PaineWebber
EUROPE GROWTH FUND
RECENT PERFORMANCE RESULTS (unaudited)
Net Asset Value Total Return 1
-------------------------- -----------------------------
6 Months 12 Months
04/30/95 10/31/94 04/30/94 Ended 04/30/95 Ended 04/30/95
- -----------------------------------------------------------------------
Class A Shares $9.24 $8.99 $9.97 2.78% -7.32%
- -----------------------------------------------------------------------
Class B Shares 9.01 8.81 9.81 2.27 -8.15
- -----------------------------------------------------------------------
Class D Shares 9.07 8.86 9.87 2.37 -8.11
- -----------------------------------------------------------------------
Performance Summary Class A Shares
Net Asset Value
----------------- Capital Gains Total
Period Covered Beginning Ending Distributed Dividends Paid Return 1
- --------------------------------------------------------------------------------
02/07/90 - 12/31/90 $9.55 $8.48 $0.0500 $0.1200 -9.39%
- -------------------------------------------------------------------------------
1991 8.48 8.22 - 0.2432 -0.18
- -------------------------------------------------------------------------------
1992 8.22 7.44 - - -9.49
- -------------------------------------------------------------------------------
1993 7.44 9.49 0.3454 0.0194 32.48
- -------------------------------------------------------------------------------
1994 9.49 8.71 - - -8.22
- -------------------------------------------------------------------------------
01/01/95 - 04/30/95 8.71 9.24 - - 6.08
- -------------------------------------------------------------------------------
Totals: $0.3954 $0.3826
- -------------------------------------------------------------------------------
Cumulative Total Return as of 04/30/95: 5.60%
- -------------------------------------------------------------------------------
Performance Summary Class B Shares
Net Asset Value
----------------- Capital Gains Total
Period Covered Beginning Ending Distributed Dividends Paid Return 1
- --------------------------------------------------------------------------------
07/01/91 - 12/31/91 $8.52 $8.21 - $0.2231 - 1.00%
- -------------------------------------------------------------------------------
1992 8.21 7.38 - - -10.11
- -------------------------------------------------------------------------------
1993 7.38 9.36 $0.3454 - 31.53
- -------------------------------------------------------------------------------
1994 9.36 8.53 - - -8.87
- -------------------------------------------------------------------------------
01/01/95 - 04/30/95 8.53 9.01 - - 5.63
- -------------------------------------------------------------------------------
Totals: $0.3454 $0.2231
- -------------------------------------------------------------------------------
Cumulative Total Return as of 04/30/95: 12.67%
- -------------------------------------------------------------------------------
Performance Summary Class D Shares
Net Asset Value
----------------- Capital Gains Total
Period Covered Beginning Ending Distributed Dividends Paid Return 1
- --------------------------------------------------------------------------------
07/06/92 - 12/31/92 $8.33 $7.42 - - -10.92%
- --------------------------------------------------------------------------------
1993 7.42 9.41 $0.3454 - 31.49
- --------------------------------------------------------------------------------
1994 9.41 8.58 - - -8.82
- --------------------------------------------------------------------------------
01/01/95 - 04/30/95 8.58 9.07 - - 5.71
- --------------------------------------------------------------------------------
Totals: $0.3454 -
- --------------------------------------------------------------------------------
Cumulative Total Return as of 04/30/95: 12.90%
- --------------------------------------------------------------------------------
30
PaineWebber
EUROPE GROWTH FUND
Average Annual Return
<TABLE>
<CAPTION>
% Return After Deducting
% Return Without Sales Charge Maximum Sales Charge
----------------------------- ------------------------
Class Class
----------------------------- ------------------------
<S> <C> <C> <C> <C> <C> <C>
A* B** D*** A* B** D***
- -----------------------------------------------------------------------------------
Twelve Months Ended 03/31/95 -7.10% -7.94% -7.90% -11.27% -12.94% -7.90%
- -----------------------------------------------------------------------------------
Five Years Ended 03/31/95 0.19% N/A N/A -0.72% N/A N/A
- -----------------------------------------------------------------------------------
Commencement of Operations
Through 03/31/95+ 0.33% 2.24% 3.13% -0.56% 1.74% 3.13%
- -----------------------------------------------------------------------------------
</TABLE>
1 Figures assume reinvestment of all dividends and capital gains
distributions, if any, at net asset value on the payable dates, and do not
include sales charges; results for Class A and Class B shares would be lower
if sales charges were included.
* Maximum sales charge for Class A shares is 4.5% of the public offering
price. Class A shares bear ongoing 12b-1 service fees.
** Maximum contingent deferred sales charge for Class B shares is 5.0% and is
reduced to 0% after 6 years. Class B shares bear ongoing 12b-1 distribution
and service fees.
*** Class D shares are sold without an initial or a contingent deferred sales
charge but bear ongoing 12b-1 distribution and service fees.
+ Commencement of operations dates are February 7, 1990, July 1, 1991 and
July 6, 1992 for Class A, Class B and Class D, respectively.
The data above represent past performance of the Fund's shares, which is no
guarantee of future results. The investment return and principal value of an
investment in the Fund will fluctuate, so that an investor's shares, when
redeemed, may be worth more or less than their original cost.
31
PaineWebber
GLOBAL ENERGY FUND
RECENT PERFORMANCE RESULTS (unaudited)
Net Asset Value Total Return 1
-------------------------- -----------------------------
6 Months 12 Months
04/30/95 10/31/94 04/30/94 Ended 04/30/95 Ended 04/30/95
- -----------------------------------------------------------------------
Class A Shares $11.18 $11.39 $11.43 -1.84% -2.19%
- -----------------------------------------------------------------------
Class B Shares 11.17 11.38 11.46 -1.85 -2.53
- -----------------------------------------------------------------------
Class D Shares 11.03 11.28 11.37 -2.22 -2.99
- -----------------------------------------------------------------------
Performance Summary Class A Shares
Net Asset Value
----------------- Capital Gains Total
Period Covered Beginning Ending Distributed Dividends Paid Return 1
- --------------------------------------------------------------------------------
07/01/91 - 12/31/91 $11.20 $12.14 - $0.0907 9.22%
- --------------------------------------------------------------------------------
1992 12.14 11.50 - 0.2170 -3.77
- --------------------------------------------------------------------------------
1993 11.50 11.24 $1.8406 0.2079 15.78
- --------------------------------------------------------------------------------
1994 11.24 10.20 - - -9.25
- --------------------------------------------------------------------------------
01/01/95 - 04/30/95 10.20 11.18 - - 9.61
- --------------------------------------------------------------------------------
Totals: $1.8406 $0.5156
- --------------------------------------------------------------------------------
Cumulative Total Return as of 04/30/95: 21.39%
- --------------------------------------------------------------------------------
Performance Summary Class B Shares
Net Asset Value
----------------- Capital Gains Total
Period Covered Beginning Ending Distributed Dividends Paid Return 1
- --------------------------------------------------------------------------------
09/18/87 - 12/31/87 $10.00 $9.25 - $0.0820 -6.66%
- --------------------------------------------------------------------------------
1988 9.25 10.41 $0.0570 0.2805 16.24
- --------------------------------------------------------------------------------
1989 10.41 12.59 0.7290 0.2111 30.30
- --------------------------------------------------------------------------------
1990 12.59 11.25 0.6925 0.1100 -4.21
- --------------------------------------------------------------------------------
1991 11.25 12.16 - 0.1277 9.28
- --------------------------------------------------------------------------------
1992 12.16 11.54 - 0.1118 -4.42
- --------------------------------------------------------------------------------
1993 11.54 11.31 1.8406 0.0562 14.66
- --------------------------------------------------------------------------------
1994 11.31 10.19 - - -9.90
- --------------------------------------------------------------------------------
01/01/95 - 04/30/95 10.19 11.17 - - 9.62
- --------------------------------------------------------------------------------
Totals: $3.3191 $0.9793
- --------------------------------------------------------------------------------
Cumulative Total Return as of 04/30/95: 62.15%
- --------------------------------------------------------------------------------
Performance Summary Class D Shares
Net Asset Value
----------------- Capital Gains Total
Period Covered Beginning Ending Distributed Dividends Paid Return 1
- --------------------------------------------------------------------------------
07/08/92 - 12/31/92 $11.95 $11.48 - $0.1367 -2.93%
- --------------------------------------------------------------------------------
1993 11.48 11.22 $1.8406 0.1037 14.89
- --------------------------------------------------------------------------------
1994 11.22 10.09 - - -10.07
- --------------------------------------------------------------------------------
01/01/95 - 04/30/95 10.09 11.03 - - 9.32
- --------------------------------------------------------------------------------
Totals: $1.8406 $0.2404
- --------------------------------------------------------------------------------
Cumulative Total Return as of 04/30/95: 9.80%
- --------------------------------------------------------------------------------
32
PaineWebber
GLOBAL ENERGY FUND
Average Annual Return
<TABLE>
<CAPTION>
% Return After Deducting
% Return Without Sales Charge Maximum Sales Charge
----------------------------- -----------------------
Class Class
----------------------------- -----------------------
<S> <C> <C> <C> <C> <C> <C>
A* B** D*** A* B** D***
- ----------------------------------------------------------------------------------
Twelve Months Ended 03/31/95 -4.09% -4.53% -4.93% -8.42% -9.53% -4.93%
- ----------------------------------------------------------------------------------
Five Years Ended 03/31/95 N/A 1.70% N/A N/A 1.33% N/A
- ----------------------------------------------------------------------------------
Commencement of Operations
Through 03/31/95+ 3.69% 5.81% 1.31% 2.42% 5.81% 1.31%
- ----------------------------------------------------------------------------------
</TABLE>
1 Figures assume reinvestment of all dividends and capital gains
distributions, if any, at net asset value on the payable dates, and do not
include sales charges; results for Class A and Class B shares would be
lower if sales charges were included.
* Maximum sales charge for Class A shares is 4.5% of the public offering
price. Class A shares bear ongoing 12b-1 service fees.
** Maximum contingent deferred sales charge for Class B shares is 5.0% and is
reduced to 0% after 6 years. Class B shares bear ongoing 12b-1 distribution
and service fees.
*** Class D shares are sold without an initial or a contingent deferred sales
charge but bear ongoing 12b-1 distribution and service fees.
+ Commencement of operations dates are July 1, 1991, September 18, 1987 and
July 8, 1992 for Class A, Class B and Class D, respectively.
The data above represent past performance of the Fund's shares, which is no
guarantee of future results. The investment return and principal value of an
investment in the Fund will fluctuate, so that an investor's shares, when
redeemed, may be worth more or less than their original cost.
33
PaineWebber
GLOBAL GROWTH AND INCOME FUND
RECENT PERFORMANCE RESULTS (unaudited)
Net Asset Value Total Return 1
-------------------------- -----------------------------
6 Months 12 Months
04/30/95 10/31/94 04/30/94 Ended 04/30/95 Ended 04/30/95
- -----------------------------------------------------------------------
Class A Shares $9.83 $11.20 $10.61 -9.11% -4.05%
- -----------------------------------------------------------------------
Class B Shares 9.64 11.03 10.49 -9.44 -4.77
- -----------------------------------------------------------------------
Class D Shares 9.65 11.05 10.51 -9.51 -4.86
- -----------------------------------------------------------------------
Performance Summary Class A Shares
Net Asset Value
----------------- Capital Gains Total
Period Covered Beginning Ending Distributed Dividends Paid Return 1
- --------------------------------------------------------------------------------
06/09/89 - 12/31/89 $ 9.55 $10.23 $0.0600 $0.3135 11.03%
- --------------------------------------------------------------------------------
1990 10.23 8.99 0.4510 0.9190 1.34
- --------------------------------------------------------------------------------
1991 8.99 9.46 - 0.4408 10.03
- --------------------------------------------------------------------------------
1992 9.46 8.90 - 0.2520 -3.30
- --------------------------------------------------------------------------------
1993 8.90 11.74 - - 35.01
- --------------------------------------------------------------------------------
1994 11.74 10.15 - 0.2710 -10.46
- --------------------------------------------------------------------------------
01/01/95 - 04/30/95 10.15 9.83 0.3561 - -3.15
- --------------------------------------------------------------------------------
Totals: $0.8671 $2.1963
- --------------------------------------------------------------------------------
Cumulative Total Return as of 04/30/95: 40.74%
- --------------------------------------------------------------------------------
Performance Summary Class B Shares
Net Asset Value
----------------- Capital Gains Total
Period Covered Beginning Ending Distributed Dividends Paid Return 1
- --------------------------------------------------------------------------------
07/01/91 - 12/31/91 $ 8.58 $ 9.44 - $0.1358 -11.62%
- --------------------------------------------------------------------------------
1992 9.44 8.87 - 0.1937 - 4.04
- --------------------------------------------------------------------------------
1993 8.87 11.64 - - 34.06
- --------------------------------------------------------------------------------
1994 11.64 9.98 - 0.2464 -11.16
- --------------------------------------------------------------------------------
01/01/95 - 04/30/95 9.98 9.64 $0.3561 - -3.41
- --------------------------------------------------------------------------------
Totals: $0.3561 $0.5759
- --------------------------------------------------------------------------------
Cumulative Total Return as of 04/30/95: 23.23%
- --------------------------------------------------------------------------------
Performance Summary Class D Shares
Net Asset Value
----------------- Capital Gains Total
Period Covered Beginning Ending Distributed Dividends Paid Return 1
- --------------------------------------------------------------------------------
07/02/92 - 12/31/92 $ 9.32 $ 8.89 - $0.0263 -4.33%
- --------------------------------------------------------------------------------
1993 8.89 11.65 - - 33.90
- --------------------------------------------------------------------------------
1994 11.65 9.99 - 0.2561 -11.15
- --------------------------------------------------------------------------------
01/01/95 - 04/30/95 9.99 9.65 $0.3561 - -3.40
- --------------------------------------------------------------------------------
Totals: $0.3561 $0.2824
- --------------------------------------------------------------------------------
Cumulative Total Return as of 04/30/95: 10.00%
- --------------------------------------------------------------------------------
34
PaineWebber
GLOBAL GROWTH AND INCOME FUND
Average Annual Return
<TABLE>
<CAPTION>
% Return After Deducting
% Return Without Sales Charge Maximum Sales Charge
----------------------------- ------------------------
Class Class
----------------------------- ------------------------
<S> <C> <C> <C> <C> <C> <C>
A* B** D*** A* B** D***
- -----------------------------------------------------------------------------------
Twelve Months Ended 03/31/95 -6.41% -7.05% -7.13% -10.63% -12.05% -7.13%
- -----------------------------------------------------------------------------------
Five Years Ended 03/31/95 5.50% N/A N/A 4.54% N/A N/A
- -----------------------------------------------------------------------------------
Commencement of Operations
Through 03/31/95+ 5.90% 5.55% 3.29% 5.07% 5.09% 3.29%
- -----------------------------------------------------------------------------------
</TABLE>
1 Figures assume reinvestment of all dividends and capital gains
distributions, if any, at net asset value on the payable dates, and do not
include sales charges; results for Class A and Class B shares would be
lower if sales charges were included.
* Maximum sales charge for Class A shares is 4.5% of the public offering
price. Class A shares bear ongoing 12b-1 service fees.
** Maximum contingent deferred sales charge for Class B shares is 5.0% and is
reduced to 0% after 6 years. Class B shares bear ongoing 12b-1 distribution
and service fees.
*** Class D shares are sold without an initial or a contingent deferred sales
charge but bear ongoing 12b-1 distribution and service fees.
+ Commencement of operations dates are June 9, 1989, July 1, 1991 and July 2,
1992 for Class A, Class B and Class D, respectively.
The data above represent past performance of the Fund's shares, which is no
guarantee of future results. The investment return and principal value of an
investment in the Fund will fluctuate, so that an investor's shares, when
redeemed, may be worth more or less than their original cost.
