Dear Fellow Shareholders: October 20, 1997
I am pleased to report strong investment performance results for our family of
mutual funds during the third quarter.
The Funds' performance benefited from our team investment approach and focused
stock selection process. On a relative basis, growth stock investing,
especially in the small-cap area, moved back into favor.
Fund highlights are as follows:
<TABLE>
<CAPTION>
Fund YTD Return 3rd Qtr Return
<S> <C> <C>
Monetta Fund 34.2% 19.9%
</TABLE>
* Significant performance improvement due to emphasis on investing in
early stage growth stocks.
* Strong year-to-date comparison vs Benchmark Indices.
* Shift to small-cap securities should continue as investors focus on
superior growth characteristics.
<TABLE>
<CAPTION>
<S> <C> <C>
Monetta Small-Cap Equity Fund 50.9% 27.7%
</TABLE>
* Fund benefiting from superior stock selection since its debut in
February 1997.
* Trounces its benchmark, Russell 2000 Index since inception.
* Major beneficiary of investor shift toward secondary stocks.
<TABLE>
<CAPTION>
<S> <C> <C>
Monetta Mid-Cap Equity Fund 29.7% 14.3%
</TABLE>
* Non-Technology portfolio weightings reduced Fund's volatility and
enhanced performance.
* Fund performance kept pace with its primary benchmark index, S & P
Mid-Cap 400 Index.
* Mid-Cap multiples should continue to expand based on anticipated
growth rates.
<TABLE>
<CAPTION>
<S> <C> <C>
Monetta Large-Cap Equity Fund 27.9% 10.9%
</TABLE>
* Controlled volatility by avoiding overpriced, over-owned "brand-
name" issues.
* Double digit quarterly return despite the overall underperformance
of large capitalization stocks.
* Stock selectivity will be the key to superior investment
performance.
<TABLE>
<CAPTION>
<S> <C> <C>
Monetta Balanced Fund 22.9% 12.2%
</TABLE>
* A well balanced equity component of small-, mid- and large-cap
issues resulted in superior investment performance.
* Handily beat S & P 500 Index with only 65% of portfolio invested in
stocks.
* Fixed Income component invested in high quality government and
corporate issues.
<TABLE>
<CAPTION>
<S> <C> <C>
Monetta Intermediate Bond Fund 6.4% 3.1%
</TABLE>
* High quality investment portfolio coupled with high dividend yield
enhanced performance.
* Significantly outperformed its benchmark Index (Lehman Brothers
Gov't/Corp Intermediate Bond)
for trailing 12 months.
<TABLE>
<CAPTION>
<S> <C> <C>
Monetta Government Money Market Fund 3.8% 1.2%
</TABLE>
* Very conservative Fund with above average current yield.
* Current SEC 7-day yield 5.02% at 9/30/97.
We are pleased to announce our new website at www.monetta.com. We encourage
you to visit the site which we plan to update frequently.
We recognize that choosing mutual funds in which to invest is not an easy
decision. As fellow shareholders, we thank you for the confidence you have
shown in us and promise to work hard to justify your investment with us.
Best personal regards,
Robert S. Bacarella
President and Founder
<Page 1>
Table of Contents
Schedule of Investments
Monetta Fund 3
Monetta Small-Cap Equity Fund 6
Monetta Mid-Cap Equity Fund 8
Monetta Large-Cap Equity Fund 10
Monetta Balanced Fund 12
Monetta Intermediate Bond Fund 14
Monetta Government Money Market Fund 15
Footnote:
Past Performance is no guarantee of future results. The principal value and
return on your investment will fluctuate and on redemption maybe worth more or
less than your original cost. Historically, small company stocks have been
more volatile than large company stocks, U.S. Government Bonds and Treasury
Bills. Past performance is no guarantee of future results.
References to individual securities are the views of the Advisor at the date of
this report and may change. References are not a recommendation to buy or sell
any security. Fund holdings are subject to change.
Since indices are unmanaged, it is not possible to invest in them.
Sources for performance data include Lipper Analytical Services, Inc. and Frank
Russell Company.
<Page 2>
Monetta Fund Period ended 9/30/97
Investment Objective: Capital Appreciation/Income
Market Capitalization Range: $50 million - $1 billion
Total Net Assets: $178 million
Fund/Benchmark Average Annual Total Return
<TABLE>
<CAPTION>
1 Year 5 years 10 Years
<S> <C> <C> <C>
Monetta Fund 30.45% 12.32% 14.47%
Russell 2000* 33.19% 20.51% 12.23%
NASDAQ Composite* 37.39% 23.65% 14.26%
</TABLE>
*Source Lipper Analytical Services, Inc.
{Performance Graph Appears Here}
<TABLE>
<CAPTION>
Measurement Period Monetta Equity Russell NASDQ
(Fiscal Year Covered) Fund 2000
- --------------------- -------------- ------- -------
<C> <C> <C> <C>
12/87 9,053 7,094 7,438
3/88 9,614 8,447 8,432
6/88 10,830 9,004 8,883
9/88 11,083 8,919 8,726
12/88 11,139 8,860 8,584
3/89 11,487 9,543 9,155
6/89 12,405 10,150 9,798
9/89 12,993 10,836 10,644
12/89 12,835 10,299 10,237
3/90 13,523 10,072 9,803
6/90 15,123 10,460 10,404
9/90 12,206 7,893 7,753
12/90 14,294 8,290 8,413
3/91 16,942 10,755 10,854
6/91 17,450 10,589 10,711
9/91 19,811 11,452 11,858
12/91 22,283 12,108 13,196
3/92 22,426 13,016 13,588
6/92 20,995 12,128 12,685
9/92 21,619 12,475 13,127
12/92 23,506 14,337 15,236
3/93 21,948 14,950 15,533
6/93 22,110 15,276 15,843
9/93 23,830 16,612 17,168
12/93 23,623 17,048 17,484
3/94 22,999 16,595 16,734
6/94 21,753 15,949 15,890
9/94 23,284 17,056 17,202
12/94 22,155 16,737 16,925
3/95 24,291 17,509 18,394
6/95 25,969 19,150 21,009
9/95 29,205 21,041 23,487
12/95 28,364 21,497 23,681
3/96 28,801 22,594 24,789
6/96 29,693 23,725 26,670
9/96 29,640 23,805 27,614
12/96 28,822 25,043 29,059
3/97 26,729 23,748 27,498
6/97 32,225 27,598 32,459
9/97 38,667 31,705 37,941
</TABLE>
The graph above to the right compares the change in value of a $10,000
investment in the Monetta Fund, the Russell 2000 Stock Index, and the NASDAQ
Composite Index with dividend and capital gains reinvested. The Russell 2000
Stock Index is a broad measure representative of the general market, while the
NASDAQ measures performance of stocks in the over-the-counter market. Since
the S & P 500 and the Russell 2500 are not appropriate indices, they are no
longer reflected on the above graph. Had they been reflected, the value of a
$10,000 investment at the end of 10 years per the S & P 500 and the Russell
2500 indices would be $38,575 and $36,201, respectively. Please refer to
footnote on the bottom of page 2.
