<PAGE>
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Table of Contents
- -------------------------------------------------------------
THE ONE GROUP FAMILY OF MUTUAL FUNDS DECEMBER 31, 1996
<TABLE>
<S> <C>
Report From Your Investment Advisor................................................... 2
Schedules of Portfolio Investments.................................................... 6
Statements of Assets and Liabilities.................................................. 53
Statements of Operations.............................................................. 55
Statements of Changes in Net Assets................................................... 57
Notes to Financial Statements......................................................... 61
Financial Highlights.................................................................. 75
</TABLE>
1
<PAGE>
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Report From Your Investment Advisor
- -------------------------------------------------------------
THE ONE GROUP FAMILY OF MUTUAL FUNDS DECEMBER 31, 1996
WE ARE PLEASED TO PRESENT THIS SEMI-ANNUAL REPORT FOR THE ONE
GROUP-REGISTERED TRADEMARK- FAMILY OF MUTUAL FUNDS. ON THE FOLLOWING PAGES, YOU
WILL FIND AN OVERVIEW OF THE FINANCIAL MARKETS AND YOUR FUND'S PERFORMANCE FOR
THE PERIOD FROM JULY 1, 1996, THROUGH DECEMBER 31, 1996.
DEAR VALUED SHAREHOLDERS:
Thank you for your continued support of The One Group Family of Mutual Funds.
1996 proved to be a rewarding year for stock investors, and a challenging one
for bond investors. Stocks maintained the strength they exhibited during 1995
and posted impressive double-digit returns. Bond returns, on the other hand,
slipped back into the low single digits, as the market was plagued with
volatility.
As strong as the stock market's returns were during 1996, and as disappointing
as the bond market's results were, it's important to keep performance--whether
good or bad--in perspective. Returns in any single year shouldn't influence your
long-term investment strategy.
It's highly unlikely that, over the long term, the stock market will remain as
strong as it has been during the past two years, or that the bond market will
remain as volatile. While returns may fluctuate over the short term, over the
long term the markets tend to adjust for periodic ups and downs so that
performance evens out.
These market dynamics underscore the importance of three key investment
strategies:
- - MAINTAINING A LONG-TERM PERSPECTIVE. Don't let short-term returns distract
you from your long-term strategy. Let time work for your investment portfolio.
After all, it's time, not timing, that allows investments to realize their
full potential.
- - ASSET ALLOCATION. Spreading your investment dollars among stocks, bonds and
money market securities according to your goals, time frame and risk tolerance
exposes your money to opportunities from each major asset class.
- - DIVERSIFICATION. Investing in a variety of securities within each asset class
may enhance your returns while helping to reduce overall portfolio risk.
We believe that following these principles is critical to long-term investment
success. Nevertheless, it sometimes is difficult for individual investors to
implement these strategies in their own investment plans. The One Group is
always working on new ways to make investing easy and convenient. And now,
taking advantage of these investment techniques has never been simpler.
Four new funds--THE ONE GROUP INVESTOR FUNDS-- take the time and complexity out
of allocating your assets and assembling a diversified investment portfolio.
They offer a convenient way to enjoy asset allocation and broad diversification
from ONE investment.
Each of The One Group Investor Funds is targeted toward a specific investment
objective, such as growth, income or a combination of the two. In striving to
meet these objectives, the investment professionals managing The One Group
Investor Funds invest in a combination of mutual funds from The One Group
family. So, by investing in the SINGLE One Group Investor Fund best suited to
your goals, you enjoy instant diversification and professional asset allocation.
The One Group Investor Funds are suitable for various investment goals,
including one of the most important--retirement. Because they offer a single
source for asset allocation and broad diversification, they may be ideal
investments for THE ONE GROUP IRA.
The One Group IRA can be one of the smartest ways to save for retirement:
- - All workers AND non-working spouses may contribute up to $2,000 A YEAR.
- - You accumulate TAX-DEFERRED EARNINGS during your working years.
- - For certain investors, some or all of the $2,000 annual IRA contribution limit
may be TAX-DEDUCTIBLE.
There's still time to make your IRA investment for the 1996 income tax year; the
deadline is April 15. All it takes is a minimum of $25 to set up your IRA, as
long as you sign up for systematic investing. Otherwise, the minimum is $250.
And, if you maintain a balance of at least $1,000, The One Group will waive the
annual IRA maintenance fee.
2
<PAGE>
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Report From Your Investment Advisor, continued
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THE ONE GROUP FAMILY OF MUTUAL FUNDS DECEMBER 31, 1996
We invite you to learn more about The One Group Investor Funds and The One Group
IRA by calling 1-800-480-4111, or by visiting The One Group web site at
WWW.ONEGROUP.COM. From here, you quickly can access a variety of fund-related
information, including prices, performance updates, fund manager biographies and
more. In addition, you will find an interactive asset allocation tool with which
you can determine your investor profile and select an appropriate model
portfolio.
Thank you again for the confidence you have shown in The One Group Family of
Mutual Funds. Your ongoing support is appreciated as The One Group continues to
make investing rewarding and convenient.
Sincerely,
[SIG]
David J. Kundert
PRESIDENT & CEO
BANC ONE INVESTMENT ADVISORS CORPORATION, INVESTMENT ADVISOR TO THE ONE GROUP
[DAVID J. KUNDERT PHOTO]
- ---------
For more complete information about The One Group Investor Funds and The One
Group IRA, including charges and expenses, you may obtain a prospectus by
calling The One Group at 1-800-480-4111. Please read the prospectus carefully
before you invest.
3
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Report From Your Investment Advisor, continued
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THE ONE GROUP FAMILY OF MUTUAL FUNDS DECEMBER 31, 1996
ECONOMY STAYS ON STEADY COURSE
Economic growth during the second half of 1996 started out on unstable ground,
with inventory accumulation representing approximately 75% of the third
quarter's 2.1% GDP growth. When growth is backed by a surge in inventories, it
is not sustainable. During the fourth quarter, though, a decline in the level of
reported inventories revealed virtually no contribution from this component
toward the 4.7% overall growth rate. This demonstrated that the composition of
growth as the year ended was much more solid than it was in the third quarter.
EXPECTED FED ACTION DOESN'T MATERIALIZE
While short-term interest rates, such as the three-month Treasury bill rate,
seem to have remained relatively stable from the beginning of the six-month
period, when they were 5.23%, to the end, when they were 5.17%, there was, in
fact, significant volatility in between. After a surge in GDP growth in the
second quarter--to 4.7%--the bond market became convinced that a tightening by
the Federal Reserve was necessary, causing rates on the two-year Treasury note
to climb as high as 6.43%. The Fed, however, left its monetary policy unchanged,
and short-term rates came back down.
With regard to adjusting monetary policy, the Fed remained idle during the
second half of the year. In fact, the only Fed action for all of 1996 came on
Jan. 31, when it cut the federal funds rate by 0.25%. Nevertheless, the Fed
continued to nurture economic growth during the second half, as it was able to
largely ignore the tightness of the labor market and increased labor costs that
characterized the period. The Fed's current philosophy continues to be somewhat
preemptive in nature, but not as preemptive as it was in 1994, when it first
introduced this philosophy to the financial markets.
LONG-TERM RATES DECLINE
Investor concerns about stronger economic growth diminished during the final few
months of the year, as the market became more hopeful that economic growth
eventually would slow down. As a result, long-term interest rates toward the
latter half of the year proceeded to decline even in the wake of higher
inflation.
Consumer prices slowly increased during the period, ending the year up 3.3% on a
year-over-year basis. Prices at the beginning of the six-month period were
rising only 2.8% on a year-over-year basis. The decline in long-term rates
occurred on the bond market's expectation that inflation in 1997 would be a lot
more subdued, and slower economic growth would take some wind out of
inflationary pressures.
The decline in long-term interest rates during the second half of the year
continued to add overall support to the country's stock market. In addition, it
may have offered the housing sector a helping hand. In November, for example,
housing starts posted a gain of 9.3%, which represented the highest monthly
growth rate since July 1995, when housing starts were up 11.5%. Nevertheless, by
year-end, we observed that poor weather in the West caused December's housing
starts to plunge by 12.2%.
WHAT'S IN STORE FOR 1997
After growing at a rate of 2.5% in 1996, we think the economy may slow down in
1997, as growth softens. Some of this slowdown is likely to be caused by a
continued dampening of growth in consumer credit.
As growth slows, consumer prices should increase by approximately 3.5% (on a
year-over-year basis) in 1997, due to growing labor cost pressures. This factor
is likely to push long-term interest rates up during the year. After starting
the year at 6.5%, we believe that the 30-year Treasury bond may peak during the
second half of the year and then fall back to approximately 6.9% in the fourth
quarter if economic growth slows.
One of the major uncertainties for the bond market in the first half of 1997
will be whether or not the tight labor market persists, and, furthermore,
whether it will result in much firmer consumer prices. Current bond prices
suggest that the market remains optimistic, but in the event that these
pressures translate into much higher prices, the bond market may encounter great
difficulty in the first half of the year.
We suspect that the Federal Reserve may combat rising consumer prices with an
increase in short-term interest rates. Our preliminary projections show that the
federal funds rate may move up during the first half of 1997, which should place
some downward pressure on stock prices.
[SIG]
Anthony Chan, Ph.D.
VICE PRESIDENT AND CHIEF ECONOMIST
BANC ONE INVESTMENT ADVISORS CORPORATION
4
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Report From Your Investment Advisor, continued
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THE ONE GROUP FAMILY OF MUTUAL FUNDS DECEMBER 31, 1996
STOCK MARKET CONTINUES TO SOAR
The stock market in the second half of 1996 performed much the same way as it
did during the first half of 1996--breaking record after record. Most of the
market's strength was due to solid corporate earnings coupled with subdued
inflation and relatively stable interest rates.
The Dow Jones Industrial Average, for example, reached two milestones within the
first two weeks of October. On October 1 the Index topped 5900 for the first
time, and on October 14 it topped 6000 for the first time. And, just a few weeks
later, on November 25, the Dow closed at 6548, its high point for the year.
The Standard & Poor's 500 Index, a popular benchmark for measuring stock market
performance, was up 11.68% for the second half of 1996. This represented a
little more than half of its total 1996 return of 22.96%.
We are pleased to report that The One Group domestic stock funds provided
attractive results during both the six-month and one-year periods. For the
12-month period ended December 31, 1996, all of the U.S. funds posted strong
double-digit returns.
LARGE STOCKS FUEL MARKET'S SURGE
Nothing seemed to interfere with the stock market's run during the second half
of the year, not even a brief period of market weakness in July. Earnings
disappointments and the fear that a stronger economy during the second quarter
would lead to higher interest rates contributed to a 7% decline during the first
two weeks of the month. But, once the actual second-quarter data were released,
they showed that economic growth was, in fact, in line with original
expectations. Investor fears were alleviated, and the market soon was back on
its record-breaking course.
Until this point, returns on small- and large-company stocks had been about
even. But, after the July market sell-off, investors tended to favor stocks of
large, well-known corporations over those of smaller companies. These larger
companies offered the consistency and predictability of earnings that investors
demanded. As a result, larger-capitalization growth stocks, as measured by the
S&P 500, outperformed smaller-capitalization stocks during the second half of
the year.
INTERNATIONAL STOCKS SUFFER SETBACK
In the international stock arena, returns, as measured by the Europe, Australia
and Far East Gross Domestic Product (EAFE GDP) Index, were disappointing
compared to those of U.S. stocks. The EAFE GDP Index was up only 2.26% during
the second half of the year and 7.73% for the entire year. Much of this was due
to the Japanese market, which comprises 25% of the Index and suffered a downturn
all year long. Furthermore, the U.S. dollar gained significant ground compared
to the yen, which magnified the downturn in U.S. currency.
On the bright side, many European markets performed well throughout the year,
and the emerging markets offered some of the year's strongest performance.
KEEPING PERFORMANCE IN PERSPECTIVE
It's important to remember that the widely-publicized performance of market
indexes, such as the Dow Jones Industrial Average and the S&P 500, typically is
not indicative of the performance of specific mutual funds. Except for our
designated "index" funds, the composition of The One Group Funds differs
significantly from the broad-based market indexes.
It was difficult for most stock fund managers to keep pace with the S&P 500
during 1996, mainly because the best price moves came from the very biggest
growth stocks. Most stock funds have holdings in medium-and small-company
stocks, which did not experience the same price increases as their larger
counterparts. Neither did value stocks, which, in general, underperformed their
growth-oriented peers.
Over time, we believe that such performance inequalities will even out.
Smaller-capitalization stocks may, at some point soon, outperform large-
capitalization stocks; value stocks may dominate growth stocks; and
international stocks may catch up to domestic stocks. As such, we encourage our
investors to remain diversified among a variety of stock types and to stay
focused on long-term returns.
GOOD PERFORMANCE AHEAD
We expect the stock market to offer attractive returns in 1997, but not at the
unusually robust levels that we witnessed in 1995 and 1996. It's likely that
corporate earnings will remain strong, inflation will stay in control, and
interest rates will increase, but only slightly. This environment should present
a favorable backdrop for the stock market.
Sincerely,
[SIG]
Richard R. Jandrain III
SENIOR MANAGING DIRECTOR OF EQUITY SECURITIES
BANC ONE INVESTMENT ADVISORS CORPORATION
5
<PAGE>
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The One Group Family of Mutual Funds
ASSET ALLOCATION FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
<C> <S> <C>
ASSET BACKED SECURITIES (2.9%):
$ 762 Advanta Mortgage Loan Trust 1994-3 A2
7.60%, 7/25/10........................... $ 772
250 Case Equipment Loan Trust 1996-B A3
6.65%, 9/15/03........................... 253
480 Green Tree Financial Corp. 1996-3 A3
6.70%, 5/15/27........................... 483
170 Honda Auto Receivables Grantor Trust 1994-A
A 4.80%, 8/15/99......................... 170
160 KeyCorp Auto Grantor Trust 1995-A A
5.80%, 7/15/00........................... 160
1,025 Olympic Automobile Receivables Trust 1996-B
A4 6.70%, 3/15/02........................ 1,036
298 The Money Store Home Equity Trust 1994-B A2
6.80%, 2/15/13........................... 296
147 Union Federal Savings Bank Trust
1994-A A 5.08%, 5/15/00.................. 145
151 World Omni Automobile Lease Securitization
Trust 1994-A A 6.45%, 9/25/00............ 151
---------
Total Asset Backed Securities 3,466
---------
COMMON STOCKS (50.5%):
Capital Goods (3.9%):
13 BW/IP Holdings, Inc. ...................... 211
18 Crane Co. ................................. 526
6 Fluor ..................................... 395
13 General Electric Co. ...................... 1,325
5 Hubbell, Inc. Class B ..................... 216
8 Ingersoll Rand Co. ........................ 369
15 Mark IV Industries, Inc. .................. 333
7 Teleflex, Inc. ............................ 360
9 Tyco Labs ................................. 449
8 York International Corp. .................. 419
---------
4,603
---------
Consumer Durable (1.4%):
6 Briggs & Stratton Corp. ................... 268
21 Ford Motor Co. ............................ 682
11 Harley-Davidson, Inc. ..................... 494
4 Harman International Industries, Inc. ..... 239
---------
1,683
---------
Consumer Non-Durable (6.1%):
19 Archer-Daniels-Midland Co. ................ 418
6 Colgate Palmolive Co. ..................... 581
7 CPC International ......................... 543
6 Dole Food Co. (b) ......................... 217
8 First Brands Corp. ........................ 238
14 Newell Companies, Inc. .................... 428
7 Nine West Group, Inc. (b)(c) .............. 329
10 PepsiCo, Inc. ............................. 298
11 Phillip Morris Companies, Inc. ............ 1,194
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Consumer Non-Durable, continued:
5 Proctor & Gamble Co. ...................... $ 538
8 Revlon, Inc. (c) .......................... 251
8 RJR Nabisco Holdings Corp. ................ 262
8 Smithfield Foods, Inc. (c) ................ 315
11 Sysco Corp. ............................... 362
13 The Coca Cola Co. ......................... 668
6 Tupperware Corp. .......................... 338
7 Universal Corp. ........................... 231
---------
7,211
---------
Consumer Services (2.4%):
6 Belo (A.H.) Corp., Series A (b) ........... 223
14 Callaway Golf Co. ......................... 408
9 Carnival Cruise Lines ..................... 310
10 Hasbro, Inc. (b) .......................... 400
15 Hilton Hotels (b) ......................... 387
7 MGM Grand, Inc. (c) ....................... 234
15 Time Warner, Inc. ......................... 555
4 Walt Disney Co. ........................... 299
---------
2,816
---------
Energy (4.2%):
3 Atlantic Richfield Co. .................... 450
4 BJ Services Co. (b)(c) .................... 214
9 Devon Energy Corp. (b) .................... 306
14 Exxon Corp. ............................... 1,372
6 Halliburton Co. ........................... 380
4 Helmerich & Payne, Inc. ................... 229
10 Mapco, Inc. ............................... 326
6 Mobil Corp. ............................... 770
4 Tosco Corp. ............................... 340
14 USX-Marathon Group ........................ 327
8 Weatherford Enterra, Inc. (c) ............. 243
---------
4,957
---------
Financial Services (7.4%):
3 Aames Financial Corp. (b) ................. 108
10 Aflac, Inc. ............................... 432
4 AmSouth Bancorporation .................... 213
8 Bancorp Hawaii, Inc. ...................... 328
9 BankAmerica Corp. ......................... 858
8 Charter One Financial, Inc. ............... 332
8 Chase Manhattan Corp. ..................... 723
4 CIGNA Corp. ............................... 587
14 Equitable Cos., Inc. (b) .................. 335
21 Federal National Mortgage Assoc. .......... 767
8 First American Bank Corp. (b) ............. 475
9 Imperial Credit Industries, Inc. (c) ...... 193
8 ITT Hartford Group, Inc. .................. 533
5 J.P. Morgan & Co., Inc. (b) ............... 517
9 KeyCorp ................................... 460
</TABLE>
CONTINUED
6
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
ASSET ALLOCATION FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
Financial Services, continued:
5 Provident Cos., Inc. (b) .................. $ 261
10 Southtrust Corp. .......................... 363
7 SunAmerica, Inc. .......................... 320
17 Travelers Group, Inc. ..................... 756
4 Washington Mutual, Inc. ................... 178
---------
8,739
---------
Health Care (5.7%):
15 Abbott Labs ............................... 771
1 Allegiance Corp. .......................... 41
9 Amgen, Inc. (c) ........................... 462
11 Baxter International, Inc. ................ 431
4 Cardinal Health, Inc. ..................... 259
11 Columbia/HCA Healthcare Corp. ............. 452
11 Eli Lilly & Co. ........................... 825
3 HBO & Co. (b) ............................. 154
9 Medtronic, Inc. ........................... 619
17 Merck & Co., Inc. ......................... 1,331
6 Phycor, Inc. (b)(c) ....................... 165
9 Schering Plough ........................... 609
7 Vencor, Inc. .............................. 212
8 Watson Pharmaceutical, Inc. (c) ........... 377
---------
6,708
---------
Raw Materials (2.9%):
6 Aluminum Co. of America ................... 408
6 Betz Laboratories, Inc. ................... 363
18 Crompton & Knowles Corp. .................. 354
5 Du Pont (EI) De Nemours ................... 425
6 Ferro Corp. ............................... 162
4 IMC Global, Inc. (b) ...................... 172
10 Monsanto Co., Inc. ........................ 397
8 Nalco Chemical Co. ........................ 303
8 Praxair, Inc. ............................. 387
5 Sigma-Aldrich Corp. ....................... 306
9 Wellman, Inc. ............................. 158
---------
3,435
---------
Retail (2.7%):
11 Carson Pirie Scott & Co. (c) .............. 285
9 Dollar General ............................ 288
12 Gap, Inc. ................................. 374
11 Just For Feet, Inc. (b)(c) ................ 276
12 McDonald's Corp. .......................... 557
17 Officemax, Inc. (c) ....................... 184
8 TJX Companies, Inc. ....................... 388
34 Wal-Mart Stores, Inc. ..................... 775
---------
3,127
---------
Shelter (0.2%):
16 Kaufman & Broad Home Corp. ................ 211
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Technology (8.0%):
10 Analog Devices, Inc. (c) .................. $ 349
5 Boeing Co. ................................ 543
13 Cisco Systems, Inc. (c) ................... 795
7 Compaq Computer Corp. (c) ................. 520
4 Gateway 2000, Inc. (b)(c) ................. 225
15 Intel Corp. ............................... 1,899
7 International Business Machines ........... 1,057
4 Litton Industries, Inc. (c) ............... 205
4 Lockheed Martin Corp. ..................... 357
7 Lucent Technologies, Inc. (b) ............. 316
19 Microsoft (c) ............................. 1,537
12 National Semiconductor Corp. (c) .......... 300
11 Oracle Corp. (c) .......................... 463
10 Orbital Sciences Corp. (c) ................ 174
8 Rohr Industries, Inc. (c) ................. 183
20 Sun Microsystems, Inc. (c) ................ 501
---------
9,424
---------
Utilities (5.6%):
15 Central & South West Corp. ................ 382
6 Century Telephone Enterprises ............. 198
15 Consolidated Edison Co. of New York, Inc.
(b) ..................................... 442
27 Edison International ...................... 533
9 Enron Corp. ............................... 388
12 General Public Utilities Corp. ............ 403
20 GTE Corp. ................................. 901
15 Illinova Corp. ............................ 399
14 MCN Corp. ................................. 390
17 New York State Electric & Gas ............. 368
1 Panenergy Corp. ........................... 27
7 National Fuel Gas Co. ..................... 276
15 SBC Communications, Inc. (b) .............. 756
12 Sprint Corp. .............................. 479
7 Telephone & Data Systems, Inc. ............ 254
11 Texas Utilities ........................... 428
---------
6,624
---------
Total Common Stocks 59,538
---------
CORPORATE BONDS (7.2%):
Bank & Finance (3.8%):
$ 750 First Hawaiian, Inc., 6.25%, 8/15/00 ...... 741
500 Chrysler Financial Corp., 5.88%, 2/7/01 ... 487
500 Midland Bank PLC, 6.95%, 3/15/11 .......... 489
500 Ford Motor Credit, 8.38%, 1/15/00 ......... 526
250 Lehman Brothers Holdings, 6.38, 6/1/98..... 250
500 Lehman Brothers, Inc.,9.88%, 10/15/00 ..... 549
800 McDonnell Douglas, 9.30%, 9/11/02 (c) ..... 853
500 Suntrust Banks, 7.38%, 7/1/02 ............. 516
---------
4,411
---------
</TABLE>
CONTINUED
7
<PAGE>
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The One Group Family of Mutual Funds
ASSET ALLOCATION FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
CORPORATE BONDS, CONTINUED:
<C> <S> <C>
Industrials (1.7%):
$ 500 Campbell Soup Co., 5.63%, 9/15/03 ......... $ 473
500 Dayton Hudson Co., 7.25%, 9/1/04 .......... 504
500 Occidental Petroleum, 9.25%, 8/1/19 ....... 592
500 J C Penney & Co., 5.38%, 11/15/98 ......... 492
---------
2,061
---------
Transportation (0.4%):
500 Union Pacific Co., 7.60%, 5/1/05 .......... 515
---------
Utilities (1.3%):
500 AT&T Corp., 6.00%, 8/1/00 ................. 489
500 AT&T Corp., 7.50%, 6/1/06 ................. 520
500 Virginia Electric & Power, 6.63%, 4/1/03... 494
---------
1,503
---------
Total Corporate Bonds 8,490
---------
FEDERAL AGENCY DEBENTURES (1.7%):
Federal National Mortgage Assoc.
1,000 5.55%, 9/8/98.............................. 992
1,000 5.53%, 2/10/99............................. 987
---------
1,979
---------
U.S. GOVERNMENT AGENCY MORTGAGES (17.1%):
Federal Home Loan Mortgage Corp.
202 10.00%, 9/1/03, Pool #E30407............... 213
322 8.00%, 3/1/08, Pool # E45796............... 331
1,000 7.00%, 1/15/12 TBA......................... 1,000
334 10.50%, 10/1/20, Pool #D24679.............. 366
932 8.00%, 5/1/25, Pool #D60455................ 949
992 6.50%, 2/1/26, Pool #D68124................ 949
495 7.00%, 3/1/26, Pool #D69430................ 486
980 7.50%, 5/1/26, Pool #C00460................ 981
960 8.50%, 7/1/26, Pool #C00472................ 994
999 7.00%, 10/1/26, Pool #D75494............... 980
Federal National Conventional Loan
441 8.00%, 6/1/24, Pool #250085................ 449
698 8.00%, 6/1/24, Pool #270402................ 710
Federal National Mortgage Assoc.
968 6.50%, 5/1/11, Pool #337195................ 950
949 6.50%, 2/1/26, Pool #337115................ 907
955 7.50%, 5/1/26, Pool #344916................ 955
993 7.00%, 5/1/26, Pool #346269................ 972
495 7.50%, 11/1/26............................. 494
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
<C> <S> <C>
U.S. GOVERNMENT AGENCY MORTGAGES, CONTINUED:
Government National Mortgage Assoc.
$ 806 5.50%, 4/20/11, Pool #2222................. $ 752
1,259 8.00%, 8/15/24, Pool #394024............... 1,285
738 7.00%, 8/15/25, Pool #413007............... 722
994 7.00%, 5/15/26, Pool #375344............... 972
995 7.50%, 5/15/26, Pool #375345............... 995
1,000 6.50%, 4/15/26, Pool #416192............... 954
800 6.50%, 4/15/26, Pool #424185............... 763
1,000 8.50%, 1/15/27 TBA......................... 1,034
---------
Total U.S. Government Agencies 20,163
---------
U.S. TREASURY OBLIGATIONS (16.2%):
U.S. Treasury Bills
55 1/9/97 (d)................................. 55
10 1/16/97 (d)................................ 10
110 3/20/97 (d)................................ 109
40 3/27/97 (d)................................ 39
U.S. Treasury Bonds
4,700 8.13%, 8/15/19 (b)......................... 5,434
750 11.25%, 2/15/15............................ 1,108
U.S. Treasury Notes
2,500 5.38%, 11/30/97 (b)........................ 2,494
3,500 7.25%, 2/15/98 (b)......................... 3,557
2,250 7.00%, 4/15/99............................. 2,300
1,000 6.38%, 1/15/00............................. 1,009
3,000 6.50%, 5/31/01............................. 3,033
---------
Total U.S. Treasury Obligations 19,148
---------
Total Investments, at value 112,784
---------
REPURCHASE AGREEMENTS (6.5%):
5,654 Aubrey G. Lanston & Co., 6.80%, 1/2/97
(collateralized by $5,559 U.S. Treasury
Securities, 8.875%, 11/15/97, market
value--$5,717)........................... 5,654
1,970 Lehman Brothers, 7.02%, 1/2/97
(collateralized by $1,885 U.S. Government
Agencies, 8.06%-8.57%, 10/26/09-3/24/10,
market value-- $2,010)................... 1,970
---------
Total Repurchase Agreements 7,624
---------
Total (Cost--$113,209) $ 120,408
---------
---------
</TABLE>
- ------------
Percentages indicated are based on net assets of $117,862.
CONTINUED
8
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
ASSET ALLOCATION FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<C> <S>
(a) Represents cost for financial reporting purposes and differs from cost basis for federal income tax purposes by the
amount of losses recognized for financial reporting purposes in excess of federal income tax reporting of approximately
$145. Cost for federal income tax purposes differs from value by net unrealized appreciation of securities as follows:
</TABLE>
<TABLE>
<S> <C>
Unrealized appreciation.................................................... $ 8,138
Unrealized depreciation.................................................... (1,084)
---------
Net unrealized appreciation................................................ $ 7,054
---------
---------
</TABLE>
<TABLE>
<C> <S>
(b) A portion of this security was loaned as of December 31, 1996.
</TABLE>
<TABLE>
<C> <S>
(c) Non-income producing securities.
</TABLE>
<TABLE>
<C> <S>
(d) Serves as collateral for futures contracts.
</TABLE>
At December 31, 1996, the portfolio's open futures contracts were as follows:
<TABLE>
<CAPTION>
# OF OPEN MARKET
CONTRACTS CONTRACT TYPE POSITIONS VALUE
- ---------- ------------------------------------------------------------ ----------- -----------
<C> <S> <C> <C>
LONG CONTRACTS:
15 S & P 500, March 1997....................................... $ 5,521 $ 5,584
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
9
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INCOME EQUITY FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS (85.2%):
Business Equipment & Services (4.7%):
60 Automatic Data Processing................. $ 2,572
180 Browning-Ferris Industries, Inc. ......... 4,725
115 Dun & Bradstreet Corp. ................... 2,731
140 Electronic Data Systems Corp. ............ 6,055
100 National Service Industries, Inc. ........ 3,737
---------
19,820
---------
Capital Goods (3.9%):
145 Cooper Industries, Inc. .................. 6,108
70 Deere & Co. .............................. 2,844
50 General Electric Co. ..................... 4,944
30 Johnson Controls, Inc. ................... 2,486
---------
16,382
---------
Consumer Durable (2.2%):
90 Briggs & Stratton Corp. (b)............... 3,960
170 Ford Motor Co. ........................... 5,419
---------
9,379
---------
Consumer Non-Durable (13.9%):
75 American Greetings Corp., Class A......... 2,128
80 Campbell Soup Co. ........................ 6,420
120 Coca Cola Co. ............................ 6,315
150 ConAgra, Inc. ............................ 7,463
80 Eastman Kodak Co. ........................ 6,420
120 International Flavors & Fragrance......... 5,400
85 Philip Morris Companies, Inc. ............ 9,573
45 Proctor & Gamble Co. ..................... 4,837
100 Tupperware Corp. ......................... 5,363
65 V.F. Corp. ............................... 4,387
---------
58,306
---------
Consumer Services (1.4%):
130 McGraw Hill, Inc. ........................ 5,996
---------
Energy (10.4%):
70 Amoco Corp. .............................. 5,635
30 Atlantic Richfield Co. ................... 3,975
90 Exxon Corp. .............................. 8,820
85 Halliburton Co. .......................... 5,121
70 Mobil Corp. .............................. 8,558
90 Phillips Petroleum Co. ................... 3,982
45 Royal Dutch Petroleum Co. (b)............. 7,684
---------
43,775
---------
Financial Services (13.3%):
102 Allstate Corp. ........................... 5,902
125 American Express Co. ..................... 7,063
70 BankAmerica Corp. ........................ 6,982
60 Citicorp.................................. 6,180
130 Federal National Mortgage Assoc. ......... 4,843
130 First Tennessee National Corp. (b)........ 4,875
70 J.P. Morgan & Co. ........................ 6,834
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Financial Services, continued:
100 Lincoln National Corp. ................... $ 5,250
90 Reliastar Financial Corp. ................ 5,197
35 TransAmerica Corp. ....................... 2,765
---------
55,891
---------
Health Care (9.6%):
110 American Home Products.................... 6,449
185 Baxter International, Inc. ............... 7,585
80 Bristol Myers Squibb Co. ................. 8,700
120 Columbia/HCA Healthcare Corp. ............ 4,890
80 Schering Plough........................... 5,180
100 Warner Lambert Co. ....................... 7,500
---------
40,304
---------
Multi-Industry (0.9%):
80 Corning, Inc. ............................ 3,700
---------
Raw Materials (4.7%):
90 Dow Chemical Co. ......................... 7,054
70 Du Pont (EI) de Nemours & Co. ............ 6,606
165 Nalco Chemical Co. ....................... 5,960
---------
19,620
---------
Retail (0.5%):
45 May Department Stores..................... 2,104
---------
Technology (9.1%):
75 AMP, Inc. ................................ 2,878
60 Boeing Co. ............................... 6,383
55 Hewlett-Packard Co. ...................... 2,764
45 Intel Corp. .............................. 5,892
60 Lockheed Martin Corp. .................... 5,490
65 Lucent Technologies, Inc. ................ 3,023
80 Raytheon Co. ............................. 3,850
150 Xerox Corp. .............................. 7,894
---------
38,174
---------
Transportation (0.9%):
60 Union Pacific Corp. ...................... 3,608
---------
Utilities (9.7%):
160 AT&T Corp. ............................... 6,960
140 Bell South Corp. ......................... 5,652
170 Central & South West Corp. ............... 4,356
100 Duke Power Co. (b)........................ 4,625
160 Entergy Corp. ............................ 4,440
125 GTE Corp. ................................ 5,687
125 SBC Communications, Inc. (b).............. 6,469
60 Sprint Corp. ............................. 2,393
---------
40,582
---------
Total Common Stocks 357,641
---------
CONVERTIBLE BONDS (7.3%):
$ 4,000 Alza Corp., 5.00%, 5/1/06................. 3,855
</TABLE>
CONTINUED
10
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INCOME EQUITY FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------ ---------
CONVERTIBLE BONDS, CONTINUED:
<C> <S> <C>
$ 1,000 Healthsouth Rehabilitation Corp., 5.00%,
4/1/01.................................. $ 1,989
2,000 Hilton Hotels, 5.00%, 5/15/06............. 2,088
4,000 Home Depot,
3.25%, 10/1/01
Callable 10/1/99 @ 100.81, 10/1/00 @
100..................................... 3,920
4,000 Masco Corp., 5.25%, 2/15/12............... 4,055
3,750 Medical Care International, 6.75%,
10/1/06................................. 3,806
2,250 Pennzoil Co., 6.50%, 1/15/03 (b).......... 3,465
3,500 Pep Boys-Manny, Moe, & Jack, 4.00%,
9/1/99.................................. 3,535
3,750 Price Co., 5.50%, 2/28/12................. 3,863
---------
Total Convertible Bonds 30,576
---------
PREFERRED STOCKS (6.6%):
90 Corning Delaware.......................... 5,726
65 Crown Cork & Seal......................... 3,380
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------ ---------
<C> <S> <C>
PREFERRED STOCKS, CONTINUED:
75 Cyprus Amax Minerals Co. ................. $ 4,059
40 Microsoft Corp. .......................... 3,205
25 Salomon, Inc. ............................ 2,672
100 Sonoco Products........................... 5,488
175 Westinghouse Electric..................... 3,128
---------
Total Preferred Stocks 27,658
---------
Total Investments, at value 415,875
---------
REPURCHASE AGREEMENTS (0.8%):
$ 3,482 Lehman Brothers, 7.02%, 1/2/97,
(collaterized by $3,665 Federal Home
Loan Mortgage Corps., 5.78%-6.18%,
10/22/03-11/26/03, market value--
$3,555)................................. 3,482
---------
Total Repurchase Agreements 3,482
---------
Total (Cost--$293,385) (a) $ 419,357
---------
---------
</TABLE>
- ------------
Percentages indicated are based on net assets of $419,934.
