|
|
|
|
|
|
|
|
|
|
|
|
|
[RIGHTIME LOGO]
Rightime
Family of Funds
The Rightime Fund
The Rightime Blue Chip Fund
The Rightime OTC Fund
The Rightime MidCap Fund
Annual Report
October 31, 2000
[RIGHTIME LOGO]
Rightime
Family of Funds
Table of Contents
Letter to Shareholders 3
Portfolios
The Rightime Fund 5
The Rightime Blue Chip Fund 7
The Rightime OTC Fund 16
The Rightime MidCap Fund 17
Financial Statements
Statement of Assets & Liabilities 24
Statement of Operations 25
Statement of Changes in Net Assets 26
Financial Highlights 28
Notes to Financial Statements
Notes & Schedules 30
Report of Independent Certified Public Accountants 37
Performance Comparisons
The Rightime Fund 38
The Rightime Blue Chip Fund 40
The Rightime OTC Fund 42
The Rightime MidCap Fund 44
Officers and Directors 46
[RIGHTIME LOGO] 2000
Rightime Annual Report
Family of Funds THE RIGHTIME FUND, INC.
Dear Shareholder:
Newness breeds optimism. Familiarity doesn't. The end of the 90s brought a
new century, a new millennium, and new technologies. This coincided with
the popular belief that America had entered a "New Paradigm" for
investing. The fiscal year for the Rightime Family of Funds began on
November 1, 1999, shortly before the century turned over. The first part
of our fiscal year saw continued optimism for technology stocks and
disregard for traditional measurements of both risk and valuation. The
latter half saw the incredible enthusiasm wane. Evidence that risk
remained became obvious, despite the "this time it's different" talk. The
investing environment proved fickle and a number of the year's trends were
short-lived. For many, this was a frustrating year.
As stated, the beginning of this fiscal year saw many stock prices
escalate but, in particular, prices of technology stocks. With a value
under 3000 at the beginning of the year, the technology-laden NASDAQ
Composite Index grew to over 5000 by early March. It hasn't gotten close
to that since. What had happened to cause this 66% increase in value? In
hindsight, the Federal Reserve's increase of the money supply in
anticipation of possible Y2K problems appears to have been a contributing
factor. The loose money supply caused inflation in equity prices. At the
same time, the Internet investing craze entered its last phase and the
bubble expanded to its most extreme. Technology stocks, as a whole, were
thought to be the safest investments and people piled into them. The
environment was saturated by traders, not investors.
In April, the NASDAQ came undone. It slid about 30%. The flash point
occurred when one of last year's darlings, Nokia, warned about earnings.
In reality, most wireless communications companies were priced
excessively. More significant in explaining the waning zest for the NASDAQ
stocks was the action of the Federal Reserve. Once the Y2K problem passed,
the Federal Reserve acted to extract some of the excess from the money
supply and to slow the economy through increases in interest rates.
Despite the beliefs of many, earnings and interest rates do matter when it
comes to valuing stocks. By acting to slow the U.S. economy before it
overheated, the Federal Reserve slowed earnings' growth. A quick look at
the price-earnings ratios of many tech stocks should have been an obvious
indication that they were in danger of declining when investor enthusiasm
soured. The NASDAQ hasn't recovered from April's decline. There have been
some trading opportunities, but they have proved short-lived.
So how did the Rightime Family of Funds perform in this volatile
environment? We were able to navigate the first part of our fiscal year
more successfully than the latter part. The real strength of the market at
this time was in the NASDAQ. The Rightime Fund and the Rightime MidCap
Fund were better positioned to take advantage of this market. However, in
the second part of the year, action was more volatile. The sectors which
had served the Rightime Fund and the MidCap Fund turned against the
portfolios. In both cases, unfortunately, the Funds gave back their
earlier gains. The Blue Chip Fund did not participate in the upswing at
the beginning of the fiscal year to the same degree as the MidCap and the
Rightime Fund. This was largely due to the more tranquil movement of the
S&P 500 in contrast to the tech-laden NASDAQ. As a result of its lower
appreciation in the first part of the fiscal year, when funds began to
show some weakness in the latter half of the year, the Blue Chip Fund
wound up giving back more than its earlier gains. The fiscal year closed
October 31, 2000 amidst a prolonged downward trend. After a huge upswing
in August, the markets headed south in September. This continued into
October, when we reduced our exposure to equities, as many bellwether tech
stocks faltered. This trend has persisted into our new fiscal year.
November has been a difficult environment for investors.
You may have noticed what had been the Rightime Social Awareness Fund has
undergone some changes. The most obvious change is that the Fund is now
called the Rightime OTC Fund. This name change is indicative of a new
investment focus. The Fund will utilize the same risk-averse strategy that
was used in the Social Awareness Fund. However, the universe of potential
investments for the Fund will be expanded to include stocks that are
available on the "over-the-counter" market. By making the universe of
investable securities larger (thus increasing the opportunity for
diversity), Rightime aims to add additional value while at the same time
reducing risk in what has traditionally been more a volatile segment of
the market. Although this particular Fund has changed its parameters, the
RTE investment philosophy remains the same.
We remain committed to investing with a wary eye towards risk. To
accomplish our challenging task of reducing risk, we rely on the Rightime
Econometric Models (RTMM(r)). These Models have served us well since 1979.
With the RTMM(r) we strive to interpret the risk-reward equation. In recent
years, this equation has been difficult to decipher, as speculation has
been rife. Currently, it seems as if our new "Goldilocks Economy" may
really be the same economy as always. That is not a bad thing, but it
would imply the continued existence of the business cycle. Many stocks are
priced to near perfection. The "Goldilocks Economy" turned out to be just
another fairy tale.
Having an objective method of measuring risk is very important. We feel
that the RTMM(r) give us that and provide a valuable tool to use on our
clients' behalf. We readily admit that our returns this year have not been
what we would like them to be. Despite this frustration, we continue to
strive to improve. With the unique market of the last year unwinding,
there is a good possibility that speculation in the Internet, and to a
lesser degree in the whole technology sector, will be curtailed. In an
environment where risk can be high and play itself out in dramatic market
movements, it is important to have a manager who is cognizant of risk and
who strives to manage with it in mind. Here at Rightime Econometrics, Inc.
we have been managing clients' assets since 1979. Managing with risk in
mind. Despite some recent bumps, we are proud of our long-term track
record. We thank you for your continued trust and wish you the very best
in 2001.
David J. Rights
President, Rightime Econometrics, Inc.
Investors are reminded that they cannot invest directly in the Dow Jones
Industrial Average or S&P 500 Indexes.
<TABLE>
<CAPTION>
[RIGHTIME LOGO] October 31, 2000
Rightime
Family of Funds
The Rightime Fund
Portfolio of Investments
-----------------------------------------------------------------------------------
Value
Shares (Note 1)
------- --------------
<S> <C> <C> <C>
EQUITY FUNDS: (22.53%)
99,900 American Century
New Opportunity Fund $ 1,533,460
50,852 American Century Vista Fund 1,239,256
10,738 Fidelity Low Priced Stock Fund 244,085
44,484 Fidelity Small Cap Fund 900,356
23,088 Fidelity Aggressive Growth Fund 1,201,938
33,977 Invesco Dynamics Fund 991,780
46,998 Invesco Equity Income Fund 757,600
24,901 Janus Fund 1,095,630
27,326 Janus Growth and Income Fund 1,116,808
36,960 MAS Midcap Growth Fund 1,237,064
59,994 MAS Value Fund 838,112
67,772 MFS New Discovery "A" Fund 1,578,408
31,641 NY "Davis" Venture Value Fund 992,592
44,129 Putnam Fund for
Growth and Income Fund 874,203
38,399 Putnam Investors "A" Fund 675,823
12,979 Putnam New Opportunity Fund 1,124,337
54,921 Valueline Special Situations Fund 1,571,853
42,345 Vanguard Equity Income Fund 1,060,750
18,678 Vanguard US Growth Fund 820,156
-------------
Total Equity Funds
(cost $19,017,479) $ 19,854,211
-------------
MONEY MARKET FUNDS: (60.28%)
4,445,808 Aim Cash Reserves Fund $ 4,445,808
1,149,758 Alliance Cash Reserves Fund 1,149,758
1,231,628 American Century Prime
Money Market Fund 1,231,628
9,389,831 Fidelity US Government Fund 9,389,831
3,129,092 IDS Cash Management Fund 3,129,092
2,500,000 Invesco Cash Reserves Fund 2,500,000
1,673,971 Kemper Government
Money Market Fund 1,673,971
3,489,048 Lord Abbett Money Market Fund 3,489,048
5,466,237 MAS Cash Reserve Fund 5,466,237
4,610,528 MFS Money Market Fund 4,610,528
2,783,108 Pioneer Cash Reserve Fund 2,783,108
4,607,072 Putnam Money Market Fund 4,607,072
2,291,478 T. Rowe Price Cash Reserves Fund 2,291,478
3,529,841 Value Line Cash Fund 3,529,841
2,823,596 Vanguard Prime
Money Market Fund 2,823,596
-------------
Total Money Market Funds
(cost $53,120,996) $ 53,120,996
-------------
Principal
Amount
----------
SHORT-TERM INVESTMENTS (17.93%)
Repurchase Agreement (13.41%)(b)
$11,815,000 Fuji Securities
6.60%; 11/1/2000 (cost $11,815,000 ;
maturity value $11,817,166) $ 11,815,000
-------------
United States Treasury Bills (4.52%)(c)
4,000,000 6.11%; 11/30/2000 (cost $3,980,264) 3,980,264
-------------
Total Short-term Investments
(cost $15,795,264) 15,795,264
-------------
Total Investments
(cost $87,933,739)(100.74%)(a) 88,770,471
Liabilities Less Other Assets (-0.74%) (655,236)
-------------
Net Assets (100.00%) $ 88,115,235
=============
(a) Aggregate cost for federal income tax purposes is $87,933,739. At
October 31, 2000 unrealized appreciation (depreciation) of securities for
federal income tax purposes is as follows:
Gross unrealized appreciation $ 1,337,869
Gross unrealized depreciation (501,137)
------------
Net unrealized appreciation $ 836,732
============
(b) The Repurchase Agreement is collateralized by obligations of the
United States government and its agencies with a market value of
$12,060,841 which exceeds the value of the repurchase agreement. It is the
Fund's policy to always receive, as collateral, securities whose value,
including accrued interest, will be at least equal to 102% of the dollar
amount to be paid to the Fund under each agreement at its maturity. The
value of the securities are monitored daily. If the value falls below 101%
of the amount to be paid at maturity, additional collateral is obtained.
The Fund makes payment for such securities only upon physical delivery or
evidence of book entry transferred to the account of its custodian.
(c) At October 31, 2000, the market value of $3,980,264 of the U.S.
Treasury Bills were pledged to cover margin requirements for futures
contracts.
