<PAGE>
Mutual of America Investment Corporation
We are pleased to report that performance of the funds offered by Mutual of
America Investment Corporation for the year ended December 31, 1998 was,
overall, positive.
Economic expansion continued in 1998 in what is now the longest peacetime
expansion in history. The economic turmoil in Asia, Brazil and Russia caused a
flight to quality in the U.S. and the Federal Reserve responded by lowering
the interest rate three times.
The equity market remained strong in 1998 despite giving back some of its
monumental gains. Funds are still flowing into the stock market at a rapid
pace and continue to support high valuation levels.
The Bond market has come off its lows and Treasury Securities yields have
inched up. A spike up in interest rates unrelated to domestic cyclical factors
could prove harmful to the continued growth of the economy.
Total Returns--Twelve Months to December 31, 1998
<TABLE>
<S> <C>
Money Market Fund..................................................... + 5.4%
All American Fund..................................................... +21.3%
Equity Index Fund..................................................... +28.6%
Bond Fund............................................................. + 7.2%
Short-Term Bond Fund.................................................. + 5.7%
Mid-Term Bond Fund.................................................... + 6.4%
Composite Fund........................................................ +14.5%
Aggressive Equity Fund................................................ - 5.1%
</TABLE>
Please note that the above total return performance figures do not reflect
the deduction of Separate Account fees and expenses which are imposed by
Mutual of America Life Insurance Company and The American Life Insurance
Company of New York, respectively.
On the pages which immediately follow are brief presentations and graphs for
each fund (except the Money Market Fund) which illustrate each fund's
respective:
.Historical total return achieved over specified periods, expressed as an
average annual rate and as a cumulative rate;
.Equivalent in dollars of a $10,000 hypothetical investment at the
beginning of each specified period; and
.Historical performance compared with appropriate indexes.
The portfolios of each fund and financial statements are presented in the
pages which then follow.
Your participation in these funds is appreciated.
Sincerely,
/s/ DOLORES J. MORRISSEY
Chairman of the Board and President,
Mutual of America Investment Corporation
1
<PAGE>
MONEY MARKET FUND
The investment objective of the Money Market Fund is to realize high current
income to the extent consistent with the maintenance of liquidity, investment
quality and stability of capital. Through investing in high quality commercial
paper and other short-term instruments, the Money-Market Fund returned 5.4%
comparing favorably to the Salomon Brothers 3-Month Treasury Bill Index return
of 5.1%.
ALL AMERICA FUND
The All America Fund is approximately 60% invested in the 500 stocks
included in the Standard & Poor's 500 Index; the performance objective of this
portion of the Fund is to replicate the returns of the Index. The remaining
40% of the Fund is actively managed by three sub-advisors and Mutual of
America Capital Management Corporation. Approximately 20% of the Fund is
invested in small capitalization stocks. Small cap stocks significantly
underperformed larger caps in 1998, as investor preference for large size
companies with high earnings predictability continued throughout the year.
When investor preferences shift back to small cap stocks, this group's
performance should improve. The All America Fund returned 21.3% for 1998. The
Standard & Poor's 500 Index returned 28.6% for the year.
[PERFORMANCE GRAPH APPEARS HERE]
All America Funds* S&P 500 Index
------------------ -------------
12/88 10,000 10,000
12/89 12,595 13,144
12/90 12,406 12,724
12/91 15,435 16,610
12/92 15,925 17,886
12/93 17,860 19,673
5/94 17,497 19,274
12/94 18,088 19,934
12/95 24,705 27,425
12/96 29,824 33,733
12/97 37,816 44,986
12/98 45,854 57,839
- ------------------------------------ -------------------------------------
All America Fund* S&P 500 Index
----------------- -------------
Total Return Total Return
Period Growth ---------------- Period Growth ----------------
Ended of Cumu- Annual Ended of Cumu- Annual
12/31/98 $10,000 lative Average 12/31/98 $10,000 lative Average
- ------------------------------------ ------------------------------------
1 Year $12,126 21.3% 21.3% 1 Year $12,857 28.6% 28.6%
Since Since
5/2/94 $26,206 162.1% 22.9% 5/2/94 $30,009 200.1% 26.6%
5 Years $25,674 156.7% 20.8% 5 Years $29,400 194.0% 24.1%
10 Years $45,854 358.5% 16.4% 10 Years $57,839 478.4% 19.2%
- ------------------------------------ -------------------------------------
* Prior to May 2, 1994, the Fund was known as the Stock Fund, had a different
investment objective and did not have any subadvisers. Performance data which
includes periods prior to 5/2/94 reflect performance results achieved in
accordance with the previous objective of the Stock Fund.
The line representing the performance return of the All America Fund includes
expenses, such as transaction costs, management fees and expenses, that reduce
returns, while the performance return line of the index does not.
2
<PAGE>
EQUITY INDEX FUND
The Equity Index Fund invests in the 500 stocks included in the S&P 500
Index. The Fund's net return for 1998 was 28.6%, equaling the performance of
the S&P 500 Index. This was the fourth straight year of positive double digit
returns for the Index, a feat equaled only once in the post-war period.
Performance was mainly driven by multiple expansion in an environment of low
inflation and declining interest rates. Investor preference for larger-
capitalized companies with high earnings predictability was another factor
driving performance in this Index, which is dominated by large and mid-cap
companies. The best performing sectors within the Index were Technology,
Communication Services, Health Care and Consumer Cyclicals. The worst
performing sector was Energy.
[PERFORMANCE GRAPH APPEARS HERE]
Equity Index Fund S&P 500 Index
------------------ -------------
2/93* 10,000 10,000
12/93 10,619 10,729
12/94 10,781 10,871
12/95 14,729 14,957
12/96 18,079 18,397
12/97 24,063 24,534
12/98 30,940 31,543
- ------------------------------------ -------------------------------------
Equity Index Fund S&P 500 Index
----------------- -------------
Total Return Total Return
Period Growth ---------------- Period Growth ----------------
Ended of Cumu- Annual Ended of Cumu- Annual
12/31/98 $10,000 lative Average 12/31/98 $10,000 lative Average
- ------------------------------------ ------------------------------------
1 Year $12,858 28.6% 28.6% 1 Year $12,857 28.6% 28.6%
5 Years $29,136 191.4% 23.8% 5 Years $29,400 194.0% 24.1%
Since Since
2/5/93 2/5/93
Inception* $30,940 209.4% 21.1% Inception* $31,543 215.4% 21.5%
- ------------------------------------ -------------------------------------
The line representing the performance return of the Equity Index Fund includes
expenses, such as transaction costs and management fees, that reduce returns,
while the performance return line of the index does not.
3
<PAGE>
BOND FUND
The Bond Fund seeks a high level of return consistent with preservation of
capital through investment in public debt securities. The fund typically
invests heavily in Corporate and Agency securities, which yield significantly
more than U.S. Treasury securities. In 1998, several events occurred which
caused a "flight to quality" into only the most liquid U.S. Treasury
securities, leading these securities to outperform all other debt asset
classes. Over the longer term, the higher yielding securities would be
expected to outperform U.S. Treasuries. The Bond Fund returned 7.2% for 1998
versus the Lehman Brothers Government/Corporate Bond Index of 9.5%.
[PERFORMANCE GRAPH APPEARS HERE]
Lehman Bros.
Bond Fund Gov't/Corp. Bond Index
--------- ----------------------
12/88 10,000 10,000
12/89 11,272 11,424
12/90 11,838 12,369
12/91 13,697 14,365
12/92 14,873 15,454
12/93 16,844 17,160
12/94 16,318 16,560
12/95 19,489 19,746
12/96 20,169 20,318
12/97 22,271 22,301
12/98 23,864 24,413
- ------------------------------------ -------------------------------------
Lehman Bros.
Bond Fund Gov't/Corp. Bond Index
--------- ----------------------
Total Return Total Return
Period Growth ---------------- Period Growth ----------------
Ended of Cumu- Annual Ended of Cumu- Annual
12/31/98 $10,000 lative Average 12/31/98 $10,000 lative Average
- ------------------------------------ ------------------------------------
1 Year $10,715 7.2% 7.2% 1 Year $10,947 9.5% 9.5%
5 Years $14,168 41.7% 7.2% 5 Years $14,227 42.3% 7.3%
10 Years $23,864 138.6% 9.1% 10 Years $24,413 144.1% 9.3%
- ------------------------------------ -------------------------------------
The line representing the performance return of the Bond Fund includes
expenses, such as transaction costs and management fees, that reduce returns,
while the performance return line of the index does not.
4
<PAGE>
SHORT-TERM BOND FUND
The Short-Term Bond Fund seeks a high level of return consistent with
preservation of capital through investment in public debt securities. The fund
typically invests heavily in Corporate, Agency and Mortgage Backed securities,
which yield significantly more than U.S. Treasury securities. In 1998, several
events occurred which caused a "flight to quality" into only the most liquid
U.S. Treasury securities, leading these securities to outperform all other
debt asset classes. Over the longer term, the higher yielding securities would
be expected to outperform U.S. Treasuries. The Short-Term Bond Fund returned
5.7% for 1998 versus the Salomon Brothers 1-3 year Bond Index of 7.0%.
[PERFORMANCE CHART APPEARS HERE]
GROWTH OF A $10,000 INVESTMENT
Short Term Bond Fund Salomon Bros. 1-3 Yr Bond Index
2/93 10,000 10,000
12/93 10,449 10,448
12/94 10,600 10,511
12/95 11,421 11,655
12/96 11,985 12,257
12/97 12,705 13,074
12/98 13,425 13,985
- ------------------------------------ -------------------------------------
Short-Term Bond Fund Salomon Bros. 1-3 Yr Bond Index
-------------------- -------------------------------
Total Return Total Return
Period Growth ---------------- Period Growth ----------------
Ended of Cumu- Annual Ended of Cumu- Annual
12/31/98 $10,000 lative Average 12/31/98 $10,000 lative Average
- ------------------------------------ ------------------------------------
1 Year $10,566 5.7% 5.7% 1 Year $10,697 7.0% 7.0%
5 Years $12,848 28.5% 5.1% 5 Years $13,386 33.9% 6.0%
Since Since
2/5/93 2/5/93
inception $13,425 34.2% 5.1% inception $13,985 39.9% 5.8%
- ------------------------------------ -------------------------------------
The line representing the performance return of the Short-Term Bond Fund
includes expenses, such as transaction costs and management fees, that reduce
returns, while the preformance return line of the index does not.
5
<PAGE>
MID-TERM BOND FUND
The Mid-Term Bond Fund seeks a high level of return consistent with
preservation of capital through investment in public debt securities. The fund
typically invests heavily in Corporate and Agency securities, which yield
significantly more than U.S. Treasury securities. In 1998, several events
occurred which caused a "flight to quality" into only the most liquid U.S.
Treasury securities, leading these securities to outperform all other debt
asset classes. Over the longer term, the higher yielding securities would be
expected to outperform U.S. Treasuries. The Mid-Term Bond Fund returned 6.4%
for 1998 versus the Salomon Brothers 3-7 year Bond Index of 8.9%.
[PERFORMANCE GRAPH APPEARS HERE]
Salomon Bros.
Mid-Term Bond 3-7 Year Bond Index
------------- -------------------
2/93 10,000 10,000
12/93 10,727 10,722
12/94 10,355 10,436
12/95 12,042 12,197
12/96 12,510 12,669
12/97 13,429 13,717
12/98 14,282 14,939
- ------------------------------------ -----------------------------------
Mid-Term Bond Fund Salomon Bros. 3-7 Year Bond Index
------------------ ----------------------------------
Total Return Total Return
Period Growth ---------------- Period Growth ----------------
Ended of Cumu- Annual Ended of Cumu- Annual
12/31/98 $10,000 lative Average 12/31/98 $10,000 lative Average
- ------------------------------------ ------------------------------------
1 Year $10,000 6.4% 6.4% 1 Year $10,000 8.9% 8.9%
5 Years $13,314 33.1% 5.9% 5 Years $13,933 39.3% 6.9%
Since Since
2/5/93 2/5/93
Inception* $14,282 42.8% 6.2% Inception* $14,939 49,4% 7.0%
- ------------------------------------ -------------------------------------
The line representing the performance return of the Mid-Term Bond Fund
includes expenses, such as transaction costs, management fees and expenses,
that reduce returns, while the performance return line of the index does not.
6
<PAGE>
COMPOSITE FUND
The Composite Fund invests in approximately 100 of the stocks listed in the
Standard & Poor's 500 Index, along with publicly-traded debt securities and
money market instruments. The objective of the Fund is to achieve as high a
total rate of return, through both appreciation of capital and current income,
as is consistent with prudent investment risk by means of a diversified
portfolio. During 1998, the benchmark for the Fund was a blend of 50% stocks
(as represented by the S&P 500 Index), 40% bonds (as represented by the Lehman
Brothers Government/Corporate Bond Index) and 10% cash (as represented by the
Salomon Brothers 3-month Treasury Bill Index.) The equity portion of the Index
underperformed its benchmark, in part, due to stock selection from within the
S&P 500 Index universe. Performance of the Index was primarily driven by the
largest capitalized companies while other companies within the Index did not
fare as well. The Fund's investment in these less dominant companies, on a
market capitalized basis, had a negative impact on performance. The bond
portion underperformed its index due to an intentional overweight in corporate
securities versus the Index. In normal times this process will provide
favorable income and yield to the Fund; however, the many uncertainties in the
capital markets during the year results in Treasury securities rallying
strongly and corporate securities lagging. As the factors that are unsettling
the market are resolved, spreads between treasuries and corporate securities
should trend back to historical levels. Investing in high quality commercial
paper enabled the money market portion of the Fund to outperform the Salomon
Treasury Bill Index.
[PERFORMANCE GRAPH APPEARS HERE]
<TABLE>
<CAPTION>
Lehman Bros. Salomon Bros. 3 Mo.
Composite Fund S&P 500 Index Gov't/Corp. Bond Index Treasury Bill Index
-------------- ------------- ---------------------- -------------------
<S> <C> <C> <C> <C>
12/88 10,000 10,000 10,000 10,000
12/89 11,891 11,424 13,144 10,863
12/90 12,246 12,369 12,724 11,724
12/91 14,467 14,365 16,610 12,399
12/92 15,327 15,454 17,886 12,847
12/93 17,959 17,160 19,673 13,244
12/94 17,407 16,560 19,934 13,806
12/95 21,220 19,746 27,425 14,600
12/96 23,743 20,318 33,733 15,367
12/97 27,947 22,301 44,986 16,174
12/98 31,988 24,413 57,839 16,991
</TABLE>
- ------------------------------------ -------------------------------------
Composite Fund S&P 500 Index
-------------- -------------
Total Return Total Return
Period Growth ---------------- Period Growth ----------------
Ended of Cumu- Annual Ended of Cumu- Annual
12/31/98 $10,000 lative Average 12/31/98 $10,000 lative Average
- ------------------------------------ ------------------------------------
1 Year $11,446 14.5% 14.5% 1 Year $12,857 28.6% 28.6%
5 Years $17,812 78.1% 12.2% 5 Years $29,400 194.0% 24.1%
10 Years $31,988 219.9% 12.3% 10 Years $57,839 478.4% 19.2%
- ------------------------------------ -------------------------------------
- ------------------------------------ -------------------------------------
Lehman Bros. Salomon Bros.
Gov't/Corp. Bond Index 3 month T-Bill Index
---------------------- --------------------
Total Return Total Return
Period Growth ---------------- Period Growth ----------------
Ended of Cumu- Annual Ended of Cumu- Annual
12/31/98 $10,000 lative Average 12/31/98 $10,000 lative Average
- ------------------------------------ ------------------------------------
1 Year $10,947 9.5% 9.5% 1 Year $10,505 5.1% 5.1%
5 Years $14,227 42.3% 7.3% 5 Years $12,829 28.3% 5.1%
10 Years $24,413 144.1% 9.3% 10 Years $16,991 69.9% 5.4%
- ------------------------------------ -------------------------------------
The line representing the performance return of the Composite Fund includes
expenses, such as transaction costs and management fees, that reduce returns,
while the performance return line of the indices do not.
7
<PAGE>
AGGRESSIVE EQUITY FUND
The investment objective of the Aggressive Equity Fund is capital growth, by
investing in both value and growth companies. During 1998, the Fund was
invested approximately 50% in growth stocks and 50% in value stocks. The
Fund's performance for the year of -5.1% lagged the Russell 2000 Index's
performance of -2.6%. The underperformance of the Russell 2000 reflects
investors' preference for larger capitalized companies, which significantly
outperformed their small cap counterparts. For a portion of the year, the Fund
was over-weighted in the energy sector, the worst performing sector within the
Russell 2000 during 1998. This overweighting had a negative impact on Fund
performance. This sector's performance should improve as worldwide demand for
energy stabilizes and global economies improve. Positive contributors to Fund
performance included technology and consumer staples.
[PERFORMANCE GRAPH APPEARS HERE]
GROWTH OF A $10,000 INVESTMENT
Agressive Equity Fund Russell 2000 Index
5/94* 10,000 10,000
12/94 10,597 9,845
12/95 14,640 12,645
12/96 18,608 14,730
12/97 22,556 18,024
12/98 21,395 17,564
- ------------------------------------ -------------------------------------
Aggressive Equity Fund Russell 2000 Index
---------------------- ------------------
Total Return Total Return
Period Growth ---------------- Period Growth ----------------
Ended of Cumu- Annual Ended of Cumu- Annual
12/31/98 $10,000 lative Average 12/31/98 $10,000 lative Average
- ------------------------------------- -------------------------------------
1 Year $ 9,486 -5.1% -5.1% 1 Year $ 9,745 -2.6% -2.6%
Since Since
5/2/94 5/2/94
inception* $21,395 114.0% 17.7% inception* $17,564 75.6% 12.8%
- ------------------------------------ --------------------------------------
The line representing the performance return of the Aggressive Equity Fund
includes expenses, such as transaction costs and management fees, that reduce
returns, while the preformance return line of the index does not.
8
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (MONEY MARKET FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES
December 31, 1998
<TABLE>
<CAPTION>
Discount Face Amortized
Rating* Rate Maturity Amount Cost
------- -------- -------- ---------- -----------
<S> <C> <C> <C> <C> <C>
SHORT-TERM DEBT SECURITIES:
Commercial Paper (100%)
Albertson's, Inc. ........... A1/P1 5.25% 01/12/99 $1,910,000 $ 1,906,926
Albertson's, Inc. ........... A1/P1 5.22 01/12/99 1,539,000 1,536,538
Allied Signal, Inc. ......... A1/P1 5.55 01/19/99 490,000 488,631
Allied Signal, Inc. ......... A1/P1 5.55 01/21/99 1,510,000 1,505,293
Allied Signal, Inc. ......... A1/P1 5.35 01/29/99 680,000 677,158
American Express Credit
Corp. ...................... A1/P1 4.25 01/07/99 200,000 199,858
Atlantic Richfield Corp. .... A1/P1 5.25 01/15/99 3,500,000 3,492,832
Bemis, Inc. ................. A1/P1 5.08 01/14/99 3,000,000 2,994,464
Bemis, Inc. ................. A1/P1 5.25 01/14/99 865,000 863,355
Central Illinois Light Co. .. A1+/P1 5.35 01/19/99 2,885,000 2,877,247
Consolidated Natural Gas
Co. ........................ A1+/P1 5.10 01/19/99 223,000 222,428
Du Pont (E.I.) De Numours &
Co. ........................ A1+/P1 5.27 01/06/99 3,240,000 3,237,611
Duke Power Company........... A1/P1 5.65 01/15/99 1,000,000 997,801
Eaton Corp. ................. A1/P1 5.25 01/22/99 3,500,000 3,489,242
Export Development Corp. .... A1+/P1 5.25 01/12/99 3,500,000 3,494,345
Florida Power Corp. ......... A1+/P1 5.25 01/12/99 3,000,000 2,995,153
Ford Motor Credit Co. ....... A1/P1 5.20 01/04/99 2,025,000 2,024,115
Ford Motor Credit Co. Puerto
Rico, Inc. ................. A1/P1 5.35 01/08/99 2,000,000 1,997,911
GTE Funding, Inc. ........... A1/P1 5.15 02/01/99 3,500,000 3,484,423
General Electric Capital
Corp. ...................... A1+/P1 5.32 01/12/99 940,000 938,461
General Electric Capital
Corp. ...................... A1+/P1 5.33 01/14/99 3,000,000 2,994,206
Heinz (H.J.) Co. ............ A1/P1 5.50 01/06/99 1,750,000 1,748,661
Heinz (H.J.) Co. ............ A1/P1 5.20 01/14/99 2,090,000 2,086,050
IBM Credit Corp. ............ A1/P1 5.25 01/08/99 1,000,000 998,972
International Business Ma-
chines...................... A1/P1 5.27 01/08/99 2,500,000 2,497,418
Lucent Technologies, Inc. ... A1/P1 5.20 01/11/99 1,400,000 1,397,970
Lucent Technologies, Inc. ... A1/P1 5.10 01/15/99 2,830,000 2,824,357
Merrill Lynch & Co, Inc. .... A1+/P1 5.08 01/04/99 818,000 817,650
Merrill Lynch & Co, Inc. .... A1+/P1 5.08 01/08/99 1,520,000 1,518,482
Merrill Lynch & Co, Inc. .... A1+/P1 5.33 01/29/99 1,530,000 1,523,631
PepsiCo, Inc. ............... A1/P1 5.10 01/14/99 2,165,000 2,160,997
PetroFina Delaware, Inc. .... A1/P1 5.07 01/08/99 2,000,000 1,998,007
PetroFina Delaware, Inc. .... A1/P1 5.40 01/08/99 2,212,000 2,209,668
Proctor & Gamble Co. ........ A1+/P1 5.00 01/06/99 1,400,000 1,399,022
Proctor & Gamble Co. ........ A1+/P1 5.13 01/19/99 1,500,000 1,496,137
Sony Capital Corp. .......... A1/P1 5.35 01/04/99 3,890,000 3,888,260
Toyota Credit de Puerto Rico
Corp. ...................... A1+/P1 5.31 01/06/99 1,725,000 1,723,717
Toyota Credit de Puerto Rico
Corp. ...................... A1+/P1 5.09 01/08/99 605,000 604,395
Toyota Credit de Puerto Rico
Corp. ...................... A1+/P1 5.05 01/13/99 2,000,000 1,996,596
Wisconsin Energy Corp. ...... A1+/P1 5.10 01/12/99 1,500,000 1,497,650
Xerox Credit Corp. .......... A1+/P1 5.23 01/12/99 2,300,000 2,296,308
Xerox Credit Corp. .......... A1+/P1 5.00 01/12/99 1,667,000 1,664,453
-----------
Total Short-Term Debt Securities:
(Cost: $80,766,399) 100%.......................................... $80,766,399
===========
</TABLE>
- -------
* The ratings are provided by Standard & Poor's Corporation/Moody's Investor
Services. Inc.
The accompanying notes are an integral part of these financial statements.
