<PAGE> 1
IDEX FUND
[LOGO]
Semiannual
Report
April 30, 1995
Where Time Is
On Your Side
<PAGE> 2
FELLOW SHAREHOLDERS:
What a difference a year makes!
It's been a pleasant change, these first months of 1995. In fact, the
financial markets have seemingly gone through a complete transformation from
what was an often uncomfortable 1994. Investors somehow have cast aside the
continued instability in Mexico, the collapse of Barings Securities, a
free-falling dollar, and congressional failure to pass a balanced budget
amendment, focusing instead on a healthy domestic economy. More importantly,
most liked what they saw.
It seems, at least for the moment, the Federal Reserve is on target in
its efforts to engineer the fabled "soft landing." Indeed, the Fed's tightening
spree seems to be slowing the too-vigorous pace of U.S. economic expansion at
last. Moreover, inflation has apparently remained in check while corporate
earnings have continued to grow robustly. This view, along with falling
intermediate and long-term interest rates, has helped propel the stock market
to record heights, with the Dow Industrial Average rumbling past one century
mark after another.
Away from home, however, things were not as sweet. Even as U.S. stock
funds surged to their strongest quarterly gain in two years, financial markets
abroad stumbled and fell, sometimes badly. Disillusioned by political upheaval
and economic gridlock across the globe, investors turned their backs on markets
they once embraced. And, unfortunately, far too many are probably
questioning--wrongfully so--the wisdom of international diversification of
their portfolios.
The rapid moves of the first quarter have come, to say the least,
faster and sooner than most anticipated. Money managers and their particular
investing styles have fared quite differently in this market. On the following
pages, Tom Marsico, the IDEX Fund portfolio manager, discusses how he has
responded to this period's dramatic changes, where he's invested the
[PHOTO]
JOHN R. KENNEY
Chairman of the Board
[PHOTO]
G. JOHN HURLEY
President and
Chief Executive Officer
[LOGO]
Where Time Is
On Your Side
<PAGE> 3
Fund's assets, and why. We encourage you to review these comments
to help you better understand your investment and its performance. Here, too,
you will find the pertinent data for the period, including new graphics on the
major equity positions and industry weightings of the Fund. Together, the Top
Five Equity Holdings graphic and the industry pie chart will give you further
insight into some of the most important factors that are driving your
investment's performance. You will also see that our industry classifications
have changed to a more standardized industry listing: The Dow Jones World
Industry Groups. Major financial publications like The Wall Street Journal use
these same classifications when discussing particular industry performance.
With all that's gone on in the markets recently, this may be a good
time to review your goals and holdings to ensure your investments reflect your
current financial picture, especially with an eye towards prevailing market
conditions. And it's important to remember that no matter how gratifying the
results of this first quarter may have been, they are only short-term. There
will almost surely come other periods that will be less satisfying. But the
splendid turnaround of the first quarter of 1995 reminds us once again that the
greatest risk in investing is quite simply not to be invested.
Just as we reminded you a year ago when the financial markets were so
decidedly negative, IDEX Fund is intended for long-term investments and is
managed with long-term results in mind. Our commitment remains to provide you
with solid, well-managed investment products; our goal continues to be to
provide you with superior service. We respect your personal task of financial
planning and greatly appreciate the opportunity to help.
Sincerely yours,
John R. Kenney
G. John Hurley
[GRAPHIC]
<PAGE> 4
IDEX FUND
The U.S. markets enjoyed a powerful rally in the first quarter of 1995,
as the U.S. economy began to show signs of slowing from the robust pace it set
in 1994. Long and intermediate interest rates softened, and soon stocks
followed bonds by moving higher.
For the six-month period ended April 30, 1995, IDEX Fund shares had a
total return of 3.84%, while the Standard & Poor's 500 Index for the same
period advanced 10.50%. While many of IDEX Fund's holdings put in very good
performances, we missed the rally in major integrated oil stocks, which are a
significant segment of the S&P 500. Our lack of participation in this group was
the primary reason IDEX Fund underperformed its benchmark. I believe the
long-term prospects for the oil industry remain very weak, however, because the
industry is at a competitive disadvantage with countries that have lower
finding costs. I consider the current strength in that group to be
unsustainable.
Although we have already enjoyed an excellent rally this year, I
believe that the environment for stocks is still very positive, especially for
large growth stocks. The economy is moderating to more sustainable levels,
while inflation remains benign. Most price increases at the raw materials and
feedstock end of the production pipeline have not been passed through to
finished goods at the retail end. One reason is that manufacturing and
administrative operations are now much more efficient in many industries, and
costs have been dramatically reduced. A second cause is fierce international
competition, which has not only held down the price of domestic goods, but has
also kept import prices in check despite a historic decline in the dollar.