Futures contracts at October 31, 2000:
(Contracts/delivery month/commitment)
Unrealized
Depreciation
--------------
S&P 500 Stock Index
($250 times premium)
12/Dec/Sell $ (143,875)
S&P 400 MidCap Stock Index
($500 times premium)
7/Dec/Sell (63,750)
NASDAQ 100 Stock Index
($100 times premium)
10/Dec/Sell (128,000)
Dow Jones Stock Index
($10 times premium)
20/Dec/Sell (92,200)
Russell 2000 Stock Index
($500 times premium)
35/Dec/Sell (359,875)
-------------
$ (787,700)
=============
See accompanying notes to financial statements
</TABLE>
<TABLE>
<CAPTION>
[RIGHTIME LOGO] October 31, 2000
Rightime
Family of Funds
The Rightime Blue Chip Fund
Portfolio of Investments
-----------------------------------------------------------------------------------
Value
Shares (Note 1)
------- --------------
<S> <C> <C> <C>
The Rightime Blue Chip Fund
Portfolio of Investments
COMMON STOCK (85.40%)
INDUSTRIALS (66.77%)
Aerospace/Defense (1.00%)
11,984 Boeing Co. $ 812,665
2,726 General Dynamics Corp. 195,079
5,739 Lockheed Martin Corp. 205,743
965 Northrop Grumman Corp. 81,060
4,527 Raytheon Co. Class B 154,767
2,509 Rockwell International Corp. 98,635
6,210 United Technologies Corp. 433,536
-------------
1,981,485
-------------
Aluminum (0.22%)
2,858 Alcan Aluminium Ltd. 90,206
11,676 Alcoa Inc. 334,955
-------------
425,161
-------------
Auto Parts After Market (0.17%)
979 Cooper Tire & Rubber Co. 10,708
7,502 Delphi Automotive Systems 117,688
2,344 Genuine Parts Co. 49,956
2,042 Goodyear Tire & Rubber Co. 37,777
2,542 ITT Industries, Inc. 82,774
1,726 Visteon Corp.* 30,529
-------------
329,432
-------------
Automobiles (0.56%)
25,369 Ford Motor Co. 662,765
7,120 General Motors Corp. 442,330
-------------
1,105,095
-------------
Beverages (Alcoholic) (0.33%)
500 Adolph Coors Co. Class B 31,844
12,124 Anheuser-Busch Co., Inc. 554,673
914 Brown-Forman Corp. Class B 55,640
-------------
642,157
-------------
Beverages (Soft Drinks) (1.49%)
33,260 Coca-Cola Co. 2,008,072
19,356 PepsiCo, Inc. 937,556
-------------
2,945,628
-------------
Biotechnology (0.64%)
13,814 Amgen, Inc.* 800,349
2,005 Biogen, Inc.* 120,676
2,786 Pe Corp.- Biosystems Group 325,962
1,579 Quintiles Transnational Corp.* 22,007
-------------
1,268,994
-------------
Broadcast Media (1.07%)
7,819 Clear Channel Communications* 469,629
12,106 Comcast Corp. Class A Special* 493,320
20,351 Viacom International Class B* 1,157,463
-------------
2,120,412
-------------
Building Materials (0.08%)
6,130 Masco Corp. 114,554
2,144 Sherwin-Williams Co. 46,498
-------------
161,052
-------------
Chemicals (0.71%)
3,027 Air Products & Chemicals, Inc. 112,945
9,124 Dow Chemical Co. 279,422
13,946 E.I. du Pont de Nemours & Co. 632,803
1,048 Eastman Chemical 44,933
1,349 Goodrich (B.F.) Co. 55,225
1,446 Hercules, Inc. 26,480
2,069 Praxair, Inc. 77,070
2,920 Rohm & Haas Co. 87,782
1,793 Union Carbide Corp. 77,099
-------------
1,393,759
-------------
Chemicals (Diversified) (0.12%)
1,513 Avery Dennison Corp. 76,406
1,676 Engelhard Corp. 34,986
394 FMC Corp.* 29,944
2,327 PPG Industries, Inc. 103,842
-------------
245,178
-------------
Chemicals (Specialty) (0.01%)
890 Grace (W.R.) & Co. 3,393
649 Great Lakes Chemical Corp. 21,660
-------------
25,053
-------------
Commercial Services (0.20%)
2,102 Convergys Corp.* 91,568
1,681 Ecolab, Inc. 65,874
463 National Service Industries, Inc. 9,463
2,387 Omnicom Group Inc. 220,201
-------------
387,106
-------------
Communication (Equipment/Manufacturers) (6.55%)
10,275 ADC Telecommunications, Inc.* 219,628
1,119 Andrew Corp.* 29,444
3,723 Avaya Inc.* 50,028
95,147 Cisco Systems, Inc.* 5,126,045
11,837 Corning, Inc. 905,530
12,613 JDS Uniphase Corp.* 1,026,383
44,881 Lucent Technologies, Inc. 1,046,288
2,689 Molex, Inc. 145,206
10,275 Nextel Communications* 394,945
40,052 Nortel Networks Corp. 1,822,366
10,010 Qualcomm, Inc.* 651,745
22,295 Qwest Communications, Intl.* 1,084,094
2,089 Scientific-Atlanta, Inc. 142,966
5,466 Tellabs, Inc.* 272,958
-------------
12,917,626
-------------
Computer Hardware (1.59%)
34,751 Dell Computer* 1,025,154
26,718 Hewlett-Packard Co. 1,240,717
1,672 Lexmark Intl.* 68,552
2,061 Sanmina Corp.* 235,598
3,022 Seagate Technology* 211,162
8,077 Solectron Corp.* 355,388
-------------
3,136,571
-------------
Computer Software (9.34%)
3,292 Adobe Systems, Inc. 250,398
4,228 ALLTEL Corp. 272,442
30,929 America Online, Inc.* 1,559,749
736 Autodesk, Inc. 16,238
8,395 Automatic Data Processing, Inc. 548,298
3,312 BMC Software, Inc.* 67,275
7,906 Computer Associates
International, Inc. 252,004
2,233 Computer Sciences Corp.* 140,679
4,931 Compuware Corp.* 38,832
6,182 Electronic Data Systems 290,168
29,240 EMC Corp.* 2,604,188
5,390 First Data Corp. 270,174
3,931 IMS Health, Inc. 92,870
1,098 Mercury Interactive Corp* 121,878
70,536 Microsoft Corp.* 4,858,167
1,261 NCR Corporation* 54,381
4,178 Network Appliance* 497,182
4,379 Novell, Inc.* 39,411
75,508 Oracle Corp.* 2,491,764
3,726 Parametric Technology Corp.* 45,876
3,746 Peoplesoft, Inc. 163,478
1,629 Sapient Corporation 57,931
5,572 Siebel Systems* 584,712
21,286 Sun Microsystems, Inc.* 2,360,085
5,334 Veritas Software Corp.* 752,177
-------------
18,430,357
-------------
Computer Systems (2.27%)
1,312 Adaptec, Inc.* 20,746
4,382 Apple Computer, Inc.* 85,723
2,494 Cabletron Systems, Inc.* 67,650
1,960 Ceridian Corp.* 49,000
2,519 Citrix Systems* 55,733
22,732 COMPAQ Computer Corp. 691,280
2,036 Comverse Technology, Inc.* 227,523
4,338 Gateway 2000* 223,884
23,619 International Business
Machines Corp. 2,326,472
7,579 Micron Technology Inc.* 263,370
7,583 Palm Inc.* 406,164
4,188 Unisys Corp.* 53,397
-------------
4,470,942
-------------
Conglomerates (5.17%)
1,122 Allegheny Technologies Inc. 22,720
132,894 General Electric Co. 7,284,252
10,720 Honeywell International Inc. 576,870
5,325 Minnesota Mining &
Manufacturing Co. 514,528
2,253 Pactiv Corporation* 23,656
5,894 Seagram Co. Ltd. 336,695
1,931 Textron, Inc. 97,395
17,711 Time Warner, Inc. 1,344,442
-------------
10,200,558
-------------
Containers (Metal & Glass) (0.01%)
373 Ball Corp. 13,102
1,647 Crown Cork & Seal Co., Inc. 15,029
-------------
28,131
-------------
Containers (Paper) (0.02%)
664 Bemis Co., Inc. 17,181
629 Temple-Inland Inc. 28,148
-------------
45,329
-------------
Cosmetics (0.35%)
707 Alberto-Culver Co. Class B 23,729
3,159 Avon Products, Inc. 153,212
14,112 Gillette Co. 492,156
1,324 International Flavors &
Fragrances, Inc. 22,177
-------------
691,274
-------------
Electrical Equipment (0.24%)
5,743 Emerson Electric Co. 421,752
742 Thomas & Betts Corp. 11,223
1,226 W.W. Grainger, Inc. 39,155
-------------
472,130
-------------
Electronics (Instrumentation) (0.20%)
6,163 Agilent Technologies* 285,424
602 Perkinelmer Inc. 71,939
582 Tektronix, Inc. 41,432
-------------
398,795
-------------
Electronics (Semiconductors) (4.62%)
4,164 Advanced Micro Devices, Inc.* 94,211
5,385 Altera Corp.* 220,448
4,774 Analog Devices, Inc.* 310,310
10,868 Applied Materials, Inc.* 577,362
2,909 Broadcom Corp - Class A* 646,889
2,995 Conexant Systems Inc.* 78,806
90,131 Intel Corp. 4,055,895
2,523 KLA Instruments Corp.* 85,309
4,157 Linear Technology Corp. 268,386
4,142 LSI Logic Corp.* 136,168
3,794 Maxim Integrated Products, Inc.* 251,590
29,244 Motorola, Inc. 729,272
2,387 National Semiconductor Corp.* 62,062
1,730 Novellus Systems, Inc.* 70,822
2,319 Teradyne, Inc.* 72,469
23,195 Texas Instruments, Inc. 1,138,005
4,441 Xilinx, Inc.* 321,695
-------------
9,119,699
-------------
Entertainment (0.63%)
7,880 Carnival Corp. 195,522
1,596 Harrah's Entertainment, Inc.* 45,686
27,984 Walt Disney Co. 1,002,177
-------------
1,243,385
-------------
Food Wholesalers (0.13%)
1,751 SuperValu Inc. 26,922
4,516 Sysco Corp. 235,679
-------------
262,601
-------------
Foods (0.95%)
8,477 Archer-Daniels-Midland Co. 93,247
5,645 Campbell Soup Co. 165,116
5,599 Coca-Cola Enterprises, Inc. 102,882
7,164 ConAgra, Inc. 153,130
3,839 General Mills, Inc. 160,278
4,647 H.J. Heinz Co. 194,884
1,822 Hershey Foods Corp. 98,957
6,093 Kellogg Co. 154,610
4,405 Nabisco Group Holding Corp. 127,194
1,755 Quaker Oats Co. 143,142
4,090 Ralston-Purina Group 99,182
11,634 Sara Lee Corp. 250,858
1,547 Wrigley, (Wm.) Jr. 122,503
-------------
1,865,983
-------------
Gold Mining (0.08%)
5,333 Barrick Gold Corp. 71,329
2,085 Freeport-McMoRan Copper &
Gold Inc. Class B* 16,550
3,576 Homestake Mining Co.* 14,751
2,232 Newmont Mining Corp. 30,272
4,423 Placer Dome Group, Inc. 35,937
-------------
168,839
-------------
Hardware & Tools (0.05%)
1,154 Black & Decker Corp. 43,419
755 Snap-On Inc. 19,300
1,202 Stanley Works 32,003
-------------
94,722
-------------
Health Care (Diversified) (2.92%)
20,793 Abbott Laboratories, Inc. 1,098,130
17,490 American Home Products Corp. 1,110,615
26,345 Bristol-Myers Squibb Co. 1,605,398
18,599 Johnson & Johnson 1,713,433
2,112 United Healthcare Corp. 231,000
-------------
5,758,576
-------------
Health Care (Drugs) (5.11%)
1,735 Allergan, Inc. 145,848
15,159 Eli Lilly & Co. 1,354,836
2,811 MedImmune Inc.* 183,769
30,893 Merck & Co., Inc. 2,778,439
84,625 Pfizer, Inc. 3,654,742
17,394 Pharmacia Corp. 956,670
19,611 Schering-Plough Corp. 1,013,644
-------------
10,087,948
-------------
Health Care (Miscellaneous) (0.43%)
1,578 ALZA Corp.* 127,719
3,717 Cardinal Health, Inc. 352,186
1,362 HCR Manor Care 22,728
5,168 HEALTHSOUTH Corp.* 62,016
2,245 King Pharmaceuticals Inc.* 100,604
1,351 Watson Pharmaceuticals, Inc.* 84,522
820 Wellpoint Health Networks* 95,889
-------------
845,664
-------------
Heavy Duty Trucks & Parts (0.10%)
475 Cummins Engine Co., Inc. 16,150
2,026 Dana Corp. 44,952
985 Eaton Corp. 67,042
763 Navistar International Corp.* 25,227
1,044 Paccar, Inc. 43,913
-------------
197,284
-------------
Homebuilding (0.03%)
756 Centex Corp. 27,972
583 Kaufman & Broad Home Corp. 17,344
556 Pulte Corp. 18,522
-------------
63,838
-------------
Hospital Management Companies (0.25%)
7,471 Columbia/HCA Healthcare Corp. 298,373
2,198 Humana, Inc.* 26,651
4,218 Tenet Healthcare Corp.* 165,820
-------------
490,844
-------------
Hotel/Motel (0.09%)
4,990 Hilton Hotels Corp. 47,405
3,202 Marriott Intl. (com) 129,681
-------------
177,086
-------------
Household Furnishings & Appliances (0.04%)
558 Armstrong World Industries Inc. 1,604
1,060 Maytag Corp. 30,342
959 Whirlpool Corp. 41,716
-------------
73,662
-------------
Household Products (1.17%)
3,115 Clorox Co. 139,007
7,736 Colgate-Palmolive Co. 454,567
2,051 Fortune Brands 60,376
17,559 Procter & Gamble Co. 1,254,371
7,690 Unilever N.V. ADR 390,748
-------------
2,299,069
-------------
Housewares (0.04%)
3,633 Newell Rubbermaid 69,708
738 Tupperware Corp. 12,638
-------------
82,346
-------------
Machinery (Diversified) (0.21%)
351 Briggs & Stratton Corp. 12,526
4,619 Caterpillar, Inc. 161,954
1,215 Cooper Industries, Inc. 46,474
3,113 Deere & Co. 114,597
2,119 Ingersoll-Rand Co. 79,992
-------------
415,543
-------------
Manufacturing (Diversified Industries) (1.02%)
788 Crane Co. 20,636
1,904 Danaher Corp. 120,190
2,801 Dover Corp. 118,867
4,006 Illinois Tool Works, Inc. 222,583
1,196 Johnson Controls, Inc. 71,312
553 Millipore Corp. 29,032
1,705 Pall Corp. 36,764
1,520 Parker Hannifin Corp. 62,890
785 Timkin Co. 11,039
23,418 Tyco Intl Ltd. 1,327,508
-------------
2,020,821
-------------
Manufacturing (Specialized Industries) (0.08%)
2,662 American Power Conversion Corp.* 34,440
2,695 Leggett & Platt, Inc. 44,131
1,974 Owens-Illinois, Inc.* 11,721
2,319 Thermo Electron Corp.* 67,251
-------------
157,543
-------------
Medical Products & Supplies (0.94%)
667 Bausch & Lomb, Inc. 25,721
3,849 Baxter International, Inc. 316,340
3,416 Becton, Dickinson & Co. 114,436
2,388 Biomet, Inc. 86,416
5,406 Boston Scientific Corp.* 86,158
625 C.R. Bard, Inc. 26,172
4,088 Guidant Corp.* 216,408
16,073 Medtronic, Inc. 872,965
1,110 Sigma Aldrich Corp. 39,682
1,168 St. Jude Medical, Inc.* 64,240
-------------
1,848,538