<TABLE>
<C> <S>
(a) Represents cost for federal income tax purposes and differs from value by net unrealized appreciation of securities as
follows:
</TABLE>
<TABLE>
<S> <C>
Unrealized appreciation................................................... $ 127,983
Unrealized depreciation................................................... (2,011)
---------
Net unrealized appreciation............................................... $ 125,972
---------
---------
</TABLE>
<TABLE>
<C> <S>
(b) A portion of this security was loaned as of December 31, 1996.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
11
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS (94.3%):
Business Equipment & Services (1.9%):
27 Automatic Data Processing................. $ 1,137
19 Browning-Ferris Industries, Inc. ......... 498
9 Canadian Moore Corp. Ltd. ................ 183
7 Ceridian Corp. (c) ....................... 274
15 Cognizant Corp. .......................... 505
7 Computer Science Corp. (c) ............... 542
8 Deluxe Corp. ............................. 248
15 Dun & Bradstreet Corp. ................... 363
6 Ecolab, Inc. ............................. 216
40 First Data Corp. ......................... 1,475
9 H & R Block............................... 266
7 Interpublic Group Cos., Inc. ............. 337
3 John H. Harland Co. ...................... 87
27 Laidlaw Inc., Class B, Non-Voting (b) .... 306
5 National Service Industries, Inc. ........ 173
13 Pitney Bowes, Inc. ....................... 734
7 Ryder Systems, Inc. ...................... 203
14 R.R. Donnelley & Sons Co. ................ 442
5 Safety-Kleen Corp. ....................... 88
20 Service Corp. International............... 569
44 WMX Technologies, Inc. (b) ............... 1,420
---------
10,066
---------
Capital Goods (5.4%):
8 Black & Decker Corp. ..................... 229
6 Case Corp. ............................... 343
17 Caterpillar, Inc. (b) .................... 1,303
4 Cincinnati Milacron, Inc. ................ 78
10 Cooper Industries, Inc. .................. 410
4 Crane Co. ................................ 112
4 Cummins Engine, Inc. ..................... 174
23 Deere & Co. .............................. 934
10 Dover Corp. (b) .......................... 504
20 Emerson Electric Co. ..................... 1,934
8 Fluor Corp. .............................. 476
3 Foster Wheeler Corp. ..................... 128
148 General Electric Co. ..................... 14,660
5 General Signal Corp. ..................... 194
3 Giddings & Lewis, Inc. ................... 38
5 Grainger W.W., Inc. ...................... 395
4 Harnischfeger Industries, Inc. ........... 208
11 Honeywell, Inc. .......................... 750
11 Illinois Tool Works....................... 851
9 Ingersoll Rand Co. ....................... 411
4 Johnson Controls, Inc. ................... 310
0 Nacco Industries, Inc. ................... 21
7 Navistar International Corp. (c) ......... 64
3 Newport News Shipbuilding (c) ............ 48
4 Owens-Corning Fiberglass Corp. ........... 189
3 Paccar, Inc. ............................. 234
7 Parker-Hannifin Corp. .................... 261
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Capital Goods, continued:
17 PPG Industries, Inc. ..................... $ 977
8 Sherwin-Williams Co. ..................... 442
6 Snap-On, Inc. ............................ 205
8 Stanley Works............................. 210
3 Timken Co. ............................... 123
2 Trinova Corp. ............................ 89
14 Tyco Labs................................. 722
49 Westinghouse Electric Corp. (b) .......... 973
---------
29,000
---------
Consumer Durable (2.3%):
2 Briggs & Stratton Corp. (b) .............. 104
65 Chrysler Corp. ........................... 2,155
8 Cooper Tire & Rubber Co. ................. 152
9 Dana Corp. ............................... 290
7 Eaton Corp. .............................. 489
6 Echlin, Inc. ............................. 175
107 Ford Motor Co. ........................... 3,397
68 General Motors Corp. ..................... 3,800
11 Genuine Parts Co. ........................ 488
14 Goodyear Tire & Rubber Co. ............... 695
10 ITT Industries, Inc. ..................... 251
9 Maytag Corp. ............................. 183
7 Whirlpool Corp. (b) ...................... 322
---------
12,501
---------
Consumer Non-Durable (12.2%):
2 Alberto Culver Co., Class B............... 109
16 American Brands, Inc. .................... 786
7 American Greetings Corp., Class A......... 196
45 Anheuser Busch Co., Inc. ................. 1,785
50 Archer-Daniels Midland Co. ............... 1,106
13 Avon Products, Inc. ...................... 714
2 Ball Corp. ............................... 64
5 Bemis Co. ................................ 185
6 Brown-Forman Corp., Class B............... 288
21 Campbell Soup Co. ........................ 1,698
5 Clorox Co. ............................... 475
13 Colgate Palmolive Co. .................... 1,210
22 ConAgra, Inc. ............................ 1,071
3 Coors Adolph Co., Class B................. 65
13 CPC International......................... 1,023
11 Crown Cork & Seal Co. .................... 607
30 Eastman Kodak Co. ........................ 2,448
3 Fleming Co., Inc. ........................ 58
7 Fruit of The Loom, Inc., Class A (c) ..... 265
14 General Mills, Inc. ...................... 911
40 Gillette Co. (b) ......................... 3,071
14 Hershey Foods Corp. ...................... 606
33 H.J. Heinz Co. ........................... 1,177
10 International Flavors & Fragrance (b) .... 447
4 Jostens, Inc. ............................ 79
</TABLE>
CONTINUED
12
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
Consumer Non-Durable, continued:
19 Kellogg Co. (b) .......................... $ 1,277
7 Liz Claiborne, Inc. ...................... 270
14 Newell Companies, Inc. ................... 451
26 Nike, Inc., Class B....................... 1,548
141 PepsiCo, Inc. ............................ 4,118
74 Phillip Morris Companies, Inc. ........... 8,279
8 Pioneer Hi Bred International, Inc. ...... 553
4 Polaroid Corp. ........................... 191
61 Proctor & Gamble Co. (b) ................. 6,605
12 Quaker Oats Co. .......................... 458
9 Ralston Purina Group...................... 693
5 Reebok International Ltd. (b) ............ 221
14 Rubbermaid, Inc. ......................... 322
4 Russell Corp. ............................ 106
43 Sara Lee, Corp. .......................... 1,608
33 Seagram Co., Ltd. ........................ 1,298
1 Springs Industries, Inc. Class A.......... 45
5 Stride Rite Corp. ........................ 48
7 Supervalu, Inc. .......................... 184
16 Sysco Corp. .............................. 536
224 The Coca Cola Co. ........................ 11,771
6 Tupperware Corp. ......................... 306
14 Unilever NV, NY Shares (b) ............... 2,483
18 UST, Inc. ................................ 583
6 V.F. Corp. ............................... 392
10 Wrigley (Wm.) Jr. Co. .................... 575
---------
65,365
---------
Consumer Services (3.4%):
9 Brunswick Corp. .......................... 206
30 Comcast Corp., Special.................... 528
35 CUC International, Inc. (c) .............. 838
9 Dow Jones & Co., Inc. .................... 295
13 Gannett, Inc. ............................ 956
9 Harrah's Entertainment, Inc. (c) ......... 179
8 Hasbro, Inc. (b) ......................... 307
22 Hilton Hotels (b) ........................ 588
11 Hospitality Franchise Systems, Inc. (b) .. 645
10 ITT Corp. (c) ............................ 440
3 King World Productions, Inc. (c) ......... 124
9 Knight-Ridder, Inc. (b) .................. 346
11 Marriott Intl., Inc. ..................... 627
25 Mattel, Inc. (b) ......................... 684
9 McGraw Hill, Inc. ........................ 422
2 Meredith Corp. ........................... 127
9 New York Times Co., Class A............... 338
58 Tele-Communications, Inc., Class A
(b)(c).................................. 762
51 Time Warner, Inc. ........................ 1,911
10 Times Mirror Co., Class A (b) ............ 479
6 Tribune Co. .............................. 474
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Consumer Services, continued:
42 U.S. West, Inc. .......................... $ 1,353
32 Viacom, Inc., Class B (c) ................ 1,130
61 Walt Disney Co. .......................... 4,236
---------
17,995
---------
Energy (8.7%):
8 Amerada Hess Corp. ....................... 480
44 Amoco Corp. .............................. 3,574
6 Ashland, Inc. (b) ........................ 246
14 Atlantic Richfield Co. ................... 1,917
13 Baker Hughes, Inc. ....................... 443
11 Burlington Northern....................... 574
58 Chevron Corp. (b) ........................ 3,778
16 Dresser Industries, Inc. ................. 493
112 Exxon Corp. .............................. 10,953
11 Halliburton Co. .......................... 684
2 Helmerich & Payne, Inc. .................. 98
5 Kerr McGee Corp. ......................... 355
3 Louisiana Land & Exploration Co. ......... 159
5 McDermott International, Inc. ............ 87
35 Mobil Corp. .............................. 4,308
29 Occidental Petroleums Corp. .............. 668
9 Oryx Energy Co. (c) ...................... 217
4 Pennzoil Co. ............................. 245
23 Phillips Petroleum Co. ................... 1,037
8 Rowan Cos., Inc. (c) ..................... 172
48 Royal Dutch Petroleum Co. (b) ............ 8,206
8 Santa Fe Energy Resources, Inc. (c) ...... 110
22 Schlumberger Ltd. ........................ 2,174
7 Sun, Inc. ................................ 162
16 Tenneco, Inc. ............................ 719
23 Texaco, Inc. ............................. 2,300
22 Union Pacific Resources Group............. 653
22 Unocal Corp. (b) ......................... 897
26 USX-Marathon Group........................ 619
5 Western Atlas, Inc. (c) .................. 376
---------
46,704
---------
Financial Services (13.8%):
4 Alexander & Alexander Services, Inc. ..... 70
40 Allstate Corp. ........................... 2,316
43 American Express Co. ..................... 2,407
19 American General Corp. (b) ............... 758
42 American International Group.............. 4,595
10 Aon Corp. ................................ 590
39 Banc One Corp. ........................... 1,684
13 Bank of Boston Corp. ..................... 846
36 Bank of New York Co., Inc. (b) ........... 1,201
32 Bankamerica Corp. ........................ 3,214
7 Bankers Trust New York Corp. ............. 637
17 Barnett Banks, Inc. ...................... 709
5 Beneficial Corp. ......................... 318
</TABLE>
CONTINUED
13
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
Financial Services, continued:
14 Boatmen's Bancshares, Inc. ............... $ 909
39 Chase Manhattan Corp. .................... 3,487
16 Chubb Corp. .............................. 848
7 CIGNA Corp. .............................. 943
43 Citicorp.................................. 4,475
10 Comerica, Inc. ........................... 529
20 Corestates Financial Corp. (b) ........... 1,030
15 Dean Witter, Discover & Co. .............. 1,013
16 Federal Home Loan Mortgage Corp. ......... 1,751
98 Federal National Mortgage Assoc. ......... 3,641
9 Fifth Third Bancorp....................... 559
13 First Bank System, Inc. .................. 894
28 First Chicago NBD Corp. (b) .............. 1,526
25 First Union Corp. ........................ 1,844
23 Fleet Financial Group, Inc. .............. 1,151
7 General Re Corp. ......................... 1,181
6 Golden West Financial Corp. .............. 361
12 Great Western Financial Corp. ............ 352
12 Green Tree Financial Corp. ............... 479
8 Household International, Inc. ............ 783
10 H.F. Ahmanson & Co. (b) .................. 336
10 ITT Hartford Group, Inc. ................. 685
7 Jefferson Pilot Corp. .................... 378
17 J.P. Morgan & Co., Inc. .................. 1,674
21 KeyCorp................................... 1,040
9 Lincoln National Corp. ................... 488
7 Marsh & McLennan Co., Inc. ............... 707
4 MBIA, Inc. ............................... 385
20 MBNA Corp. ............................... 829
12 Mellon Bank Corp. ........................ 859
16 Merrill Lynch & Co. ...................... 1,273
5 MGIC Investment Corp. .................... 403
14 Morgan Stanley Group, Inc. ............... 788
20 National City Corp. ...................... 889
26 NationsBank Corp. ........................ 2,559
33 Norwest Corp. ............................ 1,434
31 PNC Bank Corp. (b) ....................... 1,149
9 Providian Corp. .......................... 446
5 Republic N Y Corp. ....................... 408
11 SAFECO Corp. ............................. 435
9 Salomon, Inc. ............................ 445
8 St. Paul Co. (b) ......................... 453
21 SunTrust Banks, Inc. ..................... 1,017
7 Torchmark Corp. .......................... 335
7 TransAmerica Corp. ....................... 514
57 Travelers Group, Inc. .................... 2,603
7 UNUM Corp. ............................... 499
3 US Life Corp. ............................ 100
10 USF & G Corp. ............................ 209
14 U.S. Bancorp (b) ......................... 635
15 Wachovia Corp. ........................... 870
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Financial Services, continued:
8 Wells Fargo & Co. (b) .................... $ 2,253
---------
74,199
---------
Health Care (9.9%):
70 Abbott Laboratories....................... 3,562
13 Aetna (c) ................................ 1,049
6 Allergan, Inc. ........................... 207
8 Alza Corp. (b)(c) ........................ 194
57 American Home Products.................... 3,321
24 Amgen, Inc. (c) .......................... 1,300
5 Bausch & Lomb, Inc. ...................... 189
25 Baxter International, Inc. ............... 1,009
12 Becton Dickinson & Co. ................... 519
8 Beverly Enterprises, Inc. (c) ............ 100
10 Biomet, Inc. (b)(c) ...................... 155
16 Boston Scientific Corp. (c) .............. 930
45 Bristol Myers Squibb Co. ................. 4,938
59 Columbia/HCA Healthcare Corp. (b) ........ 2,419
5 C.R. Bard, Inc. .......................... 144
49 Eli Lilly & Co. .......................... 3,611
6 Guidant Corp. ............................ 365
15 Humana, Inc. (c) ......................... 277
119 Johnson & Johnson......................... 5,934
7 Mallinckrodt Group, Inc. (b) ............. 309
6 Manor Care, Inc. ......................... 154
22 Medtronic, Inc. .......................... 1,473
109 Merck & Co., Inc. (b) .................... 8,659
4 Millipore Corp. .......................... 182
58 Pfizer, Inc. ............................. 4,781
45 Pharmacia & Upjohn, Inc. ................. 1,790
33 Schering-Plough Corp. .................... 2,122
2 Shared Medical Systems Corp. (b) ......... 76
7 St. Jude Medical Center, Inc. (b) ........ 315
18 Tenet Healthcare Corp. (b)(c) ............ 398
16 United Healthcare Corp. (b) .............. 728
5 U.S. Surgical, Corp. ..................... 213
24 Warner Lambert Co. ....................... 1,817
---------
53,240
---------
Multi-Industry (1.7%):
12 Alco Standard Corp. ...................... 598
25 Allied Signal, Inc. ...................... 1,677
21 Corning, Inc. ............................ 955
3 FMC Corp. (c) ............................ 221
7 Harcourt General, Inc. ................... 320
10 Loews Corp. .............................. 980
38 Minnesota Mining & Manufacturing Co....... 3,124
7 Textron, Inc. ............................ 687
12 TRW, Inc. ................................ 576
9 Whittman Corp. ........................... 212
---------
9,350
---------
</TABLE>
CONTINUED
14
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
Raw Materials (4.1%):
10 Air Products & Chemical, Inc. ............ $ 695
20 Alcan Aluminum Ltd. ...................... 674
16 Allegheny Teledyne, Inc. ................. 358
16 Aluminum Co. of America................... 1,005
9 Armco, Inc. (c) .......................... 37
4 ASARCO, Inc. ............................. 98
10 Avery Dennison Corp. ..................... 369
32 Barrick Gold Corp. (b) ................... 911
20 Battle Mountain Gold Co. ................. 139
10 Bethlehem Steel Corp. (c) ................ 86
5 B. F. Goodrich Co. ....................... 188
9 Cyprus Amax Minerals Co. (b) ............. 208
22 Dow Chemical Co. ......................... 1,745
50 Du Pont (EI) de Nemours & Co. ............ 4,735
7 Eastman Chemical Co. ..................... 412
11 Echo Bay Mines Ltd. ...................... 71
13 Engelhard Corp. .......................... 250
18 Freeport-McMoran Copper & Gold, Class B... 547
6 Great Lakes Chemical Corp. ............... 276
10 Hercules, Inc. ........................... 419
13 Homestake Mining Co. ..................... 179
15 Inco Ltd. (b) ............................ 477
4 Inland Steel Industries, Inc. ............ 85
53 Monsanto Co. ............................. 2,042
13 Morton International, Inc. ............... 541
6 Nalco Chemical Co. ....................... 228
9 Newmont Mining Corp. ..................... 397
8 Nucor Corp. .............................. 401
10 Pall Corp. ............................... 260
6 Phelps Dodge Corp. ....................... 433
21 Placer Dome, Inc. ........................ 464
13 Praxair, Inc. ............................ 615
6 Reynolds Metals Co. ...................... 316
6 Rohm & Haas Co. (b) ...................... 514
11 Santa Fe Pacific Gold Corp. .............. 177
5 Sigma-Aldrich Corp. ...................... 287
12 Union Carbide Corp. ...................... 508
7 USX-U.S. Steel Group, Inc. ............... 229
8 Worthington Industries, Inc. ............. 146
8 W.R. Grace & Co. ......................... 434
---------
21,956
---------
Retail (4.6%):
23 Albertsons, Inc. ......................... 810
13 American Stores Co. ...................... 533
9 Charming Shoppes (c) ..................... 46
9 Circuit City Stores, Inc. (b) ............ 259
9 CVS Corp. ................................ 379
14 Darden Restaurants, Inc. ................. 126
19 Dayton Hudson Corp. ...................... 758
10 Dillard Department Stores, Inc., Class A.. 307
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Retail, continued:
18 Federated Department Stores,
Inc. (b)(c) ............................ $ 621
26 Gap, Inc. ................................ 789
5 Giant Food Inc., Class A.................. 187
3 Great Atlantic & Pacific Tea, Inc. ....... 110
43 Home Depot, Inc. ......................... 2,143
20 J.C. Penney, Inc. (b) .................... 984
41 K Mart, Inc. (b)(c) ...................... 425
11 Kroger Co. (c) ........................... 511
24 Limited, Inc. ............................ 446
1 Longs Drug Stores, Inc. .................. 58
15 Lowe's Co. (b) ........................... 542
2 Luby's Cafeteria, Inc. ................... 34
22 May Department Stores..................... 1,050
63 McDonald's Corp. ......................... 2,833
3 Mercantile Stores Co., Inc. .............. 160
8 Nordstrom, Inc. .......................... 269
6 Pep Boys-Manny, Moe & Jack................ 173
17 Price/Costco Co. (c) ..................... 438
10 Rite Aid Corp. ........................... 405
5 Ryan Family Steak Houses, Inc. (c) ....... 35
35 Sears Roebuck & Co. ...................... 1,606
5 Shoney's, Inc. (c) ....................... 34
6 Tandy Corp. .............................. 255
7 TJX Cos., Inc. ........................... 317
25 Toys R Us, Inc. (b)(c) ................... 752
22 Walgreen Co. ............................. 894
205 Wal-Mart Stores, Inc. .................... 4,697
11 Wendy's International, Inc. .............. 233
13 Winn Dixie Stores, Inc. .................. 426
12 Woolworth Corp. .......................... 258
---------
24,903
---------
Shelter (1.6%):
3 Armstrong World Industries, Inc. ......... 226
5 Boise Cascade Corp. ...................... 146
3 Centex Corp. ............................. 98
8 Champion International Co. ............... 358
3 Fleetwood Enterprises, Inc. .............. 86
8 Georgia Pacific Corp. .................... 582
27 International Paper Co. .................. 1,086
8 James River Corp. of Virginia............. 251
3 Kaufman & Broad Home Corp. ............... 45
25 Kimberly Clark Corp. ..................... 2,384
10 Louisiana Pacific Corp. .................. 203
14 Masco Corp. .............................. 508
5 Mead Corp. ............................... 309
2 Potlatch Corp. ........................... 106
2 Pulte Corp. .............................. 67
8 Stone Container Corp. .................... 122
5 Temple Inland, Inc. ...................... 291
</TABLE>
CONTINUED
15
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
Shelter, continued:
6 Union Camp Corp. ......................... $ 304
9 Westvaco Corp. ........................... 260
18 Weyerhaeuser Co. ......................... 868
5 Williamette Industries, Inc. ............. 369
---------
8,669
---------
Technology (13.6%):
10 Advanced Micro Devices, Inc. (b)(c) ...... 267
10 Amdahl Corp. (c) ......................... 125
19 AMP, Inc. ................................ 730
5 Andrew Corp. (c) ......................... 277
11 Apple Computer, Inc. (b)(c) .............. 226
16 Applied Materials, Inc. (c) .............. 564
5 Auto Desk, Inc. (b) ...................... 127
17 Bay Networks, Inc. (c) ................... 347
32 Boeing Co. ............................... 3,400
13 Cabletron Systems (c) .................... 446
58 Cisco Systems, Inc. (c) .................. 3,703
24 Compaq Computer Corp. (b)(c) ............. 1,764
33 Computer Associates International, Inc.... 1,626
3 Data General Corp. (c) ................... 43
16 Dell Computer Corp. (b)(c) ............... 850
13 Digital Equipment Corp. (c) .............. 483
10 DSC Communications Corp. (c) ............. 177
5 EG&G, Inc. ............................... 101
20 EMC Corp. (b)(c) ......................... 669
6 General Dynamics Corp. ................... 401
11 General Instrument Corp. (c) ............. 231
3 Harris Corp. ............................. 237
91 Hewlett Packard Co. ...................... 4,584
74 Intel Corp. .............................. 9,700
4 Intergraph Corp. (c) ..................... 44
47 International Business Machines........... 7,166
18 Lockheed Martin Corp. .................... 1,647
11 LSI Logic Corp. (c) ...................... 305
57 Lucent Technologies, Inc. ................ 2,629
20 McDonnell Douglas Corp. .................. 1,265
18 Micron Technology, Inc. (b) .............. 536
107 Microsoft Corp. (c) ...................... 8,874
53 Motorola, Inc. ........................... 3,238
11 National Semiconductor Corp. (c) ......... 277
23 Northern Telecom, Ltd. (b) ............... 1,408
5 Northrop Grumman Corp. ................... 428
33 Novell, Inc. (b)(c) ...................... 312
59 Oracle Corp. (c) ......................... 2,444
4 Perkin-Elmer Corp. ....................... 239
4 Raychem Corp. ............................ 325
22 Raytheon Co. ............................. 1,061
19 Rockwell International Corp. ............. 1,185
7 Scientific-Atlanta, Inc. ................. 105
18 Seagate Technology, Inc. (c) ............. 727
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Technology, continued:
15 Silicon Graphics, Inc. (c) ............... $ 377
33 Sun Microsystems, Inc. (c) ............... 858
10 Tandem Computers (c) ..................... 141
6 TCI Satellite Entertainment,
Class A, (c) ........................... 58
3 Tektronix, Inc. .......................... 150
16 Tellabs, Inc. (c) ........................ 594
17 Texas Instruments, Inc. .................. 1,077
4 Thomas & Betts Corp. ..................... 188
15 3Com Corp. (c) ........................... 1,071
15 Unisys, Corp. (c) ........................ 103
22 United Technologies Corp. ................ 1,442
29 Xerox Corp. (b) .......................... 1,543
---------
72,895
---------
Transportation (1.3%):
8 AMR Corp. (c) ............................ 705
14 Burlington Northern Santa Fe Corp. ....... 1,166
4 Caliber Systems, Inc. .................... 68
6 Conrail, Inc. ............................ 556
2 Consolidated Freightways Corp. (c) ....... 16
0 Consolidated Transportation, Inc. ........ 2
19 CSX Corp. ................................ 782
7 Delta Air Lines, Inc. .................... 505
11 Federal Express Corp. (b)(c) ............. 474
12 Norfolk Southern Corp. ................... 1,022
13 Southwest Airlines Co. ................... 290
22 Union Pacific Corp. ...................... 1,318
5 US Air Group (c) ......................... 118
---------
7,022
---------
Utilities (9.7%):
44 Airtouch Communications, Inc. (c) ........ 1,120
17 Alltel Corp. ............................. 540
17 American Electric Power, Inc. ............ 689
50 Ameritech Corp. .......................... 3,023
145 AT&T Corp. ............................... 6,296
13 Baltimore Gas & Electric Co. ............. 354
39 Bell Atlantic Corp. (b) .................. 2,548
89 BellSouth Corp. .......................... 3,584
14 Carolina Power & Light Co. ............... 517
19 Central & South West Corp. ............... 480
14 Cinergy Corp. ............................ 457
9 Coastal Corp. ............................ 443
5 Columbia Gas System, Inc. ................ 326
21 Consolidated Edison Co. of New York,
Inc. ................................... 617
8 Consolidated Natural Gas Co. ............. 452
13 Detroit Edison Co. ....................... 427
15 Dominion Resources Inc. of Virginia....... 592
18 Duke Power Co., Inc. ..................... 847
1 Eastern Enterprises....................... 38
</TABLE>
CONTINUED
16
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
Utilities, continued:
40 Edison International...................... $ 795
1 El Paso Natural Gas....................... 75
23 Enron Corp. .............................. 971
6 Enserch Corp. ............................ 143
21 Entergy Corp. ............................ 570
17 Florida Power & Light, Inc. .............. 772
10 General Public Utilities Corp. ........... 343
87 GTE Corp. ................................ 3,940
23 Houston Industries (b) ................... 524
62 MCI Communications........................ 2,023
13 Niagara Mohawk Power Corp. (c) ........... 128
5 NICOR, Inc. .............................. 183
11 Noram Energy Corp. ....................... 173
6 Northern States Power Co. ................ 285
39 NYNEX Corp. .............................. 1,856
14 Ohio Edison Co. .......................... 311
2 Oneok, Inc. .............................. 69
8 Pacific Enterprises....................... 233
38 Pacific Gas & Electric Co. ............... 802
26 Pacificorp................................ 524
38 Pacific Telesis Group..................... 1,405
13 Panenergy Corp. .......................... 589
20 Peco Energy Corp. ........................ 500
3 Peoples Energy Corp. ..................... 104
2 Peoples Energy Rights..................... 0
14 PP&L Resources, Inc. ..................... 324
22 Public Service Enterprise Group (b) ...... 600
55 SBC Communications, Inc. (b) ............. 2,824
8 Sonat, Inc. .............................. 401
60 Southern Co. ............................. 1,349
39 Sprint Corp. ............................. 1,547
20 Texas Utilities........................... 816
19 Unicom Corp. ............................. 515
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Utilities, continued:
9 Union Electric Co. ....................... $ 346
56 U.S. West Media Group (c) ................ 1,037
14 Williams Cos., Inc. ...................... 528
34 WorldCom, Inc. (b) ....................... 881
---------
51,836
---------
Total Common Stocks 505,701
---------
U.S. TREASURY OBLIGATIONS (0.3%):
U.S. Treasury Bills
$ 245 1/2/97 (d) ............................... 245
60 1/9/97 (d) ............................... 60
40 1/16/97 (d) .............................. 40
380 1/23/97 (d) .............................. 379
105 1/30/97 (d) .............................. 104
30 3/13/97 (d) .............................. 30
610 3/20/97 (d) .............................. 604
---------
Total U.S. Treasury Obligations 1,462
---------
Total Investments, at value 507,163
---------
REPURCHASE AGREEMENTS (5.4%):
27,892 Aubrey G. Lanston & Co., 6.80%, 1/2/97,
(Collateralized by $27,927 U.S. Treasury
Securities, 6.00%, 9/30/98, market
value--$28,314) ........................ 27,892
1,248 Lehman Brothers, 7.02%, 1/2/97
(Collateralized by $1,225 various
U.S. Government Securities
7.83%-7.99%, 3/23/05-4/13/05,
market value $1,277).................... 1,248
---------
Total Repurchase Agreements 29,140
---------
Total (Cost--$405,033)(a) $536,303
---------
---------
</TABLE>
- ------------
Percentages indicated are based on net assets of $536,203.
<TABLE>
<C> <S>
(a) Represents cost for financial reporting purposes and differs from cost basis for federal income tax purposes by the
amount of losses recognized for financial reporting purposes in excess of federal income tax reporting of approximately
$413. Cost for federal income tax purposes differs from value by net unrealized appreciation of securities as follows:
</TABLE>
<TABLE>
<S> <C>
Unrealized appreciation................................................... $ 139,577
Unrealized depreciation................................................... (8,720)
---------
Net unrealized appreciation............................................... $ 130,857
---------
---------
</TABLE>
<TABLE>
<C> <S>
(b) A portion of this security was loaned as of December 31, 1996.
</TABLE>
<TABLE>
<C> <S>
(c) Non-income producing securities.
</TABLE>
<TABLE>
<C> <S>
(d) Serves as collateral for futures contracts.
</TABLE>
At December 31, 1996, the portfolio's open futures contracts were as follows:
<TABLE>
<CAPTION>
# OF OPEN MARKET
CONTRACTS CONTRACT TYPE POSITIONS VALUE
- ----------- ---------------------------------------------------------- ----------- ---------
<C> <S> <C> <C>
LONG CONTRACTS:
74 S & P 500, March 1997..................................... $ 28,088 $ 27,546
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
17
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
VALUE GROWTH FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
<C> <S> <C>
COMMON STOCKS (97.3%):
Capital Goods (7.5%):
59 BW/IP Holdings, Inc. ...................... $ 978
84 Crane Co. ................................. 2,449
30 Fluor Corp. ............................... 1,851
62 General Electric Co. ...................... 6,120
23 Hubbell, Inc., Class B..................... 1,012
39 Ingersoll Rand Co. ........................ 1,713
69 Mark IV Industries, Inc. .................. 1,550
32 Teleflex Inc. ............................. 1,658
40 Tyco Labs.................................. 2,094
35 York International Corp. .................. 1,967
---------
21,392
---------
Consumer Durable (2.7%):
28 Briggs & Stratton Corp. ................... 1,236
99 Ford Motor Co. ............................ 3,156
49 Harley-Davidson, Inc. ..................... 2,303
20 Harman International Industries, Inc. ..... 1,090
---------
7,785
---------
Consumer Non-Durable (11.8%):
88 Archer-Daniels-Midland Co. ................ 1,940
29 Colgate Palmolive Co. ..................... 2,684
33 CPC International.......................... 2,527
30 Dole Food Co. ............................. 1,013
39 First Brands Corp. ........................ 1,101
64 Newell Companies, Inc. .................... 2,003
33 Nine West Group, Inc. (c).................. 1,526
48 PepsiCo, Inc. ............................. 1,389
49 Philip Morris Co., Inc. ................... 5,541
23 Proctor & Gamble Co. ...................... 2,505
39 Revlon Inc. (c)............................ 1,165
36 RJR Nabisco Holdings Corp. ................ 1,207
39 Smithfield Foods, Inc. (c)................. 1,463
52 Sysco Corp. ............................... 1,680
59 The Coca Cola Co. ......................... 3,094
29 Tupperware Corp. .......................... 1,566
33 Universal Corp. ........................... 1,073
---------
33,477
---------
Consumer Services (4.6%):
30 Belo (A.H.) Corp., Series A (b)............ 1,039
66 Callaway Golf Co. ......................... 1,903
44 Carnival Cruise Lines...................... 1,436
48 Hasbro, Inc. (b)........................... 1,858
69 Hilton Hotels (b).......................... 1,805
31 MGM Grand, Inc. (c)........................ 1,074
69 Time Warner, Inc. ......................... 2,580
20 Walt Disney Co. ........................... 1,372
---------
13,067
---------
Energy (8.1%):
16 Atlantic Richfield Co. .................... 2,147
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Energy, continued:
20 BJ Services Co. (b)(c)..................... $ 1,005
41 Devon Energy Corp. ........................ 1,421
65 Exxon Corp. ............................... 6,360
29 Halliburton Co. ........................... 1,765
21 Helmerich & Payne, Inc. ................... 1,074
45 Mapco, Inc. ............................... 1,520
29 Mobil Corp. ............................... 3,557
20 Tosco Corp. ............................... 1,598
64 USX-Marathon Group......................... 1,523
38 Weatherford Enterra, Inc. (c).............. 1,131
---------
23,101
---------
Financial Services (14.5%):
15 Aames Financial Corp. (b).................. 524
47 AFLAC, Inc. ............................... 2,005
20 AmSouth Bancorporation..................... 987
36 Bancorp Hawaii, Inc. ...................... 1,499
40 BankAmerica Corp. ......................... 4,000
36 Charter One Financial, Inc. ............... 1,521
38 Chase Manhattan Corp. ..................... 3,347
21 Cigna Corp. ............................... 2,842
81 Equitable Co., Inc. (b).................... 1,995
95 Federal National Mortgage Assoc. .......... 3,554
36 First American Bank Corp. ................. 2,171
44 Imperial Credit Industries, Inc. (c)....... 920
38 ITT Hartford Group, Inc. .................. 2,545
25 J.P. Morgan & Co., Inc. ................... 2,402
42 KeyCorp.................................... 2,121
26 Provident Co., Inc. (b).................... 1,238
48 Southtrust Corp. .......................... 1,670
35 SunAmerica, Inc. .......................... 1,535
77 Travelers Group, Inc. ..................... 3,492
19 Washington Mutual, Inc. ................... 823
---------
41,191
---------
Health Care (10.9%):
70 Abbott Labs................................ 3,568
8 Allegiance Corp. .......................... 222
39 Amgen, Inc. (c)............................ 2,142
49 Baxter International, Inc. ................ 2,001
21 Cardinal Health, Inc. ..................... 1,203
51 Columbia/HCA Healthcare Corp. (b).......... 2,095
52 Eli Lilly & Co. ........................... 3,796
12 HBO & Co. ................................. 724
42 Medtronic, Inc. ........................... 2,876
78 Merck & Co., Inc. ......................... 6,182
27 Phycor Inc. (b)(c)......................... 760
44 Schering-Plough Corp. ..................... 2,823
31 Vencor, Inc. (c)........................... 984
39 Watson Pharmaceutical, Inc. (c)............ 1,757
---------
31,133
---------
</TABLE>
CONTINUED
18
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
VALUE GROWTH FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
Raw Materials (5.6%):
29 Aluminum Co. of America.................... $ 1,874
29 Betz Laboratories Inc. .................... 1,685
85 Crompton & Knowles Corp. .................. 1,638
21 Du Pont (EI) De Nemours & Co. ............. 1,991
27 Ferro Corp. ............................... 755
21 IMC Global Inc. (b)........................ 806
48 Monsanto Co. .............................. 1,847
39 Nalco Chemical Co. ........................ 1,398
39 Praxair, Inc. ............................. 1,808
23 Sigma-Aldrich Corp. ....................... 1,411
43 Wellman, Inc. ............................. 733
---------
15,946
---------
Retail (5.1%):
52 Carson Pirie Scott & Co. (c)............... 1,316
41 Dollar General............................. 1,322
58 Gap, Inc. ................................. 1,735
49 Just for Feet, Inc. (b)(c)................. 1,281
57 McDonald's Corp. .......................... 2,584
80 Officemax, Inc. (c)........................ 852
38 TJX Companies, Inc. (b).................... 1,796
158 Wal-Mart Stores, Inc. ..................... 3,605
---------
14,491
---------
Shelter (0.3%):
76 Kaufman & Broad Home Corp. ................ 979
---------
Technology (15.3%):
48 Analog Devices, Inc. (c)................... 1,619
24 Boeing Co. ................................ 2,564
58 Cisco Systems, Inc. (c).................... 3,671
33 Compaq Computer Corp. (c).................. 2,413
19 Gateway 2000, Inc. (b)(c).................. 1,039
68 Intel Corp. ............................... 8,838
32 International Business Machines............ 4,757
20 Litton Industries, Inc. (b)(c)............. 943
18 Lockheed Martin Corp. ..................... 1,656
31 Lucent Technologies, Inc. (b).............. 1,449
87 Microsoft (c).............................. 7,197
57 National Semiconductor Corp. (c)........... 1,392
52 Oracle Corp. (c)........................... 2,154
47 Orbital Sciences Corp. (c)................. 806
38 Rohr Industries, Inc. (c).................. 860
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Technology, continued:
90 Sun Microsystems, Inc. (c)................. $ 2,314
---------
43,672
---------
Utilities (10.8%):
70 Central & South West Corp. ................ 1,781
30 Century Telephone Enterprises.............. 923
70 Consolidated Edison Co. of New York,
Inc. .................................... 2,048
124 Edison International....................... 2,466
42 Enron Corp. ............................... 1,807
56 General Public Utilities Corp. ............ 1,866
92 GTE Corp. ................................. 4,168
67 Illinova Corp. (b)......................... 1,845
63 MCN Corp. ................................. 1,813
31 National Fuel Gas Co. ..................... 1,283
78 New York State Electric & Gas.............. 1,693
2 Panenergy Corp. ........................... 77
68 SBC Communications, Inc. (b)............... 3,509
55 Sprint Corp. .............................. 2,201
32 Telephone & Data Systems, Inc. ............ 1,171
49 Texas Utilities............................ 1,980
---------
30,631
---------
Total Common Stocks 276,865
---------
U.S. TREASURY OBLIGATIONS (0.3%):
U.S. Treasury Bills
$ 385 1/2/97 (d)................................. 385
515 1/9/97 (d)................................. 514
65 1/16/97 (d)................................ 65
---------
Total U.S. Treasury Obligations 964
---------
Total Investments, at value 277,829
---------
REPURCHASE AGREEMENTS (2.5%):
7,155 Aubrey G. Lanston & Co., 6.80%, 1/2/97
(Collaterized by $7,505 U.S Treasury
Securities, 6.25%, 8/15/23, market
value--$7,332)........................... 7,155
---------
Total Repurchase Agreements 7,155
---------
Total (Cost--$250,906) $ 284,984
---------
---------
</TABLE>
- ------------
Percentages indicated are based on net assets of $284,685.
CONTINUED
19
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
VALUE GROWTH FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<C> <S>
(a) Represents cost for financial reporting purposes and differs from cost basis for federal income tax purposes by the
amount of losses recognized for financial reporting purposes in excess of federal income tax reporting of approximately
$100. Cost for federal income tax purposes differs from value by net unrealized appreciation of securities as follows:
</TABLE>
<TABLE>
<S> <C>
Unrealized appreciation.................................................... $ 38,195
Unrealized depreciation.................................................... (4,217)
---------
Net unrealized appreciation................................................ $ 33,978
---------
---------
</TABLE>
<TABLE>
<C> <S>
(b) A portion of this security was loaned as of December 31, 1996.
</TABLE>
<TABLE>
<C> <S>
(c) Non-income producing securities.
</TABLE>
<TABLE>
<C> <S>
(d) Serves as collateral for futures contracts.
</TABLE>
<TABLE>
<CAPTION>
# OF OPEN MARKET
CONTRACTS CONTRACT TYPE POSITIONS VALUE
- ---------- ----------------------------------------------------------- ----------- ---------
<C> <S> <C> <C>
LONG CONTRACTS:
39 S & P 500, March, 1997 $ 14,799 $ 14,518
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
20
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
LARGE COMPANY VALUE FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
<C> <S> <C>
COMMON STOCKS (97.1%):
Business Equipment & Services (1.2%):
300 Browning-Ferris Industries, Inc. .......... $ 7,875
---------
Capital Goods (1.8%):
60 Newport News Shipbuilding (c).............. 900
400 Westinghouse Electric Corp. (b)............ 7,950
50 Ingersoll Rand Co. ........................ 2,225
---------
11,075
---------
Consumer Durable (4.1%):
325 Cooper Tire & Rubber Co. .................. 6,419
350 General Motors Corp. ...................... 19,512
---------
25,931
---------
Consumer Non-Durable (5.0%):
300 American Greetings Corp., Class A.......... 8,513
133 Ball Corp. ................................ 3,458
250 IBP, Inc. ................................. 6,062
100 RJR Nabisco Holdings Corp. ................ 3,400
350 Supervalu, Inc. ........................... 9,931
---------
31,364
---------
Consumer Services (1.5%):
150 Brunswick Corp. ........................... 3,600
175 Viacom, Inc., Class A (c).................. 6,037
---------
9,637
---------
Energy (20.7%):
120 Amoco Corp. ............................... 9,660
150 Atlantic Richfield Co. .................... 19,875
131 Baker Hughes, Inc. ........................ 4,520
50 Burlington Resources, Inc. ................ 2,519
100 Chevron Corp. (b).......................... 6,500
50 Dresser Industries, Inc. .................. 1,550
200 Exxon Corp. ............................... 19,600
100 Halliburton Co. ........................... 6,025
102 Mobil Corp. ............................... 12,470
189 Rowan Companies, Inc. (c).................. 4,276
110 Royal Dutch Petroleum Co. (b).............. 18,782
57 Sun, Inc. ................................. 1,389
300 Tenneco, Inc. ............................. 13,537
400 USX-Marathon Group......................... 9,550
---------
130,253
---------
Financial Services (20.4%):
150 Allstate Corp. ............................ 8,681
155 BankAmerica Corp. ......................... 15,461
53 BayBanks of Boston Corp. .................. 3,405
175 Chase Manhattan Corp. ..................... 15,619
20 Cigna Corp. ............................... 2,732
300 Federal National Mortgage Assoc. .......... 11,175
80 First American Bank Corp. ................. 4,810
150 Great Western Financial Corp. ............. 4,350
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Financial Services, continued:
240 H.F. Ahmanson & Co. (b).................... $ 7,797
110 ITT Hartford Group, Inc. .................. 7,425
118 J.P. Morgan & Co., Inc. ................... 11,520
100 KeyCorp (b)................................ 5,050
100 Lincoln National Corp. .................... 5,250
70 Morgan Stanley Group, Inc. ................ 3,999
76 NationsBank Corp. ......................... 7,429
293 Travelers Group, Inc. ..................... 13,310
---------
128,013
---------
Health Care (2.3%):
60 Aetna (b).................................. 4,800
50 Baxter International, Inc. ................ 2,050
200 Healthsource, Inc. (b)(c).................. 2,625
100 Pharmacia & Upjohn, Inc. .................. 3,963
25 United Healthcare Corp. (b)................ 1,125
---------
14,563
---------
Multi-Industry (0.6%):
40 Loews Corp. ............................... 3,770
---------
Raw Materials (5.4%):
71 Alumax, Inc. (c)........................... 2,370
40 Aluminum Company of America................ 2,550
360 Cyprus AMAX Minerals Co. (b)............... 8,408
201 USX-U.S. Steel Group, Inc. ................ 6,294
26 Dow Chemical Co. .......................... 2,038
258 Nalco Chemical Co. ........................ 9,335
66 Union Carbide Corp. ....................... 2,698
---------
33,693
---------
Retail (3.9%):
200 Dillard Department Stores, Inc., Class A... 6,175
215 May Department Stores Co. ................. 10,051
200 Rite Aid Corp. (b)......................... 7,950
---------
24,176
---------
Shelter (1.6%):
110 International Paper Co. ................... 4,441
117 Weyerhaeuser Co. .......................... 5,543
---------
9,984
---------
Technology (11.9%):
60 AMP, Inc. (b).............................. 2,302
8 Boeing Co. ................................ 894
157 International Business Machines............ 23,767
247 Litton Industries, Inc. (c)................ 11,763
40 Lockheed Martin Corp. ..................... 3,660
135 Motorola, Inc. ............................ 8,286
200 National Semiconductor Corp. (c)........... 4,875
175 Novell, Inc. (c)........................... 1,657
200 Rockwell International Corp. .............. 12,175
</TABLE>
CONTINUED
21
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
LARGE COMPANY VALUE FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
Technology, continued:
200 Silicon Graphics, Inc. (b)(c).............. $ 5,100
---------
74,479
---------
Transportation (1.8%):
77 Conrail, Inc. ............................. 7,626
50 Delta Air Lines, Inc. ..................... 3,544
---------
11,170
---------
Utilities (14.9%):
125 American Electric Power, Inc. ............. 5,141
103 Bell Atlantic Corp. (b).................... 6,669
275 BellSouth Corp. ........................... 11,103
71 Carolina Power & Light Co. ................ 2,591
200 Central & South West Corp. ................ 5,125
250 Consolidated Edison Co. of New York, Inc.
(b)...................................... 7,313
73 Consolidated Natural Gas Co. .............. 4,033
47 Dominion Resources, Inc. of Virginia....... 1,809
350 Edison International....................... 6,956
28 El Paso Natural Gas........................ 1,409
119 Enron Corp. (b)............................ 5,132
200 Entergy Corp. (b).......................... 5,550
75 GTE Corp. ................................. 3,413
150 MCI Communications Corp. .................. 4,903
107 Pacific Gas & Electric Co. ................ 2,247
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Utilities, continued:
119 Panenergy Corp. ........................... $ 5,355
102 SBC Communications, Inc. (b)............... 5,279
262 Southern Co. .............................. 5,928
128 Unicom Corp. .............................. 3,458
---------
93,414
---------
Total Common Stocks 609,397
---------
PREFERRED STOCKS (1.9%):
Consumer Non-Durable
1,750 RJR Nabisco Corp., Series C................ 11,813
---------
Total Preferred Stocks 11,813
---------
Total Investments, at value 621,210
---------
REPURCHASE AGREEMENTS (1.0%):
$ 6,011 Lehman Brothers, 7.02%, 1/2/97,
(collateralized by $5,930, various U.S.
Government Agencies, 7.54%-8.35%,
4/28/04-3/23/05, market value-- $6,130) 6,011
---------
Total Repurchase Agreements 6,011
---------
Total (Cost $570,741) $ 627,221
---------
---------
</TABLE>
- ------------
Percentages indicated are based on net assets of $627,931.
<TABLE>
<C> <S>
(a) Represents cost for financial reporting purposes and differs from cost basis for federal income tax purposes by the
amount of losses recognized for financial reporting purposes in excess of federal income tax reporting of approximately
$3,250. Cost for federal income tax purposes differs from value by net unrealized appreciation of securities as
follows:
</TABLE>
<TABLE>
<S> <C>
Unrealized appreciation................................................... $ 64,937
Unrealized depreciation................................................... (11,707)
---------
Net unrealized appreciation............................................... $ 53,230
---------
---------
</TABLE>
<TABLE>
<C> <S>
(b) A portion of this security was loaned as of December 31, 1996.
</TABLE>
<TABLE>
<C> <S>
(c) Non-income producing securities.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
22
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
DISCIPLINED VALUE FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
<C> <S> <C>
COMMON STOCKS (99.3%):
Business Equipment & Services (1.0%):
82 Comdisco, Inc. ............................ $ 2,616
97 Kelly Services, Class A.................... 2,605
---------
5,221
---------
Capital Goods (6.7%):
30 Belden, Inc. .............................. 1,110
60 Crane Co. ................................. 1,740
54 Federal Signal Corp. ...................... 1,397
47 Goulds Pumps, Inc. ........................ 1,083
40 Harsco Corp. .............................. 2,740
113 Hubbell, Inc., Class B..................... 4,879
22 Johnson Controls, Inc. .................... 1,823
80 Keystone International, Inc. (b)........... 1,610
140 Mark IV Industries, Inc. .................. 3,168
80 Medusa Corp. .............................. 2,750
194 Molex, Inc. (b)............................ 7,590
40 Tecumseh Products Co. ..................... 2,295
40 Teleflex, Inc. ............................ 2,085
30 York International Corp. .................. 1,676
---------
35,946
---------
Consumer Durable (1.0%):
46 Arvin Industries, Inc. .................... 1,146
60 Federal Mogul Corp. (b).................... 1,320
32 Harley-Davidson, Inc. ..................... 1,504
36 Lear Corp. (c)............................. 1,228
---------
5,198
---------
Consumer Non-Durable (6.6%):
62 American Greetings Corp., Class A.......... 1,759
200 Coca Cola Enterprises (b).................. 9,700
63 Dean Foods Co. ............................ 2,032
110 First Brands Corp. ........................ 3,121
80 General Nutrition Cos. (c)................. 1,357
170 IBP, Inc. ................................. 4,123
26 Nine West Group, Inc. (b)(c)............... 1,206
200 Tyson Foods, Inc., Class A................. 6,850
81 Universal Corp. ........................... 2,602
62 Universal Foods Corp. ..................... 2,186
---------
34,936
---------
Consumer Services (3.3%):
32 Belo (A.H.) Corp., Series A (b)............ 1,116
40 Callaway Golf Co. ......................... 1,150
65 Circus Circus Entertainment (c)............ 2,234
34 Houghton Mifflin Co. ...................... 1,925
113 King World Productions, Inc. (c)........... 4,167
149 Station Casinos, Inc. (c).................. 1,509
16 Washington Post Co. ....................... 5,362
---------
17,463
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Energy (6.8%):
159 Apache Corp. .............................. $ 5,607
71 BJ Services Co. (b)(c)..................... 3,621
120 Mapco, Inc. ............................... 4,080
120 Murphy Oil Corp. .......................... 6,675
84 Nabors Industries, Inc. (c)................ 1,617
60 Parker & Parsley Petro Co. ................ 2,205
120 Pride Petroleum Services, Inc. (b)(c)...... 2,790
75 Quaker State Corp. ........................ 1,052
80 Tosco Corp. ............................... 6,330
76 Valero Energy Corp. ....................... 2,175
---------
36,152
---------
Financial Services (22.1%):
45 Aflac, Inc. ............................... 1,924
98 American Financial Group 3,700
71 AmSouth Bancorporation..................... 3,415
122 A.G. Edwards, Inc. (b)..................... 4,102
143 Bancorp Hawaii, Inc. ...................... 6,014
250 Bear Stearns Companies, Inc. .............. 6,979
97 Central Fidelity Banks, Inc. .............. 2,495
105 Charter One Financial, Inc. ............... 4,410
90 First American Bank Corp. (b).............. 5,411
128 First Security Corp. ...................... 4,320
50 First Virginia Banks, Inc. ................ 2,394
89 Firstar Corp. ............................. 4,646
35 Gatx Corp. (b)............................. 1,698
55 Mercantile Bancorporation (b).............. 2,841
97 Mercantile Bankshares Corp. ............... 3,104
40 Mid Ocean Ltd. ............................ 2,100
192 Northern Trust Corp. ...................... 6,960
62 Onbancorp, Inc. (b)........................ 2,302
122 Paine Webber Group, Inc. .................. 3,426
122 Progressive Corp.-Ohio..................... 8,220
57 Provident Companies, Inc. (b).............. 2,733
132 Regions Financial Corp. ................... 6,823
250 Southtrust Corp. .......................... 8,719
130 State Street Boston Corp. ................. 8,385
43 Transatlantic Holdings, Inc. (b)........... 3,462
100 Washington Mutual, Inc. ................... 4,331
71 Wilmington Trust Corp. .................... 2,805
---------
117,719
---------
Health Care (5.3%):
60 Bard C.R., Inc. ........................... 1,680
40 Bausch & Lomb, Inc. ....................... 1,400
38 Becton Dickinson & Co. (b)................. 1,648
74 Bergen Brunswig Corp. ..................... 2,109
50 Biomet (b)(c).............................. 756
74 Forest Laboratories, Class A (c)........... 2,424
85 Foundation Health Corp. (b)................ 2,699
50 Hillenbrand Industry, Inc. ................ 1,812
</TABLE>
CONTINUED
23
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
DISCIPLINED VALUE FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
Health Care, continued:
107 McKesson Corp. ............................ $ 5,992
40 Pacificare Health (b)(c)................... 3,410
130 Vencor, Inc. (c)........................... 4,111
---------
28,041
---------
Multi-Industry (0.0%):
13 Echelon International (c).................. 208
---------
Raw Materials (6.3%):
100 Albemarle Corp. (b)........................ 1,813
110 Allegheny Teledyne, Inc. .................. 2,530
165 Alumax, Inc. (c)........................... 5,490
28 Brush Wellman, Inc. ....................... 459
94 Cabot Corp. ............................... 2,362
96 Crompton & Knowles Corp. .................. 1,848
80 Ferro Corp. ............................... 2,270
90 Hanna (M.A.) Co. .......................... 1,969
70 IMC Global, Inc. (b)....................... 2,750
46 Nalco Chemical Co. ........................ 1,662
64 Pall Corp. (b)............................. 1,632
35 Phelps Dodge Corp. ........................ 2,363
30 Quanex Corp. .............................. 821
130 Schulman, Inc. ............................ 3,185
27 Sigma-Aldrich Corp. ....................... 1,686
55 Wellman, Inc. ............................. 942
---------
33,782
---------
Retail (5.0%):
128 Best Buy (c)............................... 1,357
64 Carson Pirie Scott & Co. (c)............... 1,616
88 Cracker Barrel............................. 2,233
115 Family Dollar Stores....................... 2,343
60 Fred Meyer, Inc. (c)....................... 2,144
90 Hannaford Brothers Co. .................... 3,060
64 Lands End (c).............................. 1,696
274 Officemax, Inc. (c)........................ 2,911
112 Revco Drug Stores, Inc. (c)................ 4,144
74 Sbarro, Inc. .............................. 1,887
41 Smith's Food & Drug (c).................... 1,263
80 Waban, Inc. (b)(c)......................... 2,080
---------
26,734
---------
Shelter (1.7%):
74 Consolidated Papers, Inc. ................. 3,635
103 Kaufman & Broad Home Corp. ................ 1,326
59 Pentair.................................... 1,903
52 Rayonier, Inc. ............................ 1,996
---------
8,860
---------
Technology (6.3%):
68 Analog Devices, Inc. (b)(c)................ 2,304
94 Arrow Electronics, Inc. (c)................ 5,029
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Technology, continued:
110 Avnet, Inc. ............................... $ 6,408
40 Harris Corp. .............................. 2,745
77 Litton Industries, Inc. (b)(c)............. 3,667
92 Orbital Sciences Corp. (c)................. 1,587
42 Rohr Industries, Inc. (c).................. 950
90 Seagate Technology, Inc. (c)............... 3,555
93 Storage Technology Corp. (b)(c)............ 4,443
40 Stratus Computer (c)....................... 1,090
70 Teradyne, Inc. (c)......................... 1,706
---------
33,484
---------
Transportation (0.8%):
50 Airnet Systems, Inc. (c)................... 737
80 APL Limited................................ 1,890
105 Yellow Corp. (c)........................... 1,509
---------
4,136
---------
Utilities (26.5%):
106 AGL Resources.............................. 2,239
250 Allegheny Power Systems, Inc. ............. 7,585
104 American Water Works, Inc. ................ 2,145
83 Brooklyn Union Gas......................... 2,500
55 Calenergy, Inc. (c)........................ 1,849
220 Central & South West Corp. ................ 5,637
101 Century Telephone Enterprises.............. 3,131
102 Cinergy Corp. ............................. 3,404
190 CMS Energy Corp. (b)....................... 6,389
112 Delmarva Power & Light..................... 2,286
270 Edison International....................... 5,366
62 El Paso Natural Gas........................ 3,136
200 Florida Progress Corp. .................... 6,450
100 General Public Utilities Corp. (b)......... 3,362
62 Idaho Power Co. ........................... 1,930
130 Illinova Corp. (b)......................... 3,575
42 Indiana Energy, Inc. ...................... 1,024
110 Kansas City Power & Light.................. 3,135
242 L G & E Energy Corp. ...................... 5,929
135 MCN Corp. ................................. 3,898
198 Midamerican Energy Holdings Co. ........... 3,143
50 Montana Power Co. ......................... 1,069
71 National Fuel Gas Co. ..................... 2,929
150 New York State Electric & Gas.............. 3,244
180 Nextel Communications, Inc., Class A (c)... 2,351
103 Nipsco Industries, Inc. ................... 4,081
66 Oklahoma Gas & Electric Co. ............... 2,743
130 Pinnacle West Capital...................... 4,128
85 Portland General Corp. .................... 3,570
110 Potomac Electric Power Co. ................ 2,833
110 Public Service Co. of Colorado............. 4,276
72 Public Service New Mexico.................. 1,413
78 Questar Corp. ............................. 2,866
</TABLE>
CONTINUED
24
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
DISCIPLINED VALUE FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
Utilities, continued:
106 Southern New England Telecommunications,
Inc. .................................... $ 4,121
66 Southwestern Public Service Co. ........... 2,335
200 Teco Energy, Inc. ......................... 4,825
104 Telephone & Data Systems, Inc. ............ 3,770
71 Union Electric Co. (b)..................... 2,734
201 Wisconsin Energy Corp. .................... 5,402
100 Worldcom, Inc. (b)......................... 2,606
56 WPL Holdings, Inc. ........................ 1,572
---------
140,981
---------
Total Common Stocks 528,861
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------- ---------
<C> <S> <C>
REPURCHASE AGREEMENTS (0.7%):
$ 3,790 Lehman Brothers, 7.02%, 1/2/97
(Collateralized by $3,800, various U.S.