In fact, many of IDEX Fund's large multinational holdings are
benefiting from the weak dollar, which has made their products less expensive
and more competitive abroad. I expect that Pfizer, a major pharmaceutical
developer and manufacturer, will take much of the dollar's weakness directly to
the bottom line, as will Coca-Cola and Microsoft. All three stocks posted
substantial gains during the quarter, as investors realized how these
companies' strong competitive positions would be enhanced by the dollar's
decline. Other stocks that gained included Merrill Lynch and Hewlett Packard,
which dominates the desk-top printer market and is rapidly expanding its
position in the personal computer
[GRAPHIC]
<PAGE> 5
market. A number of the financial stocks in the Fund, such as Federal
National Mortgage Association and Federal Home Loan Mortgage Corporation, were
helped by declining interest rates. And finally, Intel, a computer chip
manufacturer, and Texas Instruments, a designer and manufacturer of electronic
circuits and semi-conductors, appreciated along with a strong technology group.
Technology continued to lead the market during the first quarter of this year
just as it did through much of 1994.
Several positions were sold at a profit during the period. Among these
stocks were Compaq Computer and Chrysler. Lone Star Steakhouse was cut but
continued to rise after IDEX Fund's position had been eliminated.
IDEX Fund's technology exposure has been in creased, although I have
been careful not to become overly concentrated in this area. Disney, whose
latest hit, "The Lion King", is selling far above expectations, was also added
to IDEX Fund's investments. Disney has a number of other exciting films in the
pipeline and has improved the ride offerings at its Florida and California
theme parks. Paper stock Georgia Pacific was also added to IDEX Fund' s
holdings. The long-term demand for paper is well ahead of supply, and the
current earnings cycles of these companies should be much longer and more
enduring than previous cycles.
This quarter saw the first significant move by investors away from
cyclical stocks into traditional growth companies. I believe this trend has
much further to go as economic growth moderates and the weak dollar makes many
growth companies more competitive overseas. If the dollar declines too much, of
course, it will harm our trading partners and may lead to price increases in
imported goods, but at present that threat seems to be muted. The turmoil in
Latin America, which we were able to avoid, is also cautionary. I do not see an
early resolution to the current uncertainty in that region.
Overall, however, I am very optimistic, and expect stocks to continue
their strong performance against a backdrop of economic moderation and interest
rate stability.
Thomas F. Marsico
Thomas F. Marsico
IDEX Fund Manager
<PAGE> 6
[GRAPH]
<TABLE>
<CAPTION>
IDEX FUND STANDARD & POOR'S
AVERAGE ANNUAL TOTAL RETURN** 500 STOCK INDEX
AVERAGE ANNUAL TOTAL RETURN*
<S> <C>
1 Year Ended 1 Year Ended
4/30/95. . . . . . . . . . . . (3.44)% 4/30/95 . . . . . . . . . . . 17.40%
5 Years Ended 5 Years Ended
4/30/95 . . . . . . . . . . . 9.87% 4/30/95 . . . . . . . . . . . 10.50%
Life of the Fund Life of IDEX Fund
06/04/85 to 4/30/95 . . . . . 13.99% 06/04/85 to 4/30/95 . . . . . 14.20%
IDEX FUND
TOTAL RETURN**
Life of the Fund
06/04/85 to 4/30/95. . . . . . 266.68%
</TABLE>
* The Standard & Poor's 500 Stock Index is an unmanaged index used as a general
measure of market performance. Calculations assume dividends and capital gains
are reinvested and do not include any managerial expenses.
** IDEX Fund's performance reflect the maximum sales charge of 8.5%, with
dividends and capital gains paid in additional shares. Investment return and
principal value will fluctuate; shares when redeemed may be worth more or less
than their original cost. Past performance does not guarantee future results.
This material must be preceded or accompanied by the Fund's current prospectus
which includes information about the sales commissions, objectives, policies
and other facts about the Fund.
<PAGE> 7
IDEX FUND
INVESTMENTS BY MAJOR INDUSTRY
APRIL 30, 1995
[GRAPH]
<TABLE>
<S> <C>
Basic Materials . . . . . . . . . . 2.5%
Consumer Cyclical . . . . . . . . . 7.9%
Consumer Non-Cyclical . . . . . . . 11.5%
Financial . . . . . . . . . . . . . 14.3%
Industrial . . . . . . . . . . . . 1.0%
Technology . . . . . . . . . . . . 45.9%
Long Term U.S. Gov't Securities . . 0.7%
Short-term Securities . . . . . . . 15.2%
Other . . . . . . . . . . . . . . . 1.0%
</TABLE>
TOP FIVE EQUITY HOLDINGS
APRIL 30, 1995
MICROSOFT CORPORATION
- - - Microsoft Corp., founded in 1975, is the worldwide leader in software
for personal computers.