-------------
Metals Miscellaneous (0.06%)
1,030 Fluor Corp. 36,050
2,453 Inco Ltd.* 37,868
1,080 Phelps Dodge Corp. 50,490
-------------
124,408
-------------
Miscellaneous (1.15%)
847 American Greetings Corp. Class A 15,405
1,219 Brunswick Corp. 23,694
9,704 Cendant Corporation* 116,448
976 Deluxe Corp. 22,021
4,105 Eastman Kodak Co. 184,212
1,293 H & R Block, Inc. 46,144
988 Harcourt General, Inc. 55,377
4,018 Harley-Davidson, Inc. 193,617
4,103 Interpublic Group of Cos., Inc. 176,173
1,232 Kerr-McGee Corp. 80,465
1,303 Loews Corp. 118,492
3,818 McKesson HBO Inc. 107,143
4,950 Paychex, Inc. 280,603
531 Polaroid Corp. 5,343
1,682 R.R. Donnelley & Sons Co. 36,163
1,161 Sealed Air Corp.* 55,873
307 Springs Industries Inc. Class A 7,234
1,617 TRW, Inc. 67,914
5,997 Williams Cos., Inc. 250,750
7,329 Yahoo! Inc.* 429,663
-------------
2,272,734
-------------
Office Equipment & Supplies (0.11%)
4,068 Office Depot, Inc.* 33,815
3,449 Pitney Bowes, Inc. 102,392
8,938 Xerox Corp. 75,414
-------------
211,621
-------------
Oil (Domestic Integrated) (0.35%)
1,264 Amerada Hess Corp. 78,368
937 Ashland Inc. 30,687
4,996 Occidental Petroleum Corp. 99,296
3,441 Phillips Petroleum Co. 212,482
1,216 Sunoco 36,404
3,248 Unocal Corp. 110,838
4,172 USX-Marathon Group 113,426
-------------
681,501
-------------
Oil (Exploration & Production) (0.28%)
3,251 Anadarko Petroleum Corp. 208,227
1,685 Apache Corp. 93,202
2,903 Burlington Resources, Inc. 104,508
1,685 Devon Energy Corporation 84,924
1,950 Tosco Corp. 55,819
-------------
546,680
-------------
Oil (International Integrated) (3.68%)
8,709 Chevron Corp. 715,227
8,323 Conoco, Inc. Class B 226,282
46,727 Exxon Mobil Corporation 4,167,464
28,754 Royal Dutch Petroleum Co. ADR 1,707,269
7,360 Texaco Inc. 434,700
-------------
7,250,942
-------------
Oil Well Equipment & Services (0.58%)
4,475 Baker Hughes, Inc. 153,828
6,042 Halliburton Co. 223,932
780 McDermott International, Inc. 7,556
1,233 Rowan Cos., Inc.* 31,056
7,665 Schlumberger Ltd. 583,498
2,823 Transocean Offshore 149,619
-------------
1,149,489
-------------
Paper & Forest Products (0.62%)
732 Boise Cascade Corp. 20,999
2,827 Fort James Corp. 93,114
2,272 Georgia-Pacific Corp. 61,060
6,458 International Paper Co. 236,524
7,147 Kimberly-Clark Corp. 471,702
1,394 Louisiana-Pacific Corp. 11,849
1,367 Mead Corp. 39,558
362 Potlatch Corp. 12,127
1,341 Vulcan Materials Co. 56,322
1,336 Westvaco Corp. 38,076
2,879 Weyerhaeuser Co. 135,133
1,475 Williamette Industries 53,561
-------------
1,230,025
-------------
Publishing (0.13%)
2,665 McGraw-Hill Cos. 171,060
623 Meredith Corp. 19,780
2,135 Moody's Corp. 56,177
-------------
247,017
-------------
Publishing (Newspapers) (0.29%)
1,220 Dow Jones & Co., Inc. 71,828
3,585 Gannett Co., Inc. 207,930
1,029 Knight-Ridder, Inc. 51,707
2,214 New York Times Co. Class A 81,364
4,109 Tribune Co. 152,290
-------------
565,119
-------------
Restaurants (0.34%)
1,686 Darden Restaurants, Inc.* 37,935
17,667 McDonald's Corp. 547,677
1,971 Tricon Global Restaurants* 59,130
1,545 Wendy's International, Inc. 33,604
-------------
678,346
-------------
Retail Stores (Department) (0.14%)
1,221 Dillard's, Inc. 12,820
2,780 Federated Department Stores* 90,524
3,551 J.C. Penney Co., Inc. 41,502
4,267 May Department Stores Co. 112,009
1,717 Nordstrom, Inc. 28,223
-------------
285,078
-------------
Retail Stores (Drugs) (0.32%)
514 Longs Drug Stores, Inc. 11,244
13,616 Walgreen Co. 621,230
-------------
632,474
-------------
Retail Stores (Food Chains) (0.40%)
5,679 Albertson's, Inc. 134,521
11,124 Kroger Co.* 250,985
6,680 Safeway, Inc.* 365,312
1,889 Winn Dixie Stores, Inc. 36,363
-------------
787,181
-------------
Retail Stores (General Merchandise) (1.65%)
1,510 Consolidated Stores, Inc.* 17,931
6,404 Kmart Corp.* 38,024
4,573 Sears, Roebuck & Co. 135,955
12,191 Target Corp. 336,776
59,897 Wal-Mart Stores, Inc. 2,717,826
-------------
3,246,512
-------------
Retail Stores (Specialty-Apparel) (0.28%)
11,417 Gap, Inc. 294,701
5,815 Limited, Inc. 146,829
3,854 TJX Cos., Inc. 105,023
-------------
546,553
-------------
Retail Stores (Specialty) (1.61%)
1,672 AutoZone, Inc.* 44,830
3,795 Bed Bath & Beyond, Inc.* 97,958
2,761 Best Buy, Inc.* 138,568
2,837 Circuit City Stores, Inc. 37,590
6,065 Costco Companies* 222,131
5,250 CVS Corporation 277,922
4,442 Dollar General Corp. 68,859
31,043 Home Depot, Inc. 1,334,849
4,459 Kohls Corp.* 241,622
5,120 Lowes Cos., Inc. 233,920
2,519 Radio Shack Corp. 150,195
6,081 Staples, Inc.* 86,654
2,541 Starbucks Corp.* 113,551
1,960 Tiffany & Co. 83,668
2,915 Toys R Us, Inc.* 50,102
-------------
3,182,419
-------------
Shoes (0.08%)
3,685 Nike, Inc. Class B 147,170
725 Reebok International Ltd.* 15,633
-------------
162,803
-------------
Steel (0.03%)
1,751 Bethlehem Steel Corp.* 5,034
1,119 Nucor Corp. 38,815
542 USX-U.S. Steel Group 8,638
1,194 Worthington Industries, Inc. 11,418
-------------
63,905
-------------
Telecommunications (Long Distance) (2.66%)
50,352 AT&T Corp. 1,167,537
11,812 Global Crossing Ltd.* 279,059
11,880 Sprint Corp. 302,940
12,488 Sprint Corp. (PCS Group)* 476,105
36,479 Verizon Communications 2,108,942
38,497 WorldCom Inc.* 914,304
-------------
5,248,887
-------------
Textile (Apparel Manufacturers) (0.04%)
666 Liz Claiborne, Inc. 28,305
429 Russell Corp. 6,864
1,562 VF Corp. 42,662
-------------
77,831
-------------
Tobacco (0.59%)
30,206 Philip Morris Cos., Inc. 1,106,295
2,139 UST Inc. 54,010
-------------
1,160,305
-------------
Toys (0.05%)
2,301 Hasbro, Inc. 24,736
5,730 Mattel, Inc. 74,132
-------------
98,868
-------------
Waste Management (0.10%)
2,699 Allied Waste Industries, Inc.* 24,966
8,304 Waste Management, Inc. 166,080
-------------
191,046
-------------
Total Industrial 131,737,960
-------------
TRANSPORTATION (0.54%)
Airlines (0.19%)
2,037 AMR Corp.* 66,712
1,691 Delta Air Lines, Inc. 79,900
6,704 Southwest Airlines Co. 191,064
890 USAir Group, Inc.* 33,599
-------------
371,275
-------------
Railroads (0.22%)
5,371 Burlington Northern Santa Fe Corp. 142,667
2,856 CSX Corp. 72,293
5,132 Norfolk Southern Corp. 72,490
3,329 Union Pacific Corp. 156,047
-------------
443,497
-------------
Transportation (Miscellaneous) (0.13%)
3,831 Fedex Corporation* 179,521
769 Ryder System, Inc. 15,188
1,698 Sabre Holdings Corp. 56,777
-------------
251,486
-------------
Total Transportation 1,066,258
-------------
UTILITIES (4.66%)
Electric Companies (1.95%)
6,124 AES Corp.* 346,006
1,830 Ameren Corp. 72,743
4,334 American Electric Power Co., Inc. 179,861
2,083 CINergy Corp. 63,792
1,488 CMS Energy Corp. 40,176
2,845 Consolidated Edison, Inc. 100,108
2,034 Constellation Energy Group 84,792
2,094 CP&L Energy Inc. 84,414
3,167 Dominion Resources 188,634
1,919 DTE Energy Co. 69,324
4,983 Duke Power Co. 430,718
4,140 Dynegy Inc. 191,734
4,396 Edison International 104,954
2,923 Entergy Corp. 111,987
4,384 Exelon Corp. 263,573
3,016 Firstenergy Corp. 78,039
1,503 Florida Progress Corp. 79,941
2,389 FPL Group, Inc. 157,674
1,671 GPU Inc. 55,247
1,782 Keyspan Corporation 62,704
2,107 Niagara Mohawk Power Corp. 33,712
5,170 PG & E Corporation 139,267
1,177 Pinnacle West Capital Corp. 51,126
1,951 PPL Corporation 80,357
2,885 Public Service Enterprise Group Inc. 119,728
3,878 Reliant Energy Inc. 160,210
8,643 Southern Co. 253,888
3,592 Texas Utilities Co. 133,128
4,514 Xcel Energy Inc. 115,389
-------------
3,853,226
-------------
Natural Gas (0.73%)
2,886 Coastal Corp. 217,713
1,193 Columbia Gas Systems, Inc. 85,821
441 Eastern Enterprises 28,389
3,075 El Paso Energy Corp. 192,764
9,911 Enron Corp. 813,321
546 NICOR, Inc. 19,281
375 Oneok, Inc. 14,859
474 Peoples Energy Corp. 16,294
2,818 Sempra Energy 58,297
-------------
1,446,739
-------------
Telephone (1.98%)
25,062 BellSouth Corp. 1,210,808
1,885 Century Tel, Inc. 72,573
45,495 SBC Communications Inc. 2,624,493
-------------
3,907,874
-------------
Total Utilities 9,207,839
-------------
FINANCIAL (13.43%)
Banks (1.08%)
9,899 Bank of New York, Inc. 569,811
2,813 Charter One Financial 64,523
2,044 Comerica, Inc. 123,279
6,158 Fifth Third Bancorp 316,367
12,775 Firstar Corporation 251,508
2,906 Northern Trust Corp. 248,100
2,857 Regions Financial Corp. 67,318
2,235 Southtrust Corp. 72,358
2,121 State Street Boston 264,574
2,327 Summit Bancorp 87,262
1,790 Union Planters Corp. 60,524
-------------
2,125,624
-------------
Brokerage (1.56%)
1,449 Bear Stearns Co., Inc. 87,846
18,541 Charles Schwab Corp. 651,253
3,346 Lehman Brothers Holdings, Inc. 215,817
10,757 Merrill Lynch & Co., Inc. 752,990
15,088 Morgan Stanley Dean Witter & Co. 1,211,755
2,202 PaineWebber Group, Inc. 156,892
-------------
3,076,553
-------------
Financial Miscellaneous (2.56%)
17,849 American Express Co. 1,070,940
3,405 American General Corp. 274,102
9,740 Associates First Capital 361,598
2,689 Capital One Financial Corp. 169,743
1,556 Countrywide Credit Industries, Inc. 58,253
9,398 Federal Home Loan Mortgage Corp. 563,880
13,574 Federal National Mortgage Assn. 1,045,198
6,278 Household International, Inc. 315,862
3,710 Marsh & McLennan Cos., Inc. 485,082
1,297 MBIA, Inc. 94,276
11,445 MBNA Corp. 429,903
3,818 Synovus Financial Corp. 82,326
2,023 USA Educational Inc. 113,035
-------------
5,064,198
-------------
Insurance (0.38%)
3,610 AFLAC, Inc. 263,756
3,445 Aon Corp. 142,752
2,116 Cincinnati Financial Corp. 77,763
1,896 Equifax, Inc. 65,412
1,375 Jefferson-Pilot Corp. 94,531
991 Progressive Corp. of Ohio 97,366
-------------
741,580
-------------
Investment Management (0.18%)
3,259 Franklin Resources Corp. 139,616
2,950 Stilwell Financial Inc. 132,197
1,672 T. Rowe Price 78,270
-------------
350,083
-------------
Life Insurance (0.21%)
4,387 Conseco Co., Inc. 30,435
2,601 Lincoln National Corp. 125,823
1,922 Providian Financial Corp. 199,888
1,673 Torchmark Corp. 55,732
-------------
411,878
-------------
Major Regional Banks (1.87%)
5,023 Amsouth Bancorp 70,008
5,300 BB&T Corp. 168,938
13,209 First Union Corp. 400,398
12,068 Fleet Boston Corp. 458,584
3,385 Huntington Bancshares Inc. 48,659
5,798 KeyCorp 143,138
6,535 Mellon Financial Corp. 315,314
8,173 National City Corp. 174,698
1,826 Old Kent Financial Corp. 50,557
3,797 PNC Bank Corp. 253,924
3,945 SunTrust Banks, Inc. 192,565
10,022 U.S Bancorp Del Com 242,407
2,804 Wachovia Corp. 151,416
22,060 Wells Fargo Company 1,021,654
-------------
3,692,260
-------------
Money Center Banks (1.40%)
15,484 Banc One Corp. 565,166
22,001 Bank Of America 1,057,423
17,586 Chase Manhattan Corp. 800,163
2,085 J.P. Morgan & Co., Inc. 345,068
-------------
2,767,820
-------------
Multi-Line Insurance (3.72%)
1,894 Aetna, Inc. 109,497
9,834 Allstate Corp. 395,819
31,010 American International Group, Inc. 3,038,980
3,566 C.I.T Group Inc.- Class A 62,182
2,062 CIGNA Corp. 251,461
60,323 Citigroup, Inc. 3,174,498
2,946 ITT Hartford Group, Inc. 219,293
3,212 UnumProvident Corp. 90,739
-------------
7,342,469
-------------
Property-Casualty Insurance (0.25%)
2,340 Chubb Corp. 197,584
1,428 MGIC Investment Corp. 97,282
1,675 SAFECO Corp. 40,514
2,930 St. Paul Cos., Inc. 150,162
-------------
485,542
-------------
Savings & Loans Companies (0.22%)
2,068 Golden West Financial Corp. 115,937
7,159 Washington Mutual Inc. 314,996
-------------
430,933
-------------
Total Financial 26,488,940
-------------
Total Common Stock (cost $97,204,988) 168,500,997
-------------
Principal
Amount
----------
SHORT-TERM INVESTMENTS, (5.32%)
Repurchase Agreement, (0.78%)(b)
$1,533,000 First Boston
6.60%; 11/1/2000 (cost $1,533,000;
maturity value $1,533,281) 1,533,000
United States Treasury Bill (4.54%)(c)
9,000,000 6.14%; 11/30/2000
(cost $8,956,480) 8,956,480
-------------
Total Short-term Investments
(cost $10,489,480) 10,489,480
-------------
Total Investments (cost $107,694,468)(a)
(90.72%)(a) 178,990,477
Assets Less Other Liabilities (9.28%) 18,310,906
-------------
Net Assets (100.00%) $197,301,383
=============
* Non-income producing security.