Government Agencies, 7.88%, 4/28/04,
market value--$3,865).................... $ 3,790
---------
Total Repurchase Agreements 3,790
---------
Total (Cost--$463,484) $ 532,651
---------
---------
</TABLE>
- ------------
Percentages indicated are based on net assets of $532,762.
<TABLE>
<C> <S>
(a) Represents cost for financial reporting purposes and differs from cost basis for federal income tax purposes by the
amount of losses recognized for financial reporting purposes in excess of federal income tax reporting of approximately
$506. Cost for federal income tax purposes differs from value by net unrealized appreciation of securities as follows:
</TABLE>
<TABLE>
<S> <C>
Unrealized appreciation $ 78,670
Unrealized depreciation................................................... (10,009)
---------
Net unrealized appreciation............................................... $ 68,661
---------
---------
</TABLE>
<TABLE>
<C> <S>
(b) A portion of this security was loaned as of December 31, 1996.
</TABLE>
<TABLE>
<C> <S>
(c) Non-income producing securities.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
25
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
LARGE COMPANY GROWTH FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS (97.3%):
Business Equipment & Services (4.7%):
350 Automatic Data Processing, Inc. (b)....... $ 15,006
45 Computer Science Corp. (c)................ 3,696
175 Electronic Data Systems Corp. ............ 7,569
200 Interpublic Group Cos., Inc. ............. 9,500
265 WMX Technologies, Inc. ................... 8,646
---------
44,417
---------
Capital Goods (9.4%):
150 Emerson Electric Co. ..................... 14,512
120 Fluor Corp. .............................. 7,530
410 General Electric Co. ..................... 40,539
100 Illinois Tool Works (b)................... 7,988
140 Ingersoll Rand Co. ....................... 6,230
185 Molex, Inc. (b)........................... 7,238
75 Tyco International Ltd. .................. 3,966
---------
88,003
---------
Consumer Non-Durable (20.4%):
235 Anheuser Busch Cos., Inc. ................ 9,400
160 Colgate-Palmolive Co. .................... 14,760
140 CPC International......................... 10,850
100 Duracell.................................. 6,987
170 Eastman Kodak Co. ........................ 13,642
165 Hershey Foods Corp. ...................... 7,219
300 H.J. Heinz Co. ........................... 10,725
150 International Flavors & Fragrances,
Inc. ................................... 6,750
450 PepsiCo, Inc. ............................ 13,162
245 Philip Morris Cos., Inc. ................. 27,593
120 Pioneer Hi Bred Intl. .................... 8,400
220 Proctor & Gamble Co. ..................... 23,650
120 Sara Lee Corp. ........................... 4,470
395 The Coca-Cola Co. ........................ 20,787
75 Unilever N V NY Shares (b)................ 13,144
---------
191,539
---------
Consumer Services (5.1%):
180 Gannett, Inc. ............................ 13,477
30 Hilton Hotels Corp. ...................... 784
240 McGraw-Hill, Inc. ........................ 11,070
225 Time Warner, Inc. ........................ 8,437
210 Walt Disney Co. .......................... 14,621
---------
48,389
---------
Energy (3.3%):
120 Halliburton Co. .......................... 7,230
40 Mobil Corp. .............................. 4,890
95 Schlumberger Ltd. ........................ 9,488
127 Union Pacific Resources Group, Inc. (b)... 3,716
150 Unocal Corp. (b).......................... 6,094
---------
31,418
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Financial Services (4.9%):
175 American International Group.............. $ 18,944
90 Federal National Mortgage Assoc. ......... 3,352
80 J.P. Morgan & Co., Inc. .................. 7,810
80 Marsh & McLennan Co. ..................... 8,320
165 USBancorp (b)............................. 7,415
---------
45,841
---------
Health Care (16.3%):
375 Abbott Labs............................... 19,031
300 Alza (b)(c)............................... 7,763
80 Amgen, Inc. (c)........................... 4,350
50 Bard C.R., Inc. .......................... 1,400
100 Biomet (b)................................ 1,513
188 Cardinal Health, Inc. .................... 10,922
165 Columbia/HCA Healthcare Corp. ............ 6,724
260 Elan Corp. PLC (b)(c)..................... 8,645
120 Eli Lilly & Co. .......................... 8,760
365 Johnson & Johnson......................... 18,159
225 Medtronic, Inc. .......................... 15,300
380 Merck & Co., Inc. ........................ 30,115
175 Pfizer, Inc. ............................. 14,503
100 Schering-Plough Corp. .................... 6,475
---------
153,660
---------
Multi-Industry (1.4%):
160 Minnesota Mining & Manufacturing Co. ..... 13,260
---------
Raw Materials (3.4%):
145 Air Products & Chemical, Inc. ............ 10,023
90 Dow Chemical Co. ......................... 7,054
150 Nalco Chemical Co. ....................... 5,419
375 Pall Corp. ............................... 9,563
---------
32,059
---------
Retail (6.4%):
100 Gap, Inc. ................................ 3,013
250 Home Depot, Inc. (b)...................... 12,531
125 May Department Stores Co. ................ 5,844
280 McDonald's Corp. ......................... 12,670
250 Walgreen Co. ............................. 10,000
700 Wal-mart Stores, Inc. .................... 16,012
---------
60,070
---------
Shelter (1.6%):
40 Consolidated Papers, Inc. ................ 1,965
140 Kimberly Clark Corp. ..................... 13,335
---------
15,300
---------
Technology (13.7%):
90 Cabletron Systems (c)..................... 2,992
210 Cisco Systems, Inc. (c)................... 13,361
50 Computer Assoc. International, Inc. ...... 2,488
</TABLE>
CONTINUED
26
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
LARGE COMPANY GROWTH FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
Technology, continued:
270 Hewlett-Packard Co. ...................... $ 13,567
260 Intel Corp. .............................. 34,044
40 International Business Machines........... 6,040
180 Lucent Technologies, Inc. ................ 8,325
350 Microsoft Corp. (c)....................... 28,918
45 Northern Telecom, Ltd (b)................. 2,784
220 Oracle Corp. (b)(c)....................... 9,185
115 Texas Instruments, Inc. (b)............... 7,331
---------
129,035
---------
Transportation (0.8%):
130 Union Pacific Corp. ...................... 7,816
---------
Utilities (5.7%):
280 Alltel Corp. ............................. 8,785
250 AT&T Corp. ............................... 10,875
70 Consolidated Natural Gas Co. ............. 3,867
30 Enron Corp. .............................. 1,294
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Utilities, continued:
300 GTE Corp. ................................ $ 13,650
200 SBC Communications, Inc. (b).............. 10,350
200 Worldcom, Inc. (c)........................ 5,213
---------
54,034
---------
Total Common Stocks 914,841
---------
REPURCHASE AGREEMENTS (2.7%):
$ 24,936 Lehman Brothers, 7.02%, 1/2/97
(collaterized by $24,760 various U.S.
Government Securities 4.35%-8.06%,
1/15/97-3/24/10, market value--
$25,426)................................ 24,936
---------
Total Repurchase Agreements 24,936
---------
Total (Cost--$737,976) $ 939,777
---------
---------
</TABLE>
- ------------
Percentages indicated are based on net assets of $940,485.
<TABLE>
<C> <S>
(a) Represents cost for financial reporting purposes and differs from cost basis for federal income tax purposes by the
amount of losses recognized for financial reporting purposes in excess of federal income tax reporting of approximately
$238. Cost for federal income tax purposes differs from value by net unrealized appreciation of securities as follows:
</TABLE>
<TABLE>
<S> <C>
Unrealized appreciation................................................... $ 209,003
Unrealized depreciation................................................... (7,440)
---------
Net unrealized appreciation............................................... $ 201,563
---------
---------
</TABLE>
<TABLE>
<C> <S>
(b) A portion of this security was loaned as of December 31, 1996.
</TABLE>
<TABLE>
<C> <S>
(c) Non-income producing securities.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
27
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
GROWTH OPPORTUNITIES FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS (89.8%):
Business Equipment & Services (15.1%):
146 AES Corp. (c)(b).......................... $ 6,798
139 America Online, Inc. (b)(c)............... 4,622
11 Aurum Software, Inc. (b).................. 243
93 Cintas Corp. ............................. 5,481
297 Equifax, Inc. ............................ 9,090
104 Fiserv, Inc. (b).......................... 3,807
50 HNC Software, Inc. (b)(c)................. 1,581
8 Imnet Systems, Inc. (b)(c)................ 194
86 Manpower, Inc. ........................... 2,805
117 Office Depot, Inc. (b).................... 2,068
91 Olsten Corp. (c).......................... 1,376
145 Omnicom Group............................. 6,643
176 Paychex, Inc. ............................ 9,027
195 Reynolds & Reynolds Co. .................. 5,060
488 Staples, Inc. (b)(c)...................... 8,822
146 Sterling Commerce, Inc. (b)(c)............ 5,162
29 Telespectrum Worldwide, Inc. (b)(c)....... 456
108 Trusted Information Systems (b)........... 1,156
30 United Waste Systems, Inc. (b)............ 1,031
169 U.S.A. Waste Services, Inc. (b)(c)........ 5,377
40 Verifone, Inc. (b)(c)..................... 1,180
151 Viking Office Products (b)................ 4,032
72 Wallace Computer Services................. 2,470
---------
88,481
---------
Capital Goods (4.4%):
47 Crane Co. ................................ 1,366
94 Diebold, Inc. ............................ 5,888
30 Fastenal (c).............................. 1,350
43 Federal Signal Corp. ..................... 1,120
45 Precision Castparts Co. .................. 2,218
100 Sundstrand Corp. (c)...................... 4,250
153 Thermo Electron Corp. (b)(c).............. 6,324
56 York International Corp. ................. 3,129
---------
25,645
---------
Consumer Durable (2.2%):
111 Danaher Corp. ............................ 5,157
160 Harley-Davidson, Inc. .................... 7,515
---------
12,672
---------
Consumer Non-Durable (2.9%):
65 Dole Food Co. ............................ 2,185
73 Imation Corp. (b)......................... 2,045
96 Jones Apparel Group, Inc. (b)............. 3,595
41 Lancaster Colony Corp. ................... 1,900
73 Nine West Group, Inc. (b)(c).............. 3,362
40 Payless Shoesource, Inc. (b).............. 1,500
61 Tambrands, Inc. (c)....................... 2,477
---------
17,064
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Consumer Services (4.2%):
76 Belo (A.H.) Corp., Series A............... $ 2,657
165 Callaway Golf Co. ........................ 4,735
134 Circus Circus Entertainment (b)........... 4,613
236 International Game Technologies........... 4,311
312 Mirage Resorts (b)........................ 6,747
25 Scholastic Corp. (b)...................... 1,681
---------
24,744
---------
Energy (7.0%):
108 Anadarko Petroleum Corp. ................. 7,012
30 BJ Services Co. (b)(c).................... 1,530
130 Ensco International, Inc. (b)............. 6,320
327 Global Marine, Inc. ...................... 6,736
134 Nabors Industries, Inc. (b)............... 2,585
104 Noble Affiliates, Inc. ................... 4,989
69 Smith International, Inc. (b)............. 3,096
110 Tidewater, Inc. (c)....................... 4,955
47 Transocean Offshore, Inc. ................ 2,943
30 Varco International, Inc. (b)............. 694
---------
40,860
---------
Financial Services (10.0%):
224 Aflac, Inc. .............................. 9,567
50 Amresco, Inc. ............................ 1,338
169 Franklin Resources, Inc. ................. 11,528
70 Imperial Credit Industries, Inc. (b)...... 1,462
138 Price (T. Rowe) Associates................ 6,020
341 Schwab (Charles) Corp. (b)(c)............. 10,912
149 Summit Bancorp............................ 6,519
249 SunAmerica, Inc. (c)...................... 11,067
---------
58,413
---------
Health Care (11.5%):
71 Apria Healthcare Group, Inc. (b).......... 1,337
20 Biochem Pharma, Inc. (b).................. 1,005
181 Biogen, Inc. (b).......................... 7,029
192 Cardinal Health, Inc. (c)................. 11,201
137 Centocor (b).............................. 4,894
65 Cephalon, Inc. (b)........................ 1,333
362 Chiron Corp. (b)(c)....................... 6,746
50 Dynamic Healthcare Tech, Inc.............. 238
25 Genzyme Corp., General Division (b)....... 544
88 Health Care & Retirement Corp. (b)........ 2,516
61 Healthcare Compare Corp. ................. 2,572
97 Healthsource, Inc. (b)(c)................. 1,271
329 Healthsouth Corp. (b)(c).................. 12,715
205 Mylan Laboratories (b).................... 3,429
108 Nellcor Puritan Bennett, Inc. (b)(c)...... 2,363
40 R.P. Scherer Corp. (b).................... 2,010
</TABLE>
CONTINUED
28
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
GROWTH OPPORTUNITIES FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
Health Care, continued:
79 Stryker Corp. (c)......................... $ 2,357
80 Watson Pharmaceutical, Inc. (b)........... 3,595
---------
67,155
---------
Multi-Industry (0.5%):
14 Advanced Fibre Communication (b).......... 779
48 Dominick's Supermarkets, Inc. (b)......... 1,044
21 Saville Systems Ireland - ADR (b)......... 833
---------
2,656
---------
Raw Materials (2.6%):
126 Airgas, Inc. (b).......................... 2,763
55 Crompton & Knowles Corp. ................. 1,059
40 Georgia Gulf Corp. ....................... 1,083
159 IMC Global, Inc. (b)(c)................... 6,229
118 Lyondell Petrochemical (c)................ 2,587
80 RPM, Inc. (c)............................. 1,360
---------
15,081
---------
Retail (5.3%):
130 Bed Bath & Beyond, Inc. (b)............... 3,140
115 Claire's Stores, Inc...................... 1,492
154 Consolidated Stores (b)................... 4,959
211 Dollar General............................ 6,764
112 Kohl's Corp. (b).......................... 4,388
60 Lands End................................. 1,590
80 Lone Star Steakhouse & Saloon (b)(c)...... 2,127
69 Outback Steakhouse (b).................... 1,840
234 Sunglass Hut International, Inc. (b)...... 1,693
76 Tiffany & Co. ............................ 2,776
---------
30,769
---------
Shelter (2.8%):
161 Clayton Homes, Inc. ...................... 2,175
45 Hon Industries............................ 1,485
152 Leggett & Platt, Inc. .................... 5,246
80 Redwood Trust, Inc. ...................... 2,976
81 Sealed Air Corp. (b)(c)................... 3,355
37 Sonoco Products Co. ...................... 957
---------
16,194
---------
Technology (18.2%):
10 3Com Corp. (b)............................ 734
221 ADC Telecommunications, Inc. (b).......... 6,876
80 Adobe Systems, Inc. ...................... 2,971
30 Altera Corp. (c)(b)....................... 2,166
143 American Power Conversion (b)............. 3,897
220 Analog Devices, Inc. (b).................. 7,442
180 BMC Software (b).......................... 7,464
207 Cadence Design Systems, Inc. (b).......... 8,228
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Technology, continued:
27 Cisco Systems, Inc. (b)................... $ 1,737
71 Compuware Corp. (b)....................... 3,549
96 Electronic Arts (b)(c).................... 2,880
91 Informix Corp. (b)........................ 1,844
100 Ingram Micro, Inc. (b).................... 2,300
119 Intel Corp. .............................. 15,608
2 International Business Machines........... 332
76 Linear Technology Corp. .................. 3,335
20 Lucent Technologies, Inc. ................ 925
74 Maxim Integrated Products, Inc. (b)....... 3,188
61 Micro Warehouse, Inc. (b)................. 717
85 Octel Communications Corp. (b)............ 1,489
241 Parametric Technology Corp. (b)........... 12,371
20 Peoplesoft, Inc. (b)...................... 959
15 Puma Technology, Inc. (b)................. 259
85 Solectron Corp. (b)(c).................... 4,526
75 Structural Dynamics (b)................... 1,500
108 U.S. Robotics Corp. ...................... 7,769
36 Xilinx, Inc. (b)(c)....................... 1,340
---------
106,406
---------
Transportation (0.7%):
127 Illinois Central Corp. ................... 4,054
---------
Utilities (2.7%):
147 360 Communications Co. (b)................ 3,409
289 Frontier Corp. ........................... 6,545
421 Nextel Communications, Inc., Class A
(b)..................................... 5,499
20 Seagull Energy Corp. (b).................. 440
---------
15,893
---------
Total Common Stocks 526,087
---------
CALL OPTIONS (1.4%):
80 International Business Machines, Strike
Price $110, Expiring 1/19/98............ 3,760
60 Intel, Strike Price $95, Expiring
1/20/97................................. 2,190
60 Intel, Strike Price $95, Expiring
4/21/97................................. 2,265
---------
Total Options 8,215
---------
Total Investments, at value 534,302
---------
REPURCHASE AGREEMENTS (9.4%):
$ 55,267 Lehman Brothers, 7.02%, 1/2/97,
(collateralized by $56,195 Federal Home
Loan Bank Notes, 6.54%-6.57%, 12/4/00,
market value $56,369)................... 55,267
---------
Total Repurchase Agreements 55,267
---------
Total (Cost--$550,336)(a) $ 589,569
---------
---------
</TABLE>
- ------------
Percentages indicated are based on net assets of $585,798.
CONTINUED
29
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
GROWTH OPPORTUNITIES FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<C> <S>
(a) Represents cost for financial reporting purposes and differs from cost basis for federal income tax purposes by the
amount of losses recognized for financial reporting purposes in excess of federal income tax reporting of approximately
$12,662. Cost for federal income tax purposes differs from value by net unrealized appreciation of securities as
follows:
</TABLE>
<TABLE>
<S> <C>
Unrealized appreciation................................................... $ 51,242
Unrealized depreciation................................................... (24,671)
---------
Net unrealized appreciation............................................... $ 26,571
---------
---------
</TABLE>
<TABLE>
<C> <S>
(b) Non-income producing securities.
</TABLE>
<TABLE>
<C> <S>
(c) A portion of this security was loaned as of December 31, 1996.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
30
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
GULF SOUTH GROWTH FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS (95.8%):
Business Equipment & Services (12.1%):
70 Accustaff, Inc. (c)....................... $ 1,479
70 Acxiom Corp. (c).......................... 1,680
50 Affinity Technology Group (c)............. 325
25 Billing Information Concepts (c).......... 719
100 Communications Central, Inc. (c).......... 775
40 Computational Systems, Inc. (c)........... 770
60 Concord EFS, Inc. (c)..................... 1,695
26 Envoy Corp. (c)........................... 975
45 Imnet Systems, Inc. (b)(c)................ 1,091
20 Norrell Corp. ............................ 545
30 Nova Corp. (c)............................ 664
60 Zebra Technologies, Class A (c)........... 1,402
---------
12,120
---------
Capital Goods (3.2%):
20 Blount International, Inc. ............... 768
15 Ionics, Inc. (c).......................... 720
40 Kuhlman Corp. (c)......................... 775
28 Wolverine Tube, Inc. ..................... 973
---------
3,236
---------
Consumer Durable (1.8%):
90 Miller Industries, Inc. (c)............... 1,800
---------
Consumer Non-Durable (8.7%):
15 Coca-Cola Bottling Co. ................... 731
60 Conso Products Co. (c).................... 773
20 Dekalb Genetics Corp. .................... 1,020
50 Finish Line, Class A (b)(c)............... 1,056
30 Foodbrands America, Inc. (c).............. 412
25 Gadzooks, Inc. (c)........................ 456
25 K & G Men's Center, Inc. (c).............. 650
35 Mohawk Industries Co. (c)................. 770
15 Nautica Enterprises, Inc. (c)............. 379
12 Richfood Holdings......................... 291
18 Smithfield Foods, Inc. (c)................ 684
30 Westpoint Stevens, Inc. .................. 896
20 Wolverine World Wide, Inc. ............... 580
---------
8,698
---------
Consumer Services (6.7%):
50 Action Performance Co., Inc. (c).......... 900
15 Central Parking Corp. .................... 502
35 International Family Entertainment, Class
B (c)................................... 543
25 International Speedway Corp. (c).......... 513
23 Regal Cinemas, Inc. (b)................... 692
20 Speedway Motorsports, Inc. (c)............ 420
75 Stewart Enterprises, Inc., Class A........ 2,550
30 Sturm, Ruger & Co. ....................... 581
---------
6,701
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Energy (14.2%):
29 Benton Oil & Gas Co. (c).................. $ 647
20 Falcon Drilling Co., Inc. (c)............. 785
40 Halter Marine Group, Inc. (c)............. 550
35 Input/Output, Inc. (c).................... 648
63 Maverick Tube Corp. (c)................... 797
25 Newpark Resources, Inc. (c)............... 931
20 Nuevo Energy Co. (b)(c)................... 1,040
70 Offshore Energy Development (c)........... 1,068
75 Pride Petroleum Services, Inc. (b)(c)..... 1,744
20 Seacor Holdings, Inc. (c)................. 1,260
15 Seitel, Inc. (c).......................... 600
32 Stone Energy Corp. (c).................... 956
45 Trico Marine Services, Inc. (c)........... 2,160
20 United Meridian Corp. (c)................. 1,035
---------
14,221
---------
Financial Services (17.1%):
50 Alabama National Bankcorp................. 888
50 Amresco, Inc. (c)......................... 1,337
50 Bankunited Financial Corp. ............... 500
20 CCB Financial Corp. ...................... 1,365
1 Colonial BancGroup, Inc. ................. 28
13 Cooperative Bankshares, Inc. (c).......... 263
23 Cullen/Frost Bankers, Inc. ............... 765
22 Deposit Guaranty Corp. ................... 682
50 Eagle Bancshares, Inc. ................... 775
40 Emergent Group, Inc. (c).................. 420
15 First American Corp. ..................... 864
40 First Financial Holdings, Inc. ........... 900
20 HFNC Financial Corp. (b).................. 357
50 Olympic Financial Ltd. (c)................ 719
25 Protective Life Corp. .................... 997
5 Seacoast Banking Corp., Inc. ............. 128
35 Sirrom Capital Corp. ..................... 1,286
38 Triad Guaranty, Inc. (c).................. 1,078
40 Union Planters Corp. (b).................. 1,560
60 United Cos. Financial Corp. .............. 1,597
18 Whitney Holding Corp. .................... 637
---------
17,146
---------
Health Care (7.6%):
50 Cryolife, Inc. (c)........................ 625
25 Gulf South Medical Supply (c)............. 641
23 IDEXX Laboratories, Inc. (c).............. 828
50 Immucor, Inc. (c)......................... 488
24 Intercardia, Inc. (c)..................... 516
15 Invacare Corp. ........................... 412
75 Nabi, Inc. (c)............................ 656
30 Phycor, Inc. (b)(c)....................... 851
25 Phymatrix, Inc. (b)(c).................... 356
30 Rexall Sundown, Inc. (c).................. 816
</TABLE>
CONTINUED
31
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
GULF SOUTH GROWTH FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
Health Care, continued:
42 Sano Corp. (c)............................ $ 641
25 Sofamor Danek Group, Inc. (c)............. 763
---------
7,593
---------
Raw Materials (3.3%):
24 Caraustar Industries, Inc. ............... 798
25 Chemfirst, Inc. (c)....................... 562
20 Cytec Industries, Inc. (c)................ 813
8 Mississippi Chemical Corp. ............... 200
35 Quanex Corp. ............................. 958
---------
3,331
---------
Retail (2.4%):
30 Hibbet Sporting Goods, Inc. (c)........... 435
25 Landry's Seafood Restaurants, Inc. (c).... 534
20 Proffitts, Inc. (c)....................... 738
35 Stein Mart, Inc. (c)...................... 709
---------
2,416
---------
Shelter (2.2%):
20 Ethan Allen Interiors, Inc. .............. 770
34 Oakwood Homes Corp. (b)................... 778
55 Southern Energy Homes, Inc. (c)........... 632
---------
2,180
---------
Technology (12.3%):
26 Adtran, Inc. (b)(c)....................... 1,079
20 Aspect Telecommunications, Inc. (c)....... 1,270
25 Benchmark Electronics, Inc. (c)........... 750
40 Coherent Communication System Corp. (c)... 780
30 Datastream Systems, Inc. (c).............. 540
41 Harbinger Corp. (c)....................... 1,076
25 Micros Systems, Inc. (c).................. 769
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ----------- ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
Technology, continued:
60 Network General Corp. (c)................. $ 1,815
37 SCI Systems, Inc. (b)(c).................. 1,651
45 Symmetricom, Inc. (c)..................... 894
30 Tech Data Corp. (c)....................... 821
25 Tessco Technologies, Inc. (c)............. 919
---------
12,364
---------
Transportation (1.7%):
30 Atlantic Southeast Airlines, Inc. ........ 656
25 Heartland Express, Inc. (c)............... 609
25 MS Carriers, Inc. (c)..................... 400
---------
1,665
---------
Utilities (2.5%):
18 K N Energy, Inc. ......................... 707
30 LCI International, Inc. (b)(c) ........... 645
60 Network Long Distance, Inc. (c)........... 480
45 Southwestern Energy Co. .................. 681
---------
2,513
---------
Total Common Stocks 95,984
---------
Total Investments, at value 95,984
---------
REPURCHASE AGREEMENTS (4.2%):
$ 4,231 Lehman Brothers, 7.02%, 1/2/97
(Collateralized by $4,360, various U.S.
Government Agencies, 5.78%-6.39%,
7/2/03-10/22/03, market value--
$4,316)................................. 4,231
---------
Total Repurchase Agreements......................... 4,231
---------
Total (Cost--$81,453)(a)............................... $100,215
---------
---------
</TABLE>
- ------------
Percentages indicated are based on net assets of $100,203.
<TABLE>
<C> <S>
(a) Represents cost for federal income tax purposes and differs from value by net unrealized appreciation of securities as
follows:
</TABLE>
<TABLE>
<S> <C>
Unrealized appreciation.................................................... $ 22,537
Unrealized depreciation.................................................... (3,775)
---------
Net unrealized appreciation................................................ $ 18,762
---------
---------
</TABLE>
<TABLE>
<C> <S>
(b) A portion of this security was loaned as of December 31, 1996.
</TABLE>
<TABLE>
<C> <S>
(c) Non-income producing securities.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
32
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS (96.8%):
ARGENTINA (0.8%):
Automotive (0.0%):
24,666 CIADEA SA (b)............................. $ 117
---------
Beverages & Tobacco (0.0%):
353 Buenos Aires Embottelladora SA, Class B... 67
---------
Oil & Gas Exploration, Production & Services (0.4%):
118,606 Perez Companc SA.......................... 834
29,801 YPF Sociedad Anonima...................... 753
---------
1,587
---------
Telecommunications (0.4%):
135,520 Telecom Argentina SA, Class B............. 559
291,680 Telefonica de Argentina SA, Class B....... 764
---------
1,323
---------
Total Argentina 3,094
---------
AUSTRALIA (2.1%):
Banking (0.6%):
119,800 National Australia Bank Ltd. ............. 1,408
170,900 Westpac Banking Corp., Ltd. .............. 972
---------
2,380
---------
Broadcasting & Publishing (0.2%):
156,600 News Corp., Ltd. ......................... 826
---------
Building Products (0.4%):
102,800 CSR Ltd. ................................. 359
220,700 Boral Ltd. ............................... 628
126,700 Pioneer International Ltd. ............... 377
---------
1,364
---------
Diversified (0.0%):
40,400 Southcorp Holdings Ltd. .................. 128
---------
Metals & Mining (0.5%):
104,520 Broken Hill Proprietary Co. Ltd. ......... 1,488
34,600 Newcrest Mining Ltd. ..................... 137
79,400 WMC Ltd. ................................. 500
---------
2,125
---------
Metals (0.1%):
229,000 M.I.M. Holdings Ltd. ..................... 320
27,600 RGC Ltd. ................................. 123
---------
443
---------
Real Estate (0.2%):
138,000 General Property Trust.................... 269
87,000 Stockland Trust Group..................... 225
81,100 Westfield Trust........................... 153
---------
647
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
AUSTRALIA, CONTINUED:
Retail Stores/Catalog (0.1%):
102,130 Coles Myer Ltd. .......................... $ 420
---------
Total Australia 8,333
---------
AUSTRIA (1.4%):
Airlines (0.1%):
2,150 Austrian Airlines/Oesterreichische
Luftverskehrs AG (b).................... 327
---------
Automotive (0.0%):
6,500 Steyr-Daimler-Puch AG (b)................. 104
---------
Banking & Financial Services (0.4%):
13,650 Bank Austria AG........................... 1,008
1,950 Bank Austria AG, Participating
Certificates............................ 63
6,050 Creditanstalt-Bankverein.................. 409
---------
1,480
---------
Beverages & Tobacco (0.1%):
3,000 Osterreichische Brau-Beteiligungs AG...... 204
---------
Building Products (0.1%):
2,830 Constantia Iso AG......................... 91
1,575 Wienerberger Baustoffindustrie AG......... 305
---------
396
---------
Chemicals (0.1%):
4,050 Lenzing AG................................ 258
---------
Containers & Packaging (0.0%):
3,140 Constantia Verpackungen AG................ 165
---------
Environmental Services (0.0%):
900 BWT AG.................................... 93
---------
Insurance (0.2%):
2,850 EA-Generali AG............................ 841
---------
Miscellaneous Manufacturing (0.1%):
8,955 Radex-Heraklith Industriebeteiligungs
AG...................................... 283
---------
Oil & Gas Exploration, Production & Services (0.2%):
7,050 OMV AG.................................... 794
---------
Utilities--Electric & Gas (0.1%):
5,350 Osterreichische Elekrizitaitswirtschafts-
AG, Class A............................. 400
---------
Total Austria 5,345
---------
BELGIUM (2.0%):
Banking (0.3%):
1,472 Generale de Banque SA..................... 527
935 Kredietbank NV............................ 306
1,302 Kredietbank VVPR.......................... 405
---------
</TABLE>
CONTINUED
33
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
BELGIUM, CONTINUED:
Banking, continued:
$ 1,238
---------
Chemicals (0.2%):
1,353 Solvay SA................................. 827
---------
Industrial Holding Company (0.1%):
4,119 Groupe Bruxelles Lambert SA............... 530
---------
Insurance (0.2%):
3,592 Fortis AG................................. 576
1,887 Royale Belge.............................. 389
---------
965
---------
Merchandising (0.3%):
18,051 Delhaize-Le Lion SA....................... 1,071
---------
Metals & Mining (0.1%):
2,990 Union Miniere Group (b)................... 202
---------
Oil & Gas Exploration, Production & Services (0.2%):
2,236 PetroFina SA.............................. 711
---------
Utilities--Electric & Gas (0.6%):
9,224 Electrabel SA............................. 2,181
---------
Total Belgium 7,725
---------
BRAZIL (0.5%):
Beverages & Tobacco (0.0%):
41,000 Companhia Cervejaria Brahma (b)........... 24
---------
Chemicals (0.0%):
242,000 Copesul-Companhia Pertoquimica do Sul..... 15
36,151,000 White Martins SA.......................... 52
---------
67
---------
Glass Products (0.0%):
5,000 Companhia Vidraria Santa Maria............ 16
---------
Steel (0.1%):
1,955,100 Cia de Acos Especiais Itabira-Acesita..... 4
3,589,000 Companhia Siderurgica Nacional............ 102
9,064 Companhia Vale do Rio Doce................ 236
---------
342
---------
Telecommunications (0.2%):
5,392,819 Telecomunicacoes Brasileiras SA........... 387
828,000 Telecomunicacoes de Sao Paulo SA.......... 179
---------
566
---------
Tobacco (0.0%):
13,000 Souza Cruz SA (b)......................... 85
---------
Utilities--Electric & Gas (0.2%):
1,211,000 Centrais Electricas Brasilieras SA........ 434
378,000 Centrais Electricas Brasilieras SA, Class
B....................................... 140
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
BRAZIL, CONTINUED:
Utilities--Electric & Gas, continued:
3,516,000 Companhia Paranaense de Energia-Copel..... $ 37
355,000 Light-Servicos de Electricidade SA........ 126
---------
737
---------
Total Brazil 1,837
---------
DENMARK (1.7%):
Agriculture (0.0%):
2,500 Korn-OG Foderstof Kompagniet A/S.......... 101
---------
Banking & Financial Services (0.2%):
6,700 Den Danske Bank........................... 539
5,600 Unidanmark A/S, Class A................... 290
---------
829
---------
Beverages & Tobacco (0.2%):
3,550 Carlsberg A/S, Class A.................... 239
7,300 Carlsberg A/S, Class B.................... 493
---------
732
---------
Commercial Services (0.0%):
2,850 ISS International Service System A/S,
Class B................................. 75
---------
Electrical & Electronic (0.0%):
150 NKT Holding A/S........................... 9
---------
Engineering (0.1%):
2,250 FLS Industries A/S, Class B............... 288
---------
Food & Household Products (0.1%):
3,072 Royal Copenhagen A/S, Class A............. 284
---------
Food Products & Services (0.1%):
2,750 Superfos A/S.............................. 347
---------
Pharmaceuticals (0.6%):
13,000 Novo Nordisk A/S, Class B................. 2,446
---------
Telecommunications (0.2%):
12,650 Tele Danmark A/S, Class B................. 697
---------
Transportation & Shipping (0.2%):
13 D/S 1912, Class B......................... 334
9 D/S Svendborg A/S, Class B................ 337
300 Lauritzen (J.) Holding A/S (b)............ 35
---------
706
---------
Total Denmark 6,514
---------
FINLAND (1.0%):
Banking & Financial Services (0.1%):
130,706 Merita Ltd., Class A (b).................. 405
---------
Forest Products (0.1%):
22,188 UPM-Kymmene Corp. (b)..................... 465
---------
</TABLE>
CONTINUED
34
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
FINLAND, CONTINUED:
Insurance (0.1%):
10,500 Pohjola Insurance Group, Class B.......... $ 236
3,200 Sampo Insurance Co. Ltd., Class A......... 252
---------
488
---------
Metals (0.1%):
26,500 Outokumpo OY, Class A..................... 451
---------
Telecommunications (0.6%):
24,600 Nokia AB, Class A......................... 1,424
13,600 Nokia AB, Class K......................... 785
---------
2,209
---------
Total Finland 4,018
---------
FRANCE (10.6%):
Automotive (0.2%):
6,150 PSA Peugeot............................... 691
---------
Banking (1.0%):
19,400 Banque Nationale de Paris................. 749
19,950 Compagnie de Suez SA...................... 847
18,800 Compagnie Financiere de Paribas........... 1,269
8,273 Societe Generale.......................... 893
---------
3,758
---------
Beverages & Tobacco (0.8%):
9,340 LVMH (Moet Hennessy Louis Vuitton)........ 2,603
8,120 Pernod Ricard............................. 448
---------
3,051
---------
Broadcast/Cable (0.1%):
2,650 Canal Plus................................ 584
---------
Building Products (0.4%):
2,850 Imetal SA................................. 420
19,608 Lafarge SA................................ 1,174
---------
1,594
---------
Business Services (0.7%):
16,750 Compagnie Generale des Eaux............... 2,072
7,236 Havas SA.................................. 507
---------
2,579
---------
Chemicals (0.6%):
7,375 L'Air Liquide............................. 1,149
34,000 Rhone-Poulenc SA.......................... 1,157
---------
2,306
---------
Commercial Services (0.2%):
1,300 Sodexho SA................................ 723
---------
Construction (0.1%):
4,600 Bouygues.................................. 476
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
FRANCE, CONTINUED:
Defense (0.3%):
650 Sagem SA.................................. $ 391
22,250 Thomson CSF............................... 720
---------
1,111
---------
Diversified (0.1%):
1,440 Chargeurs International SA (b)............ 71
11,400 Lagardere SCA............................. 312
---------
383
---------
Electrical & Electronic (0.7%):
16,960 Alcatel Alsthom........................... 1,360
4,750 Legrand SA................................ 808
16,900 Schneider SA.............................. 780
---------
2,948
---------
Energy (1.2%):
31,750 Elf Aquitane SA........................... 2,884
21,900 Total SA, Class B......................... 1,778
---------
4,662
---------
Engineering (0.1%):
3,050 Compagnie Francaise d'Etudes et de
Construction Technip.................... 286
---------
Food & Household Products (0.2%):
4,450 Eridania Beghin-Say SA.................... 715
---------
Food Products & Services (0.2%):
7,100 Groupe Danone............................. 987
