Fellow Shareholders:
There's still little agreement among market watchers about which dynamics
are driving what markets and when. Does anybody care?
We sure don't. All that really matters is that this is the greatest bull
market of all time.
Indeed, even as the so-called pundits continue to question the condition
of the market, investors continue to reap its rewards: a payoff for their
patience; for sticking with their strategies; for maintaining a discipline;
for keeping their long-term plans.
It was just two years ago that the markets were so decidedly
unpleasant-when fears of "the correction" so dominated the investment
landscape. And it was just two years ago we reminded you-and
ourselves-that long-term investment strategies don't have to time the
market to get a good return. It is time in the market, not timing of the
market, that determines success.
It wasn't easy to hold the course in such a volatile market, but those
who did are most likely being rewarded for it now. And our hats are off to
you all.
We're proud of the manner in which the IDEX Fund portfolio manager has
guided and positioned your fund through these dramatic market changes. And
we are, of course, delighted with the extraordinary results posted for this
period. Please take a few minutes and review the personal comments from
your portfolio manager. We invite you to evaluate these reports and review
the data, including major equity positions and industry weightings. All of
this information is intended to provide insight into some of the industry's
finest performances.
So far, 1996 is off to a spectacular start, faster even than the stock
market's historical average return of 10% a year. And not too surprisingly,
the sensational advances of recent months are becoming a bit unnerving-it's
only natural to fear that the markets are about to "run out of gas." Can
another stunning year lie ahead? Can the economy roll along strongly enough
to boost profits while not pushing interest rates higher? Will the
presidential election cycle keep investors on edge much of the year? Who
knows? Forecasts are like reading yesterday's newspaper, and as often as
not, the common wisdom is way off-as it was in 1994 and 1995.
For ourselves, we aren't making any predictions on what will happen in
the rest of 1996. After all, in the short-term, the markets are unknowable.
But long-term, they're inevitable. The secret to wealth accumulation in the
market is long-term investing and not worrying about the interim peaks and
troughs. History has shown that investors see better results the longer
they hold their investment. And we're in it for the long-term-we're
investors.
If it's true that success solicits success, then we're justified in our
optimistic outlook for the rest of this year. IDEX Fund is managed not only
with long-term results in mind but long-term relationships as well. Our
highest priority remains the safety of the investment you've entrusted to
us. We respect your personal task of financial planning and appreciate the
opportunity to help.
Sincerely yours,
/s/ G. John Hurley
/s/ John R. Kenney
Recently, the overall market produced its share of fireworks, as investors
worried about rate increases, the future of corporate profits, and whether
the economy was too strong or too weak. Three separate one-day declines in
the Dow Jones Industrials over the past six months ranked among the top-ten
point declines since 1987, according to The Wall Street Journal (March 19,
1996). But as the same article pointed out, on a percentage basis these
declines were relatively small by historical standards.
IDEX Fund outperformed its benchmark index, the S&P 500, for the six months
ended April 30, 1996. We invite you to review its corresponding Portfolio
Performance page for details.
Although economic conditions are always difficult to predict, we believe
that Federal Reserve Chairman Alan Greenspan is probably correct in his
recent assessment. While the economy may be a bit stronger than was
estimated as the year began, it is still growing at a moderate clip, well
within healthy, sustainable parameters. As long as inflation remains under
control at the wholesale and retail levels, we expect the economy will stay
on track.
On the political front, however, a significant casualty during the period
was the lack of a balanced budget agreement, which appears to have been
shelved indefinitely. This may come back to haunt the market later, but so
far stocks have absorbed the blow without too much disturbance.
Not much changed in the Fund during this period. We remain comfortable with
the long-term valuations of our holdings. We are also very confident in
these companies' ability to out-earn (on an earnings-per-share basis) the
market averages going forward, and expect their ratio of outperformance to
buoy their stock prices.
IDEX Fund continues to emphasize those industry sectors we believe will be
helped by economic and demographic trends. These include healthcare,
financial, telecommunications, technology, and selected retailers. As
always, we have tried to purchase companies that have exceptional
individual characteristics. We are not interested in owning an industry, no
matter how attractive its macro environment may seem.