9
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (ALL AMERICA FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES
December 31, 1998
<TABLE>
<CAPTION>
Shares Value
------ ----------
<S> <C> <C>
INDEXED ASSETS:
Common Stocks
3Com Corp. ................................................. 15,469 $ 693,204
Abbott Laboratories......................................... 65,029 3,186,421
Adobe Systems, Inc. ........................................ 2,982 139,408
Advanced Micro Devices, Inc. ............................... 6,384 184,737
Aeroquip-Vickers, Inc. ..................................... 1,253 37,511
AES Corp. .................................................. 7,805 369,761
Aetna, Inc. ................................................ 6,125 481,578
Air Products & Chemicals, Inc. ............................. 9,983 399,320
AirTouch Communications, Inc. .............................. 24,513 1,768,000
Alberto-Culver Co. Cl B..................................... 2,446 65,277
Albertson's, Inc. .......................................... 10,591 674,514
Alcan Aluminum Ltd. ........................................ 9,754 263,967
Alcoa, Inc. ................................................ 7,866 586,508
Allegheny Teledyne, Inc. ................................... 8,743 178,685
Allergan, Inc. ............................................. 2,901 187,839
AlliedSignal, Inc. ......................................... 24,158 1,070,501
Allstate Corp. ............................................. 35,157 1,357,939
Alltel Corp. ............................................... 11,838 708,060
Alza Corp. ................................................. 3,842 200,744
Amerada Hess Corp. ......................................... 4,036 200,791
Ameren Corp. ............................................... 5,880 251,002
American Electric Power, Inc. .............................. 8,254 388,453
American Express Co. ....................................... 19,372 1,980,787
American General Corp. ..................................... 10,872 848,015
American Greetings Corp. Cl A............................... 3,134 128,689
American Home Products Corp. ............................... 56,476 3,180,304
American Int'l. Group, Inc. ................................ 44,990 4,347,158
American Stores Co. ........................................ 11,956 441,624
Ameritech Corp. ............................................ 47,273 2,995,926
Amgen, Inc. ................................................ 10,979 1,147,991
Amoco Corp. ................................................ 40,906 2,469,699
AMP, Inc. .................................................. 9,529 496,103
AMR Corp. .................................................. 7,941 471,496
Anadarko Petroleum Corp. ................................... 5,329 164,532
Andrew Corp. ............................................... 3,821 63,046
Anheuser-Busch Cos., Inc. .................................. 20,479 1,343,934
Aon Corp. .................................................. 7,336 406,231
Apache Corp. ............................................... 4,376 110,767
Apple Computer, Inc. ....................................... 5,975 244,601
Applied Materials, Inc. .................................... 15,941 680,481
Archer-Daniels-Midland Co. ................................. 25,420 436,906
Armco, Inc. ................................................ 4,787 20,943
Armstrong World Inds., Inc. ................................ 1,776 107,115
Asarco, Inc. ............................................... 1,760 26,510
Ascend Communications, Inc. ................................ 9,358 615,288
Ashland, Inc. .............................................. 3,393 164,136
Associates First Capital Corp. ............................. 31,303 1,326,464
AT&T Corp. ................................................. 77,400 5,824,350
Atlantic Richfield Co. ..................................... 13,856 904,104
Autodesk, Inc. ............................................. 2,086 89,046
Automatic Data Processing, Inc ............................. 13,031 1,044,923
AutoZone, Inc. ............................................. 6,778 223,250
Avery Dennison Corp. ....................................... 4,982 224,501
Avon Products, Inc. ........................................ 11,257 498,122
Baker Hughes, Inc. ......................................... 14,098 249,358
Ball Corp. ................................................. 1,353 61,899
Baltimore Gas & Electric Co. ............................... 6,597 203,682
Banc One Corp. ............................................. 50,177 2,562,163
Bank of New York Co., Inc. ................................. 32,812 1,320,683
Bankamerica Corp. .......................................... 74,157 4,458,689
BankBoston Corp. ........................................... 12,831 499,607
Bankers Trust New York Corp. ............................... 4,163 355,676
Bard (C.R.), Inc. .......................................... 2,312 114,444
Barrick Gold Corp. ......................................... 16,090 313,755
</TABLE>
<TABLE>
<CAPTION>
Shares Value
------- ----------
<S> <C> <C>
INDEXED ASSETS (Continued):
Common Stocks (Continued)
Battle Mountain Gold Co. .................................. 10,197 $ 42,062
Bausch & Lomb, Inc. ....................................... 2,480 148,800
Baxter International, Inc. ................................ 12,337 793,423
BB & T Corp. .............................................. 12,811 516,443
Bear Stearns Cos., Inc. ................................... 4,824 180,297
Becton Dickinson & Co. .................................... 10,665 455,262
Bell Atlantic Corp. ....................................... 66,514 3,525,242
BellSouth Corp. ........................................... 83,796 4,179,325
Bemis, Inc. ............................................... 2,369 89,873
Berkshire Hathaway, Inc Cl A............................... 12 812,000
Bestfoods.................................................. 12,326 656,359
Bethlehem Steel Corp. ..................................... 5,752 48,173
Biomet, Inc. .............................................. 4,975 200,243
Black & Decker Corp. ...................................... 3,893 218,251
Block (H. & R.), Inc. ..................................... 4,455 200,475
BMC Software, Inc. ........................................ 9,297 414,297
Boeing Co. ................................................ 42,812 1,396,741
Boise Cascade Corp. ....................................... 2,500 77,500
Boston Scientific Corp. ................................... 16,949 454,445
Briggs & Stratton Corp. ................................... 1,070 53,366
Bristol-Myers Squibb Co. .................................. 42,574 5,696,933
Brown-Forman Corp. Cl B.................................... 3,048 230,695
Browning-Ferris Inds., Inc. ............................... 7,711 219,281
Brunswick Corp. ........................................... 4,396 108,801
Burlington Northern Santa Fe............................... 20,235 682,931
Burlington Resources, Inc. ................................ 7,594 271,960
Cabletron Systems, Inc. ................................... 7,297 61,112
Campbell Soup Co. ......................................... 19,325 1,062,875
Capital One Financial Corp. ............................... 2,857 328,555
Cardinal Health, Inc. ..................................... 8,601 652,600
Carolina Power & Light Co. ................................ 6,528 307,224
Case Corp. ................................................ 3,304 72,068
Caterpillar, Inc. ......................................... 15,472 711,712
CBS Corp. ................................................. 30,459 997,532
Cendant Corp. ............................................. 36,798 701,461
Centex Corp. .............................................. 2,645 119,190
Central & South West Corp. ................................ 9,110 249,955
Ceridian Corp. ............................................ 3,086 215,441
Champion International Corp. .............................. 4,244 171,882
Charles Schwab Corp. ...................................... 17,295 971,734
Chase Manhattan Corp. ..................................... 36,241 2,466,653
Chevron Corp. ............................................. 27,957 2,318,683
Chubb Corp. ............................................... 7,029 456,006
CIGNA Corp. ............................................... 8,907 688,622
Cincinnati Financial Corp. ................................ 7,154 262,015
CiNergy Corp. ............................................. 7,035 241,828
Circuit City Group, Inc. .................................. 4,438 221,622
Cisco Systems, Inc. ....................................... 67,661 6,279,786
Citigroup, Inc. ........................................... 97,352 4,818,924
Clear Channel Communications............................... 10,838 590,671
Clorox Co. ................................................ 4,436 518,180
Coastal Corp. ............................................. 9,174 320,516
Coca-Cola Co. ............................................. 105,628 7,063,872
Coca-Cola Enterprises, Inc. ............................... 16,794 600,385
Colgate-Palmolive Co. ..................................... 12,630 1,173,011
Columbia Energy Group...................................... 3,700 213,675
Columbia/HCA Healthcare Corp. ............................. 27,844 689,139
Comcast Corp. Cl A......................................... 15,923 934,481
Comerica, Inc. ............................................ 6,709 457,469
Compaq Computer Corp. ..................................... 72,844 3,054,895
Computer Associates Intl., Inc. ........................... 23,218 989,667
Computer Sciences Corp. ................................... 6,836 440,494
Conagra, Inc. ............................................. 20,967 660,460
Conseco, Inc. ............................................. 13,564 414,549
</TABLE>
The accompanying notes are an integral part of these financial statements.
10
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (ALL AMERICA FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Shares Value
------- ----------
<S> <C> <C>
INDEXED ASSETS (Continued):
Common Stocks (Continued)
Consolidated Edison, Inc. ................................. 9,992 $ 528,327
Consolidated Natural Gas Co. .............................. 4,255 229,770
Consolidated Stores Corp. ................................. 4,852 97,949
Cooper Industries, Inc. ................................... 4,584 218,599
Cooper Tire & Rubber Co. .................................. 3,437 70,243
Coors (Adolph) Co. Cl B.................................... 1,611 90,920
Corning, Inc. ............................................. 10,082 453,690
Costco Co. ................................................ 9,338 674,086
Countrywide Credit Industries.............................. 4,928 247,324
Crane Co. ................................................. 3,052 92,117
Crown Cork & Seal, Inc. ................................... 5,521 170,115
CSX Corp. ................................................. 9,416 390,764
Cummins Engine Co., Inc. .................................. 1,708 60,634
CVS Corp. ................................................. 16,821 925,155
Cyprus Amax Minerals Co. .................................. 4,156 41,560
Dana Corp. ................................................ 7,093 289,926
Danaher Corp. ............................................. 5,731 311,264
Darden Restaurants, Inc. .................................. 6,176 111,168
Data General Corp. ........................................ 2,197 36,113
Dayton-Hudson Corp. ....................................... 18,977 1,029,502
Deere & Co. ............................................... 10,288 340,790
Dell Computer Corp. ....................................... 54,569 3,993,768
Delta Air Lines, Inc. ..................................... 6,159 320,268
Deluxe Corp. .............................................. 3,585 131,076
Dillard's Inc. Cl A........................................ 4,608 130,752
Disney (Walt) Co. ......................................... 87,785 2,633,550
Dollar General Corp. ...................................... 8,201 193,748
Dominion Resources, Inc. .................................. 8,535 399,011
Donnelley (R.R.) & Sons Co. ............................... 5,946 260,509
Dover Corp. ............................................... 9,624 352,479
Dow Chemical Co. .......................................... 9,548 868,271
Dow Jones & Co., Inc. ..................................... 4,159 200,151
DTE Energy Co. ............................................ 6,216 266,511
Du Pont (E.I.) de Nemours & Co............................. 48,242 2,559,841
Duke Energy Corp. ......................................... 15,614 1,000,271
Dun & Bradstreet Corp. .................................... 7,300 230,406
Eastern Enterprises........................................ 957 41,868
Eastman Chemical Co. ...................................... 3,516 157,341
Eastman Kodak Co. ......................................... 13,974 1,006,128
Eaton Corp. ............................................... 3,168 223,938
Ecolab, Inc. .............................................. 5,753 208,186
Edison International....................................... 15,383 428,801
EG&G, Inc. ................................................ 2,039 56,709
Electronic Data Systems Corp. ............................. 21,255 1,068,063
EMC Corp. ................................................. 21,504 1,827,840
Emerson Electric Co. ...................................... 18,999 1,149,439
Engelhard Corp. ........................................... 6,413 125,053
Enron Corp. ............................................... 14,266 814,053
Entergy Corp. ............................................. 10,637 331,076
Equifax, Inc. ............................................. 6,360 217,432
Exxon Corp. ............................................... 104,177 7,617,943
FDX Corp. ................................................. 6,323 562,747
Federated Department Stores, Inc. ......................... 8,839 385,048
Federal Home Loan Mortgage Corp. .......................... 29,078 1,873,713
Fifth Third Bancorp........................................ 11,507 820,592
First Data Corp. .......................................... 19,094 605,041
First Union Corp. ......................................... 42,453 2,581,673
FirstEnergy Corp. ......................................... 10,226 332,984
Fleet Financial Group, Inc. ............................... 24,515 1,095,514
Fleetwood Enterprises, Inc. ............................... 1,528 53,098
Fluor Corp. ............................................... 3,305 140,669
FMC Corp. ................................................. 1,532 85,792
Federal National Mortgage Association...................... 44,431 3,287,894
Ford Motor Co. ............................................ 51,848 3,042,829
</TABLE>
<TABLE>
<CAPTION>
Shares Value
------- ----------
<S> <C> <C>
INDEXED ASSETS (Continued):
Common Stocks (Continued)
Fort James Corp. .......................................... 9,510 $ 380,400
Fortune Brands, Inc. ...................................... 7,377 233,297
Foster Wheeler Corp. ...................................... 1,808 23,843
FPL Group, Inc. ........................................... 7,751 477,655
Franklin Resources, Inc. .................................. 11,020 352,640
Fred Meyer, Inc. .......................................... 6,664 401,506
Freeport-McMoran Copper & Gold, Inc. Cl B.................. 7,220 75,358
Frontier Corp. ............................................ 7,610 258,740
Fruit of the Loom, Inc. Cl A............................... 3,199 44,186
Gannett Co., Inc. ......................................... 12,147 783,481
Gap, Inc. ................................................. 24,830 1,396,687
Gateway 2000, Inc. ........................................ 6,742 345,106
General Dynamics Corp. .................................... 5,466 320,444
General Electric Co. ...................................... 140,410 14,330,595
General Instrument Corp. .................................. 7,417 251,714
General Mills, Inc. ....................................... 6,553 509,495
General Motors Corp. ...................................... 28,044 2,006,898
Genuine Parts Co. ......................................... 7,929 265,125
Georgia-Pacific (Timber Group)............................. 3,898 228,276
Gillette Co. .............................................. 47,533 2,296,438
Golden West Financial Corp. ............................... 2,455 225,092
Goodrich (B.F.) Co. ....................................... 3,283 117,777
Goodyear Tire & Rubber Co. ................................ 6,799 342,924
GPU, Inc. ................................................. 5,483 242,280
Grainger (W.W.), Inc. ..................................... 4,096 170,496
Great Atlantic & Pac. Tea, Inc. ........................... 1,697 50,273
Great Lakes Chemical Corp. ................................ 2,621 104,840
GTE Corp. ................................................. 41,354 2,688,010
Guidant Corp. ............................................. 6,498 716,404
Halliburton Co. ........................................... 18,839 558,105
Harcourt General, Inc. .................................... 3,145 167,274
Harnischfeger Industries, Inc. ............................ 2,120 21,597
Harrah's Entertainment, Inc. .............................. 4,495 70,515
Harris Corp. .............................................. 3,550 130,018
Hartford Financial Services Group.......................... 10,003 548,914
Hasbro, Inc. .............................................. 5,837 210,861
HBO & Co. ................................................. 20,260 581,208
HCR Manor Care, Inc. ...................................... 4,815 141,440
HealthSouth Corp. ......................................... 18,128 279,851
Heinz (H.J.) Co. .......................................... 15,617 884,312
Helmerich & Payne, Inc. ................................... 2,232 43,245
Hercules, Inc. ............................................ 4,196 114,865
Hershey Food Corp. ........................................ 6,175 384,007
Hewlett-Packard Co. ....................................... 44,440 3,035,807
Hilton Hotels Corp. ....................................... 11,562 221,123
Home Depot, Inc. .......................................... 66,979 4,098,277
Homestake Mining Co. ...................................... 10,591 97,304
Honeywell, Inc. ........................................... 5,432 409,097
Household International Corp. ............................. 20,826 825,230
Houston Industries, Inc. .................................. 12,271 394,205
Humana, Inc. .............................................. 7,408 131,955
Huntington Bancshares, Inc. ............................... 9,105 273,719
Ikon Office Solutions, Inc. ............................... 6,015 51,503
Illinois Tool Works, Inc. ................................. 10,787 625,646
IMS Health, Inc. .......................................... 6,908 521,122
Inco Ltd. ................................................. 7,369 77,835
Ingersoll Rand Co. ........................................ 7,093 332,927
Intel Corp. ............................................... 71,430 8,468,919
International Paper Co. ................................... 13,168 590,091
Interpublic Group of Cos., Inc. ........................... 6,043 481,929
International Business Machines Corp....................... 39,981 7,386,489
International Flavors & Fragrances, Inc.................... 4,547 200,920
ITT Industries, Inc. ...................................... 4,599 182,810
</TABLE>
The accompanying notes are an integral part of these financial statements.
11
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (ALL AMERICA FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Shares Value
------- ----------
<S> <C> <C>
INDEXED ASSETS (Continued):
Common Stocks (Continued)
Jefferson-Pilot Corp. ..................................... 4,572 $ 342,900
Johnson & Johnson.......................................... 57,618 4,832,709
Johnson Controls, Inc. .................................... 3,758 221,722
Jostens, Inc. ............................................. 1,634 42,790
Kaufman & Broad Home Corp. ................................ 1,769 50,858
Kellogg Co. ............................................... 17,483 596,607
Kerr-McGee Corp. .......................................... 2,119 81,051
KeyCorp. .................................................. 19,505 624,160
Kimberly Clark Corp. ...................................... 23,375 1,273,937
King World Productions, Inc. .............................. 3,247 95,583
KLA Tencor Corp. .......................................... 3,855 167,210
Kmart Corp. ............................................... 21,122 323,430
Knight-Ridder, Inc. ....................................... 3,498 178,835
Kohl's Corp. .............................................. 6,824 419,249
Kroger Co. ................................................ 11,052 668,646
Laidlaw, Inc. ............................................. 14,634 147,254
Lehman Brothers Holdings, Inc. ............................ 5,051 222,559
Lilly (Eli) & Co. ......................................... 47,121 4,187,878
Limited, Inc. ............................................. 9,764 284,376
Lincoln National Corp. .................................... 4,358 356,538
Liz Claiborne, Inc. ....................................... 2,930 92,478
Lockheed Martin Corp. ..................................... 8,466 717,493
Loews Corp. ............................................... 4,872 478,674
Longs Drug Stores Corp. ................................... 1,727 64,762
Louisiana-Pacific Corp. ................................... 4,871 89,200
Lowe's Companies, Inc. .................................... 15,206 778,357
LSI Logic Corp. ........................................... 6,254 100,845
Lucent Technologies, Inc. ................................. 56,346 6,198,059
Mallinckrodt, Inc. ........................................ 3,247 100,048
Marriott International, Inc. .............................. 10,790 312,910
Marsh & McLennan Cos., Inc. Cl A........................... 11,099 648,597
Masco Corp. ............................................... 14,774 424,752
Mattel, Inc. .............................................. 12,594 287,300
May Department Stores Co. ................................. 10,077 608,398
Maytag Corp. .............................................. 3,918 243,895
MBIA, Inc. ................................................ 4,257 279,099
MBNA Corp. ................................................ 32,429 808,698
McDermott International, Inc. ............................. 2,627 64,854
McDonald's Corp. .......................................... 28,990 2,221,358
McGraw-Hill Cos., Inc. .................................... 4,216 429,505
MCI WorldCom, Inc. ........................................ 78,561 5,636,751
Mead Corp. ................................................ 4,608 135,072
MediaOne Group, Inc. ...................................... 26,179 1,230,413
Medtronic, Inc. ........................................... 21,012 1,560,141
Mellon Bank Corp. ......................................... 11,264 774,400
Mercantile Bancorporation.................................. 6,787 313,050
Merck & Co., Inc. ......................................... 51,036 7,537,379
Meredith Corp. ............................................ 2,343 88,741
Merrill Lynch & Co., Inc. ................................. 15,301 1,021,341
MGIC Investment Corp. ..................................... 4,795 190,900
Micron Technology, Inc. ................................... 9,209 465,630
Microsoft Corp. ........................................... 106,848 14,818,482
Milacron, Inc. ............................................ 1,741 33,514
Millipore Corp. ........................................... 1,946 55,339
Minnesota Mining & Mfg. Co. ............................... 17,312 1,231,316
Mirage Resorts, Inc. ...................................... 7,976 119,141
Mobil Corp. ............................................... 33,416 2,911,369
Monsanto Co. .............................................. 27,025 1,283,687
Moore Corp., Ltd. ......................................... 3,925 43,175
Morgan (J.P.) & Co., Inc. ................................. 7,541 792,276
Morgan Stanley Dean Witter Co. ............................ 24,753 1,757,463
Morton International, Inc. ................................ 5,377 131,736
Motorola, Inc. ............................................ 25,717 1,570,344
NACCO Industries, Inc. Cl A................................ 362 33,304
</TABLE>
<TABLE>
<CAPTION>
Shares Value
------- ----------
<S> <C> <C>
INDEXED ASSETS (Continued):
Common Stocks (Continued)
Nalco Chemical Co. ........................................ 2,924 $ 90,644
National City Corp. ....................................... 14,267 1,034,357
National Semiconductor Corp. .............................. 7,288 98,388
National Service Industries................................ 1,839 69,882
Navistar International Corp. .............................. 2,976 84,816
New Century Energies, Inc. ................................ 4,942 240,922
New York Times Co. Cl A.................................... 7,814 271,048
Newell Co. ................................................ 6,969 287,471
Newmont Mining Corp. ...................................... 7,420 134,023
Nextel Communications, Inc. Cl A........................... 12,678 299,517
Niagara Mohawk Power Corp. ................................ 8,314 134,063
Nicor, Inc. ............................................... 2,119 89,527
Nike, Inc. Cl B............................................ 12,269 497,661
Nordstrom, Inc. ........................................... 6,602 229,006
Norfolk Southern Corp. .................................... 16,249 514,890
Northern States Power Co. ................................. 6,719 186,452
Northern Telecom, Ltd. .................................... 27,944 1,400,672
Northern Trust Corp. ...................................... 4,836 422,243
Northrop Grumman Corp. .................................... 3,053 223,250
Novell, Inc. .............................................. 15,188 275,282
Nucor Corp. ............................................... 3,908 169,021
Occidental Petroleum Corp. ................................ 15,146 255,588
Omnicom Group, Inc. ....................................... 7,370 427,460
Oneok, Inc. ............................................... 1,399 50,538
Oracle Corp. .............................................. 41,646 1,795,983
Oryx Energy Co. ........................................... 4,714 63,344
Owens Corning.............................................. 2,397 84,943
Owens Illinois, Inc. ...................................... 6,894 211,128
Paccar, Inc. .............................................. 3,467 142,580
PacifiCorp. ............................................... 12,741 268,357
Pall Corp. ................................................ 5,502 139,269
Parametric Technology Corp. ............................... 12,080 197,810
Parker Hannifin Corp. ..................................... 4,907 160,704
Paychex, Inc. ............................................. 7,054 362,840
Peco Energy Co. ........................................... 9,664 402,264
Penney (J.C.) Co., Inc. ................................... 10,882 510,093
PennzEnergy Co. ........................................... 2,119 34,566
Pennzoil-Quaker State Co. ................................. 2,119 31,255
Peoples Energy Corp. ...................................... 1,570 62,603
Peoplesoft, Inc. .......................................... 10,226 193,654
Pep Boys-Manny, Moe & Jack................................. 2,830 44,395
PepsiCo, Inc. ............................................. 62,870 2,573,740
Perkin-Elmer Corp. ........................................ 2,180 212,686
Pfizer, Inc. .............................................. 55,610 6,975,579
PG & E Corp. .............................................. 16,391 516,316
Pharmacia & Upjohn, Inc. .................................. 21,915 1,240,936
Phelps Dodge Corp. ........................................ 2,604 132,478
Phillip Morris Cos., Inc. ................................. 104,324 5,581,334
Phillips Petroleum Co. .................................... 10,911 465,081
Pioneer Hi-Bred Intl., Inc. ............................... 10,352 279,504
Pitney Bowes, Inc. ........................................ 11,761 776,961
Placer Dome, Inc. ......................................... 11,095 127,592
PNC Bank Corp. ............................................ 12,979 702,488
Polaroid Corp. ............................................ 1,957 36,571
Potlatch Corp. ............................................ 1,287 47,458
PP&L Resources, Inc. ...................................... 6,712 187,097
PPG Industries, Inc. ...................................... 7,643 445,204
Praxair, Inc. ............................................. 7,019 247,419
Proctor & Gamble Co. ...................................... 56,854 5,191,480
Progressive Corp. of Ohio.................................. 3,106 526,078
Provident Companies, Inc. ................................. 5,998 248,917
Providian Financial Corp. ................................. 8,216 616,200
Public Svc. Enterprise Group, Inc. ........................ 9,779 391,160
Pulte Corp. ............................................... 1,913 53,205
</TABLE>
The accompanying notes are an integral part of these financial statements.