35
PaineWebber
GLOBAL INCOME FUND
RECENT PERFORMANCE RESULTS (unaudited)
Net Asset Value Total Return 1
-------------------------- -----------------------------
6 Months 12 Months
04/30/95 10/31/94 04/30/94 Ended 04/30/95 Ended 04/30/95
- -----------------------------------------------------------------------
Class A Shares $10.23 $9.99 $10.29 5.71% 6.13%
- -----------------------------------------------------------------------
Class B Shares 10.20 9.96 10.27 5.39 5.30
- -----------------------------------------------------------------------
Class D Shares 10.22 9.98 10.28 5.49 5.64
- -----------------------------------------------------------------------
Performance Summary Class A Shares
<TABLE>
<CAPTION>
Net Asset Value
---------------- Capital Gains Dividends Paid from Total
Period Covered Beginning Ending Distributed Paid Capital Return 1
- -------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
07/01/91 - 12/31/91 $10.40 $11.05 $0.0100 $0.4800 - 11.11%
- -------------------------------------------------------------------------------------
1992 11.05 10.42 0.1644 0.6029 - 1.22
- -------------------------------------------------------------------------------------
1993 10.42 10.97 0.1445 0.6092 - 14.16
- -------------------------------------------------------------------------------------
1994 10.97 9.90 - 0.4556 $0.3178 -3.89
- -------------------------------------------------------------------------------------
01/01/95 - 04/30/95 9.90 10.23 - 0.1942 - 5.29
- -------------------------------------------------------------------------------------
Totals: $0.3189 $2.3419 $0.3178
- -------------------------------------------------------------------------------------
Cumulative Total Return as of 04/30/95: 29.94%
- -------------------------------------------------------------------------------------
</TABLE>
Performance Summary Class B Shares
<TABLE>
<CAPTION>
Net Asset Value
---------------- Capital Gains Dividends Paid from Total
Period Covered Beginning Ending Distributed Paid Capital Return 1
- -------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
03/20/87 - 12/31/87 $10.00 $10.86 $0.1800 $0.6647 - 17.58%
- -------------------------------------------------------------------------------------
1988 10.86 10.64 0.1489 1.3436 - 12.15
- -------------------------------------------------------------------------------------
1989 10.64 10.25 - 0.9200 - 5.44
- -------------------------------------------------------------------------------------
1990 10.25 10.87 - 1.1300 - 17.72
- -------------------------------------------------------------------------------------
1991 10.87 11.05 0.0100 0.9100 - 10.75
- -------------------------------------------------------------------------------------
1992 11.05 10.41 0.1644 0.5214 - 0.38
- -------------------------------------------------------------------------------------
1993 10.41 10.96 0.1445 0.5545 - 13.36
- -------------------------------------------------------------------------------------
1994 10.96 9.87 - 0.4049 $0.2810 -4.77
- -------------------------------------------------------------------------------------
01/01/95 - 04/30/95 9.87 10.20 - 0.1743 - 5.11
- -------------------------------------------------------------------------------------
Totals: $0.6478 $6.6234 $0.2810
- -------------------------------------------------------------------------------------
Cumulative Total Return as of 04/30/95: 110.03%
- -------------------------------------------------------------------------------------
</TABLE>
Performance Summary Class D Shares
<TABLE>
<CAPTION>
Net Asset Value
---------------- Capital Gains Dividends Paid from Total
Period Covered Beginning Ending Distributed Paid Capital Return 1
- -------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
07/02/92 - 12/31/92 $10.94 $10.42 - $0.5388 - 0.10%
- -------------------------------------------------------------------------------------
1993 10.42 10.97 $0.1445 0.5736 - 13.64
- -------------------------------------------------------------------------------------
1994 10.97 9.89 - 0.4225 $0.2938 -4.43
- -------------------------------------------------------------------------------------
01/01/95 - 04/30/95 9.89 10.22 - 0.1810 - 5.17
- -------------------------------------------------------------------------------------
Totals: $0.1445 $1.7159 $0.2938
- -------------------------------------------------------------------------------------
Cumulative Total Return as of 04/30/95: 14.33%
- -------------------------------------------------------------------------------------
</TABLE>
36
PaineWebber
GLOBAL INCOME FUND
Average Annual Return
<TABLE>
<CAPTION>
% Return After Deducting
% Return Without Sales Charge Maximum Sales Charge
----------------------------- -----------------------
Class Class
----------------------------- -----------------------
A* B** D*** A* B** D***
- ----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Twelve Months Ended 03/31/95 3.97% 3.24% 3.49% -0.18% -1.76% 3.49%
- ----------------------------------------------------------------------------------
Five Years Ended 03/31/95 N/A 7.84% N/A N/A 7.54% N/A
- ----------------------------------------------------------------------------------
Commencement of Operations
Through 03/31/95+ 6.94% 9.54% 4.62% 5.80% 9.54% 4.62%
- ----------------------------------------------------------------------------------
</TABLE>
1 Figures assume reinvestment of all dividends and capital gains
distributions, if any, at net asset value on the payable dates, and do
not include sales charges; results for Class A and Class B shares would
be lower if sales charges were included.
* Maximum sales charge for Class A shares is 4.0% of the public offering
price. Class A shares bear ongoing 12b-1 service fees.
** Maximum contingent deferred sales charge for Class B shares is 5.0% and is
reduced to 0% after 6 years. Class B shares bear ongoing 12b-1
distribution and service fees.
*** Class D shares are sold without an initial or a contingent deferred sales
charge but bear ongoing 12b-1 distribution and service fees.
+ Commencement of operations dates are July 1, 1991, March 20, 1987 and
July 2, 1992 for Class A, Class B and Class D, respectively.
Note: The Fund offers Class C shares to the trustee of the PaineWebber Savings
Investment Plan. For the six months ended April 30, 1995, and since
inception, August 26, 1991, through April 30, 1995, Class C shares have
had a total return of 5.84% and 29.53%, respectively. For the twelve
months ended March 31, 1995, and since inception, Class C shares have had
average annual returns of 4.34% and 7.19%, respectively. Class C shares
do not have an initial or contingent deferred sales charge or ongoing
distribution and service fees.
The data above represent past performance of the Fund's shares, which is
no guarantee of future results. The investment return and principal
value of an investment in the Fund will fluctuate, so that an investor's
shares, when redeemed, may be worth more or less than their original
cost.
37
PaineWebber
EUROPE GROWTH FUND
PORTFOLIO OF INVESTMENTS
April 30, 1995 (unaudited)
Common Stocks - 68.07%
Number of
Shares Value
- --------- ------------
Austria - 3.99%
Technology - 1.62%
16,400 Austrian Mikro Systeme International.. $ 1,627,839
------------
Oil & Gas - 2.37%
23,000 OMV AG................................ 2,377,281
------------
Total Austria Common Stocks..................... 4,005,120
------------
Belgium - 3.14%
Chemicals - 3.14%
5,800 Solvay et Cie......................... 3,151,019
------------
Denmark - 1.21%
Retail - 1.21%
16,000 Danske Traelast....................... 1,211,093
------------
Finland - 2.25%
Capital Goods - 1.26%
500,000 Tampella AB OY*....................... 1,265,745
------------
Printing & Publishing - 0.99%
49,000 Aamulehti Yhtymae Bearer Series 2..... 987,750
------------
Total Finland Common Stocks..................... 2,253,495
------------
France - 11.82%
Capital Goods - 4.40%
14,400 Lyonnaise des Eaux.................... 1,429,617
50,000 Technip SA/Compagnie Francaise........ 2,985,681
------------
4,415,298
------------
Construction - 3.01%
39,950 Legris Industries*.................... 3,018,462
------------
Health & Personal Care - 0.96%
10,375 Boiron................................ 960,480
------------
Industrial Holdings - 1.36%
45,116 Dynaction*............................ 1,369,012
------------
Utilities - 2.09%
19,930 Generale des Eaux..................... 2,096,829
------------
Total France Common Stocks...................... 11,860,081
------------
38
PaineWebber
EUROPE GROWTH FUND
PORTFOLIO OF INVESTMENTS (continued)
April 30, 1995 (unaudited)
Common Stocks - (continued)
Number of
Shares Value
- --------- -----------
Germany - 8.25%
Automotive - 0.97%
3,500 Volkswagen AG...................... $ 975,975
-----------
Capital Goods - 1.89%
7,000 Mannesmann AG...................... 1,898,921
-----------
Technology - 2.06%
2,000 SAP AG............................. 2,063,418
-----------
Textiles - 3.33%
5,146 Jil Sander AG...................... 3,341,438
-----------
Total Germany Common Stocks.................. 8,279,752
-----------
Italy - 1.51%
Machinery & Equipment - 1.51%
223,000 Danieli & Company.................. 1,512,375
-----------
Netherlands - 4.55%
Appliances & Household Durables - 3.61%
95,000 Philips Electronics................ 3,622,995
-----------
Data Processing & Reproduction - 0.94%
23,000 Getronics.......................... 940,858
-----------
Total Netherland Common Stocks............... 4,563,853
-----------
Norway - 5.69%
Machinery & Engineering - 3.00%
69,500 Kvaerner 'B' Free.................. 3,010,891
-----------
Oil Services - 2.69%
215,337 Aker A/S 'B' Free.................. 2,695,006
-----------
Total Norway Common Stocks................... 5,705,897
-----------
South Africa - 0.18%
Mining - 0.18%
30,000 Vaal Reefs Exploring & Mining ADR.. 183,750
-----------
Spain - 1.12%
Beverages & Tobacco - 1.12%
33,000 Tabacalera SA...................... 1,118,942
-----------
39
PaineWebber
EUROPE GROWTH FUND
PORTFOLIO OF INVESTMENTS (continued)
April 30, 1995 (unaudited)
Common Stocks - (continued)
Number of
Shares Value
- --------- ------------
Sweden - 3.98%
Automotive - 2.67%
142,500 Volvo Aktiebolaget 'B' Free.. $ 2,674,337
------------
Mining - 1.31%
100,000 Trelleborg Ab 'B' Free....... 1,319,897
------------
Total Sweden Common Stocks............. 3,994,234
------------
Switzerland - 2.84%
Biotechnology - 1.66%
3,000 Ares-Serono SA 'B'........... 1,661,941
------------
Health & Personal Care - 1.18%
1,800 Sandoz AG.................... 1,185,605
------------
Total Switzerland Common Stocks........ 2,847,546
------------
Turkey - 1.69%
Banking - 0.48%
1,788 Akbank....................... 483,368
------------
Machinery - 1.21%
1,500 Koc Holdings................. 1,216,216
------------
Total Turkey Common Stocks............. 1,699,584
------------
United Kingdom - 15.85%
Banking - 1.17%
100,000 HSBC Holdings................ 1,178,409
------------
Business & Public Services - 1.14%
275,000 Rentokil Group............... 1,141,407
------------
Capital Goods - 2.05%
550,000 Weir Group................... 2,061,612
------------
Drugs - 4.93%
1,275,000 Medeva plc. ................. 4,943,284
------------
Holding Company - 1.50%
568,032 Lonrho....................... 1,507,805
------------
Leisure - 0.87%
300,000 Ladbroke Group............... 868,724
------------
Mining - 1.01%
220,000 Antofagasta Holdings......... 1,008,686
------------
40
PaineWebber
EUROPE GROWTH FUND
PORTFOLIO OF INVESTMENTS (concluded)
April 30, 1995 (unaudited)
Common Stocks - (concluded)
Number of
Shares Value
- ------------------- ------------
United Kingdom - (concluded)
Non-Ferrous Metals - 3.18%
251,000 RTZ Corporation................. $ 3,194,026
------------
Total United Kingdom Common Stocks.................. 15,903,953
------------
Total Common Stocks (cost - $60,475,873)............ 68,290,694
------------
Preferred Stocks - 3.24%
Germany - 3.24%
Automotive - 3.24%
7,220 Porsche AG Non-Voting........... 1,667,257
4,512 Porsche AG (New)................ 1,580,445
------------
Total Germany Preferred Stocks (cost - $4,041,137).. 3,247,702
------------
<TABLE>
<CAPTION>
Principal
Amount
(000) Maturity Dates Interest Rates
- ----------- -------------- --------------
<S> <C> <C> <C>
Short-Term U.S. Government Securities - 17.90%
$10,000 U.S. Treasury Bills................................... 05/04/95 5.560% 9,993,800
8,000 U.S. Treasury Bills................................... 06/01/95 5.585 7,960,160
------------
Total Short-Term U.S. Government Securities (cost - $17,953,939).. 17,953,960
------------
Repurchase Agreements - 9.57%
Repurchase Agreement dated 04/28/95 with Morgan
Stanley, collateralized by $4,815,000 U.S. Treasury
4,900 Bills, 7.500% due 11/15/16; proceeds: $4,902,389...... 05/01/95 5.850 4,900,000
Repurchase Agreement dated 04/28/95 with Salomon
Brothers, collateralized by $4,751,000 U.S. Treasury
4,699 Bills, 7.250% due 05/15/16; proceeds: $4,701,299...... 05/01/95 5.870 4,699,000
------------
Total Repurchase Agreements (cost - $9,599,000)................... 9,599,000
------------
Total Investments (cost - $92,069,949) - 98.78%................... 99,091,356
Other assets in excess of liabilities - 1.22%..................... 1,224,840
------------
Net Assets - 100.00%.............................................. $100,316,196
============
</TABLE>
ADR American Depositary Receipt
* Non-income producing security
See accompanying notes to financial statements
41
PaineWebber
GLOBAL ENERGY FUND
PORTFOLIO OF INVESTMENTS
April 30, 1995 (unaudited)
Common Stocks - 87.32%
Number of
Shares Value
- --------- -----------
Hong Kong - 0.72%
Refining & Marketing - 0.72%
700,000 Zhenhai Refining & Chemical Corp. .. $ 167,291
-----------
Italy - 2.05%
Natural Gas Transmission - 2.05%
180,000 Italgas............................. 473,309
-----------
United States - 84.55%
Electronics & Instrumentation - 3.04%
30,000 Thermo Instrument Systems Inc.*..... 701,250
-----------
Exploration & Production - 20.94%
75,000 Cross Timbers Oil Co................ 1,228,125
90,000 Louis Dreyfus Natural Gas Corp.*.... 1,383,750
50,000 Newfield Exploration Co.*........... 1,150,000
52,500 Vintage Petroleum, Inc.............. 1,076,250
-----------
4,838,125
-----------
Household & Consumer Products - 1.52%
8,000 Duracell International Inc.......... 352,000
-----------
International Energy - 39.96%
13,000 British Petroleum plc, ADR.......... 1,119,625
28,000 Norsk Hydro AS, ADR................. 1,123,500
50,000 Occidental Petroleum Corp. ......... 1,150,000
38,000 Repsol, S.A., ADR................... 1,216,000
10,000 Royal Dutch Petroleum Co............ 1,240,000
15,000 Shell Trans & Trading, New ADR...... 1,068,750
35,000 Total, ADR.......................... 1,098,125
60,000 YPF S.A., Spon ADR, Rep Cl. D....... 1,215,000
-----------
9,231,000
-----------
Natural Gas Transmission - 4.39%
40,000 K N Energy Inc. .................... 1,015,000
-----------
Oil Services - 6.95%
50,000 Camco International Inc. ........... 1,181,250
12,500 Enron Corp.......................... 425,000
-----------
1,606,250
-----------
Transportation - 7.75%
15,000 Conrail Inc. ....................... 819,375
35,000 Railtex Inc.*....................... 971,250
-----------
1,790,625
-----------
Total United States Common Stocks............. 19,534,250
-----------
Total Common Stocks (cost - $19,027,245)...... 20,174,850