- - - Microsoft currently is serving as a corporate supporter for the White
House Conference on Small Business. Small businesses generally
produce twice as many innovations per employee as large firms.
Microsoft believes that technology is key to that innovation.
SAP AG VORZUG PFD.
- - - SAP AG Vorzug, a German-based business software company, has
experienced a profit increase of 92% in 1994 after two years of
moderate growth in 1992 and 1993.
- - - SAP AG Vorzug attributes its recent growth to its great emphasis on
R&D. Forty of the fifty largest U.S. companies in chemicals-
pharmaceuticals use SAP software.
- - - SAP AG Vorzug foreign sales exceeded German sales in 1994 for the first
time in corporate history, due largely to an increase in sales of 151%
in the U.S. market. Some notable customers include IBM, Apple, Intel,
Compaq and Hewlett Packard.
FIRST DATA CORPORATION
- - - First Data Corporation provides high-quality, high-volume information
processing and related services, including bankcard processing services,
payment instrument transactions processing and information management
and data processing for the cable industry.
- - - First Data recently signed an agreement to handle all credit card
software systems and backoffice operations, including account-level and
transaction-level processing for PNC Bank, one of the largest banking
organizations in the U.S.
- - - First Data and CellTel Data recently signed an agreement to market a
new service which allows credit and debit transactions using cellular
rather than traditional telephone line transmission.
INTEL CORPORATION
- - - Intel Corporation designs, develops, produces and markets advanced
microcomputer components and related products.
- - - On March 27, 1995, Intel introduced a new higher performance version of
its Pentium processor which uses a 0.35 micron process technology (a
micron is approximately 1/100th the diameter of a human hair). This
new technology translates into higher performance, higher reliability
and lower cost products for computer users.
HEWLETT-PACKARD COMPANY
- - - Hewlett-Packard Company makes computer systems, peripheral products,
analysis instruments and computation instruments.
- - - Hewlett-Packard Company said it cut prices by up to 16% on its Omnibook
personal computers, by up to 11% on Vectra desktop personal computers
and as much as 13% on its Netserver server lines. The company credits
its increasingly efficient manufacturing and broader distribution
channels have enabled it to pass on significant savings to customers.
<PAGE> 8
<TABLE>
<CAPTION>
APRIL 30, 1995
- - ----------------------------------------------------------------------------------------------------------------------------------
SCHEDULE OF INVESTMENTS (unaudited)
- - ----------------------------------------------------------------------------------------------------------------------------------
IDEX FUND
- - ---------------------------------------------------------------- ------------------------------------------------------------------
SHARES DESCRIPTION VALUE SHARES DESCRIPTION VALUE
- - ---------------------------------------------------------------- ------------------------------------------------------------------
<S> <C> <C> <C>
COMMON STOCK (76.7%) TECHNOLOGY (39.5%)
BASIC MATERIALS (2.5%) AEROSPACE/DEFENSE (0.4%)
FOREST PRODUCTS 15,875 Lockheed Martin Corp. $ 916,781
83,600 Georgia Pacific Corp. $ 6,635,750 -----------
------------
BIOTECHNOLOGY (2.2%)
CONSUMER CYCLICAL (7.9%) 81,250 Amgen, Inc. * 5,905,859
AUTO MANUFACTURERS (1.1%) -----------
66,200 General Motors Corp. Class E 2,863,150
------------ COMMUNICATIONS (11.7%)
69,100 America Online, Inc. * 3,204,513
BROADCASTING (0.7%) 30,900 Ascend Communications, Inc. * 2,379,300
45,060 Infinity Broadcasting Corp. Class A * 1,920,683 35,750 Cascade Communications Corp. * 2,574,000
------------ 96,600 Cisco Systems, Inc. * 3,851,925
82,800 DSC Communications Corp. * 3,063,600
ENTERTAINMENT (2.6%) 83,000 L.M. Ericsson Telephone Company Class B # 5,566,187