Schedule of Investments (unaudited)
Quoted
Shares or Market
Principal Value
Amount (In Thousands)
<TABLE>
<CAPTION>
COMMON STOCKS - 89.6%
<S> <C>
Consumer Related - 25.3% $45,021
Broadcasting/Cable TV - 2.1%
*27,273 Chancellor Media Corp-CL A $1,435
*40,000 Metro Networks, Inc. 1,205
*85,000 VDI Media 1,105
3,745
Food Processing - 1.0%
*40,000 Morningstar Group, Inc. 1,720
*5,700 WSMP, Inc. 117
1,837
Recreation/Entertainment - 1.0%
*51,000 Avis Rent A Car, Inc. 1,218
*14,200 Budget Group, Inc. 468
1,686
Restaurants/Lodging - 3.3%
*71,500 BridgeStreet Accomodations, Inc. 822
*50,000 Hospitality Worldwide Svcs 656
70,000 Innkeepers USA Trust 1,203
*40,000 Outback Steakhouse, Inc. 1,105
49,999 Patriot American Hospitality, Inc. 1,594
*30,000 Roadhouse Grill Inc. 113
*20,500 Schlotzsky's, Inc. 388
5,881
Retail Manufacturers & Distribution - 6.6%
*58,500 CHS Electronics, Inc. 1,601
*36,000 Central Garden & Pet Co. 1,107
*50,000 Galey & Lord, Inc. 944
*40,000 Hirsch Int'l Corp-A 708
*90,000 Home Products Int'l, Inc. 1,316
*50,000 Industrial Distribution Group, Inc. 1,050
*28,500 Performance Food Grp 727
*80,000 Quaker Fabric Corp. 1,810
*50,500 Tefron Ltd. 1,010
*23,000 Triangle Pacific Corp. 799
30,000 Wolverine World Wide, Inc. 758
11,830
Retail Trades - 4.5%
*50,000 Dominick's Supermarkets, Inc. 1,509
*75,000 Furniture Brands Int'l, Inc. 1,416
*20,000 Guitar Center, Inc. 495
*20,000 Hibbett Sporting Goods, Inc. 558
*50,000 Just for Feet, Inc. 791
*35,000 Stage Stores, Inc. 1,509
*70,000 The Buckle, Inc. 1,706
7,984
<Page 3>
Miscellaneous - 6.8%
*35,000 American Business Information, Inc. 949
*100,000 American Eco Corp. 1,300
*20,000 CKS Group, Inc. 750
*3,600 CMP Media Inc.-CL A 90
*30,000 Consolidated Graphics, Inc. 1,493
50,000 Graphic Industries, Inc. 921
*56,000 Maximus Inc. 1,621
*100,000 May & Speh, Inc. 1,387
*20,000 QuickResponse Services, Inc. 685
*25,000 Superior Services Inc. 713
*44,000 Vestcom Int'l Inc. 880
*60,000 Warrantech Corp. 683
*24,500 Waste Industries Inc. 586
12,058
Financial Related - 9.9% $17,689
Financial Services - 9.9%
*60,000 BA Merchant Services $1,110
19,200 Berkley (WR) Corp. 827
50,000 Capmac Holdings Inc. 1,616
30,000 Excel Realty Trust Inc. 941
30,000 Executive Risk Inc. 2,051
50,000 Fidelity National Finl Inc. 1,184
*53,000 First Alliance 1,669
*8,800 First Int'l Bancorp 158
40,000 Frontier Insurance Group Inc. 1,520
*40,000 Golf Trust of America 1,080
30,000 Horace Mann Educators 1,684
*40,000 Imperial Credit Industries 1,060
*13,400 LaSalle Partners Inc. 469
*42,500 Life USA Holding Inc. 685
*20,000 Moneygram Payment Systems, Inc 359
40,500 United Cos Financial Corp. 1,276
17,689
Industrial Related - 27.1% $48,279
Energy Resources & Services - 3.6%
*25,400 Hanover Compressor Co. $622
*50,000 Houston Exploration Co. 1,119
*41,200 Iteq Inc. 574
*73,100 Newpark Resources Inc. 2,874
*100,000 Titan Exploration, Inc. 1,200
6,389
Housing - 0.9%
*43,750 American Homestar Corp. 1,050
20,000 TJ International, Inc. 511
1,561
Industrial & Electronics Products - 17.9%
*55,000 AFC Cable Systems, Inc. 1,953
*79,000 Advanced Lighting Technologies, Inc. 2,133
30,000 Applied Power Inc.-CL A 1,888
60,000 BMC Industries Inc. 1,909
*50,000 Ballantyne of Omaha Inc. 962
*25,000 Berg Electronics Corp. 1,344
97,500 Chart Industries Inc. 1,987
*35,000 Coherent Inc. 1,938
*40,000 Control Devices Inc. 600
*60,000 FiberMark Inc. 1,249
*50,000 Foamex Int'l Inc. 706
*50,000 Genrad Inc. 1,444
*50,000 JPM Company 1,206
*50,000 Kellstrom Industries, Inc. 1,031
*25,000 Lecroy Corp. 1,106
*50,000 Mascotech Inc. 1,025
*40,000 Mohawk Industries 1,095
20,000 Precision Castparts Corp. 1,300
*24,600 SPS Technologies Inc. 1,156
90,000 Spartech Corp. 1,350
*50,000 Total Control Products Inc. 691
*45,000 Trident International, Inc. 765
*30,000 U.S. Filter Corp. 1,292
*60,000 WPI Group Inc. 727
*40,000 Wyman-Gordon Co. 1,050
31,907
Mining/Mineral Resources - 1.0%
*75,000 Oregon Metallurical Corp. 1,880
Transportation - 2.9%
29,500 Expeditors Int'l of Washington, Inc. 1,235
