[FRONT COVER]
Oppenheimer Growth Fund
Semiannual Report December 31, 1995
[Picture of Gourmet Shop]
"We have
a lot of
important
goals, so
we need
our money
to grow
solidly
over time."
[LOGO-OPPENHEIMER FUNDS (R)]
<PAGE>
News
Beat the Average
Cumulative Total Return for the
5-Year Period Ended 12/31/95:
Oppenheimer Growth Fund
Class A (at net asset value)1
131.69%
S&P 500(3)
115.19%
Lipper Growth Funds Average4
113.67%
This Fund is for people who want their money to grow for long-term needs, and
feel most comfortable investing in well-known, established companies.
How Your Fund Is Managed
Oppenheimer Growth Fund invests in stocks to seek capital appreciation. The
Fund focuses on a diversified portfolio of medium- and large-sized companies
that the managers believe have prospects for better-than-expected earnings and
whose stock is selling at attractive valuations. Simply put, the
Fund's managers invest in companies they believe have excellent growth
potential at bargain prices.
Growth Fund investments are primarily in high-quality, well-known growth
companies, whose earnings have tended to increase consistently in all types of
market conditions.
As a new middle class emerges in developing areas around the world, the
Fund's manager believes that demand for American name-brand products should
increase significantly so the Fund also gives you the oppor-tunity to benefit
from the growth of companies selling products in the U.S. and abroad.
Performance
Total returns at net asset value for the six months ended 12/31/95 for Class A,
B and Y shares were 10.90%, 10.39% and 10.96%, respectively.1
Your Fund's average annual total returns at maximum offering price for
Class A shares for the 1-, 5-, and 10-year periods ended 12/31/95 were 27.19%,
16.91% and 12.27%, respectively. For Class B shares, average annual total
returns for the 1-year period ended 12/31/95 and since inception of the Class on
8/17/93 were 28.63% and 14.63%, respectively. For Class Y shares, average annual
total returns for the 1-year period ended 12/31/95 and since incep-tion of the
Class on 6/1/94 were 35.02% and 21.67%, respectively.2
Outlook
"While the market has risen dramatically, our strategy should provide protection
against potential downturns. We'll continue our policy of selling winners and
buying strong companies with weak market performance as the coming year
unfolds."
Robert Doll, Portfolio Manager
December 31, 1995
Total returns include change in share price and reinvestment of dividends and
capital gains distributions. Past performance does not guarantee future results.
Investment return and principal value of 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. For more complete information, please review the
prospectus carefully before you invest.
1. 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 for
Class A and B shares if sales charges were taken into account.
2. Class A returns show results of hypothetical investments on 12/31/94,
12/31/90 and 12/31/85, after deducting the current maximum initial sales charge
of 5.75%. Class A shares were first publicly offered on 3/15/73. Prior to
4/1/94, the Fund's maximum sales charge for Class A shares was higher, so that
actual account performance would have been less. Class B returns show results of
hypothetical investments on 12/31/94 and 8/17/93 (inception of class), and the
deduction of the applicable contingent deferred sales charge of 5% (1-year) and
3% (since inception). Class C performance is not sho wn above because shares
were first publicly offered on 11/1/95. An explanation of the different
performance calculations is in the Fund's prospectus.
3. The S&P 500 Index is an unmanaged index of common stocks that is widely
recognized as an indicator of overall market performance. The S&P 500 Index
includes dividend reinvestments but does not take capital gains distributions
into consideration.
4. Source: Lipper Analytical Services. The Lipper total return average for the
5-year period was for 236 growth funds. The average is shown for comparative
purposes only. Oppenheimer Growth Fund is characterized by Lipper as a growth
fund. Lipper performance does not take sales charges into conside ration.
2. Oppenheimer Growth Fund
<PAGE>
Dear OppenheimerFunds Shareholder,
[PHOTO-BRIDGET A. MACASKILL]
Bridget A. Macaskill
President
Oppenheimer
Growth Fund
The U.S. stock market put on quite a show in 1995 with the Dow Jones Industrial
Average breaking the 5000 barrier. During 1995, conditions were ideal for rising
stock prices. The economy grew fast enough to generate strong corporate profits
- --but not so fast as to rekindle inflation. And intermediate - and long-term
interest rates fell sharply, as investors anticipated that the Federal Reserve
Board had shifted from its restrictive monetary policy of the prior year.
Leading the rally on Wall Street for much of the year were technology
stocks. Even after a bumpy Fall, many stocks in semiconductors, computers,
software and telecommunications doubled during the year. The global demand for
these products--developed and manufactured by American companies--continued
unabated.
The reduction in the rate of growth of health care expenditures is just one
reason why inflation remains moderate. Another reason is the plentiful supply of
inexpensive energy. In addition, the emergence of capitalism throughout the
world has created a global economy of new markets and new competi tors,
dampening prices and labor costs. And after many years of promise, technology
has finally created efficiencies in the business environment.
But the primary fuel to stock prices came from corporate profits, which
have been surging in the past few years, due in large part to a rise in U.S.
corporate productivity. The determination of Corporate America to be successful
in today's highly competitive markets has led to a strategy of tight cost
control with an emphasis on efficiency. With a global boom in technology and a
weak dollar in the first half of the year--which made U.S. goods more attractive
overseas--corporate earnings and profitability have remained very strong,
growing about 20% between 1994 and 1995.
With the Dow less than 1000 just 15 years ago and only 2500 five years ago,
it's clear that the stock market's advance has been tremendous. So the question
remains, "Is the case for stocks still strong?"
Certainly, market volatility would be expected at this point in a five year
bull market, especially since there hasn't been a "normal correction" of 10% or
more since 1990. And the slowdown in the economy is likely to translate into
soft profit growth this year.
But the underlying economic conditions that have driven stocks thus
far--moderate growth with low inflation, falling interest rates, and a Corporate
America that's committed to increased efficiency--remain in place. Additionally,
there is increasing demand for U.S. exports in light of expanding inte rnational
economies, as well as the increasing belief that U.S. technologies lead the
world. As a result, we believe that the stock market continues to offer a good
value for investors. But, realistically, we don't expect another year like 1995
any time soon.
Your portfolio manager discusses the outlook for your Fund in light of
these broad issues on the following pages. Thank you for your confidence in
OppenheimerFunds, and we look forward to helping you reach your investment goals
in the future.
/s/ Bridget A. Macaskill
Bridget A. Macaskill
January 22, 1996
3 Oppenheimer Growth Fund
<PAGE>
Q + A [PHOTO-ROBERT DOLL] [PHOTO-MICHAEL LEVINE]
Q How did
the Fund
perform?
An interview with your Fund's managers.
How did the Fund perform over the past six months?
The Fund performed very well over the period. The stock market itself set new
records throughout the second half of the year, driven primarily by declining
interest rates and surging corporate profitability. Our performance, in addition
to benefiting from the market's upward trend, was the result of having a
majority of our investments in the top-performing industry sectors in the
market.