49,575 Circus Circus Enterprises, Inc. * 1,642,172 80,875 General Instrument Corp. * 2,759,859
55,575 Eastman Kodak Company 3,195,563 30,175 Motorola, Inc. 1,716,203
40,575 Walt Disney Company 2,246,841 47,868 Northern Telecom, Ltd. 1,741,199
------------ 36,825 PictureTel Corp. * 1,569,666
7,084,576 38,200 U.S. Robotics Corp. * 3,027,350
------------ -----------
RETAILERS - SPECIALTY (3.5%) 31,453,802
327,125 Lowe's Companies, Inc. 9,445,734 -----------
------------ COMPUTERS (7.0%)
79,325 Digital Equipment Corp. * 3,658,866
CONSUMER NON-CYCLICAL (11.5%) 168,600 Hewlett-Packard Company 11,148,675
BEVERAGES (4.1%) 109,075 StrataCom, Inc. * 3,981,237
139,375 Coca-Cola Company 8,101,172 -----------
68,250 PepsiCo, Inc. 2,840,906 18,788,778
------------ -----------
10,942,078 DIVERSIFIED (5.5%)
------------ 169,175 Philips Electronics nv # 6,513,237
HEALTH CARE (2.5%) 78,835 Texas Instruments, Inc. 8,356,510
22,775 Genzyme Corp. * 967,938 -----------
129,225 Oxford Healthcare Plans, Inc. * 5,378,991 14,869,747
11,525 United Healthcare Corp. 417,781 -----------
------------
6,764,710 INDUSTRIAL (0.2%)
------------ 17,350 Spectrian Corp. * 505,319
HOUSEHOLD PRODUCTS (1.2%) -----------
18,475 Black & Decker Corp. 554,250
61,600 Duracell International, Inc. 2,710,400 SEMICONDUCTORS (4.8%)
------------ 96,025 Intel Corp. 9,830,559
3,264,650 45,775 LSI Logic Corp. * 3,049,759
------------ -----------
PHARMACEUTICALS (3.7%) 12,880,318
66,270 Astra AB A-Free + 1,928,569 -----------
91,200 Pfizer, Inc. 7,900,200 SOFTWARE (7.7%)
----------- 24,925 Autodesk, Inc. 849,008
9,828,769 30,875 Ceridan Corp. * 1,065,188
------------ 61,275 Informix Corp. * 2,412,703
FINANCIAL (14.3%) 59,600 LEGENT Corp. * 1,624,100
BANKS (3.1%) 159,350 Microsoft Corp. * 13,026,862
95,135 Citicorp 4,411,886 -----------
51,450 First Interstate Bancorp 3,955,219 57,075 Oracle Systems Corp. * 1,740,788
------------ -----------
8,367,105 20,718,649
------------ -----------
DIVERSIFIED (8.4%) TOTAL COMMON STOCK (COST $166,302,511) 205,943,723
364,175 Grupo Financiero Inbursa SA Class C + 694,827 -----------
96,200 Federal Home Loan Mortgage Corp. 6,277,050
45,930 Federal National Mortgage Association 4,053,322 CONVERTIBLE PREFERRED STOCK (2.0%)
203,425 First Data Corp. 11,442,656 TECHNOLOGY
------------ DIVERSIFIED
22,467,855 103,800 Nokia AB OY # 4,255,800
------------ 29,832 Nokia AB OY Cumulative + 1,215,210
SECURITIES BROKERS (2.8%) -----------
165,750 Merrill Lynch and Company, Inc. 7,541,625 5,471,010
------------ -----------
INDUSTRIAL (1.0%) NON-CONVERTIBLE PREFERRED STOCK (4.4%)
CONTAINERS AND PACKAGING (0.8%) TECHNOLOGY
60,975 Liqui-Box Corp. 2,164,613 SOFTWARE
------------ 12,035 SAP AG Vorzug + 11,789,246
-----------
ELECTRONIC COMPONENTS AND EQUIPMENT (0.2%) Total Preferred Stock (COST $12,009,991) 17,260,256
15,875 Honeywell, Inc. 613,172 -----------
------------
</TABLE>
See Notes to Schedule of Investments at page 2.
-1-
<PAGE> 9
<TABLE>
<CAPTION>
April 30, 1995
- - ----------------------------------------------------------------------------------------------------------------------------------
SCHEDULE OF INVESTMENTS (unaudited)
- - ----------------------------------------------------------------------------------------------------------------------------------
IDEX FUND
- - -------------------------------------------------------------- ----------------------------------------------------------------
PRINCIPAL DESCRIPTION VALUE NOTES TO SCHEDULE OF INVESTMENTS
- - -------------------------------------------------------------- ----------------------------------------------------------------
<S> <C>
LONG-TERM U.S. GOVERNMENT SECURITIES (0.7%) * Presently non-income producing.
$ 2,000,000 United States Treasury Notes
5.500%, 9-30-97, (cost + Foreign security. Principal amount of forward foreign currency
$2,016,040) $ 1,948,900 contracts denominated in indicated currency: D-German
------------ Deutschemark; K-Swedish Krona.