---------
Health & Personal Care (0.9%):
6,245 L'OREAL................................... 2,347
11,510 Sanofi SA................................. 1,142
---------
3,489
---------
Industrial Goods & Services (0.2%):
17,650 Michelin Class B, Registered.............. 951
---------
Industrial Holding Companies (0.3%):
11,700 Lyonnaise des Eaux SA..................... 1,087
---------
Insurance (0.4%):
25,750 AXA SA.................................... 1,635
---------
Leisure (0.2%):
4,350 Accor SA.................................. 550
2,500 Salomon SA................................ 214
---------
764
---------
Manufacturing--Consumer Goods (0.2%):
6,000 Societe BIC SA............................ 898
---------
Media (0.1%):
1,440 Pathe SA (b).............................. 346
---------
</TABLE>
CONTINUED
35
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
FRANCE, CONTINUED:
Merchandising (1.1%):
4,074 Carrefour SA.............................. $ 2,646
6,350 Etablissements Economiques du Casino
Guichard-Perrachon...................... 295
2,400 Pinault-Printemps-Redoute SA.............. 950
2,095 Promodes.................................. 590
---------
4,481
---------
Miscellaneous Materials & Commodities (0.3%):
9,300 Compagnie de Saint Gobain................. 1,313
---------
Oil & Gas Exploration, Production & Services (0.0%):
750 Compagnie Francaise de Petroleum Total SA,
Certificate Petroliers.................. 46
---------
Textile Products (0.0%):
1,400 Dollfus-Mieg & Cie........................ 34
---------
Total France 41,898
---------
GERMANY (16.2%):
Airlines (0.2%):
55,100 Deutsche Lufthansa AG..................... 743
---------
Automotive (1.9%):
76,100 Daimler-Benz AG (b)....................... 5,210
2,560 Man AG.................................... 617
3,820 Volkswagen AG............................. 1,580
---------
7,407
---------
Banking (3.0%):
98,150 Bayer AG.................................. 3,977
27,500 Bayerische Vereinsbank AG................. 1,114
112,170 Deutsche Bank AG.......................... 5,226
50,850 Dresdner Bank AG.......................... 1,518
---------
11,835
---------
Banking & Financial Services (0.2%):
23,350 Bayerische Hypotheken--und Weschel--Bank
AG...................................... 703
---------
Building Materials (0.1%)
5,890 Heidelberger Zement AG.................... 475
---------
Business Services (0.3%):
9,530 SAP AG.................................... 1,302
---------
Chemicals (1.3%):
120,200 BASF AG................................... 4,602
1,540 Degussa AG................................ 699
---------
5,301
---------
Conglomerates (2.3%):
12,678 Metro AG (b).............................. 991
2,780 Preussag AG............................... 628
109,360 VEBA AG................................... 6,280
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
GERMANY, CONTINUED:
Conglomerates, continued:
3,390 Viag AG................................... $ 1,325
---------
9,224
---------
Construction (0.1%):
9,000 Hochtief AG............................... 353
---------
Consumer Goods & Services (0.2%):
8,520 Adidas AG................................. 735
---------
Electrical & Electronic (0.9%):
77,580 Siemens AG................................ 3,595
---------
Engineering (0.6%)
22,760 AGIV AG (b)............................... 332
3,200 Bilfinger & Berger Bau AG................. 119
4,590 Mannesmann AG............................. 1,972
---------
2,423
---------
Health Care (0.4%):
16,760 Schering AG............................... 1,413
---------
Insurance (2.5%):
3,464 Allianz AG Holding........................ 6,226
540 AMB Aachener und Muenchener Beteiligungs
AG, Registered Shares................... 386
110 AMB Aachener und Muenchener Beteiligungs
AG, Bearer Shares....................... 71
2,970 CKAG Colonia Konzern AG................... 247
70 Muenchener Rueckversicherungs Gesellschaft
AG, Bearer Shares....................... 126
1,215 Muenchener Rueckversicherungs Gesellschaft
AG, Registered Shares................... 2,945
---------
10,001
---------
Machinery & Equipment (0.1%):
11,350 Kloeckner-Humbolt-Deutz AG (b)............ 54
540 Linde AG.................................. 328
---------
382
---------
Manufacturing--Consumer Goods (0.0%):
220 Salamander AG............................. 21
---------
Metals & Mining (0.5%):
31,700 Fag Kugelfischer Georg Schaefer AG........ 433
8,435 Thyssen AG................................ 1,494
---------
1,927
---------
Personal Care Products (0.5%):
41,000 Beiersdorf AG............................. 2,030
---------
Pharmaceuticals (0.3%):
28,880 Merck KGaA................................ 1,037
---------
</TABLE>
CONTINUED
36
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
GERMANY, CONTINUED:
Retail--General Merchandise (0.0%):
3,100 Douglas Holding AG........................ $ 125
---------
Retail Stores (0.1%):
850 Karstadt AG............................... 282
---------
Textile Products (0.0%):
630 Escada AG................................. 102
---------
Utilities--Electric & Gas (0.7%):
65,470 RWE AG.................................... 2,736
---------
Total Germany 64,152
---------
GREECE (0.8%):
Agriculture (0.0%):
13,350 Hellenic Sugar Industry SA................ 124
---------
Banking & Financial Services (0.5%):
12,850 Alpha Credit Bank......................... 818
9,931 Commercial Bank of Greece SA.............. 280
9,330 Ergo Bank SA.............................. 473
6,940 National Bank of Greece SA................ 441
---------
2,012
---------
Beverages & Tobacco (0.1%):
11,050 Hellenic Bottling Co. SA.................. 354
---------
Building Products (0.1%):
41,820 Heracles General Cement Co. SA............ 519
---------
Telecommunications (0.1%):
5,590 Intracom SA............................... 126
---------
Total Greece 3,135
---------
HONG KONG (1.0%):
Airlines (0.1%):
166,000 Cathay Pacific Airways.................... 262
---------
Banking (0.1%):
69,240 Bank of East Asia Ltd. ................... 308
---------
Banking & Financial (0.0%):
31,728 Wing Lung Bank............................ 215
---------
Broadcasting & Publishing (0.1%):
95,000 Television Broadcasts Ltd. ............... 380
---------
Conglomerates (0.2%):
68,000 Swire Pacific Ltd., Class A............... 648
---------
Electrical Equipment (0.0%):
450,000 Elec & Eltek International Holdings
Ltd. ................................... 99
---------
Electronic Components/Instruments (0.0%):
272,000 Applied International Holdings Ltd. (b)... 16
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
HONG KONG, CONTINUED:
Industrial Holding Company (0.3%):
145,000 Hutchison Whampoa Ltd. ................... $ 1,139
---------
Printing & Publishing (0.0%):
263,000 Oriental Press Group Ltd. ................ 118
---------
Real Estate (0.1%):
40,000 Sun Hung Kai Properties Ltd. ............. 490
---------
Telecommunications (0.1%):
227,600 Hong Kong Telecommunications Ltd. ........ 366
---------
Total Hong Kong 4,041
---------
INDONESIA (1.2%):
Agriculture (0.1%):
346,500 PT SMART Corp. ........................... 242
---------
Auto Parts (0.1%):
167,000 PT Astra International--Foreign
Registry................................ 459
---------
Banking & Financial Services (0.3%):
1,201,706 PT Bank International Indonesia-- Foreign
Registry................................ 1,183
---------
Building Products (0.1%):
221,500 Indocement Tunggal Prakarsa............... 337
---------
Forest Products (0.0%):
203,000 PT Barito Pacific Timber.................. 124
99,500 PT Inti Indorayon Utama--Foreign
Registry................................ 73
---------
197
---------
Telecommunications (0.1%):
107,500 PT Indosat................................ 296
---------
Textile Products (0.2%):
1,246,000 PT Polysindo Eka Perkasa--Foreign
Registry................................ 712
---------
Tobacco (0.3%):
166,000 PT Gudang Garam........................... 717
99,000 PT Hanjaya Mandala Sampoerna.............. 528
---------
1,245
---------
Total Indonesia 4,671
---------
IRELAND (0.3%):
Banking & Financial Services (0.2%):
132,300 Allied Irish Banks PLC.................... 878
---------
Beverages & Tobacco (0.1%):
77,400 James Crean PLC........................... 242
---------
Total Ireland 1,120
---------
</TABLE>
CONTINUED
37
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
ITALY (6.8%):
Agriculture (0.1%):
305,900 Parmalat Finanziaria SpA.................. $ 467
---------
Airlines (0.0%):
206,000 Alitalia SpA (b).......................... 79
---------
Automotive (0.6%):
616,100 Fiat SpA.................................. 1,860
168,322 Fiat SpA, Privileged...................... 277
136,494 Fiat SpA di Risp (Non-convertible)........ 239
---------
2,376
---------
Banking (0.6%):
378,000 Banca Commerciale Italiana................ 686
160,700 Banca Nazionale dell'Agricoltura (b)...... 101
82,800 Banco Ambrosiano Veneto SpA............... 199
344,000 Credito Italiano SpA...................... 377
112,600 Istituto Bancario San Paolo di Torino..... 689
31,680 Riunione Adriatica di Sicurta SpA di
Risp.................................... 168
---------
2,220
---------
Building Products (0.0%):
28,000 Italcementi SpA........................... 157
---------
Chemicals (0.1%):
697,739 Montedison SpA (b)........................ 474
---------
Computer Hardware (0.0%):
446,563 Olivetti Group SpA (b).................... 157
---------
Engineering (0.0%):
145,000 Impregilo SpA (b)......................... 113
---------
Insurance (1.5%):
240,548 Assicurazioni Generali.................... 4,548
22,600 La Previdente............................. 123
56,430 Riuniune Adriatici de Sicurta SpA......... 525
62,800 Societa Assicuratrice Industriale (SAI)
SpA..................................... 578
---------
5,774
---------
Oil & Gas Exploration, Production & Services (1.5%):
1,148,900 Ente Nazionale Idrocarburi SpA (ENI)...... 5,882
---------
Paper Products (0.0%):
26,887 Burgo (Cartiere) SpA...................... 124
---------
Restaurants (0.0%):
44,204 Finanziaria Autogrill SpA (b)............. 43
---------
Retail Stores (0.1%):
35,600 La Rinascente SpA......................... 206
---------
Steel (0.0%):
21,500 Falck Acciaierie & Ferriere Lombarde
SpA..................................... 86
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
ITALY, CONTINUED:
Telecommunications (1.8%):
55,700 Sirti SpA................................. $ 337
957,904 Telecom Italia SpA........................ 2,482
333,400 Telecom Italia SpA di Risp (Non-
convertible)............................ 649
1,198,060 Telecom Italia Mobile SpA................. 3,022
329,300 Telecom Italia Mobile SpA di Risp (Non-
convertible)............................ 469
---------
6,959
---------
Textile Products (0.1%):
33,400 Benetton Group SpA........................ 421
---------
Tire & Rubber (0.1%):
240,900 Pirelli SpA............................... 446
---------
Utilities--Electric & Gas (0.3%):
92,400 Edison SpA................................ 583
121,400 Italgas SpA............................... 506
---------
1,089
---------
Total Italy 27,073
---------
JAPAN (23.6%):
Agriculture (0.0%):
25,000 Nippon Beet Sugar Manufacturing........... 93
---------
Airlines (0.2%):
3,000 All Nippon Airways Co., Ltd. ............. 23
115,000 Japan Airlines (b)........................ 609
---------
632
---------
Aluminum (0.0%):
10,000 Nippon Light Metal Co. ................... 41
---------
Appliances & Household Products (1.0%):
104,000 Matsushita Electric Industrial Co.,
Ltd. ................................... 1,694
11,000 Pioneer Electronic Corp. ................. 209
95,000 Sanyo Electric Co. ....................... 393
52,000 Sharp Corp. .............................. 739
16,000 Sony Corp. ............................... 1,046
---------
4,081
---------
Automotive (1.9%):
46,000 Honda Motor Co., Ltd. .................... 1,312
134,000 Nissan Motor Co., Ltd. ................... 776
14,000 Toyoda Automatic Loom Works............... 261
184,000 Toyota Motor Corp. ....................... 5,279
---------
7,628
---------
Banking (4.3%):
125,000 Asahi Bank Ltd. .......................... 1,109
297,600 Bank of Tokyo--Mitsubishi................. 5,513
78,000 Bank of Yokohama Ltd. .................... 504
75,000 Chiba Bank Ltd. .......................... 510
</TABLE>
CONTINUED
38
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
JAPAN, CONTINUED:
Banking, continued:
133,000 Fuji Bank Ltd. ........................... $ 1,937
111,000 Industrial Bank of Japan.................. 1,922
48,000 Joyo Bank................................. 289
40,000 Mitsui Trust & Banking Co. ............... 312
178,000 Sakura Bank Ltd. ......................... 1,270
50,000 Shizuoka Bank............................. 530
145,000 Sumitomo Bank............................. 2,086
109,000 Tokai Bank................................ 1,136
---------
17,118
---------
Banking & Financial Services (0.1%):
27,000 Gunma Bank................................ 235
---------
Basic Industry (0.1%):
42,000 Sekisui Chemical Co., Ltd. ............... 423
---------
Beverages & Tobacco (0.2%):
6,000 Asahi Breweries Ltd. ..................... 62
49,000 Kirin Brewery Co., Ltd. .................. 481
36,000 Takara Shuzo.............................. 253
---------
796
---------
Brewery (0.0%):
3,000 Sapporo Breweries......................... 25
---------
Building Products (0.1%):
20,000 Chichibu Onoda Cement Co. ................ 85
9,000 Tostem Corp. ............................. 248
---------
333
---------
Chemicals (0.9%):
72,000 Asahi Chemical Industry Co., Ltd. ........ 407
97,000 Denki Kagaku Kogyo K.K. .................. 238
32,000 Kaneka Corp. ............................. 164
4,000 Kureha Chemical Industry.................. 16
73,000 Mitsubishi Chemical Corp. ................ 236
51,000 Mitsui Toatsu Chemicals................... 155
12,000 Nippon Shokubai K.K. Co. ................. 89
14,000 NOF Corp. ................................ 61
12,400 Shin-Etsu Chemical Co. ................... 225
59,000 Showa Denko K.K. (b)...................... 135
100,000 Sumitomo Chemical Co. .................... 395
27,000 Takeda Chemical Industries................ 565
80,000 Toray Industries, Inc. ................... 493
72,000 Tosoh Corp. (b)........................... 246
74,000 Ube Industries Ltd. ...................... 209
---------
3,634
---------
Construction (0.5%):
13,000 Aoki Corp. (b)............................ 27
21,000 Daiwa House Industry Co., Ltd. ........... 270
22,000 Haseko (b)................................ 59
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
JAPAN, CONTINUED:
Construction, continued:
56,000 Kumagai Gumi Co., Ltd. ................... $ 138
12,000 Misawa Homes.............................. 84
18,000 Okumura Corp. ............................ 109
20,000 Penta-Ocean Construction Co., Ltd. ....... 89
61,000 Sekisui House Ltd. ....................... 620
59,000 Shimizu Corp. ............................ 440
43,000 Taisei Corp. ............................. 222
---------
2,058
---------
Consumer Goods & Services (0.2%):
31,000 Nippon Sheet Glass Co., Ltd. ............. 110
45,000 Toto Ltd. ................................ 512
---------
622
---------
Data Processing & Reproduction (0.3%):
117,000 Fujitsu Ltd. ............................. 1,089
---------
Distribution (0.1%):
72,000 Itochu Corp. ............................. 386
64,000 Tomen Corp. .............................. 174
---------
560
---------
Diversified (0.1%):
9,000 Amano Corp. .............................. 96
18,000 Yamaha Corp. ............................. 306
---------
402
---------
Electrical & Electronic (0.5%):
9,000 Kyocera Corp. ............................ 560
116,000 Mitsubishi Electric Corp. ................ 690
7,000 Nikon Corp. .............................. 87
17,000 Omron Corp. .............................. 319
7,000 Rohm Co. ................................. 458
---------
2,114
---------
Electrical Equipment (0.1%):
7,100 SMC Corp. ................................ 476
---------
Electronic Components/Instruments (0.8%):
13,000 Fanuc Co., Ltd. .......................... 416
3,100 Hirose Electric........................... 179
167,000 Hitachi Ltd. ............................. 1,554
73,000 NEC Corp. ................................ 880
23,000 Yokogawa Electric Corp. .................. 198
---------
3,227
---------
Energy (0.6%):
51,000 Cosmo Oil Co., Ltd. ...................... 245
211,000 Japan Energy Corp. ....................... 573
264,000 Nippon Oil Co. ........................... 1,353
---------
2,171
---------
</TABLE>
CONTINUED
39
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
JAPAN, CONTINUED:
Engineering (0.4%):
9,000 Daito Trust Construction Co., Ltd. ....... $ 100
36,000 Fujita Corp. ............................. 103
33,000 Hazama Corp. ............................. 91
36,000 Kajima Corp. ............................. 257
32,000 Kawasaki Heavy Industries................. 132
12,900 Kinden Corp. ............................. 164
19,000 Nishimatsu Construction................... 165
53,000 Obayashi Corp. ........................... 357
1,000 Sato Kogyo................................ 4
6,000 Toa Corp. ................................ 31
---------
1,404
---------
Entertainment (0.1%):
16,000 Tokyo Dome Corp. ......................... 279
1,000 Toei...................................... 6
---------
285
---------
Financial Services (0.9%):
11,000 Acom Co., Ltd. (b)........................ 468
55,000 Daiwa Securities Co., Ltd. ............... 488
49,000 Mitsubishi Trust & Banking Co. ........... 655
3,000 Nikko Securities Co., Ltd. ............... 22
12,000 Nippon Shinpan Co. ....................... 67
86,000 Nomura Securities Co. .................... 1,289
6,000 Orix Corp. ............................... 249
54,000 Yamaichi Securities Co., Ltd. ............ 240
43,000 Yasuda Trust& Banking..................... 182
---------
3,660
---------
Food & Household Products (0.2%):
13,000 Ajinomoto Co., Inc. ...................... 132
39,000 Kao Corp. ................................ 454
4,000 Nissin Food Products...................... 85
---------
671
---------
Food Products & Services (0.1%):
31,000 Daiei, Inc. .............................. 236
---------
Forest Products (0.2%):
1,000 Hokuetsu Paper Mills Ltd. ................ 6
14,000 Mitsubishi Paper Mills.................... 55
89,333 New Oji Paper Co. ........................ 564
46,000 Nippon Paper Industries Co. .............. 214
---------
839
---------
Health & Personal Care (0.6%):
9,000 Chugai Pharmaceutical Co., Ltd. .......... 75
20,000 Kyowa Hakko Kogyo Co., Ltd. .............. 152
21,000 Lion Corp. ............................... 104
27,000 Sankyo Co., Ltd. ......................... 763
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
JAPAN, CONTINUED:
Health & Personal Care, continued:
57,000 Yamanouchi Pharmaceutical Co., Ltd. ...... $ 1,169
---------
2,263
---------
Hotels & Lodging (0.0%):
6,000 Fujita Kanko, Inc. ....................... 111
---------
Industrial Goods & Services (0.7%):
57,000 Bridgestone Corp. ........................ 1,080
50,000 Denso Corp. .............................. 1,202
33,000 Mitsui Engineering & Shipbuilding Co.,
Ltd. (b)................................ 67
14,000 NGK Insulators Ltd. ...................... 133
26,000 Sumitomo Electric Industries.............. 363
---------
2,845
---------
Insurance (0.2%):
39,000 Mitsui Marine & Fire Insurance Co.,
Ltd. ................................... 209
13,650 Nichido Fire & Marine Insurance Co.,
Ltd. ................................... 78
12,000 Nippon Fire & Marine Insurance............ 54
22,000 Sumitomo Marine & Fire Insurance.......... 136
48,000 Tokio Marine & Fire Insurance Co. ........ 451
---------
928
---------
Jewelry (0.1%):
40,000 Citizen Watch Co., Ltd. .................. 286
---------
Leasing (0.1%):
45,000 Yamato Transport Co., Ltd. ............... 465
---------
Machinery & Equipment (1.1%):
20,000 Chiyoda Corp. ............................ 129
9,000 Daifuku Co., Ltd. ........................ 113
15,000 Daikin Industries Ltd. ................... 133
8,000 Ebara Corp. .............................. 104
29,000 Iseki & Co. (b)........................... 92
49,000 Komatsu Ltd. ............................. 401
40,000 Koyo Seiko Co., Ltd. ..................... 331
52,000 Kubota Corp. ............................. 251
32,000 Minebea Co., Ltd. ........................ 267
229,000 Mitsubishi Heavy Industries, Ltd. ........ 1,815
4,000 Mori Seiki................................ 55
58,000 Niigata Engineering Co., Ltd. (b)......... 162
25,000 NSK Ltd. ................................. 151
37,000 NTN Corp. ................................ 201
7,000 Tokyo Electron Ltd. ...................... 214
---------
4,419
---------
Manufacturing--Capital Goods (0.4%):
38,000 Fujikura Ltd. ............................ 304
16,000 Kokuyo Co., Ltd. ......................... 394
</TABLE>
CONTINUED
40
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
JAPAN, CONTINUED:
Manufacturing--Capital Goods, continued:
21,000 Makita Corp. ............................. $ 293
15,000 Murata Manufacturing Co., Ltd. ........... 497
22,000 Noritake Co., Ltd. ....................... 183
22,000 Topy Industries Ltd. ..................... 81
---------
1,752
---------
Manufacturing--Consumer Goods (0.7%):
69,000 Canon, Inc. .............................. 1,522
33,000 Fuji Photo Film Co., Ltd. ................ 1,086
5,000 Sega Enterprises.......................... 168
---------
2,776
---------
Materials (0.0%):
15,000 Sumitomo Osaka Cement Co., Ltd. .......... 49
---------
Merchandising (0.5%):
28,000 ITO-Yokado Co., Ltd. ..................... 1,216
14,000 JUSCO Co. ................................ 474
10,000 Marui Co., Ltd. .......................... 180
2,900 Seven-Eleven Japan Ltd. .................. 169
---------
2,039
---------
Metals & Mining (0.3%):
14,000 Furukawa Electric Co. .................... 66
18,000 Hitachi Zosen Corp. ...................... 70
66,000 Japan Steel Works (b)..................... 150
67,000 Mitsubishi Materials Corp. ............... 270
4,000 Mitsui Mining Co., Ltd. (b)............... 14
30,000 Mitsui Mining & Smelting.................. 102
22,000 Sumitomo Metal Mining Co. ................ 148
44,000 Toho Zinc................................. 190
---------
1,010
---------
Miscellaneous Materials & Commodities (0.1%):
26,000 Asahi Glass Co., Ltd. .................... 244
---------
Office Equipment & Services (0.3%):
57,000 Dai Nippon Printing Co., Ltd. ............ 997
---------
Oil & Gas Exploration, Production & Service (0.1%):
9,000 Arabian Oil Co. (b)....................... 333
9,000 Showa Shell Sekiyu KK..................... 75
9,000 Teikoku Oil Co. .......................... 49
---------
457
---------
Oil & Gas Transmission (0.0%):
10,000 Iwatani International Corp. .............. 42
17,000 Mitsubishi Oil Co., Ltd. ................. 102
---------
144
---------
Packaging (0.0%):
7,000 Toyo Seikan Kaisha........................ 168
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
JAPAN, CONTINUED:
Pharmaceuticals (0.2%):
12,000 Meiji Seika............................... $ 62
13,000 Shionogi & Co. ........................... 93
29,000 Taisho Pharmacuetical Co. ................ 682
---------
837
---------
Real Estate (0.5%):
98,000 Mitsubishi Estate Co. .................... 1,005
75,000 Mitsui Fudosan............................ 749
---------
1,754
---------
Restaurants (0.0%):
8,000 Skylark Co., Ltd. ........................ 122
---------
Retail Stores/Catalog (0.3%):
10,000 Hankyu Department Stores.................. 99
12,000 Isetan Co. ............................... 155
52,000 Mycal Corp. (name changed from Nichii Co.,
Ltd.)................................... 753
26,000 Takashimaya Co. .......................... 311
---------
1,318
---------
Retail--General Merchandise (0.0%):
8,000 Mitsukoshi Ltd. .......................... 57
---------
Services (0.3%):
12,000 Secom..................................... 725
35,000 Toppan Printing Co., Ltd. ................ 437
---------
1,162
---------
Steel (0.7%):
53,000 Daido Steel Co., Ltd. .................... 196
4,000 Japan Metals & Chemicals (b).............. 13
166,000 Kawasaki Steel Corp. ..................... 476
199,000 NKK Corp. (b)............................. 447
57,000 Nippon Metal Industry..................... 172
360,000 Nippon Steel Co. ......................... 1,061
125,000 Sumitomo Metal Industries................. 307
---------
2,672
---------
Storage (0.0%):
1,000 Mitsubishi Logistics Corp. ............... 13
5,000 Mitsui-Soko Co., Ltd. .................... 32
---------
45
---------
Textile Products (0.3%):
244,000 Kanebo Ltd. (b)........................... 503
2,000 Kurabo Industries......................... 6
31,000 Kuraray Co., Ltd. ........................ 286
13,000 Nisshinbo Industries...................... 101
15,000 Teijin Ltd. .............................. 65
27,000 Toyobo Ltd. .............................. 81
</TABLE>
CONTINUED
41
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
JAPAN, CONTINUED:
Textile Products, continued:
48,000 Unitika Ltd. (b).......................... $ 103
---------
1,145
---------
Transportation--Road & Railroad (0.8%):
73,000 Hankyu Corp. ............................. 362
29,870 Keihin Electric Express Railway........... 137
232,290 Kinki Nippon Railway...................... 1,447
49,000 Nippon Express Co., Ltd. ................. 335
35,020 Odakyu Electric Railway................... 210
36,000 Tobu Railway Co., Ltd. ................... 176
49,000 Tokyu Corp. .............................. 278
---------
2,945
---------
Transportation & Shipping (0.2%):
9,000 Kamigumi Co., Ltd. ....................... 59
15,000 Kawasaki Kisen Kaisha Ltd. (b)............ 34
33,000 Mitsui OSK Lines, Ltd. (b)................ 79
45,000 Nippon Yusen Kabushiki Kaisha............. 203
12,000 Seino Transportation...................... 132
73,000 Showa Line, Ltd. (b)...................... 87
---------
594
---------
Utilities--Electric & Gas (0.7%):
11,000 Kansai Electric Power Co., Inc. .......... 227
82,000 Osaka Gas Co. ............................ 224
22,200 Tohoku Electric Power..................... 440
80,500 Tokyo Electric Power...................... 1,762
92,000 Tokyo Gas Co., Ltd. ...................... 249
---------
2,902
---------
Wholesale & International Trade (0.5%):
123,000 Marubeni Corp. ........................... 528
62,000 Mitsubishi Corp. ......................... 641
59,000 Mitsui & Co. ............................. 478
46,000 Sumitomo Corp. ........................... 362
---------
2,009
---------
Total Japan 93,368
---------
KOREA (0.5%):
Airlines (0.0%):
190 Korean Air................................ 3
---------
Automotive (0.0%):
100 Hyundai Motor Co. Ltd. ................... 2
2,800 Kia Motors Corp. (b)...................... 55
---------
57
---------
Banking (0.0%):
4,800 Cho Hung Bank Co., Ltd. .................. 37
5,300 Commercial Bank of Korea.................. 34
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
KOREA, CONTINUED:
Banking, continued:
6,100 SeoulBank (b)............................. $ 31
40 Shinhan Bank.............................. 1
---------
103
---------
Banking & Financial Services (0.0%):
4,700 Korea Exchange Bank....................... 43
5,600 Korea First Bank (b)...................... 28
1,600 Korea Long-Term Credit Bank............... 27
---------
98
---------
Chemicals (0.0%):
3,200 Hanwha Chemical Corp. .................... 25
1,900 Han Wha Corp. (b)......................... 21
6,700 LG Chemical Ltd. ......................... 64
---------
110
---------
Distribution (0.0%):
4,500 Daewoo Corp. ............................. 34
2,300 Samsung Corp. (b)......................... 27
---------
61
---------
Electrical & Electronic (0.1%):
9,100 Daewoo Electronics Co. ................... 65
8,000 LG Electronics............................ 101
800 Samsung Display Devices Co. .............. 46
---------
212
---------
Electronic (0.0%):
2,200 Samsung Electro-Mechanics Co. ............ 50
---------
Electronic Components/Instruments (0.1%):
2,100 Samsung Electronics Co. .................. 113
---------
Engineering (0.0%):
1,500 Dong-Ah Consruction Industrial Co. ....... 32
1,600 Hyundai Engineering & Construction Co.
(b)..................................... 37
---------
69
---------
Financial Services (0.0%):
1,900 Daewoo Securities Co. (b)................. 25
5,100 Hanil Bank................................ 35
1,400 Hyundai Securities Co. (b)................ 17
1,800 LG Securities (b)......................... 18
1,600 Ssangyong Investment & Securities Co.,
Ltd. (b)................................ 15
---------
110
---------
Machinery & Equipment (0.1%):
9,400 Daewoo Heavy Industries................... 58
1,500 Hyundai Precision Industry Co. (b)........ 27
</TABLE>
CONTINUED
42
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
KOREA, CONTINUED:
Machinery & Equipment, continued:
7,700 Samsung Heavy Industries.................. $ 80
---------
165
---------
Oil & Gas Exploration, Production & Service (0.0%):
2,100 Ssangyong Oil Refining Co., Ltd. ......... 46
1,945 Yukong Ltd. .............................. 37
---------
83
---------
Retail--General Merchandise (0.0%):
400 Shinsegae Department Store Co. ........... 17
---------
Steel (0.1%):
5,300 Dongkuk Steel Mill Co. (b)................ 105
14,300 Hyundai Pipe Co., Ltd. (b)................ 103
2,900 Inchon Iron & Steel Co. (b)............... 47
---------
255
---------
Telecommunication--Services & Equipment (0.0%):
400 LG Information & Communication Ltd. ...... 25
---------
Utilities--Electric (0.1%):
10,300 Korea Electric Power Corp. ............... 300
---------
Total Korea 1,831
---------
MALAYSIA (0.5%):
Agriculture (0.1%):
118,000 Highlands & Lowlands Berhad............... 197
---------
Building Products (0.0%):
80,000 Pan-Malaysia Cement Works Berhad.......... 81
---------
Engineering (0.0%):
18,585 United Engineers (Malaysia) Ltd. ......... 168
---------
Financial Services (0.2%):
99,000 Idris Hydraulic (Malaysia) Berhad (b)..... 114
94,000 Rashid Hussain Berhad..................... 622
---------
736
---------
Food Products & Services (0.1%):
54,000 Nestle (Malaysia) Berhad.................. 434
---------
Forest Products (0.0%):
20,500 Land & General Berhad..................... 49
---------
Hotels & Lodging (0.0%):
29,500 Faber Group Berhad (b).................... 28
---------
Utilities--Electric & Gas (0.1%):
51,000 Tenaga Nasional Berhad.................... 244
---------
Total Malaysia 1,937
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
MEXICO (0.8%):
Banking (0.0%):
16,160 Grupo Financiero Banamex Accival SA de CV
(b)..................................... $ 31
---------
Beverages & Tobacco (0.0%):
5,000 Grupo Continental SA, Series CP........... 24
26,500 Grupo Embotelladoras de Mexico SA de CV
(b)..................................... 37
---------
61
---------
Brewery (0.0%):
13,000 Fomento Economico Mexicano SA de CV, Class
B....................................... 44
---------
Building Products (0.1%):
8,000 Apasco SA de CV........................... 55
38,430 Cemex SA de CV, Series A.................. 138
20,300 Cemex SA de CV, Series B.................. 79
15,300 Cemex SA de CV, Series CPO................ 55
17,960 Tolmex SA de CV, Series B2 (b)............ 68
---------
395
---------
Diversified (0.1%):
17,286 ALFA SA de CV, Class A.................... 80
36,500 Carso Global Telecom, Series A-1 (b)...... 83
4,000 Desc SA de CV, Series A (b)............... 20
4,000 Desc SA de CV, Series B (b)............... 22
166 Desc SA de CV, Series C (b)............... 1
36,500 Grupo Carso SA de CV, Series A1........... 190
---------
396
---------
Engineering (0.1%):
9,400 Empresas ICA Sociedad Controladora SA de
CV (b).................................. 138
69,700 Grupo Tribasa SA de CV (b)................ 172
---------
310
---------
Financial Services (0.1%):
47,300 Grupo Financiero Banamex Accival SA de
CV...................................... 99
112,800 Grupo Financiero Bancomer SA de CV, Class
B (b)................................... 45
1,274 Grupo Financiero Inbursa SA de CV, Class
B....................................... 4
---------
148
---------
Food & Household Products (0.2%):
29,000 Kimberly-Clark de Mexico SA de CV, Class
A....................................... 563
---------
Industrial Goods & Service (0.0%):
7,000 Grupo Industrial Bimbo SA de CV, Series
A....................................... 40
---------
</TABLE>
CONTINUED
43
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
MEXICO, CONTINUED:
Merchandising (0.0%):
38,000 Cifra SA de CV, Series B (b).............. $ 46
51,000 Cifra SA de CV, Series C (b).............. 62
---------
108
---------
Metals & Mining (0.0%):
18,000 Grupo Mexico SA, Series B (b)............. 58
13,000 Industrias Penoles SA, Series CP.......... 46
---------
104
---------
Retail--General Merchandise (0.0%):
39,000 Controladora Comercial Mexicana Sa de CV
(b)..................................... 35
---------
Retail Stores/Catalog (0.0%):
37,000 Cifra SA de CV, Series A (b).............. 46
42,000 El Puerto de Liverpool SA de CV, Series
1....................................... 38
10,000 Sears Roebuck de Mexico SA de CV (b)...... 17
---------
101
---------
Steel (0.0%):
18,750 Altos Hornos de Mexico SA (b)............. 37
6,000 Hylsamex SA............................... 24
---------
61
---------
Telecommunications (0.2%):
9,000 Grupo Televisa SA, Series CPO (b)......... 116
269,000 Telefonos de Mexico SA, Series L.......... 443
---------
559
---------
Tobacco (0.0%):
17,000 Empresas La Moderna SA de CV.............. 83
---------
Transportation--Shipping (0.0%):
29,880 Vitro SA.................................. 54
---------
Wholesale Distribution (0.0%):
15,000 Grupo Casa Autrey SA de CV................ 29
---------
Total Mexico 3,122
---------
NETHERLANDS (2.7%):
Appliances & Household Products (0.1%):
11,100 Philips Electronics NV.................... 449
---------
Banking (0.3%):
20,150 ABN Amro Holding NV....................... 1,309
---------
Beverages & Tobacco (0.1%):
1,625 Heineken NV............................... 287
---------
Broadcasting & Publishing (0.2%):
42,700 Elsevier NV............................... 721
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
NETHERLANDS, CONTINUED:
Chemicals (0.2%):
5,500 Akzo Nobel................................ $ 751
1,550 DSM NV.................................... 153
---------
904
---------
Energy (0.9%):
19,850 Royal Dutch Petroleum Co. ................ 3,476
---------
Financial Services (0.5%):
51,650 ING Groep NV.............................. 1,857
---------
Food Products & Services (0.2%):
5,700 Unilever NV CVA........................... 1,007
---------
Services (0.2%):
17,050 Koninklijke Royal PTT Nederland NV........ 650
---------
Total Netherlands 10,660
---------
NEW ZEALAND (0.4%):
Beverages & Tobacco (0.0%):
105,500 Lion Nathan Ltd. ......................... 253
---------
Broadcasting & Publishing (0.1%):
43,737 Wilson & Horton Ltd. ..................... 355
---------
Telecommunications (0.3%):
205,400 Telecom Corp. of New Zealand Ltd. ........ 1,048
---------
Total New Zealand 1,656
---------
NORWAY (0.9%):
Engineering (0.1%):
6,090 Kvaerner ASA.............................. 296
---------
Entertainment (0.0%):
42,880 NCL Holdings ASA (b)...................... 72
---------
Forest Products (0.1%):
7,400 Norske Skogsindustrier ASA................ 225
---------
Insurance (0.1%):
53,920 Storebrand ASA (b)........................ 312
---------
Medical Equipment & Supplies (0.0%):
12,800 Hafslund ASA, Class A..................... 88
---------
Metals & Mining (0.0%):
10,600 Elkem ASA................................. 175
---------
Oil & Gas Exploration, Production & Services (0.5%):
11,520 Aker ASA, Class A......................... 256
5,880 Aker ASA, Class B......................... 119
32,000 Norsk Hydro ASA........................... 1,729
---------
2,104
---------
Pharmaceuticals (0.1%):
12,800 Nycomed ASA, Class B (b).................. 197
---------
Total Norway 3,469
---------
</TABLE>
CONTINUED
44
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
PHILLIPINES (0.8%):
Agriculture (0.0%):
310,700 Vitarich Corp. (b)........................ $ 34
---------
Banking & Financial Services (0.2%):
45,000 Far East Bank & Trust Co. ................ 180
12,787 Metropolitan Bank & Trust Co. ............ 316
10,800 Phillippine Commercial International
Bank.................................... 142
15,390 Philippine National Bank (b).............. 183
---------
821
---------
Beverages & Tobacco (0.1%):
54,637 San Miguel Corp., Class B................. 241
---------
Building Products (0.0%):
374,180 Southeast Asia Cement Holdings, Inc.