(a) Aggregate cost for federal income tax purposes is $107,694,468. At
October 31, 2000 unrealized appreciation (depreciation) of securities for
federal income tax purposes is as follows:
Gross unrealized appreciation $ 79,487,952
Gross unrealized depreciation (8,191,943)
------------
Net unrealized appreciation $ 71,296,009
============
(b) The Repurchase Agreement is collateralized by obligations of the United States
government and its agencies with a market value of $1,564,898 which exceeds the
value of the repurchase agreement. It is the Fund's policy to always receive, as
collateral, securities whose value, including accrued interest, will be at least
equal to 102% of the dollar amount to be paid to the Fund under each agreement at
its maturity. The value of the securities are monitored daily. If the value falls
below 101% of the amount to be paid at maturity, additional collateral is obtained.
The Fund makes payment for such securities only upon physical delivery or evidence
of book entry transferred to the account of its custodian.
(c) At October 31, 2000, the market value of $8,956,840 of the U.S.
Treasury Bills were pledged to cover margin requirements for futures
contracts.
Futures contracts at October 31, 2000:
(Contracts-$250 times premium/delivery
month/commitment)
Unrealized
Depreciation
-------------
S&P 500 Stock Index:
470/Dec/Sell $ (4,200,538)
=============
See accompanying notes to financial statements
</TABLE>
<TABLE>
<CAPTION>
[RIGHTIME LOGO] October 31, 2000
Rightime
Family of Funds
The Rightime OTC Fund
Portfolio of Investments
-------------------------------------------------------------------------------------
Value
Shares (Note 1)
-------------- --------------
<S> <C> <C> <C>
SHORT-TERM INVESTMENTS (99.65%)
Repurchase Agreement (9.71%)(b)
$648,000 Fuji Securities
6.60%; 11/01/2000 (cost $648,000;
maturity value $648,119) $ 648,000
United States Treasury Bills (89.94%)(c)
6,000,000 6.11%; 11/01/2000 (cost $5,999,033) 5,999,033
-------------
Total Investments (cost $6,647,033) (99.65%)(a) 6,647,033
Assets Less Other Liabilities (0.35%) 23,058
-------------
Net Assets (100.00%) $ 6,670,091
=============
(a) Aggregate cost for federal income tax purposes is $6,647,033.
(b) The Repurchase Agreement is collateralized by obligations of the
United States government and its agencies with a market value of $661,483
which exceeds the value of the repurchase agreement. It is the Fund's
policy to always receive, as collateral, securities whose value, including
accrued interest, will be at least equal to 102% of the dollar amount to
be paid to the Fund under each agreement at its maturity. The value of the
securities are monitored daily. If the value falls below 101% of the
amount to be paid at maturity, additional collateral is obtained. The Fund
makes payment for such securities only upon physical delivery or evidence
of book entry transferred to the account of its custodian.
See accompanying notes to financial statements
</TABLE>
<TABLE>
<CAPTION>
[RIGHTIME LOGO] October 31, 2000
Rightime
Family of Funds
The Rightime
Social MidCap Fund
Portfolio of Investments
-------------------------------------------------------------------------------------
Value
Shares (Note 1)
------------ --------------
<S> <C> <C> <C>
The Rightime MidCap Fund
Portfolio of Investments
COMMON STOCK (90.35%)
INDUSTRIALS (69.98%)
Aerospace/Defense (0.29%)
3,022 Precision Castparts Corp. $ 114,080
603 Sequa Corp. Class A* 22,236
1,700 Universal Corp. 47,600
-------------
183,916
-------------
Auto Parts After Market (0.45%)
1,285 Bandag, Inc. 45,858
1,914 SPX Corp.* 236,618
-------------
282,476
-------------
Auto Parts & Equipment(0.41%)
4,364 Arvinmeritor Inc.* 73,097
1,633 Borg-Warner Automotive, Inc. 61,646
4,305 Federal-Mogul Corp. 13,991
4,049 Lear Company* 110,335
-------------
259,069
-------------
Biotechnology (2.06%)
11,114 Chiron Corp.* 481,375
3,600 Edwards Lifesciences* 48,375
5,203 Genzyme Corp.* 369,413
2,878 Gilead Sciences, Inc.* 247,508
3,940 Incyte Genomics, Inc.* 144,302
-------------
1,290,973
-------------
Broadcast Media (1.55%)
2,148 Chris-Craft Industries, Inc.* 157,878
6,668 Hispanic Broadcasting Corp.* 208,375
12,520 Univision Communications Inc.* 478,890
6,820 Westwood One, Inc.* 129,154
-------------
974,297
-------------
Building Materials (0.75%)
1,632 Granite Construction Co. 37,230
3,775 Lennar Corp 121,272
2,866 Martin Marietta Materials, Inc. 110,054
2,134 Southdown, Inc. 151,247
2,751 USG Corp. 46,939
-------------
466,742
-------------
Chemicals & Materials (2.67%)
1,810 A. Schulman Inc. 19,797
4,059 Airgas, Inc.* 27,398
2,769 Albemarle Corp. 64,206
4,082 Cabot Corp. 89,804
1,457 Cabot Microelectronics Corp.* 64,381
6,962 Crompton Corporation 55,696
2,462 Cytec Industries, Inc.* 85,247
2,092 Ferro Corp. 42,886
1,899 Georgia Gulf Corp. 25,399
852 H.B. Fuller Co. 28,808
6,960 IMC Global Inc. 90,045
7,590 Lam Research Corp.* 147,056
3,202 Lubrizol Corp. 69,443
7,171 Lyondell Petrochemical Co. 103,083
367 NCH Corp. 14,313
2,754 Olin Corp. 48,884
6,422 RPM Inc. (Ohio) 57,397
6,466 Solutia Inc. 82,442
7,732 Waters Corporation* 561,053
-------------
1,677,338
-------------
Commercial Services (Specialized) (2.41%)
1,503 Banta Corp. 34,663
10,196 Cintas Corp. 472,840
7,512 Fiserv, Inc.* 393,910
5,470 Galileo International Inc. 108,032
4,155 Harte-Hanks, Inc. 91,929
1,557 Jacobs Engineering Group Inc.* 64,421
5,910 Modis Professional Services* 24,379
1,520 NCO Group, Inc.* 33,250
3,053 Ogden Corp.* 41,979
3,895 Quanta Services Inc.* 120,988
1,839 Rollins, Inc. 33,217
4,285 United Rentals Inc.* 92,128
-------------
1,511,736
-------------
Communications Equipment (1.17%)
2,375 Adtran Inc.* 90,250
1,680 DSP Group Inc.* 47,670
2,021 L-3 Communications Hldgs Inc.* 133,260
4,350 Polycom* 282,750
3,705 Powerwave Technologies Inc.* 178,303
-------------
732,233
-------------
Computer Hardware (2.26%)
2,285 Infocus Corporation* 100,968
11,586 Jabil Circuit, Inc.* 661,126
3,952 Mentor Graphics Corp.* 92,625
7,268 Microchip Technology, Inc.* 229,850
9,069 Quantum Corp. - Dlt. & Storage* 136,035
6,191 Storage Technology Corp.* 60,362
3,226 Tech Data Corp.* 134,282
-------------
1,415,248
-------------
Computer Software & Services (11.50%)
21,500 3 Com Corp.* 381,625
5,325 Acxiom Corp.* 214,331
3,045 Affiliated Computer Services* 169,568
2,600 Avocent Corporation* 184,438
13,159 Broadwing Inc.* 371,742
15,007 Cadence Design Systems, Inc.* 385,492
3,795 Cambridge Technology Partners* 14,706
4,513 Checkfree Corporation* 224,522
9,281 Comdisco, Inc. 114,272
12,941 Concord EFS, Inc.* 534,625
3,180 CSG Systems Intl Inc.* 147,671
7,596 DST Systems, Inc.* 468,104
7,870 Electronic Arts* 393,500
5,265 Gartner Group, Inc. Class B* 46,069
17,249 Informix Corp.* 73,308
12,340 Intuit, Inc.* 758,139
4,259 Keane, Inc.* 55,367
5,261 Lagato Systems* 46,856
3,130 Macromedia Inc.* 241,206
9,100 MarchFirst Inc.* 52,894
2,411 Mynd Corp.* 30,740
8,337 Network Associates* 160,487
3,960 Nvidia* 246,077
11,340 Rational Soft* 676,856
2,925 Retek Inc.* 115,355
2,222 Structural Dynamics Research Corp.* 22,914
7,993 SunGard Data Systems* 408,642
5,427 Sybase Inc.* 113,628
2,472 Sykes Enterprises, Inc.* 13,287
3,741 Symantec Corp.* 146,133
4,302 Synopsys, Inc.* 150,032
3,300 Titan Corp.* 44,138
2,007 Transaction Systems Architects* 27,094
4,450 Wind River Systems* 182,728
-------------
7,216,546
-------------
Consumer Products (0.63%)
2,887 Blyth Industries, Inc. 75,062
2,333 Church and Dwight, Inc. 46,077
5,743 Dial Corp. 64,250
5,815 Energizer Holdings* 114,846
2,625 Valspar Corp. 71,689
3,019 Westpoint Stevens, Inc. 21,699
-------------
393,623
-------------
Electrical Components & Other Equipment (2.83%)
5,907 Arrow Electronics, Inc.* 189,024
28,072 Atmel Corp.* 419,325
5,586 Avnet, Inc. 150,124
4,045 Cirrus Logic* 174,441
3,689 Hubbell Inc. Class B 88,305
1,434 Magnatek* 15,595
4,657 Sensormatic Electronics Corp.* 83,826
8,397 Symbol Technologies, Inc. 381,573
2,756 UCAR International, Inc.* 22,737
8,408 Vishay Intertechnology, Inc.* 252,240
-------------
1,777,190
-------------
Electrical Equipment (1.51%)
3,150 Commscope Inc.* 79,734
6,372 Integrated Device Technology, Inc.* 358,823
2,564 Sawtek Inc.* 130,444
8,774 SCI Systems, Inc.* 377,282
-------------
946,283
-------------
Electronic (Semiconductors) (4.45%)
3,175 Credence Systems Corp.* 59,531
7,308 Cypress Semiconductor Corp.* 273,593
3,690 Intl. Rectifier Corp.* 164,666
5,920 Lattice Semiconductor* 172,790
5,080 Micrel Inc.* 229,870
5,455 Qlogic Corp.* 527,771
4,000 Semtech Corp.* 129,000
5,000 TranSwitch Corp.* 288,750
4,716 TriQuint Semiconductor Inc.* 180,682
10,903 Vitesse Semiconductor Corp.* 762,529
-------------
2,789,182
-------------
Food & Beverages (1.92%)
2,176 Bob Evans Farms, Inc. 40,936
2,206 Dean Foods Corp. 70,592
3,385 Dole Food Co. 40,832
1,678 Dreyer's Grand Ice Cream, Inc. 41,321
6,100 Flowers Industries, Inc. 93,788
8,523 Hormel Foods Corp. 143,293
6,424 IBP, Inc. 132,094
4,054 Interstate Bakeries 56,756
1,731 Lance, Inc. 17,418
4,199 McCormick & Co., Inc. 133,056
1,466 Smucker (J.M)* 32,618
1,715 Suiza Foods* 79,426
13,663 Tyson Foods, Inc. 152,855
3,008 Universal Foods Corp. 59,408
8,269 Whitman Corp. 107,497
-------------
1,201,890
-------------
Health Care Products (Distribution)(0.37%)
8,198 Bergen Brunswig Corp. Class A 74,294
6,434 Sybron Corp.* 159,242
-------------
233,536
-------------
Health Care Services (2.70%)
3,228 Apria Healthcare* 64,560
2,311 Express Scripts* 155,270
2,926 First Health Group Inc.* 114,114
7,487 Foundation Health Systems Class A* 151,144
14,774 Health Management
Associates Class A* 292,710
3,263 Lincare Holdings Inc.* 137,250
5,589 Omnicare, Inc. 97,808
5,126 Oxford Health Plan* 173,002
2,154 Pacificare Health System* 22,482
2,795 Quest Diagnostics* 269,019
4,290 Quorum Health Group, Inc.* 57,379
2,262 Trigon Health* 162,157
-------------
1,696,895
-------------
Leisure Time (Products)(0.37%)
4,557 Callaway Golf Co. 72,912
4,383 International Game Technology* 160,527
-------------
233,439
-------------
Leisure Time (Services) (1.01%)
3,201 Intl Speedway Corp. Class A 102,832
4,741 Mandalay Resort Group* 98,672
18,267 Park Place Entertainment* 232,904
4,804 Six Flags Inc.* 75,062
5,738 Viad Corp. 122,650
-------------
632,120
-------------
Manufacturing (Diversified Industries) (1.14%)
4,295 American Standard Cos., Inc.* 197,033
1,981 Ametek Inc. 43,087
1,842 Carlisle Co., Inc. 76,673
2,783 Everest Re Group Ltd. 163,153
3,046 Furniture Brands Intl.* 51,401
2,421 Harsco Corp. 48,874
2,966 Pentair, Inc. 88,424
1,153 Tecumseh Products Co. Class A 45,976
-------------
714,621
-------------
Manufacturing (Specialized Industries) (1.82%)
3,636 AGCO Corp. 41,359
1,861 Albany International Corp.* 20,006
3,179 Dentsply Intl. 110,272
4,374 Diebold, Inc. 113,724
2,720 Donaldson Co., Inc. 61,540
2,725 Federal Signal Corp. 63,697
2,230 Flowserve Corp.* 44,879
2,171 Imation Corp.* 43,013
1,787 Kaydon Corp. 39,202
1,846 Kennametal, Inc. 54,226
1,801 Modine Manufacturing Co. 47,501
1,932 Nordson Corp. 55,424
7,669 Shaw Industries, Inc. 142,356
4,075 Steris Corp.* 61,125