12
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (ALL AMERICA FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Shares Value
------ ----------
<S> <C> <C>
INDEXED ASSETS (Continued):
Common Stocks (Continued)
Quaker Oats Co. ............................................ 5,877 $ 349,681
Ralston Purina Co. ......................................... 13,598 440,235
Raychem Corp. .............................................. 3,447 111,381
Raytheon Co. Cl B........................................... 14,535 773,988
Reebok International Ltd. .................................. 2,505 37,261
Regions Financial Corp. .................................... 9,540 384,581
Republic New York Corp. .................................... 4,597 209,450
Reynolds Metals Co. ........................................ 2,856 150,475
Rite-Aid Corp. ............................................. 11,076 548,954
RJR Nabisco Holdings Corp. ................................. 14,011 415,951
Rockwell Intl., Corp. ...................................... 8,247 400,494
Rohm & Haas Co. ............................................ 7,377 222,232
Rowan Cos., Inc. ........................................... 3,779 37,790
Royal Dutch Petroleum Co. .................................. 91,882 4,398,850
Rubbermaid, Inc. ........................................... 6,654 209,185
Russell Corp. .............................................. 1,607 32,642
Ryder System, Inc. ......................................... 3,249 84,474
Safeco Corp. ............................................... 6,038 259,256
Safeway, Inc. .............................................. 20,973 1,278,042
Sara Lee Corp. ............................................. 39,402 1,110,643
SBC Communications, Inc. ................................... 83,814 4,494,525
Schering-Plough Corp. ...................................... 62,972 3,479,203
Schlumberger, Ltd. ......................................... 23,548 1,086,151
Scientific-Atlanta, Inc. ................................... 3,498 79,798
Seagate Technology.......................................... 10,509 317,897
Seagram, Ltd. .............................................. 16,891 641,858
Sealed Air Corp. ........................................... 3,695 188,675
Sears Roebuck & Co. ........................................ 16,525 702,312
Sempra Energy............................................... 10,284 260,956
Service Corp. International................................. 11,124 423,407
Shared Medical Systems Corp. ............................... 1,178 58,752
Sherwin-Williams Co. ....................................... 7,368 216,435
Sigma-Aldrich Corp. ........................................ 4,464 131,130
Silicon Graphics, Inc. ..................................... 8,378 107,866
SLM Holding Corp. .......................................... 7,255 348,240
Snap-On, Inc. .............................................. 2,623 91,313
Sonat, Inc. ................................................ 4,883 132,146
Southern Co. ............................................... 30,076 874,083
Southwest Airlines Co. ..................................... 14,509 325,545
Springs Industries, Inc. ................................... 819 33,937
Sprint Corp. (FON Group).................................... 18,457 1,552,695
Sprint Corp. (PCS Group).................................... 17,800 411,625
St. Jude Medical, Inc. ..................................... 3,735 103,412
St. Paul Companies, Inc. ................................... 10,169 353,372
Stanley Works............................................... 3,939 109,307
Staples, Inc. .............................................. 13,356 583,490
State Street Corp. ......................................... 6,877 478,381
Summit Bancorp.............................................. 7,488 327,132
Sun America, Inc. .......................................... 9,365 759,735
Sun Microsystems, Inc. ..................................... 16,308 1,396,372
Sunoco, Inc. ............................................... 4,148 149,587
Suntrust Banks, Inc. ....................................... 9,040 691,560
Supervalu, Inc. ............................................ 5,368 150,304
Synovus Financial Corp. .................................... 11,687 284,870
Sysco Corp. ................................................ 14,315 392,767
Tandy Corp. ................................................ 4,241 174,676
Tektronix, Inc. ............................................ 2,234 67,159
Tele-Communications, Inc. (TCI Gp."A") 23,205 1,283,526
Tellabs, Inc. .............................................. 8,324 570,714
Temple-Inland, Inc. ........................................ 2,467 146,323
Tenet Healthcare Corp. ..................................... 13,268 348,285
</TABLE>
<TABLE>
<CAPTION>
Shares Value
------ -----------
<S> <C> <C>
INDEXED ASSETS (Continued):
Common Stocks (Continued)
Tenneco, Inc. ............................................. 7,528 $ 256,422
Texaco, Inc. .............................................. 23,057 1,219,138
Texas Instruments, Inc. ................................... 16,707 1,429,492
Texas Utilities Co. ....................................... 12,179 568,607
Textron, Inc. ............................................. 6,900 523,968
Thermo Electron Corp. ..................................... 6,851 116,038
Thomas & Betts Corp. ...................................... 2,517 109,017
Time Warner, Inc. ......................................... 52,575 3,262,935
Times Mirror Co. Cl A...................................... 3,526 197,456
Timken Co. ................................................ 2,766 52,208
TJX Companies.............................................. 14,074 408,146
Torchmark Corp. ........................................... 6,224 219,785
Toys R Us, Inc. ........................................... 11,597 195,699
Transamerica Corp. ........................................ 2,690 310,695
Tribune Co. ............................................... 5,123 338,118
Tricon Global Restaurants Inc. ............................ 6,579 329,772
TRW, Inc. ................................................. 5,243 294,591
Tupperware Corp. .......................................... 2,561 42,096
Tyco International Ltd. ................................... 27,608 2,082,678
U.S. Bancorp............................................... 31,304 1,111,292
U.S. West, Inc. ........................................... 21,532 1,391,505
Unicom Corp. .............................................. 9,368 361,253
Unilever N.V. ............................................. 27,431 2,275,058
Union Camp Corp. .......................................... 3,077 207,697
Union Carbide Corp. ....................................... 5,796 246,330
Union Pacific Corp. ....................................... 10,789 486,179
Union Pacific Resources Group, Inc. ....................... 11,143 100,983
Union Planters Corp. ...................................... 5,830 264,171
Unisys Corp. .............................................. 11,008 379,088
United Healthcare Corp. ................................... 8,033 345,921
United Technologies Corp. ................................. 9,741 1,059,333
Unocal Corp. .............................................. 10,412 303,900
UNUM Corp. ................................................ 5,969 348,440
US Airways Group, Inc. .................................... 3,873 201,396
UST, Inc. ................................................. 7,968 277,884
USX-Marathon Group......................................... 13,268 399,698
USX-U.S. Steel Group....................................... 3,909 89,907
V F Corp. ................................................. 5,173 242,484
Venator Group, Inc. ....................................... 6,003 38,644
Viacom, Inc. Cl B.......................................... 15,004 1,110,296
W.R. Grace & Co. .......................................... 3,368 52,835
Wachovia Corp. ............................................ 8,746 764,728
Wal-Mart Stores, Inc. ..................................... 96,533 7,861,406
Walgreen Co. .............................................. 21,369 1,251,422
Warner-Lambert Co. ........................................ 35,197 2,646,374
Washington Mutual, Inc. ................................... 25,590 977,218
Waste Management, Inc. .................................... 24,776 1,155,181
Wells Fargo & Company...................................... 69,294 2,767,614
Wendy's International, Inc. ............................... 5,647 123,175
Westvaco Corp. ............................................ 4,496 120,549
Weyerhaeuser Co. .......................................... 8,584 436,174
Whirlpool Corp. ........................................... 3,372 186,724
Willamette Industries, Inc. ............................... 4,945 165,657
Williams Cos., Inc. ....................................... 18,452 575,471
Winn-Dixie Stores, Inc. ................................... 6,364 285,584
Worthington Industries, Inc. .............................. 4,289 53,612
Wrigley (Wm.) Jr. Co. ..................................... 5,013 448,976
Xerox Corp. ............................................... 14,051 1,658,018
-----------
Total Indexed Assets--Common Stocks
(Cost: $188,724,813) 58.2%........................................ 427,093,187
-----------
</TABLE>
The accompanying notes are an integral part of these financial statements.
13
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (ALL AMERICA FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Face
Rate Maturity Amount Value
---- -------- --------- ------------
<S> <C> <C> <C> <C>
INDEXED ASSETS (Continued):
Short-Term Debt Securities:
U. S. Government (0.1%)
U.S. Treasury Bill...................... 3.97% 04/08/99 $ 610,000 $ 602,703
U.S. Treasury Bill(a)................... 4.00 03/25/99 200,000 197,964
------------
800,667
------------
Commercial Paper (0.5%)
Ford Motor Credit Co.................... 6.09 01/04/99 2,000,000 1,998,984
Koch Industries......................... 5.20 01/04/99 1,432,000 1,431,379
------------
3,430,363
------------
Total Short-Term Debt Securities
(Cost: $4,231,921) 0.6%......................................... 4,231,030
------------
Total Indexed Assets
(Cost: $192,956,734) 58.8%...................................... $431,324,217
============
</TABLE>
- --------------
FUTURES CONTRACTS OUTSTANDING AS OF DECEMBER 31, 1998:
<TABLE>
<CAPTION>
Expiration Underlying Face Unrealized
Date Amount at Value Gain
---------- --------------- ----------
<S> <C> <C> <C>
Purchased
13 S&P 500 Stock Index Futures
Contracts.............................. March 1999 $4,047,875 $69,875
========== =======
</TABLE>
The face value of futures purchased and outstanding as percentage of total
investment in securities: 0.6%.
- -------
(a) This security has been segregated by the Custodian to cover initial margin
requirements on open futures contracts.
The accompanying notes are an integral part of these financial statements.
14
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (ALL AMERICA FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Shares Value
------- -----------
<S> <C> <C>
ACTIVE ASSETS:
Common Stocks
Basic Materials (0.8%)
Barrick Gold Corp. ....................................... 22,300 $ 434,850
Cabot Corp. .............................................. 50,000 1,396,875
Homestake Mining Co. ..................................... 35,900 329,831
Lone Star Technologies, Inc.*............................. 92,000 931,500
Newmont Mining Corp. ..................................... 16,100 290,806
Oregon Steel Mills, Inc. ................................. 55,000 653,125
Placer Dome, Inc. ........................................ 32,200 370,300
Praxair, Inc. ............................................ 38,800 1,367,700
-----------
5,774,987
-----------
Consumer, Cyclical (6.6%)
American Greetings Corp. Cl A............................. 47,700 1,958,681
ASA Holdings, Inc. ....................................... 17,400 530,700
Atlantic Coast Airlines, Inc.*............................ 74,000 1,850,000
Bed Bath & Beyond, Inc.*.................................. 66,300 2,262,487
Bergen Brunswig........................................... 87,800 3,062,025
BJ's Wholesale Club, Inc.*................................ 49,300 2,283,206
Blyth Industries, Inc.*................................... 37,000 1,156,250
Borders Group, Inc.*...................................... 27,700 690,768
CKE Restaurants, Inc...................................... 9,592 282,364
Clear Channel Communications*............................. 23,450 1,278,025
Coach USA, Inc.*.......................................... 35,000 1,214,062
Consolidated Graphics, Inc.*.............................. 18,500 1,249,906
Consolidated Stores Corp.*................................ 51,000 1,029,562
ContinentalAirlines, Inc. Cl.B*........................... 19,100 639,850
Cox Radio, Inc.*.......................................... 17,000 718,250
Dollar Tree Stores*....................................... 26,000 1,135,875
Ethan Allen Interiors, Inc. .............................. 19,300 791,300
Family Dollar Stores Inc. ................................ 72,300 1,590,600
Furniture Brands Intl., Inc.*............................. 12,800 348,800
Gannett Co., Inc. ........................................ 34,100 2,199,450
Jacor Communications, Inc.*............................... 27,850 1,792,843
Linens'n Things, Inc.*.................................... 72,800 2,884,700
Masco Corp. .............................................. 76,200 2,190,750
Mattel, Inc. ............................................. 28,100 641,031
Meredith Corp. ........................................... 29,000 1,098,375
Nordstrom, Inc. .......................................... 38,500 1,335,468
Office Depot, Inc.*....................................... 55,000 2,031,562
Outback Steakhouse, Inc.*................................. 39,400 1,571,075
Outdoor Systems, Inc.*.................................... 33,662 1,009,860
Rent-Way, Inc.*........................................... 24,100 585,931
Saks Incorporated*........................................ 38,000 1,199,375
Skywest, Inc. ............................................ 59,800 1,954,712
The Men's Wearhouse, Inc.*................................ 42,000 1,333,500
Tiffany & Co. ............................................ 30,000 1,556,250
Westpoint Stevens, Inc.*.................................. 20,100 634,406
-----------
48,091,999
-----------
Consumer, Non-Cyclical (6.0%)
Agouron Pharmaceuticals, Inc.*............................ 30,000 1,762,500
Amazon.com, Inc.*......................................... 7,700 2,473,625
American Home Products Corp. ............................. 32,600 1,835,787
Anesta Corp.*............................................. 35,000 931,875
Baxter International, Inc. ............................... 18,000 1,157,625
Bestfoods................................................. 20,000 1,065,000
Biogen, Inc.*............................................. 4,600 381,800
Biomet, Inc. ............................................. 18,300 736,575
Diageo PLC--Sponsored ADR................................. 26,000 1,202,500
Dura Pharmaceuticals, Inc.*............................... 69,000 1,047,937
Earthgrains Co. .......................................... 60,500 1,871,718
Elan Corp Plc -Spons ADR*................................. 12,800 890,400
Food Lion, Inc. .......................................... 114,500 1,216,562
Forest Laboratories, Inc.*................................ 21,700 1,154,168
</TABLE>
- -------
* Non-income producing security.
<TABLE>
<CAPTION>
Shares Value
------- -----------
<S> <C> <C>
ACTIVE ASSETS (Continued):
Consumer, Non-Cyclical (Continued)
Fort James Corp of Virginia............................... 35,000 $ 1,400,000
Fred Meyer, Inc.*......................................... 25,300 1,524,325
Health Management Associates*............................. 32,200 696,325
IDEC Pharmaceuticals Corp.*............................... 13,000 611,000
Integrated Health Services*............................... 40,000 565,000
Lilly (Eli) & Co. ........................................ 22,500 1,999,687
Medimmune, Inc.*.......................................... 23,900 2,376,556
Medquist, Inc.*........................................... 53,700 2,121,150
Metzler Group, Inc.*...................................... 26,000 1,265,875
Omnicare, Inc. ........................................... 49,500 1,720,125
Phillip Morris Cos., Inc. ................................ 60,200 3,220,700
SangStat Medical Corp.*................................... 36,000 765,000
Starbucks Corp.*.......................................... 37,700 2,115,912
Suiza Foods Corp.*........................................ 30,000 1,528,125
US Foodservice*........................................... 90,650 2,971,850
Williams-Sonoma, Inc.*.................................... 47,300 1,906,781
-----------
44,516,483
-----------
Energy (1.2%)
Amoco Corp. .............................................. 33,000 1,992,375
Elf Aquitaine--ADR........................................ 44,000 2,491,500
Schlumberger, Ltd. ....................................... 23,300 1,074,712
Shell Transport & Trading-ADR............................. 42,700 1,587,906
USX-Marathon Group........................................ 67,700 2,039,462
-----------
9,185,955
-----------
Financial (8.3%)
American Int'l. Group, Inc. .............................. 42,700 4,125,887
Aon Corp. ................................................ 30,600 1,694,475
Arden Realty Group........................................ 54,100 1,254,443
ARM Financial Group, Inc. ................................ 56,000 1,242,500
Bankamerica Corp. ........................................ 46,863 2,817,637
Chicago Title Corp. ...................................... 28,000 1,314,250
ChoicePoint, Inc.*........................................ 8,200 528,900
Citigroup Inc. ........................................... 112,100 5,548,950
Commerce Bancshares, Inc. ................................ 7,604 323,161
Cullen/Frost Bankers, Inc. ............................... 20,000 1,097,500
Dime Bancorp, Inc. ....................................... 46,800 1,237,275
Equity Residential Prop. Tr. ............................. 28,600 1,156,512
Finova Group, Inc ........................................ 32,400 1,747,575
First Union Corp. ........................................ 41,400 2,517,637
Fleet Financial Group, Inc. .............................. 45,200 2,019,875
Frontier Insurance Group, Inc. ........................... 40,000 515,000
Glenborough Realty Trust, Inc. ........................... 60,000 1,222,500
HCC Insurance Holdings, Inc. ............................. 64,000 1,128,000
Heller Financial, Inc. ................................... 65,000 1,909,375
Horace Mann Educators Corp. .............................. 48,000 1,368,000
Household International Corp. ............................ 50,598 2,004,945
Keystone Financial, Inc. ................................. 28,000 1,036,000
Kimco Realty Corp......................................... 29,000 1,150,937
Loews Corp. .............................................. 20,100 1,974,825
Mack-Cali Realty Corp. ................................... 38,000 1,173,250
Morgan Stanley Dean Witter................................ 40,000 2,840,000
National City Corp. ...................................... 17,980 1,303,550
Natl. Commerce Bancorporation............................. 35,000 658,437
North Fork Bancorporation, Inc. .......................... 51,000 1,220,812
Oriental Financial Group.................................. 62,400 1,953,900
Providian Financial Corp. ................................ 24,300 1,822,500
Public Storage, Inc. ..................................... 40,000 1,082,500
SL Green Realty Corp. .................................... 66,000 1,427,250
Sovereign Bancorp, Inc. .................................. 23,000 327,750
Spieker Pptys, Inc........................................ 33,000 1,142,625
Summit Bancorp............................................ 25,000 1,092,187
Telebanc Financial Corp.*................................. 28,000 952,000
</TABLE>
The accompanying notes are an integral part of these financial statements.
15
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (ALL AMERICA FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Shares Value
------- -----------
<S> <C> <C>
ACTIVE ASSETS (Continued):
Financial (Continued)
Torchmark Corp. .......................................... 22,100 $ 780,406
Waddell & Reed Financial, Inc. ........................... 6,665 155,501
Washington Mutual, Inc. .................................. 47,629 1,818,832
-----------
60,687,659
-----------
Industrial (2.6%)
AFC Cable Systems, Inc.*.................................. 20,100 675,862
BISYS Group, Inc.*........................................ 30,400 1,569,400
Burlington Northern Santa Fe.............................. 51,633 1,742,613
Covenant Transport, Inc. Cl A*............................ 57,000 1,018,875
Dycom Industries, Inc.*................................... 10,500 599,812
First Data Corp. ......................................... 47,600 1,508,325
Heico Corp. .............................................. 10,800 340,875
Hooper Holmes, Inc. ...................................... 41,750 1,210,750
Kansas City Southern Inds. ............................... 33,200 1,633,025
Pittway Corp. ............................................ 12,000 396,750
QRS Corp.*................................................ 17,800 854,400
Semtech Corp.*............................................ 30,000 1,076,250
Sherwin-Williams Co. ..................................... 43,200 1,269,000
Siebel Systems, Inc.*..................................... 13,400 454,762
Swift Transportation Co., Inc.*........................... 37,000 1,037,158
Tetra Tech, Inc.*......................................... 45,900 1,242,168
U.S. Xpress Enterprises, Inc. Cl A*....................... 38,000 570,000
Williams Cos., Inc. ...................................... 40,000 1,247,500
Young & Rubicam, Inc.*.................................... 11,500 372,312
-----------
18,819,837
-----------
Technology (12.9%)
3Com Corp.*............................................... 110,000 4,929,375
Altera Corp.*............................................. 16,000 974,000
Alza Corp.*............................................... 41,400 2,163,150
Applied Materials, Inc.*.................................. 66,800 2,851,525
Ascend Communications, Inc.*.............................. 12,000 789,000
ASM Lithography Holding NV*............................... 22,800 695,400
At Home Corp--Ser A*...................................... 12,100 898,425
AT&T Corp. ............................................... 18,000 1,354,500
Atmel Corp.*.............................................. 76,200 1,166,812
Centocor, Inc.*........................................... 19,300 870,912
Ceridian Corp.*........................................... 22,700 1,584,743
Ciena Corp.*.............................................. 69,000 1,009,125
</TABLE>
- -------
* Non-income producing security.
<TABLE>
<CAPTION>
Shares Value
------- -----------
<S> <C> <C>
ACTIVE ASSETS (Continued):
Technology (Continued)
Cisco Systems, Inc.*...................................... 240,000 $22,275,000
Citrix Systems, Inc.*..................................... 17,600 1,708,300
Compaq Computer Corp. .................................... 235,000 9,855,312
Dionex Corp.*............................................. 33,000 1,208,625
Excite, Inc.*............................................. 18,600 782,362
Hewlett-Packard Co. ...................................... 30,500 2,083,531
INKTOMI CORP*............................................. 2,600 336,375
Intel Corp. .............................................. 90,000 10,670,625
Intl. Business Machines Corp. ............................ 15,852 2,928,657
Intuit, Inc.*............................................. 11,300 819,250
Linear Technology Corp. .................................. 63,900 5,723,043
Maxim Integrated Products, Inc.*.......................... 79,200 3,460,050
Maxtor Corp.*............................................. 27,800 389,200
Newbridge Networks Corp.*................................. 11,800 358,425
Novellus Systems, Inc.*................................... 19,000 940,500
Parametric Technology Corp.*.............................. 78,400 1,283,800
Raytheon Co. Cl B......................................... 48,076 2,560,047
Sanmina Corp.*............................................ 12,900 806,250
Teradyne, Inc.*........................................... 27,000 1,144,125
Visual Networks, Inc.*.................................... 10,000 375,000
Xerox Corp. .............................................. 31,000 3,658,000
Xilinx, Inc.*............................................. 32,000 2,084,000
-----------
94,737,444
-----------
Utilities (1.4%)
AES Corp.*................................................ 9,000 426,375
CILCORP, Inc. ............................................ 8,000 489,500
Commonwealth Energy System................................ 12,000 486,000
Consolidated Natural Gas Co. ............................. 21,000 1,134,000
Entergy Corp. ............................................ 61,300 1,907,962
MCI WorldCom, Inc.*....................................... 37,441 2,686,391
MDU Resources Group....................................... 15,000 394,688
Montana Pwr. Co. ......................................... 15,000 848,437
SBC Communications, Inc. ................................. 27,400 1,469,352
SIGCORP, Inc. ............................................ 12,000 429,000
-----------
10,271,705
-----------
Total Active Assets--Common Stocks
(Cost: $200,677,628) 39.8%........................................ 292,086,069
-----------
</TABLE>
The accompanying notes are an integral part of these financial statements.
16
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (ALL AMERICA FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Face
Rate Maturity Amount Value
---- -------- --------- ------------
<S> <C> <C> <C> <C>
ACTIVE ASSETS (Continued):
Short-Term Debt Securities:
U. S. Government (0.3%)
U.S. Treasury Bill...................... 4.42% 01/21/99 $ 200,000 $ 199,508
U.S. Treasury Bill...................... 4.45 01/21/99 1,400,000 1,396,527
------------
1,596,035
------------
Commercial Paper (1.1%)
Duke Energy Corp ....................... 5.25 01/04/99 185,000 184,919
Ford Motor Credit Co. .................. 6.09 01/04/99 2,000,000 1,998,984
Grainger (WW)........................... 5.00 01/07/99 400,000 399,667
Koch Industries......................... 5.20 01/04/99 5,765,000 5,762,502
------------
8,346,072
------------
Total Active Assets--Short-Term Debt Securities
(Cost: $9,942,107) 1.4%......................................... 9,942,107
------------
Total Active Assets
(Cost: $210,619,735) 41.2%...................................... 302,028,176
------------
Total Investments
(Cost: $403,576,469) 100.0%..................................... $733,352,393
============
</TABLE>
The accompanying notes are an integral part of these financial statements.