*55,000 Railamerica Inc. 323
*41,000 Simon Transportation Services 969
*40,000 Swift Transportation 1,265
40,000 USFreightways Corp. 1,345
5,137
Miscellaneous - 0.8%
*40,000 Nichols Research Corp. 990
*18,500 Rental Service Corp. 415
1,405
Medical Related - 16.1% $28,709
Medical Supplies - 3.0%
50,000 Ballard Medical Products $1,206
*90,000 Graham Field Health 1,462
35,000 Meridian Diagnostics Inc. 416
*40,000 PolyMedica Corporation 540
*40,000 Safeskin Corporation 1,775
<Page 4>
5,399
Medical Technology - 2.7%
70,000 ADAC Laboratories 1,308
*80,000 Cohr, Inc. 1,300
*50,000 OEC Medical Systems Inc. 944
*70,000 Sterigenics Int'l, Inc. 1,225
4,777
Pharmaceuticals - 7.4%
*35,000 Applied Analytical Industries 709
*156,366 Capstone Pharmacy Services 1,886
*203,000 ChiRex Inc. 5,177
70,000 Jones Medical Inds. Inc. 2,205
*39,000 Medicis Pharmaceutical-CL A 1,789
*40,000 Vivus Inc. 1,500
13,266
Physician Services - 3.0%
*60,000 Castle Dental Centers Inc. 840
100,000 Hooper Holmes Inc. 1,219
*25,000 Medical Resources Inc. 484
*82,500 Medquist Inc. 1,929
*60,000 Sheridan Healthcare Inc. 795
5,267
Technology Related - 11.2% $19,968
Computer Software & Systems - 1.5%
*30,000 Platinum Technology, Inc. $645
*30,000 Programmer's Paradise Inc. 397
*45,400 Smallworldwide PLC 931
*119,000 Storage Dimensions, Inc. 699
2,672
Computer & Office Equipment - 1.4%
*29,700 Asia Electronics Holding 397
*37,500 Norstan Inc. 806
*66,500 Transact Technologies Inc. 1,297
2,500
Semiconductors - 1.9%
*70,000 Aavid Thermal Technologies 2,109
*42,000 Aeroflex Inc. 425
*15,000 Align-Rite Int'l. 358
*24,200 American Tech Ceramics Corp. 448
3,340
Telecommunications & Equipment - 6.4%
*30,000 Advanced Technology Material 1,103
*40,000 Brightpoint Inc. 1,855
*70,000 Dycom Industries, Inc. 1,553
*50,000 Electromagnetic Sciences Inc 1,413
*29,500 Globecomm Systems Inc. 516
*40,000 P-Com Inc. 957
*19,700 REMEC, Inc. 719
*80,000 RMH Teleservices Inc. 730
*120,000 Transcrypt International, Inc. 2,610
11,456
Total Common Stocks
(Cost $117,288) (a) 159,666
Variable Demand Notes - 0.2%
235,900 Warner Lambert - 5.125% 236
76,700 Wisc. Electric Public - 5.185% 77
Total Variable Demand Notes 313
Commercial Paper - 10.1%
2,000,000 Interstate Power
5.500% Due 10/07/97 1,998
5,500,000 Merrill Lynch
5.520% Due 10/15/97 5,488
4,000,000 Met Life
5.490% Due 10/21/97 3,988
2,000,000 Merrill Lynch
5.530% Due 10/28/97 1,992
4,500,000 Coca Cola
5.470% Due 10/30/97 4,480
17,946
Total Short-Term Investments 18,259
Total Investments - 99.9%
(Cost $135,547) (a) 177,925
Other Assets Less Liabilities - 0.1% 355
Net Assets - 100.0% $178,280
Net Asset Value , offering price, and redemption price
per share ($178,280,206/8,389,177 shares outstanding) $21.25
</TABLE>
(a) Cost is identical for book and tax purposes; the aggregate gross
unrealized appreciation is $44,326 and aggregate gross unrealized depreciation
is $1,948, resulting in net unrealized appreciation of $42,378 (in thousands).
*Non-income producing securities.
<Page 5>
Monetta Small-Cap Equity Fund Period ended 9/30/97
Investment Objective: Capital Appreciation
Market Capitalization Range: under $1 billion
Total Net Assets: $1.3 million
Fund/Benchmark Average Annual Total Return
Third Since Inception
Quarter 2/1/97
<TABLE>
<CAPTION>
<S> <C> <C>
Monetta Small-Cap Equity Fund 27.66% 50.90%
Russell 2000* 14.88% 24.12%
</TABLE>
*Source Lipper Analytical Services, Inc.
[Performance Graph Appears Here]
[CAPTION]
<TABLE>
Measurement Period Small-Cap
(Fiscal Year Covered) Equity Fund Russell 2000
- --------------------- ----------- ------------
<C> <C> <C>
12/96 10,000 10,000
3/97 9,490 9,297
6/97 11,820 10,804
9/97 15,089 12,412
</TABLE>
The graph above to the right compares the change in value of a $10,000
investment in the Monetta Small-Cap Equity Fund and the Russell 2000 Stock
Index with dividend and capital gains reinvested.The Russell 2000 index is a
broad measure representative of the general market. Please refer to footnote
on the bottom of page 2.