1,697 Stewart & Stevenson Services, Inc. 40,728
2,274 Teleflex Inc. 78,595
2,275 Trinity Industries, Inc. 54,742
3,171 Warnaco Group 8,324
2,342 York International Corp. 63,673
-------------
1,144,386
-------------
Medical Products & Supplies (2.89%)
1,711 Acuson Corp.* 39,032
1,769 Beckman Coulter, Inc. 123,941
3,838 Hillenbrand Industries, Inc. 177,508
2,735 IDEC Pharmaceuticals Corp.* 536,402
3,918 Minimed, Inc.* 285,769
4,308 PSS World Medical* 12,924
11,848 Stryker Corp. 558,337
3,660 VISX Incorporated* 78,461
-------------
1,812,374
-------------
Metals (Specialty) (0.07%)
1,287 Carpenter Technology Corp. 39,897
375 Maxxam Inc.* 7,125
-------------
47,022
-------------
Miscellaneous (4.21%)
3,526 A.C. Nielson* 84,404
5,970 American Water Works Co., Inc. 145,519
2,290 Antec Corp.* 27,909
4,537 Apollo Group, Inc. Class A* 177,510
8,386 Clayton Homes Inc. 77,046
4,207 Devry, Inc.* 155,396
2,163 Gtech Holdings Corp.* 37,447
4,187 Harris Corp. 132,676
2,133 Kelly Services, Inc. Class A 47,326
2,300 Korn / Ferry Intl.* 80,500
2,413 Lancaster Colony Corp. 57,007
2,789 Litton Industries, Inc.* 144,854
4,642 Manpower Inc. 161,600
1,234 Minerals Technologies, Inc. 38,640
3,210 Mohawk Industries, Inc.* 70,018
6,231 R.J. Reynolds Tobacco Holdings 222,758
10,862 Robert Half International, Inc.* 331,291
2,848 Ruddick Corp. 37,380
3,585 Sotheby's Holdings Class A 97,467
2,254 Sylvan Learning Systems* 34,796
3,686 Telephone & Data Systems, Inc. 388,873
3,300 Valassis Communications Inc.* 91,575
-------------
2,641,992
-------------
Office Equipment & Supplies (0.59%)
4,825 Herman Miller, Inc. 126,053
3,691 Hon Industries, Inc. 88,815
6,883 Officemax Inc.* 19,789
4,636 Reynolds & Reynolds Class A 82,868
1,688 The Standard Register Co. 20,256
2,441 Wallace Computer Services, Inc. 35,394
-------------
373,175
-------------
Oil & Gas (2.13%)
3,200 Cooper Cameron Corp.* 174,400
3,594 Hanover Compressor Co.* 117,254
6,930 Kinder Morgan, Inc. 267,238
2,749 Murphy Oil Corp. 159,270
3,367 Noble Affiliates, Inc. 123,527
4,786 Pennzoil-Quaker State Co. 56,236
5,999 Pioneer Natural Resources* 78,362
5,274 Ultramar Diamond Shamrock 138,442
3,779 Valero Energy* 124,943
5,652 Varco International Inc. 97,497
-------------
1,337,169
-------------
Oil & Gas Drilling (4.12%)
5,003 BJ Services Co.* 262,345
8,408 ENSCO International, Inc. 279,566
10,623 Global Marine, Inc.* 281,510
6,627 Grant Prideco Inc.* 123,014
3,055 Helmerich & Payne, Inc. 96,042
8,907 Nabors Industries, Inc.* 453,366
8,110 Noble Drilling Corp.* 337,072
10,112 Ocean Energy* 140,304
3,016 Smith International, Inc.* 212,628
3,370 Tidewater, Inc. 155,652
6,627 Weatherford, Inc.* 241,886
-------------
2,583,385
-------------
Paper/Forest Products/Containers (0.91%)
3,002 Bowater, Inc. 162,483
3,103 Longview Fiber Co. 42,278
2,562 P.H. Glatfelter Co. 26,741
1,662 Rayonier Inc. 58,482
6,012 Sonoco Products 116,107
4,817 Timber Co. 136,381
3,085 Wausau-Mosinee Paper Corp. 26,994
-------------
569,466
-------------
Pharmaceuticals (4.67%)
3,120 Amerisource Health Corp Class A* 135,525
2,749 Carter-Wallace, Inc. 75,426
3,457 Covance Inc.* 29,817
5,265 Forest Laboratories, Inc.* 697,612
4,812 ICN Pharmaceuticals, Inc. 183,157
9,629 IVAX Corp.* 418,862
12,036 Millennium Pharmaceuticals* 873,362
7,560 Mylan Laboratories, Inc. 211,680
4,492 Sepracor Inc.* 306,018
-------------
2,931,459
-------------
Publishing (Books) (0.24%)
1,908 Houghton Mifflin Co. 70,238
1,021 Scholastic Corp.* 81,680
-------------
151,918
-------------
Publishing (Newspapers) (1.42%)
7,129 A. H. Belo Corp. Class A 136,788
4,900 Dun & Bradstreet Corp.* 105,962
2,710 Lee Enterprises, Inc. 74,864
1,403 Media General, Inc. Class A 53,314
6,417 Reader's Digest Assn. 235,424
536 Washington Post Co. Class B 286,291
-------------
892,643
-------------
Restaurants (0.64%)
3,935 Brinker International, Inc.* 154,449
3,474 CBRL Group 62,098
1,543 Lone Star Steakhouse & Saloon 13,019
4,784 Outback Steakhouse* 136,344
1,464 Papa John's Pizza* 36,783
-------------
402,693
-------------
Retail Stores (General Merchandise) (1.28%)
4,493 BJ's Wholesale Club 147,988
6,506 Dollar Tree Stores* 254,547
10,419 Family Dollar Stores, Inc. 202,519
2,272 Fastenal Co. 130,498
3,397 Williams-Sonoma, Inc.* 70,700
-------------
806,252
-------------
Retail Stores (Specialty) (1.52%)
3,905 Barnes & Noble Inc.* 73,707
4,794 Borders Group, Inc.* 66,517
5,358 CDW Computer Centers Inc.* 345,256
3,069 Claire's Stores, Inc. 61,764
1,844 Lands' End, Inc.* 47,299
2,923 Neiman Marcus Group Inc. Class A* 108,516
1,306 Payless Shoesource Inc.* 75,666
4,472 Perrigo Co.* 29,627
8,616 Saks Holding* 87,776
1,607 Superior Industries
International, Inc. 54,738
-------------
950,866
-------------
Retail Stores (Specialty-Apparel) (0.49%)
6,084 Abercrombie & Fitch Co. Class A* 143,354
2,863 American Eagle Outfitters* 98,594
5,033 Ross Stores, Inc. 66,373
-------------
308,321
-------------
Steel (0.12%)
6,686 AK Steel Holding Corp. 61,846
1,479 Ryerson Tull Inc. 11,092
-------------
72,938
-------------
Textile Specialty (0.41%)
7,204 Jones Apparel Group, Inc.* 200,361
3,413 Unifi, Inc.* 29,650
1,900 Wellman, Inc. 28,500
-------------
258,511
-------------
Total Industrial 43,913,923
-------------
TRANSPORTATION (1.56%)
Airfreight (0.48%)
2,997 Airborne Freight Corp. 30,345
2,600 C. H. Robinson Worldwide 142,188
2,815 EGL Inc.* 80,228
3,154 Pittston Services Group 50,070
-------------
302,831
-------------
Airlines (0.20%)
1,590 Alaska Air Group, Inc.* 41,241
2,270 Atlas Air Inc.* 82,288
-------------
123,529
-------------
Railroads (0.26%)
2,932 GATX Corp. 123,327
2,974 Wisconsin Central
Transportation Corp.* 38,104
-------------
161,431
-------------
Shipping (0.32%)
2,423 Alexander & Baldwin, Inc. 60,423
1,835 Newport News Shipbuilding 90,259
2,083 Overseas Shipholding Group Inc. 49,992
-------------
200,674
-------------
Truckers (0.30%)
1,469 Arnold Industries, Inc. 25,799
2,979 CNF Transportation Inc. 79,502
2,116 J.B. Hunt Transport Services, Inc. 27,640
3,860 Swift Transportation, Co.* 55,005
-------------
187,946
-------------
Total Transportation 976,411
-------------
UTILITIES (8.08%)
Electric Utilities (6.94%)
6,686 Allegheny Energy Inc. 273,708
4,480 Allete 96,600
4,837 Alliant Energy Corp. 146,622
1,347 Black Hills Corp. 42,094
8,426 Calpine Corporation* 665,127
1,326 Cleco Corp. 63,068
5,405 Conectiv Inc. 96,952
8,053 DPL, Inc. 228,504
3,605 DQE, Inc. 125,950
7,896 Energy East Corp. 159,400
1,984 Hawaiian Electric Industries Inc. 65,348
2,250 Idacorp, Inc. 110,953
5,211 Ipalco Enterprises, Inc. 116,922
3,796 Kansas City Power & Light Co. 91,341
7,890 LG&E Energy Corp. 193,798
6,470 Montana Power Co. 182,778
7,377 NiSource Inc. 183,964
9,018 Northeast Utilities 183,742
3,277 NSTAR 126,779
4,774 OGE Energy Corp. 98,165
6,935 Potomac Electric Power Co. 158,638
2,364 Public Service Co. of New Mexico 65,158
5,232 Puget Sound Power & Light Co. 128,511
6,321 Scana Corp. 167,506
4,815 Sierra Pacific Resources 82,758
7,675 TECO Energy, Inc. 213,941
5,599 Utilicorp United, Inc. 148,723
7,391 Wisconsin Energy Corp. 139,043
-------------
4,356,093
-------------
Gas Utilities (1.14%)
3,258 AGL Resources Inc. 66,382
5,506 MCN Corp. 135,585
2,430 National Fuel & Gas Co. 130,309
4,888 Questar Corp. 132,282
3,709 Vectren Corporation* 85,771
2,850 Washington Gas Light Corp. 72,675
4,185 Western Resources 89,454
-------------
712,458
-------------
Total Utilities 5,068,551
-------------
FINANCIAL (10.73%)
Banks (5.89%)
4,170 Associated Banc-Corp. 100,341
3,087 Astoria Financial Corp. 115,762
2,878 City National Corp. 98,931
7,305 Compass Bancshares, Inc. 132,860
6,614 Dime Bancorp, Inc. 161,630
7,838 First Tennessee National Corp. 180,274
2,768 First Virginia Banks, Inc. 114,526
5,387 Firstmerit Corporation 122,891
2,400 Greater Bay Bancorp 78,150
6,209 Green Point Financial Corp. 184,718
9,667 Hibernia Corp. Class A 115,400
6,320 Marshall & Ilsley Corp. 286,375
4,272 Mercantile Bankshares Corp. 160,734
12,359 National Commerce Bancorp 262,629
10,550 North Fork Bancorporation, Inc. 212,978
4,839 Pacific Century Financial Corp. 61,395
2,991 Provident Financial Group 90,478
3,900 Roslyn Bancorp Inc. 84,581
2,910 Silicon Valley Bancshares* 134,588
13,765 Sovereign Bancorp, Inc. 114,422
4,923 TCF Financial Corp. 199,074
4,249 Wells Fargo Company 196,798
2,149 Westamerica Bancorporation 77,230
2,007 Wilmington Trust Corp. 105,618
5,296 Zions Bancorp. 304,189
-------------
3,696,572
-------------
Brokerage (0.94%)
5,043 A.G. Edwards & Sons, Inc. 255,932
18,264 E Trade Group* 265,970
1,903 Investment Technology Group* 68,508
-------------
590,410
-------------
Financial Miscellaneous (1.61%)
3,750 Finova Group, Inc. 9,609
3,676 Legg Mason, Inc. 190,922
4,291 Nova Corp.* 67,315
2,728 The PMI Group Inc. 201,531
3,280 SEI Investments Company 297,660
5,040 Waddell & Reed Financial Class A 160,650
3,270 Webster Financial Corp. 79,706
-------------
1,007,393
-------------
Insurance (2.29%)
3,178 Allmerica Financial Corporation 200,413
4,240 AMBAC, Inc. 338,405
3,559 American Financial Group, Inc. 76,296
8,780 Banknorth Group Inc. 159,137
2,481 Horace Mann Educators Corp. 41,712
1,774 HSB Group Inc. 70,184
2,825 Mony Group Inc. 116,178
3,673 Ohio Casualty Corp. 30,876
7,157 Old Republic International Corp. 186,082
3,972 Protective Life Corp. 91,852
4,104 Unitrin, Inc. 127,480
-------------
1,438,615
-------------
Total Financial 6,732,990
-------------
Total Common Stock
(cost $50,141,318) 56,691,875
-------------
Principal
Amount
--------------
SHORT-TERM INVESTMENTS (12.37%)
Repurchase Agreement, (6.03%)(b)
$3,780,000 First Boston
6.60%; 11/01/2000 (cost $3,780,000;
maturity value $3,780,693) 3,780,000
United States Treasury Bill (6.34%)(c)
4,000,000 6.11%; 11/30/2000 (cost $3,980,429) 3,980,429
-------------
Total Short-term Investments
(cost $7,760,429) 7,760,429
-------------
Total Investments (cost $57,901,747)
(102.72%)(a) 64,452,304
-------------
Liabilities Less Other Assets (-2.72%) (1,707,580)
-------------
Net Assets (100.00%) $ 62,744,724
=============
* Non-income producing security.
(a) Aggregate cost for federal income tax purposes is $57,901,747. At
October 31, 2000 unrealized appreciation (depreciation) of securities for
federal income tax purposes is as follows:
Gross unrealized appreciation $14,691,486
Gross unrealized depreciation (8,140,929)
-----------
Net unrealized appreciation $ 6,550,557
===========
(b) The Repurchase Agreement is collateralized by obligations of the
United States government and its agencies with a market value of
$3,858,653 which exceeds the value of the repurchase agreement. It is the
Fund's policy to always receive, as collateral, securities whose value,
including accrued interest, will be at least equal to 102% of the dollar
amount to be paid to the Fund under each agreement at its maturity. The
value of the securities are monitored daily. If the value falls below 101%
of the amount to be paid at maturity, additional collateral is obtained.
The Fund makes payment for such securities only upon physical delivery or
evidence of book entry transferred to the account of its custodian.