Some of the better performers during the period included Cisco Systems,
which dominates the market for products that allow large computer networks
to communicate with each other; U.S. Robotics Corp., a manufacturer of high-
speed modems; and Ascend Communications, Inc., which makes Internet
connecting equipment. HBO & Co., a processor of information for hospitals,
also registered strong price growth. Finally, drug manufacturer Pfizer had
an encouraging quarter due to an improving process of speeding products to
market.
Since year end 1995, we've believed more volatile markets were to be
expected. To date this has proven true. It also appears this increased
volatility will stay with us as the year progresses, which could lead to
more of the sharp rotations among industries we have seen year to date.
Investors may also swing back and forth between growth stocks, which are
often thought of as defensive, and more economically-sensitive (or
cyclical) stocks. We have already experienced some shifting between the two
groups in the first quarter. Despite these factors, we will stick to our
knitting, looking for companies with outstanding growth selling at
reasonable prices.
Market volatility usually creates pricing inefficiencies, and we will
continue to take advantage of price declines to build positions. When
stocks get ahead of themselves, however, and valuations are out of line,
we'll be content to take profits-and perhaps revisit the shares later at
more attractive prices.
/s/ Scott W. Schoelzel
Scott W. Schoelzel
IDEX Fund Portfolio Manager
Performance
A hypothetical $10,000 invested in IDEX Fund at inception (6/4/85) was
worth $54,309.
<TABLE>
<CAPTION>
Average Annual Total Returns
For the Period Ended 4/30/96*
From Inception
6 months 1 year 5 year 10 year Inception Date
<S> <C> <C> <C> <C> <C> <C>
IDEX Fund
(without sales load) 15.01% 48.10% 15.96% 17.06% 17.73% 6/4/85
IDEX Fund**
(with sales load) 5.25% 35.52% 13.91% 16.02% 16.78% 6/4/85
S&P 500*** 13.76% 30.05% 14.87% 14.21% 15.60% 6/4/85
* IDEX Fund performance includes dividends and capital gains reinvested.
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. Total return for periods
less than one year are not annualized.
** IDEX Fund performance reflects the maximum sales charge of 8.5%.
*** 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.
</TABLE>
<TABLE>
<CAPTION>
Investments by major industry
as a percentage of net assets
April 30, 1996
4/30/96 10/31/95
<S> <C> <C>
Consumer Cyclical 8.8% 4.4%
Consumer Non-cyclical 16.8% 13.2%
Financial 15.8% 14.7%
Independent 0.9% --
Industrial -- 0.3%
Technology 40.6% 50.7%
Long-term U.S. Gov't 8.2% 0.6%
Short-term 9.3% 17.4%
</TABLE>
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.
April 30, 1996 Fund
<TABLE>
<CAPTION>
SCHEDULE OF INVESTMENTS (unaudited)
Shares Description Value
COMMON STOCK (79.0%)
Consumer, Cyclical (7.7%)
Broadcasting (0.7%)
<S> <C> <C>
94,785 Infinity Broadcasting Corp. Class A * $2,748,765
Clothing/Fabric (2.8%)
39,000 Fila Holding SpA # 2,661,750
145,875 Gucci Group N.V. # * 7,931,953
10,593,703
Entertainment (1.7%)
35,950 Trump Hotel & Casino Resorts, Inc. * 1,163,881
85,425 Walt Disney Company 5,296,350
6,460,231
Footware (2.3%)
97,825 Nike, Inc. Class B 8,559,688
Retail-Cosmetics (0.2%)
15,250 Estee Lauder Companies - Class A * 558,531
Consumer, Non-Cyclical (16.8%)
