PHOENIX
SEMIANNUAL REPORT
OCTOBER 31, 1996
Phoenix Income
and Growth Fund
Semiannual Report
PHOENIX DUFF & PHELPS LOGO
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[THIS PAGE INTENTIONALLY LEFT BLANK]
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PHOENIX INCOME AND GROWTH FUND
MARKET AND PORTFOLIO REVIEW
Phoenix Income and Growth Fund posted positive results over this latest
reporting cycle. For the six months ended October 31, 1996, class A shares
provided a total return of 3.94% and class B shares returned 3.61%. These
results lagged the Fund's Balanced benchmark, which returned 7.19% over the
same period. The Balanced Benchmark is calculated by Frank Russell Company
based on the performance of the following indexes: 55% S&P 500, 35% Lehman
Brothers Aggregate Bond Index and 10% U.S. Treasury bills. All of these
figures assume reinvestment of any distributions, but exclude the effect of
sales charges.
The Fund's results over this latest reporting cycle were held back primarily
because of our conservative investment posture in a strong equity market. Our
equity exposure in the consumer cyclical sector as well as weakness in some
of our health care and technology holdings also negatively impacted
performance. Positive contributors included our strong stock selection in the
consumer staples, financial and transportation sectors. Additionally, the
portfolio's fixed- income segment continued to outperform its benchmark, the
Lehman Brothers Aggregate Bond Index, throughout this reporting period.
Looking ahead, we continue to find attractive growth areas in this extended
bull market. The Fund is currently focusing its attention on such compelling
investment themes as 21st Century Medicine (health care), Clean Energy Demand
(energy) and Deregulating Financial Services (financial services). From a
fixed-income perspective, we have diversified our exposure among many sectors
including U.S. Treasuries, mortgage-backed securities, asset-backed
securities, convertible bonds and municipals. As of October 31, 1996, the
Fund's asset allocation mix was 60% equity, 32% fixed income and 8% cash
equivalents.
On a final note, we remind shareholders that, despite recent experience, the
stock market moves in both directions. Although we are pleased with the stock
market's remarkable rally dating back to December 1994, it is becoming
increasingly evident that the market's excellent returns are creating an
environment of high expectations and complacency. Please be assured that we
remain committed to the Fund's primary objective of achieving upside
participation in the equity markets, combined with preservation of capital in
difficult markets.
1
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Phoenix Income and Growth Fund
- --------------------------------------------------------------------------------
INVESTMENTS AT OCTOBER 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
STANDARD PAR
& POOR'S VALUE
RATING (000) VALUE
--------- ----------- ---------------
<S> <C> <C> <C>
U.S. GOVERNMENT AND AGENCY SECURITIES--7.2%
U.S. Treasury Notes--3.5%
U.S. Treasury Notes 7.375%, '97 AAA $ 5,000 $ 5,089,200
U.S. Treasury Notes 5.25%, '98 AAA 2,250 2,233,148
U.S. Treasury Notes 5%, '99 AAA 15,700 15,435,063
U.S. Treasury Notes 6%, '99 AAA 2,000 2,005,622
U.S. Treasury Notes 6.35%, '01 AAA 5,000 5,056,800
-----------
29,819,833
-----------
U.S. Treasury Bonds--0.2%
U.S. Treasury Bonds 6%, '06 AAA 1,700 1,717,000
-----------
Agency Mortgage-Backed Securities--3.5%
GNMA 6.50%, '23-'24 AAA 30,085 29,948,012
-----------
TOTAL U.S. GOVERNMENT AND AGENCY SECURITIES
(Identified cost $61,409,739) 61,484,845
-----------
MUNICIPAL BONDS--2.6%
California--2.6%
Kern County Pension Oblig.
Taxable 7.26%, '14 AAA 4,350 4,312,677
Long Beach Pension
Oblig. Taxable 6.87%, '06 AAA 3,000 2,981,520
Orange County California Pension Series A
Taxable 7.60%, '08 AAA 4,520 4,712,326
Sacramento County 95-A
Taxable 6.625%, '06 AAA 3,400 3,334,754
San Bernardino County Oblig.
Revenue Taxable 6.87%, '08 AAA 1,335 1,318,766
San Bernardino County Oblig.
Revenue Taxable 6.94%, '09 AAA 3,625 3,594,224
Ventura County Pension
Taxable 6.54%, '05 AAA 2,200 2,163,700
-----------
TOTAL MUNICIPAL BONDS
(Identified cost $22,404,232) 22,417,967
-----------
CONVERTIBLE BONDS--11.0%
Electrical Equipment--0.5%
General Signal Corp. Cv.
5.75%, '02 A- 4,000 4,420,000
-----------
Electronics--0.3%
Altera Corp. Cv. 144A 5.75%, '02 (b) B 1,700 2,341,750
-----------
Entertainment, Leisure & Gaming--2.9%
Comcast Corp. Cv. SIRENS 3.375%, '05 (e) BB- 7,500 6,478,125
Comcast Corp. Cv. 1.125%, '07 BB- 31,650 14,519,438
Turner Broadcasting Cv. 144A 0%, '07 (b) BB- 8,000 3,810,000
-----------
24,807,563
-----------
Food--1.5%
Grand Metropolitan PLC Cv. 144A 6.50%, '00 (b) A+ 10,750 12,617,813
-----------
Healthcare--Diversified--0.6%
Roche Holdings, Inc. Cv. 144A 0%, '10 (b) NR 4,000 1,780,000
Sandoz Capital BVI Ltd. Cv. 144A 2%, '02 (b) NR 3,500 3,850,000
-----------
5,630,000
-----------
Healthcare--Drugs--0.3%
Chiron Corp. Cv. 144A
1.90%, '00 (b) BBB+ 2,500 2,300,000
-----------
Hospital Management & Services--0.2%
Tenet Healthcare Cv. 6%, '05 B+ 1,500 1,515,000
-----------
Insurance--0.1%
Chubb Corp. Cv. 6%, '98 AA 1,000 1,168,750
-----------
Natural Gas--1.5%
Apache Corp. Cv. 144A 6%, '02 (b) BBB- 6,000 7,575,000
Consolidated Natural Gas Co. Cv. 7.25%, '15 A+ 5,300 5,684,250
-----------
13,259,250
-----------
Office & Business Equipment--0.7%
Comverse Technology Cv. 144A 5.75%, '06 (b) NR 1,250 1,237,500
Conner Peripherals
Cv. 6.50%, '02 BB+ 4,000 4,950,000
-----------
6,187,500
-----------
Pollution Control--1.0%
Molten Metal Technology Cv. 144A 5.50%, '06 (b) NR 6,250 4,375,000
WMX Technologies, Inc. Cv. 2%, '05 A 4,350 4,143,375
-----------
8,518,375
-----------
REITS--0.2%
Health Care Property, Inc. Cv. 144A 6%, '00 (b) BBB 1,500 1,468,125
-----------
Retail--0.2%
Home Depot, Inc. Cv. 3.25%, '01 A+ 2,000 2,010,000
-----------
Retail--Drug--0.6%
Rite Aid Corp. Cv. 0%, '06 (c) BBB 8,500 4,791,875
-----------
Telecommunications Equipment--0.2%
BBN Corp. Cv. 6%, '12 B(d) 1,650 1,534,500
-----------
Truckers & Marine--0.2%
Seacor Holdings, Inc. Cv. 144A 5.375%, '06 (b) BB+ 1,500 1,545,000
-----------
TOTAL CONVERTIBLE BONDS
(Identified cost $95,209,904) 94,115,501
-----------
See Notes to Financial Statements.