Schedule of Investments (unaudited)
Quoted
Shares or Market
Principal Value
Amount (In Thousands)
<TABLE>
<CAPTION>
COMMON STOCKS - 84.4%
<S> <C>
Consumer Related - 24.4% $318
Broadcasting/Cable TV - 1.0%
*1,000 VDI Media $13
Recreation/Entertainment - 1.8%
*1,000 Avis Rent A Car, Inc. 24
Restaurants/Lodging - 4.7%
*2,500 Bridgestreet Accomodations 28
*2,500 Hospitality Worldwide Svcs 33
61
Retail Manufacturers & Distribution - 10.3%
*900 CHS Electronics, Inc. 25
*1,000 Hirsch Int'l Corp-A 18
*800 Home Products Int'l Inc. 12
*1,500 Industrial Distribution Group, 31
*800 Quaker Fabric Corp. 18
*1,500 Tefron Ltd. 30
134
Miscellaneous - 6.6%
1,500 Graphic Industries, Inc. 28
*900 Maximus Inc. 26
*1,000 Vestcom Int'l Inc. 20
*500 Waste Industries Inc. 12
86
Financial Related - 1.2% $15
Financial Services - 1.2%
300 Capmac Holdings Inc. $10
*300 First Int'l Bancorp 5
15
Industrial Related - 23.0% $301
Energy Resources & Services - 3.8%
*500 Hanover Compressor Co. $12
*1,300 Iteq Inc. 18
*500 Newpark Resources Inc. 20
50
Industrial & Electronics Products - 17.9%
*1,000 Advanced Lighting Techs 27
700 BMC Industries Inc 22
*1,500 Ballantyne of Omaha Inc. 29
750 Chart Industries Inc. 15
*750 FiberMark Inc. 16
*700 Genrad Inc. 20
*500 JPM Company 12
*900 Kellstrom Industries, Inc. 19
*300 Lecroy Corp 13
*400 SPS Technologies Inc. 19
900 Spartech Corp. 13
*2,000 Total Control Products Inc 28
233
<Page 6>
Transportation - 1.3%
*3,000 Railamerica Inc. 18
Medical Related - 21.5% $280
Medical Supplies - 3.8%
*1,800 Graham Field Health $29
*1,500 PolyMedica Corporation 20
49
Medical Technology - 5.1%
*1,500 ADAC Laboratories 28
*800 Cohr Inc. 13
*1,500 Sterigenics Int'l Inc. 26
67
Pharmaceuticals - 9.1%
*1,400 Capstone Pharmacy Services 17
*1,500 ChiRex Inc 38
1,000 Jones Medical Inds. Inc. 32
*700 Medicis Pharmaceutical-CL 32
119
Physician Services - 3.5%
*2,000 Castle Dental Centers Inc. 28
*750 Medquist Inc. 17
45
Technology Related - 14.3% $187
Computer Software & Systems - 1.4%
*900 Smallworldwide PLC $18
Computer & Office Equipment - 3.1%
*1,800 Asia Electronics Holding 24
*800 Transact Technologies Inc. 16
40
Semiconductors - 3.7%
*1,000 Aavid Thermal Technologies 30
*1,000 American Tech Ceramics Corp 19
49
Telecommunications & Equipment - 6.1%
*1,000 Dycom Industries, Inc. 22
*500 Electromagnetic Sciences Inc 14
*500 Globecomm Systems Inc. 9
*100 Network Solutions, Inc. CL-A 2
*300 REMEC, Inc. 11
*1,000 Transcrypt International, Inc. 22
80
Total Common Stocks
(Cost $867)(a) 1,101
Variable Demand Notes - 4.7%
8,300 Johnson Controls -5.175% 8
52,900 Wisc. Electric Public - 5.185% 53
Total Variable Demand Notes 61
Total Investments - 89.1%
(Cost $928) (a) 1,162
Other Assets Less Liabilities - 10.9% 142
Net Assets - 100.0% $1,304
Net Asset Value , offering price, and redemption price
per share ($1,304,269/86,421 shares outstanding) $15.09
</TABLE>
(a) Cost is identical for book and tax purposes; the aggregate gross
unrealized appreciation is $243 and aggregate gross unrealized depreciation is
$9, resulting in net unrealized appreciation of $234 (in thousands).
*Non-income producing security
<Page 7>
Monetta Mid-Cap Equity Fund Period ended 9/30/97
Investment Objective: Capital Appreciation
Market Capitalization Range: $1 billion - $5 billion
Total Net Assets: $22.0 million
Fund/Benchmark AverageAnnual Total Return
<TABLE>
<CAPTION>
Since Incept.
1 Year 3 years 3/1/93
<S> <C> <C> <C>
Monetta Mid-Cap Equity Fund 39.82% 25.94% 24.95%
S & P 400* 39.10% 25.88% 19.39%
*Source Lipper Analytical Services, Inc.
</TABLE>
{Performance Graph Appears Here}
<TABLE>
<CAPTION>
Measurement Period Mid-Cap
(Fiscal Year Covered) Equity Fund S & P 400
- --------------------- ----------- ---------
<C> <C> <C>
3/1/93 10,000 10,000
3/93 11,670 10,220
6/93 11,880 10,455
9/93 13,120 10,978
12/93 13,540 11,274
3/94 13,475 10,793
6/94 13,109 10,399
9/94 13,887 11,103
12/94 13,835 10,817
3/95 14,835 11,692
6/95 16,536 12,723
9/95 17,603 13,965
12/95 17,233 14,165
3/96 18,717 15,037
6/96 19,106 15,470
9/96 19,855 15,920
12/96 21,402 16,885
3/97 21,314 16,634
6/97 24,277 19,085
9/97 27,761 22,145
</TABLE>
The graph above to the right compares the change in value of a $10,000
investment in the Monetta Trust Mid-Cap Equity Fund to the S & P 400. The S &
P 400 index is a broad measure representative of the general market. Since the
S & P 500 is not an appropriate index, it is no longer reflected on the above
graph. Had it been reflected, the value of a $10,000 investment since
inception per the S & P 500 index would be $23,563.