(b)..................................... 43
---------
Diversified (0.1%):
244,440 Ayala Corp., Class B...................... 265
38,000 Metro Pacific Corp. ...................... 9
---------
274
---------
Homebuilders (0.0%):
94,500 C&P Homes, Inc. (b)....................... 48
---------
Oil & Gas Exploration, Production & Services (0.1%):
832,125 Petron Corp. (b).......................... 282
---------
Real Estate (0.2%):
763,125 Ayala Land, Inc., Class B................. 870
78,000 Filinvest Land, Inc. (b).................. 24
246,000 SM Prime Holdings, Inc. .................. 64
---------
958
---------
Telecommunications (0.1%):
7,400 Philippine Long Distance Telephone Co. ... 407
18,800 Pilipino Telephone Corp. (b).............. 16
---------
423
---------
Utilities--Electric & Gas (0.0%):
27,885 Manila Electric Co., Class B.............. 228
---------
Total Philippines 3,352
---------
PORTUGAL (0.9%):
Banking (0.3%):
25,070 Banco Comercial Portugues SA.............. 330
23,751 Banco Espirito Santo e Commerical de
Lisboa SA, Registered (b)............... 417
15,885 Banco Internacional do Funchal SA (b)..... 131
16,927 BPI-SGPS SA, Registered................... 210
1,000 Banco Totta & Acores SA................... 19
---------
1,107
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
PORTUGAL, CONTINUED:
Beverages & Tobacco (0.1%):
15,740 UNICER-Uniao Cervejeira SA................ $ 272
---------
Building Products (0.0%):
1,300 Cimpor-Cimentos de Portugal, SGPS SA...... 28
---------
Food & Household Products (0.1%):
7,600 Estabelecimentos Jeronimo Martins & Filho
SA...................................... 392
---------
Forest Products (0.0%):
8,050 Soporcel-Sociedade Portuguesa de Celulose
SA (b).................................. 215
---------
Industrial Holding Company (0.2%):
20,700 Sonae Investimentos SA.................... 655
---------
Insurance (0.0%):
6,100 Companhia de Seguros Tranquilidade,
Registered.............................. 130
---------
Retail--General Merchandise (0.1%):
9,000 Modelo Continente-Sociedade Gestora de
Participacoes Sociais SA................ 301
---------
Telecommunications (0.1%):
16,300 Portugal Telecom SA....................... 464
---------
Total Portugal 3,564
---------
SINGAPORE (0.5%):
Lodging (0.1%):
310,000 Hotel Properties Ltd. .................... 501
---------
Telecommunications (0.2%):
334,000 Singapore Telecommunications Ltd. ........ 788
---------
Transportation & Shipping (0.2%):
468,000 Chuan Hup Holdings Ltd. .................. 313
347,000 Neptune Orient Lines Ltd. ................ 300
---------
613
---------
Total Singapore 1,902
---------
SOUTH AFRICA (0.6%):
Banking & Financial Services (0.1%):
4,700 Nedcor Ltd. .............................. 64
2,600 Standard Bank Investment Corp., Ltd. ..... 102
---------
166
---------
Brewery (0.1%):
6,600 South African Breweries Ltd. ............. 167
---------
Diversified (0.1%):
5,300 Anglovaal Industries Ltd. ................ 24
10,600 Barlow Ltd. .............................. 94
30,700 Gencor Ltd. .............................. 112
7,500 Malbak Ltd. .............................. 33
11,600 Rembrandt Group Ltd. ..................... 104
</TABLE>
CONTINUED
45
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
SOUTH AFRICA, CONTINUED:
Diversified, continued:
9,900 Smith (C.G.) Ltd. ........................ $ 48
---------
415
---------
Engineering (0.0%):
30,500 Murray & Roberts Holdings Ltd. ........... 69
---------
Entertainment (0.0%):
17,100 Sun International (South Africa) Ltd. .... 14
---------
Financial Services (0.0%):
6,900 First National Bank Holdings Ltd. ........ 34
9,200 Amalgamated Banks of South Africa......... 47
---------
81
---------
Food & Household Products (0.0%):
3,400 Tiger Oats Ltd. .......................... 47
---------
Forest Products (0.0%):
11,200 Nampak Ltd. .............................. 45
12,500 Sappi Ltd. ............................... 112
---------
157
---------
Industrial Goods & Services (0.0%):
1,100 Anglo American Industrial Corp., Ltd. .... 40
---------
Insurance (0.1%):
5,300 Liberty Life Association of Africa
Ltd. ................................... 133
4,100 Southern Life Association Ltd. ........... 35
---------
168
---------
Metals & Mining (0.2%):
5,200 Anglo American Corp of South Africa
Ltd. ................................... 286
500 Anglo American Gold Investment Co.,
Ltd. ................................... 38
8,400 DeBeers Centenary AG...................... 241
3,200 Driefontein Consolidated Ltd. ............ 34
1,500 Gold Fields of South Africa Ltd. ......... 41
3,400 Johnnies Industrial Corp., Ltd. .......... 37
3,800 Kloof Gold Mining Company Ltd. ........... 31
8,200 Randfontein Estates Gold Mining Co. ...... 43
4,700 Rustenburg Platinum Holdings Ltd. ........ 64
4,100 Samancor Ltd. ............................ 48
---------
863
---------
Oil & Gas Exploration Products & Services (0.0%):
13,100 Sasol Ltd. ............................... 155
---------
Total South Africa 2,342
---------
SPAIN (4.0%):
Automotive (0.0%):
3,200 Fabricacion de Automoviles Renault de
Espana SA............................... 67
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
SPAIN, CONTINUED:
Banking (1.0%):
27,300 Banco Bilbao Vizcaya SA, Registered....... $ 1,471
21,700 Banco Central Hispanoamericano SA......... 556
19,000 Banco Santander SA........................ 1,214
14,200 Corporacion Bancaria de Espana SA......... 634
---------
3,875
---------
Beverages & Tobacco (0.1%):
7,400 El Aguila SA (b).......................... 35
6,000 Tabacalera SA, Class A.................... 258
---------
293
---------
Building Products (0.0%):
13,900 Uralita SA................................ 109
---------
Chemicals (0.0%):
54,100 Ercros SA (b)............................. 33
---------
Energy (0.3%):
30,200 Repsol SA................................. 1,156
---------
Food & Household Products (0.1%):
16,900 Ebro Agricolas, Compania de Alimentacion
SA...................................... 297
---------
Forest Products (0.0%):
5,800 Empresa Nacional de Celulosas SA.......... 69
37,800 Sarrio SA................................. 124
---------
193
---------
Industrial Holding Companies (0.1%):
5,600 Corporacion Financiara Alba............... 565
---------
Insurance (0.1%):
3,600 Corporacion Mapfre........................ 219
---------
Miscellaneous Materials & Commodities (0.0%):
6,400 Viscofan Industria Navarra de Envolturas
Celulosicas SA.......................... 94
---------
Real Estate (0.2%):
8,200 Inmobiliaria Metropolitana Vasco Central
SA...................................... 301
15,700 Vallehermoso SA........................... 340
---------
641
---------
Steel (0.1%):
3,180 Acerinox SA............................... 459
---------
Telecommunications (0.7%):
114,400 Telefonica de Espana...................... 2,652
---------
Utilities--Electric & Gas (1.3%):
27,700 Empresa Nacional de Electricidad SA....... 1,968
2,800 Fomento de Construcciones y Contratas
SA...................................... 260
5,100 Gas Natural SDG SA........................ 1,184
</TABLE>
CONTINUED
46
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
SPAIN, CONTINUED:
Utilities--Electric & Gas, continued:
100,700 Iberdrola SA.............................. $ 1,425
48,310 Union Electric Fenosa SA.................. 518
---------
5,355
---------
Total Spain 16,008
---------
SWEDEN (1.8%):
Automotive (0.1%):
14,500 Volvo AB, Series B........................ 320
---------
Banking & Financial Services (0.2%):
27,400 Skandiaviska Enskilda Banken, Class A..... 281
11,150 Svenska Handlesbanken, Class A............ 320
800 Svenska Handlesbanken, Class B............ 22
---------
623
---------
Engineering (0.1%):
2,450 ABB AB, Series A.......................... 276
800 ABB AB, Series B.......................... 91
4,150 Skanska AB, Series B...................... 183
---------
550
---------
Forest Products (0.2%):
14,000 Stora Kopparbergs Bergslags Aktiebolag,
Series A................................ 193
5,750 Stora Kopparbergs Bergslags Aktiebolag,
Series B................................ 78
15,500 Svenska Cellulosa AB, Series B............ 314
---------
585
---------
Insurance (0.0%):
4,200 Skandia Forsakrings AB.................... 119
---------
Machinery & Equipment (0.1%):
13,300 Atlas Copco AB, Series A.................. 322
1,000 Atlas Copco AB, Series B.................. 24
---------
346
---------
Manufacturing--Consumer Goods (0.1%):
5,524 Electrolux AB, Series B................... 320
---------
Metals & Mining (0.0%):
1,750 SKF AB, Series B.......................... 41
7,150 Trelleborg AB, Series B................... 95
---------
136
---------
Office Equipment & Services (0.0%):
4,600 Esselte AB, Series B...................... 102
---------
Pharmaceuticals (0.5%):
29,850 Astra AB, Series A........................ 1,473
9,850 Astra AB, Series B........................ 475
---------
1,948
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
SWEDEN, CONTINUED:
Real Estate (0.0%):
2,740 Diligentia AB (b)......................... $ 43
---------
Retail--Special Line (0.2%):
6,400 Hennes & Mauritz AB, Class B.............. 885
---------
Telecommunications (0.3%):
37,543 Telefonaktiebolaget LM Ericsson, Series
B....................................... 1,160
---------
Tobacco (0.0%):
14,500 Swedish Match AB.......................... 51
---------
Total Sweden 7,188
---------
SWITZERLAND (1.9%):
Banking (0.0%):
1,080 Swiss Bank Corp. ......................... 205
---------
Commercial Services (0.1%):
1,492 Addeco SA................................. 374
---------
Consumer Goods (0.0%):
1,150 Societe Suisse pour la Microelectronique
et l'Horlogerie AG, Registered.......... 163
---------
Diversified (0.1%)
260 ABB AG, Bearer Shares..................... 322
150 Alusuisse-Lonza Holding AG, Registered.... 119
---------
441
---------
Financial Services (0.3%):
4,510 CS Holding AG, Registered................. 462
624 Union Bank of Switzerland................. 545
---------
1,007
---------
Food Products & Services (0.2%):
570 Nestle SA, Registered..................... 610
---------
Insurance (0.1%):
390 Swiss Reinsurance Co., Registered......... 415
---------
Pharmaceuticals (1.1%):
2,434 Novartis AG, Bearer (b)................... 2,779
130 Roche Holding AG.......................... 1,008
40 Roche Holding AG, Bearer.................. 450
---------
4,237
---------
Transportation & Shipping (0.0%):
100 Danzas Holding AG, Registered............. 111
---------
Total Switzerland 7,563
---------
THAILAND (0.5%):
Airlines (0.1%):
136,200 Thai Airways International Public Co.,
Ltd., Foreign Registered Shares......... 198
---------
</TABLE>
CONTINUED
47
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
THAILAND, CONTINUED:
Banking (0.2%):
211,190 Krung Thai Bank Ltd. ..................... $ 412
41,800 Bangkok Bank Public Co., Ltd.,
Foreign Registered Shares................. 404
---------
816
---------
Metals & Mining (0.1%):
655,000 Padaeng Industries Public Co., Ltd. (b)... 262
---------
Telecommunications (0.1%):
30,000 Advanced Information Services PCL, Foreign
Registered Shares....................... 255
9,800 Shinawatra Computer Co., PLC.............. 118
76,700 TelecomAsia Corp. Public Co., Ltd. (b).... 160
---------
533
---------
Total Thailand 1,809
---------
TURKEY (1.1%):
Appliances & Household Products (0.0%):
1,243,103 Arcelik AS................................ 125
---------
Automotive (0.1%):
236,000 Otosan Otomobil Sanayii AS................ 95
1,747,400 Tofas Turk Otomobil Fabrikas AS (b)....... 68
---------
163
---------
Banking & Financial Services (0.2%):
3,301,600 Akbank TAS................................ 446
4,806,400 Turkiye Garanti Bankasi AS................ 216
---------
662
---------
Beverages & Tobacco (0.0%):
574,560 Ericiyas Biracilik ve Malt Sanayii........ 62
301,540 Ege Biracilik ve Malt Sanayi AS........... 87
---------
149
---------
Building Products (0.1%):
384,736 Akcansa Cimento AS........................ 35
266,316 Cimentas AS............................... 28
333,000 Cimsa Cimento Sanayi ve Ticaret AS........ 31
1,090,565 Turk Sise ve Cam Fabrikalari AS........... 115
---------
209
---------
Chemicals (0.1%):
687,700 Petkim Petrokimya Holding AS.............. 274
---------
Diversified (0.1%):
2,509,670 Dogan Sirketler Grubu Holding AS.......... 48
1,976,833 Koc Holding AS (b)........................ 344
---------
392
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
TURKEY, CONTINUED:
Electrical & Electronical (0.0%):
251,000 Raks Electronik Ev Aletleri (b)........... $ 52
---------
Financial Services (0.1%):
775,463 Eczacibasi Yatirim Holding Ortakligi AS
(b)..................................... 67
2,126,000 Turkiye Is Bankasi AS, Class C............ 326
5,862,600 Yapi ve Kredi Bankasi AS.................. 145
---------
538
---------
Food Products & Services (0.0%):
181,999 Tat Konserve Sanayii AS................... 27
---------
Forest Products (0.0%):
791,000 Kartonsan Karton Sanayi ve Ticaret AS..... 76
---------
Industrial Goods & Services (0.0%):
95,000 Kordsa Kord Bezi Sanayi ve Ticaret AS..... 38
---------
Investment Companies (0.0%):
189,600 Koc Yatrim ve Sanayi Mamulleri Pazarlama
SA...................................... 36
---------
Manufacturing--Capital Goods (0.0%):
587,000 Turk Demir Dokum Fabrikalari AS........... 53
---------
Metals & Mining (0.1%):
1,514,450 Eregli Demir ve Celik Fabrikalari TAS..... 181
8,427,517 Izmir Demir Celik Sanayi AS............... 70
---------
251
---------
Oil & Gas Exploration, Production & Services (0.1%):
467,591 Aygaz AS.................................. 68
517,300 Petrol Ofisi AS........................... 138
961,665 Tupras Turkiye Petrol Rafinerileri AS
(b)..................................... 238
---------
444
---------
Telecommunications (0.0%):
307,200 Netas-Northern Elektrik Telekomunikasyon
AS...................................... 69
---------
Textile Products (0.0%):
787,057 Aksa Akrilik Kimya Sanayii AS............. 106
---------
Tire & Rubber (0.1%):
179,000 Brisa Bridgestone Sabanci Lastik SAN, ve
Tic AS.................................. 80
96,000 Goodyear Lastikleri TAS................... 73
---------
153
---------
Transportation (0.1%):
1,966,854 Turk Hava Yollari AO (b).................. 433
---------
Utility--Electric & Gas (0.0%):
96,000 Cukurova Elektrik AS...................... 114
---------
</TABLE>
CONTINUED
48
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
TURKEY, CONTINUED:
Wholesale Distribution (0.0%):
110,000 Migros Turk TAS........................... $ 134
---------
Total Turkey 4,498
---------
UNITED KINGDOM (8.1%):
Aerospace & Military Technology (0.3%):
21,900 British Aerospace PLC..................... 479
33,200 Rolls-Royce PLC........................... 146
34,700 Smiths Industries PLC..................... 476
---------
1,101
---------
Airlines (0.2%):
64,500 British Airways PLC....................... 668
---------
Appliances & Household Products (0.1%):
13,600 EMI Group PLC............................. 321
---------
Banking (1.3%):
160,400 Abbey National PLC........................ 2,100
74,500 Barclays PLC.............................. 1,275
21,000 HSBC Holdings PLC......................... 469
42,800 HSBC Holdings PLC (Hong Kong Dollars
10)..................................... 932
23,500 Royal Bank of Scotland Group PLC.......... 227
---------
5,003
---------
Banking & Financial Services (0.1%):
37,500 Allied Irish Banks PLC.................... 251
---------
Beverages & Tobacco (0.2%):
49,400 Guinness PLC.............................. 387
50,200 Scottish & Newcastle PLC.................. 590
---------
977
---------
Broadcasting/Cable (0.1%):
52,600 British Sky Broadcasting Group PLC........ 470
---------
Building Products (0.1%):
67,300 CAMAS PLC................................. 84
158,800 Tarmac PLC................................ 266
---------
350
---------
Chemicals (0.1%):
33,000 Imperial Chemical Industries PLC.......... 434
---------
Closed End Funds (0.0%):
12,233 Value Realisation Trust PLC (b)........... 16
---------
Conglomerates (0.2%):
70,400 B.A.T. Industries PLC..................... 584
53,500 Lonrho PLC................................ 114
---------
698
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
UNITED KINGDOM, CONTINUED:
Construction (0.0%):
73,500 Taylor Woodrow PLC........................ $ 194
---------
Electrical & Electronic (0.4%):
50,400 Bowthorpe PLC............................. 390
49,800 Electrocomponents PLC..................... 454
82,300 General Electric Co., PLC................. 538
22,300 Oxford Instruments PLC.................... 160
---------
1,542
---------
Energy (0.4%):
135,700 British Petroleum Co., PLC................ 1,627
---------
Engineering (0.0%):
24,700 Barratt Developments PLC.................. 107
56,460 Costain Group PLC (b)..................... 40
---------
147
---------
Financial Services (0.3%):
143,582 Lloyds TSB Group PLC...................... 1,058
36,700 St. James's Place Capital PLC............. 62
---------
1,120
---------
Food & Household Products (0.2%):
42,285 Cadbury Schweppes PLC..................... 356
18,700 Unilever PLC.............................. 453
---------
809
---------
Health & Personal Care (0.6%):
90,100 Glaxo Wellcome PLC........................ 1,462
26,500 Zeneca Group PLC.......................... 747
---------
2,209
---------
Industrial Holding Companies (0.4%):
21,900 BICC Group PLC............................ 104
100,700 BTR PLC................................... 489
94,200 Grand Metropolitan PLC.................... 740
200,900 Hanson PLC................................ 280
---------
1,613
---------
Insurance (0.3%):
56,300 Commercial Union PLC...................... 659
18,600 Prudential Corp. PLC...................... 156
33,930 Royal & Sun Alliance Insurance Group
PLC..................................... 258
---------
1,073
---------
Leisure (0.2%):
57,800 Granada Group PLC......................... 852
---------
Machinery & Equipment (0.1%):
20,000 GKN PLC................................... 343
---------
</TABLE>
CONTINUED
49
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
UNITED KINGDOM, CONTINUED:
Merchandising (0.1%):
42,900 Safeway PLC............................... $ 297
---------
Metals & Mining (0.0%):
48,900 English China Clays PLC................... 161
---------
Metals (Non-ferrous) (0.2%):
42,500 RTZ Corp., PLC, Registered................ 681
---------
Metals (Steel) (0.0%):
67,600 British Steel PLC......................... 186
---------
Miscellaneous Materials & Commodities (0.1%):
61,200 Harrisons & Crosfield PLC................. 140
50,900 Pilkington PLC............................ 136
---------
276
---------
Oil & Gas Exploration Products & Services (0.0%):
3,300 Shell Transport & Trading Co. ............ 57
---------
Paper Products (0.1%):
40,900 Rexam PLC................................. 252
---------
Pharmaceuticals (0.3%):
72,372 SmithKline Beecham PLC.................... 1,002
---------
Printing & Publishing (0.1%):
42,600 Reuters Holdings PLC...................... 548
---------
Real Estate (0.2%):
18,720 British Land Co., PLC..................... 165
48,600 Land Securities PLC....................... 619
---------
784
---------
Retail Stores/Catalog (0.8%):
45,500 Boots Co., PLC............................ 469
41,000 Great Universal Stores PLC................ 429
89,900 Marks & Spencer PLC....................... 755
22,700 Next PLC.................................. 220
66,100 Sainsbury (J.) PLC........................ 439
117,000 Tesco PLC................................. 710
13,600 Thorn PLC................................. 59
---------
3,081
---------
Road & Railroad (0.0%):
18,600 Peninsular & Oriental Steam Navigation
Co. .................................... 188
---------
Telecommunications (0.5%):
148,900 British Telecommunications PLC............ 1,005
65,100 Cable & Wireless PLC...................... 541
123,700 Vodaphone Group PLC....................... 522
---------
2,068
---------
Tobacco (0.0%):
20,090 Imperial Tobacco Group PLC (b)............ 130
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
COMMON STOCKS, CONTINUED:
UNITED KINGDOM, CONTINUED:
Utilities--Electric & Gas (0.1%):
77,300 British Gas PLC........................... $ 297
33,800 National Power PLC........................ 283
---------
580
---------
Total United Kingdom 32,109
---------
UNITED STATES (0.9%):
Banking & Financial Services (0.0%):
5,883 Banco O'Higgins ADR....................... 135
---------
Beverages & Tobacco (0.1%):
6,712 Compania Cervezas Unidas SA ADR........... 108
4,066 Embotelladora Andina SA ADR............... 124
2,500 Vina Concho y Toro SA ADR................. 59
---------
291
---------
Building Products (0.0%):
18,900 Gujarat Ambuja Cements Ltd. GDR........... 156
---------
Chemicals (0.1%):
9,500 Indian Petrochemicals Corp., Ltd. GDR..... 95
2,870 Millenium Chemicals, Inc. (b)............. 51
6,409 Quimica Y Minera Chile SA ADR............. 347
---------
493
---------
Diversified (0.0%):
1,615 U.S. Industries, Inc. (b)................. 56
---------
Forest Products (0.1%):
11,887 Maderas Y Sinteticos Anonima SA ADR....... 166
---------
Metals & Mining (0.1%):
7,615 Madeco SA ADR............................. 185
---------
Packaging (0.0%):
8,500 Cristalerias de Chile ADR................. 155
---------
Pharmaceuticals (0.0%):
4,711 Laboratorio Chile ADR..................... 78
---------
Telecommunications (0.1%):
3,796 Cia de Telecomunicaciones de Chile SA
ADR..................................... 384
---------
Textiles (0.0%):
13,800 Indian Rayon & Industries Ltd. GDR........ 100
---------
Transportation (0.1%):
7,000 Bajaj Auto Ltd. GDR....................... 185
---------
Utilities--Electric (0.3%):
4,662 Chilectra SA ADR.......................... 241
11,891 Chilgener SA ADR.......................... 248
19,962 Empresa Nacional Electricidad ADR......... 309
10,028 Enersis SA ADR............................ 278
---------
1,076
---------
</TABLE>
CONTINUED
50
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
COMMON STOCKS, CONTINUED:
<C> <S> <C>
UNITED STATES, CONTINUED:
Utilities--Electric, continued:
Total United States $ 3,460
---------
Total Common Stocks 382,794
---------
CORPORATE BONDS (0.0%):
UNITED KINGDOM (0.0%):
$ 6,422 Value Realisation Trust................... 10
---------
Total Corporate Bonds 10
---------
PREFERRED STOCKS (1.5%):
AUSTRALIA (0.3%):
223,350 News Corp. Ltd. .......................... 993
---------
BRAZIL (0.4%):
Banking (0.0%):
12,023,000 Banco Bradesco SA......................... 87
131,000 Banco Itau SA............................. 57
---------
144
---------
Beverages & Tobacco (0.0%):
91,000 Companhia Cervejaria Brahma (b)........... 50
---------
Electric Utility (0.0%):
1,104,000 Cia Energetica de Sao Paolo............... 43
2,173,000 Companhia Energetica de Minas Gerais...... 74
---------
117
---------
Food Products (0.0%):
141,000 Sadia-Concordia SA........................ 109
---------
Forest Products (0.0%):
2,000 Cia Suzano Papel e Celelose............... 5
---------
Oil & Gas Exploration, Production & Services (0.1%):
2,158,000 Petroleo Brasileiro SA.................... 344
---------
Steel (0.1%):
11,664 Companhia Vale do Rio Doce................ 224
---------
Telecommunications (0.2%):
8,722,000 Telecomunicacoes Brasileiras SA........... 671
550,000 Telecomunicacoes de Sao Paolo SA.......... 119
---------
790
---------
Total Brazil 1,783
---------
GERMANY (0.8%):
Automotive (0.3%):
3,660 Volkswagen AG............................. 1,166
---------
Business Services (0.2%):
6,150 SAP AG.................................... 845
---------
<CAPTION>
SHARES OR
PRINCIPAL SECURITY MARKET
AMOUNT DESCRIPTION VALUE
- ------------ ------------------------------------------ ---------
<C> <S> <C>
PREFERRED STOCKS, CONTINUED:
GERMANY, CONTINUED:
Utilities--Electric & Gas (0.3%):
28,100 RWE AG.................................... $ 939
---------
Textiles (0.0%):
700 Escada AG................................. 115
---------
Total Germany 3,065
---------
GREECE (0.0%):
Telecommunications (0.0%):
6,900 Intracom SA............................... 105
---------
Total Preferred Stocks 5,946
---------
RIGHTS (0.0%):
SOUTH AFRICA (0.0%):
5,300 Anglovaal Industries Ltd. (b)............. 0
---------
Total Rights 0
---------
WARRANTS (0.0%):
FRANCE (0.0%):
7,750 Lagadere SCA.............................. 8
---------
HONG KONG (0.0%):
16,400 Applied International Warrants (b)........ 0
26,300 Oriental Press Warrants................... 2
---------
2
---------
ITALY (0.0%):
1,780 La Rinascente SpA Warrants................ 1
---------
Total Warrants 11
---------
U.S. TREASURY OBLIGATIONS (0.1%):
U.S. Treasury Bills
$ 35,000 2/13/97 (c)............................... 35
15,000 3/13/97 (c)............................... 15
150,000 3/20/97 (c)............................... 148
---------
Total U.S. Treasury Obligations 198
---------
Total Investments, at value 388,959
---------
REPURCHASE AGREEMENTS (1.9%):
7,488,000 State Street Bank, 4.75%, 1/2/97
(collateralized by $7,080 various U.S.
Treasury Securities, 4.75%, 7/15/06,
market value--$7,645) 7,488
---------
Total Repurchase Agreements 7,488
---------
Total (Cost--$355,353)(a) $ 396,447
---------
---------
</TABLE>
- ------------
Percentages indicated are based on net assets of $395,418.
CONTINUED
51
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
INTERNATIONAL EQUITY INDEX FUND
- --------------------------------------------------------------------------------
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED DECEMBER 31, 1996
(Amounts in Thousands, except Shares or Principal Amount)
(Unaudited)
<TABLE>
<C> <S>
(a) Represents cost for financial reporting purposes and differs from cost basis for federal income tax purposes by the
amount of losses recognized for financial reporting purposes in excess of federal income tax reporting of approximately
$39. Cost for federal income tax purposes differs from value by net unrealized appreciation of securities as follows:
</TABLE>
<TABLE>
<S> <C>
Unrealized appreciation................................................... $ 71,250
Unrealized depreciation................................................... (30,195)
---------
Net unrealized appreciation............................................... $ 41,055
---------
---------
</TABLE>
<TABLE>
<C> <S>
(b) Represents non-income producing security.
</TABLE>
<TABLE>
<C> <S>
(c) Serves as collateral for futures contracts.
</TABLE>
<TABLE>
<S> <C>
ADR American Depository Receipt
GDR Global Depository Receipt
</TABLE>
At December 31, 1996, the Fund's open futures contracts were as follows:
<TABLE>
<CAPTION>
# OF CONTRACTS CONTRACT TYPE
- --------------------- ---------------------------------------------------------------------------------------------------
<S> <C>
LONG CONTRACTS
19 Eurotop 100 Index, March, 1997...................................................................
29 Nikkei 225 Index, March, 1997....................................................................
<CAPTION>
CURRENT
OPEN MARKET
POSITIONS VALUE
# OF CONTRACTS (000) (000)
- --------------------- ----------- -----------
<S> <C> <C>
19 $ 2,991 $ 3,079
29 2,984 2,810
</TABLE>
At December 31, 1996, the Fund's open forward currency contracts were as
follows:
<TABLE>
<CAPTION>
DELIVERY CONTRACT CONTRACT CONTRACT MARKET
CURRENCY DATE PRICE AMOUNT VALUE VALUE
- ---------------------------------------------------------------- ----------- ---------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C>
Long Contracts:
European Currency Units....................................... 3/21/97 0.7967 2,360 $ 2,962 $ 2,968
Japanese Yen.................................................. 3/13/97 111.7400 337,000 3,016 2,942
----------- -----------
$ 5,978 $ 5,910
----------- -----------
----------- -----------
<CAPTION>
UNREALIZED
APPRECIATION/
CURRENCY (DEPRECIATION)
- ---------------------------------------------------------------- -------------------
<S> <C>
Long Contracts:
European Currency Units....................................... $ 6
Japanese Yen.................................................. (74)
---
$ (68)
---
---
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
52
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
(Amounts in Thousands,
except per share amounts)
<S> <C> <C> <C> <C> <C>
ASSET INCOME EQUITY VALUE LARGE
ALLOCATION EQUITY INDEX GROWTH COMPANY
FUND FUND FUND FUND VALUE FUND
----------- --------- --------- --------- -----------
ASSETS:
Investments, at value................................. $ 112,784 $ 415,875 $ 507,163 $ 277,829 $ 621,210
Repurchase agreements, at cost........................ 7,624 3,482 29,140 7,155 6,011
----------- --------- --------- --------- -----------
Total (cost $113,209; $293,385; $405,033; $250,906;
and $570,741; respectively)......................... 120,408 419,357 536,303 284,984 627,221
Interest and dividends receivable..................... 809 1,362 893 569 580
Receivable for capital shares issued.................. 149 274 673 -- --
Receivable from brokers for investments sold.......... -- -- -- -- 2,467
Prepaid expenses and other assets..................... 14 103 65 13 38
----------- --------- --------- --------- -----------
TOTAL ASSETS.......................................... 121,380 421,096 537,934 285,566 630,306
----------- --------- --------- --------- -----------
LIABILITIES:
Cash overdraft........................................ 4 23 90 100 1,784
Dividends payable..................................... 333 744 824 205 --
Payable for capital shares redeemed................... 13 21 30 8 1
Payable to brokers for investments purchased.......... 2,893 -- -- -- --
Net payable for variation margin on futures
contracts........................................... 109 -- 624 283 --
Accrued expenses and other payables:
Investment advisory fees.......................... 54 263 46 182 393
Administration fees............................... 8 59 16 40 89
12b-1 fees (Class A).............................. 5 12 11 8 3
12b-1 fees (Class B).............................. 22 38 68 6 5
Other............................................. 77 2 22 49 100
----------- --------- --------- --------- -----------
TOTAL LIABILITIES..................................... 3,518 1,162 1,731 881 2,375
----------- --------- --------- --------- -----------
NET ASSETS:
Capital............................................... 109,754 283,496 404,537 245,933 577,653
Distributions in excess of net investment income...... (6) (3) (394) (10) (91)
Accumulated undistributed (distributions in excess of)
net realized gains (losses) from investment, options
and futures transactions............................ 852 10,469 1,332 4,965 (6,111)
Net unrealized appreciation from investments, options
and futures......................................... 7,262 125,972 130,728 33,797 56,480
----------- --------- --------- --------- -----------
NET ASSETS............................................ $ 117,862 $ 419,934 $ 536,203 $ 284,685 $ 627,931
----------- --------- --------- --------- -----------
----------- --------- --------- --------- -----------
Net Assets:
Fiduciary......................................... $ 68,799 $ 319,259 $ 398,706 $ 239,257 $ 610,420
Class A........................................... 22,455 54,904 54,186 38,790 11,929
Class B........................................... 26,608 45,771 83,311 6,638 5,582
----------- --------- --------- --------- -----------
Total......................................... $ 117,862 $ 419,934 $ 536,203 $ 284,685 $ 627,931
----------- --------- --------- --------- -----------
----------- --------- --------- --------- -----------
Outstanding Units of Beneficial Interest (Shares):
Fiduciary......................................... 5,818 17,505 21,851 24,755 47,037
Class A........................................... 1,896 3,012 2,969 4,017 916
Class B........................................... 2,240 2,506 4,563 688 425
----------- --------- --------- --------- -----------
Total......................................... 9,954 23,023 29,383 29,460 48,378
----------- --------- --------- --------- -----------
----------- --------- --------- --------- -----------
Net Asset Value:
Fiduciary--offering and redemption price per
share........................................... $ 11.83 $ 18.24 $ 18.25 $ 9.67 $ 12.98
----------- --------- --------- --------- -----------
----------- --------- --------- --------- -----------
Class A--redemption price per share............... $ 11.84 $ 18.23 $ 18.25 $ 9.66 $ 13.02
----------- --------- --------- --------- -----------
----------- --------- --------- --------- -----------
Class A--maximum sales charge..................... 4.50% 4.50% 4.50% 4.50% 4.50%
----------- --------- --------- --------- -----------
----------- --------- --------- --------- -----------
Class A--maximum offering price per share
(100%/(100%-maximum sales charge) of net asset
value adjusted to nearest cent)................. $ 12.40 $ 19.09 $ 19.11 $ 10.12 $ 13.63
----------- --------- --------- --------- -----------
----------- --------- --------- --------- -----------
Class B--offering price per share (a)............. $ 11.88 $ 18.26 $ 18.26 $ 9.65 $ 13.12
----------- --------- --------- --------- -----------
----------- --------- --------- --------- -----------
</TABLE>
- ---------
<TABLE>
<C> <S>
(a) Redemption price per Class B share varies based on length of time shares are held.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
53
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
(Amounts in Thousands,
except per share amounts)
<S> <C> <C> <C> <C> <C>
GULF INTERNATIONAL
LARGE GROWTH SOUTH EQUITY
DISCIPLINED COMPANY OPPORTUNITIES GROWTH INDEX
VALUE FUND GROWTH FUND FUND FUND FUND
----------- ----------- ------------- --------- -----------
ASSETS:
Investments, at value........................ $ 528,861 $ 914,841 $ 534,302 $ 95,984 $ 388,959
Repurchase agreements, at cost............... 3,790 24,936 55,267 4,231 7,488
----------- ----------- ------------- --------- -----------
Total (cost $463,484; $737,976; $550,336;
$81,453; and $355,353; respectively)....... 532,651 939,777 589,569 100,215 396,447
Foreign currency, at value (cost $12)........ -- -- -- -- 12
Interest and dividends receivable............ 831 2,044 263 48 316
Receivable for capital shares issued......... 1,403 2,302 1,417 15 1,396
Receivable from brokers for investments
sold....................................... -- 4,784 15,937 -- --
Tax reclaim receivable....................... -- -- -- -- 417
Organization costs........................... -- 1 -- -- 4
Prepaid expenses and other assets............ 3 90 51 17 3
----------- ----------- ------------- --------- -----------
TOTAL ASSETS................................. 534,888 948,998 607,237 100,295 398,595
----------- ----------- ------------- --------- -----------
LIABILITIES:
Cash overdraft............................... 997 1,612 948 -- 922
Dividends payable............................ 589 909 -- -- 1,727
Payable for capital shares redeemed.......... 13 8 8 -- 1
Payable to brokers for investments
purchased.................................. -- 5,118 19,983 -- --
Net payable for variation margin on futures
contracts.................................. -- -- -- -- 11
Payable for forward foreign currency
contracts.................................. -- -- -- -- 68
Accrued expenses and other payables:
Investment advisory fees................... 333 595 368 63 181
Administration fees........................ 75 134 83 6 56
12b-1 fees (Class A)....................... 5 19 6 4 2
12b-1 fees (Class B)....................... 15 69 18 3 6
Other...................................... 99 49 25 16 203
----------- ----------- ------------- --------- -----------
TOTAL LIABILITIES............................ 2,126 8,513 21,439 92 3,177
----------- ----------- ------------- --------- -----------
NET ASSETS:
Capital...................................... 455,974 724,561 555,028 81,076 356,749
Undistributed (distributions in excess of)
net investment income...................... (47) 52 (138) (74) (1,326)
Accumulated undistributed (distributions in
excess of) net realized gains (losses) from
investment, options, futures and foreign
currency transactions...................... 7,668 14,071 (8,325) 439 (944)
Net unrealized appreciation from investments,
options, futures and translation of assets
and liabilities in foreign currencies...... 69,167 201,801 39,233 18,762 40,939
----------- ----------- ------------- --------- -----------
NET ASSETS................................... $ 532,762 $ 940,485 $ 585,798 $ 100,203 $ 395,418
----------- ----------- ------------- --------- -----------
----------- ----------- ------------- --------- -----------
Net Assets:
Fiduciary................................ $ 492,215 $ 766,728 $ 533,522 $ 78,859 $ 377,707
Class A.................................. 22,272 91,704 30,767 17,952 10,610
Class B.................................. 18,275 82,053 21,509 3,392 7,101
----------- ----------- ------------- --------- -----------
Total................................ $ 532,762 $ 940,485 $ 585,798 $ 100,203 $ 395,418
----------- ----------- ------------- --------- -----------
----------- ----------- ------------- --------- -----------
Outstanding Units of Beneficial Interest
(Shares):
Fiduciary................................ 34,731 47,951 31,493 7,980 25,221
Class A.................................. 1,569 5,587 1,823 1,814 707
Class B.................................. 1,290 5,071 1,306 345 486
----------- ----------- ------------- --------- -----------
Total................................ 37,590 58,609 34,622 10,139 26,414
----------- ----------- ------------- --------- -----------
----------- ----------- ------------- --------- -----------
Net Asset Value:
Fiduciary--offering and redemption price
per share.............................. $ 14.17 $ 15.99 $ 16.94 $ 9.88 $ 14.98
----------- ----------- ------------- --------- -----------
----------- ----------- ------------- --------- -----------
Class A--redemption price per share...... $ 14.19 $ 16.41 $ 16.87 $ 9.90 $ 15.00
----------- ----------- ------------- --------- -----------
----------- ----------- ------------- --------- -----------
Class A--maximum sales charge............ 4.50% 4.50% 4.50% 4.50% 4.50%
----------- ----------- ------------- --------- -----------
----------- ----------- ------------- --------- -----------
Class A--maximum offering price per share
(100%/(100%-maximum sales charge) of
net asset value adjusted to nearest
cent).................................. $ 14.86 $ 17.18 $ 17.66 $ 10.37 $ 15.71
----------- ----------- ------------- --------- -----------
----------- ----------- ------------- --------- -----------
Class B--offering price per share (a).... $ 14.16 $ 16.18 $ 16.47 $ 9.84 $ 14.59
----------- ----------- ------------- --------- -----------
----------- ----------- ------------- --------- -----------
</TABLE>
- ------------
<TABLE>
<C> <S>
(a) Redemption price per Class B share varies based on length of time shares are held.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
54
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
STATEMENTS OF OPERATIONS FOR THE SIX MONTHS ENDED DECEMBER 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
(Amounts in Thousands)
<S> <C> <C> <C> <C> <C>
ASSET INCOME EQUITY VALUE LARGE
ALLOCATION EQUITY INDEX GROWTH COMPANY
FUND FUND FUND FUND VALUE FUND
----------- --------- --------- --------- -----------
INVESTMENT INCOME:
Interest income..................................... $ 1,764 $ 932 $ 585 $ 441 $ 616
Dividend income..................................... 459 5,348 4,818 2,287 8,412
Securities lending income........................... 11 26 38 24 110
----------- --------- --------- --------- -----------
TOTAL INCOME........................................ 2,234 6,306 5,441 2,752 9,138
----------- --------- --------- --------- -----------
EXPENSES:
Investment advisory fees............................ 326 1,501 696 941 2,243
Administration fees................................. 83 335 384 210 501
12b-1 fees (Class A)................................ 36 86 75 64 19
12b-1 fees (Class B)................................ 115 186 294 29 24
Custodian and accounting fees....................... 32 16 75 42 40
Legal and audit fees................................ 3 19 12 13 15
Organization costs.................................. 2 -- -- -- --
Trustees' fees and expenses......................... 1 3 2 2 4
Transfer agent fees................................. 38 48 68 45 23
Registration and filing fees........................ 23 27 20 4 55
Printing costs...................................... 3 26 17 36 19
Other............................................... -- 1 4 11 4
----------- --------- --------- --------- -----------
Total expenses before waivers....................... 662 2,248 1,647 1,397 2,947
Less waivers........................................ (122) (25) (644) (96) (5)
----------- --------- --------- --------- -----------
NET EXPENSES........................................ 540 2,223 1,003 1,301 2,942
----------- --------- --------- --------- -----------
Net Investment Income............................... 1,694 4,083 4,438 1,451 6,196
----------- --------- --------- --------- -----------
REALIZED/UNREALIZED GAINS (LOSSES) FROM INVESTMENTS,
OPTIONS AND FUTURES:
Net realized gains (losses) from investment, options
and futures transactions.......................... 2,856 17,707 3,219 15,897 (4,647)
Net change in unrealized appreciation from
investments, options and futures.................. 2,880 9,362 44,523 8,361 60,686
----------- --------- --------- --------- -----------
Net realized/unrealized gains from investments,
options and futures............................... 5,736 27,069 47,742 24,258 56,039
----------- --------- --------- --------- -----------
Change in net assets resulting from operations...... $ 7,430 $ 31,152 $ 52,180 $ 25,709 $ 62,235
----------- --------- --------- --------- -----------
----------- --------- --------- --------- -----------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
55
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
STATEMENTS OF OPERATIONS FOR THE SIX MONTHS ENDED DECEMBER 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
(Amounts in Thousands)
<S> <C> <C> <C> <C> <C>
LARGE GULF INTERNATIONAL
DISCIPLINED COMPANY GROWTH SOUTH EQUITY
VALUE GROWTH OPPORTUNITIES GROWTH INDEX
FUND FUND FUND FUND FUND
----------- ----------- ----------- --------- -----------
INVESTMENT INCOME:
Interest income................................ $ 159 $ 671 $ 818 $ 106 $ 4
Dividend income................................ 7,279 8,098 10,228 273 2,785
Securities lending income...................... 67 75 206 33 --
Foreign tax withholding........................ -- -- -- -- (332)
----------- ----------- ----------- --------- -----------
TOTAL INCOME................................... 7,505 8,844 11,252 412 2,457
----------- ----------- ----------- --------- -----------
EXPENSES:
Investment advisory fees....................... 2,006 3,367 2,187 374 1,053
Administration fees............................ 448 752 489 84 316
12b-1 fees (Class A)........................... 37 141 50 31 19
12b-1 fees (Class B)........................... 85 346 85 15 32
Custodian and accounting fees.................. 43 34 60 27 163
Legal and audit fees........................... 21 41 22 7 10
Organization costs............................. -- -- -- -- 2
Trustees' fees and expenses.................... 4 6 4 1 2
Transfer agent fees............................ 68 137 53 43 30
Registration and filing fees................... 30 30 22 14 8
Printing costs................................. 31 57 32 12 13
Other.......................................... 2 4 1 -- 2
----------- ----------- ----------- --------- -----------
Total expenses before waivers.................. 2,775 4,915 3,005 608 1,650
Less waivers................................... (11) (36) (14) (67) (5)
----------- ----------- ----------- --------- -----------
NET EXPENSES................................... 2,764 4,879 2,991 541 1,645
----------- ----------- ----------- --------- -----------
Net Investment Income (Loss)................... 4,741 3,965 8,261 (129) 812
----------- ----------- ----------- --------- -----------
REALIZED/UNREALIZED GAINS (LOSSES) FROM
INVESTMENTS, OPTIONS, FUTURES AND FOREIGN
CURRENCIES:
Net realized gains from investment, options,
futures and foreign currency transactions.... 23,995 35,407 2,253 6,229 1,157
Net change in unrealized appreciation
(depreciation) from investments, options,
futures and translation of assets and
liabilities in foreign currencies............ 15,176 42,213 31,069 (3,378) 1,611
----------- ----------- ----------- --------- -----------
Net realized/unrealized gains from investments,
options, futures and foreign currencies...... 39,171 77,620 33,322 2,851 2,768
----------- ----------- ----------- --------- -----------
Change in net assets resulting from
operations................................... $ 43,912 $ 81,585 $ 41,583 $ 2,722 $ 3,580
----------- ----------- ----------- --------- -----------
----------- ----------- ----------- --------- -----------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
56
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
(Amounts in Thousands)
ASSET ALLOCATION FUND INCOME EQUITY FUND EQUITY INDEX FUND
---------------------- ----------------------- -----------------------
SIX SIX SIX
MONTHS YEAR MONTHS MONTHS
ENDED ENDED ENDED YEAR ENDED ENDED YEAR ENDED
DECEMBER JUNE 30, DECEMBER JUNE 30, DECEMBER JUNE 30,
31, 1996 1996 31, 1996 1996 31, 1996 1996
--------- --------- --------- ---------- --------- ----------
<S> <C> <C> <C> <C> <C> <C>
(UNAUDITED) (UNAUDITED) (UNAUDITED)
FROM INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment income.......... $ 1,694 $ 2,090 $ 4,083 $ 6,029 $ 4,438 $ 6,199
Net realized gains from
investment, options and
futures transactions......... 2,856 4,144 17,707 8,723 3,219 10,186
Net change in unrealized
appreciation from
investments, options and
futures...................... 2,880 1,631 9,362 35,127 44,523 47,556
--------- --------- --------- ---------- --------- ----------
Change in net assets resulting from
operations....................... 7,430 7,865 31,152 49,879 52,180 63,941
--------- --------- --------- ---------- --------- ----------
DISTRIBUTIONS TO FIDUCIARY
SHAREHOLDERS:
From net investment income..... (1,058) (1,520) (3,413) (5,321) (3,682) (5,782)
In excess of net investment
income....................... -- -- -- (25) -- (161)
From net realized gains from
investment transactions...... (2,959) (640) (10,511) (7,457) (3,288) (8,186)
DISTRIBUTIONS TO CLASS A
SHAREHOLDERS:
From net investment income..... (352) (343) (468) (528) (391) (269)
In excess of net investment
income....................... -- -- -- (2) -- (7)
From net realized gains from
investment transactions...... (974) (143) (1,743) (850) (420) (359)
DISTRIBUTIONS TO CLASS B
SHAREHOLDERS:
From net investment income..... (309) (216) (218) (180) (354) (149)
In excess of net investment
income....................... -- -- -- (1) -- (4)
From net realized gains from
investment transactions...... (1,129) (99) (1,424) (356) (629) (256)
--------- --------- --------- ---------- --------- ----------
Change in net assets from
shareholder distributions........ (6,781) (2,961) (17,777) (14,720) (8,764) (15,173)
--------- --------- --------- ---------- --------- ----------
CAPITAL TRANSACTIONS:
Proceeds from shares issued.... 37,197 50,091 47,458 267,682 179,952 199,001
Proceeds from shares issued in
connection with
acquisition.................. -- -- -- 136,786 -- --
Dividends reinvested........... 5,836 2,534 10,931 6,734 5,110 11,149
Cost of shares redeemed........ (12,567) (16,204) (47,110) (239,261) (84,057) (106,442)
--------- --------- --------- ---------- --------- ----------
Change in net assets from share
transactions..................... 30,466 36,421 11,279 171,941 101,005 103,708
--------- --------- --------- ---------- --------- ----------
Change in net assets............... 31,115 41,325 24,654 207,100 144,421 152,476
NET ASSETS:
Beginning of period............ 86,747 45,422 395,280 188,180 391,782 239,306
--------- --------- --------- ---------- --------- ----------
End of period.................. $117,862 $ 86,747 $419,934 $ 395,280 $536,203 $ 391,782
--------- --------- --------- ---------- --------- ----------
--------- --------- --------- ---------- --------- ----------
SHARE TRANSACTIONS:
Issued......................... 3,115 4,377 2,675 13,308 10,475 12,652
Issued in connection with
acquisition.................. -- -- -- 7,895 -- --
Reinvested..................... 490 221 605 414 285 721
Redeemed....................... (1,053) (1,428) (2,647) (11,666) (4,887) (6,924)
--------- --------- --------- ---------- --------- ----------
Change in shares................... 2,552 3,170 633 9,951 5,873 6,449
--------- --------- --------- ---------- --------- ----------
--------- --------- --------- ---------- --------- ----------
Undistributed (distributions in
excess of) net investment income
included in net assets:
End of period.................. $ (6) $ 19 $ (3) $ 13 $ (394) $ (405)
--------- --------- --------- ---------- --------- ----------
--------- --------- --------- ---------- --------- ----------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
57
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
(Amounts in Thousands)
LARGE COMPANY
VALUE GROWTH FUND VALUE FUND
----------------------------------- ----------------------
SIX SEVEN YEAR SIX
MONTHS MONTHS ENDED MONTHS YEAR
ENDED ENDED NOVEMBER ENDED ENDED
DECEMBER JUNE 30, 30, DECEMBER JUNE 30,
31, 1996 1996 (A) 1995 (A) 31, 1996 1996
--------- --------- --------- --------- ---------
<S> <C> <C> <C> <C> <C>
(UNAUDITED) (UNAUDITED)
FROM INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment income.......... $ 1,451 $ 1,254 $ 2,459 $ 6,196 $ 12,313
Net realized gains (losses)
from investment, options and
futures transactions......... 15,897 50,010 17,559 (4,647) 66,494
Net change in unrealized
appreciation (depreciation)
from investments, options and
futures...................... 8,361 (28,550) 30,874 60,686 (17,058)
--------- --------- --------- --------- ---------
Change in net assets resulting from
operations....................... 25,709 22,714 50,892 62,235 61,749
--------- --------- --------- --------- ---------
DISTRIBUTIONS TO FIDUCIARY
SHAREHOLDERS (B):
From net investment income..... (1,269) (569) (6,044) (12,140)
In excess of net investment
income....................... -- (5) -- (119)
From net realized gains from
investment transactions...... (36,353) -- (47,388) (46,275)
DISTRIBUTIONS TO CLASS A
SHAREHOLDERS:
From net investment income..... (173) (680) (2,449) (99) (142)
In excess of net investment
income....................... -- (5) -- -- (1)
From net realized gains from
investment transactions...... (5,894) (34,705) (5,515) (904) (631)
DISTRIBUTIONS TO CLASS B
SHAREHOLDERS:
From net investment income..... (7) (5) (6) (30) (32)
In excess of net investment
income....................... -- -- (3) -- --
From net realized gains from
investment transactions...... (992) (557) (19) (410) (183)
--------- --------- --------- --------- ---------
Change in net assets from
shareholder distributions........ (44,688) (36,526) (7,992) (54,875) (59,523)
--------- --------- --------- --------- ---------
CAPITAL TRANSACTIONS:
Proceeds from shares issued.... 57,932 68,807 24,259 100,880 285,428
Dividends reinvested........... 39,287 27,533 1,480 26,284 32,290
Cost of shares redeemed........ (25,424) (71,560) (21,348) (104,635) (91,619)
--------- --------- --------- --------- ---------
Change in net assets from share
transactions..................... 71,795 24,780 4,391 22,529 226,099
--------- --------- --------- --------- ---------
Change in net assets............... 52,816 10,968 47,291 29,889 228,325
NET ASSETS:
Beginning of period............ 231,869 220,901 173,610 598,042 369,717
--------- --------- --------- --------- ---------
End of period.................. $284,685 $231,869 $220,901 $627,931 $598,042
--------- --------- --------- --------- ---------
--------- --------- --------- --------- ---------
SHARE TRANSACTIONS:
Issued......................... 5,538 1,402 1,628 7,899 22,448
Issued in restatement of net
asset value (c).............. -- 7,808 -- -- --
Reinvested..................... 4,053 1,782 106 2,024 2,670
Redeemed....................... (2,441) (1,668) (1,398) (8,135) (7,260)
--------- --------- --------- --------- ---------
Change in shares................... 7,150 9,324 336 1,788 17,858
--------- --------- --------- --------- ---------
--------- --------- --------- --------- ---------
Undistributed (distributions in
excess of) net investment income
included in net assets:
End of period.................. $ (10) $ (12) $ (2) $ (91) $ (114)
--------- --------- --------- --------- ---------
--------- --------- --------- --------- ---------
</TABLE>
- ------------
<TABLE>
<C> <S>
(a) Upon reorganizing as a fund of The One Group, the Paragon Value Growth Fund became the Value Growth Fund. Changes in
net assets for the periods prior to March 26, 1996 represent the Paragon Value Growth Fund.
</TABLE>
<TABLE>
<C> <S>
(b) Fiduciary Shares of the Value Growth Fund commenced offering on March 26, 1996 upon conversion of certain Class A
Shares to Fiduciary Shares.