-----------
42
PaineWebber
GLOBAL ENERGY FUND
PORTFOLIO OF INVESTMENTS (concluded)
April 30, 1995 (unaudited)
<TABLE>
<CAPTION>
Principal
Amount
(000) Maturity Dates Interest Rates Value
- --------- -------------- -------------- -----------
<S> <C> <C> <C>
Short-Term U.S. Government Securities - 2.16%
$500 U.S. Treasury Bill (cost - $498,073)............... 05/25/95 5.550%@ $ 498,075
-----------
Repurchase Agreement - 1.19%
Repurchase Agreement dated 04/28/95 with Brown
Brothers Harriman & Co., collateralized by $275,968
U.S. Treasury Notes, 7.750% due 03/31/96, proceeds:
275 $275,125 (cost - $275,000)......................... 05/01/95 5.438 275,000
-----------
Total Investments (cost - $19,800,318) - 90.67%.............. 20,947,925
Other assets in excess of liabilities - 9.33%................ 2,155,268
-----------
Net Assets - 100.00%......................................... $23,103,193
===========
</TABLE>
- ------
* Non-income producing security
ADR American Depositary Receipt
@ Yield to maturity
See accompanying notes to financial statements
43
PaineWebber
GLOBAL GROWTH AND INCOME FUND
PORTFOLIO OF INVESTMENTS
April 30, 1995 (unaudited)
Common Stocks - 52.50%
Number of
Shares Value
- ---------- -----------
Argentina - 1.52%
Infrastructure - 1.52%
519,600 Comercial Del Plata........ $ 1,169,042
-----------
Austria - 0.45%
Oil & Gas - 0.11%
804 OMV AG..................... 83,102
Technology - 0.34%
2,381 VA Technologie AG.......... 262,702
Total Austria Common Stocks........... 345,804
Australia - 1.27%
Food - 0.81%
245,504 Burns Philip & Co., Ltd. .. 621,414
-----------
Transportation - 0.46%
35,620 Brambles Industries Ltd.... 351,315
Total Australia Common Stocks......... 972,729
-----------
Brazil - 1.37%
Food - 0.86%
50,900,000 Ceval Alimentos............ 663,792
-----------
Mining - 0.51%
13,000 Tubarao ADR................ 393,205
Telecommunications - 0.00%
18,846 Telebras................... 564
-----------
Total Brazil Common Stocks............ 1,057,561
-----------
Canada - 1.53%
Non-Ferrous Metals - 0.57%
15,000 Cameco Corp................ 441,339
-----------
Mining - 0.96%
78,000 Echo Bay Mines Ltd. ....... 741,000
-----------
Total Canada Common Stocks............ 1,182,339
-----------
44
PaineWebber
GLOBAL GROWTH AND INCOME FUND
PORTFOLIO OF INVESTMENTS (continued)
April 30, 1995 (unaudited)
Common Stocks - (continued)
Number of
Shares Value
- --------- -----------
Denmark - 0.68%
Commercial Services - 0.09%
2,486 ISS International Service System A/S 'B'.. $ 72,620
-----------
Telecommunications - 0.59%
8,736 Teledenmark 'B'........................... 455,818
-----------
Total Denmark Common Stocks......................... 528,438
-----------
Finland - 0.49%
Capital Goods - 0.49%
149,860 Tampella AB OY*........................... 379,369
-----------
France - 6.52%
Automotive - 0.93%
12,623 Valeo SA.................................. 717,871
-----------
Banking - 0.51%
8,088 Banque Nationale de Paris................. 392,613
-----------
Construction - 0.26%
2,628 Legris Industries*........................ 198,561
-----------
Consumer Products - 0.03%
109 Robertet SA............................... 25,615
Energy - 1.28%
15,797 Total SA (Class B)........................ 985,648
Food - 1.41%
2,162 Carrefour SA.............................. 1,082,427
-----------
Industrial Holdings - 0.19%
4,695 Dynaction*................................ 142,466
-----------
Infrastructure - 0.47%
6,000 Technip SA/Compagnie Francaise............ 358,282
-----------
Leisure - 0.31%
2,400 Club Mediterranee......................... 241,779
-----------
Oil & Gas - 0.58%
14,743 Coflexip S.A. ADR......................... 444,824
Utilities - 0.55%
4,000 Generale des Eaux......................... 420,839
-----------
Total France Common Stocks.......................... 5,010,925
45
PaineWebber
GLOBAL GROWTH AND INCOME FUND
PORTFOLIO OF INVESTMENTS (continued)
April 30, 1995 (unaudited)
<TABLE>
<CAPTION>
Common Stocks - (continued)
Number of
Shares Value
- --------- -----------
<S> <C>
Germany - 1.57%
Automotive - 1.38%
2,850 Veba AG.............................................................. $ 1,061,001
Pharmecuetical - 0.10%
170 Gehe AG.............................................................. 73,100
Retail - 0.09%
186 AVA Allgemeine Handelsgesellschaftder der Verbraucher AG............. 69,781
-----------
Total Germany Common Stocks.................................................... 1,203,882
-----------
Hong Kong - 4.70%
Aerospace - 1.02%
6,033,400 China Aerospace*..................................................... 787,202
-----------
Broadcast - 0.40%
82,000 Television Broadcasts Ltd. .......................................... 304,547
-----------
Conglomerates - Diversified - 0.24%
42,000 Hutchison Whampoa Ltd................................................ 181,759
-----------
Infrastructure - 1.75%
1,890,000 Hopewell Holdings Ltd. .............................................. 1,342,850
-----------
Insurance - 0.10%
138,000 National Mutual Asia Ltd............................................. 80,668
-----------
Retail - 1.00%
681,700 Dickson Concept International, Ltd................................... 352,254
632,000 Giordano Holdings Ltd................................................ 416,380
-----------
768,634
-----------
Utilities - 0.19%
67,800 Consolidated Electric Power Asia..................................... 148,020
-----------
Total Hong Kong Common Stocks.................................................. 3,613,680
-----------
Indonesia - 0.40%
Automotive - 0.40%
239,000 P.T. Astra International............................................. 305,038
-----------
Italy - 0.36%
Telecommunications - 0.36%
120,565 Societa Finanziaria Telefonica SPA (non-convertible savings shares).. 276,142
-----------
</TABLE>
46
PaineWebber
GLOBAL GROWTH AND INCOME FUND
PORTFOLIO OF INVESTMENTS (continued)
April 30, 1995 (unaudited)
Common Stocks - (continued)
Number of
Shares Value
- --------- -----------
Japan - 8.59%
Automotive - 1.50%
108,000 Suzuki Motor Corp., Ltd. ............... $ 1,156,523
-----------
Electronics - 3.82%
17,000 Canon Inc. ............................. 281,159
8,000 Murata Manufacturing Co., Ltd........... 321,732
13,000 Nintendo Corp........................... 833,720
23,000 Secom Co. .............................. 1,499,673
-----------
2,936,284
-----------
Food - 1.40%
20,000 Ito - Yokado............................ 1,077,994
-----------
Telecommunications - 1.87%
163 DDI Corp................................ 1,435,184
-----------
Total Japan Common Stocks......................... 6,605,985
-----------
Korea - 0.24%
Electric Utility - 0.24%
5,012 Korea Electric Power ADR................ 183,426
-----------
Malaysia - 0.62%
Banking - 0.32%
25,000 AMMB Holdings Berhad.................... 246,814
-----------
Mining - 0.07%
32,000 Malaysia Mining Berhad.................. 53,862
-----------
Telecommunications - 0.23%
26,000 Telekom Malaysia Berhad................. 178,839
-----------
Total Malaysia Common Stocks...................... 479,515
-----------
Mexico - 0.29%
Telecommunications - 0.29%
6,698 Grupo Carso SA ADR...................... 72,004
7,429 Grupo Televisa.......................... 147,651
Total Mexico Common Stocks........................ 219,655
Netherlands - 0.23%
Financial Services - 0.23%
3,352 Internationale Nederlanden Groep N.V. .. 176,636
-----------
47
PaineWebber
GLOBAL GROWTH AND INCOME FUND
PORTFOLIO OF INVESTMENTS (continued)
April 30, 1995 (unaudited)
Common Stocks - (continued)
Number of
Shares Value
- --------- -----------
Norway - 1.65%
Commercial Services - 0.11%
2,941 Petroleum Geo-Service*............ $ 80,221
-----------
Machinery & Engineering - 0.93%
16,500 Kvaerner 'B' Free................. 714,816
-----------
Oil Services - 0.61%
37,529 Aker A/S 'B' SHS.................. 469,687
-----------
Total Norway Common Stocks.................. 1,264,724
Poland - 0.37%
Construction - 0.37%
50,000 Mostostal Export 'B'.............. 280,774
-----------
South Africa - 2.40%
Investment Companies - 0.48%
50,652 Rembrandt Group Ltd. ............. 370,923
-----------
Mining - 1.77%
63,416 Gencor, Ltd. ..................... 205,910
760,000 South African Iron & Steel/Iscor.. 942,978
40,528 Randfontein Estates Goldmine...... 213,909
-----------
1,362,797
-----------
Petroleum - 0.15%
12,000 Sasol Ltd......................... 114,404
-----------
Total South Africa Common Stocks............ 1,848,124
-----------
Sweden - 0.39%
Appliances - 0.18%
2,737 Electrolux Ab 'B' Free............ 139,610
-----------
Pharmeceuticals - 0.21%
5,569 Astra Ab 'B' Free................. 158,495
-----------
Total Sweden Common Stocks.................. 298,105
-----------
Switzerland - 4.28%
Equipment - 0.97%
756 BBC Brown Boveri Ltd. ............ 745,942
-----------
Food - 1.26%
989 Nestle SA-Registered.............. 965,488
-----------
48
PaineWebber
GLOBAL GROWTH AND INCOME FUND
PORTFOLIO OF INVESTMENTS (continued)
April 30, 1995 (unaudited)
Common Stocks - (continued)
Number of
Shares Value
- --------- -----------
Switzerland - (concluded)
Insurance - 0.19%
211 Swiss Reinsurance Registered.. $ 147,079
-----------
Pharmecueticals - 1.86%
238 Roche Holdings AG............. 1,429,557
-----------
Total Switzerland Common Stocks......... 3,288,066
-----------
Thailand - 0.25%
Banking - 0.25%
21,900 Thai Farmers Bank, Ltd. ...... 192,332
-----------
Turkey - 0.56%
Banking - 0.47%
1,333,182 Akbank........................ 360,319
-----------
Machinery - 0.09%
205,192 Koc Yatirim................... 66,308
-----------
Total Turkey Common Stocks.............. 426,627
-----------
United Kingdom - 2.80%
Capital Goods - 1.12%
230,000 Weir Group.................... 862,129
-----------
Drugs - 1.19%
235,000 Medeva plc. .................. 911,115
-----------
Leisure - 0.04%
10,000 Ladbroke Group................ 28,957
-----------
Mining - 0.45%
75,000 Antofagasta Holdings.......... 343,870
-----------
Total United Kingdom Common Stocks...... 2,146,071
-----------
United States - 8.97%
Biotechnology - 0.89%
3,000 Amgen Inc.*................... 219,750
15,432 Sunrise Medical Inc. ......... 466,818
-----------
686,568
-----------
Commercial Services - 0.50%
15,000 Ogden Corp. .................. 305,625
3,456 Ecolab Inc. .................. 79,488
-----------
385,113
-----------
49
PaineWebber
GLOBAL GROWTH AND INCOME FUND
PORTFOLIO OF INVESTMENTS (continued)
April 30, 1995 (unaudited)
Common Stocks - (concluded)
Number of
Shares Value
- --------- -----------
United States - (concluded)
Conglomerates - 1.05%
20,335 Allied Signal Inc. ..................... $ 805,774
-----------
Consumer Products - 0.11%
1,232 Colgate-Palmolive Co. .................. 86,548
-----------
Electronics & Instrumentation - 0.31%
884 Intel Corporation....................... 90,500
600 International Business Machines Corp. .. 56,850
1,031 Motorola Inc. .......................... 58,638
697 Zebra Technologies Corp. (Class A)...... 31,975
-----------
237,963
-----------
Environmental Services - 0.97%
51,338 Wheelabrator Technologies, Inc. ........ 744,401
-----------
Financial Services - 1.69%
36,745 Countrywide Credit Industries, Inc. .... 675,189
7,689 First Financial Management Corp. ....... 562,258
884 J.P. Morgan & Co. ...................... 58,013
-----------
1,295,460
-----------
Food - 1.01%
27,000 RJR Nabisco Holdings Corp. ............. 739,125
3,590 Wholesome & Hearty Foods, Inc. ......... 39,490
-----------
778,615
-----------
Insurance - 0.77%
14,299 The Travelers........................... 591,621
-----------
Machinery - 0.59%
25,000 Giddings & Lewis Inc. .................. 453,125
-----------
Paper - 0.07%
700 International Paper Co. ................ 53,900
-----------
Retail - 1.01%
30,744 Toys 'R' Us, Inc. ...................... 776,286
-----------
Total United States Common Stocks................. 6,895,374
-----------
Total Common Stocks (cost - $42,130,465).......... 40,350,363
-----------
50
PaineWebber
GLOBAL GROWTH AND INCOME FUND
PORTFOLIO OF INVESTMENTS (continued)
April 30, 1995 (unaudited)
<TABLE>
<CAPTION>
Preferred Stocks - 2.47%
Number of
Shares Value
- --------- -----------
<S> <C>
Austria - 0.33%
Bank - 0.33%
4,410 Creditanstalt Bank, Pfd............................................. $ 252,328
-----------
Brazil - 0.70%
Machinery - 0.70%
1,995,000 Brasmotor Preferred Reg'd........................................... 539,995
-----------
Telecommunications - 0.00%
5,570 Telebras Reg'd...................................................... 200
-----------
Total Brazil Preferred Stocks................................................. 540,195
-----------
Germany - 1.44%
Automotive - 1.32%
2,780 Porsche AG Non-Voting............................................... 1,014,884
-----------
Computer Systems - 0.12%
91 Sap AG.............................................................. 89,946
-----------
Total Germany Preferred Stocks................................................ 1,104,830
-----------
Total Preferred Stocks (cost - $2,147,726).................................... 1,897,353
-----------
Stock Rights - 0.03%
Turkey - 0.03%
Banking - 0.03%
96,350 Akbank - Rights, expiring 05/26/95 (cost - $12,336) ................ 26,041
-----------
Number of
Contracts
- ---------
Warrants - 0.02%
Hong Kong - 0.02%
Aerospace - 0.02%
1,698,000 China Aerospace Int'l Holding, expiring 12/31/95 (cost - $257,427).. 11,845
-----------
</TABLE>
Long-Term Debt Securities - 27.56%
<TABLE>
<CAPTION>
Principal
Amount Maturity Interest
(000)** Dates Rates
- --------- ------------------- -----------------
<S> <C> <C> <C>
Denmark - 4.93%
$20,000 Government of Denmark.. 11/15/00 9.000% 3,787,605
---------
Finland - 3.75%
12,000 Republic of Finland.... 03/15/04 9.500 2,883,086
---------
</TABLE>
51
PaineWebber
GLOBAL GROWTH AND INCOME FUND
PORTFOLIO OF INVESTMENTS (continued)
April 30, 1995 (unaudited)
Long-Term Debt Securities - (concluded)
<TABLE>
<CAPTION>
Principal
Amount Maturity Interest
(000)** Dates Rates Value
- --------- ------------------ -------------------- ---------------
<S> <C> <C> <C>
Indonesia - 1.11%
$ 1,000 Eka Guntama Mandiri Convertible.................... 10/04/97 4.000% $ 850,000
------------
Poland - 3.64%
8,000 Government of Poland............................... 10/27/24 2.750 2,800,000
------------
South Africa - 4.96%
20,000 Electrical Supply Commission of South Africa....... 06/01/08 11.000 3,811,814
------------
Spain - 4.93%
460,000 Government of Spain................................ 08/30/96 to 03/25/00 11.850 to 12.250 3,791,000
------------
United Kingdom - 3.23%
1,300 United Kingdom Gilt................................ 07/14/04 13.000 2,484,160
------------
Venezuela - 1.01%
900 Bariven Petroleos de Venezuela, SA................. 03/17/02 10.625 774,000
------------
Total Long-Term Debt Securities (cost - $21,126,438)........... 21,181,665
------------
Short-Term Debt Securities - 16.22%
United States - 16.22%
12,500 U.S. Treasury Bills (cost - $12,467,110)........... 05/04/95 to 06/01/95 5.535 to 5.600@ 12,467,125
------------
Repurchase Agreement - 2.55%
1,956 Repurchase Agreement dated 04/28/95 with
Nomura Securities, Inc., collateralized
by $2,010,000
U.S. Treasury Notes, 3.875% due 09/30/95;
proceeds: $1,956,962 (cost - $1,956,000)........... 05/01/95 5.900 1,956,000
------------
Total Investments (cost - $80,097,502) - 101.35%............... 77,890,392
Liabilities in excess of other assets - (1.35)%................ (1,027,728)