Schedule of Investments (unaudited)
Quoted
Shares or Market
Principal Value
Amount (In Thousands)
<TABLE>
<CAPTION>
COMMON STOCKS - 97.0%
<S> <C>
Consumer Related - 39.0% $8,591
Food Processing - 4.4%
9,000 Dean Foods Co. $416
18,000 Smithfield Foods 540
956
Recreation/Entertainment - 5.6%
*4,400 Budget Group Inc 145
*10,000 Galileo Int'l Inc. 279
10,000 Hertz Corp.-Cl A 377
10,000 Royal Carribean Cruises Ltd. 438
1,239
Restaurants/Lodging - 3.9%
10,000 CKE Restaurants Inc 420
*6,000 HFS Inc. 447
867
Retail Manufacturers & Distribution - 4.3%
*19,350 CHS Electronics, Inc. 530
15,000 Hasbro Inc. 422
952
Retail Trades - 16.4%
20,000 American Stores 487
*14,000 Autozone Inc 420
10,000 CVS Corporation 569
6,000 Dillards Inc-Cl A 263
*17,000 Dominick's Supermarkets Inc. 513
*10,000 Fred Meyer Inc 533
4,500 Nordstrom Inc. 287
*9,000 Proffitt's Inc. 533
3,605
Miscellaneous - 4.4%
*30,000 Allied Waste Industries Inc. 574
*10,000 USA Waste Services Inc 398
972
Financial Related - 10.9% $2,398
Financial Services-10.9%
10,000 Bank United Corp-CL A $442
*18,000 Dime Bancorp Inc. 377
10,000 Green Tree Financial Corp. 470
*10,000 Hartford Life-CL A 384
1,900 Mercury General Corp. 166
*7,700 Nationwide Financial Services 215
*10,000 Security Capital Group-B 344
2,398
<Page 8>
Industrial Related - 32.6% $7,179
Energy Resources & Services - 8.1%
*17,200 Newpark Resources Inc $676
*15,000 Sante Fe Int'l Corp. 697
7,000 Tidewater Inc. 415
1,788
Housing - 1.4%
11,000 Oakwood Homes 312
Industrial & Electronics Products - 15.7%
7,000 Applied Power Inc-Cl A 441
15,000 BMC Industries Inc 477
19,000 Cooper Tire & Rubber 505
*13,000 Gulfstream Aerospace Corp 377
10,000 Harnischfeger Industries Inc. 427
*20,000 Mascotech Inc. 410
6,000 Precision Castparts Corp. 390
*10,000 U.S. Filter Corp 431
3,458
Mining/Mineral Resources - 3.9%
*7,000 Alumax, Inc. 286
8,000 Reynolds Metals Co. 567
853
Transportation - 3.5%
9,000 CNF Transportation Inc. 392
*11,900 Swift Transportation 376
768
Medical Related - 6.7% $1,483
Pharmaceuticals - 6.7%
*10,000 Elan Corp PLC $501
16,000 Jones Medical Inds. Inc. 504
*8,000 Watson Pharmaceuticals 478
1,483
Technology Related - 7.8% $1,713
Computer Software & Systems - 1.0%
*10,000 Platinum Technology, Inc. $215
Semiconductors - 0.9%
*6,000 LSI Logic Corp. 193
Telecommunications & Equipment - 5.9%
11,000 Corning Inc. 520
8,000 Harris Corp. 366
*7,000 Newbridge Networks Corp. 419
1,305
Total Common Stocks
(Cost $16,883 ) (a) 21,364
Variable Demand Notes - 1.2%
255,400 Warner Lambert - 5.125% 255
4,000 Wisc. Electric Public - 5.185% 4
259
Commercial Paper - 2.3%
500,000 Merrill Lynch
5.57 % Due 10/14/97 499
Total Short-Term Investment 758
Total Investments - 100.5%
(Cost $17,641) (a) 22,122
Other Assets Less Liabilities - (0.5)% (106)
Net Assets - 100.0% $22,016
Net Asset Value , offering price, and redemption price
per share ($22,015,616/1,145,929 shares outstanding) $19.21
</TABLE>
(a) Cost is identical for book and tax purposes; the aggregate gross
unrealized appreciation is $4,510 and aggregate gross unrealized depreciation
is $29, resulting in net unrealized appreciation of $4,481 (in thousands).
*Non-income producing security
<Page 9>
Monetta Large-Cap Fund Period ended 9/30/97
Investment Objective: Capital Appreciation
Market Capitalization Range: $5 billion +
Total Net Assets: $4.3 million
Fund/Benchmark Average Annual Total Return
<TABLE>
<CAPTION>
Since Inception
1 Year 9/1/95
<S> <C> <C>
Monetta Large-Cap Equity Fund 34.74% 30.19%
S & P 500* 40.43% 31.20%
</TABLE>
*Source Lipper Analytical Services, Inc.
{Performance Graph Appears Here}
<TABLE>
<CAPTION>
Measurement Period Large-Cap
(Fiscal Year Covered) Equity Fund S & P 500
- --------------------- ----------- ---------
<C> <C> <C>
9/95 10,000 10,482
12/95 10,574 11,105
3/96 11,344 11,701
6/96 11,923 12,225
9/96 12,864 12,603
12/96 13,555 13,653
3/97 13,842 14,020
6/97 15,621 16,465
9/97 17,333 17,699
</TABLE>
The graph above to the right compares the change in value of a $10,000
investment in the Monetta Trust Large-Cap Equity Fund to the S & P 500. The S
& P 500 Composite index is a broad measure representative of the general
market. Please refer to footnote on the bottom of page 2.