COMMERCIAL PAPER (15.2%)
Federal National Mortgage # American Depository Receipts.
Association
10,000,000 5.850%, 5-11-95 9,983,750
8,000,000 5.860%, 5-22-95 7,972,653 See Note 1 to financial statements for security valuation and
9,300,000 General Electric Capital Corp., other significant accounting policies.
5.850%, 5-1-95 9,300,000
13,500,000 Household Finance Corp., 5.920%, See Note 4 to financial statements for cost and unrealized
5-15-95 13,468,920 appreciation and depreciation of investments for Federal
------------ income tax purposes.
TOTAL COMMERCIAL PAPER (COST $40,725,323) 40,725,323
------------
TOTAL INVESTMENTS (99.0%)
(COST $221,053,865) 265,878,202
------------
UNREALIZED LOSS ON FORWARD
FOREIGN CURRENCY CONTRACTS (0.0%)
D 7,000,000 German Deutschemark
4-20-95 Sell (7,130)
K 10,549,124 Swedish Krona 4-4-95 Sell (18,653)
------------
Total Forward Foreign Currency Contracts (25,783)
Other Assets in Excess of Liabilities ------------
(1.0%) 2,620,725
------------
Net Assets (100.0%) $268,473,144
============
</TABLE>
-2-
<PAGE> 10
<TABLE>
<CAPTION>
APRIL 30, 1995 IDEX FUND
- - --------------------------------------------------------------------------------------
STATEMENT OF ASSETS AND LIABILITIES (unaudited)
- - --------------------------------------------------------------------------------------
All amounts (except per share amounts) in thousands
ASSETS:
<S> <C>
Investment securities, at market value
(identified cost $221,055) $265,878
Cash 1,634
Receivables:
Investment securities sold 8,311
Dividends 86
Interest 9
Shares of beneficial interest sold 5
Other 8
--------
Total assets 275,931
--------
LIABILITIES:
Accounts payable:
Investment securities purchased 7,275
Shares of beneficial interest redeemed 48
Accrued liabilities: (Note 2)
Management and advisory fees 34
Forward foreign currency contracts (Note 2) 26
Transfer agent fees and expenses 34
Other 41
--------
Total liabilities 7,458
--------
NET ASSETS $268,473
========
NET ASSETS:
Shares of beneficial interest, unlimited shares authorized;
14,412 shares outstanding $211,166
Undistributed net investment income (Note 1) 566
Undistributed net realized gain from investments and foreign
currency transactions (Note 1) 11,944
Net unrealized appreciation of investments and on translation of
assets and liabilities in foreign currencies 44,797
--------
Total net assets $268,473
========
Net asset value per share (net assets divided by shares
outstanding) $ 18.63
Add maximum selling commission (8.50% of offering price)* 1.73
Offering price per share --------
$ 20.36
========
</TABLE>
* Includes the maximum selling commission (represented as a percentage of
offering price) which is reduced on sales of $25,000 or more as set
forth in the Prospectus.
The notes to financial statements are an integral part of these statements.
-3-
<PAGE> 11
<TABLE>
<CAPTION>
For the six months ended April 30, 1995 IDEX FUND
- - --------------------------------------------------------------------------------------------------------------------------
STATEMENT OF OPERATIONS (unaudited)
- - --------------------------------------------------------------------------------------------------------------------------
<S> <C>
All amounts in thousands
INVESTMENT INCOME:
Dividends (net of foreign withholding taxes of $9) $ 934
Interest 1,190
--------
2,124
--------
EXPENSES (NOTE 2):
Management and advisory fees 1,309
Transfer agent fees and expenses 290
Custody fees and expenses 28
Trustees fees and expenses 18
Other 90
--------
Total expenses 1,735
--------
Net investment income 389
--------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY (NOTE 1):
Net realized gain on investments 14,504
Net realized loss from foreign currency transactions (2,310)
--------
Net realized gain 12,194
--------
Net unrealized appreciation (depreciation) during the period on:
Investments (4,149)
Translation of assets and liabilities in foreign currrencies 473
--------
Net unrealized depreciation during the period (3,676)
--------
Net gain on investments and foreign currency 8,518
--------
Net increase in net assets resulting from operations $ 8,907
========
<CAPTION>
- - --------------------------------------------------------------------------------------------------------------------------
STATEMENT OF CHANGES IN NET ASSETS
- - --------------------------------------------------------------------------------------------------------------------------
All amounts in thousands FOR THE SIX FOR THE YEAR
MONTHS ENDED ENDED
APRIL 30, OCTOBER 31,
INCREASE (DECREASE) IN NET ASSETS: 1995 (1) 1994
OPERATIONS: ------------ ------------