2
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Phoenix Income and Growth Fund
- --------------------------------------------------------------------------------
STANDARD PAR
& POOR'S VALUE
RATING (000) VALUE
--------- ----------- ---------------
NON-CONVERTIBLE BONDS--14.0%
Asset-Backed Securities--1.5%
Airplanes Pass Through Trust 1D 10.875%, '19 BB $ 1,400 $ 1,519,000
Fleetwood Credit Corp. 96-B, Class A 6.90%, '12 AAA 2,701 2,742,339
Green Tree Financial Corp. 96-4, A6 7.40%, '27 AAA 1,500 1,520,391
Green Tree Financial Corp. 96-2, M1 7.60%, '27 AA- 3,325 3,313,570
Green Tree Financial Corp. 96-3, B1 7.70%, '27 BBB+ 2,500 2,529,297
Green Tree Financial Corp. 96-4, M1 7.75%, '27 AA- 1,500 1,536,000
-----------
13,160,597
-----------
Auto & Truck Parts--0.5%
American Car Line Equipment 8.25%, '08 BBB- 3,994 4,104,139
-----------
Entertainment, Leisure & Gaming--1.5%
Turner Broadcasting 8.375%, '13 BB+ 3,000 3,027,660
Viacom International 8%, '06 BB- 10,000 9,425,000
-----------
12,452,660
-----------
Hospital Management & Services--0.6%
Tenet Healthcare
Corp. 9.625%, '02 BB 5,000 5,487,500
-----------
Lodging & Restaurants--0.6%
Host Marriott Travel Plaza, Inc. 9.50%, '05 BB- 5,000 5,050,000
-----------
Non-Agency Mortgage-Backed Securities--7.6%
DLJMA 96-CF1, A1B 144A 7.58%, '28 (b) AAA 1,400 1,447,250
G.E. Capital Mortgage Service 94-9, M 6.50%,
'24 AA 11,651 10,781,074
G.E. Capital Mortgage Service 96-8, M 7.25%,
'26 AA 498 487,583
Merrill Lynch Mortgage Inv. 95-C3 B 7.149%, '25 AA 2,850 2,820,609
Merrill Lynch Mortgage Inv. 96-C1 B 7.42%, '28 AA 1,910 1,928,503
Nationslink Funding Corp. 96-1 B 7.69%, '05 AA 1,500 1,535,156
Prudential Home Mortgage 94-15, M 6.80%, '24 AA(d) 8,511 8,019,030
Residential Asset Securitization Trust 96-A8,
C2 8%, '26 AAA 4,000 4,067,500
Residential Funding Mortgage 96-S1, A11 7.10%,
'26 AAA 2,800 2,679,250
Residential Funding Mortgage 96-S4, M1 7.25%,
'26 AA 2,983 2,903,071
Resolution Trust Corp. 92-C8, D 8.835%, '23 BBB- 7,466 7,720,682
Resolution Trust Corp. 94-C1, D 8%, '26 BBB 1,556 1,568,581
Resolution Trust Corp. 95-C2, B 6.80%, '27 Aa(d) 5,988 5,821,291
Securitized Asset Sales, Inc. 93-J, 2B 6.808%,
'23 A(d) 4,452 4,155,914
Structured Asset Securities Corp. 95-C4, B 7%,
'26 AA 5,198 5,085,630
Structured Asset Securities Corp. 96-CFL, C
6.525%, '28 A 1,430 1,385,759
Structured Asset Securities Corp. 95-C1, C
7.375%, '24 A 2,500 2,478,906
-----------
64,885,789
-----------
Paper & Forest Products--0.6%
Buckeye Cellulose Corp. 8.50%, '05 BB- 5,000 4,912,500
-----------
REITS--0.3%
Meditrust Corp. 7.375%, '00 BBB- 3,000 3,046,290
-----------
Textile & Apparel--0.6%
Westpoint Stevens 8.75%, '01 BB- 5,000 5,075,000
-----------
Truckers & Marine--0.2%
Teekay Shipping
Corp. 8.32%, '08 BB 1,645 1,599,763
-----------
TOTAL NON-CONVERTIBLE BONDS
(Identified cost $119,356,400) 119,774,238
-----------
FOREIGN NON-CONVERTIBLE BONDS--1.9%
Diversified Financial Services--0.3%
Astra Overseas Financial 144A 8.75%, '03 (b)
(Netherlands) NR 2,500 2,500,000
-----------
Paper & Forest Products--0.3%
Asia Pulp & Paper Co. Yankee 11.75%, '05
(Indonesia) BB 2,500 2,596,875
-----------
Telecommunications Equipment--1.0%
Rogers Cablesystems Ltd. 9.625%, '02 (Canada) BB+ 8,000 8,100,000
-----------
Utility--Gas--0.3%
Petropower Fundng 144A 7.36%, '14 (b) (Chile) BBB 2,400 2,302,752
-----------
TOTAL FOREIGN NON-CONVERTIBLE BONDS
(Identified cost $15,423,095) 15,499,627
-----------
FOREIGN GOVERNMENT SECURITIES--3.6%
Argentina--0.7%
Republic of Argentina Bearer FRB 6.625%, '05
(e) BB- 735 606,437
Republic of Argentina Discount L-GL Euro
6.438%, '23 (e) BB- 3,500 2,539,687
Republic of Argentina Par L-GP 5.25%, '23 (e) BB- 4,000 2,382,500
-----------
5,528,624
-----------
Brazil--0.7%
Republic of Brazil DCB-L Euro 6.563%, '12 (e) B+ 4,000 2,872,500
See Notes to Financial Statements.