(c) At October 31, 2000, the market value of $3,980,429 of the U.S.
Treasury Bills were pledged to cover margin requirements for futures
contracts.
Futures contracts at October 31, 2000:
(Contracts-$500 times premium/delivery
month/commitment)
Unrealized
Depreciation
------------
S&P 400 MidCap Stock Index:
217/Dec/Sell $ (1,430,026)
------------
See accompanying notes to financial statements
</TABLE>
<TABLE>
<CAPTION>
Statements of
[RIGHTIME LOGO] Assets and
Rightime Liabilities
Family of Funds October 31, 2000
-----------------------------------------------------------------------------------------------------------------------------
The Rightime The Rightime The Rightime
The Rightime Blue Chip OTC MidCap
Fund Fund Fund Fund
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
ASSETS
Investments in securities, at market value
(Identified cost $87,933,739; $107,694,468;
$6,647,033 and $57,901,747 respectively)
(Note 1) $88,770,471 $178,990,477 $ 6,647,033 $64,452,304
Cash 489 129 265 64
Receivables:
Dividends and interest 208,519 146,854 5,094 36,348
Fund shares sold 11,678 41,157 1,582 9,415
Investment securities sold -- 22,312,763 -- --
Prepaid expenses and other assets 38,106 65,025 18,320 18,004
------------ ------------ ---------- ------------
Total assets 89,029,263 201,556,405 6,672,294 64,516,135
------------ ------------ ---------- ------------
LIABILITIES
Payables:
Variation margin 583,700 3,478,360 -- 1,302,000
Fund shares repurchased 270,957 698,623 -- 436,650
Accrued expenses 56,917 73,912 2,089 32,081
Other liabilities 2,454 4,127 114 680
------------ ------------ ---------- ------------
914,028 4,255,022 2,203 1,771,411
------------ ------------ ---------- ------------
NET ASSETS
(applicable to 2,994,637; 5,495,010; 295,575 and
2,192,861 outstanding shares, respectively)
(Note 4) $88,115,235 $197,301,383 $ 6,670,091 $62,744,724
============ ============ =========== ===========
Net asset value and redemption price per share $29.42 $35.91 $22.57 $28.61
====== ====== ====== ======
Maximum offering price per share $29.42 $37.70(1) $23.70(1) $30.04(1)
====== ====== ====== ======
NET ASSETS
At October 31, 2000 net assets consisted of:
Paid-in capital $87,414,885 $113,171,197 $ 9,648,025 $58,976,214
Undistributed net investment income 88,415 -- 53,272 --
Undistributed net realized gain (loss) on investments 562,903 17,034,715 (3,031,206) (1,352,021)
Net unrealized appreciation of investments 836,732 71,296,009 -- 6,550,557
Net unrealized depreciation
of futures contracts (787,700) (4,200,538) -- (1,430,026)
------------ ------------ ---------- ------------
$88,115,235 $197,301,383 $ 6,670,091 $62,744,724
============ ============ =========== ===========
(1) Net asset value, plus 4.99% of net asset value or
4.75% of offering price.
See accompanying notes to financial statements
</TABLE>
<TABLE>
<CAPTION>
[RIGHTIME LOGO]
Rightime Statement of Operations
Family of Funds For the Year Ended October 31, 2000
--------------------------------------------------------------------------------------------------------------
The Rightime The Rightime The Rightime
The Rightime Blue Chip OTC MidCap
Fund Fund Fund Fund
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
INVESTMENT INCOME
Income
Dividends $1,854,422 $ 2,722,869 $ 110,549 $ 732,143
Interest 2,121,401 1,189,936 263,845 592,047
------------ ------------ ------------ ------------
Total income 3,975,823 3,912,805 374,394 1,324,190
------------ ------------ ------------ ------------
EXPENSES
Administrative services (Note 2) 1,035,426 2,162,783 101,911 624,038
Investment advisory fees (Note 2) 544,962 1,272,225 59,948 367,081
Distribution costs -- 12b-1 (Notes 2 and 3) 541,802 636,113 29,974 183,540
Distribution costs -- service charge
(Notes 2 and 3) 250,390 636,113 29,974 183,540
Transfer agent fees (Note 2) 119,813 281,110 18,723 83,165
Accounting services (Note 2) 49,502 73,609 24,977 44,354
Legal and audit fees 63,551 84,324 14,901 31,598
Custody fees 17,566 44,561 5,834 14,206
Reports to shareholders 18,952 43,211 3,000 12,463
Registration fees 13,377 13,488 12,428 18,402
Directors fees 16,585 38,202 1,749 11,114
Insurance 11,937 26,817 1,018 8,477
Miscellaneous 16,370 21,356 2,641 13,822
------------ ------------ ------------ ------------
Total expenses 2,700,233 5,333,912 307,078 1,595,800
------------ ------------ ------------ ------------
Net investment income (loss) 1,275,590 (1,421,107) 67,316 (271,610)
------------ ------------ ------------ ------------
REALIZED AND UNREALIZED
GAIN (LOSS) ON INVESTMENTS
Net realized gain (loss)
from security transactions 6,301,024 53,254,199 (3,035,449) 10,973,206
Capital gain distribution from
regulated investment companies 3,409,087 -- -- --
Net realized loss on futures contracts (9,105,707) (38,336,936) -- (11,194,977)
Increase (decrease) in unrealized
appreciation of investments 149,609 (38,377,212) -- 4,405,200
Decrease in unrealized appreciation
of futures contracts (829,200) (2,082,450) -- (2,560,276)
------------ ------------ ------------ ------------
Net gain (loss) on investments (75,187) (25,542,399) (3,035,449) 1,623,153
------------ ------------ ------------ ------------
Net increase (decrease) in net assets
resulting from operations $1,200,403 $(26,963,506) $(2,968,133) $ 1,351,543
============ ============ ============ ============
See accompanying notes to financial statements
</TABLE>
<TABLE>
<CAPTION>
[RIGHTIME LOGO] Statement of
Rightime Changes in Net Assets
Family of Funds
-------------------------------------------------------------------------------------------------------------------------------
The Rightime Fund The Rightime Blue Chip Fund
---------------------------------- ----------------------------------
For Year Ended For Year Ended For Year Ended For Year Ended
October 31, 2000 October 31, 1999 October 31, 2000 October 31, 1999
---------------- ---------------- ---------------- ----------------
<S> <C> <C> <C> <C>
OPERATIONS
Net investment income (loss) $ 1,275,590 $ 1,049,621 $ (1,421,107) $ (1,083,031)
Net realized gain from security transactions 6,301,024 5,111,253 53,254,199 28,247,104
Capital gain distributions
from regulated investment companies 3,409,087 5,135,574 -- --
Net realized gain (loss) on futures contracts (9,105,707) 3,965,709 (38,336,936) (24,684,417)
Net increase (decrease) in unrealized appreciation
of investments 149,609 (2,278,785) (38,377,212) 26,358,312
Net decrease in unrealized appreciation
of futures contracts (829,200) (1,338,575) (2,082,450) (3,256,238)
------------ ------------ ------------ ------------
Net increase (decrease) in net assets
resulting from operations 1,200,403 11,644,797 (26,963,506) 25,581,730
DISTRIBUTIONS TO SHAREHOLDERS
Distributions from net realized gains
on investments (12,890,857) (14,057,122) (325,283) (30,507,902)
Distributions from net investment income (2,238,737) (1,245,762) -- --
CAPITAL SHARE TRANSACTIONS
Increase (decrease) in net assets resulting
from capital share transactions (Note 4) (10,585,944) 5,689,734 (64,409,226) 22,509,787
---------- ------------ ------------ ------------
Total increase (decrease) (24,515,135) 2,031,647 (91,698,015) 17,583,615
NET ASSETS
Beginning of year 112,630,370 110,598,723 288,999,398 271,415,783
------------ ------------ ------------ ------------
End of year* $ 88,115,235 $112,630,370 $197,301,383 $288,999,398
============ ============ ============ ============
* Including undistributed
net investment income of: $ 88,415 $ 1,057,813 -- --
============ ============ ============ ============
<CAPTION>
-------------------------------------------------------------------------------------------------------------------------------
The Rightime OTC Fund The Rightime MidCap Fund
---------------------------------- ----------------------------------
For Year Ended For Year Ended For Year Ended For Year Ended
October 31, 2000 October 31, 1999 October 31, 2000 October 31, 1999
---------------- ---------------- ---------------- ----------------
<S> <C> <C> <C> <C>
OPERATIONS
Net investment income (loss) $ 67,316 $ 116,747 $ (271,610) $ (368,490)
Net realized gain (loss)
from security transactions (3,035,449) 1,370,087 10,973,206 17,284,948
Net realized loss on futures contracts -- -- (11,194,977) (3,950,914)
Net increase (decrease) in unrealized appreciation
of investments -- (352,170) 4,405,200 (2,532,166)
Net increase (decrease) in unrealized appreciation
of futures contracts -- -- (2,560,276) 578,507
------------ ------------ ------------ ------------
Net increase (decrease) in net assets
resulting from operations (2,968,133) 1,134,664 1,351,543 11,011,885
DISTRIBUTIONS TO SHAREHOLDERS
Distributions from net realized gains
on investments (1,370,607) (2,577,096) (13,555,697) (12,476,086)
Distributions from net investment income (130,846) (105,288) -- --
CAPITAL SHARE TRANSACTIONS
Increase (decrease) in net assets resulting
from capital share transactions (Note 4) (4,786,702) 3,584,760 (2,302,116) 11,222,621
------------ ------------ ------------ ------------
Total increase (decrease) (9,256,288) 2,037,040 (14,506,270) 9,758,420
NET ASSETS
Beginning of year 15,926,379 13,889,339 77,250,994 67,492,574
------------ ------------ ------------ ------------
End of year* $ 6,670,091 $15,926,379 $ 62,744,724 $ 77,250,994
============ ============ ============ ============
* Including undistributed
net investment income of: $ 53,272 $ 116,802 $ -- $ --
============ ============ ============ ============
</TABLE>
<TABLE>
<CAPTION>
[RIGHTIME LOGO] Financial
Rightime Highlights
Family of Funds (For a Share Outstanding Throughout the Period)
---------------------------------------------------------------------------------------------------------------
Net
Realized
Net and
Asset Net Unrealized
Value Investment Gain Total
Beginning Income (Loss) on From
of Year (Loss) Investments Operations
---------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
The Rightime Fund
2000 $33.97 $ 0.40 $(0.27) $ 0.13
1999 35.13 0.33 3.49 3.82
1998 29.95 0.43 5.16 5.59
1997 32.09 0.43 (1.24) (0.81)
1996 37.55 1.14 2.11 3.25
---------------------------------------------------------------------------------------------------------------
The Rightime Blue Chip Fund
2000 $40.33 $(0.26) $(4.11) $(4.37)
1999 40.98 (0.15) 4.13 3.98
1998 32.27 (0.10) 8.83 8.73
1997 31.88 0.03 0.83 0.86
1996 32.84 0.40 3.52 3.92
---------------------------------------------------------------------------------------------------------------
The Rightime OTC Fund
2000* $32.50 $ 0.21 $(7.03) $(6.82)
1999 35.96 0.24 3.19 3.43
1998 29.31 0.27 7.55 7.82
1997 29.09 0.17 1.52 1.69
1996 32.37 0.41 3.88 4.29
---------------------------------------------------------------------------------------------------------------
The Rightime MidCap Fund
2000 $34.19 $(0.12) $ 0.62 $ 0.50
1999 35.19 (0.16) 5.71 5.55
1998 29.12 (0.16) 7.13 6.97
1997 29.02 0.27 1.33 1.60
1996 32.95 0.49 2.56 3.05
---------------------------------------------------------------------------------------------------------------
<CAPTION>
Distributions Distributions Net
from from Asset
Net Realized Value
Investment Capital Total End Total
Income Gains Distributions of Year Return (1)
---------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
The Rightime Fund
2000 $(0.69) $(3.99) $(4.68) $29.42 (0.98)%
1999 (0.41) (4.57) (4.98) 33.97 10.61
1998 (0.41) 0.00 (0.41) 35.13 18.86
1997 (0.42) (0.91) (1.33) 29.95 (2.77)
1996 (0.77) (7.94) (8.71) 32.09 8.96
The Rightime Blue Chip Fund
2000 $ 0.00 $(0.05) $(0.05) $35.91 (10.86)%
1999 0.00 (4.63) (4.63) 40.33 9.45
1998 (0.02) 0.00 (0.02) 40.98 27.06
1997 (0.40) (0.07) (0.47) 32.27 2.63
1996 (0.28) (4.60) (4.88) 31.88 12.26
The Rightime OTC Fund
2000* $(0.27) $(2.84) $(3.11) $22.57 (22.90)%
1999 (0.27) (6.62) (6.89) 32.50 8.39
1998 (0.15) (1.02) (1.17) 35.96 27.37
1997 (0.43) (1.04) (1.47) 29.31 5.77
1996 0.00 (7.57) (7.57) 29.09 13.62
The Rightime MidCap Fund
2000 $ 0.00 $(6.08) $(6.08) $28.61 1.56%
1999 0.00 (6.55) (6.55) 34.19 16.40
1998 (0.24) (0.66) (0.90) 35.19 24.53
1997 (0.54) (0.96) (1.50) 29.12 5.55
1996 (0.14) (6.84) (6.98) 29.02 9.65
---------------------------------------------------------------------------------------------------------------
(1) Excludes sales charge
* Name and objective changes effective 10/26/2000. Formerly "The Rightime Social Awareness Fund."