[PHOTO-BRUCE BARTLETT]
When we buy stocks, we generally look for companies that both exhibit
above-average earnings growth rates and sell at prices we consider low.
Recently, we've found these companies predominantly in the strong technology and
financial services sectors. Compared to the majority of our competitors, our
alloca-tion to these areas was high--a strategy that has paid off.1
What other investments contributed to the Fund's positive performance?
The Fund's relatively large positions in healthcare stocks--particularly HMOs
and pharmaceutical companies--have helped performance significantly this year.
Because they're designed to help reduce the costs of healthcare, HMO stocks have
been doing well as reform talks continue in Washington. Pharmaceutical firms
have traditionally been considered a consumer growth industry, which means that
their cash flows are usually consistent, even in view of a slowing economy. This
aspect of their business benefited their stocks in the second half.
Other consumer growth stocks, such as the brand name food and beverage
companies, were also strong this year. Because they provide staple goods, these
are companies that tend to have steady earnings regardless of broad
1. The Fund's portfolio is subject to change.
4 Oppenheimer Growth Fund
<PAGE>
Facing page
Top left: Robert Doll, Portfolio Manager and Executive VP, Director of Equity
Investments
Top right: Michael Levine, Member of Equity Investments Team
Bottom: Bruce Bartlett, Member of Equity Investments Team
This page
Top: Robert Doll
Bottom: Jane Putnam, Member
of Equity Investments Team
A The Fund
performed
very well.
changes in economic activity. Strong corporate earnings over the period has
translated into appreciation in the market.
Were there any investments that didn't perform as you'd expected?
Most of our surprises over the year have been positive ones. The market sectors
that did not perform well this year--namely the energy and basic materials
stocks--were areas we weren't heavily invested in.
What types of stocks are you currently targeting?
At this time, we've begun to trim our holdings in those sectors that performed
extremely well over the period, taking profits in our winners and using the
proceeds to buy stocks that have been depressed over the year.
[PHOTO-JANE PUTNAM]
As we sell some of the stocks we held in the winning technology,
financials, healthcare, and consumer growth sectors, we've been buying into more
cyclical companies. While these stocks tend to suffer as economic growth slows,
at this time, they're priced as though we're heading for a recession, a scenario
we consider highly unlikely. In addition, many of these companies are generating
much more cash than we'd typically expect to see during a slower-growth economy.
Stock prices of basic materials firms such as paper, chemicals, and metals
companies have been extraordinarily weak of late, so we're buying what we
consider to be the higher quality companies within those sectors. We're also
buying selected energy stocks, which we see as good values, while also allowing
some cash to accumulate.
[PHOTO-ROBERT DOLL]
What is your outlook for the Fund?
Though we're more conser-vative than we were this time last year, our outlook
remains positive. The economy has slowed and the business cycle has matured, but
as we've said, we don't believe a recession is on the horizon.
While the market has risen dramatically, our strategy--looking for growth
at a reasonable price--should provide protection against potential downturns.
We'll continue our policy of selling winners and buying strong companies with
weak market performance as the coming year unfolds. We believe this approach
will position us to make the most of the market going forward. [ ]
5 Oppenheimer Growth Fund
<PAGE>
Financials
Contents
Statement of Investments 7
Statement of Assets & Liabilities 13
Statement of Operations 14
Statements of Changes in Net Assets 15
Financial Highlights 16
Notes to Financial Statements 18
6 Oppenheimer Growth Fund
<PAGE>
Statement of Investments December 31, 1995 (Unaudited)
<TABLE>
<CAPTION>
Market Value
Shares See Note 1
<S> <C> <C>
===================================================================================================================================
Common Stocks--72.7%
- -----------------------------------------------------------------------------------------------------------------------------------
Basic Materials--8.3%
- -----------------------------------------------------------------------------------------------------------------------------------
Chemicals--2.8%
FMC Corp.(1) 25,000 $ 1,690,625
---------------------------------------------------------------------------------------------------------------
Georgia Gulf Corp. 250,000 7,687,500
---------------------------------------------------------------------------------------------------------------
IMC Global, Inc. 80,000 3,270,000
---------------------------------------------------------------------------------------------------------------
Morton International, Inc. 180,000 6,457,500
---------------------------------------------------------------------------------------------------------------
PPG Industries, Inc. 25,000 1,143,750
---------------------------------------------------------------------------------------------------------------
Sterling Chemicals, Inc.(1) 615,000 4,996,875
---------------------------------------------------------------------------------------------------------------
Union Carbide Corp. 130,000 4,875,000
---------------------------------------------------------------------------------------------------------------
Wellman Inc. 75,000 1,706,250
-----------
31,827,500
- -----------------------------------------------------------------------------------------------------------------------------------
Metals--1.9%
Asarco, Inc. 188,000 6,016,000
---------------------------------------------------------------------------------------------------------------
British Steel PLC, ADR 95,000 2,434,375
---------------------------------------------------------------------------------------------------------------
Cyprus Amax Minerals Co. 140,000 3,657,500
---------------------------------------------------------------------------------------------------------------
LTV Corp.(1) 245,000 3,368,750
---------------------------------------------------------------------------------------------------------------
Magma Copper Co.(1) 215,000 5,993,125
-----------
21,469,750
- -----------------------------------------------------------------------------------------------------------------------------------
Paper--3.6%
Boise Cascade Corp. 385,000 13,330,625
---------------------------------------------------------------------------------------------------------------
Bowater, Inc. 285,000 10,117,500
---------------------------------------------------------------------------------------------------------------
Chesapeake Corp. 75,000 2,221,875
---------------------------------------------------------------------------------------------------------------
Georgia-Pacific Corp. 70,000 4,803,750
---------------------------------------------------------------------------------------------------------------
Stone Container Corp. 355,000 5,103,125
---------------------------------------------------------------------------------------------------------------
Temple-Inland, Inc. 40,000 1,765,000
---------------------------------------------------------------------------------------------------------------
Weyerhaeuser Co. 55,000 2,378,750
---------------------------------------------------------------------------------------------------------------
Willamette Industries, Inc. 15,000 843,750
-----------
40,564,375
- -----------------------------------------------------------------------------------------------------------------------------------
Consumer Cyclicals--6.7%
- -----------------------------------------------------------------------------------------------------------------------------------
Autos & Housing--0.6%
Navistar International Corp.(1) 555,000 5,827,500
---------------------------------------------------------------------------------------------------------------
Toll Brothers, Inc.(1) 18,700 430,100
-----------
6,257,600
- -----------------------------------------------------------------------------------------------------------------------------------
Leisure & Entertainment--2.2%
Brunswick Corp. 120,000 2,880,000
---------------------------------------------------------------------------------------------------------------
KLM Royal Dutch Airlines NV 112,682 3,972,040
---------------------------------------------------------------------------------------------------------------
Mattel, Inc. 54,687 1,681,625
---------------------------------------------------------------------------------------------------------------
McDonald's Corp. 50,000 2,256,250