3
<PAGE>
Phoenix Income and Growth Fund
- --------------------------------------------------------------------------------
STANDARD PAR
& POOR'S VALUE
RATING (000) VALUE
--------- ----------- ---------------
Brazil--continued
Republic of Brazil Discount Z-L Euro 6.50%, '24
(e) B+ $ 4,000 $ 2,950,000
-----------
5,822,500
-----------
Colombia--0.2%
Republic of Colombia Euro 9%, '97 BBB- 1,500 1,516,140
-----------
Croatia--0.3%
Croatia Series B 6.688%, '06 (e) NR 3,000 2,835,000
-----------
Mexico--0.7%
United Mexican States 144A 7.688%, '01 (b) (e) Baa(d) 1,600 1,600,480
United Mexican States Discount A 6.453%, '19
(e) (f) BB 500 411,250
United Mexican States Euro D 6.453%, '19 (e)
(f) BB 1,500 1,233,750
United Mexican States Series B Euro 6.25%, '19
(f) BB 4,250 2,980,313
-----------
6,225,793
-----------
Morocco--0.4%
Morocco R&C Agreement Series A 6.438%, '09 (e) NR 3,800 3,016,250
-----------
Panama--0.5%
Panama PDI 144A, PIK interest capitalization,
6.75%, '16 (b) (e) NR 6,000 4,462,500
-----------
Poland--0.1%
Poland Discount Euro 6.50%, '24 (e) BBB- 1,250 1,196,094
-----------
TOTAL FOREIGN GOVERNMENT SECURITIES
(Identified cost $28,664,827) 30,602,901
-----------
</TABLE>
<TABLE>
<CAPTION>
SHARES VALUE
--------- ---------
<S> <C> <C>
CONVERTIBLE PREFERRED STOCKS--10.0%
Banks--0.5%
H.F. Ahmanson & Co. Cv. Pfd. 6% 60,000 4,057,500
---------
Chemical--0.2%
Merrill Lynch, IGL (STRYPES) 35,000 1,373,750
---------
Diversified Financial Services--0.3%
Morgan Stanley Group PERCS 40,000 2,490,000
---------
Electrical Equipment--1.0%
Westinghouse Electric Corp. Cv. Pfd. 144A $1.30
(b) 580,000 8,917,500
---------
Entertainment, Leisure & Gaming--0.4%
Cablevision Systems Cv. Pfd. 8.50% 165,000 3,361,875
---------
Lodging & Restaurants--0.2%
Felcor Suite Hotels, Inc. Cv. Pfd. $1.95, '49 51,000 1,332,375
---------
Machinery--0.3%
Cooper Industries 6%, "Wyman notes" (DECS) 150,000 3,000,000
---------
Medical Products & Supplies--0.6%
U.S. Surgical Corp. $2.20 Series A '98 125,000 5,000,000
---------
Metals & Mining--0.9%
Coeur D'Alene Cv. Pfd. 7%, '00 210,000 3,491,250
Freeport-McMoRan Copper Cv. Pfd. 5%, '02 (e) 150,000 4,087,500
---------
7,578,750
---------
</TABLE>
<TABLE>
<CAPTION>
SHARES VALUE
--------- ---------------
<S> <C> <C>
Oil--3.1%
ARCO 9% "Lyondell" 100,000 $ 2,162,500
Occidental Petroleum Corp. Cv. Pfd. 144A
$3.875 (b) 220,000 12,842,500
Unocal Corp. Cv. Pfd. $3.50 176,100 9,377,325
Valero Energy Corp. Cv. Pfd. 6.25%, '49 31,000 1,616,500
-----------
25,998,825
-----------
Oil Service & Equipment--0.4%
Noble Drilling Corp. Cv. Pfd. $1.50 79,000 3,693,250
-----------
Publishing, Broadcasting, Printing & Cable--0.8%
American Radio Cv. Pfd. 144A 7% (b) 28,500 1,382,250
Merrill Lynch, Cox (STRYPES) 6%, '99 215,000 4,165,625
SFX Broadcasting, Inc. 144A 6.50%, '07 (b) 25,000 1,362,500
-----------
6,910,375
-----------
Telecommunications Equipment--0.6%
Global Star Telecom Cv. Pfd. 144A 6.50% (b) 64,000 3,008,000
TCI Pacific Communicatons Pfd. 5%, '06 25,000 2,075,000
-----------
5,083,000
-----------
Tobacco--0.5%
RJR Nabisco, Inc. 9.25% PERCS 823,500 4,632,188
-----------
Utility--Electric--0.2%
California Energy Capital Trust Cv. Pfd. 144A
(b) (c) 35,000 2,047,500
-----------
TOTAL CONVERTIBLE PREFERRED STOCKS
(Identified cost $81,005,020) 85,476,888
----------
PREFERRED STOCKS--2.8%
Banks--0.5%
Fleet Financial Group, Inc. Pfd. 9.30% 150,000 3,900,000
----------
Insurance--0.5%
Aon Corp. 8%, Pfd. 166,500 4,266,563
----------
Natural Gas--0.6%
Enron Capital $2.00 Pfd. Series C 225,000 5,596,875
----------
Publishing, Broadcasting, Printing & Cable--1.2%
News Corp. Overseas Ltd. Series A 8.625%, Pfd. 400,000 9,850,000
----------
TOTAL PREFERRED STOCKS
(Identified cost $24,120,575) 23,613,438
----------
COMMON STOCKS--32.7%
Advertising--0.9%
Interpublic Group Companies, Inc. 75,200 3,647,200
Omnicom Group, Inc. 81,600 4,059,600
----------
7,706,800
----------
Aerospace & Defense--0.9%
Lockheed Martin Corp. 45,800 4,104,825
Raytheon Co. 67,900 3,344,075
----------
7,448,900
----------
See Notes to Financial Statements.
