[GRAPHIC]
WRL SERIES FUND, INC.
Semi-Annual Report June 30, 2000
August 2000
ACC00001-8/00
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Table of Contents
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WRL SERIES FUND, INC.
<S> <C> <C>
Chairman's Letter ........................................................... 3
Portfolio Schedule
Manager's of
Commentary Investments
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Portfolio:
----------
WRL J.P. Morgan Money Market .................................... 4 56
WRL AEGON Bond .................................................. 6 58
WRL Janus Growth ................................................ 8 60
WRL Janus Global ................................................ 10 62
WRL LKCM Strategic Total Return ................................. 12 65
WRL VKAM Emerging Growth ........................................ 14 68
WRL Alger Aggressive Growth ..................................... 16 71
WRL AEGON Balanced .............................................. 18 73
WRL Federated Growth & Income ................................... 20 75
WRL Dean Asset Allocation ....................................... 22 77
WRL C.A.S.E. Growth ............................................. 24 79
WRL NWQ Value Equity ............................................ 26 81
WRL GE International Equity (formerly WRL GE/Scottish Equitable
International Equity) .......................................... 28 83
WRL GE U.S. Equity .............................................. 30 86
WRL Third Avenue Value .......................................... 32 89
WRL J.P. Morgan Real Estate Securities .......................... 34 91
WRL Goldman Sachs Growth ........................................ 36 92
WRL Goldman Sachs Small Cap ..................................... 38 95
WRL T. Rowe Price Dividend Growth ............................... 40 104
WRL T. Rowe Price Small Cap ..................................... 42 107
WRL Salomon All Cap ............................................. 44 114
WRL Pilgrim Baxter Mid Cap Growth ............................... 46 117
WRL Dreyfus Mid Cap ............................................. 48 119
WRL Value Line Aggressive Growth ................................ 50 123
WRL Great Companies - America(SM) ............................... 52 125
WRL Great Companies - Technology(SM) ............................ 54 126
Statements of Assets and Liabilities ........................................ 127
Statements of Operations .................................................... 133
Statements of Changes in Net Assets ......................................... 139
Financial Highlights ........................................................ 148
Notes to the Financial Statements ........................................... 159
</TABLE>
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The portfolios of the WRL Series Fund, Inc. are made available through variable
life insurance, variable annuity, and group annuity products. The availability
of certain portfolios may vary from product to product.
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2000 Semi-Annual Report | 1
<PAGE>
Fellow Contract and Policy Owners:
Reality Check.
It's easy now to say things had gone a bit too far a bit too fast. Valuations in
the dot-coms were preposterous. Levels of margin debt were outrageous.
Speculation in the IPO market was rampant. Returns were unsustainable. It's easy
now to say we had all the pins we needed to pop a speculative bubble.
[GRAPHIC]
John R. Kenney
Chairman of the Board
In other words, we should have seen the nasty correction of spring coming. Truth
be known, though, few of us (if any) did. That's because we tend to lose
short-term perspective as we move towards the far end of the risk curve--things
like greed, optimism, and the fear of being left out blind us to danger. Both
the bubble and the pin, then, become apparent only after the fact.
[GRAPHIC]
Patrick S. Baird
President
This time, it's probably safe to say we were all caught up in the hi-tech boom.
But who could blame us? Technology--so magnificently symbolized by the
Internet--is a shiny new toy, and it can do all sorts of amazing things. In a
remarkably short period of time, online stores, instant messages, search
engines, and a dozen other convenient technologies have become indispensable to
everyday life. Just try to imagine home or work now without e-mail. In one
industry after another, increasingly powerful computer chips are turning the
economic assumptions of the Industrial Age on their head. That the market
struggles to set fair prices for the "new economy" really should surprise no
one.
For the portfolio managers of the WRL Series Fund, Inc., this huge shift in
economic reality has been both challenging and exciting. We urge you to examine
their individual comments contained in this Report. Understanding how these
experts dealt with this complex market can only make it easier for you to stick
to your own investment strategy. We encourage you, too, to sit down with your
financial advisor and revisit your plans for diversification and asset
allocation. Discipline comes hard in periods of extreme, but it's the exercise
that separates investors from speculators.
While there's no way to predict with any assurance how the market will act over
the near term, we're of a mind to think that stocks of great companies are
poised to resume their upward track. Healthy corporate earnings, a strong
economy, low inflation, and improvements in productivity provide a solid
backdrop for the financial markets. Throughout it all, your personal success
will require a solid investment plan on your part and well-managed products on
ours. Though your task of financial planning may never have been more
formidable, your potential for reward may never have been more remarkable. We
appreciate the opportunity to help you achieve it.
Discipline comes hard in periods of extreme, but it's the exercise that
separates investors from speculators.
Sincerely yours,
/s/ John R. Kenney
------------------
JOHN R. KENNEY
Chairman of the Board
2000 Semi-Annual Report | 3
<PAGE>
WRL J.P. Morgan Money Market
For the period ended June 30, 2000
...seeks to obtain maximum current income consistent with preservation of
principal and maintenance of liquidity.
[GRAPHIC]
Market Environment
Amidst the Federal Reserve Board's ("Fed") efforts to slow the economy and the
Treasury's buyback program of longer-dated securities, the Treasury curve
flattened dramatically this period. Spreads on non-Treasury sectors came under
pressure on the widening gap between Treasury and corporate supply. Additional
pressure on spreads came in the form of aggressive borrowing spurred on by
productivity growth, putting upward pressure on borrowing rates at the same time
Treasury yields were falling.
Late in the period, the Fed responded to strong economic data with a 50 basis
point rate hike at the May FOMC meeting. Spreads did rally briefly afterward,
but retreated on a month of record investment-grade supply in June. The Treasury
curve, meanwhile, "dis-inverted" in response to May's rate hike, and the
two-year note is now trading through the fed fund's target of 6.5 %. The
environment for spread product has also improved as market sentiment suggests
the Fed is on hold for the near term.
[GRAPHIC]
Strategy Review
Average maturity for WRL J.P. Money Market right now is 54 days. Throughout the
period, we maintained the barbell construction of the portfolio--significant
portion of assets are invested in short-dated securities while we look to
opportunistically purchase longer maturities on price declines. The significant
concentration in floating rate notes and allocation to asset-backed commercial
paper directly attributed to the excellent performance of the portfolio. Our
highest probability scenario for the U.S. economy offers a three-month outlook
on fed funds of 6.75 %. We also feel that the recent slowdown is not a temporary
event and that the tightening in credit conditions will continue to restrain
economic activity. Inflation appears contained and corporate earnings can be
expected to wane under these conditions. As such, we will continue to look to
add to our asset-backed holdings and modestly extend the weighted average
maturity of the portfolio as we believe economic data will continue to point to
a soft landing for the U.S. economy.
/s/ John T. Donohue /s/ Mark Settles
------------------- ----------------
John T. Donohue Mark Settles
WRL J.P. Morgan Money Market
Co-Portfolio Managers
The views expressed in this commentary on WRL J.P. Morgan Money Market reflect
those of the portfolio managers through the period ended June 30, 2000. They do
not necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
4 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[J.P. MORGAN
INVESTMENT LOGO]
Portfolio Composition 6/30/00
[PIE CHART APPEARS HERE]
Other 0.42%
Certificates of Deposits 19.23%
Commercial Paper 26.93%
Short Term Obligations 53.42%
Maturity Composition 6/30/00
(all amounts in thousands)
[BAR CHART APPEARS HERE]
40,667
41,307
12,363
60,134
49,989
28,500
0
-------------------------------------------------------
Five Largest Holdings (% of Net Assets)
Diageo PLC 6.82% 08/24/2000 4.70%
Bank of Scotland
Treasury - 144A 6.83% 03/05/2001 4.27%
HD Real Estate Funding
Corp. - 144A 6.80% 11/21/2000 4.16%
Deutsche Bank AG - NY 6.19% 12/01/2000 4.06%
UBS AG 6.24% 12/04/2000 3.63%
-------------------------------------------------------
The significant concentration in floating rate notes directly attributed to the
excellent performance of the portfolio.
This material must be preceded or accompanied by the Funds current prospectus.
Past performance does not guarantee future results. An investment in WRL J.P.
Morgan Money Market is neither insured nor guaranteed by the Federal Deposit
Insurance Corporation or any other government agency. Although the fund seeks to
preserve the value of your investment at $1.00 per share, it is possible to lose
money by investing in the fund.
2000 Semi-Annual Report | 5
<PAGE>
WRL AEGON Bond
For the period ended June 30, 2000
...seeks the highest possible current income within the confines of the primary
goal of ensuring protection of capital.
[GRAPHIC]
Market Environment
The Treasury yield curve spent most of the first half of 2000 in an inverted
condition, although the magnitude of the three-year to 10-year relationship
lightened somewhat in the second quarter. An ongoing Treasury buyback program
coupled with three Federal Reserve Board ("Fed") tightenings contributed to the
inversion. Treasuries across the curve rallied for most of the six months,
though the long end stabilized during the second quarter. Fed activity has been
the focus of the market just about all year. Corporate spreads continued to
widen, reaching levels that normally occur only in a recessionary economy. This
widening worked to offset the Treasury rally when considering absolute corporate
bond yields. June finally provided a slight relief to the trend.
[GRAPHIC]
Performance
For the six months ended June 30, 2000, the portfolio posted a total return of
3.58 %, slightly lagging its benchmark, the Lehman Brothers Government/Credit
Index, which returned 4.18 %. The portfolio's overweighted position in spread
product (mostly corporate bonds) is to blame for most of the underperformance.
As spreads widened, security selection and curve positioning efforts were not
enough to overcome the general decline in spread sector market values.
[GRAPHIC]
Strategy Review
The performance of the portfolio reflects our overweighting of spread sectors in
an environment where corporate bond spreads widened while Treasuries rallied. In
addition to general market conditions, one of our corporate credit holdings
suffered during the year and was a significant drag on total return. Our view of
the bond market migrated from neutral-negative during the first quarter to
simply neutral as many of the economic indicators suggested the economy was
cooling. This movement away from a neutral-negative outlook caused us to
maintain the credit overweighting. The current economic cycle with its long slow
peak proved we were a bit ambitious when taking on the additional credit risk.
[GRAPHIC]
Outlook
With economic indicators beginning to show some slowing and market sentiment
leaning to the bullish side, the portfolio will maintain the overweighting in
credit. We are neutral though, not positive, and a further overweight is seen as
too aggressive at this time. Despite the general cooling signals, the committee
is concerned with the labor market tightness and the pressure that it must cause
on inflation. Economic releases are currently driving Fed sentiment and the
direction of the bond market. Further Fed tightening is uncertain and a neutral
Fed would help correct the inversion in the yield curve. Monitoring of these
factors will be crucial for the portfolio in this uncertain market environment.
The remainder of the year will likely see WRL AEGON Bond structured to take
advantage of yield curve shape changes and spread movement between corporate
sectors. We'll be constantly monitoring our allocations based on the direction
of the bond market and Treasury yield curve.
/s/ Clifford A. Sheets /s/ David R. Halfpap
---------------------- --------------------
CLIFFORD A. SHEETS DAVID R. HALFPAP
WRL AEGON Bond
Co-Portfolio Managers
The views expressed in this commentary on WRL AEGON Bond reflect those of the
portfolio managers through the period ended June 30, 2000. They do not
necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
6 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[AEGON* LOGO]
Comparison of change in value of $10,000 investment in WRL Series Fund, Inc.
WRL AEGON Bond and the Lehman Brothers Government/Credit Bond Index
Portfolio Average Annual Total Return
----------------------------------------------
1 Year 5 Years 10 Years From Inception*
------ ------- -------- ---------------
3.22 % 5.23 % 7.53 % 7.05 %
[GRAPHIC]
WRL AEGON Bond $25,502
[GRAPHIC]
LB Gov't. Credit $28,224
[BAR CHART APPEARS HERE]
1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 6/30/00
PLEASE FILL IN PLOT POINTS
The current economic cycle with its long slow peak proved we were a bit
ambitious when taking on the additional credit risk.
* Inception 10/02/1986
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
-------------------------------------------------------
Five Largest Holdings (% of Net Assets)
U.S. Treasury Bond 6.50 % 11/15/2026 7.84 %
U.S. Treasury Bond 7.25 % 05/15/2016 4.14 %
U.S. Treasury Bond 6.25 % 08/15/2023 3.78 %
Federal Home
Loan Bank 5.50 % 08/13/2001 3.70 %
Fannie Mae 5.25 % 01/15/2003 3.62 %
-------------------------------------------------------
Fixed Income Matrix
Maturity Short Intermediate Long
[GRAPHIC]
Fixed Income Matrix
Intermediate Term: Average duration equal to or greater than 3.5 years, but less
than or equal to 6 years.
High Quality: Average credit rating equal to or greater than AA.
This material must be preceded or accompanied by the Funds current prospectus.
2000 Semi-Annual Report | 7
<PAGE>
WRL Janus Growth
For the period ended June 30, 2000
...seeks growth of capital.
[GRAPHIC]
Market Environment
Volatility proved to be the watchword for the first half of 2000. True to form,
the extreme fluctuations that defined the period were the result of uncertainty
over the direction of interest rates. Although the Federal Reserve Board ("Fed")
boosted rates three times, investors feared further hikes as the economy
continued to power ahead. In June, however, investors breathed a sigh of relief
after a handful of government reports suggested the record-breaking economic
expansion was losing steam. But Fed policymakers were not as easily convinced.
Although they passed on raising rates for a fourth time, they also warned that
signs of a slowdown were tentative and preliminary at best. In the end, all
major market indexes languished in negative territory for the year, with the
technology-heavy NASDAQ Composite Index suffering the biggest losses.
[GRAPHIC]
Performance
Shrugging off this volatility as merely background noise, the portfolio focused
on companies with dominant market franchises, superior management teams and
solid earnings growth. For the six months ended June 30, 2000, WRL Janus Growth
produced a total return of (1.96)%. The Standard and Poor's Index of 500 Common
Stocks, by comparison, returned (0.42)% for the same period.
[GRAPHIC]
Strategy Review
Leading semiconductor maker Xilinx Inc. was a standout for the portfolio this
period. Xilinx Inc. makes complex programmable logic chips, which are integrated
circuits that customers can program to perform specific functions in electronic
devices such as computer workstations and cellular radio base stations. The
company recently introduced two new product families for communications,
networking, video and image processing, and other applications requiring a large
amount of bandwidth. Acceptance of these highly specialized chips has been
nothing short of phenomenal, enabling Xilinx Inc. to expand into new and larger
markets. With all of these positive factors in its favor, we expect that Xilinx
Inc. will continue to be a strong performer for us.
Despite a tailspin in technology stocks, e-commerce transactions company BEA
Systems, Inc. was a winner. BEA Systems, Inc. products allow businesses with
older mainframe computer systems to build reliable e-commerce infrastructures
utilizing their existing equipment. What's more, some of the world's most
innovative companies rely on BEA Systems, Inc. flagship TUXEDO software to help
them process millions of transactions daily. As the company pursues its strategy
of developing proprietary leading-edge software and expanding its product line
through acquisitions, we believe BEA Systems, Inc. will keep producing solid
results.
Working against us was top software maker Microsoft Corporation, whose shares
suffered a free fall as it became apparent that the federal court adjudicating
the U.S. Department of Justice's antitrust case against the software giant was
leaning toward breaking up the company. Additionally, leading e-tailer
Amazon.Com, Inc's. stock price tumbled after a Wall Street analyst's negative
assessment of the company's credit quality and cash reserves. Nevertheless, we
elected to maintain the positions as we monitor both situations closely.
[GRAPHIC]
Outlook
From here, we expect the recent market volatility to be the rule rather than the
exception. That being the case, our long-term investment strategy is to closely
align the portfolio with what we view as the leaders in a number of
forward-thinking industries, thereby enabling us to weather the ups and downs of
the market successfully.
/s/ Edward Keely
----------------
EDWARD KEELY
WRL Janus Growth
Portfolio Manager
The views expressed in this commentary on WRL Janus Growth reflect those of the
portfolio manager through the period ended June 30, 2000. They do not
necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
8 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[JANUS LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL Janus Growth and the Standard and Poor's Index of 500 Common Stocks
Portfolio Average Annual Total Return
--------------------------------------------------
1 Year 5 Years 10 Years From Inception*
--------------------------------------------------
30.76 % 33.56 % 22.05 % 22.37 %
[GRAPHIC]
WRL Janus Growth $ 160,331
[GRAPHIC]
S&P 500 $ 90,401
[BAR CHART APPEARS HERE]
1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 6/30/00
PLEASE FILL IN PLOT POINTS
We expect the recent market volatility to be the rule rather than the exception.
* Inception 10/02/1986
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
-----------------------------------------------
Five Largest Holdings (% of Net Assets)
Nokia Oyj - ADR 8.83 %
Cisco Systems, Inc. 6.69 %
General Electric Company 5.68 %
America Online, Inc. 4.62 %
Time Warner Inc. 3.71 %
-----------------------------------------------
-----------------------------------------------
Five Largest Industries (% of Net Assets)
Computer & Data Processing Services 17.10 %
Communications Equipment 12.67 %
Electronic Components & Accessories 9.80 %
Computer & Office Equipment 9.46 %
Telecommunications 9.17 %
-----------------------------------------------
Equity Matrix
Investment Style
[GRAPHIC]
Equity Matrix
Growth: An investment style in which the Portfolio Manager looks for equity
securities with present and anticipated high rates of earnings growth. Per-share
price is not emphasized as much as it is in value investing.
Large Capitalization: Largest 5 % of the top 5,000 U.S. stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
2000 Semi-Annual Report | 9
<PAGE>
WRL Janus Global
For the period ended June 30, 2000
...seeks long-term growth of capital in a manner consistent with the
preservation of capital.
[GRAPHIC]
Market Environment
Judging by our modest gains, the environment for global equities proved
increasingly challenging. In the U.S., growing inflation concerns prompted the
Federal Reserve Board to raise short-term interest rates on three separate
occasions. Although the effects of monetary tightening were slow in coming,
signs of an economic pullback appeared late in the period. Elsewhere, European
markets struggled with uneven economic growth and weakness in the euro.
Meanwhile, the emerging markets of Asia and Latin America fared better,
bolstered by improving economic fundamentals. In contrast, Japanese equities,
particularly technology and telecommunications stocks, were pressured by a
growing budget deficit and lackluster economy.
As a result, what was a volatile market to begin with intensified dramatically.
During the first half of the period demand for technology, telecommunications,
and other new economy stocks drove a number of indexes to all-time highs.
Beginning in March, a broad market sell-off took hold, brought on largely by
profit taking in valuation-stretched technology issues. Investors then
redirected their attention to old economy companies believed to be embracing
so-called new economy technology and methodology, at times signaling a shift in
market leadership. In reality, though, the markets seemed to have no clear
direction, experiencing abrupt swings on an almost daily basis.
[GRAPHIC]
Performance
Against this backdrop, WRL Janus Global produced a total return of 1.75 % for
the six months ended June 30, 2000. By comparison, the portfolio's benchmark,
the Morgan Stanley Capital International World Index returned (2.41)% for the
same period.
[GRAPHIC]
Strategy Review
Macroeconomic and market events aside, we stood by our strategy of identifying
individual companies that combine dominant franchises, compelling products and
services, and visionary management. In particular, we continued to pursue
opportunities with the potential to transcend short-term fluctuations, such as
Internet security. As the Internet becomes more of a marketing and procurement
tool in the business-to-business space, safeguarding communications and
e-commerce transactions takes on even greater importance. Israel's Check Point
Software Technologies, Ltd., which has assumed a first-mover advantage in
firewall software, recently announced the introduction of new systems that
secure a number of integrated applications from one central location. Superior
fundamentals pushed Check Point Software Technologies, Ltd. substantially higher
during the period despite the dramatic declines of many Internet-related
companies.
The rapid growth of the Internet is also driving demand for data storage.
U.S.-based EMC Corporation, the leader in high-end computer storage software,
benefited from its new line of network-attached storage systems aimed at the
middle market. EMC Corporation's technological edge is impressive and has
resulted in substantial pricing power over its competition.
These successes notwithstanding, market volatility took its toll on several of
our holdings. Japanese telecom giant NTT DoCoMo, Inc. declined even as its
wireless Internet service experienced rapid growth. Sony Corporation, the
Japanese consumer electronics bellwether, fell significantly despite its
dominance in the popular video-game console business. Our research reflects
improving fundamentals, though, and we have maintained both positions.
[GRAPHIC]
Outlook
We remain optimistic regarding the future of the global economy. Prospects for
Asia and emerging markets appear considerably brighter. In the near term,
however, lingering economic uncertainty will likely lead to further volatility.
Therefore, we will stay focused on the fundamentals of individual companies,
carefully watching valuation levels and investing in businesses we believe can
generate strong results in any economic environment.
/s/ Helen Young Hayes /s/ Laurence Chang
--------------------- ------------------
HELEN YOUNG HAYES LAURENCE CHANG
WRL Janus Global
Co-Portfolio Managers
The views expressed in this commentary on WRL Janus Global reflect those of the
portfolio managers through the period ended June 30, 2000. They do not
necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
10 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[JANUS LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL Janus Global and the Morgan Stanley Capital International World Index
Portfolio Average Annual Total Return
-------------------------------------------------
1 Year 5 Years 10 Years From Inception
-------------------------------------------------
52.85 % 31.18 % N/A 26.16 %
[GRAPHIC]
WRL Janus Global $ 58,136
[GRAPHIC]
MS Intl. World $ 32,160
[BAR CHART APPEARS HERE]
12/3/92* 1992 1993 1994 1995 1996 1997 1998 1999 6/30/00
PLEASE FILL IN PLOT POINTS
We continued to pursue opportunities with the potential to transcend short-term
fluctuations.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
------------------------------------------------
Five Largest Holdings (% of Net Assets)
China Mobile (Hong Kong)
Limited - ADR 5.02 %
Cisco Systems, Inc. 4.57 %
NTT DoCoMo, Inc. 3.89 %
Vodafone Airtouch PLC 3.86 %
Nokia Oyj 3.55 %
------------------------------------------------
------------------------------------------------
Five Largest Industries (% of Net Assets)
Telecommunications 24.45 %
Communications Equipment 12.44 %
Computer & Office Equipment 8.11 %
Electronic Components & Accessories 6.07 %
Pharmaceuticals 6.01 %
------------------------------------------------
Equity Matrix
INVESTMENT STYLE
[GRAPHIC]
Equity Matrix
Growth: An investment style in which the Portfolio Manager looks for equity
securities with present and anticipated high rates of earnings growth. Per-share
price is not emphasized as much as it is in value investing.
Large Capitalization: Largest 5 % of the top 5,000 U.S. stocks.
This material must be preceded or accompanied by the Funds current prospectus.
International investing involves risks that include currency fluctuations,
political instability, and different accounting standards.
2000 Semi-Annual Report | 11
<PAGE>
WRL LKCM Strategic Total Return
For the period ended June 30, 2000
...seeks current income, long-term growth of income, and capital appreciation.
[GRAPHIC]
Market Environment
The first half of 2000 was marked by negative rates of return across almost all
the popular stock market indexes. In fact, the first half of this year was the
first time since the first half of 1994 that the Standard and Poor's Index of
500 Common Stocks (S&P 500), the Dow Jones Industrial Average, and the NASDAQ
Composite all generated negative returns during the first six months of a
calendar year. Additionally, and much noted, the level of volatility in the
stock market has moved to historically high levels. At the same time, the bond
market experienced some unique changes. As the Federal Reserve Board ("Fed")
increased interest rates, short-term rates moved higher while long-term interest
rates, primarily due to a dwindling supply of long-dated Treasuries, fell from
year-ago levels.
[GRAPHIC]
Performance
For the six months ended June 30, 2000, the portfolio produced a total return of
(2.21)%. For the same period, the S&P 500 returned (0.42)% while the Lehman
Brothers Intermediate Government/Corporate Bond Index gained 3.22 %.
[GRAPHIC]
Strategy Review
Over the period, the stock market transitioned from last years unsustainable and
insatiable desire for "growth at any price" toward a more balanced perspective
of "growth at a reasonable price". While this is a more suitable environment for
our fundamentally driven investment approach, the backdrop provided by the
equity markets has a meaningful influence over short-term portfolio performance.
So even though our valuation discipline benefited the portfolio during the down
months of the period, the portfolio did not fully participate in the sharp
increase over the month of March. The rally was dominated by a bounce in
out-of-favor stocks with depressed valuations and, in many instances,
questionable fundamental outlooks. We, on the other hand, invest primarily in
the stocks of companies that have business models characterized by above-average
and sustainable returns on invested capital, strong and growing cash flows, and
clear financial strength.
While any successful investment strategy will experience temporary periods of
dislocation, those are the times to adhere to it with the most determination.
Emerging from March, we did exactly that and the relative performance results
have been satisfying. Healthcare, the top performing economic sector during the
period, continued to be a large contributor to the portfolios performance.
Overall stock selection continued to add value as individual investments within
each sector, whether or not the particular sector performed well or poorly,
tended to outpace the sector averages.
[GRAPHIC]
Outlook
From a macro-economic standpoint, the Fed seems to be raising interest rates
enough to temper inflationary pressures while achieving a "soft landing" in
economic growth. While this would be an especially attractive environment for
financial assets, investor sentiment seems to already reflect the soft landing
viewpoint, which could create opportunity for disappointment. Volatility will
likely remain high as the impact of higher interest rates and slower economic
growth on corporate profits remains uncertain. Nevertheless, we believe that as
the period of unsustainable investor euphoria winds down, fundamental investing
disciplines will gain favor in the stock market. As a result, the environment is
especially suited for the portfolio's blend of asset classes.
/s/ Luther King /s/ Scot C. Hollmann
--------------- --------------------
LUTHER KING SCOT C. HOLLMANN
WRL LKCM Strategic Total Return
Co-Portfolio Managers
The views expressed in this commentary on WRL LKCM Strategic Total Return
reflect those of the portfolio managers through the period ended June 30, 2000.
They do not necessarily represent the views of WRL Investment Management, Inc.
("WRL Management"). Any such views are subject to change at any time based upon
market or other conditions and WRL Management disclaims any responsibility to
update such views. These views may not be relied upon as investment advice and,
because trading decisions are based upon numerous factors, may not be relied
upon as an indication of trading intent.
12 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[LKCM LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL LKCM Strategic Total Return, the Standard and Poor's Index of 500 Common
Stocks and the Lehman Brothers Intermediate Government/Corporate Bond Index
Portfolio Average Annual Total Return
-------------------------------------------------
1 Year 5 Years 10 Years From Inception
-------------------------------------------------
2.67 % 13.45 % N/A 12.49 %
[GRAPHIC]
WRL LKCM Strategic
Total Return $ 23,692
[GRAPHIC]
S&P 500 $ 38,151
[GRAPHIC]
LB Intm. Gov't./Corp.
Bond $ 15,716
[BAR CHART APPEARS HERE]
3/1/93* 1993 1994 1995 1996 1997 1998 1999 6/30/00
PLEASE FILL IN PLOT POINTS
We believe that as the period of unsustainable investor euphoria winds down,
fundamental investing disciplines will gain favor in the stock market.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
----------------------------------------
Five Largest Holdings (% of Net Assets)
General Electric Company 2.85 %
Viacom, Inc. - Class B 2.48 %
Pharmacia Corporation 2.23 %
Microsoft Corporation 2.14 %
Colgate-Palmolive Company 2.03 %
----------------------------------------
----------------------------------------
Five Largest Industries (% of Net Assets)
Telecommunications 10.42 %
Commercial Banks 8.67 %
Computer & Office Equipment 7.01 %
Communication 5.91 %
Chemicals & Allied Products 5.89 %
----------------------------------------
Equity Matrix
Investment Style
[GRAPHIC]
Fixed Income Matrix
Maturity
[GRAPHIC]
Equity Matrix
Blend: An investment style that blends both value style and growth style
approaches. Value style emphasizes securities currently out of favor but with
the potential to recover, while growth style concentrates on securities with
present and anticipated earnings growth.
Medium Capitalization: Stocks ranked 251 through 1,000 of the top 5,000 U.S.
stocks.
Fixed Income Matrix
Intermediate Term: Average duration equal to or greater than 3.5 years, but less
than or equal to 6 years.
Medium Quality: Average credit rating of BBB or A.
This material must be preceded or accompanied by the Fund's current prospectus.
2000 Semi-Annual Report | 13
<PAGE>
WRL VKAM Emerging Growth
For the period ended June 30, 2000
...seeks capital appreciation.
[GRAPHIC]
Market Environment
After a strong start to the year, all of the major market indexes fell sharply
during the period. The technology-heavy NASDAQ Composite burst into the year
with a continuation of its strong 1999 performance, posting a 22 % gain at its
peak on March 10. From there, however, it fell some 40 % by late May before
rallying at periods end. Several factors contributed to the market's
disappointing performance, not the least of which were the three rate hikes by
the Federal Reserve Board ("Fed"). On top of that, Internet companies struggled
badly amidst concerns over business models, funding, and high valuations. While
investors were understandably skeptical about some Internet stocks, many
higher-quality stocks were nevertheless caught in the market's downdraft and
performed poorly as well.
[GRAPHIC]
Performance
Despite the volatility, the portfolio performed relatively well. For the six
months ended June 30, 2000, WRL VKAM Emerging Growth gained 11.32 %, outpacing
its benchmark, the Standard and Poor's Index of 500 Common Stocks, which
returned (0.42)%.
[GRAPHIC]
Strategy Review
We look for stocks with rising earnings expectations and rising valuations, and
the past six months were no different. We invested in those companies we
believed had the potential to earn even more than Wall Street predictions.
Conversely, we sold stocks whose earnings expectations or valuations were
declining. We consistently manage the portfolio from the "bottom up," meaning we
evaluate each company individually before deciding to invest. This approach
leads us to areas of the market where we believe we can find attractive stocks
at any given time. In the past six months, this included companies positioned to
profit from advanced technologies, such as semiconductors and communications
infrastructure. It also meant we reduced the portfolio's exposure to stocks that
typically are sensitive to a slowdown in consumer spending, especially retail
stocks.
The rapid build-out of the Internet created several successful investment
opportunities. The portfolio benefited the most from its investment in JDS
Uniphase Corporation, a manufacturer of advanced fiber-optic devices used in
high-speed telecommunications networks. We also did well with Corning
Incorporated, who manufactures advanced fiber-optic cabling that allows for
higher-speed Internet access, and SDL, Inc., who makes advanced fiber
optic-related products that increase Internet bandwidth. Advanced semiconductor
companies such as LSI Logic Corporation, Xilinx Inc., and PMC-Sierra, Inc. also
helped boost portfolio returns.
On the downside, the biggest drag on performance this period was QUALCOMM
Incorporated, the company that licenses CDMA (code division multiple access)
technology, the standard for cellular phones. QUALCOMM Incorporated's stock fell
in response to concerns that China would not adopt CDMA as its cellular-phone
standard and that worldwide handset sales failed to live up to expectations.
Several retail stocks, including The Home Depot, Inc. and Circuit City
Stores--Circuit City Group, also had a negative impact on returns as their
prices fell over concerns that rising interest rates would cool consumer demand.
We sold all of these stocks during the period.
[GRAPHIC]
Outlook
Stock valuations have fallen to what we believe are more realistic and healthy
levels. The overall earnings outlook remains strong, and we expect the Fed to
raise rates only one more time this year. All of these factors point to the
potential for strong market performance in the coming months. Political
posturing, however, by presidential candidates will affect the market this year
and we will be diligent in looking for opportunities to profit from these market
changes. Regardless of short-term uncertainties, we will adhere to our
investment discipline: bottom-up stock picking that focuses on rising earnings
expectations and rising valuations.
/s/ Gary M. Lewis
-----------------
GARY M. LEWIS
WRL VKAM Emerging Growth
Portfolio Manager
The views expressed in this commentary on WRL VKAM Emerging Growth reflect those
of the portfolio manager through the period ended June 30, 2000. They do not
necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
14 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[VAN KAMPEN INVESTMENTS LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL VKAM Emerging Growth and the Standard and Poor's Index of 500 Common Stocks
Portfolio Average Annual Total Return
-----------------------------------------------
1 Year 5 Years 10 Years From Inception
-----------------------------------------------
88.86 % 40.29 % N/A 32.06 %
[GRAPHIC]
WRL VKAM
Emerging Growth $ 76,800
[GRAPHIC]
S&P 500 $ 38,151
[BAR CHART APPEARS HERE]
3/1/93* 1993 1994 1995 1996 1997 1998 1999 6/30/00
PLEASE FILL IN PLOT POINTS
We invested in those companies we believed had the potential to earn even more
than Wall Street predictions.
* Inception
WRL VKAM Emerging Growth had extensive technology holdings, which had
exceptional growth during the past 12 months. Investing in technology stocks
generally involves greater volatility and risks so an investment in the fund may
not be appropriate for everyone.
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
-------------------------------------------------
Five Largest Holdings (% of Net Assets)
JDS Uniphase Corporation 4.37 %
Corning Incorporated 4.29 %
Veritas Software Corporation 2.71 %
Nortel Networks Corporation 2.57 %
Siebel Systems, Inc. 2.53 %
-------------------------------------------------
-------------------------------------------------
Five Largest Industries (% of Net Assets)
Electronic Components & Accessories 22.83 %
Computer & Data Processing Services 17.82 %
Communications Equipment 10.99 %
Computer & Office Equipment 7.19 %
Pharmaceuticals 5.35 %
-------------------------------------------------
Equity Matrix
INVESTMENT STYLE
[GRAPHIC]
Equity Matrix
Growth: An investment style in which the Portfolio Manager looks for equity
securities with present and anticipated high rates of earnings growth. Per-share
price is not emphasized as much as it is in value investing.
Small Capitalization: Smallest 80 % of the top 5,000 U.S. stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
Companies with small capitalization have the potential for greater volatility
than companies with large capitalization. The limited volume and trading
frequency of small-capitalization stocks may result in substantial price
deviation. Further, companies with small capitalization may experience more
significant growth and failure rates than companies with large capitalization.
2000 Semi-Annual Report | 15
<PAGE>
WRL Alger Aggressive Growth
For the period ended June 30, 2000
...seeks long-term capital appreciation.
[GRAPHIC]
Market Environment
The stock market experienced an extremely volatile start to the period.
Following an enormously strong fourth quarter of 1999, the market seemed poised
to continue its rally during the traditionally bullish month of January. Stocks
struggled, however, as profit-taking and interest rate fears weighed on the
market. The continued struggles of most value stocks, meanwhile, brought
increased public attention to the ongoing bifurcated nature of the market. The
tables turned in March as money flowed out of technology stocks and into
so-called "old-economy stocks," including financials, pharmaceuticals and
retailers.
Alarmingly, on April 4th, the NASDAQ fell in excess of 500 points intraday, the
first in a series of selloffs that would take the index to a low of 3227 on
April 11th--a drop of more than 37 % from high to low. Following a minor
recovery, the NASDAQ's plummet began anew in May, before finally bottoming at
3043 on May 24th. This brought the total drop in the technology heavy index to
41 %.
From there, stocks recovered through period's end. Boosted by a series of
economic reports indicating a slowing economy, the NASDAQ rallied some 33 % to
its June 22nd high. After a 50-basis points rate hike in May, the Federal
Reserve Board ("Fed") held steady in June, giving credibility to the notion that
the economy has indeed been slowing.
[GRAPHIC]
Performance
For the six month period ended June 30, 2000, the WRL Alger Aggressive Growth
Portfolio returned (7.34)%. By comparison, the portfolio's benchmark, the
Standard and Poor's Index of 500 Common Stocks returned (0.42)%. Notably,
however, the portfolio's trailing 12-month return is still 33.15 %.
[GRAPHIC]
Strategy Review
Technology and Internet stocks were the market's most volatile performers during
the first half. While some of our technology stocks experienced very good first
quarters, most posted significant losses during the second, particularly the
more aggressive names. Overall, the portfolio was hurt during the first half by
its strong overweighting in the technology sector. Two of our three worst
first-half performers, Yahoo! Inc. and RealNetworks, Inc., are technology
stocks, and the third, CNET Networks, Inc., is also technology-related.
Interestingly, though, the three best performing stocks for the period were also
technology names--SDL, Inc., Brocade Communications Systems, Inc. and Altera
Corporation all produced triple-digit returns.
[GRAPHIC]
Outlook
While we'll have to see if the economic news continues to show a moderating
economy, it is our sense that by the time we get to August, the Fed will no
longer be inclined to raise rates. In that event, we should have a sharp rally
in both the bond and stock markets in the second half of the year, much as we
had in early 1995. We are maintaining our earlier forecast of 13,000 on the Dow
by year-end and continue to believe that technology stocks and growth stocks
will have a strong second half. Regardless of market conditions, we will persist
in emphasizing individual security selection through thorough research. We will
continue to seek out and invest in companies that we believe will grow their
earnings rapidly and consistently.
/s/ David D. Alger
------------------
DAVID D. ALGER
President, Fred Alger Management, Inc.
The views expressed in this commentary on WRL Alger Aggressive Growth reflect
those of the portfolio manager through the period ended June 30, 2000. They do
not necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
16 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[FRED ALGER MANAGEMENT, INC. LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL Alger Aggressive Growth and the Standard and Poor's
Index of 500 Common Stocks
Portfolio Average Annual Total Return
-----------------------------------------------
1 Year 5 Years 10 Years From Inception
-----------------------------------------------
33.15 % 27.27 % N/A 26.16 %
[GRAPHIC]
WRL Alger
Aggressive Growth $ 43,550
[GRAPHIC]
S&P 500 $ 35,216
[BAR CHART APPEARS HERE]
3/1/94* 1994 1995 1996 1997 1998 1999 6/30/00
PLEASE FILL IN PLOT POINTS
The portfolio was hurt during the first half by its strong overweighting in the
technology sector.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
------------------------------------------------
Five Largest Holdings (% of Net Assets)
Applied Materials, Inc. 3.86 %
Microsoft Corporation 3.51 %
Cisco Systems, Inc. 3.31 %
Texas Instruments Incorporated 2.91 %
JDS Uniphase Corporation 2.89 %
------------------------------------------------
------------------------------------------------
Five Largest Industries (% of Net Assets)
Electronic Components & Accessories 23.70 %
Computer & Data Processing Services 18.66 %
Computer & Office Equipment 9.39 %
Telecommunications 7.43 %
Business Services 4.60 %
------------------------------------------------
Equity Matrix
INVESTMENT STYLE
[GRAPHIC]
Equity Matrix
Growth: An investment style in which the Portfolio Manager looks for equity
securities with present and anticipated high rates of earnings growth. Per-share
price is not emphasized as much as it is in value investing.
Medium Capitalization: Stocks ranked 251 through 1,000 of the top 5,000 U.S.
stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
2000 Semi-Annual Report | 17
<PAGE>
WRL AEGON Balanced
For the period ended June 30, 2000
...seeks preservation of capital, reduced volatility, and superior long-term
risk-adjusted returns.
[GRAPHIC]
Market Environment
Fears of a hawkish Federal Reserve Board ("Fed") were on the minds of investors
this period. This apprehension was centered on the possibility of successive
interest rate increases that would ultimately slow the economy. Further Fed
action put growth into question and reaffirmed the value of old economy stocks.
In the first few weeks of the second quarter, when Fed fear was greatest, not
even value stocks felt completely safe as the Russell 1000 Value Index rally
started to crumble. Crumbling was nothing when compared to the NASDAQ Composite,
which in the first 11 trading days of April fell 27 %.
Since then, or more specifically since mid-to-late May, the Fed raised the Fed
Funds rate by 50 basis points and some economic data suggested the economy is
starting to slow. Though the data lessened apprehension about more interest rate
increases, it raised fears of an economic slowdown and earnings shortfall in old
economy companies. More to the point, earnings shortfall for companies not
benefiting from the technology revolution. As a result, from May 24 to the end
of June, the NASDAQ was up 21 % while the Russell 1000 Value was down 4 %. If
this pattern sounds familiar, it's because things happened pretty much the same
way last year.
[GRAPHIC]
Performance
For the six months ended June 30, 2000, the portfolio produced a total return of
(0.45)%. By comparison, the Standard and Poor's Index of 500 Common Stocks
returned (0.42)% and the Lehman Brothers Intermediate Government/Corporate Bond
Index gained 3.22 % for the same period.
[GRAPHIC]
Strategy Review
On average the stocks in the portfolio were flat to slightly down. On a positive
note, our healthcare stocks, particularly Abbott Laboratories and Merck & Co.,
Inc., produced great returns. Other solid performers in the portfolio included
Hewlett-Packard Company in technology, and Washington Mutual, Inc. and American
International Group, Inc. in financials. Late in the first quarter we made a
commitment to communication services. It has been a difficult time for this
group, but we think the trends in communications with wireless handsets and data
are tremendous. In that space we sold AT&T Corp. and swapped into Sprint
Corporation (FON Group).
For about a year now we have been shifting the fixed-income portion of the
portfolio from Treasuries to agency and corporate bonds. This has raised the
portfolio's current yield without increasing credit risk substantially. A
slowing economy and increased credit risk concerns slightly widened the
difference between the yields of corporate bonds and Treasuries. This pushed
corporate bond prices down relative to Treasuries, thus hurting performance.
From here, we see spreads tightening as worries over a Fed induced economic
slowdown wane.
[GRAPHIC]
Outlook
Our equity strategy will include quality swaps (like we did with AT&T
Corp./Sprint Corporation (FON Group) and Georgia-Pacific Group/The Kroger Co.
and to stay with larger-cap names. We also are looking to add capital goods and
possibly utilities to the mix, as we are underweighted in both these sectors.
With bonds, we made the decision to increase the current yield and are staying
with it. We think it is a little too early to tell what the Fed will do at its
August meeting, but there is a very good chance authorities will raise rates one
more time. If the Fed does raise rates, we think it will be the last tightening,
which would be a positive for the stock and bond markets and the economy in
general.
/s/ Michael Van Meter
---------------------
MICHAEL VAN METER
WRL AEGON Balanced
Portfolio Manager
The views expressed in this commentary on WRL AEGON Balanced reflect those of
the portfolio manager through the period ended June 30, 2000. They do not
necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
18 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[AEGON LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL AEGON Balanced, the Standard and Poor's Index of 500 Common Stocks and the
Lehman Brothers Intermediate Government/Corporate Bond Index
Portfolio Average Annual Total Return
-----------------------------------------------
1 Year 5 Years 10 Years From Inception
-----------------------------------------------
(3.75) % 9.38 % N/A 7.77 %
[GRAPHIC]
WRL AEGON
Balanced $ 16,057
[GRAPHIC]
S&P 500 $ 35,216
[GRAPHIC]
LB Intm. Gov't./Corp.
Bond $ 14,313
[BAR CHART APPEARS HERE]
3/1/94* 1994 1995 1996 1997 1998 1999 6/30/00
PLEASE FILL IN PLOT POINTS
Fed action put growth into question and reaffirmed the value of old economy
stocks.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
-----------------------------------------------
Five Largest Holdings (% of Net Assets)
Sun Microsystems, Inc. 7.01 %
Citigroup Inc. 4.73 %
American International Group, Inc. 4.56 %
General Electric Company 4.01 %
Merck & Co., Inc. 3.86 %
-----------------------------------------------
-----------------------------------------------
Five Largest Industries (% of Net Assets)
Computer & Office Equipment 16.31 %
Commercial Banks 10.74 %
Telecommunications 10.34 %
U.S. Government Agencies 8.43 %
Insurance 7.20 %
-----------------------------------------------
Equity Matrix
INVESTMENT STYLE
[GRAPHIC]
Fixed Income Matrix
MATURITY
[GRAPHIC]
Equity Matrix
Value: An investment style that focuses on stocks, which a Portfolio Manager
thinks are currently depressed in price and will eventually have their worth
recognized by the market. When and if the share price recovers, the manager
attempts to gain a profit.
Large Capitalization: Largest 5 % of the top 5,000 U.S. stocks.
Fixed Income Matrix
Long Term: Average duration of more than 6 years.
High Quality: Average credit rating equal to or greater than AA.
This material must be preceded or accompanied by the Funds current prospectus.
2000 Semi-Annual Report | 19
<PAGE>
WRL Federated Growth & Income
For the period ended June 30, 2000
...seeks total return.
[GRAPHIC]
Market Environment
In a turbulent period for the stock market, WRL Federated Growth & Income
delivered what we consider to be excellent results. Not only did this "defensive
equity" portfolio suffer only one-fifth of the market's decline during periods
of market "stress", the return for the entire period sharply exceeded that of
its benchmark. Substantial gains from our large holdings of energy, real estate
investment trusts (REITs), and utility stocks contributed to the portfolio's
relatively strong returns.
[GRAPHIC]
Performance
For the six-month period ended June 30, 2000, the portfolio produced a total
return of 6.85 %. The Russell Mid-Cap Value Index returned (0.69)% for the same
period. By further comparison, the Russell 3000 Index, meanwhile, gained 0.95 %
and the Standard and Poor's Index of 500 Common Stocks ("S&P 500") returned
(0.42)% for the six months.
[GRAPHIC]
Strategy Review
We've continued to favor energy shares and REITs, which are the largest
portfolio holdings. The fundamental outlook for energy is the best it's been in
years; insufficient capital spending combined with an economic boom has resulted
in tight markets, particularly for domestic natural gas. We are most
enthusiastic about natural gas, despite the sharp rise in the stocks. REITs
still offer solid fundamentals of low vacancy rates and rents that are rising
faster than costs.
Inside the energy sector, El Paso Energy Corp. and Keyspan Corporation were
among our top performers, both gaining more than 30 % for the period. Among
REITs, our emphasis on the apartment and office sectors was successful. Post
Properties, Inc., a top apartment company, turned in particularly strong
numbers. Electric and gas utilities generally had significant positive returns
as a shortage of electric power and tight natural gas markets produced gains in
the power sector.
Basic materials was the weakest sector, with rising interest rates leading to
concerns about slowing economic growth and falling profits. Forest products
producer Georgia-Pacific Group's convertible preferred shares fell sharply over
the period. The decline in the sector, however, has brought valuations down to
the level of the last recession and these stocks now seem to be discounting
weaker earnings than we expect.
[GRAPHIC]
Outlook
WRL Federated Growth & Income's conservative, even contrarian, approach has
served investors well we think. The portfolio's performance has been
particularly impressive when the overall market has been under stress. By our
measurements, when the broad market has declined at least 5 %, the portfolio has
declined only 30 % as much. So far this year, we figure the portfolio has fallen
only 21 % as much as the S&P 500 during periods of decline.
We believe this is an attractive "all-weather" portfolio ideal for a probable
shift in the investment climate. Based on financial market history, we face a
return to longer-term norms that include more than just the short-term balmy
conditions to which investors have become accustomed.
/s/ Steven J. Lehman /s/ Linda A. Duessel
-------------------- --------------------
STEVEN J. LEHMAN LINDA A. DUESSEL
WRL Federated Growth & Income
Co-Portfolio Managers
The views expressed in this commentary on WRL Federated Growth & Income reflect
those of the portfolio managers through the period ended June 30, 2000. They do
not necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
20 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[Federated
WORLD-CLASS INVESTMENT MANAGER LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL Federated Growth & Income, the Russell Midcap Value Index
and the Russell 3000 Index.
Portfolio Average Annual Total Return
--------------------------------------------------
1 Year 5 Years 10 Years From Inception*
--------------------------------------------------
(1.06) % 10.75 % N/A 9.24 %
[GRAPHIC]
WRL Federated
Growth & Income $ 17,498
[GRAPHIC]
Russell Midcap Value $ 28,224
[GRAPHIC]
Russell 3000 $ 28,224
[BAR CHART APPEARS HERE]
3/1/94* 1994 1995 1996 1997 1998 1999 6/30/00
PLEASE FILL IN PLOT POINTS
The portfolio's performance has been particularly impressive when the overall
market has been under stress.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
-----------------------------------------------
Five Largest Holdings (% of Net Assets)
Enron Corp. - Exchangeable Notes 2.00 %
Coastal Corporation (The) 1.95 %
Post Properties, Inc. 1.71 %
Kerr-McGee Corporation 1.68 %
Edison International 1.61 %
-----------------------------------------------
-----------------------------------------------
Five Largest Industries (% of Net Assets)
Holding & Other Investment Offices 11.14 %
Gas Production & Distribution 10.88 %
Oil & Gas Extraction 7.04 %
Real Estate 4.86 %
Paper & Allied Products 4.47 %
-----------------------------------------------
Equity Matrix
INVESTMENT STYLE
[GRAPHIC]
Equity Matrix
Value: An investment style that focuses on stocks, which a Portfolio Manager
thinks are currently depressed in price and will eventually have their worth
recognized by the market. When and if the share price recovers, the manager
attempts to gain a profit.
Medium Capitalization: Stocks ranked 251 through 1,000 of the top 5,000 U.S.
stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
2000 Semi-Annual Report | 21
<PAGE>
WRL Dean Asset Allocation
For the period ended June 30, 2000
...seeks preservation of capital and competitive investment returns.
[GRAPHIC]
Market Environment
It was a difficult environment for most sectors of the stock market across the
first half of the year. While growth in the U.S. economy remained robust,
investors kept a nervous eye on the Federal Reserve Board ("Fed"). The Fed's
recent interest rate actions were seen as an offset to possible inflationary
pressures resulting from higher oil prices and tighter labor markets. Meanwhile,
with the red-hot Internet sector suffering a difficult shakeout and many of the
traditional technology players facing order slowdowns and pricing pressures, the
NASDAQ Composite slipped into a fairly dramatic correction. In April alone, the
tech-heavy index fell some 15 %, continuing a slide that began in mid-March. At
the end of the period, all of the major indexes dominated by large-cap stocks
were below their 1999 year-end levels.
[GRAPHIC]
Performance
Our performance held up relatively well in this market environment. For the six
months ended June 30, 2000, the portfolio returned 1.26 %. By comparison, the
Standard and Poor's Index of 500 Common Stocks returned (0.42)% and the Lehman
Brothers Intermediate Government/Corporate Bond Index was up 3.22 % for the same
period. Another good equity comparison, the Russell 1000 Value Index, returned
(4.23)%.
[GRAPHIC]
Strategy Review
Our single largest equity sector commitment continued to be in financial
services. Although year-to-date performance for the sector as a whole was
nothing special, several individual equity positions added solid value,
specifically Alliance Capital Management Holding L.P. and Hartford Life, Inc. It
is our belief that the Fed will be successful in their goal of slowing the
economy and the pressure on interest rates will subside as we move into the
second half of 2000. If this scenario does in fact occur, we would expect our
commitment to financials to be rewarded across most, if not all, positions.
Fully 85 % of the assets in the equity portfolio are invested in firms with a
market capitalization exceeding $ 5 billion. It's evident that in times of
uncertainty, investors gravitate toward stocks with high liquidity and familiar
brands. Our growing commitment to large-cap stocks and high-quality names
provide the portfolio with relative stability. At the same time, we remain
disciplined value investors with an eye toward companies that will grow earnings
at a favorable rate. These characteristics drive to the heart of our
objective--preservation of capital with competitive investment results.
[GRAPHIC]
Outlook
As we move into the second half of 2000, certain economic and market indicators
are beginning to show considerable improvement and should be viewed
constructively by the markets. The current valuation of the broad market would
suggest an environment where a diversified portfolio of attractively priced
stocks should achieve satisfactory investment returns. Though most broad indexes
are overvalued by historic standards, the "average stock" is quite attractively
priced, with pockets of the market priced at intense bargains compared to
historic valuation standards. This condition gives us considerable confidence in
the portfolio's holdings. The average price-to-earnings ratio of our holdings
is, by our calculations, equivalent to the median of the largest 3000 companies.
These are companies that are not just attractively priced, but are posting solid
growth in earnings.
/s/ John C. Riazzi
------------------
JOHN C. RIAZZI
WRL Dean Asset Allocation
Portfolio Manager
The views expressed in this commentary on WRL Dean Asset Allocation reflect
those of the portfolio manager through the period ended June 30, 2000. They do
not necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
22 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[DEAN INVESTMENT ASSOCIATES LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL Dean Asset Allocation, the Standard and Poor's Index of 500 Common Stocks,
and the Lehman Brothers Intermediate Government/Corporate Bond Index
Portfolio Average Annual Total Return
-------------------------------------------------
1 Year 5 Years 10 Years From Inception
-------------------------------------------------
(5.71) % 8.51 % N/A 9.65 %
[GRAPHIC]
WRL Dean Asset
Allocation $ 16,581
[GRAPHIC]
S&P 500 $ 34,963
[GRAPHIC]
LB Intm. Gov't./Corp.
Bond $ 14,546
[BAR CHART APPEARS HERE]
1/3/95* 1995 1996 1997 1998 1999 6/30/00
PLEASE FILL IN PLOT POINTS
Our growing commitment to large-cap stocks and high-quality names provide the
portfolio with relative stability.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
---------------------------------------------------------------
Five Largest Holdings (% of Net Assets)
New Plan Excel Realty
Trust, Inc. 7.40% 09/15/2009 5.37 %
Fannie Mae 5.08 %
FleetBoston Financial Corp. 4.70 %
PHH Corporation 7.02% 11/09/2001 4.59 %
Avista Corporation 5.99% 12/10/2007 4.13 %
---------------------------------------------------------------
---------------------------------------------------------------
Five Largest Industries (% of Net Assets)
Commercial Banks 17.92 %
U.S. Government Agencies 7.07 %
Holding & Other Investment Offices 6.57 %
Telecommunications 5.84 %
Electric, Gas & Sanitary Services 5.13 %
---------------------------------------------------------------
Equity Matrix
INVESTMENT STYLE
[GRAPHIC]
Fixed Income Matrix
MATURITY
[GRAPHIC]
Equity Matrix
Value: An investment style that focuses on stocks, which a Portfolio Manager
thinks are currently depressed in price and will eventually have their worth
recognized by the market. When and if the share price recovers, the manager
attempts to gain a profit.
Medium Capitalization: Stocks ranked 251 through 1,000 of the top 5,000 U.S.
stocks.
Fixed Income Matrix
Short Term: Average duration of 3.5 years.
High Quality: Average credit rating equal to or greater than AA.
This material must be preceded or accompanied by the Fund's current prospectus.
2000 Semi-Annual Report | 23
<PAGE>
WRL C.A.S.E. Growth
For the period ended June 30, 2000
...seeks annual growth of capital.
[GRAPHIC]
Market Environment
The U.S. economy is benefiting from a remarkable wave of technological
innovation. In fact, the explosion in communications technologies rivals
anything that has occurred in post-Civil War economic history. This boom of epic
proportions finds a new breed of credit card margin and home equity investors
buying "big-cap, old economy" stocks one day and dumping them for "tech" stocks
the next. As a result, the 25 largest stocks in the Standard and Poor's Index of
500 Common Stocks ("S&P 500") appear overvalued. Many of the high-tech newcomer
stocks, however, are likely more than hollow shells. They and the overvalued S&P
stocks are being held together by the confidence of a new generation of
growth-at-any-price investors.
[GRAPHIC]
Performance
The recent high-tech meltdown and the slow recovery of retail stocks caused the
portfolio to underperform slightly this period. For the six months ended June
30, 2000, WRL C.A.S.E. Growth returned (1.01)%. By comparison, the portfolio's
benchmark, the Wilshire 5000 Index, returned (0.84)%. The S&P 500 returned
(0.42)% for the same period.
[GRAPHIC]
Strategy Review
The portfolio combines both "growth" and "value" components of the market. We do
this because value stocks offer a measure of downside market protection often
missing from the high-risk, high-momentum style of investing. For example, of
the more than 600 high-tech stocks that have come to the market, only a small
percentage of these companies are likely to emerge successful. Moreover, many
high-tech companies are burning up capital at alarming rates. With few
underlying fundamentals to support them, many of these stocks exhibit more
downside than upside potential in our view. While the above average growth of
information technologies, genetic engineering and other emerging sciences seems
boundless, the outsized price-to-earnings ratios many of these stocks carry make
them vulnerable to the slightest hint of bad news. On the plus side, the
Department of Commerce recently predicted a 25 % gain in this year's shipments
of computers, computer parts, and telecommunication equipment. Information
technology has indeed become the driving force behind the United States economy.
[GRAPHIC]
Outlook
At this stage of the economic cycle, we're likely to simply market weight the
portfolio's technology holdings. Specific technology holdings will be in those
companies that appear to have a firm grasp on the long-term future of this
exciting industry. Our above market weightings will more likely be in energy,
finance, telecommunications and the other more stable segments of the economy.
If corporate earnings continue to grow at their robust pace and the economy
lands softly, this should prove a good period for owning stocks. We will be
keeping a very close eye on these factors.
/s/ William E. Lange
--------------------
WILLIAM E. LANGE
President & Chief Executive Officer
C.A.S.E. Management, Inc.
The views expressed in this commentary on WRL C.A.S.E. Growth reflect those of
the portfolio manager through the period ended June 30, 2000. They do not
necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
24 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[C.A.S.E. LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL C.A.S.E. Growth and the Wilshire 5000 Index
Portfolio Average Annual Total Return
-----------------------------------------------
1 Year 5 Years 10 Years From Inception
-----------------------------------------------
4.88 % 16.05 % N/A 16.64 %
[GRAPHIC]
WRL C.A.S.E.
Growth $ 22,138
[GRAPHIC]
Wilshire 5000 $ 29,388
[BAR CHART APPEARS HERE]
5/1/95* 1995 1996 1997 1998 1999 6/30/00
PLEASE FILL IN PLOT POINTS
If corporate earnings continue to grow at their robust pace and the economy
lands softly, this should prove a good period for owning stocks.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
-----------------------------------------------
Five Largest Holdings (% of Net Assets)
Conseco, Inc. 6.82 %
Abercrombie & Fitch Co. - Class A 5.56 %
Jabil Circuit, Inc. 4.42 %
Brooks Automation, Inc. 3.91 %
Appnet Systems, Inc. 3.77 %
-----------------------------------------------
-----------------------------------------------
Five Largest Industries (% of Net Assets)
Telecommunications 12.59 %
Electronic Components & Accessories 11.54 %
Apparel & Accessory Stores 10.07 %
Computer & Data Processing Services 9.79 %
Communications Equipment 8.94 %
-----------------------------------------------
Equity Matrix
Investment Style
[GRAPHIC]
Equity Matrix
Blend: An investment style that blends both value style and growth style
approaches. Value style emphasizes securities currently out of favor but with
the potential to recover, while growth style concentrates on securities with
present and anticipated earnings growth.
Medium Capitalization: Stocks ranked 251 through 1,000 of the top 5,000 U.S.
stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
2000 Semi-Annual Report | 25
<PAGE>
WRL NWQ Value Equity
For the period ended June 30, 2000
...seeks to achieve maximum, consistent total return with minimum risk to
principal.
[GRAPHIC]
Market Environment
Total returns for the general market over the last six months dramatically
understate the volatility and divergence investors were forced to endure. For
example, over a six-week period this spring, the NASDAQ Composite went from a
plus 24 % to a minus 19 %--a top-to-bottom decline of some 43 %. Worse yet, the
Dow Jones Average actually rose 6 % across the same period. So it has been
anything but dull.
[GRAPHIC]
Performance
For the six months ended June 30, 2000, WRL NWQ Value Equity showed a total
return of 1.80 %, surpassing the performance of the Standard and Poor's Index of
500 Common Stocks, which returned (0.42)%, and most large capitalization value
indexes. This spring's major correction in many Internet, technology, and
telecommunication stocks appeared to be the catalyst for a major rotation
towards value stocks. This rotation from growth to value resulted in strong
relative and absolute performance gains for our style in the turbulent March-May
period. As such, the portfolio acted as a particularly good alternative to
technology-heavy funds.
[GRAPHIC]
Market Strategy
Within the portfolio our continuing emphasis on the energy sector, with
significant holdings in oil service companies, was a strong contributor to
performance. We also had five stocks that received takeover bids at substantial
premiums. This confirms our belief in the tremendous value present in many of
the portfolio's holdings at current prices.
In an extremely brief period, billions of dollars turned from "dot-com" to
"dot-gone." While this is not a generally bullish development for financial
markets in the short run, once the dust settles, the market's focus will likely
revert such mundane items as profitability, cash flow, return on capital, and
other factors that represent the basic diet of value investors. This
readjustment, combined with the Federal Reserve Board's ("Fed") determination to
cool the economy, has produced valuations on many high quality industrial and
financial companies that are extremely attractive. The result is a nearly ideal
opportunity as a value manager to build a portfolio of well-financed,
soundly-managed, but still unloved companies. We may need to wait for the end of
the Fed's tightening cycle, but we believe the upside remains significant given
current modest valuations.
[GRAPHIC]
Outlook
Our economic outlook for the next few quarters depends in large measure upon the
course chosen by Mr. Greenspan and his colleagues. While the Fed held rates
steady following its June meeting, monetary authorities apparently remain on the
inflation alert. Another rise in the federal funds rate is possible after the
August meeting. If the Fed is successful in achieving the same kind of "soft
landing" it successfully engineered in 1994, the expansion may continue for
several more years after a few sub-par (but still positive) quarters. This would
ultimately set the stage for more positive financial market conditions next
year. The risk is simply that the Fed goes too far, causing investors to lose
confidence in the financial markets. Should this occur, the expansion would face
a significant threat.
/s/ Edward C. Friedel
---------------------
EDWARD C. FRIEDEL
WRL NWQ Value Equity
Portfolio Manager
The views expressed in this commentary on WRL NWQ Value Equity reflect those of
the portfolio manager through the period ended June 30, 2000. They do not
necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
26 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[NWQ LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL NWQ Value Equity and the Standard and Poor's Index of 500 Common Stocks
Portfolio Average Annual Total Return
------------------------------------------------
1 Year 5 Years 10 Years From Inception
------------------------------------------------
(7.24) % N/A N/A 9.89 %
[GRAPHIC]
WRL NWQ
Value Equity $ 14,810
[GRAPHIC]
S&P 500 $ 23,768
[BAR CHART APPEARS HERE]
5/1/96* 1996 1997 1998 1999 6/30/00
PLEASE FILL IN PLOT POINTS
The upside remains significant given current modest valuations.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
-------------------------------------------------
Five Largest Holdings (% of Net Assets)
Wells Fargo & Co. 3.82 %
Philip Morris Companies Inc. 3.79 %
MediaOne Group Inc. 3.56 %
Hartford Financial Services Group, Inc. 2.90 %
Noble Drilling Corporation 2.67 %
-------------------------------------------------
-------------------------------------------------
Five Largest Industries (% of Net Assets)
Telecommunications 12.06 %
Commercial Banks 9.80 %
Industrial Machinery & Equipment 7.10 %
Food & Kindred Products 5.50 %
Chemicals & Allied Products 5.07 %
-------------------------------------------------
Equity Matrix
INVESTMENT STYLE
[GRAPHIC]
Equity Matrix
Value: An investment style that focuses on stocks, which a Portfolio Manager
thinks are currently depressed in price and will eventually have their worth
recognized by the market. When and if the share price recovers, the manager
attempts to gain a profit.
Large Capitalization: Largest 5 % of the top 5,000 U.S. stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
2000 Semi-Annual Report | 27
<PAGE>
WRL GE International Equity
For the period ended June 30, 2000
...seeks long-term growth of capital.
[GRAPHIC]
Market Environment
World equity markets enjoyed a very sharp rise in the first quarter of 2000, led
primarily by the technology, media, and telecommunications ("TMT") sectors. As
valuations in these sectors rose to levels rarely achieved, however, we became
concerned that such high levels were unsustainable. The U.S. economy, meanwhile,
grew at a rate the Federal Reserve Board ("Fed") considered to be inflationary.
Accordingly, the Fed continued its program of interest rate hikes and hinted of
more to come. In mid March, another interest rate hike occasioned the NASDAQ
market to fall, and other markets, both in the U.S. and overseas, to follow
suit. Generally speaking, international equity markets languished across April
and most of May, rallied a bit at May's end, then moved in a narrow range in
June.
[GRAPHIC]
Performance
Against this backdrop, WRL GE International Equity produced a total return of
0.33 % for the six months ended June 30, 2000. By comparison, the portfolio's
benchmark, the Morgan Stanley Capital International (EAFE) Index, returned
(3.95)% and the Morgan Stanley Capital International World (excl. United States)
Index returned (2.84)% for the same period. Notably, much of the benchmark's
decline was due to the strength of the U.S. dollar against the euro, the yen,
and the British pound.
[GRAPHIC]
Strategy Review
On the whole, our intention is to own stocks of companies whose long-term future
growth in cash earnings is greater than its current price in relation to current
cash earnings. This valuation discipline led us to sell many TMT stocks in
February and early March as the rise in share prices could no longer be
justified by the long-term growth of these stocks. In retrospect, our timing was
good, in that we were able to sell into a rising price environment and buy
stocks that were not yet within the focus of many investors.
[GRAPHIC]
Outlook
U.S. monetary authorities have been concerned about the strength of the U.S.
economy for some time now, and Fed Chairman Alan Greenspan has warned about
"irrational exuberance" within the stock markets. Though recent interest rate
hikes have slowed the markets somewhat, it is too early to tell whether the U.S.
economy will be subject to further interest rate hikes or not. In the event
rates are bumped, liquidity will inevitably be reduced across all markets. Given
all that, we continue to take a cautious stance on stocks. In any event, we
believe our discipline of concentrating on stocks that are attractively priced
relative to their long-term growth will continue to create value.
/s/ Ralph Layman
----------------
RALPH LAYMAN
WRL GE International Equity
Portfolio Manager
The views expressed in this commentary on WRL GE International Equity reflect
those of the portfolio manager through the period ended June 30, 2000. They do
not necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
28 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[GE LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL GE International Equity, the Morgan Stanley Capital International (EAFE)
Index, and the Morgan Stanley Capital International World
(excl. United States) Index
Portfolio Average Annual Total Return
-----------------------------------------------
1 Year 5 Years 10 Years From Inception
-----------------------------------------------
24.08 % N/A N/A 12.76 %
[GRAPHIC]
WRL GE International
Equity $ 15,208
[GRAPHIC]
MS Cap. Intl.
(EAFE) $ 15,016
[GRAPHIC]
MS Cap. Intl.
World (Excl. US) $ 15,225
[BAR CHART APPEARS HERE]
1/2/97* 1997 1998 1999 6/30/00
PLEASE FILL IN PLOT POINTS
We continue to take a cautious stance on stocks.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
------------------------------------------------
Five Largest Holdings (% of Net Assets)
Taiwan Semiconductor Manufacturing
Co. Ltd. - ADR 2.95 %
Axa 2.62 %
Canon Inc. 2.48 %
BAE Systems PLC 2.46 %
Koninklijke Philips Electronics NV 2.44 %
------------------------------------------------
------------------------------------------------
Five Largest Industries (% of Net Assets)
Telecommunications 11.88 %
Electronic Components & Accessories 9.92 %
Commercial Banks 9.46 %
Electronic & Other Electric Equipment 5.86 %
Insurance 4.76 %
------------------------------------------------
Equity Matrix
INVESTMENT STYLE
[GRAPHIC]
Equity Matrix
Blend: An investment style that blends both value style and growth style
approaches. Value style emphasizes securities currently out of favor but with
the potential to recover, while growth style concentrates on securities with
present and anticipated earnings growth.
Large Capitalization: Largest 5 % of the top 5,000 U.S. stocks.
This material must be preceded or accompanied by the Funds current prospectus.
International investing involves risks that include currency fluctuations,
political instability, and different accounting standards.
2000 Semi-Annual Report | 29
<PAGE>
WRL GE U.S. Equity
For the period ended June 30, 2000
...seeks long-term growth of capital.
[GRAPHIC]
Market Environment
After an extended cycle of good performance, this period was a tough one,
especially for technology stocks. Despite a negative return for the sector, the
portfolio was helped by its underweighting and solid stock selection. The
consumer staple sector also contributed to performance with healthcare issues
helping the most. Financial stocks had a difficult time due to rising interest
rates, but good stock selection helped the sector to contribute positively to
performance. Two sectors detracted from performance this period: consumer
cyclicals and capital goods. Both sectors were hit hard as investors realized
the Federal Reserve Board ("Fed") was going to remain vigilant about inflation
and consequently the economy is likely to slow relative to the first quarter.
[GRAPHIC]
Performance
For the six months ended June 30, 2000, the portfolio produced a total return of
0.12 %. The portfolio's benchmark, the Standard and Poor's Index of 500 Common
Stocks (S&P 500), returned (0.42)% for the same period.
[GRAPHIC]
Strategy Review
While the portfolio's underweighting in technology has been helpful to
performance, several individual holdings did well, including Analog Devices,
Inc., Intel Corporation, and Applied Materials, Inc. Healthcare issues like
Cardinal Health, Inc., Watson Pharmaceuticals, Inc., and Merck & Co., Inc.
within the consumer staple sector were standout performers this period. The
energy sector also did quite well for us as positive supply/demand
characteristics helped most oil related stocks. Schlumberger Limited and Baker
Hughes, Inc. were up 34 % and 53 %, respectively, over the six-month period.
For the year, the consumer cyclical and capital goods sectors performed poorly
amid rising interest rates and the prospects of an economic slowdown. Retailers
such as Lowe's Companies, Inc., media/broadcasters such as Comcast Corporation,
and newspaper publishers such as Gannett Co., Inc. all hindered performance this
period. Capital goods stocks like Textron, Inc. did poorly because of the
potential for an economic slowdown. Overall, the environment was volatile and
dynamic for the first half of the year.
[GRAPHIC]
Outlook
In general, the earnings for S&P 500 companies were very good for 1999, coming
in at a 14 % growth rate over 1998. The 2000 consensus earnings estimate for the
S&P 500 is now approaching 11 %, and 2001 consensus earnings are estimated to be
up approximately 8 %. Offsetting this positive outlook in the short term,
however, is the Fed's commitment to containing any inflationary pressures
through rate increases.
Still, we believe companies should produce healthy earnings over the next few
quarters, and the U.S. economy's strong underpinnings are encouraging for the
long term. The stock market, meanwhile, will continue to be volatile, although
this could be beneficial if the speculative excesses are eliminated. With the
portfolio broadly diversified in high-quality, reasonably valued stocks, we
believe it is well positioned for the volatility that we expect for the
remainder of the year.
/s/ Eugene K. Bolton
--------------------
EUGENE K. BOLTON
WRL GE U.S. Equity
Portfolio Manager
The views expressed in this commentary on WRL GE U.S. Equity reflect those of
the portfolio manager through the period ended June 30, 2000. They do not
necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
30 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[GE INVESTMENTS LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL GE U.S. Equity and the Standard and Poor's Index of 500 Common Stocks
Portfolio Average Annual Total Return
-------------------------------------------------
1 Year 5 Years 10 Years From Inception
-------------------------------------------------
4.51 % N/A N/A 19.28 %
[GRAPHIC]
WRL GE U.S. Equity $ 18,502
[GRAPHIC]
S&P 500 $ 20,668
[BAR CHART APPEARS HERE]
1/2/97* 1997 1998 1999 6/30/00
PLEASE FILL IN PLOT POINTS
We believe companies should produce healthy earnings over the next few quarters.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
Five Largest Holdings (% of Net Assets)
Intel Corporation 4.12 %
Citigroup Inc. 3.71 %
Merck & Co., Inc. 2.64 %
Microsoft Corporation 2.52 %
First Data Corporation 2.28 %
Five Largest Industries (% of Net Assets)
Pharmaceuticals 12.36 %
Telecommunications 7.81 %
Electronic Components & Accessories 6.97 %
Computer & Office Equipment 6.96 %
Commercial Banks 6.77 %
Equity Matrix
Investment Style
[GRAPHIC]
Equity Matrix
Blend: An investment style that blends both value style and growth style
approaches. Value style emphasizes securities currently out of favor but with
the potential to recover, while growth style concentrates on securities with
present and anticipated earnings growth.
Large Capitalization: Largest 5 % of the top 5,000 U.S. stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
2000 Semi-Annual Report | 31
<PAGE>
WRL Third Avenue Value
For the period ended June 30, 2000
...seeks long-term capital appreciation.
[GRAPHIC]
Market Environment
While overall performance across the first half of the year was good, numbers
for the second quarter were relatively flat. Though volatility in the technology
sector depressed results for the portfolio, we benefited from the improved
performance of our Japanese securities holdings and several resource conversion
activities.
[GRAPHIC]
Performance
For the six months ended June 30, 2000, WRL Third Avenue Value produced an
attractive total return of 23.15 %. By comparison, the portfolio's benchmark the
Standard and Poor's Index of 500 Common Stocks returned (0.42)% for the same
period.
[GRAPHIC]
Strategy Review
The portfolio performed remarkable well despite the difficulties of the general
market. In many cases, our successes come in the form of resource conversion
activities such as mergers and acquisitions, recapitalizations, and massive
share repurchases. Moreover, we believe corporate value is dynamic. If we are
investing in the right companies, business value should increase over time as
the company benefits from increased operational and financial strength. This
plays into our strategy as a buy and hold investor and also maximizes tax
efficiency for the portfolio.
The portfolio benefited this period from several resource conversion events.
Protocol Systems, Inc. announced that it had agreed to be acquired by Welch
Alyn, Inc. for $ 16.00 per share in cash, a substantial premium over our cost
basis of $ 9.11 per share. In addition, we added ACT Networks, Inc. to the
portfolio as a risk arbitrage play. The company ultimately agreed to be acquired
by Clarent Corp. in a stock-for-stock deal, subject to a collar providing a
value of between $ 14 and $ 18 of Clarent Corp. common stock per ACT Networks,
Inc. share. The transaction is expected to close in the third quarter of 2000.
Volatility in the technology sector provided us an opportunity to acquire ACT
Networks, Inc. common stock at less than $ 11.00 per share, a potential
annualized internal rate of return of around 60 %.
Another portfolio holding, Enhance Financial Services Group, Inc., announced the
retention of Morgan Stanley to explore strategic alternatives, ranging from the
sale of one or more of its specialty businesses to an all-out sale of the
company. And, finally, Arch Capital Group Ltd. (a.k.a. Risk Capital Holdings,
Inc.) consummated the sale of its reinsurance operations to FolksAmerica
Reinsurance Co. The company is now essentially a closed-end investment trust,
trading at a substantial discount to net asset value. Additional resource
conversion events are likely forthcoming.
[GRAPHIC]
Outlook
Looking forward, in keeping with our "safe and cheap" philosophy, we continue to
see value in the financial, real estate, and health care sectors. The quality of
our existing holdings, meanwhile, remains solid.
/s/ Martin J. Whitman
---------------------
Martin J. Whitman
WRL Third Avenue Value
Portfolio Manager
The views expressed in this commentary on WRL Third Avenue Value reflect those
of the portfolio manager through the period ended June 30, 2000. They do not
necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
32 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL Third Avenue Value and the Standard and Poor's Index of 500 Common Stocks
Portfolio Average Annual Total Return
---------------------------------------------
1 Year 5 Years 10 Years From Inception
---------------------------------------------
36.96 % N/A N/A 12.05 %
[GRAPHIC]
WRL Third Avenue
Value $ 13,276
[GRAPHIC]
S&P 500 $ 15,497
[BAR CHART APPEARS HERE]
1/2/98* 1998 1999 6/30/00
PLEASE FILL IN PLOT POINTS
The portfolio performed remarkable well despite the difficulties of the general
market.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
-----------------------------------------------
Five Largest Holdings (% of Net Assets)
Ford Credit Auto Owner Trust
1998-C 5.81%, 03/15/2002 3.51 %
FSI International, Inc. 3.47 %
Silicon Valley Group, Inc. 3.16 %
Enhance Financial Services Group, Inc. 3.12 %
Nabors Industries, Inc. 3.08 %
-----------------------------------------------
-----------------------------------------------
Five Largest Industries (% of Net Assets)
Insurance 22.26 %
Industrial Machinery & Equipment 16.40 %
Electronic Components & Accessories 5.08 %
Automotive 3.51 %
Oil & Gas Extraction 3.08 %
-----------------------------------------------
Equity Matrix
Investment Style
[GRAPHIC]
Equity Matrix
Value: An investment style that focuses on stocks, which a Portfolio Manager
thinks are currently depressed in price and will eventually have their worth
recognized by the market. When and if the share price recovers, the manager
attempts to gain a profit.
Small Capitalization: Smallest 80 % of the top 5,000 U.S. stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
Companies with small capitalization have the potential for greater volatility
than companies with large capitalization. The limited volume and trading
frequency of small-capitalized stocks may result in substantial price deviation.
Further, companies with small capitalization may experience more significant
growth and failure rates.
2000 Semi-Annual Report | 33
<PAGE>
WRL J.P. Morgan Real Estate Securities
For the period ended June 30, 2000
...seeks long-term total return.
[GRAPHIC]
Market Environment
Continued turmoil in the stock market in general and technology stocks in
particular finally turned the heads of investors toward the old economy,
including real estate. Recent mutual fund inflows and increased trading volumes
signal a renewed interest in this previously maligned sector as investors focus
on strong cash flows and steady growth.