------------
Net Assets - 100.00%........................................... $76,862,664
============
</TABLE>
- ------
* Non-income producing security
** In local currency unless otherwise indicated.
ADR American Depositary Receipt
@ Yield to maturity
See accompanying notes to financial statements
52
PaineWebber
GLOBAL INCOME FUND
PORTFOLIO OF INVESTMENTS
April 30, 1995 (unaudited)
Long-Term Debt Securities - 69.27%
<TABLE>
<CAPTION>
Principal
Amount Maturity Interest
(000)* Dates Rates Value
- ---------- -------------------- ------------------- --------------
<S> <C> <C> <C>
Australia - 8.43%
$ 66,591 New South Wales Treasury Corp. .............. 07/01/99 to 12/01/01 11.500 to 12.000% $ 53,547,697
60,670 Queensland Treasury Corp. Global Issue....... 08/15/01 to 05/15/03 10.500 to 12.000 48,000,130
--------------
101,547,827
--------------
Canada - 3.02%
10,000 Bell Canada.................................. 05/21/96 9.875 7,446,120
72,013 Ontario Hydro Global Bonds................... 04/11/07 to 04/11/11 10.502 to 10.551@ 15,962,343
31,914 Province of British Columbia Residual Bonds.. 01/09/12 9.061 to 9.115@ 5,380,426
10,100 Province of Ontario.......................... 05/01/96 10.750 7,626,075
--------------
36,414,964
--------------
Denmark - 3.22%
211,697 Government of Denmark........................ 11/15/00 to 05/15/03 8.000 to 9.000 38,803,941
--------------
Finland - 0.92%
46,000 Government of Finland........................ 03/15/04 9.500 11,051,829
--------------
France - 2.07%
120,500 Government of France......................... 10/25/19 8.500 24,968,843
--------------
Germany - 6.95%
118,745 Federal Republic of Germany.................. 05/22/00 to 01/04/24 4.801** to 8.750 83,756,029
--------------
Ireland - 1.99%
14,300 Republic of Ireland.......................... 11/15/97 to 07/15/01 9.000 to 11.500 23,917,068
--------------
Netherlands - 4.48%
75,430 Government of Netherlands.................... 10/16/00 to 09/15/01 8.750 to 9.250 53,986,278
--------------
New Zealand - 5.35%
77,090 Government of New Zealand.................... 10/15/96 to 07/15/97 9.000 to 14.000 54,032,816
International Bank for Reconstruction and
14,230 Development (1).............................. 07/25/97 12.500 10,377,695
--------------
64,410,511
--------------
Spain - 6.82%
10,038,600 Government of Spain.......................... 08/30/96 to 03/25/00 11.450 to 12.250 82,130,754
--------------
United Kingdom - 9.31%
33,244 Government of United Kingdom Exchequer....... 05/15/96 13.250 56,623,276
29,526 United Kingdom Gilt.......................... 01/22/97 to 07/14/00 13.000 to 15.500 55,521,923
--------------
112,145,199
--------------
</TABLE>
53
PaineWebber
GLOBAL INCOME FUND
PORTFOLIO OF INVESTMENTS (continued)
April 30, 1995 (unaudited)
Long-Term Debt Securities - (concluded)
<TABLE>
<CAPTION>
Principal
Amount Maturity Interest
(000)* Dates Rates Value
- --------- -------------------- --------------- --------------
<S> <C> <C> <C>
United States - 16.71%
$18,000 Chase Manhattan Corp. .............................. 12/01/97 7.500% $18,105,228
16,000 Clorox Corporation.................................. 07/15/01 8.800 17,149,136
15,000 Ford Motor Credit Corp. ............................ 07/01/01 9.500 16,441,485
50,000 General Motors Acceptance Corp. MTN................. 07/15/96 to 04/30/97 7.950 to 8.625 50,835,160
96,600 U.S. Treasury Notes................................. 12/31/96 to 11/30/99 7.500 to 7.750 98,695,844
--------------
201,226,853
--------------
Total Long-Term Debt Securities (cost - $823,497,577)......... 834,360,096
--------------
Short-Term Debt Securities - 9.44%
Finland - 1.76%
90,000 Government of Finland............................... 06/15/95 11.000 21,215,448
--------------
Germany - 2.96%
48,130 Federal Republic of Germany......................... 01/22/96 8.875 35,686,448
--------------
Spain - 1.90%
2,745,130 Government of Spain................................. 04/15/96 13.450 22,851,977
--------------
United States - 2.61%
33,000 U.S. Treasury Bills................................. 03/07/96 6.173@ 31,409,960
--------------
Uruguay - 0.21%
US$2,500 Republic of Uruguay................................. 06/08/95 8.250 2,497,438
--------------
Total Short-Term Debt Securities (cost - $105,700,587)........ 113,661,271
--------------
Repurchase Agreements - 8.32%
25,194 Repurchase Agreement dated 04/28/95 with Citibank
N.A., collateralized by $21,920,000 U.S. Treasury
Bonds, 8.750% due 05/15/17, proceeds: $25,206,387... 05/01/95 5.900 25,194,000
25,000 Repurchase Agreement dated 04/28/95 with Daiwa
Securities, Inc., collateralized by $21,820,000 U.S.
Treasury Bonds, 8.875% due 08/15/17, proceeds:
$25,012,333......................................... 05/01/95 5.920 25,000,000
25,000 Repurchase Agreement dated 04/28/95 with First
Chicago Capital Markets, Inc., collateralized by
$25,140,000 U.S. Treasury Notes, 4.125% due
05/31/95, proceeds: $25,012,292..................... 05/01/95 5.900 25,000,000
25,000 Repurchase Agreement dated 04/28/95 with Yamaichi
International (America) Inc., collateralized by
$25,375,000 U.S. Treasury Notes, 6.500% due
09/30/96, proceeds: $25,012,333..................... 05/01/95 5.920 25,000,000
--------------
Total Repurchase Agreements (cost - $100,194,000)............. 100,194,000
--------------
Total Investments (cost - $1,029,392,164) - 87.03%............ 1,048,215,367
Other assets in excess of liabilities - 12.97%................ 156,281,365
--------------
Net Assets - 100.00%.......................................... $1,204,496,732
==============
</TABLE>
- ------
Note: The Portfolio of Investments is listed by the issuer's country of origin.
* In local currency unless otherwise indicated.
** Reflects rate at April 30, 1995 on variable rate instrument.
@ Yield to maturity
MTN Medium term note
(1) "Supranational" security denominated in New Zealand Dollars.
54
PaineWebber
GLOBAL INCOME FUND
PORTFOLIO OF INVESTMENTS (concluded)
April 30, 1995 (unaudited)
FORWARD FOREIGN CURRENCY CONTRACTS
<TABLE>
<CAPTION>
Unrealized
Contract to In Exchange Maturity Appreciation
Deliver for Dates (Depreciation)
-------------- ----------------- ------------------- --------------
<S> <C> <C> <C> <C>
Australian Dollars.... 147,453,000 US$ 108,583,056 05/03/95 to 11/03/95 $ 1,912,017
Belgian Francs........ 1,200,000,000 US$ 39,215,686 08/21/95 (2,900,355)
Belgian Francs........ 738,000,000 US$ 23,471,789 01/03/96 (2,609,996)
British Pounds........ 27,500,000 US$ 42,990,750 06/12/95 (1,244,576)
British Pounds........ 27,500,000 US$ 43,001,750 07/10/95 (1,230,405)
British Pounds........ 17,568,000 US$ 27,462,298 05/15/95 (800,205)
Danish Kronas......... 207,000,000 US$ 38,222,813 07/26/95 271,847
Finnish Markkas....... 99,900,000 US$ 22,860,412 06/16/95 (561,654)
German Deutschemarks.. 21,935,655 US$ 15,808,342 05/02/95 (18,438)
Greek Drachmas........ 19,628,602,000 US$ 79,631,261 05/10/95 to 06/26/95 (6,341,507)
New Zealand Dollars... 40,890,000 US$ 26,194,134 06/09/95 (1,208,471)
Spanish Pesetas....... 18,300,000,000 US$ 137,822,352 05/22/95 to 08/21/95 (10,339,160)
Spanish Pesetas....... 2,440,000,000 US$ 18,202,842 05/10/95 (1,613,652)
U.S. Dollars.......... 25,131,013 AUD 34,453,000 05/03/95 (71,625)
U.S. Dollars.......... 16,528,864 BFR 481,529,200 08/21/95 348,864
U.S. Dollars.......... 41,854,628 ESP 5,273,222,883 05/22/95 to 07/10/95 971,925
U.S. Dollars.......... 18,286,057 ESP 2,440,000,000 05/10/95 1,530,437
U.S. Dollars.......... 30,697,583 GBP 19,066,822 05/15/95 (24,081)
U.S. Dollars.......... 9,529,881 GRD 2,167,817,900 05/10/95 to 06/26/95 65,370
U.S. Dollars.......... 1,177,313 NZD 1,750,000 06/09/95 (1,050)
-------------
$(23,864,715)
=============
</TABLE>
- ------
Currency Type Abbreviations:
AUD - Australian Dollars
BFR - Belgian Francs
ESP - Spanish Pesetas
GBP - British Pounds
GRD - Greek Drachmas
NZD - New Zealand Dollars
INVESTMENTS BY TYPE OF ISSUER Percentage of Net Assets
------------------------
Long-term Short-term
----------- ------------
Government and other public issuers.. 59.28% 9.44%
Repurchase Agreements................ - 8.32%
Financial institutions............... 5.59% -
Banks................................ 1.50% -
Other................................ 2.90% -
----------- ------------
69.27% 17.76%
=========== ============
See accompanying notes to financial statements
55
PaineWebber
STATEMENT OF ASSETS AND LIABILITIES
April 30, 1995 (unaudited)
<TABLE>
<CAPTION>
Global
Europe Global Growth Global
Growth Energy and Income Income
Fund Fund Fund Fund
------------- ------------ ------------ --------------
<S> <C> <C> <C> <C>
Assets
Investments, at value (cost - $92,069,949, $19,800,318, $80,097,502
and $1,029,392,164, respectively).................................. $ 99,091,356 $20,947,925 $77,890,392 $1,048,215,367
Cash................................................................ 136,052 999 9,973 382
Cash denominated in foreign currencies, at value (cost -
$241,596, $0, $1,746,496, and $88,303,490, respectively)........... 241,596 - 1,765,384 87,741,525
Receivable for investments sold..................................... 3,115,478 2,441,725 7,384,319 210,087,762
Receivable for shares of beneficial interest sold................... 121,649 23,259 28,896 305,649
Unrealized appreciation on forward foreign currency contracts....... - - - 5,104,021
Dividends and interest receivable................................... 697,647 66,990 939,364 37,665,352
Other assets........................................................ 50,196 17,613 56,545 80,366
------------- ------------ ------------ --------------
Total assets....................................................... 103,453,974 23,498,511 88,074,873 1,389,200,424
------------- ------------ ------------ --------------
Liabilities
Payable for investments purchased................................... 1,784,772 - 9,815,012 144,104,993
Payable for shares of beneficial interest repurchased............... 939,905 175,675 1,029,778 8,839,106
Unrealized depreciation on forward foreign currency contracts....... - - - 28,968,736
Payable to affiliates............................................... 122,731 30,004 98,497 1,397,214
Accrued expenses and other liabilities.............................. 290,370 189,639 268,922 1,393,643
------------- ------------ ------------ --------------
Total liabilities.................................................. 3,137,778 395,318 11,212,209 184,703,692
------------- ------------ ------------ --------------
Net Assets
Beneficial interest shares of $0.001 par value outstanding
(unlimited amount authorized)...................................... 92,040,268 24,242,133 80,251,557 1,244,270,185
Undistributed (distribution in excess of) net investment income..... (221,511) (40,730) 947,311 (2,207,080)
Accumulated net realized gains (losses) from investments and
foreign currency transactions...................................... 1,468,455 (2,246,725) (2,169,783) (31,511,778)
Net unrealized appreciation (depreciation) of investments, other
assets, liabilities and forward contracts denominated in foreign
currencies......................................................... 7,028,984 1,148,515 (2,166,421) (6,054,595)
------------- ------------ ------------ --------------
Net assets.......................................................... $100,316,196 $23,103,193 $76,862,664 $1,204,496,732
============= ============ ============ ==============
Class A:
Net assets.......................................................... $ 61,226,556 $ 9,529,536 $44,112,475 $ 546,196,933
------------- ------------ ------------ --------------
Shares outstanding.................................................. 6,629,796 852,349 4,485,277 53,383,774
------------- ------------ ------------ --------------
Net asset value and redemption value per share...................... $9.24 $11.18 $9.83 $10.23
============= ============ ============ ==============
Maximum offering price per share (net asset value plus sales charge
of 4.50%, 4.50%, 4.50% and 4.00%, respectively, of offering price). $9.68 $11.71 $10.29 $10.66
============= ============ ============ ==============
Class B:
Net assets.......................................................... $ 28,982,720 $12,905,199 $25,081,046 $ 575,409,083
------------- ------------ ------------ --------------
Shares outstanding.................................................. 3,215,428 1,155,688 2,602,026 56,410,220
------------- ------------ ------------ --------------
Net asset value and offering price per share........................ $9.01 $11.17 $9.64 $10.20
============= ============ ============ ==============
Class C:
Net assets.......................................................... $ 12,477,569
--------------
Shares outstanding.................................................. 1,218,507
--------------
Net asset value, offering price and redemption value per share...... $10.24
==============
Class D:
Net assets.......................................................... $ 10,106,920 $ 668,458 $ 7,669,143 $ 70,413,147
------------- ------------ ------------ --------------
Shares outstanding.................................................. 1,114,814 60,602 794,340 6,889,670
------------- ------------ ------------ --------------
Net asset value, offering price and redemption value per share...... $9.07 $11.03 $9.65 $10.22
============= ============ ============ ==============
</TABLE>
See accompanying notes to financial statements
56
PaineWebber
STATEMENT OF OPERATIONS
For the Six Months Ended April 30, 1995 (unaudited)
<TABLE>
<CAPTION>
Global
Growth
Europe Global and Global
Growth Energy Income Income
Fund Fund Fund Fund
------------- ------------- -------------- --------------
<S> <C> <C> <C> <C>
Investment income:
Dividends (net of foreign withholding taxes)............................ $709,308 $181,142 $430,284 -
Interest (net of foreign withholding taxes)............................. 215,619 74,913 1,411,298 $56,654,941
------------- ------------- -------------- --------------
924,927 256,055 1,841,582 56,654,941
------------- ------------- -------------- --------------
Expenses:
Investment advisory and administration.................................. 479,377 101,460 397,026 4,711,666
Service fees-Class A.................................................... 83,767 11,935 63,226 712,753
Service and distribution fees-Class B................................... 160,177 67,715 142,164 3,158,736
Service and distribution fees-Class D................................... 57,500 3,917 46,072 295,618
Custody and accounting.................................................. 183,800 34,190 188,600 433,981
Transfer agency and service fees........................................ 92,705 23,303 64,476 595,049
Legal and audit fees.................................................... 30,527 20,014 36,514 83,967
Amortization of organizational expenses................................. 25,423 - - -
Reports and notices to shareholders..................................... 23,565 19,473 20,317 159,313
Federal and state registration fees..................................... 23,422 27,879 22,869 83,987
Trustees' fees and expenses............................................. 2,375 2,375 2,375 2,375
Other expenses.......................................................... 600 2,524 16,964 125,694
------------- ------------- -------------- --------------
1,163,238 314,785 1,000,603 10,363,139
------------- ------------- -------------- --------------
Net investment income (loss)............................................. (238,311) (58,730) 840,979 46,291,802
------------- ------------- -------------- --------------
Realized and unrealized gains (losses) from investment transactions:
Net realized gains (losses) from:
Investment transactions................................................. 4,532,022 (376,584) (1,614,626) (22,424,847)
Foreign currency transactions........................................... (184,410) 3,710 (342,042) 5,987,500
Net change in unrealized appreciation/depreciation of:
Investments............................................................. (2,410,194) (575,093) (8,844,650) 52,008,839
Other assets, liabilities and forward contracts denominated in
foreign currencies..................................................... 64,194 (43) 117,881 (13,532,287)
------------- ------------- -------------- --------------
Net realized and unrealized gains (losses) from investment transactions.. 2,001,612 (948,010) (10,683,437) 22,039,205
------------- ------------- -------------- --------------
Net increase (decrease) in net assets resulting from operations.......... $1,763,301 $(1,006,740) $(9,842,458) $68,331,007
============= ============= ============== ==============
</TABLE>
See accompanying notes to financial statements
57
PaineWebber
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