---------------------------------------------------------------------------------------------------------------
Outback Steakhouse, Inc.(1) 80,000 2,870,000
---------------------------------------------------------------------------------------------------------------
Outboard Marine Corp. 265,000 5,399,375
---------------------------------------------------------------------------------------------------------------
Pancho's Mexican Buffet, Inc. 100,000 287,500
---------------------------------------------------------------------------------------------------------------
Shoney's, Inc.(1) 190,000 1,947,500
---------------------------------------------------------------------------------------------------------------
Walt Disney Co. 60,000 3,540,000
-----------
24,834,290
</TABLE>
7 Oppenheimer Growth Fund
<PAGE>
Statement of Investments (Unaudited) (Continued)
<TABLE>
<CAPTION>
Market Value
Shares See Note 1
<S> <C> <C>
- -----------------------------------------------------------------------------------------------------------------------------------
Media--0.0%
Heritage Media Corp., Cl. A(1) 5,000 $ 128,125
- -----------------------------------------------------------------------------------------------------------------------------------
Retail: General--1.8%
Dollar General Corp. 235,000 4,876,250
---------------------------------------------------------------------------------------------------------------
Family Dollar Stores, Inc. 95,000 1,306,250
---------------------------------------------------------------------------------------------------------------
Jones Apparel Group, Inc.(1) 20,000 787,500
---------------------------------------------------------------------------------------------------------------
Neiman-Marcus Group, Inc. 2,500 58,750
---------------------------------------------------------------------------------------------------------------
Waban, Inc.(1) 165,000 3,093,750
---------------------------------------------------------------------------------------------------------------
Wal-Mart Stores, Inc. 450,000 10,068,750
-----------
20,191,250
- -----------------------------------------------------------------------------------------------------------------------------------
Retail: Specialty--2.1%
Bed Bath & Beyond, Inc.(1) 155,000 6,015,937
---------------------------------------------------------------------------------------------------------------
Best Buy Co., Inc.(1) 79,000 1,283,750
---------------------------------------------------------------------------------------------------------------
Circuit City Stores, Inc. 75,000 2,071,875
---------------------------------------------------------------------------------------------------------------
Claire's Stores, Inc. 65,000 1,145,625
---------------------------------------------------------------------------------------------------------------
Home Depot, Inc. 120,000 5,745,000
---------------------------------------------------------------------------------------------------------------
Intelligent Electronics, Inc. 165,000 990,000
---------------------------------------------------------------------------------------------------------------
Michaels Stores, Inc.(1) 88,200 1,212,750
---------------------------------------------------------------------------------------------------------------
Rocky Mountain Chocolate Factory, Inc.(1) 100,000 1,200,000
---------------------------------------------------------------------------------------------------------------
Sotheby's Holdings, Inc., Cl. A 95,000 1,353,750
---------------------------------------------------------------------------------------------------------------
Staples, Inc. 24,750 603,280
---------------------------------------------------------------------------------------------------------------
Toys 'R' Us, Inc.(1) 80,000 1,740,000
-----------
23,361,967
- -----------------------------------------------------------------------------------------------------------------------------------
Consumer Non-Cyclicals--16.9%
- -----------------------------------------------------------------------------------------------------------------------------------
Beverages--2.5%
Coca-Cola Co. (The) 225,000 16,706,250
---------------------------------------------------------------------------------------------------------------
PepsiCo, Inc. 210,000 11,733,750
-----------
28,440,000
- -----------------------------------------------------------------------------------------------------------------------------------
Food--2.1%
ConAgra, Inc. 50,000 2,062,500
---------------------------------------------------------------------------------------------------------------
IBP, Inc. 235,000 11,867,500
---------------------------------------------------------------------------------------------------------------
Safeway, Inc.(1) 75,000 3,862,500
---------------------------------------------------------------------------------------------------------------
Sara Lee Corp. 125,000 3,984,375
---------------------------------------------------------------------------------------------------------------
Smithfield Foods, Inc.(1) 60,000 1,905,000
-----------
23,681,875
- -----------------------------------------------------------------------------------------------------------------------------------
Healthcare/Drugs--5.4%
Abbott Laboratories 240,000 10,020,000
---------------------------------------------------------------------------------------------------------------
Bristol-Myers Squibb Co. 75,000 6,440,625
---------------------------------------------------------------------------------------------------------------
Merck & Co., Inc. 150,000 9,862,500
---------------------------------------------------------------------------------------------------------------
Mylan Laboratories, Inc. 135,000 3,172,500
---------------------------------------------------------------------------------------------------------------
Pfizer, Inc. 233,000 14,679,000
---------------------------------------------------------------------------------------------------------------
Schering-Plough Corp. 300,000 16,425,000
-----------
60,599,625
</TABLE>
8 Oppenheimer Growth Fund
<PAGE>
<TABLE>
<CAPTION>
Market Value
Shares See Note 1
<S> <C> <C>
- -----------------------------------------------------------------------------------------------------------------------------------
Healthcare/Supplies &
Services--4.2%
Boston Scientific Corp.(1) 60,000 $2,940,000
---------------------------------------------------------------------------------------------------------------
Collagen Corp. 75,000 1,584,375
---------------------------------------------------------------------------------------------------------------
Cordis Corp.(1) 100,000 10,050,000
---------------------------------------------------------------------------------------------------------------
HealthCare COMPARE Corp.(1) 273,500 11,897,250
---------------------------------------------------------------------------------------------------------------
Medtronic, Inc. 310,000 17,321,250
---------------------------------------------------------------------------------------------------------------
U.S. Healthcare, Inc. 75,000 3,487,500
-----------
47,280,375
- -----------------------------------------------------------------------------------------------------------------------------------
Household Goods--0.4%
Colgate-Palmolive Co. 30,500 2,142,625
---------------------------------------------------------------------------------------------------------------
Procter & Gamble Co. 30,000 2,490,000
-----------
4,632,625
- -----------------------------------------------------------------------------------------------------------------------------------
Tobacco--2.3%
Philip Morris Cos., Inc. 175,000 15,837,500
---------------------------------------------------------------------------------------------------------------
UST, Inc. 315,000 10,513,125
-----------
26,350,625
- -----------------------------------------------------------------------------------------------------------------------------------
Energy--1.4%
- -----------------------------------------------------------------------------------------------------------------------------------
Energy Services &
Producers--0.3%
Tidewater, Inc. 120,000 3,780,000
- -----------------------------------------------------------------------------------------------------------------------------------
Oil-Integrated--1.1%
Enron Corp. 30,000 1,143,750
---------------------------------------------------------------------------------------------------------------
Imperial Oil Ltd. 45,000 1,625,625
---------------------------------------------------------------------------------------------------------------
Occidental Petroleum Corp. 180,000 3,847,500
---------------------------------------------------------------------------------------------------------------
Repsol SA 90,000 2,958,750