Although there is always the danger of a recession in a rising interest rate
environment, real estate investment trusts (REITs) remain attractive for several
reasons. As the cost of borrowing increases, new supply of real estate should
slow. In the apartment sector, rising mortgage rates benefit REITs by slowing
new supply and delaying single family home purchases. Of course, the cost of
financing will rise for REITs as well but most companies have secured longer
term financing and are less vulnerable to rising rates than other interest rate
sensitive sectors such as utilities.
[GRAPHIC]
Performance
For the six months ended June 30, 2000, the portfolio produced a total return of
15.24 %. By comparison, the Morgan Stanley REIT Index gained 13.31 % for the
same period. For further comparison, the Russell 2000 Index was up 3.04 %, the
Standard and Poor's Index of 500 Common Stocks returned (0.42)%, and the NASDAQ
lost 2.46 %.
[GRAPHIC]
Strategy Review
Almost all REIT industries reported positive performance during the first six
months of 2000. Only outlet centers, which are suffering from more fundamental
issues, posted negative returns. Our overweightings in regional mall, apartment,
and industrial companies generated positive returns. Regional mall performance
was bolstered by waning fears of Internet retail leading to the obsolescence of
traditional shopping centers. From a long-term perspective, however, we believe
the Internet does pose problems for mall owners but the near term impact of
e-tailing on mall sales appears to have been overblown. Top performing companies
included MeriStar Hospitality Corporation and BRE Properties, Inc.
Performance was also boosted by overweighted positions in MeriStar Hospitality
Corporation, National Golf Properties, Inc. and ProLogis Trust, all of which
out-performed the benchmark by substantial amounts. MeriStar Hospitality
Corporation, a hotel REIT, posted surprisingly strong returns reflecting
underlying strength in that sector. Although the hotel sector continues to
provide positive surprises, we expect sentiment to turn negative as investors
begin to focus on 2001 new room supply coupled with the likelihood of slowing
demand.
Relatively negative contributions to performance came from the portfolios
underweightings in several outperforming companies, such as CarrAmerica Realty
Corporation, AMB Property Corporation and Boston Properties, Inc.
[GRAPHIC]
Outlook
We remain cautiously optimistic for continued solid performance in the REIT
sector. The one cloud overhanging this market is a collective investor fear that
companies will begin to issue equity again. To date, in our discussions with
senior management of a number of REITs, the general theme has been to sell
assets, buy back shares and add shareholder value. Those are the phrases we want
to hear until we feel certain this group has learned its lessons. Although a
substantial portion of the discount to net asset value in this sector has been
erased, we see no fundamental reason for the market to head in the opposite
direction from here.
/s/ Daniel P. O'Connor
---------------------
DANIEL P. O'CONNOR
WRL J.P. Morgan Real Estate Securities
Portfolio Manager
The views expressed in this commentary on WRL J.P. Morgan Real Estate Securities
reflect those of the portfolio manager through the period ended June 30, 2000.
They do not necessarily represent the views of WRL Investment Management, Inc.
("WRL Management"). Any such views are subject to change at any time based upon
market or other conditions and WRL Management disclaims any responsibility to
update such views. These views may not be relied upon as investment advice and,
because trading decisions are based upon numerous factors, may not be relied
upon as an indication of trading intent.
34 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[J.P.Morgan Investment LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL J.P. Morgan Real Estate Securities and the Morgan Stanley REIT Index
Portfolio Average Annual Total Return
-----------------------------------------------
1 Year 5 Years 10 Years From Inception
-----------------------------------------------
5.53 % N/A N/A (2.66) %
[GRAPHIC]
WRL J.P. Morgan Real
Estate Securities $ 9,433
[GRAPHIC]
Morgan Stanley REIT $ 9,384
[BAR CHART APPEARS HERE]
5/1/98* 1998 1999 6/30/00
PLEASE FILL IN PLOT POINTS
Almost all REIT industries reported positive performance during the first six
months of 2000.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
-----------------------------------------------
Five Largest Holdings (% of Net Assets)
Equity Office Properties Trust 9.79 %
ProLogis Trust 5.88 %
Equity Residential Properties Trust 5.45 %
Public Storage, Inc. 4.45 %
Vornado Realty Trust 4.21 %
-----------------------------------------------
-----------------------------------------------
Five Largest Industries (% of Net Assets)
Office Property 22.57 %
Apartments 21.52 %
Warehouse 11.56 %
Shopping Center 11.36 %
Regional Mall 10.64 %
-----------------------------------------------
Equity Matrix
Investment Style
[GRAPHIC]
Equity Matrix
Value: An investment style that focuses on stocks, which a Portfolio Manager
thinks are currently depressed in price and will eventually have their worth
recognized by the market. When and if the share price recovers, the manager
attempts to gain a profit.
Medium Capitalization: Stocks ranked 251 through 1,000 of the top 5,000 U.S.
stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
Because non-diversified funds invest a substantial proportion of their assets in
a limited number of securities within a specific industry, they may suffer
greater volatility as a result of an economic, political, or regulatory event
than diversified funds would. Risks associated with REITs include fluctuations
in the value of real estate, extended vacancies, and uninsured damage losses
from natural disasters.
2000 Semi-Annual Report | 35
<PAGE>
WRL Goldman Sachs Growth
For the period ended June 30, 2000
...seeks long-term growth of capital.
[GRAPHIC]
Market Environment
2000 has proved to be a choppy year thus far, as the market continues to
experience significant volatility. Inflationary concerns heightened as oil
prices soared and labor markets tightened. Investors also decided that many
technology and Internet-related issues were overpriced, shifting money out of
these sectors and into perceived safe havens such as drug and healthcare
companies. Interest rate hikes in February, March, and May helped fuel
volatility, as the Federal Reserve Board ("Fed") moved to slow the U.S. economy.
The economy did indeed begin to show signs of cooling, including a
weaker-than-expected unemployment report and slower retail activity. The market
was relieved when the Fed left rates unchanged at the June 28th meeting.
[GRAPHIC]
Performance
For the six months ended June 30, 2000, the WRL Goldman Sachs Growth posted a
return of 1.36 %, outperforming its benchmark, the Standard and Poor's Index of
500 Common Stocks, which returned (0.42)% for the same period.
[GRAPHIC]
Strategy Review
The portfolio's relatively good performance was primarily a result of strong
stock picking in the healthcare sector coupled with a general underweighting in
technology stocks. One notable detractor from performance was our holding in
Microsoft Corporation, which was burdened by the court's ruling to breakup the
company. Overall, the Growth Equity team believes the portfolio can participate
in the growth of the technological revolution without necessarily taking on all
of the risk associated with many of the "dot-coms."
In the healthcare sector, pharmaceutical giant Pfizer Incorporated contributed
to returns and closed on its purchase of Warner-Lambert Company. The acquisition
will position Pfizer Incorporated with one of the industrys deepest pipelines
and R&D budgets. Eli Lilly and Company also had strong performance after the
company announced it would be halting further testing of a drug to treat sepsis,
a blood infection, lifting hopes that the drug would be submitted for regulatory
approval sooner than expected.
In the consumer staples area, Nabisco Group Holdings Corp. was up significantly
when it was announced that Philip Morris Companies Inc. would be buying the
company. The purchase will fill a gap in Philip Morris Companies Inc.'s vast
Kraft Foods area, bolstering the company as the world's No. 2 food company.
After that sale is completed, R.J. Reynolds Tobacco Holdings, Inc. will buy
Nabisco Group Holdings Corp., which now owns 80.6 % of the foodmaker.
[GRAPHIC]
Outlook
While we neither make nor rely on economic forecasts to make investment
decisions, we are generally bullish on growth in the U.S. economy. Over the last
decade, technological advances have enhanced global communication and provided
significant benefits to both consumers and businesses. We believe those
companies that adopt a smart business strategy will continue to benefit from
this trend over the long term. Generally, these are companies with recurring
revenue streams that have established barriers to entry, enabling them to
dominate their particular sector or industry. Throughout the investment process,
we continue to focus on the core business franchise, quality of management, and
free cash flow, along with favorable demographic trends. We believe that the
enduring competitive advantage of the companies we ownbased on the criteria
mentioned abovewill withstand even an uncertain market environment.
/s/ Herbert E. Ehlers
---------------------
Herbert E. Ehlers
WRL Goldman Sachs Growth
PORTFOLIO MANAGER
The views expressed in this commentary on WRL Goldman Sachs Growth reflect those
of the portfolio manager through the period ended June 30, 2000. They do not
necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
36 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[Goldman Sachs LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL Goldman Sachs Growth and the Standard and Poor's Index of 500 Common Stocks
Portfolio Average Annual Total Return
------------------------------------------------
1 Year 5 Years 10 Years From Inception
------------------------------------------------
14.96 % N/A N/A 16.24 %
[GRAPHIC]
WRL Goldman Sachs
Growth $ 11,910
[GRAPHIC]
S&P 500 $ 11,053
[BAR CHART APPEARS HERE]
5/3/99* 1999 6/30/00
PLEASE FILL IN PLOT POINTS
We believe that the enduring competitive advantage of the companies we own will
withstand even an uncertain market environment.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
-----------------------------------------------
Five Largest Holdings (% of Net Assets)
Standard & Poor's 500
Depositary Receipt 4.03 %
General Electric Company 3.77 %
Intel Corporation 3.35 %
Microsoft Corporation 3.26 %
Cisco Systems, Inc. 3.20 %
-----------------------------------------------
-----------------------------------------------
Five Largest Industries (% of Net Assets)
Pharmaceuticals 9.52 %
Computer & Data Processing Services 8.77 %
Computer & Office Equipment 8.68 %
Telecommunications 7.88 %
Electronic Components & Accessories 5.22 %
-----------------------------------------------
Equity Matrix
Investment Style
[GRAPHIC]
Equity Matrix
Growth: An investment style in which the Portfolio Manager looks for equity
securities with present and anticipated high rates of earnings growth. Per-share
price is not emphasized as much as it is in value investing.
Large Capitalization: Largest 5 % of the top 5,000 U.S. stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
2000 Semi-Annual Report | 37
<PAGE>
WRL Goldman Sachs Small Cap
For the period ended June 30, 2000
...seeks long-term growth of capital.
[GRAPHIC]
Market Environment
The market environment this period has been the most volatile since the
inception of the portfolio. Daily high/low spreads in market indexes have been
much higher than average, while the NASDAQ Composite changed by 1 % or more from
the prior day's close every day this year (as compared to about 58 % of the days
for the prior five years). The market seemed to have trouble making up its mind
which kind of stocks it preferredthe spread in returns between small-cap growth
and small-cap value stocks experienced near-record high and near-record low
monthly values within the six-month period.
[GRAPHIC]
Performance
For the six months ended June 30, 2000, WRL Goldman Sachs Small Cap posted a
return of 3.20 %, outperforming the Russell 2000 Index, which posted a return of
3.04 %.
[GRAPHIC]
Strategy Review
Our quantitative process seeks out stocks with good momentum that also appear to
be good values. We tend to prefer stocks favored by fundamental research
analysts and lower volatility stocks with a below-average probability of
reporting disappointing earnings. Over the long term, these factors have led to
excess returns, although they typically do not all work well simultaneously.
Most recently, during the second quarter, our value, momentum, and stability
themes produced positive returns among small-cap stocks.
The portfolio seeks sector weightings and distribution among size categories
close to those of the Russell 2000 Index. Recently, a number of our stock
selections on a sector basis outperformed those of the benchmark, most notably
in the healthcare, technology, consumer services, and commercial services
sectors. Only our financial stocks lagged.
[GRAPHIC]
Outlook
We intend to maintain our disciplined, long-term approach to equity investing
despite possible continued volatility in the U.S. equity markets throughout the
remainder of 2000. In fact, we believe that careful risk management such as that
which defines our process, is of paramount importance in such a volatile
environment, when small bets can have larger than expected consequences. We
continue to believe that through our combined qualitative and quantitative
strategy for selecting stocks, we have the potential to generate solid long-term
returns for the portfolio's investors.
/s/ Robert C. Jones
-------------------
Robert C. Jones
WRL Goldman Sachs Small Cap
Portfolio Manager
The views expressed in this commentary on WRL Goldman Sachs Small Cap reflect
those of the portfolio manager through the period ended June 30, 2000. They do
not necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
38 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[Goldman Sachs LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL Goldman Sachs Small Cap and the Russell 2000 Index
Portfolio Average Annual Total Return
----------------------------------------------
1 Year 5 Years 10 Years From Inception
----------------------------------------------
13.64 % N/A N/A 18.33 %
[GRAPHIC]
WRL Goldman Sachs
Small Cap $ 12,159
[GRAPHIC]
Russell 2000 $ 12,124
[BAR CHART APPEARS HERE]
5/3/99* 1999 6/30/00
PLEASE FILL IN PLOT POINTS
The market seemed to have trouble making up its mind which kind of stocks it
preferred.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
-------------------------------------------------
Five Largest Holdings (% of Net Assets)
Broadvision, Inc. 0.93 %
Millennium Pharmaceuticals, Inc. 0.91 %
Mercury Interactive Corporation 0.78 %
Micromuse Inc. 0.66 %
Quest Diagnosis, Inc. 0.60 %
-------------------------------------------------
-------------------------------------------------
Five Largest Industries (% of Net Assets)
Computer & Data Processing Services 10.07 %
Electronic Components & Accessories 8.61 %
Pharmaceuticals 6.73 %
Holding & Other Investment Offices 4.07 %
Industrial Machinery & Equipment 3.78 %
-------------------------------------------------
Equity Matrix
Investment Style
[GRAPHIC]
Equity Matrix
Blend: An investment style that blends both value style and growth style
approaches. Value style emphasizes securities currently out of favor but with
the potential to recover, while growth style concentrates on securities with
present and anticipated earnings growth.
Small Capitalization: Smallest 80 % of the top 5,000 U.S. stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
Small-cap securities involve certain risks described in the prospectus that
should be considered carefully before investing. Companies with small
capitalization have the potential for greater volatility than companies with
large capitalization. The limited volume and trading frequency of
small-capitalized stocks may result in substantial price deviation. Further,
companies with small capitalization may experience more significant growth and
failure rates than companies with large capitalization.
2000 Semi-Annual Report | 39
<PAGE>
WRL T. Rowe Price Dividend Growth
For the period ended June 30, 2000
...seeks to provide an increasing level of dividend income, long-term capital
appreciation, and reasonable current income.
[GRAPHIC]
Market Environment
U.S. markets surged during the first two and a half months of the year, fueled
by investor enthusiasm for technology stocks. Stocks fell sharply beginning in
mid-March, however, as investors finally reacted to the sky-high tech valuations
and the ongoing series of interest rate hikes by the Federal Reserve Board
("Fed"). The Fed raised short-term interest rates another three times this
period in an effort to lessen inflationary pressures in the economy. Although
the tech-heavy NASDAQ Composite posted the largest drop, stocks outside the
sector also suffered.
[GRAPHIC]
Performance
WRL T. Rowe Price Dividend Growth performed well during this volatile period,
posting positive returns and handily outdistancing its benchmark. For the six
months ended June 30, 2000, the portfolio produced a return of 2.16 % while the
Standard and Poor's Index of 500 Common Stocks ("S&P 500") returned (0.42)%. By
further comparison, the Russell 1000 Value Index returned (4.23)%, for the same
period.
[GRAPHIC]
Strategy Review
The portfolio's solid performance was a result of both strategy and individual
stock selection. Our focus on companies with consistent growth in earnings and
dividends limited our exposure to the highflying tech sector and thus spared us
the worst of the sector's swoon. Although large-company stocks also lost ground
in the downturn, investors' attention returned to stocks with stronger
fundamentals, a welcome change after months of blue chip neglect. At the same
time, strong returns from some of our top holdings helped us to outperform our
benchmark indexes and our average peer fund.
Performance was led by our financial and consumer non-durable holdings. Top
contributors from the financial sector included Waddell & Reed Financial, Inc.,
a regional money management company, The Bank of New York Company, Inc., and
insurer ACE Limited. Pharmaceutical companies American Home Products
Corporation, Pfizer Incorporated, and Warner-Lambert Company (which was acquired
by Pfizer Incorpoarted in a deal completed in June) were also major positive
contributors. Other strong performers included Hewlett-Packard Company and
PepsiCo, Inc. Disappointing holdings included media giant Tribune Company and
telephone services companies Sprint Corporation (FON Group) and ALLTEL
Corporation.
The market drop allowed us to add positions in a number of solid companies at
attractive prices, including such technology giants as Microsoft Corporation and
America Online, Inc., and telecommunications companies Vodafone AirTouch PLC and
Nortel Networks Corporation. Although these new positions increased our tech
exposure, the portfolio remains well below the tech weighting of the S&P 500. We
also added home products retailer Lowe's Companies, Inc. and United Technologies
Corporation.
[GRAPHIC]
Outlook
Although the economy showed signs of slowing at the end of June, the Fed may
raise rates further in the months to come. As long as the Fed continues to
tighten, stocks are unlikely to stage a major advance. But the downturn has
eliminated some excesses in the market and refocused attention on fundamentally
sound companies; a continuation of this trend should be positive for the
portfolio. We hold many attractively priced stocks and believe that owning
stocks of companies with strong earnings and dividend growth will provide
attractive long-term returns for shareholders.
/s/ Thomas J. Huber
-------------------
Thomas J. Huber
WRL T. Rowe Price Dividend Growth
Portfolio Manager
The views expressed in this commentary on WRL T. Rowe Price Dividend Growth
reflect those of the portfolio manager through the period ended June 30, 2000.
They do not necessarily represent the views of WRL Investment Management, Inc.
("WRL Management"). Any such views are subject to change at any time based upon
market or other conditions and WRL Management disclaims any responsibility to
update such views. These views may not be relied upon as investment advice and,
because trading decisions are based upon numerous factors, may not be relied
upon as an indication of trading intent.
40 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[T. Rowe Price LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL T. Rowe Price Dividend Growth and the Standard and Poor's Index of 500
Common Stocks
Portfolio Average Annual Total Return
------------------------------------------------
1 Year 5 Years 10 Years From Inception
------------------------------------------------
(5.96) % N/A N/A (4.67) %
[GRAPHIC]
WRL T. Rowe Price
Dividend Growth $ 9,460
[GRAPHIC]
S&P 500 $ 11,053
[BAR CHART APPEARS HERE]
5/3/99* 1999 6/30/00
PLEASE FILL IN PLOT POINTS
Our focus on companies with consistent growth in earnings and dividends limited
our exposure to the highflying tech sector.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
-------------------------------------------------
Five Largest Holdings (% of Net Assets)
Pfizer Incorporated 3.66 %
Citigroup Inc. 2.50 %
Waddell & Reed Financial, Inc. -
Class B 2.33 %
Exxon Mobil Corporation 2.10 %
American Home Products Corporation 1.84 %
-------------------------------------------------
-------------------------------------------------
Five Largest Industries (% of Net Assets)
Pharmaceuticals 9.44 %
Commercial Banks 7.91 %
Petroleum Refining 7.61 %
Holding & Other Investment Offices 7.17 %
Telecommunications 6.62 %
-------------------------------------------------
Equity Matrix
INVESTMENT STYLE
[GRAPHIC]
Equity Matrix
Blend: An investment style that blends both value style and growth style
approaches. Value style emphasizes securities currently out of favor but with
the potential to recover, while growth style concentrates on securities with
present and anticipated earnings growth.
Large Capitalization: Largest 5% of the top 5,000 U.S. stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
2000 Semi-Annual Report | 41
<PAGE>
WRL T. Rowe Price Small Cap
For the period ended June 30, 2000
(unaudited)
...seeks long-term growth of capital.
[GRAPHIC]
Market Environment
U.S. markets surged during the first two and a half months of the year, fueled
by investor enthusiasm for technology stocks. Stocks fell sharply beginning in
mid-March, however, as investors finally reacted to the sky-high tech valuations
and the ongoing series of interest rate hikes by the Federal Reserve Board
("Fed"). The Fed raised short-term interest rates another three times this
period in an effort to lessen inflationary pressures in the economy. Although
the tech-heavy NASDAQ Composite posted the largest drop, stocks outside the
sector also suffered. After a period of extreme volatility, tech stocks rallied
again in June.
[GRAPHIC]
Performance
Despite the second quarter sell-off, the portfolio posted solid returns for the
period, easily outpacing its benchmark. For the six months ended June 30, 2000,
WRL T. Rowe Price Small Cap gained 7.08 %, while the Russell 2000 Index gained
3.04 %. The large-cap Standard and Poor's Index of 500 Common Stocks returned
(0.42)% for the same period.
[GRAPHIC]
Strategy Review
As the tech correction continued during April and May, the so-called new economy
stocks suffered most as investors sought out companies with stronger
fundamentals. Small-company stocks trailed large-caps during this period, and
across the capitalization spectrum, value investment styles fared better than
growth. Our overall investment strategy tends to be more conservative than that
of many small-cap growth funds, which aided returns during this volatile period,
as did our broad diversification.
Overall, technology and biotech companies were strong contributors to fund
returns. Our top holdings for the period included semiconductor developers
Burr-Brown Corporation and GlobeSpan Semiconductor, Inc. The biotech sector also
performed strongly, led by Techne Corporation, which makes controls that check
the accuracy of instruments used by biotech researchers, and Inhale Therapeutic
Systems, Inc., which is developing systems through which patients can inhale
medications, including insulin. Other top performers included Plexus Corp., a
maker of printed circuit boards and other high-tech products, Powerwave
Technologies, Inc., a manufacturer of wireless communications equipment, and
Quanta Services, Inc., which provides electrical contracting services, including
cellular telephone microwave towers.
The second quarter small-cap sell-off did present the opportunity to take new
positions at reasonable prices. New holdings included data-storage maker SanDisk
Corporation, alternative local phone provider Intermedia Communications, Inc.,
chemical manufacturer Cambrex Corporation, and pharmaceutical company PolyMedica
Industries, Inc.
[GRAPHIC]
Outlook
We continue to be optimistic about the prospects for small-cap stocks. Although
a major market advance is unlikely until the Fed has finished raising rates, the
economy has begun to show signs of slowing, which means the end of the rate-hike
cycle could be near. Despite the high level of market volatility, small-caps
have outperformed large-caps so far this year. Moreover, the correction has
wrung much of the excess from the market, especially in Internet stocks,
allowing us to add solid holdings at good prices. Investor focus appears to have
shifted to companies with stronger fundamentals, which should benefit our more
conservative approach.
/s/ Richard T. Whitney
----------------------
Richard T. Whitney
WRL T. Rowe Price Small Cap
Portfolio Manager
The views expressed in this commentary on WRL T. Rowe Price Small Cap reflect
those of the portfolio manager through the period ended June 30, 2000. They do
not necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
42 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[T. Rowe Price LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL T. Rowe Price Small Cap and the Russell 2000 Index
Portfolio Average Annual Total Return
----------------------------------------------
1 Year 5 Years 10 Years From Inception
----------------------------------------------
32.41 % N/A N/A 40.39 %
[GRAPHIC]
WRL T. Rowe Price
Small Cap $ 14,830
[GRAPHIC]
Russell 2000 $ 12,124
[BAR CHART APPEARS HERE]
5/3/99* 1999 6/30/00
PLEASE FILL IN PLOT POINTS
Our overall investment strategy tends to be more conservative which aided
returns during this volatile period.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
------------------------------------------------
Five Largest Holdings (% of Net Assets)
Burr-Brown Corporation 0.77 %
Techne Corporation 0.77 %
Diamond Technology Partners
Incorporated 0.74 %
Polycom, Inc. 0.71 %
Northeast Optic Network, Inc. 0.70 %
------------------------------------------------
------------------------------------------------
Five Largest Industries (% of Net Assets)
Computer & Data Processing Services 13.50 %
Electronic Components & Accessories 13.20 %
Communications Equipment 6.66 %
Pharmaceuticals 5.49 %
Computer & Office Equipment 4.98 %
------------------------------------------------
Equity Matrix
Investment Style
[GRAPHIC]
Equity Matrix
Growth: An investment style in which the Portfolio Manager looks for equity
securities with present and anticipated high rates of earnings growth. Per-share
price is not emphasized as much as it is in value investing.
Small Capitalization: Smallest 80 % of the top 5,000 U.S. stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
Small-cap securities involve certain risks described in the prospectus that
should be considered carefully before investing. Companies with small
capitalization have the potential for greater volatility than companies with
large capitalization. The limited volume and trading frequency of
small-capitalized stocks may result in substantial price deviation. Further,
companies with small capitalization may experience more significant growth and
failure rates than companies with large capitalization.
2000 Semi-Annual Report | 43
<PAGE>
WRL Salomon All Cap
For the period ended June 30, 2000
...seeks capital appreciation.
[GRAPHIC]
Market Environment
The equity markets incurred increased volatility over the first half of the
year. Though the technology sector enjoyed considerable momentum until March,
this momentum came at the expense of "old economy" sectors, including consumer,
financials, and pharmaceuticals. By the middle of March, the tide had turned,
the market rotating out of technology and into broader, undervalued sectors.
Specifically, defensive sectors like energy, financials, healthcare and consumer
staples benefited as investors continued to worry about the Federal Reserve
Boards reaction to inflationary pressures.
[GRAPHIC]
Performance
For the six-month period ended June 30, 2000, WRL Salomon All Cap returned 16.28
%, significantly outperforming its benchmark, the Russell 3000 Index, which
returned 0.95 %. This outperformance was primarily due to stock selection,
particularly in the old economy companies. The portfolio's flexibility came in
handy this period, as we were able to significantly increase positions in
long-term growth sectors like consumer and pharmaceuticals despite technology
being the flavor of the day.
[GRAPHIC]
Strategy Review
Throughout the period, we added to our positions in the consumer staples,
consumer cyclical, and energy sectors. While the portfolio remains overweighted
in old economy companies relative to new economy issuers, many of these names
are transitioning their businesses by adopting new technologies and ways of
doing business.
Our technology weightings are still underweighted relative to the market but
we've been adding to positions during the recent decline. In telecommunications,
we continue to believe that Verizon Communications, Inc. has a very attractive
risk/reward profile. Our energy holdings also paid off during the period,
leading us to trim positions selectively. In healthcare, we added to some
large-cap pharmaceutical positions. Lastly, the portfolio maintains a
diversified blend of growth and value as well as large and small/mid cap stocks.
[GRAPHIC]
Outlook
The market has started to rotate out of the momentum sectors, including
technology, telecommunications, and biotechnology, producing significant profits
for many of our positions. As we expected, the market has broadened into a
variety of sectors that had previously lagged. We expect many of these stocks to
build on their gains, particularly the high quality companies. In the end, we
believe that better quality companies will leverage off the efficiencies
generated by today's massive deployment of technology to gain market share and
boost growth rates. To WRL Salomon All Cap's ultimate benefit, we believe these
companies will be the winners in the new economy.
/s/ Ross S. Margolies /s/ Robert M. Donahue, Jr.
--------------------- --------------------------
Ross S. Margolies Robert M. Donahue, Jr.
WRL Salomon All Cap
Co-Portfolio Managers
The views expressed in this commentary on WRL Salomon All Cap reflect those of
the portfolio managers through the period ended June 30, 2000. They do not
necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
44 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC]
[Salomon Brothers
----------------------
Asset Management LOGO]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL Salomon All Cap and the Russell 3000 Index
Portfolio Average Annual Total Return
-----------------------------------------------
1 Year 5 Years 10 Years From Inception
-----------------------------------------------
25.01 % N/A N/A 28.97 %
[GRAPHIC]
WRL Salomon
All Cap $ 13,438
[GRAPHIC]
Russell 3000 $ 11,295
[BAR CHART APPEARS HERE]
5/3/99* 1999 6/30/00
PLEASE FILL IN PLOT POINTS
The portfolio's flexibility came in handy this period.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
----------------------------------------------
Five Largest Holdings (% of Net Assets)
Safeway Inc. 4.18 %
Nabisco Group Holdings Corp. 3.97 %
Federated Department Stores, Inc. 3.47 %
Hormel Foods Corporation 3.11 %
Costco Wholesale Corporation 3.07 %
----------------------------------------------
----------------------------------------------
Five Largest Industries (% of Net Assets)
Telecommunications 9.84 %
Food & Kindred Products 9.20 %
Food Stores 6.40 %
Commercial Banks 6.34 %
Computer & Office Equipment 5.75 %
----------------------------------------------
Equity Matrix
Investment Style
[GRAPHIC]
Equity Matrix
Blend: An investment style that blends both value style and growth style
approaches. Value style emphasizes securities currently out of favor but with
the potential to recover, while growth style concentrates on securities with
present and anticipated earnings growth.
Medium Capitalization: Stocks ranked 251 through 1,000 of the top 5,000 U.S.
stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
2000 Semi-Annual Report | 45
<PAGE>
WRL Pilgrim Baxter Mid Cap Growth
For the period ended June 30, 2000
...seeks capital appreciation.
[GRAPHIC]
Market Environment
Without question, the most significant event for the equity markets this period
was volatility. Whether it was caused by an aggressively restrictive Federal
Reserve Board or valuation levels that were unsustainable, by mid-March
volatility ruled the day. This was especially evident in the technology sector,
which experienced both the biggest run up over the last 18 months and the
biggest correction during the two-month sell-off. Overall, though, the first
half of 2000 turned out to be a very good period for reasons other than just
performance. First, fundamentals of many aggressive growth companies continued
to be strong and actually improved throughout the half. Second, rational
thinking returned to the market. Investors began to scrutinize business models
and we are now past the days when companies attained stratospheric valuations
with only a semblance of a business strategy, no real track record, and no
visible path to profitability. We believe this is not only healthy for the stock
market in the long run, but necessary in order for those companies that possess
improving fundamentals and have executed on their business plan to come to the
forefront.
[GRAPHIC]
Performance
For the six months ended June 30, 2000, WRL Pilgrim Baxter Mid Cap Growth
produced a total return of 22.70 %. The portfolio's performance compares well to
its benchmark, the Russell Midcap Growth Index, which returned 12.15 % over the
same time period.
[GRAPHIC]
Strategy Review
Several factors led to our favorable results this period. First, growth stocks
outperformed value stocks across mid- and large-capitalization stocks. This is
evidenced by the 12.15 % return for the Russell Midcap Growth Index versus the
(0.69)% for the Russell Midcap Value Index. Second, we were overweighted in the
technology and energy sectors when they had among the best returns in the
market. Third, our individual stocks in the technology and healthcare sectors
outperformed the stocks held in the benchmark. And lastly, the companies
represented in the portfolio experienced a minimal number of earnings
disappointments this year.
[GRAPHIC]
Outlook
The portfolio continues to have a large weighting in technology, representing
nearly 62 % of total assets. Healthcare and energy represent the next largest
areas of focus. Overall, the portfolio is dominated by fewer sectors than usual,
reflecting an economy that is very narrow in its underlying strengths. For these
reasons, the portfolio has the potential to be more volatile than prior
quarters. Having said that, though, it would be tough to imagine a six-month
period more volatile than what we just experienced. As other sectors become more
attractive, we will attempt to provide more diversification.
/s/ Jeffrey A. Wrona
--------------------
Jeffrey A. Wrona
WRL Pilgrim Baxter Mid Cap Growth
Portfolio Manager
The views expressed in this commentary on WRL Pilgrim Baxter Mid Cap Growth
reflect those of the portfolio manager through the period ended June 30, 2000.
They do not necessarily represent the views of WRL Investment Management, Inc.
("WRL Management"). Any such views are subject to change at any time based upon
market or other conditions and WRL Management disclaims any responsibility to
update such views. These views may not be relied upon as investment advice and,
because trading decisions are based upon numerous factors, may not be relied
upon as an indication of trading intent.
46 | WRL Series Fund, Inc.
<PAGE>
[PBHG FUNDS LOGO APPEARS HERE]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL Pilgrim Baxter Mid Cap Growth and the Russell Midcap Growth Index
Portfolio Average Annual Total Return
-----------------------------------------------
1 Year 5 Years 10 Years From Inception
-----------------------------------------------
96.94 % N/A N/A 95.91 %
[GRAPHIC]
WRL Pilgrim Baxter
Mid Cap Growth $ 21,841
[GRAPHIC]
Russell Midcap
Growth $ 15,692
[BAR CHART APPEARS HERE]
5/3/99* 1999 6/30/00
PLEASE FILL IN PLOT POINTS
The portfolio continues to have a large weighting in technology.
* Inception
WRL Pilgrim Baxter Mid Cap Growth had extensive technology holdings, which had
exceptional growth during the past 12 months. Investing in technology stocks
generally involves greater volatility and risks so an investment in the fund may
not be appropriate for everyone.
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investors units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
-------------------------------------------------
Five Largest Holdings (% of Net Assets)
Verisign, Inc. 3.95 %
Redback Networks Inc. 3.82 %
MRV Communications, Inc. 3.00 %
Art Technology Group, Inc. 2.94 %
Newport Corporation 2.79 %
-------------------------------------------------
-------------------------------------------------
Five Largest Industries (% of Net Assets)
Computer & Data Processing Services 28.73 %
Electronic Components & Accessories 15.76 %
Communications Equipment 8.11 %
Business Services 6.87 %
Oil & Gas Extraction 6.60 %
-------------------------------------------------
Equity Matrix
Investment Style
[GRAPHIC]
Equity Matrix
Growth: An investment style in which the Portfolio Manager looks for equity
securities with present and anticipated high rates of earnings growth. Per-share
price is not emphasized as much as it is in value investing.
Medium Capitalization: Stocks ranked 251 through 1,000 of the top 5,000 U.S.
stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
2000 Semi-Annual Report | 47
<PAGE>
WRL Dreyfus Mid Cap
For the period ended June 30, 2000
...seeks total investment returns including capital appreciation and income.
[GRAPHIC] Market Environment
The period began with the market still focusing on a narrow group of
high-valuation stocks. Beginning in March, however, investors began to broaden
their outlooks while returning to more traditional measures of stock valuation.
This environment, which is much more favorable to our quantitative valuation
process and our portfolio construction method, benefited portfolio performance.
[GRAPHIC] Performance
For the six months ended June 30, 2000, the portfolio produced a total return of
9.61 %. By comparison, our benchmark, the Standard and Poor's MidCap 400 ("S&P
400"), returned 8.34 %. For the same period, the Standard and Poor's Index of
500 ("S&P 500") Common Stocks returned (0.42)% while the Standard and Poor's
SmallCap 600 Index returned 6.90 %. Overall, mid-cap stocks provided strong
performance, both absolute and relative, for the period. In fact, recent mid-cap
performance has been strong enough to impact the trailing 12-month numbers, with
mid-capitalization issues (as defined by S&P 400) outperforming both the larger
and smaller capitalization names.
[GRAPHIC] Strategy Review
Individual stock selection was the primary driver of the portfolios performance.
Of particular note were the contributions from Waters Corporation, Convergys
Corporation, and Allergan, Inc. Waters Corporation, which gained some 135 %,
provides equipment used by pharmaceutical companies for new product research,
while Allergan, Inc. is a pharmaceutical company that provides a wide array of
eye care products. Convergys Corporation manufactures software used primarily by
telecommunications companies for billing.
Early in the period we initiated positions in Ciena Corporation and SDL, Inc.
Both are technology companies that provide products used in the migration of the
communications industry to fiber optics, and both more than doubled their stock
price this period. Another important issue added this period was Quanta
Services, Inc. They provide construction services to the communications and
cable industries by laying the cable or fiber optic equipment used to provide
voice, data, and cable services.
In addition, a number of our holdings "graduated" from the S&P 400 to the S&P
500, including Altera Corporation, Linear Technology Corporation, Maxim
Integrated Products, Siebel Systems, Inc., and Veritas Software Corporation. In
such an event, we evaluate the change both on an individual stock valuation
basis and its impact upon the S&P 400. We strive to strike a balance between
these two factors, keeping in mind our goal of building a portfolio that has
economic sector, capitalization, and overall risk characteristics that are
similar to the benchmark.
[GRAPHIC] Outlook
We continue to work to improve our quantitative valuation process through
research on new valuation factors and improved statistical techniques. More
importantly, we remain convinced that the middle capitalization sector of the
equity market will provide dynamic investment opportunities in all sectors of
the economy.
/s/ John R. O'Toole
----------------------
JOHN R. O'TOOLE
WRL Dreyfus Mid Cap
Portfolio Manager
The views expressed in this commentary on WRL Dreyfus Mid Cap reflect those of
the portfolio manager through the period ended June 30, 2000. They do not
necessarily represent the views of WRL Investment Management, Inc. ("WRL
Management"). Any such views are subject to change at any time based upon market
or other conditions and WRL Management disclaims any responsibility to update
such views. These views may not be relied upon as investment advice and, because
trading decisions are based upon numerous factors, may not be relied upon as an
indication of trading intent.
48 | WRL Series Fund, Inc.
<PAGE>
[DREYFUS LOGO APPEARS HERE]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL Dreyfus Mid Cap and the Standard and Poor's MidCap 400 Index
Portfolio Average Annual Total Return
----------------------------------------------
1 Year 5 Years 10 Years From Inception
----------------------------------------------
11.69 % N/A N/A 14.89 %
[GRAPHIC]
WRL Dreyfus
Mid Cap $ 11,750
[GRAPHIC]
S&P MidCap 400 $ 12,209
[BAR CHART APPEARS HERE]
5/3/99* 1999 6/30/00
PLESE FILL IN PLOT POINTS
We remain convinced that the middle capitalization sector of the equity market
will provide dynamic investment opportunities.
* Inception
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
------------------------------------------------
Five Largest Holdings (% of Net Assets)
IVAX Corporation 2.17 %
Intuit Inc. 1.30 %
Dollar Tree Stores, Inc. 1.24 %
Dynergy Inc. - Class A 1.22 %
Chiron Corporation 1.13 %
------------------------------------------------
------------------------------------------------
Five Largest Industries (% of Net Assets)
Electronic Components & Accessories 9.89 %
Computer & Data Processing Services 8.04 %
Pharmaceuticals 7.12 %
Oil & Gas Extraction 5.87 %
Electric Services 5.40 %
------------------------------------------------
Equity Matrix
Investment Style
[GRAPHIC APPEARS HERE]
Equity Matrix
Blend: An investment style that blends both value style and growth style
approaches. Value style emphasizes securities currently out of favor but with
the potential to recover, while growth style concentrates on securities with
present and anticipated earnings growth.
Medium Capitalization: Stocks ranked 251 through 1,000 of the top 5,000 U.S.
stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
2000 Semi-Annual Report | 49
<PAGE>
WRL Value Line Aggressive Growth
For the period ended June 30, 2000
...seeks to realize capital growth.
[GRAPHIC] Market Environment
The portfolio commenced operations on May 1, 2000, with an objective of capital
growth. Rising interest rates and stock market turbulence marked our start-up
period. Financial services stocks were particularly hard hit, though technology
and retail issues suffered rounds of profit taking as well. Most broad stock
indexes were flat during the period, while bonds posted negative total returns.
[GRAPHIC] Performance
For the two months ended June 30, 2000, WRL Value Line Aggressive Growth gained
4.90 %. In comparison, the Standard and Poor's Index of 500 Common Stocks
returned just 0.36 % for the same period. While the performance comparison
between a fully formed index and a portfolio in its initial accumulation phase
may not be totally meaningful, the positive comparison interval of nearly four
and one half percentage points suggests the portfolio is off to a good start.
[GRAPHIC] Strategy Review
Our primary objective since going live on May 1st has been to build a
diversified, growth-equity portfolio. As funds have been received (slowly at
first, and at a somewhat more rapid pace recently), we have invested as
opportunistically as possible, attempting to purchase the stocks of good-quality
companies at the best possible price on any particular day. Initial purchases
were made in dollar-value lots of relatively equal size. Currently, the
portfolio is well diversified, with nearly sixty equity positions. Our objective
going forward will be to adjust the weightings of those positions to achieve the
most aggressive expected return.
[GRAPHIC] Outlook
In the last few weeks of the second quarter, signs of slowing economic growth
began to emerge. These indications (in manufacturing, wage rates, housing,
retail sales, and employment growth) suggest the restrictive monetary policy
commenced by the Federal Reserve Board in June of 1999 has begun to work through
the economy, and that we are near the end of that policy posture. If that
observation turns out to be correct, it should have two implications for the
stock market. First, we should see long-term interest rates moving lower over
the balance of 2000 and into 2001, which should expand the price/earnings
multiples by which stocks are valued in the market. And second, the economy
remains quite healthy (if growing at a somewhat slower pace than we saw during
last year's fourth quarter and this year's first), so corporate earnings will
likely continue to advance at a reasonable pace. Thus, we believe that U.S.
equities will trend higher over the next six to nine months, perhaps achieving
new highs on the broad indexes.
/s/ Alan N. Hoffman
--------------------------------
Alan N. Hoffman
WRL Value Line Aggressive Growth
Portfolio Manager
The views expressed in this commentary on WRL Value Line Aggressive Growth
reflect those of the portfolio manager through the period ended June 30, 2000.
They do not necessarily represent the views of WRL Investment Management, Inc.
("WRL Management"). Any such views are subject to change at any time based upon
market or other conditions and WRL Management disclaims any responsibility to
update such views. These views may not be relied upon as investment advice and,
because trading decisions are based upon numerous factors, may not be relied
upon as an indication of trading intent.
50 | WRL Series Fund, Inc.
<PAGE>
[GRAPHIC APPEARS HERE]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL Value Line Aggressive Growth and the Standard and Poor's Index of 500 Common
Stocks.
Portfolio Average Annual Total Return
-----------------------------------------------
1 Year 5 Years 10 Years From Inception
-----------------------------------------------
N/A N/A N/A 4.90 %
[GRAPHIC]
WRL Value Line
Aggressive Growth $ 10,490
[GRAPHIC]
S&P 500 $ 10,036
[BAR CHART APPEARS HERE]
12/31/99 5/1/00* 6/30/00
PLEASE FILL IN PLOT POINTS
We believe that U.S. equities will trend higher over the next six to nine
months.
* Inception
WRL Value Line Aggressive Growth commenced operations on 5/1/00. Due to its
short term (two months) performance history, no indication of fluctuation is
illustrated. In the future, longer time periods will indicate market
fluctuation.
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
-----------------------------------------------
Five Largest Holdings (% of Net Assets)
Best Buy Co., Inc. 2.50 %
ADC Telecommunications, Incorporated 2.23 %
Harley-Davidson, Inc. 2.03 %
EMC Corporation 2.03 %
Kohl's Corporation 1.89 %
-----------------------------------------------
-----------------------------------------------
Five Largest Industries (% of Net Assets)
Computer & Data Processing Services 10.06 %
Pharmaceuticals 7.50 %
Computer & Office Equipment 6.56 %
Communications Equipment 5.68 %
Telecommunications 4.87 %
-----------------------------------------------
Equity Matrix
Investment Style
[GRAPIC]
Equity Matrix
Growth: An investment style in which the Portfolio Manger looks for equity
securities with present and anticipated high rates of earnings growth. Perhaps
price is not emphasized as much as it is in value investing.
Large Capitalization: Largest 5% of the top 5,000 U.S. stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
There are risks associated with the use of the Value Line ranking systems
("Systems"). The stocks selected using the systems may not perform as well as
their ranking within the system may suggest.
2000 Semi-Annual Report | 51
<PAGE>
WRL Great Companies - America(SM)
For the period ended June 30, 2000
...seeks long-term growth of capital.
[GRAPHIC] Market Environment
WRL Great Companies - America(SM) commenced operations May 1, 2000, with an
objective of long-term growth of capital. Many of what we consider to be great
companies have been characterized lately as the "old economy" stocks. The
implication, of course, being investments in these staid old companies would
underperform the "new economy" market. What many of the so-called pundits failed
to realize, however, was that many of the new economy companies had to market
through the old economy stalwarts. They also seemed to ignore the fact that many
of these great old companies were making critical, aggressive acquisitions that
we believe will enhance their market positions for years to come. Investors who
were paying attention also saw the power of outstanding boards of directors in
action. Witness, for example, how both The Coca-Cola Company and The Procter &
Gamble Company replaced CEOs who did not live up to expectations.
When the technology sector "blew up" in the early spring, it was interesting to
see new money flow back into these old economy companies. These old economy
companies given up for dead in the first quarter are now outperforming the
technology sector.
[GRAPHIC] Performance
For the two months ended June 30, 2000, WRL Great Companies - America(SM)
produced a return of 4.20 %. Over the same period, the portfolio's benchmark,
the Standard and Poor's Index of 500 Common Stocks ("S&P 500"), gained 0.36 %.
[GRAPHIC] Strategy Review
The portfolio looks to invest in stocks of large, established, U.S.-based
companies. Stocks are selected from a group of companies we have identified to
be "great companies." To be considered a great company, a candidate must have: a
market cap in excess of $ 15 billion; have been in business at least 15 years;
be a global company (40 % of revenues from non-U.S. operations); be
headquartered in the U.S.; be highly regarded by management experts; and be
publicly traded. In addition, and very importantly, the stock of a great company
must have outperformed both the S&P 500 and the Dow Jones Industrial Average
over the 20-year period ended 12/31/98. Currently, we consider the great
companies to include: American International Group, Inc., Bristol-Myers Squibb
Co., Citigroup Inc, The Coca-Cola Company, Colgate-Palmolive Company, General
Electric Company, The Gillette Company, Johnson & Johnson, Medtronic, Inc.,
Merck & Co., Inc., Merrill Lynch & Co., Inc., Pfizer Incorporated, The Procter &
Gamble Company, and Schering-Plough Corporation.
The portfolio's performance across these two months, though brief, reaffirms the
merits of investing in great companies that are increasing their intrinsic
values. We like to think its the executives of these companies who are the
ultimate money managers--the decisions they make determine the intrinsic values
that drive shareholder value.
[GRAPHIC] Outlook
The great companies are among the world's most admired companies. As long as
these companies continue to innovate, increase productivity, and enhance
intrinsic value, we believe they will power the U.S. stock markets to new
levels. While it's virtually impossible to predict where markets will go during
the short-term, in our view these great companies will continue building
intrinsic value. We're confident WRL Great Companies - America(SM) will provide
shareholders with solid long-term returns.
/s/ James H. Huget /s/ Gerald W. Bollman
-------------------- -----------------------
James H. Huguet Gerald W. Bollman
WRL Great Companies-America(SM)
Co-Portfolio Managers
The views expressed in this commentary on WRL Great Companies - America(SM)
reflect those of the portfolio managers through the period ended June 30, 2000.
They do not necessarily represent the views of WRL Investment Management, Inc.
("WRL Management"). Any such views are subject to change at any time based upon
market or other conditions and WRL Management disclaims any responsibility to
update such views. These views may not be relied upon as investment advice and,
because trading decisions are based upon numerous factors, may not be relied
upon as an indication of trading intent.
52 | WRL Series Fund, Inc.
<PAGE>
[GREAT COMPANIES, LLC LOGO APPEARS HERE]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL Great Companies - America(SM) and the Standard and Poor's Index of 500
Common Stocks.
Portfolio Average Annual Total Return
---------------------------------------------
1 Year 5 Years 10 Years From Inception
---------------------------------------------
N/A N/A N/A 4.20 %
[GRAPHIC]
WRL Great Companies -
America(SM) $ 10,420
[GRAPHIC]
S&P 500 $ 10,036
[BAR CHART APPEARS HERE]
12/31/99 5/1/00* 6/30/00
PLEASE FILL IN PLOT POINTS
In our view, these great companies will continue building intrinsic value.
* Inception
WRL Great Companies - America(SM) commenced operations on 5/1/00. Due to its
short term (two months) performance history, no indication of fluctuation is
illustrated. In the future, longer time periods will indicate market
fluctuation.
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investors units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
-----------------------------------------------
Five Largest Holdings (% of Net Assets)
Medtronic, Inc. 12.18 %
Pfizer Incorporated 11.99 %
American International Group, Inc. 11.32 %
General Electric Company 11.16 %
Bristol-Myers Squibb Co. 4.77 %
-----------------------------------------------
-----------------------------------------------
Five Largest Industries (% of Net Assets)
Pharmaceuticals 29.69 %
Medical Instruments & Supplies 12.18 %
Insurance 11.32 %
Electronic & Other Electric Equipment 11.16 %
Chemicals & Allied Products 8.71 %
-----------------------------------------------
Equity Matrix
Investment Style
[GRAPHIC APPEARS HERE]
Equity Matrix
Blend: An investment style that blends both value style and growth style
approaches. Value style emphasizes securities currently out of favor but with
the potential to recover, while growth style concentrates on securities with
present and anticipated earnings growth.
Large Capitalization: Largest 5 % of the top 5,000 U.S. stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
Because non-diversified funds invest a substantial proportion of their assets in
a limited number of securities within a specific industry, they may suffer
greater volatility as a result of an economic, political, or regulatory event
than diversified funds would.
2000 Semi-Annual Report | 53
<PAGE>
WRL Great Companies - Technology(SM)
For the period ended June 30, 2000
...seeks long-term growth of capital.
[GRAPHIC] Market Environment
WRL Great Companies - Technology(SM) commenced operations May 1, 2000, with an
objective of long-term growth of capital. Across the two month inaugural period,
uncertainty and caution characterized the technology sector.
While the market is always full of apprehension, this period seemed to be
especially troubling for technology stocks. Investors were left to worry, and
rightfully so, whether the Federal Reserve Board would continue to raise rates,
whether tech stocks would rebound from the drubbing they took in early spring,
and whether dot-com companies would continue to "burn" cash. All that said, it's
important for investors to realize two things: absolutely no one can accurately
answer these questions, and trying to answer these questions is a waste of time.
If youre following a sound investment strategy, even if you could answer these
questions, your answers would have little or no impact on your investing
decisions.
Earlier this year we entered a period of rampant speculation in the technology
sector. Investors believed that the so-called old economy companies were dead
and the new economy had unlimited growth potential. This led to the
overvaluation of many technology stocks. As a result of the unbridled optimism
of investors, we were challenged to allocate funds among the stocks in the
portfolio. As always, market sentiment proved to be a powerful force, and most
technology companies saw their stock prices suddenly align with their intrinsic
values. These short-term market gyrations normally provide us with an
opportunity to buy stocks of great companies below their intrinsic values.
Unfortunately, investors who were trading on margin learned a harsh lesson.
[GRAPHIC] Performance
For the two months ended June 30, 2000, WRL Great Companies - Technology(SM)
gained 4.10 %. By comparison, the portfolio's benchmark, the Standard and Poor's
Index of 500 Common Stocks ("S&P 500"), returned 0.36 % for the same period.
[GRAPHIC] Strategy Review
The portfolio looks to invest in stocks of large, established, U.S.-based
companies that rely extensively on technology or communications. Stocks are
selected from a group of companies we have identified to be "great companies."
To be considered a great company, a candidate must have: a market cap in excess
of $ 15 billion; have been in business at least 15 years; be a global company
(30 % of revenues from non-U.S. operations); be headquartered in the U.S.; be
highly regarded by management experts; and be publicly traded. In addition, and
very importantly, the stock of a great company must have outperformed both the
S&P 500 and the Dow Jones Industrial Average over the ten-year period ended
12/31/98. Currently, we consider the great technology companies to include: AT&T
Corp., Cisco Systems, Inc., Dell Computer Corporation, EMC Corporation,
Hewlett-Packard Company, International Business Machines Corp., Intel
Corporation, Lucent Technologies, Inc., WorldCom, Inc., Microsoft Corporation,
Sun Microsystems, Inc. and Texas Instruments, Incorporated.
[GRAPHIC] Outlook
United States-based technology companies continue to hold global leadership
positions in key technology sectors. As long as these great companies continue
to build their businesses globally, strengthen their protective barriers, and
create exciting new products that improve productivity, investors, we think,
will benefit.
/s/ James H. Huguet /s/ Gerald W. Bollman
------------------- ---------------------
James H. Huguet Gerald W. Bollman
WRL Great Companies-Technology(SM)
Co-Portfolio Managers
The views expressed in this commentary on WRL Great Companies - Technology(SM)
reflect those of the portfolio managers through the period ended June 30, 2000.
They do not necessarily represent the views of WRL Investment Management, Inc.
("WRL Management"). Any such views are subject to change at any time based upon
market or other conditions and WRL Management disclaims any responsibility to
update such views. These views may not be relied upon as investment advice and,
because trading decisions are based upon numerous factors, may not be relied
upon as an indication of trading intent.
54 | WRL Series Fund, Inc.
<PAGE>
[GREAT COMPANIES, LLC LOGO APPEARS HERE]
Comparison of change in value of $ 10,000 investment in WRL Series Fund, Inc.
WRL Great Companies - Technology(SM) and the Standard and Poor's Index of 500
Common Stocks.
Portfolio Average Annual Total Return
-----------------------------------------------
1 Year 5 Years 10 Years From Inception
-----------------------------------------------
N/A N/A N/A 4.10 %
[GRAPHIC]
WRL Great Companies -
Technology(SM) $ 10,410
[GRAPHIC]
S&P 500 $ 10,036
[BAR CHART APPEARS HERE]
12/31/99 5/1/00* 6/30/00
PLEASE FILL IN PLOT POINTS
United States-based technology companies continue to hold global leadership
positions in key technology sectors.
* Inception
WRL Great Companies - Technology(SM) commenced operations on 5/1/00. Due to its
short term (two months) performance history, no indication of fluctuation is
illustrated. In the future, longer time periods will indicate market
fluctuation.
The portfolio's investment return and net asset value per share will fluctuate.
Past performance does not guarantee future results. Investor's units, when
redeemed, may be worth more or less than their original cost.
This performance information must be accompanied by the quarterly performance
reports as of the most recent calendar quarter for the appropriate variable
annuity products showing average annual total returns of the respective
products, net of fees and charges, including mortality and expense risk charge.
For variable universal life insurance, please refer to the hypothetical
illustrations in the prospectus, which show the effect on performance of all
charges that may apply to a policy. You may wish to obtain a personalized
illustration, which reflects all the charges that apply to a policy.
------------------------------------------------
Five Largest Holdings (% of Net Assets)
Hewlett-Packard Company 9.10 %
Dell Computer Corporation 8.86 %
Cisco Systems, Inc. 8.80 %
Oracle Corporation 8.69 %
Motorola, Inc. 8.30 %
------------------------------------------------
------------------------------------------------
Five Largest Industries (% of Net Assets)
Computer & Office Equipment 42.09 %
Telecommunications 12.95 %
Computer & Data Processing Services 10.92 %
Electronic Components & Accessories 8.37 %
Communications Equipment 8.30 %
------------------------------------------------
Equity Matrix
Investment Style
[GRAPHIC APPEARS HERE]
Equity Matrix
Growth: An investment style in which the Portfolio Manager looks for equity
securities with present and anticipated high rates of earnings growth. Per-share
price is not emphasized as much as it is in value investing.
Large Capitalization: Largest 5 % of the top 5,000 U.S. stocks.
This material must be preceded or accompanied by the Fund's current prospectus.
Because non-diversified funds invest a substantial proportion of their assets in
a limited number of securities within a specific industry, they may suffer
greater volatility as a result of an economic, political, or regulatory event
than diversified funds would.
2000 Semi-Annual Report | 55
<PAGE>
Schedule of Investments
WRL J.P. Morgan Money Market
At June 30, 2000
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
COMMERCIAL PAPER (26.93 %)
Business Credit Institutions (12.75 %)
Alpine Securitization
Corporation - 144A (7c)
6.60 %, due 07/25/2000 ............................................... $ 2,000 $ 1,991
American Express Credit
Corporation
6.54 %, due 07/06/2000 ............................................... 4,230 4,226
CDC North America Inc. -
144A (7c)
6.65 %, due 08/24/2000 ............................................... 6,000 5,940
Edison Asset Securization, L.L.C. -
144A (7c)
6.59 %, due 07/26/2000 ............................................... 2,000 1,991
Edison Asset Securization, L.L.C. -
144A (7c)
6.60 %, due 08/01/2000 ............................................... 2,000 1,989
HD Real Estate Funding
Corporation - 144A (7c)
6.80 %, due 11/21/2000 ............................................... 10,000 9,729
Receivables Capital
Corporation - 144A (7c)
6.60 %, due 07/25/2000 ............................................... 4,000 3,982
Chemicals & Allied Products (2.12 %)
BASF AG - 144A (7c)
6.61 %, due 08/25/2000 ............................................... 5,000 4,950
Commercial Banks (2.95 %)
Nationwide Building Society
6.60 %, due 09/14/2000 ............................................... 7,000 6,904
Electric, Gas & Sanitary Services (3.19 %)
Wisconsin Energy
Corporation - 144A (7c)
6.56 %, due 07/18/2000 ............................................... 2,000 1,994
Wisconsin Energy
Corporation - 144A (7c)
6.60 %, due 08/03/2000 ............................................... 5,500 5,467
Public Administration (0.83 %)
Quebec (Province of)
6.67 %, due 12/14/2000 ............................................... 2,000 1,938
Telecommunications (5.09 %)
SBC Communications
Inc. - 144A (7c)
6.56 %, due 07/20/2000 ............................................... 4,000 3,986
SBC Communications
Inc. - 144A (7c)
6.63 %, due 08/17/2000 ............................................... 4,500 4,461
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
COMMERCIAL PAPER (continued)
Telecommunications (continued)
SBC Communications
Inc. - 144A (7c)
6.68 %, due 09/01/2000 ............................................... $ 3,500 $ 3,460
----------
Total Commercial Paper
(cost: $ 63,008).................................................................... 63,008
----------
SHORT-TERM OBLIGATIONS (53.42 %)
Beer, Wine, & Distilled Beverages (4.70 %)
Diageo PLC (7d)
6.82 %, due 08/24/2000 ............................................... 11,000 10,998
Business Credit Institutions (5.13 %)
CIT Group, Inc. (The) (7d)
6.75 %, due 08/14/2000 ............................................... 3,000 3,000
CIT Group, Inc. (The) (7d)
6.66 %, due 01/19/2001 ............................................... 6,000 5,998
CIT Group, Inc. (The) (7d)
6.60 %, due 02/14/2001 ............................................... 3,000 2,998
Commercial Banks (31.19 %)
American Express Centurion
Bank (7d)
6.75 %, due 07/12/2000 ............................................... 1,500 1,500
Bank Austria AG - Connecticut (7d)
6.56 %, due 02/16/2001 ............................................... 7,000 6,998
Bank of America Corporation (7d)
6.65 %, due 06/06/2001 ............................................... 2,000 2,000
Bank of Scotland
Treasury - 144A (7c) (7d)
6.83 %, due 03/05/2001 ............................................... 10,000 9,999
Bayerische Landesbank - NY (7d)
6.58 %, due 12/15/2000 ............................................... 2,000 1,999
Chase Manhattan
Corporation (The) (7d)
6.67 %, due 11/02/2000 ............................................... 2,000 2,002
Citicorp (7d)
6.68 %, due 08/02/2000 ............................................... 2,000 2,000
Citigroup Inc. (7d)
6.62 %, due 04/04/2001 ............................................... 4,000 4,000
Comerica Incorporated (7d)
6.56 %, due 02/14/2001 ............................................... 1,000 1,000
Commerzbank AG - NY (7d)
6.59 %, due 03/01/2001 ............................................... 7,000 6,998
Commerzbank AG - NY (7d)
6.60 %, due 04/26/2001 ............................................... 3,000 3,000
Deutsche Bank AG - NY (7d)
6.56 %, due 02/16/2001 ............................................... 1,000 1,000
First Union Corporation (7d)
6.79 %, due 09/05/2000 ............................................... 2,000 2,000
</TABLE>
See accompanying notes which are an integral part of the financial statements.
56 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL J.P. Morgan Money Market (continued)
At June 30, 2000
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
SHORT-TERM OBLIGATIONS (continued)
Commercial Banks (continued)
First Union Corporation (7d)
6.67 %, due 05/16/2001 ............................................... $ 8,000 $ 8,000
FleetBoston Financial Corp. (7d)
6.34 %, due 10/13/2000 ............................................... 6,000 5,999
National City Bank (7d)
6.63 %, due 10/04/2000 ............................................... 5,000 5,000
NationsBank of Texas National
Association
6.75 %, due 08/15/2000 ............................................... 2,500 2,502
PNC Bank, National
Association (7d)
6.59 %, due 07/12/2000 ............................................... 6,000 6,000
U.S. Bank, National
Association (7d)
6.63 %, due 04/04/2001 ............................................... 1,000 1,000
Food & Kindred Products (1.28 %)
General Mills, Inc.
6.68 %, due 02/09/2001 ............................................... 3,000 2,999
Personal Credit Institutions (4.70 %)
General Electric Capital
Corporation (7d)
6.22 %, due 01/02/2001 ............................................... 8,000 8,000
General Motors Acceptance
Corporation (7d)
6.87 %, due 03/30/2001 ............................................... 2,000 2,002
Norwest Financial, Inc. (7d)
6.62 %, due 07/20/2000 ............................................... 1,000 1,000
Public Administration (2.15 %)
Manitoba (Province of)
9.50 %, due 10/01/2000 ............................................... 5,000 5,033
Telecommunications (4.27 %)
AT&T Corp. - 144A (7c) (7d)
6.24 %, due 07/13/2000 ............................................... 7,000 6,997
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
SHORT-TERM OBLIGATIONS (continued)
Telecommunications (continued) AT&T Corp. (7d)
6.57 %, due 03/08/2001 ............................................... 3,000 $ 3,000
----------
Total Short-Term Obligations
(cost: $ 125,022)................................................................... 125,022
----------
CERTIFICATES OF DEPOSITS (19.23 %)
Bayerische Landesbank - NY
5.93 %, due 10/02/2000 ............................................... 5,000 4,998
Canadian Imperial Bank of
Commerce
7.42 %, due 06/04/2001 ............................................... 2,000 1,999
Citibank, National Association
7.41 %, due 05/30/2001 ............................................... 3,500 3,500
Deutsche Bank AG - NY
6.19 %, due 12/01/2000 ............................................... 9,500 9,497
Landesbank Hessen-Thuringen
7.14 %, due 05/08/2001 ............................................... 3,000 3,000
Rabobank Nederland NV - NY
6.66 %, due 03/09/2001 ............................................... 1,000 1,000
SunTrust Bank, Inc.
6.24 %, due 07/06/2000 ............................................... 7,000 7,000
UBS AG
6.24 %, due 12/04/2000 ............................................... 8,500 8,497
UBS AG
6.44 %, due 12/21/2000 ............................................... 5,500 5,499
----------
Total Certificates of Deposits
(cost: $ 44,990).................................................................... 44,990
----------
Total Investment Securities
(cost: $ 233,020)................................................................... $233,020
==========
SUMMARY
Investments, at market value ........................................... 99.58% $233,020
Other assets in
excess of liabilities ................................................ 0.42% 985
--------- ----------
Net assets ............................................................. 100.00% $234,005
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 57
<PAGE>
Schedule of Investments
WRL AEGON Bond
At June 30, 2000
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
U.S. GOVERNMENT OBLIGATIONS (20.51 %)
U.S. Treasury Bond
7.25 %, due 05/15/2016 ............................................... $ 5,000 $ 5,501
U.S. Treasury Bond
7.50 %, due 11/15/2016 ............................................... 3,250 3,660
U.S. Treasury Bond
6.25 %, due 08/15/2023 ............................................... 5,000 5,030
U.S. Treasury Bond
6.50 %, due 11/15/2026 ............................................... 10,000 10,430
U.S. Treasury Bond
5.25 %, due 11/15/2028 ............................................... 3,000 2,655
----------
Total U.S. Government Obligations
(cost: $ 28,263).................................................................... 27,276
----------
U.S. GOVERNMENT AGENCY OBLIGATIONS (8.68 %)
Fannie Mae
5.25 %, due 01/15/2003 ............................................... 5,000 4,808
Fannie Mae
6.50 %, due 07/01/2029 ............................................... 1,922 1,812
Federal Home Loan Bank
5.50 %, due 08/13/2001 ............................................... 5,000 4,926
----------
Total U.S. Government Agency Obligations
(cost: $ 11,826).................................................................... 11,546
----------
FOREIGN GOVERNMENT OBLIGATIONS (1.88 %)
Republic of South Africa
9.13 %, due 05/19/2009 ............................................... 1,500 1,470
United Mexican States
9.88 %, due 01/15/2007 ............................................... 1,000 1,030
----------
Total Foreign Government Obligations
(cost: $ 2,563)..................................................................... 2,500
----------
MORTGAGE-BACKED SECURITIES (4.86 %)
Aetna Commercial Mortgage Trust
1997-Aetna Life Insurance
Company
6.71 %, due 01/15/2006 ............................................... 2,500 2,436
CBM Funding Corporation
7.08 %, due 11/01/2007 ............................................... 2,150 2,138
Mellon Residential Funding
Corporation
7.03 %, due 03/25/2030 ............................................... 2,000 1,884
----------
Total Mortgage-Backed Securities
(cost: $ 6,733)..................................................................... 6,458
----------
ASSET-BACKED SECURITIES (6.24 %)
AmeriCredit Automobile
Receivables Trust 1996-D
6.30 %, due 05/12/2002 ............................................... 1,500 1,494
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
ASSET-BACKED SECURITIES (continued)
CIT RV Trust 1998-A
6.09 %, due 03/15/2012 ................................................. $ 2,000 $ 1,944
CSXT Trade Receivable
Master Trust 1998-1
6.00 %, due 07/26/2004 ................................................. 2,000 1,915
Distribution Financial Services
Floorplan Master Trust
5.84 %, due 10/17/2011 ................................................. 1,500 1,461
DVI Receivables VIII, L.L.C.
6.26 %, due 05/13/2007 ................................................. 1,500 1,486
----------
Total Asset-Backed Securities
(cost: $ 8,454)....................................................................... 8,300
----------
CORPORATE DEBT SECURITIES (48.21 %)
Auto Repair, Services & Parking (1.90 %)
Ryder System, Inc.
9.25 %, due 05/15/2001 ............................................... 2,500 2,525
Automotive (2.19 %)
DaimlerChrysler North America
Holding Corporation (7b)
7.38 %, due 09/15/2006 ............................................... 2,000 1,970
Ford Motor Company
7.45 %, due 07/16/2031 ............................................... 1,000 937
Business Credit Institutions (2.80 %)
FINOVA Capital Corporation
6.50 %, due 07/28/2002 ............................................... 2,000 1,785
Heller Financial, Inc.
6.44 %, due 10/06/2002 ............................................... 2,000 1,943
Chemicals & Allied Products (1.42 %)
DSM NV - 144A (7c)
6.75 %, due 05/15/2009 ............................................... 2,000 1,890
Commercial Banks (6.00 %)
Bank of New York
Company, Inc. (The)
6.63 %, due 06/15/2003 ............................................... 2,000 1,955
BNP Paribas - NY
6.95 %, due 07/22/2013 ............................................... 2,000 1,814
Den Danske Bank - 144A (7c)
6.38 %, due 06/15/2008 ............................................... 2,500 2,328
PNC Financial Services Group
6.88 %, due 07/15/2007 ............................................... 2,000 1,895
Drug Stores & Proprietary Stores (0.77 %)
Rite Aid Corporation - 144A (7c)
6.00 %, due 12/15/2005 ............................................... 2,000 1,020
</TABLE>
See accompanying notes which are an integral part of the financial statements.
58 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL AEGON Bond (continued)
At June 30, 2000
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
CORPORATE DEBT SECURITIES (continued)
Electric Services (2.85 %)
PSEG Capital Corporation -
144A (7c)
6.25 %, due 05/15/2003 ............................................... $ 2,000 1,923
TXU Eastern Holdings Limited
6.45 %, due 05/15/2005 ............................................... 2,000 1,865
Electric, Gas & Sanitary Services (2.66 %)
Alliant Energy Resources, Inc.
7.38 %, due 11/09/2009 ............................................... 2,000 1,948
United Utilities PLC
6.88 %, due 08/15/2028 ............................................... 2,000 1,595
Environmental Services (1.82 %)
Waste Management, Inc.
6.13 %, due 07/15/2001 ............................................... 2,500 2,421
Food & Kindred Products (1.44 %)
CPC International, Inc.
6.15 %, due 01/15/2006 ............................................... 2,000 1,913
Gas Production & Distribution (1.43 %)
Tennessee Gas Pipeline Company
7.50 %, due 04/01/2017 ............................................... 2,000 1,899
Mortgage Bankers and Brokers (4.46 %)
Captiva Finance Ltd. - 144A (7c)
6.86 %, due 11/30/2009 ............................................... 2,000 1,945
Countrywide Home Loans, Inc.
5.62 %, due 10/16/2000 ............................................... 2,000 1,992
Money Store (The)
7.30 %, due 12/01/2002 ............................................... 2,000 1,988
Personal Credit Institutions (4.41 %)
General Motors Acceptance
Corporation
6.85 %, due 06/17/2004 ............................................... 4,000 3,910
Norwest Financial, Inc.
6.63 %, due 07/15/2004 ............................................... 2,000 1,949
Petroleum Refining (1.48 %)
Texaco Capital Inc.
7.09 %, due 02/01/2007 ............................................... 2,000 1,963
Printing & Publishing (1.46 %)
Tribune Company
6.88 %, due 11/01/2006 ............................................... 2,000 1,940
Railroads (0.73 %)
CSX Corporation
7.25 %, due 05/01/2004 ............................................... 1,000 976
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
CORPORATE DEBT SECURITIES (continued)
Rubber & Misc. Plastic Products (0.72 %)
Rubbermaid Incorporated
6.60 %, due 11/15/2006 ............................................... $ 1,000 $ 958
Savings Institutions (1.01 %)
Golden State Holdings Inc.
7.13 %, due 08/01/2005 ............................................... 1,500 1,339
Security & Commodity Brokers (4.35 %)
Lehman Brothers Holdings Inc.
6.38 %, due 10/23/2000 ............................................... 2,050 2,046
Merrill Lynch & Co., Inc.
6.56 %, due 12/16/2007 ............................................... 2,000 1,860
Morgan Stanley Dean Witter and Co.
6.88 %, due 03/01/2007 ............................................... 2,000 1,885
Telecommunications (0.65 %)
Sprint Capital Corporation
6.88 %, due 11/15/2028 ............................................... 1,000 865
Transportation & Public Utilities (1.39 %)
General American Transportation
Corporation
6.75 %, due 05/01/2009 ............................................... 2,000 1,846
Wholesale Trade Nondurable Goods (2.27 %)
SYSCO Corporation
7.25 %, due 04/15/2007 ............................................... 3,000 3,023
----------
Total Corporate Debt Securities
(cost: $ 67,911).................................................................... 64,111
----------
SHORT-TERM U.S. GOVERNMENT
OBLIGATIONS (8.34 %)
Farmer Mac
6.50 %, due 07/03/2000 ............................................... 11,100 11,096
----------
Total Short-Term U.S. Government
Obligations
(cost: $ 11,096).................................................................... 11,096
----------
Total Investment Securities
(cost: $ 136,846)................................................................... $131,287
==========
SUMMARY
Investments, at market value ........................................... 98.72% $131,287
Other assets in
excess of liabilities ................................................ 1.28% 1,703
--------- ----------
Net assets ............................................................. 100.00% $132,990
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 59
<PAGE>
Schedule of Investments
WRL Janus Growth
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (92.69 %)
Business Services (4.47 %)
eBay, Inc. (7a) (7b) ................................................... 1,434,464 $ 77,909
Exodus Communications,
Inc. (7a) (7b) ....................................................... 2,338,520 107,718
Communication (5.10 %)
Comcast Corporation - Class A (7a)...................................... 1,245,224 50,432
Echostar Communications
Corporation - Class A (7a) (7b) ...................................... 1,518,235 50,268
NTL Incorporated (7a) (7b) ............................................. 857,928 51,368
Viacom, Inc. - Class B (7a) ............................................ 873,860 59,586
Communications Equipment (12.67 %)
Nokia Oyj - ADR (7b) ................................................... 7,336,749 366,380
Nortel Networks Corporation (7b)........................................ 1,094,410 74,693
Tellabs, Inc. (7a) ..................................................... 1,238,400 84,753
Computer & Data Processing Services (17.10 %)
America Online, Inc. (7a) .............................................. 3,636,426 191,821
BEA Systems, Inc. (7a) (7b) ............................................ 1,817,680 89,862
Check Point Software
Technologies, Ltd. (7a) (7b) ......................................... 212,300 44,955
Microsoft Corporation (7a) ............................................. 1,805,719 144,458
Sapient Corporation (7a) (7b) .......................................... 404,170 43,221
Verisign, Inc. (7a) (7b) ............................................... 511,324 90,249
Veritas Software
Corporation (7a) (7b) ................................................ 926,657 104,727
Computer & Office Equipment (9.46 %)
3Com Corporation (7a) .................................................. 1,043,200 60,114
Cisco Systems, Inc. (7a) (7b) .......................................... 4,365,280 277,468
EMC Corporation (7a) ................................................... 711,990 54,779
Electronic & Other Electric Equipment (5.68 %)
General Electric Company ............................................... 4,446,420 235,660
Electronic Components & Accessories (9.80 %)
Conexant Systems, Inc. (7a) (7b) ....................................... 1,420,725 69,083
JDS Uniphase Corporation (7a) .......................................... 777,650 93,221
Texas Instruments Incorporated ......................................... 1,780,528 122,300
Xilinx Inc. (7a) ....................................................... 1,474,128 121,708
Industrial Machinery & Equipment (1.64 %)
Lam Research Corporation (7a) .......................................... 1,816,383 68,114
Lumber & Other Building Materials (2.32 %)
Home Depot, Inc. (The) ................................................. 1,930,773 96,418
Medical Instruments & Supplies (1.69 %)
Medtronic, Inc. ........................................................ 1,410,430 70,257
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Motion Pictures (3.71 %)
Time Warner Inc. (7b) .................................................. 2,027,969 $ 154,126
Personal Credit Institutions (1.96 %)
American Express Company ............................................... 1,563,357 81,490
Petroleum & Petroleum Products (1.32 %)
Enron Corp. ............................................................ 850,716 54,871
Pharmaceuticals (0.80 %)
Genentech, Inc. (7a) (7b) .............................................. 191,900 33,007
Radio & Television Broadcasting (2.62 %)
AMFM Inc. (7a) ......................................................... 1,575,220 108,690
Restaurants (0.09 %)
Starbucks Corporation (7a) ............................................. 102,005 3,895
Retail Trade (2.09 %)
Amazon.Com, Inc. (7a) (7b) ............................................. 1,776,289 64,501
Staples, Inc. (7a) ..................................................... 1,447,280 22,252
Telecommunications (9.17 %)
AT&T Corp. - Liberty Media
Group - Class A (7a) ................................................. 3,194,432 77,465
Nextel Communications, Inc. -
Class A (7a) (7b) .................................................... 1,780,870 108,967
NTT DoCoMo, Inc. ...................................................... 2,611 70,714
Telefonica SA - ADR (7a) (7b) .......................................... 513,950 32,925
Vodafone Airtouch PLC -
ADR (7b) ............................................................. 2,177,475 90,229
Variety Stores (1.00 %)
Costco Wholesale
Corporation (7a) (7b) ................................................ 1,258,103 41,517
----------
Total Common Stocks
(cost: $ 2,224,255)................................................................. 3,846,171
----------
</TABLE>
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
SHORT-TERM U.S. GOVERNMENT
OBLIGATIONS (5.15 %)
Fannie Mae
5.81 %, due 07/06/2000 ............................................... $ 50,000 $ 49,959
Federal Home Loan Bank
6.35 %, due 07/03/2000 ............................................... 25,000 24,991
Federal Home Loan Bank
5.70 %, due 07/07/2000 ............................................... 20,000 19,981
</TABLE>
See accompanying notes which are an integral part of the financial statements.