4
<PAGE>
Phoenix Income and Growth Fund
- --------------------------------------------------------------------------------
SHARES VALUE
--------- ---------------
Airlines--0.6%
AMR Corp. (c) 61,700 $ 5,182,800
-----------
Banks--2.2%
BankAmerica Corp. 30,600 2,799,900
Barnett Banks, Inc. 158,490 6,042,431
Chase Manhattan Corp. 33,100 2,838,325
Citicorp 38,400 3,801,600
J.P. Morgan & Co., Inc. 39,900 3,446,362
-----------
18,928,618
-----------
Beverages--0.2%
Seagram Ltd. 50,000 1,893,750
-----------
Computer Software & Services--1.2%
Microsoft Corp. (c) 38,200 5,242,950
Oracle Corporation (c) 120,600 5,102,888
-----------
10,345,838
-----------
Cosmetics & Soaps--0.6%
Colgate Palmolive Co. 60,000 5,520,000
-----------
Diversified Financial Services--0.5%
First USA, Inc. 72,300 4,157,250
-----------
Diversified Miscellaneous--1.4%
Hillenbrand Industries, Inc. 165,000 6,105,000
Jostens, Inc. 50,100 1,077,150
Pioneer Hi Bred International, Inc. 66,400 4,457,100
-----------
11,639,250
-----------
Electrical Equipment--0.8%
General Electric Co. 70,600 6,830,550
-----------
Electronics--2.8%
Perkin Elmer Corp. 447,500 23,997,187
-----------
Healthcare--Diversified--0.5%
Warner-Lambert Co. 69,600 4,428,300
-----------
Healthcare--Drugs--0.9%
Lilly (Eli) & Co. 56,000 3,948,000
Merck & Co., Inc. 50,000 3,706,250
-----------
7,654,250
-----------
Hospital Management & Services--0.4%
Quorum Health Group, Inc. (c) 125,000 3,375,000
-----------
Insurance--2.2%
Allstate Corp. 85,400 4,793,075
American International Group, Inc. 41,600 4,518,800
Chubb Corp. 89,200 4,460,000
PartnerRe Ltd. 35,000 1,006,250
Western National Corp. 200,000 3,600,000
-----------
18,378,125
-----------
Lodging & Restaurants--0.5%
Sun International Hotels Ltd. (c) 82,500 3,898,125
-----------
Medical Products & Supplies--1.4%
Baxter International, Inc. 115,000 4,786,875
Guidant Corp. 95,600 4,409,550
Johnson & Johnson 60,000 2,955,000
-----------
12,151,425
-----------
Natural Gas--5.1%
Apache Corp. 102,200 3,628,100
Columbia Gas System, Inc. 40,000 2,430,000
Consolidated Natural Gas Co. 201,000 10,678,125
Enron Corp. 105,600 4,910,400
KN Energy, Inc. 51,800 1,936,025
New Jersey Resources Corp. 31,900 881,237
Pacific Enterprises 139,500 4,289,625
PanEnergy Corp. 193,800 7,461,300
Questar Corp. 51,800 1,864,800
Tejas Gas Corp. (c) 51,800 2,104,375
Williams Companies, Inc. 61,200 3,197,700
-----------
43,381,687
-----------
Office & Business Equipment--0.3%
Xerox Corp. 53,600 2,485,700
-----------
Oil--3.5%
Atlantic Richfield Co. 100,800 13,356,000
Chevron Corp. 72,100 4,740,575
NGC Corp. 170,800 3,074,400
Noble Affiliates, Inc. 171,413 7,456,454
Valero Energy Corp. 43,100 1,023,625
-----------
29,651,054
-----------
Oil Service & Equipment--2.2%
Diamond Offshore Drilling (c) 15,000 913,125
ENSCO International, Inc. (c) 106,400 4,601,800
Halliburton Co. 70,600 3,997,725
Schlumberger Ltd. 52,800 5,233,800
Tidewater, Inc. 98,700 4,318,125
-----------
19,064,575
-----------
Pollution Control--0.3%
WMX Technologies, Inc. 67,700 2,327,187
-----------
Professional Services--0.1%
CellNet Data Systems (c) 48,000 702,000
-----------
Publishing, Broadcasting, Printing & Cable--0.4%
Harcourt General, Inc. 69,900 3,477,525
-----------
REITS--0.6%
Meditrust Corp. 96,296 3,466,656
Patriot American Hospitality 55,000 1,931,875
-----------
5,398,531
-----------
Retail--0.5%
Circuit City Stores, Inc. 131,700 4,313,175
-----------
Retail-Food--0.3%
Hannaford Brothers Co. 78,300 2,358,787
-----------
Telecommunications Equipment--0.7%
Cisco Systems, Inc. (c) 82,700 5,117,062
Lucent Technologies, Inc. 14,292 671,724
-----------
5,788,786
-----------
Utility--Electric--0.6%
CMS Energy Corp. 150,000 4,743,750
------------
See Notes to Financial Statements.
5
<PAGE>
Phoenix Income and Growth Fund
- --------------------------------------------------------------------------------
SHARES VALUE
--------- ---------------
Utility--Gas--0.1%
MCN Corp.
35,900 $ 987,250
-----------
TOTAL COMMON STOCKS
(Identified cost $241,404,201) 278,216,175
-----------
FOREIGN COMMON STOCKS--5.8%
Building & Materials--0.3%
Cimentos De Portugal SA (Portugal) (c) 144,000 3,028,320
-----------
Chemical--0.3%
Potash Corp. of Saskatchewan, Inc. (Canada) 32,900 2,331,788
-----------
Cosmetics & Soaps--0.3%
Unilever NV (Netherlands) 15,000 2,293,125
-----------
Insurance--0.5%
GCR Holdngs, Ltd. (Bermuda) 40,000 930,000
LaSalle Re Holdings, Ltd. (Bermuda) (c) 40,000 1,160,000
Mid Ocean Ltd. (Bermuda) (c) 20,000 940,000
Renaissancere Holdings, Ltd. (Bermuda) 30,000 873,750
-----------
3,903,750
-----------
Miscellaneous--0.3%
Hutchison Whampoa (Hong Kong) 400,000 2,792,000
-----------
Oil--1.0%
Royal Dtuch Petroleum Co. ADR NY Reg Gldr.