Europe Growth Fund Global Energy Fund
---------------------------- -----------------------------
For the Six For the Year For the Six For the Year
Months Ended Ended Months Ended Ended
April 30, 1995 October 31, April 30, 1995 October 31,
(unaudited) 1994 (unaudited) 1994
-------------- ------------- -------------- --------------
<S> <C> <C> <C> <C>
From operations:
Net investment loss........................................ $ (238,311) $ (931,313) $ (58,730) $ (99,411)
Net realized gains (losses) from investment transactions... 4,532,022 24,878,615 (376,584) (1,873,851)
Net realized gains (losses) from foreign currency
transactions.............................................. (184,410) (22,560,640) 3,710 (12,394)
Net change in unrealized appreciation/depreciation of
investments............................................... (2,410,194) (14,026,063) (575,093) (404,872)
Net changes in unrealized appreciation/depreciation of
other assets, liabilities and forward contracts
denominated in foreign currencies......................... 64,194 4,467,567 (43) 11,461
-------------- ------------- -------------- --------------
Net increase (decrease) in net assets resulting from
operations................................................ 1,763,301 (8,171,834) (1,006,740) (2,379,067)
-------------- ------------- -------------- --------------
Dividends and distributions to/from:
Net investment income-Class A.............................. - (189,958) - (92,910)
Net investment income-Class B.............................. - - - -
Net investment income-Class D.............................. - - - (294)
Net realized gains from foreign currency
transactions-Class A...................................... - (3,382,032) - -
Net realized gains from foreign currency
transactions-Class B...................................... - (1,272,185) - -
Net realized gains from foreign currency
transactions-Class D...................................... - (559,399) - -
Net realized gains from investments transactions-Class A... - - - (1,668,385)
Net realized gains from investments transactions-Class B... - - - (2,966,006)
Net realized gains from investments transactions-Class D... - - - (138,983)
-------------- ------------- -------------- --------------
- (5,403,574) - (4,866,578)
-------------- ------------- -------------- --------------
From beneficial interest transactions:
Net proceeds from the sale of shares....................... 12,489,569 68,815,455 5,821,533 22,625,132
Cost of shares repurchased................................. (43,810,899) (78,076,131) (11,763,286) (28,108,399)
Proceeds from dividends reinvested......................... - 5,029,677 - 4,162,810
-------------- ------------- -------------- --------------
Net decrease in net assets derived from beneficial interest
transactions.............................................. (31,321,330) (4,230,999) (5,941,753) (1,320,457)
-------------- ------------- -------------- --------------
Net decrease in net assets................................. (29,558,029) (17,806,407) (6,948,493) (8,566,102)
Net assets:
Beginning of period........................................ 129,874,225 147,680,632 30,051,686 38,617,788
-------------- ------------- -------------- --------------
End of period.............................................. $100,316,196 $129,874,225 $23,103,193 $30,051,686
============== ============= ============== ==============
</TABLE>
See accompanying notes to financial statements
58
PaineWebber
STATEMENT OF CHANGES IN NET ASSETS (concluded)
<TABLE>
<CAPTION>
Global Growth
and Income Fund Global Income Fund
---------------------------- -------------------------------
For the Six For the Year For the Six For the Year
Months Ended Ended Months Ended Ended
April 30, 1995 October 31, April 30, 1995 October 31,
(unaudited) 1994 (unaudited) 1994
-------------- ------------- --------------- ---------------
<S> <C> <C> <C> <C>
From operations:
Net investment income..................................... $840,979 $894,600 $46,291,802 $113,786,644
Net realized gains (losses) from investment transactions.. (1,614,626) 8,863,363 (22,424,847) (17,079,241)
Net realized gains (losses) from foreign currency
transactions............................................. (342,042) (3,547,489) 5,987,500 (59,719,415)
Net change in unrealized appreciation/depreciation of
investments.............................................. (8,844,650) (6,077,963) 52,008,839 (90,644,293)
Net changes in unrealized appreciation/depreciation of
other assets, liabilities and forward contracts
denominated in foreign currencies........................ 117,881 (639,496) (13,532,287) (15,050,480)
-------------- ------------- --------------- ---------------
Net increase (decrease) in net assets resulting from
operations............................................... (9,842,458) (506,985) 68,331,007 (68,706,785)
-------------- ------------- --------------- ---------------
Dividends and distributions to/from:
Net investment income-Class A............................. - (956,383) (18,048,880) (20,955,179)
Net investment income-Class B............................. - (264,496) (17,754,454) (25,638,320)
Net investment income-Class C............................. - - (405,137) (429,608)
Net investment income-Class D............................. - (109,921) (2,278,355) (3,358,807)
Net realized gains from foreign currency
transactions-Class A..................................... - (663,491) - -
Net realized gains from foreign currency
transactions-Class B..................................... - (216,832) - -
Net realized gains from foreign currency
transactions-Class D..................................... - (84,089) - -
Net realized gains from investment transactions-Class A... (1,872,125) - - -
Net realized gains from investment transactions-Class B... (1,059,343) - - -
Net realized gains from investment transactions-Class D... (354,475) - - -
Paid in capital-Class A................................... - - - (20,613,399)
Paid in capital-Class B................................... - - - (25,220,157)
Paid in capital-Class C................................... - - - (422,602)
Paid in capital-Class D................................... - - - (3,304,025)
-------------- ------------- --------------- ---------------
(3,285,943) (2,295,212) (38,486,826) (99,942,097)
-------------- ------------- --------------- ---------------
From beneficial interest transactions:
Net proceeds from the sale of shares...................... 2,122,991 46,748,339 13,898,761 113,562,148
Cost of shares repurchased................................ (22,851,949) (31,170,520) (307,328,991) (567,552,519)
Proceeds from dividends reinvested........................ 2,947,184 2,010,599 25,219,025 79,870,752
-------------- ------------- --------------- ---------------
Net increase (decrease) in net assets derived from
beneficial interest transactions......................... (17,781,774) 17,588,418 (268,211,205) (374,119,619)
-------------- ------------- --------------- ---------------
Net increase (decrease) in net assets..................... (30,910,175) 14,786,221 (238,367,024) (542,768,501)
Net assets:
Beginning of period....................................... 107,772,839 92,986,618 1,442,863,756 1,985,632,257
-------------- ------------- --------------- ---------------
End of period ............................................ $76,862,664 $107,772,839 $1,204,496,732 $1,442,863,756
============== ============= =============== ===============
</TABLE>
See accompanying notes to financial statements
59
PaineWebber
NOTES TO FINANCIAL STATEMENTS
(unaudited)
ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES
PaineWebber Investment Series ("Trust") was organized under Massachusetts law
by a Declaration of Trust dated December 22, 1986 and is registered with the
Securities and Exchange Commission under the Investment Company Act of 1940, as
amended, as an open-end management investment company. The Trustees have
authority to issue an unlimited number of shares of beneficial interest, par
value $0.001.
Organizational Matters - Prior to commencing investment operations, on February
7, 1990, September 18, 1987, June 9, 1989 and March 20, 1987, respectively,
PaineWebber Europe Growth Fund ("Europe Growth Fund"), PaineWebber Global
Energy Fund ("Global Energy Fund"), PaineWebber Global Growth and Income Fund
("Global Growth and Income Fund") and PaineWebber Global Income Fund ("Global
Income Fund") (collectively the "Funds") had no activities other than
organizational matters and activities related to the initial public offering
and the issuance, at net asset value, of one or more shares of each Fund to
Mitchell Hutchins Asset Management Inc. ("Mitchell Hutchins"), a wholly owned
subsidiary of PaineWebber Incorporated ("PaineWebber") and investment adviser,
administrator and distributor of the Funds. Costs of $277,515, $215,000,
$382,000 and $310,306, respectively, incurred by each Fund in connection with
the organization and registration of shares, have been deferred and are being
amortized, using the straight-line method over the period of benefit, not to
exceed five years, beginning with the commencement of operations of each Fund.
Mitchell Hutchins has agreed that, in the event any Fund's initial shares are
redeemed or the Fund discontinues operations, that the Fund will be reimbursed
for its pro-rata share of unamortized organizational costs.
Prior to July 1, 1991, Europe Growth Fund and Global Growth and Income Fund
issued only Class A shares and Global Energy Fund and Global Income Fund issued
only Class B shares. Subsequent to that date, all Funds have been authorized to
issue Class A, Class B, and Class C shares. On July 2, 1992, each Fund
commenced issuing Class D shares (except Europe Growth Fund and Global Energy
Fund, which commenced issuing Class D shares on July 6, 1992 and July 8, 1992,
respectively). Each Class represents an interest in the same assets of the
applicable Fund and the Classes are identical except for differences in their
sales charge structure, ongoing distribution charges and transfer agency
expenses. In addition, Class B shares automatically convert to Class A shares
approximately six years after initial issuance. All Classes of shares have
equal rights as to earnings, assets and voting privileges, except that each
class bears different distribution charges and transfer agency expenses and has
exclusive voting rights with respect to its distribution plan.
Valuation of Investments - Securities which are listed on U.S. and foreign
stock exchanges are valued at the last sale price on the day the securities are
being valued or, lacking any sales on such day, at the last available bid
price. In cases
60
PaineWebber
NOTES TO FINANCIAL STATEMENTS
(continued)
where securities are traded on more than one exchange, the securities are
valued on the exchange designated by Mitchell Hutchins as the primary market.
Securities traded in the over-the-counter ("OTC") market and listed on the
National Association of Securities Dealers Automated Quotation System
("NASDAQ") are valued at the last trade price on NASDAQ prior to the time of
valuation; other OTC securities are valued at the last bid price available in
the OTC market prior to the time of valuation. The amortized cost method of
valuation is used to value short-term debt instruments with sixty days or less
remaining to maturity. Securities and assets for which market quotations are
not readily available (including restricted securities subject to limitations
as to their sale) are valued at fair value as determined in good faith by or
under the direction of the Trust's board of trustees. All investments quoted in
foreign currencies will be valued daily in U.S. dollars on the basis of the
foreign currency exchange rates prevailing at the time such valuation is
determined by each Fund's custodian.
Foreign currency exchange rates are generally determined prior to the close of
the New York Stock Exchange ("NYSE"). Occasionally, events affecting the value
of foreign investments and such exchange rates occur between the time at which
they are determined and the close of the NYSE, which will not be reflected in a
computation of the Fund's net asset value. If events materially affecting the
value of such securities or currency exchange rates occurred during such time
period, the securities will be valued at their fair value as determined in good
faith by or under the direction of the Trust's board of trustees.
Investment Transactions and Investment Income - Investment transactions are
recorded on the trade date. Realized gains and losses on sales of investments
and foreign exchange transactions are calculated using the identified cost
method. Interest income is recorded on an accrual basis and dividend income is
recorded on the ex-dividend date (except in the case of certain foreign
dividends which are recorded as soon after the ex-dividend date as the
respective Fund becomes aware of such dividend). Discounts are accreted as
adjustments to interest income and the identified cost of investments.
Income, expenses (excluding class-specific expenses), and realized/unrealized
gains/losses are allocated proportionately to each class of shares based upon
the relative net asset value of outstanding shares (or the value of
dividend-eligible shares, as appropriate) of each class at the beginning of the
day (after adjusting for current capital share activity of the respective
classes). Class specific expenses are charged directly to the applicable class
of shares.
Foreign Currency Translation - The books and records of the Funds are
maintained in U.S. dollars. Foreign currency amounts are translated into U.S.
dollars on the following basis:
(1) market value of investment securities, other assets and liabilities-at the
exchange rates prevailing at the end of the period.
61
PaineWebber
NOTES TO FINANCIAL STATEMENTS
(continued)
(2) purchases and sales of investment securities, income and expenses-at the
rates of exchange prevailing on the respective dates of such transactions.
Although the net assets and the market values of the Funds are presented at the
foreign exchange rates at the close of the period, the Funds do not generally
isolate the effect of fluctuations in foreign exchange rates from the effect of
the changes in market prices of securities. However, the Funds do isolate the
effect of fluctuations in foreign exchange rates when determining the gain or
loss upon the sale or maturity of foreign currency-denominated debt obligations
pursuant to federal income tax regulations. Pursuant to federal income tax
regulations, certain foreign exchange gains/losses included in realized and
unrealized gain/loss are included in or are a reduction of ordinary income for
federal income tax purposes.
Forward Foreign Currency Contracts - Each Fund may enter into forward foreign
currency exchange contracts ("forward contracts") in connection with planned
purchases or sales of securities or to hedge the U.S. dollar value of portfolio
securities denominated in a particular currency.
The Funds have no specific limitation on the percentage of assets which may be
committed to such contracts. Each Fund may enter into forward contracts or
maintain a net exposure to forward contracts only if (1) the consummation of
the contracts would not obligate the Fund to deliver an amount of foreign
currency in excess of the value of the position being hedged by such contracts
or (2) the Fund maintains cash, U.S. government securities or liquid,
high-grade debt securities in a segregated account in an amount not less than
the value of its total assets committed to the consummation of the forward
contracts and not covered as provided in (1) above, as marked-to-market daily.
Risks may arise upon entering into forward contracts from the potential
inability of counterparties to meet the terms of their forward contracts and
from unanticipated movements in the value of foreign currencies relative to the
U.S. dollar.
Fluctuations in the value of forward contracts are recorded for book purposes
as unrealized gains or losses by the Funds. Realized gains and losses include
net gains and losses recognized by the Funds on contracts which have matured.
Repurchase Agreements - The Funds' custodian takes possession of the collateral
pledged for investments in repurchase agreements. The underlying collateral is
valued daily on a mark-to-market basis to ensure that the value, including
accrued interest, is at least equal to the repurchase price. In the event of
default of the obligation to repurchase, the Funds have the right to liquidate
the collateral and apply the proceeds in satisfaction of the obligations. Under
certain circumstances, in the event of default or bankruptcy by the other party
to the agreement, realization and/or retention of the collateral may be subject
to legal proceedings.