Schedule of Investments (unaudited)
Quoted
Shares or Market
Principal Value
Amount (In Thousands)
<TABLE>
<CAPTION>
COMMON STOCKS - 96.1%
<S> <C>
Consumer Related - 33.7% $1,432
Broadcasting/Cable TV - 1.0%
1,500 Westinghouse Electric $41
Recreation/Entertainment -3.7%
*3,000 Galileo Int'l Inc. 84
2,000 Hertz Corp.-CL A 75
159
Restaurants/Lodging - 1.9%
*1,100 HFS Inc. 82
Retail Manufacturers & Distribution - 3.6%
2,000 Estee Lauder Co.-CL A 92
1,200 Kimberly-Clark Corp. 59
151
Retail Trades - 16.6%
4,400 American Stores 107
*2,500 Autozone Inc. 75
2,000 CVS Corporation 114
*2,500 Costco Companies Inc. 94
2,100 Home Depot Inc. 109
*9,000 Kmart Corp. 126
*1,500 Safeway Inc. 82
707
Miscellaneous - 6.9%
*4,000 Allied Waste Industries Inc. 76
2,000 Browning Ferris 76
1,100 Time Warner Inc. 60
*2,000 USA Waste Services Inc. 80
292
Financial Related - 15.3% $651
Financial Services - 15.3%
2,800 Equitable Companies Inc. $115
1,100 Fleet Financial Group 72
2,000 Green Tree Financial Corp. 94
*2,000 Hartford Life-CL A 77
600 Household Int'l 68
*2,600 Nationwide Financial Services 72
*2,000 Security Capital Group-B 69
1,200 Washington Mutual Inc. 84
651
Industrial Related - 26.6% $1,135
Energy Resources & Services - 9.9%
1,000 Coastal Corp $61
1,600 Halliburton 83
*3,000 Sante Fe Int'l Corp. 140
1,000 Schlumberger Ltd 84
*2,100 Union Pacific Resources 55
423
<Page 10>
Industrial & Electronics Products - 7.7%
1,500 Eaton Corp. 139
1,600 Harnischfeger Industries. Inc. 68
*1,300 U.S. Filter Corp 56
1,000 Whirlpool Corp 66
329
Mining/Mineral Resources - 6.7%
1,300 Aluminum Co. of America 107
1,000 Nucor Corp 53
1,800 Reynolds Metals Co. 127
287
Miscellaneous - 2.3%
2,000 Tenneco Inc. 96
Medical Related - 2.4% $100
Pharmaceuticals - 2.4%
*2,000 Elan Corp PLC $100
Technology Related - 18.1% $772
Computer & Office Equipment - 1.6%
*1,200 EMC Corp/Mass $70
Semiconductors - 0.9%
*1,200 LSI Logic Corp. 39
Telecommunications & Equipment - 15.6%
*2,200 Airtouch Communications 78
1,800 Cincinnati Bell Inc. 51
2,800 Corning Inc 132
2,200 Harris Corp. 101
900 Motorola Inc 64
*1,600 Newbridge Networks Corp. 96
1,500 Nokia Corp-Sponsored ADR A 141
663
Total Common Stocks
(Cost $3,472)(a) 4,090
Variable Demand Notes - 4.4%
114,300 General Mills - 5.135% 114
14,200 Johnson Controls - 5.175% 14
58,200 Wisc. Electric Public - 5.185% 58
Total Variable Demand Notes 186
Total Investments - 100.5%
(Cost $3,658)(a) 4,276
Other Assets Less Liabilities- (0.5)% (21)
Net Assets - 100.0% $4,255
Net Asset Value , offering price, and redemption price
per share ($4,255,083/271,116 shares outstanding) $15.69
</TABLE>
(a) Cost is identical for book and tax purposes; the aggregate gross
unrealized appreciation is $646 and aggregate gross unrealized depreciation is
$28, resulting in net unrealized appreciation of $618 (in thousands).
* Non-income producing security
<Page 11>
Monetta Balanced Fund Period ended 9/30/97
Investment Objective: Capital Appreciation/Income
Market Capitalization Range: $5 billion +
Average Maturity: 8.0 Years
Total Net Assets: $10.7 million
Fund/BenchmarkAverage Annual Total Return
<TABLE>
<CAPTION>
Since Inception
1 Year 9/1/95
<S> <C> <C>
Monetta Balanced Fund 30.96% 26.90%
Benchmark* 29.64% 22.84%
</TABLE>
*Source Lipper Analytical Services, Inc.
{Performance Graph Appears Here}
<TABLE>
<CAPTION>
Measurement Period
(Fiscal Year Covered) Balance Fund Benchmark
- --------------------- ------------ ---------
<C> <C> <C>
6/95 10,000 10,000
9/95 10,000 10,313
12/95 10,616 10,919
3/96 11,131 11,220
6/96 11,913 11,577
9/96 12,547 11,887
12/96 13,369 12,682
3/97 13,358 12,888
6/97 14,642 14,615
9/97 16,431 15,554
</TABLE>
The graph above to the right compares the change in value of a $10,000
investment in the Monetta Trust Balanced Fund to the Benchmark with dividends
and capital gains reinvested.
*The Benchmark is a composite blend of two indices, 65% S & P 500 (stock index)
and 35% Lehman Govt/Corp Bond (bond index). It is a hypothetical benchmark.
Please refer to footnote on the bottom of page 2.
Schedule of Investments (unaudited)
Quoted
Shares or Market
Principal Value
Amount (In Thousands)
<TABLE>
<CAPTION>
COMMON STOCKS - 65.1%
<S> <C>
Consumer Related - 26.0% $2,778
Broadcasting/Cable TV - 0.5%
*4,000 VDI Media $52
Food Processing - 1.9%
2,500 Dean Foods Co. 116
*3,000 Smithfield Foods 90
206
Recreation/Entertainment - 3.4%
*5,000 Avis Rent A Car, Inc. 119
*1,400 Budget Group Inc 46
*3,000 Galileo Int'l Inc. 84
3,000 Hertz Corp.-CL A 113
362
Restaurants/Lodging - 2.7%
*6,000 BridgeStreet Accomodations 69
1,000 CKE Restaurants Inc. 42
*1,300 HFS Inc. 97
*6,000 Hospitality Worldwide Svcs 79
287
Retail Manufacturers & Distribution - 6.9%
*5,550 CHS Electronics, Inc. 152
1,500 Estee Lauder Companies-CL A 69
3,000 Hasbro Inc. 84
*4,000 Hirsch Int'l Corp-A 71
*5,000 Industrial Distribution Group, 105
1,800 Kimberly-Clark Corp 88
*3,000 Quaker Fabric Corp. 68
*5,000 Tefron Ltd. 100
737