(Netherlands) 50,000 8,268,750
-----------
Rails--0.6%
Canadian Pacific Ltd. (Canada) 195,500 4,936,375
-----------
REITS--0.9%
Henderson Land Development (Hong Kong) (c) 430,000 3,822,700
Sun Hung Kai Properties (Hong Kong) (c) 340,000 3,869,200
-----------
7,691,900
-----------
Retail--Food--0.4%
Safeway Ord (United Kingdom) (c) 600,000 3,564,000
-----------
Utility--Telephone--1.2%
BCE, Inc. (Canada) 225,000 10,350,000
-----------
TOTAL FOREIGN COMMON STOCKS
(Identified cost $43,486,014) 49,160,008
-----------
TOTAL LONG-TERM INVESTMENTS--91.6%
(Identified cost $732,484,007) 780,361,588
-----------
</TABLE>
<TABLE>
<CAPTION>
STANDARD PAR
& POOR'S VALUE
RATING (000) VALUE
--------- --------- ---------------
<S> <C> <C> <C>
SHORT-TERM OBLIGATIONS--8.1%
Commercial Paper--7.1%
Ciesco L.P. 5.62%, 11-1-96 A-1+ $ 6,190 $ 6,190,000
General Electric Capital Corp.
5.23%, 11-1-96 A-1+ 3,555 3,555,000
Procter & Gamble Co. 5.20%,
11-4-96 A-1+ 1,150 1,149,502
Cargill, Inc. 5.22%, 11-4-96 A-1+ 6,400 6,397,216
Marsh & McLennan Companies
5.27%, 11-4-96 A-1+ 2,730 2,728,801
Receivables Capital Corp. 5.25%,
11-5-96 A-1 3,045 3,043,224
Kimberly-Clark Corp. 5.27%,
11-6-96 A-1+ 770 769,436
International Lease Finance
Corp. 5.22%, 11-8-96 A-1 3,000 2,996,955
Southwestern Bell Telephone Co.
5.22%, 11-8-96 A-1+ 8,745 8,736,124
Receivables Capital Corp. 5.27%,
11-13-96 A-1 3,440 3,433,957
Warner-Lambert Co. 5.22%,
11-14-96 A-1+ 9,370 9,352,338
Preferred Receivables Funding
Corp. 5.26%, 11-14-96 A-1 3,115 3,109,083
DuPont (E.I.) De Nemours & Co.
5.24%, 11-15-96 A-1+ 1,495 1,491,954
Kellogg Co. 5.22%, 12-16-96 A-1+ 3,290 3,268,533
Minnesota Mining & Manufacturing
Co. 5.23%, 12-16-96 A-1+ 4,225 4,196,102
-----------
60,418,225
-----------
Federal Agency Securities--1.0%
Federal National Mortgage Assoc. 5.18%,
11-5-96 6,800 6,796,086
Federal National Mortgage Assoc. 5.18%,
11-15-96 2,190 2,185,588
-----------
8,981,674
-----------
TOTAL SHORT-TERM OBLIGATIONS
(Identified cost $69,401,175) 69,399,899
-----------
TOTAL INVESTMENTS--99.7%
(Identified cost $801,885,182) 849,761,487(a)
Cash and receivables, less liabilities--0.3% 2,232,590
-----------
NET ASSETS--100.0% $851,994,077
===========
</TABLE>
(a) Federal Income Tax Information: Net unrealized appreciation of investment
securities is comprised of gross appreciation of $62,537,688 and gross
depreciation of $14,703,644 for income tax purposes. At October 31, 1996,
the aggregate cost of securities for federal income tax purposes was
$801,927,443.
(b) Security exempt from registration under Rule 144A of the Securities Act
of 1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers. At October 31,
1996, these securities amount to a value of $84,773,420 or 10.0% of net
assets.
(c) Non-income producing.
(d) As rated by Moody's, Fitch or Duff & Phelp's.
(e) Variable or step coupon bond; interest rate shown reflects the rate
currently in effect.
(f) Recovery Euro Rights incorporated as a unit.
ADR--American Depository Receipt
See Notes to Financial Statements.
6
<PAGE>
Phoenix Income and Growth Fund
- --------------------------------------------------------------------------------
STATEMENT OF ASSETS AND LIABILITIES
OCTOBER 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
<S> <C>
Assets
Investment securities at value
(Identified cost $801,885,182) $849,761,487
Cash 1,355
Receivables
Investment securities sold 5,080,607
Fund shares sold 384,817
Dividends and interest 5,775,103
-----------
Total assets 861,003,369
-----------
Liabilities
Payables
Investment securities purchased 6,102,243
Fund shares repurchased 1,538,631
Investment advisory fee 509,369
Distribution fee 426,351
Transfer agent fee 243,113
Financial agent fee 21,830
Trustees' fee 9,511
Accrued expenses 158,244
------------
Total liabilities 9,009,292
------------
Net Assets $851,994,077
============
Net Assets Consist of:
Capital paid in on shares of beneficial interest $730,019,448
Undistributed net investment income 3,005,538
Accumulated net realized gain 71,092,786
Net unrealized appreciation 47,876,305
------------
Net Assets $851,994,077
============
Class A
Shares of beneficial interest outstanding, $0.0001 par
value, unlimited authorization
(Net Assets $470,469,910) 45,792,077
Net asset value per share $10.27
Offering price per share
$10.27/(1 - 4.75%) $10.78
Class B
Shares of beneficial interest outstanding, $0.0001 par
value, unlimited authorization
(Net Assets $381,524,167) 37,090,945
Net asset value and offering price per share $10.29
</TABLE>
STATEMENT OF OPERATIONS
SIX MONTHS ENDED OCTOBER 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
<S> <C>
Investment Income
Dividends $ 7,658,862
Interest 14,418,113
------------
Total investment income 22,076,975
------------
Expenses
Investment advisory fee 3,032,760
Distribution fee--Class A 599,789
Distribution fee--Class B 1,933,360
Financial agent 129,975
Transfer agent 738,335
Printing 69,246
Custodian 50,002
Professional 28,247
Registration 27,150
Trustees 10,244
Accrued expenses 10,278
------------
Total expenses 6,629,386
------------
Net investment income 15,447,589
------------
Net Realized and Unrealized Gain (Loss) on Investments
Net realized gain on securities 30,748,029
Net realized loss on foreign currency transactions (24,599)
Net change in unrealized appreciation (depreciation)
on investments (14,675,378)
------------
Net gain on investments 16,048,052
------------
Net increase in net assets resulting from operations $ 31,495,641
============
</TABLE>
See Notes to Financial Statements.