</TABLE>
<TABLE>
<C> <S>
(c) Pursuant to its reorganization as a fund of The One Group, the Value Growth Fund issued additional shares at the close
of business March 25, 1996 as a result of restatement of the net asset values of Class A Shares from $15.26 to $10.00
and Class B Shares from $15.21 to $10.00.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
58
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
(Amounts in Thousands)
LARGE COMPANY GROWTH GROWTH OPPORTUNITIES
DISCIPLINED VALUE FUND FUND FUND
---------------------- ---------------------- ----------------------
SIX SIX SIX
MONTHS YEAR MONTHS YEAR MONTHS YEAR
ENDED ENDED ENDED ENDED ENDED ENDED
DECEMBER JUNE 30, DECEMBER JUNE 30, DECEMBER JUNE 30,
31, 1996 1996 31, 1996 1996 31, 1996 1996
--------- --------- --------- --------- --------- ---------
<S> <C> <C> <C> <C> <C> <C>
(UNAUDITED) (UNAUDITED) (UNAUDITED)
FROM INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment income.......... $ 4,741 $ 10,841 $ 3,965 $ 8,466 $ 8,261 $ 5,803
Net realized gains from
investment, options and
futures transactions......... 23,995 60,286 35,407 29,317 2,253 150,392
Net change in unrealized
appreciation (depreciation)
from investments, options and
futures...................... 15,176 25,630 42,213 85,542 31,069 (49,094)
--------- --------- --------- --------- --------- ---------
Change in net assets resulting from
operations....................... 43,912 96,757 81,585 123,325 41,583 107,101
--------- --------- --------- --------- --------- ---------
DISTRIBUTIONS TO FIDUCIARY
SHAREHOLDERS:
From net investment income..... (4,513) (10,409) (3,519) (7,921) (7,722) (5,538)
In excess of net investment
income....................... -- (84) -- (70) -- (34)
From net realized gains from
investment transactions...... (53,221) (27,544) (37,414) (7,625) (83,581) (78,544)
DISTRIBUTIONS TO CLASS A
SHAREHOLDERS:
From net investment income..... (164) (302) (286) (478) (395) (215)
In excess of net investment
income....................... -- (2) -- (4) -- (1)
From net realized gains from
investment transactions...... (2,286) (920) (4,265) (558) (4,572) (2,747)
DISTRIBUTIONS TO CLASS B
SHAREHOLDERS:
From net investment income..... (66) (131) (23) (67) (235) (51)
In excess of net investment
income....................... -- (1) -- (1) -- --
From net realized gains from
investment transactions...... (1,855) (708) (3,785) (253) (3,102) (896)
--------- --------- --------- --------- --------- ---------
Change in net assets from
shareholder distributions........ (62,105) (40,101) (49,292) (16,977) (99,607) (88,026)
--------- --------- --------- --------- --------- ---------
CAPITAL TRANSACTIONS:
Proceeds from shares issued.... 59,659 146,331 127,190 303,743 188,670 285,336
Proceeds from shares issued in
connection with
acquisition.................. -- -- -- 36,982 -- --
Dividends reinvested........... 32,102 21,701 30,926 9,536 56,517 46,859
Cost of shares redeemed........ (100,423) (138,383) (127,285) (145,189) (174,852) (205,266)
--------- --------- --------- --------- --------- ---------
Change in net assets from share
transactions..................... (8,662) 29,649 30,831 205,072 70,335 126,929
--------- --------- --------- --------- --------- ---------
Change in net assets............... (26,855) 86,305 63,124 311,420 12,311 146,004
NET ASSETS:
Beginning of period............ 559,617 473,312 877,361 565,941 573,487 427,483
--------- --------- --------- --------- --------- ---------
End of period.................. $532,762 $ 559,617 $940,485 $ 877,361 $585,798 $ 573,487
--------- --------- --------- --------- --------- ---------
--------- --------- --------- --------- --------- ---------
SHARE TRANSACTIONS:
Issued......................... 4,141 10,399 8,080 21,224 10,279 15,225
Issued in connection with
acquisition.................. -- -- -- 2,673 -- --
Reinvested..................... 2,280 1,573 1,917 684 3,283 2,828
Redeemed....................... (6,921) (9,741) (8,053) (9,886) (9,446) (10,779)
--------- --------- --------- --------- --------- ---------
Change in shares................... (500) 2,231 1,944 14,695 4,116 7,274
--------- --------- --------- --------- --------- ---------
--------- --------- --------- --------- --------- ---------
Undistributed (distributions in
excess of) net investment income
included in net assets:
End of period.................. $ (47) $ (45) $ 52 $ (85) $ (138) $ (47)
--------- --------- --------- --------- --------- ---------
--------- --------- --------- --------- --------- ---------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
59
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
(Amounts in Thousands)
INTERNATIONAL EQUITY
GULF SOUTH GROWTH FUND INDEX FUND
----------------------------------- ----------------------
SIX SEVEN YEAR SIX
MONTHS MONTHS ENDED MONTHS YEAR
ENDED ENDED NOVEMBER ENDED ENDED
DECEMBER JUNE 30, 30, DECEMBER JUNE 30,
31, 1996 1996(A) 1995(A) 31, 1996 1996
--------- --------- --------- --------- ---------
<S> <C> <C> <C> <C> <C>
(UNAUDITED) (UNAUDITED)
FROM INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment income (loss)... $ (129) $ (162) $ (329) $ 812 $ 2,940
Net realized gains from
investment, options, futures
and foreign currency
transactions................. 6,229 20,607 2,336 1,157 1,467
Net change in unrealized
appreciation (depreciation)
from investments, options,
futures and translation of
assets and liabilities in
foreign currencies........... (3,378) (8,026) 17,774 1,611 26,748
--------- --------- --------- --------- ---------
Change in net assets resulting from
operations....................... 2,722 12,419 19,781 3,580 31,155
--------- --------- --------- --------- ---------
DISTRIBUTIONS TO FIDUCIARY
SHAREHOLDERS (B):
From net investment income..... -- -- (3,449) (2,825)
In excess of net investment
income....................... -- -- -- (429)
From net realized gains from
investment transactions...... (8,358) (237) (3,811) (2,147)
DISTRIBUTIONS TO CLASS A
SHAREHOLDERS:
From net investment income..... -- -- -- (58) (72)
In excess of net investment
income....................... -- -- -- -- (11)
From net realized gains from
investment transactions...... (1,835) (17,443) (1,410) (111) (55)
DISTRIBUTIONS TO CLASS B
SHAREHOLDERS:
From net investment income..... -- -- -- (26) (43)
In excess of net investment
income....................... -- -- -- -- (7)
From net realized gains from
investment transactions...... (302) (393) (8) (72) (33)
--------- --------- --------- --------- ---------
Change in net assets from
shareholder distributions........ (10,495) (18,073) (1,418) (7,527) (5,622)
--------- --------- --------- --------- ---------
CAPITAL TRANSACTIONS:
Proceeds from shares issued.... 5,371 29,495 13,775 127,352 163,944
Dividends reinvested........... 9,973 14,226 328 2,711 2,501
Cost of shares redeemed........ (11,640) (31,076) (12,956) (95,133) (54,557)
--------- --------- --------- --------- ---------
Change in net assets from share
transactions..................... 3,704 12,645 1,147 34,930 111,888
--------- --------- --------- --------- ---------
Change in net assets............... (4,069) 6,991 19,510 30,983 137,421
NET ASSETS:
Beginning of period............ 104,272 97,281 77,771 364,435 227,014
--------- --------- --------- --------- ---------
End of period.................. $100,203 $104,272 $ 97,281 $395,418 $364,435
--------- --------- --------- --------- ---------
--------- --------- --------- --------- ---------
SHARE TRANSACTIONS:
Issued......................... 534 620 842 8,596 11,286
Issued in restatement of net
asset value (c).............. -- 3,633 -- -- --
Reinvested..................... 1,042 902 22 181 175
Redeemed....................... (1,141) (838) (768) (6,392) (3,742)
--------- --------- --------- --------- ---------
Change in shares................... 435 4,317 96 2,385 7,719
--------- --------- --------- --------- ---------
--------- --------- --------- --------- ---------
Undistributed (distributions in
excess of) net investment income
included in net assets:
End of period.................. $ (129) $ -- $ -- $ (1,326) $ 1,395
--------- --------- --------- --------- ---------
--------- --------- --------- --------- ---------
</TABLE>
- ------------
<TABLE>
<C> <S>
(a) Upon reorganizing as a fund of The One Group, the Paragon Gulf South Growth Fund became the Gulf South Growth Fund.
Capital and share transactions for the periods prior to March 26, 1996 represent the Paragon Gulf South Growth Fund.
</TABLE>
<TABLE>
<C> <S>
(b) Fiduciary Shares of the Gulf South Growth Fund commenced offering on March 26, 1996 upon conversion of certain Class A
Shares to Fiduciary Shares.
</TABLE>
<TABLE>
<C> <S>
(c) Pursuant to its reorganization as a fund of The One Group, the Gulf South Growth Fund issued additional shares at the
close of business March 25, 1996 as a result of restatement of the net asset values of Class A Shares from $15.70 to
$10.00 and Class B Shares from $15.48 to $10.00.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
60
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1996
(Unaudited)
1. ORGANIZATION:
The One Group (the "Trust") is registered under the Investment Company Act
of 1940, as amended (the "1940 Act"), as an open-end investment company
established as a Massachusetts business trust. The Trust is registered to
offer four classes of shares: Fiduciary, Class A, Class B and Service. The
Trust currently consists of thirty active funds. The accompanying financial
statements and financial highlights are those of the Asset Allocation Fund,
the Income Equity Fund, the Equity Index Fund, the Value Growth Fund, the
Large Company Value Fund, the Disciplined Value Fund, the Large Company
Growth Fund, the Growth Opportunities Fund, the Gulf South Growth Fund and
the International Equity Index Fund (individually a "Fund", collectively the
"Funds") only. The Funds are each offered in Fiduciary Class, Class A and
Class B Shares. Class A Shares are subject to initial sales charges, imposed
at the time of purchase, in accordance with the Funds' prospectuses. Certain
redemptions of Class B Shares are subject to contingent deferred sales
charges in accordance with the Funds' prospectuses. Each Fund is a
diversified mutual fund except the Gulf South Growth Fund which is non-
diversified.
The Trust entered into an Agreement and Plan of Reorganization (the
"Agreement") with the Paragon Portfolio ("Paragon"), a Massachusetts
business trust. Pursuant to the Agreement, all of the assets and liabilities
of each Paragon Fund transferred to a Fund of The One Group in exchange for
shares of the corresponding Fund of The One Group. Subsequent to the
reorganization, the fiscal period end changed from November 30 to June 30
for the Value Growth Fund and the Gulf South Growth Fund. Therefore, the
prior period statement of changes in net assets and financial highlights for
those Funds present the results for the seven months ended June 30, 1996.
The Funds' investment objectives are as follows:
<TABLE>
<CAPTION>
FUND OBJECTIVE
- ---------------------------------- -------------------------------------------------------------------
<S> <C>
Asset Allocation Fund To provide total return while preserving capital.
Income Equity Fund Current income through regular payments of dividends with the
secondary goal of achieving capital appreciation by investing
primarily in equity securities.
Equity Index Fund Investment results that correspond to the aggregate price and
dividend performance of the securities in the Standard & Poor's 500
Composite Stock Price Index.
Value Growth Fund Long-term capital growth and growth of income while, as a secondary
objective, providing a moderate level of current income.
Large Company Value Fund Capital appreciation with the incidental goal of achieving current
income by investing primarily in equity securities.
Disciplined Value Fund Capital appreciation with the secondary goal of achieving current
income by investing primarily in equity securities.
Large Company Growth Fund Long-term capital appreciation and growth of income by investing
primarily in equity securities.
Growth Opportunities Fund Growth of capital and, secondarily, current income, by investing
primarily in equity securities.
</TABLE>
CONTINUED
61
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS, CONTINUED DECEMBER 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
FUND OBJECTIVE
- ---------------------------------- -------------------------------------------------------------------
Gulf South Growth Fund Long-term capital growth by investing in a portfolio of equity
securities of small-capitalization, emerging growth and
medium-capitalization companies which are either headquartered in
or whose primary market is in the southeastern region of the United
States.
<S> <C>
International Equity Index Fund To provide investment results that correspond to the aggregate
price and dividend performance of the securities in the Gross
Domestic Product Weighted Morgan Stanley Capital International
Europe, Australia and Far East Index.
</TABLE>
2. SIGNIFICANT ACCOUNTING POLICIES:
The following is a summary of significant accounting policies followed by
the Trust in preparation of its financial statements. The policies are in
conformity with generally accepted accounting principles. The preparation of
financial statements requires management to make estimates and assumptions
that affect the reported amounts of assets and liabilities at the date of
the financial statements and the reported amounts of income and expenses for
the period. Actual results could differ from those estimates.
SECURITY VALUATION
Listed securities are valued at the last sales price on the principal
exchange where such securities are traded. Unlisted securities or listed
securities for which last sales prices are not available are valued at the
mean of the latest bid and asked priced in the principal market where such
securities are traded. Short-term investments maturing in 60 days or less
are valued at amortized cost, which approximates market value. Futures
contracts are valued at the settlement price established each day by the
board of trade or exchange on which they are traded. Options traded on an
exchange are valued using the last sale price or, in the absence of a sale,
the last offering price. Options traded over-the-counter are valued using
dealer-supplied valuations. Investments for which there are no such
quotations or valuations are carried at fair value as determined by the
Adviser under the direction of the Board of Trustees.
FOREIGN CURRENCY TRANSLATION
Investment valuations, other assets and liabilities initially expressed in
foreign currencies are converted each business day into U.S. dollars based
upon current exchange rates. Purchases and sales of foreign investments and
income and expenses are converted into U.S. dollars based upon exchange
rates prevailing on the respective dates of such transactions. That portion
of realized gains or losses and unrealized appreciation or depreciation
from investments due to fluctuations in foreign currency exchange rates is
not separately disclosed. Such fluctuations are included with the net
realized and unrealized gain or loss from investments.
FORWARD FOREIGN CURRENCY CONTRACTS
Forward foreign currency contracts are valued at the daily exchange rate of
the underlying currency. Purchases and sales of forward foreign currency
contracts having the same settlement date and broker are presented net on
the Statement of Assets and Liabilities. The forward foreign currency
exchange contracts are adjusted by the daily exchange rate of the
underlying currency and any gains or losses are recorded for financial
statement purposes as unrealized appreciation or depreciation until the
contract settlement date.
CONTINUED
62
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS, CONTINUED DECEMBER 31, 1996
(Unaudited)
Gains or losses from the purchase or sale of forward foreign currency
contracts having the same settlement date and broker are recorded as
realized on the date of offset; otherwise gains or losses are recorded as
realized on settlement date.
REPURCHASE AGREEMENTS
The Funds may invest in repurchase agreements with institutions that the
investment adviser has determined are creditworthy. Each repurchase
agreement is recorded at cost. The Fund requires that the securities
purchased in a repurchase agreement transaction be transferred to the
custodian in a manner sufficient to enable the Fund to obtain those
securities in the event of a counterparty default. The seller, under the
repurchase agreement, is required to maintain the value of the securities
held at not less than the repurchase price, including accrued interest.
Repurchase agreements are considered to be loans under the 1940 Act.
WRITTEN OPTIONS
The Funds may write covered call or put options for which premiums received
are recorded as liabilities and are subsequently adjusted to the current
value of the options written. Premiums received from writing options which
expire are treated as realized gains. Premiums received from writing
options, which are either exercised or closed, are offset against the
proceeds received or amount paid on the transaction to determine realized
gains or losses.
FUTURES CONTRACTS
The Funds may enter into futures contracts for the delayed delivery of
securities at a fixed price at some future date or for the change in the
value of a specified financial index over a predetermined time period. Cash
or securities are deposited with brokers in order to maintain a position.
Subsequent payments made or received by the Fund based on the daily change
in the market value of the position are recorded as unrealized appreciation
or depreciation until the contract is closed out, at which time the
appreciation or depreciation is realized.
INDEXED SECURITIES
The Funds may invest in indexed securities whose value is linked either
directly or inversely to changes in foreign currencies, interest rates,
commodities, indices or other reference instruments. Indexed securities may
be more volatile than the referenced instrument itself, but any loss is
limited to the amount of the original investment.
SECURITIES LENDING
To generate additional income, the Funds may lend up to 33% of securities
in which they are invested pursuant to agreements requiring that the loan
be continuously secured by cash, U.S. Government or U.S. Government Agency
securities, shares of an investment trust or mutual fund, or any
combination of cash and such securities as collateral equal at all times to
at least 100% of the market value plus accrued interest on the securities
lent. The Funds continue to earn dividends and interest on securities lent
while simultaneously seeking to earn interest on the investment of
collateral. Collateral is marked to market daily to provide a level of
collateral at least equal to the market value of securities lent. There may
be risks of delay in recovery of the securities or even loss of rights in
the collateral should the borrower of the securities fail financially.
However, loans will be made only to borrowers deemed by the Adviser to be
of good standing and creditworthy under guidelines established by the Board
of Trustees and when, in the judgment of the Adviser, the consideration
which can be earned currently from such securities loans justifies the
attendant risk. Loans are subject to
CONTINUED
63
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS, CONTINUED DECEMBER 31, 1996
(Unaudited)
termination by the Funds or the borrower at any time, and are, therefore,
not considered to be illiquid investments. As of December 31, 1996, the
following Funds had securities with the following market values on loan
(amounts in thousands):
<TABLE>
<CAPTION>
MARKET VALUE
OF LOANED
SECURITIES
-------------
<S> <C>
Asset Allocation Fund.................................................................................. $ 5,077
Income Equity Fund..................................................................................... 16,965
Equity Index Fund...................................................................................... 54,057
Value Growth Fund...................................................................................... 19,067
Large Company Value Fund............................................................................... 76,077
Disciplined Value Fund................................................................................. 60,615
Large Company Growth Fund.............................................................................. 58,897
Growth Opportunities Fund.............................................................................. 74,330
Gulf South Growth Fund................................................................................. 9,481
</TABLE>
The loaned securities were fully collateralized by cash and U.S. Government
securities as of December 31, 1996.
SECURITY TRANSACTIONS AND RELATED INCOME
Security transactions are accounted for on a trade date basis. Net realized
gains or losses from sales of securities are determined on the specific
identification cost method. Interest income and expenses are recognized on
the accrual basis. Dividends are recorded on the ex-dividend date. Interest
income, including any discount or premium, is accrued as earned using the
effective interest method.
EXPENSES
Expenses directly attributable to a Fund are charged directly to that Fund,
while the expenses which are attributable to more than one Fund of the
Trust are allocated among the respective Funds. Each class of shares bears
its pro-rata portion of expenses attributable to its series, except that
each class separately bears expenses related specifically to that class,
such as distribution fees.
DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS
Dividends from net investment income are declared and paid monthly for all
Funds, except the International Equity Index Fund, which declares and
distributes net investment income annually. Net realized capital gains, if
any, are distributed at least annually. Dividends are declared separately
for each class. No class has preferential dividend rights; differences in
per share dividend rates are generally due to differences in separate class
expenses.
Distributions from net investment income and from net capital gains 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 expiring capital loss carryforwards,
foreign currency transactions, and deferrals of certain losses. Permanent
book and tax basis differences have been reclassified among the components
of net assets.
ORGANIZATION COSTS
Costs incurred by the Trust in connection with its organization, including
the fees and expenses of registering and qualifying its shares for
distribution have been deferred and are being amortized using the
straight-line
CONTINUED
64
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS, CONTINUED DECEMBER 31, 1996
(Unaudited)
method over a period of five years beginning with the commencement of each
Fund's operations. All such costs, which are attributable to more than one
Fund of the Trust, have been allocated among the respective Funds pro-rata,
based on the relative net assets of each Fund. In the event that any of the
initial shares are redeemed during such period by any holder thereof, the
related Fund will be reimbursed by such holder for any unamortized
organization costs in the proportion as the number of initial shares being
redeemed bears to the number of initial shares outstanding at the time of
redemption.
FEDERAL INCOME TAXES
The Trust treats each Fund as a separate entity for Federal income tax
purposes. Each Fund intends to continue to qualify as a regulated
investment company by complying with the provisions available to certain
investment companies as defined in applicable sections of the Internal
Revenue Code, and to make distributions from net investment income and from
net realized capital gains sufficient to relieve it from all, or
substantially all, Federal income taxes. Withholding taxes on foreign
dividends have been paid or provided for in accordance with the applicable
country's tax rules and rates.
3. SHARES OF BENEFICIAL INTEREST:
The Trust has an unlimited number of shares of beneficial interest, with no
par value which may, without shareholder approval, be divided into an
unlimited number of series of such shares and any series may be classified
or reclassified into one or more classes. Currently, shares of the Trust are
registered to be offered through forty series and four classes: Fiduciary,
Class A, Class B and Service. As of December 31, 1996, no shareholders were
in the Service Class. Shareholders are entitled to one vote for each full
share held and will vote in the aggregate and not by class or series, except
as otherwise expressly required by law or when the Board of Trustees has
determined that the matter to be voted on affects only the interest of
shareholders of a particular class or series. The following is a summary of
transactions in Fund shares for the periods ended December 31, 1996 and June
30, 1996:
CONTINUED
65
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS, CONTINUED DECEMBER 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
(Amounts in Thousands)
ASSET ALLOCATION FUND INCOME EQUITY FUND EQUITY INDEX FUND
---------------------- ---------------------- ----------------------
SIX SIX SIX
MONTHS YEAR MONTHS YEAR MONTHS YEAR
ENDED ENDED ENDED ENDED ENDED ENDED
DECEMBER JUNE 30, DECEMBER JUNE 30, DECEMBER JUNE 30,
31, 1996 1996 31, 1996 1996 31, 1996 1996
--------- --------- --------- --------- --------- ---------
<S> <C> <C> <C> <C> <C> <C>
(UNAUDITED) (UNAUDITED) (UNAUDITED)
CAPITAL TRANSACTIONS:
FIDUCIARY SHARES:
Proceeds from shares issued...... $ 24,156 $ 20,364 $ 17,294 $ 74,805 $103,075 $110,800
Proceeds from shares issued in
connection with acquisition.... -- -- -- 128,593 -- --
Dividends reinvested............. 3,155 1,810 7,216 5,003 3,420 10,203
Cost of shares redeemed.......... (9,090) (13,065) (37,460) (94,484) (62,427) (79,496)
--------- --------- --------- --------- --------- ---------
Change in net assets from
Fiduciary share transactions... $ 18,221 $ 9,109 $(12,950) $ 113,917 $ 44,068 $ 41,507
--------- --------- --------- --------- --------- ---------
--------- --------- --------- --------- --------- ---------
CLASS A SHARES:
Proceeds from shares issued...... $ 5,240 $ 14,197 $ 14,575 $ 168,343 $ 36,774 $ 52,581
Proceeds from shares issued in
connection with acquisition.... -- -- -- 6,780 -- --
Dividends reinvested............. 1,278 453 2,107 1,244 755 565
Cost of shares redeemed.......... (2,094) (2,268) (7,721) (143,907) (19,664) (26,205)
--------- --------- --------- --------- --------- ---------
Change in net assets from Class A
share transactions............. $ 4,424 $ 12,382 $ 8,961 $ 32,460 $ 17,865 $ 26,941
--------- --------- --------- --------- --------- ---------
--------- --------- --------- --------- --------- ---------
CLASS B SHARES:
Proceeds from shares issued...... $ 7,801 $ 15,530 $ 15,589 $ 24,534 $ 40,103 $ 35,620
Proceeds from shares issued in
connection with acquisition.... -- -- -- 1,413 -- --
Dividends reinvested............. 1,403 271 1,608 487 935 381
Cost of shares redeemed.......... (1,383) (871) (1,929) (870) (1,966) (741)
--------- --------- --------- --------- --------- ---------
Change in net assets from Class B
share transactions............. $ 7,821 $ 14,930 $ 15,268 $ 25,564 $ 39,072 $ 35,260
--------- --------- --------- --------- --------- ---------
--------- --------- --------- --------- --------- ---------
SHARE TRANSACTIONS:
FIDUCIARY SHARES:
Issued........................... 2,015 1,787 980 2,462 5,987 7,069
Issued in connection with
acquisition.................... -- -- -- 7,422 -- --
Reinvested....................... 266 159 399 316 191 660
Redeemed......................... (762) (1,156) (2,104) (3,267) (3,596) (5,207)
--------- --------- --------- --------- --------- ---------
Change in Fiduciary Shares....... 1,519 790 (725) 6,933 2,582 2,522
--------- --------- --------- --------- --------- ---------
--------- --------- --------- --------- --------- ---------
CLASS A SHARES:
Issued........................... 442 1,241 820 9,480 2,173 3,351
Issued in connection with
acquisition.................... -- -- -- 392 -- --
Reinvested....................... 107 38 117 72 42 36
Redeemed......................... (176) (198) (435) (8,347) (1,177) (1,670)
--------- --------- --------- --------- --------- ---------
Change in Class A Shares......... 373 1,081 502 1,597 1,038 1,717
--------- --------- --------- --------- --------- ---------
--------- --------- --------- --------- --------- ---------
CLASS B SHARES:
Issued........................... 658 1,349 875 1,366 2,315 2,232
Issued in connection with
acquisition.................... -- -- -- 81 -- --
Reinvested....................... 117 24 89 26 52 25
Redeemed......................... (115) (74) (108) (52) (114) (47)
--------- --------- --------- --------- --------- ---------
Change in Class B Shares......... 660 1,299 856 1,421 2,253 2,210
--------- --------- --------- --------- --------- ---------
--------- --------- --------- --------- --------- ---------
</TABLE>
CONTINUED
66
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS, CONTINUED DECEMBER 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
(Amounts in Thousands)
LARGE COMPANY VALUE
VALUE GROWTH FUND FUND
-------------------------------------- ----------------------
SIX YEAR SIX
MONTHS SEVEN MONTHS ENDED MONTHS YEAR
ENDED ENDED JUNE NOVEMBER ENDED ENDED
DECEMBER 30, 30, DECEMBER JUNE 30,
31, 1996 1996(A) 1995(A) 31, 1996 1996
--------- ------------ --------- --------- ---------
<S> <C> <C> <C> <C> <C>
(UNAUDITED) (UNAUDITED)
CAPITAL TRANSACTIONS:
FIDUCIARY SHARES (B):
Proceeds from shares issued...... $ 52,273 $ 51,451 $ 92,870 $271,886
Proceeds from shares issued in
conversion from Class A
Shares......................... -- 186,991(b) -- --
Dividends reinvested............. 32,451 12 24,853 31,312
Cost of shares redeemed.......... (20,659) (54,571) (99,001) (86,151)
--------- ------------ --------- ---------
Change in net assets from
Fiduciary share transactions... $ 64,065 $183,883 $ 18,722 $217,047
--------- ------------ --------- ---------
--------- ------------
CLASS A SHARES:
Proceeds from shares issued...... $ 3,770 $ 15,771 $ 21,981 $ 6,756 $ 10,239
Dividends reinvested............. 5,837 26,959 1,452 996 760
Cost of shares redeemed.......... (4,275) (16,784) (21,210) (5,337) (5,175)
Cost of shares redeemed in
conversion to Fiduciary
Shares......................... -- (186,991)(b) -- -- --
--------- ------------ --------- --------- ---------
Change in net assets from Class A
share transactions............. $ 5,332 $(161,045) $ 2,223 $ 2,415 $ 5,824
--------- ------------ --------- --------- ---------
--------- ------------ --------- --------- ---------
CLASS B SHARES:
Proceeds from shares issued...... $ 1,889 $ 1,585 $ 2,278 $ 1,254 $ 3,303
Dividends reinvested............. 999 562 28 435 218
Cost of shares redeemed.......... (490) (205) (138) (297) (293)
--------- ------------ --------- --------- ---------
Change in net assets from Class B
share transactions............. $ 2,398 $ 1,942 $ 2,168 $ 1,392 $ 3,228
--------- ------------ --------- --------- ---------
--------- ------------ --------- --------- ---------
SHARE TRANSACTIONS:
FIDUCIARY SHARES (B):
Issued........................... 4,994 254 7,277 21,371
Issued in conversion from Class A
Shares......................... -- 18,699(b) -- --
Reinvested....................... 3,349 1 1,915 2,593
Redeemed......................... (1,986) (556) (7,698) (6,817)
--------- ------------ --------- ---------
Change in Fiduciary Shares....... 6,357 18,398 1,494 17,147
--------- ------------ --------- ---------
--------- ------------ --------- ---------
CLASS A SHARES:
Issued........................... 362 1,026 1,479 525 815
Issued in restatement of net
asset value (c)................ -- 7,672 -- -- --
Reinvested....................... 601 1,745 104 76 61
Redeemed......................... (408) (1,096) (1,389) (414) (417)
Redeemed in conversion to
Fiduciary Shares............... -- (18,699)(b) -- -- --
--------- ------------ --------- --------- ---------
Change in Class A Shares......... 555 (9,352) 194 187 459
--------- ------------ --------- --------- ---------
--------- ------------ --------- --------- ---------
CLASS B SHARES:
Issued........................... 182 122 149 97 262
Issued in restatement of net
asset value (c)................ -- 136 -- -- --
Reinvested....................... 103 36 2 33 16
Redeemed......................... (47) (16) (9) (23) (26)
--------- ------------ --------- --------- ---------
Change in Class B Shares......... 238 278 142 107 252
--------- ------------ --------- --------- ---------
--------- ------------ --------- --------- ---------
</TABLE>
- ------------
<TABLE>
<C> <S>
(a) Upon reorganizing as a fund of The One Group, the Paragon Value Growth Fund became the Value Growth Fund. Capital and
share transactions for the periods prior to March 26, 1996 represent the Paragon Value Growth Fund.
</TABLE>
<TABLE>
<C> <S>
(b) Fiduciary Shares of the Value Growth Fund commenced offering on March 26, 1996 upon conversion of certain Class A
Shares to Fiduciary Shares.
</TABLE>
<TABLE>
<C> <S>
(c) Pursuant to its reorganization as a fund of The One Group, the Value Growth Fund issued additional shares at the close
of business March 25, 1996 as a result of restatement of the net asset values of Class A Shares from $15.26 to $10.00
and Class B Shares from $15.21 to $10.00.
</TABLE>
CONTINUED
67
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS, CONTINUED DECEMBER 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
(Amounts in Thousands)
DISCIPLINED LARGE COMPANY GROWTH GROWTH OPPORTUNITIES
VALUE FUND FUND FUND
---------------------- ---------------------- ----------------------
SIX SIX SIX
MONTHS YEAR MONTHS YEAR MONTHS YEAR
ENDED ENDED ENDED ENDED ENDED ENDED
DECEMBER JUNE 30, DECEMBER JUNE 30, DECEMBER JUNE 30,
31, 1996 1996 31, 1996 1996 31, 1996 1996
--------- --------- --------- --------- --------- ---------
<S> <C> <C> <C> <C> <C> <C>
(UNAUDITED) (UNAUDITED) (UNAUDITED)
CAPITAL TRANSACTIONS:
FIDUCIARY SHARES:
Proceeds from shares issued...... $ 52,704 $ 131,316 $ 87,363 $ 209,649 $138,244 $ 167,309
Proceeds from shares issued in
connection with acquisition.... -- -- -- 33,161 -- --
Dividends reinvested............. 27,793 19,700 22,645 8,256 48,075 43,247
Cost of shares redeemed.......... (93,845) (130,536) (116,287) (132,702) (132,455) (109,584)
--------- --------- --------- --------- --------- ---------
Change in net assets from
Fiduciary share transactions... $(13,348) $ 20,480 $ (6,279) $ 118,364 $ 53,864 $ 100,972
--------- --------- --------- --------- --------- ---------
--------- --------- --------- --------- --------- ---------
CLASS A SHARES:
Proceeds from shares issued...... $ 5,202 $ 10,777 $ 16,961 $ 46,490 $ 42,148 $ 108,378
Proceeds from shares issued in
connection with acquisition.... -- -- -- 3,423 -- --
Dividends reinvested............. 2,402 1,180 4,513 904 5,065 2,718
Cost of shares redeemed.......... (5,466) (6,449) (7,859) (10,113) (41,510) (95,119)
--------- --------- --------- --------- --------- ---------
Change in net assets from Class A
share transactions............. $ 2,138 $ 5,508 $ 13,615 $ 40,704 $ 5,703 $ 15,977
--------- --------- --------- --------- --------- ---------
--------- --------- --------- --------- --------- ---------
CLASS B SHARES:
Proceeds from shares issued...... $ 1,753 $ 4,238 $ 22,866 $ 47,604 $ 8,278 $ 9,649
Proceeds from shares issued in
connection with acquisition.... -- -- -- 398 -- --
Dividends reinvested............. 1,907 821 3,768 376 3,377 894
Cost of shares redeemed.......... (1,112) (1,398) (3,139) (2,374) (887) (563)
--------- --------- --------- --------- --------- ---------
Change in net assets from Class B
share transactions............. $ 2,548 $ 3,661 $ 23,495 $ 46,004 $ 10,768 $ 9,980
--------- --------- --------- --------- --------- ---------
--------- --------- --------- --------- --------- ---------
SHARE TRANSACTIONS:
FIDUCIARY SHARES:
Issued........................... 3,666 9,341 5,586 14,892 7,557 8,947
Issued in connection with
acquisition.................... -- -- -- 2,403 -- --
Reinvested....................... 1,975 1,427 1,411 594 2,790 2,608
Redeemed......................... (6,474) (9,186) (7,366) (9,049) (7,164) (5,714)
--------- --------- --------- --------- --------- ---------
Change in Fiduciary Shares....... (833) 1,582 (369) 8,840 3,183 5,841
--------- --------- --------- --------- --------- ---------
--------- --------- --------- --------- --------- ---------
CLASS A SHARES:
Issued........................... 354 760 1,059 3,131 2,268 5,756
Issued in connection with
acquisition.................... -- -- -- 242 -- --
Reinvested....................... 170 86 274 63 293 165
Redeemed......................... (371) (456) (491) (674) (2,233) (5,035)
--------- --------- --------- --------- --------- ---------
Change in Class A Shares......... 153 390 842 2,762 328 886
--------- --------- --------- --------- --------- ---------
--------- --------- --------- --------- --------- ---------
CLASS B SHARES:
Issued........................... 121 298 1,435 3,201 454 522
Issued in connection with
acquisition.................... -- -- -- 28 -- --
Reinvested....................... 135 60 232 27 200 55
Cost of shares redeemed.......... (76) (99) (196) (163) (49) (30)
--------- --------- --------- --------- --------- ---------
Change in Class B Shares......... 180 259 1,471 3,093 605 547
--------- --------- --------- --------- --------- ---------
--------- --------- --------- --------- --------- ---------
</TABLE>
CONTINUED
68
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS, CONTINUED DECEMBER 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
(Amounts in Thousands)
INTERNATIONAL EQUITY
GULF SOUTH GROWTH FUND INDEX FUND
-------------------------------------- ----------------------
SIX YEAR SIX
MONTHS SEVEN MONTHS ENDED MONTHS YEAR
ENDED ENDED JUNE NOVEMBER ENDED ENDED
DECEMBER 30, 30, DECEMBER JUNE 30,
31, 1996 1996 (A) 1995 (A) 31, 1996 1996
--------- ------------ --------- --------- ---------
<S> <C> <C> <C> <C> <C>
(UNAUDITED) (UNAUDITED)
CAPITAL TRANSACTIONS:
FIDUCIARY SHARES (B):
Proceeds from shares issued...... $ 2,846 $ 20,747 $123,244 $154,310
Proceeds from shares issued in
conversion from Class A
Shares......................... -- 80,504(b) -- --
Dividends reinvested............. 7,857 12 2,520 2,284
Cost of shares redeemed.......... (9,031) (23,690) (92,098) (51,662)
--------- ------------ --------- ---------
Change in net assets from
Fiduciary share transactions... $ 1,672 $ 77,573 $ 33,666 $104,932
--------- ------------ --------- ---------
--------- ------------ --------- ---------
CLASS A SHARES:
Proceeds from shares issued...... $ 1,602 $ 8,112 $ 12,266 $ 2,299 $ 7,069
Dividends reinvested............. 1,821 13,830 321 119 135
Cost of shares redeemed.......... (2,450) (7,224) (12,837) (2,463) (2,083)
Cost of shares redeemed in
conversion to Fiduciary
Shares......................... -- (80,504)(b) -- -- --
--------- ------------ --------- --------- ---------
Change in net assets from Class A
share transactions............. $ 973 $(65,786) $ (250) $ (45) $ 5,121
--------- ------------ --------- --------- ---------
--------- ------------ --------- --------- ---------
CLASS B SHARES:
Proceeds from shares issued...... $ 923 $ 636 $ 1,509 $ 1,809 $ 2,565
Dividends reinvested............. 295 384 8 72 82
Cost of shares redeemed.......... (159) (162) (119) (572) (812)
--------- ------------ --------- --------- ---------
Change in net assets from Class B
share transactions............. $ 1,059 $ 858 $ 1,398 $ 1,309 $ 1,835
--------- ------------ --------- --------- ---------
--------- ------------ --------- --------- ---------
SHARE TRANSACTIONS:
FIDUCIARY SHARES (B):
Issued........................... 282 66 8,317 10,623
Issued in conversion from Class A
Shares......................... -- 8,050(b) -- --
Reinvested....................... 821 1 168 160
Redeemed......................... (880) (360) (6,185) (3,542)
--------- ------------ --------- ---------
Change in Fiduciary Shares....... 223 7,757 2,300 7,241
--------- ------------ --------- ---------
--------- ------------ --------- ---------
CLASS A SHARES:
Issued........................... 159 509 750 154 484
Issued in restatement of net
asset value (c)................ -- 3,555 -- -- --
Reinvested....................... 190 876 21 8 10
Redeemed......................... (245) (466) (761) (167) (143)
Redeemed in conversion to
Fiduciary Shares............... -- (8,050)(b) -- -- --
--------- ------------ --------- --------- ---------
Change in Class A Shares......... 104 (3,576) 10 (5) 351
--------- ------------ --------- --------- ---------
--------- ------------ --------- --------- ---------
CLASS B SHARES:
Issued........................... 93 45 92 125 179
Issued in restatement of net
asset value (c)................ -- 78 -- -- --
Reinvested....................... 31 25 1 5 5
Redeemed......................... (16) (12) (7) (40) (57)
--------- ------------ --------- --------- ---------
Change in Class B Shares......... 108 136 86 90 127
--------- ------------ --------- --------- ---------
--------- ------------ --------- --------- ---------
</TABLE>
- ------------
<TABLE>
<C> <S>
(a) Upon reorganizing as a fund of The One Group, the Paragon Gulf South Growth Fund became the Gulf South Growth Fund.
Capital and share transactions for the periods prior to March 26, 1996 represent the Paragon Gulf South Growth Fund.
</TABLE>
<TABLE>
<C> <S>
(b) Fiduciary Shares of the Gulf South Growth Fund commenced offering on March 26, 1996 upon conversion of certain Class A
Shares to Fiduciary Shares.
</TABLE>
<TABLE>
<C> <S>
(c) Pursuant to its reorganization as a fund of The One Group, the Gulf South Growth Fund issued additional shares at the
close of business March 25, 1996 as a result of restatement of the net asset values of Class A Shares from $15.70 to
$10.00 and Class B Shares from $15.48 to $10.00.
</TABLE>
CONTINUED
69
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS, CONTINUED DECEMBER 31, 1996
(Unaudited)
4. INVESTMENT ADVISORY, ADMINISTRATIVE, AND DISTRIBUTION AGREEMENTS:
The Trust and Banc One Investment Advisors Corporation (the "Adviser") are
parties to an investment advisory agreement under which the Adviser is
entitled to a fee, computed daily and paid monthly, at the annual rate of
0.74% of the average net assets of the Income Equity Fund, the Value Growth
Fund, the Large Company Value Fund, the Disciplined Value Fund, the Large
Company Growth Fund, the Growth Opportunities Fund, and the Gulf South
Growth Fund; 0.65% of the average daily net assets of the Asset Allocation
Fund; 0.55% of the average daily net assets of the International Equity
Index Fund; and 0.30% of the average daily net assets of the Equity Index
Fund.
The Trust and The One Group Services Company (the "Administrator"), a
wholly-owned subsidiary of The BISYS Group, Inc., are parties to an
administrative agreement under which the Administrator provides services for
a fee that is computed daily and paid monthly, at an annual rate of 0.20% on
the first $1.5 billion of Trust net assets (excluding the Investor Growth
Fund, the Investor Growth & Income Fund, the Investor Conservative Fund, and
the Investor Balanced Fund (the "Investor Funds") and the Treasury Only
Money Market Fund and the Government Money Market Fund (the "Institutional
Money Market Funds")); 0.18% on the next $0.5 billion of Trust net assets
(excluding the Investor Funds and the Institutional Money Market Funds); and
0.16% of Trust net assets (excluding the the Investor Funds and the
Institutional Money Market Funds) over $2 billion. The Adviser also serves
as Sub-Administrator to each Fund of the Trust, pursuant to an agreement
between the Administrator and the Adviser. Pursuant to this agreement, the
Adviser performs many of the Administrator's duties, for which the Adviser
receives a fee paid by the Administrator. Prior to March 25, 1996, Goldman
Sachs Asset Management served as administrator of the Gulf South Growth Fund
and the Value Growth Fund. The terms of the current administration agreement
are substantially the same as the former administration agreement.
The Trust and The One Group Services Company (the "Distributor") are parties
to a distribution agreement under which shares of the Funds are sold on a
continuous basis. Class A and Class B Shares are subject to distribution and
shareholder services plans (the "Plans") pursuant to Rule 12b-1 under the
1940 Act. As provided in the Plans, the Trust will pay the Distributor a fee
of 0.35% of the average daily net assets of Class A Shares of each of the
Funds and 1.00% of the average daily net assets of the Class B Shares of
each of the Funds. Currently, the Distributor has voluntarily agreed to
limit payments under the Plans to 0.25% of average daily net assets of the
Class A Shares of each Fund. Up to 0.25% of the fees payable under the Plans
may be used as compensation for shareholder services by the Distributor
and/or financial institutions and intermediaries. Fees paid under the Plans
may be applied by the Distributor toward (i) compensation for its services
in connection with distribution assistance or provision of shareholder
services; or (ii) payments to financial institutions and intermediaries such
as banks (including affiliates of the Adviser), brokers, dealers and other
institutions, including the Distributor's affiliates and subsidiaries as
compensation for services or reimbursement of expenses incurred in
connection with distribution assistance or provision of shareholder
services. Fiduciary Class Shares of each Fund are offered without
distribution fees. For the period ended December 31, 1996, the Distributor
received $3,430,455 from commissions earned on sales of Class A Shares and
redemptions of Class B Shares, of which, the Distributor re-allowed
$2,911,820 to broker-dealers of the Funds.
Prior to January 2, 1996, Premier Investment Advisors, L.L.C. ("Premier")
served as investment adviser and Goldman Sachs & Company served as
distributor to the Value Growth Fund and Gulf South Growth Fund. Pursuant to
the approval of the Board of Trustees of the Paragon on October 31, 1995 and
its shareholders on December 20, 1995, Paragon entered into an investment
advisory agreement with the Adviser and a distribution agreement with the
Distributor effective January 2, 1996. The terms of the investment advisory
agreements with Premier and with the Adviser and the distribution agreements
with Goldman Sachs & Company and the Distributor are substantially the same.
CONTINUED
70
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS, CONTINUED DECEMBER 31, 1996
(Unaudited)
Certain officers of the Trust are affiliated with the Administrator. Such
officers receive no compensation from the Funds for serving in their
respective roles.
The Adviser, the Administrator and the Distributor voluntarily agreed to
waive a portion of their fees. For the period ended December 31, 1996, fees
in the following amounts were waived (amounts in thousands):
<TABLE>
<CAPTION>
12B-1 FEES
INVESTMENT WAIVED
ADVISORY FEES ADMINISTRATION ---------------
WAIVED FEES WAIVED CLASS A
----------------- ----------------- ---------------
<S> <C> <C> <C>
Asset Allocation Fund.................................................. $ 66 $ 46 $ 10
Income Equity Fund..................................................... -- -- 25
Equity Index Fund...................................................... 464 158 22
Value Growth Fund...................................................... 78 -- 18
Large Company Value Fund............................................... -- -- 5
Disciplined Value Fund................................................. -- -- 11
Large Company Growth Fund.............................................. -- -- 36
Growth Opportunities Fund.............................................. -- -- 14
Gulf South Growth Fund................................................. 30 28 9
International Equity Index Fund........................................ -- -- 5
</TABLE>
5. SECURITIES TRANSACTIONS:
The cost of security purchases and the proceeds from the sale of securities
(excluding short-term securities and purchased options) during the period
ended December 31, 1996 were as follows (amounts in thousands):
<TABLE>
<CAPTION>
U.S. GOVERNMENT
SECURITIES OTHER SECURITIES
---------------------- --------------------------
PURCHASES SALES PURCHASES SALES
----------- --------- ------------ ------------
<S> <C> <C> <C> <C>
Asset Allocation Fund............................................... $ 17,321 $ 6,947 $ 52,429 $ 31,714
Income Equity Fund.................................................. -- -- 63,522 54,594
Equity Index Fund................................................... -- -- 83,910 3,500
Value Growth Fund................................................... -- -- 199,612 166,459
Large Company Value Fund............................................ -- -- 271,824 262,186
Disciplined Value Fund.............................................. -- -- 210,332 264,491
Large Company Growth Fund........................................... -- -- 212,874 242,501
Growth Opportunities Fund........................................... -- -- 1,025,460 1,058,950
Gulf South Growth Fund.............................................. -- -- 42,504 51,865
International Equity Index Fund..................................... -- -- 45,756 18,110
</TABLE>
6. FINANCIAL INSTRUMENTS:
Investing in financial instruments such as written options, futures and
sales of forward foreign currency contracts involves risk in excess of the
amounts reflected in the Statement of Assets and Liabilities. The face or
contract amounts reflect the extent of the involvement the Funds have in the
particular class of instrument. Risks associated with these instruments
include an imperfect correlation between the movements in the price of the
instruments and the price of the underlying securities and interest rates,
an illiquid secondary market for the instruments or inability of
counterparties to perform under the terms of the contract, and changes in
the value of currency relative to the U.S. dollar. The Funds enter into
these contracts primarily as a means to hedge against adverse fluctuations
in the value of securities.
CONTINUED
71
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS, CONTINUED DECEMBER 31, 1996
(Unaudited)
The following is a summary of written option activity for the period ended
December 31, 1996 by the Large Company Value Fund (amounts in thousands):
<TABLE>
<CAPTION>
SHARES SUBJECT
TO CONTRACT PREMIUMS
--------------------- -----------
<S> <C> <C>
COVERED CALL OPTIONS
- --------------------------------------------------------------------------------------
Balance at beginning of period...................................................... 590 $ 1,273
Options written..................................................................... 1,093 3,185
Options closed...................................................................... (910) (2,377)
Options expired..................................................................... (289) (324)
Options exercised................................................................... (484) (1,757)
----- -----------
Options outstanding at end of period................................................ -- $ --
----- -----------
----- -----------
PUT OPTIONS
- --------------------------------------------------------------------------------------
Balance at beginning of period...................................................... 90 $ --
Options written..................................................................... 125 345
Options expired..................................................................... (85) --
Options exercised................................................................... (130) (345)
----- -----------
Options outstanding at end of period................................................ -- $ --
----- -----------
----- -----------
</TABLE>
7. CONCENTRATION OF CREDIT RISK:
The Gulf South Growth Fund has a relatively large concentration of
securities invested in companies domiciled in the Southeastern region of the
United States. The Fund may be more susceptible to political, social and
economic events adversely affecting the Southeastern region of the United
States than funds not so concentrated.