60 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL Janus Growth (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
SHORT-TERM U.S. GOVERNMENT
OBLIGATIONS (continued)
Federal Home Loan Bank
6.27 %, due 07/31/2000 ............................................... $ 30,000 $ 29,843
Federal Home Loan Bank
6.44 %, due 08/14/2000 ............................................... 15,000 14,882
Federal Home Loan Bank
6.41 %, due 08/21/2000 ............................................... 25,000 24,773
Freddie Mac
6.40 %, due 10/06/2000 ............................................... 50,000 49,138
----------
Total Short-Term U.S. Government
Obligations
(cost: $ 213,567)................................................................... 213,567
----------
COMMERCIAL PAPER (2.31 %)
CIT Group, Inc. (The)
6.84 %, due 07/03/2000 ............................................... 95,900 95,864
----------
Total Commercial Paper
(cost: $ 95,864).................................................................... 95,864
----------
Total Investment Securities
(cost: $ 2,533,686)................................................................. $4,155,602
==========
SUMMARY
Investments, at market value ........................................... 100.15% $4,155,602
Liabilities in
excess of other assets ............................................... (0.15)% (6,265)
--------- ----------
Net assets ............................................................. 100.00% $4,149,337
========= ==========
</TABLE>
<TABLE>
<CAPTION>
Market
Percentage Value
---------- ----------
<S> <C> <C>
INVESTMENTS BY COUNTRY:
Japan .................................................................. 1.70% $ 70,714
United States .......................................................... 98.30% 4,084,888
--------- ----------
Investments, at market value ......................................... 100.00% $4,155,602
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 61
<PAGE>
Schedule of Investments
WRL Janus Global
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
CORPORATE DEBT SECURITIES (0.03 %)
Telecommunications (0.03 %)
United Pan Europe
Communications NV
11.25 %, due 02/01/2010 .............................................. $ 780 $ 694
----------
Total Corporate Debt Securities
(cost: $ 774)....................................................................... 694
----------
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
PREFERRED STOCKS (0.26 %)
Automotive (0.26 %)
Porsche AG ............................................................. 2,025 $ 5,527
----------
Total Preferred Stocks
(cost: $ 5,679)..................................................................... 5,527
----------
COMMON STOCKS (90.81 %)
Aerospace (0.12 %)
Finmeccanica SpA (7a) .................................................. 1,812,500 2,493
Apparel & Accessory Stores (0.25 %)
Gap, Inc. (The) ........................................................ 171,905 5,372
Business Services (1.39 %)
Capita Group PLC (The) ................................................. 298,956 7,323
Securitas AB - Class B ................................................. 886,398 18,911
Sema Group PLC (7b) .................................................... 245,625 3,498
Chemicals & Allied Products (1.28 %)
Pharmacia Corporation .................................................. 243,373 12,579
Reliance Industries Limited -
GDR - 144A (7b) (7c) ................................................. 701,923 14,740
Commercial Banks (2.17 %)
Banco Bilbao Vizcaya, SA ............................................... 2,435,446 36,502
Chase Manhattan
Corporation (The) .................................................... 213,442 9,832
Communication (2.94 %)
CANAL + ................................................................ 25,807 4,350
Comcast Corporation - Class A (7a)...................................... 457,785 18,540
Groupe Videotron Ltee Le ............................................... 34,852 810
NTL Incorporated (7a) (7b) ............................................. 151,743 9,086
Shaw Communications Inc. -
Class B .............................................................. 537,763 13,255
TeleWest
Communications PLC (7a) .............................................. 902,436 3,117
Viacom, Inc. - Class B (7a) ............................................ 198,580 13,541
Communications Equipment (12.44 %)
Alcatel (7b) ........................................................... 297,490 19,573
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Communications Equipment (continued)
Comverse Technology,
Inc. (7a) (7b) ....................................................... 116,860 $ 10,868
Dimension Data Holdings Ltd. (7a)....................................... 2,194,300 18,170
Koninklijke Philips Electronics NV...................................... 716,843 33,914
Koninklijke Philips Electronics NV -
NY Registered Shares ................................................. 176,523 8,385
Level 3 Communications,
Inc. (7a) (7b) ....................................................... 78,990 6,951
Nokia Oyj (7b) ......................................................... 1,477,530 75,633
Nokia Oyj - ADR ........................................................ 1,190,035 59,427
Nortel Networks Corporation (7b)........................................ 442,150 30,177
QUALCOMM
Incorporated (7a) (7b) ............................................... 35,445 2,127
Computer & Data Processing Services (5.04 %)
Amdocs, Inc. (7a) ...................................................... 290,480 22,294
America Online, Inc. (7a) .............................................. 216,505 11,421
Atos SA (7a) (7b) ...................................................... 43,265 4,061
BEA Systems, Inc. (7a) ................................................. 85,530 4,228
Cap Gemini SA (7b) ..................................................... 33,422 5,906
Check Point Software
Technologies, Ltd. (7a) (7b) ......................................... 135,935 28,784
Getronics NV (7b) ...................................................... 349,343 5,403
i2 Technologies, Inc. (7a) (7b) ........................................ 45,430 4,737
Intershop Communications AG (7a)........................................ 7,502 3,398
Logica PLC ............................................................. 247,379 5,861
Microsoft Corporation (7a) ............................................. 54,815 4,385
Sage Group PLC (The) ................................................... 869,111 7,044
Computer & Office Equipment (8.11 %)
Cisco Systems, Inc. (7a) ............................................... 1,531,440 97,342
EMC Corporation (7a) ................................................... 377,120 29,015
Legend Holdings Limited ................................................ 1,826,000 1,769
NEC Corporation (7b) ................................................... 716,000 22,500
Sun Microsystems, Inc. (7a) ............................................ 244,885 22,269
Electronic & Other Electric Equipment (4.24 %)
General Electric Company ............................................... 437,115 23,167
Samsung Electronics Co., Ltd. .......................................... 100,400 33,230
Sony Corporation (7b) .................................................. 363,200 33,931
Electronic Components & Accessories (6.07 %)
Celestica, Inc. (7a) ................................................... 15,336 747
Celestica, Inc. (U.S.) (7a) ............................................ 295,725 14,491
Chartered Semiconductor
Manufacturing Ltd. - ADR (7a) ........................................ 170,300 15,327
Conexant Systems, Inc. (7a) ............................................ 130,410 6,341
E-Tek Dynamics, Inc. (7a) .............................................. 13,200 3,482
Flextronics International Ltd. (7a) .................................... 30,780 2,114
</TABLE>
See accompanying notes which are an integral part of the financial statements.
62 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL Janus Global (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Electronic Components & Accessories (continued)
Fujitsu Limited ........................................................ 268,000 $ 9,281
JDS Uniphase Corporation (7a) .......................................... 184,420 22,107
Lattice Semiconductor
Corporation (7a) (7b) ................................................ 58,415 4,038
Murata Manufacturing
Company, Ltd ......................................................... 73,000 10,485
Rohm Company Limited ................................................... 11,300 3,306
STMicroelectronics NV .................................................. 330,232 20,873
STMicroelectronics NV - NY
Registered Shares (7b) ............................................... 8,640 555
Texas Instruments Incorporated ......................................... 236,560 16,249
Industrial Machinery & Equipment (0.60 %)
Applied Materials, Inc (7a) ........................................... 50,760 4,600
ASM Lithography Holding NV (7a) ........................................ 141,230 6,089
ASM Lithography
Holding NV (U.S.) (7a) ............................................... 47,385 2,091
Instruments & Related Products (0.40 %)
PE Corporation - Celera
Genomics Group (7a) .................................................. 32,030 2,995
PE Corporation -
PE Biosystems Group .................................................. 83,430 5,496
Life Insurance (0.80 %)
Prudential Corporation PLC ............................................. 1,159,221 16,999
Machinery, Equipment & Supplies (0.47 %)
Schneider Electric SA .................................................. 95,168 6,653
Tomra Systems ASA ...................................................... 130,234 3,465
Management Services (0.20 %)
Paychex, Inc ........................................................... 99,315 4,171
Manufacturing Industries (1.08 %)
Assa Abloy AB - Class B Free ........................................... 1,144,849 23,119
Medical Instruments & Supplies (0.81 %)
Medtronic, Inc ......................................................... 346,295 17,250
Motion Pictures (2.19 %)
Time Warner Inc ........................................................ 614,590 46,709
Oil & Gas Extraction (1.89 %)
Petroleo Brasileiro SA -
Petrobras - ADR (7b) ................................................. 362,540 10,953
Total Fina SA .......................................................... 190,916 29,364
Personal Credit Institutions (0.76 %)
American Express Company ............................................... 310,065 16,162
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Petroleum & Petroleum Products (0.49 %)
Enron Corp ............................................................. 162,130 $ 10,457
Pharmaceuticals (6.01 %)
AstraZeneca Group PLC .................................................. 367,388 17,170
AstraZeneca Group PLC - ADR ............................................ 3,550 165
Genentech, Inc (7a) ................................................... 38,690 6,655
Human Genome
Sciences, Inc (7a) .................................................. 17,430 2,325
Johnson & Johnson ...................................................... 204,045 20,787
Millennium
Pharmaceuticals, Inc (7a) ........................................... 1,690 189
Pfizer Incorporated .................................................... 774,738 37,187
Schering-Plough Corporation ............................................ 116,435 5,880
Sepracor Inc (7a) (7b) ................................................ 95,640 11,537
Takeda Chemical Industries, Ltd ........................................ 324,000 21,280
Yamanouchi
Pharmaceutical Co , Ltd .............................................. 91,000 4,972
Primary Metal Industries (0.88 %)
Furukawa Electric Co , Ltd (The) ...................................... 898,000 18,770
Radio & Television Broadcasting (2.32 %)
AMFM Inc (7a) ......................................................... 57,100 3,940
Clear Channel
Communications, Inc (7a) (7b) ....................................... 145,635 10,923
EM TV &
MERCHANDISING AG (7b) ................................................ 145,124 8,575
Grupo Televisa SA de CV -
GDR (7a) (7b) ........................................................ 355,230 24,489
Infinity Broadcasting Corp -
Class A (7a) ......................................................... 39,745 1,448
Research & Testing Services (0.10 %)
Incyte Genomics, Inc (7a) ............................................. 24,880 2,045
Restaurants (0.37 %)
Compass Group PLC ...................................................... 598,746 7,896
Retail Trade (0.50 %)
Amazon Com, Inc (7a) (7b) ............................................. 142,445 5,173
Ito-Yokado Co , Ltd .................................................... 52,000 3,131
Staples, Inc (7a) ..................................................... 148,520 2,283
Stone, Clay & Glass Products (1.02 %)
Corning Incorporated ................................................... 80,525 21,732
Telecommunications (24.42 %)
AT&T Corp .............................................................. 57,500 1,818
AT&T Corp - Liberty Media
Group - Class A (7a) ................................................. 1,007,320 24,428
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 63
<PAGE>
Schedule of Investments
WRL Janus Global (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Telecommunications (continued)
China Mobile (Hong Kong)
Limited (7a) ......................................................... 206,000 $ 1,817
China Mobile (Hong Kong)
Limited - ADR (7a) (7b) .............................................. 601,535 106,959
China Unicom Limited -
ADR (7a) (7b) ........................................................ 242,050 5,144
Colt Telecom Group PLC (7a) ............................................ 587,717 19,587
Energis PLC (7a) ....................................................... 56,816 2,133
Nippon Telegraph & Telephone
Corporation .......................................................... 337 4,487
NTT DoCoMo, Inc ........................................................ 3,061 82,901
Rogers Communications Inc -
Class B (7a) ......................................................... 274,761 7,784
Rogers Communications Inc -
Class B (U.S.) (7a) .................................................. 63,185 1,801
SK Telecom Co , Ltd - ADR ............................................. 419,890 15,247
Tele Sudeste Celular
Participacoes SA - ADR ............................................... 33,554 1,023
Telecomunicacoes
Brasileiras SA - ADR (7b) ............................................ 167,770 16,295
Telefonaktiebolaget LM
Ericsson - ADR ....................................................... 828,964 16,579
Telefonaktiebolaget LM
Ericsson - Class B ................................................... 1,244,400 24,774
Telefonica SA (7a) (7b) ................................................ 1,685,596 36,322
Telefonica SA - ADR (7a) (7b) .......................................... 36,766 2,355
Telefonos de Mexico SA
de CV - ADR (7b) ..................................................... 850,405 48,579
Telesp - Telecomunicacoes de Sao
Paulo SA - ADR ....................................................... 167,770 3,104
Vodafone Airtouch PLC .................................................. 20,365,277 82,373
Vodafone Airtouch PLC -
ADR (7b) ............................................................. 367,490 15,228
Wholesale Trade Durable Goods (1.24 %)
CITIC Pacific Limited .................................................. 3,132,000 16,394
SOFTBANK Corp .......................................................... 74,100 10,069
Wholesale Trade Nondurable Goods (0.21 %)
Unilever NV - CVA ...................................................... 99,197 4,565
----------
Total Common Stocks
(cost: $ 1,296,053) ................................................................ 1,936,206
----------
</TABLE>
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
SHORT-TERM U.S. GOVERNMENT
OBLIGATIONS (6.30 %)
Federal Home Loan Bank
6.28 %, due 07/05/2000 ............................................... $ 25,000 $ 24,983
Federal Home Loan Bank
5.93 %, due 07/24/2000 ............................................... 50,000 49,811
Federal Home Loan Bank
6.41 %, due 08/21/2000 ............................................... 10,000 9,909
Federal Home Loan Bank
6.03 %, due 08/25/2000 ............................................... 50,000 49,539
----------
Total Short-Term U.S. Government
Obligations
(cost: $ 134,242) .................................................................. 134,242
----------
COMMERCIAL PAPER (2.36 %)
Associates Corporation of
North America
6.85 %, due 07/03/2000 ............................................... 50,400 50,381
----------
Total Commercial Paper
(cost: $ 50,381) ................................................................... 50,381
----------
Total Investment Securities
(cost: $ 1,487,129) ................................................................ $2,127,050
==========
SUMMARY
Investments, at market value ........................................... 99.76% $2,127,050
Other assets in
excess of liabilities ................................................ 0.24% 5,093
-------- ----------
Net assets ............................................................. 100.00% $2,132,143
======== ==========
</TABLE>
<TABLE>
<CAPTION>
Market
Percentage Value
----------- ----------
<S> <C> <C>
INVESTMENTS BY COUNTRY:
Canada ................................................................. 1.06% $ 22,595
Finland ................................................................ 3.56% 75,633
France ................................................................. 4.27% 90,780
Germany ................................................................ 0.82% 17,501
Hong Kong .............................................................. 0.94% 19,979
Italy .................................................................. 0.12% 2,493
Japan .................................................................. 10.59% 225,113
Korea .................................................................. 1.56% 33,230
Netherlands ............................................................ 2.35% 49,971
Norway ................................................................. 0.16% 3,465
South Africa ........................................................... 0.85% 18,170
Spain .................................................................. 3.42% 72,824
Sweden ................................................................. 3.14% 66,805
United Kingdom ......................................................... 8.13% 173,001
United States .......................................................... 59.03% 1,255,490
--------- ----------
Investments, at market value ......................................... 100.00% $2,127,050
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
64 / WRL Series Fund, Inc
<PAGE>
Schedule of Investments
WRL LKCM Strategic Total Return
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
U.S. GOVERNMENT OBLIGATIONS (1.92 %)
U.S. Treasury Note (7b)
7.50 %, due 11/15/2001 ............................................... $ 11,000 $ 11,141
----------
Total U.S. Government Obligations
(cost: $ 11,214) ................................................................... 11,141
----------
CORPORATE DEBT SECURITIES (24.46 %)
Aerospace (0.89 %)
Lockheed Martin Corporation
7.45 %, due 06/15/2004 ............................................... 5,200 5,160
Chemicals & Allied Products (1.63 %)
Procter & Gamble Company (The)
5.25 %, due 09/15/2003 ............................................... 9,875 9,437
Commercial Banks (2.61 %)
First Bank Minnesota
6.88 %, due 04/01/2006 ............................................... 5,000 4,750
First Union Corporation
7.25 %, due 02/15/2003 ............................................... 2,600 2,574
Mellon Bank, NA
6.50 %, due 08/01/2005 ............................................... 5,500 5,259
Morgan (J P ) & Co Incorporated
7.63 %, due 09/15/2004 ............................................... 2,510 2,517
Communication (1.64 %)
Continental Cablevision, Inc
8.88 %, due 09/15/2005 ............................................... 9,000 9,531
Electric Services (0.70 %)
Kentucky Utilities Company
8.55 %, due 05/15/2027 ............................................... 4,000 4,080
Electric, Gas & Sanitary Services (1.60 %)
Interstate Power Company
8.63 %, due 09/15/2021 ............................................... 3,825 3,896
Public Service Electric and Gas
Company
6.38 %, due 05/01/2008 ............................................... 5,750 5,363
Electrical Goods (0.37 %)
Avnet, Inc
6.88 %, due 03/15/2004 ............................................... 2,199 2,170
Gas Production & Distribution (1.18 %)
Northern Natural Gas
Company - 144A (7c)
6.88 %, due 05/01/2005 ............................................... 7,025 6,844
Industrial Machinery & Equipment (2.14 %)
Black & Decker Corporation (The)
7.50 %, due 04/01/2003 ............................................... 5,000 5,006
Tyco International Ltd
6.38 %, due 06/15/2005 ............................................... 7,850 7,415
</TABLE>
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
CORPORATE DEBT SECURITIES (continued)
Oil & Gas Extraction (0.98 %)
Vastar Resources, Inc
8.75 %, due 02/01/2005 ............................................... $ 5,400 $ 5,700
Personal Credit Institutions (1.04 %)
Associates First Capital Corporation
6.20 %, due 05/16/2005 ............................................... 6,400 6,008
Personal Services (1.32 %)
Block Financial Corp
6.75 %, due 11/01/2004 ............................................... 7,150 6,851
Block Financial Corp
8.50 %, due 04/15/2007 ............................................... 800 808
Radio & Television Broadcasting (1.37 %)
CBS Corporation
7.15 %, due 05/20/2005 ............................................... 8,060 7,925
Telecommunications (6.38 %)
AirTouch Communications, Inc
7.00 %, due 10/01/2003 ............................................... 6,700 6,607
ALLTEL Corporation
7.25 %, due 04/01/2004 ............................................... 9,500 9,392
AT&T Corp
6.00 %, due 03/15/2009 ............................................... 6,000 5,350
GTE Hawaiian Telephone
Company Incorporated
7.00 %, due 02/01/2006 ............................................... 2,075 1,980
GTE Hawaiian Telephone
Company Incorporated
7.38 %, due 09/01/2006 ............................................... 6,150 5,920
Lucent Technologies Inc
6.90 %, due 07/15/2001 ............................................... 7,675 7,691
Variety Stores (0.61 %)
Wal-Mart Stores, Inc (7b)
6.55 %, due 08/10/2004 ............................................... 3,600 3,553
----------
Total Corporate Debt Securities
(cost: $ 146,485) .................................................................. 141,787
----------
CONVERTIBLE BONDS (3.29 %)
Electrical Goods (1.68 %)
Kent Electronics Corporation
4.50 %, due 09/01/2004 ............................................... 10,916 9,702
Printing & Publishing (0.93 %)
Tribune Company
2.00 %, due 05/15/2029 ............................................... 47 5,417
Telecommunications (0.68 %)
ITC Deltacom, Inc
4.50 %, due 05/15/2006 ............................................... 3,908 3,932
----------
Total Convertible Bonds
(cost: $ 20,568) ................................................................... 19,051
----------
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 65
<PAGE>
Schedule of Investments
WRL LKCM Strategic Total Return (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
CONVERTIBLE PREFERRED STOCKS (1.79 %)
Communication (1.79 %)
DECS Trust V ........................................................... 317,500 $ 10,378
----------
Total Convertible Preferred Stocks
(cost: $ 6,072) .................................................................... 10,378
----------
COMMON STOCKS (66.54 %)
Chemicals & Allied Products (4.26 %)
Colgate-Palmolive Company .............................................. 196,800 11,783
Pharmacia Corporation .................................................. 249,900 12,916
Commercial Banks (6.06 %)
Chase Manhattan
Corporation (The) .................................................... 151,500 6,978
Citigroup Inc .......................................................... 115,000 6,929
Cullen/Frost Bankers, Inc .............................................. 150,000 3,947
Mellon Financial Corporation ........................................... 245,000 8,927
Wells Fargo & Co ....................................................... 215,000 8,331
Communication (2.48 %)
Viacom, Inc - Class B (7a) ............................................ 211,250 14,404
Communications Equipment (5.32 %)
ANTEC Corporation (7a) (7b) ............................................ 160,000 6,650
Harris Corporation ..................................................... 240,000 7,860
Motorola, Inc (7b) .................................................... 189,000 5,493
Nortel Networks Corporation (7b) ....................................... 159,000 10,852
Computer & Data Processing Services (4.24 %)
First Data Corporation ................................................. 126,600 6,283
Microsoft Corporation (7a) (7b) ........................................ 155,000 12,399
Oracle Corporation (7a) ................................................ 70,000 5,884
Computer & Office Equipment (7.01 %)
Cisco Systems, Inc (7a) ............................................... 115,000 7,310
Dell Computer Corporation (7a) ......................................... 150,000 7,397
Diebold, Incorporated .................................................. 260,000 7,248
EMC Corporation (7a) ................................................... 112,000 8,617
Hewlett-Packard Company ................................................ 65,000 8,117
Sun Microsystems, Inc (7a) ............................................ 22,000 2,001
Electronic & Other Electric Equipment (2.85 %)
General Electric Company ............................................... 312,000 16,535
Electronic Components & Accessories (3.14 %)
Intel Corporation ...................................................... 75,000 10,027
National Semiconductor
Corporation (7a) ..................................................... 90,000 5,108
Viasystems, Inc (7a) .................................................. 190,000 3,076
Food & Kindred Products (1.15 %)
Philip Morris Companies Inc ............................................ 250,000 6,641
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Health Services (1.16 %)
Tenet Healthcare Corporation (7a) ...................................... 250,000 $ 6,750
Holding & Other Investment Offices (0.92 %)
Crescent Real Estate Equities
Company .............................................................. 260,000 5,330
Industrial Machinery & Equipment (0.55 %)
Tyco International Ltd ................................................. 67,200 3,184
Instruments & Related Products (1.44 %)
Agilent Technologies, Inc (7a) (7b) ................................... 24,791 1,828
KLA - Tencor Corporation (7a) .......................................... 111,000 6,500
Life Insurance (0.93 %)
American General Corporation ........................................... 88,000 5,368
Lumber & Other Building Materials (0.78 %)
Home Depot, Inc (The) ................................................. 90,001 4,494
Medical Instruments & Supplies (1.76 %)
Medtronic, Inc ......................................................... 125,000 6,227
Sybron International
Corporation (7a) ..................................................... 199,800 3,959
Oil & Gas Extraction (2.92 %)
EOG Resources, Inc ..................................................... 186,000 6,231
Schlumberger Limited (7b) .............................................. 143,000 10,671
Paper & Allied Products (1.99 %)
Boise Cascade Coproration .............................................. 170,000 4,399
Kimberly-Clark Corporation ............................................. 124,000 7,115
Personal Services (0.78 %)
Block, (H & R) Inc ..................................................... 139,000 4,500
Petroleum Refining (2.86 %)
BP Amoco PLC - ADR ..................................................... 134,186 7,590
Exxon Mobil Corporation ................................................ 114,800 9,012
Pharmaceuticals (2.91 %)
Pfizer Incorporated .................................................... 185,000 8,880
Teva Pharmaceutical Industries
Ltd - ADR ........................................................... 144,000 7,983
Printing & Publishing (2.45 %)
Belo (A H ) Corporation - Class A ...................................... 300,800 5,208
Harte-Hanks Inc ........................................................ 359,200 8,980
Radio & Television Broadcasting (1.57 %)
Infinity Broadcasting Corp -
Class A (7a) ......................................................... 250,000 9,109
</TABLE>
See accompanying notes which are an integral part of the financial statements.
66 / WRL Series Fund, Inc
<PAGE>
Schedule of Investments
WRL LKCM Strategic Total Return (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Telecommunications (3.36 %)
ALLTEL Corporation ..................................................... 166,900 $ 10,337
Bell Atlantic Corporation (7b) ......................................... 110,000 5,589
Sprint Corporation (FON Group) ......................................... 70,000 3,570
Trucking & Warehousing (1.22 %)
United Parcel Service, Inc -
Class B .............................................................. 120,000 7,080
U.S. Government Agencies (0.54 %)
Fannie Mae ............................................................. 60,000 3,131
Variety Stores (0.89 %)
Wal-Mart Stores, Inc ................................................... 90,000 5,186
----------
Total Common Stocks
(cost: $ 291,088) .................................................................. 379,924
----------
</TABLE>
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
SHORT-TERM OBLIGATIONS (3.71 %)
Investors Bank & Trust
Company (7e)
6.03 %, Repurchase Agreement
dated 06/30/2000 to be
repurchased at $ 21,515 on
07/03/2000 ........................................................... $ 21,504 $ 21,504
----------
Total Short-Term Obligations
(cost: $ 21,504) ................................................................... 21,504
----------
Total Investment Securities
(cost: $ 496,931) .................................................................. $ 583,785
==========
SUMMARY
Investments, at market value ........................................... 100.71% $ 583,785
Liabilities in
excess of other assets ............................................... (0.71)% (4,101)
--------- ----------
Net assets ............................................................. 100.00% $ 579,684
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 67
<PAGE>
Schedule of Investments
WRL VKAM Emerging Growth
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (90.27 %)
Amusement & Recreation Services (0.49 %)
Disney (Walt) Company (The) ............................................ 300,000 $ 11,644
Apparel & Accessory Stores (0.36 %)
Limited, Inc (The) (7b) ............................................... 390,000 8,434
Automotive (0.22 %)
Harley-Davidson, Inc ................................................... 135,000 5,198
Business Services (1.39 %)
Exodus Communications,
Inc (7a) (7b) ....................................................... 260,000 11,976
Omnicom Group, Inc (7b) ............................................... 134,000 11,934
TMP Worldwide Inc (7a) ................................................ 120,000 8,858
Chemicals & Allied Products (0.37 %)
Pharmacia Corporation .................................................. 170,000 8,787
Commercial Banks (0.65 %)
State Street Corporation ............................................... 145,000 15,379
Communication (0 77 %)
Viacom, Inc - Class B (7a) ............................................ 267,000 18,206
Communications Equipment (10.99 %)
ADC Telecommunications,
Incorporated (7a) .................................................... 665,000 55,776
Advanced Fibre
Communications, Inc (7a) ............................................ 100,000 4,531
Alcatel - ADR (7b) ..................................................... 265,000 17,623
Ciena Corporation (7a) (7b) ............................................ 95,000 15,835
Comverse
Technology, Inc (7a) (7b) ........................................... 400,000 37,200
Nokia Oyj - ADR ........................................................ 800,000 39,950
Nortel Networks Corporation (7b) ....................................... 890,000 60,742
Scientific-Atlanta, Inc ................................................ 370,000 27,565
Computer & Data Processing Services (17.82 %)
Adobe Systems Incorporated ............................................. 135,000 17,550
Amdocs, Inc (7a) ...................................................... 165,000 12,664
BEA Systems, Inc (7a) (7b) ............................................ 265,000 13,101
Broadvision, Inc (7a) ................................................. 265,000 13,465
Brocade Communications
Systems, Inc (7a) ................................................... 170,000 31,192
Check Point Software
Technologies, Ltd (7a) (7b) ......................................... 200,000 42,350
i2 Technologies, Inc (7a) (7b) ........................................ 130,000 13,555
Inktomi Corporation (7a) ............................................... 80,000 9,460
Macromedia, Inc (7a) .................................................. 65,000 6,285
Mercury Interactive
Corporation (7a) ..................................................... 230,000 22,253
Network Appliance, Inc (7a) ........................................... 665,000 53,532
Oracle Corporation (7a) ................................................ 430,000 36,147
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Computer & Data Processing Services (continued)
Rational Software
Corporation (7a) (7b) ................................................ 180,000 $ 16,729
Siebel Systems, Inc (7a) .............................................. 365,000 59,699
TIBCO Software Inc (7a) ............................................... 80,000 8,579
Veritas Software
Corporation (7a) (7b) ................................................ 565,000 63,853
Computer & Office Equipment (7.19 %)
Cisco Systems, Inc (7a) ............................................... 650,000 41,316
EMC Corporation (7a) ................................................... 730,000 56,163
Juniper Networks, Inc (7a) (7b) ....................................... 265,000 38,574
Sun Microsystems, Inc (7a) ............................................ 270,000 24,553
Symbol Technologies, Inc ............................................... 167,500 9,045
Department Stores (1.04 %)
Kohl's Corporation (7a) ................................................ 440,000 24,475
Electric Services (1.03 %)
AES Corporation (The) (7a) ............................................. 130,000 5,931
Calpine Corporation (7a) ............................................... 280,000 18,410
Electronic & Other Electric Equipment (0.39 %)
General Electric Company ............................................... 175,000 9,275
Electronic Components & Accessories (22.83 %)
Advanced Micro
Devices, Inc (7a) (7b) .............................................. 170,000 13,133
Altera Corporation (7a) (7b) ........................................... 280,000 28,543
Analog Devices, Inc (7a) .............................................. 570,000 43,320
Applied Micro Circuits
Corporation (7a) ..................................................... 140,000 13,825
Broadcom Corporation -
Class A (7a) ......................................................... 135,000 29,557
Celestica, Inc (U.S.) (7a) ............................................ 70,000 3,430
E-Tek Dynamics, Inc (7a) .............................................. 35,000 9,233
Flextronics International
Ltd (7a) (7b) ....................................................... 238,000 16,348
Intel Corporation ...................................................... 165,000 22,058
Jabil Circuit, Inc (7a) ............................................... 120,000 5,955
JDS Uniphase Corporation (7a) .......................................... 860,000 103,092
Linear Technology Corporation .......................................... 195,000 12,468
LSI Logic Corporation (7a) (7b) ........................................ 860,000 46,548
National Semiconductor
Corporation (7a) ..................................................... 95,000 5,391
PMC-Sierra, Inc (7a) (7b) ............................................. 125,000 22,211
RF Micro Devices, Inc (7a) (7b) ....................................... 135,000 11,829
Sanmina Corporation (7a) ............................................... 160,000 13,680
SDL, Inc (7a) ......................................................... 205,000 58,462
STMicroelectronics NV - NY
Registered Shares (7b) ............................................... 315,000 20,219
Texas Instruments Incorporated ......................................... 330,000 22,667
Xilinx Inc (7a) ....................................................... 440,000 36,328
</TABLE>
See accompanying notes which are an integral part of the financial statements.
68 / WRL Series Fund, Inc
<PAGE>
Schedule of Investments
WRL VKAM Emerging Growth (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Furniture & Home Furnishings Stores (0.20 %)
Bed Bath & Beyond Inc (7a) ............................................ 130,000 $ 4,713
Gas Production & Distribution (0.23 %)
Coastal Corporation (The) .............................................. 90,000 5,479
Industrial Machinery & Equipment (3.50 %)
Applied Materials, Inc (7a) ........................................... 400,000 36,250
ASM Lithography
Holding NV (U.S.) (7a) ............................................... 215,000 9,487
Baker Hughes, Inc ...................................................... 290,000 9,280
Dover Corporation ...................................................... 26,600 1,079
Lam Research
Corporation (7a) (7b) ................................................ 190,000 7,125
Novellus Systems, Inc (7a) ............................................ 145,000 8,202
Tyco International Ltd (7b) ........................................... 235,000 11,133
Instruments & Related Products (1.06 %)
KLA - Tencor Corporation (7a) .......................................... 100,000 5,856
Teradyne, Inc (7a) .................................................... 260,000 19,110
Insurance (0.35 %)
UnitedHealth Group,
Incorporated ......................................................... 97,500 8,361
Insurance Agents, Brokers & Service (0.22 %)
Marsh & McLennan
Companies, Inc ....................................................... 50,000 5,222
Management Services (0.53 %)
Paychex, Inc ........................................................... 295,000 12,390
Oil & Gas Extraction (3.04 %)
Anadarko Petroleum
Corporation (7b) ..................................................... 215,000 10,602
Apache Corporation ..................................................... 270,000 15,879
BJ Services Company (7a) ............................................... 215,000 13,438
Devon Energy Corporation ............................................... 105,000 5,900
Nabors Industries, Inc (7a) ........................................... 305,000 12,677
Noble Drilling Corporation (7a) ........................................ 320,000 13,180
Petroleum & Petroleum Products (0.63 %)
Enron Corp ............................................................. 230,000 14,835
Petroleum Refining (0.21 %)
Phillips Petroleum Company ............................................. 100,000 5,069
Pharmaceuticals (5.35 %)
Allergan, Inc (7b) .................................................... 180,000 13,410
Cardinal Health, Inc ................................................... 160,000 11,840
Forest Laboratories, Inc (7a) ......................................... 160,000 16,160
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Pharmaceuticals (continued)
Immunex Corporation (7a) ............................................... 110,000 $ 5,438
IVAX Corporation (7a) .................................................. 175,000 7,263
Lilly (Eli) and Company ................................................ 135,000 13,483
Medimmune, Inc (7a) ................................................... 395,000 29,230
Pfizer Incorporated .................................................... 435,000 20,880
Teva Pharmaceutical
Industries Ltd - ADR ................................................ 155,000 8,593
Radio & Television Broadcasting (0.82 %)
Hispanic Broadcasting Corp (7a) ....................................... 38,600 1,279
Univision Communications Inc -
Class A (7a) (7b) .................................................... 173,750 17,983
Radio, Television, & Computer Stores (0.54 %)
Best Buy Co , Inc (7a) ................................................ 200,000 12,650
Railroads (0.34 %)
Kansas City Southern
Industries, Inc ...................................................... 90,000 7,982
Research & Testing Services (0.23 %)
Cree, Inc (7a) ........................................................ 40,000 5,340
Retail Trade (0.19 %)
Tiffany & Co ........................................................... 67,000 4,523
Security & Commodity Brokers (0.74 %)
Lehman Brothers Holdings Inc ........................................... 75,000 7,092
Merrill Lynch & Co , Inc ............................................... 90,000 10,350
Stone, Clay & Glass Products (4.29 %)
Corning Incorporated ................................................... 375,000 101,202
Telecommunications (2.26 %)
AT&T Corp - Liberty Media
Group - Class A (7a) ................................................. 400,000 9,700
China Mobile (Hong Kong)
Limited - ADR (7a) (7b) .............................................. 35,000 6,223
McLeodUSA Incorporated -
Class A (7a) (7b) .................................................... 270,000 5,586
Metromedia Fiber Network, Inc -
Class A (7a) (7b) .................................................... 510,000 20,241
Nextel Communications, Inc -
Class A (7a) ......................................................... 190,000 11,626
----------
Total Common Stocks
(cost: $ 1,246,977) ................................................................ 2,129,432
----------
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 69
<PAGE>
Schedule of Investments
WRL VKAM Emerging Growth (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
SHORT-TERM U.S. GOVERNMENT
OBLIGATIONS (10.10 %)
Federal Home Loan Bank
6.57 %, due 07/03/2000 ............................................... $ 238,467 $ 238,380
----------
Total Short-Term U.S. Government
Obligations
(cost: $ 238,380) .................................................................. 238,380
----------
Total Investment Securities
(cost: $ 1,485,357) ................................................................ $2,367,812
==========
SUMMARY
Investments, at market value ........................................... 100.37% $2,367,812
Liabilities in
excess of other assets ............................................... (0.37)% (8,727)
--------- ----------
Net assets ............................................................. 100.00% $2,359,085
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
70 / WRL Series Fund, Inc
<PAGE>
Schedule of Investments
WRL Alger Aggressive Growth
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (95.92 %)
Business Services (4.60 %)
eBay, Inc (7a) (7b) ................................................... 538,600 $ 29,253
Exodus Communications,
Inc (7a) (7b) ....................................................... 365,400 16,831
Omnicom Group, Inc ..................................................... 99,700 8,880
Commercial Banks (1.96 %)
Citigroup Inc .......................................................... 389,450 23,464
Communication (2.54 %)
Comcast Corporation -
Class A (7a) (7b) .................................................... 453,600 18,371
Cox Communications, Inc -
Class A (7a) ......................................................... 188,900 8,607
Efficient Networks, Inc (7a) (7b) ..................................... 45,000 3,310
Communications Equipment (2.66 %)
Motorola, Inc .......................................................... 670,000 19,472
Nokia Oyj - ADR ........................................................ 246,700 12,320
Computer & Data Processing Services (18.66 %)
Amdocs, Inc (7a) (7b) ................................................. 166,000 12,741
America Online, Inc (7a) .............................................. 439,300 23,173
Ariba, Inc (7a) (7b) .................................................. 299,250 29,340
Brocade Communications
Systems, Inc (7a) ................................................... 23,600 4,330
Commerce One, Inc (7a) (7b) ........................................... 180,600 8,198
i2 Technologies, Inc (7a) (7b) ........................................ 57,695 6,016
Microsoft Corporation (7a) ............................................. 524,200 41,935
Oracle Corporation (7a) ................................................ 210,300 17,678
Phone com, Inc (7a) ................................................... 154,000 10,029
RealNetworks, Inc (7a) ................................................ 120,800 6,108
Verisign, Inc (7a) (7b) ............................................... 112,300 19,821
Veritas Software
Corporation (7a) (7b) ................................................ 72,650 8,211
Vignette Corporation (7a) .............................................. 341,200 17,748
Yahoo! Inc (7a) (7b) .................................................. 141,650 17,547
Computer & Office Equipment (9.39 %)
Cisco Systems, Inc (7a) ............................................... 622,400 39,560
Dell Computer Corporation (7a) ......................................... 470,500 23,202
Hewlett-Packard Company ................................................ 140,600 17,557
Sun Microsystems, Inc (7a) ............................................ 350,400 31,865
Construction (2.60 %)
Halliburton Company .................................................... 659,050 31,099
Electronic Components & Accessories (23.70 %)
Altera Corporation (7a) ................................................ 286,700 29,225
Broadcom Corporation -
Class A (7a) ......................................................... 81,200 17,778
Conexant Systems, Inc (7a) ............................................ 132,000 6,419
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Electronic Components & Accessories (continued)
Intel Corporation ...................................................... 240,800 $ 32,191
JDS Uniphase Corporation (7a) .......................................... 287,600 34,476
Linear Technology Corporation .......................................... 304,000 19,437
LSI Logic Corporation (7a) (7b) ........................................ 500,600 27,095
Micron Technology, Inc (7a) ........................................... 78,100 6,878
SDL, Inc (7a) ......................................................... 93,500 26,665
Texas Instruments Incorporated ......................................... 505,400 34,714
Vitesse Semiconductor
Corporation (7a) ..................................................... 322,500 23,724
Xilinx Inc (7a) ....................................................... 296,500 24,480
Food Stores (2.02 %)
Safeway Inc (7a) ...................................................... 535,700 24,173
Industrial Machinery & Equipment (3.86 %)
Applied Materials, Inc (7a) ........................................... 508,200 46,055
Instruments & Related Products (2.30 %)
Agilent Technologies,
Inc (7a) (7b) ....................................................... 53,624 3,955
Teradyne, Inc (7a) .................................................... 320,800 23,579
Lumber & Other Building Materials (2.16 %)
Home Depot, Inc (The) ................................................. 516,750 25,805
Medical Instruments & Supplies (0.87 %)
Medtronic, Inc ......................................................... 208,000 10,361
Motion Pictures (0.29 %)
CNET Networks, Inc (7a) ............................................... 138,700 3,407
Oil & Gas Extraction (1.32 %)
BJ Services Company (7a) ............................................... 114,500 7,156
Nabors Industries, Inc (7a) ........................................... 206,000 8,562
Personal Credit Institutions (0.90 %)
American Express Company ............................................... 206,400 10,759
Pharmaceuticals (2.80 %)
Amgen Inc (7a) (7b) ................................................... 394,200 27,693
Lilly (Eli) and Company ................................................ 58,000 5,793
Radio & Television Broadcasting (1.92 %)
Clear Channel
Communications, Inc (7a) (7b) ....................................... 306,023 22,952
Research & Testing Services (0.35 %)
Celgene Corporation (7a) (7b) .......................................... 71,400 4,204
Security & Commodity Brokers (0.54 %)
Morgan Stanley Dean
Witter and Co ........................................................ 77,100 6,419
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 71
<PAGE>
Schedule of Investments
WRL Alger Aggressive Growth (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Stone, Clay & Glass Products (1.69 %)
Corning Incorporated ................................................... 75,000 $ 20,241
Telecommunications (7.43 %)
AT&T Corp - Liberty Media Group -
Class A (7a) ......................................................... 783,400 18,997
McLeodUSA Incorporated -
Class A (7a) (7b) .................................................... 504,000 10,427
Nextel Communications, Inc -
Class A (7a) ......................................................... 262,200 16,043
Sprint Corporation
(PCS Group) (7a) (7b) ................................................ 500,200 29,762
Telefonaktiebolaget
LM Ericsson - ADR .................................................... 675,600 13,512
Variety Stores (1.36 %)
Wal-Mart Stores, Inc ................................................... 282,800 16,296
----------
Total Common Stocks
(cost: $ 777,295) .................................................................. 1,145,899
----------
</TABLE>
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
SHORT-TERM OBLIGATIONS (4.65 %)
Investors Bank & Trust
Company (7e)
6.03 %, Repurchase Agreement
dated 06/30/2000 to be
repurchased at $ 55,591 on
07/03/2000 ........................................................... $ 55,563 $ 55,563
----------
Total Short-Term Obligations
(cost: $ 55,563) ................................................................... 55,563
----------
Total Investment Securities
(cost: $ 832,858) .................................................................. $1,201,462
==========
SUMMARY
Investments, at market value ........................................... 100.57% $1,201,462
Liabilities in
excess of other assets ............................................... (0.57)% (6,822)
--------- ----------
Net assets ............................................................. 100.00% $1,194,640
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
72 / WRL Series Fund, Inc
<PAGE>
Schedule of Investments
WRL AEGON Balanced
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
U.S. GOVERNMENT OBLIGATIONS (2.94 %)
U.S. Treasury Bond (7b)
12.00 %, due 05/15/2005 .............................................. $ 2,450 $ 3,028
----------
Total U.S. Government Obligations
(cost: $ 3,039) .................................................................... 3,028
----------
U.S. GOVERNMENT AGENCY OBLIGATIONS (5.80 %)
Fannie Mae (7b)
7.13 %, due 02/15/2005 ............................................... 1,000 1,003
Fannie Mae (7b)
7.25 %, due 01/15/2010 ............................................... 2,000 2,016
Fannie Mae
7.23 %, due 11/17/2014 ............................................... 1,000 958
Freddie Mac
8.00 %, due 02/25/2010 ............................................... 2,000 2,005
----------
Total U.S. Government Agency Obligations
(cost: $ 6,009) .................................................................... 5,982
----------
CORPORATE DEBT SECURITIES (15.91 %)
Automotive (1.90 %)
DaimlerChrysler North America
Holding Corporation
6.90 %, due 09/01/2004 ............................................... 1,000 979
General Motors Corporation
7.70 %, due 04/15/2016 ............................................... 1,000 980
Commercial Banks (0.96 %)
Huntington National Bank
8.00 %, due 04/01/2010 ............................................... 1,000 991
Computer & Office Equipment (1.89 %)
International Business
Machines Corp
7.00 %, due 10/30/2025 ............................................... 1,000 958
Sun Microsystems, Inc
7.50 %, due 08/15/2006 ............................................... 1,000 998
Food & Kindred Products (0.95 %)
Sara Lee Corporation
6.95 %, due 10/09/2006 ............................................... 1,000 979
Gas Production & Distribution (0.95 %)
Duke Capital Corporation
7.50 %, due 10/01/2009 ............................................... 1,000 984
Industrial Machinery & Equipment (0.95 %)
Caterpillar, Inc (7b)
7.25 %, due 09/15/2009 ............................................... 1,000 981
Instruments & Related Products (0.95 %)
Honeywell International Inc
7.00 %, due 03/15/2007 ............................................... 1,000 978
</TABLE>
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
CORPORATE DEBT SECURITIES (continued)
Personal Credit Institutions (1.93 %)
General Motors Acceptance
Corporation
7.75 %, due 01/19/2010 ............................................... $ 1,000 $ 994
Household Finance Corporation
7.88 %, due 03/01/2007 ............................................... 1,000 995
Pharmaceuticals (1.00 %)
American Home Products
Corporation
7.90 %, due 02/15/2005 ............................................... 1,000 1,028
Telecommunications (4.43 %)
BellSouth Capital Funding
Corporation
7.75 %, due 02/15/2010 ............................................... 1,500 1,500
New York Telephone Company
8.63 %, due 11/15/2010 ............................................... 1,000 1,053
Tele-Communications, Inc.
8.00 %, due 08/01/2005 ............................................... 1,000 1,025
Vodafone AirTouch PLC - 144A (7c)
7.75 %, due 02/15/2010 ............................................... 1,000 991
----------
Total Corporate Debt Securities
(cost: $ 16,653).................................................................... 16,414
----------
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (74.35 %)
Chemicals & Allied Products (1.84 %)
Du Pont (E.I.) de Nemours and
Company .............................................................. 43,500 $ 1,903
Commercial Banks (9.78 %)
Bank of America Corporation ............................................ 52,000 2,236
Citigroup Inc. ......................................................... 81,000 4,879
Morgan (J.P.) & Co. Incorporated 27,000 2,973
Computer & Office Equipment (14.42 %)
Hewlett-Packard Company ................................................ 27,000 3,372
International Business
Machines Corp. ....................................................... 29,000 3,177
Seagate Technology, Inc. (7a) .......................................... 20,000 1,100
Sun Microsystems, Inc. (7a) (7b)........................................ 79,500 7,229
Electronic & Other Electric Equipment (4.01 %)
General Electric Company ............................................... 78,000 4,134
Food Stores (2.95 %)
Kroger Co. (The) (7a) .................................................. 138,000 3,045
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 73
<PAGE>
Schedule of Investments
WRL AEGON Balanced (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Industrial Machinery & Equipment (3.77 %)
Tyco International Ltd. ................................................ 82,000 $ 3,885
Instruments & Related Products (3.38 %)
Agilent Technologies, Inc. (7a) (7b).................................... 13,349 984
Teradyne, Inc. (7a) .................................................... 34,000 2,499
Insurance (7.20 %)
American International
Group, Inc. .......................................................... 40,000 4,700
St. Paul Companies, Inc. (The) ......................................... 80,000 2,730
Petroleum Refining (4.33 %)
BP Amoco PLC - ADR ..................................................... 28,000 1,584
Exxon Mobil Corporation ................................................ 36,700 2,881
Pharmaceuticals (6.15 %)
Abbott Laboratories .................................................... 53,000 2,362
Merck & Co., Inc. ...................................................... 52,000 3,985
Savings Institutions (2.80 %)
Washington Mutual, Inc. ................................................ 100,000 2,888
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Telecommunications (5.91 %)
Cable & Wireless PLC - ADR (7b) ........................................ 42,500 $ 2,128
Sprint Corporation (FON Group) ......................................... 44,000 2,244
Vodafone Airtouch
PLC - ADR (7b) ....................................................... 41,500 1,720
Trucking & Warehousing (1.94 %)
Heartland Express, Inc. (7a) ........................................... 120,000 2,003
U.S. Government Agencies (2.63 %)
Fannie Mae ............................................................. 52,000 2,714
Variety Stores (3.24 %)
Wal-Mart Stores, Inc. .................................................. 58,000 3,342
----------
Total Common Stocks
(cost: $ 61,556).................................................................... 76,697
----------
Total Investment Securities
(cost: $ 87,257).................................................................... $ 102,121
==========
SUMMARY
Investments, at market value ........................................... 99.00% $ 102,121
Other assets in
excess of liabilities ................................................ 1.00% 1,038
--------- ----------
Net assets ............................................................. 100.00% $ 103,159
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
74 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL Federated Growth & Income
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
CONVERTIBLE BONDS (2.32 %)
Automotive (1.21 %)
Magna International Inc.
4.88 %, due 02/15/2005 ............................................... $ 1,200 $ 1,082
Computer & Office Equipment (1.11%)
Adaptec, Inc.
4.75 %, due 02/01/2004 ............................................... 1,200 995
----------
Total Convertible Bonds
(cost: $ 2,110)..................................................................... 2,077
----------
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
CONVERTIBLE PREFERRED STOCKS (20.95 %)
Business Services (0.93 %)
United Rentals Trust I ................................................. 30,700 $ 829
Construction (1.36 %)
Kaufman and Broad Home
Corporation (KBHC Trust) ............................................. 187,000 1,216
Electric, Gas & Sanitary Services (1.54 %)
CMS Energy Trust II .................................................... 49,000 1,372
Fabricated Metal Products (1.03 %)
Tower Automotive Capital Trust ......................................... 29,000 917
Food & Kindred Products (1.50 %)
Suiza Capital Trust II ................................................. 35,500 1,345
Gas Production & Distribution (3.17 %)
Coastal Corporation (The) .............................................. 49,900 1,747
SEMCO Capital Trust II ................................................. 105,000 1,096
Holding & Other Investment Offices (0.75 %)
Fleetwood Capital Trust ................................................ 23,000 670
Industrial Machinery & Equipment (0.91 %)
Ingersoll-Rand Financing I (7b) ........................................ 40,000 815
Insurance Agents, Brokers & Service (1.46 %)
MetLife Capital Trust I ................................................ 18,800 1,301
Lumber & Wood Products (0.81 %)
Georgia-Pacific Group - PEPS ........................................... 22,500 720
Oil & Gas Extraction (4.79 %)
Apache Corporation ..................................................... 27,500 1,423
Kerr-McGee Corporation ................................................. 30,200 1,502
Newfield Financial Trust I (7b) ........................................ 23,500 1,363
Paper & Allied Products (1.33 %)
International Paper Capital Trust....................................... 31,500 1,185
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
CONVERTIBLE PREFERRED STOCKS (continued)
Railroads (1.37 %)
Union Pacific Capital Trust ............................................ 31,300 $ 1,221
----------
Total Convertible Preferred Stocks
(cost: $ 17,692).................................................................... 18,722
----------
COMMON STOCKS (65.57 %)
Apparel Products (1.05 %)
V.F. Corporation ....................................................... 39,500 941
Beverages (1.53 %)
Universal Foods Corporation ............................................ 74,000 1,369
Business Credit Institutions (0.92 %)
Heller Financial, Inc. ................................................. 40,000 820
Construction (0.85 %)
Fluor Corporation ...................................................... 24,000 759
Electric Services (3.77 %)
Edison International ................................................... 70,100 1,437
Energy East Corporation ................................................ 57,500 1,096
FPL Group, Inc. ........................................................ 16,900 837
Electric, Gas & Sanitary Services (1.06 %)
UtiliCorp United, Inc. (7a) ............................................ 40,000 950
Electronic & Other Electric Equipment (1.23 %)
Hubbell Incorporated - Class B ......................................... 43,000 1,097
Electronic Components & Accessories (0.86 %)
Allegheny Technologies
Incorporated ......................................................... 42,500 765
Fabricated Metal Products (1.21 %)
Fortune Brands, Inc. ................................................... 47,000 1,084
Food & Kindred Products (1.17 %)
Corn Products International, Inc........................................ 39,500 1,047
Gas Production & Distribution (7.71 %)
El Paso Energy Corp. ................................................... 19,600 998
Keyspan Corporation .................................................... 33,700 1,036
New Jersey Resources Corporation........................................ 24,300 925
NICOR Inc. ............................................................. 34,900 1,139
Oneok, Inc. ............................................................ 42,700 1,108
Peoples Energy Corporation ............................................. 23,100 748
Questar Corporation .................................................... 48,300 936
Holding & Other Investment Offices (10.39 %)
Apartment Investment &
Management Co. - Class A ............................................. 30,000 1,298
Archstone Communities Trust ............................................ 36,300 765
Camden Property Trust .................................................. 37,100 1,090
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 75
<PAGE>
Schedule of Investments
WRL Federated Growth & Income (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Holding & Other Investment Offices (continued)
Duke-Weeks Realty Corporation .......................................... 58,200 $ 1,302
Equity Office Properties Trust ......................................... 32,600 899
Equity Residential Properties Trust 17,743 816
Gables Residential Trust ............................................... 34,300 885
Liberty Property Trust ................................................. 27,200 706
Post Properties, Inc. (7b) ............................................. 34,700 1,527
Industrial Machinery & Equipment (2.06 %)
ITT Industries, Inc. ................................................... 37,500 1,139
York International Corporation ......................................... 27,000 705
Instruments & Related Products (2.69 %)
Beckman Coulter Inc. ................................................... 17,100 998
Raytheon Company - Class B ............................................. 40,000 770
Rockwell International
Corporation .......................................................... 20,200 636
Insurance (2.21 %)
Loews Corporation ...................................................... 15,200 912
Old Republic International Corp. ....................................... 64,200 1,059
Life Insurance (1.88 %)
Lincoln National Corporation ........................................... 25,000 903
Torchmark Corporation .................................................. 31,500 778
Medical Instruments & Supplies (2.40 %)
Bard, (C.R.) Inc. ...................................................... 20,000 963
DENTSPLY International, Inc. ........................................... 38,500 1,186
Oil & Gas Extraction (2.25 %)
Kerr-McGee Corporation ................................................. 20,300 1,196
Occidental Petroleum Corporation........................................ 38,500 811
Paper & Allied Products (3.14 %)
Sappi Limited - ADR .................................................... 182,000 1,342
Westvaco Corporation ................................................... 27,000 670
Willamette Industries, Inc. ............................................ 29,000 790
Petroleum & Petroleum Products (2.00 %)
Enron Corp. - Exchangeable
Notes (7b) ........................................................... 58,000 1,791
Petroleum Refining (4.41 %)
Murphy Oil Corporation ................................................. 13,500 802
Phillips Petroleum Company ............................................. 20,700 1,049
Ultramar Diamond Shamrock
Corporation .......................................................... 49,500 1,228
USX-Marathon Group ..................................................... 34,500 865
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Pharmaceuticals (1.29 %)
Mallinckrodt Inc. ...................................................... 26,500 $ 1,151
Primary Metal Industries (1.83 %)
Anglogold Ltd. - ADR (7b) .............................................. 47,000 966
Worthington Industries, Inc. ........................................... 64,000 672
Printing & Publishing (1.25 %)
Banta Corporation ...................................................... 59,000 1,117
Real Estate (4.86 %)
AMB Property Corporation ............................................... 59,400 1,355
Arden Realty, Inc. ..................................................... 40,000 940
ProLogis Trust ......................................................... 50,500 1,076
TrizecHahn Corporation ................................................. 54,200 969
Water Transportation (0.85 %)
Alexander & Baldwin, Inc. .............................................. 34,400 759
Wholesale Trade Nondurable Goods (0.70 %)
Universal Corporation .................................................. 29,600 625
----------
Total Common Stocks
(cost: $ 57,617).................................................................... 58,603
----------
</TABLE>
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
SHORT-TERM OBLIGATIONS (10.69 %)
Investors Bank & Trust
Company (7e)
6.03 %, Repurchase Agreement
dated 06/30/2000 to be
repurchased at $ 9,560 on
07/03/2000. .......................................................... $ 9,555 $ 9,555
----------
Total Short-Term Obligations
(cost: $ 9,555)..................................................................... 9,555
----------
Total Investment Securities
(cost: $ 86,974).................................................................... $ 88,957
==========
SUMMARY
Investments, at market value ............................................ 99.53% $ 88,957
Other assets in
excess of liabilities ................................................ 0.47% 417
--------- ----------
Net assets ............................................................. 100.00% $ 89,374
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
76 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL Dean Asset Allocation
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
CORPORATE DEBT SECURITIES (23.91 %)
Auto Repair, Services & Parking (4.59 %)
PHH Corporation
7.02 %, due 11/09/2001 ............................................... $ 9,000 $ 8,962
Commercial Banks (4.67 %)
First Union Corporation
6.82 %, due 08/01/2026 ............................................... 3,000 2,906
First Union Corporation - Florida
6.18 %, due 02/15/2036 ............................................... 3,000 2,779
First Union Corporation - North
Carolina (7b)
6.18 %, due 02/15/2036 ............................................... 3,710 3,436
Electric, Gas & Sanitary Services (4.13 %)
Avista Corporation
5.99 %, due 12/10/2007 ............................................... 9,000 8,052
Holding & Other Investment Offices (5.37 %)
New Plan Excel Realty Trust, Inc.
7.40 %, due 09/15/2009 ............................................... 11,000 10,478
Personal Credit Institutions (2.22 %)
Commercial Credit Company
6.63 %, due 06/01/2015 ............................................... 4,250 4,192
Household Finance Corporation
6.00 %, due 05/01/2004 ............................................... 150 141
Radio & Television Broadcasting (2.42 %)
Cox Radio, Inc.
6.38 %, due 05/15/2005 ............................................... 5,000 4,719
Telecommunications (0.51 %)
WorldCom, Inc.
7.13 %, due 06/15/2027 ............................................... 1,000 989
----------
Total Corporate Debt Securities
(cost: $ 48,766).................................................................... 46,654
----------
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
PREFERRED STOCKS (1.00 %)
Printing & Publishing (1.00 %)
News Corporation
Limited (The) - ADR .................................................. 41,000 $ 1,948
----------
Total Preferred Stocks
(cost: $ 907)....................................................................... 1,948
----------
COMMON STOCKS (70.97 %)
Amusement & Recreation Services (2.49 %)
Disney (Walt) Company (The) ............................................ 125,000 4,852
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Automotive (4.54 %)
Ford Motor Company ..................................................... 160,000 $ 6,880
Paccar Inc. ............................................................ 50,000 1,984
Chemicals & Allied Products (1.68 %)
Du Pont (E.I.) de Nemours and
Company .............................................................. 75,000 3,281
Commercial Banks (13.25 %)
Bank of America Corporation ............................................ 40,000 1,720
BB&T Corporation ....................................................... 100,000 2,388
Chase Manhattan
Corporation (The) .................................................... 112,500 5,182
FleetBoston Financial Corp. ............................................ 270,000 9,179
Summit Bancorp ......................................................... 300,000 7,387
Computer & Data Processing Services (2.39 %)
Convergys Corporation (7a) ............................................. 60,000 3,113
NCR Corporation (7a) ................................................... 40,000 1,558
Computer & Office Equipment (1.61 %)
Compaq Computer Corporation ............................................ 50,000 1,278
Hewlett-Packard Company ................................................ 15,000 1,873
Electric, Gas & Sanitary Services (1.00 %)
DPL Inc. ............................................................... 89,000 1,952
Electronic Components & Accessories (2.74 %)
Intel Corporation ...................................................... 40,000 5,348
Food & Kindred Products (3.74 %)
Philip Morris Companies Inc. ........................................... 275,000 7,305
Food Stores (2.39 %)
Albertson's, Incorporated .............................................. 140,000 4,655
Health Services (1.12 %)
HCA - The Healthcare Company ........................................... 72,000 2,187
Holding & Other Investment Offices (1.20 %)
RFS Hotel Investors, Inc. .............................................. 200,000 2,350
Hotels & Other Lodging Places (1.44 %)
Host Marriott Corporation .............................................. 300,000 2,813
Industrial Machinery & Equipment (0.87 %)
Caterpillar, Inc. ...................................................... 50,000 1,694
Instruments & Related Products (2.15 %)
Agilent Technologies, Inc. (7a) ........................................ 9,535 703
Honeywell International Inc. ........................................... 35,000 1,179
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 77
<PAGE>
Schedule of Investments
WRL Dean Asset Allocation (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Instruments & Related Products (continued)
Raytheon Company - Class B ............................................. 120,000 $ 2,310
Insurance (0.50 %)
Conseco, Inc. (7b) ..................................................... 100,000 975
Life Insurance (2.31 %)
Lincoln National Corporation ........................................... 125,000 4,516
Motor Vehicles, Parts & Supplies (0.13 %)
Visteon Corporation (7a) ............................................... 20,949 254
Oil & Gas Extraction (2.43 %)
Diamond Offshore
Drilling, Inc. (7b) .................................................. 135,000 4,742
Petroleum Refining (3.64 %)
Exxon Mobil Corporation ................................................ 60,000 4,710
Texaco Inc. ............................................................ 45,000 2,396
Pharmaceuticals (1.47 %)
Merck & Co., Inc. ...................................................... 37,500 2,873
Primary Metal Industries (0.45 %)
Alcoa Inc. ............................................................. 30,000 870
Restaurants (0.80 %)
TRICON Global
Restaurants, Inc. (7a) ............................................... 55,000 1,554
Savings Institutions (0.89 %)
Washington Mutual, Inc. ................................................ 60,000 1,733
Security & Commodity Brokers (2.07 %)
Alliance Capital Management
Holding L.P. ......................................................... 85,000 4,032
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Stone, Clay & Glass Products (1.27 %)
Minnesota Mining & Manufacturing
Company .............................................................. 30,000 $ 2,475
Telecommunications (5.33 %)
ALLTEL Corporation ..................................................... 50,000 3,097
AT&T Corp. (7b) ........................................................ 70,000 2,214
Bell Atlantic Corporation (7b) ......................................... 100,000 5,081
U.S. Government Agencies (7.07 %)
Fannie Mae ............................................................. 190,000 9,915
Freddie Mac ............................................................ 96,000 3,888
----------
Total Common Stocks
(cost: $ 146,954)................................................................... 138,496
----------
</TABLE>
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
COMMERCIAL PAPER (4.09 %)
Long Lane Master
Trust IV - 144A (7c)
6.58 %, due 07/03/2000 ............................................... $ 2,000 $ 1,999
Special Purpose Accounts
Receivable Corp. - 144A (7c)
6.55 %, due 07/10/2000 ............................................... 6,000 5,990
----------
Total Commercial Paper
(cost: $ 7,989)..................................................................... 7,989
----------
Total Investment Securities
(cost: $ 204,616)................................................................... $ 195,087
==========
SUMMARY
Investments, at market value ........................................... 99.97% $ 195,087
Other assets in
excess of liabilities ................................................ 0.03% 56
--------- ----------
Net assets ............................................................. 100.00% $ 195,143
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
78 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL C.A.S.E. Growth
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (95.74 %)
Apparel & Accessory Stores (10.07 %)
Abercrombie & Fitch Co. -
Class A (7a) ......................................................... 440,000 $ 5,362
American Eagle
Outfitters, Inc. (7a) ................................................ 81,000 1,134
Claire's Stores, Inc. .................................................. 167,000 3,215
Apparel Products (2.79 %)
Jones Apparel Group, Inc. (7a) ......................................... 114,400 2,688
Business Services (3.77 %)
Appnet Systems, Inc. (7a) .............................................. 101,000 3,636
Commercial Banks (5.35 %)
Bank of America Corporation ............................................ 25,658 1,103
Bank One Corporation ................................................... 25,000 664
Chase Manhattan
Corporation (The) .................................................... 34,500 1,589
Citigroup Inc. ......................................................... 30,000 1,808
Communications Equipment (8.94 %)
Adaptive Broadband
Corporation (7a) ..................................................... 46,000 1,691
ADC Telecommunications,
Incorporated (7a) .................................................... 28,000 2,349
ANTEC Corporation (7a) (7b) ............................................ 65,800 2,735
Motorola, Inc. ......................................................... 15,000 436
QUALCOMM Incorporated (7a) ............................................. 23,500 1,410
Computer & Data Processing Services (9.79 %)
America Online, Inc. (7a) .............................................. 43,000 2,268
Commerce One, Inc. (7a) (7b) ........................................... 40,000 1,816
Compuware Corporation (7a) ............................................. 58,000 602
Microsoft Corporation (7a) ............................................. 17,000 1,360
Networks Associates, Inc. (7a) ......................................... 103,000 2,099
Phone.com, Inc. (7a) ................................................... 20,000 1,303
Construction (1.27 %)
Halliburton Company .................................................... 26,000 1,227
Electronic & Other Electric Equipment (2.64 %)
General Electric Company ............................................... 48,000 2,544
Electronic Components & Accessories (11.54 %)
Altera Corporation (7a) ................................................ 13,000 1,325
Conexant Systems, Inc. (7a) (7b) ....................................... 62,000 3,015
Jabil Circuit, Inc. (7a) ............................................... 86,000 4,267
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Electronic Components & Accessories (continued)
JDS Uniphase Corporation (7a) .......................................... 10,000 $ 1,199
Vitesse Semiconductor
Corporation (7a) ..................................................... 18,000 1,324
Industrial Machinery & Equipment (3.91 %)
Brooks Automation, Inc. (7a) ........................................... 59,000 3,771
Instruments & Related Products (0.49 %)
Honeywell International Inc. ........................................... 14,000 472
Insurance (6.82 %)
Conseco, Inc. (7b) ..................................................... 675,000 6,580
Oil & Gas Extraction (5.11 %)
Diamond Offshore
Drilling, Inc. (7b) .................................................. 84,000 2,951
Transocean Sedco Forex Inc. (7b)........................................ 37,000 1,977
Pharmaceuticals (4.59 %)
Pfizer Incorporated .................................................... 57,000 2,736
SmithKline Beecham PLC - ADR ........................................... 26,000 1,695
Retail Trade (0.79 %)
Amazon.Com, Inc. (7a) (7b) ............................................. 21,000 763
Savings Institutions (1.02 %)
Washington Mutual, Inc. ................................................ 34,000 982
Shoe Stores (3.29 %)
Genesco Inc. (7a) (7b) ................................................. 197,600 3,174
Telecommunications (12.59 %)
AT&T Corp. (7b) ........................................................ 57,500 1,818
Global Crossing Ltd. (7a) .............................................. 65,000 1,710
Lucent Technologies Inc. ............................................... 24,000 1,422
Qwest Communications
International Inc. (7a) (7b) ......................................... 55,000 2,733
U S West, Inc. ......................................................... 20,000 1,715
WorldCom, Inc. (7a) .................................................... 60,000 2,753
Variety Stores (0.97 %)
Kmart Corporation (7a) ................................................. 137,000 933
----------
Total Common Stocks
(cost: $ 96,596).................................................................... 92,354
----------
Total Investment Securities
(cost: $ 96,596).................................................................... $ 92,354
==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 79
<PAGE>
Schedule of Investments
WRL C.A.S.E. Growth (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
<S> <C> <C>
SUMMARY
Investments, at market value ........................................... 95.74% $ 92,354
Other assets in
excess of liabilities ................................................ 4.26% 4,108
--------- ----------
Net assets ............................................................. 100.00% $ 96,462
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
80 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL NWQ Value Equity
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (93.94 %)
Aerospace (0.61 %)
Textron Inc. ........................................................... 15,100 $ 820
Air Transportation (2.54 %)
Delta Air Lines, Inc. .................................................. 68,000 3,438
Automotive (0.81 %)
Delphi Automotive Systems
Corporation .......................................................... 75,000 1,092
Chemicals & Allied Products (5.07 %)
Air Products and Chemicals, Inc. ....................................... 59,600 1,836
Praxair, Inc. .......................................................... 65,000 2,433
Rohm and Haas Company .................................................. 75,000 2,588
Commercial Banks (9.80 %)
Bank of America Corporation ............................................ 67,000 2,881
Chase Manhattan
Corporation (The) .................................................... 59,700 2,750
First Union Corporation ................................................ 98,800 2,451
Wells Fargo & Co. ...................................................... 133,400 5,169
Communication (2.10 %)
NTL Incorporated (7a) (7b) ............................................. 47,375 2,837
Computer & Data Processing Services (0.76 %)
Computer Associates
International, Inc. .................................................. 20,000 1,024
Computer & Office Equipment (3.66 %)
Hewlett-Packard Company ................................................ 26,800 3,347
Pitney Bowes Inc. ...................................................... 40,000 1,600
Construction (2.49 %)
Halliburton Company .................................................... 71,200 3,360
Department Stores (1.20 %)
Federated Department
Stores, Inc. (7a) .................................................... 48,000 1,620
Drug Stores & Proprietary Stores (1.12 %)
CVS Corporation ........................................................ 38,000 1,520
Electric Services (3.28 %)
Florida Progress Corporation ........................................... 45,000 2,109
Southern Company (The) ................................................. 100,000 2,331
Electronic & Other Electric Equipment (0.19 %)
Thomas & Betts Corporation ............................................. 13,300 254
Electronic Components & Accessories (2.29 %)
Texas Instruments Incorporated ......................................... 45,000 3,091
Fabricated Metal Products (1.42 %)
Fortune Brands, Inc. ................................................... 83,000 1,914
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Food & Kindred Products (5.50 %)
Philip Morris Companies Inc. ........................................... 192,900 $ 5,124
Sara Lee Corporation ................................................... 120,000 2,318
Gas Production & Distribution (2.07 %)
Coastal Corporation (The) .............................................. 46,000 2,800
Health Services (4.24 %)
HCA - The Healthcare Company ........................................... 108,900 3,308
Tenet Healthcare Corporation (7a)....................................... 90,000 2,430
Holding & Other Investment Offices (1.00 %)
IndyMac Mortgage Holdings, Inc. ........................................ 100,000 1,356
Industrial Machinery & Equipment (7.10 %)
Deere & Company ........................................................ 39,450 1,460
Grant Prideco, Inc. (7a) ............................................... 65,000 1,625
Ingersoll-Rand Company ................................................. 56,500 2,274
Tyco International Ltd ................................................. 35,000 1,658
Weatherford
International Inc. (7a) .............................................. 65,000 2,588
Instruments & Related Products (2.03 %)
Agilent Technologies, Inc. (7a) (7b).................................... 27,721 2,044
Emerson Electric Co. ................................................... 11,600 700
Insurance (2.52 %)
Aetna, Inc. ............................................................ 53,000 3,402
Insurance Agents, Brokers & Service (2.90 %)
Hartford Financial Services
Group, Inc. .......................................................... 70,000 3,916
Mortgage Bankers and Brokers (1.23 %)
Countrywide Credit Industries, Inc. .................................... 55,000 1,667
Motion Pictures (1.85 %)
Time Warner Inc. ....................................................... 33,000 2,508
Oil & Gas Extraction (4.70 %)
Noble Affiliates, Inc .................................................. 32,500 1,211
Noble Drilling Corporation (7a) ........................................ 87,600 3,608
Union Pacific Resources Group Inc....................................... 70,000 1,540
Paperboard Containers & Boxes (0.94 %)
Packaging Corporation of
America (7a) ......................................................... 125,000 1,266
Petroleum Refining (3.59 %)
Conoco Inc. - Class B .................................................. 140,000 3,439
Tosco Corporation ...................................................... 50,000 1,416
Security & Commodity Brokers (1.24 %)
Bear Stearns Companies Inc. (The)....................................... 40,131 1,670
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 81
<PAGE>
Schedule of Investments
WRL NWQ Value Equity (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Telecommunications (12.06 %)
ALLTEL Corporation ..................................................... 17,500 $ 1,084
AT&T Corp. - Liberty Media
Group - Class A (7a) ................................................. 112,000 2,716
CoreComm Limited (7a) (7b) ............................................. 148,200 2,890
MediaOne Group Inc. (7a) ............................................... 72,600 4,814
Telephone and Data Systems, Inc......................................... 25,000 2,506
WorldCom, Inc. (7a) .................................................... 50,000 2,294
U.S. Government Agencies (2.02 %)
Fannie Mae ............................................................. 52,400 2,735
Water Transportation (1.01 %)
Carnival Corporation ................................................... 70,000 1,365
Wholesale Trade Nondurable Goods (0.60 %)
Unilever NV - NY Shares ................................................ 19,000 817
----------
Total Common Stocks
(cost: $ 120,015)................................................................... 127,014
----------
</TABLE>
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
SHORT-TERM OBLIGATIONS (5.94 %)
Investors Bank & Trust
Company (7e)
6.03 %, Repurchase Agreement
dated 06/30/2000 to be
repurchased at $ 8,030 on
07/03/2000 ........................................................... $ 8,027 $ 8,027
----------
Total Short-Term Obligations
(cost: $ 8,027)..................................................................... 8,027
----------
Total Investment Securities
(cost: $ 128,042)................................................................... $ 135,041
==========
SUMMARY
Investments, at market value ........................................... 99.88% $ 135,041
Other assets in
excess of liabilities ................................................ 0.12% 163
--------- ----------
Net assets ............................................................. 100.00% $ 135,204
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
82 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL GE International Equity
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
PREFERRED STOCKS (0.53 %)
Chemicals & Allied Products (0.53 %)
Henkel KGaA ............................................................ 3,296 $ 191
----------
Total Preferred Stocks
(cost: $ 191)....................................................................... 191
----------
COMMON STOCKS (97.16 %)
Aerospace (3.05 %)
Aerospatiale Matra (7b) ................................................ 10,061 212
BAE Systems PLC ........................................................ 142,587 890
Amusement & Recreation Services (1.90 %)
Granada Group PLC ...................................................... 62,892 629
Namco Limited .......................................................... 1,600 58
Apparel Products (0.56 %)
Giordano International Limited ......................................... 132,000 201
Automotive (2.59 %)
Autoliv Inc. ........................................................... 10,810 266
Bayerische Motoren
Werke AG (BMW) ....................................................... 10,854 328
DaimlerChrysler AG ..................................................... 2,104 111
Mazda Motor Corporation ................................................ 86,000 233
Beverages (0.07 %)
Panamerican Beverages, Inc. -
Class A .............................................................. 1,838 27
Chemicals & Allied Products (3.20 %)
Bayer AG ............................................................... 3,775 148
Kao Corporation ........................................................ 12,592 385
Pharmacia Corporation .................................................. 1,051 54
Rhodia SA .............................................................. 9,863 166
Shin-Etsu Chemical Co., Ltd. ........................................... 8,000 406
Commercial Banks (9.46 %)
Asahi Bank, Ltd. ....................................................... 7,764 33
Banca Intesa SpA ....................................................... 68,577 309
Banco Comercial Portugues SA -
Registered Shares .................................................... 13,696 71
Bank of Ireland ........................................................ 52,193 330
Bank of Scotland ....................................................... 11,921 113
Bayerische Hypo - und
Vereinsbank AG ....................................................... 2,598 169
BNP Paribas ............................................................ 3,366 325
Credit Suisse Group (7b) ............................................... 1,386 276
Deutsche Bank AG ....................................................... 4,148 343
Fuji Bank, Limited (7b) ................................................ 18,000 137
ING Groep NV ........................................................... 12,643 857
Kookmin Bank ........................................................... 2,782 35
Nordic Baltic Holding AB - FDR ......................................... 28,868 211
Svenska Handelsbanken AB -
Class A .............................................................. 3,060 45
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Commercial Banks (continued)
Uniao de Bancos
Brasileiros SA - GDR (7b) ............................................ 5,925 $ 170
Communication (0.74 %)
Reed International PLC ................................................. 23,658 206
Saatchi & Saatchi PLC .................................................. 9,603 62
Communications Equipment (4.59 %)
Alcatel ................................................................ 3,546 233
ECI Telecom Ltd. (7b) .................................................. 15,191 543
Koninklijke Philips Electronics NV...................................... 18,694 884
Computer & Data Processing Services (0.78 %)
ATI Technologies Inc. (7a) ............................................. 17,528 148
Getronics NV (7b) ...................................................... 7,239 112
TietoEnator Corporation ................................................ 618 21
Construction (0.75 %)
Suez Lyonnaise Des Eaux SA ............................................. 1,554 273
Electric Services (1.67 %)
E.ON AG ................................................................ 6,543 322
Korea Electric Power Corporation ....................................... 1,470 46
Korea Electric Power
Corporation - ADR .................................................... 2,086 38
Tokyo Electric
Power Co., Inc. (The) ................................................ 8,100 198
Electrical Goods (1.24 %)
Johnson Electric Holdings Limited....................................... 47,400 448
Electronic & Other Electric Equipment (5.86 %)
Canon Inc. ............................................................. 18,000 897
Samsung Electronics Co., Ltd. .......................................... 1,600 530
Sony Corporation ....................................................... 5,200 486
Sumitomo Electric Industries, Ltd....................................... 12,000 206
Electronic Components & Accessories (9.92 %)
Celestica, Inc. (7a) ................................................... 2,672 130
Celestica, Inc. (U.S.) (7a) ............................................ 3,979 195
Fujitsu Limited ........................................................ 22,000 762
Minebea Co., Ltd. ...................................................... 32,000 402
STMicroelectronics NV .................................................. 2,397 152
Taiwan Semiconductor
Manufacturing Company Ltd. -
ADR (7a) (7b) ........................................................ 27,498 1,067
Toshiba Corporation .................................................... 78,000 881
Engineering & Management Services (1.79 %)
ABB Ltd. ............................................................... 2,587 310
Corus Group PLC (7a) ................................................... 230,200 337
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 83
<PAGE>
Schedule of Investments
WRL GE International Equity (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Environmental Services (0.90 %)
Vivendi SA ............................................................. 3,670 $ 325
Food Stores (0.91 %)
Carrefour SA ........................................................... 1,013 69
Koninklijke Ahold NV ................................................... 6,707 198
Somerfield PLC ......................................................... 70,077 62
Holding & Other Investment Offices (3.77 %)
Desc SA de CV - ADR .................................................... 5,809 75
Desc SA de CV - Series B ............................................... 51,937 33
Grupo Carso SA de CV - ADR (7a)......................................... 8,773 61
Grupo Financiero Banamex Accival,
SA de CV - Class O (7a) .............................................. 67,460 284
Hutchison Whampoa Limited .............................................. 2,200 28
Investor AB - Class B .................................................. 3,230 44
Invik & Company AB - Class B ........................................... 696 73
Kinnevik AB - Class B .................................................. 1,353 35
Lagardere S.C.A. ....................................................... 9,557 732
Industrial Machinery & Equipment (2.44 %)
ASM Lithography Holding NV (7a)......................................... 2,348 101
Invensys PLC ........................................................... 208,108 782
Insurance (4.76 %)
CGU PLC (7a) ........................................................... 42,737 712
Muenchener Rueckversicherungs-
Gesellschaft AG ...................................................... 1,682 536
Muenchener Rueckversicherungs-
Gesellschaft AG - warrants ........................................... 19 2
Riunione Adriatica di Sicurta SpA....................................... 23,660 261
Royal & Sun Alliance Insurance
Group PLC ............................................................ 32,848 213
Insurance Agents, Brokers & Service (3.63 %)
Axa .................................................................... 6,000 949
Pohjola Group Insurance
Corporation - Class B ................................................ 832 29
Sampo Insurance Company Ltd. -
Class A .............................................................. 8,289 337
Life Insurance (0.26 %)
Prudential Corporation PLC ............................................. 6,359 93
Lumber & Construction Materials (0.93 %)
CRH PLC ................................................................ 18,549 336
Machinery, Equipment & Supplies (2.37 %)
Alstom SA .............................................................. 19,382 525
Schneider SA ........................................................... 4,731 331
Management Services (0.41 %)
CGI Group Inc. (7a) .................................................... 18,158 148
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Manufacturing Industries (1.00 %)
Metallgesellschaft AG .................................................. 26,153 $ 362
Medical Instruments & Supplies (2.15 %)
Fresenius Medical Care AG .............................................. 4,677 376
Nycomed Amersham PLC ................................................... 40,325 401
Oil & Gas Extraction (3.68 %)
Coflexip SA - ADR (7b) ................................................. 4,011 243
Repsol SA .............................................................. 3,780 75
Saipem SpA ............................................................. 46,295 275
Total Fina SA .......................................................... 4,814 740
Paper & Allied Products (0.51 %)
Jefferson Smurfit Group PLC ............................................ 53,206 90
Stora Enso Oyj - R Shares (7a) ......................................... 10,374 95
Pharmaceuticals (2.37 %)
Aventis SA (7b) ........................................................ 7,266 532
Teva Pharmaceutical Industries
Ltd. - ADR ........................................................... 5,854 325
Primary Metal Industries (1.53 %)
Ispat International NV -
NY Registered Shares ................................................. 7,659 73
Pohang Iron & Steel
Co., Ltd. - ADR ...................................................... 6,415 154
Pohang Iron & Steel Co., Ltd. (7b)...................................... 1,010 86
Preussag AG ............................................................ 7,479 242
Radio & Television Broadcasting (0.69 %)
Grupo Televisa SA de CV -
GDR (7a) (7b) ........................................................ 3,611 249
Railroads (0.23 %)
Railtrack Group PLC .................................................... 5,407 84
Real Estate (0.59 %)
Cheung Kong (Holdings) Limited.......................................... 19,300 214
Retail Trade (0.17 %)
Vendex KBB NV .......................................................... 3,663 62
Rubber & Misc. Plastic Products (0.76 %)
Compagnie Generale des
Etablissements Michelin -
Class B (7b) ......................................................... 8,581 276
Telecommunications (11.88 %)
Cable & Wireless Optus Ltd. (7a)........................................ 63,638 190
Cable & Wireless PLC ................................................... 33,312 565
China Unicom Limited (7a) .............................................. 22,000 47
Datacraft Asia Limited ................................................. 10,160 89
</TABLE>
See accompanying notes which are an integral part of the financial statements.