<CAPTION>
October 31, 2000
---------------------------------------------------------------------------------------------------------------
RATIOS
---------------------------------------------------------------------------------
Net Assets At The Expenses to Average Net Investment Income (Loss) Portfolio
End of Year Net Assets to Average Net Assets Turnover
---------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
The Rightime Fund
2000 $ 88,115,235 2.48% 1.17% 159.81%
1999 112,630,370 2.51 0.89 106.40
1998 110,598,723 2.53 1.12 117.73
1997 126,001,807 2.45 1.16 62.01
1996 166,490,280 2.45 3.11 15.40
---------------------------------------------------------------------------------------------------------------
The Rightime Blue Chip Fund
2000 $197,301,383 2.10% (0.56)% 6.43%
1999 288,999,398 2.09 (0.36) 10.16
1998 271,415,783 2.15 (0.25) 7.97
1997 254,386,954 2.09 0.05 39.27
1996 277,639,083 2.08 1.25 1.30
---------------------------------------------------------------------------------------------------------------
The Rightime OTC Fund
2000 $ 6,670,091 2.57% 0.56% 360.82%
1999 15,926,379 2.21 0.72 169.26
1998 13,889,339 2.35 0.81 142.15
1997 11,467,788 2.35 0.55 107.98
1996 8,694,248 2.42 1.51 46.57
---------------------------------------------------------------------------------------------------------------
The Rightime MidCap Fund
2000 $62,744,724 2.17% (0.37)% 20.93%
1999 77,250,994 2.16 (0.48) 50.75
1998 67,492,574 2.25 (0.46) 0.00
1997 69,295,196 2.15 0.82 107.08
1996 80,303,960 2.19 1.72 3.59
---------------------------------------------------------------------------------------------------------------
See accompanying notes to financial statements
</TABLE>
October 31, 2000
[RIGHTIME LOGO] Notes to Financial Statements
Rightime
Family of Funds
NOTE 1 - SUMMARY OF SIGNIFICANT
ACCOUNTING POLICIES
The Rightime Fund, The Rightime Blue Chip Fund, The Rightime OTC Fund
(formerly, The Rightime Social Awareness Fund), and The Rightime MidCap
Fund (the "Funds") are each a series of shares of common stock of The
Rightime Fund Inc., which is registered under the Investment Company Act
of 1940, as amended, as a diversified open-end management company. The
company was incorporated in the state of Maryland on November 15, 1984.
The investment objective of The Rightime Fund, The Rightime Blue Chip
Fund, The Rightime Midcap Fund and The Rightime OTC Fund is to achieve
high total return consistent with reasonable risk. The Rightime Fund seeks
to achieve this objective by concentrating in shares of registered
investment companies. The Rightime Blue Chip Fund seeks to achieve this
objective by investing in securities of well known and established
companies ("Blue Chips"). The Rightime Midcap Fund seeks to achieve this
objective by investing in securities of companies with medium-size market
capitalization ("MidCaps"). The Rightime OTC Fund seeks to achieve this
objective by investing primarily in securities traded in the
over-the-counter (OTC) market.
The Board of Directors of The Rightime Fund, Inc., and the shareholders of
the Rightime OTC Fund formerly known as The Rightime Social Awareness
Fund, approved changes affecting The Rightime OTC Fund, including a change
of name, and an amendment to the investment objective and investment
policies of The Rightime OTC Fund. This amendment to the prospectus of The
Rightime OTC Fund describes to investors the new objective, policies and
risks of investing in The Rightime OTC Fund. These changes went into
effect on October 26, 2000.
The following is a summary of significant accounting policies followed by
the Funds.
SECURITY VALUATION
The Funds' investments in securities are carried at market value.
Securities listed on an exchange or quoted on a national market system are
valued at the last sales price. Other securities are valued at the most
recent bid price. Investments in regulated investment companies are valued
at the net asset value per share as quoted by the National Association of
Securities Dealers on the last business day of the fiscal period.
Investments in money market funds are valued at cost which approximates
market value. Short-term investments are valued at amortized cost which
approximates market value.
FUTURES CONTRACTS
Initial margin deposits required upon entering into futures contracts are
satisfied by the segregation of specific securities or cash, and/or by
securing a standby letter of credit from a major commercial bank, as
collateral, for the account of the broker (the Fund's agent in acquiring
the futures position). During the period the futures contract is open,
changes in the value of the contract are recognized as unrealized gains or
losses by "marking to market" on a daily basis to reflect the market value
of the contract at the end of each day's trading. Variation margin
payments are made or received depending upon whether unrealized gains or
losses are incurred. When the contract is closed, the Fund records a
realized gain or loss equal to the difference between the proceeds from
(or cost of) the closing transaction and the Fund's basis in the contract.
The Funds may purchase or sell stock index future contracts as a hedge
against changes in market conditions. Risk include the possibility of an
illiquid market and that a change in the value of the contract may not
correlate with changes in the securities being hedged.
FEDERAL INCOME TAXES
No provision has been made for federal income taxes since it is the policy
of the Fund to comply with the provisions of the Internal Revenue Code
applicable to regulated investment companies and to make sufficient
distributions of taxable income to relieve it from all federal income
taxes.
SECURITY TRANSACTIONS, INVESTMENT INCOME
AND OTHER
Security transactions are recorded on the trade date. Interest income is
recorded on the accrual basis. Dividend income and distributions to
shareholders are recorded on the ex-dividend date.
Income distributions and capital gain distributions are determined in
accordance with income tax regulations which may differ from generally
accepted accounting principles. These differences are primarily due to
differing treatments for net operating losses, wash sales and futures
transactions.
USE OF ESTIMATES IN FINANCIAL STATEMENTS
In preparing financial statements in conformity with generally accepted
accounting principles, management makes estimates and assumptions that
effect the reported amounts of assets and liabilities at the date of the
financial statements, as well as the reported amounts of income and
expenses during the period. Actual results may differ from the estimates.
NOTE 2 - INVESTMENT ADVISORY FEE AND OTHER
TRANSACTIONS WITH AFFILIATES
The Investment Advisor, Rightime Econometrics, Inc., is paid a monthly fee
based on an annual rate (summarized below) of the Funds' average daily net
assets. In the event the expenses of the Fund for any fiscal year
(including the advisory and administrative fees, but excluding interest,
taxes, brokerage commissions, distribution fees, litigation and
indemnification expenses and other extraordinary expenses not incurred in
the ordinary course of the Funds' business) exceed the limits set by
applicable regulation of state securities commissions, if any, the
compensation due to the Advisor will be reduced by the amount of such
excess.
The Funds' Administrator, Rightime Administrators, Inc., is paid a monthly
fee based on an annual rate (summarized below) of the Funds' average daily
net assets for providing office facilities and certain administrative
services.
The Funds' Distributor, Lincoln Investment Planning, Inc., is paid a
monthly fee based on an annual rate (summarized below) of the Funds'
average daily net assets for costs incurred in connection with the sale of
the Funds' capital stock (see Note 3).
A summary of annual fee rates applied to average daily net assets are as
follows:
Advisory Administration Distribution
Fee Fee Costs
-------- -------------- --------------
The Rightime Fund .50% .95% .75%
The Rightime
Blue Chip Fund .50% .85% .50%
The Rightime
OTC Fund .50% .85% .50%
The Rightime
MidCap Fund .50% .85% .50%
During the year ended October 31, 2000, the Distributor received
commissions as an underwriter and a retail dealer of Fund shares as
follows:
The Rightime Blue Chip Fund $319,119
The Rightime OTC Fund $ 14,693
The Rightime MidCap Fund $ 93,888
Lincoln Investment Planning, Inc., also provides the Funds with transfer
agent and accounting and recordkeeping services. Aggregate transfer agent
and accounting services fees received by Lincoln Investment Planning, Inc.
were $502,811 and $192,442 respectively.
Certain officers and directors of the company are also officers and/or
directors of the Advisor, Administrator, Transfer Agent and/or
Distributor.
NOTE 3 - DISTRIBUTION COSTS
The Fund's Board of Directors, including a majority of the Directors who
are not "interested persons" of the Funds as defined in the Investment
Company Act of 1940, have adopted a distribution plan pursuant to Rule
12b-1 of the Act. The Plan regulates the manner in which a regulated
investment company may assume costs of distributing and promoting the
sales of its shares.
The Plan provides that the Funds may incur certain costs which may not
exceed the rates detailed above per annum of the Funds' average daily net
assets for payments to the Distributor for items such as advertising
expenses, selling expenses, commissions or travel reasonably intended to
result in sales of shares of the Funds and for commissions for Fund shares
sold by representatives of the Distributor or other broker-dealers. The
distribution costs include a service charge based on an annual rate of
.25% of the Funds' average daily net assets.
NOTE 4 - CAPITAL SHARES
The Rightime Fund, Inc. has 500,000,000 shares of $.01 par value stock
authorized which may be allocated to any series. Currently 50,000,000
shares have been allocated to the Rightime Fund and 20,000,000 shares to
each of the other three Funds. Transactions in capital stock were as
follows:
<TABLE>
<CAPTION>
The Rightime Fund The Rightime Blue Chip Fund
------------------------------------------------------- ---------------------------------------------------
2000 1999 2000 1999
---------------------- --------------------------- ------------------------ -----------------------
Shares Value Shares Value Shares Value Shares Value
-------- ------------ ---------- ------------- --------- ------------- -------- ------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Shares sold 182,850 $ 6,018,827 308,522 $ 10,706,455 360,700 $ 14,090,047 686,258 $ 28,351,854
Shares issued in
reinvestment
of distributions 456,479 14,904,043 434,224 15,015,469 7,758 323,586 731,907 30,227,759
-------- ------------ ---------- ------------ --------- ------------- ----------- ------------
639,329 20,922,870 742,746 25,721,924 368,458 14,413,633 1,418,165 58,579,613
Shares redeemed (960,450) (31,508,814) (574,853) (20,032,190) (2,039,212) (78,822,859) (874,962) (36,069,826)
-------- ------------ ---------- ------------ --------- ------------- ----------- ------------
Net increase
(decrease) (321,121) $(10,585,944) 167,893 $ 5,689,734 (1,670,754) $(64,409,226) 543,203 $ 22,509,787
======== ============ ========== ============ ========== ============= =========== ============
The Rightime OTC Fund The Rightime MidCap Fund
------------------------------------------------------- ---------------------------------------------------
2000 1999 2000 1999
---------------------- --------------------------- ------------------------ -----------------------
Shares Value Shares Value Shares Value Shares Value
-------- ------------ ---------- ------------- --------- ------------- --------- ------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Shares sold 22,026 $ 594,955 87,966 $ 3,047,159 162,151 $ 4,807,229 234,456 $ 8,025,990
Shares issued in
reinvestment
of distributions 51,031 1,439,572 73,151 2,527,371 475,885 13,538,931 376,672 12,456,529
-------- ------------ ---------- ------------ --------- ------------- ----------- ------------
73,057 2,034,527 161,117 5,574,530 638,036 18,346,160 611,128 20,482,519
Shares redeemed (267,596) (6,821,229) (57,300) (1,989,770) (704,839) (20,648,276) (269,142) (9,259,898)
-------- ------------ ---------- ------------ --------- ------------- ----------- ------------
Net increase
(decrease) (194,539) $(4,786,702) 103,817 $ 3,584,760 (66,803) $ (2,302,116) 341,986 $11,222,621
======== ============ ========== ============ ========== ============= =========== ============
</TABLE>
NOTE 5 - PURCHASES AND SALES OF SECURITIES
Purchases and sales of securities other than short-term investments
during the year ended October 31, 2000 were as follows:
Purchases Sales
-------------- --------------
The Rightime Fund $126,084,867 $142,762,029
The Rightime Blue Chip Fund $ 15,138,774 $121,637,877
The Rightime OTC Fund $ 45,645,475 $ 42,610,027
The Rightime MidCap Fund $ 13,301,165 $ 36,786,092
SHAREHOLDER VOTER RESULTS (Unaudited)
There was a special meeting of shareholders held on September 15, 2000 to
vote on a proxy to change the objective and name of The Rightime Social
Awareness Fund to The Rightime OTC Fund. The shareholders along with Board
of Directors approved the proposed change and The Rightime OTC Fund began
effectively trading on October 26, 2000.
Voting Results
-------------------------------
For 190,749 (86.50%)
Against 21,908 (9.93%)
Abstain 7,864 (3.57%)
[This page intentionally left blank]
[This page intentionally left blank]
[This page intentionally left blank]
[RIGHTIME LOGO]
RIGHTIME
FAMILY OF FUNDS Report of Independent
Certified Public Accountants
To the Shareholders
and Board of Directors
of The Rightime Fund, Inc.
We have audited the accompanying statement of assets and liabilities of
The Rightime Fund, The Rightime Blue Chip Fund, The Rightime OTC Fund
(formerly, the Rightime Social Awareness Fund) and The Rightime MidCap
Fund, each a series of shares of common stock of The Rightime Fund, Inc.,
including the portfolios of investments, as of October 31, 2000 and the
related statement of operations for the year then ended, the statement of
changes in net assets for each of the two years in the period then ended
and the financial highlights for each of the five years in the period then
ended. These financial statements and financial highlights are the
responsibility of the Funds' management. Our responsibility is to express
an opinion on these financial statements and financial highlights based on
our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements and
financial highlights are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. Our procedures included
confirmation of securities owned as of October 31, 2000 by correspondence
with the custodian and brokers. An audit also includes assessing the
accounting principles used and significant estimates made by management,
as well as evaluating the overall financial statement presentation. We
believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred
to above present fairly, in all material respects, the financial position
of The Rightime Fund, The Rightime Blue Chip Fund, The Rightime OTC Fund
and The Rightime MidCap Fund as of October 31, 2000, the results of their
operations for the year then ended, the changes in their net assets for
each of the two years in the period then ended and the financial
highlights for each of the five years in the period then ended, in
conformity with generally accepted accounting principles.
TAIT, WELLER & BAKER
Philadelphia, Pennsylvania
November 17, 2000
[RIGHTIME LOGO] October 31, 2000
RIGHTIME
FAMILY OF FUNDS The Rightime Fund
Performance Comparison
The fiscal year ending October 31, 2000 was a year of marked volatility
for equity participants. Investment trends were strong but short lived.
Generally, the initial part of the fiscal year was dominated by optimism.
The second part of the year was dominated by concerns about the economy.
Continued tightening of interest rates by the Federal Reserve did serve to
slow inflationary pressures. However, it also served to slow corporate
earnings' growth and raised concerns about the rich valuations of many
stocks, especially tech stocks.
The Rightime Fund was well positioned to enjoy the surge that resulted
when investors realized that the Y2K bugaboo was not going to halt
commerce at the beginning of 2000. After the initial surge, the market
deteriorated. In general, the Fund spent considerable time with limited
exposure to equities. Nevertheless, the exposure that the Fund did receive
served in aggregate to reduce earlier capital appreciation. At year-end,
our total return was lower than hoped but treacherous conditions had made
capital preservation a priority.