17
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (EQUITY INDEX FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES
December 31, 1998
<TABLE>
<CAPTION>
Shares Value
------ ----------
<S> <C> <C>
INDEXED ASSETS:
Common Stocks
3Com Corp. ................................................. 13,802 $ 618,502
Abbott Laboratories......................................... 58,812 2,881,788
Adobe Systems, Inc. ........................................ 2,586 120,896
Advanced Micro Devices, Inc. ............................... 5,564 161,008
Aeroquip-Vickers, Inc. ..................................... 1,095 32,782
AES Corp. .................................................. 6,826 323,382
Aetna, Inc. ................................................ 5,540 435,583
Air Products & Chemicals, Inc. ............................. 9,090 363,600
AirTouch Communications, Inc. .............................. 22,216 1,602,329
Alberto-Culver Co. Cl B..................................... 2,207 58,899
Albertson's, Inc. .......................................... 9,540 607,579
Alcan Aluminum Ltd. ........................................ 8,827 238,881
Alcoa, Inc. ................................................ 7,114 530,438
Allegheny Teledyne, Inc. ................................... 7,631 155,959
Allergan, Inc. ............................................. 2,551 165,177
AlliedSignal, Inc. ......................................... 21,704 961,759
Allstate Corp. ............................................. 31,796 1,228,121
Alltel Corp. ............................................... 10,640 636,405
Alza Corp. ................................................. 3,354 175,247
Amerada Hess Corp. ......................................... 3,547 176,463
Ameren Corp. ............................................... 5,325 227,311
American Electric Power, Inc. .............................. 7,391 347,839
American Express Co. ....................................... 17,520 1,791,420
American General Corp. ..................................... 9,845 767,910
American Greetings Corp. Cl A............................... 2,825 116,002
American Home Products Corp. ............................... 51,107 2,877,963
American Int'l. Group, Inc. ................................ 40,730 3,935,536
American Stores Co. ........................................ 10,608 391,833
Ameritech Corp. ............................................ 42,711 2,706,810
Amgen, Inc. ................................................ 9,861 1,031,091
Amoco Corp. ................................................ 37,032 2,235,807
AMP, Inc. .................................................. 8,516 443,364
AMR Corp. .................................................. 7,077 420,197
Anadarko Petroleum Corp. ................................... 4,658 143,816
Andrew Corp. ............................................... 3,436 56,694
Anheuser-Busch Cos., Inc. .................................. 18,521 1,215,441
Aon Corp. .................................................. 6,545 362,429
Apache Corp. ............................................... 3,827 96,871
Apple Computer, Inc. ....................................... 5,163 211,360
Applied Materials, Inc. .................................... 14,215 606,803
Archer-Daniels-Midland Co. ................................. 23,250 399,609
Armco, Inc. ................................................ 4,186 18,314
Armstrong World Inds., Inc. ................................ 1,554 93,726
Asarco, Inc. ............................................... 1,539 23,181
Ascend Communications, Inc. ................................ 8,385 551,314
Ashland, Inc. .............................................. 2,948 142,610
Associates First Capital Corp. ClA.......................... 28,004 1,186,670
AT&T Corp. ................................................. 70,001 5,267,575
Atlantic Richfield Co. ..................................... 12,453 812,558
Autodesk, Inc. ............................................. 1,815 77,478
Automatic Data Processing, Inc ............................. 11,683 936,831
AutoZone, Inc. ............................................. 5,921 195,023
Avery Dennison Corp. ....................................... 4,552 205,125
Avon Products, Inc. ........................................ 10,226 452,501
Baker Hughes, Inc. ......................................... 12,328 218,052
Ball Corp. ................................................. 1,178 53,894
Baltimore Gas & Electric Co. ............................... 5,739 177,192
Banc One Corp. ............................................. 45,293 2,312,774
Bank of New York Co., Inc. ................................. 29,478 1,186,490
Bankamerica Corp. .......................................... 67,068 4,032,464
BankBoston Corp. ........................................... 11,398 443,810
Bankers Trust New York Corp. ............................... 3,693 315,521
Bard (C.R.), Inc. .......................................... 2,204 109,098
Barrick Gold Corp. ......................................... 14,476 282,282
</TABLE>
<TABLE>
<CAPTION>
Shares Value
------ ----------
<S> <C> <C>
INDEXED ASSETS (Continued):
Common Stocks (Continued)
Battle Mountain Gold Co. ................................... 8,919 $ 36,791
Bausch & Lomb, Inc. ........................................ 2,158 129,480
Baxter International, Inc. ................................. 11,077 712,390
BB & T Corp. ............................................... 11,399 459,522
Bear Stearns Cos., Inc. .................................... 4,415 165,011
Becton Dickinson & Co. ..................................... 9,556 407,922
Bell Atlantic Corp. ........................................ 60,249 3,193,197
BellSouth Corp. ............................................ 75,786 3,779,827
Bemis, Inc. ................................................ 2,072 78,607
Berkshire Hathaway, Inc. Cl A............................... 10 718,900
Bestfoods................................................... 11,208 596,826
Bethlehem Steel Corp. ...................................... 4,979 41,699
Biomet, Inc. ............................................... 4,345 174,886
Black & Decker Corp. ....................................... 3,405 190,893
Block (H. & R.), Inc. ...................................... 4,068 183,060
BMC Software, Inc. ......................................... 8,352 372,186
Boeing Co. ................................................. 38,719 1,263,207
Boise Cascade Corp. ........................................ 2,186 67,766
Boston Scientific Corp. .................................... 15,090 404,601
Briggs & Stratton Corp. .................................... 936 46,683
Bristol-Myers Squibb Co. ................................... 38,504 5,152,317
Brown-Forman Corp. Cl B..................................... 2,672 202,237
Browning-Ferris Inds., Inc. ................................ 6,744 191,783
Brunswick Corp. ............................................ 3,859 95,510
Burlington Northern Santa Fe Corp. ......................... 18,348 619,245
Burlington Resources, Inc. ................................. 6,873 246,139
Cabletron Systems, Inc. .................................... 6,140 51,423
Campbell Soup Co. .......................................... 17,428 958,540
Capital One Financial Corp. ................................ 2,545 292,675
Cardinal Health, Inc. ...................................... 7,770 589,549
Carolina Power & Light Co. ................................. 5,874 276,445
Case Corp. ................................................. 2,896 63,169
Caterpillar, Inc. .......................................... 13,900 639,400
CBS Corp. .................................................. 27,364 896,171
Cendant Corp. .............................................. 33,037 629,768
Centex Corp. ............................................... 2,308 104,004
Central & South West Corp. ................................. 8,239 226,058
Ceridian Corp. ............................................. 2,819 196,801
Champion International Corp. ............................... 3,733 151,187
Charles Schwab Corp. ....................................... 15,540 873,154
Chase Manhattan Corp. ...................................... 32,777 2,230,885
Chevron Corp. .............................................. 25,284 2,096,992
Chubb Corp. ................................................ 6,315 409,686
CIGNA Corp. ................................................ 8,002 618,655
Cincinnati Financial Corp .................................. 6,472 237,037
CINergy Corp. .............................................. 6,123 210,478
Circuit City Group, Inc. ................................... 3,832 191,361
Cisco Systems, Inc. ........................................ 61,193 5,679,475
Citigroup Inc. ............................................. 88,046 4,358,277
Clear Channel Communications, Inc. ......................... 9,622 524,399
Clorox Co. ................................................. 4,032 470,988
Coastal Corp. .............................................. 8,245 288,060
Coca-Cola Co. .............................................. 95,530 6,388,569
Coca-Cola Enterprises, Inc. ................................ 15,188 542,971
Colgate-Palmolive Co. ...................................... 11,347 1,053,853
Columbia Energy Group....................................... 3,232 186,648
Columbia/HCA Healthcare Corp. .............................. 24,975 618,131
Comcast Corp. Cl A.......................................... 14,312 839,936
Comerica, Inc. ............................................. 6,078 414,444
Compaq Computer Corp. ...................................... 65,880 2,762,843
Computer Associates Intl., Inc ............................. 20,859 889,115
Computer Sciences Corp. .................................... 6,051 389,911
Conagra, Inc. .............................................. 18,963 597,335
Conseco, Inc. .............................................. 12,023 367,453
</TABLE>
The accompanying notes are an integral part of these financial statements.
18
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (EQUITY INDEX FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Shares Value
------ ----------
<S> <C> <C>
INDEXED ASSETS (Continued):
Common Stocks (Continued)
Consolidated Edison, Inc. .................................. 9,139 $ 483,225
Consolidated Natural Gas Co. ............................... 3,718 200,772
Consolidated Stores Corp. .................................. 4,181 84,404
Cooper Industries, Inc. .................................... 4,009 191,179
Cooper Tire & Rubber Co. ................................... 3,057 62,477
Coors (Adolph) Co. Cl B..................................... 1,408 79,464
Corning Inc. ............................................... 9,007 405,315
Costco Co. ................................................. 8,370 604,209
Countrywide Credit Industries Inc. ......................... 4,213 211,440
Crane Co. .................................................. 2,662 80,359
Crown Cork & Seal, Inc. .................................... 4,829 148,794
CSX Corp. .................................................. 8,503 352,875
Cummins Engine Co., Inc. ................................... 1,490 52,895
CVS Corp. .................................................. 15,112 831,160
Cyprus Amax Minerals Co. ................................... 3,635 36,350
Dana Corp. ................................................. 6,401 261,641
Danaher Corp. .............................................. 5,191 281,936
Darden Restaurants, Inc. ................................... 5,540 99,720
Data General Corp. ......................................... 1,907 31,346
Dayton-Hudson Corp. ........................................ 16,965 920,351
Deere & Co. ................................................ 9,243 306,174
Dell Computer Corp. ........................................ 49,352 3,611,950
Delta Air Lines, Inc. ...................................... 5,534 287,768
Deluxe Corp. ............................................... 3,137 114,697
Dillard's Inc. Cl A......................................... 4,178 118,551
Disney (Walt) Co. .......................................... 79,375 2,381,250
Dollar General Corp. ....................................... 6,983 164,973
Dominion Resources, Inc. ................................... 7,592 354,926
Donnelley (R.R.) & Sons Co. ................................ 5,263 230,585
Dover Corp. ................................................ 8,654 316,953
Dow Chemical Co. ........................................... 8,578 780,062
Dow Jones & Co., Inc. ...................................... 3,615 173,972
DTE Energy Co. ............................................. 5,630 241,386
Du Pont (E.I.) de Nemours & Co ............................. 43,631 2,315,170
Duke Energy Corp. .......................................... 13,988 896,106
Dun & Bradstreet Corp. ..................................... 6,662 210,269
Eastern Enterprises......................................... 793 34,694
Eastman Chemical Co. ....................................... 3,071 137,427
Eastman Kodak Co. .......................................... 12,524 901,728
Eaton Corp. ................................................ 2,771 195,875
Ecolab Inc. ................................................ 4,997 180,829
Edison International........................................ 13,668 380,996
EG&G, Inc. ................................................. 1,763 49,033
Electronic Data Systems Corp. .............................. 19,083 958,921
EMC Corp. .................................................. 19,448 1,653,080
Emerson Electric Co. ....................................... 17,182 1,039,511
Engelhard Corp. ............................................ 5,610 109,395
Enron Corp. ................................................ 12,749 727,490
Entergy Corp. .............................................. 9,563 297,648
Equifax, Inc. .............................................. 5,740 196,236
Exxon Corp. ................................................ 94,217 6,889,618
FDX Corp. .................................................. 5,710 508,190
Federated Department Stores, Inc. .......................... 7,941 345,930
Federal Home Loan Mortgage Corp. ........................... 26,337 1,697,090
Fifth Third Bancorp......................................... 10,397 741,436
First Data Corp. ........................................... 17,328 549,081
First Union Corp. .......................................... 38,395 2,334,896
FirstEnergy Corp. .......................................... 9,187 299,152
Fleet Financial Group, Inc. ................................ 22,058 985,717
Fleetwood Enterprises, Inc. ................................ 1,508 52,403
Fluor Corp. ................................................ 2,936 124,964
FMC Corp. .................................................. 1,346 75,376
Federal National Mortgage Association....................... 40,243 2,977,982
Ford Motor Co. ............................................. 46,892 2,751,974
</TABLE>
<TABLE>
<CAPTION>
Shares Value
------- -----------
<S> <C> <C>
INDEXED ASSETS (Continued):
Common Stocks (Continued)
Fort James Corp. ......................................... 8,554 $ 342,160
Fortune Brands, Inc. ..................................... 6,713 212,299
Foster Wheeler Corp. ..................................... 1,581 20,849
FPL Group, Inc. .......................................... 7,043 434,025
Franklin Resources, Inc. ................................. 9,818 314,176
Fred Meyer, Inc. ......................................... 5,936 357,644
Freeport-McMoran Copper & Gold. Inc. Cl B................. 7,021 73,282
Frontier Corp. ........................................... 6,645 225,930
Fruit of the Loom, Inc. Cl A.............................. 2,792 38,565
Gannett Co., Inc. ........................................ 10,913 703,889
Gap, Inc. ................................................ 22,456 1,263,150
Gateway 2000, Inc. ....................................... 6,039 309,121
General Dynamics Corp. ................................... 4,905 287,556
General Electric Co. ..................................... 127,068 12,968,878
General Instrument Corp. ................................. 6,487 220,153
General Mills, Inc. ...................................... 5,927 460,824
General Motors Corp. ..................................... 25,390 1,816,972
Genuine Parts Co. ........................................ 6,946 232,257
Georgia-Pacific Group..................................... 3,409 199,640
Gillette Co. ............................................. 42,989 2,076,906
Golden West Financial Corp. .............................. 2,223 203,821
Goodrich (B.F.) Co. ...................................... 2,830 101,526
Goodyear Tire & Rubber Co. ............................... 6,103 307,820
GPU, Inc. ................................................ 4,963 219,303
Grainger (W.W.), Inc. .................................... 3,793 157,884
Great Atlantic & Pac. Tea Inc. ........................... 1,485 43,993
Great Lakes Chemical Corp. ............................... 2,291 91,640
GTE Corp. ................................................ 37,358 2,428,270
Guidant Corp. ............................................ 5,853 645,293
Halliburton Co. .......................................... 17,018 504,158
Harcourt General, Inc. ................................... 2,750 146,266
Harnischfeger Industries, Inc. ........................... 1,855 18,898
Harrah's Entertainment, Inc. ............................. 3,924 61,558
Harris Corp. ............................................. 3,105 113,721
Hartford Financial Services Group......................... 9,147 501,942
Hasbro, Inc. ............................................. 5,156 186,261
HBO & Co. ................................................ 18,027 517,150
HCR Manor Care, Inc. ..................................... 4,210 123,669
HealthSouth Corp. ........................................ 16,342 252,280
Heinz (H.J.) Co. ......................................... 14,030 794,449
Helmerich & Payne, Inc. .................................. 1,952 37,820
Hercules, Inc. ........................................... 3,683 100,822
Hershey Food Corp. ....................................... 5,555 345,452
Hewlett-Packard Co. ...................................... 40,201 2,746,231
Hilton Hotels Corp. ...................................... 10,106 193,277
Home Depot, Inc. ......................................... 60,575 3,706,433
Homestake Mining Co. ..................................... 9,263 85,104
Honeywell, Inc. .......................................... 4,896 368,730
Household International Corp. ............................ 18,710 741,384
Houston Industries, Inc. ................................. 11,024 354,146
Humana, Inc. ............................................. 6,460 115,069
Huntington Bancshares, Inc. .............................. 8,210 246,813
Ikon Office Solutions, Inc. .............................. 5,255 44,996
Illinois Tool Works, Inc. ................................ 9,698 562,484
IMS Health, Inc. ......................................... 6,207 468,241
Inco Ltd. ................................................ 6,443 68,054
Ingersoll Rand Co. ....................................... 6,423 301,480
Intel Corp. .............................................. 64,601 7,659,256
International Paper Co. .................................. 11,934 534,792
Interpublic Group of Cos., Inc. .......................... 5,293 422,117
International Business Machines Corp. .................... 36,159 6,680,375
International Flavors & Fragrances, Inc. ................. 4,182 184,792
ITT Industries, Inc. ..................................... 4,022 159,875
</TABLE>
The accompanying notes are an integral part of these financial statements.
19
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (EQUITY INDEX FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Shares Value
------ -----------
<S> <C> <C>
INDEXED ASSETS (Continued):
Common Stocks (Continued)
Jefferson-Pilot Corp. ..................................... 4,129 $ 309,675
Johnson & Johnson.......................................... 52,187 4,377,185
Johnson Controls, Inc. .................................... 3,284 193,756
Jostens, Inc. ............................................. 1,546 37,605
Kaufman & Broad Home Corp. ................................ 1,522 43,758
Kellogg Co. ............................................... 15,881 541,939
Kerr-McGee Corp. .......................................... 1,852 70,839
KeyCorp ................................................... 17,640 564,480
Kimberly Clark Corp. ...................................... 21,000 1,144,500
King World Productions, Inc. .............................. 2,838 83,544
KLA Tencor Corp. .......................................... 3,372 146,261
Kmart Corp. ............................................... 18,937 289,973
Knight-Ridder, Inc. ....................................... 3,045 155,676
Kohl's Corp. .............................................. 6,129 376,550
Kroger Co. ................................................ 9,938 601,249
Laidlaw, Inc. ............................................. 12,756 128,357
Lehman Brothers Holdings, Inc. ............................ 4,600 202,688
Lilly (Eli) & Co. ......................................... 42,617 3,787,586
Limited, Inc. ............................................. 8,810 256,591
Lincoln National Corp. .................................... 3,899 318,987
Liz Claiborne, Inc. ....................................... 2,563 80,895
Lockheed Martin Corp. ..................................... 7,589 643,168
Loews Corp. ............................................... 4,463 438,490
Longs Drug Stores Corp. ................................... 1,499 56,213
Louisiana-Pacific Corp. ................................... 4,262 78,048
Lowe's Companies, Inc. .................................... 13,576 694,922
LSI Logic Corp. ........................................... 5,463 88,091
Lucent Technologies, Inc. ................................. 51,035 5,613,850
Mallinckrodt, Inc. ........................................ 2,840 87,508
Marriott International, Inc. Cl A.......................... 9,915 287,535
Marsh & McLennan Cos., Inc. ............................... 9,960 582,038
Masco Corp. ............................................... 13,194 379,328
Mattel, Inc. .............................................. 11,391 259,857
May Department Stores Co. ................................. 8,960 540,960
Maytag Corp. .............................................. 3,487 217,066
MBIA Inc. ................................................. 3,789 248,416
MBNA Corp. ................................................ 29,176 727,577
McDermott International, Inc. ............................. 2,343 57,843
McDonald's Corp. .......................................... 26,219 2,009,031
McGraw-Hill Cos., Inc. .................................... 3,862 393,441
MCI WorldCom, Inc. ........................................ 71,051 5,097,909
Mead Corp. ................................................ 4,039 118,393
MediaOne Group, Inc. ...................................... 23,631 1,110,657
Medtronic, Inc. ........................................... 19,003 1,410,973
Mellon Bank Corp. ......................................... 10,099 694,306
Mercantile Bancorporation.................................. 6,098 281,270
Merck & Co., Inc. ......................................... 46,157 6,816,812
Meredith Corp. ............................................ 2,049 77,606
Merrill Lynch & Co., Inc. ................................. 13,746 917,546
MGIC Investment Corp. ..................................... 4,429 176,330
Micron Technology, Inc. ................................... 8,256 417,444
Microsoft Corp. ........................................... 96,690 13,409,653
Milacron, Inc. ............................................ 1,534 29,530
Millipore Corp. ........................................... 1,700 48,344
Minnesota Mining & Mfg. Co. ............................... 15,553 1,106,207
Mirage Resorts, Inc. ...................................... 6,968 104,085
Mobil Corp. ............................................... 30,221 2,633,005
Monsanto Co. .............................................. 24,279 1,153,253
Moore Corp., Ltd. ......................................... 3,433 37,763
Morgan (J.P.) & Co., Inc. ................................. 6,775 711,798
Morgan Stanley Dean Witter Co. ............................ 22,386 1,589,406
Morton International, Inc. ................................ 4,702 115,199
Motorola, Inc. ............................................ 23,196 1,416,406
NACCO Industries, Inc. Cl A................................ 317 29,164
</TABLE>
<TABLE>
<CAPTION>
Shares Value
------ ----------
<S> <C> <C>
INDEXED ASSETS (Continued):
Common Stocks (Continued)
Nalco Chemical Co. ......................................... 2,569 $ 79,639
National City Corp. ........................................ 12,738 923,505
National Semiconductor Corp. ............................... 6,374 86,049
National Service Industries................................. 1,647 62,586
Navistar International Corp. ............................... 2,678 76,323
New Century Energies, Inc. ................................. 4,322 210,698
New York Times Co. Cl A..................................... 7,067 245,137
Newell Co. ................................................. 6,184 255,090
Newmont Mining Corp. ....................................... 6,489 117,208
Nextel Communications, Inc. Cl A............................ 11,088 261,954
Niagara Mohawk Power Corp. ................................. 7,270 117,229
Nicor, Inc. ................................................ 1,862 78,670
Nike, Inc. Cl B............................................. 11,167 452,961
Nordstrom, Inc. ............................................ 5,919 205,315
Norfolk Southern Corp. ..................................... 14,699 465,775
Northern States Power Co. .................................. 5,850 162,338
Northern Telecom, Ltd. ..................................... 25,369 1,271,631
Northern Trust Corp. ....................................... 4,328 377,889
Northrop Grumman Corp. ..................................... 2,627 192,099
Novell, Inc. ............................................... 13,647 247,352
Nucor Corp. ................................................ 3,417 147,785
Occidental Petroleum Corp. ................................. 13,701 231,204
Omnicom Group, Inc. ........................................ 6,607 383,206
Oneok, Inc. ................................................ 1,225 44,253
Oracle Corp. ............................................... 37,781 1,629,306
Oryx Energy Co. ............................................ 4,120 55,363
Owens Corning............................................... 2,095 74,242
Owens Illinois, Inc. ....................................... 5,987 183,352
Paccar, Inc. ............................................... 3,031 124,650
PacifiCorp ................................................. 11,537 242,998
Pall Corp. ................................................. 4,816 121,905
Parametric Technology Corp. ................................ 10,500 171,938
Parker Hannifin Corp. ...................................... 4,292 140,563
Paychex, Inc. .............................................. 6,333 325,754
Peco Energy Co. ............................................ 8,637 359,515
Penney (J.C.) Co., Inc. .................................... 9,741 456,609
PennzEnergy Co. ............................................ 1,851 30,194
Pennzoil-Quaker State Co. .................................. 1,851 27,302
Peoples Energy Corp. ....................................... 1,370 54,629
Peoplesoft, Inc. ........................................... 8,943 169,358
Pep Boys-Manny, Moe & Jack.................................. 2,463 38,638
PepsiCo, Inc. .............................................. 56,860 2,327,706
Perkin-Elmer Corp. ......................................... 1,906 185,954
Pfizer, Inc. ............................................... 50,293 6,308,628
PG & E Corp. ............................................... 14,805 466,358
Pharmacia & Upjohn, Inc. ................................... 19,716 1,116,419
Phelps Dodge Corp. ......................................... 2,277 115,842
Phillip Morris Cos., Inc. .................................. 94,285 5,044,248
Phillips Petroleum Co. ..................................... 9,867 420,581
Pioneer Hi-Bred Intl., Inc. ................................ 9,479 255,933
Pitney Bowes, Inc. ......................................... 10,617 701,386
Placer Dome, Inc. .......................................... 9,703 111,585
PNC Bank Corp. ............................................. 11,675 631,909
Polaroid Corp. ............................................. 1,721 32,161
Potlatch Corp. ............................................. 1,126 41,521
PP&L Resources, Inc. ....................................... 5,844 162,902
PPG Industries, Inc. ....................................... 6,884 400,993
Praxair, Inc. .............................................. 6,125 215,906
Proctor & Gamble Co. ....................................... 51,419 4,695,197
Progressive Corp. of Ohio................................... 2,814 476,621
Provident Companies, Inc. .................................. 5,251 217,917
Providian Financial Corp. .................................. 7,333 549,975
Public Svc. Enterprise Group, Inc. ......................... 9,002 360,080
Pulte Corp. ................................................ 1,655 46,030
</TABLE>
The accompanying notes are an integral part of these financial statements.