Retail Trades - 7.3%
4,000 American Stores 98
*3,000 Autozone Inc 90
2,200 CVS Corporation 125
2,000 Costco Companies Inc 75
*2,300 Dominick's Supermarkets Inc. 69
*2,000 Fred Meyer Inc 107
1,500 Home Depot Inc 78
*10,000 Kmart Corp. 140
782
Miscellaneous - 3.3%
*6,000 Allied Waste Industries Inc. 115
2,500 American Business Info 68
*3,500 Maximus Inc. 101
*1,700 USA Waste Services Inc 68
352
Financial Related - 4.9% $516
Financial Services - 4.9%
*3,000 Dime Bancorp Inc. 63
2,500 Equitable Companies Inc. 103
*900 First Int'l Bancorp 16
3,000 Golf Trust of America 81
1,500 Green Tree Financial Corp 70
*700 Hartford Life-CL A 27
*1,900 Nationwide Financial Services 53
*3,000 Security Capital Group-B 103
516
<Page12>
Industrial Related - 19.0% $2,030
Energy Resources & Services - 4.4%
1,100 Halliburton $57
*2,100 Hanover Compressor Co. 52
*3,400 Newpark Resources Inc. 134
*4,000 Sante Fe Int'l Corp. 186
*1,500 Union Pacific Resources 39
468
Industrial & Electronics Products - 9.6%
*4,000 Advanced Lighting Techs 108
4,000 BMC Industries Inc 127
1,650 Chart Industries Inc. 34
4,000 Cooper Tire & Rubber 106
1,600 Eaton Corp. 148
*3,000 Gulfstream Aerospace Corp 87
1,200 Harnischfeger Industries Inc. 51
*3,500 Mascotech Inc. 72
1,400 Precision Castparts Corp. 91
*6,000 Total Control Products Inc 83
*2,000 U.S. Filter Corp 86
*3,000 WPI Group Inc 36
1,029
Mining/Mineral Resources - 2.0%
1,300 Aluminum Co. of America 107
1,500 Reynolds Metals Co. 106
213
Transportation - 2.1%
3,000 CNF Transportation Inc. 130
*10,000 Railamerica Inc. 59
*1,100 Swift Transportation 35
224
Miscellaneous - 0.9%
2,000 Tenneco Inc. 96
Medical Related - 7.8% $834
Medical Technology - 1.9%
*7,000 Cohr Inc. $114
*5,000 Sterigenics Int'l Inc. 87
201
Pharmaceuticals - 4.7%
*7,200 ChiRex Inc 184
*2,000 Elan Corp PLC 100
4,000 Jones Medical Inds. Inc. 126
*1,500 Watson Pharmaceuticals 90
500
Physician Services - 1.2%
*5,000 Castle Dental Centers Inc. 70
*2,700 Medquist Inc. 63
133
Technology Related - 7.4% $786
Computer Software & Systems - 0.6%
*10,000 Storage Dimensions, Inc. $58
Computer & Office Equipment - 0.4%
*3,500 Asia Electronics Holding 47
Telecommunications & Equipment - 6.4%
3,000 Corning, Inc. 142
*3,000 Dycom Industries, Inc 67
2,000 Harris Corp. 91
*1,700 Newbridge Networks Corp. 102
1,400 Nokia Corp-Sponsored ADR A 131
*6,800 Transcrypt International, Inc. 148
681
Total Commons Stocks - 65.1%
(Cost $5,724)(a) 6,944
U.S. Treasury Notes - 17.3%
100,000 6.000% Due 10/15/99 100
775,000 5.750% Due 10/31/00 772
300,000 6.375% Due 08/15/02 305
220,000 6.250% Due 02/15/03 222
300,000 5.750% Due 08/15/03 295
150,000 5.875% Due 02/15/04 149
Total U.S. Treasury Notes 1,843
Variable Demand Notes - 2.1%
102,000 American Family 102
119,500 Wisc. Electric Public 120
Total Variable Demand Notes 222
Corporate Bond - 11.5%
450,000 Chase Manhattan
9.750% Due 11/01/01 504
300,000 Bank United Corp
8.875% Due 05/01/07 322
400,000 LCI Int'l. Inc.
7.250% Due 06/15/07 407
1,233
Mortgage Obligations - 3.8%
400,000 Green Tree Home Imprv.Mortg.
6.780% Due 06/15/28 406
Total Investments - 99.8%
(Cost $9,381)(a) 10,648
Other Assets Less Liabilities - 0.2% 20
Net Assets - 100.0% $10,668
Net Asset Value , offering price, and redemption price
per share ($10,668,250/694,594 shares outstanding) $15.36
</TABLE>
(a) Cost is identical for book and tax purposes; the aggregate gross
unrealized appreciation is $1,329 and aggregate gross unrealized depreciation
is $62, resulting in net unrealized appreciation of $1,267 (in thousands).
* Non-income producing security
<Page13>
Monetta Intermediate Bond Fund Period ended 9/30/97
Investment Objective: Capital Appreciation/Income
30-Day SEC Yield: 6.14%
Average Maturity: 4.8 Years
Total Net Assets: $3.2 million
Fund/Benchmark Average Annual Total Return
<TABLE>
<CAPTION>
Since Incept.
1 Year 3 years (3/1/93)
<S> <C> <C> <C>
Monetta Intermediate
Bond Fund 9.50% 9.46% 7.50%
Lehman Govt/Corp
Intermediate Bond Index* 8.19% 8.18% 5.99%
</TABLE>
*Source Lipper Analytical Services, Inc.
{Performance Graph Appears Here}
<TABLE>
<CAPTION>
Measurement Period Intermediate
(Fiscal Year Covered) Bond Fund Lehman
- --------------------- ------------ -------
<C> <C> <C>
3/1/93 10,000 10,007
3/93 10,000 10,028
6/93 10,399 10,255
9/93 10,732 10,486
12/93 10,817 10,504
3/94 10,585 10,291
6/94 10,494 10,229
9/94 10,613 10,313
12/94 10,705 10,302
3/95 11,270 10,754
6/95 11,866 11,292
9/95 12,046 11,479
12/95 12,282 11,883
3/96 12,245 11,784
6/96 12,428 11,859
9/96 12,702 12,068
12/96 13,074 12,364
3/97 13,041 12,350
6/97 13,485 12,715
9/97 13,908 13,058
</TABLE>
The graph above to the right compares the change in value of a $10,000
investment in the Monetta Trust Intermediate Bond Fund to the Lehman
Government/Corporate Intermediate Bond Index. The Lehman Government/Corporate
Intermediate Bond Index measures that specific segment of the bond market.
Please refer to footnote on the bottom of page 2.