---------------------------------------------------------------------------------------------------------------
USX-Marathon Group 140,000 2,730,000
-----------
12,305,625
- -----------------------------------------------------------------------------------------------------------------------------------
Financial--14.2%
- -----------------------------------------------------------------------------------------------------------------------------------
Banks--5.3%
Bank of Boston Corp. 350,000 16,187,500
---------------------------------------------------------------------------------------------------------------
Bankers Trust New York Corp. 10,000 665,000
---------------------------------------------------------------------------------------------------------------
California Federal Bank(1) 55,000 866,250
---------------------------------------------------------------------------------------------------------------
Chemical Banking Corp. 90,000 5,287,500
---------------------------------------------------------------------------------------------------------------
First Interstate Bancorp 20,000 2,730,000
---------------------------------------------------------------------------------------------------------------
First Union Corp. 90,000 5,006,250
---------------------------------------------------------------------------------------------------------------
Fleet Financial Group, Inc. 178,440 7,271,430
---------------------------------------------------------------------------------------------------------------
Midlantic Corp. 150,000 9,843,750
---------------------------------------------------------------------------------------------------------------
NationsBank Corp. 75,000 5,221,875
---------------------------------------------------------------------------------------------------------------
Northern Trust Corp. 25,000 1,400,000
---------------------------------------------------------------------------------------------------------------
SouthTrust Corp. 155,000 3,971,875
---------------------------------------------------------------------------------------------------------------
SunTrust Banks, Inc. 20,000 1,370,000
-----------
59,821,430
</TABLE>
9 Oppenheimer Growth Fund
<PAGE>
Statement of Investments (Unaudited) (Continued)
<TABLE>
<CAPTION>
Market Value
Shares See Note 1
<S> <C> <C>
- -----------------------------------------------------------------------------------------------------------------------------------
Diversified Financial--6.7%
Advanta Corp., Cl. A 340,000 $13,005,000
---------------------------------------------------------------------------------------------------------------
Bear Stearns Cos., Inc. 110,250 2,191,219
---------------------------------------------------------------------------------------------------------------
Federal Home Loan Mortgage Corp. 55,000 4,592,500
---------------------------------------------------------------------------------------------------------------
Federal National Mortgage Assn. 75,000 9,309,375
---------------------------------------------------------------------------------------------------------------
First USA, Inc. 170,000 7,543,750
---------------------------------------------------------------------------------------------------------------
Green Tree Financial Corp. 640,000 16,880,000
---------------------------------------------------------------------------------------------------------------
Lehman Brothers Holdings, Inc. 85,000 1,806,250
---------------------------------------------------------------------------------------------------------------
Salomon, Inc. 137,500 4,881,250
---------------------------------------------------------------------------------------------------------------
Student Loan Marketing Assn. 100,000 6,587,500
---------------------------------------------------------------------------------------------------------------
Travelers Group, Inc. 135,700 8,532,138
-----------
75,328,982
- -----------------------------------------------------------------------------------------------------------------------------------
Insurance--2.2%
AFLAC, Inc. 95,000 4,120,625
---------------------------------------------------------------------------------------------------------------
Conseco, Inc. 40,000 2,505,000
---------------------------------------------------------------------------------------------------------------
Loews Corp. 20,000 1,567,500
---------------------------------------------------------------------------------------------------------------
MBIA, Inc. 15,000 1,125,000
---------------------------------------------------------------------------------------------------------------
Reliastar Financial Corp. 52,500 2,329,688
---------------------------------------------------------------------------------------------------------------
SunAmerica, Inc. 217,500 10,331,250
---------------------------------------------------------------------------------------------------------------
USF&G Corp. 190,000 3,206,250
-----------
25,185,313
- -----------------------------------------------------------------------------------------------------------------------------------
Industrial--3.6%
- -----------------------------------------------------------------------------------------------------------------------------------
Electrical Equipment--1.0%
General Electric Co. 155,000 11,160,000
- -----------------------------------------------------------------------------------------------------------------------------------
Industrial Materials--0.1%
Owens-Illinois, Inc.(1) 10,000 145,000
---------------------------------------------------------------------------------------------------------------
Rayonier, Inc. 35,000 1,168,125
-----------
1,313,125
- -----------------------------------------------------------------------------------------------------------------------------------
Industrial Services--0.7%
Comdisco, Inc. 307,500 6,957,188
---------------------------------------------------------------------------------------------------------------
Growth Environmental, Inc.(1) 2,100 21
---------------------------------------------------------------------------------------------------------------
Mercury Air Group, Inc. 110,000 962,500
---------------------------------------------------------------------------------------------------------------
OHM Corp.(1) 25,000 184,375
-----------
8,104,084
- -----------------------------------------------------------------------------------------------------------------------------------
Manufacturing--1.1%
AlliedSignal, Inc. 25,000 1,187,500
---------------------------------------------------------------------------------------------------------------
Dover Corp. 20,000 737,500
---------------------------------------------------------------------------------------------------------------
Kulicke & Soffa Industries, Inc. 95,000 2,208,750
---------------------------------------------------------------------------------------------------------------
Mark IV Industries, Inc. 84,000 1,659,000
---------------------------------------------------------------------------------------------------------------
Rohr Industries, Inc.(1) 65,000 934,375
---------------------------------------------------------------------------------------------------------------
U.S. Filter Corp.(1) 20,000 532,500
---------------------------------------------------------------------------------------------------------------
Varity Corp.(1) 140,000 5,197,500
-----------
12,457,125
- -----------------------------------------------------------------------------------------------------------------------------------
Transportation--0.7%
Burlington Northern Santa Fe Corp. 10,000 780,000
---------------------------------------------------------------------------------------------------------------
Canadian Pacific Ltd. 245,000 4,440,625
---------------------------------------------------------------------------------------------------------------
Illinois Central Corp. 70,000 2,686,250
-----------
7,906,875
</TABLE>
10 Oppenheimer Growth Fund
<PAGE>
<TABLE>
<CAPTION>
Market Value
Shares See Note 1
<S> <C> <C>
- -----------------------------------------------------------------------------------------------------------------------------------
Technology--20.9%
- -----------------------------------------------------------------------------------------------------------------------------------
Computer Hardware--7.2%
3Com Corp.(1) 300,000 $13,987,500
---------------------------------------------------------------------------------------------------------------
Cabletron Systems, Inc.(1) 275,000 22,275,000
---------------------------------------------------------------------------------------------------------------
Compaq Computer Corp.(1) 195,000 9,360,000
---------------------------------------------------------------------------------------------------------------
EMC Corp.(1) 240,000 3,690,000