20
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (EQUITY INDEX FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Shares Value
------ ----------
<S> <C> <C>
INDEXED ASSETS (Continued):
Common Stocks (Continued)
Quaker Oats Co. ............................................ 5,377 $ 319,932
Ralston Purina Co. ......................................... 12,295 398,051
Raychem Corp. .............................................. 3,254 105,145
Raytheon Co. Cl B........................................... 13,149 700,184
Reebok International Ltd. .................................. 2,186 32,517
Regions Financial Corp. .................................... 8,571 345,518
Republic New York Corp. .................................... 4,192 190,998
Reynolds Metals Co. ........................................ 2,498 131,613
Rite-Aid Corp. ............................................. 10,006 495,922
RJR Nabisco Holdings Corp. ................................. 12,607 374,270
Rockwell Intl., Corp. ...................................... 7,409 359,800
Rohm & Haas Co. ............................................ 6,452 194,367
Rowan Cos., Inc. ........................................... 3,372 33,720
Royal Dutch Petroleum Co. .................................. 83,221 3,984,205
Rubbermaid, Inc. ........................................... 5,814 182,778
Russell Corp. .............................................. 1,410 28,641
Ryder System, Inc. ......................................... 2,884 74,984
Safeco Corp. ............................................... 5,280 226,710
Safeway, Inc. .............................................. 18,870 1,149,891
Sara Lee Corp. ............................................. 35,398 997,781
SBC Communications, Inc. ................................... 75,914 4,070,888
Schering-Plough Corp. ...................................... 56,948 3,146,377
Schlumberger, Ltd. ......................................... 21,092 972,869
Scientific-Atlanta, Inc. ................................... 3,059 69,783
Seagate Technology.......................................... 9,433 285,348
Seagram, Ltd. .............................................. 15,276 580,488
Sealed Air Corp. ........................................... 3,241 165,494
Sears Roebuck & Co. ........................................ 14,846 630,955
Sempra Energy............................................... 9,286 235,632
Service Corp. International................................. 9,935 378,151
Shared Medical Systems Corp. ............................... 1,021 50,922
Sherwin-Williams Co......................................... 6,734 197,811
Sigma-Aldrich Corp. ........................................ 3,903 114,651
Silicon Graphics, Inc. ..................................... 7,327 94,335
SLM Holding Corp. .......................................... 6,422 308,256
Snap-On, Inc. .............................................. 2,297 79,964
Sonat, Inc. ................................................ 4,271 115,584
Southern Co. ............................................... 27,066 786,606
Southwest Airlines Co. ..................................... 12,991 291,486
Springs Industries, Inc. ................................... 740 30,664
Sprint Corp. (PCS Group).................................... 16,098 372,266
Sprint Corp. (FON Group).................................... 16,709 1,405,645
St. Jude Medical, Inc. ..................................... 3,260 90,261
St. Paul Companies, Inc. ................................... 9,104 316,364
Stanley Works............................................... 3,444 95,571
Staples, Inc. .............................................. 12,079 527,701
State Street Corp. ......................................... 6,257 435,253
Summit Bancorp.............................................. 6,890 301,007
Sun America, Inc. .......................................... 8,413 682,505
Sun Microsystems, Inc. ..................................... 14,702 1,258,859
Sunoco, Inc. ............................................... 3,640 131,268
Suntrust Banks, Inc. ....................................... 8,193 626,765
Supervalu, Inc. ............................................ 4,666 130,648
Synovus Financial Corp. .................................... 10,209 248,844
Sysco Corp. ................................................ 13,102 359,486
Tandy Corp. ................................................ 3,931 161,908
Tektronix, Inc. ............................................ 1,961 58,953
Tele-Communications, Inc. (TCI Gp. "A") 20,848 1,153,155
Tellabs, Inc. .............................................. 7,506 514,630
Temple-Inland, Inc. ........................................ 2,176 129,064
Tenet Healthcare Corp. ..................................... 11,963 314,029
</TABLE>
<TABLE>
<CAPTION>
Shares Value
------ -----------
<S> <C> <C>
INDEXED ASSETS (Continued):
Common Stocks (Continued)
Tenneco, Inc. .............................................. 6,584 $ 224,268
Texaco, Inc. ............................................... 20,797 1,099,641
Texas Instruments, Inc. .................................... 15,156 1,296,785
Texas Utilities Co. ........................................ 10,847 506,419
Textron, Inc. .............................................. 6,140 466,256
Thermo Electron Corp. ...................................... 6,184 104,742
Thomas & Betts Corp. ....................................... 2,144 92,862
Time Warner, Inc. .......................................... 47,549 2,951,010
Times Mirror Co. Cl A....................................... 3,084 172,704
Timken Co. ................................................. 2,411 45,508
TJX Companies............................................... 12,395 359,455
Torchmark Corp. ............................................ 5,443 192,206
Toys R Us, Inc. ............................................ 10,142 171,146
Transamerica Corp. ......................................... 2,443 282,167
Tribune Co. ................................................ 4,602 303,732
Tricon Global Restaurants Inc. ............................. 5,911 296,289
TRW, Inc. .................................................. 4,760 267,453
Tupperware Corp. ........................................... 2,420 39,779
Tyco International Ltd. .................................... 24,892 1,877,790
U.S. Bancorp................................................ 28,123 998,367
U.S. West, Inc. ............................................ 19,467 1,258,055
Unicom Corp. ............................................... 8,418 324,619
Unilever N.V. .............................................. 24,845 2,060,582
Union Camp Corp. ........................................... 2,689 181,508
Union Carbide Corp. ........................................ 5,286 224,655
Union Pacific Corp. ........................................ 9,598 432,510
Union Pacific Resources Group, Inc. ........................ 9,744 88,305
Union Planters Corp. ....................................... 5,273 238,933
Unisys Corp. ............................................... 9,757 336,007
United Healthcare Corp. .................................... 7,217 310,782
United Technologies Corp. .................................. 8,751 951,671
Unocal Corp. ............................................... 9,368 273,429
UNUM Corp. ................................................. 5,366 313,240
US Airways Group, Inc. ..................................... 3,387 176,124
UST, Inc. .................................................. 7,204 251,240
USX-Marathon Group.......................................... 11,937 359,602
USX-U.S. Steel Group........................................ 3,370 77,510
V F Corp. .................................................. 4,722 221,344
Venator Group, Inc. ........................................ 5,237 33,713
Viacom, Inc. Cl B........................................... 13,480 997,520
W.R. Grace & Co. ........................................... 2,946 46,215
Wachovia Corp. ............................................. 7,857 686,996
Wal-Mart Stores, Inc. ...................................... 87,305 7,109,901
Walgreen Co. ............................................... 19,276 1,128,851
Warner-Lambert Co. ......................................... 31,805 2,391,338
Washington Mutual, Inc. .................................... 23,003 878,427
Waste Management, Inc. ..................................... 22,191 1,034,655
Wells Fargo & Company....................................... 62,850 2,510,072
Wendy's International, Inc. ................................ 5,095 111,135
Westvaco Corp. ............................................. 3,937 105,561
Weyerhaeuser Co. ........................................... 7,722 392,374
Whirlpool Corp.............................................. 2,932 162,360
Willamette Industries, Inc.................................. 4,323 144,821
Williams Cos., Inc.......................................... 16,454 513,159
Winn-Dixie Stores, Inc...................................... 5,765 258,704
Worthington Industries, Inc................................. 3,754 46,925
Wrigley (Wm.) Jr. Co........................................ 4,510 403,927
Xerox Corp.................................................. 12,739 1,503,202
-----------
Total Indexed Assets--Common Stocks (Cost: $261,989,198) 93.8%..... 384,971,838
-----------
</TABLE>
The accompanying notes are an integral part of these financial statements.
21
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (EQUITY INDEX FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Face
Rate Maturity Amount Value
---- -------- --------- ------------
<S> <C> <C> <C> <C>
ACTIVE PORTION:
Short-Term Debt Securities:
U.S. Government (0.3%)
U.S. Treasury Bill(a)................... 4.18% 02/18/99 $ 500,000 $ 497,183
U.S. Treasury Bill(a)................... 4.29 02/04/99 500,000 497,964
U.S. Treasury Bill(a)................... 4.35 04/01/99 150,000 148,368
------------
1,143,515
------------
Commercial Paper (5.9%)
Abbott Laboratories..................... 5.50 01/08/99 4,437,000 4,432,249
IBM Credit Corp. ....................... 5.65 01/05/99 5,190,000 5,186,736
Lucent Technologies, Inc. .............. 4.95 01/07/99 7,317,000 7,310,963
SBC Communications, Inc. ............... 5.95 01/04/99 7,236,000 7,232,410
------------
24,162,358
------------
Total Short-Term Debt Securities
(Cost: $25,305,873) 6.2%........................................ 25,305,873
------------
Total Investments
(Cost: $287,295,071) 100.0%..................................... $410,277,711
============
</TABLE>
- --------------
FUTURES CONTRACTS OUTSTANDING AS OF DECEMBER 31, 1998
<TABLE>
<CAPTION>
Underlying Face Unrealized
Expiration Date Amount at Value Gain
--------------- --------------- ----------
<S> <C> <C> <C>
Purchased
82 S&P 500 Stock Index Futures
Contracts......................... March 1999 $25,532,750 $1,215,938
=========== ==========
</TABLE>
The face value of futures purchased and outstanding as percentage of total
investment in securities: 6.2%.
- -------
(a) This security has been segregated by the Custodian to cover initial margin
requirements on open futures contracts.
The accompanying notes are an integral part of these financial statements.
22
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (BOND FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES
December 31, 1998
<TABLE>
<CAPTION>
Face
Rate Maturity Amount Value
----- -------- ------------ ------------
<S> <C> <C> <C> <C>
Long-Term Debt Securities:
U.S. Government (2.4%)
U.S. Treasury Note.................. 6.50% 08/15/05 $ 10,000,000 $ 10,990,600
------------
Agencies/Other Governments (43.2%)
Connecticut Housing Fin. Auth. ..... 7.63 05/15/21 2,500,000 2,574,443
FHLB................................ 0.00 07/14/17 25,000,000 6,062,500
FHLB................................ 0.00 07/07/22 50,000,000 8,539,000
FHLB................................ 0.00 06/26/17 50,000,000 12,015,500
FHLB................................ 0.00 07/07/17 125,000,000 30,351,250
FHLMC............................... 6.50 04/15/08 775,000 780,324
FHLMC............................... 7.75 07/15/05 73,428 73,474
FHLMC............................... 7.00 10/15/06 473,325 473,917
FHLMC............................... 6.38 11/15/06 1,100,000 1,101,716
FHLMC............................... 6.00 04/15/08 500,000 500,155
FHLMC............................... 7.00 09/15/16 1,380,361 1,382,087
FHLMC............................... 0.00 05/22/28 60,000,000 7,968,600
FHLMC............................... 0.00 08/26/22 250,000,000 39,415,000
FHLMC............................... 7.50 07/15/20 126,157 126,354
FHLMC............................... 5.00 08/15/19 1,250,000 1,236,325
FHLMC............................... 8.00 07/15/06 530,841 549,086
FHLMC............................... 7.00 12/15/14 179,657 179,319
FHLMC............................... 7.00 05/15/06 1,000,000 1,005,930
FHLMC............................... 7.50 04/01/07 214,232 214,541
FHLMC............................... 8.50 02/15/21 651,300 653,944
FHLMC............................... 8.50 08/01/02 388,949 397,972
FNMA................................ 0.00 07/13/17 200,000,000 46,406,000
FNMA................................ 5.00 04/25/21 600,000 588,558
FNMA................................ 6.25 01/25/20 850,000 855,576
FNMA................................ 7.00 12/25/18 500,000 502,030
FNMA................................ 6.00 06/25/19 900,000 898,587
FNMA................................ 7.00 10/25/05 1,236,162 1,243,109
FNMA................................ 8.15 08/25/05 27,775 27,670
FNMA................................ 9.30 05/25/19 60,778 60,930
FNMA................................ 7.00 09/25/05 419,064 418,540
New York City....................... 10.00 08/01/05 1,000,000 2,255,093
New York City....................... 9.50 06/01/09 5,000,000 5,629,684
Pulaski County Arkansas PFB......... 7.50 01/01/07 50,679 56,788
Republic of Iceland................. 6.13 02/01/04 5,000,000 5,184,850
Suffolk County, New York............ 5.88 11/01/05 4,000,000 4,119,200
Suffolk County, New York............ 5.80 11/01/04 4,000,000 4,113,360
Tennessee Valley Authority.......... 7.85 06/15/44 10,000,000 10,722,300
------------
198,683,712
------------
Basic Materials (6.7%)
Fletcher Challenge Ltd. ............ 9.00 09/15/99 2,000,000 2,028,060
Georgia-Pacific Corp. .............. 8.63 04/30/25 7,000,000 7,376,740
Inco Ltd............................ 9.60 06/15/22 7,500,000 8,369,250
</TABLE>
The accompanying notes are an integral part of these financial statements.
23
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (BOND FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Face
Rate Maturity Amount Value
----- -------- ------------ ------------
<S> <C> <C> <C> <C>
Long-Term Debt Securities
(Continued):
Basic Materials (Continued)
Lyondell/Arco Petrochemical........ 10.25% 11/01/10 $ 7,500,000 $ 7,919,925
Praxair, Inc. ..................... 6.90 11/01/06 5,000,000 5,122,300
------------
30,816,275
------------
Consumer, Cyclical (8.8%)
Centex Corp. ...................... 8.75 03/01/07 2,000,000 2,143,820
Centex Corp. ...................... 7.38 06/01/05 5,000,000 5,062,450
Fruit of the Loom, Inc. ........... 7.88 10/15/99 1,000,000 1,002,280
Fruit of the Loom, Inc............. 7.00 03/15/11 2,500,000 2,344,150
Fruit of the Loom, Inc............. 7.38 11/15/23 1,250,000 1,112,038
Gannett Co., Inc................... 5.85 05/01/00 3,500,000 3,526,740
Neiman Marcus Group, Inc........... 7.13 06/01/28 2,500,000 2,335,475
Polaroid Corp...................... 7.25 01/15/07 3,750,000 3,501,825
Shopko Stores, Inc................. 9.00 11/15/04 5,000,000 5,671,350
Tommy Hilfiger USA, Inc. .......... 6.50 06/01/03 5,000,000 4,927,850
V. F Corp.......................... 9.25 05/01/22 1,000,000 1,130,040
Valassis Communication, Inc........ 9.55 12/01/03 5,000,000 5,736,250
Venator Group, Inc. ............... 7.00 10/15/02 2,000,000 1,959,600
------------
40,453,868
------------
Consumer, Non-Cyclical (6.9%)
Bausch & Lomb, Inc. ............... 6.15 08/01/01 5,000,000 4,935,000
Bausch & Lomb, Inc. ............... 6.38 08/01/03 5,250,000 5,156,603
Bausch & Lomb, Inc. ............... 6.75 12/15/04 5,000,000 4,945,350
Panamerican Beverages, Inc......... 7.25 07/01/09 5,000,000 4,581,470
Ralston Purina Co. ................ 8.63 02/15/22 7,500,000 9,094,050
Rhone-Poulenc S. A................. 7.75 01/15/02 3,000,000 3,121,680
------------
31,834,153
------------
Energy (3.4%)
Southern Union Co. ................ 7.60 02/01/24 10,000,000 10,469,900
Tosco Corp......................... 8.25 05/15/03 5,000,000 5,398,850
------------
15,868,750
------------
Financial (14.8%)
Bear Stearns Cos., Inc............. 6.63 10/01/04 2,000,000 2,054,920
Berkley (W.R.) Corp. .............. 8.70 01/01/22 5,000,000 5,969,600
Chase Manhattan Corp............... 6.88 12/12/12 5,000,000 5,216,100
Citicorp Mortgage Sec., Inc. ...... 6.25 03/25/24 358,687 357,790
Executive Risk, Inc. .............. 7.13 12/15/07 5,000,000 5,409,550
Fairfax Financial Holdings LTD..... 8.25 10/01/15 2,500,000 2,574,750
First American Financial........... 7.55 04/01/28 1,500,000 1,546,275
Harleysville Group Inc............. 6.75 11/15/03 2,500,000 2,568,975
Lehman Brothers Holdings, Inc. ... 0.00 07/28/28 10,000,000 1,154,900
Morgan (J.P.) & Co., Inc........... 0.00 04/15/27 32,500,000 4,132,700
Nationwide Health Properties, Inc.. 7.90 11/20/06 5,000,000 5,036,350
Progressive Corp. of Ohio.......... 10.00 12/15/00 1,500,000 1,617,465
Prudential Home Mtg. Secs Co....... 6.85 10/25/23 60,866 60,618
</TABLE>
The accompanying notes are an integral part of these financial statements.
24
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (BOND FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Face
Rate Maturity Amount Value
---- -------- ------------ ------------
<S> <C> <C> <C> <C>
Long-Term Debt Securities
(Continued):
Financial (Continued)
Rank Group Financial............ 6.75% 11/30/04 $ 5,000,000 $ 4,877,850
Rodamco NV...................... 7.30 05/15/05 5,000,000 5,318,100
Rodamco NV...................... 7.75 05/15/15 5,000,000 5,400,800
Sun America, Inc................ 9.95 02/01/12 5,000,000 6,882,750
Triad Guaranty, Inc............. 7.90 01/15/28 3,250,000 3,463,158
Vesta Insurance Group, Inc...... 8.75 07/15/25 5,000,000 4,404,250
------------
68,046,901
------------
Industrial (7.6%)
Clark Equipment Co.............. 8.35 05/15/23 5,000,000 6,091,750
Geon Co......................... 7.50 12/15/15 3,750,000 3,983,625
Thermo Electron Corp............ 4.25 01/01/03 7,500,000 6,675,000
Thermo Instrument Systems, Inc.. 4.00 01/15/05 10,000,000 8,162,500
Williams Cos., Inc.............. 6.50 11/15/02 10,000,000 10,095,300
------------
35,008,175
------------
Utilities (4.9%)
New Orleans Public Service...... 8.00 03/01/06 4,000,000 4,172,800
Pacific Gas & Electric Co....... 8.75 01/01/01 2,000,000 2,135,060
Philadelphia Electric Co........ 7.13 08/15/23 5,000,000 5,213,800
UtiliCorp United, Inc........... 8.00 03/01/23 10,000,000 10,965,900
------------
22,487,560
------------
Total Long-Term Debt Securities (Cost: $440,233,067) 98.7%.. 454,189,994
============
Short-Term Debt Securities:
Commercial Paper (1.3%)
Koch Industries................. 5.20 01/04/99 3,071,000 3,069,669
PetroFina Delaware, Inc......... 5.53 01/05/99 3,000,000 2,998,152
------------
Total Short-Term Debt Securities (Cost: $6,067,821) 1.3%.... 6,067,821
------------
Total Investments (Cost: $446,300,888) 100.0%............... $460,257,815
============
</TABLE>
- -------
Abbreviations: FHLB = Federal Home Loan Bank
FHLMC = Federal Home Loan Mortgage Corporation
FNMA = Federal National Mortgage Association
PFB = Prison Finance Board
The accompanying notes are an integral part of these financial statements.
25
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (SHORT-TERM BOND FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES
December 31, 1998
<TABLE>
<CAPTION>
Face
Rate Maturity Amount Value
---- -------- ----------- -----------
<S> <C> <C> <C> <C>
Intermediate-Term Debt:
U.S. Government (16.1%)
U.S. Treasury Note...................... 6.13% 07/31/00 $ 1,250,000 $ 1,277,538
U.S. Treasury Note...................... 5.38 02/15/01 2,200,000 2,233,682
-----------
3,511,220
-----------
Agencies/Other (71.4%)
FHLB.................................... 6.89 06/25/02 82,457 82,685
FHLMC................................... 7.00 04/15/01 250,000 253,202
FHLMC................................... 8.02 04/01/02 223,947 228,041
FHLMC................................... 8.02 05/01/02 363,297 367,580
FHLMC................................... 8.50 08/01/02 431,084 441,085
FHLMC................................... 7.75 12/01/02 226,740 229,796
FHLMC................................... 5.00 07/15/05 80,073 79,823
FHLMC................................... 7.25 12/15/05 38,159 38,135
FHLMC................................... 7.00 05/15/06 500,000 502,965
FHLMC................................... 6.50 09/15/06 500,000 501,875
FHLMC................................... 7.00 10/15/06 750,000 759,607
FHLMC................................... 7.50 09/01/07 459,915 468,602
FHLMC................................... 7.00 03/15/08 441,050 443,114
FHLMC................................... 6.50 04/15/08 725,000 729,981
FHLMC................................... 6.00 04/15/08 500,000 500,155
FHLMC................................... 6.00 09/15/08 198,367 198,119
FHLMC................................... 8.25 10/01/09 356,410 369,701
FHLMC................................... 6.00 12/15/17 309,340 309,241
FHLMC................................... 5.00 08/15/19 600,000 593,436
FHLMC................................... 7.00 11/15/20 6,401 6,387
FHLMC................................... 7.95 12/15/20 83,753 84,381
FHLMC................................... 6.50 05/15/21 157,655 158,838
FHLMC................................... 6.00 05/15/22 159,978 160,127
FNMA.................................... 0.00 12/01/01 190,337 179,318
FNMA.................................... 8.25 09/25/05 133,476 134,601
FNMA.................................... 7.00 09/25/05 293,345 292,978
FNMA.................................... 8.25 10/01/05 107,090 108,931
FNMA.................................... 7.00 10/25/05 529,784 532,761
FNMA.................................... 7.00 11/25/05 400,000 402,872
FNMA.................................... 8.00 12/25/05 73,330 73,238
FNMA.................................... 7.25 12/25/05 67,537 67,326
FNMA.................................... 7.50 02/25/07 250,000 256,250
FNMA.................................... 6.50 12/18/17 650,000 657,715
FNMA.................................... 6.30 09/25/18 305,000 307,382
FNMA.................................... 6.50 12/25/18 523,171 521,533
FNMA.................................... 7.00 12/25/18 500,000 502,030
FNMA.................................... 6.70 01/18/19 600,000 600,372
FNMA.................................... 5.50 04/25/19 396,644 395,157
FNMA.................................... 6.00 06/25/19 800,000 798,744
FNMA.................................... 6.25 01/25/20 650,000 654,264
FNMA.................................... 5.00 04/25/20 172,316 171,454
FNMA.................................... 6.00 12/25/20 500,000 499,215
</TABLE>
The accompanying notes are an integral part of these financial statements.
26
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (SHORT-TERM BOND FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Face
Rate Maturity Amount Value
---- -------- ---------- -----------
<S> <C> <C> <C> <C>
Intermediate-Term Debt (Continued):
Agencies/Other (Continued)
FNMA..................................... 5.00% 04/25/21 $ 620,000 $ 608,177
FNMA..................................... 6.10 08/25/21 178,841 178,618
GNMA..................................... 9.50 12/20/03 59,743 62,168
Pulaski County Arkansas PFB.............. 7.50 11/01/07 31,533 35,335
-----------
15,547,315
-----------
Consumer, Cyclical (2.3%)
Venator Group, Inc....................... 7.00 06/01/00 500,000 498,850
-----------
Financial (3.9%)
Citicorp Mortgage Sec. Inc............... 6.25 03/25/24 145,583 145,219
FBC Mortgage Secur. Trust................ 8.30 08/20/09 83,105 83,728
GE Capital Mtge. Services, Inc. ......... 6.00 09/25/08 122,762 122,186
Norwest Asset Securities Corp............ 7.25 11/25/26 14,595 14,541
Prudential Home Mtge. Services Co. ...... 6.75 08/25/08 477,824 477,074
-----------
842,748
-----------
Total Intermediate-Term Debt Securities
(Cost: $20,364,333) 93.7%......................................... 20,400,133
-----------
Short-Term Debt Securities:
Commercial Paper (6.3%)
Duke Power Co. .......................... 5.25 01/04/99 534,000 533,767
OGE Energy Corp. ........................ 5.95 01/06/99 447,000 446,630
Toyota Motor Credit Corp. ............... 5.64 01/06/99 380,000 379,702
-----------
Total Short-Term Debt Securities
(Cost: $1,360,099) 6.3%........................................... 1,360,099
-----------
Total Investments
(Cost: $21,724,432) 100.0%........................................ $21,760,232
===========
</TABLE>
- -------
Abbreviations: FHLB = Federal Home Loan Bank
FHLMC= Federal Home Loan Mortgage Corporation
FNMA= Federal National Mortgage Association
GNMA= Government National Mortgage Association
PFB= Prison Finance Board
The accompanying notes are an integral part of these financial statements.