Schedule of Investments (unaudited)
Quoted
Shares or Market
Principal Value
Amount (In Thousands)
<TABLE>
<CAPTION>
<S> <C>
Treasury Notes - 32.6%
200,000 5.500% Due 04/15/00 198
200,000 6.000% Due 07/31/02 200
200,000 5.750% Due 08/15/03 197
250,000 5.875% Due 02/15/04 248
200,000 6.500% Due 05/15/05 204
1,047
Municipal Taxable Bond - 1.3%
40,000 Sheboygan, WI TIF #6
8.250% Due 03/15/03 43
Corporate Bonds - 60.6%
50,000 American Airlines, 8.700%
Due 01/15/98 50
50,000 Salomon Inc., 9.375%
Due 04/15/98 51
200,000 Ahmanson, 6.530%
Due 06/01/98 201
150,000 Int'l Lease Finance, 6.690%
Due 04/30/00 152
110,000 Pacific Gas & Electric, 8.750%
Due 01/01/01 118
150,000 First Chicago Corp, 11.250%
Due 02/20/01 172
50,000 American Standard, 9.875%
Due 06/01/01 53
300,000 Chase Manhattan, 9.750%
Due 11/01/01 336
50,000 Dayton Hudson, 9.750%
Due 07/01/02 56
100,000 IBM Corp., 7.250%
Due 11/01/02 104
100,000 RJR Nabisco Inc., 5.625%
Due 12/01/02 106
100,000 Webb, Del E., 9.750%
Due 03/01/03 102
125,000 Texas Instruments, 9.250%
Due 06/15/03 142
100,000 Salomon Inc., 6.750%
Due 01/15/06 99
100,000 Bank United Corp., 8.875%
Due 05/01/07 107
100,000 LCI Int'l. Inc., 7.250%
Due 06/15/07 102
1,951
U.S. Government Agency Obligations - 3.1%
100,000 Federal Home Loan Bank
6.440% due 11/28/05 101
Mortgage Obligations - 0.4%
12,884 GNMA, 8.500%
Due 07/15/21 13
Variable Demand Notes - 0.1%
1,100 Warner Lambert - 5.125% 1
700 Wisc. Electric Public - 5.185% 1
Total Variable Demand Notes 2
Total Investments - 98.1%
(Cost $3,128)(a) 3,157
Other Assets Less Liabilities - 1.9% 60
Net Assets - 100.0% $3,217
Net Asset Value , offering price, and redemption price
per share ($3,216,971/309,436 shares outstanding) $10.40
</TABLE>
(a) Cost is identical for book and tax purposes; the aggregate gross
unrealized appreciation is $32 and aggregate gross unrealized depreciation is
$3, resulting in net unrealized depreciation of $29 (in thousands).
<Page 14>
Monetta Government Money Market Fund Period ended 9/30/97
Investment Objective: Income and Capital Preservation
7-Day Yield: 5.02%
Average Days to Maturity: 52 Days
Total Net Assets: $4.7 million
Fund/Benchmark Average Annual Total Return
<TABLE>
<CAPTION>
Since Incept.
1 Year 3 years (3/1/93)
<S> <C> <C> <C>
Monetta Government Money
Market Fund 5.11%** 5.33%** 4.60%**
Lipper US Gov't Money
Market Funds Avg.* 4.84% 4.94% 4.23%
</TABLE>
*Source Lipper Analytical Services, Inc.
{Performance Graph Appears Here}
<TABLE>
<CAPTION>
Measurement Period Government Money
(Fiscal Year Covered) Market Fund Lipper
- --------------------- ---------------- --------
<C> <C> <C>
3/1/93 10,000 10,000
3/93 10,013 10,023
6/93 10,072 10,088
9/93 10,147 10,154
12/93 10,224 10,222
3/94 10,301 10,290
6/94 10,396 10,374
9/94 10,507 10,475
12/94 10,637 10,597
3/95 10,788 10,738
6/95 10,950 10,885
9/95 11,110 11,030
12/95 11,262 11,174
3/96 11,401 11,309
6/96 11,539 11,440
9/96 11,683 11,579
12/96 11,832 11,711
3/97 11,977 11,846
6/97 12,126 11,988
9/97 12,281 12,135
</TABLE>
**Total returns are net of advisory fees waived and voluntary absorption of all
or part of the Fund's operating expenses by the Advisor. Had the advisory fee
not been waived, the 7-day SEC yield would be 4.67%. An investment in the
Monetta Government Money Market Fund is neither insured or guaranteed by the
U.S. Government. There can be no assurance that the Fund will be able to
maintain a stable $1.00 per share net asset value. Please refer to footnote on
the bottom of page 2.
Schedule of Investments (unaudited)
Quoted
Shares or Market
Principal Value
Amount (In Thousands)
<TABLE>
<CAPTION>
<S> <C>
GOVERNMENT OBLIGATIONS - 15.4%
U.S. Treasury Bills - 15.4%
735,000 Due 11/13/97 $730
GOVERNMENT AGENCIES - 84.4%
Federal Farm Credit Discount Note - 8.3%
400,000 Due 12/26/97 $395
Federal Home Loan Mortgage Corp- 25.0%
170,000 Due 10/14/97 170
1,025,000 Due 12/01/97 1,016
1,186
Federal National Mortgage Association - 51.1%
310,000 Due 10/02/97 310
475,000 Due 10/24/97 473
780,000 Due 10/30/97 776
185,000 Due 11/07/97 184
54,000 Due 12/15/97 53
640,000 Due 01/16/98 630
2,426
Total Investments - 99.8%(a) 4,737
Other Assets Less Liabilities - 0.2% 9
Net Assets - 100% $4,746
Net Asset Value , offering price, and redemption price
per share ($4,745,738/4,745,738 shares outstanding) $1.00
</TABLE>
(a) Cost is identical for book and tax purposes.
<Page 15>
Quarterly Report
September 30, 1997
MONETTA FAMILY OF FUNDS
Monetta Fund, Inc.
Monetta Small-Cap Equity Fund
Monetta Mid-Cap Equity Fund
Monetta Large-Cap Equity Fund
Monetta Balanced Fund
Monetta Intermediate Bond Fund
Monetta Government Money Market Fund
Monetta Funds
1776-A South Naperville Road
Suite 207
Wheaton, Illinois 60187
1-800-MONETTA (666-3882)
Distributed by Funds Distributor, Inc.