62
PaineWebber
NOTES TO FINANCIAL STATEMENTS
(continued)
Each of the Funds occasionally participates in joint repurchase agreement
transactions with other funds managed by Mitchell Hutchins.
Reverse Repurchase Agreements - Each Fund may enter into reverse repurchase
agreements with banks and broker-dealers up to an aggregate value of not more
than 5% of its total assets (10% in the case of Global Income Fund). As of
April 30, 1995, the Funds had no reverse repurchase agreements outstanding.
Federal Tax Status - Each Fund intends to distribute all of its taxable income
and to comply with the other requirements of the Internal Revenue Code
applicable to regulated investment companies. Accordingly, no provision for
federal income taxes is required. In addition, by distributing during each
calendar year substantially all of its net investment income, capital gains and
certain other amounts, if any, each Fund intends not to be subject to a federal
excise tax.
Dividends and Distributions - Dividends and distributions to shareholders are
recorded on the ex-dividend date. Net capital gains, if any, will be
distributed at least annually, but the Fund may make more frequent
distributions of such gains, if necessary, to avoid income or excise taxes.
Dividends from net investment income and distributions from realized gains from
investment transactions have been determined in accordance with income tax
regulations which may differ from generally accepted accounting principles.
These "book/tax" differences are either considered temporary or permanent in
nature. To the extent these differences are permanent in nature, such amounts
are reclassified within the capital accounts based on their federal tax-basis
treatment; temporary differences do not require reclassification. Dividends and
distributions which exceed net investment income and net realized capital gains
for financial reporting purposes but not for tax purposes are reported as
dividends in excess of net investment income or distributions in excess of net
realized capital gains. To the extent they exceed net investment income and net
realized capital gains for tax purposes, they are reported as distributions of
paid-in-capital.
CONCENTRATION OF RISK
Investing in securities of foreign issuers and currency transactions, as well
as the ability of the issuers of debt securities held by the Funds to meet
their obligations, may involve certain considerations and risks not typically
associated with investing in U.S. companies and U.S. government securities.
These risks include revaluation of currencies, adverse fluctuations in foreign
currency values and possible adverse political, social and economic
developments, including those particular to a specific industry, country or
region, which could cause the securities and their markets to be less liquid
and prices more volatile than those of comparable U.S. companies and U.S.
government securities. These risks are greater with respect to securities of
issuers located in emerging market countries, in which each Fund is authorized
to invest.
63
PaineWebber
NOTES TO FINANCIAL STATEMENTS
(continued)
Certain investment grade debt securities in which the Funds may invest have
speculative characteristics. Such securities are subject to greater risks of
default or price fluctuation than investment grade securities and are
considered predominantly speculative. The use of options, futures contracts and
forward currency contracts also entails special risks.
As a non-diversified Fund, Global Growth and Income Fund is subject to greater
risk with respect to its portfolio securities than investment companies that
have broader range of investments, because changes in the financial condition
or market assessment of a single issuer may cause greater fluctuation in the
Fund's total return and the price of its shares. Also, Global Energy Fund's
policy of concentrating its investments in the energy and energy service
industries may cause the value of its shares to fluctuate more than if it
invested in a greater number of industries. In particular, its shares will be
affected by economic, competitive and regulatory developments in those
industries, including changes in the price and supply of different energy
fuels.
INVESTMENT ADVISER AND ADMINISTRATOR
Each of the Funds has entered into an Investment Advisory and Administration
Contract ("Advisory Contract") with Mitchell Hutchins. In accordance with the
Advisory Contract, each Fund pays Mitchell Hutchins an investment advisory and
administration fee, which is accrued daily and paid monthly, in accordance with
the following schedule:
EUROPE GROWTH FUND
Annual
Average Daily Net Assets Rate
- ---------------------------------------------- -------
Up to $50 million............................. 0.900%
In excess of $50 million up to $100 million... 0.850
In excess of $100 million up to $150 million.. 0.800
In excess of $150 million up to $200 million.. 0.750
Over $200 million............................. 0.700
GLOBAL ENERGY FUND
Annual
Average Daily Net Assets Rate
- ---------------------------------------------- -------
Up to $250 million............................ 0.850%
In excess of $250 million up to $500 million.. 0.800
Over $500 million............................. 0.750
64
PaineWebber
NOTES TO FINANCIAL STATEMENTS
(continued)
GLOBAL GROWTH AND INCOME FUND
Annual
Average Daily Net Assets Rate
- ---------------------------------------------- -------
Up to $500 million............................ 0.900%
In excess of $500 million up to $1.0 billion.. 0.875
In excess of $1.0 billion up to $1.5 billion.. 0.850
In excess of $1.5 billion up to $2.0 billion.. 0.825
Over $2.0 billion............................. 0.800
GLOBAL INCOME FUND
Annual
Average Daily Net Assets Rate
- ---------------------------------------------- -------
Up to $500 million............................ 0.750%
In excess of $500 million up to $1.0 billion.. 0.725
In excess of $1.0 billion up to $1.5 billion.. 0.700
In excess of $1.5 billion up to $2.0 billion.. 0.675
Over $2.0 billion............................. 0.650
At April 30, 1995, Europe Growth Fund, Global Energy Fund, Global Growth and
Income Fund and Global Income Fund owed Mitchell Hutchins $72,587, $15,915,
$58,242 and $731,196, respectively, for investment advisory and administration
fees.
In compliance with applicable state securities laws, Mitchell Hutchins will
reimburse each Fund if and to the extent that the aggregate operating expenses
in any fiscal year, exclusive of taxes, distribution fees, interest, brokerage
fees and extraordinary expenses, exceed limitations imposed by various state
regulations. Currently, the most restrictive limitation applicable to the Funds
is 2.5% of the first $30 million of average daily net assets, 2.0% of the next
$70 million and 1.5% of any excess over $100 million. For the six months ended
April 30, 1995, no reimbursements were required pursuant to the above
limitations for any of the Funds.
DISTRIBUTION PLANS
Mitchell Hutchins is the distributor of each Fund's shares and has appointed
PaineWebber as the exclusive dealer for the sale of those shares. Under
separate plans of distribution pertaining to the Class A, Class B and Class D
shares ("Class A Plan," "Class B Plan" and "Class D Plan," collectively the
"Plans"), each Fund pays Mitchell Hutchins monthly service fees at the annual
rate of 0.25% of the average daily net assets of Class A, Class B and Class D
shares and monthly distribution fees at the annual rate of 0.75% of the average
daily net assets on Class B and Class D shares (0.50% for Global Income
Fund-Class D Shares). At April 30, 1995, Europe Growth Fund, Global Energy
Fund, Global Growth and Income Fund and Global Income Fund owed Mitchell
Hutchins $45,007, $12,931, $36,823 and $635,964, respectively, for service and
distribution fees.
65
PaineWebber
NOTES TO FINANCIAL STATEMENTS
(continued)
Mitchell Hutchins also receives the proceeds of the initial sales charges paid
upon the purchase of Class A shares and the contingent deferred sales charge
paid upon certain redemptions of Class B shares. Mitchell Hutchins has informed
each Fund that for the six months ended April 30, 1995, it had earned the
following amounts in sales charges:
Global
Europe Global Growth Global
Growth Energy and Income Income
Fund Fund Fund Fund
-------- ------- ---------- ----------
Initial sales charges - Class A..... $ 15,178 $ 248 $ 6,335 $ 20,656
Contingent deferred sales charges -
Class B............................ $145,326 $40,405 $94,079 $1,474,713
TRANSFER AGENCY SERVICE FEES
Each Fund pays PaineWebber an annual fee of $4.00 per active PaineWebber
shareholder account for certain services not provided by the Funds' transfer
agent. For these services for the six months ended April 30, 1995, PaineWebber
earned $34,549, $14,160, $22,005 and $196,066 for Europe Growth Fund, Global
Energy Fund, Global Growth and Income Fund and Global Income Fund,
respectively. At April 30, 1995, Europe Growth Fund, Global Energy Fund, Global
Growth and Income Fund and Global Income Fund owed PaineWebber $5,137, $1,158,
$3,432 and $30,054, respectively, for transfer agency service fees.
INVESTMENTS IN SECURITIES
For federal income tax purposes, the cost of securities owned at April 30, 1995
was substantially the same as the cost of securities for financial statement
purposes.
At April 30, 1995, the components of net unrealized appreciation (depreciation)
of investments were as follows:
<TABLE>
<CAPTION>
Global
Europe Growth
Growth Global Energy and Income Global Income
Fund Fund Fund Fund
------------ ------------- ------------- -------------
<S> <C> <C> <C> <C>
Gross appreciation
(investments having an
excess of value over
cost)...................... $9,647,237 $1,648,828 $2,477,013 $36,680,395
Gross depreciation
(investments having an
excess of cost over
value)..................... (2,625,830) (501,221) (4,684,123) (17,857,192)
------------ ------------- ------------- -------------
Net unrealized appreciation
(depreciation) of
investments................ $7,021,407 $1,147,607 $(2,207,110) $18,823,203
============ ============= ============= =============
</TABLE>
66
PaineWebber
NOTES TO FINANCIAL STATEMENTS
(continued)
For the six months ended April 30, 1995, total aggregate purchases and sales of
portfolio securities, excluding short-term securities, were as follows:
Global
Europe Growth
Growth Global Energy and Income Global Income
Fund Fund Fund Fund
----------- ------------- ----------- -------------
Purchases.. $29,844,849 $ 4,664,219 $69,016,855 $489,847,189
Sales...... $68,050,363 $10,670,961 $86,796,742 $704,932,626
FEDERAL INCOME TAX STATUS
At October 31, 1994, the following Funds had net capital loss carryforwards
available as reductions, to the extent provided in the regulations, of any
future net gains realized before the end of the fiscal years indicated below.
Global
Europe Growth
Growth Global Energy and Income Global Income
Fund Fund Fund Fund
---------- ------------- ---------- -------------
2000.. $2,744,747 - - -
2002.. - $1,873,851 - $16,081,468
---------- ------------- ---------- -------------
$2,744,747 $1,873,851 - $16,081,468
========== ============= ========== =============
In addition, Global Income Fund has a net capital loss carryforward of
$1,285,400 available at October 31, 1994 pursuant to its reorganization with
PaineWebber Short-Term Global Income Fund. If unused, this carryover expires in
2001.
To the extent that such losses are used to offset future capital gains, it is
probable that the gains so offset will not be distributed.
During the year ended October 31, 1994, Europe Growth Fund and Global Growth
and Income Fund utilized net capital loss carryforwards of $23,951,313 and
$2,539,889, respectively.
SUBSEQUENT EVENT
On May 25, 1995, the shareholders of the Global Income Plus Fund, Inc. ("Global
Income Plus") voted to convert Global Income Plus from a closed-end investment
company to an open-end investment company and reorganize into the Global Income
Fund. The reorganization is expected to occur at the close of business on June
30, 1995, when Global Income Fund will acquire all the assets of Global Income
Plus in exchange solely for shares of beneficial interest in Global Income Fund
and the assumption by Global Income Fund of Global Income Plus' liabilities.
Those Global Income shares will then be distributed to the Shareholders of
Global Income Plus, so that each Shareholder of Global Income Plus will receive
shares of Global Income equal in value, on the closing date of the
reorganization, to the value of the shareholder's holdings in Global Income
Plus. The net assets of Global Income Plus were $231,306,558 as of April 30,
1995.