27
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (MID-TERM BOND FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES
December 31, 1998
<TABLE>
<CAPTION>
Face
Rate Maturity Amount Value
---- -------- ---------- -----------
<S> <C> <C> <C> <C>
Intermediate-Term Debt:
U.S. Government (6.9%)
U.S. Treasury Note...... 5.88% 02/15/04 $1,000,000 $ 1,055,000
-----------
Agencies/Other
Governments (23.1%)
FHLMC................... 8.00 04/15/03 375,918 386,605
FHLMC................... 8.00 07/15/06 265,420 274,543
FHLMC................... 6.38 11/15/06 590,000 590,920
FNMA.................... 7.00 11/25/04 96,629 97,867
FNMA.................... 6.50 11/25/05 378,318 383,399
FNMA.................... 7.00 04/25/07 600,000 611,058
FNMA.................... 7.00 03/18/18 500,000 501,250
FNMA.................... 6.50 12/25/18 294,283 293,362
New York City Taxable... 9.50 06/01/09 350,000 394,078
-----------
3,533,082
-----------
Consumer, Cyclical (8.1%)
Fruit of the Loom, Inc.. 7.88 10/15/99 250,000 250,570
Tommy Hilfiger USA,
Inc.................... 6.50 06/01/03 500,000 492,785
Venator Group, Inc...... 7.00 10/15/02 500,000 489,900
-----------
1,233,255
-----------
Consumer, Non-Cyclical
(3.2%)
Bausch & Lomb, Inc. .... 6.38 08/01/03 250,000 245,552
Bausch & Lomb, Inc. .... 6.75 12/15/04 250,000 247,267
-----------
492,819
-----------
Financial (15.0%)
Bear Stearns Cos.,
Inc. .................. 9.38 06/01/01 250,000 269,760
Bear Stearns Cos.,
Inc. .................. 6.63 10/01/04 500,000 513,730
Harleysville Group Inc.. 6.75 11/15/03 250,000 256,898
Nationwide Health
Properties, Inc. ...... 7.90 11/20/06 250,000 251,818
Rank Group Financial.... 6.75 11/30/04 500,000 487,785
Salomon Smith Barney
Hldgs. Inc. ........... 6.50 10/15/02 500,000 510,930
-----------
2,290,921
-----------
Industrial (11.3%)
Airborne Freight Corp... 8.88 12/15/02 250,000 271,393
Crown Cork & Seal,
Inc. .................. 6.75 04/15/03 500,000 503,920
Thermo Electron Corp. .. 4.25 01/01/03 500,000 445,000
Williams Cos., Inc. .... 6.50 11/15/02 500,000 504,765
-----------
1,725,078
-----------
Utilities (6.7%)
Baltimore Gas & Electric
Co. ................... 6.13 07/01/03 250,000 256,968
Commonwealth Edison
Co. ................... 7.50 01/01/01 500,000 502,020
Public Svc. Electric &
Gas Co. ............... 7.88 11/01/01 250,000 266,583
-----------
1,025,571
-----------
Total Intermediate-Term Debt Securities (Cost:
$11,232,676) 74.3%............................... 11,355,726
-----------
</TABLE>
The accompanying notes are an integral part of these financial statements.
28
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (MID-TERM BOND FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Face
Rate Maturity Amount Value
---- -------- ---------- -----------
<S> <C> <C> <C> <C>
Short-Term Debt Securities:
Commercial Paper (25.7%)
Albertson's, Inc......................... 5.25% 01/12/99 $ 362,000 $ 361,417
Bellsouth Telecommunications Corp........ 5.65 01/05/99 315,000 314,802
Carolina Power & Light Co. .............. 5.50 01/25/99 322,000 320,819
Duke Power Co............................ 5.25 01/04/99 408,000 407,822
Ford Motor Credit Co. ................... 5.78 01/06/99 300,000 299,759
General Electric Capital Corp............ 5.50 01/28/99 490,000 487,978
IBM Credit Corp. ........................ 5.30 01/05/99 250,000 249,852
Merrill Lynch & Co., Inc................. 5.35 01/13/99 432,000 431,227
PetroFina Delaware, Inc. ................ 5.35 01/06/99 360,000 359,732
Proctor & Gamble Co. .................... 5.25 01/21/99 295,000 294,137
Toyota Credit de Puerto Rico Corp. ...... 5.31 01/06/99 395,000 394,706
-----------
Total Short-Term Debt Securities (Cost: $3,922,251) 25.7%.......... 3,922,251
-----------
Total Investments (Cost: $15,154,927) 100.0%....................... $15,277,977
===========
</TABLE>
- -------
Abbreviations: FHLMC = Federal Home Loan Mortgage Corporation
FNMA = Federal National Mortgage Association
The accompanying notes are an integral part of these financial statements.
29
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (COMPOSITE FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES
December 31, 1998
<TABLE>
<CAPTION>
Shares Value
------ ------------
<S> <C> <C>
COMMON STOCKS:
Basic Materials (1.4%)
Du Pont (E.I.) de Nemours & Co............................. 39,500 $ 2,095,968
Phelps Dodge Corp. ........................................ 10,000 508,750
Union Carbide Corp......................................... 17,200 731,000
Weyerhaeuser Co. .......................................... 15,000 762,188
Willamette Industries, Inc. ............................... 18,700 626,450
------------
4,724,356
------------
Consumer, Cyclical (7.6%)
Armstrong World Inds., Inc. ............................... 12,600 759,938
Corning Inc. .............................................. 24,500 1,102,500
Costco Co.*................................................ 30,000 2,165,625
Dayton-Hudson Corp. ....................................... 19,000 1,030,750
Disney (Walt) Co. ......................................... 32,400 972,000
Eastman Kodak Co. ......................................... 16,800 1,209,600
Federated Department Stores*............................... 28,300 1,232,819
Gap, Inc. ................................................. 19,050 1,071,563
General Electric Co. ...................................... 48,300 4,929,619
General Motors Corp. ...................................... 22,500 1,610,156
Home Depot, Inc. .......................................... 25,900 1,584,756
May Department Stores Co. ................................. 20,700 1,249,763
Rite-Aid Corp. ............................................ 37,100 1,838,769
Tricon Global Restaurants, Inc.*........................... 33,600 1,684,200
Wal-Mart Stores, Inc. ..................................... 34,500 2,809,594
------------
25,251,652
------------
Consumer, Non-Cyclical (10.4%)
American Home Products Corp. .............................. 21,500 1,210,719
American Stores Co. ....................................... 50,100 1,850,568
Anheuser-Busch Cos., Inc. ................................. 35,000 2,296,875
Bristol-Myers Squibb Co. .................................. 15,100 2,020,569
Coca-Cola Co. ............................................. 36,800 2,461,000
Columbia/HCA Healthcare Corp. ............................. 40,000 990,000
Great Atlantic & Pac. Tea, Inc. ........................... 26,500 785,063
Johnson & Johnson.......................................... 20,100 1,685,888
Kimberly Clark Corp. ...................................... 20,000 1,090,000
Lilly (Eli) & Co. ......................................... 16,900 1,501,988
Medtronic, Inc. ........................................... 10,000 742,500
Merck & Co., Inc. ......................................... 18,300 2,702,681
PepsiCo, Inc. ............................................. 66,600 2,726,437
Pfizer, Inc. .............................................. 19,300 2,420,943
Pharmacia & Upjohn, Inc. .................................. 34,500 1,953,563
Proctor & Gamble Co. ...................................... 20,100 1,835,381
Quaker Oats Co. ........................................... 18,100 1,076,950
Sara Lee Corp. ............................................ 76,000 2,142,250
Schering-Plough Corp. ..................................... 23,400 1,292,850
Warner-Lambert Co. ........................................ 26,800 2,015,025
------------
34,801,250
------------
Energy (2.6%)
Exxon Corp. ............................................... 36,700 2,683,688
Mobil Corp. ............................................... 22,000 1,916,750
Phillips Petroleum Co. .................................... 26,600 1,133,825
</TABLE>
- -------
* Non-income producing security.
<TABLE>
<CAPTION>
Shares Value
------ ------------
<S> <C> <C>
COMMON STOCKS (Continued):
Energy (Continued)
Royal Dutch Petroleum Co. ................................. 32,200 $ 1,541,575
Sempra Energy.............................................. 24,600 624,225
Texaco, Inc. .............................................. 16,800 888,300
------------
8,788,363
------------
Financial (6.8%)
Aetna, Inc. ............................................... 18,000 1,415,250
American General Corp...................................... 30,300 2,363,400
American Int'l. Group, Inc. ............................... 16,000 1,546,000
Banc One Corp.............................................. 16,700 852,744
BankAmerica Corp........................................... 25,900 1,557,237
Chase Manhattan Corp....................................... 47,800 3,253,387
CIGNA Corp................................................. 33,600 2,597,700
Citigroup Inc.............................................. 35,500 1,757,250
Household International Corp. ............................. 25,300 1,002,513
KeyCorp.................................................... 37,000 1,184,000
National City Corp. ....................................... 14,400 1,044,000
St. Paul Companies, Inc.................................... 48,310 1,678,773
UNUM Corp. ................................................ 21,700 1,266,737
Wells Fargo & Company...................................... 30,800 1,230,075
------------
22,749,066
------------
Industrial (1.3%)
Burlington Northern Santa Fe............................... 39,300 1,326,375
Emerson Electric Co. ...................................... 18,000 1,089,000
Parker Hannifin Corp. ..................................... 24,200 792,550
Tyco International Ltd. ................................... 15,000 1,131,563
------------
4,339,488
------------
Technology (9.8%)
3Com Corp.*................................................ 45,100 2,021,044
AT&T Corp.................................................. 27,400 2,061,850
Cisco Systems, Inc.*....................................... 24,500 2,273,906
Dell Computer Corp.*....................................... 21,000 1,536,938
Hewlett-Packard Co. ....................................... 12,200 833,413
Intel Corp. ............................................... 26,400 3,130,050
Intl. Business Machines Corp. ............................. 14,800 2,734,300
Johnson Controls, Inc...................................... 15,100 890,900
Lucent Technologies, Inc................................... 20,600 2,266,000
Microsoft Corp.*........................................... 38,600 5,353,333
Minnesota Mining & Mfg. Co................................. 18,000 1,280,250
Northern Telecom, Ltd...................................... 31,300 1,568,913
Oracle Corp.*.............................................. 49,900 2,151,937
Unisys Corp. *............................................. 77,700 2,675,793
United Technologies Corp................................... 7,200 783,000
Xerox Corp. ............................................... 11,600 1,368,800
------------
32,930,427
------------
Utilities (4.0%)
AES Corp.*................................................. 7,800 369,525
Bell Atlantic Corp. ....................................... 23,200 1,229,600
BellSouth Corp. ........................................... 29,200 1,456,350
CINergy Corp. ............................................. 10,000 343,750
</TABLE>
The accompanying notes are an integral part of these financial statements.
30
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (COMPOSITE FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Shares Value
------ ------------
<S> <C> <C>
COMMON STOCKS (Continued):
Utilities (Continued)
DTE Energy Co. ............................................ 14,200 $ 608,825
Duke Energy Corp. ......................................... 10,200 653,438
Edison International....................................... 22,400 624,400
FPL Group, Inc. ........................................... 9,700 597,763
MCI WorldCom Inc.*......................................... 27,300 1,958,775
Nextel Communications, Inc.*............................... 52,600 1,242,675
SBC Communications, Inc. .................................. 27,100 1,453,238
Southern Co. .............................................. 21,100 613,219
Sprint Corp. (FON Group)................................... 22,900 1,926,463
Sprint Corp. (PCS Group)*.................................. 11,450 264,781
------------
13,342,802
------------
Total Common Stocks
(Cost: $118,572,952) 43.9%....................................... 146,927,404
------------
</TABLE>
- -------
* Non-income producing security.
The accompanying notes are an integral part of these financial statements.
31
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (COMPOSITE FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Face
Rate Maturity Amount Value
----- -------- ----------- ------------
<S> <C> <C> <C> <C>
Long-Term Debt Securities:
U.S. Government (0.5%)
U.S. Treasury Bond................... 6.75% 08/15/26 $ 500,000 $ 598,985
U.S. Treasury Bond................... 6.38 08/15/27 1,000,000 1,149,370
------------
1,748,355
------------
Agencies/Other Governments (16.5%)
Connecticut Housing Fin. Auth........ 7.63 05/15/21 1,000,000 1,029,777
FHLB................................. 0.00 07/07/17 25,000,000 6,070,250
FHLB................................. 0.00 07/14/17 25,000,000 6,062,500
FHLMC................................ 7.00 10/15/03 234,422 234,787
FHLMC................................ 8.00 07/15/06 265,420 274,542
FHLMC................................ 7.00 04/15/17 536,963 537,800
FHLMC................................ 6.00 07/15/18 500,000 499,685
FHLMC................................ 0.00 05/22/28 20,000,000 2,656,200
FNMA................................. 6.80 06/25/05 687,448 686,589
FNMA................................. 7.00 11/25/05 1,200,000 1,208,616
FNMA................................. 6.65 01/25/17 465,372 467,261
FNMA................................. 0.00 07/13/17 100,000,00 23,203,000
FNMA................................. 6.50 07/25/20 500,000 500,465
New York City Taxable................ 10.00 08/01/05 500,000 563,689
New York City Taxable................ 9.50 06/01/09 2,000,000 2,251,874
Republic of Iceland.................. 6.13 02/01/04 2,500,000 2,592,425
Suffolk County, New York............. 5.80 11/01/04 250,000 257,085
Suffolk County, New York............. 5.88 11/01/05 750,000 772,350
Tennessee Valley Authority........... 7.85 06/15/44 5,000,000 5,361,150
------------
55,230,045
------------
Basic Materials (3.0%)
Georgia-Pacific Corp................. 8.63 04/30/25 2,000,000 2,107,640
Inco Ltd............................. 9.60 06/15/22 2,500,000 2,789,750
Lyondell/Arco Petrochemical.......... 10.25 11/01/10 2,500,000 2,639,975
Praxair, Inc......................... 6.90 11/01/06 2,500,000 2,561,150
------------
10,098,515
------------
Consumer, Cyclical (4.6%)
Centex Corp.......................... 7.38 06/01/05 2,000,000 2,024,980
Fruit of the Loom, Inc............... 7.88 10/15/99 500,000 501,140
Fruit of the Loom, Inc............... 7.00 03/15/11 1,000,000 937,660
Fruit of the Loom, Inc............... 7.38 11/15/23 500,000 444,815
Gannett Co., Inc..................... 5.85 05/01/00 1,000,000 1,007,640
Neiman Marcus Group Inc.............. 7.13 06/01/28 2,500,000 2,335,475
Polaroid Corp........................ 7.25 01/15/07 1,000,000 933,820
Shopko Stores, Inc................... 9.00 11/15/04 1,000,000 1,134,270
Tommy Hilfiger USA, Inc.............. 6.50 06/01/03 2,850,000 2,808,874
Valassis Communication, Inc.......... 9.55 12/01/03 2,000,000 2,294,500
Venator Group, Inc................... 7.00 10/15/02 1,000,000 979,800
------------
15,402,974
------------
</TABLE>
The accompanying notes are an integral part of these financial statements.
32
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (COMPOSITE FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Face
Rate Maturity Amount Value
----- -------- ----------- ------------
<S> <C> <C> <C> <C>
Long-Term Debt Securities
(Continued):
Consumer, Non-Cyclical (2.7%)
Bausch & Lomb, Inc.............. 6.38% 08/01/03 $ 2,500,000 $ 2,455,525
Bausch & Lomb, Inc.............. 6.75 12/15/04 2,500,000 2,472,675
Ralston Purina Co............... 8.63 02/15/22 2,500,000 3,031,350
Rhone-Poulenc S.A. ............. 7.75 01/15/02 1,000,000 1,040,560
------------
9,000,110
------------
Energy (2.4%)
Southern Union Co............... 7.60 02/01/24 5,000,000 5,234,950
Tosco Corp...................... 8.25 05/15/03 2,500,000 2,699,425
------------
7,934,375
------------
Financial (7.7%)
Berkley (W.R.) Corp............. 8.70 01/01/22 1,500,000 1,790,880
Chase Manhattan Corp............ 6.88 12/12/12 2,500,000 2,608,050
Executive Risk, Inc............. 7.13 12/15/07 1,000,000 1,081,910
Fairfax Financial Holdings LTD.. 8.25 10/01/15 500,000 514,950
First American Financial........ 7.55 04/01/28 2,250,000 2,319,412
Harleysville Group, Inc......... 6.75 11/15/03 1,000,000 1,027,590
Lehman Brothers Holdings, Inc. . 0.00 07/28/28 3,250,000 375,342
Morgan (J.P.) & Co., Inc........ 0.00 04/15/27 10,000,000 1,271,600
Nationwide Health Properties.... 7.90 11/20/06 5,000,000 5,036,350
Progressive Corp. of Ohio....... 10.00 12/15/00 500,000 539,155
Prudential Home Mtg Secs Co..... 6.75 08/25/08 860,083 858,732
Rodamco NV...................... 7.75 05/15/15 2,000,000 2,160,320
Rodamco NV...................... 7.30 05/15/05 2,500,000 2,659,050
Sun America, Inc................ 9.95 02/01/12 2,000,000 2,753,100
Vesta Insurance Group, Inc...... 8.75 07/15/25 1,000,000 880,850
------------
25,877,291
------------
Industrial (1.8%)
Clark Equipment Co.............. 8.35 05/15/23 1,500,000 1,827,525
Geon Co......................... 7.50 12/15/15 1,000,000 1,062,300
Thermo Electron Corp............ 4.25 01/01/03 2,500,000 2,225,000
Williams Cos., Inc.............. 6.50 11/15/02 1,000,000 1,009,530
------------
6,124,355
------------
Utilities (2.3%)
Central Telephone Co............ 9.28 11/27/00 1,000,000 1,072,130
New Orleans Public Service...... 8.00 03/01/06 1,000,000 1,043,200
PG & E Corp..................... 8.75 01/01/01 1,000,000 1,067,530
Philadelphia Electric Co........ 7.13 08/15/23 1,000,000 1,042,760
UtiliCorp United, Inc........... 8.00 03/01/23 3,000,000 3,289,776
------------
7,515,396
------------
Total Long-Term Debt Securities (Cost: $134,793,785) 41.5%.. 138,931,416
------------
</TABLE>
The accompanying notes are an integral part of these financial statements.
33
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (COMPOSITE FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Face
Rate Maturity Amount Value
---- -------- ----------- ------------
<S> <C> <C> <C> <C>
Short-Term Debt Securities:
Commercial Paper: (14.6%)
Abbott Laboratories................... 5.50% 01/08/99 $ 7,000,000 $ 6,992,505
Consolidated Natural Gas Co........... 5.05 01/22/99 6,225,000 6,206,554
Ford Motor Credit Co. Puerto Rico,
Inc.................................. 5.84 01/04/99 6,822,000 6,818,679
General Electric Capital Corp......... 5.33 01/04/99 4,565,000 4,562,964
Lucent Technology, Inc................ 4.95 01/07/99 8,308,000 8,301,144
Merrill Lynch & Co., Inc.............. 5.35 01/06/99 7,840,000 7,834,134
PetroFina Delaware, Inc............... 5.53 01/05/99 8,000,000 7,995,073
------------
Total Short-Term Debt Securities (Cost: $48,711,053) 14.6%....... 48,711,053
------------
Total Investments (Cost: $302,077,790) 100.0%.................... $334,569,873
============
</TABLE>
- -------
Abbreviations: FHLB = Federal Home Loan Bank
FHLMC = Federal Home Loan Mortgage Corporation
FNMA = Federal National Mortgage Association
The accompanying notes are an integral part of these financial statements.
34
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (AGGRESSIVE EQUITY FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES
December 31, 1998
<TABLE>
<CAPTION>
Shares Value
------- ------------
<S> <C> <C>
COMMON STOCKS:
Basic Materials (2.3%)
Barrick Gold Corp. ....................................... 74,700 $ 1,456,650
Homestake Mining Co....................................... 120,100 1,103,419
Newmont Mining Corp. ..................................... 53,900 973,569
Placer Dome, Inc. ........................................ 107,800 1,239,700
------------
4,773,338
------------
Consumer, Cyclical (15.1%)
Atlantic Coast Airlines, Inc.*............................ 70,000 1,750,000
Consolidated Graphics, Inc.*.............................. 30,000 2,026,875
Consolidated Stores Corp.*................................ 100,000 2,018,750
Dollar Tree Stores, Inc. *................................ 55,000 2,402,813
Linens'n Things, Inc.*.................................... 85,000 3,368,125
Men's Wearhouse, Inc.*.................................... 100,000 3,175,000
Meredith Corp............................................. 60,000 2,272,500
P.F. Changs China Bistro, Inc.*........................... 1,000 22,750
Pacific Sunwear of California, Inc.*...................... 75,000 1,228,125
Saks, Inc.*............................................... 85,000 2,682,812
Skywest, Inc. ............................................ 63,000 2,059,313
Tiffany & Co. ............................................ 75,000 3,890,625
Viacom, Inc. Cl B*........................................ 55,000 4,070,000
------------
30,967,688
------------
Consumer, Non-Cyclical (14.4%)
Agouron Pharmaceutical, Inc.*............................. 100,000 5,875,000
Anesta Corp.*............................................. 100,000 2,662,500
Dura Pharmaceuticals, Inc.*............................... 195,000 2,961,562
Metzler Group, Inc.*...................................... 65,000 3,164,687
Omnicare, Inc. ........................................... 60,000 2,085,000
Orthodontic Centers of America, Inc.*..................... 235,000 4,567,812
Pathogenesis Corp.*....................................... 35,000 2,030,000
SangStat Medical Corp.*................................... 115,000 2,443,750
Total Renal Care Holdings, Inc.*.......................... 60,000 1,773,750
Wet Seal, Inc. Cl A*...................................... 70,000 2,113,125
------------
29,677,186
------------
Energy (3.5%)
Barrett Resources Corp.*.................................. 90,000 2,160,000
Devon Energy Corp. ....................................... 70,200 2,154,263
OGE Energy Corp. ......................................... 100,000 2,900,000
------------
7,214,263
------------
Financial (13.7%)
Arden Realty Group, Inc. ................................. 105,500 2,446,281
Compass Bancshares, Inc. ................................. 52,000 1,979,250
Equity Residential Prop. Tr............................... 55,400 2,240,238
First Midwest Bancorp, Inc................................ 15,500 589,968
Glenborough Realty Trust, Inc. ........................... 136,000 2,771,000
Heller Financial, Inc. Cl A............................... 60,000 1,762,500
Horace Mann Educators Corp................................ 64,000 1,824,000
</TABLE>
- -------
* Non-income producing security.