Performance Comparison
The "Performance Comparison" chart assesses the Rightime Fund's
performance against the S&P MidCap 400 Index, a broad based index. The
"Risk Adjusted Performance Comparison" more closely reflects the fund's
performance as compared to a consistent risk level.
The Rightime Fund utilizes a modeled approach to investing which attempts
to minimize risk by moving assets to money market equivalent investments
during periods in which the market appears to be overvalued. This
approach, over full market cycles, tends to invest in equity securities
approximately half of the time. In order to provide an equivalent risk
level this comparison charts the Rightime Fund's performance against the
Lipper Balanced Fund Index, the primary objective of which is to conserve
principle by maintaining at all times a balanced portfolio of both stocks
and bonds. The Lipper Balanced Fund Index approaches the risk level of
each fund that has been in existence for at least one full market cycle
and therefore provides a more meaningful performance comparison.
The performance shown represents past performance and is not a guarantee
of future results. A mutual fund's share price and investment return will
vary with market conditions, and the principal value of shares, when
redeemed, may be more or less than the original cost.
Average annual total returns are historical in nature and measure net
investment income and capital gain or loss from portfolio investments
assuming reinvestment of dividends.
---------------------------------------------------------------------------
Average Annual Total Return
---------------------------------------------------------------------------
Since Inception
1 Year 5 Years 10 Years Sept. 17, 1985
------------ ------------ ------------ ---------------
-0.98% 6.64% 10.03% 10.03%
---------------------------------------------------------------------------
Performance Comparison
Rightime Fund
S&P MidCap 400 Index
Money Market Fund Index
Comparison of change in value of $10,000 investment in the Rightime Fund,
S&P MidCap 400 Index and Money Market Fund Index.
Risk-adjusted Performance Comparison
Rightime Fund
Lipper Balanced Fund Index
Money Market Fund Index
Risk-adjusted comparison of change in value of $10,000 investment in the
Rightime Fund, Lipper Balanced Fund Index and Money Market Fund Index.
[RIGHTIME LOGO] October 31, 2000
RIGHTIME
FAMILY OF FUNDS The Rightime Blue Chip Fund
Performance Comparison
The fiscal year ending October 31, 2000 was a year of marked volatility
for equity participants. Investment trends were strong but short lived.
Generally, the initial part of the fiscal year was dominated by optimism.
The second part of the year was dominated by concern about the economy.
Continued tightening of interest rates by the Federal Reserve did serve to
slow inflationary pressures. However, it also served to slow corporate
earnings' growth and raised concerns about the rich valuations of many
stocks, especially tech stocks.
The Rightime Blue Chip Fund was positioned to enjoy part of the surge that
resulted when investors realized that the Y2K bugaboo was not going to
halt commerce at the beginning of 2000. Initial gains were limited as a
result of the S&P 500's limited exposure to technology stocks. After the
initial surge, the market deteriorated. In general, the fund spent
considerable time with limited exposure to equities. Nevertheless, the
exposure that the fund did receive served in aggregate to reduce earlier
capital appreciation. At year-end, our total return was lower than hoped
but treacherous conditions had made capital preservation a priority.
Performance Comparison
The "Performance Comparison" chart assesses the Rightime Blue Chip Fund's
performance against the S&P 500 Index, an unmanaged index of common stock
prices. The "Risk Adjusted Performance Comparison" more closely reflects
the fund's performance as compared to a consistent risk level.
The Rightime Blue Chip Fund utilizes a modeled approach to investing which
attempts to minimize risk by moving assets to money market equivalent
investments during periods in which the market appears to be overvalued.
This approach, over full market cycles, tends to invest in equity
securities approximately half of the time. In order to provide an
equivalent risk level this comparison charts the Rightime Blue Chip Fund's
performance against the Lipper Balanced Fund Index, the primary objective
of which is to conserve principle by maintaining at all times a balanced
portfolio of both stocks and bonds. The Lipper Balanced Fund Index
approaches the risk level of each fund that has been in existence for at
least one full market cycle and therefore provides a more meaningful
performance comparison.
The performance shown represents past performance and is not a guarantee
of future results. A mutual fund's share price and investment return will
vary with market conditions, and the principal value of shares, when
redeemed, may be more or less than the original cost.
Average annual total returns are historical in nature and measure net
investment income and capital gain or loss from portfolio investments
assuming reinvestment of dividends and reflecting the 4.75% sales charge.
---------------------------------------------------------------------------
Average Annual Total Return
---------------------------------------------------------------------------
Since Inception
1 Year 5 Years 10 Years July 22, 1987
------------ ------------ ------------ ---------------
-15.09% 6.34% 9.23% 8.35%
---------------------------------------------------------------------------
Performance Comparison
Rightime Blue Chip Fund
S&P 500 Index
Money Market Fund Index
Comparison of change in value of $10,000 investment in the Rightime Blue
Chip Fund, S&P 500 Index and Money Market Fund Index.
Risk-adjusted Performance Comparison
Rightime Blue Chip Fund
Lipper Balanced Fund Index
Money Market Fund Index
Risk-adjusted comparison of change in value of $10,000 investment in the
Rightime Blue Chip Fund, Lipper Balanced Fund Index and Money Market
Fund Index.
[RIGHTIME LOGO] October 31, 2000
RIGHTIME
FAMILY OF FUNDS The Rightime OTC Fund
Performance Comparison
The fiscal year ending October 31, 2000 was a year of marked volatility
for equity participants. Investment trends were strong but short lived.
Generally, the initial part of the fiscal year was dominated by optimism.
The second part of the year was dominated by concern about the economy.
Continued tightening of interest rates by the Federal Reserve did serve to
slow inflationary pressures. However, it also served to slow corporate
earnings' growth and raised concerns about the rich valuations of many
stocks, especially tech stocks.
The Rightime OTC Fund was investing utilizing its social criteria
throughout the vast majority of the fiscal year. Similar to the Blue Chip
Fund, this Fund's initial gains were limited as a result of limited
exposure to technology stocks. After the market's surge of the first
quarter, it deteriorated. In general, the fund spent considerable time
with limited exposure to equities. Nevertheless, the exposure that the
fund did receive served in aggregate to reduce earlier capital
appreciation. At year-end, our total return was not acceptable. With new
investment parameters, we aim to avoid such disappointments will be
avoided in the future.
Performance Comparison
The "Performance Comparison" chart assesses The Rightime OTC Fund's
performance against the S&P 500 Index, a broad based index. The "Risk
Adjusted Performance Comparison" more closely reflects the fund's
performance as compared to a consistent risk level.
The OTC Fund utilizes a modeled approach to investing which attempts to
minimize risk by moving assets to money market equivalent investments
during periods in which the market appears to be overvalued. This
approach, over full market cycles, tends to invest in equity securities
approximately half of the time. In order to provide an equivalent risk
level this comparison charts the OTC Fund's performance against the Lipper
Balanced Fund Index, the primary objective of which is to conserve
principle by maintaining at all times a balanced portfolio of both stocks
and bonds. The Lipper Balanced Fund Index approaches the risk level of
each fund that has been in existence for at least one full market cycle
and therefore provides a more meaningful performance comparison.
The performance shown represents past performance and is not a guarantee
of future results. A mutual fund's share price and investment return will
vary with market conditions, and the principal value of shares, when
redeemed, may be more or less than the original cost.
Average annual total returns are historical in nature and measure net
investment income and capital gain or loss from portfolio investments
assuming reinvestment of dividends and reflecting the 4.75% sales charge.
---------------------------------------------------------------------------
Average Annual Total Return
---------------------------------------------------------------------------
Since Inception
1 Year 5 Years 10 Years March 1, 1990
------------ ------------ --------------- ---------------
-26.54% 4.03% 7.91% 6.24%
---------------------------------------------------------------------------
Performance Comparison
Rightime OTC Fund
Lipper Balanced Fund Index
Money Market Fund Index
Comparison of change in value of $10,000 investment in The Rightime OTC
Fund, S&P 500 Index and Money Market Fund Index.
Risk-adjusted Performance Comparison
Rightime OTC Fund
Lipper Balanced Fund Index
Money Market Fund Index
Risk-adjusted comparison of change in value of $10,000 investment in The
Rightime OTC Fund, Lipper Balanced Fund Index and Money Market Fund Index.
[RIGHTIME LOGO] October 31, 2000
RIGHTIME
FAMILY OF FUNDS The Rightime MidCap Fund
Performance Comparison
The fiscal year ending October 31, 2000 was a year of marked volatility
for equity participants. Investment trends were strong but short lived.
Generally, the initial part of the fiscal year was dominated by optimism.
The second part of the year was dominated by concerns about the economy.
Continued tightening of interest rates by the Federal Reserve did serve to
slow inflationary pressures. However, it also served to slow corporate
earnings' growth and raised concerns about the rich valuations of many
stocks, especially tech stocks.
The Rightime MidCap Fund was well positioned to enjoy the surge that
resulted when investors realized that the Y2K bugaboo was not going to
halt commerce at the beginning of 2000. After the initial surge, the
market deteriorated. In general, the Fund spent considerable time with
limited exposure to equities. Nevertheless, the exposure that the Fund did
receive served in aggregate to reduce earlier capital appreciation. At
year end, our total return was lower than hoped but treacherous conditions
had made capital preservation a priority.
Performance Comparison
The "Performance Comparison" chart assesses the Rightime MidCap Fund's
performance against the S&P MidCap 400 Index, a broad based index. The
"Risk Adjusted Performance Comparison" more closely reflects the fund's
performance as compared to a consistent risk level.
The MidCap Fund utilizes a modeled approach to investing which attempts to
minimize risk by moving assets to money market equivalent investments
during periods in which the market appears to be overvalued. This
approach, over full market cycles, tends to invest in equity securities
approximately half of the time. In order to provide an equivalent risk
level this comparison charts the MidCap Fund's performance against the
Lipper Balanced Index, the primary objective of which is to conserve
principle by maintaining at all times a balanced portfolio of both stocks
and bonds. The Lipper Balanced Fund Index approaches the risk level of
each fund that has been in existence for at least one full market cycle
and therefore provides a more meaningful performance comparison.
The performance shown represents past performance and is not a guarantee
of future results. A mutual fund's share price and investment return will
vary with market conditions, and the principal value of shares, when
redeemed, may be more or less than the original cost.
Average annual total returns are historical in nature and measure net
investment income and capital gain or loss from portfolio investments
assuming reinvestment of dividends and reflecting the 4.75% sales charge.
-------------------------------------------------------
Average Annual Total Return
-------------------------------------------------------
Since Inception
1 Year 5 Years Nov. 11, 1991
------------ ------------ ---------------
-3.28% 10.17% 10.54%
-------------------------------------------------------
Performance Comparison
Rightime MidCap Fund
S&P MidCap 400 Index
Money Market Fund Index
Comparison of change in value of $10,000 investment in the Rightime MidCap
Fund, S&P MidCap 400 Index and Money Market Fund Index.
Risk-adjusted Performance Comparison
Rightime MidCap Fund
Lipper Balanced Fund Index
Money Market Fund Index
Risk-adjusted comparison of change in value of $10,000 investment in the
Rightime MidCap Fund, Lipper Balanced Fund Index and Money Market Fund Index.
<TABLE>
<CAPTION>
[RIGHTIME LOGO]
RIGHTIME Officers and Directors
FAMILY OF FUNDS of The Rightime Fund, Inc.
----------------------------------------------------------------------------------------------------------
NAME PRINCIPAL OCCUPATION
AND ADDRESS POSITION AND OFFICE DURING THE PAST FIVE YEARS
-------------------------- ------------------------------- ---------------------------------------------
<S> <C> <C>
David J. Rights* Chairman of the Board, President of Rightime Econometrics, Inc., a
1095 Rydal Road President, and registered investment advisor. Consultant
Rydal, PA 19046 Treasurer to and registered representative of Lincoln
Investment Planning, Inc., a registered
investment advisor and broker dealer.
Edward S. Forst Sr.* Director, Vice-President Chairman of the Board,
The Forst Pavilion and Secretary Lincoln Investment Planning
218 Glenside Avenue Inc., a registered investment advisor
Wyncote, PA 19095 and broker dealer.
Francis X. Barrett Director Vice Chairman of the Board and Member of the
Belleair, FL 33456 Finance, Investment and Executive Committee,
Sacred Heart Hospital, Formerly, Executive
Director, National Catholic Education
Association, Pastor Emeritus, Church of Holy
Guardian Angels, Reading, PA.
Dr. Winifred L. Tillery Director Education Consultant, Former Superintendent of
Mt. Laurel, NJ 08054 Schools, Camden County, New Jersey.
Dr. Carol A. Wacker Director Former Assistant Superintendent for Senior
Encinitas, CA 92024 High Schools, the Philadelphia School
District.
----------------------------------
* "Interested" director as defined
in the Investment Company Act
of 1940 (the "1940 ACT").
</TABLE>
The Rightime Family of Funds
218 Glenside Ave.
Wyncote, PA 19095-1594
Client Services Department
800-866-9393
Administrator
Rightime Administrators Inc.
218 Glenside Ave.
Wyncote, PA 19095-1594
Investment Advisor
Rightime Econometrics Inc.
1095 Rydal Road
Rydal, PA 19046
Distributor
Lincoln Investment Planning, Inc.
218 Glenside Ave.
Wyncote, PA 19095-1595
Custodian
First Union National Bank
123 S. Broad Street
Philadelphia, PA 19109
Transfer Agent
Lincoln Investment Planning, Inc.
218 Glenside Ave.
Wyncote, PA 19095-1595
Legal Counsel
Greenberg Traurig, LLP.
2700 Two Commerce Square
Philadelphia, PA 19103
Auditors
Tait, Weller & Baker
Eight Penn Center, Suite 800
Philadelphia, PA 19103
Printed on recycled paper
[RIGHTIME LOGO]
RIGHTIME
FAMILY OF FUNDS
218 Glenside Ave.
Wyncote, PA 19095-1594
PRESORTED
STANDARD
U.S. POSTAGE
PAID
LINCOLN
INVESTMENTS
|
|