---------------------------------------------------------------------------------------------------------------
Gateway 2000, Inc.(1) 385,000 9,432,500
---------------------------------------------------------------------------------------------------------------
International Business Machines Corp. 40,000 3,670,000
---------------------------------------------------------------------------------------------------------------
Quantum Corp.(1) 227,200 3,663,600
---------------------------------------------------------------------------------------------------------------
Seagate Technology, Inc.(1) 195,000 9,262,500
---------------------------------------------------------------------------------------------------------------
Western Digital Corp.(1) 290,000 5,183,750
-----------
80,524,850
- -----------------------------------------------------------------------------------------------------------------------------------
Computer Software--7.5%
Acclaim Entertainment, Inc.(1) 315,000 3,898,125
---------------------------------------------------------------------------------------------------------------
Automatic Data Processing, Inc. 125,000 9,281,250
---------------------------------------------------------------------------------------------------------------
BMC Software, Inc.(1) 280,000 11,970,000
---------------------------------------------------------------------------------------------------------------
Cerner Corp.(1) 35,000 717,500
---------------------------------------------------------------------------------------------------------------
Computer Associates International, Inc. 170,000 9,668,750
---------------------------------------------------------------------------------------------------------------
GTech Holdings Corp.(1) 35,000 910,000
---------------------------------------------------------------------------------------------------------------
HBO & Co. 20,000 1,532,500
---------------------------------------------------------------------------------------------------------------
Informix Corp.(1) 220,000 6,600,000
---------------------------------------------------------------------------------------------------------------
Microsoft Corp.(1) 265,000 23,253,750
---------------------------------------------------------------------------------------------------------------
Oracle Corp.(1) 205,000 8,686,875
---------------------------------------------------------------------------------------------------------------
Sterling Software, Inc.(1) 90,000 5,613,750
---------------------------------------------------------------------------------------------------------------
System Software Associates, Inc. 75,000 1,631,250
-----------
83,763,750
- -----------------------------------------------------------------------------------------------------------------------------------
Electronics--4.9%
Advanced Micro Devices, Inc. 25,000 412,500
---------------------------------------------------------------------------------------------------------------
Arrow Electronics, Inc.(1) 165,000 7,115,625
---------------------------------------------------------------------------------------------------------------
Cypress Semiconductor Corp.(1) 400,000 5,100,000
---------------------------------------------------------------------------------------------------------------
Duracell International, Inc. 40,000 2,070,000
---------------------------------------------------------------------------------------------------------------
Hewlett-Packard Co. 15,000 1,256,250
---------------------------------------------------------------------------------------------------------------
Intel Corp. 320,000 18,160,000
---------------------------------------------------------------------------------------------------------------
Linear Technology Corp. 40,000 1,570,000
---------------------------------------------------------------------------------------------------------------
Motorola, Inc. 30,000 1,710,000
---------------------------------------------------------------------------------------------------------------
Novellus Systems, Inc.(1) 7,500 405,000
---------------------------------------------------------------------------------------------------------------
Phillips Electronics NV, ADR 80,000 2,870,000
---------------------------------------------------------------------------------------------------------------
Tektronix, Inc. 65,000 3,193,125
---------------------------------------------------------------------------------------------------------------
Texas Instruments, Inc. 60,000 3,105,000
---------------------------------------------------------------------------------------------------------------
Varian Associates, Inc. 40,000 1,910,000
---------------------------------------------------------------------------------------------------------------
VLSI Technology, Inc.(1) 270,000 4,893,750
---------------------------------------------------------------------------------------------------------------
Wyle Electronics 50,000 1,756,250
-----------
55,527,500
</TABLE>
11 Oppenheimer Growth Fund
<PAGE>
Statement of Investments (Unaudited) (Continued)
<TABLE>
<CAPTION>
Market Value
Shares See Note 1
<S> <C> <C>
===================================================================================================================================
Telecommunications-
Technology--1.3%
AT&T Corp. 115,000 $ 7,446,250
---------------------------------------------------------------------------------------------------------------
Hong Kong Telecommunications Ltd., Sponsored ADR 60,000 1,065,000
---------------------------------------------------------------------------------------------------------------
L.M. Ericsson Telephone Co., Cl. B, ADR 90,000 1,755,000
---------------------------------------------------------------------------------------------------------------
Telecom Corp. of New Zealand Ltd., Sponsored ADR 45,000 3,121,875
---------------------------------------------------------------------------------------------------------------
U.S. Long Distance Corp.(1) 75,000 1,050,000
--------------
14,438,125
- -----------------------------------------------------------------------------------------------------------------------------------
Utilities--0.7%
- -----------------------------------------------------------------------------------------------------------------------------------
Electric Utilities--0.4%
Empresa Nacional de Electricidad SA, Sponsored ADR 75,000 4,293,750
- -----------------------------------------------------------------------------------------------------------------------------------
Telephone Utilities--0.3%
Telefonos de Mexico SA, Sponsored ADR 100,000 3,187,500
--------------
Total Common Stocks (Cost $506,973,363) 818,718,016
Market Value
Units See Note 1
===================================================================================================================================
Rights, Warrants and Certificates--0.0%
- -----------------------------------------------------------------------------------------------------------------------------------
Windmere Corp. Wts., Exp. 1/98 (Cost $0) 9,062 --
Face
Amount
===================================================================================================================================
Repurchase Agreements--27.2%
- -----------------------------------------------------------------------------------------------------------------------------------
Repurchase agreement with First Chicago Capital Markets,
5.90%, dated 12/29/95, to be repurchased at $200,131,111 on 1/2/96,
collateralized by U.S. Treasury Nts., 5.125%--8.75%, 12/31/96--11/5/04,
with a value of $108,561,449, U.S. Treasury Bonds, 6.25%--11.25%,
8/15/03--8/15/23, with a value of $65,790,848, and U.S. Treasury Bills
maturing 11/14/96, with a value of $29,835,205 $200,000,000 200,000,000
---------------------------------------------------------------------------------------------------------------
Repurchase agreement with PaineWebber, Inc., 5.90%, dated 12/29/95,
to be repurchased at $105,198,919 on 1/2/96, collateralized by
U.S. Treasury Nts., 6.875%, 8/31/99, with a value of $37,566,453, and
U.S. Treasury Bonds, 7.125%--7.625%, 11/15/22--2/15/23, with a value
of $70,782,359 105,130,000 105,130,000
--------------
Total Repurchase Agreements (Cost $305,130,000) 305,130,000
- -----------------------------------------------------------------------------------------------------------------------------------
Total Investments, at Value (Cost $812,103,363) 99.9% 1,123,848,016
- -----------------------------------------------------------------------------------------------------------------------------------
Other Assets Net of Liabilities 0.1 652,418
-------------- --------------
Net Assets 100.0% $1,124,500,434
============== ==============
</TABLE>
1. Non-income producing security. See accompanying Notes
to Financial Statements.