<S> <C> <C>
Net investment income $ 389 $ 1,194
Net realized gain on investments and foreign currency transactions 12,194 3,622
Net unrealized depreciation during the period (3,676) (13,365)
-------- --------
Net increase (decrease) in net assets resulting from operations 8,907 (8,549)
-------- --------
DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income (1,143) (687)
From net realized gain on investments and foreign currency transactions (3,282) (17,837)
-------- --------
(4,425) (18,524)
-------- --------
SHARES OF BENEFICIAL INTEREST TRANSACTIONS:
Proceeds from sale of shares 11,451 33,533
Shares issued on reinvestment of distributions 4,343 18,232
Cost of shares repurchased (38,881) (92,215)
-------- --------
Net decrease from shares of beneficial interest transactions (23,087) (40,450)
-------- --------
Net decrease in net assets (18,605) (67,523)
NET ASSETS:
Beginning of period 287,078 354,601
-------- --------
End of period (includes undistributed net investment
income of $566 and $1,320 respectively) $268,473 $287,078
======== ========
SHARES OF BENEFICIAL INTEREST:
Sold 650 1,830
Issued on reinvestment of distributions 258 987
Redeemed (2,222) (5,027)
-------- --------
Net decrease in shares outstanding (1,314) (2,210)
Outstanding at beginning of period 15,726 17,936
-------- --------
Outstanding at end of period 14,412 15,726
======== ========
</TABLE>
(1) Unaudited.
The notes to financial statements are an integral part of these statements.
-4-
<PAGE> 12
<TABLE>
<CAPTION>
IDEX FUND
- - -------------------------------------------------------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- - -------------------------------------------------------------------------------------------------------------------------------
For a share of beneficial interest
outstanding throughout each period SIX MONTHS
ENDED
APRIL 30, FOR THE YEARS ENDED OCTOBER 31,
--------- -------------------------------------------------------------
1995(1) 1994 1993 1992 1991 1990
--------- -------- -------- -------- -------- -------
<S> <C> <C> <C> <C> <C> <C>
Net asset value at beginning of period $ 18.25 $ 19.77 $ 18.54 $ 18.73 $ 13.81 $ 17.32
-------- -------- -------- -------- -------- -------
Net investment income 0.02 0.08 0.11 0.15 0.17 0.18
Net realized and unrealized gain (loss) on
investments and foreign currency 0.66 (0.55) 2.44 0.42 6.84 (1.57)
-------- -------- -------- -------- -------- -------
Total income (loss) from investment
operations 0.68 (0.47) 2.55 0.57 7.01 (1.39)
-------- -------- -------- -------- -------- -------
Dividends from net investment income (0.08) (0.04) (0.14) (0.11) (0.17) (0.10)
Distributions from net realized capital
gains and foreign currency (0.22) (1.01) (1.18) (0.65) (1.92) (2.02)
-------- -------- -------- -------- -------- -------
Total distributions (0.30) (1.05) (1.32) (0.76) (2.09) (2.12)
-------- -------- -------- -------- -------- -------
Net asset value at end of period $ 18.63 $ 18.25 $ 19.77 $ 18.54 $ 18.73 $ 13.81
======== ======== ======== ======== ======== =======
Total return (2) 3.84% (2.42)% 14.21% 3.17% 57.49% (8.85)%
Net assets at end of period (000's) $268,473 $287,078 $354,601 $294,798 $215,856 $90,027
Shares outstanding at end of period
(000's) 14,412 15,726 17,936 15,899 11,524 6,519
Ratio of expenses to average net assets 1.33% 1.29% 1.28% 1.28% 1.32% 1.39%
Ratio of net investment income to
average net assets 0.30% 0.38% 0.61% 0.82% 0.88% 1.23%
Portfolio turnover rate (3) 114.25% 77.23% 104.16% 62.73% 83.92% 158.76%
</TABLE>
(1) Unaudited.
(2) Total return has been calculated without deduction of any sales load on
an initial purchase. Short periods (where applicable) are not
annualized.
(3) This rate is calculated by dividing the average value of the Fund's
long-term purchases or sales during the period into the lesser of its
respective long-term purchases or sales during the period. Short
periods (where applicable) are annualized.
IDEX FUND
NOTES TO FINANCIAL STATEMENTS (unaudited)
April 30, 1995
NOTE 1. Organization and Significant Accounting Policies:
IDEX Fund (the "Fund") is organized as a Massachusetts business trust and
is registered under the Investment Company Act of 1940, as amended, as a
diversified, open-end management investment company. The Fund is organized
as a series fund but currently offers only one series of shares. The
following is a summary of significant accounting policies consistently
followed by the Fund in the preparation of its financial statements. The
policies are in conformity with generally accepted accounting principles.