7
<PAGE>
Phoenix Income and Growth Fund
- --------------------------------------------------------------------------------
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
Six Months
Ended Year
October 31, 1996 Ended
(Unaudited) April 30, 1996
---------------- ---------------
<S> <C> <C>
From Operations
Net investment income $ 15,447,589 $ 36,235,156
Net realized gain 30,723,430 74,561,424
Net change in unrealized appreciation (depreciation) (14,675,378) 41,747,703
------------ ------------
Increase in net assets resulting from operations 31,495,641 152,544,283
------------ ------------
From Distributions to Shareholders
Net investment income--Class A (9,397,132) (21,775,957)
Net investment income--Class B (6,041,517) (13,920,528)
Net realized gains--Class A -- (1,790,547)
Net realized gains--Class B -- (1,413,822)
------------ ------------
Decrease in net assets from distributions to shareholders (15,438,649) (38,900,854)
------------ ------------
From Share Transactions
Class A
Proceeds from sales of shares (1,676,094 and 4,186,098 shares,
respectively) 16,816,450 40,001,714
Net asset value of shares issued from reinvestment of
distributions (718,866 and 1,892,290 shares, respectively) 7,176,878 18,094,132
Cost of shares repurchased (5,550,655 and 12,338,773 shares,
respectively) (55,758,163) (118,161,444)
------------ ------------
Total (31,764,835) (60,065,598)
------------ ------------
Class B
Proceeds from sales of shares (1,291,046 and 3,371,066 shares,
respectively) 12,968,601 32,278,099
Net asset value of shares issued from reinvestment of
distributions (443,384 and 1,165,398 shares, respectively) 4,433,169 11,169,191
Cost of shares repurchased (3,906,054 and 8,800,122 shares,
respectively) (39,322,615) (84,143,012)
------------ ------------
Total (21,920,845) (40,695,722)
------------ ------------
Decrease in net assets from share transactions (53,685,680) (100,761,320)
------------ ------------
Net increase (decrease) in net assets (37,628,688) 12,882,109
Net Assets
Beginning of period 889,622,765 876,740,656
------------ ------------
End of period (including undistributed net investment income
of $3,005,538 and $2,996,598, respectively) $851,994,077 $ 889,622,765
============ ============
</TABLE>
See Notes to Financial Statements.
8
<PAGE>
Phoenix Income and Growth Fund
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
(Selected data for a share outstanding throughout the indicated period)
<TABLE>
<CAPTION>
Class A
----------------------------------------------------------------
Year Ended April 30,
Six Months
Ended
10/31/96
(Unaudited) 1996 1995 1994 1993 1992
------------ ------------ ------------ ------------ ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of
period $ 10.08 $ 8.88 $ 9.33 $ 9.92 $ 9.13 $ 8.48
Income from investment
operations:
Net investment income 0.20 0.44 0.46 0.45 0.43 (1) 0.45
Net realized and unrealized
gain (loss) 0.19 1.22 0.03 (0.08) 0.88 0.88
---------- ---------- ---------- ---------- ---------- ----------
Total from investment
operations 0.39 1.66 0.49 0.37 1.31 1.33
---------- ---------- ---------- ---------- ---------- ----------
Less distributions:
Dividends from net investment
income (0.20) (0.42) (0.45) (0.44) (0.44) (0.44)
Distributions from net
realized gains -- (0.04) (0.33) (0.52) (0.08) (0.24)
Distributions in excess of
accumulated net realized
gains -- -- (0.16) -- -- --
---------- ---------- ---------- ---------- ---------- ----------
Total distributions (0.20) (0.46) (0.94) (0.96) (0.52) (0.68)
---------- ---------- ---------- ---------- ---------- ----------
Change in net asset value 0.19 1.20 (0.45) (0.59) 0.79 0.65
---------- ---------- ---------- ---------- ---------- ----------
Net asset value, end of period $ 10.27 $ 10.08 $ 8.88 $ 9.33 $ 9.92 $ 9.13
========== ========== ========== ========== ========== ==========
Total return (2) 3.94% (4) 19.01% 5.95% 3.38% 14.78% 16.28%
Ratios/supplemental data:
Net assets, end of period
(thousands) $470,470 $493,454 $490,225 $524,855 $514,803 $357,366
Ratio to average net assets of:
Expenses 1.21% (3) 1.18% 1.16% 1.23% 1.33% 1.38%
Net investment income 3.93% (3) 4.39% 5.07% 4.57% 4.60% 4.99%
Portfolio turnover 66% (4) 107% 90% 88% 44% 32%
Average commission rate paid
(5) $ 0.0572 N/A N/A N/A N/A N/A
</TABLE>
<TABLE>
<CAPTION>
Class B
----------------------------------------------------------------
Year Ended April 30,
Six Months From
Ended Inception
10/31/96 1/3/92 to
(Unaudited) 1996 1995 1994 1993 4/30/92
------------ ------------ ------------ ------------ ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of
period $ 10.09 $ 8.88 $ 9.32 $ 9.92 $ 9.13 $ 8.98
Income from investment
operations:
Net investment income 0.16 0.36 0.39 0.38 0.25 (1) 0.08
Net realized and unrealized
gain (loss) 0.20 1.23 0.04 (0.08) 1.00 0.15
---------- ---------- ---------- ---------- ---------- ----------
Total from investment
operations 0.36 1.59 0.43 0.30 1.25 0.23
---------- ---------- ---------- ---------- ---------- ----------
Less distributions:
Dividends from net investment
income (0.16) (0.34) (0.38) (0.38) (0.38) (0.08)
Distributions from net
realized gains -- (0.04) (0.33) (0.52) (0.08) --
Distributions in excess of
accumulated net realized
gains -- -- (0.16) -- -- --
---------- ---------- ---------- ---------- ---------- ----------
Total distributions (0.16) (0.38) (0.87) (0.90) (0.46) (0.08)
---------- ---------- ---------- ---------- ---------- ----------
Change in net asset value 0.20 1.21 (0.44) (0.60) 0.79 0.15
---------- ---------- ---------- ---------- ---------- ----------
Net asset value, end of period $ 10.29 $ 10.09 $ 8.88 $ 9.32 $ 9.92 $ 9.13
========== ========== ========== ========== ========== ==========
Total return (2) 3.61% (4) 18.14% 5.23% 2.62% 14.09% 2.69% (4)
Ratios/supplemental data:
Net assets, end of period
(thousands) $381,524 $396,169 $386,515 $378,847 $217,432 $21,983
Ratio to average net assets
of:
Expenses 1.96% (3) 1.93% 1.91% 1.91% 2.03% 2.08% (3)
Net investment income 3.18% (3) 3.64% 4.32% 3.98% 3.73% 4.07% (3)
Portfolio turnover 66% (4) 107% 90% 88% 44% 32%
Average commission rate paid
(5) $ 0.0572 N/A N/A N/A N/A N/A
</TABLE>
(1) Computed using average shares outstanding.