84 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL GE International Equity (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Telecommunications (continued)
Hellenic Telecommunications
Organization SA ...................................................... 2,910 $ 72
Hellenic Telecommunications
Organization SA - ADR ................................................ 10,902 133
Koninklijke KPN NV ..................................................... 9,334 419
Korea Telecom Corporation .............................................. 2,086 184
Korea Telecom Corporation -
ADR (7b) ............................................................. 1,730 84
NetCom AB - Class B (7a) ............................................... 858 64
Nippon Telegraph &
Telephone Corporation ................................................ 27 359
Sonera Oyj ............................................................. 296 14
Tele Norte Leste
Participacoes SA (7b) ................................................ 91 2
Tele Sudeste Celular
Participacoes SA - ADR ............................................... 154 5
Telecom Italia SpA ..................................................... 9,101 125
Telecomunicacoes Brasileiras
SA - ADR (7b) ........................................................ 774 75
Telefonaktiebolaget LM
Ericsson - Class B ................................................... 17,043 339
Telefonica SA (7a) (7b) ................................................ 31,304 675
Telefonos de Mexico
SA de CV - ADR ....................................................... 3,394 194
Telekomunikacja Polska SA -
GDR - 144A (7a) (7c) ................................................. 19,947 139
Telesp - Telecomunicacoes de Sao
Paulo SA - ADR ....................................................... 774 14
Vodafone Airtouch PLC .................................................. 126,844 513
Transportation & Public Utilities (1.73 %)
Brambles Industries Limited ............................................ 20,375 626
Water Transportation (0.79 %)
IHC Caland NV .......................................................... 5,886 287
Wholesale Trade Durable Goods (0.53 %)
Itochu Corporation (7a) ................................................ 37,896 191
----------
Total Common Stocks
(cost: $ 32,931).................................................................... 35,160
----------
Total Investment Securities
(cost: $ 33,122).................................................................... $ 35,351
==========
SUMMARY
Investments, at market value ........................................... 97.69% $ 35,351
Other assets in
excess of liabilities ................................................ 2.31% 836
--------- ----------
Net assets ............................................................. 100.00% $ 36,187
========= ==========
</TABLE>
<TABLE>
<CAPTION>
Market
Percentage Value
---------- ----------
<S> <C> <C>
INVESTMENTS BY COUNTRY:
Australia .............................................................. 2.31% $ 816
Canada ................................................................. 1.21% 426
Finland ............................... 1.40% 496
France ................................ 16.53% 5,841
Germany ............................... 8.85% 3,130
Greece ................................ 0.20% 72
Hong Kong ............................. 2.65% 937
Ireland ............................... 1.88% 666
Italy ................................. 2.75% 971
Japan ................................. 15.93% 5,633
Korea ................................. 2.49% 880
Mexico ................................ 0.90% 317
Netherlands ........................... 8.27% 2,922
Portugal .............................. 0.20% 72
Spain ................................. 2.12% 750
Sweden ................................ 3.05% 1,077
Switzerland ........................... 1.66% 587
United Kingdom ........................ 16.27% 5,751
United States ......................... 11.33% 4,007
--------- ----------
Investments, at market value ......... 100.00% $ 35,351
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 85
<PAGE>
Schedule of Investments
WRL GE U.S. Equity
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (96.16 %)
Aerospace (2.08 %)
Boeing Company (The) ................................................... 21,165 $ 885
Textron Inc. ........................................................... 28,969 1,573
United Technologies Corporation......................................... 30,620 1,803
Air Transportation (0.66 %)
Continental Airlines, Inc. -
Class B (7a) ......................................................... 17,261 811
Delta Air Lines, Inc. .................................................. 10,507 531
Amusement & Recreation Services (0.81 %)
Disney (Walt) Company (The) ............................................ 42,538 1,651
Automotive (0.25 %)
Ford Motor Company ..................................................... 12,008 516
Beverages (1.64 %)
Anheuser-Busch
Companies, Inc. (7i) ................................................. 7,505 561
PepsiCo, Inc. (7i) ..................................................... 62,742 2,788
Business Services (2.58 %)
Catalina Marketing
Corporation (7a) ..................................................... 10,957 1,118
Equifax Inc. ........................................................... 83,155 2,183
Interpublic Group of
Companies, Inc. ...................................................... 45,781 1,969
Chemicals & Allied Products (1.74 %)
Airgas, Inc. (7a) ...................................................... 7,205 41
Avon Products, Inc. .................................................... 7,507 334
Colgate-Palmolive Company .............................................. 3,843 230
Dow Chemical Company (The) ............................................. 9,006 272
Du Pont (E.I.) de Nemours
and Company .......................................................... 12,008 525
Pharmacia Corporation .................................................. 12,600 651
PPG Industries, Incorporated ........................................... 12,008 532
Procter & Gamble Company (The).......................................... 17,111 980
Commercial Banks (6.77 %)
Bank of America Corporation ............................................ 37,825 1,626
Bank One Corporation ................................................... 9,606 255
Chase Manhattan
Corporation (The) .................................................... 28,218 1,300
Citigroup Inc. ......................................................... 126,068 7,596
FleetBoston Financial Corp. ............................................ 33,562 1,141
PNC Financial Services Group ........................................... 17,111 802
State Street Corporation ............................................... 7,655 812
U.S. Bancorp ........................................................... 16,511 318
Communication (1.75 %)
Adelphia Communications
Corporation - Class A (7a) ........................................... 2,101 98
Comcast Corporation - Class A (7a)...................................... 48,032 1,945
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Communication (continued)
NTL Incorporated (7a) (7b) ............................................. 25,742 $ 1,541
Communications Equipment (2.81 %)
Motorola, Inc. ......................................................... 53,885 1,566
Nortel Networks Corporation (7b) 42,028 2,868
Tellabs, Inc. (7a) ..................................................... 19,197 1,314
Computer & Data Processing Services (5.66 %)
Automatic Data Processing, Inc. ........................................ 32,782 1,756
First Data Corporation ................................................. 93,845 4,657
Microsoft Corporation (7a) ............................................. 64,543 5,163
Computer & Office Equipment (6.96 %)
Cisco Systems, Inc. (7a) ............................................... 70,697 4,494
Dell Computer Corporation (7a) ......................................... 66,028 3,256
EMC Corporation (7a) ................................................... 32,934 2,534
International Business
Machines Corp. ....................................................... 9,607 1,053
Pitney Bowes Inc. ...................................................... 26,718 1,069
Sun Microsystems, Inc. (7a) ............................................ 11,108 1,010
Unisys Corporation (7a) ................................................ 55,837 813
Construction (0.38 %)
Halliburton Company .................................................... 16,511 779
Department Stores (0.36 %)
Federated Department
Stores, Inc. (7a) .................................................... 21,614 729
Drug Stores & Proprietary Stores (0.58 %)
CVS Corporation ........................................................ 29,870 1,195
Electric Services (0.91 %)
Calpine Corporation (7a) ............................................... 5,104 336
Dominion Resources, Inc. ............................................... 3,602 154
Duke Energy Corporation ................................................ 15,761 889
Edison International ................................................... 12,008 246
FPL Group, Inc. ........................................................ 4,803 238
Electric, Gas & Sanitary Services (0.31 %)
New Century Energies Inc. .............................................. 21,014 630
Electronic & Other Electric Equipment (0.78 %)
Eaton Corporation ...................................................... 7,197 482
Energizer Holdings, Inc. (7a) .......................................... 25,120 458
Harman International Industries,
Incorporated ......................................................... 845 52
Hubbell Incorporated - Class B ......................................... 23,566 601
Electronic Components & Accessories (6.97 %)
Analog Devices, Inc. (7a) .............................................. 30,591 2,325
Intel Corporation ...................................................... 63,042 8,428
Micron Technology, Inc. (7a) ........................................... 12,728 1,121
</TABLE>
See accompanying notes which are an integral part of the financial statements.
86 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL GE U.S. Equity (continued)
At June 30, 2000 All
Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Electronic Components & Accessories (continued)
Molex Incorporated - Class A ........................................... 42,628 $ 1,492
Texas Instruments Incorporated ......................................... 12,909 887
Environmental Services (0.28 %)
Waste Management Inc. .................................................. 30,020 570
Fabricated Metal Products (0.64 %)
Gillette Company (The) ................................................. 22,724 794
Masco Corporation ...................................................... 7,504 136
Parker-Hannifin Corporation ............................................ 10,799 370
Food & Kindred Products (1.67 %)
Bestfoods .............................................................. 6,905 478
General Mills, Inc. .................................................... 12,625 483
H.J. Heinz Company ..................................................... 8,406 368
Philip Morris Companies Inc. ........................................... 12,068 321
Quaker Oats Company (The) .............................................. 5,404 406
Ralston Purina Company ................................................. 43,529 868
Sara Lee Corporation ................................................... 25,517 493
Gas Production & Distribution (0.46 %)
El Paso Energy Corp. ................................................... 18,462 940
Health Services (0.22 %)
Lincare Holdings Inc. (7a) ............................................. 18,312 451
Industrial Machinery & Equipment (3.17 %)
Applied Materials, Inc. (7a) ........................................... 28,669 2,598
Baker Hughes, Inc. ..................................................... 15,310 490
Deere & Company ........................................................ 10,506 389
Dover Corporation ...................................................... 59,890 2,429
Ingersoll-Rand Company ................................................. 14,558 586
Instruments & Related Products (1.75 %)
Emerson Electric Co. ................................................... 31,131 1,880
Honeywell International Inc. (7i) ...................................... 39,716 1,338
PerkinElmer, Inc. ...................................................... 5,614 371
Insurance (2.23 %)
AFLAC Incorporated ..................................................... 3,302 152
American International Group, Inc....................................... 18,537 2,178
Berkshire Hathaway Inc. -
Class B (7a) ......................................................... 236 415
Chubb Corporation ...................................................... 14,259 877
Fidelity National Financial, Inc. ...................................... 11,409 209
Loews Corporation ...................................................... 4,653 279
St. Paul Companies, Inc. (The) ......................................... 13,209 451
Insurance Agents, Brokers & Service (0.96 %)
Hartford Financial Services
Group, Inc. .......................................................... 20,113 1,125
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Insurance Agents, Brokers & Service (continued)
Marsh & McLennan
Companies, Inc. ...................................................... 8,045 $ 840
Life Insurance (0.44 %)
AXA Financial, Inc. .................................................... 10,807 367
Reliastar Financial Corp. .............................................. 10,207 535
Lumber & Other Building Materials (1.30 %)
Home Depot, Inc. (The) ................................................. 30,920 1,544
Lowe's Companies, Inc. ................................................. 27,018 1,109
Lumber & Wood Products (0.73 %)
Rayonier, Inc. ......................................................... 10,057 361
Weyerhaeuser Company ................................................... 26,559 1,142
Medical Instruments & Supplies (0.36 %)
DENTSPLY International, Inc. ........................................... 8,406 259
Sybron International
Corporation (7a) ..................................................... 24,316 482
Metal Mining (0.72 %)
Barrick Gold Corporation ............................................... 33,022 601
Newmont Mining Corporation ............................................. 40,527 876
Mining (0.29 %)
Martin Marietta Materials, Inc. ........................................ 14,699 594
Mortgage Bankers and Brokers (0.08 %)
Countrywide Credit Industries, Inc...................................... 5,704 173
Motor Vehicles, Parts & Supplies (0.01 %)
Visteon Corporation (7a) ............................................... 1,572 19
Oil & Gas Extraction (2.34 %)
Anadarko Petroleum
Corporation (7b) ..................................................... 11,708 577
Burlington Resources Inc. .............................................. 18,414 704
Nabors Industries, Inc. (7a) ........................................... 19,511 811
Schlumberger Limited ................................................... 25,997 1,940
Unocal Corporation ..................................................... 22,515 746
Paper & Allied Products (0.39 %)
Bowater Incorporated ................................................... 8,104 358
International Paper Company ............................................ 7,731 230
Mead Corporation (The) ................................................. 8,406 212
Personal Credit Institutions (1.21 %)
American Express Company (7i) .......................................... 30,170 1,573
Associates First Capital
Corporation - Class A ................................................ 40,677 908
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 87
<PAGE>
Schedule of Investments
WRL GE U.S. Equity (continued)
At June 30, 2000 All
Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Petroleum & Petroleum Products (0.17 %)
Enron Corp. ............................................................ 5,404 $ 349
Petroleum Refining (4.10 %)
BP Amoco PLC - ADR ..................................................... 6,604 374
Chevron Corporation .................................................... 7,205 611
Conoco Inc. - Class B .................................................. 24,316 597
Exxon Mobil Corporation ................................................ 57,749 4,533
Royal Dutch Petroleum Company -
NY Registered Shares ................................................. 27,018 1,663
Texaco Inc. ............................................................ 5,404 288
USX-Marathon Group ..................................................... 12,909 324
Pharmaceuticals (12.36 %)
Abbott Laboratories .................................................... 36,775 1,639
American Home Products
Corporation .......................................................... 9,156 538
Amgen Inc. (7a) ........................................................ 18,162 1,276
Bristol-Myers Squibb Co. ............................................... 49,533 2,885
Cardinal Health, Inc. (7i) ............................................. 55,387 4,099
Johnson & Johnson ...................................................... 28,398 2,893
Lilly (Eli) and Company ................................................ 11,408 1,139
Merck & Co., Inc. ...................................................... 70,546 5,406
Pfizer Incorporated .................................................... 71,822 3,447
Schering-Plough Corporation ............................................ 24,316 1,228
Watson Pharmaceuticals, Inc. (7a)....................................... 13,510 726
Printing & Publishing (1.01 %)
Gannett Co., Inc. ...................................................... 23,265 1,392
Knight-Ridder, Inc. (7b) ............................................... 12,608 671
Railroads (0.75 %)
Burlington Northern
Santa Fe Corp. ....................................................... 34,973 802
Canadian Pacific Limited ............................................... 27,618 723
Restaurants (0.84 %)
McDonald's Corporation ................................................. 52,385 1,725
Retail Trade (0.12 %)
Schein, Henry, Inc. (7a) ............................................... 14,410 249
Security & Commodity Brokers (2.12 %)
Goldman Sachs
Group, Inc. (The) .................................................... 5,103 484
Lehman Brothers Holdings Inc. .......................................... 12,188 1,153
Morgan Stanley Dean
Witter and Co. ....................................................... 32,422 2,699
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Telecommunications (7.81 %)
ALLTEL Corporation ..................................................... 10,806 $ 669
AT&T Corp. (7i) ........................................................ 24,016 760
AT&T Corp. - Liberty Media
Group - Class A (7a) ................................................. 88,258 2,140
AT&T Wireless Group (7a) ............................................... 6,004 167
Bell Atlantic Corporation (7b) (7i)..................................... 15,010 763
Global Crossing Ltd. (7a) .............................................. 16,511 434
GTE Corporation ........................................................ 31,070 1,934
Lucent Technologies Inc. ............................................... 21,014 1,245
NEXTLINK Communications, Inc. -
Class A (7a) (7b) .................................................... 4,804 182
SBC Communications Inc. ................................................ 68,447 2,960
Sprint Corporation (FON Group) ......................................... 21,164 1,079
U S West, Inc. ......................................................... 22,365 1,918
Vodafone Airtouch
PLC - ADR (7b) ....................................................... 24,466 1,014
WorldCom, Inc. (7a) .................................................... 15,310 702
Transportation Equipment (0.25 %)
General Dynamics Corporation ........................................... 9,907 518
U.S. Government Agencies (1.08 %)
Fannie Mae ............................................................. 42,418 2,214
Variety Stores (2.18 %)
Costco Wholesale
Corporation (7a) (7b) ................................................ 6,304 208
Target Corporation ..................................................... 35,183 2,041
Wal-Mart Stores, Inc. .................................................. 38,426 2,214
Water Transportation (0.12 %)
Carnival Corporation ................................................... 12,458 243
--------- ----------
Total Common Stocks
(cost: $ 178,534)................................................................... 196,707
----------
Total Investment Securities
(cost: $ 178,534)................................................................... $ 196,707
==========
SUMMARY
Investments, at market value ........................................... 96.16% $ 196,707
Other assets in
excess of liabilities ................................................ 3.84% 7,848
--------- ----------
Net assets ............................................................. 100.00% $ 204,555
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
88 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL Third Avenue Value
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
ASSET-BACKED SECURITIES (3.51 %)
Ford Credit Auto Owner
Trust 1998-C
5.81 %, due 03/15/2002 ............................................... $ 1,764 $ 1,756
----------
Total Asset-Backed Securities
(cost: $ 1,754)..................................................................... 1,756
----------
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (66.90 %)
Computer & Data Processing Services (1.37 %)
NCR Corporation (7a) ................................................... 17,600 $ 685
Computer & Office Equipment (0.65 %)
ACT Networks, Inc. (7a) ................................................ 21,300 326
Construction (2.20 %)
D.R. Horton, Inc. ...................................................... 81,000 1,099
Electronic & Other Electric Equipment (0.88 %)
Electro Scientific
Industries, Inc. (7a) ................................................ 10,000 440
Electronic Components & Accessories (5.08 %)
AVX Corporation ........................................................ 46,000 1,055
Bel Fuse, Inc. - Class B ............................................... 31,800 851
Planar Systems, Inc. (7a) .............................................. 48,800 631
Health Services (0.36 %)
Prime Medical Services, Inc. (7a)....................................... 23,000 178
Holding & Other Investment Offices (1.61 %)
Capital Southwest Corporation .......................................... 8,400 512
Koger Equity, Inc. ..................................................... 17,500 295
Industrial Machinery & Equipment (16.40 %)
Alamo Group Inc. ....................................................... 22,300 279
Electroglas, Inc. (7a) ................................................. 64,500 1,387
FSI International, Inc. (7a) ........................................... 79,900 1,732
Silicon Valley Group, Inc. (7a) ........................................ 61,100 1,581
SpeedFam-IPEC, Inc. (7a) ............................................... 45,300 824
Tecumseh Products Company -
Class A .............................................................. 9,200 351
Tecumseh Products Company -
Class B .............................................................. 21,100 869
Toyoda Automatic Loom
Works, Ltd. .......................................................... 54,000 1,169
Instruments & Related Products (1.16 %)
Analogic Corporation ................................................... 14,500 580
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Insurance (22.26 %)
Arch Capital Group Ltd. (7a) ........................................... 59,000 $ 881
Chiyoda Fire & Marine Insurance
Co., Ltd. ............................................................ 271,000 921
Enhance Financial Services Group,
Inc. ................................................................. 108,600 1,561
Financial Security Assurance
Holdings Ltd. ........................................................ 19,000 1,442
First American
Corporation (The) .................................................... 77,600 1,111
LaSalle Re Holdings
Limited (7a) ......................................................... 84,700 1,202
Leucadia National Corporation .......................................... 17,900 408
MBIA, Inc. ............................................................. 20,000 964
Mitsui Marine & Fire Insurance
Co., Ltd. ............................................................ 237,000 1,141
Stewart Information Services
Corporation .......................................................... 37,900 554
Tokio Marine & Fire Insurance Co.,
Ltd. (The) - ADR ..................................................... 15,800 940
Life Insurance (2.66 %)
Liberty Financial Companies, Inc. ...................................... 60,600 1,329
Medical Instruments & Supplies (1.71 %)
Protocol Systems, Inc. (7a) ............................................ 53,700 856
Oil & Gas Extraction (3.08 %)
Nabors Industries, Inc. (7a) ........................................... 37,000 1,538
Paper & Allied Products (0.75 %)
St. Joe Company ........................................................ 12,500 375
Real Estate (2.63 %)
Avatar Holdings Inc. (7a) .............................................. 3,500 81
Catellus Development
Corporation (7a) ..................................................... 64,500 968
Forest City Enterprises, Inc. -
Class A .............................................................. 8,000 267
Research & Testing Services (2.69 %)
Kendle International Inc. (7a) ......................................... 75,000 591
PAREXEL International
Corporation (7a) ..................................................... 65,100 623
Pharmaceutical Product
Development, Inc. (7a) ............................................... 6,200 130
Savings Institutions (0.02 %)
Home Federal Bancorp (7a)............................................... 14,182 10
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 89
<PAGE>
Schedule of Investments
WRL Third Avenue Value (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Water Transportation (1.39 %)
Alexander & Baldwin, Inc. .............................................. 31,500 $ 695
----------
Total Common Stocks
(cost: $ 28,456).................................................................... 33,432
----------
Total Investment Securities
(cost: $ 30,210).................................................................... $ 35,188
==========
SUMMARY
Investments, at market value ........................................... 70.41% $ 35,188
Other assets in
excess of liabilities ................................................ 29.59% 14,786
--------- ----------
Net assets ............................................................. 100.00% $ 49,974
========= ==========
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
INVESTMENTS BY COUNTRY:
Japan .................................................................. 9.18% $ 3,231
United States .......................................................... 90.82% 31,957
--------- ----------
Investments, at market value .......................................... 100.00% $ 35,188
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
90 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL J.P. Morgan Real Estate Securities
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (95.38 %)
Holdings and Other Investment Offices (81.40 %)
Apartments (21.52 %)
AvalonBay Communities, Inc. ............................................ 3,700 $ 154
Camden Property Trust .................................................. 5,900 173
Equity Residential
Properties Trust ..................................................... 7,243 333
Gables Residential Trust ............................................... 6,100 157
Home Properties of
New York, Inc. ....................................................... 4,200 126
Post Properties, Inc. .................................................. 3,300 145
Summit Properties Inc. ................................................. 6,800 143
United Dominion Realty Trust, Inc....................................... 7,600 84
Diversified (8.40 %)
Colonial Properties Trust .............................................. 2,000 55
Duke-Weeks Realty Corporation .......................................... 7,394 165
Liberty Property Trust ................................................. 7,200 187
National Golf Properties, Inc. ......................................... 3,900 82
Spieker Properties, Inc. ............................................... 500 24
Hotels (2.59 %)
MeriStar Hospitality Corporation ....................................... 7,500 158
Office Property (17.58 %)
Cousins Properties, Inc. ............................................... 4,900 189
Crescent Real Estate
Equities Company ..................................................... 10,900 223
Equity Office Properties Trust ......................................... 21,660 598
Mack-Cali Realty Corporation ........................................... 2,500 64
Regional Mall (9.82 %)
CBL & Associates Properties, Inc........................................ 2,700 67
General Growth Properties, Inc. ........................................ 6,800 216
Macerich Company, (The) ................................................ 4,500 99
Mills Corporation, (The) ............................................... 3,300 62
Simon Property Group, Inc. ............................................. 4,900 109
Urban Shopping Centers, Inc. ........................................... 1,400 47
Shopping Center (11.36 %)
Federal Realty Investment Trust ........................................ 8,300 166
IRT Property Company ................................................... 6,800 58
Kimco Realty Corporation ............................................... 3,000 123
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Holdings and Other Investment Offices (continued)
Shopping Center (continued)
Regency Realty Corporation ............................................. 3,800 $ 90
Vornado Realty Trust ................................................... 7,400 257
Storage (4.45 %)
Public Storage, Inc. ................................................... 11,600 272
Warehouse (5.68 %)
CenterPoint Properties
Corporation .......................................................... 4,400 179
Prentiss Properties Trust .............................................. 7,000 168
Hotels & Other Lodging Places (2.29 %)
Hotels (2.29 %)
Hilton Hotels Corporation .............................................. 2,700 25
Marriott International, Inc. -
Class A .............................................................. 3,200 115
Real Estate (11.69 %)
Office Property (4.99 %)
Arden Realty, Inc. ..................................................... 9,100 214
Boston Properties, Inc. ................................................ 1,900 73
Mission West Properties, Inc. .......................................... 1,700 18
Regional Mall (0.82 %)
Rouse Company (The) .................................................... 2,000 50
Warehouse (5.88 %)
ProLogis Trust ......................................................... 16,800 359
----------
Total Common Stocks
(cost: $ 5,656)..................................................................... 5,827
----------
Total Investment Securities
(cost: $ 5,656)..................................................................... $ 5,827
==========
SUMMARY
Investments, at market value ........................................... 95.38% $ 5,827
Other assets in
excess of liabilities ................................................ 4.62% 282
--------- ----------
Net assets ............................................................. 100.00% $ 6,109
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 91
<PAGE>
Schedule of Investments
WRL Goldman Sachs Growth
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (95.76 %)
Aerospace (0.19 %)
United Technologies Corporation......................................... 480 $ 28
Amusement & Recreation Services (0.92 %)
Disney (Walt) Company (The) ............................................ 1,210 47
Harrah's Entertainment, Inc. (7a)....................................... 4,080 85
Automotive (1.29 %)
Ford Motor Company ..................................................... 1,320 57
General Motors Corporation ............................................. 791 46
General Motors Corporation -
Class H (7a) ......................................................... 951 83
Beverages (2.05 %)
Coca-Cola Company (The) ................................................ 2,870 165
PepsiCo, Inc. .......................................................... 2,920 130
Business Services (0.82 %)
CheckFree Holdings
Corporation (7a) ..................................................... 490 25
DoubleClick Inc. (7a) .................................................. 470 18
E.piphany, Inc. (7a) ................................................... 100 11
Valassis Communications, Inc. (7a)...................................... 1,685 64
Chemicals & Allied Products (2.90 %)
Avon Products, Inc. .................................................... 1,390 62
Colgate-Palmolive Company .............................................. 2,850 171
Dow Chemical Company (The) ............................................. 1,230 37
Du Pont (E.I.) de Nemours
and Company .......................................................... 1,868 82
Procter & Gamble Company (The).......................................... 1,150 66
Commercial Banks (5.01 %)
Bank of America Corporation ............................................ 1,640 71
Bank of New York
Company, Inc. (The) .................................................. 1,050 49
Chase Manhattan
Corporation (The) .................................................... 495 23
Citigroup Inc. ......................................................... 3,835 231
MBNA Corporation ....................................................... 4,700 127
State Street Corporation ............................................... 1,490 158
Wells Fargo & Co. ...................................................... 1,620 63
Communication (2.67 %)
Cablevision Systems
Corporation - Class A (7a) ........................................... 640 43
Comcast Corporation - Class A (7a)...................................... 1,020 41
Crown Castle
International Corp. (7a) ............................................. 2,840 104
Echostar Communications
Corporation - Class A (7a) ........................................... 840 28
Viacom, Inc. - Class B (7a) ............................................ 2,466 168
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Communications Equipment (2.63 %)
Motorola, Inc. ......................................................... 1,695 $ 49
Nortel Networks Corporation ............................................ 3,850 263
QUALCOMM Incorporated (7a) ............................................. 1,100 66
Computer & Data Processing Services (8.77 %)
America Online, Inc. (7a) .............................................. 1,640 87
Automatic Data Processing, Inc ......................................... 1,040 56
First Data Corporation ................................................. 3,120 155
Microsoft Corporation (7a) ............................................. 5,860 469
Network Appliance, Inc. (7a) ........................................... 340 27
Oracle Corporation (7a) ................................................ 3,240 272
S1 Corporation (7a) .................................................... 600 14
Verisign, Inc. (7a) .................................................... 387 68
Veritas Software Corporation (7a) ...................................... 370 42
Yahoo! Inc. (7a) ....................................................... 600 74
Computer & Office Equipment (8.68 %)
Cisco Systems, Inc. (7a) ............................................... 7,260 461
Dell Computer Corporation (7a).......................................... 2,630 130
EMC Corporation (7a) ................................................... 2,660 205
Hewlett-Packard Company ................................................ 680 85
International Business
Machines Corp. ....................................................... 1,650 181
Sun Microsystems, Inc. (7a) ............................................ 1,940 176
Xerox Corporation ...................................................... 590 12
Drug Stores & Proprietary Stores (1.11 %)
CVS Corporation ........................................................ 900 36
Walgreen Co. ........................................................... 3,840 124
Electric Services (1.35 %)
AES Corporation (The) (7a) ............................................. 3,480 159
Duke Energy Corporation ................................................ 370 21
Southern Company (The) ................................................. 580 14
Electronic & Other Electric Equipment (4.25 %)
Energizer Holdings, Inc. (7a) .......................................... 2,686 49
Gemstar International
Group Limited (7a) ................................................... 330 20
General Electric Company ............................................... 10,250 543
Electronic Components & Accessories (5.22 %)
Analog Devices, Inc. (7a) .............................................. 350 27
E-Tek Dynamics, Inc. (7a) .............................................. 50 13
Intel Corporation ...................................................... 3,610 483
JDS Uniphase Corporation (7a) .......................................... 160 19
Maxim Integrated Products (7a) ......................................... 310 21
PMC-Sierra, Inc. (7a) .................................................. 140 25
Texas Instruments Incorporated ......................................... 1,950 134
Xilinx Inc. (7a) ....................................................... 350 29
</TABLE>
See accompanying notes which are an integral part of the financial statements.
92 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL Goldman Sachs Growth (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Environmental Services (0.10 %)
Waste Management Inc. .................................................. 810 $ 15
Fabricated Metal Products (0.25 %)
Gillette Company (The) ................................................. 1,040 36
Finance (4.03 %)
Standard & Poor's 500 Depositary
Receipt .............................................................. 4,000 580
Food & Kindred Products (1.97 %)
Nabisco Group Holdings Corp............................................. 2,710 70
Philip Morris Companies Inc............................................. 3,850 102
Ralston Purina Company ................................................. 1,980 40
Wrigley (Wm.) Jr. Company .............................................. 880 71
Holding & Other Investment Offices (0.60 %)
Starwood Hotels & Resorts
Worldwide, Inc. ...................................................... 2,630 86
Hotels & Other Lodging Places (0.53 %)
Marriott International, Inc. -
Class A .............................................................. 2,100 76
Industrial Machinery & Equipment (0.73 %)
Applied Materials, Inc. (7a) ........................................... 570 52
Tyco International Ltd. ................................................ 1,110 53
Instruments & Related Products (0.31 %)
Agilent Technologies, Inc. (7a) ........................................ 259 19
Emerson Electric Co. ................................................... 220 13
Honeywell International Inc. ........................................... 380 13
Insurance (1.94 %)
Ambac Financial Group, Inc. ............................................ 1,590 87
American International Group, Inc....................................... 1,637 192
Insurance Agents, Brokers & Service (0.85 %)
Metlife, Inc. (7a) ..................................................... 5,860 123
Life Insurance (0.20 %)
Nationwide Financial Services,
Inc. - Class A ....................................................... 880 29
Lumber & Other Building Materials (0.87 %)
Home Depot, Inc. (The) ................................................. 2,500 125
Lumber & Wood Products (0.20 %)
Weyerhaeuser Company ................................................... 670 29
Motion Pictures (1.51 %)
Time Warner Inc. ....................................................... 2,850 217
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Motor Vehicles, Parts & Supplies (0.01 %)
Visteon Corporation (7a) ............................................... 173 $ 2
Oil & Gas Extraction (1.28 %)
Schlumberger Limited ................................................... 2,260 169
Unocal Corporation ..................................................... 440 15
Paper & Allied Products (0.38 %)
International Paper Company ............................................ 940 28
Kimberly-Clark Corporation ............................................. 470 27
Personal Services (0.33 %)
Cendant Corp. (7a) ..................................................... 3,430 48
Petroleum & Petroleum Products (0.32 %)
Enron Corp. ............................................................ 720 46
Petroleum Refining (3.76 %)
Chevron Corporation .................................................... 790 67
Exxon Mobil Corporation ................................................ 3,735 293
Royal Dutch Petroleum Company -
NY Registered Shares ................................................. 2,330 143
Texaco Inc. ............................................................ 720 38
Pharmaceuticals (9.52 %)
American Home Products
Corporation .......................................................... 1,360 80
Amgen Inc. (7a) ........................................................ 1,110 78
Bristol-Myers Squibb Co. ............................................... 4,950 288
Johnson & Johnson ...................................................... 1,110 113
Lilly (Eli) and Company ................................................ 1,220 122
Merck & Co., Inc. ...................................................... 1,900 146
Pfizer Incorporated .................................................... 9,517 457
Schering-Plough Corporation ............................................ 1,750 88
Primary Metal Industries (0.21 %)
Alcoa Inc. ............................................................. 1,040 30
Printing & Publishing (1.37 %)
Belo (A.H.) Corporation - Class A....................................... 3,870 67
Gannett Co., Inc. ...................................................... 680 41
New York Times Company (The) -
Class A .............................................................. 1,570 62
Tribune Company ........................................................ 780 27
Radio & Television Broadcasting (1.06 %)
AMFM Inc. (7a) ......................................................... 740 51
Infinity Broadcasting Corp. -
Class A (7a) ......................................................... 2,770 101
Radio, Television, & Computer Stores (0.26 %)
RadioShack Corporation ................................................. 780 37
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 93
<PAGE>
Schedule of Investments
WRL Goldman Sachs Growth (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Restaurants (0.69 %)
McDonald's Corporation ................................................. 3,040 $ 100
Security & Commodity Brokers (0.95 %)
Merrill Lynch & Co., Inc. .............................................. 380 44
Schwab (Charles)
Corporation (The) .................................................... 2,760 93
Stone, Clay & Glass Products (1.88 %)
Corning Incorporated ................................................... 640 173
Minnesota Mining & Manufacturing
Company .............................................................. 1,180 97
Telecommunications (7.88 %)
AT&T Corp. - Liberty Media
Group - Class A (7a) ................................................. 5,540 134
GTE Corporation ........................................................ 2,330 145
Lucent Technologies Inc. ............................................... 2,820 167
MediaOne Group Inc. (7a) ............................................... 2,430 161
SBC Communications Inc. ................................................ 4,020 174
Sprint Corporation (FON Group).......................................... 1,600 82
Sprint Corporation
(PCS Group) (7a) ..................................................... 1,300 77
Vodafone Airtouch PLC - ADR ............................................ 1,150 48
WorldCom, Inc. (7a) .................................................... 3,175 146
U.S. Government Agencies (1.97 %)
Fannie Mae ............................................................. 2,820 147
Freddie Mac ............................................................ 3,390 137
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Variety Stores (1.94 %)
Wal-Mart Stores, Inc. .................................................. 4,850 $ 279
----------
Total Common Stocks
(cost: $ 12,750).................................................................... 13,788
----------
</TABLE>
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
SHORT-TERM OBLIGATIONS (7.30 %)
Investors Bank & Trust
Company (7e)
6.03 %, Repurchase Agreement
dated 06/30/2000 to be
repurchased at $ 1,052 on
07/03/2000. .......................................................... $ 1,051 $ 1,051
----------
Total Short-Term Obligations
(cost: $ 1,051)..................................................................... 1,051
----------
Total Investment Securities
(cost: $ 13,801).................................................................... $14,839
==========
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C>
SUMMARY
Investments, at market value ........................................... 103.06% $ 14,839
Liabilities in
excess of other assets ............................................... (3.06)% (441)
--------- ----------
Net assets ............................................................. 100.00% $ 14,398
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
94 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL Goldman Sachs Small Cap
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (96.57 %)
Aerospace (0.29 %)
HEICO Corporation ...................................................... 400 $ 6
Sequa Corporation - Class A (7a) ....................................... 200 8
Air Transportation (0.45 %)
Airborne Freight Corporation ........................................... 300 6
Alaska Air Group, Inc. (7a) ............................................ 200 5
America West Holdings
Corporation - Class B (7a) ........................................... 500 9
Amtran, Inc. (7a) ...................................................... 200 2
Amusement & Recreation Services (1.07 %)
Argosy Gaming Company (7a) ............................................. 300 4
Aztar Corporation (7a) ................................................. 700 11
Bally Total Fitness Holding
Corporation (7a) ..................................................... 200 5
Boyd Gaming Corporation (7a) ........................................... 300 2
Dover Downs Entertainment, Inc.......................................... 400 6
Pinnacle Entertainment, Inc. (7a) ...................................... 200 4
Station Casinos, Inc. (7a) ............................................. 400 10
Westwood One, Inc. (7a) ................................................ 300 10
Apparel & Accessory Stores (0.33 %)
Cato Corporation (The) - Class A ....................................... 300 3
Charming Shoppes, Inc. (7a) ............................................ 400 2
Deb Shops, Inc. ........................................................ 200 3
Factory 2-U Stores, Inc. (7a) .......................................... 100 4
Pacific Sunwear
of California, Inc. (7a) ............................................. 200 4
Apparel Products (0.08 %)
Phillips-Van Heusen Corporation ........................................ 400 4
Auto Repair, Services & Parking (0.33 %)
Avis Group Holdings, Inc. (7a) ......................................... 200 4
Dollar Thrifty Automotive
Group, Inc. (7a) ..................................................... 500 9
Rollins Truck Leasing Corp ............................................. 500 3
Automotive (0.70 %)
CLARCOR Inc. ........................................................... 200 4
Coachmen Industries, Inc. .............................................. 300 3
GenCorp Inc. ........................................................... 600 5
National R.V. Holdings, Inc. (7a) ...................................... 200 2
Oshkosh Truck Corporation .............................................. 300 11
Thor Industries, Inc. .................................................. 200 4
Winnebago Industries, Inc. ............................................. 400 5
Automotive Dealers & Service Stations (0.12 %)
Group 1 Automotive, Inc. (7a) .......................................... 200 2
United Auto Group, Inc. (7a) ........................................... 400 4
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Beverages (0.23 %)
Canandaigua Brands, Inc. -
Class A (7a) ......................................................... 100 $ 5
Mondavi (Robert) Corporation
(The) - Class A (7a) ................................................. 200 6
Business Credit Institutions (0.02 %)
SierraCities.com Inc. (7a) ............................................. 200 1
Business Services (3.10 %)
24/7 Media, Inc. (7a) .................................................. 100 2
Aaron Rents, Inc. ...................................................... 200 3
ADVO, Inc. (7a) ........................................................ 300 13
Analysts International Corporation...................................... 100 1
CTC Communications
Group, Inc. (7a) ..................................................... 150 5
F.Y.I. Incorporated (7a) ............................................... 200 7
Fair, Isaac and Company,
Incorporated ......................................................... 200 9
Gentiva Health Services, Inc. (7a) ..................................... 1 (7g)
Getty Images, Inc. (7a) ................................................ 200 7
Hanover Compressor
Company (7a) ......................................................... 400 15
infoUSA Inc. (7a) ...................................................... 300 2
Interim Services Inc. (7a) ............................................. 400 7
MessageMedia, Inc. (7a) ................................................ 200 1
NBC Internet, Inc. - Class A (7a) ...................................... 200 3
Personnel Group
of America, Inc. (7a) ................................................ 300 1
Pittston Brink's Group ................................................. 345 5
Rent-A-Center, Inc. (7a) ............................................... 200 5
Rent-Way, Inc. (7a) .................................................... 200 6
SITEL Corporation (7a) ................................................. 400 2
SoftNet Systems, Inc. (7a) ............................................. 100 1
StarTek, Inc. (7a) ..................................................... 100 5
Teletech Holdings, Inc. (7a) ........................................... 200 6
True North Communications, Inc.......................................... 200 9
VerticalNet, Inc. (7a) ................................................. 400 15
Wackenhut Corporation (The) -
Class A (7a) ......................................................... 300 4
West Teleservices
Corporation (7a) ..................................................... 300 8
XTRA Corporation (7a) .................................................. 200 8
Chemicals & Allied Products (1.73 %)
Albermarle Corporation ................................................. 200 4
Arch Chemicals, Inc. ................................................... 200 4
ATMI, Inc. (7a) ........................................................ 100 5
Block Drug Company, Inc. -
Class A .............................................................. 206 9
Cambrex Corporation .................................................... 200 9
Chemed Corporation ..................................................... 200 6
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 95
<PAGE>
Schedule of Investments
WRL Goldman Sachs Small Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Chemicals & Allied Products (continued)
Church & Dwight Co., Inc. .............................................. 200 $ 4
Crompton Corporation ................................................... 500 6
Cytec Industries Inc. (7a) ............................................. 300 7
Fuller (H.B.) Company .................................................. 100 5
Geon Company (The) ..................................................... 200 4
Georgia Gulf Corporation ............................................... 200 4
Grace (W.R.) & Co. (7a) ................................................ 300 4
OM Group, Inc. ......................................................... 200 9
Schulman, (A.) Inc. .................................................... 300 4
Commercial Banks (3.55 %)
BancFirst Corporation .................................................. 200 6
BancWest Corporation ................................................... 800 13
Citizens Banking Corporation ........................................... 500 8
Community First Bankshares, Inc......................................... 400 7
Community Trust Bancorp, Inc. .......................................... 440 8
Corus Bankshares, Inc. ................................................. 400 11
CVB Financial Corp. .................................................... 400 6
East West Bancorp, Inc. ................................................ 400 6
F & M National Corporation ............................................. 500 11
First Financial Bancorp ................................................ 200 6
First United Bancshares, Inc. .......................................... 300 5
GBC Bancorp ............................................................ 600 18
Hancock Holding Company ................................................ 200 7
Hudson United Bancorp, Inc. ............................................ 309 7
Imperial Bancorp (7a) .................................................. 500 8
Silicon Valley Bancshares (7a) ......................................... 400 17
Sky Financial Group Inc. ............................................... 486 8
UMB Financial Corporation .............................................. 300 10
Whitney Holding Corporation ............................................ 300 10
Communication (0.04 %)
CapRock Communications
Corp. (7a) ........................................................... 100 2
Communications Equipment (3.74 %)
Adaptive Broadband
Corporation (7a) ..................................................... 200 7
ADC Telecommunications,
Incorporated (7a) .................................................... 129 11
ADTRAN, Inc. (7a) ...................................................... 100 6
Advanced Fibre
Communications, Inc. (7a) ............................................ 500 22
Aspect Communications
Corporation (7a) ..................................................... 400 16
C-COR.net Corp. (7a) ................................................... 200 5
Checkpoint Systems, Inc. (7a) .......................................... 200 2
CommScope, Inc. (7a) ................................................... 200 8
Digital Microwave
Corporation (7a) ..................................................... 300 11
General Semiconductor, Inc. (7a) ....................................... 200 3
Harmonic Lightwaves, Inc. (7a) ......................................... 308 8
Intervoice, Inc. (7a) .................................................. 300 2
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Communications Equipment (continued)
Metricom, Inc. (7a) .................................................... 100 $ 3
Polycom, Inc. (7a) ..................................................... 200 19
Powerwave Technologies, Inc. (7a)....................................... 200 9
Sawtek Inc. (7a) ....................................................... 200 12
Sensormatic Electronics
Corporation (7a) ..................................................... 500 8
Tekelec (7a) ........................................................... 200 10
Terayon Communication
Systems, Inc. (7a) ................................................... 200 13
Tut Systems, Inc. (7a) ................................................. 100 6
Computer & Data Processing Services (10.07 %)
Actuate Corporation (7a) ............................................... 200 11
Advent Software, Inc. (7a) ............................................. 100 6
Allaire Corporation (7a) ............................................... 100 4
American Management
Systems, Inc. (7a) ................................................... 200 7
Aspen Technology, Inc. (7a) ............................................ 200 8
Avant! Corporation (7a) ................................................ 500 9
Axent Technologies, Inc. (7a) .......................................... 200 5
BARRA, Inc. (7a) ....................................................... 100 5
Broadvision, Inc. (7a) ................................................. 900 45
Cerner Corporation (7a) ................................................ 200 5
CIBER, Inc. (7a) ....................................................... 200 3
Cognizant Technology
Solutions Corp. (7a) ................................................. 100 3
Dendrite International, Inc. (7a) ...................................... 200 7
Documentum, Inc. (7a) .................................................. 100 9
Echelon Corporation (7a) ............................................... 100 6
Entrust Technologies Inc. (7a) ......................................... 100 8
Exchange Applications, Inc. (7a) ....................................... 200 5
FactSet Research Systems Inc. .......................................... 200 6
Filenet Corporation (7a) ............................................... 400 7
Go2Net, Inc. (7a) ...................................................... 100 5
GTECH Holdings Corp. (7a) .............................................. 300 7
HNC Software Inc. (7a) ................................................. 200 12
Hyperion Solutions
Corporation (7a) ..................................................... 200 6
i2 Technologies, Inc. (7a) ............................................. 110 11
Identix Incorporated (7a) .............................................. 100 2
IDT Corporation (7a) ................................................... 100 3
iGATE Capital Corporation (7a) ......................................... 200 3
Imation Corp. (7a) ..................................................... 300 9
Informatica Corporation (7a) ........................................... 100 8
Informix Corp. (7a) .................................................... 1,550 12
Intergraph Corporation (7a) ............................................ 100 1
International FiberCom, Inc. (7a) ...................................... 300 8
ISS Group, Inc. (7a) ................................................... 100 10
Manugistics Group, Inc. (7a) ........................................... 200 9
Medquist Inc. (7a) ..................................................... 73 2
Mentor Graphics
Corporation (7a) ..................................................... 400 8
</TABLE>
See accompanying notes which are an integral part of the financial statements.
96 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL Goldman Sachs Small Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Computer & Data Processing Services (continued)
Mercury Interactive
Corporation (7a) ..................................................... 400 $ 38
Micromuse Inc. (7a) .................................................... 200 32
Microstrategy Incorporated (7a) ........................................ 400 12
Midway Games Inc. (7a) ................................................. 500 4
National Processing, Inc. (7a) ......................................... 700 9
Open Market, Inc. (7a) ................................................. 200 3
Pegasus Solutions, Inc. (7a) ........................................... 150 2
Peregrine Systems, Inc. (7a) ........................................... 525 18
Phoenix Technologies Ltd. (7a) ......................................... 200 3
Progress Software Corporation (7a)...................................... 200 4
Proxicom, Inc. (7a) .................................................... 100 5
Radiant Systems, Inc. (7a) ............................................. 150 4
RadiSys Corporation (7a) ............................................... 150 9
Rare Medium Group, Inc. (7a) ........................................... 200 3
Razorfish Inc. - Class A (7a) .......................................... 200 3
Remedy Corporation (7a) ................................................ 100 6
S1 Corporation (7a) .................................................... 300 7
SAGA SYSTEMS, Inc. ..................................................... 200 2
SportsLine USA, Inc. (7a) .............................................. 100 2
Spyglass, Inc. (7a) .................................................... 100 3
Sybase, Inc. (7a) ...................................................... 400 9
Technology Solutions
Company (7a) ......................................................... 200 1
Titan Corporation (The) (7a) ........................................... 300 13
Unigraphics Solutions Inc. (7a) ........................................ 100 2
USINTERNETWORKING,
Inc. (7a) ............................................................ 150 3
Verity, Inc. (7a) ...................................................... 200 8
Wind River Systems, Inc. (7a) .......................................... 200 8
Computer & Office Equipment (2.75 %)
Advanced Digital Information
Corporation (7a) ..................................................... 500 8
Ancor Communications,
Incorporated (7a) .................................................... 100 4
Apex, Inc. (7a) ........................................................ 100 4
Auspex Systems, Inc. (7a) .............................................. 100 (7g)
Black Box Corporation (7a) ............................................. 100 8
Cybex Computer Products
Corporation (7a) ..................................................... 100 4
Emulex Corporation (7a) ................................................ 200 13
In Focus Corporation (7a) .............................................. 300 10
Iomega Corporation (7a) ................................................ 700 3
Kronos Incorporated (7a) ............................................... 100 3
MICROS Systems, Inc. (7a) .............................................. 100 2
MMC Networks, Inc. (7a) ................................................ 100 5
MTI Technology Corporation (7a)......................................... 200 2
National Computer Systems, Inc ......................................... 200 10
Network Equipment
Technologies, Inc. (7a) .............................................. 100 1
Proxim, Inc. (7a) ...................................................... 100 10
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Computer & Office Equipment (continued)
RSA Security, Inc. (7a) ................................................ 200 $ 14
SanDisk Corporation (7a) ............................................... 300 18
SCM Microsystems, Inc. (7a) ............................................ 100 6
Visual Networks, Inc. (7a) ............................................. 100 3
Xircom, Inc. (7a) ...................................................... 100 5
Construction (2.09 %)
D.R. Horton, Inc. ...................................................... 400 5
Del Webb Corporation (7a) .............................................. 300 5
Dycom Industries, Inc. (7a) ............................................ 250 12
EMCOR Group, Inc. (7a) ................................................. 300 7
Foster Wheeler Corporation ............................................. 400 3
Granite Construction
Incorporated ......................................................... 200 5
Kaufman and Broad Home
Corporation .......................................................... 300 6
M.D.C. Holdings, Inc. .................................................. 400 7
MasTec, Inc. (7a) ...................................................... 150 6
NVR, Inc. (7a) ......................................................... 200 11
Pulte Corporation ...................................................... 200 4
Quanta Services, Inc. (7a) ............................................. 350 19
Ryland Group, Inc. (The) ............................................... 300 7
Standard Pacific Corp. ................................................. 400 4
Educational Services (0.12 %)
Learning Tree
International, Inc. (7a) ............................................. 100 6
Electric Services (0.27 %)
El Paso Electric Company (7a) .......................................... 400 4
United Illuminating
Company (The) ........................................................ 200 9
Electric, Gas & Sanitary Services (1.30 %)
Avista Corporation ..................................................... 100 2
California Water Service Group ......................................... 300 7
Northwestern Corporation ............................................... 200 5
Public Service Company of
New Mexico ........................................................... 500 8
RGS Energy Group Inc. .................................................. 1,000 21
UGI Corporation ........................................................ 400 8
WPS Resources Corporation .............................................. 400 12
Electrical Goods (0.54 %)
Anicom, Inc. (7a) ...................................................... 200 1
Anixter International, Inc. (7a) ....................................... 400 11
Kent Electronics Corporation (7a)....................................... 200 6
Pioneer-Standard Electronics, Inc ...................................... 300 4
World Access, Inc. (7a) ................................................ 400 4
Electronic & Other Electric Equipment (1.32 %)
C&D Technologies, Inc. ................................................. 200 11
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 97
<PAGE>
Schedule of Investments
WRL Goldman Sachs Small Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Electronic & Other Electric Equipment (continued)
Electro Scientific
Industries, Inc. (7a) ................................................ 200 $ 9
Genlyte Group
Incorporated (The) (7a) .............................................. 300 6
Harman International Industries,
Incorporated ......................................................... 100 6
Littelfuse, Inc. (7a) .................................................. 200 10
LSI Industries Inc. .................................................... 200 3
Salton/Maxim
Housewares, Inc. (7a) ................................................ 200 7
Smith (A.O.) Corporation ............................................... 400 8
Zomax Optical Media, Inc. (7a) ......................................... 300 4
Electronic Components & Accessories (8.61 %)
Advanced Energy
Industries, Inc. (7a) ................................................ 100 6
Aeroflex Incorporated (7a) ............................................. 100 5
Alliance Semiconductor Corp. (7a)....................................... 300 7
Alpha Industries, Inc. (7a) ............................................ 200 9
Amkor Technology, Inc. (7a) ............................................ 500 18
Amphenol Corp. - Class A (7a) .......................................... 300 19
ANANDIGICS, Inc. (7a) .................................................. 200 7
Burr-Brown Corporation (7a) ............................................ 200 17
Cirrus Logic, Inc. (7a) ................................................ 400 6
CTS Corporation ........................................................ 100 5
Cypress Semiconductor
Corporation (7a) ..................................................... 600 24
Dallas Semiconductor Corporation........................................ 400 16
DSP Group, Inc. (7a) ................................................... 100 6
ESS Technology, Inc. (7a) .............................................. 200 3
Exar Corporation (7a) .................................................. 100 9
Integrated Device
Technology, Inc. (7a) ................................................ 400 23
International Rectifier
Corporation (7a) ..................................................... 400 21
Kemet Corporation (7a) ................................................. 600 15
Kopin Corporation (7a) ................................................. 100 7
Lattice Semiconductor
Corporation (7a) ..................................................... 200 14
Mercury Computer
Systems, Inc. (7a) ................................................... 200 6
Methode Electronics, Inc. - Class A..................................... 100 4
Micrel, Incorporated (7a) .............................................. 200 9
MRV Communications, Inc. (7a) .......................................... 400 26
NVIDIA Corporation (7a) ................................................ 200 13
Plexus Corp. (7a) ...................................................... 100 11
Power-One, Inc. (7a) ................................................... 150 17
Sanmina Corporation (7a) ............................................... 140 12
Semtech Corporation (7a) ............................................... 200 15
Sipex Corporation (7a) ................................................. 200 6
Transwitch Corporation (7a) ............................................ 300 22
Triquint Semiconductor, Inc. (7a) ...................................... 200 19
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Electronic Components & Accessories (continued)
Varian Semiconductor Equipment
Associates, Inc. (7a) ................................................ 200 $ 13
Vicor Corporation (7a) ................................................. 200 7
Engineering & Management Services (0.31 %)
Forrester Research, Inc. (7a) .......................................... 100 7
Tetra Tech, Inc. (7a) .................................................. 200 5
URS Corporation (7a) ................................................... 200 3
Fabricated Metal Products (0.74 %)
CompX International Inc. ............................................... 600 12
Harsco Corporation ..................................................... 300 8
Pitt-Des Moines, Inc. .................................................. 100 2
Tower Automotive, Inc. (7a) ............................................ 200 3
Valmont industries, Inc. ............................................... 300 6
Watts Industries, Inc. - Class A ....................................... 400 5
Food & Kindred Products (1.03 %)
Corn Products International, Inc........................................ 500 13
Earthgrains Company (The) .............................................. 400 8
Hain Celestial Group, Inc. (7a) ........................................ 200 7
J & J Snack Foods Corp. (7a) ........................................... 300 5
Pilgrim's Pride
Corporation - Class B ................................................ 400 3
Smucker J.M. Company (The) -
Class A .............................................................. 200 4
Suiza Foods Corporation (7a) ........................................... 200 10
Food Stores (0.31 %)
Grand Union Company (The) (7a).......................................... 400 (7g)
Great Atlantic & Pacific
Tea Co., Inc. ........................................................ 400 7
Whole Foods Market, Inc. (7a) .......................................... 200 8
Furniture & Fixtures (0.23 %)
Furniture Brands
International, Inc. (7a) ............................................. 300 5
La-Z-Boy Incorporated .................................................. 400 6
Furniture & Home Furnishings Stores (0.21 %)
Haverty Furniture
Companies, Inc. ...................................................... 400 3
Pier 1 Imports, Inc. ................................................... 700 7
Gas Production & Distribution (1.55 %)
Cascade Natural Gas Corporation ........................................ 400 7
Energen Corporation .................................................... 400 9
Equitable Resources, Inc. .............................................. 300 14
Laclede Gas Company .................................................... 400 8
Northwest Natural Gas Company .......................................... 300 7
NUI Corporation ........................................................ 200 5
</TABLE>
See accompanying notes which are an integral part of the financial statements.
98 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL Goldman Sachs Small Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Gas Production & Distribution (continued)
Piedmont Natural Gas
Company, Inc. ........................................................ 300 $ 8
South Jersey Industries, Inc. .......................................... 400 11
Western Gas Resources, Inc. ............................................ 300 6
Health Services (1.45 %)
AmeriPath, Inc. (7a) ................................................... 200 2
Apria Healthcare Group Inc. (7a)........................................ 400 5
Caremark Rx, Inc. (7a) ................................................. 900 6
Coventry Health Care, Inc. (7a) ........................................ 400 5
Enzo Biochem, Inc. (7a) ................................................ 100 7
Hooper Holmes, Inc. .................................................... 400 3
Pediatrix Medical Group, Inc. (7a)...................................... 600 7
Quest Diagnostics, Inc. (7a) ........................................... 400 29
StanCorp Financial Group, Inc. ......................................... 200 6
Holding & Other Investment Offices (4.07 %)
Alexandria Real Estate
Equities, Inc. ....................................................... 500 17
AMLI Residential Properties Trust....................................... 300 7
CBL & Associates Properties, Inc........................................ 700 17
EastGroup Properties, Inc. ............................................. 600 13
Entertainment Properties ............................................... 900 12
InterDigital Communications
Corporation (7a) ..................................................... 300 5
Macerich Company, (The) ................................................ 600 13
MGI Properties ......................................................... 1,400 3
Mid-America Apartment
Communities, Inc. .................................................... 600 14
Pacific Gulf Properties, Inc. .......................................... 700 18
Prime Group Realty Trust ............................................... 1,100 17
PS Business Parks, Inc. ............................................... 600 14
Regency Realty Corporation ............................................. 800 19
Sovran Self Storage, Inc. ............................................. 700 15
Summit Properties Inc. ................................................. 600 13
Hotels & Other Lodging Places (0.29 %)
Extended Stay America, Inc. (7a) ....................................... 400 4
Fairfield Communities, Inc. (7a) ....................................... 400 3
Trendwest Resorts, Inc. (7a) ........................................... 300 5
Wyndham International, Inc. -
Class A (7a) ......................................................... 700 2
Industrial Machinery & Equipment (3.78 %)
Agco Corporation ....................................................... 400 5
Applied Power Inc. - Class A ........................................... 300 10
Asyst Technologies, Inc. (7a) .......................................... 200 7
Brooks Automation, Inc. (7a) ........................................... 100 6
Detroit Diesel Corporation ............................................. 500 7
Electroglas, Inc. (7a) ................................................. 100 2
Helix Technology Corporation ........................................... 100 4
Kennametal Inc. ........................................................ 300 6
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Industrial Machinery & Equipment (continued)
Kulicke and Soffa
Industries, Inc. (7a) ................................................ 200 $ 12
Lam Research Corporation (7a) .......................................... 700 25
Manitowoc Company, Inc. (The) .......................................... 200 5
Mestek, Inc. (7a) ...................................................... 900 16
PRI Automation, Inc. (7a) .............................................. 100 7
Roper Industries, Inc. ................................................. 100 3
Silicon Valley Group, Inc. (7a) ........................................ 400 10
Stewart & Stevenson Services, Inc....................................... 1,000 15
Timken Company (The) ................................................... 500 9
Toro Company (The) ..................................................... 300 10
Varco International, Inc. (7a) ......................................... 285 7
Varian Medical Systems, Inc. (7a) ...................................... 200 8
Zebra Technologies
Corporation - Class A (7a) ........................................... 200 9
Instruments & Related Products (3.39 %)
Cognex Corporation (7a) ................................................ 200 10
Coherent, Inc. (7a) .................................................... 100 8
Cohu, Inc. ............................................................. 100 3
Cooper Companies, Inc. (The) ........................................... 200 7
Credence Systems
Corporation (7a) ..................................................... 300 17
Cymer, Inc. (7a) ....................................................... 200 10
Cytyc Corporation (7a) ................................................. 200 11
LTX Corporation (7a) ................................................... 300 10
PE Corporation - Celera
Genomics Group (7a) .................................................. 300 27
PerkinElmer, Inc. ...................................................... 300 20
Pinnacle Systems, Inc. (7a) ............................................ 200 4
Primex Technologies, Inc. .............................................. 400 9
Sola International Inc. (7a) ........................................... 400 2
Tektronix, Inc. ........................................................ 300 21
Trimble Navigation Limited (7a) ........................................ 100 5
Insurance (1.80 %)
Alfa Corporation ....................................................... 200 4
Argonaut Group, Inc. ................................................... 200 3
Fidelity National Financial, Inc ....................................... 500 9
First American
Corporation (The) .................................................... 400 6
LandAmerica Financial
Group, Inc. .......................................................... 300 7
Leucadia National Corporation .......................................... 300 7
Midland Company, (The) ................................................. 300 7
Professionals Group, Inc. (7a) ......................................... 200 5
Radian Group, Inc. ..................................................... 400 20
RLI Corporation ........................................................ 200 7
Triad Guaranty Inc. (7a) ............................................... 200 5
Triad Hospitals, Inc. (7a) ............................................. 300 7
Insurance Agents, Brokers & Service (0.45 %)
Baldwin & Lyons, Inc. - Class B ........................................ 400 7
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 99
<PAGE>
Schedule of Investments
WRL Goldman Sachs Small Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Insurance Agents, Brokers & Service (continued)
First Health Group Corp. (7a) .......................................... 200 $ 7
Gallagher (Arthur J.) & Co. ............................................ 200 8
Iron & Steel Foundries (0.29 %)
Precision Castparts Corp. .............................................. 300 14
Leather & Leather Products (0.35 %)
Brown Shoe Company, Inc. .............................................. 300 4
Cole (Kenneth)
Productions, Inc. - Class A (7a) ..................................... 150 6
Timberland Company (The) -
Class A (7a) ......................................................... 100 7
Life Insurance (0.50 %)
Mony Group Inc. (The) .................................................. 500 17
National Western Life Insurance
Company - Class A (7a) ............................................... 100 7
Lumber & Wood Products (0.29 %)
Oakwood Homes Corporation .............................................. 600 1
Rayonier, Inc. ......................................................... 200 7
Universal Forest Products, Inc. ........................................ 400 6
Machinery, Equipment & Supplies (0.81 %)
Applied Industrial
Technologies, Inc. ................................................... 600 10
JLK Direct Distribution Inc. -
Class A (7a) ......................................................... 900 5
Kaman Corporation - Class A ............................................ 500 5
MSC Industrial Direct Co., Inc. -
Class A (7a) ......................................................... 300 6
National-Oilwell, Inc. (7a) ............................................ 400 13
Management Services (0.23 %)
AnswerThink, Inc. (7a) ................................................. 100 2
Diamond Technology Partners
Incorporated (7a) .................................................... 100 9
Manufacturing Industries (0.47 %)
Brady Corporation - Class A ............................................ 200 7
Callaway Golf Company .................................................. 300 5
Jakks Pacific, Inc. (7a) ............................................... 200 3
WMS Industries, Inc. (7a) .............................................. 500 8
Medical Instruments & Supplies (1.14 %)
Bacou USA, Inc. (7a) ................................................... 200 4
Conmed Corporation (7a) ................................................ 200 5
Datascope Corp. ........................................................ 200 7
Haemonetics Corporation (7a) ........................................... 200 4
Mentor Corporation ..................................................... 300 8
ResMed Inc. (7a) ....................................................... 200 5
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Medical Instruments & Supplies (continued)
Respironics, Inc. (7a) ................................................. 500 $ 9
Summit Technology, Inc. (7a) ........................................... 300 6
Ventana Medical System, Inc. (7a) ...................................... 100 2
Vital Signs, Inc. ...................................................... 300 5
Metal Mining (0.17 %)
Battle Mountain Gold
Company (7a) ......................................................... 900 2
Stillwater Mining Company (7a) ......................................... 200 6
Mining (0.41 %)
AMCOL International
Corporation .......................................................... 300 5
Arch Coal, Inc. ........................................................ 400 3
Consol Energy Inc. ..................................................... 500 8
USEC Inc. .............................................................. 800 4
Mortgage Bankers and Brokers (0.08 %)
New Century Financial
Corporation (7a) ..................................................... 500 4
Motion Pictures (0.31 %)
Hollywood Entertainment
Corporation (7a) ..................................................... 200 2
Macrovision Corporation (7a) ........................................... 200 13
Oil & Gas Extraction (2.66 %)
Brown (Tom), Inc. (7a) ................................................. 600 14
Cross Timbers Oil Company .............................................. 400 9
Forest Oil Corporation (7a) ............................................ 300 5
Helmerich & Payne, Inc. ................................................ 500 19
Marine Drilling
Companies, Inc. (7a) ................................................. 300 8
Mitchell Energy & Development
Corp. - Class A ...................................................... 200 6
Parker Drilling Company (7a) ........................................... 900 6
Patterson Energy, Inc. (7a) ............................................ 300 9
Pioneer Natural Resources
Company (7a) ......................................................... 500 6
Pogo Producing Company ................................................. 300 7
Pride International, Inc. (7a) ......................................... 600 15
UTI Energy Corp. (7a) .................................................. 200 8
Veritas DGC, Inc. (7a) ................................................. 300 8
Vintage Petroleum, Inc. ................................................ 400 9
Paper & Allied Products (0.52 %)
Buckeye Technologies Inc. (7a) ......................................... 300 7
Chesapeake Corporation ................................................. 300 9
Republic Group Incorporated ............................................ 300 3
Schweitzer-Mauduit
International, Inc. .................................................. 500 6
</TABLE>
See accompanying notes which are an integral part of the financial statements.
100 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL Goldman Sachs Small Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Paper & Paper Products (0.37 %)
Daisytek International
Corporation (7a) ..................................................... 200 $ 2
School Specialty, Inc. (7a) ............................................ 300 6
United Stationers Inc. (7a) ............................................ 300 10
Personal Credit Institutions (0.41 %)
Advanta Corp. - Class A ................................................ 400 5
Metris Companies Inc. .................................................. 600 15
Petroleum Refining (0.47 %)
Pennzoil-Quaker State Company .......................................... 800 10
Valero Energy Corporation .............................................. 400 13
Pharmaceuticals (6.73 %)
Abgenix, Inc. (7a) ..................................................... 100 12
Albany Molecular
Research, Inc. (7a) .................................................. 100 5
Alkermes, Inc. (7a) .................................................... 200 9
Alpharma Inc. - Class A ................................................ 300 19
AmeriSource Health Corporation -
Class A (7a) ......................................................... 300 9
Barr Laboratories, Inc. (7a) ........................................... 300 13
Bindley Western Industries, Inc. ....................................... 466 12
Bio-Technology General Corp. (7a)....................................... 200 3
Cephalon, Inc. (7a) .................................................... 200 12
COR Therapeutics, Inc. (7a) ............................................ 100 9
Dura Pharmaceuticals, Inc. (7a) ........................................ 300 4
Gilead Sciences, Inc. (7a) ............................................. 200 14
Herbalife International, Inc. -
Class A .............................................................. 300 3
Human Genome
Sciences, Inc. (7a) .................................................. 200 26
IDEC Pharmaceuticals
Corporation (7a) ..................................................... 200 22
ImClone Systems
Incorporated (7a) .................................................... 100 8
Jones Pharma Inc. ...................................................... 375 15
King Pharmaceuticals, Inc. (7a) ........................................ 251 11
Medicis Pharmaceutical
Corporation - Class A (7a) ........................................... 200 11
Millennium
Pharmaceuticals, Inc. (7a) ........................................... 400 44
Nature's Sunshine Products, Inc. ....................................... 500 4
NBTY, Inc. (7a) ........................................................ 600 4
Perrigo Company (7a) ................................................... 900 6
Priority Healthcare
Corporation - Class B (7a) ........................................... 100 7
Protein Design Labs, Inc. (7a) ......................................... 100 16
Techne Corporation (7a) ................................................ 100 13
Vertex Pharmaceuticals
Incorporated (7a) .................................................... 100 11
Vical Incorporated (7a) ................................................ 200 4
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Primary Metal Industries (1.18 %)
Andrew Corporation (7a) ................................................ 400 $ 13
Belden Inc. ............................................................ 200 5
Cable Design Technologies
Corporation (7a) ..................................................... 300 10
Lone Star Technologies, Inc. (7a) ...................................... 100 5
Mueller Industries, Inc. (7a) .......................................... 300 8
Quanex Corporation ..................................................... 300 4
Texas Industries, Inc. ................................................. 200 6
Tyler Technologies, Inc. (7a) .......................................... 100 (7g)
Worthington Industries, Inc. ........................................... 600 6
Printing & Publishing (1.03 %)
CSS Industries Inc. (7a) ............................................... 200 4
Harland (John H.) Company .............................................. 400 6
Paxar Corporation (7a) ................................................. 500 6
Pulitzer Inc. .......................................................... 200 8
Scholastic Corporation (7a) ............................................ 200 12
Standard Register Company (The)......................................... 300 4
Topps Company, Inc. (The) (7a) ......................................... 600 7
Ziff-Davis Inc. - ZDNet (7a) ........................................... 100 1
Ziff-Davis Inc. (7a) ................................................... 200 2
Radio & Television Broadcasting (1.09 %)
Citadel Communications
Corporation (7a) ..................................................... 200 7
Emmis Communications
Corporation - Class A (7a) ........................................... 400 17
Entercom Communications
Corp. (7a) ........................................................... 300 15
Gray Communications
Systems, Inc. ........................................................ 400 4
Pegasus Communications
Corporation (7a) ..................................................... 200 10
Radio, Television, & Computer Stores (0.19 %)
barnesandnoble.com inc. (7a) ........................................... 200 1
InterTAN, Inc. (7a) .................................................... 400 5
Tweeter Home Entertainment
Group, Inc. (7a) ..................................................... 100 3
Railroads (0.14 %)
Wisconsin Central Transportation
Corporation (7a) ..................................................... 500 7
Real Estate (0.93 %)
Golf Trust of America, Inc. ............................................ 500 8
Insignia Financial Group, Inc. (7a)..................................... 500 5
LNR Property Corporation ............................................... 200 4
Parkway Properties, Inc. ............................................... 400 12
Shurgard Storage
Centers, Inc. - Class A .............................................. 700 16
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 101
<PAGE>
Schedule of Investments
WRL Goldman Sachs Small Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Research & Testing Services (1.71 %)
Affymetrix, Inc. (7a) .................................................. 100 $ 17
Celgene Corporation (7a) ............................................... 300 18
Covance Inc. (7a) ...................................................... 200 2
Cree, Inc. (7a) ........................................................ 200 26
Incyte Genomics, Inc. (7a) ............................................. 200 16
Profit Recovery Group
International, Inc. (7a) ............................................. 250 4
Residential Building Construction (0.17 %)
Lennar Corporation ..................................................... 400 8
Restaurants (1.16 %)
Buffets, Inc. (7a) ..................................................... 300 4
CEC Entertainment Inc. (7a) ............................................ 300 8
Jack In The Box Inc. (7a) .............................................. 400 10
Landry's Seafood Restaurants, Inc....................................... 500 4
Lone Star Industries, Inc. ............................................. 600 6
Papa John's
International, Inc. (7a) ............................................. 300 7
Rare Hospitality
International, Inc. (7a) ............................................. 200 6
Ruby Tuesday, Inc. ..................................................... 600 8
Ryan's Family Steak
Houses, Inc. (7a) .................................................... 400 3
Retail Trade (0.91 %)
Borders Group, Inc. (7a) ............................................... 400 6
Michaels Stores, Inc. (7a) ............................................. 300 14
OfficeMax, Inc. (7a) ................................................... 800 4
Petco Animal Supplies, Inc. (7a) ....................................... 400 8
PETsMART, Inc. (7a) .................................................... 400 1
Spiegel, Inc. - Class A ................................................ 500 4
Systemax Inc. (7a) ..................................................... 500 2
Whitehall Jewelers, Inc. (7a) .......................................... 250 5
Rubber & Misc. Plastic Products (0.50 %)
AptarGroup, Inc. ....................................................... 300 8
Bandag, Incorporated ................................................... 300 7
SVI Holdings, Inc. (7a) ................................................ 200 1
Tredegar Corporation ................................................... 200 4
West Pharmaceutical Services, Inc....................................... 200 4
Savings Institutions (1.92 %)
Bay View Capital Corporation ........................................... 600 6
Capitol Federal Financial .............................................. 700 8
Dime Community Bancshares, Inc.......................................... 300 5
Downey Financial Corp. ................................................. 900 25
First Washington Bancorp Inc. .......................................... 300 4
Great Southern Bancorp, Inc. ........................................... 400 7
Hudson River Bancorp, Inc. ............................................. 800 10
MAF Bancorp, Inc. ...................................................... 300 5
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Savings Institutions (continued)
Net.B@nk, Inc. (7a) .................................................... 200 $ 2
Republic Security Financial
Corporation .......................................................... 300 2
Richmond County Financial Corp.......................................... 300 6
Staten Island Bancorp, Inc. ............................................ 600 11
United Community
Financial Corp. ...................................................... 300 2
Security & Commodity Brokers (1.42 %)
Affiliated Managers
Group, Inc. (7a) ..................................................... 300 14
AmeriCredit Corp. (7a) ................................................. 500 9
Data Broadcasting
Corporation (7a) ..................................................... 200 1
Jefferies Group, Inc. .................................................. 200 4
John Nuveen Company (The) -
Class A .............................................................. 400 17
National Discount Brokers (7a) ......................................... 200 6
Raymond James Financial, Inc. .......................................... 500 11
Southwest Securities Group, Inc. ....................................... 200 7
Shoe Stores (0.23 %)
Finish Line, Inc. (The) -
Class A (7a) ......................................................... 600 5
Genesco Inc. (7a) ...................................................... 400 6
Stone, Clay & Glass Products (0.10 %)
Centex Construction
Products, Inc. ...................................................... 200 5
Telecommunications (1.98 %)
CT Communications, Inc. ................................................ 200 6
E.Spire
Communications Inc. (7a) ............................................. 300 2
ICG Communications, Inc. (7a) .......................................... 200 4
Intermedia
Communications Inc. (7a) ............................................. 300 9
ITC Deltacom, Inc. (7a) ................................................ 200 4
Leap Wireless
International, Inc. (7a) ............................................. 200 9
MGC Communications, Inc. (7a) .......................................... 100 6
NEXTLINK Communications, Inc. -
Class A (7a) ......................................................... 386 15
North Pittsburgh Systems, Inc .......................................... 300 4
Powertel, Inc. (7a) .................................................... 200 14
Primus Telecommunications
Group, Inc. (7a) ..................................................... 200 5
Talk.Com, Inc. (7a) .................................................... 200 1
US LEC Corp. - Class A (7a) ............................................ 200 3
VoiceStream Wireless
Corporation (7a) ..................................................... 121 14
</TABLE>
See accompanying notes which are an integral part of the financial statements.