67
PaineWebber
NOTES TO FINANCIAL STATEMENTS
(concluded)
SHARES OF BENEFICIAL INTEREST
There is an unlimited amount of $0.001 par value shares of beneficial interest
authorized. Transactions in shares of beneficial interest were as follows:
<TABLE>
<CAPTION>
Class A Class B Class C Class D
-------------------------- -------------------------- --------------- ------------------------
Shares Amount Shares Amount Shares Amount Shares Amount
----------- ------------ ----------- ----------- ------ ------ ---------- -----------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Europe Growth Fund
Six months ended
April 30, 1995:
Shares sold........... 115,470 $ 1,014,256 144,522 $ 1,239,973 - - 1,189,378 $10,235,340
Shares repurchased.... (2,214,930) (19,428,761) (1,172,674) (10,053,283) - - (1,662,804) (14,328,855)
Shares converted from
Class B to Class A... 17,533 153,297 (17,549) (153,297) - - - -
----------- ------------ ----------- ----------- ------ ------ ---------- -----------
Net decrease.......... (2,081,927) $(18,261,208) (1,045,701) $(8,966,607) - - (473,426) $(4,093,515)
=========== ============ =========== =========== ====== ====== ========== ===========
Year ended
October 31, 1994:
Shares sold........... 1,638,650 $15,777,959 2,684,476 $25,599,107 - - 2,860,941 $27,438,389
Shares repurchased.... (3,395,338) (31,812,212) (2,033,871) (18,165,212) - - (2,931,267) (28,098,707)
Dividends reinvested.. 358,842 3,391,062 122,238 1,139,258 - - 53,293 499,357
Shares converted from
Class B to Class A... 85,947 820,629 (87,351) (820,629) - - - -
----------- ------------ ----------- ----------- ------ ------ ---------- -----------
Net increase
(decrease)........... (1,311,899) $(11,822,562) 685,492 $ 7,752,524 - - (17,033) $(160,961)
=========== ============ =========== =========== ====== ====== ========== ===========
</TABLE>
<TABLE>
<CAPTION>
Class A Class B Class C Class D
-------------------------- -------------------------- ---------------- --------------------------
Shares Amount Shares Amount Shares Amount Shares Amount
----------- ------------- ----------- ----------- ------ ------ ---------- -----------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Global Energy Fund
Six months ended
April 30, 1995:
Shares sold........... 23,489 $ 252,070 67,358 $ 693,500 - - 487,658 $ 4,875,963
Shares repurchased.... (216,926) (2,237,556) (375,235) (3,879,981) - - (558,410) (5,645,749)
Shares converted from
Class B to Class A... 59,892 620,986 (59,932) (620,986) - - - -
----------- ------------- ----------- ----------- ------ ------ ---------- -----------
Net decrease.......... (133,545) $(1,364,500) (367,809) $(3,807,467) - - (70,752) $ (769,786)
=========== ============= =========== =========== ====== ====== ========== ===========
Year ended
October 31, 1994:
Shares sold........... 110,905 $ 1,292,127 398,620 $ 4,642,652 - - 1,447,759 $16,690,353
Shares repurchased.... (398,295) (4,620,488) (559,337) (6,730,374) - - (1,454,001) (16,757,537)
Dividends reinvested.. 132,100 1,463,674 230,629 2,571,514 - - 11,539 127,622
Shares converted from
Class B to Class A... 247,545 2,904,923 (246,989) (2,904,923) - - - -
----------- ------------- ----------- ----------- ------ ------ ---------- -----------
Net increase
(decrease)........... 92,255 $ 1,040,236 (177,077) $(2,421,131) - - 5,297 $ 60,438
=========== ============= =========== =========== ====== ====== ========== ===========
</TABLE>
68
PaineWebber
NOTES TO FINANCIAL STATEMENTS
(concluded)
SHARES OF BENEFICIAL INTEREST (concluded)
<TABLE>
<CAPTION>
Class A Class B Class C Class D
-------------------------- -------------------------- ---------------- ------------------------
Shares Amount Shares Amount Shares Amount Shares Amount
----------- ------------- ----------- ----------- ------ ------ ---------- -----------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Global Growth and
Income Fund
Six months ended
April 30, 1995:
Shares sold........... 68,119 $ 696,796 121,368 $ 1,224,307 - - 20,608 $ 201,888
Shares repurchased.... (1,308,227) (13,041,178) (701,428) (6,877,087) - - (301,342) (2,933,684)
Dividends reinvested.. 166,714 1,667,143 95,573 939,483 - - 34,608 340,558
Shares converted from
Class B to Class A.... 37,830 386,529 (38,487) (386,529) - - - -
----------- ------------- ----------- ----------- ------ ------ ---------- -----------
Net decrease.......... (1,035,564) $(10,290,710) (522,974) $(5,099,826) - - (246,126) $(2,391,238)
=========== ============= =========== =========== ====== ====== ========== ===========
Year ended
October 31, 1994:
Shares sold........... 961,568 $11,044,453 2,240,479 $25,322,472 - - 912,439 $10,381,414
Shares repurchased.... (1,607,199) (17,748,047) (722,448) (7,804,523) - - (516,302) (5,617,950)
Dividends reinvested.. 122,953 1,418,885 36,647 419,239 - - 15,050 172,475
Shares converted from
Class B to Class A... 92,659 1,017,396 (93,641) (1,017,396) - - - -
----------- ------------- ----------- ----------- ------ ------ ---------- -----------
Net increase
(decrease)........... (430,019) $(4,267,313) 1,461,037 $16,919,792 - - 411,187 $ 4,935,939
=========== ============= =========== =========== ====== ====== ========== ===========
</TABLE>
<TABLE>
<CAPTION>
Class A Class B Class C Class D
-------------------------- -------------------------- ------------------- -------------------------
Shares Amount Shares Amount Shares Amount Shares Amount
----------- ------------- ----------- ------------- ------- ---------- ---------- ------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Global Income Fund
Six months ended
April 30, 1995:
Shares sold........... 342,953 $ 3,441,268 712,663 $ 7,150,363 138,008 $1,394,233 190,803 $ 1,912,897
Shares repurchased.... (13,509,364) (135,659,273) (14,139,533) (141,612,847) (258,282) (2,601,759) (2,738,089) (27,455,112)
Dividends reinvested.. 1,166,072 11,752,041 1,130,824 11,359,943 40,146 405,137 169,141 1,701,904
Shares converted from
Class B to Class A... 4,110,238 41,199,679 (4,121,311) (41,199,679) - - - -
----------- ------------- ----------- ------------- ------- ---------- ---------- ------------
Net decrease.......... (7,890,101) $ (79,266,285) (16,417,357) $(164,302,220) (80,128) $ (802,389) (2,378,145) $(23,840,311)
=========== ============= =========== ============= ======= ========== ========== ============
Year ended
October 31, 1994:
Shares sold........... 1,514,200 $ 16,176,896 5,198,224 $ 55,716,072 281,719 $3,006,542 3,572,779 $ 38,662,638
Shares repurchased.... (20,711,269) (213,693,063) (26,589,848) (275,723,807) (178,060) (1,807,652) (7,261,892) (76,327,998)
Dividends reinvested.. 3,010,952 31,242,466 3,993,779 41,711,865 97,310 1,010,823 567,607 5,905,599
Shares converted from
Class B to Class A... 18,303,275 191,707,515 (18,356,029) (191,707,515) - - - -
----------- ------------- ----------- ------------- ------- ---------- ---------- ------------
Net increase
(decrease)........... 2,117,158 $ 25,433,814 (35,753,874) $(370,003,385) 200,969 $2,209,713 (3,121,506) $(31,759,761)
=========== ============= =========== ============= ======= ========== ========== ============
</TABLE>
69
[This Page Intentionally Left Blank]
70
PaineWebber
EUROPE GROWTH FUND
FINANCIAL HIGHLIGHTS
Selected data for a share of beneficial interest outstanding throughout each
period is presented below:
<TABLE>
<CAPTION>
Class A
--------------------------------------------------------------------------------
For the For the Period
Six Months Ended For the Years Ended October 31, February 7, 1990+
April 30, 1995 --------------------------------------------- to October 31,
(unaudited) 1994 1993 1992 1991 1990
---------------- --------- ------------- ---------- ---------- -----------------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period..... $8.99 $9.75 $7.19 $8.48 $8.94 $9.55
---------------- --------- ------------- ---------- ---------- -----------------
Income (loss) from investment operations:
Net investment income (loss) ........... (0.01) (0.03) 0.02 0.08 0.06 0.12
Net realized and unrealized gains
(losses) from investment and foreign
currency transactions.................. 0.26 (0.36) 2.54 (1.13) (0.35) (0.73)
---------------- --------- ------------- ---------- ---------- -----------------
Total income (loss) from investment
operations.............................. 0.25 (0.39) 2.56 (1.05) (0.29) (0.61)
---------------- --------- ------------- ---------- ---------- -----------------
Less dividends and distributions to/from:
Net investment income................... - (0.02) - (0.06) (0.12) -
Net realized gains on investments and
foreign currency transactions.......... - (0.35) - (0.18) (0.05) -
---------------- --------- ------------- ---------- ---------- -----------------
Total dividends and distributions........ - (0.37) - (0.24) (0.17) -
---------------- --------- ------------- ---------- ---------- -----------------
Net asset value, end of period........... $9.24 $8.99 $9.75 $7.19 $8.48 $8.94
================ ========= ============= ========== ========== =================
Total investment return (1).............. 2.78 % (4.24)% 35.61% (12.69)% (3.21)% (6.39)%
================ ========= ============= ========== ========== =================
Ratios/Supplemental data:
Net assets, end of period (000's)....... $61,227 $78,285 $97,773 $78,667 $128,888 $158,736
Ratio of expenses to average net assets. 1.81 %* 1.65 % 1.84% 2.05 % 1.78 % 1.85 %*
Ratio of net investment income (loss) to
average net assets..................... (0.52)%* (0.35)% 0.19% 0.82 % 0.64 % 1.92 %*
Portfolio turnover rate................. 30 % 174 % 252% 60 % 87 % 49 %
</TABLE>
- ----------
* Annualized
+ Commencement of operations
(1) Total investment return is calculated assuming a $1,000 investment on the
first day of each period reported, reinvestment of all dividends and
capital gain distributions at net asset value on the payable date, and a
sale at net asset value on the last day of each period reported. The
figures do not include sales charges; results for Class A and Class B
shares would be lower if sales charges were included. Total investment
returns for periods of less than one year have not been annualized.
71
PaineWebber
EUROPE GROWTH FUND
<TABLE>
<CAPTION>
Class B
---------------------------------------------------------------
For the For the Years Ended For the Period
Six Months Ended October 31, July 1, 1991+
April 30, 1995 ------------------------------- to October 31,
(unaudited) 1994 1993 1992 1991
---------------- --------- --------- ----------- --------------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period..... $8.81 $9.62 $7.14 $8.45 $8.52
---------------- --------- --------- ----------- --------------
Income (loss) from investment operations:
Net investment income (loss) ........... (0.10) (0.09) (0.03) 0.06 (0.02)
Net realized and unrealized gains
(losses) from investment and foreign
currency transactions.................. 0.30 (0.37) 2.51 (1.15) (0.05)
---------------- --------- --------- ----------- --------------
Total income (loss) from investment
operations.............................. 0.20 (0.46) 2.48 (1.09) (0.07)
---------------- --------- --------- ----------- --------------
Less dividends and distributions to/from:
Net investment income................... - - - (0.04) -
Net realized gains on investments and
foreign currency transactions.......... - (0.35) - (0.18) -
---------------- --------- --------- ----------- --------------
Total dividends and distributions....... - (0.35) - (0.22) -
---------------- --------- --------- ----------- --------------
Net asset value, end of period........... $9.01 $8.81 $9.62 $7.14 $8.45
================ ========= ========= =========== ==============
Total investment return (1).............. 2.27 % (5.03)% 34.73 % (13.19)% (0.82)%
================ ========= ========= =========== ==============
Ratios/Supplemental data:
Net assets, end of period (000's)....... $28,983 $37,525 $34,386 $5,446 $1,641
Ratio of expenses to average net assets. 2.55 %* 2.40 % 2.46 % 2.79 % 2.60 %*
Ratio of net investment income (loss) to
average net assets..................... (1.27)%* (1.05)% (0.77)% 0.39 % (1.36)%*
Portfolio turnover rate................. 30 % 174 % 252 % 60 % 87 %
<CAPTION>
Class D
---------------------------------------------------
For the Years
For the Ended For the Period
Six Months Ended October 31, July 6, 1992+
April 30, 1995 ------------------- to October 31,
(Unaudited) 1994 1993 1992
---------------- --------- --------- --------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period..... $8.86 $9.67 $7.17 $8.33
---------------- --------- --------- --------------
Income (loss) from investment operations:
Net investment income (loss) ........... (0.13) (0.11) (0.02) (0.01)
Net realized and unrealized gains
(losses) from investment and foreign
currency transactions.................. 0.34 (0.35) 2.52 (1.15)
---------------- --------- --------- --------------
Total income (loss) from investment
operations.............................. 0.21 (0.46) 2.50 (1.16)
---------------- --------- --------- --------------
Less dividends and distributions to/from:
Net investment income................... - - - -
Net realized gains on investments and
foreign currency transactions.......... - (0.35) - -
---------------- --------- --------- --------------
Total dividends and distributions....... - (0.35) - -
---------------- --------- --------- --------------
Net asset value, end of period........... $9.07 $8.86 $9.67 $7.17
================ ========= ========= ==============
Total investment return (1).............. 2.37 % (5.00)% 34.87 % (13.93)%
================ ========= ========= ==============
Ratios/Supplemental data:
Net assets, end of period (000's)....... $10,107 $14,064 $15,522 $681
Ratio of expenses to average net assets. 2.56 %* 2.39 % 2.39 % 3.26 %*
Ratio of net investment income (loss) to
average net assets..................... (1.32)%* (1.00)% (0.74)% (0.94)%*
Portfolio turnover rate................. 30 % 174 % 252 % 60 %
</TABLE>
72
PaineWebber
GLOBAL ENERGY FUND
FINANCIAL HIGHLIGHTS
Selected data for a share of beneficial interest outstanding throughout each
period is presented below:
<TABLE>
<CAPTION>
Class A
-------------------------------------------------------------------
For the For the Years Ended
Six Months Ended October 31, For the Period
April 30, 1995 --------------------------------- July 1, 1991+ to
(unaudited) 1994 1993 1992 October 31, 1991
---------------- --------- --------- --------- ----------------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period............ $11.39 $14.21 $11.63 $12.18 $11.20
---------------- --------- --------- --------- ----------------
Income (loss) from investment operations:
Net investment income (loss)................... (0.02) 0.03 0.16 0.25 0.01
Net realized and unrealized gains (losses) from
investment and foreign currency transactions.. (0.19) (0.91) 2.69 (0.66) 0.97
---------------- --------- --------- --------- ----------------
Total income (loss) from investment operations.. (0.21) (0.88) 2.85 (0.41) 0.98
---------------- --------- --------- --------- ----------------
Less dividends and distributions to/from:
Net investment income.......................... - (0.10) (0.27) (0.14) -
Net realized gains on investments and foreign
currency transactions......................... - (1.84) - - -
---------------- --------- --------- --------- ----------------
Total dividends and distributions.............. - (1.94) (0.27) (0.14) -
---------------- --------- --------- --------- ----------------
Net asset value, end of period.................. $11.18 $11.39 $14.21 $11.63 $12.18
================ ========= ========= ========= ================
Total investment return (1)..................... (1.84)% (5.79)% 24.90% (3.44)% 8.84%
================ ========= ========= ========= ================
Ratios/Supplemental Data:
Net assets, end of period (000's).............. $9,530 $11,230 $12,702 $2,575 $ 80
Ratio of expenses to average net assets........ 2.23 %* 1.99 % 2.05% 2.05 % 1.83%*
Ratio of net investment income (loss) to
average net assets............................ (0.07)%* 0.20 % 1.21% 2.89 % 0.26%*
Portfolio turnover rate........................ 21 % 157 % 148% 89 % 51%
</TABLE>
- ----------
* Annualized
+ Commencement of offering of shares
(1) Total investment return is calculated assuming a $1,000 investment on the
first day of each period reported, reinvestment of all dividends and
capital gain distributions at net asset value on the payable date, and a
sale at net asset value on the last day of each period reported. The
figures do not include sales charges; results for Class A and Class B
shares would be lower if sales charges were included. Total investment
returns for periods of less than one year have not been annualized.
73
PaineWebber
GLOBAL ENERGY FUND
<TABLE>
<CAPTION>
Class B
-----------------------------------------------------------------
For the
Six Months Ended For the Years Ended October 31,
April 30, 1995 -----------------------------------------------
(Unaudited) 1994 1993 1992 1991 1990
---------------- --------- -------- --------- ---------- --------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period............ $ 11.38 $ 14.19 $ 11.60 $ 12.16 $ 12.45 $ 12.05
---------------- --------- -------- --------- ---------- --------
Income (loss) from investment operations:
Net investment income (loss)................... - (0.05) 0.19 0.13 0.17 0.08
Net realized and unrealized gains (losses) from
investment and foreign currency transactions.. (0.21) (0.92) 2.56 (0.64) 0.36 1.16
---------------- --------- -------- --------- ---------- --------
Total income (loss) from investment operations.. (0.21) (0.97) 2.75 (0.51) 0.53 1.24
---------------- --------- -------- --------- ---------- --------
Less dividends and distributions to/from:
Net investment income.......................... - - (0.16) (0.05) (0.13) (0.11)
Net realized gains on investments and foreign
currency transactions......................... - (1.84) - - (0.69) (0.73)
---------------- --------- -------- --------- ---------- --------
Total dividends and distributions.............. - (1.84) (0.16) (0.05) (0.82) (0.84)
---------------- --------- -------- --------- ---------- --------
Net asset value, end of period.................. $ 11.17 $ 11.38 $ 14.19 $ 11.60 $ 12.16 $ 12.45
================ ========= ======== ========= ========== ========
Total investment return (1)..................... (1.85)% (6.56)% 23.80% (4.09)% 4.89% 10.37%
================ ========= ======== ========= ========== ========
Ratios/Supplemental Data:
Net assets, end of period (000's).............. $12,905 $17,341 $24,140 $36,460 $53,506 $58,748
Ratio of expenses to average net assets........ 2.90 %* 2.82 % 2.82% 3.04 % 2.50% 2.48%
Ratio of net investment income (loss) to
average net assets............................ (0.76)%* (0.59)% 0.72% 0.76 % 1.39% 1.01%
Portfolio turnover rate........................ 21 % 157 % 148% 89 % 51% 77%
<CAPTION>
Class D
---------------------------------------------------
For the
For the Years Ended
Six Months Ended October 31, For the Period
April 30, 1995 ----------------- July 8, 1992+ to
(Unaudited) 1994 1993 October 31, 1992
---------------- --------- ------- ----------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period............ $ 11.28 $ 14.09 $ 11.60 $ 11.95
---------------- --------- ------- ----------------
Income (loss) from investment operations:
Net investment income (loss).................. (0.03) (0.04) 0.26 0.02
Net realized and unrealized gains (losses)
from investment and foreign currency
transactions................................. (0.22) (0.93) 2.47 (0.37)
---------------- --------- ------- ----------------
Total income (loss) from investment operations.. (0.25) (0.97) 2.73 (0.35)
---------------- --------- ------- ----------------
Less dividends and distributions to/from:
Net investment income.......................... - - (0.24) -
Net realized gains on investments and foreign
currency transactions......................... - (1.84) - -
---------------- --------- ------- ----------------
Total dividends and distributions.............. - (1.84) (0.24) -
---------------- --------- ------- ----------------
Net asset value, end of period.................. $ 11.03 $ 11.28 $ 14.09 $ 11.60
================ ========= ======= ================
Total investment return (1)..................... (2.22)% (6.59)% 23.84% (2.93)%
================ ========= ======= ================
Ratios/Supplemental Data:
Net assets, end of period (000's).............. $ 668 $1,481 $1,777 $ 56
Ratio of expenses to average net assets........ 3.05 %* 2.74 % 2.76% 2.13 %*
Ratio of net investment income (loss) to average
net assets.................................... (0.94)%* (0.49)% 0.24% 1.39 %*
Portfolio turnover rate........................ 21 % 157 % 148% 89 %
</TABLE>
74
PaineWebber
GLOBAL GROWTH AND INCOME FUND
FINANCIAL HIGHLIGHTS
Selected data for a share of beneficial interest outstanding throughout each
period is presented below:
<TABLE>
<CAPTION>
Class A
--------------------------------------------------------------
For the
Six Months Ended For the Years Ended October 31,
April 30,1995 ---------------------------------------------
(unaudited) 1994 1993 1992 1991 1990
---------------- -------- -------- --------- -------- --------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period............ $ 11.20 $ 11.31 $ 8.73 $ 9.26 $ 10.09 $ 10.02
---------------- -------- -------- --------- -------- --------
Income (loss) from investment operations:
Net investment income.......................... 0.27 0.17 0.30 0.50 0.49 0.58
Net realized and unrealized gains (losses) from
investment and foreign currency transactions.. (1.28) (0.01) 2.32 (0.66) 0.02 0.18
---------------- -------- -------- --------- -------- --------
Total income (loss) from investment operations.. (1.01) 0.16 2.62 (0.16) 0.51 0.76
---------------- -------- -------- --------- -------- --------
Less dividends and distributions to/from:
Net investment income.......................... - (0.16) (0.04) (0.37) (0.54) (0.55)
Net realized gains on investments and foreign
currency transactions......................... (0.36) (0.11) - - (0.80) (0.14)
---------------- -------- -------- --------- -------- --------
Total dividends and distributions.............. (0.36) (0.27) (0.04) (0.37) (1.34) (0.69)
---------------- -------- -------- --------- -------- --------
Net asset value, end of period.................. $ 9.83 $ 11.20 $ 11.31 $ 8.73 $ 9.26 $ 10.09
================ ======== ======== ========= ======== ========
Total investment return (1)..................... (9.11)% 1.35% 30.10% (1.90)% 5.90% 7.73%
================ ======== ======== ========= ======== ========
Ratios/Supplemental data:
Net assets, end of period (000's).............. $44,112 $61,813 $67,284 $60,540 $83,431 $98,354
Ratio of expenses to average net assets........ 1.92 %* 1.76% 2.02% 1.72 % 1.95% 2.04%
Ratio of net investment income to average net
assets........................................ 2.25 %* 1.10% 2.54% 4.76 % 5.04% 5.50%
Portfolio turnover rate........................ 84 % 172% 206% 59 % 65% 142%
</TABLE>
- ----------
* Annualized
+ Commencement of operations
(1) Total investment return is calculated assuming a $1,000 investment on the
first day of each period reported, reinvestment of all dividends and
capital gain distributions at net asset value on the payable date, and a
sale at net asset value on the last day of each period reported. The
figures do not include sales charges; results for Class A and Class B
shares would be lower if sales charges were included. Total investment
returns for periods of less than one year have not been annualized.