A. Security valuations: Investments of the Fund traded on a national
securities exchange and the NASDAQ National Market System are stated at the
last reported sales price on the day of valuation; securities traded in the
over- the-counter market and listed securities for which no sale was
reported on that date are valued at the last quoted bid price. Foreign
securities are converted to U.S. dollars using exchange rates at the close
of the New York Stock Exchange. Long-term debt securities are valued by a
major independent provider of pricing services. Short-term debt securities
are valued at amortized cost, which approximates market. Other securities
for which quotations are not readily available are valued at fair value,
determined in such manner as the sub-adviser, under the supervision of the
Board of Trustees, decides in good faith.
-5-
<PAGE> 13
IDEX FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
(UNAUDITED) APRIL 30, 1995
NOTE 1. Organization and Significant Accounting Policies (continued):
B. Security transactions and related investment income: Security transactions
are accounted for on the trade date (date the order to buy or sell is
executed). Securities gains and losses are calculated on the specific
identification basis and dividend income is recorded on the ex-dividend
date for both financial and Federal tax reporting purposes; interest income
is recorded on the accrual basis, including amortization of premium and
discount. Original issue discount (as defined in the Internal Revenue
Code) and market premium and discount are amortized for both financial and
Federal tax reporting purposes over the remaining life of the related
bonds.
C. Foreign currency translation: Securities and other assets and liabilities
denominated in foreign currencies are translated into U.S. dollars at the
closing exchange rate each day. The cost of foreign securities is
translated at the exchange rate in effect when the investment was acquired.
The Fund combines fluctuations from currency exchange rates and
fluctuations in market value when computing net realized and unrealized
gain or loss from investments. Transaction gains or losses resulting from
changes in exchange rates during the reporting period or upon settlement of
the foreign currency transactions are reported in the Statement of
Operations for the current period. Foreign denominated assets and the use
of forward contracts may involve risks not typically associated with
domestic transactions, including unanticipated movements in exchange rates,
the degree of government supervision and regulation of security markets,
and the possibility of political or economic instability.
D. Federal taxes: It is the Fund's policy to distribute all of its taxable
income and net capital gains to its shareholders and otherwise qualify as a
regulated investment company under the Internal Revenue Code. In addition,
the Fund intends to pay distributions as required to avoid excise taxes.
Accordingly, no provision has been made for Federal taxes.
E. Distributions to shareholders: Dividends and distributions are recorded by
the Fund on the ex-dividend date. Income and capital gains distributions
are determined in accordance with Federal income tax regulations which may
differ from generally accepted accounting principles. Accordingly,
permanent book and tax basics differences relating to Fund earnings and
shareholder distributions are reclassified as necessary among components of
net assets at each fiscal year-end.
NOTE 2. Investment Advisory and Other Payments to/from Affiliates:
Idex Management, Inc. ("IMI") is the Fund's investment adviser; Idex
Investor Services, Inc. ("IIS") is the Fund's transfer agent;
InterSecurities, Inc. ("ISI") is the Fund's principal underwriter; Janus
Capital Corporation ("JCC") is the Fund's sub-adviser and Investors
Fiduciary Trust Company ("IFTC") is the Fund's custodian. IMI is owned
equally by AUSA Holding Company ("AUSA") and JCC. ISI and IIS are 100%
owned by AUSA. AUSA is a wholly-owned indirect subsidiary of AEGON N.V., a
Netherlands corporation.
-6-
<PAGE> 14
IDEX FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED) (UNAUDITED)
APRIL 30, 1995
NOTE 2. Investment Advisory and Other Payments to/from Affiliates
(continued):
Under the terms of the Management and Investment Advisory Agreement, the
Fund pays management fees to IMI at the annual rate of 1.00% on the first
$750 million of average daily net assets. Also, the Fund will be
reimbursed by IMI to the extent that certain operating expenses exceed the
lesser of 1.50% of average daily net assets or any limitation imposed by
the most restrictive state law. No such reimbursements were required for
the period. The Fund pays IIS a monthly per open account fee of $1.16667
plus $2.43 for each new account opened. Custody fees and expenses reflect
reductions of $39,658 for earnings credits received through IFTC during the
six months ended April 30, 1995.