(2) Maximum sales charge is not reflected in total return calculation.
(3) Annualized
(4) Not annualized
(5) For fiscal years beginning on or after September 1, 1995, a fund is
required to disclose its average commission rate per share for securities
trades on which commissions are charged. This rate generally does not
reflect mark-ups, mark-downs, or spreads on shares traded on a principal
basis.
See Notes to Financial Statements.
9
<PAGE>
PHOENIX INCOME AND GROWTH FUND
NOTES TO FINANCIAL STATEMENTS
October 31, 1996 (Unaudited)
1. SIGNIFICANT ACCOUNTING POLICIES
Phoenix Income and Growth Fund (the "Fund") is organized as a
Massachusetts business trust and is registered under the Investment Company
Act of 1940, as amended, as a diversified open-end management investment
company. The Fund's primary investment objective is to invest in a
diversified group of securities that are selected for current yield
consistent with preservation of capital. The Fund offers both Class A and
Class B shares. Class A shares are sold with a front-end sales charge of up
to 4.75%. Class B shares are sold with a contingent deferred sales charge
which declines from 5% to zero depending on the period of time the shares are
held. Both classes of shares have identical voting, dividend, liquidation and
other rights and the same terms and conditions, except that each class bears
different distribution expenses and has exclusive voting rights with respect
to its distribution plan. Income and expenses of the Fund are borne pro rata
by the holders of both classes of shares, except that each class bears
distribution expenses unique to that class.
The following is a summary of significant accounting policies consistently
followed by the Fund in the preparation of its financial statements. These
policies are in conformity with generally accepted accounting principles. The
preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions
that affect the reported amounts of assets, liabilities, revenues and
expenses. Actual results could differ from those estimates.
A. Security valuation:
Equity securities are valued at the last sale price, or if there had been
no sale that day, at the last bid price. Debt securities are valued on the
basis of broker quotations or valuations provided by a pricing service which
utilizes information with respect to market transactions in comparable
securities, quotations from dealers, and various relationships between
securities in determining value. Short-term investments having a remaining
maturity of 60 days or less are valued at amortized cost which approximates
market. All other securities and assets are valued at their fair value as
determined in good faith by or under the direction of the Trustees.
B. Security transactions and related income:
Security transactions are recorded on the trade date. Dividend income is
recorded on the ex-dividend date or, in the case of certain foreign
securities, as soon as the Fund is notified. Interest income is recorded on
the accrual basis. Discounts are amortized to income using the effective
interest method. Realized gains and losses are determined on the identified
cost basis.
C. Income taxes:
It is the policy of the Fund to comply with the requirements of the
Internal Revenue Code (the "Code") applicable to regulated investment
companies and to distribute substantially all of its taxable income to its
shareholders. In addition, the Fund intends to distribute an amount
sufficient to avoid imposition of any excise tax under Section 4982 of the
Code. Therefore, no provision for federal income taxes or excise taxes has
been made.
D. Distributions to shareholders:
Distributions to shareholders are recorded on the ex-dividend date. Income
and capital gain distributions are determined in accordance with income tax
regulations which may differ from generally accepted accounting principles.
These differences include the treatment of non-taxable dividends, expiring
capital loss carryforwards, foreign currency gain/loss, partnerships, and
losses deferred due to wash sales and excise tax regulations. Permanent book
and tax basis differences relating to shareholder distributions will result
in reclassifications to paid in capital.
E. Foreign currency translation:
Foreign securities, other assets and liabilities are valued using the
foreign currency exchange rate effective at the end of the reporting period.
Cost of investments is translated at the currency exchange rate effective at
the trade date. The gain or loss resulting from a change in currency exchange
rates between the trade and settlement dates of a portfolio transaction is
treated as a gain or loss on foreign currency. Likewise, the gain or loss
resulting from a change in currency exchange rates, between the date income
is accrued and paid, is treated as a gain or loss on foreign currency. The
Fund does not separate that portion of the results of operations arising from
changes in exchange rates and that portion arising from changes in the market
prices of securities.
2. INVESTMENT ADVISORY FEE AND RELATED PARTY TRANSACTIONS
As compensation for its services to the Fund, the Investment Adviser,
National Securities and Research Corporation, an indirect majority-owned
subsidiary of Phoenix Home Life Mutual Insurance Company ("PHL"), is entitled
to a fee at an annual rate of 0.70% of the average daily net
10
<PAGE>
PHOENIX INCOME AND GROWTH FUND
NOTES TO FINANCIAL STATEMENTS
October 31, 1996 (Unaudited) (Continued)
assets of the Fund for the first $1.0 billion and 0.65% for the second $1.0
billion.
As Distributor of the Fund's shares, Phoenix Equity Planning Corp.
("PEPCO"), an indirect majority-owned subsidiary of PHL, has advised the Fund
that it retained net selling commissions of $24,903 for Class A shares and
deferred sales charges of $495,997 for Class B shares for the six months
ended October 31, 1996. In addition, the Fund pays PEPCO a distribution fee
at an annual rate of 0.25% for Class A shares and 1.00% for Class B shares of
the average daily net assets of the Fund. The Distribution Plan for Class A
shares provides for fees to be paid up to a maximum on an annual basis of
0.30%; the Distributor has voluntarily agreed to limit the fee to 0.25%. The
Distributor has advised the Fund that of the total amount expensed for the
six months ended October 31, 1996, $1,549,809 was earned by the Distributor
and $983,340 was earned by unaffiliated participants.
As Financial Agent of the Fund, PEPCO receives a fee at an annual rate of
0.03% of the average daily net assets of the Fund for bookkeeping,
administration and pricing services. PEPCO serves as the Fund's Transfer
Agent with State Street Bank and Trust Company as sub-transfer agent. For the
six months ended October 31, 1996, transfer agent fees were $738,335 of which
PEPCO retained $254,147 which is net of fees paid to State Street.