75
PaineWebber
GLOBAL GROWTH AND INCOME FUND
<TABLE>
<CAPTION>
Class B
----------------------------------------------------------
For the For the Years Ended For the Period
Six Months Ended October 31, July 1, 1991+
April 30, 1995 --------------------------- to October 31,
(unaudited) 1994 1993 1992 1991
---------------- -------- -------- --------- --------------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period............ $ 11.03 $ 11.20 $ 8.68 $ 9.23 $ 8.58
---------------- -------- -------- --------- --------------
Income (loss) from investment operations:
Net investment income.......................... 0.08 0.04 0.03 0.35 0.05
Net realized and unrealized gains (losses) from
investment and foreign currency transactions.. (1.11) 0.04 2.50 (0.58) 0.60
---------------- -------- -------- --------- --------------
Total income (loss) from investment operations.. (1.03) 0.08 2.53 (0.23) 0.65
---------------- -------- -------- --------- --------------
Less dividends and distributions to/from:
Net investment income.......................... - (0.14) (0.01) (0.32) -
Net realized gains on investments and foreign
currency transactions......................... (0.36) (0.11) - - -
---------------- -------- -------- --------- --------------
Total dividends and distributions.............. (0.36) (0.25) (0.01) (0.32) -
---------------- -------- -------- --------- --------------
Net asset value, end of period.................. $ 9.64 $ 11.03 $ 11.20 $ 8.68 $ 9.23
================ ======== ======== ========= ==============
Total investment return (1)..................... (9.44)% 0.60% 29.11% (2.61)% 7.58%
================ ======== ======== ========= ==============
Ratios/Supplemental data:
Net assets, end of period (000's).............. $25,081 $34,468 $18,639 $4,554 $1,947
Ratio of expenses to average net assets........ 2.73 %* 2.54% 2.74% 2.50 % 2.52%*
Ratio of net investment income to average net
assets........................................ 1.46 %* 0.38% 1.52% 4.07 % 3.32%*
Portfolio turnover rate......................... 84 % 172% 206% 59 % 65%
<CAPTION>
Class D
------------------------------------------------
For the Years
For the Ended For the Period
Six Months Ended October 31, July 2, 1992+
April 30, 1995 ---------------- to October 31,
(unaudited) 1994 1993 1992
---------------- -------- ------- --------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period............ $11.05 $ 11.22 $ 8.71 $9.32
---------------- -------- ------- --------------
Income (loss) from investment operations:
Net investment income.......................... 0.07 0.05 0.03 0.06
Net realized and unrealized gains (losses) from
investment and foreign currency transactions.. (1.11) 0.04 2.51 (0.67)
---------------- -------- ------- --------------
Total income (loss) from investment operations.. (1.04) 0.09 2.54 (0.61)
---------------- -------- ------- --------------
Less dividends and distributions to/from:
Net investment income.......................... - (0.15) (0.03) -
Net realized gains on investments and foreign
currency transactions......................... (0.36) (0.11) - -
---------------- -------- ------- --------------
Total dividends and distributions............... (0.36) (0.26) (0.03) -
---------------- -------- ------- --------------
Net asset value, end of period.................. $ 9.65 $ 11.05 $11.22 $8.71
================ ======== ======= ==============
Total investment return (1)..................... (9.51)% 0.68% 29.20% (6.55)%
================ ======== ======= ==============
Ratios/Supplemental data:
Net assets, end of period (000's).............. $7,669 $11,492 $7,063 $683
Ratio of expenses to average net assets........ 2.77 %* 2.55% 2.72% 2.82 %*
Ratio of net investment income to average net
assets........................................ 1.38 %* 0.34% 1.40% 3.92 %*
Portfolio turnover rate........................ 84 % 172% 206% 59 %
</TABLE>
76
PaineWebber
GLOBAL INCOME FUND
FINANCIAL HIGHLIGHTS
Selected data for a share of beneficial interest outstanding throughout each
period is presented below:
<TABLE>
<CAPTION>
Class A
----------------------------------------------------------------
For the For the Years Ended For the Period
Six Months Ended October 31, July 1, 1991+
April 30, 1995 -------------------------------- to October 31,
(unaudited) 1994 1993 1992 1991
---------------- ---------- --------- --------- --------------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period............ $ 9.99 $ 10.97 $ 10.64 $ 10.75 $ 10.40
---------------- ---------- --------- --------- --------------
Income (loss) from investment operations:
Net investment income.......................... 0.39 0.72 0.59 0.83 0.20
Net realized and unrealized gains (losses) from
investment and foreign currency transactions.. 0.17 (1.05) 0.68 (0.12) 0.40
---------------- ---------- --------- --------- --------------
Total income (loss) from investment operations.. 0.56 (0.33) 1.27 0.71 0.60
---------------- ---------- --------- --------- --------------
Less dividends and distributions to/from:
Net investment income.......................... (0.32) (0.33) (0.80) (0.64) (0.23)
Net realized gains on investments and foreign
currency transactions......................... - - (0.14) (0.18) (0.02)
Paid in capital................................ - (0.32) - - -
---------------- ---------- ---------- --------- --------------
Total dividends and distributions.............. (0.32) (0.65) (0.94) (0.82) (0.25)
---------------- ---------- ---------- --------- --------------
Net asset value, end of period.................. $ 10.23 $ 9.99 $ 10.97 $ 10.64 $ 10.75
================ ========== ========== ========= ==============
Total investment return (1)..................... 5.71% (3.10)% 12.41% 6.70% 5.79%
================ ========== ========== ========= ==============
Ratios/Supplemental Data:
Net assets, end of
period (000's)................................ $546,197 $611,855 $648,853 $107,033 $16,501
Ratio of expenses to average net assets........ 1.20%* 1.17 % 1.32%** 1.21% 1.35%*
Ratio of net investment income to average net
assets........................................ 7.57%* 6.94 % 6.82%** 7.84% 8.59%*
Portfolio turnover rate....................... 92% 108 % 90% 92% 53%
</TABLE>
- ----------
* Annualized
** Includes 0.15% of interest expense related to the reverse repurchase
agreement transactions entered into during the fiscal year.
+ Commencement of operations.
(1) Total investment return is calculated assuming a $1,000 investment on the
first day of each period reported, reinvestment of all dividends and
capital gain distributions at net asset value on the payable date, and a
sale at net asset value on the last day of each period reported. The
figures do not include sales charges; results for Class A and Class B
shares would be lower if sales charges were included. Total investment
returns for periods of less than one year have not been annualized.
77
PaineWebber
GLOBAL INCOME FUND
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
Class B
------------------------------------------------------------------------
For the
Six Months Ended For the Years Ended October 31,
April 30, 1995 ----------------------------------------------------
(unaudited) 1994 1993 1992 1991
---------------- ---------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period............ $ 9.96 $ 10.95 $ 10.62 $ 10.74 $ 11.07
---------------- ---------- ----------- ----------- -----------
Income (loss) from investment operations:
Net investment income.......................... 0.54 0.86 0.78 0.94 0.85
Net realized and unrealized gains (losses) from
investment and foreign currency transactions.. (0.01) (1.28) 0.40 (0.32) (0.09)
---------------- ---------- ----------- ----------- -----------
Total income (loss) from investment operations.. 0.53 (0.42) 1.18 0.62 0.76
---------------- ---------- ----------- ----------- -----------
Less dividends and distributions to/from:
Net investment income.......................... (0.29) (0.29) (0.71) (0.56) (0.97)
Net realized gains on investments and foreign
currency transactions......................... - - (0.14) (0.18) (0.12)
Paid in capital................................ - (0.28) - - -
---------------- ---------- ----------- ----------- -----------
Total dividends and distributions.............. (0.29) (0.57) (0.85) (0.74) (1.09)
---------------- ---------- ----------- ----------- -----------
Net asset value, end of period.................. $ 10.20 $ 9.96 $ 10.95 $ 10.62 $ 10.74
================ ========== =========== =========== ===========
Total investment return (1)..................... 5.39% (3.90)% 11.45% 5.93% 7.39%
================ ========== =========== =========== ===========
Ratios/Supplemental Data:
Net assets, end of
period (000's)................................ $575,409 $725,553 $1,188,890 $1,542,255 $1,593,814
Ratio of expenses to average net assets........ 1.97%* 1.94 % 2.11%** 1.98% 1.94%
Ratio of net investment income to average net
assets........................................ 6.79%* 6.05 % 5.97%** 7.11% 8.09%
Portfolio turnover rate........................ 92% 108 % 90% 92% 33%
<CAPTION>
Class C
-----------------------------------------------------------------------
For the For the Years Ended For the Period
Six Months Ended October 31, August 26, 1991+
April 30, 1995 ----------------------------------- to October 31,
(Unaudited) 1994 1993 1992 1991
--------- ----------- ----------- --------- -----------------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period............ $ 9.99 $ 10.97 $ 10.64 $10.76 $10.53
--------- ----------- ----------- --------- -----------------
Income (loss) from investment operations:
Net investment income.......................... 0.41 0.75 0.71 0.81 0.17
Net realized and unrealized gains (losses) from
investment and foreign currency transactions.. 0.18 (1.06) 0.58 (0.08) 0.32
--------- ----------- ----------- --------- -----------------
Total income (loss) from investment operations.. 0.59 (0.31) 1.29 0.73 0.49
--------- ----------- ----------- --------- -----------------
Less dividends and distributions to/from:
Net investment income.......................... (0.34) (0.34) (0.82) (0.67) (0.24)
Net realized gains on investments and foreign
currency transactions......................... - - (0.14) (0.18) (0.02)
Paid in capital................................ - (0.33) - - -
--------- ----------- ----------- --------- -----------------
Total dividends and distributions.............. (0.34) (0.67) (0.96) (0.85) (0.26)
--------- ----------- ----------- --------- -----------------
Net asset value, end of period.................. $10.24 $9.99 $ 10.97 $10.64 $10.76
========= =========== =========== ========= =================
Total investment return (1)..................... 5.84% (2.86)% 12.60% 6.98% 4.63%
========= =========== =========== ========= =================
Ratios/Supplemental Data:
Net assets, end of
period (000's)................................ $12,478 $12,975 $12,043 $7,252 $2,565
Ratio of expenses to average net assets........ 0.91%* 0.88 % 1.06%** 0.94% 1.09%*
Ratio of net investment income to average net
assets........................................ 7.86%* 7.23 % 7.00%** 8.15% 8.79%*
Portfolio turnover rate........................ 92% 108 % 90% 92% 53%
</TABLE>
78
PaineWebber
GLOBAL INCOME FUND
<TABLE>
<CAPTION>
Class D
-----------------------------------------------------
For the Years
For the Ended For the Period
Six Months Ended October 31, July 2, 1992+
April 30, 1995 --------------------- to October 31,
(unaudited) 1994 1993 1992
---------------- --------- ---------- --------------
<S> <C> <C> <C> <C>
Net asset value,
beginning of period............................ $ 9.98 $ 10.96 $ 10.64 $ 10.94
---------------- --------- ---------- --------------
Income (loss) from investment operations:
Net investment income.......................... 0.40 0.70 0.68 0.20
Net realized and unrealized gains (losses) from
investment and foreign currency transactions.. 0.14 (1.09) 0.52 (0.13)
---------------- --------- ---------- --------------
Total income (loss) from investment operations.. 0.54 (0.39) 1.20 0.07
---------------- --------- ---------- --------------
Less dividends and distributions to/from:
Net investment income.......................... (0.30) (0.30) (0.74) (0.21)
Net realized gains on investments and foreign
currency transactions......................... - - (0.14) (0.16)
Paid in capital................................ - (0.29) - -
---------------- --------- ---------- --------------
Total dividends and distributions.............. (0.30) (0.59) (0.88) (0.37)
---------------- --------- ---------- --------------
Net asset value, end of period.................. $ 10.22 $ 9.98 $ 10.96 $ 10.64
================ ========= ========== ==============
Total investment return (1)..................... 5.49% (3.56)% 11.64% 0.61%
================ ========= ========== ==============
Ratios/Supplemental Data:
Net assets, end of
period (000's)................................ $70,413 $92,480 $135,847 $36,598
Ratio of expenses to average net assets........ 1.70%* 1.68 % 1.83%** 1.75%*
Ratio of net investment income to average net
assets........................................ 7.05%* 6.34 % 6.17%** 7.02%*
Portfolio turnover rate........................ 92% 108 % 90% 92%
</TABLE>
- ----------
* Annualized
** Includes 0.15% of interest expense related to the reverse repurchase
agreement transactions entered into during the fiscal year.
+ Commencement of operations.
(1) Total investment return is calculated assuming a $1,000 investment on the
first day of each period reported, reinvestment of all dividends and
capital gain distributions at net asset value on the payable date, and a
sale at net asset value on the last day of each period reported. The
figures do not include sales charges; results for Class A and Class B
shares would be lower if sales charges were included. Total investment
returns for periods of less than one year have not been annualized.
79