Beverages (3.1%)
124,025 Coca-Cola Company 10,108,038
24,775 Pepsico, Inc. 1,573,213
11,681,251
Food - Retailers (0.5%)
63,850 Starbucks Corp. * 1,731,931
Health Care (5.2%)
216,050 Oxford Health Plans, Inc. * 10,910,525
61,900 Pacificare Health Systems, Inc. Class B * 5,191,863
62,500 United Healthcare Corp. 3,656,250
19,758,638
Pharmaceuticals (8.0%)
66,270 Astra AB A-Free + 2,944,964
19,250 BioChem Pharma, Inc. * 875,875
85,975 Eli Lilly and Company 5,072,525
50,325 Johnson & Johnson 4,655,063
149,300 Pfizer, Inc. 10,283,037
117,400 SmithKline Beecham PLC # 6,339,600
15,866 SmithKline Beecham PLC Class A + 168,461
30,339,525
Financial (15.8%)
Banks (6.6%)
77,900 Chase Banking Corp. 5,365,362
119,610 Citicorp 9,419,288
41,150 Wells Fargo & Company 9,984,018
24,768,668
Diversified (4.4%)
209,225 First Data Corp. 15,901,100
199,700 Grupo Financiero Inbursa S.A. Class B + * 778,594
16,679,694
Securities Brokers (2.5%)
157,800 Merrill Lynch and Company, Inc. 9,527,175
U.S. Government Agency (2.3%)
43,450 Federal Home Loan Mortgage Corp. 3,622,644
159,145 Federal National Mortgage Association 4,873,815
8,496,459
Independent (0.9%)
Conglomerates
45,200 General Electric Company 3,503,000
Technology (37.8%)
Advanced Medical Devices (0.9%)
62,800 Medtronic, Inc. 3,336,250
Aerospace/Defense (0.8%)
37,675 The Boeing Company $3,094,059
Biotechnology (2.7%)
99,475 Amgen, Inc. * 5,719,813
46,350 Chiron Corp. * 4,466,981
10,186,794
Communications (13.4%)
53,450 America Online, Inc. * 3,420,800
285,600 Ascend Communications, Inc. * 17,564,400
147,505 Glenayre Technologies, Inc. * 6,858,983
159,725 PictureTel Corp. * 5,430,650
83,150 Premisys Communications Inc. * 3,637,812
88,150 US Robotics Corp. 13,795,475
50,708,120
Computers (7.8%)
235,800 Cisco Systems, Inc. * 12,232,125
65,250 Shiva Corp. * 3,898,688
140,150 StrataCom, Inc. * 7,287,800
91,325 Sun Microsystems, Inc. * 4,954,381
25,250 Verity, Inc. * 867,968
29,240,962
Software (12.2%)
33,725 Broderbund Software, Inc. * 1,483,900
15,350 Dialogic Corp. * 713,775
108,650 HBO & Company 12,902,188
20,300 HNC Software, Inc. * 756,175
20,150 HPR, Inc. * 866,450
122,550 Informix Corp. * 3,232,256
57,450 Intuit, Inc. * 2,987,400
93,000 Microsoft Corp. * 10,543,875
76,575 Netscape Communications Corp. * 4,671,075
98,325 PeopleSoft, Inc. * 6,194,475
30,475 Red Brick Systems, Inc. * 1,805,644
46,157,213
Total Common Stock (cost $190,063,127) 298,130,657
NON-CONVERTIBLE PREFERRED STOCK (2.8%)
Technology
Software
78,052 Sap AG Vorzug + (cost $4,583,163) 10,379,052
<CAPTION>
Principal Description Value
NON-CONVERTIBLE CORPORATE BONDS (1.1%)
Consumer, Cyclical
Entertainment
<S> <C> <C>
$4,000,000 Trump Atlantic City
11.250% 5-1-06 (cost $4,000,000 ) 4,080,000
LONG-TERM U.S. GOVERNMENT SECURITIES (8.2%)
2,000,000 United States Treasury Notes
5.500%, 9-30-97 1,989,680
165,024,000 United States Principal Only Treasury Strip
0.000%, 8-31-20 29,055,776
Total Long-Term U.S. Government Securities 31,045,456
(cost $31,120,619)
SHORT-TERM U.S. GOVERNMENT AGENCIES (5.3%)
10,000,000 Federal Home Loan Mortgage Acceptance
Corp., 5.180%, 5-22-96 9,969,783
10,000,000 Federal National Mortgage Association
5.150%, 5-28-96 9,961,375
Total Short-Term U.S. Government Securities (cost $19,931,158) 19,931,158
COMMERCIAL PAPER (4.0%)
$15,100,000 Prudential Funding Corp.
