5) Intermediate Tax-Exempt Bond Fund
- ---------------------------------------------------------------------------------------------
MONEY MARKET FUNDS Money Market Fund Cash Reserves
<FN>
1. Exchange privileges are subject to change or termination.
2. Formerly Global Bio-Tech Fund.
3. Formerly Special Fund.
4. Formerly Investment Grade Bond Fund.
5. Available only to residents of certain states.
</TABLE>
OppenheimerFunds are distributed by Oppenheimer Funds Distributor, Inc., Two
World Trade Center, New York, NY 10048-0203.
- -C- Copyright 1995 Oppenheimer Management Corporation. All rights reserved.
27 Oppenheimer Fund
<PAGE>
As an OppenheimerFunds shareholder, you have some special privileges. Whether
it's automatic investment plans, informative newsletters and hotlines, or ready
account access, you can benefit from services designed to make investing
simple.
And when you need help, our Customer Service Representatives are only a
toll-free phone call away. They can provide information about your account and
handle administrative requests. You can reach them at our General Information
number.
When you want to make a transaction, you can do it easily by calling our
toll-free Telephone Transactions number. And, by enrolling in AccountLink, a
convenient service that "links" your OppenheimerFunds accounts and your bank
checking or savings account, you can use the Telephone Transactions number to
make investments.
For added convenience, you can get auto-mated information with
OppenheimerFunds PhoneLink service, available 24 hours a day, 7 days a week.
PhoneLink gives you access to a variety of fund, account, and market
information. Of course, you can always speak with a Customer Service
Representative during the General Information
hours shown at the left.
You can count on us whenever you need assistance. That's why the
International Customer Service Association, an independent, nonprofit
organization made up of over 3,200 customer service management professionals
from around the country, honored the OppenheimerFunds' transfer agent,
Oppenheimer Shareholder Services, with their Award of Excellence in 1993.
So call us today--we're here to help.
INFORMATION
"HOW MAY I HELP YOU?"
GENERAL INFORMATION
Monday-Friday 8:30 a.m.-8 p.m. ET
Saturday 10 a.m.-2 p.m. ET
1-800-525-7048
TELEPHONE TRANSACTIONS
Monday-Friday 8:30 a.m.-8 p.m. ET
1-800-852-8457
PHONELINK
24 hours a day, automated information and transactions
1-800-533-3310
TELECOMMUNICATIONS DEVICE FOR THE DEAF (TDD)
Monday-Friday 8:30 a.m.-8 p.m. ET
1-800-843-4461
OPPENHEIMERFUNDS INFORMATION HOTLINE
24 hours a day, timely and insightful messages on the economy and
issues that affect your investments
1-800-835-3104
[LOGO]
Oppenheimer Funds Distributor, Inc
P.O. Box 5270
Denver, CO 80217-5270
Bulk Rate
U.S. Postage
PAID
Permit No. 469
Denver, CO