102 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL Goldman Sachs Small Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Textile Mill Products (0.25 %)
Collins & Aikman
Corporation (7a) ..................................................... 400 $ 2
Springs Industries, Inc. - Class A ..................................... 300 10
Transportation & Public Utilities (0.25 %)
C.H. Robinson Worldwide, Inc. .......................................... 200 10
Travelocity.com Inc. (7a) .............................................. 100 2
Transportation Equipment (0.39 %)
Arctic Cat, Inc. ....................................................... 500 6
Trinity Industries, Inc. ............................................... 700 13
Trucking & Warehousing (0.70 %)
American Freightways
Corporation (7a) ..................................................... 600 9
Covenant Transport, Inc. -
Class A (7a) ......................................................... 300 2
Roadway Express, Inc. .................................................. 300 7
USFreightways Corporation .............................................. 300 7
Yellow Corporation (7a) ................................................ 600 9
Variety Stores (0.23 %)
Cost Plus, Inc. (7a) ................................................... 200 6
ShopKo Stores, Inc. (7a) ............................................... 300 5
Water Transportation (0.27 %)
Alexander & Baldwin, Inc. .............................................. 300 7
SEACOR SMIT, Inc. (7a) ................................................. 150 6
Wholesale Trade Durable Goods (0.76 %)
Commercial Metals Company .............................................. 300 8
Compucom Systems, Inc. (7a) ............................................ 400 1
Globix Corporation (7a) ................................................ 100 3
Handleman Company (7a) ................................................. 500 6
Merisel, Inc. (7a) ..................................................... 200 (7g)
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Wholesale Trade Durable Goods (continued)
Patterson Dental Company (7a) .......................................... 200 $ 10
PSS World Medical, Inc. (7a) ........................................... 300 2
Reliance Steel & Aluminum Co. .......................................... 350 7
Wholesale Trade Nondurable Goods (0.39 %)
Central Garden & Pet
Company (7a) ......................................................... 400 4
Fleming Companies, Inc. ................................................ 500 7
Universal Corporation .................................................. 400 8
----------
Total Common Stocks
(cost: $ 4,290)..................................................................... 4,677
----------
</TABLE>
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
SHORT-TERM OBLIGATIONS (2.19 %)
Investors Bank & Trust
Company (7e)
6.03 %, Repurchase Agreement
dated 06/30/2000 to be
repurchased at $ 106 on
07/03/2000. .......................................................... $ 106 $ 106
----------
Total Short-Term Obligations
(cost: $ 106)....................................................................... 106
----------
Total Investment Securities
(cost: $ 4,396)..................................................................... $ 4,783
==========
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C>
SUMMARY
Investments, at market value ........................................... 98.76% $ 4,783
Other assets in
excess of liabilities ................................................ 1.24% 60
--------- ----------
Net assets ............................................................. 100.00% $ 4,843
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 103
<PAGE>
Schedule of Investments
WRL T. Rowe Price Dividend Growth
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (96.24 %)
Aerospace (0.97 %)
United Technologies Corporation......................................... 2,100 $ 124
Amusement & Recreation Services (1.25 %)
Disney (Walt) Company (The) ............................................ 3,300 128
MGM Grand, Inc. - Private
Placement (7a) ....................................................... 1,050 32
Beverages (1.67 %)
PepsiCo, Inc. .......................................................... 4,790 213
Business Services (2.76 %)
Equifax Inc. ........................................................... 1,800 47
Omnicom Group, Inc. .................................................... 1,700 151
Viad Corp. ............................................................. 5,700 155
Chemicals & Allied Products (2.91 %)
Colgate-Palmolive Company .............................................. 1,300 78
Du Pont (E.I.) de Nemours
and Company .......................................................... 600 26
Great Lakes Chemical ................................................... 2,200 69
Pharmacia Corporation .................................................. 2,775 143
Valspar Corporation (The) .............................................. 1,640 55
Commercial Banks (7.91 %)
Bank of America Corporation ............................................ 960 41
Bank of New York
Company, Inc. (The) .................................................. 4,800 223
Citigroup Inc. ......................................................... 5,300 319
Firstar Corporation .................................................... 5,300 112
Mellon Financial Corporation ........................................... 5,480 200
Wells Fargo & Co. ...................................................... 2,990 116
Communication (0.73 %)
Comcast Corporation -
Class A (7a) ......................................................... 2,300 93
Communications Equipment (1.88 %)
Nokia Oyj - ADR ........................................................ 1,800 90
Nortel Networks Corporation ............................................ 2,200 150
Computer & Data Processing Services (4.58 %)
America Online, Inc. (7a) .............................................. 1,600 84
Automatic Data Processing, Inc. ........................................ 2,500 134
BMC Software, Inc. (7a) ................................................ 2,300 84
Computer Associates
International, Inc. .................................................. 1,000 51
Galileo International, Inc. ............................................ 3,000 63
Microsoft Corporation (7a) ............................................. 1,800 144
Oracle Corporation (7a) ................................................ 300 25
Computer & Office Equipment (3.31 %)
Cisco Systems, Inc. (7a) ............................................... 1,300 83
Compaq Computer Corporation ............................................ 900 23
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Computer & Office Equipment (continued)
Dell Computer Corporation (7a) ......................................... 2,100 $ 104
Hewlett-Packard Company ................................................ 1,700 212
Drug Stores & Proprietary Stores (0.88 %)
CVS Corporation ........................................................ 2,800 112
Electric Services (0.94 %)
TECO Energy, Inc. ...................................................... 6,000 120
Electronic & Other Electric Equipment (1.31 %)
General Electric Company ............................................... 3,150 167
Electronic Components & Accessories (0.96 %)
JDS Uniphase Corporation (7a) .......................................... 100 12
Linear Technology Corporation .......................................... 1,100 70
Texas Instruments Incorporated ......................................... 600 41
Fabricated Metal Products (0.98 %)
Gillette Company (The) ................................................. 1,400 49
Masco Corporation ...................................................... 4,200 76
Food & Kindred Products (3.62 %)
General Mills, Inc. .................................................... 3,200 122
McCormick & Company,
Incorporated ......................................................... 3,700 120
Philip Morris Companies Inc. ........................................... 4,600 122
Quaker Oats Company (The) .............................................. 1,300 98
Food Stores (0.22 %)
Albertson's, Incorporated .............................................. 853 28
Holding & Other Investment Offices (7.17 %)
Archstone Communities Trust ............................................ 5,800 122
Cousins Properties, Inc. ............................................... 3,660 141
Duke-Weeks Realty Corporation .......................................... 6,341 142
Reckson Associates Realty Corp. ........................................ 6,720 160
Starwood Hotels & Resorts
Worldwide, Inc. ...................................................... 6,200 202
Vornado Realty Trust ................................................... 4,300 149
Industrial Machinery & Equipment (3.90 %)
Baker Hughes, Inc. ..................................................... 3,200 102
Black & Decker
Corporation (The) .................................................... 3,600 142
Pall Corporation ....................................................... 4,500 83
Tyco International Ltd. ................................................ 3,600 171
Instruments & Related Products (1.06 %)
Agilent Technologies, Inc. (7a) ........................................ 686 51
Analogic Corporation ................................................... 1,780 71
PE Corporation -
PE Biosystems Group .................................................. 200 13
</TABLE>
See accompanying notes which are an integral part of the financial statements.
104 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL T. Rowe Price Dividend Growth (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Insurance (4.41 %)
ACE Limited ............................................................ 5,800 $ 162
Cigna Corporation ...................................................... 1,800 168
XL Capital Ltd. - Class A .............................................. 4,300 233
Insurance Agents, Brokers & Service (0.71 %)
Marsh & McLennan
Companies, Inc. ...................................................... 870 91
Life Insurance (0.91 %)
American General Corporation ........................................... 1,900 116
Lumber & Other Building Materials (0.78 %)
Lowe's Companies, Inc. ................................................. 2,400 99
Management Services (0.75 %)
ServiceMaster Company (The) ............................................ 8,400 96
Manufacturing Industries (1.03 %)
Hasbro Inc. ............................................................ 4,950 75
Tomkins PLC ............................................................ 17,500 57
Medical Instruments & Supplies (0.96 %)
Teleflex Incorporated .................................................. 3,400 122
Metal Mining (0.58 %)
Newmont Mining Corporation ............................................. 3,400 74
Paper & Allied Products (1.03 %)
Kimberly-Clark Corporation ............................................. 2,300 132
Personal Credit Institutions (0.46 %)
Associates First Capital
Corporation - Class A ................................................ 2,640 59
Petroleum Refining (7.61 %)
Amerada Hess Corporation ............................................... 1,830 113
BP Amoco PLC - ADR ..................................................... 3,700 209
Chevron Corporation .................................................... 1,880 159
Exxon Mobil Corporation ................................................ 3,408 268
Royal Dutch Petroleum Company -
NY Registered Shares ................................................. 3,600 222
Pharmaceuticals (9.44 %)
Abbott Laboratories .................................................... 2,700 120
American Home Products
Corporation .......................................................... 4,000 235
Bristol-Myers Squibb Co. ............................................... 1,900 111
Johnson & Johnson ...................................................... 300 31
Merck & Co., Inc. ...................................................... 1,300 100
Pfizer Incorporated .................................................... 9,740 467
Schering-Plough Corporation ............................................ 2,800 141
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Printing & Publishing (0.47 %)
Tribune Company ........................................................ 1,700 $ 60
Radio, Television, & Computer Stores (0.13 %)
Circuit City Stores -
Circuit City Group ................................................... 500 17
Real Estate (2.14 %)
Arden Realty, Inc. ..................................................... 3,200 75
ProLogis Trust ......................................................... 9,300 198
Rubber & Misc. Plastic Products (0.38 %)
NIKE, Inc. - Class B ................................................... 1,200 48
Security & Commodity Brokers (2.33 %)
Waddell & Reed Financial, Inc. -
Class B .............................................................. 10,210 297
Telecommunications (6.62 %)
ALLTEL Corporation ..................................................... 1,900 118
GTE Corporation ........................................................ 3,400 212
MediaOne Group Inc. (7a) ............................................... 1,600 106
SBC Communications Inc. ................................................ 2,700 117
Sprint Corporation (FON Group) ......................................... 1,020 52
Vodafone Airtouch PLC - ADR ............................................ 2,700 112
WorldCom, Inc. (7a) .................................................... 2,800 128
Transportation & Public Utilities (0.70 %)
C.H. Robinson Worldwide, Inc. .......................................... 1,800 89
Trucking & Warehousing (0.27 %)
United Parcel Service, Inc. -
Class B .............................................................. 600 35
U.S. Government Agencies (2.82 %)
Fannie Mae ............................................................. 3,100 162
Freddie Mac ............................................................ 4,900 198
Variety Stores (2.70 %)
Family Dollar Stores, Inc. ............................................. 10,230 200
Target Corporation ..................................................... 2,500 145
--------- ----------
Total Common Stocks
(cost: $ 11,637).................................................................... 12,287
----------
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 105
<PAGE>
Schedule of Investments
WRL T. Rowe Price Dividend Growth (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
COMMERCIAL PAPER (1.36 %)
Yale University
6.55 %, due 07/24/2000 ............................................... $ 175 $ 174
----------
Total Commercial Paper
(cost: $ 174)....................................................................... 174
----------
Total Investment Securities
(cost: $ 11,811).................................................................... $ 12,461
==========
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C>
SUMMARY
Investments, at market value ........................................... 97.60% $ 12,461
Other assets in
excess of liabilities ................................................ 2.40% 306
--------- ----------
Net assets ............................................................. 100.00% $ 12,767
========= ==========
</TABLE>
<TABLE>
<CAPTION>
Market
Percentage Value
---------- ----------
<S> <C> <C>
INVESTMENTS BY COUNTRY:
United Kingdom ......................................................... 0.46% $ 57
United States .......................................................... 99.54% 12,404
------ --------
Investments, at market value .......................................... 100.00% $ 12,461
====== ========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
106 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL T. Rowe Price Small Cap
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (96.60 %)
Aerospace (0.09 %)
Triumph Group, Inc. (7a) ............................................... 800 $ 22
Air Transportation (0.18 %)
Alaska Air Group, Inc. (7a) ............................................ 100 3
Mesaba Holdings, Inc. (7a) ............................................. 3,000 29
SkyWest, Inc. .......................................................... 300 11
Amusement & Recreation Services (0.53 %)
International Speedway
Corporation - Class A ................................................ 1,500 62
Premier Parks Inc. (7a) ................................................ 1,600 36
Westwood One, Inc. (7a) ................................................ 800 27
Apparel & Accessory Stores (1.23 %)
AnnTaylor, Inc. (7a) ................................................... 1,700 56
Men's Wearhouse, Inc. (The) (7a)........................................ 3,900 87
Pacific Sunwear of
California, Inc. (7a) ................................................ 1,875 35
Ross Stores, Inc. ...................................................... 3,300 56
Talbots, Inc. (The) .................................................... 1,000 55
Apparel Products (0.40 %)
Quiksilver, Inc. (7a) .................................................. 6,100 95
Auto Repair, Services & Parking (0.21 %)
Avis Group Holdings, Inc. (7a) ......................................... 2,600 49
Automotive (0.25 %)
Gentex Corporation (7a) ................................................ 2,400 60
Automotive Dealers & Service Stations (0.39 %)
Group 1 Automotive, Inc. (7a) .......................................... 3,300 40
O'Reilly Automotive, Inc. (7a) ......................................... 3,800 53
Business Credit Institutions (0.12 %)
Heller Financial, Inc. ................................................. 1,400 29
Business Services (2.87 %)
24/7 Media, Inc. (7a) .................................................. 500 8
Akamai Technologies,
Inc. (7a) (7b) ....................................................... 238 28
Catalina Marketing
Corporation (7a) ..................................................... 600 61
ChoicePoint Inc. (7a) .................................................. 1,200 53
F.Y.I. Incorporated (7a) ............................................... 2,100 71
Fair, Isaac and Company,
Incorporated ......................................................... 800 35
Getty Images, Inc. (7a) ................................................ 1,800 67
GoTo.com, Inc. (7a) .................................................... 1,500 23
infoUSA Inc. (7a) ...................................................... 400 3
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Business Services (continued)
Interim Services Inc. (7a) ............................................. 400 $ 7
kforce.com, Inc. (7a) .................................................. 1,600 11
L90, Inc. (7a) ......................................................... 1,300 14
Lamar Advertising Company (7a) ......................................... 800 35
Media Metrix, Inc. (7a) (7b) ........................................... 1,000 25
Modis Professional
Services Inc. (7a) ................................................... 4,300 33
National Data Corporation .............................................. 900 21
NCO Group, Inc. (7a) ................................................... 2,100 49
NOVA Corporation (7a) .................................................. 1,800 50
Professional Staff PLC - ADR (7a) ...................................... 2,200 10
Rent-Way, Inc. (7a) .................................................... 1,200 35
Valassis Communications, Inc. (7a)...................................... 1,000 38
Chemicals & Allied Products (1.55 %)
ATMI, Inc. (7a) ........................................................ 3,100 144
Cabot Corporation ...................................................... 2,200 60
Cambrex Corporation .................................................... 1,600 72
OM Group, Inc. ......................................................... 1,200 53
Smith International, Inc. (7a) ......................................... 500 36
Commercial Banks (1.54 %)
City National Corporation .............................................. 1,800 63
Commerce Bancorp, Inc. ................................................. 1,992 92
Community First Bankshares, Inc. ....................................... 4,200 69
National Commerce
Bancorporation ....................................................... 3,100 50
Southwest Bancorporation
of Texas, Inc. (7a) .................................................. 2,600 54
Sterling Bancshares, Inc. .............................................. 3,200 35
Communication (1.62 %)
American Tower
Corporation - Class A (7a) ........................................... 800 33
CapRock
Communications Corp. (7a) ............................................ 2,400 47
Crown Castle
International Corp. (7a) ............................................. 1,150 42
Insight Communications
Company, Inc. (7a) ................................................... 2,500 39
LodgeNet Entertainment
Corporation (7a) ..................................................... 1,900 46
Northeast Optic Network, Inc. (7a)...................................... 2,700 165
YouthStream Media
Networks, Inc. (7a) .................................................. 1,900 11
Communications Equipment (6.66 %)
Adaptive Broadband
Corporation (7a) ..................................................... 800 29
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 107
<PAGE>
Schedule of Investments
WRL T. Rowe Price Small Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Communications Equipment (continued)
Advanced Fibre
Communications, Inc. (7a) ............................................ 1,200 $ 54
AudioCodes Ltd. (7a) ................................................... 700 84
Carrier Access
Corporation (7a) (7b) ................................................ 1,200 63
C-COR.net Corp. (7a) ................................................... 1,700 46
Checkpoint Systems, Inc. (7a) .......................................... 400 3
CommScope, Inc. (7a) ................................................... 1,800 74
Comverse Technology, Inc. (7a) ......................................... 600 56
Gilat Satellite Networks (7a) .......................................... 800 56
Harmonic Lightwaves, Inc. (7a) ......................................... 4,434 110
Inter-Tel, Incorporated ................................................ 3,800 61
Intervoice, Inc. (7a) .................................................. 4,000 26
L-3 Communications
Holdings, Inc. (7a) .................................................. 2,200 126
Natural MicroSystems
Corporation (7a) ..................................................... 1,300 146
Nortel Networks Corporation ............................................ 780 53
Osicom Technologies, Inc. (7a) ......................................... 600 51
Plantronics, Inc. (7a) ................................................. 1,200 139
Polycom, Inc. (7a) ..................................................... 1,800 168
Powerwave Technologies, Inc. (7a)....................................... 2,700 119
SeaChange International, Inc. (7a)...................................... 500 14
Spectrian Corporation (7a) ............................................. 2,900 48
Vari-L Company, Inc. (7a) .............................................. 800 9
ViaSat, Inc. (7a) ...................................................... 600 33
Computer & Data Processing Services (13.50 %)
Actuate Corporation (7a) ............................................... 2,900 154
Advent Software, Inc. (7a) ............................................. 900 58
Affiliated Computer Services, Inc. -
Class A (7a) ......................................................... 1,300 43
Allaire Corporation (7a) ............................................... 2,900 107
American Management
Systems, Inc. (7a) ................................................... 1,100 36
Aspen Technology, Inc. (7a) ............................................ 1,100 42
AVT Corporation (7a) ................................................... 1,500 11
BackWeb Technologies Ltd. (7a) ......................................... 1,900 43
BISYS Group, Inc. (The) (7a) ........................................... 700 43
Brio Technology, Inc. (7a) ............................................. 1,200 25
CIBER, Inc. (7a) ....................................................... 700 9
Cobalt Group Inc. (The) (7a) ........................................... 500 3
Cognizant Technology
Solutions Corp. (7a) ................................................. 700 23
Com21, Inc. (7a) ....................................................... 2,500 63
Concord
Communications, Inc. (7a) (7b)........................................ 1,200 48
CyberSource Corporation (7a) ........................................... 3,800 52
Dendrite International, Inc. (7a) ...................................... 1,500 50
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Computer & Data Processing Services (continued)
Digital River, Inc. (7a) ............................................... 700 $ 5
Echelon Corporation (7a) ............................................... 100 6
Electronic Arts Inc. (7a) .............................................. 400 29
eLoyalty Corporation (7a) .............................................. 2,900 37
Exchange Applications, Inc. (7a)........................................ 1,100 29
F5 Networks, Inc. (7a) ................................................. 100 5
FactSet Research Systems Inc. .......................................... 3,000 85
Firepond, Inc. (7a) .................................................... 1,600 58
Go2Net, Inc. (7a) ...................................................... 1,000 50
Henry, (Jack) & Associates, Inc. ....................................... 1,800 90
Hyperion Solutions
Corporation (7a) ..................................................... 2,300 75
iGATE Capital Corporation (7a) ......................................... 400 6
Informix Corp. (7a) .................................................... 950 7
ISS Group, Inc. (7a) ................................................... 1,100 109
Keane, Inc. (7a) ....................................................... 3,000 65
Liberate Technologies (7a) ............................................. 1,000 29
Loislaw.com, Inc. (7a) ................................................. 1,100 9
Macromedia, Inc. (7a) .................................................. 1,300 126
Manugistics Group, Inc. (7a) ........................................... 1,300 61
Medquist Inc. (7a) ..................................................... 769 26
Mercator Software, Inc. (7a) ........................................... 1,100 76
Mercury Interactive
Corporation (7a) ..................................................... 1,700 163
Micromuse Inc. (7a) .................................................... 1,000 164
MyPoints.com, Inc. (7a) ................................................ 200 4
NetIQ Corporation (7a) ................................................. 682 41
Netopia, Inc. (7a) ..................................................... 1,400 56
Networks Associates, Inc. (7a) ......................................... 800 16
Optimal Robotics Corp. (7a) ............................................ 700 27
Pegasus Solutions, Inc. (7a) ........................................... 1,100 12
Peregrine Systems, Inc. (7a) ........................................... 2,825 98
Pixar (7a) (7b) ........................................................ 1,000 35
Primus Knowledge
Solutions, Inc. (7a) ................................................. 300 14
PSINet Inc. (7a) ....................................................... 690 17
Radiant Systems, Inc. (7a) ............................................. 1,450 35
Red Hat, Inc. (7a) (7b) ................................................ 400 11
Remedy Corporation (7a) ................................................ 2,600 145
S1 Corporation (7a) .................................................... 700 16
SERENA Software, Inc. (7a) ............................................. 900 41
Software.com, Inc. (7a) ................................................ 400 52
Sybase, Inc. (7a) ...................................................... 3,100 71
Symantec Corporation (7a) .............................................. 900 49
THQ Inc. (7a) .......................................................... 3,500 43
Titan Corporation (The) (7a) ........................................... 1,100 49
USINTERNETWORKING,
Inc. (7a) (7b) ....................................................... 3,150 64
Verity, Inc. (7a) ...................................................... 2,200 84
</TABLE>
See accompanying notes which are an integral part of the financial statements.
108 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL T. Rowe Price Small Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Computer & Data Processing Services (continued)
WebTrends Corporation (7a) ............................................. 1,700 $ 66
Wind River Systems, Inc. (7a) .......................................... 400 15
Computer & Office Equipment (4.98 %)
Advanced Digital Information
Corporation (7a) ..................................................... 3,300 53
Ancor Communications,
Incorporated (7a) .................................................... 1,900 68
Black Box Corporation (7a) ............................................. 100 8
Concurrent Computer
Corporation (7a) ..................................................... 500 7
Cybex Computer Products
Corporation (7a) ..................................................... 1,550 67
Electronics For Imaging, Inc. (7a) ..................................... 900 23
Emulex Corporation (7a) ................................................ 900 59
Extended Systems
Incorporated (7a) .................................................... 400 38
MMC Networks, Inc. (7a) ................................................ 1,300 69
MTI Technology Corporation (7a)......................................... 2,000 16
National Computer Systems, Inc. ........................................ 1,400 69
National Instruments
Corporation (7a) ..................................................... 1,500 65
Network Peripherals Inc. (7a) .......................................... 800 13
Proxim, Inc. (7a) ...................................................... 1,500 148
RSA Security, Inc. (7a) ................................................ 1,500 104
S3 Incorporated (7a) ................................................... 3,500 52
SanDisk Corporation (7a) ............................................... 1,300 80
Symbol Technologies, Inc. .............................................. 1,550 84
Xircom, Inc. (7a) ...................................................... 3,200 151
Construction (1.15 %)
Dycom Industries, Inc. (7a) ............................................ 2,200 101
Insituform Technologies, Inc. -
Class A (7a) ......................................................... 2,600 71
Kaufman and Broad Home
Corporation .......................................................... 1,300 26
Quanta Services, Inc. (7a) ............................................. 1,350 74
Department Stores (0.25 %)
Neiman Marcus Group, Inc. (The) -
Class A (7a) ......................................................... 2,000 59
Drug Stores & Proprietary Stores (0.38 %)
Duane Reade Inc. (7a) (7b) ............................................. 1,700 44
Omnicare, Inc. ......................................................... 5,100 46
Educational Services (0.72 %)
DeVRY Inc. (7a) ........................................................ 1,200 32
Learning Tree
International, Inc. (7a) ............................................. 2,250 138
Electric Services (0.28 %)
Calpine Corporation (7a) ............................................... 1,000 66
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Electronic & Other Electric Equipment (1.23 %)
American Power Conversion
Corporation (7a) ..................................................... 1,100 $ 45
Rayovac Corporation (7a) (7b) .......................................... 2,400 54
Technitrol, Inc. ....................................................... 1,400 136
Zomax Optical Media, Inc. (7a) ......................................... 4,100 54
Electronic Components & Accessories (13.20 %)
Advanced Energy
Industries, Inc. (7a) ................................................ 1,400 83
Alpha Industries, Inc. (7a) ............................................ 2,500 110
American Xtal
Technology, Inc. (7a) ................................................ 700 30
Amphenol Corp. - Class A (7a) .......................................... 1,700 113
ANANDIGICS, Inc. (7a) (7b) ............................................. 900 31
Applied Micro Circuits
Corporation (7a) ..................................................... 200 20
Artesyn Technologies, Inc. (7a) ........................................ 4,100 114
Benchmark Electronics,
Inc. (7a) (7b) ....................................................... 1,100 40
Burr-Brown Corporation (7a) ............................................ 2,100 181
CTS Corporation ........................................................ 1,400 63
Dallas Semiconductor Corporation........................................ 1,700 69
Exar Corporation (7a) .................................................. 1,000 87
GlobeSpan
Semiconductor Inc. (7a) .............................................. 1,000 122
International Rectifier
Corporation (7a) ..................................................... 1,000 56
Jabil Circuit, Inc. (7a) ............................................... 200 10
JDS Uniphase Corporation (7a) .......................................... 800 96
Kemet Corporation (7a) ................................................. 3,100 78
Kopin Corporation (7a) ................................................. 1,800 125
Lattice Semiconductor
Corporation (7a) ..................................................... 2,100 145
Maxim Integrated Products (7a) ......................................... 300 20
Mercury Computer
Systems, Inc. (7a) ................................................... 2,400 78
Micrel, Incorporated (7a) (7b) ......................................... 3,200 139
Microchip Technology
Incorporated (7a) .................................................... 1,250 73
MIPS Technologies, Inc. -
Class A (7a) (7b) .................................................... 800 34
Pericom Semiconductor
Corporation (7a) ..................................................... 2,400 162
Plexus Corp. (7a) ...................................................... 1,300 147
PMC-Sierra, Inc. (7a) (7b) ............................................. 700 124
Power-One, Inc. (7a) ................................................... 600 68
QLogic Corporation (7a) ................................................ 500 33
Sanmina Corporation (7a) ............................................... 300 26
Semtech Corporation (7a) (7b) .......................................... 2,000 152
Spectra-Physics Lasers, Inc. (7a) ...................................... 200 14
Supertex, Inc. (7a) .................................................... 1,000 50
Three-Five Systems, Inc. (7a) .......................................... 1,200 71
Transwitch Corporation (7a) ............................................ 1,925 149
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 109
<PAGE>
Schedule of Investments
WRL T. Rowe Price Small Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Electronic Components & Accessories (continued)
Triquint Semiconductor, Inc. (7a) ...................................... 1,100 $ 105
Varian Semiconductor Equipment
Associates, Inc. (7a) ................................................ 1,100 69
Vitesse Semiconductor
Corporation (7a) ..................................................... 300 22
Engineering & Management Services (0.38 %)
Tetra Tech, Inc. (7a) .................................................. 3,875 89
Environmental Services (0.08 %)
Casella Waste Systems, Inc. -
Class A (7a) ......................................................... 1,800 19
Fabricated Metal Products (0.20 %)
Simpson Manufacturing
Co., Inc. (7a) ....................................................... 1,000 48
Food & Kindred Products (0.47 %)
Hain Celestial Group, Inc. (7a) ........................................ 2,400 88
Smithfield Foods, Inc. (7a) ............................................ 800 22
Food Stores (0.03 %)
Wild Oats Markets, Inc. (7a) ........................................... 600 8
Furniture & Fixtures (0.22 %)
Ethan Allen Interiors, Inc. ............................................ 900 22
Furniture Brands
International, Inc. (7a) ............................................. 2,000 30
Furniture & Home Furnishings Stores (0.37 %)
Linens 'N Things, Inc. (7a) ............................................ 1,450 39
Williams-Sonoma, Inc. (7a) ............................................. 1,500 49
Health Services (2.26 %)
Advance Paradigm, Inc. (7a) ............................................ 2,800 57
Enzo Biochem, Inc. (7a) ................................................ 900 62
Express Scripts, Inc. - Class A (7a).................................... 350 22
Hooper Holmes, Inc. .................................................... 4,900 39
Lincare Holdings Inc. (7a) ............................................. 2,300 57
Province Healthcare Company (7a)........................................ 1,900 69
Renal Care Group, Inc. (7a) ............................................ 3,900 95
StanCorp Financial Group, Inc. ......................................... 900 29
Universal Health Services, Inc. -
Class B (7a) ......................................................... 1,550 102
Holding & Other Investment Offices (0.15 %)
Apartment Investment &
Management Co. - Class A ............................................. 800 35
Industrial Machinery & Equipment (1.93 %)
Applied Materials, Inc. (7a) ........................................... 378 34
Applied Science and
Technology, Inc. (7a) ................................................ 1,700 44
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Industrial Machinery & Equipment (continued)
Asyst Technologies, Inc. (7a) .......................................... 2,100 $ 72
Mettler-Toledo
International Inc. (7a) .............................................. 1,200 48
Novellus Systems, Inc. (7a) ............................................ 1,300 74
Pentair, Inc. .......................................................... 2,500 89
Terex Corporation (7a) ................................................. 1,000 14
Zebra Technologies Corporation -
Class A (7a) ......................................................... 1,800 80
Instruments & Related Products (4.57 %)
Anaren Microwave, Inc. (7a) ............................................ 1,100 144
APA Optics, Inc. (7a) (7b) ............................................. 2,100 30
Cognex Corporation (7a) ................................................ 1,500 78
Cohu, Inc. ............................................................. 2,000 54
Cymer, Inc. (7a) ....................................................... 2,100 100
Cytyc Corporation (7a) (7b) ............................................ 1,100 59
Dionex Corporation (7a) ................................................ 3,050 82
Fossil, Inc. (7a) ...................................................... 3,450 67
Imax Corporation (7a) (7b) ............................................. 4,100 93
LTX Corporation (7a) ................................................... 1,500 52
Mechanical Technology
Incorporated (7a) .................................................... 900 14
Molecular Devices
Corporation (7a) ..................................................... 400 28
Pinnacle Systems, Inc. (7a) ............................................ 1,900 43
SBS Technologies, Inc. (7a) ............................................ 700 26
Teradyne, Inc. (7a) .................................................... 400 29
Varian, Inc. (7a) ...................................................... 2,700 125
Wesley Jessen Visioncare, Inc. (7a)..................................... 1,400 53
Insurance (0.88 %)
LifePoint Hospitals, Inc. (7a) ......................................... 2,700 60
Medical Assurance, Inc. (7a) ........................................... 400 5
PMI Group, Inc. (The) .................................................. 900 43
Radian Group, Inc. ..................................................... 1,923 100
Insurance Agents, Brokers & Service (0.25 %)
Brown & Brown, Inc. .................................................... 200 10
First Health Group Corp. (7a) .......................................... 1,500 49
Leather & Leather Products (0.54 %)
Cole (Kenneth)
Productions, Inc. - Class A (7a) ..................................... 2,300 92
Timberland Company (The) -
Class A (7a) ......................................................... 500 35
Life Insurance (0.48 %)
Annuity and Life Re
(Holdings), Ltd. ..................................................... 2,300 56
Nationwide Financial
Services, Inc. - Class A ............................................. 900 30
Protective Life Corporation ............................................ 1,000 27
</TABLE>
See accompanying notes which are an integral part of the financial statements.
110 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL T. Rowe Price Small Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Machinery, Equipment & Supplies (0.11 %)
MSC Industrial Direct Co., Inc. -
Class A (7a) ......................................................... 1,200 $ 25
Management Services (0.99 %)
Diamond Technology Partners
Incorporated (7a) .................................................... 2,000 175
U.S. Interactive, Inc. (7a) ............................................ 3,700 48
Xceed Inc. (7a) ........................................................ 1,200 11
Manufacturing Industries (0.21 %)
Jakks Pacific, Inc. (7a) ............................................... 3,400 50
Medical Instruments & Supplies (2.32 %)
Conmed Corporation (7a) ................................................ 3,700 96
Datascope Corp. ........................................................ 2,700 97
DENTSPLY International, Inc. ........................................... 900 28
ICU Medical, Inc. (7a) ................................................. 2,400 65
Mentor Corporation ..................................................... 4,800 131
ResMed Inc. (7a) ....................................................... 3,000 80
Sybron International
Corporation (7a) ..................................................... 1,300 26
Zoll Medical Corporation (7a) .......................................... 500 25
Metal Mining (0.07 %)
Stillwater Mining Company (7a) ......................................... 600 17
Motion Pictures (0.38 %)
Macrovision Corporation (7a) ........................................... 1,400 89
Oil & Gas Extraction (3.31 %)
Barrett Resources
Corporation (7a) ..................................................... 3,200 97
BJ Services Company (7a) ............................................... 500 31
Brown (Tom), Inc. (7a) ................................................. 4,200 97
Cabot Oil & Gas
Corporation - Class A ................................................ 4,400 93
Cal Dive International, Inc. (7a) ...................................... 1,200 65
Marine Drilling
Companies, Inc. (7a) ................................................. 3,800 106
Noble Affiliates, Inc. ................................................. 1,550 58
Oceaneering
International, Inc. (7a) ............................................. 2,800 53
Patterson Energy, Inc. (7a) ............................................ 2,800 80
UTI Energy Corp. (7a) .................................................. 2,500 100
Personal Credit Institutions (0.17 %)
Metris Companies Inc. .................................................. 1,650 41
Personal Services (0.56 %)
G&K Services, Inc. - Class A ........................................... 950 24
Heidrick & Struggles
International, Inc. (7a) ............................................. 1,700 107
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Petroleum & Coal Products (0.06 %)
Elcor Corporation ...................................................... 600 $ 14
Pharmaceuticals (5.49 %)
Andrx Corporation (7a) ................................................. 800 51
Cell Genesys, Inc. (7a) (7b) ........................................... 1,200 34
Cephalon, Inc. (7a) .................................................... 900 54
Enzon, Inc. (7a) ....................................................... 1,700 72
Forest Laboratories, Inc. (7a) ......................................... 350 35
ImClone Systems
Incorporated (7a) .................................................... 100 8
Inhale Therapeutic
Systems, Inc. (7a) (7b) .............................................. 1,200 122
Invitrogen Corporation (7a) ............................................ 1,100 83
Jones Pharma Inc. ...................................................... 1,200 48
King Pharmaceuticals, Inc. (7a) ........................................ 2,318 102
K-V Pharmaceutical Company -
Class A (7a) ......................................................... 1,000 27
Lynx Therapeutics, Inc. (7a) ........................................... 600 29
PolyMedica Industries, Inc. (7a) ....................................... 1,200 52
Priority Healthcare Corporation -
Class B (7a) ......................................................... 900 67
Protein Design Labs, Inc. (7a) ......................................... 300 49
Serologicals Corporation (7a) .......................................... 3,200 16
Shire Pharmaceuticals
Group PLC - ADR (7a) ................................................. 1,896 98
Techne Corporation (7a) ................................................ 1,400 181
Theragenics Corporation (7a) ........................................... 3,700 32
Transkaryotic Therapies, Inc. (7a)...................................... 200 7
Triangle Pharmaceuticals, Inc. (7a)..................................... 3,100 28
Vical Incorporated (7a) ................................................ 1,900 37
ViroPharma Incorporated (7a) ........................................... 900 14
Watson Pharmaceuticals, Inc. (7a)....................................... 900 48
Primary Metal Industries (0.65 %)
Andrew Corporation (7a) ................................................ 1,600 54
Maverick Tube
Corporation (7a) (7b) ................................................ 2,300 67
Optical Cable Corporation (7a) (7b)..................................... 1,100 33
Printing & Publishing (0.53 %)
Consolidated Graphics, Inc. (7a) ....................................... 950 9
Harte-Hanks Inc. ....................................................... 1,300 33
Scholastic Corporation (7a) ............................................ 600 37
Topps Company, Inc. (The) (7a) ......................................... 4,000 46
Radio & Television Broadcasting (2.21 %)
Cox Radio, Inc. - Class A (7a) ......................................... 3,000 84
Emmis Communications
Corporation - Class A (7a) ........................................... 2,900 120
Entercom Communications
Corp. (7a) ........................................................... 1,500 73
Hispanic Broadcasting Corp. (7a) ....................................... 300 10
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 111
<PAGE>
Schedule of Investments
WRL T. Rowe Price Small Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Radio & Television Broadcasting (continued)
Pegasus Communications
Corporation (7a) ..................................................... 1,400 $ 69
Price Communications
Corporation (7a) ..................................................... 3,100 73
Radio One, Inc. - Class A (7a) ......................................... 600 18
Radio One, Inc. - Class D (7a) (7b)..................................... 1,000 22
Regent Communications, Inc. (7a)........................................ 2,300 20
USA Networks, Inc. (7a) ................................................ 1,456 31
Radio, Television, & Computer Stores (0.18 %)
Tweeter Home Entertainment
Group, Inc. (7a) ..................................................... 1,400 43
Real Estate (0.52 %)
Catellus Development
Corporation (7a) ..................................................... 2,800 42
Pinnacle Holdings Inc. (7a) ............................................ 1,500 81
Research & Testing Services (2.00 %)
ACNielsen Corporation (7a) ............................................. 1,300 29
Aurora Biosciences
Corporation (7a) ..................................................... 1,400 95
Catalytica, Inc. (7a) .................................................. 3,150 35
Collateral Therapeutics.
Inc. (7a) (7b) ....................................................... 1,100 28
Cree, Inc. (7a) ........................................................ 800 107
Incyte Genomics, Inc. (7a) ............................................. 500 41
Meta Group, Inc. (7a) .................................................. 2,250 43
Profit Recovery Group
International, Inc. (7a) (7b) ........................................ 1,400 23
Trimeris, Inc. (7a) .................................................... 1,000 70
Restaurants (0.72 %)
Applebee's International, Inc. ......................................... 200 6
BUCA, Inc. (7a) ........................................................ 600 9
CEC Entertainment Inc. (7a) ............................................ 1,000 26
P.F. Chang's China Bistro, Inc. (7a).................................... 800 26
Papa John's
International, Inc. (7a) ............................................. 1,800 44
Rare Hospitality
International, Inc. (7a) ............................................. 600 17
Sonic Corp. (7a) ....................................................... 1,400 41
Retail Trade (0.88 %)
CDW Computer Centers, Inc. (7a)......................................... 200 13
Global Imaging Systems, Inc. (7a) ...................................... 600 6
Insight Enterprises, Inc. (7a) ......................................... 1,000 59
Whitehall Jewelers, Inc. (7a) .......................................... 4,200 78
Zale Corporation (7a) .................................................. 1,400 51
Rubber & Misc. Plastic Products (0.63 %)
Carlisle Companies Incorporated ........................................ 1,100 50
Spartech Corporation ................................................... 2,300 62
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Rubber & Misc. Plastic Products (continued)
VANS, INC. (7a) ........................................................ 2,500 $ 37
Savings Institutions (0.34 %)
Bank United Corp. - Class A ............................................ 2,300 81
Security & Commodity Brokers (2.13 %)
Affiliated Managers
Group, Inc. (7a) ..................................................... 2,200 100
AmeriCredit Corp. (7a) ................................................. 2,500 43
Investment Technology
Group, Inc. (7a) ..................................................... 2,400 95
Investors Financial Services Corp....................................... 1,500 60
Legg Mason, Inc. ....................................................... 1,700 85
Waddell & Reed Financial, Inc. -
Class A (7b) ......................................................... 3,650 120
Social Services (0.16 %)
Bright Horizons Family
Solutions, Inc. (7a) ................................................. 1,800 38
Telecommunications (2.43 %)
AT&T Canada Inc. (7a) .................................................. 1,200 40
ICG Communications, Inc. (7a) .......................................... 2,600 57
Intermedia Communications
Inc. (7a) ............................................................ 2,400 71
ITC Deltacom, Inc. (7a) ................................................ 3,700 83
MGC Communications, Inc. (7a) .......................................... 1,300 78
Millicom International
Cellular SA (7a) ..................................................... 1,000 35
Primus Telecommunications
Group, Inc. (7a) ..................................................... 1,700 42
Rhythms NetConnections, Inc. (7a)....................................... 2,000 25
Time Warner Telecom Inc. -
Class A (7a) ......................................................... 1,600 103
Western Wireless Corporation -
Class A (7a) ......................................................... 700 38
Textile Mill Products (0.16 %)
Mohawk Industries, Inc. (7a) ........................................... 1,750 38
Transportation & Public Utilities (0.75 %)
C.H. Robinson Worldwide, Inc. .......................................... 1,800 89
EGL, Inc. (7a) ......................................................... 2,900 89
Trucking & Warehousing (0.96 %)
Forward Air Corporation (7a) ........................................... 3,000 120
Swift Transportation Co., Inc. (7a)..................................... 3,900 55
USFreightways Corporation .............................................. 2,100 52
Variety Stores (0.42 %)
Cost Plus, Inc. (7a) ................................................... 1,050 30
Dollar Tree Stores, Inc. (7a) .......................................... 1,350 53
Family Dollar Stores, Inc. ............................................. 800 16
</TABLE>
See accompanying notes which are an integral part of the financial statements.
112 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL T. Rowe Price Small Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Wholesale Trade Durable Goods (1.12 %)
Netegrity, Inc. (7a) ................................................... 600 $ 45
Patterson Dental Company (7a) .......................................... 1,550 79
SCP Pool Corporation (7a) .............................................. 3,000 71
Tech Data Corporation (7a) ............................................. 700 30
Watsco, Inc. ........................................................... 3,200 40
----------
Total Common Stocks
(cost: $ 20,663).................................................................... 22,776
----------
</TABLE>
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
SHORT-TERM U.S. GOVERNMENT
OBLIGATIONS (0.25 %)
U.S. Treasury Bill (7i)
6.01 %, due 12/07/2000 ............................................... $ 60 $ 58
----------
Total Short-Term U.S. Government
Obligations
(cost: $ 58)........................................................................ 58
----------
</TABLE>
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
COMMERCIAL PAPER (2.54 %)
Golden Funding
Corporation - 144A (7c)
6.54 %, due 07/06/2000 ............................................... $ 250 $ 250
Alpine Securitization
Corporation - 144A (7c)
6.58 %, due 07/07/2000 ............................................... 350 350
----------
Total Commercial Paper
(cost: $ 600)....................................................................... 600
----------
Total Investment Securities
(cost: $ 21,321).................................................................... $ 23,434
==========
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C>
SUMMARY
Investments, at market value ........................................... 99.39% $ 23,434
Other assets in
excess of liabilities ................................................ 0.61% 144
--------- ----------
Net assets ............................................................. 100.00% $ 23,578
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 113
<PAGE>
Schedule of Investments
WRL Salomon All Cap
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
CORPORATE DEBT SECURITIES (1.24 %)(7f)
Industrial Machinery & Equipment (1.18%)
Harnischfeger Industries, Inc. (7h)
8.90 %, due 03/01/2022 ............................................... $ 275 $ 105
Harnischfeger Industries, Inc. (7h)
8.70 %, due 06/15/2022 ............................................... 125 48
Harnischfeger Industries, Inc. (7h)
7.25 %, due 12/15/2025 ............................................... 375 142
Harnischfeger Industries, Inc. (7h)
6.88 %, due 02/15/2027 ............................................... 40 15
Mortgage Bankers and Brokers (0.06 %)
ContiFinancial Corporation (7h)
8.38 %, due 08/15/2003 ............................................... 50 6
ContiFinancial Corporation (7h)
8.13 %, due 04/01/2008 ............................................... 80 10
----------
Total Corporate Debt Securities
(cost: $ 431)....................................................................... 326
----------
CONVERTIBLE BONDS (2.15 %)
Electronic & Other Electric Equipment
(1.35 %)
Sunbeam Corporation
Zero Coupon, due 03/25/2018 .......................................... 1,750 275
Sunbeam Corporation - 144A (7c)
Zero Coupon, due 03/25/2018 .......................................... 500 79
Industrial Machinery & Equipment (0.80%)
Friede Goldman Halter, Inc.
4.50 %, due 09/15/2004 ............................................... 349 210
----------
Total Convertible Bonds
(cost: $ 597)....................................................................... 564
----------
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
PREFERRED STOCKS (1.47 %)
Printing & Publishing (1.47 %)
News Corporation
Limited (The) - ADR .................................................. 8,100 $ 385
----------
Total Preferred Stocks
(cost: $ 336)...................................................................... 385
----------
COMMON STOCKS (90.92 %)
Agriculture (1.55 %)
Michael Foods, Inc. .................................................... 16,600 407
Amusement & Recreation Services (0.84 %)
Sun International Hotels
Limited (7a) ......................................................... 11,000 220
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Apparel & Accessory Stores (1.03 %)
Abercrombie & Fitch Co. -
Class A (7a) ......................................................... 22,100 $ 269
Beverages (4.32 %)
Pepsi Bottling Group, Inc. (The) ....................................... 24,400 712
PepsiCo, Inc. .......................................................... 9,500 422
Business Services (1.04 %)
Caminus Corporation (7a) ............................................... 6,900 169
Organic, Inc. (7a) ..................................................... 10,600 103
Chemicals & Allied Products (3.14 %)
Geon Company (The) ..................................................... 16,100 298
Olin Corporation ....................................................... 2,800 46
OM Group, Inc. ......................................................... 10,900 480
Commercial Banks (6.34 %)
Bank of New York
Company, Inc. (The) .................................................. 10,900 507
Banknorth Group, Inc. .................................................. 13,700 210
Comerica Incorporated .................................................. 5,600 251
FleetBoston Financial Corp. ............................................ 9,600 326
Mercantile Bankshares Corporation ...................................... 12,400 370
Communication (1.37 %)
NTL Incorporated (7a) (7b) ............................................. 1,700 102
UnitedGlobalCom, Inc. -
Class A (7a) ......................................................... 5,500 257
Communications Equipment (2.72 %)
Comverse Technology, Inc. (7a) ......................................... 3,200 298
Digital Microwave
Corporation (7a) ..................................................... 10,900 416
Computer & Data Processing Services (0.80 %)
Genuity Inc. (7a) ...................................................... 13,200 121
Paradigm Geophysical Ltd. (7a) ......................................... 14,700 88
Computer & Office Equipment (5.75 %)
3Com Corporation (7a) .................................................. 12,300 709
Compaq Computer Corporation ............................................ 10,900 279
International Business
Machines Corp. ....................................................... 2,400 263
Seagate Technology, Inc. (7a) .......................................... 4,700 259
Department Stores (3.47 %)
Federated Department
Stores, Inc. (7a) .................................................... 27,000 910
</TABLE>
See accompanying notes which are an integral part of the financial statements.
114 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL Salomon All Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Electronic Components & Accessories (3.11 %)
Advanced Micro Devices, Inc. (7a) ...................................... 5,300 $ 409
Cypress Semiconductor
Corporation (7a) ..................................................... 9,100 384
Marvell Technology
Group Ltd. (7a) ...................................................... 400 23
Fabricated Metal Products (1.43 %)
Gillette Company (The) ................................................. 10,700 374
Food & Kindred Products (9.20 %)
Hormel Foods Corporation ............................................... 48,600 817
Nabisco Group Holdings Corp. ........................................... 40,200 1,042
Philip Morris Companies Inc. ........................................... 11,000 292
Sanfilippo (John B.) & Son, Inc. (7a) .................................. 16,300 48
Tyson Foods, Inc. - Class A ............................................ 24,600 215
Food Stores (6.40 %)
Delhaize America, Inc. ................................................. 21,600 332
Hannaford Bros. Co. .................................................... 3,500 252
Safeway Inc. (7a) ...................................................... 24,300 1,096
Health Services (0.55 %)
Health Management Associates,
Inc. - Class A (7a) .................................................. 11,000 144
Industrial Machinery & Equipment (3.08 %)
ASM International NV (7a) .............................................. 9,700 257
Harnischfeger Industries, Inc. (7a) .................................... 54,700 19
Ingersoll-Rand Company ................................................. 7,100 286
SpeedFam-IPEC, Inc. (7a) ............................................... 13,600 247
Life Insurance (0.80 %)
Protective Life Corporation ............................................ 7,900 210
Medical Instruments & Supplies (0.54 %)
Nycomed Amersham
PLC - ADR (7b) ....................................................... 2,900 142
Metal Cans & Shipping Containers (0.79 %)
Crown Cork & Seal Company, Inc. ........................................ 13,800 207
Oil & Gas Extraction (3.25 %)
3TEC Energy Corporation (7a) ........................................... 21,000 210
Devon Energy Corporation (7b) .......................................... 8,200 461
R&B Falcon Corporation (7a) ............................................ 7,700 181
Paper & Allied Products (1.09 %)
International Paper Company ............................................ 9,600 286
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Petroleum Refining (4.25 %)
Conoco Inc. - Class B .................................................. 11,200 $ 275
Suncor Energy Inc. ..................................................... 13,600 317
Tesoro Petroleum
Corporation (7a) ..................................................... 51,800 524
Pharmaceuticals (5.06 %)
Merck & Co., Inc. ...................................................... 8,400 644
Novartis AG - ADR ...................................................... 10,000 400
Schering-Plough Corporation ............................................ 5,600 283
Primary Metal Industries (1.14 %)
AK Steel Holding Corporation ........................................... 22,100 177
LTV Corporation, (The) ................................................. 42,000 121
Printing & Publishing (1.28 %)
Primedia, Inc. (7a) .................................................... 14,800 337
Radio & Television Broadcasting (2.04 %)
Hearst-Argyle Television, Inc. (7a) .................................... 9,800 191
Sinclair Broadcast Group, Inc. -
Class A (7a) ......................................................... 31,400 345
Restaurants (1.30 %)
Wendy's International, Inc. ............................................ 19,200 342
Telecommunications (9.84 %)
AT&T Corp. - Liberty Media
Group - Class A (7a) ................................................. 8,200 199
Bell Atlantic Corporation .............................................. 6,900 351
Dobson Communications
Corporation - Class A (7a) ........................................... 13,900 268
GTE Corporation ........................................................ 6,800 423
ICG Communications,
Inc. (7a) (7b) ....................................................... 13,400 296
Rogers Cantel Mobile
Communications Inc. -
Class B (7a) ......................................................... 10,900 367
SBC Communications Inc. ................................................ 6,800 294
WorldCom, Inc. (7a) .................................................... 8,400 385
Variety Stores (3.07 %)
Costco Wholesale
Corporation (7a) (7b) ................................................ 24,400 805
Wholesale Trade Durable Goods (0.33 %)
Latitude Communications,
Inc. (7a) ............................................................ 7,700 86
----------
Total Common Stocks
(cost: $ 22,882).................................................................... 23,856
----------
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 115
<PAGE>
Schedule of Investments
WRL Salomon All Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Contracts Value
--------- ----------
<S> <C> <C>
OPTIONS (0.18 %)
DoubleClick Inc.
Puts Strike $ 35,
Expires 07/22/2000 ................................................... 66 $ 15
Inter@ctive Week Internet Index
Puts Strike $ 400,
Expires 08/19/2000 ................................................... 6 5
Inter@ctive Week Internet Index
Puts Strike $ 450,
Expires 07/22/2000 ................................................... 15 11
Inter@ctive Week Internet Index
Puts Strike $ 480,
Expires 07/22/2000 ................................................... 3 5
S&P Index
Puts Strike $ 1,400,
Expires 07/22/2000 ................................................... 6 4
S&P Index
Puts Strike $ 1,425,
Expires 07/22/2000 ................................................... 6 7
----------
Total Options
(cost: $ 75)........................................................................ 47
----------
</TABLE>
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
SHORT-TERM OBLIGATIONS (5.21 %)
Investors Bank & Trust
Company (7e)
6.03 %, Repurchase Agreement
dated 06/30/2000 to be
repurchased at $ 1,369 on
07/03/2000. .......................................................... $ 1,368 $ 1,368
----------
Total Short-Term Obligations
(cost: $ 1,368)..................................................................... 1,368
----------
Total Investment Securities
(cost: $ 25,689).................................................................... $ 26,546
==========
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C>
SUMMARY
Investments, at market value ........................................... 101.17% $ 26,546
Liabilities in
excess of other assets ............................................... (1.17)% (307)
--------- ----------
Net assets ............................................................. 100.00% $ 26,239
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
116 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL Pilgrim Baxter Mid Cap Growth
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (95.94 %)
Amusement & Recreation Services (0.66 %)
Premier Parks Inc. (7a) (7b) ........................................... 57,900 $ 1,317
Business Services (6.87 %)
Getty Images, Inc. (7a) ................................................ 62,400 2,313
Lamar Advertising Company (7a) ......................................... 19,500 845
Niku Corporation (7a) .................................................. 86,300 2,913
Redback Networks Inc. (7a) (7b) ........................................ 42,600 7,583
Chemicals & Allied Products (0.82 %)
ATMI, Inc. (7a) ........................................................ 34,900 1,623
Commercial Banks (0.56 %)
Bank One Corporation ................................................... 42,100 1,118
Communications Equipment (8.11 %)
Advanced Fibre
Communications, Inc. (7a) ............................................ 29,900 1,355
AudioCodes Ltd. (7a) ................................................... 12,100 1,452
C-COR.net Corp. (7a) ................................................... 17,200 464
Ciena Corporation (7a) ................................................. 12,200 2,034
Ditech Communications
Corporation (7a) ..................................................... 25,800 2,440
Natural MicroSystems
Corporation (7a) ..................................................... 10,400 1,169
Netro Corporation (7a) (7b) ............................................ 30,800 1,767
Polycom, Inc. (7a) ..................................................... 18,600 1,750
Sycamore Networks,
Inc. (7a) (7b) ....................................................... 22,200 2,450
Tekelec (7a) (7b) ...................................................... 25,400 1,224
Computer & Data Processing Services (28.73 %)
Ariba, Inc. (7a) (7b) .................................................. 32,600 3,196
Art Technology Group, Inc. (7a) ........................................ 57,900 5,844
BEA Systems, Inc. (7a) (7b) ............................................ 42,600 2,106
Brocade Communications
Systems, Inc. (7a) ................................................... 23,100 4,238
Check Point Software
Technologies, Ltd. (7a) (7b) ......................................... 10,000 2,118
chinadotcom corporation -
Class A (7a) (7b) .................................................... 32,600 666
Clarent Corporation (7a) ............................................... 28,500 2,038
Commerce One, Inc. (7a) (7b) ........................................... 33,000 1,498
Convergys Corporation (7a) ............................................. 42,100 2,184
InfoSpace, Inc. (7a) (7b) .............................................. 79,700 4,403
Mercury Interactive
Corporation (7a) ..................................................... 18,100 1,751
Micromuse Inc. (7a) .................................................... 16,300 2,697
Quest Software, Inc. (7a) .............................................. 25,400 1,407
Rare Medium Group, Inc. (7a) ........................................... 43,100 682
SmartForce - ADR (7a) .................................................. 44,400 2,131
Sonus Networks, Inc. (7a) (7b) ......................................... 15,100 2,384
Verisign, Inc. (7a) (7b) ............................................... 44,407 7,838
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Computer & Data Processing Services (continued)
Veritas Software
Corporation (7a) (7b) ................................................ 14,275 $ 1,613
Vignette Corporation (7a) .............................................. 67,100 3,490
Vitria Technology, Inc. (7a) ........................................... 77,900 4,762
Computer & Office Equipment (5.98 %)
Emulex Corporation (7a) ................................................ 14,000 920
Extreme Networks, Inc. (7a) ............................................ 47,500 5,011
Foundry Networks, Inc. (7a) (7b) ....................................... 12,700 1,403
Juniper Networks, Inc. (7a) ............................................ 21,700 3,159
SanDisk Corporation (7a) ............................................... 22,600 1,383
Electronic Components & Accessories (15.76 %)
Celestica, Inc. (U.S.) (7a) ............................................ 23,500 1,152
Cypress Semiconductor
Corporation (7a) ..................................................... 49,300 2,083
Finisar Corporation (7a) (7b) .......................................... 39,600 1,037
GlobeSpan
Semiconductor Inc. (7a) .............................................. 44,600 5,445
JDS Uniphase Corporation (7a) .......................................... 29,900 3,584
Kemet Corporation (7a) ................................................. 57,000 1,429
Microchip Technology
Incorporated (7a) .................................................... 23,100 1,346
MRV Communications,
Inc. (7a) (7b) ....................................................... 88,700 5,965
QLogic Corporation (7a) ................................................ 14,500 958
SDL, Inc. (7a) ......................................................... 6,800 1,939
Triquint Semiconductor, Inc. (7a) ...................................... 36,200 3,464
Xilinx Inc. (7a) ....................................................... 34,900 2,881
Industrial Machinery & Equipment (4.08 %)
Baker Hughes, Inc. ..................................................... 22,200 710
Cooper Cameron Corporation (7a) ........................................ 54,800 3,617
Mettler-Toledo
International Inc. (7a) .............................................. 94,600 3,784
Instruments & Related Products (5.28 %)
Credence Systems
Corporation (7a) ..................................................... 48,000 2,649
Cytyc Corporation (7a) ................................................. 43,000 2,295
Newport Corporation .................................................... 51,600 5,541
Oil & Gas Extraction (6.60 %)
BJ Services Company (7a) ............................................... 31,200 1,950
Diamond Offshore
Drilling, Inc. (7b) .................................................. 57,000 2,002
ENSCO International
Incorporated ......................................................... 97,800 3,502
EOG Resources, Inc. .................................................... 58,900 1,973
Global Marine Inc. (7a) ................................................ 62,900 1,773
Santa Fe International
Corporation .......................................................... 54,800 1,915
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 117
<PAGE>
Schedule of Investments
WRL Pilgrim Baxter Mid Cap Growth (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Pharmaceuticals (6.19 %)
Allscripts, Inc. (7a) .................................................. 53,400 $ 1,228
Medicis Pharmaceutical
Corporation - Class A (7a) ........................................... 45,300 2,582
Medimmune, Inc. (7a) ................................................... 51,600 3,818
Teva Pharmaceutical
Industries Ltd. - ADR ................................................ 84,200 4,668
Radio & Television Broadcasting (0.68 %)
Univision Communications Inc. -
Class A (7a) ......................................................... 13,100 1,356
Research & Testing Services (2.53 %)
Celgene Corporation (7a) (7b) .......................................... 70,200 4,133
Incyte Genomics, Inc. (7a) ............................................. 10,900 896
Retail Trade (1.96 %)
Tiffany & Co. .......................................................... 22,200 1,499
Zale Corporation (7a) .................................................. 65,600 2,394
Telecommunications (1.13 %)
Turnstone Systems, Inc. (7a) (7b) ...................................... 13,600 2,253
----------
Total Common Stocks
(cost: $ 172,033)................................................................... 190,560
----------
</TABLE>
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
SHORT-TERM OBLIGATIONS (11.19 %)
Investors Bank & Trust
Company (7e)
6.03 %, Repurchase Agreement
dated 06/30/2000 to be
repurchased at $ 22,247 on
07/03/2000. .......................................................... $ 22,236 $ 22,236
----------
Total Short-Term Obligations
(cost: $ 22,236).................................................................... 22,236
----------
Total Investment Securities
(cost: $ 194,269)................................................................... $ 212,796
==========
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C>
SUMMARY
Investments, at market value ........................................... 107.13% $ 212,796
Liabilities in
excess of other assets ............................................... (7.13)% (14,168)
--------- ----------
Net assets ............................................................. 100.00% $ 198,628
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
118 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL Dreyfus Mid Cap
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (94.32 %)
Air Transportation (0.35 %)
UAL Corporation ........................................................ 400 $ 23
Amusement & Recreation Services (1.21 %)
MGM Grand, Inc. ........................................................ 1,600 51
Westwood One, Inc. (7a) ................................................ 850 29
Apparel & Accessory Stores (1.19 %)
Ross Stores, Inc. ...................................................... 2,650 45
TJX Companies, Inc. (The) .............................................. 1,800 34
Apparel Products (0.35 %)
Liz Claiborne, Inc. .................................................... 650 23
Auto Repair, Services & Parking (0.41 %)
Hertz Corporation (The) - Class A ...................................... 950 27
Automotive (0.14 %)
Navistar International
Corporation (7a) ..................................................... 300 9
Beverages (0.35 %)
Pepsi Bottling Group, Inc. (The) ....................................... 800 23
Business Services (3.65 %)
NOVA Corporation (7a) .................................................. 900 25
Robert Half International Inc. (7a) .................................... 1,900 54
TMP Worldwide Inc. (7a) ................................................ 500 37
True North Communications, Inc. ........................................ 700 31
Viad Corp. ............................................................. 1,900 52
Young & Rubicam Inc. ................................................... 750 43
Chemicals & Allied Products (1.70 %)
Cytec Industries Inc. (7a) ............................................. 1,000 25
Dial Corporation (The) ................................................. 1,250 13
Eastman Chemical Company ............................................... 600 29
Sherwin-Williams Company (The) ......................................... 2,150 46
Commercial Banks (3.96 %)
Associated Banc-Corp ................................................... 715 16
City National Corporation .............................................. 1,450 50
Cullen/Frost Bankers, Inc. ............................................. 1,350 36
Mercantile Bankshares Corporation ...................................... 1,450 43
North Fork Bancorporation, Inc. ........................................ 2,300 35
Pacific Century Financial
Corporation .......................................................... 1,900 28
Union Planters Corporation ............................................. 1,350 38
UnionBanCal Corporation ................................................ 900 17
Communications Equipment (2.82 %)
Ciena Corporation (7a) ................................................. 450 74
Digital Lightwave, Inc. (7a) ........................................... 300 30
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Communications Equipment (continued)
Powerwave Technologies, Inc. (7a) ...................................... 1,050 $ 46
Sawtek Inc. (7a) ....................................................... 650 37
Computer & Data Processing Services (8.04 %)
BEA Systems, Inc. (7a) ................................................. 400 20
Convergys Corporation (7a) ............................................. 850 44
Intuit Inc. (7a) ....................................................... 2,100 86
iXL Enterprises, Inc. (7a) ............................................. 400 6
Portal Software, Inc. (7a) ............................................. 800 51
Proxicom, Inc. (7a) .................................................... 800 38
Rational Software Corporation (7a) ..................................... 650 60
Scient Corporation (7a) ................................................ 400 18
SunGard Data Systems Inc. (7a) ......................................... 1,750 54
Sybase, Inc. (7a) ...................................................... 1,900 44
Symantec Corporation (7a) .............................................. 1,050 57
Synopsys, Inc. (7a) .................................................... 1,000 35
Vignette Corporation (7a) .............................................. 400 21
Computer & Office Equipment (0.36 %)
SanDisk Corporation (7a) ............................................... 400 24
Construction (1.27 %)
Centex Corporation ..................................................... 650 15
Quanta Services, Inc. (7a) ............................................. 1,250 69
Educational Services (0.57 %)
DeVRY Inc. (7a) ........................................................ 1,450 38
Electric Services (5.40 %)
Allegheny Energy, Inc. ................................................. 2,200 60
Constellation Energy Group, Inc. ....................................... 1,650 54
DTE Energy Company ..................................................... 1,300 40
Energy East Corporation ................................................ 1,800 34
GPU, Inc. .............................................................. 1,100 30
NSTAR .................................................................. 1,400 57
OGE Energy Corp. ....................................................... 1,700 31
Pinnacle West Capital Corporation ...................................... 850 29
TECO Energy, Inc. ...................................................... 1,200 24
Electric, Gas & Sanitary Services (0.35 %)
Northern States Power Company .......................................... 1,150 23
Electrical Goods (0.54 %)
Avnet, Inc. ............................................................ 600 36
Electronic & Other Electric Equipment (0.50 %)
American Power Conversion
Corporation (7a) ..................................................... 800 33
Electronic Components & Accessories (9.89 %)
Atmel Corporation (7a) ................................................. 1,100 41
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 119
<PAGE>
Schedule of Investments
WRL Dreyfus Mid Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Electronic Components & Accessories (continued)
Cypress Semiconductor
Corporation (7a) ..................................................... 1,100 $ 46
Jabil Circuit, Inc. (7a) ............................................... 1,300 65
Lattice Semiconductor
Corporation (7a) ..................................................... 400 28
Microchip Technology
Incorporated (7a) .................................................... 1,100 64
NVIDIA Corporation (7a) ................................................ 1,000 64
Power-One, Inc. (7a) ................................................... 300 34
Sanmina Corporation (7a) ............................................... 850 72
SDL, Inc. (7a) ......................................................... 200 57
Semtech Corporation (7a) ............................................... 500 38
Transwitch Corporation (7a) ............................................ 300 23
Varian Semiconductor Equipment
Associates, Inc. (7a) ................................................ 500 31
Vishay Intertechnology, Inc. (7a) ...................................... 1,500 57
Vitesse Semiconductor
Corporation (7a) ..................................................... 500 37
Fabricated Metal Products (0.29 %)
Parker-Hannifin Corporation ............................................ 550 19
Food & Kindred Products (1.70 %)
Hormel Foods Corporation ............................................... 1,650 28
Lancaster Colony Corporation ........................................... 900 17
McCormick & Company,
Incorporated ......................................................... 850 28
Wrigley (Wm.) Jr. Company .............................................. 500 40
Furniture & Fixtures (1.01 %)
Johnson Controls, Inc. ................................................. 550 28
Leggett & Platt, Incorporated .......................................... 1,200 20
Miller, (Herman) Inc ................................................... 750 19
Gas Production & Distribution (2.41 %)
Equitable Resources, Inc. .............................................. 1,050 51
Keyspan Corporation .................................................... 1,350 42
Peoples Energy Corporation ............................................. 1,200 39
Questar Corporation .................................................... 1,450 28
Health Services (2.11 %)
Lincare Holdings Inc. (7a) ............................................. 850 21
Quest Diagnostics, Inc. (7a) ........................................... 800 60
Universal Health Services, Inc. -
Class B (7a) ......................................................... 900 59
Hotels & Other Lodging Places (0.30 %)
Park Place Entertainment
Corporation (7a) ..................................................... 1,650 20
Industrial Machinery & Equipment (2.23 %)
Briggs & Stratton Corporation .......................................... 550 19
Brunswick Corporation .................................................. 900 15
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Industrial Machinery & Equipment (continued)
Helix Technology Corporation ........................................... 650 $ 25
Kulicke and Soffa
Industries, Inc. (7a) ................................................ 500 30
Novellus Systems, Inc. (7a) ............................................ 1,050 59
Instruments & Related Products (2.05 %)
Bausch & Lomb Incorporated ............................................. 300 23
Credence Systems Corporation (7a) ...................................... 500 28
Cytyc Corporation (7a) ................................................. 650 35
Waters Corporation (7a) ................................................ 400 50
Insurance (2.00 %)
PMI Group, Inc. (The) .................................................. 1,150 55
Radian Group, Inc. ..................................................... 900 47
Trigon Healthcare, Inc. (7a) ........................................... 600 31
Insurance Agents, Brokers & Service (0.63 %)
Gallagher (Arthur J.) & Co. ............................................ 1,000 42
Life Insurance (0.47 %)
Nationwide Financial Services, Inc. -
Class A .............................................................. 950 31
Lumber & Wood Products (0.83 %)
Georgia-Pacific Group .................................................. 1,250 33
Louisiana-Pacific Corporation .......................................... 2,000 22
Management Services (0.17 %)
marchFIRST, Inc. (7a) .................................................. 625 11
Manufacturing Industries (0.48 %)
Blyth, Inc. ............................................................ 1,100 32
Medical Instruments & Supplies (1.19 %)
Biomet, Incorporated ................................................... 1,250 48
Stryker Corporation .................................................... 700 31
Misc. General Merchandise Stores (0.92 %)
BJ's Wholesale Club, Inc. (7a) ......................................... 1,850 61
Motion Pictures (1.04 %)
Fox Entertainment
Group, Inc. - Class A (7a) ........................................... 1,400 43
Macrovision Corporation (7a) ........................................... 400 26
Oil & Gas Extraction (5.87 %)
BJ Services Company (7a) ............................................... 1,200 74
Dynegy Inc. - Class A .................................................. 1,200 81
ENSCO International Incorporated ....................................... 1,950 69
Noble Affiliates, Inc. ................................................. 800 30
Noble Drilling Corporation (7a) ........................................ 1,450 60
Rowan Companies, Inc. (7a) ............................................. 1,400 43
</TABLE>
See accompanying notes which are an integral part of the financial statements.
120 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL Dreyfus Mid Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Oil & Gas Extraction (continued)
Santa Fe International Corporation ..................................... 950 $ 33
Personal Credit Institutions (0.83 %)
Metris Companies Inc. .................................................. 2,175 55
Petroleum Refining (2.62 %)
Amerada Hess Corporation ............................................... 750 46
Lyondell Chemical Company .............................................. 2,000 34
Murphy Oil Corporation ................................................. 800 48
Ultramar Diamond Shamrock
Corporation .......................................................... 1,850 46
Pharmaceuticals (7.12 %)
Allergan, Inc. ......................................................... 900 67
Andrx Corporation (7a) ................................................. 600 38
Chiron Corporation (7a) ................................................ 1,600 75
Forest Laboratories, Inc. (7a) ......................................... 450 45
IVAX Corporation (7a) .................................................. 3,500 144
Medimmune, Inc. (7a) ................................................... 950 70
Millennium
Pharmaceuticals, Inc. (7a) ........................................... 300 34
Primary Metal Industries (0.77 %)
Engelhard Corporation .................................................. 1,450 25
Phelps Dodge Corporation ............................................... 700 26
Printing & Publishing (1.36 %)
Belo (A.H.) Corporation - Class A ...................................... 1,850 32
Dow Jones & Company, Inc. .............................................. 450 33
Knight-Ridder, Inc. .................................................... 400 21
Pulitzer Inc. .......................................................... 100 4
Radio & Television Broadcasting (1.11 %)
Hispanic Broadcasting Corp. (7a) ....................................... 800 27
Univision Communications Inc. -
Class A (7a) ......................................................... 450 47
Railroads (0.74 %)
Kansas City Southern
Industries, Inc. ..................................................... 550 49
Research & Testing Services (0.98 %)
DST Systems, Inc. (7a) ................................................. 850 65
Restaurants (0.95 %)
Brinker International, Inc. (7a) ....................................... 1,250 37
Darden Restaurants, Inc. ............................................... 1,600 26
Retail Trade (0.63 %)
Zale Corporation (7a) .................................................. 1,150 42
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Rubber & Misc. Plastic Products (0.47 %)
Sealed Air Corporation (7a) ............................................ 600 $ 31
Savings Institutions (1.13 %)
Dime Bancorp, Inc. ..................................................... 1,900 30
Golden West Financial Corporation....................................... 1,100 45
Security & Commodity Brokers (1.90 %)
Edwards (A.G.), Inc. ................................................... 1,350 53
Paine Webber Group, Inc. ............................................... 350 16
Price (T. Rowe) Associates ............................................. 1,350 57
Telecommunications (1.79 %)
Illuminet Holdings, Inc. (7a) .......................................... 550 28
ITXC Corp. (7a) ........................................................ 950 34
Telephone and Data Systems, Inc. ....................................... 350 35
United States Cellular
Corporation (7a) ..................................................... 350 22
Trucking & Warehousing (0.83 %)
CNF Transportation Inc. ................................................ 550 13
United Parcel Service, Inc. -
Class B .............................................................. 450 27
USFreightways Corporation .............................................. 600 15
Variety Stores (1.24 %)
Dollar Tree Stores, Inc. (7a) .......................................... 2,100 82
Wholesale Trade Durable Goods (0.80 %)
Patterson Dental Company (7a) .......................................... 350 18
Tech Data Corporation (7a) ............................................. 800 35
Wholesale Trade Nondurable Goods (0.30 %)
SUPERVALU INC .......................................................... 1,050 20
----------
Total Common Stocks
(cost: $ 6,110)..................................................................... 6,260
----------
</TABLE>
<TABLE>
<CAPTION>
Principal Market
Amount Value
--------- ----------
<S> <C> <C>
SHORT-TERM OBLIGATIONS (6.13 %)
Investors Bank & Trust
Company (7e)
6.03 %, Repurchase Agreement
dated 06/30/2000 to be
repurchased at $ 408 on
07/03/2000. .......................................................... $ 407 $ 407
----------
Total Short-Term Obligations
(cost: $ 407)....................................................................... 407
----------
Total Investment Securities
(cost: $ 6,517)..................................................................... $ 6,667
==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 121
<PAGE>
Schedule of Investments
WRL Dreyfus Mid Cap (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
<S> <C> <C>
SUMMARY
Investments, at market value ........................................... 100.45% $ 6,667
Liabilities in
excess of other assets ............................................... (0.45)% (30)
--------- ----------
Net assets ............................................................. 100.00% $ 6,637
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
122 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL Value Line Aggressive Growth
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (90.80 %)
Apparel & Accessory Stores (3.04 %)
Gap, Inc. (The) ........................................................ 800 $ 25
Intimate Brands, Inc. .................................................. 1,000 20
Automotive (2.03 %)
Harley-Davidson, Inc. .................................................. 800 30
Business Services (1.49 %)
Omnicom Group, Inc. .................................................... 250 22
Commercial Banks (4.73 %)
Citigroup Inc. ......................................................... 400 24
Fifth Third Bancorp .................................................... 400 25
State Street Corporation ............................................... 200 21
Communication (0.95 %)
Viacom, Inc. - Class A (7a) ............................................ 200 14
Communications Equipment (5.68 %)
ADC Telecommunications,
Incorporated (7a) .................................................... 400 33
QUALCOMM Incorporated (7a) ............................................. 400 24
Tellabs, Inc. (7a) ..................................................... 400 27
Computer & Data Processing Services (10.06 %)
Adobe Systems Incorporated ............................................. 150 20
America Online, Inc. (7a) .............................................. 300 16
Computer Associates
International, Inc. .................................................. 400 20
Electronic Arts Inc. (7a) .............................................. 300 22
Fiserv, Inc. ........................................................... 500 22
Microsoft Corporation (7a) ............................................. 300 24
Oracle Corporation (7a) ................................................ 300 25
Computer & Office Equipment (6.56 %)
Cisco Systems, Inc. (7a) ............................................... 400 25
Dell Computer Corporation (7a) ......................................... 400 20
EMC Corporation (7a) ................................................... 400 30
International Business
Machines Corp. ....................................................... 200 22
Department Stores (1.89 %)
Kohl's Corporation (7a) ................................................ 500 28
Electric Services (1.83 %)
AES Corporation (The) (7a) ............................................. 600 27
Electronic & Other Electric Equipment (1.83 %)
General Electric Company ............................................... 500 27
Electronic Components & Accessories (4.06 %)
Altera Corporation (7a) ................................................ 150 15
Intel Corporation ...................................................... 200 27
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Electronic Components & Accessories (continued)
PMC-Sierra, Inc. (7a) .................................................. 100 $ 18
Food Stores (1.56 %)
Safeway Inc. (7a) ...................................................... 500 23
Health Services (1.62 %)
HCA - The Healthcare Company ........................................... 800 24
Industrial Machinery & Equipment (2.84 %)
Applied Materials, Inc. (7a) ........................................... 200 18
Tyco International Ltd ................................................. 500 24
Instruments & Related Products (2.37 %)
Honeywell International Inc. ........................................... 500 17
KLA -Tencor Corporation (7a) ........................................... 300 18
Insurance (1.62 %)
American International
Group, Inc. .......................................................... 200 24
Lumber & Other Building Materials (1.35 %)
Home Depot, Inc. (The) ................................................. 400 20
Management Services (1.42 %)
Paychex, Inc. .......................................................... 500 21
Medical Instruments & Supplies (3.04 %)
Guidant Corporation (7a) ............................................... 500 25
Medtronic, Inc. ........................................................ 400 20
Motion Pictures (1.28 %)
Time Warner Inc. ....................................................... 250 19
Oil & Gas Extraction (1.22 %)
Apache Corporation ..................................................... 300 18
Paper & Allied Products (1.01 %)
International Paper Company ............................................ 500 15
Personal Credit Institutions (1.08 %)
American Express Company ............................................... 300 16
Pharmaceuticals (7.50 %)
Amgen Inc. (7a) ........................................................ 300 21
Biogen, Inc. (7a) ...................................................... 400 26
Johnson & Johnson ...................................................... 250 25
Pfizer Incorporated .................................................... 500 24
Schering-Plough Corporation ............................................ 300 15
Primary Metal Industries (2.37 %)
Alcoa Inc. ............................................................. 500 15
Nucor Corporation ...................................................... 600 20
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 123
<PAGE>
Schedule of Investments
WRL Value Line Aggressive Growth (continued)
At June 30, 2000
All Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Radio & Television Broadcasting (1.56 %)
Clear Channel
Communications, Inc. (7a) ............................................ 300 $ 23
Radio, Television, & Computer Stores (2.50 %)
Best Buy Co., Inc. (7a) ................................................ 600 37
Retail Trade (1.35 %)
Tiffany & Co. .......................................................... 300 20
Security & Commodity Brokers (1.15 %)
Schwab (Charles)
Corporation (The) .................................................... 500 17
Stone, Clay & Glass Products (1.83 %)
Corning Incorporated ................................................... 100 27
Telecommunications (4.87 %)
Lucent Technologies Inc. ............................................... 400 24
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Telecommunications (continued)
Telephone and Data Systems, Inc. 200 $ 20
WorldCom, Inc. (7a) .................................................... 600 28
Variety Stores (3.11 %)
Costco Wholesale
Corporation (7a) ..................................................... 800 26
Target Corporation ..................................................... 350 20
----------
Total Common Stocks
(cost: $ 1,317)..................................................................... 1,343
----------
Total Investment Securities
(cost: $ 1,317)..................................................................... $ 1,343
==========
SUMMARY
Investments, at market value ........................................... 90.80% $ 1,343
Other assets in
excess of liabilities ................................................ 9.20% 136
--------- ----------
Net assets ............................................................. 100.00% $ 1,479
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
124 / WRL Series Fund, Inc.