For the six months ended April 30, 1995:
<TABLE>
<CAPTION>
<S> <C>
Underwriting commissions received by ISI (not a Fund expense) $406,271
Underwriting commissions retained by ISI 71,272
</TABLE>
NOTE 3. Investment Transactions:
The cost of securities purchased and proceeds from securities sold
(excluding non-U.S. Government short-term securities) for the six months
ended April 30, 1995 were as follows:
<TABLE>
<S> <C>
Non-U.S. Government Purchases $128,728,978
Non-U.S. Government Sales 194,221,719
U.S. Government Purchases 63,807,601
U.S. Government Sales 64,000,000
</TABLE>
NOTE 4. Information for Federal Income Tax Purposes:
For the year ended October 31, 1994, the Fund realized net capital gains of
$3,280,518. These gains were distributed to shareholders in December 1994.
At April 30, 1995, the cost of investment securities was $221,053,865 and
net unrealized appreciation of investments aggregated $44,824,337, of which
$46,213,278 related to appreciated securities and $1,388,941 related to
depreciated securities.
-7-
<PAGE> 15
NOTES
________________________________________________________________________________
<PAGE> 16
NOTES
________________________________________________________________________________
<PAGE> 17
NOTES
________________________________________________________________________________
<PAGE> 18
<TABLE>
<CAPTION>
IDEX FUND
TRUSTEES TRANSFER AGENT CUSTOMER SERVICE
<S> <C> <C>
PETER R. BROWN IDEX INVESTOR SERVICES, INC. (800) 851-9777
Largo, Florida P.O. Box 9015 Hours: 8 a.m. to 7 p.m. Eastern time
Chairman of the Clearwater, Florida 34618-9015
Board,
Peter Brown
Construction Company IDEX ASSIST LINE
OFFICERS
(800) 421-IDEX (4339)
JAMES L. CHURCHILL JOHN R. KENNEY 24-hour automated account information
Hilton Head, South Chairman of the Board
Carolina INVESTMENT ADVISER
Retired; former President G. JOHN HURLEY IDEX MANAGEMENT, INC.
of the Avionics President and Chief 201 Highland Avenue
Group of Rockwell Executive Officer Largo, Florida 34640
International Corporation
THOMAS R. MORIARTY SUB-ADVISER
Senior Vice President JANUS CAPITAL CORPORATION
CHARLES C. HARRIS 100 Fillmore Street, Suite 300
Belleair, Florida WILLIAM H. GEIGER Denver, Colorado 80206
Retired; former Senior Vice President and
Vice President Western Assistant Secretary PRINCIPAL
Reserve Life Assurance Co. UNDERWRITER
of Ohio LESLIE E. MARTIN III INTERSECURITIES, INC.
Vice President - Marketing 201 Highland Avenue
G. JOHN HURLEY Largo, Florida 34640
Largo, Florida BECKY A. FERRELL
President and Chief Assistant Vice President, Counsel CUSTODIAN
Executive Officer and Secretary INVESTORS FIDUCIARY TRUST COMPANY
of the Fund; Kansas City, Missouri 64105
President and Chief CHRISTOPHER G. ROETZER Send all correspondence to the Transfer
Executive Officer Assistant Vice President and Agent
of InterSecurities, Inc. Principal Accounting Officer
INDEPENDENT
RICHARD B. FRANZ II ACCOUNTANTS
JOHN R. KENNEY Treasurer PRICE WATERHOUSE LLP
Largo, Florida 1055 Broadway
Chairman of the Board Kansas City, Missouri 64105
of the Fund;
Chairman of the Board of
InterSecurities, Inc. Our corporate offices
are located at:
WILLIAM W. SHORT, JR. 201 Highland Avenue
Largo, Florida Largo, Florida 34640
Chairman, Southern Apparel
Corporation
and S.A.C. Distributors
TRUMAN H. SIMS
Clearwater, Florida
President, Truman Sims, Inc.
JACK E. ZIMMERMAN
Dayton, Ohio
Retired; former Director,
Regional Marketing,
Martin Marietta Corporation
</TABLE>
IF YOU RECEIVE DUPLICATE MAILINGS BECAUSE YOU HAVE MORE THAN ONE ACCOUNT IN
IDEX FUND OR IN THE IDEX FAMILY, AT THE SAME HOUSEHOLD, YOU MAY WISH TO SAVE
YOUR FUND MONEY BY CONSOLIDATING YOUR ACCOUNTS BY ADDRESS. PLEASE CALL IDEX
CUSTOMER SERVICE AT (800) 851-9777.
<PAGE> 19
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IDEX Bulk Rate
MUTUAL FUNDS U.S. Postage
P.O. BOX 9015 PAID
Clearwater, Florida Permit No. 39
34618-9015 Atlanta, GA