12 Oppenheimer Growth Fund
<PAGE>
<TABLE>
<CAPTION>
Statement of Assets and Liabilities December 31, 1995 (Unaudited)
<S> <C>
===================================================================================================================================
Assets Investments, at value (including repurchase agreements of $305,130,000)
(cost $812,103,363)--see accompanying statement $1,123,848,016
---------------------------------------------------------------------------------------------------------------
Cash 95,685
---------------------------------------------------------------------------------------------------------------
Receivables:
Shares of beneficial interest sold 2,783,472
Interest and dividends 1,219,065
Investments sold 630,000
---------------------------------------------------------------------------------------------------------------
Other 275,038
--------------
Total assets 1,128,851,276
===================================================================================================================================
Liabilities Payables and other liabilities:
Shares of beneficial interest redeemed 1,545,248
Dividends 1,401,691
Distribution and service plan fees 460,255
Investments purchased 377,500
Trustees' fees 219,887
Shareholder reports 180,707
Transfer and shareholder servicing agent fees 92,892
Other 72,662
--------------
Total liabilities 4,350,842
===================================================================================================================================
Net Assets $1,124,500,434
==============
===================================================================================================================================
Composition of
Net Assets
Paid-in capital $796,062,218
---------------------------------------------------------------------------------------------------------------
Overdistributed net investment income (100,059)
---------------------------------------------------------------------------------------------------------------
Accumulated net realized gain on investment transactions 16,793,622
---------------------------------------------------------------------------------------------------------------
Net unrealized appreciation on investments--Note 3 311,744,653
--------------
Net assets $1,124,500,434
==============
===================================================================================================================================
Net Asset Value
Per Share
Class A Shares:
Net asset value and redemption price per share (based on net assets of $1,021,512,163
and 33,344,142 shares of beneficial interest outstanding) $30.64
Maximum offering price per share (net asset value plus sales charge of 5.75% of offering price) $32.51
---------------------------------------------------------------------------------------------------------------
Class B Shares:
Net asset value, redemption price and offering price per share (based on net assets
of $93,365,587 and 3,098,555 shares of beneficial interest outstanding) $30.13
---------------------------------------------------------------------------------------------------------------
Class C Shares:
Net asset value, redemption price and offering price per share (based on net assets
of $690,447 and 22,583 shares of beneficial interest outstanding) $30.57
---------------------------------------------------------------------------------------------------------------
Class Y Shares:
Net asset value, redemption price and offering price per share (based on net assets
of $8,932,237 and 291,743 shares of beneficial interest outstanding) $30.62
</TABLE>
See accompanying Notes to Financial Statements.
13 Oppenheimer Growth Fund
<PAGE>
<TABLE>
<CAPTION>
Statement of Operations For the Six Months Ended December 31, 1995 (Unaudited)
<S> <C>
===================================================================================================================================
Investment Income Interest $ 7,672,131
---------------------------------------------------------------------------------------------------------------
Dividends 5,117,527
------------
Total income 12,789,658
===================================================================================================================================
Expenses Management fees--Note 4 3,511,424
---------------------------------------------------------------------------------------------------------------
Distribution and service plan fees--Note 4:
Class A 796,298
Class B 338,777
Class C 782
---------------------------------------------------------------------------------------------------------------
Transfer and shareholder servicing agent fees--Note 4 909,479
---------------------------------------------------------------------------------------------------------------
Shareholder reports 148,918
---------------------------------------------------------------------------------------------------------------
Insurance expenses 35,409
---------------------------------------------------------------------------------------------------------------
Trustees' fees and expenses 34,175
---------------------------------------------------------------------------------------------------------------
Legal and auditing fees 29,518
---------------------------------------------------------------------------------------------------------------
Custodian fees and expenses 29,074
---------------------------------------------------------------------------------------------------------------
Registration and filing fees:
Class A 881
Class B 15,397
Class C 231
Class Y 1,815
---------------------------------------------------------------------------------------------------------------
Other 46,417
------------
Total expenses 5,898,595
===================================================================================================================================
Net Investment Income 6,891,063
===================================================================================================================================
Realized and
Unrealized Gain
Net realized gain on investments 50,244,899
---------------------------------------------------------------------------------------------------------------
Net change in unrealized appreciation or depreciation on investments 43,734,746
------------
Net realized and unrealized gain 93,979,645
===================================================================================================================================
Net Increase in Net Assets Resulting From Operations $100,870,708
============
</TABLE>
See accompanying Notes to Financial Statements.
14 Oppenheimer Growth Fund
<PAGE>
Statements of Changes in Net Assets
<TABLE>
<CAPTION>
Six Months Ended Year Ended
December 31, 1995 June 30,
(Unaudited) 1995
<S> <C> <C>
===================================================================================================================================
Operations Net investment income $ 6,891,063 $ 9,619,976
---------------------------------------------------------------------------------------------------------------
Net realized gain 50,244,899 85,671,017
---------------------------------------------------------------------------------------------------------------
Net change in unrealized appreciation or depreciation on investments 43,734,746 104,043,105
-------------- ------------
Net increase in net assets resulting from operations 100,870,708 199,334,098
===================================================================================================================================
Dividends and
Distributions to
Shareholders
Dividends from net investment income:
Class A (12,144,570) (5,772,443)
Class B (763,292) (71,931)
Class C (8,006) --
Class Y (111,943) (1,224)
---------------------------------------------------------------------------------------------------------------
Distributions from net realized gain:
Class A (92,879,031) (67,428,961)
Class B (8,592,758) (1,571,030)
Class C (61,792) --
Class Y (783,715) (13,169)
===================================================================================================================================
Beneficial Interest
Transactions
Net increase in net assets resulting from beneficial interest
transactions--Note 2:
Class A 170,994,154 83,386,522
Class B 53,873,661 30,660,868
Class C 759,660 --
Class Y 6,150,017 2,984,504
===================================================================================================================================
Net Assets Total increase 217,303,093 241,507,234
---------------------------------------------------------------------------------------------------------------
Beginning of period 907,197,341 665,690,107
-------------- ------------
End of period [including undistributed (overdistributed)
net investment income of $(100,059) and $6,036,689 respectively] $1,124,500,434 $907,197,341
============== ============
</TABLE>
See accompanying Notes to Financial Statements.
15 Oppenheimer Growth Fund
<PAGE>
Financial Highlights
<TABLE>
<CAPTION>
Class A
---------------------------------------------------------------
Six Months Ended
December 31, 1995 Year Ended June 30,
(Unaudited) 1995 1994 1993
<S> <C> <C> <C> <C>
====================================================================================================================
Per Share Operating Data:
Net asset value, beginning of period $30.80 $26.65 $27.34 $24.94
- --------------------------------------------------------------------------------------------------------------------
Income (loss) from investment operations:
Net investment income (loss) .21 .36 .16 .19
Net realized and unrealized gain (loss) 3.14 6.83 (.05) 4.03
---------- -------- -------- --------
Total income (loss) from
investment operations 3.35 7.19 .11 4.22
- --------------------------------------------------------------------------------------------------------------------
Dividends and distributions to shareholders:
Dividends from net investment income (.41) (.24) (.16) (.25)
Distributions in excess
of net investment income -- -- --(4) --
Distributions from net realized gain (3.10) (2.80) (.64) (1.57)
---------- -------- -------- --------
Total dividends and distributions
to shareholders (3.51) (3.04) (.80) (1.82)
- --------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $30.64 $30.80 $26.65 $27.34
========== ======== ======== ========
====================================================================================================================
Total Return, at Net Asset Value(5) 10.90% 29.45% .27% 16.88%
====================================================================================================================
Ratios/Supplemental Data:
Net assets, end of period
(in thousands) $1,021,512 $860,741 $656,934 $743,830
- --------------------------------------------------------------------------------------------------------------------
Average net assets (in thousands) $ 948,690 $727,102 $720,765 $710,391
- --------------------------------------------------------------------------------------------------------------------
Ratios to average net assets:
Net investment income (loss) 1.39%(6) 1.31% .56% .72%
Expenses 1.09%(6) 1.05% 1.07% .93%
- --------------------------------------------------------------------------------------------------------------------