<PAGE>
Schedule of Investments
WRL Great Companies - America(SM)
At June 30, 2000 All
Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (90.11 %)
Beverages (2.42 %)
Coca-Cola Company (The) ................................................ 10,950 $ 629
Business Services (3.37 %)
Omnicom Group, Inc. .................................................... 9,860 878
Chemicals & Allied Products (8.71 %)
Colgate-Palmolive Company .............................................. 20,500 1,227
Procter & Gamble
Company (The) ........................................................ 18,200 1,042
Commercial Banks (4.18 %)
Citigroup Inc. ......................................................... 18,070 1,089
Electronic & Other Electric Equipment (11.16 %)
General Electric Company ............................................... 54,830 2,906
Fabricated Metal Products (2.55 %)
Gillette Company (The) ................................................. 18,980 663
Insurance (11.32 %)
American International
Group, Inc. .......................................................... 25,090 2,948
Medical Instruments & Supplies (12.18 %)
Medtronic, Inc. ........................................................ 63,660 3,171
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Pharmaceuticals (29.69 %)
Bristol-Myers Squibb Co. ............................................... 21,340 $ 1,243
Johnson & Johnson ...................................................... 12,040 1,227
Merck & Co., Inc. ...................................................... 15,710 1,204
Pfizer Incorporated .................................................... 65,090 3,124
Schering-Plough Corporation ............................................ 18,570 938
Security & Commodity Brokers (4.53 %)
Merrill Lynch & Co., Inc. .............................................. 10,250 1,179
----------
Total Common Stocks
(cost: $ 22,773).................................................................... 23,468
----------
Total Investment Securities
(cost: $ 22,773).................................................................... $ 23,468
==========
SUMMARY
Investments, at market value ........................................... 90.11% $ 23,468
Other assets in
excess of liabilities ................................................ 9.89% 2,577
--------- ----------
Net assets ............................................................. 100.00% $ 26,045
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 125
<PAGE>
Schedule of Investments
WRL Great Companies - Technology(SM)
At June 30, 2000 All
Amounts (except share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (93.27 %)
Communications Equipment (8.30 %)
Motorola, Inc. ......................................................... 30,480 $ 886
Computer & Data Processing Services (10.92 %)
Microsoft Corporation (7a) ............................................. 2,980 238
Oracle Corporation (7a) ................................................ 11,030 927
Computer & Office Equipment (42.09 %)
Cisco Systems, Inc. (7a) ............................................... 14,770 939
Dell Computer Corporation (7a) ......................................... 19,160 945
EMC Corporation (7a) ................................................... 6,940 534
Hewlett-Packard Company ................................................ 7,780 971
International Business
Machines Corp. ....................................................... 5,110 560
Sun Microsystems, Inc. (7a) ............................................ 5,960 542
Electronic Components & Accessories (8.37 %)
Intel Corporation ...................................................... 3,380 452
Texas Instruments Incorporated ......................................... 6,420 441
Industrial Machinery & Equipment (4.89 %)
Applied Materials, Inc. (7a) ........................................... 5,760 522
</TABLE>
<TABLE>
<CAPTION>
Number of Market
Shares Value
--------- ----------
<S> <C> <C>
COMMON STOCKS (continued)
Instruments & Related Products (1.09 %)
Agilent Technologies, Inc. (7a) ........................................ 1,574 $ 116
Stone, Clay & Glass Products (4.66 %)
Corning Incorporated ................................................... 1,840 497
Telecommunications (12.95 %)
AT&T Corp .............................................................. 8,090 256
Lucent Technologies Inc. ............................................... 9,440 559
WorldCom, Inc. (7a) .................................................... 12,360 567
----------
Total Common Stocks
(cost: $ 9,602)..................................................................... 9,952
----------
Total Investment Securities
(cost: $ 9,602)..................................................................... $ 9,952
==========
SUMMARY
Investments, at market value ........................................... 93.27% $ 9,952
Other assets in
excess of liabilities ................................................ 6.73% 718
--------- ----------
Net assets ............................................................. 100.00% $ 10,670
========= ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
126 / WRL Series Fund, Inc.
<PAGE>
Statements of Assets and Liabilities
At June 30, 2000
All Amounts (except per share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL WRL
J.P. Morgan AEGON
Money Market Bond
<S> <C> <C>
Assets:
Investments in securities, at cost ......................... $ 233,020 $ 136,846
========== =========
Foreign cash, at cost ...................................... $ 0 $ 0
========== =========
Investments in securities, at market value ................. $ 233,020 $ 131,287
Cash ....................................................... 54 45
Foreign cash ............................................... 0 0
Cash collateral for securities on loan ..................... 0 2,060
Receivables:
Securities sold ........................................... 0 0
Interest .................................................. 2,375 1,714
Dividends ................................................. 0 0
Dividend reclaims receivable .............................. 0 0
Foreign currency contracts ................................ 0 0
Other ..................................................... 0 51
---------- ---------
Total assets ............................................. 235,449 135,157
---------- ---------
Liabilities:
Securities purchased ....................................... 0 0
Accounts payable and accrued liabilities:
Investment advisory fees .................................. 87 49
Due to custodian .......................................... 0 0
Dividends to shareholders ................................. 1,350 0
Deposits for securities on loan ........................... 0 2,060
Foreign currency contracts ................................ 0 0
Other fees ................................................ 7 58
---------- ---------
Total liabilities ........................................ 1,444 2,167
---------- ---------
Net assets ............................................. $ 234,005 $ 132,990
========== =========
Net Assets Consists of:
Capital stock shares authorized ............................ 450,000 50,000
========== =========
Capital stock ($ .01 par value)............................. $ 2,340 $ 121
Additional paid-in capital ................................. 231,665 140,707
Accumulated undistributed (distributions in
excess of) net investment income (loss) ................... 0 4,653
Accumulated undistributed net realized gain (loss) on
investment securities, option contracts, futures
contracts and foreign currency transactions ............... 0 (6,932)
Net unrealized appreciation (depreciation) on:
Investment securities and option contracts ................ 0 (5,559)
Futures contracts ......................................... 0 0
Foreign currency transactions ............................. 0 0
---------- ---------
Net assets applicable to outstanding shares of capital ..... $ 234,005 $ 132,990
========== =========
Shares outstanding ......................................... 234,005 12,104
========== =========
Net asset value and offering price per share ............... $ 1.00 $ 10.99
========== =========
<CAPTION>
WRL
WRL WRL LKCM
Janus Janus Strategic
Growth Global Total Return
<S> <C> <C> <C>
Assets:
Investments in securities, at cost ......................... $ 2,533,686 $ 1,487,129 $ 496,931
============ ============ ==========
Foreign cash, at cost ...................................... $ 0 $ 1,878 $ 0
============ ============ ==========
Investments in securities, at market value ................. $ 4,155,602 $ 2,127,050 $ 583,785
Cash ....................................................... 126 189 42
Foreign cash ............................................... 0 1,940 0
Cash collateral for securities on loan ..................... 735,126 388,344 30,593
Receivables:
Securities sold ........................................... 7,850 6,827 405
Interest .................................................. 134 110 2,864
Dividends ................................................. 313 849 320
Dividend reclaims receivable .............................. 9 501 0
Foreign currency contracts ................................ 0 10,445 0
Other ..................................................... 5,131 2,816 255
------------ ------------ ----------
Total assets ............................................. 4,904,291 2,539,071 618,264
------------ ------------ ----------
Liabilities:
Securities purchased ....................................... 12,158 7,088 7,333
Accounts payable and accrued liabilities:
Investment advisory fees .................................. 2,663 1,405 381
Due to custodian .......................................... 0 0 0
Dividends to shareholders ................................. 0 0 0
Deposits for securities on loan ........................... 735,126 388,344 30,593
Foreign currency contracts ................................ 0 7,268 0
Other fees ................................................ 5,007 2,823 273
------------ ------------ ----------
Total liabilities ........................................ 754,954 406,928 38,580
------------ ------------ ----------
Net assets ............................................. $ 4,149,337 $ 2,132,143 $ 579,684
============ ============ ==========
Net Assets Consists of:
Capital stock shares authorized ............................ 100,000 100,000 75,000
============ ============ ==========
Capital stock ($ .01 par value)............................. $ 543 $ 559 $ 352
Additional paid-in capital ................................. 2,069,465 1,106,731 449,729
Accumulated undistributed (distributions in
excess of) net investment income (loss) ................... 2,302 2,815 7,699
Accumulated undistributed net realized gain (loss) on
investment securities, option contracts, futures
contracts and foreign currency transactions ............... 455,111 378,893 35,050
Net unrealized appreciation (depreciation) on:
Investment securities and option contracts ................ 1,621,916 639,921 86,854
Futures contracts ......................................... 0 0 0
Foreign currency transactions ............................. 0 3,224 0
------------ ------------ ----------
Net assets applicable to outstanding shares of capital ..... $ 4,149,337 $ 2,132,143 $ 579,684
============ ============ ==========
Shares outstanding ......................................... 54,264 55,936 35,188
============ ============ ==========
Net asset value and offering price per share ............... $ 76.47 $ 38.12 $ 16.47
============ ============ ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 127
<PAGE>
Statements of Assets and Liabilities
At June 30, 2000
All Amounts (except per share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL WRL
VKAM Alger
Emerging Aggressive
Growth Growth
<S> <C> <C>
Assets:
Investments in securities, at cost ........................... $ 1,485,357 $ 832,858
============ ============
Foreign cash, at cost ........................................ $ 0 $ 0
============ ============
Investments in securities, at market value ................... $ 2,367,812 $ 1,201,462
Cash ......................................................... 187 46
Foreign cash ................................................. 0 0
Cash collateral for securities on loan ....................... 351,193 181,861
Receivables:
Securities sold ............................................. 36,122 11,922
Interest .................................................... 64 42
Dividends ................................................... 162 126
Dividend reclaims receivable ................................ 2 0
Foreign currency contracts .................................. 0 0
Other ....................................................... 2,725 1,270
------------ ------------
Total assets ............................................... 2,758,267 1,396,729
------------ ------------
Liabilities:
Securities purchased ......................................... 43,712 18,145
Accounts payable and accrued liabilities:
Investment advisory fees .................................... 1,521 783
Due to custodian ............................................ 0 0
Dividends to shareholders ................................... 0 0
Deposits for securities on loan ............................. 351,193 181,861
Foreign currency contracts .................................. 0 0
Other fees .................................................. 2,756 1,300
------------ ------------
Total liabilities .......................................... 399,182 202,089
------------ ------------
Net assets ............................................... $ 2,359,085 $ 1,194,640
============ ============
Net Assets Consists of:
Capital stock shares authorized .............................. 75,000 75,000
============ ============
Capital stock ($ .01 par value)............................... $ 461 $ 387
Additional paid-in capital ................................... 1,099,776 767,004
Accumulated undistributed (distributions in
excess of) net investment income (loss) ..................... 14,480 13,210
Accumulated undistributed net realized gain (loss) on
investment securities, option contracts, futures
contracts and foreign currency transactions ................. 361,913 45,435
Net unrealized appreciation (depreciation) on:
Investment securities and option contracts .................. 882,455 368,604
Futures contracts ........................................... 0 0
Foreign currency transactions ............................... 0 0
------------ ------------
Net assets applicable to outstanding shares of capital ....... $ 2,359,085 $ 1,194,640
============ ============
Shares outstanding ........................................... 46,065 38,745
============ ============
Net asset value and offering price per share ................. $ 51.21 $ 30.83
============ ============
<CAPTION>
WRL
WRL Federated WRL
AEGON Growth & Dean Asset
Balanced Income Allocation
<S> <C> <C> <C>
Assets:
Investments in securities, at cost ........................... $ 87,257 $ 86,974 $ 204,616
========= ======== =========
Foreign cash, at cost ........................................ $ 0 $ 0 $ 0
========= ======== =========
Investments in securities, at market value ................... $ 102,121 $ 88,957 $ 195,087
Cash ......................................................... 439 74 2,318
Foreign cash ................................................. 0 0 0
Cash collateral for securities on loan ....................... 9,687 3,336 16,994
Receivables:
Securities sold ............................................. 0 0 2,580
Interest .................................................... 594 48 792
Dividends ................................................... 78 355 330
Dividend reclaims receivable ................................ 0 0 0
Foreign currency contracts .................................. 0 0 0
Other ....................................................... 61 15 117
--------- -------- ---------
Total assets ............................................... 112,980 92,785 218,218
--------- -------- ---------
Liabilities:
Securities purchased ......................................... 0 0 4,381
Accounts payable and accrued liabilities:
Investment advisory fees .................................... 69 55 134
Due to custodian ............................................ 0 0 0
Dividends to shareholders ................................... 0 0 0
Deposits for securities on loan ............................. 9,687 3,336 16,994
Foreign currency contracts .................................. 0 0 0
Other fees .................................................. 65 20 1,566
--------- -------- ---------
Total liabilities .......................................... 9,821 3,411 23,075
--------- -------- ---------
Net assets ............................................... $ 103,159 $ 89,374 $ 195,143
========= ======== =========
Net Assets Consists of:
Capital stock shares authorized .............................. 50,000 50,000 75,000
========= ======== =========
Capital stock ($ .01 par value)............................... $ 82 $ 77 $ 159
Additional paid-in capital ................................... 92,268 89,466 194,544
Accumulated undistributed (distributions in
excess of) net investment income (loss) ..................... 1,620 3,524 5,880
Accumulated undistributed net realized gain (loss) on
investment securities, option contracts, futures
contracts and foreign currency transactions ................. (5,675) (5,676) 4,444
Net unrealized appreciation (depreciation) on:
Investment securities and option contracts .................. 14,864 1,983 (9,884)
Futures contracts ........................................... 0 0 0
Foreign currency transactions ............................... 0 0 0
--------- -------- ---------
Net assets applicable to outstanding shares of capital ....... $ 103,159 $ 89,374 $ 195,143
========= ======== =========
Shares outstanding ........................................... 8,185 7,669 15,886
========= ======== =========
Net asset value and offering price per share ................. $ 12.60 $ 11.65 $ 12.28
========= ======== =========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
128 / WRL Series Fund, Inc.
<PAGE>
Statements of Assets and Liabilities
At June 30, 2000
All Amounts (except per share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL WRL
C.A.S.E. NWQ
Growth Value Equity
<S> <C> <C>
Assets:
Investments in securities, at cost ........................... $ 96,596 $ 128,042
======== =========
Foreign cash, at cost ........................................ $ 0 $ 0
======== =========
Investments in securities, at market value ................... $ 92,354 $ 135,041
Cash ......................................................... 3,515 50
Foreign cash ................................................. 0 0
Cash collateral for securities on loan ....................... 24,539 5,889
Receivables:
Securities sold ............................................. 583 0
Interest .................................................... 13 3
Dividends ................................................... 66 193
Dividend reclaims receivable ................................ 0 1
Foreign currency contracts .................................. 0 0
Other ....................................................... 139 49
-------- ---------
Total assets ............................................... 121,209 141,226
-------- ---------
Liabilities:
Securities purchased ......................................... 0 0
Accounts payable and accrued liabilities:
Investment advisory fees .................................... 59 91
Due to custodian ............................................ 0 0
Dividends to shareholders ................................... 0 0
Deposits for securities on loan ............................. 24,539 5,889
Foreign currency contracts .................................. 0 0
Other fees .................................................. 149 42
-------- ---------
Total liabilities .......................................... 24,747 6,022
-------- ---------
Net assets ............................................... $ 96,462 $ 135,204
======== =========
Net Assets Consists of:
Capital stock shares authorized .............................. 50,000 50,000
======== =========
Capital stock ($ .01 par value)............................... $ 62 $ 104
Additional paid-in capital ................................... 86,410 130,842
Accumulated undistributed (distributions in
excess of) net investment income (loss) ..................... 6,033 1,224
Accumulated undistributed net realized gain (loss) on
investment securities, option contracts, futures
contracts and foreign currency transactions ................. 8,199 (3,965)
Net unrealized appreciation (depreciation) on:
Investment securities and option contracts .................. (4,242) 6,999
Futures contracts ........................................... 0 0
Foreign currency transactions ............................... 0 0
-------- ---------
Net assets applicable to outstanding shares of capital ....... $ 96,462 $ 135,204
======== =========
Shares outstanding ........................................... 6,205 10,401
======== =========
Net asset value and offering price per share ................. $ 15.55 $ 13.00
======== =========
<CAPTION>
WRL WRL
GE WRL Third
International GE Avenue
Equity U.S. Equity Value
<S> <C> <C> <C>
Assets:
Investments in securities, at cost ........................... $ 33,122 $ 178,534 $ 30,210
======== ========== =========
Foreign cash, at cost ........................................ $ 345 $ 0 $ 24
======== ========== =========
Investments in securities, at market value ................... $35,351 $ 196,707 $ 35,188
Cash ......................................................... 824 7,832 14,706
Foreign cash ................................................. 353 0 23
Cash collateral for securities on loan ....................... 4,284 6,866 0
Receivables:
Securities sold ............................................. 57 261 0
Interest .................................................... 7 22 67
Dividends ................................................... 23 172 26
Dividend reclaims receivable ................................ 37 6 0
Foreign currency contracts .................................. 0 0 0
Other ....................................................... 27 68 1
-------- ---------- ---------
Total assets ............................................... 40,963 211,934 50,011
-------- ---------- ---------
Liabilities:
Securities purchased ......................................... 441 308 0
Accounts payable and accrued liabilities:
Investment advisory fees .................................... 29 134 32
Due to custodian ............................................ 0 0 0
Dividends to shareholders ................................... 0 0 0
Deposits for securities on loan ............................. 4,284 6,866 0
Foreign currency contracts .................................. 0 0 0
Other fees .................................................. 22 71 5
-------- ---------- ---------
Total liabilities .......................................... 4,776 7,379 37
-------- ---------- ---------
Net assets ............................................... $ 36,187 $ 204,555 $ 49,974
======== ========== =========
Net Assets Consists of:
Capital stock shares authorized .............................. 50,000 50,000 50,000
======== ========== =========
Capital stock ($ .01 par value)............................... $ 25 $ 129 $ 39
Additional paid-in capital ................................... 27,267 178,835 43,538
Accumulated undistributed (distributions in
excess of) net investment income (loss) ..................... 249 1,399 319
Accumulated undistributed net realized gain (loss) on
investment securities, option contracts, futures
contracts and foreign currency transactions ................. 6,418 6,007 1,100
Net unrealized appreciation (depreciation) on:
Investment securities and option contracts .................. 2,229 18,173 4,978
Futures contracts ........................................... 0 12 0
Foreign currency transactions ............................... (1) 0 0
---------- ---------- ---------
Net assets applicable to outstanding shares of capital ....... $36,187 $ 204,555 $ 49,974
======== ========== =========
Shares outstanding ........................................... 2,526 12,937 3,882
======== ========== =========
Net asset value and offering price per share ................. $ 14.33 $ 15.81 $ 12.87
======== ========== =========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 129
<PAGE>
Statements of Assets and Liabilities
At June 30, 2000
All Amounts (except per share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL
J.P. Morgan WRL
Real Estate Goldman Sachs
Securities Growth
<S> <C> <C>
Assets:
Investments in securities, at cost .......................... $ 5,656 $ 13,801
======= =========
Foreign cash, at cost ....................................... $ 0 $ 0
======= =========
Investments in securities, at market value .................. $ 5,827 $ 14,839
Cash ........................................................ 552 50
Foreign cash ................................................ 0 0
Cash collateral for securities on loan ...................... 0 0
Receivables:
Securities sold ............................................ 123 89
Interest ................................................... 2 1
Dividends .................................................. 40 9
Dividend reclaims receivable ............................... 0 0
Foreign currency contracts ................................. 0 0
Other ...................................................... 0 0
------- ---------
Total assets .............................................. 6,544 14,988
------- ---------
Liabilities:
Securities purchased ........................................ 430 579
Accounts payable and accrued liabilities:
Investment advisory fees ................................... 4 10
Due to custodian ........................................... 0 0
Dividends to shareholders .................................. 0 0
Deposits for securities on loan ............................ 0 0
Foreign currency contracts ................................. 0 0
Other fees ................................................. 1 1
------- ---------
Total liabilities ......................................... 435 590
------- ---------
Net assets .............................................. $ 6,109 $ 14,398
======= =========
Net Assets Consists of:
Capital stock shares authorized ............................. 50,000 50,000
======= =========
Capital stock ($ .01 par value).............................. $ 6 $ 12
Additional paid-in capital .................................. 5,991 12,953
Accumulated undistributed (distributions in
excess of) net investment income (loss) .................... 290 128
Accumulated undistributed net realized gain (loss) on
investment securities, option contracts, futures
contracts and foreign currency transactions ................ (349) 267
Net unrealized appreciation (depreciation) on:
Investment securities and option contracts ................. 171 1,038
Futures contracts .......................................... 0 0
Foreign currency transactions .............................. 0 0
------- ---------
Net assets applicable to outstanding shares of capital ...... $ 6,109 $ 14,398
======= =========
Shares outstanding .......................................... 658 1,209
======= =========
Net asset value and offering price per share ................ $ 9.28 $ 11.91
======= =========
<CAPTION>
WRL WRL WRL
Goldman Sachs T. Rowe Price T. Rowe Price
Small Cap Dividend Growth Small Cap
<S> <C> <C> <C>
Assets:
Investments in securities, at cost .......................... $ 4,396 $ 11,811 $ 21,321
======= ======== =========
Foreign cash, at cost ....................................... $ 0 $ 0 $ 0
======= ======== =========
Investments in securities, at market value .................. $ 4,783 $ 12,461 $ 23,434
Cash ........................................................ 50 299 165
Foreign cash ................................................ 0 0 0
Cash collateral for securities on loan ...................... 0 0 1,533
Receivables:
Securities sold ............................................ 7 32 173
Interest ................................................... 0 1 1
Dividends .................................................. 5 17 2
Dividend reclaims receivable ............................... 0 0 0
Foreign currency contracts ................................. 0 0 0
Other ...................................................... 2 0 2
------- -------- ---------
Total assets .............................................. 4,847 12,810 25,310
------- -------- ---------
Liabilities:
Securities purchased ........................................ 0 33 180
Accounts payable and accrued liabilities:
Investment advisory fees ................................... 4 9 13
Due to custodian ........................................... 0 0 0
Dividends to shareholders .................................. 0 0 0
Deposits for securities on loan ............................ 0 0 1,533
Foreign currency contracts ................................. 0 0 0
Other fees ................................................. 0 1 6
------- -------- ---------
Total liabilities ......................................... 4 43 1,732
------- -------- ---------
Net assets .............................................. $ 4,843 $ 12,767 $ 23,578
======= ======== =========
Net Assets Consists of:
Capital stock shares authorized ............................. 50,000 50,000 50,000
======= ======== =========
Capital stock ($ .01 par value).............................. $ 4 $ 13 $ 16
Additional paid-in capital .................................. 4,364 12,781 20,822
Accumulated undistributed (distributions in
excess of) net investment income (loss) .................... 129 128 212
Accumulated undistributed net realized gain (loss) on
investment securities, option contracts, futures
contracts and foreign currency transactions ................ (41) (805) 415
Net unrealized appreciation (depreciation) on:
Investment securities and option contracts ................. 387 650 2,113
Futures contracts .......................................... 0 0 0
Foreign currency transactions .............................. 0 0 0
------- -------- ---------
Net assets applicable to outstanding shares of capital ...... $ 4,843 $ 12,767 $ 23,578
======= ======== =========
Shares outstanding .......................................... 417 1,350 1,642
======= ======== =========
Net asset value and offering price per share ................ $ 11.61 $ 9.46 $ 14.36
======= ======== =========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
130 / WRL Series Fund, Inc.
<PAGE>
Statements of Assets and Liabilities
At June 30, 2000
All Amounts (except per share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL WRL WRL
Salomon Pilgrim Baxter Dreyfus
All Cap Mid Cap Growth Mid Cap
<S> <C> <C> <C>
Assets:
Investments in securities, at cost ........................... $ 25,689 $ 194,269 $ 6,517
========= ========= ========
Foreign cash, at cost ........................................ $ 0 $ 0 $ 0
========= ========= ========
Investments in securities, at market value ................... $ 26,546 $ 212,796 $ 6,667
Cash ......................................................... 50 50 50
Foreign cash ................................................. 0 0 0
Cash collateral for securities on loan ....................... 1,684 38,273 0
Receivables:
Securities sold ............................................. 71 2,505 0
Interest .................................................... 6 11 0
Dividends ................................................... 28 20 6
Dividend reclaims receivable ................................ 0 0 0
Foreign currency contracts .................................. 0 0 0
Other ....................................................... 2 234 0
--------- --------- --------
Total assets ............................................... 28,387 253,889 6,723
--------- --------- --------
Liabilities:
Securities purchased ......................................... 440 16,637 81
Accounts payable and accrued liabilities:
Investment advisory fees .................................... 20 121 4
Due to custodian ............................................ 0 0 0
Dividends to shareholders ................................... 0 0 0
Deposits for securities on loan ............................. 1,684 38,273 0
Foreign currency contracts .................................. 0 0 0
Other fees .................................................. 4 230 1
--------- --------- --------
Total liabilities .......................................... 2,148 55,261 86
--------- --------- --------
Net assets ............................................... $ 26,239 $ 198,628 $ 6,637
========= ========= ========
Net Assets Consists of:
Capital stock shares authorized .............................. 50,000 50,000 50,000
========= ========= ========
Capital stock ($ .01 par value)............................... $ 20 $ 91 $ 6
Additional paid-in capital ................................... 23,643 178,917 6,100
Accumulated undistributed (distributions in
excess of) net investment income (loss) ..................... 534 1,864 43
Accumulated undistributed net realized gain (loss) on
investment securities, option contracts, futures
contracts and foreign currency transactions ................. 1,185 (771) 338
Net unrealized appreciation (depreciation) on:
Investment securities and option contracts .................. 857 18,527 150
Futures contracts ........................................... 0 0 0
Foreign currency transactions ............................... 0 0 0
--------- --------- --------
Net assets applicable to outstanding shares of capital ....... $ 26,239 $ 198,628 $ 6,637
========= ========= ========
Shares outstanding ........................................... 2,018 9,121 565
========= ========= ========
Net asset value and offering price per share ................. $ 13.00 $ 21.78 $ 11.75
========= ========= ========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 131
<PAGE>
Statements of Assets and Liabilities
At June 30, 2000
All Amounts (except per share amounts) in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL WRL WRL
Value Line Great Great
Aggressive Companies - Companies -
Growth AmericaSM TechnologySM
<S> <C> <C> <C>
Assets:
Investments in securities, at cost ........................... $ 1,317 $ 22,773 $ 9,602
======== ======== =========
Foreign cash, at cost ........................................ $ 0 $ 0 $ 0
======== ======== =========
Investments in securities, at market value ................... $ 1,343 $ 23,468 $ 9,952
Cash ......................................................... 259 4,814 2,229
Foreign cash ................................................. 0 0 0
Cash collateral for securities on loan ....................... 0 0 0
Receivables:
Securities sold ............................................. 0 0 0
Interest .................................................... 1 11 7
Dividends ................................................... 0 7 3
Dividend reclaims receivable ................................ 0 0 0
Foreign currency contracts .................................. 0 0 0
Other ....................................................... 0 0 0
-------- -------- ---------
Total assets ............................................... 1,603 28,300 12,191
-------- -------- ---------
Liabilities:
Securities purchased ......................................... 123 2,237 1,515
Accounts payable and accrued liabilities:
Investment advisory fees .................................... 1 14 5
Due to custodian ............................................ 0 0 0
Dividends to shareholders ................................... 0 0 0
Deposits for securities on loan ............................. 0 0 0
Foreign currency contracts .................................. 0 0 0
Other fees .................................................. 0 4 1
-------- -------- ---------
Total liabilities .......................................... 124 2,255 1,521
-------- -------- ---------
Net assets ............................................... $ 1,479 $ 26,045 $ 10,670
======== ======== =========
Net Assets Consists of:
Capital stock shares authorized .............................. 50,000 50,000 50,000
======== ======== =========
Capital stock ($ .01 par value)............................... $ 1 $ 25 $ 10
Additional paid-in capital ................................... 1,441 25,395 10,304
Accumulated undistributed (distributions in
excess of) net investment income (loss) ..................... 1 9 6
Accumulated undistributed net realized gain (loss) on
investment securities, option contracts, futures
contracts and foreign currency transactions ................. 10 (79) 0
Net unrealized appreciation (depreciation) on:
Investment securities and option contracts .................. 26 695 350
Futures contracts ........................................... 0 0 0
Foreign currency transactions ............................... 0 0 0
-------- -------- ---------
Net assets applicable to outstanding shares of capital ....... $ 1,479 $ 26,045 $ 10,670
======== ======== =========
Shares outstanding ........................................... 141 2,500 1,025
======== ======== =========
Net asset value and offering price per share ................. $ 10.49 $ 10.42 $ 10.41
======== ======== =========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
132 / WRL Series Fund, Inc.
<PAGE>
Statements of Operations
For the Period Ended June 30, 2000
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL
WRL WRL WRL WRL LKCM
J.P. Morgan AEGON Janus Janus Strategic
Money Market Bond Growth Global Total Return
<S> <C> <C> <C> <C> <C>
Investment Income:
Interest ............................................ $ 8,850 $ 4,491 $ 10,267 $ 5,444 $ 6,478
Dividends ........................................... 0 0 3,812 5,005 2,626
Foreign tax withheld ................................ 0 0 (301) (468) (14)
------- -------- ---------- ---------- ----------
Total investment income ........................... 8,850 4,491 13,778 9,981 9,090
------- -------- ---------- ---------- ----------
Expenses:
Investment advisory fees ............................ 577 306 16,191 8,417 2,351
Printing and shareholder reports .................... 8 16 159 120 46
Custody fees ........................................ 29 16 306 592 50
Administrative service fees ......................... 5 10 124 93 30
Legal fees .......................................... 1 2 24 18 6
Auditing and accounting fees ........................ 4 4 13 11 6
Directors fees ...................................... 0 1 8 6 2
Registration fees ................................... 0 0 1 1 0
Other fees .......................................... 0 3 21 15 3
------- -------- ---------- ---------- ----------
Total expenses .................................... 624 358 16,847 9,273 2,494
Less:
Advisory fee waiver and expense reimbursement ....... 0 0 0 0 0
Fees paid indirectly ................................ 0 0 0 0 0
------- -------- ---------- ---------- ----------
Net expenses ...................................... 624 358 16,847 9,273 2,494
------- -------- ---------- ---------- ----------
Net investment income (loss) ........................ 8,226 4,133 (3,069) 708 6,596
------- -------- ---------- ---------- ----------
Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investment securities and option contracts ......... 0 (2,195) 425,720 318,927 21,320
Futures contracts .................................. 0 0 0 0 0
Foreign currency transactions ...................... 0 0 (2) 23,380 0
------- -------- ------------ ---------- ----------
Total net realized gain (loss) .................... 0 (2,195) 425,718 342,307 21,320
------- -------- ----------- ---------- ----------
Change in unrealized appreciation (depreciation) on:
Investment securities and option contracts ......... 0 2,830 (507,287) (309,860) (41,901)
Futures contracts .................................. 0 0 0 0 0
Foreign currency transactions ...................... 0 0 0 (16) 0
------- -------- ----------- ---------- ----------
Total change in unrealized appreciation
(depreciation) .................................. 0 2,830 (507,287) (309,876) (41,901)
------- -------- ----------- ---------- ----------
Net gain (loss) on investment securities, option
contracts, futures contracts and foreign currency
transactions ....................................... 0 635 (81,569) 32,431 (20,581)
------- -------- --------- ---------- ----------
Net increase (decrease) in net assets resulting
from operations ................................. $ 8,226 $ 4,768 $ (84,638) $ 33,139 $ (13,985)
======= ======== ========= ========== ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 133
<PAGE>
Statements of Operations
For the Period Ended June 30, 2000
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL WRL
VKAM Alger
Emerging Aggressive
Growth Growth
<S> <C> <C>
Investment Income:
Interest .............................................. $ 4,364 $ 1,300
Dividends ............................................. 693 717
Foreign tax withheld .................................. (26) (6)
------------ --------------
Total investment income ............................. 5,031 2,011
------------ -------------
Expenses:
Investment advisory fees .............................. 9,103 4,857
Printing and shareholder reports ...................... 109 101
Custody fees .......................................... 165 84
Administrative service fees ........................... 92 78
Legal fees ............................................ 18 15
Auditing and accounting fees .......................... 8 4
Directors fees ........................................ 6 5
Registration fees ..................................... 2 1
Other fees ............................................ 15 13
------------ -------------
Total expenses ...................................... 9,518 5,158
Less:
Advisory fee waiver and expense reimbursement ......... 0 0
Fees paid indirectly .................................. 0 0
------------ -------------
Net expenses ........................................ 9,518 5,158
------------ -------------
Net investment income (loss) .......................... (4,487) (3,147)
------------ -------------
Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investment securities and option contracts ........... 329,311 39,990
Futures contracts .................................... 0 0
Foreign currency transactions ........................ 0 0
------------ -------------
Total net realized gain (loss) ...................... 329,311 39,990
------------ -------------
Change in unrealized appreciation (depreciation) on:
Investment securities and option contracts ........... (109,602) (136,044)
Futures contracts .................................... 0 0
Foreign currency transactions ........................ 0 0
------------ -------------
Total change in unrealized appreciation
(depreciation) .................................... (109,602) (136,044)
------------ -------------
Net gain (loss) on investment securities, option
contracts, futures contracts and foreign currency
transactions ......................................... 219,709 (96,054)
------------ -------------
Net increase (decrease) in net assets resulting
from operations ................................... $ 215,222 $ (99,201)
============ ===========
<CAPTION>
WRL
WRL Federated WRL
AEGON Growth & Dean Asset
Balanced Income Allocation
<S> <C> <C> <C>
Investment Income:
Interest .............................................. $ 1,034 $ 166 $ 2,335
Dividends ............................................. 468 1,914 2,346
Foreign tax withheld .................................. 0 (1) (3)
---------- ------------ ------------
Total investment income ............................. 1,502 2,079 4,678
---------- ----------- -----------
Expenses:
Investment advisory fees .............................. 414 289 891
Printing and shareholder reports ...................... 13 14 24
Custody fees .......................................... 12 10 23
Administrative service fees ........................... 8 9 15
Legal fees ............................................ 1 2 3
Auditing and accounting fees .......................... 4 4 4
Directors fees ........................................ 1 1 1
Registration fees ..................................... 0 0 0
Other fees ............................................ 1 2 5
---------- ----------- -----------
Total expenses ...................................... 454 331 966
Less:
Advisory fee waiver and expense reimbursement ......... 0 0 0
Fees paid indirectly .................................. 0 0 0
---------- ----------- -----------
Net expenses ........................................ 454 331 966
---------- ----------- -----------
Net investment income (loss) .......................... 1,048 1,748 3,712
---------- ----------- -----------
Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investment securities and option contracts ........... 505 (5,436) 5,012
Futures contracts .................................... 0 0 0
Foreign currency transactions ........................ 0 0 0
---------- ----------- -----------
Total net realized gain (loss) ...................... 505 (5,436) 5,012
---------- ----------- -----------
Change in unrealized appreciation (depreciation) on:
Investment securities and option contracts ........... (2,316) 8,546 (5,855)
Futures contracts .................................... 0 0 0
Foreign currency transactions ........................ 0 0 0
---------- ----------- -----------
Total change in unrealized appreciation
(depreciation) .................................... (2,316) 8,546 (5,855)
---------- ----------- -----------
Net gain (loss) on investment securities, option
contracts, futures contracts and foreign currency
transactions ......................................... (1,811) 3,110 (843)
---------- ----------- -----------
Net increase (decrease) in net assets resulting
from operations ................................... $ (763) $ 4,858 $ 2,869
========== ========= =========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
134 / WRL Series Fund, Inc.
<PAGE>
Statements of Operations
For the Period Ended June 30, 2000
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL WRL
C.A.S.E. NWQ
Growth Value Equity
<S> <C> <C>
Investment Income:
Interest .............................................. $ 56 $ 287
Dividends ............................................. 315 949
Foreign tax withheld .................................. (2) (2)
------------ ------------
Total investment income ............................. 369 1,234
----------- -----------
Expenses:
Investment advisory fees .............................. 352 527
Printing and shareholder reports ...................... 12 17
Custody fees .......................................... 52 16
Administrative service fees ........................... 11 11
Legal fees ............................................ 2 2
Auditing and accounting fees .......................... 2 3
Directors fees ........................................ 1 1
Registration fees ..................................... 0 0
Other fees ............................................ 2 2
----------- -----------
Total expenses ...................................... 434 579
Less:
Advisory fee waiver and expense reimbursement ......... 0 0
Fees paid indirectly .................................. 0 0
----------- -----------
Net expenses ........................................ 434 579
----------- -----------
Net investment income (loss) .......................... (65) 655
----------- -----------
Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investment securities and option contracts ........... 8,791 10,108
Futures contracts .................................... 0 0
Foreign currency transactions ........................ 0 0
----------- -----------
Total net realized gain (loss) ...................... 8,791 10,108
----------- -----------
Change in unrealized appreciation (depreciation) on:
Investment securities and option contracts ........... (8,952) (9,062)
Futures contracts .................................... 0 0
Foreign currency transactions ........................ 0 0
----------- -----------
Total change in unrealized appreciation
(depreciation) .................................... (8,952) (9,062)
----------- -----------
Net gain (loss) on investment securities, option
contracts, futures contracts and foreign currency
transactions ......................................... (161) 1,046
----------- -----------
Net increase (decrease) in net assets resulting
from operations ................................... $ (226) $ 1,701
========= =========
<CAPTION>
WRL WRL
GE WRL Third
International GE Avenue
Equity U.S. Equity Value
<S> <C> <C> <C>
Investment Income:
Interest .............................................. $ 44 $ 226 $ 237
Dividends ............................................. 364 1,057 130
Foreign tax withheld .................................. (49) (5) (4)
--------- ------------ ---------
Total investment income ............................. 359 1,278 363
--------- ----------- --------
Expenses:
Investment advisory fees .............................. 174 752 139
Printing and shareholder reports ...................... 5 15 2
Custody fees .......................................... 128 45 17
Administrative service fees ........................... 3 11 2
Legal fees ............................................ 0 2 0
Auditing and accounting fees .......................... 3 3 4
Directors fees ........................................ 0 1 0
Registration fees ..................................... 0 0 0
Other fees ............................................ 1 2 1
--------- ----------- --------
Total expenses ...................................... 314 831 165
Less:
Advisory fee waiver and expense reimbursement ......... 71 0 0
Fees paid indirectly .................................. 0 0 0
--------- ----------- --------
Net expenses ........................................ 243 831 165
--------- ----------- --------
Net investment income (loss) .......................... 116 447 198
--------- ----------- --------
Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investment securities and option contracts ........... 5,790 5,673 1,641
Futures contracts .................................... (1) 335 0
Foreign currency transactions ........................ (60) 0 0
----------- ----------- --------
Total net realized gain (loss) ...................... 5,729 6,008 1,641
----------- ----------- --------
Change in unrealized appreciation (depreciation) on:
Investment securities and option contracts ........... (5,642) (5,367) 3,599
Futures contracts .................................... 0 (240) 0
Foreign currency transactions ........................ 0 0 0
----------- ----------- --------
Total change in unrealized appreciation
(depreciation) .................................... (5,642) (5,607) 3,599
----------- ----------- --------
Net gain (loss) on investment securities, option
contracts, futures contracts and foreign currency
transactions ......................................... 87 401 5,240
----------- ----------- --------
Net increase (decrease) in net assets resulting
from operations ................................... $ 203 $ 848 $ 5,438
========= ========= =======
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 135
<PAGE>
Statements of Operations
For the Period Ended June 30, 2000
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL
J.P. Morgan WRL
Real Estate Goldman Sachs
Securities Growth
<S> <C> <C>
Investment Income:
Interest .............................................. $ 8 $ 13
Dividends ............................................. 153 43
Foreign tax withheld .................................. 0 0
----- -----
Total investment income ............................. 161 56
----- -----
Expenses:
Investment advisory fees .............................. 18 47
Printing and shareholder reports ...................... 0 1
Custody fees .......................................... 29 27
Administrative service fees ........................... 0 0
Legal fees ............................................ 0 0
Auditing and accounting fees .......................... 4 4
Directors fees ........................................ 0 0
Registration fees ..................................... 0 0
Other fees ............................................ 0 0
----- -----
Total expenses ...................................... 51 79
Less:
Advisory fee waiver and expense reimbursement ......... 28 27
Fees paid indirectly .................................. 0 0
----- -----
Net expenses ........................................ 23 52
----- -----
Net investment income (loss) .......................... 138 4
----- -----
Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investment securities and option contracts ........... 114 295
Futures contracts .................................... 0 0
Foreign currency transactions ........................ 0 0
----- -----
Total net realized gain (loss) ...................... 114 295
----- -----
Change in unrealized appreciation (depreciation) on:
Investment securities and option contracts ........... 416 15
Futures contracts .................................... 0 0
Foreign currency transactions ........................ 0 0
----- -----
Total change in unrealized appreciation
(depreciation) .................................... 416 15
----- -----
Net gain (loss) on investment securities, option
contracts, futures contracts and foreign currency
transactions ......................................... 530 310
----- -----
Net increase (decrease) in net assets resulting
from operations ................................... $ 668 $ 314
===== =====
<CAPTION>
WRL WRL WRL
Goldman Sachs T. Rowe Price T. Rowe Price
Small Cap Dividend Growth Small Cap
<S> <C> <C> <C>
Investment Income:
Interest .............................................. $ 11 $ 13 $ 26
Dividends ............................................. 19 109 10
Foreign tax withheld .................................. 0 (1) 0
----- -------- -----
Total investment income ............................. 30 121 36
----- ------- -----
Expenses:
Investment advisory fees .............................. 18 48 63
Printing and shareholder reports ...................... 0 0 1
Custody fees .......................................... 33 33 36
Administrative service fees ........................... 0 0 1
Legal fees ............................................ 0 0 0
Auditing and accounting fees .......................... 4 4 3
Directors fees ........................................ 0 0 0
Registration fees ..................................... 0 0 0
Other fees ............................................ 0 0 1
----- ------- -----
Total expenses ...................................... 55 85 105
Less:
Advisory fee waiver and expense reimbursement ......... 35 32 22
Fees paid indirectly .................................. 0 0 0
----- ------- -----
Net expenses ........................................ 20 53 83
----- ------- -----
Net investment income (loss) .......................... 10 68 (47)
----- ------- -----
Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investment securities and option contracts ........... 82 (540) 612
Futures contracts .................................... (129) 0 (60)
Foreign currency transactions ........................ 0 0 0
----- ------- -----
Total net realized gain (loss) ...................... (47) (540) 552
----- ------- -----
Change in unrealized appreciation (depreciation) on:
Investment securities and option contracts ........... 154 828 76
Futures contracts .................................... (9) 0 0
Foreign currency transactions ........................ 0 0 0
------- ------- -----
Total change in unrealized appreciation
(depreciation) .................................... 145 828 76
------- ------- -----
Net gain (loss) on investment securities, option
contracts, futures contracts and foreign currency
transactions ......................................... 98 288 628
------- ------- -----
Net increase (decrease) in net assets resulting
from operations ................................... $ 108 $ 356 $ 581
===== ===== =====
</TABLE>
See accompanying notes which are an integral part of the financial statements.
136 / WRL Series Fund, Inc.
<PAGE>
Statements of Operations
For the Period Ended June 30, 2000
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL WRL WRL
Salomon Pilgrim Baxter Dreyfus
All Cap Mid Cap Growth Mid Cap
<S> <C> <C> <C>
Investment Income:
Interest ............................................... $ 67 $ 372 $ 7
Dividends .............................................. 87 35 25
Foreign tax withheld ................................... 0 0 0
------- ------- -----
Total investment income .............................. 154 407 32
------- ------- -----
Expenses:
Investment advisory fees ............................... 67 507 19
Printing and shareholder reports ....................... 1 7 0
Custody fees ........................................... 41 30 29
Administrative service fees ............................ 0 5 0
Legal fees ............................................. 0 1 0
Auditing and accounting fees ........................... 4 4 4
Directors fees ......................................... 0 0 0
Registration fees ...................................... 0 0 0
Other fees ............................................. 0 3 0
------- ------- -----
Total expenses ....................................... 113 557 52
Less:
Advisory fee waiver and expense reimbursement .......... 39 0 29
Fees paid indirectly ................................... 0 0 0
------- ------- -----
Net expenses ......................................... 74 557 23
------- ------- -----
Net investment income (loss) ........................... 80 (150) 9
------- ------- -----
Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investment securities and option contracts ............ 1,300 (721) 373
Futures contracts ..................................... 0 0 0
Foreign currency transactions ......................... 0 0 0
------- ------- -----
Total net realized gain (loss) ....................... 1,300 (721) 373
------- ------- -----
Change in unrealized appreciation (depreciation) on:
Investment securities and option contracts ............ 715 8,730 (14)
Futures contracts ..................................... 0 0 0
Foreign currency transactions ......................... 0 0 0
------- ------- -----
Total change in unrealized appreciation
(depreciation) ..................................... 715 8,730 (14)
------- ------- -----
Net gain (loss) on investment securities, option
contracts, futures contracts and foreign currency
transactions .......................................... 2,015 8,009 359
------- ------- -----
Net increase (decrease) in net assets resulting
from operations .................................... $ 2,095 $ 7,859 $ 368
======= ======= =====
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 137
<PAGE>
Statements of Operations
For the Period Ended June 30, 2000
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL WRL WRL
Value Line Great Great
Aggressive Companies - Companies -
Growth(1) AmericaSM(1) TechnologySM(1)
<S> <C> <C> <C>
Investment Income:
Interest ............................................... $ 2 $ 25 $ 11
Dividends .............................................. 0 11 4
Foreign tax withheld ................................... 0 0 0
---- ----- -----
Total investment income .............................. 2 36 15
---- ----- -----
Expenses:
Investment advisory fees ............................... 1 22 8
Printing and shareholder reports ....................... 0 0 0
Custody fees ........................................... 0 2 2
Administrative service fees ............................ 0 0 0
Legal fees ............................................. 0 0 0
Auditing and accounting fees ........................... 1 1 1
Directors fees ......................................... 0 0 0
Registration fees ...................................... 0 0 0
Other fees ............................................. 0 4 0
---- ----- -----
Total expenses ....................................... 2 29 11
Less:
Advisory fee waiver and expense reimbursement .......... 1 2 2
Fees paid indirectly ................................... 0 0 0
---- ----- -----
Net expenses ......................................... 1 27 9
---- ----- -----
Net investment income (loss) ........................... 1 9 6
---- ----- -----
Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investment securities and option contracts ............ 10 (79) 0
Futures contracts ..................................... 0 0 0
Foreign currency transactions ......................... 0 0 0
---- ----- -----
Total net realized gain (loss) ....................... 10 (79) 0
---- ----- -----
Change in unrealized appreciation (depreciation) on:
Investment securities and option contracts ............ 26 695 350
Futures contracts ..................................... 0 0 0
Foreign currency transactions ......................... 0 0 0
---- ----- -----
Total change in unrealized appreciation
(depreciation) ..................................... 26 695 350
---- ----- -----
Net gain (loss) on investment securities, option
contracts, futures contracts and foreign currency
transactions .......................................... 36 616 350
---- ----- -----
Net increase (decrease) in net assets resulting
from operations .................................... $ 37 $ 625 $ 356
==== ===== =====
</TABLE>
See accompanying notes which are an integral part of the financial statements.
138 / WRL Series Fund, Inc.
<PAGE>
Statements of Changes in Net Assets
For the Period Ended
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL WRL
J.P. Morgan AEGON
Money Market Bond
------------------------------ ----------------------------
June 30, December 31, June 30, December 31,
2000 1999 2000 1999
--------------- -------------- ------------- --------------
<S> <C> <C> <C> <C>
Operations:
Net investment income (loss) ....................... $ 8,226 $ 12,976 $ 4,133 $ 9,220
Net realized gain (loss) on investment
securities, option contracts, futures contracts
and foreign currency transactions ................. 0 0 (2,195) (411)
Change in unrealized appreciation
(depreciation) on investment securities,
option contracts, futures contracts and
foreign currency transactions ..................... 0 0 2,830 (13,729)
------------- ----------- --------- ---------
Net increase (decrease) in net assets
resulting from operations ......................... 8,226 12,976 4,768 (4,920)
------------- ----------- --------- ---------
Distribution to Shareholders:
Net investment income .............................. (8,226) (12,976) 0 (8,875)
In excess of net investment income ................. 0 0 0 0
Net realized gains ................................. 0 0 0 0
In excess of net realized gains .................... 0 0 0 0
------------- ----------- --------- ---------
Total distributions ............................... (8,226) (12,976) 0 (8,875)
------------- ----------- --------- ---------
Capital Share Transactions:
Net proceeds from sales of shares .................. 870,562 991,379 8,711 45,448
Dividends and distributions reinvested ............. 8,226 12,976 0 8,875
Cost of shares redeemed ............................ (1,074,594) (744,275) (34,374) (57,387)
------------- ----------- --------- ---------
Increase (decrease) in net assets from
capital share transactions ....................... (195,806) 260,080 (25,663) (3,064)
------------- ----------- --------- ---------
Net increase (decrease) in net assets .............. (195,806) 260,080 (20,895) (16,859)
Net Assets:
Beginning of period ................................ 429,811 169,731 153,885 170,744
------------- ----------- --------- ---------
End of period ...................................... $ 234,005 $ 429,811 $ 132,990 $ 153,885
============= =========== ========= =========
Undistributed (distributions in excess of)
net investment income ............................. $ 0 $ 0 $ 4,653 $ 520
============= =========== ========= =========
Share Activity:
Shares outstanding - beginning of period ........... 429,811 169,731 14,508 14,727
------------- ----------- --------- ---------
Shares issued ...................................... 870,562 991,379 808 3,991
Shares issued - reinvestment of dividends and
distributions ..................................... 8,226 12,976 0 834
Shares redeemed .................................... (1,074,594) (744,275) (3,212) (5,044)
------------- ----------- --------- ---------
Increase (decrease) in shares outstanding .......... (195,806) 260,080 (2,404) (219)
------------- ----------- --------- ---------
Shares outstanding - end of period ................. 234,005 429,811 12,104 14,508
============= =========== ========= =========
<CAPTION>
WRL
Janus
Growth
-------------------------------
June 30, December 31,
2000 1999
--------------- ---------------
<S> <C> <C>
Operations:
Net investment income (loss) ....................... $ (3,069) $ (1,691)
Net realized gain (loss) on investment
securities, option contracts, futures contracts
and foreign currency transactions ................. 425,718 1,031,847
Change in unrealized appreciation
(depreciation) on investment securities,
option contracts, futures contracts and
foreign currency transactions ..................... (507,287) 598,439
----------- -------------
Net increase (decrease) in net assets
resulting from operations ......................... (84,638) 1,628,595
----------- -------------
Distribution to Shareholders:
Net investment income .............................. 0 0
In excess of net investment income ................. 0 (60,998)
Net realized gains ................................. 0 (659,821)
In excess of net realized gains .................... 0 0
----------- -------------
Total distributions ............................... 0 (720,819)
----------- -------------
Capital Share Transactions:
Net proceeds from sales of shares .................. 274,519 484,176
Dividends and distributions reinvested ............. 0 720,819
Cost of shares redeemed ............................ (181,784) (1,057,588)
----------- -------------
Increase (decrease) in net assets from
capital share transactions ....................... 92,735 147,407
----------- -------------
Net increase (decrease) in net assets .............. 8,097 1,055,183
Net Assets:
Beginning of period ................................ 4,141,240 3,086,057
----------- -------------
End of period ...................................... $ 4,149,337 $ 4,141,240
=========== =============
Undistributed (distributions in excess of)
net investment income ............................. $ 2,302 $ 5,371
=========== =============
Share Activity:
Shares outstanding - beginning of period ........... 53,096 51,486
----------- -------------
Shares issued ...................................... 3,482 6,984
Shares issued - reinvestment of dividends and
distributions ..................................... 0 9,823
Shares redeemed .................................... (2,314) (15,197)
----------- -------------
Increase (decrease) in shares outstanding .......... 1,168 1,610
----------- -------------
Shares outstanding - end of period ................. 54,264 53,096
=========== =============
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 139
<PAGE>
Statements of Changes in Net Assets
For the Period Ended
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL
WRL LKCM
Janus Strategic
Global Total Return
------------------------------- ----------------------------
June 30, December 31, June 30, December 31,
2000 1999 2000 1999
--------------- --------------- ------------- --------------
<S> <C> <C> <C> <C>
Operations:
Net investment income (loss) ....................... $ 708 $ (1,743) $ 6,596 $ 12,034
Net realized gain (loss) on investment
securities, option contracts, futures contracts
and foreign currency transactions ................. 342,307 152,591 21,320 38,778
Change in unrealized appreciation
(depreciation) on investment securities,
option contracts, futures contracts and
foreign currency transactions ..................... (309,876) 642,354 (41,901) 17,802
----------- ----------- --------- ---------
Net increase (decrease) in net assets
resulting from operations ......................... 33,139 793,202 (13,985) 68,614
----------- ----------- --------- ---------
Distribution to Shareholders:
Net investment income .............................. 0 0 0 (12,630)
In excess of net investment income ................. 0 0 0 0
Net realized gains ................................. 0 (125,550) 0 (39,684)
In excess of net realized gains .................... 0 0 0 0
----------- ----------- --------- ---------
Total distributions ............................... 0 (125,550) 0 (52,314)
----------- ----------- --------- ---------
Capital Share Transactions:
Net proceeds from sales of shares .................. 483,360 319,155 42,327 48,068
Dividends and distributions reinvested ............. 0 125,550 0 52,314
Cost of shares redeemed ............................ (310,566) (255,912) (73,074) (84,578)
----------- ----------- --------- ---------
Increase (decrease) in net assets from
capital share transactions ....................... 172,794 188,793 (30,747) 15,804
----------- ----------- --------- ---------
Net increase (decrease) in net assets .............. 205,933 856,445 (44,732) 32,104
Net Assets:
Beginning of period ................................ 1,926,210 1,069,765 624,416 592,312
----------- ----------- --------- ---------
End of period ...................................... $ 2,132,143 $ 1,926,210 $ 579,684 $ 624,416
=========== =========== ========= =========
Undistributed (distributions in excess of)
net investment income ............................. $ 2,815 $ 2,107 $ 7,699 $ 1,103
=========== =========== ========= =========
Share Activity:
Shares outstanding - beginning of period ........... 51,419 45,121 37,064 36,106
----------- ----------- --------- ---------
Shares issued ...................................... 12,337 11,486 2,592 2,859
Shares issued - reinvestment of dividends and
distributions ..................................... 0 3,912 0 3,137
Shares redeemed .................................... (7,820) (9,100) (4,468) (5,038)
----------- ----------- --------- ---------
Increase (decrease) in shares outstanding .......... 4,517 6,298 (1,876) 958
----------- ----------- --------- ---------
Shares outstanding - end of period ................. 55,936 51,419 35,188 37,064
=========== =========== ========= =========
<CAPTION>
WRL
VKAM
Emerging Growth
-------------------------------
June 30, December 31,
2000 1999
--------------- ---------------
<S> <C> <C>
Operations:
Net investment income (loss) ....................... $ (4,487) $ (4,931)
Net realized gain (loss) on investment
securities, option contracts, futures contracts
and foreign currency transactions ................. 329,311 304,116
Change in unrealized appreciation
(depreciation) on investment securities,
option contracts, futures contracts and
foreign currency transactions ..................... (109,602) 661,003
----------- -----------
Net increase (decrease) in net assets
resulting from operations ......................... 215,222 960,188
----------- -----------
Distribution to Shareholders:
Net investment income .............................. 0 0
In excess of net investment income ................. 0 (8,900)
Net realized gains ................................. 0 (259,765)
In excess of net realized gains .................... 0 0
----------- -----------
Total distributions ............................... 0 (268,665)
----------- -----------
Capital Share Transactions:
Net proceeds from sales of shares .................. 729,598 359,236
Dividends and distributions reinvested ............. 0 268,665
Cost of shares redeemed ............................ (501,760) (256,839)
----------- -----------
Increase (decrease) in net assets from
capital share transactions ....................... 227,838 371,062
----------- -----------
Net increase (decrease) in net assets .............. 443,060 1,062,585
Net Assets:
Beginning of period ................................ 1,916,025 853,440
----------- -----------
End of period ...................................... $ 2,359,085 $ 1,916,025
=========== ===========
Undistributed (distributions in excess of)
net investment income ............................. $ 14,480 $ 18,967
=========== ===========
Share Activity:
Shares outstanding - beginning of period ........... 41,647 31,698
----------- -----------
Shares issued ...................................... 14,326 10,833
Shares issued - reinvestment of dividends and
distributions ..................................... 0 6,909
Shares redeemed .................................... (9,908) (7,793)
----------- -----------
Increase (decrease) in shares outstanding .......... 4,418 9,949
----------- -----------
Shares outstanding - end of period ................. 46,065 41,647
=========== ===========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
140 / WRL Series Fund, Inc.
<PAGE>
Statements of Changes in Net Assets
For the Period Ended
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL
Alger
Aggressive Growth
-------------------------------
June 30, December 31,
2000 1999
--------------- ---------------
<S> <C> <C>
Operations:
Net investment income (loss) ....................... $ (3,147) $ (4,136)
Net realized gain (loss) on investment
securities, option contracts, futures contracts
and foreign currency transactions ................. 39,990 125,070
Change in unrealized appreciation
(depreciation) on investment securities,
option contracts, futures contracts and
foreign currency transactions ..................... (136,044) 319,655
----------- -----------
Net increase (decrease) in net assets
resulting from operations ......................... (99,201) 440,589
----------- -----------
Distribution to Shareholders:
Net investment income .............................. 0 (4,899)
In excess of net investment income ................. 0 (43,336)
Net realized gains ................................. 0 (72,062)
In excess of net realized gains .................... 0 0
----------- -----------
Total distributions ............................... 0 (120,297)
----------- -----------
Capital Share Transactions:
Net proceeds from sales of shares .................. 215,055 201,134
Dividends and distributions reinvested ............. 0 120,297
Cost of shares redeemed ............................ (38,725) (98,376)
----------- -----------
Increase (decrease) in net assets from
capital share transactions ....................... 176,330 223,055
----------- -----------
Net increase (decrease) in net assets .............. 77,129 543,347
Net Assets:
Beginning of period ................................ 1,117,511 574,164
----------- -----------
End of period ...................................... $ 1,194,640 $ 1,117,511
=========== ===========
Undistributed (distributions in excess of)
net investment income ............................. $ 13,210 $ 16,357
=========== ===========
Share Activity:
Shares outstanding - beginning of period ........... 33,584 25,588
----------- -----------
Shares issued ...................................... 6,360 7,816
Shares issued - reinvestment of dividends and
distributions ..................................... 0 4,038
Shares redeemed .................................... (1,199) (3,858)
----------- -----------
Increase (decrease) in shares outstanding .......... 5,161 7,996
----------- -----------
Shares outstanding - end of period ................. 38,745 33,584
=========== ===========
<CAPTION>
WRL WRL
AEGON Federated
Balanced Growth & Income
---------------------------- --------------------------
June 30, December 31, June 30, December 31,
2000 1999 2000 1999
------------- -------------- ------------ -------------
<S> <C> <C> <C> <C>
Operations:
Net investment income (loss) ....................... $ 1,048 $ 2,172 $ 1,748 $ 3,293
Net realized gain (loss) on investment
securities, option contracts, futures contracts
and foreign currency transactions ................. 505 (3,108) (5,436) 1,800
Change in unrealized appreciation
(depreciation) on investment securities,
option contracts, futures contracts and
foreign currency transactions ..................... (2,316) 3,712 8,546 (8,969)
--------- --------- ---------- ----------
Net increase (decrease) in net assets
resulting from operations ......................... (763) 2,776 4,858 (3,876)
--------- --------- ---------- ----------
Distribution to Shareholders:
Net investment income .............................. 0 (2,214) 0 (4,921)
In excess of net investment income ................. 0 0 0 (150)
Net realized gains ................................. 0 0 0 (648)
In excess of net realized gains .................... 0 0 0 0
--------- --------- ---------- ----------
Total distributions ............................... 0 (2,214) 0 (5,719)
--------- --------- ---------- ----------
Capital Share Transactions:
Net proceeds from sales of shares .................. 8,408 25,902 26,036 17,607
Dividends and distributions reinvested ............. 0 2,214 0 5,719
Cost of shares redeemed ............................ (12,959) (15,205) (17,800) (25,067)
--------- --------- ---------- ----------
Increase (decrease) in net assets from
capital share transactions ....................... (4,551) 12,911 8,236 (1,741)
--------- --------- ---------- ----------
Net increase (decrease) in net assets .............. (5,314) 13,473 13,094 (11,336)
Net Assets:
Beginning of period ................................ 108,473 95,000 76,280 87,616
--------- --------- ---------- ----------
End of period ...................................... $ 103,159 $ 108,473 $ 89,374 $ 76,280
========= ========= ========== ==========
Undistributed (distributions in excess of)
net investment income ............................. $ 1,620 $ 572 $ 3,524 $ 1,776
========= ========= ========== ==========
Share Activity:
Shares outstanding - beginning of period ........... 8,568 7,574 6,994 7,135
--------- --------- ---------- ----------
Shares issued ...................................... 666 2,017 2,250 1,465
Shares issued - reinvestment of dividends and
distributions ..................................... 0 174 0 502
Shares redeemed .................................... (1,049) (1,197) (1,575) (2,108)
--------- --------- ---------- ----------
Increase (decrease) in shares outstanding .......... (383) 994 675 (141)
--------- --------- ---------- ----------
Shares outstanding - end of period ................. 8,185 8,568 7,669 6,994
========= ========= ========== ==========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 141
<PAGE>
Statements of Changes in Net Assets
For the Period Ended
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL WRL
Dean Asset C.A.S.E.
Allocation Growth
---------------------------- ---------------------------
June 30, December 31, June 30, December 31,
2000 1999 2000 1999
------------- -------------- ------------ --------------
<S> <C> <C> <C> <C>
Operations:
Net investment income (loss) ....................... $ 3,712 $ 9,797 $ (65) $ (304)
Net realized gain (loss) on investment
securities, option contracts, futures contracts
and foreign currency transactions ................. 5,012 (831) 8,791 11,672
Change in unrealized appreciation
(depreciation) on investment securities,
option contracts, futures contracts and
foreign currency transactions ..................... (5,855) (26,992) (8,952) 11,627
--------- ----------- ---------- ----------
Net increase (decrease) in net assets
resulting from operations ......................... 2,869 (18,026) (226) 22,995
--------- ----------- ---------- ----------
Distribution to Shareholders:
Net investment income .............................. 0 (8,946) 0 (3,650)
In excess of net investment income ................. 0 0 0 (5,304)
Net realized gains ................................. 0 (975) 0 0
In excess of net realized gains .................... 0 (587) 0 0
--------- ----------- ---------- ----------
Total distributions ............................... 0 (10,508) 0 (8,954)
--------- ----------- ---------- ----------
Capital Share Transactions:
Net proceeds from sales of shares .................. 3,751 14,385 20,518 53,421
Dividends and distributions reinvested ............. 0 10,508 0 8,954
Cost of shares redeemed ............................ (73,184) (100,390) (17,438) (52,209)
--------- ----------- ---------- ----------
Increase (decrease) in net assets from
capital share transactions ....................... (69,433) (75,497) 3,080 10,166
--------- ----------- ---------- ----------
Net increase (decrease) in net assets .............. (66,564) (104,031) 2,854 24,207
Net Assets:
Beginning of period ................................ 261,707 365,738 93,608 69,401
--------- ----------- ---------- ----------
End of period ...................................... $ 195,143 $ 261,707 $ 96,462 $ 93,608
========= =========== ========== ==========
Undistributed (distributions in excess of)
net investment income ............................. $ 5,880 $ 2,168 $ 6,033 $ 6,098
========= =========== ========== ==========
Share Activity:
Shares outstanding - beginning of period ........... 21,574 27,393 5,961 5,342
--------- ----------- ---------- ----------
Shares issued ...................................... 304 1,074 1,408 3,515
Shares issued - reinvestment of dividends and
distributions ..................................... 0 843 0 578
Shares redeemed .................................... (5,992) (7,736) (1,164) (3,474)
--------- ----------- ---------- ----------
Increase (decrease) in shares outstanding .......... (5,688) (5,819) 244 619
--------- ----------- ---------- ----------
Shares outstanding - end of period ................. 15,886 21,574 6,205 5,961
========= =========== ========== ==========
<CAPTION>
WRL
NWQ
Value Equity
---------------------------
June 30, December 31,
2000 1999
------------- -------------
<S> <C> <C>
Operations:
Net investment income (loss) ....................... $ 655 $ 1,169
Net realized gain (loss) on investment
securities, option contracts, futures contracts
and foreign currency transactions ................. 10,108 (6,640)
Change in unrealized appreciation
(depreciation) on investment securities,
option contracts, futures contracts and
foreign currency transactions ..................... (9,062) 15,217
--------- ---------
Net increase (decrease) in net assets
resulting from operations ......................... 1,701 9,746
--------- ---------
Distribution to Shareholders:
Net investment income .............................. 0 (1,207)
In excess of net investment income ................. 0 0
Net realized gains ................................. 0 0
In excess of net realized gains .................... 0 (2,104)
--------- ---------
Total distributions ............................... 0 (3,311)
--------- ---------
Capital Share Transactions:
Net proceeds from sales of shares .................. 37,133 53,627
Dividends and distributions reinvested ............. 0 3,311
Cost of shares redeemed ............................ (40,788) (83,372)
--------- ---------
Increase (decrease) in net assets from
capital share transactions ....................... (3,655) (26,434)
--------- ---------
Net increase (decrease) in net assets .............. (1,954) (19,999)
Net Assets:
Beginning of period ................................ 137,158 157,157
--------- ---------
End of period ...................................... $ 135,204 $ 137,158
========= =========
Undistributed (distributions in excess of)
net investment income ............................. $ 1,224 $ 569
========= =========
Share Activity:
Shares outstanding - beginning of period ........... 10,742 12,972
--------- ---------
Shares issued ...................................... 2,814 3,973
Shares issued - reinvestment of dividends and
distributions ..................................... 0 264
Shares redeemed .................................... (3,155) (6,467)
--------- ---------
Increase (decrease) in shares outstanding .......... (341) (2,230)
--------- ---------
Shares outstanding - end of period ................. 10,401 10,742
========= =========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
142 / WRL Series Fund, Inc.
<PAGE>
Statements of Changes in Net Assets
For the Period Ended
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL
GE
International Equity
---------------------------
June 30, December 31,
2000 1999
------------ --------------
<S> <C> <C>
Operations:
Net investment income (loss) ....................... $ 116 $ 102
Net realized gain (loss) on investment
securities, option contracts, futures contracts
and foreign currency transactions ................. 5,729 3,341
Change in unrealized appreciation
(depreciation) on investment securities,
option contracts, futures contracts and
foreign currency transactions ..................... (5,642) 4,788
-------- -----------
Net increase (decrease) in net assets
resulting from operations ......................... 203 8,231
-------- -----------
Distribution to Shareholders:
Net investment income .............................. 0 (120)
In excess of net investment income ................. 0 0
Net realized gains ................................. 0 (1,600)
In excess of net realized gains .................... 0 0
-------- -----------
Total distributions ............................... 0 (1,720)
-------- -----------
Capital Share Transactions:
Net proceeds from sales of shares .................. 8,383 199,915
Dividends and distributions reinvested ............. 0 1,720
Cost of shares redeemed ............................ (5,978) (206,716)
-------- -----------
Increase (decrease) in net assets from
capital share transactions ....................... 2,405 (5,081)
-------- -----------
Net increase (decrease) in net assets .............. 2,608 1,430
Net Assets:
Beginning of period ................................ 33,579 32,149
-------- -----------
End of period ...................................... $ 36,187 $ 33,579
======== ===========
Undistributed (distributions in excess of)
net investment income ............................. $ 249 $ 133
======== ===========
Share Activity:
Shares outstanding - beginning of period ........... 2,351 2,664
-------- -----------
Shares issued ...................................... 603 16,282
Shares issued - reinvestment of dividends and
distributions ..................................... 0 131
Shares redeemed .................................... (428) (16,726)
-------- -----------
Increase (decrease) in shares outstanding .......... 175 (313)
-------- -----------
Shares outstanding - end of period ................. 2,526 2,351
======== ===========
<CAPTION>
WRL WRL
GE Third Avenue
U.S. Equity Value
---------------------------- --------------------------
June 30, December 31, June 30, December 31,
2000 1999 2000 1999
------------- -------------- ------------ -------------
<S> <C> <C> <C> <C>
Operations:
Net investment income (loss) ....................... $ 447 $ 676 $ 198 $ 321
Net realized gain (loss) on investment
securities, option contracts, futures contracts
and foreign currency transactions ................. 6,008 11,831 1,641 (541)
Change in unrealized appreciation
(depreciation) on investment securities,
option contracts, futures contracts and
foreign currency transactions ..................... (5,607) 11,537 3,599 2,835
--------- --------- ---------- --------
Net increase (decrease) in net assets
resulting from operations ......................... 848 24,044 5,438 2,615
--------- --------- ---------- --------
Distribution to Shareholders:
Net investment income .............................. 0 (1,951) 0 (528)
In excess of net investment income ................. 0 (3,433) 0 0
Net realized gains ................................. 0 (7,646) 0 0
In excess of net realized gains .................... 0 0 0 0
--------- --------- ---------- --------
Total distributions ............................... 0 (13,030) 0 (528)
--------- --------- ---------- --------
Capital Share Transactions:
Net proceeds from sales of shares .................. 45,610 94,251 43,207 7,369
Dividends and distributions reinvested ............. 0 13,030 0 528
Cost of shares redeemed ............................ (21,170) (49,831) (17,888) (8,973)
--------- --------- ---------- --------
Increase (decrease) in net assets from
capital share transactions ....................... 24,440 57,450 25,319 (1,076)
--------- --------- ---------- --------
Net increase (decrease) in net assets .............. 25,288 68,464 30,757 1,011
Net Assets:
Beginning of period ................................ 179,267 110,803 19,217 18,206
--------- --------- ---------- --------
End of period ...................................... $ 204,555 $ 179,267 $ 49,974 $ 19,217
========= ========= ========== ========
Undistributed (distributions in excess of)
net investment income ............................. $ 1,399 $ 952 $ 319 $ 121
========= ========= ========== ========
Share Activity:
Shares outstanding - beginning of period ........... 11,352 7,684 1,838 1,960
--------- --------- ---------- --------
Shares issued ...................................... 2,935 6,084 3,478 790
Shares issued - reinvestment of dividends and
distributions ..................................... 0 833 0 54
Shares redeemed .................................... (1,350) (3,249) (1,434) (966)
--------- --------- ---------- --------
Increase (decrease) in shares outstanding .......... 1,585 3,668 2,044 (122)
--------- --------- ---------- --------
Shares outstanding - end of period ................. 12,937 11,352 3,882 1,838
========= ========= ========== ========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 143
<PAGE>
Statements of Changes in Net Assets
For the Period Ended
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL WRL
J.P. Morgan Goldman Sachs
Real Estate Securities Growth
-------------------------- ---------------------------
June 30, December 31, June 30, December 31,
2000 1999 2000 1999(1)
----------- -------------- ------------ --------------
<S> <C> <C> <C> <C>
Operations:
Net investment income (loss) ....................... $ 138 $ 181 $ 4 $ 4
Net realized gain (loss) on investment
securities, option contracts, futures contracts
and foreign currency transactions ................. 114 (230) 295 92
Change in unrealized appreciation
(depreciation) on investment securities,
option contracts, futures contracts and
foreign currency transactions ..................... 416 (168) 15 1,023
--------- --------- -------- ---------
Net increase (decrease) in net assets
resulting from operations ......................... 668 (217) 314 1,119
--------- --------- -------- ---------
Distribution to Shareholders:
Net investment income .............................. 0 (62) 0 0
In excess of net investment income ................. 0 0 0 0
Net realized gains ................................. 0 0 0 0
In excess of net realized gains .................... 0 0 0 0
--------- --------- -------- ---------
Total distributions ............................... 0 (62) 0 0
--------- --------- -------- ---------
Capital Share Transactions:
Net proceeds from sales of shares .................. 7,672 7,173 8,312 8,740
Dividends and distributions reinvested ............. 0 62 0 0
Cost of shares redeemed ............................ (5,430) (6,171) (2,432) (1,655)
--------- --------- -------- ---------
Increase (decrease) in net assets from
capital share transactions ....................... 2,242 1,064 5,880 7,085
--------- --------- -------- ---------
Net increase (decrease) in net assets .............. 2,910 785 6,194 8,204
Net Assets:
Beginning of period ................................ 3,199 2,414 8,204 0
--------- --------- -------- ---------
End of period ...................................... $ 6,109 $ 3,199 $ 14,398 $ 8,204
========= ========= ======== =========
Undistributed (distributions in excess of)
net investment income ............................. $ 290 $ 152 $ 128 $ 124
========= ========= ======== =========
Share Activity:
Shares outstanding - beginning of period ........... 397 284 698 0
--------- --------- -------- ---------
Shares issued ...................................... 867 829 721 860
Shares issued - reinvestment of dividends and
distributions ..................................... 0 7 0 0
Shares redeemed .................................... (606) (723) (210) (162)
--------- --------- -------- ---------
Increase (decrease) in shares outstanding .......... 261 113 511 698
--------- --------- -------- ---------
Shares outstanding - end of period ................. 658 397 1,209 698
========= ========= ======== =========
<CAPTION>
WRL
Goldman Sachs
Small Cap
-------------------------
June 30, December 31,
2000 1999(1)
----------- -------------
<S> <C> <C>
Operations:
Net investment income (loss) ....................... $ 10 $ 7
Net realized gain (loss) on investment
securities, option contracts, futures contracts
and foreign currency transactions ................. (47) 218
Change in unrealized appreciation
(depreciation) on investment securities,
option contracts, futures contracts and
foreign currency transactions ..................... 145 242
--------- --------
Net increase (decrease) in net assets
resulting from operations ......................... 108 467
--------- --------
Distribution to Shareholders:
Net investment income .............................. 0 (7)
In excess of net investment income ................. 0 (93)
Net realized gains ................................. 0 0
In excess of net realized gains .................... 0 0
--------- ----------
Total distributions ............................... 0 (100)
--------- ----------
Capital Share Transactions:
Net proceeds from sales of shares .................. 3,030 6,972
Dividends and distributions reinvested ............. 0 100
Cost of shares redeemed ............................ (1,078) (4,656)
--------- ----------
Increase (decrease) in net assets from
capital share transactions ....................... 1,952 2,416
--------- ----------
Net increase (decrease) in net assets .............. 2,060 2,783
Net Assets:
Beginning of period ................................ 2,783 0
--------- ----------
End of period ...................................... $ 4,843 $ 2,783
========= ========
Undistributed (distributions in excess of)
net investment income ............................. $ 129 $ 119
========= ========
Share Activity:
Shares outstanding - beginning of period ........... 247 0
--------- ----------
Shares issued ...................................... 261 678
Shares issued - reinvestment of dividends and
distributions ..................................... 0 9
Shares redeemed .................................... (91) (440)
--------- ----------
Increase (decrease) in shares outstanding .......... 170 247
--------- ----------
Shares outstanding - end of period ................. 417 247
========= ========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
144 / WRL Series Fund, Inc.