5.300%, 5-1-96 (cost $15,100,000) $15,100,000
Total Investments (100.4%) (cost $264,798,067) 378,666,323
<CAPTION>
Notional
Amount Description Value
UNREALIZED GAIN ON FORWARD FOREIGN
CURRENCY CONTRACTS (0.1%)
<S> <C> <C> <C> <C>
6,500,000 German Deutschemark 7-11-96 Sell 147,215
1,000,000 German Deutschemark 7-25-96 Sell 5,732
7,117,000 German Deutschemark 8-22-96 Sell 253,434
Total Unrealized Gain on Forward Foreign Currency Contracts 406,381
Liabilities in Excess of Other Assets (-0.5%) (1,869,982)
Net Assets (100.0%) $377,202,722
Notes to Schedule of Investments
+ Foreign securities.
# American Depository Receipts or Global Depository Receipts.
* Presently non-income producing.
See Note 1 to financial statements for security valuation and other
significant accounting policies.
See Note 5 to financial statements for cost and unrealized appreciation
and depreciation of investments for Federal income tax purposes.
</TABLE>
April 30, 1996 IDEX Fund
<TABLE>
<CAPTION>
STATEMENT OF ASSETS AND LIABILITIES (unaudited)
All numbers (except per share amounts) in thousands
<S> <C>
Assets:
Investment securities, at market value (identified cost $264,798) $378,666
Receivables:
Shares of beneficial interest sold 56
Dividends 147
Interest 27
Forward foreign currency contracts (Notes 1,4) 406
Other 10
Total assets 379,312
Liabilities:
Accounts payable:
Investment securities purchased 1,758
Accrued liabilities (Note 2):
Management and advisory fees 48
Transfer agent fees and expenses 265
Other 38
Total liabilities 2,109
Net Assets $377,203
Net asset value per share (net assets divided by shares outstanding) $23.63
Add maximum selling commission (8.50% of offering price)(1) 2.20
Offering price per share $25.83
</TABLE>
<TABLE>
<CAPTION>
For the six months ended April 30, 1996
STATEMENT OF OPERATIONS (unaudited)
All numbers in thousands
<S> <C>
Investment Income:
Interest $1,887
Dividends 1,053
2,940
Expenses (Note 2):
Management and advisory fees 1,729
Transfer agent fees and expenses 441
Custody fees and expenses 57
Registration fees 26
Audit fees and expenses 11
Trustees fees and expenses 17
Other 20
2,301
Custodian earnings credits (44)
Net expenses 2,257
Net investment income 683
Realized and unrealized gain on investments and foreign currency
(Note 1):
Net realized gain on investments 17,711
Net realized gain from foreign currency transactions 326
Net realized gain 18,037
Net unrealized appreciation during the period on:
Investments 30,217
Translation of assets and liabilities denominated in
foreign currency 591
Net unrealized appreciation during the period 30,808
Net gain on investments and foreign currency 48,845
Net increase in net assets resulting from operations $49,528
(1) On sales equal to or greater than $10,000 the selling commission
is reduced as set forth in the prospectus.
</TABLE>
The notes to financial statements are an integral part of these statements.
<TABLE>
<CAPTION>
STATEMENT OF CHANGES IN NET ASSETS
All numbers in thousands.
Six months ended
April 30, 1996 Year ended
(unaudited) 10/31/95
<S> <C> <C>
Increase (decrease) in net assets from:
Operations:
Net investment income $683 $551
Net realized gain on investments and foreign
currency transactions 18,037 48,258
Net unrealized appreciation during period 30,808 34,993
Net increase in net assets resulting from
operations 49,528 83,802
Distributions to shareholders:
From net investment income: - (1,832)
From net realized gains on investments and
foreign currency transactions (47,955) (3,295)
(47,955) (5,127)
Shares of beneficial interest transactions:
Proceeds from sale of shares 48,807 58,313
Shares issued on reinvestment of distributions 47,308 5,027
Cost of shares repurchased (47,670) (101,908)
Net increase from share transactions 48,445 (38,568)
Net increase in net assets 50,018 40,107
Net Assets:
Beginning of period 327,185 287,078
End of period $377,203 $327,185
Net Assets consist of (Note 1):
Shares of beneficial interest, unlimited shares
authorized 244,130 195,685
Undistributed net investment income 683 -
Undistributed net realized gain from investments and
foreign currency transactions 18,116 48,034
Net unrealized appreciation of investments and
on translation of assets and liabilities in
foreign currencies 114,274 83,466
Total net assets $377,203 $327,185
Shares of beneficial interest:
Shares sold 2,120 2,804
Shares issued on reinvestment of distributions 2,227 293
Shares redeemed (2,054) (5,152)
Net increase in shares outstanding 2,293 (2,055)
Shares outstanding at beginning of period 13,671 15,726
Shares outstanding at end of period 15,964 13,671
</TABLE>
The notes to financial statements are an integral part of these statements.