<TABLE>
<CAPTION>
Shares Value
------- ------------
<S> <C> <C>
COMMON STOCKS (Continued):
Financial (Continued)
North Fork Bancorporation, Inc............................ 108,000 $ 2,585,250
Peoples Heritage Financial Group, Inc. ................... 96,000 1,920,000
SL Green Realty Corp. .................................... 113,200 2,447,950
Summit Bancorp............................................ 48,000 2,097,000
Telebanc Financial Corp.*................................. 100,000 3,400,000
UST Corp.................................................. 88,000 2,073,500
------------
28,136,937
------------
Industrial (17.7%)
AFC Cable Systems, Inc.*.................................. 85,000 2,858,125
Applied Micro Circuits Corp.*............................. 105,000 3,566,719
Applied Power, Inc. Cl A.................................. 59,500 2,246,125
CSG Systems International, Inc.*.......................... 47,500 3,752,500
Dayton Superior Corp.*.................................... 116,500 2,242,625
DuPont Photomasks, Inc.*.................................. 20,000 848,750
ETEC Systems, Inc.*....................................... 48,500 1,940,000
Heico Corp. .............................................. 29,000 915,313
PRI Automation, Inc.*..................................... 63,000 1,638,000
Sea Containers, Ltd. Cl A................................. 65,000 1,945,938
Semtech Corp.*............................................ 65,000 2,331,875
Tetra Tech, Inc.*......................................... 246,000 6,657,375
Vallen Corp.*............................................. 122,000 2,440,000
Verisign, Inc.*........................................... 50,000 2,956,250
------------
36,339,595
------------
Technology (29.4%)
Altera Corp.*............................................. 65,000 3,956,875
Brightpoint, Inc.*........................................ 140,000 1,925,000
Centocor, Inc.*........................................... 90,000 4,061,250
Hyperion Solutions, Corp.*................................ 51,000 918,000
Legato Systems, Inc.*..................................... 65,000 4,285,937
Linear Technology Corp.................................... 50,000 4,478,125
Maxim Integrated Products, Inc.*.......................... 73,000 3,189,187
Millipore Corp. .......................................... 80,000 2,275,000
National Instruments Corp.*............................... 130,000 4,436,250
Network Associates, Inc.*................................. 57,000 3,776,250
Novellus Systems, Inc.*................................... 36,000 1,782,000
Photronics Inc.*.......................................... 78,000 1,869,563
Saville Systems Sp ADR*................................... 175,000 3,325,000
SCI Systems, Inc.*........................................ 38,000 2,194,500
Teltrend, Inc.*........................................... 165,000 3,155,625
Teradyne, Inc.*........................................... 54,000 2,288,250
Unisys Corp.*............................................. 240,000 8,265,000
Xilinx, Inc.*............................................. 65,000 4,233,125
------------
60,414,937
------------
Total Common Stocks
(Cost: $166,353,395) 96.1%........................................ 197,523,944
------------
</TABLE>
The accompanying notes are an integral part of these financial statements.
35
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION (AGGRESSIVE EQUITY FUND)
PORTFOLIO OF INVESTMENTS IN SECURITIES (Continued)
December 31, 1998
<TABLE>
<CAPTION>
Face
Rate Maturity Amount Value
---- -------- ----------- ------------
<S> <C> <C> <C> <C>
Short-Term Debt Securities:
Commercial Paper (3.9%)
Duke Power Co. ................... 5.25% 01/04/99 $ 4,906,000 $ 4,903,853
Koch Industries................... 5.20 01/04/99 3,153,000 3,151,634
------------
Total Short-Term Debt Securities (Cost: $8,055,487) 3.9%..... 8,055,487
------------
Total Investments (Cost: $174,408,882) 100.0%................ $205,579,431
============
</TABLE>
The accompanying notes are an integral part of these financial statements.
36
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION
STATEMENT OF ASSETS AND LIABILITIES
December 31, 1998
<TABLE>
<CAPTION>
Money Market All America Equity Index Bond
Fund Fund Fund Fund
------------ ------------ ------------ -----------------
<S> <C> <C> <C> <C>
Assets:
Investments at market
value
(Cost:
Money Market Fund --
$80,766,399
All America Fund --
$403,576,469
Equity Index Fund --
$287,295,071
Bond Fund --
$446,300,888)
(Notes 1 and 3)........ $80,766,399 $733,352,393 $410,277,711 $460,257,815
Cash.................... 3,279 2,434,656 10,326 2,658
Interest and dividends
receivable............. -- 729,575 406,944 4,925,577
Receivable for
securities sold........ -- 11,050 71,818 142,942
----------- ------------ ------------ ------------
Total Assets............ 80,769,678 736,527,674 410,766,799 465,328,992
Payable for securities
purchased.............. -- 4,178,559 448 --
----------- ------------ ------------ ------------
Net Assets.............. $80,769,678 $732,349,115 $410,766,351 $465,328,992
=========== ============ ============ ============
Number of Shares
Outstanding (Note 4)... 68,195,147 252,884,422 167,559,906 326,640,323
=========== ============ ============ ============
Net Asset Values,
offering and redemption
price per share........ $1.18 $2.90 $2.45 $1.42
===== ===== ===== =====
<CAPTION>
Short-Term Mid-Term Composite Aggressive Equity
Bond Fund Bond Fund Fund Fund
------------ ------------ ------------ -----------------
<S> <C> <C> <C> <C>
Assets:
Investments at market
value
(Cost:
Short-Term Bond Fund --
$21,724,432
Mid-Term Bond Fund --
$15,154,927
Composite Fund --
$302,077,790
Aggressive Equity Fund
-- $174,408,882)
(Notes 1 and 3)........ $21,760,232 $ 15,277,977 $334,569,873 $205,579,431
Cash.................... 972 738 10,084 6,063
Interest and dividends
receivable............. 167,126 151,589 1,621,390 205,460
Receivable for
securities sold........ 49,150 -- -- --
----------- ------------ ------------ ------------
Total Assets............ 21,977,480 15,430,304 336,201,347 205,790,954
Payable for securities
purchased.............. 2,292 -- -- 378,125
----------- ------------ ------------ ------------
Net Assets.............. $21,975,188 $ 15,430,304 $336,201,347 $205,412,829
=========== ============ ============ ============
Number of Shares
Outstanding (Note 4)... 21,351,075 16,952,106 188,998,726 136,169,705
=========== ============ ============ ============
Net Asset Values,
offering and redemption
price per share........ $1.03 $0.91 $1.78 $1.51
===== ===== ===== =====
</TABLE>
The accompanying notes are an integral part of these financial statements.
37
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION
STATEMENT OF OPERATIONS
For the Year Ended December 31, 1998
<TABLE>
<CAPTION>
Money Market All America Equity Index Bond
Fund Fund Fund Fund
------------ -------------- -------------- -----------------
<S> <C> <C> <C> <C>
Investment Income and
Expenses:
Income:
Dividends................. $ -- $ 8,564,603 $ 4,641,412 $ --
Interest.................. 3,817,397 1,000,865 938,913 32,467,679
------------ -------------- -------------- --------------
Total income............... 3,817,397 9,565,468 5,580,325 32,467,679
------------ -------------- -------------- --------------
Expenses:
Investment advisory fees
(Note 2)................. 173,091 3,559,615 412,769 2,245,279
------------ -------------- -------------- --------------
Net Investment Income...... 3,644,306 6,005,853 5,167,556 30,222,400
------------ -------------- -------------- --------------
Net Realized and Unrealized
Gain (Loss) on Investments
(Note 1 ):
Net realized gain (loss) on
investments:
Net proceeds from sales
and maturities........... 946,512,623 2,084,303,112 1,590,946,259 1,654,195,275
Cost of securities sold or
matured.................. 946,513,714 2,009,275,002 1,586,636,965 1,653,447,468
------------ -------------- -------------- --------------
Net realized gain (loss)... (1,091) 75,028,110 4,309,294 747,807
Net unrealized
appreciation(depreciation)
of investments............ -- 51,132,012 72,664,856 (41,522)
------------ -------------- -------------- --------------
Net Realized and Unrealized
Gain (Loss) on
Investments............... (1,091) 126,160,122 76,974,150 706,285
------------ -------------- -------------- --------------
Net Increase (Decrease) in
Net Assets Resulting From
Operations................ $ 3,643,215 $ 132,165,975 $ 82,141,706 $ 30,928,685
============ ============== ============== ==============
<CAPTION>
Short-Term Mid-Term Composite Aggressive Equity
Bond Fund Bond Fund Fund Fund
------------ -------------- -------------- -----------------
<S> <C> <C> <C> <C>
Investment Income and
Expenses:
Income:
Dividends................. $ -- $ -- $ 2,163,375 $ 1,752,545
Interest.................. 1,093,898 858,591 11,211,064 680,420
------------ -------------- -------------- --------------
Total income............... 1,093,898 858,591 13,374,439 2,432,965
------------ -------------- -------------- --------------
Expenses:
Investment advisory fees
(Note 2)................. 91,736 68,431 1,601,894 2,007,629
------------ -------------- -------------- --------------
Net Investment Income...... 1,002,162 790,160 11,772,545 425,336
------------ -------------- -------------- --------------
Net Realized and Unrealized
Gain (Loss) on Investments
(Note 1 ):
Net realized gain (loss) on
investments:
Net proceeds from sales
and maturities........... 133,917,702 129,793,379 1,918,062,049 2,427,289,632
Cost of securities sold or
matured.................. 133,902,700 129,708,405 1,914,798,019 2,450,911,467
------------ -------------- -------------- --------------
Net realized gain (loss)... 15,002 84,974 3,264,030 (23,621,835)
Net unrealized
appreciation(depreciation)
of investments............ (22,056) (37,685) 28,079,557 9,581,686
------------ -------------- -------------- --------------
Net Realized and Unrealized
Gain (Loss) on
Investments............... (7,054) 47,289 31,343,587 (14,040,149)
------------ -------------- -------------- --------------
Net Increase (Decrease) in
Net Assets Resulting From
Operations................ $ 995,108 $ 837,449 $ 43,116,132 $ (13,614,813)
============ ============== ============== ==============
</TABLE>
The accompanying notes are an integral part of these financial statements.
38
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION
STATEMENTS OF CHANGES IN NET ASSETS
For The Years Ended December 31, 1998 and 1997
<TABLE>
<CAPTION>
Money Market Fund All America Fund Equity Index Fund
-------------------------- ---------------------------- --------------------------
1998 1997 1998 1997 1998 1997
------------ ------------ ------------- ------------- ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
Increase (Decrease) in
Net Assets:
From Operations:
Net investment income... $ 3,644,306 $ 4,249,559 $ 6,005,853 $ 6,839,085 $ 5,167,556 $ 3,292,415
Net realized gain (loss)
on investments......... (1,091) (4,546) 75,028,110 87,265,815 4,309,294 13,796,802
Unrealized appreciation
(depreciation) of
investments............ -- -- 51,132,012 72,872,084 72,664,856 29,821,618
------------ ------------ ------------- ------------- ------------ ------------
Net Increase (Decrease)
in Net Assets Resulting
From Operations........ 3,643,215 4,245,013 132,165,975 166,976,984 82,141,706 46,910,835
------------ ------------ ------------- ------------- ------------ ------------
Capital Share
Transactions (Note 4):
Net proceeds from sale
of shares.............. 49,564,634 31,053,208 8,745,724 51,559,383 111,027,460 103,055,258
Dividends reinvested.... 3,649,927 4,207,000 87,022,298 85,851,292 31,568,403 4,983,072
Cost of shares redeemed. (39,940,229) (45,576,714) (108,090,679) (155,677,621) (19,365,681) (14,852,042)
Dividend distributions.. (3,649,927) (4,207,000) (87,022,298) (85,851,292) (31,568,403) (4,983,072)
------------ ------------ ------------- ------------- ------------ ------------
Net Increase (Decrease)
in Net Assets From
Capital Share
Transactions........... 9,624,405 (14,523,506) (99,344,955) (104,118,238) 91,661,779 88,203,216
------------ ------------ ------------- ------------- ------------ ------------
Increase (Decrease) in
Net Assets............. 13,267,620 (10,278,493) 32,821,020 62,858,746 173,803,485 135,114,051
Net Assets, Beginning of
Year................... 67,502,058 77,780,551 699,528,095 636,669,349 236,962,866 101,848,815
------------ ------------ ------------- ------------- ------------ ------------
Net Assets, End of Year. $ 80,769,678 $ 67,502,058 $ 732,349,115 $ 699,528,095 $410,766,351 $236,962,866
============ ============ ============= ============= ============ ============
Components of Net
Assets:
Paid-in capital......... $ 80,655,650 $ 67,381,318 $ 404,058,426 $ 416,381,083 $297,765,055 $174,534,873
Accumulated
undistributed net
investment income
(loss)................. 124,861 130,482 (368,798) (175,037) 25,162 (14,572)
Accumulated
undistributed net
realized gain (loss) on
investments............ (10,833) (9,742) (1,116,437) 4,678,137 (10,006,505) 12,124,782
Unrealized appreciation
(depreciation) of
investments............ -- -- 329,775,924 278,643,912 122,982,639* 50,317,783
------------ ------------ ------------- ------------- ------------ ------------
Net Assets, End of Year. $ 80,769,678 $ 67,502,058 $ 732,349,115 $ 699,528,095 $410,766,351 $236,962,866
============ ============ ============= ============= ============ ============
<CAPTION>
Short-Term Mid-Term
Bond Fund Bond Fund Bond Fund
-------------------------- ---------------------------- --------------------------
1998 1997 1998 1997 1998 1997
------------ ------------ ------------- ------------- ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
Increase (Decrease) in
Net Assets:
From Operations:
Net investment income... $ 30,222,400 $ 24,752,577 $ 1,002,162 $ 915,657 $ 790,160 $ 860,831
Net realized gain (loss)
on investments......... 747,807 2,443,601 15,002 11,032 84,974 26,493
Unrealized appreciation
(depreciation) of
investments............ (41,522) 10,731,058 (22,056) 1,505 (37,685) 136,981
------------ ------------ ------------- ------------- ------------ ------------
Net Increase (Decrease)
in Net Assets Resulting
From Operations........ 30,928,685 37,927,236 995,108 928,194 837,449 1,024,305
------------ ------------ ------------- ------------- ------------ ------------
Capital Share
Transactions (Note 4):
Net proceeds from sale
of shares.............. 52,595,906 129,718,878 8,314,584 4,662,604 5,884,740 7,085,456
Dividends reinvested.... 31,972,263 26,570,467 1,010,825 921,469 805,870 911,528
Cost of shares redeemed. (31,900,498) (83,214,662) (1,975,185) (6,464,199) (5,938,423) (6,822,743)
Dividend distributions.. (31,972,263) (26,570,467) (1,010,825) (921,469) (805,870) (911,528)
------------ ------------ ------------- ------------- ------------ ------------
Net Increase (Decrease)
in Net Assets From
Capital Share
Transactions........... 20,695,408 46,504,216 6,339,399 (1,801,595) (53,683) 262,713
------------ ------------ ------------- ------------- ------------ ------------
Increase (Decrease) in
Net Assets............. 51,624,093 84,431,452 7,334,507 (873,401) 783,766 1,287,018
Net Assets, Beginning of
Year................... 413,704,899 329,273,447 14,640,681 15,514,082 14,646,538 13,359,520
------------ ------------ ------------- ------------- ------------ ------------
Net Assets, End of Year. $465,328,992 $413,704,899 $ 21,975,188 $ 14,640,681 $ 15,430,304 $ 14,646,538
============ ============ ============= ============= ============ ============
Components of Net
Assets:
Paid-in capital......... $456,250,383 $403,582,712 $ 21,933,271 $ 14,583,047 $ 16,547,869 $ 15,795,682
Accumulated
undistributed net
investment income
(loss)................. (876,674) (816,175) 13,225 (841) (54,119) (38,409)
Accumulated
undistributed net
realized gain (loss) on
investments............ (4,001,644) (3,060,087) (7,108) 619 (1,186,496) (1,271,470)
Unrealized appreciation
(depreciation) of
investments............ 13,956,927 13,998,449 35,800 57,856 123,050 160,735
------------ ------------ ------------- ------------- ------------ ------------
Net Assets, End of Year. $465,328,992 $413,704,899 $ 21,975,188 $ 14,640,681 $ 15,430,304 $ 14,646,538
============ ============ ============= ============= ============ ============
</TABLE>
The accompanying notes are an integral part of these financial statements.
39
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION
STATEMENTS OF CHANGES IN NET ASSETS
For The Years Ended December 31, 1998 and 1997
<TABLE>
<CAPTION>
Composite Fund Aggressive Equity Fund
-------------------------- --------------------------
1998 1997 1998 1997
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
Increase (Decrease) in
Net Assets:
From Operations:
Net investment income. $ 11,772,545 $ 10,441,082 $ 425,336 $ 759,197
Net realized gain
(loss) on
investments.......... 3,264,030 54,206,235 (23,621,835) 27,898,311
Unrealized
appreciation
(depreciation) of
investments.......... 28,079,557 (16,888,109) 9,581,686 9,224,730
------------ ------------ ------------ ------------
Net Increase (Decrease)
in Net Assets Resulting
From Operations........ 43,116,132 47,759,208 (13,614,813) 37,882,238
------------ ------------ ------------ ------------
Capital Share
Transactions (Note 4):
Net proceeds from sale
of shares............ 2,920,925 31,298,846 15,703,714 137,350,976
Dividends reinvested.. 14,045,609 67,460,654 1,800,942 28,638,720
Cost of shares
redeemed............. (14,612,177) (57,212,696) (84,056,916) (24,081,133)
Dividend
distributions........ (14,045,609) (67,460,654) (1,800,942) (28,638,720)
------------ ------------ ------------ ------------
Net Increase (Decrease)
in Net Assets From
Capital Share
Transactions........... (11,691,252) (25,913,850) (68,353,202) 113,269,843
------------ ------------ ------------ ------------
Increase (Decrease) in
Net Assets............. 31,424,880 21,845,358 (81,968,015) 151,152,081
Net Assets, Beginning of
Year................... 304,776,467 282,931,109 287,380,844 136,228,763
------------ ------------ ------------ ------------
Net assets, End of Year. $336,201,347 $304,776,467 $205,412,829 $287,380,844
============ ============ ============ ============
Components of Net
Assets:
Paid-in capital....... $307,142,582 $304,788,225 $198,159,450 $264,711,710
Accumulated
undistributed net
investment income
(loss)............... 761,149 635,624 (10,452) (3,076)
Accumulated
undistributed net
realized gain (loss)
on investments....... (4,194,467) (5,059,908) (23,906,718) 1,083,347
Unrealized
appreciation
(depreciation) of
investments.......... 32,492,083 4,412,526 31,170,549 21,588,863
------------ ------------ ------------ ------------
Net Assets, End of Year. $336,201,347 $304,776,467 $205,412,829 $287,380,844
============ ============ ============ ============
</TABLE>
The accompanying notes are an integral part of these financial statements.
40
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION
FINANCIAL HIGHLIGHTS
Income from investment operations and distributions per share for a fund
share outstanding throughout each of the five years ended December 31, 1998,
(or since the fund's inception date if in existence less than five years) and
other supplementary data with respect to the funds are presented below.
<TABLE>
<CAPTION>
Money Market Fund
---------------------------------
Years Ended December 31,
---------------------------------
1998 1997 1996 1995 1994
----- ----- ----- ----- -----
<S> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Year.......... $1.18 $1.19 $1.18 $1.19 $1.17
----- ----- ----- ----- -----
Income From Investment Operations:
Net Investment Income...................... 0.06 0.07 0.06 0.07 0.03
Net Gains or (Losses) on Securities
realized and unrealized................... -- -- -- -- 0.02
----- ----- ----- ----- -----
Total From Investment Operations............ 0.06 0.07 0.06 0.07 0.05
----- ----- ----- ----- -----
Less: Dividend Distributions From Net
Investment Income.......................... (0.06) (0.08) (0.05) (0.08) (0.03)
----- ----- ----- ----- -----
Total Distributions......................... (0.06) (0.08) (0.05) (0.08) (0.03)
----- ----- ----- ----- -----
Net Asset Value, End of Year................ $1.18 $1.18 $1.19 $1.18 $1.19
----- ----- ----- ----- -----
Total Return (%)............................ 5.4 5.5 5.3 5.8 4.1
Net Assets, End of Year ($ millions)........ 81 68 78 73 81
Ratio of Expenses to Average Net Assets (%). 0.25 0.25 0.25 0.25 0.25
Ratio of Net Investment Income to Average
Net Assets (%)............................. 5.26 5.32 5.21 5.66 4.15
Portfolio Turnover Rate(a).................. N/A N/A N/A N/A N/A
</TABLE>
- -------
(a) Portfolio turnover rate excludes all short-term securities.
N/A=Not Applicable
41
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION
FINANCIAL HIGHLIGHTS (Continued)
<TABLE>
<CAPTION>
All America Fund(a)
-----------------------------------
Years Ended December 31,
-----------------------------------
1998 1997 1996 1995 1994(b)
----- ----- ----- ----- -------
<S> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Year......... $2.71 $2.44 $2.13 $1.61 $ 1.80
----- ----- ----- ----- ------
Income From Investment Operations:
Net Investment Income..................... 0.03 0.03 0.03 0.03 0.04
Net Gains or (Losses) on Securities
realized and unrealized.................. 0.54 0.62 0.41 0.56 (0.01)
----- ----- ----- ----- ------
Total From Investment Operations........... 0.57 0.65 0.44 0.59 0.03
----- ----- ----- ----- ------
Less Dividend Distributions:
From Net Investment Income................ (0.03) (0.03) (0.03) (0.03) (0.04)
From Capital Gains........................ (0.35) (0.35) (0.10) (0.04) (0.18)
----- ----- ----- ----- ------
Total Distributions........................ (0.38) (0.38) (0.13) (0.07) (0.22)
----- ----- ----- ----- ------
Net Asset Value, End of Year............... $2.90 $2.71 $2.44 $2.13 $ 1.61
===== ===== ===== ===== ======
Total Return (%)........................... 21.3 26.8 20.7 36.6 1.3
Net Assets, End of Year ($ millions)....... 732 700 637 533 375
Ratio of Expenses to Average Net Assets
(%)....................................... 0.50 0.50 0.50 0.50 0.50
Ratio of Net Investment Income to Average
Net Assets (%)............................ 0.84 0.98 1.26 1.57 2.11
Portfolio Turnover Rate (%)(c)............. 40.47 28.64 28.35 33.63 129.80
</TABLE>
- -------
(a) Prior to May 2, 1994, this Fund was known as the Stock Fund and had a
different investment objective.
(b) Reflects the combined data of this Fund and that of its predecessor.
(c) Portfolio turnover rate excludes all short-term securities.
42
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION
FINANCIAL HIGHLIGHTS (Continued)
<TABLE>
<CAPTION>
Bond Fund
---------------------------------
Years Ended December 31,
---------------------------------
1998 1997 1996 1995 1994
----- ----- ----- ----- -----
<S> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Year.......... $1.43 $1.38 $1.43 $1.27 $1.41
----- ----- ----- ----- -----
Income From Investment Operations:
Net Investment Income...................... 0.10 0.09 0.09 0.09 0.09
Net Gains or (Losses) on Securities
realized and unrealized................... -- 0.06 (0.04) 0.16 (0.14)
----- ----- ----- ----- -----
Total From Investment Operations............ 0.10 0.15 0.05 0.25 (0.05)
----- ----- ----- ----- -----
Less Dividend Distributions:
From Net Investment Income................. (0.10) (0.09) (0.09) (0.09) (0.09)
From Capital Gains......................... (0.01) (0.01) (0.01) -- --
----- ----- ----- ----- -----
Total Distributions......................... (0.11) (0.10) (0.10) (0.09) (0.09)
----- ----- ----- ----- -----
Net Asset Value, End of Year................ $1.42 $1.43 $1.38 $1.43 $1.27
===== ===== ===== ===== =====
Total Return (%)............................ 7.2 10.4 3.5 19.4 (3.2)
Net Assets, End of Year ($ millions)........ 465 414 329 311 249
Ratio of Expenses to Average Net Assets (%). 0.50 0.50 0.50 0.50 0.50
Ratio of Net Investment Income to Average
Net Assets (%)............................. 6.73 6.69 6.70 6.64 6.32
Portfolio Turnover Rate (%)(a).............. 21.60 57.71 30.14 41.93 51.14
</TABLE>
- -------
(a) Portfolio turnover rate excludes all short-term securities.