<PAGE>
Statements of Changes in Net Assets
For the Period Ended
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL WRL
T. Rowe Price T. Rowe Price
Dividend Growth Small Cap
--------------------------- ---------------------------
June 30, December 31, June 30, December 31,
2000 1999(1) 2000 1999(1)
------------ -------------- ------------ --------------
<S> <C> <C> <C> <C>
Operations:
Net investment income (loss) ....................... $ 68 $ 61 $ (47) $ (19)
Net realized gain (loss) on investment
securities, option contracts, futures contracts
and foreign currency transactions ................. (540) (266) 552 441
Change in unrealized appreciation
(depreciation) on investment securities,
option contracts, futures contracts and
foreign currency transactions ..................... 828 (178) 76 2,037
-------- --------- -------- ---------
Net increase (decrease) in net assets
resulting from operations ......................... 356 (383) 581 2,459
-------- --------- -------- ---------
Distribution to Shareholders:
Net investment income .............................. 0 0 0 0
In excess of net investment income ................. 0 0 0 (300)
Net realized gains ................................. 0 0 0 0
In excess of net realized gains .................... 0 0 0 0
-------- --------- -------- ---------
Total distributions ............................... 0 0 0 (300)
-------- --------- -------- ---------
Capital Share Transactions:
Net proceeds from sales of shares .................. 7,029 10,770 15,916 16,324
Dividends and distributions reinvested ............. 0 0 0 300
Cost of shares redeemed ............................ (3,348) (1,657) (2,743) (8,959)
-------- --------- -------- ---------
Increase (decrease) in net assets from
capital share transactions ...................... 3,681 9,113 13,173 7,665
-------- --------- -------- ---------
Net increase (decrease) in net assets .............. 4,037 8,730 13,754 9,824
Net Assets:
Beginning of period ................................ 8,730 0 9,824 0
-------- --------- -------- ---------
End of period ...................................... $ 12,767 $ 8,730 $ 23,578 $ 9,824
======== ========= ======== =========
Undistributed (distributions in excess of)
net investment income ............................. $ 128 $ 60 $ 212 $ 259
======== ========= ======== =========
Share Activity:
Shares outstanding - beginning of period ........... 943 0 732 0
-------- --------- -------- ---------
Shares issued ...................................... 773 1,120 1,113 1,510
Shares issued - reinvestment of dividends and
distributions ..................................... 0 0 0 23
Shares redeemed .................................... (366) (177) (203) (801)
-------- --------- -------- ---------
Increase (decrease) in shares outstanding .......... 407 943 910 732
-------- --------- -------- ---------
Shares outstanding - end of period ................. 1,350 943 1,642 732
======== ========= ======== =========
<CAPTION>
WRL
Salomon
All Cap
--------------------------
June 30, December 31,
2000 1999(1)
------------ -------------
<S> <C> <C>
Operations:
Net investment income (loss) ....................... $ 80 $ 31
Net realized gain (loss) on investment
securities, option contracts, futures contracts
and foreign currency transactions ................. 1,300 508
Change in unrealized appreciation
(depreciation) on investment securities,
option contracts, futures contracts and
foreign currency transactions ..................... 715 142
-------- ---------
Net increase (decrease) in net assets
resulting from operations ......................... 2,095 681
-------- ---------
Distribution to Shareholders:
Net investment income .............................. 0 (31)
In excess of net investment income ................. 0 (169)
Net realized gains ................................. 0 0
In excess of net realized gains .................... 0 0
-------- ---------
Total distributions ............................... 0 (200)
-------- ---------
Capital Share Transactions:
Net proceeds from sales of shares .................. 26,340 12,041
Dividends and distributions reinvested ............. 0 200
Cost of shares redeemed ............................ (8,882) (6,036)
-------- ---------
Increase (decrease) in net assets from
capital share transactions ...................... 17,458 6,205
-------- ---------
Net increase (decrease) in net assets .............. 19,553 6,686
Net Assets:
Beginning of period ................................ 6,686 0
-------- ---------
End of period ...................................... $ 26,239 $ 6,686
======== =========
Undistributed (distributions in excess of)
net investment income ............................. $ 534 $ 454
======== =========
Share Activity:
Shares outstanding - beginning of period ........... 598 0
-------- ---------
Shares issued ...................................... 2,126 1,140
Shares issued - reinvestment of dividends and
distributions ..................................... 0 18
Shares redeemed .................................... (706) (560)
-------- ---------
Increase (decrease) in shares outstanding .......... 1,420 598
-------- ---------
Shares outstanding - end of period ................. 2,018 598
======== =========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 145
<PAGE>
Statements of Changes in Net Assets
For the Period Ended
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL WRL
Pilgrim Baxter Dreyfus
Mid Cap Growth Mid Cap
--------------------------- ------------------------
June 30, December 31, June 30, December 31,
2000 1999(1) 2000 1999(1)
------------- ------------- ---------- ------------
<S> <C> <C> <C> <C>
Operations:
Net investment income (loss) ....................... $ (150) $ (26) $ 9 $ 5
Net realized gain (loss) on investment
securities, option contracts, futures contracts
and foreign currency transactions ................. (721) 2,090 373 (6)
Change in unrealized appreciation
(depreciation) on investment securities,
option contracts, futures contracts and
foreign currency transactions ..................... 8,730 9,797 (14) 164
--------- -------- -------- -------
Net increase (decrease) in net assets
resulting from operations ......................... 7,859 11,861 368 163
--------- -------- -------- -------
Distribution to Shareholders:
Net investment income .............................. 0 0 0 0
In excess of net investment income ................. 0 (100) 0 0
Net realized gains ................................. 0 0 0 0
In excess of net realized gains .................... 0 0 0 0
--------- -------- -------- -------
Total distributions ............................... 0 (100) 0 0
--------- -------- -------- -------
Capital Share Transactions:
Net proceeds from sales of shares .................. 173,198 34,054 5,591 4,485
Dividends and distributions reinvested ............. 0 100 0 0
Cost of shares redeemed ............................ (19,630) (8,714) (2,706) (1,264)
--------- -------- -------- -------
Increase (decrease) in net assets from
capital share transactions ....................... 153,568 25,440 2,885 3,221
--------- -------- -------- -------
Net increase (decrease) in net assets .............. 161,427 37,201 3,253 3,384
Net Assets:
Beginning of period ................................ 37,201 0 3,384 0
--------- -------- -------- -------
End of period ...................................... $ 198,628 $ 37,201 $ 6,637 $ 3,384
========= ======== ======== =======
Undistributed (distributions in excess of)
net investment income ............................. $ 1,864 $ 2,014 $ 43 $ 34
========= ======== ======== =======
Share Activity:
Shares outstanding - beginning of period ........... 2,096 0 316 0
--------- -------- -------- -------
Shares issued ...................................... 8,128 2,765 495 440
Shares issued - reinvestment of dividends and
distributions ..................................... 0 6 0 0
Shares redeemed .................................... (1,103) (675) (246) (124)
--------- -------- -------- -------
Increase (decrease) in shares outstanding .......... 7,025 2,096 249 316
--------- -------- -------- -------
Shares outstanding - end of period ................. 9,121 2,096 565 316
========= ======== ======== =======
</TABLE>
See accompanying notes which are an integral part of the financial statements.
146 / WRL Series Fund, Inc.
<PAGE>
Statements of Changes in Net Assets
For the Period Ended
All Amounts in Thousands
(unaudited)
<TABLE>
<CAPTION>
WRL WRL WRL
Value Line Great Great
Aggressive Companies - Companies -
Growth America(SM) Technology(SM)
------------ ------------- --------------
June 30, June 30, June 30,
2000(1) 2000(1) 2000(1)
------------ ------------- --------------
<S> <C> <C> <C>
Operations:
Net investment income (loss) ...................... $ 1 $ 9 $ 6
Net realized gain (loss) on investment
securities, option contracts, futures contracts
and foreign currency transactions ................ 10 (79) 0
Change in unrealized appreciation
(depreciation) on investment securities,
option contracts, futures contracts and
foreign currency transactions .................... 26 695 350
------- -------- -------
Net increase (decrease) in net assets
resulting from operations ........................ 37 625 356
------- -------- -------
Distribution to Shareholders:
Net investment income ............................. 0 0 0
In excess of net investment income ................ 0 0 0
Net realized gains ................................ 0 0 0
In excess of net realized gains ................... 0 0 0
------- -------- -------
Total distributions .............................. 0 0 0
------- -------- -------
Capital Share Transactions:
Net proceeds from sales of shares ................. 1,444 27,109 10,383
Dividends and distributions reinvested ............ 0 0 0
Cost of shares redeemed ........................... (2) (1,689) (69)
-------- -------- -------
Increase (decrease) in net assets from
capital share transactions ...................... 1,442 25,420 10,314
------- -------- -------
Net increase (decrease) in net assets ............. 1,479 26,045 10,670
Net Assets:
Beginning of period ............................... 0 0 0
------- -------- -------
End of period ..................................... $ 1,479 $ 26,045 $ 10,670
======= ======== ========
Undistributed (distributions in excess of)
net investment income ............................ $ 1 $ 9 $ 6
======= ======== ========
Share Activity:
Shares outstanding - beginning of period .......... 0 0 0
------- -------- --------
Shares issued ..................................... 141 2,668 1,032
Shares issued - reinvestment of dividends and
distributions .................................... 0 0 0
Shares redeemed ................................... 0 (168) (7)
------- -------- --------
Increase (decrease) in shares outstanding ......... 141 2,500 1,025
------- -------- --------
Shares outstanding - end of period ................ 141 2,500 1,025
======== ======== ========
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 147
<PAGE>
Financial Highlights
For the Period Ended
(unaudited)
<TABLE>
<CAPTION>
WRL J.P. Morgan Money Market
------------------------------
June 30, December 31,
-------------- ---------------
2000 1999
-------------- ---------------
<S> <C> <C>
Net asset value, beginning of period ............................... $ 1.00 $ 1.00
Income from operations:
Net investment income (loss) ..................................... 0.03 0.05
Net realized and unrealized gain (loss) on investments ........... 0.00 0.00
--------- ---------
Net income (loss) from operations ............................... 0.03 0.05
--------- ---------
Distributions:
Dividends from net investment income ............................. (0.03) (0.05)
Dividends in excess of net investment income ..................... 0.00 0.00
Distributions from net realized gains on investments ............. 0.00 0.00
Distributions in excess of net realized gains on investments ..... 0.00 0.00
--------- ---------
Total distributions ............................................. (0.03) (0.05)
--------- ---------
Net asset value, end of period ..................................... $ 1.00 $ 1.00
========= =========
Total return ....................................................... 3.02 % 4.63 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 234,005 $ 429,811
Ratio of expenses to average net assets .......................... 0.43 % 0.44 %
Ratio of net investment income (loss) to average net assets ...... 5.67 % 4.81 %
Portfolio turnover rate .......................................... n/a n/a
<CAPTION>
WRL J.P. Morgan Money Market
---------------------------------------------------------
December 31,
---------------------------------------------------------
1998 1997 1996 1995
-------------- -------------- -------------- ------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period ............................... $ 1.00 $ 1.00 $ 1.00 $ 1.00
Income from operations:
Net investment income (loss) ..................................... 0.05 0.05 0.05 0.05
Net realized and unrealized gain (loss) on investments ........... 0.00 0.00 0.00 0.00
--------- --------- --------- --------
Net income (loss) from operations ............................... 0.05 0.05 0.05 0.05
--------- --------- --------- --------
Distributions:
Dividends from net investment income ............................. (0.05) (0.05) (0.05) (0.05)
Dividends in excess of net investment income ..................... 0.00 0.00 0.00 0.00
Distributions from net realized gains on investments ............. 0.00 0.00 0.00 0.00
Distributions in excess of net realized gains on investments ..... 0.00 0.00 0.00 0.00
--------- --------- --------- --------
Total distributions ............................................. (0.05) (0.05) (0.05) (0.05)
--------- --------- --------- --------
Net asset value, end of period ..................................... $ 1.00 $ 1.00 $ 1.00 $ 1.00
========= ========= ========= ========
Total return ....................................................... 5.26 % 5.24 % 5.03 % 5.40 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 169,731 $ 119,708 $ 122,114 $ 80,544
Ratio of expenses to average net assets .......................... 0.46 % 0.48 % 0.52 % 0.56 %
Ratio of net investment income (loss) to average net assets ...... 5.24 % 5.32 % 5.03 % 5.30 %
Portfolio turnover rate .......................................... n/a n/a n/a n/a
</TABLE>
<TABLE>
<CAPTION>
WRL AEGON Bond
-----------------------------
June 30, December 31,
-------------- --------------
2000 1999
-------------- --------------
<S> <C> <C>
Net asset value, beginning of period ............................... $ 10.61 $ 11.59
Income from operations:
Net investment income (loss) ..................................... 0.32 0.64
Net realized and unrealized gain (loss) on investments ........... 0.06 ( 0.97)
--------- ---------
Net income (loss) from operations ............................... 0.38 ( 0.33)
--------- ---------
Distributions:
Dividends from net investment income ............................. 0.00 ( 0.65)
Dividends in excess of net investment income ..................... 0.00 0.00
Distributions from net realized gains on investments ............. 0.00 0.00
Distributions in excess of net realized gains on investments ..... 0.00 0.00
--------- ---------
Total distributions ............................................. 0.00 ( 0.65)
--------- ---------
Net asset value, end of period ..................................... $ 10.99 $ 10.61
========= =========
Total return ....................................................... 3.58 % ( 2.94)%
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 132,990 $ 153,885
Ratio of expenses to average net assets .......................... 0.52 % 0.53 %
Ratio of net investment income (loss) to average net assets ...... 6.04 % 5.67 %
Portfolio turnover rate .......................................... 17.26 % 26.40 %
<CAPTION>
WRL AEGON Bond
--------------------------------------------------------
December 31,
--------------------------------------------------------
1998 1997 1996 1995
-------------- -------------- ------------- ------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period ............................... $ 11.14 $ 10.71 $ 11.35 $ 9.80
Income from operations:
Net investment income (loss) ..................................... 0.64 0.65 0.64 0.69
Net realized and unrealized gain (loss) on investments ........... 0.40 0.32 ( 0.64) 1.55
--------- --------- -------- --------
Net income (loss) from operations ............................... 1.04 0.97 0.00 2.24
--------- --------- -------- --------
Distributions:
Dividends from net investment income ............................. ( 0.59) ( 0.54) ( 0.64) ( 0.69)
Dividends in excess of net investment income ..................... 0.00 0.00 0.00 0.00
Distributions from net realized gains on investments ............. 0.00 0.00 0.00 0.00
Distributions in excess of net realized gains on investments ..... 0.00 0.00 0.00 0.00
--------- --------- -------- --------
Total distributions ............................................. ( 0.59) ( 0.54) ( 0.64) ( 0.69)
--------- --------- -------- --------
Net asset value, end of period ..................................... $ 11.59 $ 11.14 $ 10.71 $ 11.35
========= ========= ======== ========
Total return ....................................................... 9.32 % 9.16 % 0.14 % 22.99 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 170,744 $ 129,654 $ 95,759 $ 96,972
Ratio of expenses to average net assets .......................... 0.54 % 0.64 % 0.64 % 0.61 %
Ratio of net investment income (loss) to average net assets ...... 5.54 % 5.90 % 5.96 % 6.45 %
Portfolio turnover rate .......................................... 51.60 % 213.03 % 187.72 % 120.54 %
</TABLE>
See accompanying notes which are an integral part of the financial statements.
148 / WRL Series Fund, Inc.
<PAGE>
Financial Highlights
For the Period Ended
(unaudited)
<TABLE>
<CAPTION>
WRL Janus Growth
---------------------------------
June 30, December 31,
---------------- ----------------
2000 1999
---------------- ----------------
<S> <C> <C>
Net asset value, beginning of period ............................... $ 78.00 $ 59.94
Income from operations:
Net investment income (loss) ..................................... ( 0.06) ( 0.04)
Net realized and unrealized gain (loss) on investments ........... ( 1.47) 34.02
----------- ----------
Net income (loss) from operations ............................... ( 1.53) 33.98
----------- ----------
Distributions:
Dividends from net investment income ............................. 0.00 0.00
Dividends in excess of net investment income ..................... 0.00 ( 1.17)
Distributions from net realized gains on investments ............. 0.00 (14.75)
Distributions in excess of net realized gains on investments ..... 0.00 0.00
----------- ----------
Total distributions ............................................. 0.00 (15.92)
----------- ----------
Net asset value, end of period ..................................... $ 76.47 $ 78.00
=========== ==========
Total return ....................................................... ( 1.96) % 59.67 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 4,149,337 $ 4,141,240
Ratio of expenses to average net assets .......................... 0.79 % 0.82 %
Ratio of net investment income (loss) to average net assets ...... (0.14)% (0.05)%
Portfolio turnover rate .......................................... 24.01 % 70.95 %
<CAPTION>
WRL Janus Growth
---------------------------------------------------
December 31,
---------------------------------------------------
1998 1997 1996
---------------- ---------------- ----------------
<S> <C> <C> <C>
Net asset value, beginning of period ............................... $ 36.84 $ 35.00 $ 31.66
Income from operations:
Net investment income (loss) ..................................... 0.12 0.31 0.34
Net realized and unrealized gain (loss) on investments ........... 23.49 5.88 5.35
---------- ---------- ----------
Net income (loss) from operations ............................... 23.61 6.19 5.69
---------- ---------- ----------
Distributions:
Dividends from net investment income ............................. ( 0.09) ( 0.26) ( 0.35)
Dividends in excess of net investment income ..................... 0.00 0.00 ( 0.01)
Distributions from net realized gains on investments ............. ( 0.42) ( 4.09) ( 1.99)
Distributions in excess of net realized gains on investments ..... 0.00 0.00 0.00
---------- ---------- ----------
Total distributions ............................................. ( 0.51) ( 4.35) ( 2.35)
---------- ---------- ----------
Net asset value, end of period ..................................... $ 59.94 $ 36.84 $ 35.00
========== ========== ==========
Total return ....................................................... 64.47 % 17.54 % 17.96 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 3,086,057 $ 1,839,453 $ 1,527,409
Ratio of expenses to average net assets .......................... 0.83 % 0.87 % 0.88 %
Ratio of net investment income (loss) to average net assets ...... 0.25 % 0.80 % 0.98 %
Portfolio turnover rate .......................................... 35.29 % 85.88 % 45.21 %
<CAPTION>
WRL Janus Growth
----------------
December 31,
----------------
1995
----------------
<S> <C>
Net asset value, beginning of period ............................... $ 23.81
Income from operations:
Net investment income (loss) ..................................... 0.26
Net realized and unrealized gain (loss) on investments ........... 10.97
-----------
Net income (loss) from operations ............................... 11.23
-----------
Distributions:
Dividends from net investment income ............................. ( 0.24)
Dividends in excess of net investment income ..................... 0.00
Distributions from net realized gains on investments ............. ( 3.14)
Distributions in excess of net realized gains on investments ..... 0.00
-----------
Total distributions ............................................. ( 3.38)
-----------
Net asset value, end of period ..................................... $ 31.66
===========
Total return ....................................................... 47.12 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 1,195,174
Ratio of expenses to average net assets .......................... 0.86 %
Ratio of net investment income (loss) to average net assets ...... 0.90 %
Portfolio turnover rate .......................................... 130.48 %
</TABLE>
<TABLE>
<CAPTION>
WRL Janus Global
---------------------------------
June 30, December 31,
---------------- ----------------
2000 1999
---------------- ----------------
<S> <C> <C>
Net asset value, beginning of period ............................... $ 37.46 $ 23.71
Income from operations:
Net investment income (loss) ..................................... 0.01 ( 0.04)
Net realized and unrealized gain (loss) on investments ........... 0.65 16.42
----------- -----------
Net income (loss) from operations ............................... 0.66 16.38
----------- -----------
Distributions:
Dividends from net investment income ............................. 0.00 0.00
Dividends in excess of net investment income ..................... 0.00 0.00
Distributions from net realized gains on investments ............. 0.00 ( 2.63)
Distributions in excess of net realized gains on investments ..... 0.00 0.00
----------- -----------
Total distributions ............................................. 0.00 ( 2.63)
----------- -----------
Net asset value, end of period ..................................... $ 38.12 $ 37.46
=========== ===========
Total return ....................................................... 1.75 % 71.10 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 2,132,143 $ 1,926,210
Ratio of expenses to average net assets .......................... 0.87 % 0.92 %
Ratio of net investment income (loss) to average net assets ...... 0.07 % ( 0.14)%
Portfolio turnover rate .......................................... 44.31 % 68.10 %
<CAPTION>
WRL Janus Global
-------------------------------------------------------------
December 31,
-------------------------------------------------------------
1998 1997 1996 1995
---------------- -------------- -------------- --------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period ............................... $ 19.04 $ 18.12 $ 15.52 $ 13.12
Income from operations:
Net investment income (loss) ..................................... 0.05 0.08 0.08 0.10
Net realized and unrealized gain (loss) on investments ........... 5.61 3.32 4.20 2.91
----------- --------- --------- ---------
Net income (loss) from operations ............................... 5.66 3.40 4.28 3.01
----------- --------- --------- ---------
Distributions:
Dividends from net investment income ............................. ( 0.13) ( 0.13) ( 0.04) 0.00
Dividends in excess of net investment income ..................... 0.00 ( 1.01) ( 0.17) 0.00
Distributions from net realized gains on investments ............. ( 0.80) ( 1.34) ( 1.47) ( 0.61)
Distributions in excess of net realized gains on investments ..... ( 0.06) 0.00 0.00 0.00
----------- --------- --------- ---------
Total distributions ............................................. ( 0.99) ( 2.48) ( 1.68) ( 0.61)
----------- --------- --------- ---------
Net asset value, end of period ..................................... $ 23.71 $ 19.04 $ 18.12 $ 15.52
=========== ========= ========= =========
Total return ....................................................... 30.01 % 18.75 % 27.74 % 23.06 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 1,069,765 $ 785,966 $ 534,820 $ 289,506
Ratio of expenses to average net assets .......................... 0.95 % 1.00 % 0.99 % 0.99 %
Ratio of net investment income (loss) to average net assets ...... 0.23 % 0.41 % 0.46 % 0.75 %
Portfolio turnover rate .......................................... 87.36 % 97.54 % 88.31 % 130.60 %
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 149
<PAGE>
Financial Highlights
For the Period Ended
(unaudited)
<TABLE>
<CAPTION>
WRL LKCM Strategic Total
Return
-----------------------------
June 30, December 31,
-------------- --------------
2000 1999
-------------- --------------
<S> <C> <C>
Net asset value, beginning of period ............................... $ 16.85 $ 16.40
Income from operations:
Net investment income (loss) ..................................... 0.18 0.34
Net realized and unrealized gain (loss) on investments ........... ( 0.56) 1.59
--------- --------
Net income (loss) from operations ............................... ( 0.38) 1.93
--------- --------
Distributions:
Dividends from net investment income ............................. 0.00 ( 0.35)
Dividends in excess of net investment income ..................... 0.00 0.00
Distributions from net realized gains on investments ............. 0.00 ( 1.13)
Distributions in excess of net realized gains on investments ..... 0.00 0.00
--------- --------
Total distributions ............................................. 0.00 ( 1.48)
--------- --------
Net asset value, end of period ..................................... $ 16.47 $ 16.85
========= =========
Total return ....................................................... (2.21)% 12.07 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 579,684 $ 624,416
Ratio of expenses to average net assets .......................... 0.84 % 0.86 %
Ratio of net investment income (loss) to average net assets ...... 2.23 % 2.02 %
Portfolio turnover rate .......................................... 34.89 % 45.42 %
<CAPTION>
WRL LKCM Strategic Total Return
-----------------------------------------------------------
December 31,
-----------------------------------------------------------
1998 1997 1996 1995
-------------- -------------- -------------- --------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period ............................... $ 15.62 $ 13.97 $ 12.86 $ 10.90
Income from operations:
Net investment income (loss) ..................................... 0.39 0.37 0.37 0.37
Net realized and unrealized gain (loss) on investments ........... 1.09 2.68 1.56 2.33
------- -------- --------- ---------
Net income (loss) from operations ............................... 1.48 3.05 1.93 2.70
------- -------- --------- ---------
Distributions:
Dividends from net investment income ............................. (0.38) (0.35) (0.32) (0.37)
Dividends in excess of net investment income ..................... 0.00 (0.03) 0.00 0.00
Distributions from net realized gains on investments ............. (0.32) (1.02) (0.50) (0.37)
Distributions in excess of net realized gains on investments ..... 0.00 0.00 0.00 0.00
--------- -------- --------- ---------
Total distributions ............................................. (0.70) (1.40) (0.82) (0.74)
--------- -------- --------- ---------
Net asset value, end of period ..................................... $ 16.40 $ 15.62 $ 13.97 $ 12.86
========= ========= ========= =========
Total return ....................................................... 9.64 % 21.85 % 15.00 % 24.66 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 592,312 $ 526,577 $ 390,141 $ 256,806
Ratio of expenses to average net assets .......................... 0.86 % 0.88 % 0.91 % 0.87 %
Ratio of net investment income (loss) to average net assets ...... 2.43 % 2.43 % 2.72 % 3.07 %
Portfolio turnover rate .......................................... 49.20 % 48.20 % 49.32 % 52.59 %
</TABLE>
<TABLE>
<CAPTION>
WRL VKAM Emerging Growth
---------------------------------
June 30, December 31,
---------------- ----------------
2000 1999
---------------- ----------------
<S> <C> <C>
Net asset value, beginning of period ............................... $ 46.01 $ 26.92
Income from operations:
Net investment income (loss) ..................................... ( 0.10) ( 0.15)
Net realized and unrealized gain (loss) on investments ........... 5.30 26.83
----------- -----------
Net income (loss) from operations ............................... 5.20 26.68
----------- -----------
Distributions:
Dividends from net investment income ............................. 0.00 0.00
Dividends in excess of net investment income ..................... 0.00 ( 0.21)
Distributions from net realized gains on investments ............. 0.00 ( 7.38)
Distributions in excess of net realized gains on investments ..... 0.00 0.00
----------- -----------
Total distributions ............................................. 0.00 ( 7.59)
----------- -----------
Net asset value, end of period ..................................... $ 51.21 $ 46.01
=========== ===========
Total return ....................................................... 11.32 % 105.16 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 2,359,085 $ 1,916,025
Ratio of expenses to average net assets .......................... 0.83 % 0.87 %
Ratio of net investment income (loss) to average net assets ...... (0.39)% (0.44)%
Portfolio turnover rate .......................................... 57.76 % 117.72 %
<CAPTION>
WRL VKAM Emerging Growth
-----------------------------------------------------------
December 31,
-----------------------------------------------------------
1998 1997 1996 1995
-------------- -------------- -------------- --------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period ............................... $ 20.37 $ 18.46 $ 16.25 $ 11.55
Income from operations:
Net investment income (loss) ..................................... (0.08) (0.05) (0.04) 0.01
Net realized and unrealized gain (loss) on investments ........... 7.56 4.03 3.10 5.42
--------- --------- --------- ---------
Net income (loss) from operations ............................... 7.48 3.98 3.06 5.43
--------- --------- --------- ---------
Distributions:
Dividends from net investment income ............................. 0.00 0.00 0.00 0.00
Dividends in excess of net investment income ..................... 0.00 0.00 0.00 0.00
Distributions from net realized gains on investments ............. (0.93) (2.07) (0.85) (0.73)
Distributions in excess of net realized gains on investments ..... 0.00 0.00 0.00 0.00
--------- --------- --------- ---------
Total distributions ............................................. (0.93) (2.07) (0.85) (0.73)
--------- --------- --------- ---------
Net asset value, end of period ..................................... $ 26.92 $ 20.37 $ 18.46 $ 16.25
========= ========= ========= =========
Total return ....................................................... 37.33 % 21.45 % 18.88 % 46.79 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 853,440 $ 592,003 $ 431,454 $ 288,519
Ratio of expenses to average net assets .......................... 0.89 % 0.93 % 0.94 % 0.91 %
Ratio of net investment income (loss) to average net assets ...... (0.36)% (0.27)% (0.24)% 0.03 %
Portfolio turnover rate .......................................... 99.50 % 99.78 % 80.02 % 124.13 %
</TABLE>
See accompanying notes which are an integral part of the financial statements.
150 / WRL Series Fund, Inc.
<PAGE>
Financial Highlights
For the Period Ended
(unaudited)
<TABLE>
<CAPTION>
WRL Alger Aggressive Growth
---------------------------------
June 30, December 31,
---------------- ----------------
2000 1999
---------------- ----------------
<S> <C> <C>
Net asset value, beginning of period ............................... $ 33.28 $ 22.44
Income from operations:
Net investment income (loss) ..................................... (0.09) (0.15)
Net realized and unrealized gain (loss) on investments ........... (2.36) 14.95
----------- -----------
Net income (loss) from operations ............................... (2.45) 14.80
----------- -----------
Distributions:
Dividends from net investment income ............................. 0.00 (0.16)
Dividends in excess of net investment income ..................... 0.00 (1.38)
Distributions from net realized gains on investments ............. 0.00 (2.42)
Distributions in excess of net realized gains on investments ..... 0.00 0.00
----------- -----------
Total distributions ............................................. 0.00 (3.96)
----------- -----------
Net asset value, end of period ..................................... $ 30.83 $ 33.28
=========== ===========
Total return ....................................................... (7.34)% 69.02 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 1,194,640 $ 1,117,511
Ratio of expenses to average net assets .......................... 0.85 % 0.89 %
Ratio of net investment income (loss) to average net assets ...... (0.52)% (0.56)%
Portfolio turnover rate .......................................... 39.23 % 101.71 %
<CAPTION>
WRL Alger Aggressive Growth
-----------------------------------------------------------
December 31,
-----------------------------------------------------------
1998 1997 1996 1995
-------------- -------------- -------------- --------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period ............................... $ 16.04 $ 14.18 $ 13.25 $ 9.86
Income from operations:
Net investment income (loss) ..................................... (0.04) (0.01) (0.01) (0.06)
Net realized and unrealized gain (loss) on investments ........... 7.68 3.44 1.38 3.96
--------- --------- --------- ---------
Net income (loss) from operations ............................... 7.64 3.43 1.37 3.90
--------- --------- --------- ---------
Distributions:
Dividends from net investment income ............................. 0.00 0.00 0.00 0.00
Dividends in excess of net investment income ..................... (0.05) (0.42) (0.19) 0.00
Distributions from net realized gains on investments ............. (1.19) (1.15) (0.25) (0.51)
Distributions in excess of net realized gains on investments ..... 0.00 0.00 0.00 0.00
--------- --------- --------- ---------
Total distributions ............................................. (1.24) (1.57) (0.44) (0.51)
--------- --------- --------- ---------
Net asset value, end of period ..................................... $ 22.44 $ 16.04 $ 14.18 $ 13.25
========= ========= ========= =========
Total return ....................................................... 48.69 % 24.25 % 10.45 % 38.02 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 574,164 $ 336,166 $ 220,552 $ 158,534
Ratio of expenses to average net assets .......................... 0.91 % 0.96 % 0.98 % 1.07 %
Ratio of net investment income (loss) to average net assets ...... (0.21)% (0.06)% (0.10)% (0.48)%
Portfolio turnover rate .......................................... 117.44 % 136.18 % 101.28 % 108.04 %
</TABLE>
<TABLE>
<CAPTION>
WRL AEGON Balanced
-----------------------------
June 30, December 31,
-------------- --------------
2000 1999
-------------- --------------
<S> <C> <C>
Net asset value, beginning of period ............................... $ 12.66 $ 12.54
Income from operations:
Net investment income (loss) ..................................... 0.13 0.26
Net realized and unrealized gain (loss) on investments ........... ( 0.19) 0.12
--------- ---------
Net income (loss) from operations ............................... ( 0.06) 0.38
--------- ---------
Distributions:
Dividends from net investment income ............................. 0.00 ( 0.26)
Dividends in excess of net investment income ..................... 0.00 0.00
Distributions from net realized gains on investments ............. 0.00 0.00
Distributions in excess of net realized gains on investments ..... 0.00 0.00
--------- ---------
Total distributions ............................................. 0.00 ( 0.26)
--------- ---------
Net asset value, end of period ..................................... $ 12.60 $ 12.66
========= =========
Total return ....................................................... (0.45)% 3.03 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 103,159 $ 108,473
Ratio of expenses to average net assets .......................... 0.87 % 0.89 %
Ratio of net investment income (loss) to average net assets ...... 2.01 % 2.06 %
Portfolio turnover rate .......................................... 29.86 % 74.88 %
<CAPTION>
WRL AEGON Balanced
------------------------------------------------------
December 31,
------------------------------------------------------
1998 1997 1996 1995
------------- ------------- ------------- ------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period ............................... $ 12.01 $ 11.39 $ 10.63 $ 9.24
Income from operations:
Net investment income (loss) ..................................... 0.35 0.38 0.34 0.44
Net realized and unrealized gain (loss) on investments ........... 0.47 1.56 0.80 1.38
-------- -------- -------- --------
Net income (loss) from operations ............................... 0.82 1.94 1.14 1.82
-------- -------- -------- --------
Distributions:
Dividends from net investment income ............................. (0.28) (0.36) (0.28) (0.43)
Dividends in excess of net investment income ..................... 0.00 (0.30) 0.00 0.00
Distributions from net realized gains on investments ............. 0.00 (0.66) (0.10) 0.00
Distributions in excess of net realized gains on investments ..... (0.01) 0.00 0.00 0.00
-------- -------- -------- --------
Total distributions ............................................. (0.29) (1.32) (0.38) (0.43)
-------- -------- -------- --------
Net asset value, end of period ..................................... $ 12.54 $ 12.01 $ 11.39 $ 10.63
======== ======== ======== ========
Total return ....................................................... 6.93 % 17.10 % 10.72 % 19.80 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 95,000 $ 73,451 $ 49,331 $ 31,114
Ratio of expenses to average net assets .......................... 0.91 % 0.94 % 0.97 % 0.97 %
Ratio of net investment income (loss) to average net assets ...... 2.89 % 3.13 % 3.14 % 4.38 %
Portfolio turnover rate .......................................... 83.94 % 77.06 % 76.90 % 98.55 %
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 151
<PAGE>
Financial Highlights
For the Period Ended
(unaudited)
<TABLE>
<CAPTION>
WRL Federated Growth &
Income
---------------------------
June 30, December 31,
------------- -------------
2000 1999
------------- -------------
<S> <C> <C>
Net asset value, beginning of period ............................... $ 10.91 $ 12.28
Income from operations:
Net investment income (loss) ..................................... 0.25 0.48
Net realized and unrealized gain (loss) on investments ........... 0.49 ( 1.00)
-------- --------
Net income (loss) from operations ............................... 0.74 ( 0.52)
-------- --------
Distributions:
Dividends from net investment income ............................. 0.00 ( 0.73)
Dividends in excess of net investment income ..................... 0.00 ( 0.02)
Distributions from net realized gains on investments ............. 0.00 ( 0.10)
Distributions in excess of net realized gains on investments ..... 0.00 0.00
-------- --------
Total distributions ............................................. 0.00 ( 0.85)
-------- --------
Net asset value, end of period ..................................... $ 11.65 $ 10.91
======== ========
Total return ....................................................... 6.85 % ( 4.45)%
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 89,374 $ 76,280
Ratio of expenses to average net assets .......................... 0.85 % 0.89 %
Ratio of net investment income (loss) to average net assets ...... 4.51 % 4.01 %
Portfolio turnover rate .......................................... 67.53 % 117.14 %
<CAPTION>
WRL Federated Growth & Income
------------------------------------------------------
December 31,
------------------------------------------------------
1998 1997 1996 1995
------------- ------------- ------------- ------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period ............................... $ 12.56 $ 11.76 $ 11.12 $ 9.30
Income from operations:
Net investment income (loss) ..................................... 0.53 0.49 0.42 0.46
Net realized and unrealized gain (loss) on investments ........... (0.16) 2.35 0.87 1.93
-------- --------- -------- --------
Net income (loss) from operations ............................... 0.37 2.84 1.29 2.39
------- -------- -------- --------
Distributions:
Dividends from net investment income ............................. (0.55) (0.43) (0.33) (0.46)
Dividends in excess of net investment income ..................... 0.00 (0.59) 0.00 0.00
Distributions from net realized gains on investments ............. (0.10) (1.02) (0.32) (0.11)
Distributions in excess of net realized gains on investments ..... 0.00 0.00 0.00 0.00
-------- -------- -------- --------
Total distributions ............................................. (0.65) (2.04) (0.65) (0.57)
-------- -------- -------- --------
Net asset value, end of period ..................................... $ 12.28 $ 12.56 $ 11.76 $ 11.12
======== ======== ======== ========
Total return ....................................................... 3.05 % 24.65 % 11.64 % 25.25 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 87,616 $ 60,492 $ 38,115 $ 24,607
Ratio of expenses to average net assets .......................... 0.90 % 0.96 % 1.00 % 1.00 %
Ratio of net investment income (loss) to average net assets ...... 4.35 % 3.84 % 3.73 % 4.56 %
Portfolio turnover rate .......................................... 97.17 % 155.77 % 68.53 % 78.34 %
</TABLE>
<TABLE>
<CAPTION>
WRL Dean Asset Allocation
-----------------------------
June 30, December 31,
-------------- --------------
2000 1999
-------------- --------------
<S> <C> <C>
Net asset value, beginning of period ............................... $ 12.13 $ 13.35
Income from operations:
Net investment income (loss) ..................................... 0.20 0.39
Net realized and unrealized gain (loss) on investments ........... ( 0.05) ( 1.14)
--------- ---------
Net income (loss) from operations ............................... 0.15 ( 0.75)
--------- ---------
Distributions:
Dividends from net investment income ............................. 0.00 ( 0.41)
Dividends in excess of net investment income ..................... 0.00 0.00
Distributions from net realized gains on investments ............. 0.00 ( 0.04)
Distributions in excess of net realized gains on investments ..... 0.00 ( 0.02)
--------- ---------
Total distributions ............................................. 0.00 ( 0.47)
--------- ---------
Net asset value, end of period ..................................... $ 12.28 $ 12.13
========= =========
Total return ....................................................... 1.26 % (5.64)%
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 195,143 $ 261,707
Ratio of expenses to average net assets .......................... 0.86 % 0.87 %
Ratio of net investment income (loss) to average net assets ...... 3.32 % 2.99 %
Portfolio turnover rate .......................................... 12.57 % 88.78 %
<CAPTION>
WRL Dean Asset Allocation
-----------------------------------------------------------
December 31,
-----------------------------------------------------------
1998 1997 1996 1995(1)
-------------- -------------- -------------- --------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period ............................... $ 13.61 $ 12.61 $ 11.49 $ 10.00
Income from operations:
Net investment income (loss) ..................................... 0.41 0.36 0.33 0.41
Net realized and unrealized gain (loss) on investments ........... 0.71 1.72 1.33 1.93
--------- --------- --------- ---------
Net income (loss) from operations ............................... 1.12 2.08 1.66 2.34
--------- --------- --------- ---------
Distributions:
Dividends from net investment income ............................. ( 0.39) ( 0.33) ( 0.30) ( 0.41)
Dividends in excess of net investment income ..................... 0.00 ( 0.19) 0.00 0.00
Distributions from net realized gains on investments ............. ( 0.99) ( 0.56) ( 0.24) ( 0.44)
Distributions in excess of net realized gains on investments ..... 0.00 0.00 0.00 0.00
--------- --------- --------- ---------
Total distributions ............................................. ( 1.38) ( 1.08) ( 0.54) ( 0.85)
--------- --------- --------- ---------
Net asset value, end of period ..................................... $ 13.35 $ 13.61 $ 12.61 $ 11.49
========= ========= ========= =========
Total return ....................................................... 8.33 % 16.59 % 14.42 % 20.09 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 365,738 $ 302,745 $ 206,172 $ 120,531
Ratio of expenses to average net assets .......................... 0.86 % 0.87 % 0.90 % 0.93 %
Ratio of net investment income (loss) to average net assets ...... 2.93 % 2.65 % 2.78 % 3.76 %
Portfolio turnover rate .......................................... 76.62 % 63.76 % 98.97 % 38.68 %
</TABLE>
See accompanying notes which are an integral part of the financial statements.
152 / WRL Series Fund, Inc.
<PAGE>
Financial Highlights
For the Period Ended
(unaudited)
<TABLE>
<CAPTION>
WRL C.A.S.E. Growth
---------------------------
June 30, December 31,
------------- -------------
2000 1999
------------- -------------
<S> <C> <C>
Net asset value, beginning of period ............................... $ 15.70 $ 12.99
Income from operations:
Net investment income (loss) ..................................... (0.01) (0.05)
Net realized and unrealized gain (loss) on investments ........... (0.14) 4.38
-------- --------
Net income (loss) from operations ............................... (0.15) 4.33
-------- --------
Distributions:
Dividends from net investment income ............................. 0.00 (0.66)
Dividends in excess of net investment income ..................... 0.00 (0.96)
Distributions from net realized gains on investments ............. 0.00 0.00
Distributions in excess of net realized gains on investments ..... 0.00 0.00
-------- --------
Total distributions ............................................. 0.00 (1.62)
-------- --------
Net asset value, end of period ..................................... $ 15.55 $ 15.70
======== ========
Total return ....................................................... (1.01)% 33.84 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 96,462 $ 93,608
Ratio of expenses to average net assets .......................... 0.98 % 1.00 %
Ratio of net investment income (loss) to average net assets ...... (0.15)% (0.36)%
Portfolio turnover rate .......................................... 98.22 % 143.52 %
<CAPTION>
WRL C.A.S.E. Growth
-------------------------------------------------------
December 31,
-------------------------------------------------------
1998 1997 1996 1995(1)
------------- ------------- ------------- -------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period ............................... $ 14.01 $ 13.42 $ 11.66 $ 10.00
Income from operations:
Net investment income (loss) ..................................... 0.02 0.04 0.12 0.12
Net realized and unrealized gain (loss) on investments ........... 0.31 1.95 1.92 2.49
-------- -------- -------- --------
Net income (loss) from operations ............................... 0.33 1.99 2.04 2.61
-------- -------- -------- --------
Distributions:
Dividends from net investment income ............................. ( 0.36) ( 0.03) ( 0.05) ( 0.12)
Dividends in excess of net investment income ..................... ( 0.90) ( 1.23) 0.00 0.00
Distributions from net realized gains on investments ............. ( 0.09) ( 0.14) ( 0.23) ( 0.83)
Distributions in excess of net realized gains on investments ..... 0.00 0.00 0.00 0.00
-------- -------- -------- --------
Total distributions ............................................. ( 1.35) ( 1.40) ( 0.28) ( 0.95)
-------- -------- -------- --------
Net asset value, end of period ..................................... $ 12.99 $ 14.01 $ 13.42 $ 11.66
======== ======== ======== ========
Total return ....................................................... 2.47 % 15.03 % 17.50 % 20.65 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 69,401 $ 60,596 $ 26,559 $ 2,578
Ratio of expenses to average net assets .......................... 1.00 % 1.00 % 1.00 % 1.00 %
Ratio of net investment income (loss) to average net assets ...... 0.14 % 0.25 % 0.94 % 1.02 %
Portfolio turnover rate .......................................... 205.28 % 196.50 % 160.27 % 121.62 %
</TABLE>
<TABLE>
<CAPTION>
WRL NWQ Value Equity
-----------------------------
June 30, December 31,
-------------- --------------
2000 1999
-------------- --------------
<S> <C> <C>
Net asset value, beginning of period ............................... $ 12.77 $ 12.12
Income from operations:
Net investment income (loss) ..................................... 0.06 0.10
Net realized and unrealized gain (loss) on investments ........... 0.17 0.85
--------- ---------
Net income (loss) from operations ............................... 0.23 0.95
--------- ---------
Distributions:
Dividends from net investment income ............................. 0.00 (0.10)
Dividends in excess of net investment income ..................... 0.00 0.00
Distributions from net realized gains on investments ............. 0.00 0.00
Distributions in excess of net realized gains on investments ..... 0.00 (0.20)
--------- ---------
Total distributions ............................................. 0.00 (0.30)
--------- ---------
Net asset value, end of period ..................................... $ 13.00 $ 12.77
========= =========
Total return ....................................................... 1.80 % 7.95 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 135,204 $ 137,158
Ratio of expenses to average net assets .......................... 0.87 % 0.90 %
Ratio of net investment income (loss) to average net assets ...... 0.99 % 0.77 %
Portfolio turnover rate .......................................... 27.50 % 34.19 %
<CAPTION>
WRL NWQ Value Equity
-------------------------------------------
December 31,
-------------------------------------------
1998 1997 1996(1)
-------------- -------------- -------------
<S> <C> <C> <C>
Net asset value, beginning of period ............................... $ 13.90 $ 11.27 $ 10.00
Income from operations:
Net investment income (loss) ..................................... 0.12 0.12 0.10
Net realized and unrealized gain (loss) on investments ........... (0.78) 2.69 1.23
--------- --------- --------
Net income (loss) from operations ............................... (0.66) 2.81 1.33
--------- --------- --------
Distributions:
Dividends from net investment income ............................. (0.13) (0.09) (0.04)
Dividends in excess of net investment income ..................... (0.12) (0.07) 0.00
Distributions from net realized gains on investments ............. (0.62) (0.02) (0.02)
Distributions in excess of net realized gains on investments ..... (0.25) 0.00 0.00
--------- --------- --------
Total distributions ............................................. (1.12) (0.18) (0.06)
--------- --------- --------
Net asset value, end of period ..................................... $ 12.12 $ 13.90 $ 11.27
========= ========= ========
Total return ....................................................... (4.78)% 25.04 % 13.19 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 157,157 $ 173,435 $ 49,394
Ratio of expenses to average net assets .......................... 0.89 % 0.89 % 1.00 %
Ratio of net investment income (loss) to average net assets ...... 0.89 % 0.90 % 0.89 %
Portfolio turnover rate .......................................... 43.60 % 17.28 % 7.93 %
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 153
<PAGE>
Financial Highlights
For the Period Ended
(unaudited)
<TABLE>
<CAPTION>
WRL GE International Equity
-------------------------------------------------------
June 30, December 31,
------------- -----------------------------------------
2000 1999 1998 1997(1)
------------- ------------- ------------- -------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period ............................... $ 14.28 $ 12.07 $ 10.70 $ 10.00
Income from operations:
Net investment income (loss) ..................................... 0.05 0.04 0.03 0.02
Net realized and unrealized gain (loss) on investments ........... 0.00 2.90 1.35 0.73
-------- -------- -------- --------
Net income (loss) from operations ............................... 0.05 2.94 1.38 0.75
-------- -------- -------- --------
Distributions:
Dividends from net investment income ............................. 0.00 (0.05) (0.01) (0.01)
Dividends in excess of net investment income ..................... 0.00 0.00 0.00 (0.04)
Distributions from net realized gains on investments ............. 0.00 (0.68) 0.00 0.00
Distributions in excess of net realized gains on investments ..... 0.00 0.00 0.00 0.00
-------- -------- -------- --------
Total distributions ............................................. 0.00 (0.73) (0.01) (0.05)
-------- -------- -------- --------
Net asset value, end of period ..................................... $ 14.33 $ 14.28 $ 12.07 $ 10.70
======== ======== ======== ========
Total return ....................................................... 0.33 % 24.95 % 12.85 % 7.50 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 36,187 $ 33,579 $ 32,149 $ 19,795
Ratio of expenses to average net assets .......................... 1.40 % 1.50 % 1.50 % 1.50 %
Ratio of net investment income (loss) to average net assets ...... 0.66 % 0.31 % 0.30 % 0.18 %
Portfolio turnover rate .......................................... 89.68 % 99.77 % 71.74 % 54.33 %
</TABLE>
<TABLE>
<CAPTION>
WRL GE U.S. Equity
----------------------------------------------------------
June 30, December 31,
-------------- -------------------------------------------
2000 1999 1998 1997(1)
-------------- -------------- -------------- -------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period ............................... $ 15.79 $ 14.42 $ 12.23 $ 10.00
Income from operations:
Net investment income (loss) ..................................... 0.04 0.07 0.09 0.09
Net realized and unrealized gain (loss) on investments ........... (0.02) 2.55 2.69 2.60
--------- ---------- ---------- ---------
Net income (loss) from operations ............................... 0.02 2.62 2.78 2.69
--------- ---------- ---------- ---------
Distributions:
Dividends from net investment income ............................. 0.00 (0.18) (0.15) (0.04)
Dividends in excess of net investment income ..................... 0.00 (0.33) (0.33) (0.38)
Distributions from net realized gains on investments ............. 0.00 (0.74) (0.11) (0.04)
Distributions in excess of net realized gains on investments ..... 0.00 0.00 0.00 0.00
--------- --------- --------- --------
Total distributions ............................................. 0.00 (1.25) (0.59) (0.46)
--------- --------- --------- --------
Net asset value, end of period ..................................... $ 15.81 $ 15.79 $ 14.42 $ 12.23
========= ========= ========= ========
Total return ....................................................... 0.12 % 18.41 % 22.87 % 27.01 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 204,555 $ 179,267 $ 110,803 $ 42,951
Ratio of expenses to average net assets .......................... 0.88 % 0.93 % 1.05 % 1.30 %
Ratio of net investment income (loss) to average net assets ...... 0.47 % 0.46 % 0.67 % 0.75 %
Portfolio turnover rate .......................................... 19.38 % 44.01 % 63.08 % 92.35 %
</TABLE>
See accompanying notes which are an integral part of the financial statements.
154 / WRL Series Fund, Inc.
<PAGE>
Financial Highlights
For the Period Ended
(unaudited)
<TABLE>
<CAPTION>
WRL Third Avenue Value
---------------------------------------------
June 30, December 31,
------------- -----------------------------
2000 1999 1998(1)
------------- ------------- -------------
<S> <C> <C> <C>
Net asset value, beginning of period ............................... $ 10.45 $ 9.29 $ 10.00
Income from operations:
Net investment income (loss) ..................................... 0.07 0.16 0.06
Net realized and unrealized gain (loss) on investments ........... 2.35 1.28 (0.74)
-------- -------- --------
Net income (loss) from operations ............................... 2.42 1.44 (0.68)
-------- -------- --------
Distributions:
Dividends from net investment income ............................. 0.00 (0.28) (0.03)
Dividends in excess of net investment income ..................... 0.00 0.00 0.00
Distributions from net realized gains on investments ............. 0.00 0.00 0.00
Distributions in excess of net realized gains on investments ..... 0.00 0.00 0.00
-------- -------- --------
Total distributions ............................................. 0.00 (0.28) (0.03)
-------- -------- --------
Net asset value, end of period ..................................... $ 12.87 $ 10.45 $ 9.29
======== ======== ========
Total return ....................................................... 23.15 % 15.72 % (6.84)%
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 49,974 $ 19,217 $ 18,206
Ratio of expenses to average net assets .......................... 0.95 % 1.00 % 1.00 %
Ratio of net investment income (loss) to average net assets ...... 1.13 % 1.76 % 0.63 %
Portfolio turnover rate .......................................... 17.37 % 9.56 % 4.35 %
</TABLE>
<TABLE>
<CAPTION>
WRL J.P. Morgan
Real Estate Securities
-------------------------------------------
June 30, December 31,
------------ ----------------------------
2000 1999 1998(1)
------------ ------------ -------------
<S> <C> <C> <C>
Net asset value, beginning of period ............................... $ 8.06 $ 8.51 $ 10.00
Income from operations:
Net investment income (loss) ..................................... 0.26 0.49 0.36
Net realized and unrealized gain (loss) on investments ........... 0.96 (0.79) (1.85)
-------- -------- --------
Net income (loss) from operations ............................... 1.22 (0.30) (1.49)
-------- -------- --------
Distributions:
Dividends from net investment income ............................. 0.00 (0.15) 0.00
Dividends in excess of net investment income ..................... 0.00 0.00 0.00
Distributions from net realized gains on investments ............. 0.00 0.00 0.00
Distributions in excess of net realized gains on investments ..... 0.00 0.00 0.00
-------- -------- --------
Total distributions ............................................. 0.00 (0.15) 0.00
-------- -------- --------
Net asset value, end of period ..................................... $ 9.28 $ 8.06 $ 8.51
======== ======== ========
Total return ....................................................... 15.24 % (3.77)% (14.93)%
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 6,109 $ 3,199 $ 2,414
Ratio of expenses to average net assets .......................... 1.00 % 1.00 % 1.00 %
Ratio of net investment income (loss) to average net assets ...... 6.05 % 5.91 % 6.03 %
Portfolio turnover rate .......................................... 117.70 % 189.80 % 100.80 %
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 155
<PAGE>
Financial Highlights
For the Period Ended
(unaudited)
<TABLE>
<CAPTION>
WRL Goldman Sachs Growth WRL Goldman Sachs Small Cap
---------------------------- ---------------------------
June 30, December 31, June 30, December 31,
------------- -------------- ------------ -------------
2000 1999(1) 2000 1999(1)
------------- -------------- ------------ -------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period ............................... $ 11.75 $ 10.00 $ 11.25 $ 10.00
Income from operations:
Net investment income (loss) ..................................... 0.00 0.01 0.03 0.03
Net realized and unrealized gain (loss) on investments ........... 0.16 1.74 0.33 1.74
------- ------- ------- -------
Net income (loss) from operations ............................... 0.16 1.75 0.36 1.77
------- ------- ------- -------
Distributions:
Dividends from net investment income ............................. 0.00 0.00 0.00 (0.04)
Dividends in excess of net investment income ..................... 0.00 0.00 0.00 (0.48)
Distributions from net realized gains on investments ............. 0.00 0.00 0.00 0.00
Distributions in excess of net realized gains on investments ..... 0.00 0.00 0.00 0.00
------- ------- ------- -------
Total distributions ............................................. 0.00 0.00 0.00 (0.52)
------- ------- ------- -------
Net asset value, end of period ..................................... $ 11.91 $ 11.75 $ 11.61 $ 11.25
======== ======= ======= =======
Total return ....................................................... 1.36 % 17.50 % 3.20 % 17.82 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 14,398 $ 8,204 $ 4,843 $ 2,783
Ratio of expenses to average net assets .......................... 1.00 % 1.00 % 1.00 % 1.00 %
Ratio of net investment income (loss) to average net assets ...... 0.08 % 0.12 % 0.51 % 0.50 %
Portfolio turnover rate .......................................... 17.34 % 40.46 % 35.54 % 340.66 %
</TABLE>
<TABLE>
<CAPTION>
WRL T. Rowe Price WRL T. Rowe Price
Dividend Growth Small Cap
---------------------------- ---------------------------
June 30, December 31, June 30, December 31,
------------- -------------- ------------- -------------
2000 1999(1) 2000 1999(1)
------------- -------------- ------------- -------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period ............................... $ 9.26 $ 10.00 $ 13.41 $ 10.00
Income from operations:
Net investment income (loss) ..................................... 0.06 0.11 (0.04) (0.03)
Net realized and unrealized gain (loss) on investments ........... 0.14 (0.85) 0.99 3.87
-------- -------- -------- --------
Net income (loss) from operations ............................... 0.20 (0.74) 0.95 3.84
-------- -------- -------- --------
Distributions:
Dividends from net investment income ............................. 0.00 0.00 0.00 0.00
Dividends in excess of net investment income ..................... 0.00 0.00 0.00 (0.43)
Distributions from net realized gains on investments ............. 0.00 0.00 0.00 0.00
Distributions in excess of net realized gains on investments ..... 0.00 0.00 0.00 0.00
-------- -------- -------- --------
Total distributions ............................................. 0.00 0.00 0.00 (0.43)
-------- -------- -------- --------
Net asset value, end of period ..................................... $ 9.46 $ 9.26 $ 14.36 $ 13.41
======== ======== ======== ========
Total return ....................................................... 2.16 % (7.40)% 7.08 % 38.49 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 12,767 $ 8,730 $ 23,578 $ 9,824
Ratio of expenses to average net assets .......................... 1.00 % 1.00 % 1.00 % 1.00 %
Ratio of net investment income (loss) to average net assets ...... 1.28 % 1.75 % (0.56)% (0.44)%
Portfolio turnover rate .......................................... 47.30 % 43.76 % 32.28 % 159.02 %
</TABLE>
See accompanying notes which are an integral part of the financial statements.
156 / WRL Series Fund, Inc.
<PAGE>
Financial Highlights
For the Period Ended
(unaudited)
<TABLE>
<CAPTION>
WRL Salomon WRL Pilgrim Baxter
All Cap Mid Cap Growth
---------------------------- ----------------------------
June 30, December 31, June 30, December 31,
------------- -------------- -------------- -------------
2000 1999(1) 2000 1999(1)
------------- -------------- -------------- -------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period ............................... $ 11.18 $ 10.00 $ 17.75 $ 10.00
Income from operations:
Net investment income (loss) ..................................... 0.07 0.08 (0.03) (0.03)
Net realized and unrealized gain (loss) on investments ........... 1.75 1.48 4.06 7.83
-------- -------- --------- --------
Net income (loss) from operations ............................... 1.82 1.56 4.03 7.80
-------- -------- --------- --------
Distributions:
Dividends from net investment income ............................. 0.00 (0.06) 0.00 0.00
Dividends in excess of net investment income ..................... 0.00 (0.32) 0.00 (0.05)
Distributions from net realized gains on investments ............. 0.00 0.00 0.00 0.00
Distributions in excess of net realized gains on investments ..... 0.00 0.00 0.00 0.00
-------- -------- --------- --------
Total distributions ............................................. 0.00 (0.38) 0.00 (0.05)
-------- -------- --------- --------
Net asset value, end of period ..................................... $ 13.00 $ 11.18 $ 21.78 $ 17.75
======== ======== ========= ========
Total return ....................................................... 16.28 % 15.57 % 22.70 % 78.00 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 26,239 $ 6,686 $ 198,628 $ 37,201
Ratio of expenses to average net assets .......................... 1.00 % 1.00 % 0.95 % 1.00 %
Ratio of net investment income (loss) to average net assets ...... 1.06 % 1.09 % (0.26)% (0.30)%
Portfolio turnover rate .......................................... 73.94 % 216.29 % 68.91 % 155.71 %
</TABLE>
<TABLE>
<CAPTION>
WRL Dreyfus Mid Cap
----------------------------
June 30, December 31,
------------ -------------
2000 1999(1)
------------ -------------
<S> <C> <C>
Net asset value, beginning of period ............................... $ 10.72 $ 10.00
Income from operations:
Net investment income (loss) ..................................... 0.02 0.04
Net realized and unrealized gain (loss) on investments ........... 1.01 0.68
------- -------
Net income (loss) from operations ............................... 1.03 0.72
------- -------
Distributions:
Dividends from net investment income ............................. 0.00 0.00
Dividends in excess of net investment income ..................... 0.00 0.00
Distributions from net realized gains on investments ............. 0.00 0.00
Distributions in excess of net realized gains on investments ..... 0.00 0.00
------- -------
Total distributions ............................................. 0.00 0.00
------- -------
Net asset value, end of period ..................................... $ 11.75 $ 10.72
======= =======
Total return ....................................................... 9.61 % 7.20 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 6,637 $ 3,384
Ratio of expenses to average net assets .......................... 1.00 % 1.00 %
Ratio of net investment income (loss) to average net assets ...... 0.39 % 0.58 %
Portfolio turnover rate .......................................... 67.71 % 94.19 %
</TABLE>
See accompanying notes which are an integral part of the financial statements.
2000 Semi-Annual Report / 157
<PAGE>
Financial Highlights
For the Period Ended
(unaudited)
<TABLE>
<CAPTION>
WRL Value WRL Great WRL Great
Line Aggressive Companies - Companies -
Growth America(SM) Technology(SM)
----------------- ------------- -------------
June 30, June 30, June 30,
2000(1) 2000(1) 2000(1)
----------------- ------------- -------------
<S> <C> <C> <C>
Net asset value, beginning of period ............................... $ 10.00 $ 10.00 $ 10.00
Income from operations:
Net investment income (loss) ..................................... 0.02 0.01 0.01
Net realized and unrealized gain (loss) on investments ........... 0.47 0.41 0.40
-------- -------- --------
Net income (loss) from operations ............................... 0.49 0.42 0.41
-------- -------- --------
Distributions:
Dividends from net investment income ............................. 0.00 0.00 0.00
Dividends in excess of net investment income ..................... 0.00 0.00 0.00
Distributions from net realized gains on investments ............. 0.00 0.00 0.00
Distributions in excess of net realized gains on investments ..... 0.00 0.00 0.00
-------- -------- --------
Total distributions ............................................. 0.00 0.00 0.00
-------- -------- --------
Net asset value, end of period ..................................... $ 10.49 $ 10.42 $ 10.41
======== ======== ========
Total return ....................................................... 4.90 % 4.20 % 4.10 %
Ratios and supplemental data:
Net assets at end of period (in thousands) ....................... $ 1,479 $ 26,045 $ 10,670
Ratio of expenses to average net assets .......................... 1.00 % 1.00 % 1.00 %
Ratio of net investment income (loss) to average net assets ...... 1.24 % 0.31 % 0.66 %
Portfolio turnover rate .......................................... 16.07 % 9.61 % 0.00 %
</TABLE>
See accompanying notes which are an integral part of the financial statements.
158 / WRL Series Fund, Inc.
<PAGE>
Notes to the Financial Statements
At June 30, 2000
All Amounts in Thousands
(unaudited)
NOTE 1 - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The WRL Series Fund, Inc. (collectively referred to as the "Fund" and
individually as a "portfolio") is an open-end, investment management company
registered under the Investment Company Act of 1940, as amended. The Fund was
incorporated on August 21, 1985, as a Maryland corporation and serves as a
funding vehicle for variable life insurance, variable annuity and group annuity
products. Each period reported on within the Semi-Annual Report reflects a full
six or twelve month period except as follows:
<TABLE>
<CAPTION>
Portfolio Inception Date
------------------------------------------------ ---------------
<S> <C>
WRL Dean Asset Allocation ...................... 01/03/1995
WRL C.A.S.E. Growth ............................ 05/01/1995
WRL NWQ Value Equity ........................... 05/01/1996
WRL GE International Equity .................... 01/02/1997
WRL GE U.S. Equity ............................. 01/02/1997
WRL Third Avenue Value ......................... 01/02/1998
WRL J.P. Morgan Real Estate Securities ......... 05/01/1998
WRL Goldman Sachs Growth ....................... 05/03/1999
WRL Goldman Sachs Small Cap .................... 05/03/1999
WRL T. Rowe Price Dividend Growth .............. 05/03/1999
WRL T. Rowe Price Small Cap .................... 05/03/1999
WRL Salomon All Cap ............................ 05/03/1999
WRL Pilgrim Baxter Mid Cap Growth .............. 05/03/1999
WRL Dreyfus Mid Cap ............................ 05/03/1999
WRL Value Line Aggressive Growth ............... 05/01/2000
WRL Great Companies - AmericaSM ................ 05/01/2000
WRL Great Companies - TechnologySM ............. 05/01/2000
</TABLE>
See the Prospectus and the Statement of Additional Information for a description
of each portfolio's investment objective.
The following is a summary of significant accounting policies followed
consistently by the Fund in accordance with accounting principles generally
accepted in the United States ("GAAP"). The preparation of financial statements
in accordance with GAAP requires management to make estimates and assumptions
that effect the reported amounts and disclosures in the financial statements.
Actual results could differ from those estimates.
A. Valuation of Investments
The securities held by WRL J.P. Morgan Money Market are valued on the basis of
amortized cost, which approximates market value.
Securities held by the remaining portfolios are valued at market value, except
for short-term debt securities. Securities are valued at the last reported sales
price on the securities exchange on which the issue is principally traded, or if
no sale is reported for a stock, the latest bid price is used. Stocks traded in
the over-the-counter market are valued at the last quoted bid prices. Bonds are
valued using prices quoted by independent pricing services. Short-term debt
securities are valued on the basis of amortized cost, which approximates market
value. Other securities for which quotations may not be readily available are
valued as determined in good faith in accordance with procedures established by
and under the general supervision of the Fund's Board of Directors.
B. Securities Transactions and Investment Income
Security transactions are recorded on the trade date. Security gains and losses
are calculated on the first-in, first-out basis. Dividend income is recorded on
the ex-dividend date except that certain dividends from foreign securities are
recorded as soon as the Fund is informed of the ex-dividend date. Interest
income, including amortization of premium and accretion of discount, is accrued
daily, commencing on the settlement date.
C. Foreign Currency Translation
The accounting records of the Fund are maintained in U.S. dollars. Securities
and other assets and liabilities denominated in foreign currencies are
translated into U.S. dollars at the closing exchange rate each day. The cost of
foreign securities is translated at the exchange rate in effect when the
investment is acquired. The Fund combines fluctuations from currency exchange
rates and fluctuations in market value when computing net realized and
unrealized gain or loss from investments. Net foreign currency gains and losses
resulting from changes in exchange rates include foreign currency gains and
losses between trade date and settlement date of investment securities
transactions, gains and losses on forward foreign currency contracts and the
difference between the amounts of interest and dividends recorded in the
accounting records in
2000 Semi-Annual Report / 159
<PAGE>
Notes to the Financial Statements (continued)
At June 30, 2000
All Amounts in Thousands
(unaudited)
NOTE 1 - (continued)
U.S. dollars and the amounts actually received. Foreign denominated assets may
involve risks not typically associated with domestic transactions including, but
not limited to, unanticipated movements in exchange rates, the degree of
government supervision and regulation of security markets and the possibility of
political or economic instability.
D. Forward Foreign Currency Contracts
Certain portfolios of the Fund are authorized to enter into forward foreign
currency contracts for the purpose of hedging against exchange risk arising from
current or anticipated investments in securities denominated in foreign
currencies. Forward foreign currency contracts are valued at the contractual
forward rate and are marked-to-market daily, with the change in market value
recorded as an unrealized gain or loss. When the contracts are closed the gain
or loss is realized. Risks may arise from unanticipated movements in the
currency's value relative to the U.S. dollar and from the possible inability of
counterparties to meet the terms of their contracts. The open forward currency
contracts at June 30, 2000 are listed in Note 5.
E. Futures and Options Contracts
Certain portfolios of the Fund are authorized to enter into futures and/or
options contracts to manage exposure to market, interest rate or currency
fluctuations. Contracts are valued at the settlement price established each day
by the board of trade or exchange on which they are traded. The primary risks
associated with the use of futures contracts and options is imperfect
correlation between the change in the value of the futures contracts and options
and the market value of the securities held, the possibility of an illiquid
market and the inability of the counter-party to meet the terms of their
contracts. The underlying face amounts at value of any open futures contracts at
June 30, 2000 are listed in Note 5. The variation margin receivable or payable,
as applicable, is included in the accompanying Statements of Assets and
Liabilities. Transactions in written covered call and put options were as
follows:
<TABLE>
<CAPTION>
Portfolio Contracts* Premium
---------------------------------- ------------ ----------
<S> <C> <C>
WRL Dean Asset Allocation
Balance at 12/31/1999 ......... 0 $ 0
Written ....................... 2,050 1,084
Closed ........................ 0 0
Exercised ..................... 0 0
Expired ....................... 0 0
----- -------
Balance at 06/30/2000 ......... 2,050 $ 1,084
===== =======
WRL Salomon All Cap
Balance at 12/31/1999 ......... 0 $ 0
Written ....................... 6 24
Closed ........................ (6) (24)
Exercised ..................... 0 0
Expired ....................... 0 0
----- -------
Balance at 06/30/2000 ......... 0 $ 0
===== =======
</TABLE>
* Contracts not in thousands
160 / WRL Series Fund, Inc.
<PAGE>
Notes to the Financial Statements (continued)
At June 30, 2000
All Amounts in Thousands
(unaudited)
NOTE 1 - (continued)
Open covered call and put options written as of June 30, 2000 are as follows:
<TABLE>
<CAPTION>
Contracts* Value
------------ --------
<S> <C> <C>
Covered Call Options Written
Portfolio
---------------------------------
WRL Dean Asset Allocation
Hewlett-Packard Company
Strike $ 125.00
Expires 11/18/2000 ......... 100 $ 372
Hewlett-Packard Company
Strike $ 135.00
Expires 11/18/2000 ......... 50 155
Intel Corporation
Strike $ 125.00
Expires 10/21/2000 ......... 100 185
Intel Corporation
Strike $ 130.00
Expires 01/20/2001 ......... 100 205
--- -----
350 $ 917
=== =====
Covered Put Options Written
Portfolio
----------------------------------
WRL Dean Asset Allocation
Bank of America Corporation
Strike $ 47.50
Expires 01/20/2001 ......... 400 $ 295
Summit Bancorp
Strike $ 25.00
Expires 01/20/2001 ......... 300 77
Washington Mutual, Inc.
Strike $ 25.00
Expires 01/20/2001 ......... 1,000 150
----- -----
1,700 $ 522
===== =====
</TABLE>
* Contracts not in thousands
F. Securities Lending
The Fund derives income from its securities lending activities. For securities
loaned, collateral values are continuously maintained at not less than 100 % by
pricing both the securities loaned and the collateral daily. Securities lending,
as with other extensions of credit, involves the risk that the borrower may
default. Although securities loans will be fully collateralized at all times, a
portfolio may experience delays in, or be prevented from, recovering the
collateral. During the period that the portfolio seeks to enforce its rights
against the borrower, the collateral and the securities loaned remain subject to
fluctuations in market value. For the period ended June 30, 2000, the following
amounts of income, net of related expenses, resulting from securities lending
activities are included in interest income:
<TABLE>
<CAPTION>
Portfolio Income
----------------------------------------- -------
<S> <C>
WRL AEGON Bond .......................... $ 15
WRL Janus Growth ........................ 807
WRL Janus Global ........................ 512
WRL LKCM Strategic Total Return ......... 42
WRL VKAM Emerging Growth ................ 412
WRL Alger Aggressive Growth ............. 226
WRL AEGON Balanced ...................... 9
WRL Federated Growth & Income ........... 3
WRL Dean Asset Allocation ............... 9
WRL C.A.S.E. Growth ..................... 29
WRL NWQ Value Equity .................... 45
WRL GE International Equity ............. 6
WRL GE U.S. Equity ...................... 12
WRL Pilgrim Baxter Mid Cap .............. 33
</TABLE>
G. Federal Income Taxes
It is the Fund's policy to distribute substantially all of its taxable income
and capital gains to its shareholders and otherwise qualify as a regulated
investment company under the Internal Revenue Code. Pursuant to Code Section
4982(f), regulated investment companies serving as funding vehicles for life
insurance company separate accounts are not subject to excise tax distribution
requirements. Accordingly, no provision for federal income taxes has been made.
Income and capital gain distributions are determined in accordance with income
tax regulations, which may differ from GAAP. These differences are primarily due
to differing treatments for items including, but not limited to, wash sales,
foreign currency transactions, net operating losses and capital loss
carryforwards.
H. Dividends and Distributions
Dividends of WRL J.P. Morgan Money Market are declared daily and reinvested
monthly. Dividends and capital gains distributions of the remaining portfolios
are typically declared and reinvested annually. Dividends and distributions of
the Fund are generally paid to and reinvested on the business day following the
ex-date.
2000 Semi-Annual Report / 161
<PAGE>
Notes to the Financial Statements (continued)
At June 30, 2000
All Amounts in Thousands
(unaudited)
NOTE 1 - (continued)
An investment in a real estate investment trust ("REIT") equity security may
result in the receipt of income in excess of the security's earnings. This
excess amount may not be determinable at the time of receipt. Amounts
distributed, which are subsequently determined to exceed the security's
earnings, would constitute a return of capital to the Fund's shareholders for
federal income tax purposes.
I. Real Estate Investment Trusts
There are certain additional risks involved in investing in REITs. These
include, but are not limited to, economic conditions, changes in zoning laws,
real estate values, property taxes and interest rates. Since WRL J.P. Morgan
Real Estate Securities invests primarily in real estate related securities, the
value of its shares may fluctuate more widely than the value of shares of a
portfolio that invests in a broader range of industries.
J. Expense Offset Arrangement
Fees paid indirectly, in the accompanying Statements of Operations, represent
reductions in custody expenses in lieu of interest income earned on incidental
uninvested cash balances. Such fees have been added to custody fees to reflect
total Fund expenses.
K. Repurchase Agreements
Certain of the portfolios of the Fund are authorized to enter into repurchase
agreements. The portfolio, through its custodian, receives delivery of the
underlying securities, the market value of which at the time of purchase is
required to be in an amount equal to at least 100 % of the resale price.
Repurchase agreements involve the risk that the seller will fail to repurchase
the security, as agreed. In that case, a portfolio will bear the risk of market
value fluctuations until the security can be sold and may encounter delays and
incur costs in liquidating the security. In the event of bankruptcy or
insolvency of the seller, delays and costs are incurred.
NOTE 2 - INVESTMENT ADVISORY AND TRANSACTIONS WITH AFFILIATES
WRL Investment Management, Inc. ("WRL Management") is the investment adviser for
the Fund. WRL Investment Services, Inc. ("WRL Services") provides the Fund with
administrative and transfer agency services. AFSG Securities Corporation
("AFSG") is the Fund's distributor. WRL Management and WRL Services are wholly
owned subsidiaries of WRL. WRL is an indirect wholly owned subsidiary of AEGON
NV, a Netherlands corporation. AFSG is an affiliate of WRL Management.
A. Investment Advisory Fees
The portfolios pay advisory fees at the following annual rate to WRL Management
as a percentage of the average daily net assets of the respective portfolio. WRL
Management currently voluntarily waives its advisory fees to the extent a
portfolio's normal operating expenses exceed the stated annual limit.
<TABLE>
<CAPTION>
Portfolio Advisory Fee Expense Limit
----------------------------------------- -------------- --------------
<S> <C> <C>
WRL J.P. Morgan Money Market ............ 0.40 % 0.70 %
WRL AEGON Bond .......................... 0.45 % 0.70 %
WRL Janus Growth (1) .................... 0.80 % 1.00 %
WRL Janus Global (2) .................... 0.80 % 1.00 %
WRL LKCM Strategic Total Return 0.80 % 1.00 %
WRL VKAM Emerging Growth ................ 0.80 % 1.00 %
WRL Alger Aggressive Growth ............. 0.80 % 1.00 %
WRL AEGON Balanced ...................... 0.80 % 1.00 %
WRL Federated Growth & Income 0.75 % 1.00 %
WRL Dean Asset Allocation ............... 0.80 % 1.00 %
WRL C.A.S.E. Growth ..................... 0.80 % 1.00 %
WRL NWQ Value Equity .................... 0.80 % 1.00 %
WRL GE International Equity (3) ......... 1.00 % 1.20 %
WRL GE U.S. Equity (4) .................. 0.80 % 1.00 %
WRL Third Avenue Value .................. 0.80 % 1.00 %
WRL J.P. Morgan Real Estate
Securities ............................ 0.80 % 1.00 %
WRL Goldman Sachs Growth (5) ............ 0.90 % 1.00 %
WRL Goldman Sachs Small Cap ............. 0.90 % 1.00 %
WRL T. Rowe Price Dividend
Growth (5) ............................ 0.90 % 1.00 %
WRL T. Rowe Price Small Cap ............. 0.75 % 1.00 %
WRL Salomon All Cap (5) ................. 0.90 % 1.00 %
WRL Pilgrim Baxter Mid Cap
Growth (5) ............................ 0.90 % 1.00 %
WRL Dreyfus Mid Cap (6) ................. 0.85 % 1.00 %
WRL Value Line Aggressive
Growth ................................ 0.80 % 1.00 %
WRL Great Companies -
AmericaSM ............................. 0.80 % 1.00 %
WRL Great Companies -
TechnologySM .......................... 0.80 % 1.00 %
</TABLE>
(1) WRL Management waived 0.025 % of its advisory fee for the first $ 3 billion
of the portfolio's average daily net assets (net
162 / WRL Series Fund, Inc.
<PAGE>
Notes to the Financial Statements (continued)
At June 30, 2000
All Amounts in Thousands
(unaudited)
NOTE 2 - (continued)
fee is 0.775 %); and 0.05 % for the portfolio's average daily net assets
above $ 3 billion (net fee is 0.75 %). This waiver was terminated on June
25, 2000.
(2) WRL Management waived 0.025 % of its advisory fee for the portfolio's
average daily net assets above $ 2 billion (net fee is 0.775 %). This
waiver was terminated on June 25, 2000.
(3) On May 1, 2000, the expense limit for GE International Equity was reduced
from 1.50% to 1.20% of average daily net assets. The combined expense limit
for the period of January 1 through June 30, 2000 is 1.40%.
(4) On May 1, 2000, the expense limit for GE U.S. Equity was reduced from 1.30
% to 1.00 % of average daily net assets. The combined expense limit for the
period of January 1 through June 30, 2000 is 1.20 %.
(5) WRL Management receives compensation for its services at 0.90 % for the
first $ 100 million of the portfolio's average daily net assets; and 0.80 %
for the portfolio's average daily net assets above $ 100 million.
(6) WRL Management receives compensation for its services at 0.85 % for the
first $ 100 million of the portfolio's average daily net assets; and 0.80 %
for the portfolio's average daily net assets above $ 100 million.
B. Sub-Advisers
WRL Management has entered into sub-advisory agreements with various management
companies ("Sub-Advisers") to provide investment services to the portfolios and
compensates the Sub-Advisers as described in the Fund's Statement of Additional
Information.
AEGON USA Investment Management, Inc. ("AEGON Management") is the Sub-Adviser to
WRL AEGON Bond and WRL AEGON Balanced. Prior to May 1, 2000, Scottish Equitable
Investment Management, Ltd. ("SEIM") served as co-manager to WRL GE
International Equity, and the portfolio was known as WRL GE/Scottish Equitable
International Equity. AEGON Management and SEIM are indirect wholly owned
subsidiaries of AEGON NV.
Great Companies, L.L.C. ("Great Companies") serves as the Sub-Adviser to WRL
Great Companies - AmericaSM and WRL Great Companies - TechnologySM. AEGON USA is
a controlling minority shareholder of Great Companies. Great Companies may be
deemed to be an affiliate of the investment adviser.
The Sub-Advisers may occasionally place portfolio business with affiliated
brokers of WRL Management or a Sub-Adviser. The Fund has been informed that
brokerage commissions were paid to affiliated brokers of WRL Management or a
Sub-Adviser during the period ended June 30, 2000, as follows:
<TABLE>
<CAPTION>
Portfolio Commissions
------------------------------------- ------------
<S> <C>
WRL VKAM Emerging Growth ............ $ 16
WRL Alger Aggressive Growth ......... 350
WRL Third Avenue Value .............. 35
WRL Goldman Sachs Growth ............ 1
</TABLE>
C. Administrative Services
The portfolios are charged for expenses that specifically relate to their
individual operations. All other operating expenses of the Fund that are not
attributable to a specific portfolio are allocated based upon the proportionate
number of policy and contract owners of the variable life insurance, variable
annuity and group annuity products. WRL Services directly incurs and pays these
operating expenses relating to the Fund, which subsequently reimburses WRL
Services.
D. Plan of Distribution
Effective January 1, 1997, the Fund adopted a distribution plan ("Distribution
Plan") pursuant to Rule 12b-1 under the Investment Company Act of 1940, as
amended. Pursuant to the Distribution Plan, the Fund entered into a Distribution
Agreement with AFSG effective May 1, 1999.
Under the Distribution Plan and Distribution Agreement, the Fund, on behalf of
the portfolios, is authorized to pay to various service providers, as direct
payment for expenses incurred in connection with the distribution of a
portfolio's shares, amounts equal to actual expenses associated with
distributing such portfolio's shares, up to a maximum rate of 0.15 %, on an
annualized basis, of the average daily net assets of each portfolio.