<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS
For a share of beneficial interest outstanding
throughout each period 6 months
ended
April 30, Oct 31, Oct 31,
1996(5) 1995 1994
<S> <C> <C> <C>
Net asset value at beginning of period $23.93 $18.25 $19.77
Net investment income 0.10 0.05 0.08
Net realized and unrealized gain (loss) on
investments and foreign currency 3.10 5.98 (0.55)
Total income (loss) from investment
operations 3.20 6.03 (0.47)
Dividends from net investment income - (0.13) (0.04)
Distributions from net realized capital gains
and foreign currency (3.50) (0.22) (1.01)
Total distributions (3.50) (0.35) (1.05)
Net asset value at end of period $23.63 $23.93 $18.25
Total return (1) 15.01% 33.72% (2.42)%
Net assets at end of period (000's) $377,203 $327,185 $287,078
Ratio of expenses to average net assets (2) 1.33% 1.39% 1.29%
Ratio of net investment income to average
net assets 0.20% 0.19% 0.38%
Portfolio turnover rate (3) 29.39% 125.64% 77.23%
Average commission rate (4) 0.0420 - -
<CAPTION>
Oct 31, Oct 31, Oct 31,
1993 1992 1991
<S> <C> <C> <C>
Net asset value at beginning of period $18.54 $18.73 $13.81
Net investment income 0.11 0.15 0.17
Net realized and unrealized gain (loss) on
investments and foreign currency 2.44 0.42 6.84
Total income (loss) from investment
operations 2.55 0.57 7.01
Dividends from net investment income (0.14) (0.11) (0.17)
Distributions from net realized capital gains
and foreign currency (1.18) (0.65) (1.92)
Total distributions (1.32) (0.76) (2.09)
Net asset value at end of period $19.77 $18.54 $18.73
Total return (1) 14.21% 3.17% 57.49%
Net assets at end of period (000's) $354,601 $294,798 $215,856
Ratio of expenses to average net assets (2) 1.28% 1.28% 1.32%
Ratio of net investment income to average
net assets 0.61% 0.82% 0.88%
Portfolio turnover rate (3) 104.16% 62.73% 83.92%
Average commission rate (4) - - -
(1) Total return has been calculated without deduction of any sales load on
an initial purchase. Short periods (where applicable) are not
annualized.
(2) Expense ratio reduced by custody earnings credits would have been 1.30%
for six months ended April 30, 1996, and 1.36% for the year ended
October 31, 1995.
(3) This rate is calculated by dividing the average value of the Fund's
long-term investments during the period into the lesser of its
respective long-term purchases or sales during the period. Short
periods (where applicable) are not annualized.
(4) This rate is calculated by dividing total commissions paid on purchases
and sales of securities during the period by total shares purchased or
sold in those same transactions and is reported for periods ended April
30, 1996 and forward to the extent that commissionable trades constitute
more than 10% of the average net assets for the period.
(5) Unaudited.
</TABLE>
IDEX Fund
NOTES TO FINANCIAL STATEMENTS (unaudited)
April 30, 1996
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.
IDEX Fund
NOTES TO FINANCIAL STATEMENTS (unaudited) (continued)
April 30, 1996
NOTE 1. Organization and Significant Accounting Policies (continued):
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 market 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.
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 on other assets and liabilities denominated in
foreign currencies 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 basis differences relating to Fund earnings and shareholder distributions
are reclassified as necessary among components of net assets at each fiscal
year-end.
IDEX Fund
NOTES TO FINANCIAL STATEMENTS (unaudited) (continued)
April 30, 1996
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; and Janus Capital Corporation
("JCC") is the Fund's sub-adviser. 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.
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 fee of $1.185 per open account plus $2.48 for each new account opened.
Under an agreement with the Fund's custodian, Custody fees and expenses are
reduced by credits granted by the custodian from any temporarily uninvested
cash. Custody fees and expenses have been presented on a gross basis with the
benefit of custodian earnings credits apprearing as a reduction of total
expenses in the accompanying Statement of Operations. The Fund was advised that
ISI received $400,504 and retained $79,228 in underwriter commissions for the
six months ended April 30, 1996.