Portfolio turnover rate(7) 16.4% 35.6% 19.8% 23.2%
Average brokerage commission rate(8) $ 0.07 -- -- --
</TABLE>
1. For the period from June 1, 1994 (inception of offering) to June 30, 1994.
2. For the period from November 1, 1995 (inception of offering) to December 31,
1995.
3. For the period from August 17, 1993 (inception of offering) to June 30, 1994.
Per share amounts calculated based on the weighted average number of shares
outstanding during the period.
4. Less than $.005 per share.
5. 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.
16 Oppenheimer Growth Fund
<PAGE>
<TABLE>
<CAPTION>
Class B Class C Class Y
- ------------------ --------------------------------------- ----------------- ---------------------------------------
Six Months Ended Year Ended Period Ended Six Months Ended Year Ended
December 31, 1995 June 30, December 31, 1995 December 31, 1995 June 30,
1992 1991 (Unaudited) 1995 1994(3) (Unaudited)(2) (Unaudited) 1995 1994(1)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
===========================================================================================================================
$21.88 $20.60 $30.36 $26.44 $27.02 $33.44 $30.80 $26.64 $28.08
- ---------------------------------------------------------------------------------------------------------------------------
.29 .47 .10 .20 (.04) .07 .17 .30 .02
3.13 1.36 3.05 6.65 .21 .56 3.19 6.92 (1.46)
- -------- -------- ------- ------- ------ ------ ------ ------ ------
3.42 1.83 3.15 6.85 .17 .63 3.36 7.22 (1.44)
- ---------------------------------------------------------------------------------------------------------------------------
(.36) (.55) (.28) (.13) (.11) (.40) (.44) (.26) --
-- -- -- -- --(4) -- -- -- --
-- -- (3.10) (2.80) (.64) (3.10) (3.10) (2.80) --
- -------- -------- ------- ------- ------ ------ ------ ------ ------
(.36) (.55) (3.38) (2.93) (.75) (3.50) (3.54) (3.06) --
- ---------------------------------------------------------------------------------------------------------------------------
$24.94 $21.88 $30.13 $30.36 $26.44 $30.57 $30.62 $30.80 $26.64
======== ======== ======= ======= ====== ====== ====== ====== ======
===========================================================================================================================
15.69% 9.39% 10.39% 28.22% (.20)% 1.29% 10.96% 29.59% (5.13)%
===========================================================================================================================
$630,767 $550,480 $93,366 $43,267 $8,747 $690 $8,932 $3,189 $ 9
- ---------------------------------------------------------------------------------------------------------------------------
$624,527 $520,335 $67,412 $18,722 $5,119 $479 $5,841 $ 536 $10
- ---------------------------------------------------------------------------------------------------------------------------
1.14% 2.20% .57%(6) .44% (.22)%(6) .64%(6) 1.53%(6) 1.54% 1.09%(6)
.90% .94% 1.92%(6) 2.02% 1.98%(6) 2.72%(6) .98%(6) 1.04% 1.25%(6)
- ---------------------------------------------------------------------------------------------------------------------------
36.7% 31.1% 16.4% 35.6% 19.8% 16.4% 16.4% 35.6% 19.8%
-- -- $0.07 -- -- $0.07 $0.07 -- --
</TABLE>
6. Annualized.
7. 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 December 31, 1995 were $172,897,877 and $124,702,041, respectively.
8. Total brokerage commissions paid on purchases and sales of portfolio
securities for the period divided by the total number of related shares
purchased and sold.
See accompanying Notes to Financial Statements.
17 Oppenheimer Growth Fund
<PAGE>
Notes to Financial Statements (Unaudited)
===============================================================================
1. Significant
Accounting Policies
Oppenheimer Growth Fund (the Fund), is registered under the Investment Company
Act of 1940, as amended, as a diversified, open-end management investment
company. The Fund's investment objective is to seek capital appreciation. The
Fund's investment advisor is OppenheimerFunds, Inc. (the Manager). The Fund
offers Class A, Class B, Class C and Class Y shares. Class A shares are sold
with a front-end sales charge. Class B and Class C shares may be subject to a
contingent deferred sales charge. All classes of shares have identical rights to
earnings, assets and voting privileges, except that each class has its own
expenses directly attributable to a particular class and exclusive voting rights
with respect to matters affecting a single class. Classes A, B and C have
separate distribution and/or service plans. No such plan has been adopted for
Class Y shares. Class B shares will automatically convert to Class A shares six
years after the date of purchase. 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 are valued 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.
- -------------------------------------------------------------------------------
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.
- -------------------------------------------------------------------------------
Federal Taxes. The Fund intends to continue to comply with provisions of the
Internal Revenue 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 six months
ended December 31, 1995, a provision of $22,514 was made for the Fund's
projected benefit obligations, resulting in an accumulated liability of $177,677
at December 31, 1995.
- -------------------------------------------------------------------------------
Distributions to Shareholders. Dividends and distributions to shareholders are
recorded on the ex-dividend date.
18 Oppenheimer Growth Fund
<PAGE>
===============================================================================
1. Significant
Accounting Policies
(continued)
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 excise taxes. 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.
- -------------------------------------------------------------------------------
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. 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.
The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of income and expenses during the reporting
period. Actual results could differ from those estimates.