At October 31, 1996, PHL and affiliates held 108 Class A shares and 15
Class B shares of the Fund with a combined value of $1,264.
3. PURCHASE AND SALE OF SECURITIES
Purchases and sales of securities, excluding short-term securities, for
the six months ended October 31, 1996, aggregated $528,949,183 and
$638,484,988, including $22,512,244 and $37,674,724 of U.S. Government and
Agency securities, respectively.
This report is authorized for use by other than shareholders only when
accompanied or preceded by the delivery of a current prospectus showing the
sales charge and other material information.
11
<PAGE>
PHOENIX INCOME AND GROWTH FUND
101 Munson Street
Greenfield, Massachusetts 01301
Trustees
C. Duane Blinn
Robert Chesek
E. Virgil Conway
Harry Dalzell-Payne
Francis E. Jeffries
Leroy Keith, Jr.
Philip R. McLoughlin
Everett L. Morris
James M. Oates
Calvin J. Pedersen
Philip R. Reynolds
Herbert Roth, Jr.
Richard E. Segerson
Lowell P. Weicker, Jr.
Officers
Philip R. McLoughlin, President
Michael E. Haylon, Executive Vice President
David R. Pepin, Executive Vice President
William J. Newman, Senior Vice President
John M. Hamlin, Vice President
William R. Moyer, Vice President
Leonard J. Saltiel, Vice President
Nancy G. Curtiss, Treasurer
G. Jeffrey Bohne, Secretary
Investment Adviser
National Securities & Research Corporation
56 Prospect Street
Hartford, Connecticut 06115-0480
Principal Underwriter
Phoenix Equity Planning Corporation
100 Bright Meadow Boulevard
P.O. Box 2200
Enfield, Connecticut 06083-2200
Transfer Agent
Phoenix Equity Planning Corporation
100 Bright Meadow Boulevard
P.O. Box 2200
Enfield, Connecticut 06083-2200
Custodian
State Street Bank and Trust Company
P.O. Box 351
Boston, Massachusetts 02101
Legal Counsel
Dechert Price & Rhoads
1500 K Street, N.W.
Washington, D.C. 20005-1208
<PAGE>
[THIS PAGE INTENTIONALLY LEFT BLANK]
<PAGE>
Phoenix Income and Growth Fund
P.O. Box 2200
Enfield, CT 06083-2200
PHOENIX DUFF & PHELPS LOGO
PDP 661 (12/96)
Bulk Rate Mail
U.S. Postage
PAID
Springfield, MA
Permit No. 444
DALBAR LOGO
<TABLE> <S> <C>
<ARTICLE> 6
<SERIES>
<NUMBER> 001
<NAME> PHOENIX INCOME & GROWTH FUND CLASS A
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> APR-30-1997
<PERIOD-START> MAY-01-1996
<PERIOD-END> OCT-31-1996
<INVESTMENTS-AT-COST> 801885
<INVESTMENTS-AT-VALUE> 849761
<RECEIVABLES> 11241
<ASSETS-OTHER> 1
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 861003
<PAYABLE-FOR-SECURITIES> 6102
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 2907
<TOTAL-LIABILITIES> 9009
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 730019
<SHARES-COMMON-STOCK> 45792
<SHARES-COMMON-PRIOR> 48948
<ACCUMULATED-NII-CURRENT> 3006
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 71093
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 47876
<NET-ASSETS> 851994
<DIVIDEND-INCOME> 7659
<INTEREST-INCOME> 14418
<OTHER-INCOME> 0
<EXPENSES-NET> (6629)
<NET-INVESTMENT-INCOME> 15448
<REALIZED-GAINS-CURRENT> 30723
<APPREC-INCREASE-CURRENT> (14675)
<NET-CHANGE-FROM-OPS> 31496
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 9397
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 1676
<NUMBER-OF-SHARES-REDEEMED> (5551)
<SHARES-REINVESTED> 719
<NET-CHANGE-IN-ASSETS> (22984)
<ACCUMULATED-NII-PRIOR> 2997
<ACCUMULATED-GAINS-PRIOR> 40369
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 3033
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 6629
<AVERAGE-NET-ASSETS> 859439
<PER-SHARE-NAV-BEGIN> 10.08
<PER-SHARE-NII> 0.20
<PER-SHARE-GAIN-APPREC> 0.19
<PER-SHARE-DIVIDEND> (0.20)
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 10.27
<EXPENSE-RATIO> 1.21
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<SERIES>
<NUMBER> 002
<NAME> PHOENIX INCOME & GROWTH FUND CLASS B
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> APR-30-1997
<PERIOD-START> MAY-01-1996
<PERIOD-END> OCT-31-1996
<INVESTMENTS-AT-COST> 801885
<INVESTMENTS-AT-VALUE> 849761
<RECEIVABLES> 11241
<ASSETS-OTHER> 1
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 861003
<PAYABLE-FOR-SECURITIES> 6102
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 2907
<TOTAL-LIABILITIES> 9009
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 730019
<SHARES-COMMON-STOCK> 37091
<SHARES-COMMON-PRIOR> 39263
<ACCUMULATED-NII-CURRENT> 3006
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 71093
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 47876
<NET-ASSETS> 851994
<DIVIDEND-INCOME> 7659
<INTEREST-INCOME> 14418
<OTHER-INCOME> 0
<EXPENSES-NET> (6629)
<NET-INVESTMENT-INCOME> 15448
<REALIZED-GAINS-CURRENT> 30723
<APPREC-INCREASE-CURRENT> (14675)
<NET-CHANGE-FROM-OPS> 31496
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 6042
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 1291
<NUMBER-OF-SHARES-REDEEMED> (3906)
<SHARES-REINVESTED> 443
<NET-CHANGE-IN-ASSETS> (14645)
<ACCUMULATED-NII-PRIOR> 2997
<ACCUMULATED-GAINS-PRIOR> 40369
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 3033
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 6629
<AVERAGE-NET-ASSETS> 859439
<PER-SHARE-NAV-BEGIN> 10.09
<PER-SHARE-NII> 0.16
<PER-SHARE-GAIN-APPREC> 0.20
<PER-SHARE-DIVIDEND> (0.16)
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 10.29
<EXPENSE-RATIO> 1.96
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