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, 1996 were as follows:
<TABLE>
<S> <C>
Non-U.S. Government Purchases $ 75,724,634
Non-U.S. Government Sale 83,459,822
U.S. Government Purchases 181,253,243
U.S. Government Sales 142,716,540
</TABLE>
NOTE 4. Forward Currency Contracts:
Forward foreign currency contracts are contracts for delayed delivery of foreign
currency in which the seller agrees to make delivery at a future date a
specified amount of foreign currency, at a specified price or exchange rate.
Risks arise from changes in the market value of the underlying currency and from
the possible inability of counterparties to meet the terms of their contracts.
Forward foreign currency contracts are valued at the forward rate, and are
marked to market daily. The change in market value is recorded by the Fund as
an unrealized gain or loss. When the contract is closed, the Fund records a
realized gain or loss equal to the difference between the value of the contract
at the time it was opened and the value at the time it was closed.
IDEX Fund
NOTES TO FINANCIAL STATEMENTS (unaudited) (continued)
April 30, 1996
NOTE 5. Information for Federal Income Tax Purposes:
At April 30, 1996, the cost of investment securities was $264,798,067 and net
unrealized appreciation of investments aggregated $113,868,256, of which
$114,946,152 related to appreciated securities and $1,077,896 related to
depreciated securities.
IDEX Fund
TRUSTEES
Peter R. Brown
Largo, Florida
Chairman of the Board,
Peter Brown Construction Company
Daniel Calabria
S. Pasadena, Florida
Retired; Former President/CEO
Templeton Funds Management, Inc.
James L. Churchill
Hilton Head, South Carolina
Retired; former President of the Avionics
Group of Rockwell International Corporation
Charles C. Harris
Belleair, Florida
Retired; former Senior Vice President, Western
Reserve Life Assurance Co. of Ohio
G. John Hurley
Largo, Florida
President and Chief Executive Officer
of the Fund;
President and Chief Executive Officer
of InterSecurities, Inc.
John R. Kenney
Largo, Florida
Chairman of the Board of the Fund;
Chairman of the Board of InterSecurities, Inc.
Julian A. Lerner
Dallas, Texas
Adviser to Board of Associated
Financial Group
William W. Short, Jr.
Largo, Florida
Chairman, Southern Apparel Corporation
and S.A.C. Distributors
Jack E. Zimmerman
Dayton, Ohio
Retired; former Director, Regional Marketing,
Martin Marietta Corporation
TRANSFER AGENT
Idex Investor Services, Inc.
P.O. Box 9015
Clearwater, Florida 34618-9015
OFFICERS
John R. Kenney
Chairman of the Board
G. John Hurley
President and Chief
Executive Officer
Thomas R. Moriarty
Senior Vice President
William H. Geiger
Vice President and
Assistant Secretary
Leslie E. Martin, III
Vice President - Marketing
Becky A. Ferrell
Vice President, Counsel
and Secretary
Christopher G. Roetzer
Assistant Vice President and
Principal Accounting Officer
Richard B. Franz II
Treasurer
Our corporate offices
are located at:
201 Highland Avenue
Largo, Florida 34640
CUSTOMER SERVICE
(800) 851-9777
Hours: 8 a.m. to 7 p.m. Eastern time
IDEX ASSIST LINE
(800) 421-IDEX (4339)
24-hour automated account information
INVESTMENT
ADVISER
Idex Management, Inc.
201 Highland Avenue
Largo, Florida 34640
SUB-ADVISER
Janus Capital Corporation
100 Fillmore Street, Suite 300
Denver, Colorado 80206
PRINCIPAL
UNDERWRITER
InterSecurities, Inc.
201 Highland Avenue
Largo, Florida 34640
CUSTODIAN
Investors Fiduciary Trust
Company
Kansas City, Missouri 64105
Please send all correspondence
to the Transfer Agent
INDEPENDENT
ACCOUNTANTS
Price Waterhouse LLP
1055 Broadway
Kansas City, Missouri 64105
If you receive duplicate mailings because you have more than one account
in the same Fund or in the IDEX II Series Fund, 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.