AFSG has determined that it will not seek payment by the Fund of the
distribution expenses incurred with respect to any portfolio before April 30,
2001. Prior to AFSG seeking reimbursement of future expenses, policy and
contract owners will be notified in advance.
E. Deferred Compensation Plan
Each eligible Director of the Fund who is not an officer or affiliated person as
defined under the Investment Company Act of 1940, as amended, may elect to
participate in the Deferred
2000 Semi-Annual Report / 163
<PAGE>
Notes to the Financial Statements (continued)
At June 30, 2000
All Amounts in Thousands
(unaudited)
Compensation Plan for Directors of the WRL Series Fund, Inc. (the "Plan"). Under
the Plan, such directors may elect to defer payment of a percentage of their
total fees earned as a Director of the Fund. These deferred amounts may be
invested in any portfolio of the IDEX Mutual Funds, an affiliate of the Fund. At
June 30, 2000, the market value of invested plan amounts was $ 145. Invested
plan amounts and the total liability for deferred compensation to the Directors
under the Plan at June 30, 2000 is included in Net assets in the accompanying
Statements of Assets and Liabilities.
NOTE 3 - SECURITIES TRANSACTIONS
Securities transactions for the period ended June 30, 2000, are summarized as
follows:
<TABLE>
<CAPTION>
Proceeds from maturities
Purchases of securities and sales of securities
--------------------------------------- -------------------------------------
Long-term excluding Long-term excluding
Portfolio U.S. Government U.S. Government U.S. Government U.S. Government
------------------------------------------------- --------------------- ----------------- -------------------- ----------------
<S> <C> <C> <C> <C>
WRL J.P. Morgan Money Market ................... $ 0 $ 1,796,353 $ 0 $ 1,936,539
WRL AEGON Bond ................................. 13,450 1,465,350 18,969 1,478,035
WRL Janus Growth ............................... 1,199,835 559,475 1,005,098 675,759
WRL Janus Global ............................... 926,814 323,965 862,240 193,500
WRL LKCM Strategic Total Return ................ 185,276 14,176 202,656 32,830
WRL VKAM Emerging Growth ....................... 1,339,110 17,050,211 1,228,554 16,933,863
WRL Alger Aggressive Growth .................... 592,940 0 459,702 0
WRL AEGON Balanced ............................. 24,092 6,528 17,863 16,245
WRL Federated Growth & Income .................. 54,071 0 48,956 0
WRL Dean Asset Allocation ...................... 22,650 3,327 82,367 0
WRL C.A.S.E. Growth ............................ 88,064 0 89,312 0
WRL NWQ Value Equity ........................... 34,896 4,928 34,171 4,998
WRL GE International Equity .................... 31,641 0 30,090 0
WRL GE U.S. Equity ............................. 65,539 409 35,123 97
WRL Third Avenue Value ......................... 15,733 0 4,503 0
WRL J.P. Morgan Real Estate Securities ......... 7,381 0 5,162 0
WRL Goldman Sachs Growth ....................... 7,052 148 1,798 0
WRL Goldman Sachs Small Cap .................... 3,608 0 1,272 0
WRL T. Rowe Price Dividend Growth .............. 8,318 254 4,778 130
WRL T. Rowe Price Small Cap .................... 17,877 223 5,180 166
WRL Salomon All Cap ............................ 28,132 128 10,837 130
WRL Pilgrim Baxter Mid Cap Growth .............. 224,019 0 75,591 0
WRL Dreyfus Mid Cap ............................ 5,737 0 2,986 0
WRL Value Line Aggressive Growth ............... 1,428 0 121 0
WRL Great Companies - AmericaSM ................ 24,238 0 1,387 0
WRL Great Companies - TechnologySM ............. 9,602 0 0 0
</TABLE>
164 / WRL Series Fund, Inc.
<PAGE>
Notes to the Financial Statements (continued)
At June 30, 2000
All Amounts in Thousands
(unaudited)
NOTE 4 - FEDERAL INCOME TAX MATTERS
The income, expenses, gains and losses on security transactions attributed to
each portfolio for accounting purposes are also attributed to that portfolio for
federal income tax purposes. Gains and losses on forward currency contracts, if
applicable, are treated as ordinary income for federal income tax purposes
pursuant to Section 988 of the Internal Revenue Code.
Each portfolio has and will continue to comply with the provisions of the
Internal Revenue Code applicable to regulated investment companies, and
accordingly, has made or intends to make sufficient distributions of net
investment income and net realized gains, if any, to relieve it from all federal
and state income taxes and federal excise taxes.
The net capital loss carryforwards noted below as of December 31, 1999, if
applicable, are available to offset future realized capital gains through the
periods listed. Each portfolio has elected to treat the net capital losses
incurred in the two month period prior to December 31, 1999, (Post-October
Losses Deferred), if applicable, as having been incurred in the fiscal year
ended December 31, 2000.
<TABLE>
<CAPTION>
Prior Year
Post-October December 31, 1999 Net Capital Loss
Losses to be Net Capital Loss Carryforward
Portfolio Recognized Carryforward Available Through
------------------------------------------------ -------------- ------------------- ----------------------------------
<S> <C> <C> <C>
WRL J.P. Morgan Money Market ................... $ 0 $ 0 n/a
WRL AEGON Bond ................................. 284 4,453 $ 4,065 through December 31, 2002
261 through December 31, 2005
127 through December 31, 2007
WRL Janus Growth ............................... 2 0 n/a
WRL Janus Global ............................... 0 0 n/a
WRL LKCM Strategic Total Return ................ 0 0 n/a
WRL VKAM Emerging Growth ....................... 0 0 n/a
WRL Alger Aggressive Growth .................... 0 0 n/a
WRL AEGON Balanced ............................. 2,354 3,826 2,432 through December 31, 2006
1,394 through December 31, 2007
WRL Federated Growth & Income .................. 254 0 n/a
WRL Dean Asset Allocation ...................... 0 569 December 31, 2007
WRL C.A.S.E. Growth ............................ 0 0 n/a
WRL NWQ Value Equity ........................... 14,203 0 n/a
WRL GE International Equity .................... 0 0 n/a
WRL GE U.S. Equity ............................. 0 0 n/a
WRL Third Avenue Value ......................... 0 542 December 31, 2007
WRL J.P. Morgan Real Estate Securities ......... 87 331 72 through December 31, 2006
259 through December 31, 2007
WRL Goldman Sachs Growth ....................... 0 0 n/a
WRL Goldman Sachs Small Cap .................... 0 0 n/a
WRL T. Rowe Price Dividend Growth .............. 43 63 December 31, 2007
WRL T. Rowe Price Small Cap .................... 0 0 n/a
WRL Salomon All Cap ............................ 0 0 n/a
WRL Pilgrim Baxter Mid Cap Growth .............. 0 0 n/a
WRL Dreyfus Mid Cap ............................ 0 0 n/a
WRL Value Line Aggressive Growth ............... 0 0 n/a
WRL Great Companies - America(SM) .............. 0 0 n/a
WRL Great Companies - Technology(SM) ........... 0 0 n/a
</TABLE>
2000 Semi-Annual Report / 165
<PAGE>
Notes to the Financial Statements (continued)
At June 30, 2000
All Amounts in Thousands
(unaudited)
NOTE 4 - (continued)
The aggregate cost of investments and composition of unrealized appreciation
(depreciation) for federal income tax purposes as of June 30, 2000, are as
follows:
<TABLE>
<CAPTION>
Net Unrealized
Federal Tax Unrealized Unrealized Appreciation
Portfolio Cost Basis Appreciation (Depreciation) (Depreciation)
------------------------------------------------ ------------- -------------- ---------------- ---------------
<S> <C> <C> <C> <C>
WRL J.P. Morgan Money Market ................... $ 233,020 $ 0 $ 0 $ 0
WRL AEGON Bond ................................. 136,846 148 (5,707) (5,559)
WRL Janus Growth ............................... 2,536,552 1,713,467 (94,417) 1,619,050
WRL Janus Global ............................... 1,488,382 703,095 (64,427) 638,668
WRL LKCM Strategic Total Return ................ 496,284 104,999 (17,498) 87,501
WRL VKAM Emerging Growth ....................... 1,488,878 907,739 (28,805) 878,934
WRL Alger Aggressive Growth .................... 839,202 416,772 (54,512) 362,260
WRL AEGON Balanced ............................. 87,256 19,669 (4,804) 14,865
WRL Federated Growth & Income .................. 86,898 6,406 (4,347) 2,059
WRL Dean Asset Allocation ...................... 204,476 13,776 (23,165) (9,389)
WRL C.A.S.E. Growth ............................ 98,472 11,713 (17,831) (6,118)
WRL NWQ Value Equity ........................... 128,042 21,305 (14,306) 6,999
WRL GE International Equity .................... 33,455 4,024 (2,128) 1,896
WRL GE U.S. Equity ............................. 180,467 31,251 (15,011) 16,240
WRL Third Avenue Value ......................... 30,210 6,180 (1,202) 4,978
WRL J.P. Morgan Real Estate Securities ......... 5,731 174 (78) 96
WRL Goldman Sachs Growth ....................... 13,846 1,688 (695) 993
WRL Goldman Sachs Small Cap .................... 4,403 816 (436) 380
WRL T. Rowe Price Dividend Growth .............. 12,277 974 (790) 184
WRL T. Rowe Price Small Cap .................... 21,589 3,994 (2,149) 1,845
WRL Salomon All Cap ............................ 26,317 1,986 (1,757) 229
WRL Pilgrim Baxter Mid Cap Growth .............. 194,885 31,550 (13,639) 17,911
WRL Dreyfus Mid Cap ............................ 6,577 567 (477) 90
WRL Value Line Aggressive Growth ............... 1,317 64 (38) 26
WRL Great Companies - AmericaSM ................ 22,832 908 (272) 636
WRL Great Companies - TechnologySM ............. 9,602 551 (201) 350
</TABLE>
166 / WRL Series Fund, Inc.
<PAGE>
Notes to the Financial Statements (continued)
At June 30, 2000
All Amounts in Thousands
(unaudited)
NOTE 5 - COMMITMENTS
For the period ended June 30, 2000, WRL Janus Growth, WRL Janus Global, WRL GE
International Equity, and WRL T. Rowe Price Dividend Growth entered into forward
foreign currency contracts. These obligate each portfolio to deliver currencies
at specified future dates. The open contracts at June 30, 2000, are as follows:
<TABLE>
<CAPTION>
Amount in Net Unrealized
Settlement U.S. Dollars Appreciation
Currency Bought (Sold) Date Bought (Sold) (Depreciation)
-------------------------- --------------- ------------ --------------- ---------------
<S> <C> <C> <C> <C>
WRL Janus Global
British Pound ........... 386 07/03/2000 $ 585 $ 6
British Pound ........... 163 07/03/2000 247 2
British Pound ........... 51 07/03/2000 77 1
British Pound ........... 22 07/03/2000 33 0
British Pound ........... 102 07/05/2000 154 0
British Pound ........... 78 07/05/2000 118 0
British Pound ........... 16 07/05/2000 24 0
British Pound ........... 116 07/06/2000 176 0
British Pound ........... 3,500 09/08/2000 5,309 120
British Pound ........... 3,300 09/08/2000 5,006 66
British Pound ........... (500) 09/08/2000 (758) 37
British Pound ........... (3,700) 09/08/2000 (5,613) 237
British Pound ........... (4,100) 09/08/2000 (6,219) 245
British Pound ........... (12,000) 09/08/2000 (18,203) 791
British Pound ........... 5,500 09/22/2000 8,345 (377)
British Pound ........... (7,000) 09/22/2000 (10,621) 530
British Pound ........... 5,000 09/29/2000 7,588 (50)
British Pound ........... (12,700) 09/29/2000 (19,273) 890
British Pound ........... (20,700) 01/26/2001 (31,499) 183
Canadian Dollar ......... (3,200) 09/22/2000 (2,166) 39
Canadian Dollar ......... (3,200) 11/17/2000 (2,169) (5)
Euro Dollar ............. 303 07/03/2000 291 2
Euro Dollar ............. 157 07/03/2000 151 2
Euro Dollar ............. (268) 07/03/2000 (257) (4)
Euro Dollar ............. (4,755) 07/03/2000 (4,554) (67)
Euro Dollar ............. 21,000 09/08/2000 20,201 1,147
Euro Dollar ............. 17,000 09/08/2000 16,353 354
Euro Dollar ............. 13,600 09/08/2000 13,082 409
Euro Dollar ............. 11,800 09/08/2000 11,351 (108)
Euro Dollar ............. 11,000 09/08/2000 10,581 (87)
Euro Dollar ............. 9,000 09/08/2000 8,658 (46)
Euro Dollar ............. 8,000 09/08/2000 7,696 509
Euro Dollar ............. 6,000 09/08/2000 5,772 390
Euro Dollar ............. 4,200 09/08/2000 4,040 216
Euro Dollar ............. 3,400 09/08/2000 3,271 77
Euro Dollar ............. 3,300 09/08/2000 3,174 60
</TABLE>
2000 Semi-Annual Report / 167
<PAGE>
Notes to the Financial Statements (continued)
At June 30, 2000
All Amounts in Thousands
(unaudited)
NOTE 5 - (continued)
<TABLE>
<CAPTION>
Amount in Net Unrealized
Settlement U.S. Dollars Appreciation
Currency Bought (Sold) Date Bought (Sold) (Depreciation)
---------------------------- --------------- ------------ --------------- ---------------
<S> <C> <C> <C> <C>
WRL Janus Global (continued)
Euro Dollar ............... (4,600) 09/08/2000 $ (4,425) $ 12
Euro Dollar ............... (14,000) 09/08/2000 (13,467) 205
Euro Dollar ............... (14,700) 09/08/2000 (14,141) (824)
Euro Dollar ............... (17,500) 09/08/2000 (16,834) 81
Euro Dollar ............... (18,500) 09/08/2000 (17,796) 192
Euro Dollar ............... (20,000) 09/08/2000 (19,239) (1,045)
Euro Dollar ............... (24,200) 09/08/2000 (23,280) (390)
Euro Dollar ............... 1,700 09/22/2000 1,637 90
Euro Dollar ............... (21,000) 09/22/2000 (20,219) 47
Euro Dollar ............... 6,600 09/29/2000 6,357 173
Euro Dollar ............... 2,100 09/29/2000 2,023 (7)
Euro Dollar ............... (59,200) 09/29/2000 (57,021) 306
Euro Dollar ............... 10,700 10/05/2000 10,310 258
Euro Dollar ............... 8,500 10/05/2000 8,190 432
Euro Dollar ............... 1,200 10/05/2000 1,156 76
Euro Dollar ............... (20,400) 10/05/2000 (19,656) (52)
Euro Dollar ............... (20,000) 11/17/2000 (19,321) (1,022)
Euro Dollar ............... (24,000) 01/19/2001 (23,271) (588)
Euro Dollar ............... 6,500 01/26/2001 6,305 122
Euro Dollar ............... 3,000 01/26/2001 2,910 53
Euro Dollar ............... 1,900 01/26/2001 1,843 43
Euro Dollar ............... (13,000) 01/26/2001 (12,610) 46
Hong Kong Dollar .......... 1,316 07/03/2000 169 0
Hong Kong Dollar .......... 70,000 03/16/2001 8,985 3
Hong Kong Dollar .......... 46,500 03/16/2001 5,968 7
Hong Kong Dollar .......... 10,000 03/16/2001 1,284 1
Hong Kong Dollar .......... (8,000) 03/16/2001 (1,027) 0
Hong Kong Dollar .......... (16,000) 03/16/2001 (2,054) 0
Hong Kong Dollar .......... (21,800) 03/16/2001 (2,798) (1)
Hong Kong Dollar .......... (38,500) 03/16/2001 (4,942) (2)
Hong Kong Dollar .......... (50,000) 03/16/2001 (6,418) (2)
Hong Kong Dollar .......... (51,000) 03/16/2001 (6,546) 2
Hong Kong Dollar .......... (90,000) 03/16/2001 (11,552) (1)
Hong Kong Dollar .......... 31,000 05/07/2001 3,979 2
Hong Kong Dollar .......... 25,000 05/07/2001 3,209 1
Hong Kong Dollar .......... 15,000 05/07/2001 1,925 1
Hong Kong Dollar .......... 3,000 05/07/2001 385 5
Hong Kong Dollar .......... (2,600) 05/07/2001 (334) (7)
Hong Kong Dollar .......... (3,000) 05/07/2001 (385) (7)
</TABLE>
168 / WRL Series Fund, Inc.
<PAGE>
Notes to the Financial Statements (continued)
At June 30, 2000
All Amounts in Thousands
(unaudited)
NOTE 5 - (continued)
<TABLE>
<CAPTION>
Amount in Net Unrealized
Settlement U.S. Dollars Appreciation
Currency Bought (Sold) Date Bought (Sold) (Depreciation)
---------------------------- --------------- ------------ --------------- ---------------
<S> <C> <C> <C> <C>
WRL Janus Global (continued)
Hong Kong Dollar .......... (3,500) 05/07/2001 $ (449) $ (2)
Hong Kong Dollar .......... (4,000) 05/07/2001 (513) (10)
Hong Kong Dollar .......... (4,000) 05/07/2001 (513) (6)
Hong Kong Dollar .......... (5,000) 05/07/2001 (642) (14)
Hong Kong Dollar .......... (6,500) 05/07/2001 (834) (4)
Hong Kong Dollar .......... (6,600) 05/07/2001 (847) (19)
Hong Kong Dollar .......... (7,000) 05/07/2001 (898) (20)
Hong Kong Dollar .......... (7,000) 05/07/2001 (898) (12)
Hong Kong Dollar .......... (8,000) 05/07/2001 (1,027) (18)
Hong Kong Dollar .......... (9,400) 05/07/2001 (1,206) (21)
Hong Kong Dollar .......... (12,000) 05/07/2001 (1,540) (31)
Hong Kong Dollar .......... (12,500) 05/07/2001 (1,604) (36)
Hong Kong Dollar .......... (13,700) 05/07/2001 (1,758) (7)
Hong Kong Dollar .......... (14,000) 05/07/2001 (1,797) (38)
Hong Kong Dollar .......... (16,000) 05/07/2001 (2,054) (10)
Hong Kong Dollar .......... (18,000) 05/07/2001 (2,310) (53)
Hong Kong Dollar .......... (23,000) 05/07/2001 (2,952) (3)
Hong Kong Dollar .......... (23,500) 05/07/2001 (3,016) (36)
Hong Kong Dollar .......... (26,400) 05/07/2001 (3,388) (77)
Hong Kong Dollar .......... (26,500) 05/07/2001 (3,401) (71)
Hong Kong Dollar .......... (28,000) 05/07/2001 (3,594) (30)
Hong Kong Dollar .......... (31,300) 05/07/2001 (4,017) (18)
Hong Kong Dollar .......... (32,500) 05/07/2001 (4,171) (49)
Hong Kong Dollar .......... (77,000) 05/07/2001 (9,883) (11)
Hong Kong Dollar .......... 5,000 05/10/2001 642 1
Hong Kong Dollar .......... (14,000) 05/10/2001 (1,797) (18)
Hong Kong Dollar .......... (15,000) 05/10/2001 (1,925) (20)
Hong Kong Dollar .......... (24,000) 05/10/2001 (3,080) (31)
Hong Kong Dollar .......... (25,000) 05/10/2001 (3,209) (24)
Hong Kong Dollar .......... (25,700) 05/10/2001 (3,299) (32)
Hong Kong Dollar .......... (28,000) 05/10/2001 (3,594) (2)
Hong Kong Dollar .......... (40,000) 05/10/2001 (5,134) (33)
Hong Kong Dollar .......... (40,000) 05/10/2001 (5,134) 7
Hong Kong Dollar .......... (100,000) 05/10/2001 (12,835) (13)
Hong Kong Dollar .......... (8,000) 06/27/2001 (1,027) 1
Hong Kong Dollar .......... (27,700) 06/27/2001 (3,555) 0
Hong Kong Dollar .......... (74,000) 06/27/2001 (9,498) 1
Japanese Yen .............. 121,942 07/03/2000 1,151 (5)
Japanese Yen .............. (123,009) 07/03/2000 (1,161) 6
</TABLE>
2000 Semi-Annual Report / 169
<PAGE>
Notes to the Financial Statements (continued)
At June 30, 2000
All Amounts in Thousands
(unaudited)
NOTE 5 - (continued)
<TABLE>
<CAPTION>
Amount in Net Unrealized
Settlement U.S. Dollars Appreciation
Currency Bought (Sold) Date Bought (Sold) (Depreciation)
--------------------------------------------- ----------------- ------------ ----------------- ---------------
<S> <C> <C> <C> <C>
WRL Janus Global (continued)
Japanese Yen ............................... (73,380) 07/05/2000 $ (693) $ 5
Japanese Yen ............................... 500,000 09/01/2000 4,774 46
Japanese Yen ............................... 440,000 09/01/2000 4,201 12
Japanese Yen ............................... (4,500,000) 09/01/2000 (42,963) (461)
Japanese Yen ............................... 800,000 09/08/2000 7,647 (158)
Japanese Yen ............................... (270,000) 09/08/2000 (2,581) 69
Japanese Yen ............................... (280,000) 09/08/2000 (2,677) 49
Japanese Yen ............................... (800,000) 09/08/2000 (7,647) 5
Japanese Yen ............................... (1,000,000) 09/08/2000 (9,559) 42
Japanese Yen ............................... (1,300,000) 09/08/2000 (12,427) 69
Japanese Yen ............................... (1,700,000) 09/08/2000 (16,250) 224
Japanese Yen ............................... 1,055,000 09/14/2000 10,096 (295)
Japanese Yen ............................... 700,000 09/14/2000 6,698 (37)
Japanese Yen ............................... (400,000) 09/14/2000 (3,828) (19)
Japanese Yen ............................... (480,000) 09/14/2000 (4,593) 24
Japanese Yen ............................... (875,000) 09/14/2000 (8,373) (202)
Japanese Yen ............................... (1,000,000) 09/14/2000 (9,569) 63
Japanese Yen ............................... 1,100,000 09/22/2000 10,541 (222)
Japanese Yen ............................... (1,100,000) 09/22/2000 (10,541) 226
Japanese Yen ............................... 200,000 09/29/2000 1,919 (54)
Japanese Yen ............................... (200,000) 09/29/2000 (1,919) 28
Japanese Yen ............................... 1,500,000 10/05/2000 14,409 77
Japanese Yen ............................... 500,000 10/05/2000 4,803 (9)
Japanese Yen ............................... 300,000 10/05/2000 2,882 (7)
Japanese Yen ............................... (3,700,000) 10/05/2000 (35,543) 1,020
Japanese Yen ............................... (1,200,000) 11/17/2000 (11,621) (294)
Japanese Yen ............................... (600,000) 01/19/2001 (5,879) (34)
Korean Won ................................. (400,000) 01/26/2001 (359) (2)
Korean Won ................................. (520,000) 02/08/2001 (466) (2)
Korean Won ................................. (655,000) 02/08/2001 (587) (2)
Korean Won ................................. (1,640,000) 02/15/2001 (1,471) (5)
---------- -------
Total WRL Janus Global .................... $ (428,093) $ 3,177
========== =======
WRL GE International Equity
British Pound .............................. 59 07/05/2000 $ 89 $ 0
British Pound .............................. (12) 07/05/2000 (19) 0
Euro Dollar ................................ (1) 07/31/2000 (1) 0
Euro Dollar ................................ (9) 07/31/2000 (9) 0
---------- ------
Total WRL GE International Equity ......... $ 60 $ 0
========== ======
</TABLE>
170 / WRL Series Fund, Inc.
<PAGE>
Notes to the Financial Statements (continued)
At June 30, 2000
All Amounts in Thousands
(unaudited)
NOTE 5 - (continued)
WRL GE U.S. Equity entered into Standard & Poor's Index of 500 Common Stocks
("S&P 500 Index") futures contracts, which obligate the portfolio to settle
variation margins in cash daily. Securities with an aggregate market value of $
2,019 have been segregated with the custodian to cover margin requirements for
the following open futures contracts at June 30, 2000:
<TABLE>
<CAPTION>
Net Unrealized
Settlement Appreciation
Type Contracts Date Amount (Depreciation)
----------------------- ----------- ------------ ---------- ---------------
<S> <C> <C> <C> <C>
S&P 500 Index ......... 13 09/15/2000 $ 4,771 $ 12
</TABLE>
2000 Semi-Annual Report / 171
<PAGE>
Notes to the Financial Statements (continued)
At June 30, 2000
All Amounts in Thousands
(unaudited)
NOTE 6 - FINANCIAL HIGHLIGHTS
Per share information has been computed using average shares outstanding
throughout each period. Total return reflects all portfolio expenses and
includes reinvestment of dividends and capital gains; it does not reflect the
charges and deductions under the policies or annuity contracts. Total return and
portfolio turnover rate are not annualized for periods of less than one year.
Ratio of expenses and ratio of net investment income (loss) to average net
assets are annualized for periods of less than one year. For the period ended
June 30, 2000, ratio of expenses to average net assets is net of the advisory
fee waiver (see Note 2A). For the years prior to 1999, ratio of expenses to
average net assets is net of the advisory fee waiver and fees paid indirectly.
Without the advisory fee waived by WRL Management and the fees paid indirectly,
ratio of expenses to average net assets for each period presented would be as
follows:
<TABLE>
<CAPTION>
June 30, December 31,
------------ ----------------------------------------------------------------
Portfolio 2000 1999 1998 1997 1996 1995
------------------------------------------------ ------------ ------------ ------------ ------------ ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
WRL J.P. Morgan Money Market ................... * * * * * *
WRL AEGON Bond ................................. * * * * * *
WRL Janus Growth ............................... * 0.82 % * * * *
WRL Janus Global ............................... * * * * * *
WRL LKCM Strategic Total Return ................ * * * * * *
WRL VKAM Emerging Growth ....................... * * * * * *
WRL Alger Aggressive Growth .................... * * * * * *
WRL AEGON Balanced ............................. * * * * * *
WRL Federated Growth & Income .................. * * * * * 1.08 %
WRL Dean Asset Allocation ...................... * * * * * *
WRL C.A.S.E. Growth ............................ * * * 1.14 % 1.70 % 4.17 %
WRL NWQ Value Equity ........................... * * * * 1.10 % **
WRL GE International Equity .................... 1.80 % 1.84 % 1.96 % 3.14 % ** **
WRL GE U.S. Equity ............................. * * * 1.54 % ** **
WRL Third Avenue Value ......................... * 1.06 % 1.13 % ** ** **
WRL J.P. Morgan Real Estate Securities ......... 2.25 % 2.69 % 3.34 % ** ** **
WRL Goldman Sachs Growth ....................... 1.50 % 2.68 % ** ** ** **
WRL Goldman Sachs Small Cap .................... 2.77 % 5.57 % ** ** ** **
WRL T. Rowe Price Dividend Growth .............. 1.60 % 2.35 % ** ** ** **
WRL T. Rowe Price Small Cap .................... 1.25 % 2.46 % ** ** ** **
WRL Salomon All Cap ............................ 1.51 % 2.87 % ** ** ** **
WRL Pilgrim Baxter Mid Cap Growth .............. * 1.40 % ** ** ** **
WRL Dreyfus Mid Cap ............................ 2.30 % 4.89 % ** ** ** **
WRL Value Line Aggressive Growth ............... 2.33 % ** ** ** ** **
WRL Great Companies - AmericaSM ................ 1.04 % ** ** ** ** **
WRL Great Companies - TechnologySM ............. 1.16 % ** ** ** ** **
</TABLE>
* Ratio difference less than 0.01 %.
** Portfolio was not in existence during this period.
172 / WRL Series Fund, Inc.
<PAGE>
Notes to the Financial Statements (continued)
At June 30, 2000
All Amounts in Thousands
(unaudited)
NOTE 7 - SCHEDULE OF INVESTMENTS
The following provides additional information on certain of the holdings in
each portfolio.
(a) No dividends were paid during the preceding twelve months.
(b) As of June 30, 2000, the security is on loan (see Note 1F). The market
value of all securities on loan, included in Other in the accompanying
Statements of Assets and Liabilities at June 30, 2000, by portfolio, is as
follows:
<TABLE>
<CAPTION>
Portfolio Market Value
<S> <C>
WRL AEGON Bond .......................... $ 1,970
WRL Janus Growth ........................ 725,243
WRL Janus Global ........................ 372,696
WRL LKCM Strategic Total Return ......... 29,842
WRL VKAM Emerging Growth ................ 347,928
WRL Alger Aggressive Growth ............. 184,012
WRL AEGON Balanced ...................... 9,365
WRL Federated Growth & Income ........... 3,178
WRL Dean Asset Allocation ............... 16,439
WRL C.A.S.E. Growth ..................... 24,580
WRL NWQ Value Equity .................... 5,771
WRL GE International Equity ............. 4,246
WRL GE U.S. Equity ...................... 6,731
WRL T. Rowe Price Small Cap ............. 1,500
WRL Salomon All Cap ..................... 1,680
WRL Pilgrim Baxter Mid Cap .............. 38,117
</TABLE>
(c) Securities are registered pursuant to rule 144A and may be deemed to be
restricted for resale.
(d) Floating or variable rate note. Rate is listed as of June 30, 2000.
(e) At June 30, 2000, the collateral for the repurchase agreements are as
follows:
<TABLE>
<CAPTION>
Market Value
and
Portfolio Collateral Accrued Interest
----------------------------------- ------------------------------------------------------ -----------------
<S> <C> <C>
WRL LKCM Strategic Total Return $ 17,934 Fannie Mae ARM - 846339
7.40 % due 07/01/2026 $ 3,542
$ 20,000 Aurora Loan Services Series 2000-2 2A1
7.34 % due 05/25/2030 19,038
WRL Alger Aggressive Growth $ 20,360 Freddie Mac - Series 2227 - Class F
7.30 % due 04/15/2030 20,042
$ 20,129 Ginnie Mae ARM - 28408
6.38 % due 04/20/2024 6,208
$ 20,000 Freddie Mac Floating Rate Note - Series MTN1
7.01 % due 01/25/2010 20,043
$ 8,395 Small Business Association - 504077
8.75 % due 01/25/2023 6,207
$ 5,909 Small Business Association - 504523
9.38 % due 02/25/2024 5,841
</TABLE>
2000 Semi-Annual Report / 173
<PAGE>
Notes to the Financial Statements (continued)
At June 30, 2000
All Amounts in Thousands
(unaudited)
NOTE 7 - (continued)
<TABLE>
<CAPTION>
Market Value
and
Portfolio Collateral Accrued Interest
--------------------------------- ------------------------------------------------ -----------------
<S> <C> <C>
WRL Federated Growth & Income $ 10,932 Fannie Mae ARM - 505575
7.59 % due 03/01/2028 $ 10,033
WRL NWQ Value Equity $ 58,361 Freddie Mac - Series 1519 - Class I
6.84 % due 05/15/2008 8,428
WRL Goldman Sachs Growth $ 10,209 Freddie Mac ARM - 755143
7.81 % due 03/01/2020 1,104
WRL Goldman Sachs Small Cap $ 335 Fannie Mae ARM - 323001
7.55 % due 10/01/2026 111
WRL Salomon All Cap $ 2,499 Small Business Association - 503999
8.88 % due 12/25/2022 1,436
WRL Pilgrim Baxter Mid Cap $ 20,000 Fannie Mae - Series 1999-65 - Class FD
Growth 7.20 % due 01/25/2030 19,429
$ 9,900 Fannie Mae - 303721
7.00 % due 04/01/2009 3,919
WRL Dreyfus Mid Cap $ 4,902 Fannie Mae ARM - 262604
7.84 % due 12/01/2023 428
</TABLE>
(f) For WRL Salomon All Cap, the Corporate Debt Securities - Automotive
category has been omitted since its percentage of net assets is less than
0.01 %. The security in this category, Breed Technologies, Inc. (9.25 % due
04/15/2008) has a cost and market value of less than $ 1, and is also
currently in default on interest payments.
(g) Market value is less than $ 1.
(h) Harnischfeger Industries, Inc. and ContiFinancial Corporation are currently
in default on interest payments.
(i) At June 30, 2000, a portion or all of the security is segregated with the
custodian to cover margin requirements for open futures and option
contracts. The market value of all securities segregated at June 30, 2000
is $ 2,019 for WRL GE U.S. Equity and $ 58 for WRL T. Rowe Price Small Cap.
<TABLE>
<CAPTION>
Definitions
------------
<S> <C>
ADR American Depositary Receipt
ARM Adjustable Rate Mortgage
CVA Certificaaten van aandelen (share certificates)
FDR Finnish Depositary Receipt
GDR Global Depository Receipt
PEPS Premium Equity Participating Securities
REIT Real Estate Investment Trust
RVO Residual Value Obligation
STRYPES Structured Yield Product Exchangeable for Common Stock
TRACES Trust Automatic Common Exchange Securities
</TABLE>
174 / WRL Series Fund, Inc.
<PAGE>
WRL SERIES FUND, INC.
Office of the WRL Series Fund
570 Carillon Parkway
St. Petersburg, FL 33716
1-800-851-9777
Independent Certified Custodian:
Public Accountants:
Investors Bank & Trust Company
PricewaterhouseCoopers LLP 200 Clarendon Street
400 North Ashley Street 16th Floor
Suite 2800 Boston, MA 02116
Tampa, FL 33602
Investment Adviser:
WRL Investment Management, Inc.
570 Carillon Parkway
St. Petersburg, FL 33716
Sub-Advisers:
Janus Capital Corporation
100 Fillmore Street
Denver, CO 80206
Luther King Capital
Management Corporation
301 Commerce Street, Suite 1600
Fort Worth, TX 76102
Federated Investment Counseling
Federated Investors Tower
1001 Liberty Avenue
Pittsburgh, PA 15222-3779
NWQ Investment
Management Company, Inc.
2049 Century Park East, 4th Floor
Los Angeles, CA 90067
EQSF Advisers, Inc.
767 Third Avenue
New York, NY 10017-2023
C.A.S.E. Management, Inc.
5355 Tower Center Road, Suite 702
Boca Raton, FL 33486
Goldman Sachs Asset Management
32 Old Slip
New York, NY 10005
Salomon Brothers Asset Management Inc.
7 World Trade Center
New York, NY 10048
T. Rowe Price Associates, Inc.
100 E. Pratt Street
Baltimore, MD 21202
Great Companies, L.L.C.
8550 Ulmerton Road
Largo, FL 33771
AEGON USA
Investment Management, Inc.
4333 Edgewood Road, N.E.
Cedar Rapids, IA 52499
Van Kampen Asset
Management Inc.
One Parkview Plaza
Oakbrook Terrace, IL 60181
Fred Alger Management, Inc.
1 World Trade Center, Suite 9333
New York, NY 10048
J.P. Morgan Investment
Management Inc.
522 Fifth Avenue
New York, NY 10036
Dean Investment Associates
2480 Kettering Tower
Dayton, OH 45423-2480
GE Asset
Management Incorporated
3003 Summer Street
Stamford, CT 06905
Pilgrim Baxter & Associates, Ltd.
825 Duportail Road
Wayne, PA 19087
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
Value Line, Inc.
220 East 42nd Street
New York, NY 10017-5891
[WRL INVESTMENT MANAGEMENT INC.(SM)
LOGO APPEARS HERE]
Investment Adviser
WRL Investment Management, Inc.
Distributor: AFSG Securities Corporation
4333 Edgewood Road, N.E.
Cedar Rapids, IA 52499
This material must be preceded or accompanied by the Fund's current
prospectus.
August 2000
ACC00001-8/00
<PAGE>
WRL Quarterly Subaccount Performance
WRL Freedom Attainer(Reg. TM) Variable Annuity
At June 30, 2000
<TABLE>
<CAPTION>
Inception
Subaccount Date
<S> <C>
WRL J.P. Morgan Money Market
4.93 % Current Yield for the
seven day period ended 6/30/00(1) 02/24/89
WRL AEGON Bond 02/24/89
WRL Janus Growth 02/24/89
WRL Janus Global 12/03/92
WRL LKCM Strategic Total Return 03/01/93
WRL VKAM Emerging Growth 03/01/93
WRL Alger Aggressive Growth 03/01/94
WRL AEGON Balanced 03/01/94
WRL Federated Growth & Income 03/01/94
WRL Dean Asset Allocation 01/03/95
WRL C.A.S.E. Growth 05/01/95
WRL NWQ Value Equity 05/01/96
WRL GE International Equity 01/02/97
WRL GE U.S. Equity 01/02/97
WRL Third Avenue Value 01/02/98
WRL J.P. Morgan Real Estate Securities 05/01/98
WRL Goldman Sachs Growth 05/03/99
WRL Goldman Sachs Small Cap 05/03/99
WRL T. Rowe Price Dividend Growth 05/03/99
WRL T. Rowe Price Small Cap 05/03/99
WRL Salomon All Cap 05/03/99
WRL Pilgrim Baxter Mid Cap Growth 05/03/99
WRL Dreyfus Mid Cap 05/03/99
WRL Value Line Aggressive Growth(2) 05/01/00
WRL Great Companies-AmericaSM(2) 05/01/00
WRL Great Companies-TechnologySM(2) 05/01/00
Fidelity VIP III Growth Opportunities(2) 05/01/00
Fidelity VIP II Contrafund(Reg. TM)(2) 05/01/00
Fidelity VIP Equity-Income(2) 05/01/00
<CAPTION>
Standard Average Annual Total Returns
One Three Five Ten Since
Subaccount Year Years Years Years Inception
<S> <C> <C> <C> <C> <C>
WRL J.P. Morgan Money Market
4.93 % Current Yield for the
seven day period ended 6/30/00(1) ( 1.89)% 2.69 % 3.58 % 3.38 % 3.76 %
WRL AEGON Bond ( 4.12)% 3.02 % 3.57 % 6.19 % 6.66 %
WRL Janus Growth 23.07 % 37.03 % 31.75 % 20.53 % 22.06 %
WRL Janus Global 44.87 % 29.51 % 29.40 % n/a 24.56 %
WRL LKCM Strategic Total Return ( 4.66)% 6.24 % 11.78 % n/a 11.11 %
WRL VKAM Emerging Growth 80.42 % 49.42 % 38.43 % n/a 30.45 %
WRL Alger Aggressive Growth 25.42 % 33.62 % 25.52 % n/a 24.63 %
WRL AEGON Balanced (11.00)% 3.42 % 7.71 % n/a 6.46 %
WRL Federated Growth & Income ( 8.34)% 3.82 % 9.08 % n/a 7.91 %
WRL Dean Asset Allocation (12.93)% 1.00 % 6.85 % n/a 8.28 %
WRL C.A.S.E. Growth ( 2.48)% 11.58 % 14.37 % n/a 15.16 %
WRL NWQ Value Equity (14.44)% 1.91 % n/a n/a 8.15 %
WRL GE International Equity 16.48 % 7.74 % n/a n/a 10.68 %
WRL GE U.S. Equity ( 2.84)% 14.70 % n/a n/a 17.20 %
WRL Third Avenue Value 29.19 % n/a n/a n/a 9.24 %
WRL J.P. Morgan Real Estate Securities ( 1.84)% n/a n/a n/a ( 5.86)%
WRL Goldman Sachs Growth 7.47 % n/a n/a n/a 9.68 %
WRL Goldman Sachs Small Cap 6.17 % n/a n/a n/a 11.76 %
WRL T. Rowe Price Dividend Growth (13.18)% n/a n/a n/a (11.15)%
WRL T. Rowe Price Small Cap 24.70 % n/a n/a n/a 33.71 %
WRL Salomon All Cap 17.39 % n/a n/a n/a 22.35 %
WRL Pilgrim Baxter Mid Cap Growth 88.39 % n/a n/a n/a 88.90 %
WRL Dreyfus Mid Cap 4.25 % n/a n/a n/a 8.34 %
WRL Value Line Aggressive Growth(2) n/a n/a n/a n/a ( 1.33)%
WRL Great Companies-AmericaSM(2) n/a n/a n/a n/a ( 2.03)%
WRL Great Companies-TechnologySM(2) n/a n/a n/a n/a ( 2.13)%
Fidelity VIP III Growth Opportunities(2) n/a n/a n/a n/a ( 5.98)%
Fidelity VIP II Contrafund(Reg. TM)(2) n/a n/a n/a n/a ( 6.30)%
Fidelity VIP Equity-Income(2) n/a n/a n/a n/a ( 6.83)%
</TABLE>
(1) The current yield more closely reflects current earnings of WRL J.P. Morgan
Money Market than the total return.
(2) Not annualized.
The total return is based on the Subaccount's historical performance and neither
indicates nor guarantees future investment results. The total return and value
of a Subaccount will fluctuate so that a Contract, when surrendered, may be more
or less than the amount of its purchase payments.
The WRL VKAM Emerging Growth and WRL Pilgrim Baxter Mid Cap Growth had extensive
technology holdings, which had exceptional growth during the past 12 months.
Investing in technology stocks generally involves greater volatility and risks
so an investment in the funds may not be appropriate for everyone.
The inception date refers to the date when the separate account first invested
in the underlying portfolios.
All calculations reflect the mortality and expense risk charge, administrative
charge and a $ 30 annual Contract charge as charged to the Contract during the
accumulation period. They do not reflect any applicable premium taxes. The
"returns" assume a complete surrender as of the end of the period and deduction
of the withdrawal charge. This Contract has a five-year declining withdrawal
charge which is initially a maximum of 6 % of the amount of the purchase payment
surrendered or withdrawn.
This information must be preceded or accompanied by a currently effective
prospectus for each of the WRL Freedom Attainer(Reg. TM) Variable Annuity and
the Investment Options. Read the prospectuses carefully before investing. This
Contract has limitations. For costs and complete details of the coverage,
contact Western Reserve Life Assurance Co. of Ohio.
WRL Quarterly Subaccount Performance / 1
<PAGE>
WRL Quarterly Subaccount Performance
WRL Freedom Bellwether(Reg. TM) Variable Annuity
At June 30, 2000
<TABLE>
<CAPTION>
Inception
Subaccount Date
<S> <C>
WRL J.P. Morgan Money Market
4.78 % Current Yield for the
seven day period ended 6/30/00(1) 02/24/89
WRL AEGON Bond 02/24/89
WRL Janus Growth 02/24/89
WRL Janus Global 12/03/92
WRL LKCM Strategic Total Return 03/01/93
WRL VKAM Emerging Growth 03/01/93
WRL Alger Aggressive Growth 03/01/94
WRL AEGON Balanced 03/01/94
WRL Federated Growth & Income 03/01/94
WRL Dean Asset Allocation 01/03/95
WRL C.A.S.E. Growth 05/01/95
WRL NWQ Value Equity 05/01/96
WRL GE International Equity 01/02/97
WRL GE U.S. Equity 01/02/97
WRL Third Avenue Value 01/02/98
WRL J.P. Morgan Real Estate Securities 05/01/98
WRL Goldman Sachs Growth 05/03/99
WRL Goldman Sachs Small Cap 05/03/99
WRL T. Rowe Price Dividend Growth 05/03/99
WRL T. Rowe Price Small Cap 05/03/99
WRL Salomon All Cap 05/03/99
WRL Pilgrim Baxter Mid Cap Growth 05/03/99
WRL Dreyfus Mid Cap 05/03/99
WRL Value Line Aggressive Growth(2) 05/01/00
WRL Great Companies-AmericaSM(2) 05/01/00
WRL Great Companies-TechnologySM(2) 05/01/00
Fidelity VIP III Growth Opportunities(2) 05/01/00
Fidelity VIP II Contrafund(Reg. TM)(2) 05/01/00
Fidelity VIP Equity-Income(2) 05/01/00
<CAPTION>
Standard Average Annual Total Returns
One Three Five Ten Since
Subaccount Year Years Years Years Inception
<S> <C> <C> <C> <C> <C>
WRL J.P. Morgan Money Market
4.78 % Current Yield for the
seven day period ended 6/30/00(1) 3.99 % 3.79 % 3.77 % 3.20 % 3.58 %
WRL AEGON Bond 1.75 % 4.12 % 3.76 % 6.01 % 6.48 %
WRL Janus Growth 28.91 % 37.54 % 31.70 % 20.39 % 21.91 %
WRL Janus Global 50.69 % 30.12 % 29.35 % n/a 24.38 %
WRL LKCM Strategic Total Return 1.22 % 7.26 % 11.87 % n/a 10.96 %
WRL VKAM Emerging Growth 86.19 % 49.81 % 38.34 % n/a 30.27 %
WRL Alger Aggressive Growth 31.26 % 34.17 % 25.50 % n/a 24.45 %
WRL AEGON Balanced (5.12)% 4.51 % 7.85 % n/a 6.30 %
WRL Federated Growth & Income (2.46)% 4.89 % 9.20 % n/a 7.76 %
WRL Dean Asset Allocation (7.05)% 2.15 % 7.00 % n/a 8.12 %
WRL C.A.S.E. Growth 3.39 % 12.48 % 14.43 % n/a 14.98 %
WRL NWQ Value Equity (8.56)% 3.04 % n/a n/a 8.36 %
WRL GE International Equity 22.33 % 8.72 % n/a n/a 11.19 %
WRL GE U.S. Equity 3.03 % 15.54 % n/a n/a 17.61 %
WRL Third Avenue Value 35.02 % n/a n/a n/a 10.48 %
WRL J.P. Morgan Real Estate Securities 4.03 % n/a n/a n/a (4.04)%
WRL Goldman Sachs Growth 13.33 % n/a n/a n/a 14.61 %
WRL Goldman Sachs Small Cap 12.03 % n/a n/a n/a 16.67 %
WRL T. Rowe Price Dividend Growth (7.30)% n/a n/a n/a (6.03)%
WRL T. Rowe Price Small Cap 30.53 % n/a n/a n/a 38.46 %
WRL Salomon All Cap 23.24 % n/a n/a n/a 27.18 %
WRL Pilgrim Baxter Mid Cap Growth 94.15 % n/a n/a n/a 93.31 %
WRL Dreyfus Mid Cap 10.11 % n/a n/a n/a 13.28 %
WRL Value Line Aggressive Growth(2) n/a n/a n/a n/a 4.64 %
WRL Great Companies-AmericaSM(2) n/a n/a n/a n/a 3.95 %
WRL Great Companies-TechnologySM(2) n/a n/a n/a n/a 3.85 %
Fidelity VIP III Growth Opportunities(2) n/a n/a n/a n/a 0.00 %
Fidelity VIP II Contrafund(Reg. TM)(2) n/a n/a n/a n/a (0.32)%
Fidelity VIP Equity-Income(2) n/a n/a n/a n/a (0.85)%
</TABLE>
(1) The current yield more closely reflects current earnings of WRL J.P. Morgan
Money Market than the total return.
(2) Not annualized.
The total return is based on the Subaccount's historical performance and neither
indicates nor guarantees future investment results. The total return and value
of a Subaccount will fluctuate so that a Contract, when surrendered, may be more
or less than the amount of its purchase payments.
The WRL VKAM Emerging Growth and WRL Pilgrim Baxter Mid Cap Growth had extensive
technology holdings, which had exceptional growth during the past 12 months.
Investing in technology stocks generally involves greater volatility and risks
so an investment in the funds may not be appropriate for everyone.
The inception date refers to the date when the separate account first invested
in the underlying portfolios.
All calculations reflect the mortality and expense risk charge, administrative
charge and a $ 30 annual Contract charge as charged to the Contract during the
accumulation period. They do not reflect any applicable premium taxes.
This information must be preceded or accompanied by a currently effective
prospectus for each of the WRL Freedom Bellwether(Reg. TM) Variable Annuity and
the Investment Options. Read the prospectuses carefully before investing. This
Contract has limitations. For costs and complete details of the coverage,
contact Western Reserve Life Assurance Co. of Ohio.
2 / WRL Quarterly Subaccount Performance
<PAGE>
WRL Quarterly Subaccount Performance
WRL Freedom Wealth Creator(Reg. TM) Variable Annuity
At June 30, 2000
<TABLE>
<CAPTION>
Inception
Subaccount Date
<S> <C>
WRL J.P. Morgan Money Market
4.78 % Current Yield for the
seven day period ended 6/30/00(1) 02/24/89
WRL AEGON Bond 02/24/89
WRL Janus Growth 02/24/89
WRL Janus Global 12/03/92
WRL LKCM Strategic Total Return 03/01/93
WRL VKAM Emerging Growth 03/01/93
WRL Alger Aggressive Growth 03/01/94
WRL AEGON Balanced 03/01/94
WRL Federated Growth & Income 03/01/94
WRL Dean Asset Allocation 01/03/95
WRL C.A.S.E. Growth 05/01/95
WRL NWQ Value Equity 05/01/96
WRL GE International Equity 01/02/97
WRL GE U.S. Equity 01/02/97
WRL Third Avenue Value 01/02/98
WRL J.P. Morgan Real Estate Securities 05/01/98
WRL Goldman Sachs Growth 05/03/99
WRL Goldman Sachs Small Cap 05/03/99
WRL T. Rowe Price Dividend Growth 05/03/99
WRL T. Rowe Price Small Cap 05/03/99
WRL Salomon All Cap 05/03/99
WRL Pilgrim Baxter Mid Cap Growth 05/03/99
WRL Dreyfus Mid Cap 05/03/99
WRL Value Line Aggressive Growth(2) 05/01/00
WRL Great Companies-AmericaSM(2) 05/01/00
WRL Great Companies-TechnologySM(2) 05/01/00
Fidelity VIP III Growth Opportunities(2) 05/01/00
Fidelity VIP II Contrafund(Reg. TM)(2) 05/01/00
Fidelity VIP Equity-Income(2) 05/01/00
<CAPTION>
Standard Average Annual Total Returns
One Three Five Ten Since
Subaccount Year Years Years Years Inception
<S> <C> <C> <C> <C> <C>
WRL J.P. Morgan Money Market
4.78 % Current Yield for the
seven day period ended 6/30/00(1) ( 4.08)% 1.88 % 3.06 % 3.12 % 3.49 %
WRL AEGON Bond ( 6.31)% 2.21 % 3.05 % 5.93 % 6.39 %
WRL Janus Growth 20.83 % 36.44 % 31.41 % 20.30 % 21.81 %
WRL Janus Global 42.59 % 28.90 % 29.05 % n/a 24.37 %
WRL LKCM Strategic Total Return ( 6.85)% 5.46 % 11.34 % n/a 10.95 %
WRL VKAM Emerging Growth 78.07 % 48.88 % 38.10 % n/a 30.25 %
WRL Alger Aggressive Growth 23.18 % 33.02 % 25.16 % n/a 24.34 %
WRL AEGON Balanced (13.18)% 2.62 % 7.24 % n/a 6.06 %
WRL Federated Growth & Income (10.52)% 3.02 % 8.62 % n/a 7.53 %
WRL Dean Asset Allocation (15.11)% 0.17 % 6.37 % n/a 7.72 %
WRL C.A.S.E. Growth ( 4.67)% 10.86 % 13.87 % n/a 14.57 %
WRL NWQ Value Equity (16.61)% 1.10 % n/a n/a 7.59 %
WRL GE International Equity 14.25 % 6.98 % n/a n/a 10.05 %
WRL GE U.S. Equity ( 5.03)% 14.00 % n/a n/a 16.62 %
WRL Third Avenue Value 26.94 % n/a n/a n/a 8.34 %
WRL J.P. Morgan Real Estate Securities ( 4.03)% n/a n/a n/a ( 7.03)%
WRL Goldman Sachs Growth 5.26 % n/a n/a n/a 8.62 %
WRL Goldman Sachs Small Cap 3.96 % n/a n/a n/a 10.70 %
WRL T. Rowe Price Dividend Growth (15.35)% n/a n/a n/a (12.21)%
WRL T. Rowe Price Small Cap 22.45 % n/a n/a n/a 32.64 %
WRL Salomon All Cap 15.16 % n/a n/a n/a 21.29 %
WRL Pilgrim Baxter Mid Cap Growth 86.03 % n/a n/a n/a 87.77 %
WRL Dreyfus Mid Cap 2.04 % n/a n/a n/a 7.28 %
WRL Value Line Aggressive Growth(2) n/a n/a n/a n/a ( 3.37)%
WRL Great Companies-AmericaSM(2) n/a n/a n/a n/a ( 4.07)%
WRL Great Companies-TechnologySM(2) n/a n/a n/a n/a ( 4.16)%
Fidelity VIP III Growth Opportunities(2) n/a n/a n/a n/a ( 8.01)%
Fidelity VIP II Contrafund(Reg. TM)(2) n/a n/a n/a n/a ( 8.33)%
Fidelity VIP Equity-Income(2) n/a n/a n/a n/a ( 8.86)%
</TABLE>
(1) The current yield more closely reflects current earnings of WRL J.P. Morgan
Money Market than the total return.
(2) Not annualized.
The total return is based on the Subaccount's historical performance and neither
indicates nor guarantees future investment results. The total return and value
of a Subaccount will fluctuate so that a Contract, when surrendered, may be more
or less than the amount of its purchase payments.
The WRL VKAM Emerging Growth and WRL Pilgrim Baxter Mid Cap Growth had extensive
technology holdings, which had exceptional growth during the past 12 months.
Investing in technology stocks generally involves greater volatility and risks
so an investment in the funds may not be appropriate for everyone.
The inception date refers to the date when the separate account first invested
in the underlying portfolios.
All calculations reflect the mortality and expense risk charge, administrative
charge and a $ 35 annual Contract charge as charged to the Contract during the
accumulation period. They do not reflect any applicable premium taxes. The
"returns" assume a complete surrender as of the end of the period and deduction
of the withdrawal charge. This Contract has a seven-year declining withdrawal
charge which is initially a maximum of 8 % of the amount of the purchase payment
surrendered or withdrawn.
This information must be preceded or accompanied by a currently effective
prospectus for each of the WRL Freedom Wealth Creator(Reg. TM) Variable Annuity
and the Investment Options. Read the prospectuses carefully before investing.
This Contract has limitations. For costs and complete details of the coverage,
contact Western Reserve Life Assurance Co. of Ohio.
WRL Quarterly Subaccount Performance / 3
<PAGE>
WRL Quarterly Subaccount Performance
WRL Freedom PremierSM Variable Annuity (Standard Death Benefit)
At June 30, 2000
<TABLE>
<CAPTION>
Inception
Subaccount Date
<S> <C>
WRL J.P. Morgan Money Market
4.78 % Current Yield for the
seven day period ended 6/30/00(1) 02/24/89
WRL AEGON Bond 02/24/89
WRL Janus Growth 02/24/89
WRL Janus Global 12/03/92
WRL LKCM Strategic Total Return 03/01/93
WRL VKAM Emerging Growth 03/01/93
WRL Alger Aggressive Growth 03/01/94
WRL AEGON Balanced 03/01/94
WRL Federated Growth & Income 03/01/94
WRL Dean Asset Allocation 01/03/95
WRL C.A.S.E. Growth 05/01/95
WRL NWQ Value Equity 05/01/96
WRL GE International Equity 01/02/97
WRL GE U.S. Equity 01/02/97
WRL Third Avenue Value 01/02/98
WRL J.P. Morgan Real Estate Securities 05/01/98
WRL Goldman Sachs Growth 05/03/99
WRL Goldman Sachs Small Cap 05/03/99
WRL T. Rowe Price Dividend Growth 05/03/99
WRL T. Rowe Price Small Cap 05/03/99
WRL Salomon All Cap 05/03/99
WRL Pilgrim Baxter Mid Cap Growth 05/03/99
WRL Dreyfus Mid Cap 05/03/99
WRL Value Line Aggressive Growth(2) 05/01/00
WRL Great Companies-AmericaSM(2) 05/01/00
WRL Great Companies-TechnologySM(2) 05/01/00
Fidelity VIP III Growth Opportunities(2) 05/01/00
Fidelity VIP II Contrafund(Reg. TM)(2) 05/01/00
Fidelity VIP Equity-Income(2) 05/01/00
<CAPTION>
Standard Average Annual Total Returns
One Three Five Ten Since
Subaccount Year Years Years Years Inception
<S> <C> <C> <C> <C> <C>
WRL J.P. Morgan Money Market
4.78 % Current Yield for the
seven day period ended 6/30/00(1) ( 3.03)% 1.89 % 3.07 % 3.18 % 3.56 %
WRL AEGON Bond ( 5.26)% 2.23 % 3.06 % 5.99 % 6.46 %
WRL Janus Growth 21.89 % 36.47 % 31.42 % 20.37 % 21.89 %
WRL Janus Global 43.66 % 28.92 % 29.06 % n/a 24.38 %
WRL LKCM Strategic Total Return ( 5.80)% 5.48 % 11.35 % n/a 10.95 %
WRL VKAM Emerging Growth 79.16 % 48.90 % 38.11 % n/a 30.26 %
WRL Alger Aggressive Growth 24.24 % 33.05 % 25.17 % n/a 24.35 %
WRL AEGON Balanced (12.13)% 2.64 % 7.25 % n/a 6.07 %
WRL Federated Growth & Income ( 9.48)% 3.04 % 8.63 % n/a 7.54 %
WRL Dean Asset Allocation (14.06)% 0.19 % 6.38 % n/a 7.73 %
WRL C.A.S.E. Growth ( 3.62)% 10.87 % 13.94 % n/a 14.64 %
WRL NWQ Value Equity (15.57)% 1.11 % n/a n/a 7.61 %
WRL GE International Equity 15.31 % 7.00 % n/a n/a 10.07 %
WRL GE U.S. Equity ( 3.98)% 14.02 % n/a n/a 16.64 %
WRL Third Avenue Value 28.00 % n/a n/a n/a 8.37 %
WRL J.P. Morgan Real Estate Securities ( 2.98)% n/a n/a n/a ( 7.01)%
WRL Goldman Sachs Growth 6.32 % n/a n/a n/a 8.67 %
WRL Goldman Sachs Small Cap 5.01 % n/a n/a n/a 10.75 %
WRL T. Rowe Price Dividend Growth (14.31)% n/a n/a n/a (12.17)%
WRL T. Rowe Price Small Cap 23.52 % n/a n/a n/a 32.69 %
WRL Salomon All Cap 16.22 % n/a n/a n/a 21.34 %
WRL Pilgrim Baxter Mid Cap Growth 87.13 % n/a n/a n/a 87.85 %
WRL Dreyfus Mid Cap 3.09 % n/a n/a n/a 7.33 %
WRL Value Line Aggressive Growth(2) n/a n/a n/a n/a ( 2.36)%
WRL Great Companies-AmericaSM(2) n/a n/a n/a n/a ( 3.06)%
WRL Great Companies-TechnologySM(2) n/a n/a n/a n/a ( 3.16)%
Fidelity VIP III Growth Opportunities(2) n/a n/a n/a n/a ( 7.00)%
Fidelity VIP II Contrafund(Reg. TM)(2) n/a n/a n/a n/a ( 7.33)%
Fidelity VIP Equity-Income(2) n/a n/a n/a n/a ( 7.85)%
</TABLE>
(1) The current yield more closely reflects current earnings of WRL J.P. Morgan
Money Market than the total return.
(2) Not annualized.
The total return is based on the Subaccount's historical performance and neither
indicates nor guarantees future investment results. The total return and value
of a Subaccount will fluctuate so that a Contract, when surrendered, may be more
or less than the amount of its purchase payments.
The WRL VKAM Emerging Growth and WRL Pilgrim Baxter Mid Cap Growth had extensive
technology holdings, which had exceptional growth during the past 12 months.
Investing in technology stocks generally involves greater volatility and risks
so an investment in the funds may not be appropriate for everyone.
The inception date refers to the date when the separate account first invested
in the underlying portfolios.
All calculations reflect the mortality and expense risk charge, administrative
charge and a $ 30 annual Contract charge as charged to the Contract during the
accumulation period. (If optional death benefit is elected, the mortality and
expense risk charge is increased. The Subaccount performance quoted herein does
not reflect such increase and if it did the performance quoted would be lower.)
They do not reflect any applicable premium taxes. The "returns" assume a
complete surrender as of the end of the period and deduction of the withdrawal
charge. This Contract has a seven-year declining withdrawal charge which is
initially a maximum of 7 % of the amount of the purchase payment surrendered or
withdrawn.
This information must be preceded or accompanied by a currently effective
prospectus for each of the WRL Freedom PremierSM Variable Annuity and the
Investment Options. Read the prospectuses carefully before investing. This
Contract has limitations. For costs and complete details of the coverage,
contact Western Reserve Life Assurance Co. of Ohio.
4 / WRL Quarterly Subaccount Performance
<PAGE>
WRL Quarterly Subaccount Performance
WRL Freedom AccessSM Variable Annuity (Standard Death Benefit)
At June 30, 2000
<TABLE>
<CAPTION>
Inception
Subaccount Date
<S> <C>
WRL J.P. Morgan Money Market
4.54 % Current Yield for the
seven day period ended 6/30/00(1) 02/24/89
WRL AEGON Bond 02/24/89
WRL Janus Growth 02/24/89
WRL Janus Global 12/03/92
WRL LKCM Strategic Total Return 03/01/93
WRL VKAM Emerging Growth 03/01/93
WRL Alger Aggressive Growth 03/01/94
WRL AEGON Balanced 03/01/94
WRL Federated Growth & Income 03/01/94
WRL Dean Asset Allocation 01/03/95
WRL C.A.S.E. Growth 05/01/95
WRL NWQ Value Equity 05/01/96
WRL GE International Equity 01/02/97
WRL GE U.S. Equity 01/02/97
WRL Third Avenue Value 01/02/98
WRL J.P. Morgan Real Estate Securities 05/01/98
WRL Goldman Sachs Growth 05/03/99
WRL Goldman Sachs Small Cap 05/03/99
WRL T. Rowe Price Dividend Growth 05/03/99
WRL T. Rowe Price Small Cap 05/03/99
WRL Salomon All Cap 05/03/99
WRL Pilgrim Baxter Mid Cap Growth 05/03/99
WRL Dreyfus Mid Cap 05/03/99
WRL Value Line Aggressive Growth(2) 05/01/00
WRL Great Companies-AmericaSM(2) 05/01/00
WRL Great Companies-TechnologySM(2) 05/01/00
Fidelity VIP III Growth Opportunities(2) 05/01/00
Fidelity VIP II Contrafund(Reg. TM)(2) 05/01/00
Fidelity VIP Equity-Income(2) 05/01/00
<CAPTION>
Standard Average Annual Total Returns
One Three Five Ten Since
Subaccount Year Years Years Years Inception
<S> <C> <C> <C> <C> <C>
WRL J.P. Morgan Money Market
4.54 % Current Yield for the
seven day period ended 6/30/00(1) 3.73 % 3.51 % 3.49 % 2.93 % 3.31 %
WRL AEGON Bond 1.50 % 3.83 % 3.48 % 5.73 % 6.20 %
WRL Janus Growth 28.59 % 37.17 % 31.33 % 20.01 % 21.53 %
WRL Janus Global 50.31 % 29.77 % 29.00 % n/a 24.03 %
WRL LKCM Strategic Total Return 0.97 % 6.97 % 11.56 % n/a 10.64 %
WRL VKAM Emerging Growth 85.72 % 49.40 % 37.96 % n/a 29.90 %
WRL Alger Aggressive Growth 30.93 % 33.81 % 25.15 % n/a 24.10 %
WRL AEGON Balanced (5.35)% 4.23 % 7.55 % n/a 6.00 %
WRL Federated Growth & Income (2.71)% 4.61 % 8.90 % n/a 7.45 %
WRL Dean Asset Allocation (7.28)% 1.87 % 6.70 % n/a 7.82 %
WRL C.A.S.E. Growth 3.14 % 12.18 % 14.12 % n/a 14.67 %
WRL NWQ Value Equity (8.78)% 2.76 % n/a n/a 8.07 %
WRL GE International Equity 22.02 % 8.43 % n/a n/a 10.88 %
WRL GE U.S. Equity 2.77 % 15.23 % n/a n/a 17.29 %
WRL Third Avenue Value 34.69 % n/a n/a n/a 10.18 %
WRL J.P. Morgan Real Estate Securities 3.78 % n/a n/a n/a (4.29)%
WRL Goldman Sachs Growth 13.05 % n/a n/a n/a 14.32 %
WRL Goldman Sachs Small Cap 11.75 % n/a n/a n/a 16.38 %
WRL T. Rowe Price Dividend Growth (7.53)% n/a n/a n/a (6.26)%
WRL T. Rowe Price Small Cap 30.21 % n/a n/a n/a 38.11 %
WRL Salomon All Cap 22.93 % n/a n/a n/a 26.86 %
WRL Pilgrim Baxter Mid Cap Growth 93.67 % n/a n/a n/a 92.83 %
WRL Dreyfus Mid Cap 9.84 % n/a n/a n/a 13.00 %
WRL Value Line Aggressive Growth(2) n/a n/a n/a n/a 4.60 %
WRL Great Companies-AmericaSM(2) n/a n/a n/a n/a 3.90 %
WRL Great Companies-TechnologySM(2) n/a n/a n/a n/a 3.80 %
Fidelity VIP III Growth Opportunities(2) n/a n/a n/a n/a (0.04)%
Fidelity VIP II Contrafund(Reg. TM)(2) n/a n/a n/a n/a (0.37)%
Fidelity VIP Equity-Income(2) n/a n/a n/a n/a (0.89)%
</TABLE>
(1) The current yield more closely reflects current earnings of WRL J.P. Morgan
Money Market than the total return.
(2) Not annualized.
The total return is based on the Subaccount's historical performance and neither
indicates nor guarantees future investment results. The total return and value
of a Subaccount will fluctuate so that a Contract, when surrendered, may be more
or less than the amount of its purchase payments.
The WRL VKAM Emerging Growth and WRL Pilgrim Baxter Mid Cap Growth had extensive
technology holdings, which had exceptional growth during the past 12 months.
Investing in technology stocks generally involves greater volatility and risks
so an investment in the funds may not be appropriate for everyone.
The inception date refers to the date when the separate account first invested
in the underlying portfolios.
All calculations reflect the mortality and expense risk charge, administrative
charge and a $ 30 annual Contract charge as charged to the Contract during the
accumulation period. (If optional death benefit is elected, the mortality and
expense risk charge is increased. The Subaccount quoted herein does not reflect
such increase and if it did, the performance quoted would be lower.) They do not
reflect any applicable premium taxes.
This information must be preceded or accompanied by a currently effective
prospectus for each of the WRL Freedom AccessSM Variable Annuity and the
Investment Options. Read the prospectuses carefully before investing. This
Contract has limitations. For costs and complete details of the coverage,
contact Western Reserve Life Assurance Co. of Ohio.
WRL Quarterly Subaccount Performance / 5
<PAGE>
WRL Quarterly Subaccount Performance
WRL Series Life Account
At June 30, 2000
<TABLE>
<CAPTION>
Subaccount Inception Current
Date Yield(2)
<S> <C> <C>
WRL J.P. Morgan Money Market 10/02/86 5.30 %
WRL AEGON Bond 10/02/86
WRL Janus Growth 10/02/86
WRL Janus Global 03/01/94
WRL LKCM Strategic Total Return 03/01/93
WRL VKAM Emerging Growth 03/01/93
WRL Alger Aggressive Growth 03/01/94
WRL AEGON Balanced 03/01/94
WRL Federated Growth & Income 03/01/94
WRL Dean Asset Allocation 01/03/95
WRL C.A.S.E. Growth 05/01/96
WRL NWQ Value Equity 05/01/96
WRL GE International Equity 01/02/97
WRL GE U.S. Equity 01/02/97
WRL Third Avenue Value 01/02/98
WRL J.P. Morgan Real Estate Securities 05/01/98
WRL Goldman Sachs Growth(1)(3) 07/01/99
WRL Goldman Sachs Small Cap(1)(3) 07/01/99
WRL T. Rowe Price Dividend Growth(1)(3) 07/01/99
WRL T. Rowe Price Small Cap(1)(3) 07/01/99
WRL Salomon All Cap(1)(3) 07/01/99
WRL Pilgrim Baxter Mid Cap Growth(1)(3) 07/01/99
WRL Dreyfus Mid Cap(1)(3) 07/01/99
WRL Value Line Aggressive Growth(1)(3) 05/01/00
WRL Great Companies-AmericaSM(1)(3) 05/01/00
WRL Great Companies-TechnologySM(1)(3) 05/01/00
Fidelity VIP III Growth Opportunities(1)(3) 05/01/00
Fidelity VIP II Contrafund(Reg. TM)(1)(3) 05/01/00
Fidelity VIP Equity-Income(1)(3) 05/01/00
<CAPTION>
Standard Average Annual Total Returns
One Three Five Ten Since
Subaccount Year Years Years Years Inception
<S> <C> <C> <C> <C> <C>
WRL J.P. Morgan Money Market 4.54 % 4.32 % 4.30 % 3.76 % 4.33 %
WRL AEGON Bond 2.29 % 4.65 % 4.29 % 6.58 % 6.15 %
WRL Janus Growth 29.59 % 38.24 % 32.37 % 20.97 % 21.31 %
WRL Janus Global 51.48 % 30.79 % 30.01 % n/a 24.19 %
WRL LKCM Strategic Total Return 1.75 % 7.81 % 12.44 % n/a 11.50 %
WRL VKAM Emerging Growth 87.17 % 50.57 % 39.04 % n/a 30.91 %
WRL Alger Aggressive Growth 31.96 % 34.86 % 26.14 % n/a 25.06 %
WRL AEGON Balanced (4.62)% 5.04 % 8.40 % n/a 6.83 %
WRL Federated Growth & Income (1.95)% 5.43 % 9.76 % n/a 8.29 %
WRL Dean Asset Allocation (6.56)% 2.67 % 7.54 % n/a 8.67 %
WRL C.A.S.E. Growth 3.94 % 13.06 % n/a n/a 12.55 %
WRL NWQ Value Equity (8.07)% 3.57 % n/a n/a 8.91 %
WRL GE International Equity 22.97 % 9.28 % n/a n/a 11.75 %
WRL GE U.S. Equity 3.58 % 16.13 % n/a n/a 18.21 %
WRL Third Avenue Value 35.74 % n/a n/a n/a 11.05 %
WRL J.P. Morgan Real Estate Securities 4.59 % n/a n/a n/a (3.53)%
WRL Goldman Sachs Growth(1)(3) n/a n/a n/a n/a 13.93 %
WRL Goldman Sachs Small Cap(1)(3) n/a n/a n/a n/a 12.62 %
WRL T. Rowe Price Dividend Growth(1)(3) n/a n/a n/a n/a (6.81)%
WRL T. Rowe Price Small Cap(1)(3) n/a n/a n/a n/a 31.23 %
WRL Salomon All Cap(1)(3) n/a n/a n/a n/a 23.89 %
WRL Pilgrim Baxter Mid Cap Growth(1)(3) n/a n/a n/a n/a 95.18 %
WRL Dreyfus Mid Cap(1)(3) n/a n/a n/a n/a 10.69 %
WRL Value Line Aggressive Growth(1)(3) n/a n/a n/a n/a 4.74 %
WRL Great Companies-America(SM)(1)(3) n/a n/a n/a n/a 4.04 %
WRL Great Companies-Technology(SM)(1)(3) n/a n/a n/a n/a 3.94 %
Fidelity VIP III Growth Opportunities(1)(3) n/a n/a n/a n/a 0.09 %
Fidelity VIP II Contrafund(Reg. TM)(1)(3) n/a n/a n/a n/a (0.23)%
Fidelity VIP Equity-Income(1)(3) n/a n/a n/a n/a (0.76)%
</TABLE>
(1) Not available in the WRL Freedom Wealth Protector.
(2) For the seven day period ended 6/30/00. The current yield more closely
reflects current earnings of WRL J.P. Morgan Money Market than the total
return.
(3) Not annualized.
The WRL Series Life Account is the underlying investment vehicle for the
Subaccounts funding the variable universal life insurance products of Western
Reserve Life Assurance Co. of Ohio: the WRL Freedom Equity Protector(Reg. TM),
the WRL Freedom Wealth Protector(Reg. TM), the WRL Financial Freedom
Builder(Reg. TM), and the WRL Freedom Elite(Reg. TM). The return for each
Subaccount reflects deductions for the policy's mortality and expense risk
charge and investment advisory fees. Please note that past performance is no
guarantee of future performance. Total return and principal value of a
Subaccount will fluctuate so that an Owner's units when redeemed, may be worth
more or less than their original cost.
The WRL VKAM Emerging Growth and WRL Pilgrim Baxter Mid Cap Growth had extensive
technology holdings, which had exceptional growth during the past 12 months.
Investing in technology stocks generally involves greater volatility and risks
so an investment in the funds may not be appropriate for everyone.
Please refer to the hypothetical illustrations in the prospectus which show the
effect on performance of all charges that may apply to a policy. You may wish to
obtain a personalized illustration which reflects all the charges that apply to
a policy.
This information must be preceded or accompanied by a currently effective
prospectus for the WRL Freedom Wealth Protector(Reg. TM) and WRL Series Fund,
Inc., or the WRL Freedom Equity Protector(Reg. TM), the WRL Financial Freedom
Builder(Reg. TM), or the WRL Freedom Elite(Reg. TM), and the Investment Options.
Read the prospectuses carefully before investing. This policy has limitations.
For costs and complete details of the coverage, contract Western Reserve Life
Assurance Co. of Ohio.
6 / WRL Quarterly Subaccount Performance
<PAGE>
AUSA Quarterly Subaccount Performance
AUSA Series Life Account
At June 30, 2000
<TABLE>
<CAPTION>
Standard Average Annual Total Returns
Inception Current One Three Five Ten Since
Subaccount Date Yield* Year Years Years Years Inception
<S> <C> <C> <C> <C> <C> <C> <C>
WRL J.P. Morgan Money Market 06/28/99 4.53 % 4.57 % n/a n/a n/a 4.60 %
WRL AEGON Bond 06/28/99 2.33 % n/a n/a n/a 3.51 %
WRL Janus Growth 06/28/99 29.63 % n/a n/a n/a 35.90 %
WRL Janus Global 06/28/99 51.53 % n/a n/a n/a 53.98 %
WRL LKCM Strategic Total Return 06/28/99 1.79 % n/a n/a n/a 4.33 %
WRL VKAM Emerging Growth 06/28/99 87.23 % n/a n/a n/a 97.28 %
WRL Alger Aggressive Growth 06/28/99 32.00 % n/a n/a n/a 41.28 %
WRL AEGON Balanced 06/28/99 (4.58)% n/a n/a n/a ( 1.55)%
WRL Federated Growth & Income 06/28/99 (1.91)% n/a n/a n/a ( 0.93)%
WRL Dean Asset Allocation 06/28/99 (6.53)% n/a n/a n/a ( 4.85)%
WRL C.A.S.E. Growth 06/28/99 3.97 % n/a n/a n/a 7.97 %
WRL NWQ Value Equity 06/28/99 (8.04)% n/a n/a n/a ( 5.29)%
WRL GE International Equity 06/28/99 23.01 % n/a n/a n/a 22.87 %
WRL GE U.S. Equity 06/28/99 3.61 % n/a n/a n/a 7.47 %
WRL Third Avenue Value 06/28/99 35.78 % n/a n/a n/a 38.64 %
WRL J.P. Morgan Real Estate Securities 06/28/99 4.62 % n/a n/a n/a 5.06 %
WRL Goldman Sachs Growth 06/28/99 13.97 % n/a n/a n/a 20.30 %
WRL Goldman Sachs Small Cap 06/28/99 12.66 % n/a n/a n/a 16.88 %
WRL T. Rowe Price Dividend Growth 06/28/99 (6.78)% n/a n/a n/a ( 4.17)%
WRL T. Rowe Price Small Cap 06/28/99 31.27 % n/a n/a n/a 37.05 %
WRL Salomon All Cap 06/28/99 23.93 % n/a n/a n/a 26.75 %
WRL Pilgrim Baxter Mid Cap Growth 06/28/99 95.24 % n/a n/a n/a 109.35 %
WRL Dreyfus Mid Cap 06/28/99 10.73 % n/a n/a n/a 14.08 %
</TABLE>
* For the seven day period ended 6/30/00. The current yield more closely
reflects current earnings of WRL J.P. Morgan Money Market than the total
return.
The AUSA Series Life Account is the underlying investment vehicle for the
Subaccounts funding the AUSA Financial Freedom BuilderSM. The return for each
Subaccount reflects deductions for the policy's mortality and expense risk
charge and investment advisory fees. Please note that past performance is no
guarantee of future performance. Total return and principal value of a
Subaccount will fluctuate so that an Owner's units when redeemed, may be worth
more or less than their original cost.
The WRL VKAM Emerging Growth and WRL Pilgrim Baxter Mid Cap Growth had extensive
technology holdings, which had exceptional growth during the past 12 months.
Investing in technology stocks generally involves greater volatility and risks
so an investment in the funds may not be appropriate for everyone.
Please refer to the hypothetical illustrations in the prospectus which show the
effect on performance of all charges that may apply to a policy. You may wish to
obtain a personalized illustration which reflects all the charges that apply to
a policy.
This information must be preceded or accompanied by a currently effective
prospectuses for the AUSA Financial Freedom BuilderSM and WRL Series Fund, Inc.
Read the prospectuses carefully before investing. This policy has limitations.
For costs and complete details of the coverage, contact AUSA Life Insurance
Company, Inc.
AUSA Quarterly Subaccount Performance 7