===============================================================================
2. Shares of
Beneficial Interest
The Fund has authorized an unlimited number of no par value shares of beneficial
interest. Transactions in shares of beneficial interest were as follows:
<TABLE>
<CAPTION>
Six Months Ended December 31, 1995(1) Year Ended June 30, 1995
------------------------------------ -------------------------------
Shares Amount Shares Amount
<S> <C> <C> <C> <C>
- --------------------------------------------------------------------------------------------------------------------
Class A:
Sold 4,740,472 $156,964,893 5,288,654 $ 147,552,419
Dividends and distributions reinvested 3,323,741 101,573,512 2,803,654 70,904,457
Redeemed (2,666,478) (87,544,251) (4,799,772) (135,070,354)
---------- ------------ ---------- -------------
Net increase 5,397,735 $170,994,154 3,292,536 $ 83,386,522
========== ============ ========== =============
- --------------------------------------------------------------------------------------------------------------------
Class B:
Sold 1,743,835 $ 56,898,135 1,407,470 $ 39,568,793
Dividends and distributions reinvested 288,602 8,675,383 64,577 1,618,927
Redeemed (359,219) (11,699,857) (377,530) (10,526,852)
---------- ------------ ---------- -------------
Net increase 1,673,218 $ 53,873,661 1,094,517 $ 30,660,868
========== ============ ========== =============
- --------------------------------------------------------------------------------------------------------------------
Class C:
Sold 20,414 $ 693,943 -- $--
Dividends and distributions reinvested 2,287 69,761 -- --
Redeemed (118) (4,044) -- --
---------- ------------ ---------- -------------
Net increase 22,583 $ 759,660 -- $--
========== ============ ========== =============
- --------------------------------------------------------------------------------------------------------------------
Class Y:
Sold 184,540 $ 6,101,694 113,317 $ 3,284,040
Dividends and distributions reinvested 29,327 895,658 569 14,393
Redeemed (25,674) (847,335) (10,692) (313,929)
---------- ------------ ---------- -------------
Net increase 188,193 $ 6,150,017 103,194 $ 2,984,504
========== ============ ========== =============
</TABLE>
1. For the six months ended December 31, 1995 for Class A, B and Y shares, and
for the period from November 1, 1995 (inception of offering) to December 31,
1995 for Class C shares.
===============================================================================
3. Unrealized Gains and
Losses on Investments
At December 31, 1995, net unrealized appreciation on investments of $311,744,653
was composed of gross appreciation of $331,294,078, and gross depreciation of
$19,549,425.
19 Oppenheimer Growth Fund
<PAGE>
Notes to Financial Statements (Unaudited) (Continued)
===============================================================================
4. Management Fees
And Other Transactions
With Affiliates
Management fees paid to the Manager were in accordance with the investment
advisory agreement 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 applicable regulatory
limit on Fund expenses.
For the six months ended December 31, 1995, commissions (sales charges paid
by investors) on sales of Class A shares totaled $1,519,051, of which $418,530
was retained by OppenheimerFunds 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 B and
Class C shares totaled $1,317,552 and $5,082, of which $47,486 and $111,
respectively, was paid to an affiliated broker/dealer. During the six months
ended December 31, 1995, OFDI received contingent deferred sales charges of
$63,520 upon redemption of Class B shares as reimbursement for sales commissions
advanced by OFDI at the time of sale of such shares.
OppenheimerFunds Services (OFS), a division of the Manager, is the transfer
and shareholder servicing agent for the Fund, and for other registered
investment companies. OFS'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 compensate 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 B and Class C shares are subject to an asset-based sales charge
of .75% of net assets annually, to compensate 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 B or 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 B or Class C
shares sold prior to termination or discontinuance of the plan. At December 31,
1995, OFDI had incurred unreimbursed expenses of $2,376,528 for Class B and
$21,833 for Class C. During the six months ended December 31, 1995, OFDI paid
$20,985 and $2,236, respectively, to an affiliated broker/dealer as compensation
for Class A and Class B personal service and maintenance expenses, and retained
$303,541 and $653, respectively, as compensation for Class B and Class C sales
commissions and service fee advances, as well as financing costs.
20 Oppenheimer Growth Fund
<PAGE>
Oppenheimer Growth Fund
===============================================================================
Officers and Trustees
Leon Levy, Chairman of the Board of Trustees
Robert G. Galli, Trustee
Benjamin Lipstein, Trustee
Bridget A. Macaskill, Trustee and President
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
Pauline Trigere, Trustee
Clayton K. Yeutter, Trustee
Robert C. Doll, Jr., 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 OppenheimerFunds, Inc.
===============================================================================
Distributor OppenheimerFunds Distributor, Inc.
===============================================================================
Transfer and Shareholder
Servicing Agent
OppenheimerFunds Services
===============================================================================
Custodian of
Portfolio Securities
The Bank of New York
===============================================================================
Independent Auditors
KPMG Peat Marwick LLP
===============================================================================
Legal Counsel Gordon Altman Butowsky Weitzen Shalov & Wein
The financial statements included herein have been taken from the records of the
Fund without examination by the independent auditors.
This is a copy of a report to shareholders of Oppenheimer Growth Fund. This
report must be preceded or accompanied by a Prospectus of Oppenheimer Growth
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.
21 Oppenheimer Growth Fund
<PAGE>
Oppenheimer Funds Family
===============================================================================
OppenheimerFunds offers over 35 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 35 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 2.8 million shareholder accounts and more than $41
billion under Oppenheimer's management and that of our affiliates.
At OppenheimerFunds, we don't charge a fee to exchange shares. And you can
exchange shares easily by mail or by telephone.1 For more information on
Oppenheimer funds, 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.
===============================================================================
Stock Funds
Global Emerging Growth Fund Growth Fund
Enterprise Fund Global Fund
Discovery Fund Quest Global Value Fund
Quest Small Cap Value Fund Oppenheimer Fund
Gold & Special Minerals Fund Value Stock Fund
Target Fund Quest Value Fund
===============================================================================
Stock & Bond Funds
Main Street Income & Growth Fund Global Growth & Income Fund
Quest Opportunity Value Fund Equity Income Fund
Total Return Fund Asset Allocation Fund
Quest Growth & Income Value Fund Strategic Income & Growth Fund
===============================================================================
Bond Funds
International Bond Fund Bond Fund
High Yield Fund U.S. Government Trust
Strategic Income Fund Limited-Term Government Fund
Champion Income Fund
===============================================================================
Tax-Exempt Funds
California Tax-Exempt Fund2 Pennsylvania Tax-Exempt Fund2
Florida Tax-Exempt Fund2 Tax-Free Bond Fund
New Jersey Tax-Exempt Fund2 Insured Tax-Exempt Fund
New York Tax-Exempt Fund2 Intermediate Tax-Exempt Fund
===============================================================================
Money Market Funds
Money Market Fund Cash Reserves
1. Exchange privileges are subject to change or termination. Shares may be
exchanged only for shares of the same class of eligible funds.
2. Available only to investors in certain states.
Oppenheimer funds are distributed by OppenheimerFunds Distributor, Inc.,
Two World Trade Center, New York, NY 10048-0203.
(COPYRIGHT SYMBOL) Copyright 1996 OppenheimerFunds, Inc. All rights reserved.
22 Oppenheimer Growth Fund
<PAGE>
[BACK COVER]
Information
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
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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
RS0270.001.1295 February 28, 1996
[Picture of Jennifer Leonard]
[Caption] Jennifer Leonard, Customer Service Representative
OppenheimerFunds Services
"How may I help you?"
As an Oppenheimer funds 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 Oppenheimer funds accounts and your bank
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For added convenience, you can get automated 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 Oppenheimer funds' transfer agent,
OppenheimerFunds Services, with their Award of Excellence in 1993.
So call us today--we're here to help.
[Oppenheimer Logo(R)]
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Denver, CO 80217-5270
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