The International Equity Index Fund has a relatively large concentration of
securities invested in companies domiciled in Japan. The Fund may be more
susceptible to the political, social and economic events adversely affecting
the Japanese companies than funds not so concentrated.
8. REORGANIZATIONS:
The Trust entered an Agreement and Plan of Reorganization ("Reorganization")
with Paragon pursuant to which all of the assets and liabilities of each
Paragon Fund transferred to a Fund of The One Group in exchange for shares
of the corresponding Fund of The One Group. The Paragon Value Equity Income
Fund transferred its assets and liabilities to the Income Equity Fund. The
Paragon Value Growth Fund and the Paragon Gulf South Growth Fund transferred
their assets and liabilities to the Value Growth Fund and Gulf South Growth
Fund, respectively. The Reorganization, which qualified as a tax-free
exchange for Federal income tax purposes, was
CONTINUED
72
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS, CONTINUED DECEMBER 31, 1996
(Unaudited)
completed on March 25, 1996 following approval by shareholders of Paragon at
a special shareholder meeting. The following is a summary of shares
outstanding, net assets, net asset value per share and unrealized
appreciation immediately before and after the Reorganization (amounts in
thousands except net asset values):
<TABLE>
<CAPTION>
BEFORE REORGANIZATION AFTER
------------------------------ REORGANIZATION
PARAGON VALUE ---------------
EQUITY INCOME INCOME EQUITY INCOME EQUITY
FUND FUND FUND
-------------- -------------- ---------------
<S> <C> <C> <C>
Shares.............................................................. 8,993 13,779 21,674
Net assets.......................................................... $ 136,786 $ 238,679 $ 375,465
Net asset value:
Fiduciary......................................................... $ 17.33 $ 17.33
Class A........................................................... $ 15.21 $ 17.30 $ 17.30
Class B........................................................... $ 15.20 $ 17.33 $ 17.33
Unrealized appreciation............................................. $ 41,324 $ 71,670 $ 112,994
</TABLE>
<TABLE>
<CAPTION>
AFTER
BEFORE REORGANIZATION REORGANIZATION
----------------------------- ---------------
PARAGON VALUE VALUE GROWTH VALUE GROWTH
GROWTH FUND FUND FUND
-------------- ------------- ---------------
<S> <C> <C> <C>
Shares............................................................... 14,849 -- 22,657
Net assets........................................................... $ 226,567 -- $ 226,567
Net asset value:
Fiduciary.......................................................... $ 10.00
Class A............................................................ $ 15.26 $ 10.00*
Class B............................................................ $ 15.21 $ 10.00*
Unrealized appreciation.............................................. $ 48,859 -- $ 48,859
</TABLE>
<TABLE>
<CAPTION>
BEFORE REORGANIZATION AFTER
---------------------------- REORGANIZATION
PARAGON GULF ---------------
SOUTH GULF SOUTH GULF SOUTH
GROWTH FUND GROWTH FUND GROWTH FUND
------------- ------------- ---------------
<S> <C> <C> <C>
Shares................................................................. 6,379 -- 10,012
Net assets............................................................. $ 100,116 -- $ 100,116
Net asset value:
Fiduciary............................................................ $ 10.00
Class A.............................................................. $ 15.70 $ 10.00**
Class B.............................................................. $ 15.48 $ 10.00**
Unrealized appreciation................................................ $ 19,678 -- $ 19,678
</TABLE>
- ---------
<TABLE>
<C> <S>
* Pursuant to its reorganization as a Fund of the One Group, the Fund issued additional shares at
the close of business March 25, 1996 as a result of the restatement of the net asset values of
Class A Shares from $15.26 to $10.00 and Class B Shares from $15.21 to $10.00.
</TABLE>
<TABLE>
<C> <S>
** Pursuant to its reorganization as a Fund of the One Group, the Fund issued additional shares at
the close of business March 25, 1996 as a result of the restatement of the net asset values of
Class A Shares from $15.70 to $10.00 and Class B Shares from $15.48 to $10.00.
</TABLE>
CONTINUED
73
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS, CONTINUED DECEMBER 31, 1996
(Unaudited)
<TABLE>
<C> <S>
On May 22, 1995, the Board of Trustees approved a Plan of Reorganization pursuant to which the
Blue Chip Equity Fund would be merged with and into the Large Company Growth Fund. On September
1, 1995, the Blue Chip Equity Fund transferred all of its assets and liabilities to the Large
Company Growth Fund in exchange for shares of the Large Company Growth Fund. The
reorganization, which qualified as a tax-free exchange for Federal income tax purposes, was
approved by the shareholders of the Blue Chip Equity Fund, at a shareholders' meeting on August
28, 1995. The following is a summary of shares outstanding, net assets, net asset value per
share and unrealized appreciation immediately before and after the reorganization (amounts in
thousands except net asset values):
</TABLE>
<TABLE>
<CAPTION>
AFTER
BEFORE REORGANIZATION REORGANIZATION
----------------------------- ---------------
BLUE CHIP LARGE LARGE
EQUITY COMPANY COMPANY
FUND GROWTH FUND GROWTH FUND
----------- ---------------- ---------------
<S> <C> <C> <C>
Shares................................................................. 2,777 44,457 47,130
Net assets............................................................. $ 36,983 $ 614,499 $ 651,482
Net asset value:
Fiduciary............................................................ $ 13.32 $ 13.80 $ 13.80
Class A.............................................................. $ 13.30 $ 14.17 $ 14.17
Class B.............................................................. $ 13.37 $ 13.96 $ 13.96
Unrealized appreciation................................................ $ 7,227 $ 86,413 $ 93,640
</TABLE>
9. SUBSEQUENT EVENT:
Subsequent to December 31, 1996 net assets of certain common trust funds
managed by the Adviser were exchanged in a tax-free conversion for shares of
the corresponding One Group Funds as follows:
<TABLE>
<CAPTION>
FUND NAME AMOUNT CONVERTED (IN THOUSANDS)
- ----------------------------------------------------------------------------------- ----------------------------------
<S> <C>
One Group Large Company Value...................................................... $ 63,140
One Group Disciplined Value........................................................ 48,248
One Group Asset Allocation......................................................... 37,016
One Group Large Company Growth..................................................... 289,366
One Group Income Equity............................................................ 283,367
</TABLE>
CONTINUED
74
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
ASSET ALLOCATION FUND
-----------------------------------------------------------------------
FIDUCIARY SHARES
-----------------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER --------------------------------------------------------
31, 1996 1996 1995 1994 1993 (A)
----------- ----------- ----------- ----------- -----------
(UNAUDITED)
<S> <C> <C> <C> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 11.71 $ 10.73 $ 9.64 $ 10.06 $ 10.00
----------- ----------- ----------- ----------- -----------
Investment Activities
Net investment income............ 0.22 0.41 0.38 0.29 0.07
Net realized and unrealized gains
(losses) from investments...... 0.66 1.16 1.12 (0.38) 0.06
----------- ----------- ----------- ----------- -----------
Total from Investment
Activities................... 0.88 1.57 1.50 (0.09) 0.13
----------- ----------- ----------- ----------- -----------
Distributions
From net investment income....... (0.22) (0.41) (0.37) (0.29) (0.07)
From net realized gains.......... (0.54) (0.18) (0.04) (0.04) --
----------- ----------- ----------- ----------- -----------
Total Distributions............ (0.76) (0.59) (0.41) (0.33) (0.07)
----------- ----------- ----------- ----------- -----------
NET ASSET VALUE,
END OF PERIOD.................... $ 11.83 $ 11.71 $ 10.73 $ 9.64 $ 10.06
----------- ----------- ----------- ----------- -----------
----------- ----------- ----------- ----------- -----------
Total Return....................... 7.70%(b) 14.87% 16.06% (1.01)% 5.45%(c)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ 68,799 $ 50,323 $ 37,658 $ 42,751 $ 30,441
Ratio of expenses to average net
assets......................... 0.80%(c) 0.94% 1.06% 1.06% 0.90%(c)
Ratio of net investment income to
average net assets............. 3.66%(c) 3.58% 3.72% 2.91% 3.03%(c)
Ratio of expenses to average net
assets*........................ 1.02%(c) 1.19% 1.31% 1.33% 1.34%(c)
Ratio of net investment income to
average net assets*............ 3.44%(c) 3.33% 3.47% 2.64% 2.59%(c)
Portfolio turnover (d)........... 41.11% 73.38% 115.36% 56.55% 4.05%
Average commission rate paid
(e)............................ $ 0.0491 $ 0.0616
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Fiduciary Shares commenced offering on April 5, 1993.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(e) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
75
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
ASSET ALLOCATION FUND
-----------------------------------------------------------------------
CLASS A SHARES
-----------------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER --------------------------------------------------------
31, 1996 1996 1995 1994 1993 (A)
----------- ----------- ----------- ----------- -----------
(UNAUDITED)
<S> <C> <C> <C> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 11.72 $ 10.74 $ 9.65 $ 10.06 $ 10.00
----------- ----------- ----------- ----------- -----------
Investment Activities
Net investment income............ 0.20 0.37 0.35 0.27 0.05
Net realized and unrealized gains
(losses) from investments...... 0.66 1.16 1.13 (0.38) 0.07
----------- ----------- ----------- ----------- -----------
Total from Investment
Activities................... 0.86 1.53 1.48 (0.11) 0.12
----------- ----------- ----------- ----------- -----------
Distributions
From net investment income....... (0.20) (0.37) (0.34) (0.26) (0.06)
In excess of net investment
income......................... -- -- (0.01) -- --
From net realized gains.......... (0.54) (0.18) (0.04) (0.04) --
----------- ----------- ----------- ----------- -----------
Total Distributions............ (0.74) (0.55) (0.39) (0.30) (0.06)
----------- ----------- ----------- ----------- -----------
NET ASSET VALUE,
END OF PERIOD.................... $ 11.84 $ 11.72 $ 10.74 $ 9.65 $ 10.06
----------- ----------- ----------- ----------- -----------
----------- ----------- ----------- ----------- -----------
Total Return (Excludes Sales
Charge).......................... 7.47%(b) 14.48% 15.76% (1.19)% 5.23%(c)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ 22,455 $ 17,849 $ 4,745 $ 1,691 $ 571
Ratio of expenses to average net
assets......................... 1.05%(c) 1.19% 1.31% 1.33% 1.15%(c)
Ratio of net investment income to
average net assets............. 3.42%(c) 3.33% 3.57% 2.68% 2.84%(c)
Ratio of expenses to average net
assets*........................ 1.37%(c) 1.54% 1.66% 1.67% 1.62%(c)
Ratio of net investment income to
average net assets*............ 3.10%(c) 2.98% 3.23% 2.34% 2.37%(c)
Portfolio turnover (d)........... 41.11% 73.38% 115.36% 56.55% 4.05%
Average commission rate paid
(e)............................ $ 0.0491 $ 0.0616
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) The Fund commenced operations on April 2, 1993.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(e) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
76
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
ASSET ALLOCATION FUND
--------------------------------------------------------
CLASS B SHARES
--------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER -----------------------------------------
31, 1996 1996 1995 1994 (A)
----------- ----------- ----------- -----------
(UNAUDITED)
<S> <C> <C> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 11.76 $ 10.76 $ 9.67 $ 10.37
----------- ----------- ----------- -----------
Investment Activities
Net investment income............ 0.15 0.28 0.27 0.08
Net realized and unrealized gains
(losses) from investments...... 0.67 1.18 1.14 (0.70)
----------- ----------- ----------- -----------
Total from Investment
Activities................... 0.82 1.46 1.41 (0.62)
----------- ----------- ----------- -----------
Distributions
From net investment income....... (0.16) (0.28) (0.27) (0.08)
In excess of net investment
income......................... -- -- (0.01) --
From net realized gains.......... (0.54) (0.18) (0.04) --
----------- ----------- ----------- -----------
Total Distributions............ (0.70) (0.46) (0.32) (0.08)
----------- ----------- ----------- -----------
NET ASSET VALUE,
END OF PERIOD.................... $ 11.88 $ 11.76 $ 10.76 $ 9.67
----------- ----------- ----------- -----------
----------- ----------- ----------- -----------
Total Return (Excludes Sales
Charge).......................... 7.04%(b) 13.79% 14.90% (5.98)%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ 26,608 $ 18,575 $ 3,019 $ 1,862
Ratio of expenses to average net
assets......................... 1.80%(c) 1.94% 2.07% 2.40%(c)
Ratio of net investment income to
average net assets............. 2.66%(c) 2.58% 2.77% 1.99%(c)
Ratio of expenses to average net
assets*........................ 2.02%(c) 2.19% 2.31% 2.40%(c)
Ratio of net investment income to
average net assets*............ 2.44%(c) 2.33% 2.52% 1.99%(c)
Portfolio turnover (d)........... 41.11% 73.38% 115.36% 56.55%
Average commission rate paid
(e)............................ $ 0.0491 $ 0.0616
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Class B Shares commenced offering on January 14, 1994.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(e) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
77
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
ASSET ALLOCATION
FUND
-----------------
SERVICE SHARES
(A)
-----------------
YEAR ENDED JUNE
30, 1995
-----------------
<S> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD...................................................................... $ 9.62
------
Investment Activities
Net investment income.................................................................... 0.22
Net realized and unrealized gains from investments....................................... 1.05
------
Total from Investment Activities....................................................... 1.27
------
Distributions
Net investment income.................................................................... (0.22)
In excess of net investment income....................................................... (0.02)
In excess of net realized gains.......................................................... (0.04)
------
Total Distributions.................................................................... (0.28)
------
NET ASSET VALUE,
END OF PERIOD............................................................................ $ 10.61
------
------
Total Return............................................................................... (a)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000)........................................................ $ --
Ratio of expenses to average net assets.................................................. 1.72%(b)
Ratio of net investment income to average net assets..................................... 3.06%(b)
Ratio of expenses to average net assets*................................................. 1.98%(b)
Ratio of net investment income to average net assets*.................................... 2.79%(b)
Portfolio Turnover (c)................................................................... 115.36%
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) The Service Shares commenced offering on July 15, 1994 when they were designated as Retirement Shares. On
April 4, 1995, the name ofthe Retirement Shares was changed to Service Shares. As of June 1, 1995, Service
Shares transferred to Class A Shares, and as of June 30, 1995, there were no shareholders in the Service
Class. The total return for the period from July 15, 1994 to June 1, 1995 for the Service Shares was
13.25%.
</TABLE>
<TABLE>
<C> <S>
(b) Annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
78
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
INCOME EQUITY FUND
--------------------------------------------------------------------------------------
FIDUCIARY SHARES
--------------------------------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER -----------------------------------------------------------------------
31, 1996 1996 1995 1994 1993 1992
----------- ----------- ----------- ----------- ----------- -----------
(UNAUDITED)
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 17.65 $ 15.13 $ 13.22 $ 13.21 $ 12.24 $ 11.35
----------- ----------- ----------- ----------- ----------- -----------
Investment Activities
Net investment income............ 0.19 0.40 0.40 0.39 0.43 0.49
Net realized and unrealized gains
from investments............... 1.20 3.22 2.28 0.01 0.97 0.90
----------- ----------- ----------- ----------- ----------- -----------
Total from Investment
Activities................... 1.39 3.62 2.68 0.40 1.40 1.39
----------- ----------- ----------- ----------- ----------- -----------
Distributions
From net investment income....... (0.19) (0.40) (0.40) (0.39) (0.43) (0.50)
From net realized gains.......... (0.61) (0.70) (0.37) -- -- --
----------- ----------- ----------- ----------- ----------- -----------
Total Distributions............ (0.80) (1.10) (0.77) (0.39) (0.43) (0.50)
----------- ----------- ----------- ----------- ----------- -----------
NET ASSET VALUE,
END OF PERIOD.................... $ 18.24 $ 17.65 $ 15.13 $ 13.22 $ 13.21 $ 12.24
----------- ----------- ----------- ----------- ----------- -----------
----------- ----------- ----------- ----------- ----------- -----------
Total Return....................... 7.97%(a) 24.53% 21.04% 3.27% 11.56% 12.36%
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $319,259 $ 321,827 $ 170,919 $ 198,787 $ 153,144 $ 125,050
Ratio of expenses to average net
assets......................... 0.97%(b) 0.98% 1.01% 0.98% 0.90% 0.70%
Ratio of net investment income to
average net assets............. 2.13%(b) 2.44% 2.85% 3.18% 3.37% 4.12%
Ratio of expenses to average net
assets*........................ 0.97%(b) 1.01% 1.01% 1.05% 1.07% 1.23%
Ratio of net investment income to
average net assets*............ 2.13%(b) 2.41% 2.85% 3.11% 3.20% 3.59%
Portfolio turnover (c)........... 14.12% 14.92% 4.03% 22.69% 7.53% 5.99%
Average commission rate paid
(d)............................ $ 0.0668 $ 0.0673
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(b) Annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(d) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
79
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
INCOME EQUITY FUND
--------------------------------------------------------------------------------------
CLASS A SHARES
--------------------------------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER -----------------------------------------------------------------------
31, 1996 1996 1995 1994 1993 1992 (E)
----------- ----------- ----------- ----------- ----------- -----------
(UNAUDITED)
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 17.64 $ 15.11 $ 13.20 $ 13.20 $ 12.23 $ 12.34
----------- ----------- ----------- ----------- ----------- -----------
Investment Activities
Net investment income............ 0.17 0.38 0.03 0.36 0.40 0.20
Net realized and unrealized gains
(losses) from investments...... 1.20 3.20 2.29 -- 0.98 (0.10)
----------- ----------- ----------- ----------- ----------- -----------
Total from Investment
Activities................... 1.37 3.58 2.32 0.36 1.38 0.10
----------- ----------- ----------- ----------- ----------- -----------
Distributions
From net investment income....... (0.17) (0.35) (0.03) (0.34) (0.41) (0.21)
In excess of net investment
income......................... -- -- (0.01) (0.02) -- --
From net realized gains.......... (0.61) (0.70) (0.37) -- -- --
----------- ----------- ----------- ----------- ----------- -----------
Total Distributions............ (0.78) (1.05) (0.41) (0.36) (0.41) (0.21)
----------- ----------- ----------- ----------- ----------- -----------
NET ASSET VALUE,
END OF PERIOD.................... $ 18.23 $ 17.64 $ 15.11 $ 13.20 $ 13.20 $ 12.23
----------- ----------- ----------- ----------- ----------- -----------
----------- ----------- ----------- ----------- ----------- -----------
Total Return (Excludes Sales
Charge).......................... 7.76%(a) 24.23% 20.79% 2.95% 11.38% 2.16%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ 54,904 $ 44,284 $ 13,793 $ 12,054 $ 9,513 $ 118
Ratio of expenses to average net
assets......................... 1.23%(b) 1.23% 1.26% 1.23% 1.11% 1.29%(b)
Ratio of net investment income to
average net assets............. 1.89%(b) 2.19% 2.61% 3.01% 3.32% 3.97%(b)
Ratio of expenses to average net
assets*........................ 1.33%(b) 1.36% 1.36% 1.40% 1.43% 1.49%(b)
Ratio of net investment income to
average net assets*............ 1.79%(b) 2.06% 2.51% 2.84% 3.00% 3.77%(b)
Portfolio turnover (c)........... 14.12% 14.92% 4.03% 22.69% 7.53% 5.99%
Average commission rate paid
(d)............................ $ 0.0668 $ 0.0673
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(b) Annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(d) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
<TABLE>
<C> <S>
(e) Class A Shares commenced offering on February 18, 1992.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
80
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
INCOME EQUITY FUND
--------------------------------------------------------
CLASS B SHARES
--------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER -----------------------------------------
31, 1996 1996 1995 1994 (A)
----------- ----------- ----------- -----------
(UNAUDITED)
<S> <C> <C> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 17.68 $ 15.14 $ 13.23 $ 13.83
----------- ----------- ----------- -----------
Investment Activities
Net investment income............ 0.10 0.24 0.26 0.11
Net realized and unrealized gains
(losses) from investments...... 1.19 3.23 2.29 (0.60)
----------- ----------- ----------- -----------
Total from Investment
Activities................... 1.29 3.47 2.55 (0.49)
----------- ----------- ----------- -----------
Distributions
From net investment income....... (0.10) (0.23) (0.25) (0.11)
In excess of net investment
income......................... -- -- (0.02) --
From net realized gains.......... (0.61) (0.70) (0.37) --
----------- ----------- ----------- -----------
Total Distributions............ (0.71) (0.93) (0.64) (0.11)
----------- ----------- ----------- -----------
NET ASSET VALUE,
END OF PERIOD.................... $ 18.26 $ 17.68 $ 15.14 $ 13.23
----------- ----------- ----------- -----------
----------- ----------- ----------- -----------
Total Return (Excludes Sales
Charge).......................... 7.31%(b) 23.41% 19.91% (3.37)%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ 45,771 $ 29,169 $ 3,468 $ 1,714
Ratio of expenses to average net
assets......................... 1.98%(c) 1.98% 2.01% 1.95%(c)
Ratio of net investment income to
average net assets............. 1.14%(c) 1.44% 1.88% 2.70%(c)
Ratio of expenses to average net
assets*........................ 1.98%(c) 2.01% 2.02% 1.95%(c)
Ratio of net investment income to
average net assets*............ 1.14%(c) 1.41% 1.87% 2.70%(c)
Portfolio turnover (d)........... 14.12% 14.92% 4.03% 22.69%
Average commission rate paid
(e)............................ $ 0.0668 $ 0.0673
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Class B Shares commenced offering on January 14, 1994.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(e) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
81
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
EQUITY INDEX FUND
--------------------------------------------------------------------------------------
FIDUCIARY SHARES
--------------------------------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER -----------------------------------------------------------------------
31, 1996 1996 1995 1994 1993 1992 (E)
----------- ----------- ----------- ----------- ----------- -----------
(UNAUDITED)
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 16.66 $ 14.03 $ 11.59 $ 11.92 $ 10.92 $ 10.00
----------- ----------- ----------- ----------- ----------- -----------
Investment Activities
Net investment income............ 0.18 0.33 0.32 0.29 0.30 0.26
Net realized and unrealized gains
(losses) from investments...... 1.74 3.16 2.59 (0.20) 1.13 0.95
----------- ----------- ----------- ----------- ----------- -----------
Total from Investment
Activities................... 1.92 3.49 2.91 0.09 1.43 1.21
----------- ----------- ----------- ----------- ----------- -----------
Distributions
From net investment income....... (0.18) (0.33) (0.29) (0.29) (0.30) (0.26)
In excess of net investment
income......................... -- (0.01) (0.02) (0.04) -- --
From net realized gains.......... (0.15) (0.52) (0.16) (0.09) (0.13) (0.03)
----------- ----------- ----------- ----------- ----------- -----------
Total Distributions............ (0.33) (0.86) (0.47) (0.42) (0.43) (0.29)
----------- ----------- ----------- ----------- ----------- -----------
NET ASSET VALUE,
END OF PERIOD.................... $ 18.25 $ 16.66 $ 14.03 $ 11.59 $ 11.92 $ 10.92
----------- ----------- ----------- ----------- ----------- -----------
----------- ----------- ----------- ----------- ----------- -----------
Total Return....................... 11.55%(a) 25.47% 25.79% 0.63% 13.04% 12.14%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $398,706 $ 321,058 $ 234,895 $ 165,370 $ 96,446 $ 62,150
Ratio of expenses to average net
assets......................... 0.28%(b) 0.30% 0.33% 0.46% 0.50% 0.73%(b)
Ratio of net investment income to
average net assets............. 2.06%(b) 2.18% 2.57% 2.44% 2.46% 2.43%(b)
Ratio of expenses to average net
assets*........................ 0.55%(b) 0.59% 0.66% 0.59% 0.87% 1.16%(b)
Ratio of net investment income to
average net assets*............ 1.79%(b) 1.89% 2.24% 2.31% 2.09% 2.00%(b)
Portfolio turnover (c)........... 0.80% 9.08% 2.71% 11.81% 2.71% 21.90%
Average commission rate paid
(d)............................ $ 0.0439 $ 0.0490
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(b) Annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(d) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
<TABLE>
<C> <S>
(e) The Fund commenced operations on July 2, 1991.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
82
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
EQUITY INDEX FUND
--------------------------------------------------------------------------------------
CLASS A SHARES
--------------------------------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER -----------------------------------------------------------------------
31, 1996 1996 1995 1994 1993 1992 (E)
----------- ----------- ----------- ----------- ----------- -----------
(UNAUDITED)
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 16.67 $ 14.02 $ 11.59 $ 11.91 $ 10.92 $ 10.94
----------- ----------- ----------- ----------- ----------- -----------
Investment Activities
Net investment income............ 0.15 0.27 0.29 0.28 0.30 0.08
Net realized and unrealized gains
(losses) from investments...... 1.73 3.18 2.58 (0.20) 1.10 --
----------- ----------- ----------- ----------- ----------- -----------
Total from Investment
Activities................... 1.88 3.45 2.87 0.08 1.40 0.08
----------- ----------- ----------- ----------- ----------- -----------
Distributions
From net investment income....... (0.15) (0.27) (0.28) (0.27) (0.28) (0.10)
In excess of net investment
income......................... -- (0.01) -- (0.04) -- --
From net realized gains.......... (0.15) (0.52) (0.16) (0.09) (0.13) --
----------- ----------- ----------- ----------- ----------- -----------
Total Distributions............ (0.30) (0.80) (0.44) (0.40) (0.41) (0.10)
----------- ----------- ----------- ----------- ----------- -----------
NET ASSET VALUE,
END OF PERIOD.................... $ 18.25 $ 16.67 $ 14.02 $ 11.59 $ 11.91 $ 10.92
----------- ----------- ----------- ----------- ----------- -----------
----------- ----------- ----------- ----------- ----------- -----------
Total Return (Excludes Sales
Charge).......................... 11.33%(a) 25.16% 25.43% 0.56% 12.75% 1.32%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ 54,186 $ 32,186 $ 3,003 $ 1,416 $ 512 $ 5
Ratio of expenses to average net
assets......................... 0.53%(b) 0.55% 0.56% 0.62% 0.52% 1.09%(b)
Ratio of net investment income to
average net assets............. 1.82%(b) 1.93% 2.38% 2.37% 2.51% 1.97%(b)
Ratio of expenses to average net
assets*........................ 0.90%(b) 0.94% 1.01% 0.94% 0.99% 1.27%(b)
Ratio of net investment income to
average net assets*............ 1.45%(b) 1.54% 1.94% 2.05% 2.04% 1.79%(b)
Portfolio turnover (c)........... 0.80% 9.08% 2.71% 11.81% 2.71% 21.90%
Average commission rate paid
(d)............................ $ 0.0439 $ 0.0490
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(b) Annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(d) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
<TABLE>
<C> <S>
(e) Class A Shares commenced offering on February 18, 1992.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
83
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
EQUITY INDEX FUND
--------------------------------------------------------
CLASS B SHARES
--------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER -----------------------------------------
31, 1996 1996 1995 1994 (A)
----------- ----------- ----------- -----------
(UNAUDITED)
<S> <C> <C> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 16.68 $ 14.05 $ 11.61 $ 12.39
----------- ----------- ----------- -----------
Investment Activities
Net investment income............ 0.09 0.16 0.18 0.09
Net realized and unrealized gains
(losses) from investments...... 1.74 3.16 2.61 (0.78)
----------- ----------- ----------- -----------
Total from Investment
Activities................... 1.83 3.32 2.79 (0.69)
----------- ----------- ----------- -----------
Distributions
From net investment income....... (0.10) (0.16) (0.19) (0.09)
In excess of net investment
income......................... -- (0.01) -- --
From net realized gains.......... (0.15) (0.52) (0.16) --
----------- ----------- ----------- -----------
Total Distributions............ (0.25) (0.69) (0.35) (0.09)
----------- ----------- ----------- -----------
NET ASSET VALUE,
END OF PERIOD.................... $ 18.26 $ 16.68 $ 14.05 $ 11.61
----------- ----------- ----------- -----------
----------- ----------- ----------- -----------
Total Return (Excludes Sales
Charge).......................... 10.97%(b) 24.05% 24.58% (5.57)%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ 83,311 $ 38,538 $ 1,408 $ 248
Ratio of expenses to average net
assets......................... 1.28%(c) 1.30% 1.34% 1.10%(c)
Ratio of net investment income to
average net assets............. 1.07%(c) 1.18% 1.60% 2.08%(c)
Ratio of expenses to average net
assets*........................ 1.55%(c) 1.59% 1.67% 1.15%(c)
Ratio of net investment income to
average net assets*............ 0.80%(c) 0.89% 1.27% 2.03%(c)
Portfolio turnover (d)........... 0.80% 9.08% 2.71% 11.81%
Average commission rate paid
(e)............................ $ 0.0439 $ 0.0490
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Class B Shares commenced offering on January 14, 1994.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(e) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
84
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
EQUITY INDEX FUND
------------------------------
SERVICE SHARES (A)
------------------------------
YEAR ENDED JUNE 30,
------------------------------
1995 1994
------------- -------------
NET ASSET VALUE,
BEGINNING OF PERIOD............................. $ 11.51 $ 12.36
<S> <C> <C>
------ ------
Investment Activities
Net investment income........................... 0.13 0.05
Net realized and unrealized gains (losses) from
investments................................... 2.36 (0.85)
------ ------
Total from Investment Activities.............. 2.49 (0.80)
------ ------
Distributions
Net investment income........................... (0.19) (0.05)
In excess of net investment income.............. (0.01) --
Net realized gains.............................. (0.10) --
In excess of net realized gains................. (0.06) --
------ ------
Total Distributions........................... (0.36) (0.05)
------ ------
NET ASSET VALUE,
END OF PERIOD................................... $ 13.64 $ 11.51
------ ------
------ ------
Total Return...................................... (a) (6.52)%(b)
RATIOS/SUPPLEMENTARY DATA:........................
Net Assets at end of period (000)............... $ -- $ 11
Ratio of expenses to average net assets......... 1.01%(c) 1.42%(c)
Ratio of net investment income to average net
assets........................................ 2.18%(c) 1.83%(c)
Ratio of expenses to average net assets*........ 1.37%(c) 1.69%(c)
Ratio of net investment income to average net
assets*....................................... 1.82%(c) 1.56%(c)
Portfolio Turnover (d).......................... 2.71% 11.81%
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) The Service Shares commenced offering on January 17, 1994 when they were designated as Retirement Shares.
On April 4, 1995, the name ofthe Retirement Shares was changed to Service Shares. As of June 1, 1995,
Service Shares transferred to Class A Shares, and as of June 30, 1995, there were no shareholders in the
Service Class. The return for the period from July 1, 1994 to June 1, 1995 for the Service Shares was
22.83%.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
85
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
VALUE GROWTH FUND
--------------------------------------
FIDUCIARY SHARES
--------------------------------------
SIX MONTHS ENDED MARCH 26, 1996 TO
DECEMBER 31, 1996 JUNE 30, 1996 (A)
----------------- -----------------
<S> <C> <C>
(UNAUDITED)
NET ASSET VALUE,
BEGINNING OF PERIOD................... $ 10.39 $ 10.00
-------- --------
Investment Activities
Net investment income................. 0.06 0.03
Net realized and unrealized gains from
investments......................... 1.01 0.39
-------- --------
Total from Investment Activities.... 1.07 0.42
-------- --------
Distributions
From net investment income............ (0.06) (0.03)
From net realized gains............... (1.73) --
-------- --------
Total Distributions................. (1.79) (0.03)
-------- --------
NET ASSET VALUE,
END OF PERIOD......................... $ 9.67 $ 10.39
-------- --------
-------- --------
Total Return............................ 10.37%(c) 10.48%(b)(c)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000)..... $239,257 $191,212
Ratio of expenses to average net
assets.............................. 0.96%(d) 0.95%(d)
Ratio of net investment income to
average net assets.................. 1.20%(d) 1.13%(d)
Ratio of expenses to average net
assets*............................. 1.02%(d) 1.04%(d)
Ratio of net investment income to
average net assets*................. 1.14%(d) 1.04%(d)
Portfolio turnover (e)................ 73.60% 65.21%
Average commission rate paid (f)...... $ 0.0438 $ 0.0373
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Period from date reorganized as a fund of The One Group.
</TABLE>
<TABLE>
<C> <S>
(b) Represents total return for Class A Shares from December 1, 1995 through March 25, 1996 plus total return
for Fiduciary Shares for the period from March 26, 1996 through June 30, 1996
</TABLE>
<TABLE>
<C> <S>
(c) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Annualized.
</TABLE>
<TABLE>
<C> <S>
(e) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(f) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
86
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
VALUE GROWTH FUND
--------------------------------------------------------------------------------
CLASS A SHARES
--------------------------------------------------------------------------------
SIX MONTHS
ENDED SEVEN MONTHS YEAR ENDED NOVEMBER 30,
DECEMBER 31, ENDED JUNE 30, --------------------------------------------
1996 1996 (A) 1995 1994 1993
-------------- -------------- ------------ ------------ ------------
<S> <C> <C> <C> <C> <C>
(UNAUDITED)
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 10.39 $ 11.15 $ 9.00 $ 10.02 $ 9.42
------- ------- ------------ ------------ ------------
Investment Activities
Net investment income............ 0.05 0.94 0.12 0.13 0.11
Net realized and unrealized gains
(losses) from investments...... 1.00 0.08 2.44 (0.56) 0.83
------- ------- ------------ ------------ ------------
Total from Investment
Activities................... 1.05 1.02 2.56 (0.43) 0.94
------- ------- ------------ ------------ ------------
Distributions
From net investment income....... (0.05) (0.94) (0.12) (0.14) (0.12)
In excess of net investment
income......................... -- (0.01) -- -- --
From net realized gains.......... (1.73) (0.83) (0.29) (0.45) (0.22)
------- ------- ------------ ------------ ------------
Total Distributions............ (1.78) (1.78) (0.41) (0.59) (0.34)
------- ------- ------------ ------------ ------------
NET ASSET VALUE,
END OF PERIOD.................... $ 9.66 $ 10.39 $ 11.15 $ 9.00 $ 10.02
------- ------- ------------ ------------ ------------
------- ------- ------------ ------------ ------------
Total Return (Excludes Sales
Charge).......................... 10.12%(b) 10.40%(b) 29.57% (4.32)% 10.13%
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ 38,790 $ 35,984 $ 217,978 $ 173,198 $ 171,141
Ratio of expenses to average net
assets......................... 1.21%(c) 0.97%(c) 0.95% 0.96% 0.96%
Ratio of net investment income to
average net assets............. 0.95%(c) 0.85%(c) 1.25% 1.34% 1.21%
Ratio of expenses to average net
assets*........................ 1.37%(c) 1.05%(c) 0.95% 0.96% 0.96%
Ratio of net investment income to
average net assets*............ 0.79%(c) 0.77%(c) 1.25% 1.34% 1.21%
Portfolio turnover (d)........... 73.60% 65.21% 77.00% 53.00% 66.00%
Average commission rate paid
(e)............................ $ 0.0438 $ 0.0373
<CAPTION>
1992
------------
<S> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 7.80
------------
Investment Activities
Net investment income............ 0.11
Net realized and unrealized gains
(losses) from investments...... 1.75
------------
Total from Investment
Activities................... 1.86
------------
Distributions
From net investment income....... (0.10)
In excess of net investment
income......................... --
From net realized gains.......... (0.14)
------------
Total Distributions............ (0.24)
------------
NET ASSET VALUE,
END OF PERIOD.................... $ 9.42
------------
------------
Total Return (Excludes Sales
Charge).......................... 24.27%
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ 133,614
Ratio of expenses to average net
assets......................... 0.97%
Ratio of net investment income to
average net assets............. 1.25%
Ratio of expenses to average net
assets*........................ 0.97%
Ratio of net investment income to
average net assets*............ 1.25%
Portfolio turnover (d)........... 43.00%
Average commission rate paid
(e)............................
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Upon reorganizing as a fund of The One Group, the Paragon Value Growth Fund became the Value Growth Fund.
Financial highlights for the periods prior to March 26, 1996 represent the Paragon Value Growth Fund. The
per share data for the periods prior to March 26, 1996 have been restated to reflect the impact of
restatement of net asset value from $15.26 to 10.00 effective March 26, 1996.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(e) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
87
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
VALUE GROWTH FUND
-------------------------------------------------------------------------
CLASS B SHARES
-------------------------------------------------------------------------
SIX MONTHS SEVEN MONTHS SEPTEMBER 9,
ENDED ENDED YEAR ENDED 1994 TO
DECEMBER 31, JUNE 30, NOVEMBER 30, NOVEMBER 30,
1996 1996 (A) 1995 1994 (B)
------------- ------------- ------------- -------------
<S> <C> <C> <C> <C>
(UNAUDITED)
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 10.39 $ 11.16 $ 9.01 $ 9.85
------------- ------------- ------ ------
Investment Activities
Net investment income............ 0.01 0.91 0.05 0.02
Net realized and unrealized gains
(losses) from investments...... 0.99 0.07 2.46 (0.84)
------------- ------------- ------ ------
Total from Investment
Activities................... 1.00 0.98 2.51 (0.82)
------------- ------------- ------ ------
Distributions
From net investment income....... (0.01) (0.91) (0.07) (0.02)
In excess of net investment
income......................... -- (0.01) -- --
From net realized gains.......... (1.73) (0.83) (0.29) --
------------- ------------- ------ ------
Total Distributions............ (1.74) (1.75) (0.36) (0.02)
------------- ------------- ------ ------
NET ASSET VALUE,
END OF PERIOD.................... $ 9.65 $ 10.39 $ 11.16 $ 9.01
------------- ------------- ------ ------
------------- ------------- ------ ------
Total Return (Excludes Sales
Charge).......................... 9.70%(c) 9.96%(c) 28.74% (8.31)%(c)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ 6,638 $ 4,673 $ 2,923 $ 412
Ratio of expenses to average net
assets......................... 2.09%(d) 1.86%(d) 1.70% 1.71%(d)
Ratio of net investment income to
average net assets............. 0.21%(d) 0.13%(d) 0.38% 0.76%(d)
Ratio of expenses to average net
assets*........................ 2.16%(d) 1.94%(d) 1.70% 1.71%(d)
Ratio of net investment income to
average net assets*............ 0.14%(d) 0.05%(d) 0.38% 0.76%(d)
Portfolio turnover (d)........... 73.60% 65.21% 77.00% 53.00%
Average commission rate paid
(e)............................ $ 0.0438 $ 0.0373
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Upon reorganizing as a fund of The One Group, the Paragon Value Growth Fund became the Value Growth Fund.
Financial highlights for the periods prior to March 26, 1996 represent the Paragon Value Growth Fund. The
per share data for the periods prior to March 26, 1996 have been restated to reflect the impact of
restatement of net asset value from $15.21 to 10.00 effective March 26, 1996.
</TABLE>
<TABLE>
<C> <S>
(b) Class B Shares commenced offering September 9, 1994.
</TABLE>
<TABLE>
<C> <S>
(c) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Annualized.
</TABLE>
<TABLE>
<C> <S>
(e) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(f) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
88
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
LARGE COMPANY VALUE FUND
-------------------------------------------------------------------------
FIDUCIARY SHARES
-------------------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER 31, --------------------------------------------------------
1996 1996 1995 1994 1993 1992
------------- -------- -------- -------- -------- --------
<S> <C> <C> <C> <C> <C> <C>
(UNAUDITED)
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 12.83 $ 12.87 $ 11.34 $ 11.64 $ 11.34 $ 10.07
------------- -------- -------- -------- -------- --------
Investment Activities
Net investment income............ 0.13 0.31 0.31 0.20 0.18 0.21
Net realized and unrealized gains
(losses) from investments...... 1.21 1.20 2.18 (0.01) 0.58 1.34
------------- -------- -------- -------- -------- --------
Total from Investment
Activities................... 1.34 1.51 2.49 0.19 0.76 1.55
------------- -------- -------- -------- -------- --------
Distributions
From net investment income....... (0.13) (0.31) (0.32) (0.19) (0.18) (0.21)
From net realized gains.......... (1.06) (1.24) (0.64) (0.30) (0.28) (0.07)
------------- -------- -------- -------- -------- --------
Total Distributions............ (1.19) (1.55) (0.96) (0.49) (0.46) (0.28)
------------- -------- -------- -------- -------- --------
NET ASSET VALUE,
END OF PERIOD.................... $ 12.98 $ 12.83 $ 12.87 $ 11.34 $ 11.64 $ 11.34
------------- -------- -------- -------- -------- --------
------------- -------- -------- -------- -------- --------
Total Return....................... 10.50%(a) 12.71% 23.42% 1.59% 6.73% 15.53%
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $610,420 $584,527 $365,376 $169,127 $132,833 $ 62,075
Ratio of expenses to average net
assets......................... 0.96%(b) 0.97% 1.00% 0.95% 0.86% 0.82%
Ratio of net investment income to
average net assets............. 2.06%(b) 2.43% 2.74% 1.72% 1.62% 1.91%
Ratio of expenses to average net
assets*........................ 0.96%(b) 0.98% 1.01% 1.02% 1.12% 1.34%
Ratio of net investment income to
average net assets*............ 2.06%(b) 2.42% 2.73% 1.65% 1.36% 1.39%
Portfolio turnover (c)........... 38.86% 186.84% 203.13% 111.72% 51.75% 55.90%
Average commission rate paid
(d)............................ $0.0580 $ 0.0415
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(b) Annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(d) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
89
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
LARGE COMPANY VALUE FUND
----------------------------------------------------------------------------
CLASS A SHARES
----------------------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER 31, -----------------------------------------------------------
1996 1996 1995 1994 1993 1992 (E)
------------- -------- -------- -------- -------- -----------
<S> <C> <C> <C> <C> <C> <C>
(UNAUDITED)
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 12.87 $ 12.89 $ 11.34 $ 11.64 $ 11.33 $ 11.42
------------- -------- -------- -------- -------- -----------
Investment Activities
Net investment income............ 0.11 0.27 0.28 0.17 0.16 0.07
Net realized and unrealized gains
(losses) from investments...... 1.22 1.22 2.20 (0.01) 0.59 (0.08)
------------- -------- -------- -------- -------- -----------
Total from Investment
Activities..................... 1.33 1.49 2.48 0.16 0.75 (0.01)
------------- -------- -------- -------- -------- -----------
Distributions
From net investment income....... (0.12) (0.27) (0.27) (0.16) (0.16) (0.08)
In excess of net investment
income......................... -- -- (0.02) -- -- --
From net realized gains.......... (1.06) (1.24) (0.64) (0.30) (0.28) --
------------- -------- -------- -------- -------- -----------
Total Distributions............ (1.18) (1.51) (0.93) (0.46) (0.44) (0.08)
------------- -------- -------- -------- -------- -----------
NET ASSET VALUE,
END OF PERIOD.................... $ 13.02 $ 12.87 $ 12.89 $ 11.34 $ 11.64 $ 11.33
------------- -------- -------- -------- -------- -----------
------------- -------- -------- -------- -------- -----------
Total Return (Excludes Sales
Charge)........................... 10.36%(a) 12.40% 22.64% 1.35% 6.64% (0.33)%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $11,929 $ 9,380 $ 3,481 $ 698 $ 451 $ 12
Ratio of expenses to average net
assets......................... 1.21%(b) 1.22% 1.25% 1.20% 1.10% 1.02%(b)
Ratio of net investment income to
average net assets............. 1.79%(b) 2.18% 2.52% 1.57% 1.41% 2.12%(b)
Ratio of expenses to average net
assets*........................ 1.31%(b) 1.33% 1.37% 1.37% 1.50% 1.22%(b)
Ratio of net investment income to
average net assets*............ 1.69%(b) 2.07% 2.41% 1.40% 1.01% 1.92%(b)
Portfolio turnover (c)........... 38.86% 186.84% 203.13% 111.72% 51.75% 55.90%
Average commission rate paid
(d)............................ $0.0580 $ 0.0415
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(b) Annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(d) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
<TABLE>
<C> <S>
(e) Class A Shares commenced offering on February 18, 1992.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
90
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
LARGE COMPANY VALUE FUND
-------------------------------------------------
CLASS B SHARES
-------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER -----------------------------------
31, 1996 1996 1995 1994 (A)
---------- -------- -------- -----------
<S> <C> <C> <C> <C>
(UNAUDITED)
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 12.98 $ 12.96 $ 11.41 $ 11.87
---------- -------- -------- -----------
Investment Activities
Net investment income............ 0.07 0.18 0.17 0.05
Net realized and unrealized gains
(losses) from investments...... 1.21 1.26 2.19 (0.46)
---------- -------- -------- -----------
Total from Investment
Activities................... 1.28 1.44 2.36 (0.41)
---------- -------- -------- -----------
Distributions
From net investment income....... (0.08) (0.18) (0.17) (0.05)
From net realized gains.......... (1.06) (1.24) (0.64) --
---------- -------- -------- -----------
Total Distributions............ (1.14) (1.42) (0.81) (0.05)
---------- -------- -------- -----------
NET ASSET VALUE,
END OF PERIOD.................... $ 13.12 $ 12.98 $ 12.96 $ 11.41
---------- -------- -------- -----------
---------- -------- -------- -----------
Total Return (Excludes Sales
Charge)........................... 9.88%(b) 11.95% 22.28% (3.48)%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ 5,582 $ 4,135 $ 861 $ 182
Ratio of expenses to average net
assets......................... 1.96%(c) 1.97% 2.00% 2.00%(c)
Ratio of net investment income to
average net assets............. 1.03%(c) 1.43% 1.74% 1.06%(c)
Ratio of expenses to average net
assets*........................ 1.96%(c) 1.98% 2.01% 2.00%(c)
Ratio of net investment income to
average net assets*............ 1.03%(c) 1.42% 1.72% 1.06%(c)
Portfolio turnover (d)........... 38.86% 186.84% 203.13% 111.72%
Average commission rate paid
(e)............................ $0.0580 $ 0.0415
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Class B Shares commenced offering on January 14, 1994.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(e) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
91
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
DISCIPLINED VALUE FUND
--------------------------------------------------------------------------------------------
FIDUCIARY SHARES
--------------------------------------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER 31, ----------------------------------------------------------------------------
1996 1996 1995 1994 1993 1992
------------ ------------ ------------ ------------ ------------ ------------
(UNAUDITED)
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 14.69 $ 13.20 $ 11.90 $ 12.76 $ 11.49 $ 10.20
------------ ------------ ------------ ------------ ------------ ------------
Investment Activities
Net investment income............ 0.13 0.29 0.28 0.26 0.28 0.34
Net realized and unrealized gains
from investments............... 1.09 2.27 1.57 0.29 1.27 1.29
------------ ------------ ------------ ------------ ------------ ------------
Total from Investment
Activities................... 1.22 2.56 1.85 0.55 1.55 1.63
------------ ------------ ------------ ------------ ------------ ------------
Distributions
From net investment income....... (0.13) (0.29) (0.27) (0.26) (0.28) (0.34)
From net realized gains.......... (1.61) (0.78) (0.28) (1.15) -- --
------------ ------------ ------------ ------------ ------------ ------------
Total Distributions............ (1.74) (1.07) (0.55) (1.41) (0.28) (0.34)
------------ ------------ ------------ ------------ ------------ ------------
NET ASSET VALUE,
END OF PERIOD.................... $ 14.17 $ 14.69 $ 13.20 $ 11.90 $ 12.76 $ 11.49
------------ ------------ ------------ ------------ ------------ ------------
------------ ------------ ------------ ------------ ------------ ------------
Total Return....................... 8.49%(a) 20.10% 16.03% 4.04% 13.58% 16.24%
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $492,215 $ 522,474 $ 448,530 $ 418,238 $ 211,785 $ 115,234
Ratio of expenses to average net
assets......................... 0.98%(b) 0.99% 1.00% 0.93% 0.89% 0.69%
Ratio of net investment income to
average net assets............. 1.79%(b) 2.04% 2.21% 2.14% 2.30% 3.17%
Ratio of expenses to average net
assets*........................ 0.98%(b) 1.00% 1.10% 0.98% 1.08% 1.23%
Ratio of net investment income to
average net assets*............ 1.79%(b) 2.03% 2.11% 2.09% 2.11% 2.63%
Portfolio turnover (c)........... 39.44% 90.55% 176.66% 56.33% 108.79% 25.32%
Average commission rate paid
(d)............................ $ 0.0594 $ 0.0576
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(b) Annualized.