43
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION
FINANCIAL HIGHLIGHTS (Continued)
<TABLE>
<CAPTION>
Short-Term Bond Fund Mid-Term Bond Fund
--------------------------------- ----------------------------------
Years Ended December 31, Years Ended December 31,
--------------------------------- ----------------------------------
1998 1997 1996 1995 1994 1998 1997 1996 1995 1994
----- ----- ----- ----- ----- ----- ----- ------ ----- -----
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Year...... $1.02 $1.03 $1.02 $1.00 $1.02 $0.90 $0.90 $ 1.00 $0.91 $0.99
----- ----- ----- ----- ----- ----- ----- ------ ----- -----
Income From Investment
Operations:
Net Investment Income.. 0.05 0.07 0.04 0.06 0.04 0.05 0.05 0.14 0.06 0.03
Net Gains or (Losses)
on Securities realized
and unrealized........ 0.01 (0.01) 0.01 0.02 (0.02) 0.01 0.01 (0.10) 0.09 (0.07)
----- ----- ----- ----- ----- ----- ----- ------ ----- -----
Total From Investment
Operations............. 0.06 0.06 0.05 0.08 0.02 0.06 0.06 0.04 0.15 (0.04)
----- ----- ----- ----- ----- ----- ----- ------ ----- -----
Less Dividend
Distributions:
From Net Investment
Income................ (0.05) (0.07) (0.04) (0.06) (0.04) (0.05) (0.06) (0.14) (0.06) (0.04)
From Capital Gains..... -- -- -- -- -- -- -- -- -- --
----- ----- ----- ----- ----- ----- ----- ------ ----- -----
Total Distributions..... (0.05) (0.07) (0.04) (0.06) (0.04) (0.05) (0.06) (0.14) (0.06) (0.04)
----- ----- ----- ----- ----- ----- ----- ------ ----- -----
Net Asset Value, End of
Year................... $1.03 $1.02 $1.03 $1.02 $1.00 $0.91 $0.90 $ 0.90 $1.00 $0.91
===== ===== ===== ===== ===== ===== ===== ====== ===== =====
Total Return (%)........ 5.7 6.0 4.9 7.7 1.4 6.4 7.3 3.9 16.3 (3.7)
Net Assets, End of Year
($ millions)........... 22 15 16 3 2 15 15 13 24 24
Ratio of Expenses to
Average Net Assets (%). 0.50 0.50 0.50 0.50 0.48 0.50 0.50 0.50 0.50 0.50
Ratio of Net Investment
Income to Average Net
Assets (%)............. 5.46 5.81 5.42 4.65 3.51 5.76 5.87 5.80 5.73 4.71
Portfolio Turnover Rate
(%)(a)................. 91.35 74.95 6.68 16.47 0.00 23.09 12.89 144.55 73.72 7.52
</TABLE>
- -------
(a) Portfolio turnover rate excludes all short-term securities.
44
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION
FINANCIAL HIGHLIGHTS (Continued)
<TABLE>
<CAPTION>
Composite Fund
-----------------------------------
Years Ended December 31,
-----------------------------------
1998 1997 1996 1995 1994
----- ------ ----- ----- ------
<S> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Year........ $1.62 $ 1.77 $1.81 $1.57 $ 1.71
----- ------ ----- ----- ------
Income From Investment Operations:
Net Investment Income.................... 0.07 0.07 0.07 0.08 0.05
Net Gains or (Losses) on Securities
realized and unrealized................. 0.17 0.24 0.14 0.27 (0.10)
----- ------ ----- ----- ------
Total From Investment Operations.......... 0.24 0.31 0.21 0.35 (0.05)
----- ------ ----- ----- ------
Less Dividend Distributions:
From Net Investment Income............... (0.07) (0.07) (0.08) (0.08) (0.07)
From Capital Gains....................... (0.01) (0.39) (0.17) (0.03) (0.02)
----- ------ ----- ----- ------
Total Distributions....................... (0.08) (0.46) (0.25) (0.11) (0.09)
----- ------ ----- ----- ------
Net Asset Value, End of Year.............. $1.78 $ 1.62 $1.77 $1.81 $ 1.57
===== ====== ===== ===== ======
Total Return (%).......................... 14.5 17.7 11.9 21.9 (3.0)
Net Assets, End of Year ($ millions)...... 336 305 283 276 233
Ratio of Expenses to Average Net Assets
(%)...................................... 0.50 0.50 0.50 0.50 0.50
Ratio of Net Investment Income to Average
Net Assets (%)........................... 3.68 3.57 3.63 4.30 3.88
Portfolio Turnover Rate (%)(a)............ 73.85 104.04 69.79 76.84 113.86
</TABLE>
- -------
(a) Portfolio turnover rate excludes all short-term securities.
45
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION
FINANCIAL HIGHLIGHTS (Continued)
<TABLE>
<CAPTION>
Equity Index Fund Aggressive Equity Fund
--------------------------------- --------------------------------------
Years Ended December 31, Years Ended December 31,
--------------------------------- --------------------------------------
1998 1997 1996 1995 1994 1998 1997 1996 1995 1994(b)
----- ----- ----- ----- ----- ------ ----- ------ ------ -------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of
Year/Period............ $2.08 $1.59 $1.35 $1.02 $1.04 $ 1.61 $1.47 $ 1.35 $ 1.05 $1.00
----- ----- ----- ----- ----- ------ ----- ------ ------ -----
Income From Investment
Operations:
Net Investment Income.. 0.03 0.03 0.03 0.02 0.03 -- 0.01 0.01 0.01 0.01
Net Gains or (Losses)
on Securities realized
and unrealized........ 0.55 0.50 0.27 0.36 (0.01) (0.09) 0.31 0.36 0.39 0.05
----- ----- ----- ----- ----- ------ ----- ------ ------ -----
Total From Investment
Operations............. 0.58 0.53 0.30 0.38 0.02 (0.09) 0.32 0.37 0.40 0.06
----- ----- ----- ----- ----- ------ ----- ------ ------ -----
Less Dividend
Distributions:
From Net Investment
Income................ (0.03) (0.03) (0.03) (0.03) (0.03) -- (0.01) (0.01) (0.01) (0.01)
From Capital Gains..... (0.17) (0.01) (0.03) (0.02) (0.01) (0.01) (0.17) (0.24) (0.09) --
----- ----- ----- ----- ----- ------ ----- ------ ------ -----
Total Distributions..... (0.20) (0.04) (0.06) (0.05) (0.04) (0.01) (0.18) (0.25) (0.10) (0.01)
----- ----- ----- ----- ----- ------ ----- ------ ------ -----
Net Asset Value, End of
Year/Period............ $2.45 $2.08 $1.59 $1.35 $1.02 $ 1.51 $1.61 $ 1.47 $ 1.35 $1.05
===== ===== ===== ===== ===== ====== ===== ====== ====== =====
Total Return (%)........ 28.6 33.1 22.7 36.6 1.5 (5.1) 21.2 27.1 38.2 6.0
Net Assets, End of
Year/Period ($
millions).............. 411 237 102 43 26 205 287 136 59 27
Ratio of Expenses to
Average Net Assets (%). 0.13 0.13 0.13 0.13 0.13 0.85 0.85 0.85 0.85 0.56
Ratio of Net Investment
Income to Average Net
Assets (%)............. 1.57 1.86 2.19 2.50 2.67 0.18 0.33 0.45 0.65 0.70
Portfolio Turnover Rate
(%)(a)................. 11.68 14.17 5.85 13.99 6.59 144.05 80.94 103.68 116.52 60.86
</TABLE>
- -------
(a) Portfolio turnover rate excludes all short-term securities.
(b) Commenced operations May 2, 1994.
46
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS
1. Significant Accounting Policies and Organization
Mutual of America Investment Corporation (the "Investment Company") is a
diversified, open-end management investment company -- a type of company
commonly known as a "mutual fund". It is registered as such under the
Investment Company Act of 1940 (the "Investment Company Act"). The Investment
Company was formed on February 21, 1986 as a Maryland corporation and offers
its shares exclusively to separate accounts of Mutual of America Life
Insurance Company ("Mutual of America Life") and Mutual of America Life's
indirect wholly-owned subsidiary, The American Life Insurance Company of New
York ("American Life"). As a "series" type mutual fund, the Investment Company
issues separate classes (or series) of capital stock, each of which represents
a separate Fund of investments. There are currently eight Funds: the Money
Market Fund, the All America Fund, the Equity Index Fund, the Bond Fund, the
Short-Term Bond Fund, the Mid-Term Bond Fund, the Composite Fund, and the
Aggressive Equity Fund.
Investment Company shares are sold only to Mutual of America Life and
American Life for allocation to their Separate Accounts as a funding medium
for variable annuity and variable life insurance contracts issued by these
companies. As of December 31, 1998, Mutual of America Life owned 97% and
American Life 3% of the Investment Company's aggregate outstanding shares.
The following is a summary of the significant accounting policies of the
Investment Company:
Security Valuation -- Investment securities are valued as follows:
Stocks listed on national security exchanges and certain over-the-
counter issues quoted on the National Association of Securities Dealers
Automated Quotation ("NASDAQ") system are valued at the last sale price,
or if no sale, at the latest available bid price.
Debt securities are valued at a composite fair market value "evaluated
bid," which may be the last sale price. Securities for which market
quotations are not readily available will be valued at fair value as
determined in good faith by the Investment Adviser under the direction
of the Board of Directors of the Investment Company.
Short-term investments with a maturity of 60 days or less are valued at
amortized cost, which approximates market value. Short-term debt
securities, which mature in more than 60 days, are stated at market
value.
Premiums received by the Investment Company upon writing covered call
options are included in the Investment Company's statement of assets and
liabilities as an asset and an equivalent liability. The liability is
adjusted daily to reflect the market value of the options written based
on the mean of the closing bid and asked price. If an option expires, or
if the Investment Company enters into a closing purchase transaction,
the Investment Company realizes a gain or, if the cost of a closing
purchase transaction exceeds the premium originally received, a loss,
and the liability related to the option is extinguished. If an option is
exercised, the proceeds of the sale of the underlying security are
increased by the premium originally received when the option was
written.
Certain equity-type funds with an indexed portfolio component may, in
order to remain more fully invested in the equity markets while
minimizing its transaction costs, purchase stock index futures
contracts. Initial cash margin deposits (represented by cash or Treasury
bills) are made upon entering into futures contracts. (This initial
margin, maintained in a segregated account, is equal to approximately 5%
of the contract amount, and does not involve the borrowing of funds to
finance the transaction). During the period the futures contract is
outstanding, changes in the value of the contract are recognized as
unrealized gains or losses by "marking-to-market" on a daily basis to
reflect the market value of the contract at the end of each trading day.
Futures contracts are valued at the settlement price established each
day by the exchange on which traded. Depending upon whether unrealized
gains or losses are incurred, variation margin payments are received or
made. When the contract is closed, a realized gain or loss from futures
transactions is recorded, equal to the net variation margin received or
paid over the period of the contract. The "Underlying Face Amount at
Value" representing the aggregate of outstanding contractual amounts
under futures contracts reflects the extent of the fund's exposure to
off-balance sheet risk.
47
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS
Security Transactions -- Security transactions are recorded on the trade
date. Realized gains and losses on the sale of short and long-term debt
securities are computed on the basis of amortized cost at the time of sale.
Realized gains and losses on the sale of stock is based on the identified cost
basis of the security, determined on the first-in, first-out ("FIFO") basis.
Investment Income -- Interest income is accrued as earned. Dividend income
is recorded on the ex-dividend date. Foreign source tax withheld from
dividends is recorded as a reduction from dividend income. Should reclamation
efforts succeed, such amounts are recorded as income upon collection.
Federal Income Taxes -- The Investment Company intends to comply with the
requirements of the Internal Revenue Code applicable to regulated investment
companies and to distribute substantially all of its taxable income to
shareholders. Therefore, no federal income tax provision is required.
2. Expenses
The Investment Company has an Investment Advisory Agreement with Mutual of
America Capital Management Corporation ("the Adviser"), an indirect wholly-
owned subsidiary of Mutual of America Life. For providing investment
management services to each of the funds of the Investment Company, the
Adviser receives a fee, calculated as a daily charge, at the annual rate of
.25% of the value of the net assets of the Money Market Fund, .50% of the
value of the net assets of the All America Fund, Bond Fund, Short-Term Bond
Fund, Mid-Term Bond Fund and Composite Fund, .125% of the value of the net
assets of the Equity Index Fund, and, .85% of the value of the net assets of
the Aggressive Equity Fund.
Under Sub-Advisory Agreements, the Adviser has delegated a portion of its
investment advisory responsibilities for the All America Fund to subadvisers
and pays the subadvisers directly for their investment advisory services. The
Adviser (not the fund) is responsible for compensation payable under such Sub-
Advisory Agreements.
The Adviser voluntarily limits the expenses of each fund, other than for
brokers' commissions, transfer taxes and other fees relating to portfolio
transactions, to the amount of the advisory fee paid by the funds of the
Investment Company to the Adviser. The Adviser may discontinue this practice
at any time.
Various funds of the Investment Company may place portfolio transactions
through a broker affiliated with the Adviser. The aggregate commissions paid
to this broker for the year ended December 31, 1998 was $50,136 or 2.5% of
total commissions. In addition, a Sub-Advisor placed a portion of its
portfolio transactions with its affiliated broker-dealer. Such commissions
amounted to $180,054 or 8.8% of the Investment Company's total commissions.
3. Purchases and Sales
The cost of investment purchases and proceeds from sales of investments,
excluding short-term securities, options and futures for the year ended
December 31, 1998 was as follows:
<TABLE>
<CAPTION>
All America Equity Index Bond
Fund Fund Fund
------------- ------------ ------------
<S> <C> <C> <C> <C>
Cost of investment purchases.......... $ 278,732,574 $103,256,977 $148,576,348
============= ============ ============
Proceeds from sales of investments.... $368,105,259 $ 36,042,643 $ 93,327,472
============= ============ ============
<CAPTION>
Short-Term Mid-Term Composite Aggressive
Bond Fund Bond Fund Fund Equity Fund
----------- ------------- ------------ ------------
<S> <C> <C> <C> <C>
Cost of investment
purchases................ $22,016,177 $ 2,726,474 $207,305,442 $322,042,470
=========== ============= ============ ============
Proceeds from sales of
investments.............. $15,714,467 $ 5,619,565 $230,573,876 $415,789,936
=========== ============= ============ ============
</TABLE>
The cost of short-term security purchases for the Money Market Fund for the
period was $955,961,402. Net proceeds from sales and redemptions for the
period was $946,512,623.
48
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Continued)
At December 31, 1998, net unrealized appreciation (depreciation) of
investments, based on cost for Federal income tax purposes, was as follows:
<TABLE>
<CAPTION>
Money All America Equity Index Bond
Market Fund Fund Fund Fund
----------- ------------ ------------ ------------
<S> <C> <C> <C> <C>
Aggregate gross unrealized
appreciation............... $ -- $347,941,669 $130,864,562 $ 16,612,958
Aggregate gross unrealized
depreciation............... -- 18,165,745 7,881,923 2,656,031
----------- ------------ ------------ ------------
Net unrealized appreciation
(depreciation)............. $ -- $329,775,924 $122,982,639 $ 13,956,927
=========== ============ ============ ============
Aggregate cost of
investments for Federal
income tax purposes........ $80,766,399 $403,576,469 $287,295,071 $446,300,888
=========== ============ ============ ============
<CAPTION>
Short-Term Mid-Term Composite Aggressive
Bond Fund Bond Fund Fund Equity Fund
----------- ------------ ------------ ------------
<S> <C> <C> <C> <C>
Aggregate gross unrealized
appreciation............... $ 85,982 $ 173,695 $ 36,223,647 $ 40,554,935
Aggregate gross unrealized
depreciation............... 50,182 50,645 3,731,565 9,384,386
----------- ------------ ------------ ------------
Net unrealized appreciation
(depreciation)............. $ 35,800 $ 123,050 $ 32,492,082 $ 31,170,549
=========== ============ ============ ============
Aggregate cost of
investments for Federal
income tax purposes........ $21,724,432 $ 15,154,927 $302,077,790 $174,408,882
=========== ============ ============ ============
</TABLE>
4. Capital Share Activity
The Investment Company has registered an indefinite number of its capital
shares pursuant to Rule 24f-2 under the Investment Company Act of 1940. Shares
are currently allocated into the eight series of funds as follows:
<TABLE>
<CAPTION>
Name of fund Authorized No. of Shares
------------ ------------------------
<S> <C>
Money Market Fund..................................... 100,000,000
All America Fund...................................... 500,000,000
Equity Index Fund..................................... 275,000,000
Bond Fund............................................. 425,000,000
Short-Term Bond Fund.................................. 50,000,000
Mid-Term Bond Fund.................................... 75,000,000
Composite Fund........................................ 300,000,000
Aggressive Equity Fund................................ 500,000,000
-------------
Sub-Total........................................... 2,225,000,000
Shares to be allocated at the discretion of the Board
of Directors......................................... 775,000,000
-------------
Total............................................... 3,000,000,000
=============
</TABLE>
Transactions in shares were as follows for the year ended December 31, 1998:
<TABLE>
<CAPTION>
For the Year Ended December 31, 1998
-------------------------------------------------
Money Market All America Equity Index Bond
Fund Fund Fund Fund
------------ ----------- ------------ ----------
<S> <C> <C> <C> <C>
Shares issued................. 65,030,676 16,550,567 99,314,538 77,260,563
Shares issued to shareholders
as reinvestment of dividends. 3,080,576 30,263,002 13,563,464 22,419,396
---------- ---------- ----------- ----------
Total......................... 68,111,252 46,813,569 112,878,002 99,679,959
Shares redeemed............... 57,281,015 51,998,029 59,350,065 62,903,436
---------- ---------- ----------- ----------
Net increase (decrease)....... 10,830,237 (5,184,460) 53,527,937 36,776,523
========== ========== =========== ==========
</TABLE>
49
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Continued)
<TABLE>
<CAPTION>
For the Year Ended December 31, 1998
--------------------------------------------------
Short-Term Mid-Term Composite Aggressive
Bond Fund Bond Fund Fund Equity Fund
------------ ---------- ------------ -----------
<S> <C> <C> <C> <C>
Shares issued............... 11,305,009 9,542,507 9,518,911 46,769,027
Shares issued to
shareholders as
reinvestment of dividends.. 981,938 884,933 7,895,857 1,397,187
----------- ---------- ---------- -----------
Total....................... 12,286,947 10,427,440 17,414,768 48,166,214
Shares redeemed............. 5,275,226 9,698,201 16,332,231 90,803,686
----------- ---------- ---------- -----------
Net increase (decrease)..... 7,011,721 729,239 1,082,537 (42,637,472)
=========== ========== ========== ===========
<CAPTION>
For the Year Ended December 31, 1997
--------------------------------------------------
All
Money Market America Equity Index Bond
Fund Fund Fund Fund
------------ ---------- ------------ -----------
<S> <C> <C> <C> <C>
Shares issued............... 25,436,145 18,307,611 55,500,928 89,348,390
Shares issued to
shareholders as
reinvestment of dividends.. 3,575,177 31,672,092 2,398,380 18,616,691
----------- ---------- ---------- -----------
Total....................... 29,011,322 49,979,703 57,899,308 107,965,081
Shares redeemed............. 37,008,064 53,217,275 7,724,686 56,494,335
----------- ---------- ---------- -----------
Net increase (decrease)..... (7,996,742) (3,237,572) 50,174,622 51,470,746
=========== ========== ========== ===========
<CAPTION>
For the Year Ended December 31, 1997
--------------------------------------------------
Short-Term Mid-Term Composite Aggressive
Bond Fund Bond Fund Fund Equity Fund
------------ ---------- ------------ -----------
<S> <C> <C> <C> <C>
Shares issued............... 4,388,108 7,758,608 16,004,173 82,801,715
Shares issued to
shareholders as
reinvestment of dividends.. 902,033 1,007,176 41,594,212 17,718,305
----------- ---------- ---------- -----------
Total....................... 5,290,141 8,765,784 57,598,385 100,520,020
Shares redeemed............. 6,050,019 7,440,628 29,544,518 14,247,788
----------- ---------- ---------- -----------
Net increase (decrease)..... (759,878) 1,325,156 28,053,867 86,272,232
=========== ========== ========== ===========
</TABLE>
50
<PAGE>
MUTUAL OF AMERICA INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Continued)
5. Dividends
On December 31,1998 dividend distributions were declared for each of the
Funds from net realized gains on investment transactions and net investment
income during 1998. Additionally, on September 15, 1998 the remaining required
dividends relating to the 1997 Internal Revenue Sec. 855(a) election were
declared for each of the funds and paid on September 15, 1998 to shareholders
of record on September 14, 1998. Dividends were declared and paid on December
31, 1998 to shareholders of record on December 30, 1998. All dividend
distributions are immediately reinvested in additional shares of each
respective fund.
<TABLE>
<CAPTION>
Money Market All America Equity Index Bond
Fund Fund Fund Fund
------------ ----------- ------------ -----------
<S> <C> <C> <C> <C>
Net investment income........ $3,649,927 $ 6,199,614 $15,127,822 $30,282,899
Net realized capital gains... -- 80,822,684 26,440,581 1,689,364
---------- ----------- ----------- -----------
Total dividends.............. $3,649,927 $87,022,298 $31,568,403 $31,972,263
========== =========== =========== ===========
Dividend amounts per share... $ 0.056 $ 0.384 $ 0.204 $ 0.105
========== =========== =========== ===========
Increase in number of shares
per fund.................... 3,080,576 30,263,002 13,563,464 22,419,396
========== =========== =========== ===========
<CAPTION>
Short-Term Mid-Term Composite Aggressive
Fund Bond Fund Fund Fund
------------ ----------- ------------ -----------
<S> <C> <C> <C> <C>
Net investment income........ $ 988,096 $ 805,870 $11,647,020 $ 432,712
Net realized capital gains... 22,729 -- 2,398,589 1,368,230
---------- ----------- ----------- -----------
Total dividends.............. $1,010,825 $ 805,870 $14,045,609 $ 1,800,942
========== =========== =========== ===========
Dividend amounts per share... $ 0.049 $ 0.050 $ 0.078 $ 0.014
========== =========== =========== ===========
Increase in number of shares
per fund.................... 981,938 884,933 7,895,857 1,397,187
========== =========== =========== ===========
</TABLE>
51
<PAGE>
REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
To the Board of Directors and Shareholders
of Mutual of America Investment Corporation:
We have audited the accompanying statement of assets and liabilities,
including the portfolio of investments in securities, of Mutual of America
Investment Corporation (a Maryland Corporation) comprising, respectively, the
Money Market, All America (formerly the Stock Fund), Equity Index, Bond,
Short-Term Bond, Mid-Term Bond, Composite, and Aggressive Equity Funds as of
December 31, 1998, and the related statement of operations for the year then
ended and the statements of changes in net assets for each of the two years in
the period then ended, and the financial highlights for each of the five years
in the period then ended. These financial statements and the financial
highlights are the responsibility of the Corporation's management. Our
responsibility is to express an opinion on these financial statements and
financial highlights based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements and
financial highlights are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures in
financial statements. Our procedures included confirmations of securities
owned as of December 31, 1998 by correspondence with the custodian. An audit
also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall financial
statement presentation. We believe that our audits provide a reasonable basis
for our opinion.
In our opinion, the financial statements and financial highlights referred
to above present fairly, in all material respects, the financial position of
the Money Market, All America (formerly the Stock Fund), Equity Index, Bond,
Short-Term Bond, Mid-Term Bond, Composite, and Aggressive Equity Funds of
Mutual of America Investment Corporation as of December 31, 1998, the results
of their operations for the year then ended and the changes in their net
assets for each of the two years in the period then ended and their financial
highlights for each of the five years in the period then ended in conformity
with generally accepted accounting principles.
/s/ ARTHUR ANDERSEN LLP
New York, New York
February 19, 1999
52