(c) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(d) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
92
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
DISCIPLINED VALUE FUND
--------------------------------------------------------------------------------------------
CLASS A SHARES
--------------------------------------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER 31, ----------------------------------------------------------------------------
1996 1996 1995 1994 1993 1992 (E)
------------ ------------ ------------ ------------ ------------ ------------
(UNAUDITED)
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 14.72 $ 13.22 $ 11.91 $ 12.75 $ 11.49 $ 11.45
------------ ------------ ------------ ------------ ------ ------
Investment Activities
Net investment income............ 0.11 0.25 0.24 0.24 0.25 0.12
Net realized and unrealized gains
from investments............... 1.08 2.28 1.59 0.30 1.26 0.06
------------ ------------ ------------ ------------ ------ ------
Total from Investment
Activities................... 1.19 2.53 1.83 0.54 1.51 0.18
------------ ------------ ------------ ------------ ------ ------
Distributions
From net investment income....... (0.11) (0.25) (0.24) (0.23) (0.25) (0.14)
From net realized gains.......... (1.61) (0.78) (0.26) (1.10) -- --
In excess of net realized
gains.......................... -- -- (0.02) (0.05) -- --
------------ ------------ ------------ ------------ ------ ------
Total Distributions............ (1.72) (1.03) (0.52) (1.38) (0.25) (0.14)
------------ ------------ ------------ ------------ ------ ------
NET ASSET VALUE,
END OF PERIOD.................... $ 14.19 $ 14.72 $ 13.22 $ 11.91 $ 12.75 $ 11.49
------------ ------------ ------------ ------------ ------ ------
------------ ------------ ------------ ------------ ------ ------
Total Return (Excludes Sales
Charge).......................... 8.26%(a) 19.80% 15.43% 3.95% 13.27% 1.56%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ 22,272 $ 20,838 $ 13,560 $ 10,448 $ 3,435 $ 35
Ratio of expenses to average net
assets......................... 1.23%(b) 1.24% 1.26% 1.18% 1.12% 1.29%(b)
Ratio of net investment income to
average net assets............. 1.53%(b) 1.79% 1.99% 2.00% 2.06% 2.43%(b)
Ratio of expenses to average net
assets*........................ 1.33%(b) 1.35% 1.36% 1.33% 1.46% 1.49%(b)
Ratio of net investment income to
average net assets*............ 1.43%(b) 1.68% 1.89% 1.85% 1.72% 2.23%(b)
Portfolio turnover (c)........... 39.44% 90.55% 176.66% 56.33% 108.79% 25.32%
Average commission rate paid
(d)............................ $ 0.0594 $ 0.0576
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(b) Annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(d) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
<TABLE>
<C> <S>
(e) Class A Shares commenced offering on February 18, 1992.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
93
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
DISCIPLINED VALUE FUND
------------------------------------------------------------
CLASS B SHARES
------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER 31, --------------------------------------------
1996 1996 1995 1994 (A)
------------ ------------ ------------ ------------
(UNAUDITED)
<S> <C> <C> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 14.69 $ 13.19 $ 11.90 $ 12.60
------------ ------------ ------------ ------
Investment Activities
Net investment income............ 0.06 0.15 0.15 0.07
Net realized and unrealized gains
(losses) from investments...... 1.08 2.27 1.58 (0.70)
------------ ------------ ------------ ------
Total from Investment
Activities................... 1.14 2.42 1.73 (0.63)
------------ ------------ ------------ ------
Distributions
From net investment income....... (0.06) (0.14) (0.15) (0.06)
In excess of net investment
income......................... -- -- (0.01) (0.01)
From net realized gains.......... (1.61) (0.78) (0.28) --
------------ ------------ ------------ ------
Total Distributions............ (1.67) (0.92) (0.44) (0.07)
------------ ------------ ------------ ------
NET ASSET VALUE,
END OF PERIOD.................... $ 14.16 $ 14.69 $ 13.19 $ 11.90
------------ ------------ ------------ ------
------------ ------------ ------------ ------
Total Return (Excludes Sales
Charge).......................... 7.78%(b) 18.93% 14.92% (5.00)%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ 18,275 $ 16,305 $ 11,222 $ 5,356
Ratio of expenses to average net
assets......................... 1.98%(c) 1.99% 2.00% 1.96%(c)
Ratio of net investment income to
average net assets............. 0.78%(c) 1.04% 1.26% 1.80%(c)
Ratio of expenses to average net
assets*........................ 1.98%(c) 2.00% 2.01% 1.96%(c)
Ratio of net investment income to
average net assets*............ 0.78%(c) 1.03% 1.25% 1.80%(c)
Portfolio turnover (d)........... 39.44% 90.55% 176.66% 56.33%
Average commission rate paid
(e)............................ $ 0.0594 $ 0.0576
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Class B Shares commenced offering on January 14, 1994.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(e) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
94
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
DISCIPLINED VALUE FUND
--------------------------------
SERVICE SHARES (A)
--------------------------------
YEAR ENDED JUNE 30,
--------------------------------
1995 1994
-------------- --------------
NET ASSET VALUE,
BEGINNING OF PERIOD............................. $ 11.90 $ 12.59
<S> <C> <C>
------- ------
Investment Activities
Net investment income........................... 0.17 0.06
Net realized and unrealized gains (losses) from
investments................................... 1.37 (0.69)
------- ------
Total from Investment Activities.............. 1.54 (0.63)
------- ------
Distributions
Net investment income........................... (0.16) (0.06)
In excess of net investment income.............. (0.01) --
Net realized gains.............................. (0.28) --
------- ------
Total Distributions........................... (0.45) (0.06)
------- ------
NET ASSET VALUE,
END OF PERIOD................................... $ 12.99 $ 11.90
------- ------
------- ------
Total Return...................................... (a) (5.03)%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000)...............
Ratio of expenses to average net assets......... $ -- $ 47
Ratio of net investment income to average net
assets........................................ 1.90%(c) 1.84%(c)
Ratio of expenses to average net assets*........ 1.89%(c) 1.83%(c)
Ratio of net investment income to average net
assets*....................................... 1.90%(c) 1.84%(c)
Portfolio turnover (d).......................... 1.89%(c) 1.83%(c)
176.66% 56.33%
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) The Service Shares commenced offering on January 17, 1994 when they were designated as Retirement Shares.
On April 4, 1995, the name of the Retirement Shares was changed to Service Shares. As of June 1, 1995,
Service Shares transferred to Class A Shares, and as of June 30, 1995, there were no shareholders in the
Service Class. The return for the period from July 1, 1994 to June 1, 1995 for the Service Shares was
13.14%.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
95
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
LARGE COMPANY GROWTH FUND
------------------------------------------------------------------------
FIDUCIARY SHARES
------------------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER 31, ------------------------------------------------------
1996 1996 1995 1994 1993 1992 (E)
-------------- -------- -------- -------- ------- -----------
<S> <C> <C> <C> <C> <C> <C>
(UNAUDITED)
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 15.44 $ 13.47 $ 11.32 $ 10.92 $ 9.85 $ 10.00
-------------- -------- -------- -------- ------- -----------
Investment Activities
Net investment income............ 0.08 0.18 0.20 0.20 0.23 0.08
Net realized and unrealized gains
(losses) from investments...... 1.34 2.14 3.04 0.67 1.12 (0.16)
-------------- -------- -------- -------- ------- -----------
Total from Investment
Activities................... 1.42 2.32 3.24 0.87 1.35 (0.08)
-------------- -------- -------- -------- ------- -----------
Distributions
From net investment income....... (0.07) (0.18) (0.20) (0.20) (0.23) (0.07)
From net realized gains.......... (0.80) (0.17) (0.89) (0.27) (0.05) --
-------------- -------- -------- -------- ------- -----------
Total Distributions............ (0.87) (0.35) (1.09) (0.47) (0.28) (0.07)
-------------- -------- -------- -------- ------- -----------
NET ASSET VALUE,
END OF PERIOD.................... $ 15.99 $ 15.44 $ 13.47 $ 11.32 $ 10.92 $ 9.85
-------------- -------- -------- -------- ------- -----------
-------------- -------- -------- -------- ------- -----------
Total Return....................... 9.26%(a) 17.36% 21.85% 8.04% 13.92% (0.80)%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $766,728 $745,986 $531,595 $150,035 $41,317 $25,019
Ratio of expenses to average net
assets......................... 0.97%(b) 0.96% 1.00% 0.78% 0.39% 0.30%(b)
Ratio of net investment income to
average net assets............. 0.97%(b) 1.20% 1.72% 1.87% 2.24% 2.37%(b)
Ratio of expenses to average net
assets*........................ 0.97%(b) 0.99% 1.00% 1.13% 1.43% 1.49%(b)
Ratio of net investment income to
average net assets*............ 0.97%(b) 1.17% 1.72% 1.52% 1.21% 1.12%(b)
Portfolio turnover (c)........... 24.28% 35.51% 14.22% 9.04% 10.61% 3.09%
Average commission rate paid
(d)............................ $ 0.0668 $ 0.0647
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(b) Annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(d) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
<TABLE>
<C> <S>
(e) The Fund commenced operations on February 28, 1992.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
96
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
LARGE COMPANY GROWTH FUND
----------------------------------------------------
CLASS A SHARES
----------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER 31, ----------------------------------
1996 1996 1995 1994 (A)
-------------- -------- -------- ------------
<S> <C> <C> <C> <C>
(UNAUDITED)
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 15.83 $ 13.83 $ 11.62 $ 11.78
------- -------- -------- ------
Investment Activities
Net investment income............ 0.06 0.14 0.17 0.04
Net realized and unrealized gains
(losses) from investments...... 1.37 2.17 3.10 (0.16)
------- -------- -------- ------
Total from Investment
Activities................... 1.43 2.31 3.27 (0.12)
------- -------- -------- ------
Distributions
From net investment income....... (0.05) (0.14) (0.16) (0.04)
In excess of net investment
income......................... -- -- (0.01) --
From net realized gains.......... (0.80) (0.17) (0.89) --
------- -------- -------- ------
Total Distributions............ (0.85) (0.31) (1.06) (0.04)
------- -------- -------- ------
NET ASSET VALUE,
END OF PERIOD.................... $ 16.41 $ 15.83 $ 13.83 $ 11.62
------- -------- -------- ------
------- -------- -------- ------
Total Return (Excludes Sales
Charge).......................... 9.09%(b) 16.85% 21.52% (1.02)%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ 91,704 $ 75,114 $ 27,428 $ 368
Ratio of expenses to average net
assets......................... 1.22%(c) 1.21% 1.26% 1.25%(c)
Ratio of net investment income to
average net assets............. 0.73%(c) 0.95% 1.49% 1.78%(c)
Ratio of expenses to average net
assets*........................ 1.31%(c) 1.34% 1.36% 1.35%(c)
Ratio of net investment income to
average net assets*............ 0.64%(c) 0.82% 1.39% 1.68%(c)
Portfolio turnover (d)........... 24.28% 35.51% 14.22% 9.04%
Average commission rate paid
(e)............................ $ 0.0668 $ 0.0647
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Class A Shares commenced offering on January 1, 1994.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(e) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
97
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
LARGE COMPANY GROWTH FUND
--------------------------------------------------
CLASS B SHARES
--------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER 31, ----------------------------------
1996 1996 1995 1994 (A)
------------ -------- -------- ------------
<S> <C> <C> <C> <C>
(UNAUDITED)
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 15.63 $ 13.63 $ 11.47 $ 11.57
------------ -------- -------- ------
Investment Activities
Net investment income............ -- 0.05 0.09 0.03
Net realized and unrealized gains
(losses) from investments...... 1.35 2.17 3.06 (0.10)
------------ -------- -------- ------
Total from Investment
Activities................... 1.35 2.22 3.15 (0.07)
------------ -------- -------- ------
Distributions
From net investment income....... -- (0.05) (0.09) (0.03)
In excess of net investment
income......................... -- -- (0.01) --
From net realized gains.......... (0.80) (0.17) (0.89) --
------------ -------- -------- ------
Total Distributions............ (0.80) (0.22) (0.99) (0.03)
------------ -------- -------- ------
NET ASSET VALUE,
END OF PERIOD.................... $ 16.18 $ 15.63 $ 13.63 $ 11.47
------------ -------- -------- ------
------------ -------- -------- ------
Total Return (Excludes Sales
Charge).......................... 8.70%(b) 16.41% 20.65% (0.66)%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ 82,053 $ 56,261 $ 6,918 $ 334
Ratio of expenses to average net
assets......................... 1.98%(c) 1.96% 2.01% 1.99%(c)
Ratio of net investment income
(loss) to average net assets... (0.02)%(c) 0.20% 0.74% 0.96%(c)
Ratio of expenses to average net
assets*........................ 1.98%(c) 1.99% 2.01% 1.99%(c)
Ratio of net investment income
(loss)to average net assets*... (0.02)%(c) 0.17% 0.74% 0.96%(c)
Portfolio turnover (d)........... 24.28% 35.51% 14.22% 9.04%
Average commission rate paid
(e)............................ $ 0.0668 $ 0.0647
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Class B Shares commenced offering on January 14, 1994.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(e) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
98
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
LARGE COMPANY GROWTH FUND
----------------------------
SERVICE SHARES (A)
----------------------------
YEAR ENDED JUNE 30,
----------------------------
1995 1994
------------ ------------
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 11.42 $ 11.58
<S> <C> <C>
------ ------
Investment Activities
Net investment income............ 0.11 0.03
Net realized and unrealized gains
(losses) from investments...... 2.85 (0.16)
------ ------
Total from Investment
Activities.................... 2.96 (0.13)
------ ------
Distributions
Net investment income............ (0.11) (0.03)
In excess of net realized
gains.......................... (0.89) --
------ ------
Total Distributions............ (1.00) (0.03)
------ ------
NET ASSET VALUE,
END OF PERIOD.................... $ 13.38 $ 11.42
------ ------
------ ------
Total Return....................... (a) (1.13)%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ -- $ 24
Ratio of expenses to average net
assets......................... 1.90%(c) 1.75%(c)
Ratio of net investment income to
average net assets............. 1.05%(c) 1.02%(c)
Ratio of expenses to average net
assets*........................ 1.90%(c) 1.75%(c)
Ratio of net investment income to
average net assets*............ 1.05%(c) 1.02%(c)
Portfolio turnover (d)........... 14.22% 9.04%
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) The Service Shares commenced offering on January 17, 1994 when they were designated as Retirement Shares.
On April 4, 1995, the name of the Retirement Shares was changed to Service Shares. As of June 1, 1995,
Service Shares transferred to Class A Shares, and as of June 30, 1995, there were no shareholders in the
Service Class. The return for the period from July 1, 1994 to June 1, 1995 for the Service Shares was
19.19%.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
99
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
GROWTH OPPORTUNITIES FUND
----------------------------------------------------------------------
FIDUCIARY SHARES
----------------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER 31, ----------------------------------------------------
1996 1996 1995 1994 1993 1992
-------------- -------- -------- -------- -------- --------
(UNAUDITED)
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 18.81 $ 18.40 $ 15.96 $ 16.96 $ 14.54 $ 12.92
-------------- -------- -------- -------- -------- --------
Investment Activities
Net investment income............ 0.27 0.20 0.06 0.07 0.06 0.09
Net realized and unrealized gains
(losses) from investments...... 1.05 3.83 2.98 (0.05) 2.99 1.87
-------------- -------- -------- -------- -------- --------
Total from Investment
Activities................... 1.32 4.03 3.04 0.02 3.05 1.96
-------------- -------- -------- -------- -------- --------
Distributions
From net investment income....... (0.27) (0.20) (0.06) (0.07) (0.06) (0.08)
From net realized gains.......... (2.92) (3.42) (0.54) (0.95) (0.57) (0.26)
-------------- -------- -------- -------- -------- --------
Total Distributions............ (3.19) (3.62) (0.60) (1.02) (0.63) (0.34)
-------------- -------- -------- -------- -------- --------
NET ASSET VALUE,
END OF PERIOD.................... $ 16.94 $ 18.81 $ 18.40 $ 15.96 $ 16.96 $ 14.54
-------------- -------- -------- -------- -------- --------
-------------- -------- -------- -------- -------- --------
Total Return....................... 6.86%(a) 24.63% 19.75% (0.16)% 21.36% 15.15%
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $533,522 $532,525 $413,518 $389,567 $232,898 $131,533
Ratio of expenses to average net
assets......................... 0.97%(b) 1.00% 0.98% 0.98% 0.89% 0.75%
Ratio of net investment income to
average net assets............. 2.84%(b) 1.15% 0.38% 0.42% 0.41% 0.51%
Ratio of expenses to average net
assets*........................ 0.97%(b) 1.01% 0.98% 1.03% 1.11% 1.23%
Ratio of net investment income to
average net assets*............ 2.84%(b) 1.14% 0.38% 0.37% 0.19% 0.03%
Portfolio turnover (c)........... 183.99% 435.30% 132.63% 70.67% 64.64% 42.77%
Average commission rate paid
(d)............................ $ 0.0317 $ 0.0451
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(b) Annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(d) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
100
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
GROWTH OPPORTUNITIES FUND
------------------------------------------------------------------------------------
CLASS A SHARES
------------------------------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER 31, --------------------------------------------------------------------
1996 1996 1995 1994 1993 1992 (E)
------------ ---------- ---------- ---------- ---------- ------------
(UNAUDITED)
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 18.76 $ 18.36 $ 15.93 $ 16.96 $ 14.54 $ 16.53
------------ ---------- ---------- ---------- ---------- ------
Investment Activities
Net investment income............ 0.24 0.17 0.02 0.04 0.03 0.01
Net realized and unrealized gains
(losses) from investments...... 1.05 3.80 2.98 (0.08) 3.00 (1.99)
------------ ---------- ---------- ---------- ---------- ------
Total from Investment
Activities................... 1.29 3.97 3.00 (0.04) 3.03 (1.98)
------------ ---------- ---------- ---------- ---------- ------
Distributions
From net investment income....... (0.26) (0.15) (0.01) (0.03) (0.04) (0.01)
In excess of net investment
income......................... -- -- (0.02) (0.01) -- --
From net realized gains.......... (2.92) (3.42) (0.54) (0.95) (0.57) --
------------ ---------- ---------- ---------- ---------- ------
Total Distributions............ (3.18) (3.57) (0.57) (0.99) (0.61) (0.01)
------------ ---------- ---------- ---------- ---------- ------
NET ASSET VALUE,
END OF PERIOD.................... $ 16.87 $ 18.76 $ 18.36 $ 15.93 $ 16.96 $ 14.54
------------ ---------- ---------- ---------- ---------- ------
------------ ---------- ---------- ---------- ---------- ------
Total Return (Excludes Sales
Charge)...................... 6.70%(a) 24.32% 19.50% (0.52)% 21.70% (34.00)%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ 30,767 $ 28,052 $ 11,178 $ 8,097 $ 5,757 $ 84
Ratio of expenses to average net
assets......................... 1.22%(b) 1.25% 1.23% 1.22% 1.11% 1.31%(b)
Ratio of net investment income to
average net assets............. 2.54%(b) 0.90% 0.12% 0.27% 0.25% 0.12%(b)
Ratio of expenses to average net
assets*........................ 1.32%(b) 1.36% 1.33% 1.38% 1.48% 1.50%(b)
Ratio of net investment income
(loss) to average net
assets*........................ 2.44%(b) 0.79% 0.02% 0.11% (0.12)% (0.07)%(b)
Portfolio turnover (c)........... 183.99% 435.30% 132.63% 70.67% 64.64% 42.77%
Average commission rate paid
(d)............................ $ 0.0317 $ 0.0451
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(b) Annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(d) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
<TABLE>
<C> <S>
(e) Class A Shares commenced offering on February 18, 1992.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
101
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
GROWTH OPPORTUNITIES FUND
---------------------------------------------------------
CLASS B SHARES
---------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER 31, -----------------------------------------
1996 1996 1995 1994 (A)
------------ ---------- ---------- -------------
(UNAUDITED)
<S> <C> <C> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 18.43 $ 18.14 $ 15.85 $ 17.44
------------ ---------- ---------- -------------
Investment Activities
Net investment income (loss)..... 0.17 0.09 (0.07) (0.02)
Net realized and unrealized gains
(losses) from investments...... 1.03 3.69 2.90 (1.56)
------------ ---------- ---------- -------------
Total from Investment
Activities................... 1.20 3.78 2.83 (1.58)
------------ ---------- ---------- -------------
Distributions
From net investment income....... (0.24) (0.07) -- (0.01)
From net realized gains.......... (2.92) (3.42) (0.54) --
------------ ---------- ---------- -------------
Total Distributions............ (3.16) (3.49) (0.54) (0.01)
------------ ---------- ---------- -------------
NET ASSET VALUE,
END OF PERIOD.................... $ 16.47 $ 18.43 $ 18.14 $ 15.85
------------ ---------- ---------- -------------
------------ ---------- ---------- -------------
Total Return (Excludes Sales
Charge).......................... 6.53%(b) 23.53% 18.47% (9.07)%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $ 21,509 $ 12,910 $ 2,787 $ 1,131
Ratio of expenses to average net
assets......................... 1.98%(c) 2.00% 1.98% 2.12%(c)
Ratio of net investment income
(loss)to average net assets.... 1.92%(c) 0.15% (0.63)% (0.55)%(c)
Ratio of expenses to average net
assets*........................ 1.98%(c) 2.01% 1.98% 2.12%(c)
Ratio of net investment income
(loss)to average net assets*... 1.92%(c) 0.14% (0.63)% (0.55)%(c)
Portfolio turnover (d)........... 183.99% 435.30% 132.63% 70.67%
Average commission rate paid
(e)............................ $ 0.0317 $ 0.0451
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Class B Shares commenced offering on January 14, 1994.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(e) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
102
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
GROWTH OPPORTUNITIES FUND
----------------------------
SERVICE SHARES (A)
----------------------------
YEAR ENDED JUNE 30,
----------------------------
1995 1994
------------ -------------
<S> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD....................... $15.95 $17.47
------ ------
Investment Activities
Net investment income..................... (0.03) (0.01)
Net realized and unrealized gains (losses)
from investments........................ 2.14 (1.50)
------ ------
Total from Investment Activities........ 2.11 (1.51)
------ ------
Distributions
Net investment income..................... -- (0.01)
Net realized gains........................ (0.54) --
------ ------
Total Distributions..................... (0.54) (0.01)
------ ------
NET ASSET VALUE,
END OF PERIOD............................. $17.52 $15.95
------ ------
------ ------
Total Return................................ (a) (8.64)%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000) $ -- $ 35
Ratio of expenses to average net assets... 1.87%(c) 1.91%(c)
Ratio of net investment income to average
net assets.............................. (0.39)%(c) (0.36)%(c)
Ratio of expenses to average net
assets*................................. 1.87%(c) 1.91%(c)
Ratio of net investment income to average
net assets*............................. (0.39)%(c) (0.36)%(c)
Portfolio turnover (d).................... 132.63% 70.67%
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) The Service Shares commenced offering on January 17, 1994 when they were designated as Retirement Shares.
On April 4, 1995, the name ofthe Retirement Shares was changed to Service Shares. As of June 1, 1995,
Service Shares transferred to Class A Shares, and as of June 30, 1995, there were no shareholders in the
Service Class. The return for the period from July 1, 1994 to June 1, 1995 for the Service Shares was
13.12%.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
103
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
GULF SOUTH GROWTH FUND
---------------------------------
FIDUCIARY SHARES
---------------------------------
SIX MONTHS MARCH 26, 1996
ENDED TO
DECEMBER 31, JUNE 30,
1996 1996 (A)
-------------- ---------------
(UNAUDITED)
<S> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD............................. $ 10.75 $ 10.00
------- -------
Investment Activities
Net investment income (loss).................... (0.01) 0.78
Net realized and unrealized gains from
investments................................... 0.24 --
------- -------
Total from Investment Activities.............. 0.23 0.78
------- -------
Distributions
From net investment income...................... -- (0.03)
From net realized gains......................... (1.10) --
------- -------
Total Distributions........................... (1.10) (0.03)
------- -------
NET ASSET VALUE,
END OF PERIOD................................... $ 9.88 $ 10.75
------- -------
------- -------
Total Return...................................... 2.45%(c) 13.39%(b)(c)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000)............... $ 78,859 $ 83,371
Ratio of expenses to average net assets......... 1.00%(d) 0.96%(d)
Ratio of net investment income (loss) to average
net assets.................................... (0.18)%(d) (0.16)%(d)
Ratio of expenses to average net assets*........ 1.11%(d) 1.05%(d)
Ratio of net investment income (loss) to average
net assets*................................... (0.29)%(d) (0.25)%(d)
Portfolio turnover (e).......................... 44.03% 59.57%
Average commission rate paid (f)................ $ 0.0674 $ 0.0685
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Period from date reorganized as a fund of The One Group.
</TABLE>
<TABLE>
<C> <S>
(b) Represents total return for Class A Shares from December 1, 1995 through March 25, 1996 plus total return
for Fiduciary Shares for the period from March 26, 1996 through June 30, 1996.
</TABLE>
<TABLE>
<C> <S>
(c) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Annualized.
</TABLE>
<TABLE>
<C> <S>
(e) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(f) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
104
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
GULF SOUTH GROWTH FUND
------------------------------------------------------------------------------------------
CLASS A SHARES
------------------------------------------------------------------------------------------
SIX MONTHS SEVEN MONTHS
ENDED ENDED YEAR ENDED NOVEMBER 30,
DECEMBER 31, JUNE 30, --------------------------------------------------
1996 1996 (A) 1995 1994 1993 1992
---------------- ---------------- --------- --------- --------- --------
<S> <C> <C> <C> <C> <C> <C>
(UNAUDITED)
NET ASSET VALUE,
BEGINNING OF PERIOD.............. $ 10.73 $ 11.50 $ 9.36 $ 10.11 $ 9.48 $ 7.38
------- ------- --------- --------- --------- --------
Investment Activities
Net investment income (loss)..... (0.02) (0.07) (0.04) (0.04) (0.02) 0.01
Net realized and unrealized gains
(losses) from investments...... 0.29 1.40 2.35 (0.63) 0.88 2.10
------- ------- --------- --------- --------- --------
Total from Investment
Activities................... 0.27 1.33 2.31 (0.67) 0.86 2.11
------- ------- --------- --------- --------- --------
Distributions
From net investment income....... -- -- -- -- (0.01) (0.01)
From net realized gains.......... (1.10) (2.10) (0.17) (0.08) (0.22) --
------- ------- --------- --------- --------- --------
Total Distributions............ (1.10) (2.10) (0.17) (0.08) (0.23) (0.01)
------- ------- --------- --------- --------- --------
NET ASSET VALUE,
END OF PERIOD.................... $ 9.90 $ 10.73 $ 11.50 $ 9.36 $ 10.11 $ 9.48
------- ------- --------- --------- --------- --------
------- ------- --------- --------- --------- --------
Total Return (Excludes Sales
Charge).......................... 2.73%(b) 12.85%(b) 25.07% (6.66)% 9.10% 28.59%
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period
(000).......................... $17,952 $18,356 $ 95,467 $ 77,540 $ 74,982 $ 55,719
Ratio of expenses to average net
assets......................... 1.25%(c) 1.05%(c) 1.03% 1.00% 1.01% 1.00%
Ratio of net investment income
(loss) to average net assets... (0.43)%(c) (0.33)%(c) (0.36)% (0.38)% (0.21)% 0.15%
Ratio of expenses to average net
assets*........................ 1.46%(c) 1.07%(c) 1.03% 1.00% 1.01% 1.00%
Ratio of net investment income
(loss) to average net
assets*........................ (0.64)%(c) (0.35)%(c) (0.36)% (0.38)% (0.21)% 0.15%
Portfolio turnover (d)........... 44.03% 59.57% 65.00% 51.00% 59.00% 42.00%
Average commission rate paid
(e)............................ $0.0674 $0.0685
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Upon reorganizing as a fund of The One Group, the Paragon Gulf South Growth Fund became the Gulf South
Growth Fund. Financial highlights for the periods prior to March 26, 1996 represent the Paragon Gulf South
Growth Fund. The per share data for the periods prior to March 26, 1996 have been restated to reflect the
impact of restatement of net asset value from $15.70 to 10.00 effective March 26, 1996.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(e) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
105
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
GULF SOUTH GROWTH FUND
----------------------------------------------------
CLASS B SHARES
----------------------------------------------------
SEPTEMBER
SIX MONTHS SEVEN MONTHS YEAR 12, 1994 TO
ENDED ENDED JUNE ENDED NOVEMBER
DECEMBER 31, 30, NOVEMBER 30, 1994
1996 1996 (A) 30, 1995 (B)
------------ ------------ -------- -----------
<S> <C> <C> <C> <C>
(UNAUDITED)
NET ASSET VALUE,
BEGINNING OF PERIOD........................ $ 10.72 $ 11.56 $ 9.47 $10.40
------------ ------------ -------- -----------
Investment Activities
Net investment loss........................ (0.05) (0.06) (0.07) (0.01)
Net realized and unrealized gains (losses)
from investments......................... 0.27 1.35 2.33 (0.92)
------------ ------------ -------- -----------
Total from Investment Activities......... 0.22 1.29 2.26 (0.93)
------------ ------------ -------- -----------
Distributions
From net realized gains.................... (1.10) (2.13) (0.17) --
------------ ------------ -------- -----------
Total Distributions...................... (1.10) (2.13) (0.17) --
------------ ------------ -------- -----------
NET ASSET VALUE,
END OF PERIOD.............................. $ 9.84 $ 10.72 $11.56 $ 9.47
------------ ------------ -------- -----------
------------ ------------ -------- -----------
Total Return (Excludes Sales Charge)......... 2.34%(c) 12.47%(c) 24.21% (9.08)%(c)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000).......... $ 3,392 $ 2,545 $1,814 $ 231
Ratio of expenses to average net assets.... 2.00%(d) 1.87%(d) 1.78% 1.75%(d)
Ratio of net investment income (loss) to
average net assets....................... (1.18)%(d) (1.10)%(d) (1.16)% (0.90)%(d)
Ratio of expenses to average net assets*... 2.11%(d) 1.92%(d) 1.78% 1.75%(d)
Ratio of net investment income (loss)to
average net assets*...................... (1.29)%(d) (1.15)%(d) (1.16)% (0.90)%(d)
Portfolio turnover (e)..................... 44.03% 59.57% 65.00% 51.00%
Average commission rate paid (f)............. $0.0674 $0.0685
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Upon reorganizing as a fund of The One Group, the Paragon Gulf South Growth Fund became the Gulf South
Growth Fund. Financial highlights for the periods prior to March 26, 1996 represent the Paragon Gulf South
Growth Fund. The per share data for the periods prior to March 26, 1996 have been restated to reflect the
impact of restatement of net asset value from $15.48 to 10.00 effective March 26, 1996.
</TABLE>
<TABLE>
<C> <S>
(b) Class B Shares commenced offering September 12, 1994.
</TABLE>
<TABLE>
<C> <S>
(c) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Annualized.
</TABLE>
<TABLE>
<C> <S>
(e) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(f) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
106
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
INTERNATIONAL EQUITY INDEX FUND
-------------------------------------------------------------------
FIDUCIARY SHARES
-------------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER 31, ---------------------------------------------------
1996 1996 1995 1994 1993 (A)
------------ --------- --------- --------- ------------
(UNAUDITED)
<S> <C> <C> <C> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD................... $ 15.17 $ 13.93 $ 13.46 $ 11.80 $ 10.00
------------ --------- --------- --------- ------------
Investment Activities
Net investment income................. 0.03 0.11 0.13 0.11 0.06
Net realized and unrealized gains from
investments......................... 0.07 1.43 0.46 1.68 1.75
------------ --------- --------- --------- ------------
Total from Investment Activities.... 0.10 1.54 0.59 1.79 1.81
------------ --------- --------- --------- ------------
Distributions
From net investment income............ (0.14) (0.16) (0.08) (0.11) (0.01)
In excess of net investment income.... -- (0.02) -- -- --
From net realized gains............... (0.15) (0.12) (0.04) (0.01) --
In excess of net realized gains....... -- -- -- (0.01) --
------------ --------- --------- --------- ------------
Total Distributions................. (0.29) (0.30) (0.12) (0.13) (0.01)
------------ --------- --------- --------- ------------
NET ASSET VALUE,
END OF PERIOD......................... $ 14.98 $ 15.17 $ 13.93 $ 13.46 $ 11.80
------------ --------- --------- --------- ------------
------------ --------- --------- --------- ------------
Total Return............................ 0.71%(b) 11.22% 4.20% 15.44% 26.96%(c)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000)..... $377,707 $ 347,790 $ 218,299 $ 145,640 $ 35,384
Ratio of expenses to average net
assets.............................. 0.84%(c) 0.97% 1.04% 1.02% 1.22%(c)
Ratio of net investment income to
average net assets.................. 0.45%(c) 1.04% 1.25% 1.27% 1.37%(c)
Ratio of expenses to average net
assets*............................. 0.84%(c) 1.00% 1.04% 1.02% 2.34%(c)
Ratio of net investment income to
average net assets*................. 0.45%(c) 1.01% 1.25% 1.27% 0.25%(c)
Portfolio turnover (d)................ 4.88% 6.28% 4.67% 7.74% 3.10%
Average commission rate paid (e)...... $ 0.0047 $ 0.0022
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Fiduciary Shares commenced offering on April 5, 1993.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(e) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
107
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
INTERNATIONAL EQUITY INDEX FUND
-------------------------------------------------------------------
CLASS A SHARES
-------------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED JUNE 30,
DECEMBER 31, ---------------------------------------------------
1996 1996 1995 1994 1993 (A)
------------ --------- --------- --------- ------------
<S> <C> <C> <C> <C> <C>
(UNAUDITED)
NET ASSET VALUE,
BEGINNING OF PERIOD........................ $ 15.16 $ 13.92 $ 13.49 $ 11.80 $ 11.74
------------ --------- --------- --------- ------
Investment Activities
Net investment income...................... 0.02 0.14 0.12 0.09 0.02
Net realized and unrealized gains from
investments.............................. 0.05 1.40 0.43 1.67 0.04
------------ --------- --------- --------- ------
Total from Investment Activities......... 0.07 1.54 0.55 1.76 0.06
------------ --------- --------- --------- ------
Distributions
From net investment income................. (0.08) (0.16) (0.08) (0.05) --
In excess of net investment income......... -- (0.02) -- -- --
From net realized gains.................... (0.15) (0.12) (0.04) (0.02) --
------------ --------- --------- --------- ------
Total Distributions...................... (0.23) (0.30) (0.12) (0.07) --
------------ --------- --------- --------- ------
NET ASSET VALUE,
END OF PERIOD.............................. $ 15.00 $ 15.16 $ 13.92 $ 13.49 $ 11.80
------------ --------- --------- --------- ------
------------ --------- --------- --------- ------
Total Return (Excludes Sales Charge)......... 0.49%(b) 11.20% 3.87% 15.18% 2.87%(c)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000).......... $ 10,610 $ 10,789 $ 5,028 $ 2,395 $ 153
Ratio of expenses to average net assets.... 1.09%(c) 1.22% 1.28% 1.26% 1.47%(c)
Ratio of net investment income to average
net assets............................... 0.21%(c) 0.79% 1.09% 1.15% 2.10%(c)
Ratio of expenses to average net assets*... 1.19%(c) 1.35% 1.38% 1.36% 2.35%(c)
Ratio of net investment income to average
net assets*.............................. 0.11%(c) 0.66% 0.99% 1.05% 1.22%(c)
Portfolio turnover (d)..................... 4.88% 6.28% 4.67% 7.74% 3.10%
Average commission rate paid (e)........... $ 0.0047 $ 0.0022
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) The Fund commenced operations on April 2, 1993.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<S> <S>
(e) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
108
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
INTERNATIONAL EQUITY INDEX FUND
------------------------------------------------------
CLASS B SHARES
------------------------------------------------------
SIX MONTHS
ENDED YEARS ENDED JUNE 30,
DECEMBER 31, --------------------------------------
1996 1996 1995 1994 (A)
------------ --------- --------- ------------
<S> <S>
(UNAUDITED)
NET ASSET VALUE,
BEGINNING OF PERIOD........................ $ 14.79 $ 13.73 $ 13.40 $ 13.00
------------ --------- --------- ------
Investment Activities
Net investment income...................... -- 0.03 0.03 0.06
Net realized and unrealized gains from
investments.............................. -- 1.32 0.41 0.34
------------ --------- --------- ------
Total from Investment Activities......... -- 1.35 0.44 0.40
------------ --------- --------- ------
Distributions
From net investment income................. (0.05) (0.15) (0.07) --
In excess of net investment income......... -- (0.02) -- --
From net realized gains.................... (0.15) (0.12) (0.04) --
------------ --------- --------- ------
Total Distributions...................... (0.20) (0.29) (0.11) --
------------ --------- --------- ------
NET ASSET VALUE,
END OF PERIOD.............................. $ 14.59 $ 14.79 $ 13.73 $ 13.40
------------ --------- --------- ------
------------ --------- --------- ------
Total Return (Excludes Sales Charge)......... 0.04%(b) 9.97% 3.17% 3.23%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000).......... $ 7,101 $ 5,856 $ 3,687 $ 1,872
Ratio of expenses to average net assets.... 1.84%(c) 1.97% 2.04% 2.00%(c)
Ratio of net investment income (loss) to
average net assets....................... (0.56)%(c) 0.04% 0.25% 1.37%(c)
Ratio of expenses to average net assets*... 1.84%(c) 2.00% 2.04% 2.00%(c)
Ratio of net investment income (loss) to
average net assets*...................... (0.56)%(c) 0.01% 0.25% 1.37%(c)
Portfolio turnover (d)..................... 4.88% 6.28% 4.67% 7.74%
Average commission rate paid (e)........... $ 0.0047 $ 0.0022
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) Class B Shares commenced offering on January 14, 1994.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
<TABLE>
<C> <S>
(e) The average commission represents the total dollar amount of commissions paid on portfolio security
transactions divided by total number of portfolio shares purchased and sold for which commissions were
charged.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
109
<PAGE>
- --------------------------------------------------------------------------------
The One Group Family of Mutual Funds
- -------------------------------------------------------------
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
INTERNATIONAL EQUITY INDEX
FUND
---------------------------
SERVICE SHARES (A)
---------------------------
YEAR ENDED JUNE 30,
---------------------------
1995 1994
----------- ------------
<S> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD............................. $ 13.44 $ 12.98
----------- ------------
Investment Activities
Net investment income........................... 0.11 (0.25)
Net realized and unrealized gains from
investments................................... 0.50 0.71
----------- ------------
Total from Investment Activities.............. 0.61 0.46
----------- ------------
Distributions
Net investment income........................... (0.07) --
Net realized gains.............................. (0.04) --
----------- ------------
Total Distributions........................... (0.11) --
----------- ------------
NET ASSET VALUE,
END OF PERIOD................................... $ 13.94 $ 13.44
----------- ------------
----------- ------------
Total Return...................................... (a) 3.78%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000)............... $ -- $ 74
Ratio of expenses to average net assets......... 1.90%(c) 1.85%(c)
Ratio of net investment income to average net
assets........................................ 0.92%(c) 1.97%(c)
Ratio of expenses to average net assets*........ 1.90%(c) 1.85%(c)
Ratio of net investment income to average net
assets*....................................... 0.92%(c) 1.97%(c)
Portfolio turnover (d).......................... 4.67% 7.74%
</TABLE>
- ----------
<TABLE>
<C> <S>
* During the period, certain fees were voluntarily reduced. If such voluntary fee reductions had not
occurred, the ratios would have been as indicated.
</TABLE>
<TABLE>
<C> <S>
(a) The Service Shares commenced offering on January 17, 1994 when they were designated as Retirement Shares.
On April 4, 1995, the name ofthe Retirement Shares was changed to Service Shares. As of June 1, 1995,
Service Shares transferred to Class A Shares, and as of June 30, 1995, there were no shareholders in the
Service Class. The return for the period from July 1, 1994 to June 1, 1995 for the Service Shares was
4.22%.
</TABLE>
<TABLE>
<C> <S>
(b) Not annualized.
</TABLE>
<TABLE>
<C> <S>
(c) Annualized.
</TABLE>
<TABLE>
<C> <S>
(d) Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing among the
classes of shares issued.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
110
<PAGE>
(This page has been left blank intentionally.)
